Delaware Group Government Fund N-CSRS Certified semi-annual shareholder report (management investment company)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES

Investment Company Act file number:	811-04304
Exact name of registrant as specified in charter:	Delaware Group® Government Fund
Address of principal executive offices:	2005 Market Street
	Philadelphia, PA 19103
Name and address of agent for service:	David F. Connor, Esq.
	2005 Market Street
	Philadelphia, PA 19103
Registrant’s telephone number, including area code:	(800) 523-1918
Date of fiscal year end:	July 31
Date of reporting period:	January 31, 2015

Item 1. Reports to Stockholders

 

Semiannual report

Fixed income mutual fund

Delaware Core Plus Bond Fund

January 31, 2015

Carefully consider the Fund’s investment objectives, risk factors, charges, and expenses before investing. This and other information can be found in the Fund’s prospectus and its summary prospectus, which may be obtained by visiting delawareinvestments.com or calling 800 523-1918. Investors should read the prospectus and the summary prospectus carefully before investing.

You can obtain shareholder reports and prospectuses online instead of in the mail.

Visit delawareinvestments.com/edelivery.

Experience Delaware Investments

Delaware Investments is committed to the pursuit of consistently superior asset management and unparalleled client service. We believe in our investment processes, which seek to deliver consistent results, and in convenient services that help add value for our clients.

If you are interested in learning more about creating an investment plan, contact your financial advisor.

You can learn more about Delaware Investments or obtain a prospectus for Delaware Core Plus Bond Fund at delawareinvestments.com.

Manage your investments online

— 24-hour access to your account information

— Obtain share prices

— Check your account balance and recent transactions

— Request statements or literature

— Make purchases and redemptions

Delaware Management Holdings, Inc. and its subsidiaries (collectively known by the marketing name of Delaware Investments) are wholly owned subsidiaries of Macquarie Group Limited, a global provider of banking, financial, advisory, investment, and funds management services.

Investments in Delaware Core Plus Bond Fund are not and will not be deposits with or liabilities of Macquarie Bank Limited ABN 46 008 583 542 and its holding companies, including their subsidiaries or related companies (Macquarie Group), and are subject to investment risk, including possible delays in repayment and loss of income and capital invested. No Macquarie Group company guarantees or will guarantee the performance of the Fund, the repayment of capital from the Fund, or any particular rate of return.

Table of contents

Disclosure of Fund expenses	1
Security type / sector allocation	3
Schedule of investments	4
Statement of assets and liabilities	30
Statement of operations	32
Statements of changes in net assets	34
Financial highlights	36
Notes to financial statements	44
Other Fund information	61
About the organization	64

Unless otherwise noted, views expressed herein are current as of Jan. 31, 2015, and subject to change for events occurring after such date.

Funds are not FDIC insured and are not guaranteed. It is possible to lose the principal amount invested.

Mutual fund advisory services provided by Delaware Management Company, a series of Delaware Management Business Trust, which is a registered investment advisor. Delaware Investments, a member of Macquarie Group, refers to Delaware Management Holdings, Inc. and its subsidiaries, including the Fund’s distributor, Delaware Distributors, L.P. Macquarie Group refers to Macquarie Group Limited and its subsidiaries and affiliates worldwide.

© 2015 Delaware Management Holdings, Inc.

All third-party marks cited are the property of their respective owners.

Disclosure of Fund expenses

For the six-month period from August 1, 2014 to January 31, 2015 (Unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; and exchange fees; and (2) ongoing costs, including management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire six-month period from Aug. 1, 2014 to Jan. 31, 2015.

Actual expenses

The first section of the table shown, “Actual Fund return,” provides information about actual account values and actual expenses. You may use the information in this section of the table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first section under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

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

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the second section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher. The Fund’s expenses shown in the table reflect fee waivers in effect. The expenses shown in the table assume reinvestment of all dividends and distributions.

1

Disclosure of Fund expenses

For the six-month period from August 1, 2014 to January 31, 2015 (Unaudited)

Delaware Core Plus Bond Fund

Expense analysis of an investment of $1,000

	Beginning Account Value 8/1/14	Ending Account Value 1/31/15	Annualized Expense Ratio	Expenses Paid During Period 8/1/14 to 1/31/15*
Actual Fund return†
Class A	$1,000.00	$1,033.40	0.90%	$4.61
Class C	1,000.00	1,029.50	1.65%	8.44
Class R	1,000.00	1,032.00	1.15%	5.89
Institutional Class	1,000.00	1,034.70	0.65%	3.33
Hypothetical 5% return (5% return before expenses)
Class A	$1,000.00	$1,020.67	0.90%	$4.58
Class C	1,000.00	1,016.89	1.65%	8.39
Class R	1,000.00	1,019.41	1.15%	5.85
Institutional Class	1,000.00	1,021.93	0.65%	3.31

* “Expenses Paid During Period” are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

^†  Because actual returns reflect only the most recent six-month period, the returns shown may differ significantly from fiscal year returns.

2

Security type / sector allocation   Delaware Core Plus Bond Fund   As of January 31, 2015 (Unaudited)  

Sector designations may be different than the sector designations presented in other fund materials. The sector designations may represent the investment manager’s internal sector classifications, which may result in the sector designations for one fund being different than another fund’s sector designations.

Security type / sector	Percentage of net assets
Agency Collateralized Mortgage Obligations	3.28%
Agency Mortgage-Backed Securities	23.23%
Agency Obligation	0.11%
Commercial Mortgage-Backed Securities	5.22%
Convertible Bonds	0.44%
Corporate Bonds	43.01%
Banking	5.82%
Basic Industry	3.79%
Brokerage	0.67%
Capital Goods	0.65%
Communications	7.10%
Consumer Cyclical	3.55%
Consumer Non-Cyclical	3.22%
Electric	4.83%
Energy	5.80%
Finance Companies	0.82%
Insurance	1.99%
REITs	1.97%
Technology	1.93%
Transportation	0.78%
Utilities	0.09%
Municipal Bonds	0.44%
Non-Agency Asset-Backed Securities	3.65%
Non-Agency Collateralized Mortgage Obligations	0.72%
Senior Secured Loans	6.35%
Sovereign Bonds	1.08%
Supranational Banks	0.21%
U.S. Treasury Obligations	10.26%
Convertible Preferred Stock	0.09%
Preferred Stock	0.63%
Short-Term Investments	13.60%
Total Value of Securities	112.32%
Liabilities Net of Receivables and Other Assets	(12.32%)
Total Net Assets	100.00%

3

Schedule of investments   Delaware Core Plus Bond Fund   January 31, 2015 (Unaudited)  

	Principal amount°		Value (U.S. $)
Agency Collateralized Mortgage Obligations – 3.28%
Fannie Mae Grantor Trust
Series 2002-T1 A2 7.00% 11/25/31		44,643	$	53,617
Fannie Mae Interest Strip
Series 35 2 12.00% 7/25/18		11,181		12,306
Fannie Mae REMIC Trust
Series 2002-W1 2A 6.509% 2/25/42 —		59,594		70,748
Fannie Mae REMICs
Series 1988-15 A 9.00% 6/25/18		233		253
Series 1996-46 ZA 7.50% 11/25/26		46,408		52,824
Series 2002-83 GH 5.00% 12/25/17		108,892		113,761
Series 2011-80 CB 4.00% 8/25/26		1,953,713		2,171,341
Series 2012-122 SD 5.932% 11/25/42 —S		205,703		50,664
Series 2013-38 AI 3.00% 4/25/33 S		543,161		72,444
Series 2013-44 DI 3.00% 5/25/33 S		816,708		109,694
Freddie Mac REMICs
Series 2557 WE 5.00% 1/15/18		93,355		97,592
Series 3656 PM 5.00% 4/15/40		216,572		239,330
Series 4185 LI 3.00% 3/15/33 S		204,320		28,802
Series 4191 CI 3.00% 4/15/33 S		88,159		11,487
Freddie Mac Structured Pass Through Securities
Series T-42 A5 7.50% 2/25/42 ¨		24,174		28,505
GNMA
Series 2010-42 PC 5.00% 7/20/39		545,000		625,440
Series 2010-113 KE 4.50% 9/20/40		245,000		275,090
Total Agency Collateralized Mortgage Obligations (cost $3,875,920)				4,013,898
Agency Mortgage-Backed Securities – 23.23%
Fannie Mae
10.50% 6/1/30		10,375		10,604
Fannie Mae ARM
2.268% 7/1/36 —		58,106		63,476
2.315% 11/1/35 —		23,612		25,326
2.421% 5/1/43 —		70,093		71,283
2.546% 6/1/43 —		24,920		25,549
3.204% 4/1/44 —		65,538		68,779
3.267% 3/1/44 —		91,885		97,048
3.31% 9/1/43 —		75,659		79,605
5.141% 8/1/35 —		19,415		20,764
Fannie Mae S.F. 15 yr
2.50% 2/1/28		316,235		327,958
2.50% 5/1/28		42,184		43,748
3.50% 7/1/26		91,212		97,551
4.00% 4/1/24		32,192		34,248

4

	Principal amount°		Value (U.S. $)
Agency Mortgage-Backed Securities (continued)
Fannie Mae S.F. 15 yr
4.00% 5/1/24		99,081	$	105,445
4.00% 5/1/25		36,027		38,482
4.00% 6/1/25		113,447		121,110
4.00% 11/1/25		174,539		187,030
4.00% 12/1/26		59,525		63,334
4.00% 1/1/27		414,687		443,710
4.50% 4/1/18		6,374		6,695
5.00% 12/1/20		6,826		7,357
5.00% 6/1/23		12,679		13,670
8.00% 10/1/16		5,747		5,895
Fannie Mae S.F. 15 yr TBA
2.50% 3/1/30		1,811,000		1,870,056
Fannie Mae S.F. 20 yr
3.00% 2/1/33		7,724		8,101
3.00% 8/1/33		42,162		44,209
4.00% 1/1/31		15,374		16,577
4.00% 2/1/31		48,291		52,134
5.00% 11/1/23		6,262		6,916
5.50% 12/1/29		9,355		10,479
6.00% 12/1/21		4,423		5,003
Fannie Mae S.F. 30 yr
3.00% 7/1/42		61,362		63,551
3.00% 10/1/42		976,473		1,011,599
3.00% 12/1/42		76,685		79,435
3.00% 1/1/43		352,246		364,812
3.00% 4/1/43		261,006		270,269
3.00% 5/1/43		482,138		499,209
4.50% 7/1/36		32,600		35,501
4.50% 4/1/39		122,746		133,445
4.50% 11/1/40		87,011		94,785
4.50% 3/1/41		175,657		191,199
4.50% 4/1/41		138,496		150,874
4.50% 7/1/41		45,648		49,703
4.50% 11/1/41		93,028		101,225
4.50% 1/1/42		1,497,645		1,628,458
4.50% 12/1/43		16,063		17,438
4.50% 5/1/44		71,149		77,317
4.50% 6/1/44		106,983		116,401
5.00% 10/1/35		59,607		66,038
5.00% 11/1/35		17,702		19,621
5.00% 2/1/36		26,566		29,423
5.00% 4/1/37		16,091		17,787

5

Schedule of investments

Delaware Core Plus Bond Fund

	Principal amount°		Value (U.S. $)
Agency Mortgage-Backed Securities (continued)
Fannie Mae S.F. 30 yr
5.00% 8/1/37		4,759	$	5,275
5.00% 2/1/38		15,763		17,475
5.50% 12/1/32		3,290		3,701
5.50% 2/1/33		47,723		53,646
5.50% 4/1/34		17,889		20,108
5.50% 11/1/34		17,667		19,872
5.50% 12/1/34		374,881		421,440
5.50% 3/1/35		34,783		39,012
5.50% 5/1/35		30,526		34,281
5.50% 6/1/35		15,325		17,200
5.50% 12/1/35		17,884		20,042
5.50% 1/1/36		11,870		13,323
5.50% 4/1/36		321,464		359,391
5.50% 5/1/36		8,824		9,890
5.50% 7/1/36		5,045		5,666
5.50% 11/1/36		15,620		17,487
5.50% 1/1/37		64,374		72,029
5.50% 2/1/37		44,410		49,642
5.50% 4/1/37		131,308		146,861
5.50% 8/1/37		49,197		55,207
5.50% 1/1/38		1,478		1,651
5.50% 2/1/38		30,161		33,858
5.50% 6/1/38		142,892		159,668
5.50% 9/1/38		129,452		145,216
5.50% 12/1/38		575,570		647,206
5.50% 1/1/39		59,663		66,783
5.50% 7/1/40		48,834		54,630
5.50% 9/1/41		728,353		814,185
6.00% 6/1/36		5,999		6,812
6.00% 12/1/36		6,718		7,654
6.00% 2/1/37		20,463		23,203
6.00% 6/1/37		3,504		4,019
6.00% 7/1/37		3,627		4,122
6.00% 8/1/37		79,709		90,860
6.00% 9/1/37		6,859		7,780
6.00% 11/1/37		8,798		10,083
6.00% 5/1/38		8,080		9,159
6.00% 7/1/38		2,372		2,684
6.00% 9/1/38		16,784		19,015
6.00% 10/1/38		9,850		11,174
6.00% 9/1/39		190,613		215,980
6.00% 3/1/40		27,570		31,308

6

	Principal amount°		Value (U.S. $)
Agency Mortgage-Backed Securities (continued)
Fannie Mae S.F. 30 yr
6.00% 4/1/40		14,895	$	16,897
6.00% 9/1/40		25,536		28,977
6.00% 11/1/40		9,445		10,828
6.00% 5/1/41		178,573		203,008
8.00% 2/1/30		17,906		18,311
10.00% 7/1/20		3,615		4,065
10.00% 5/1/22		2,528		2,753
10.00% 2/1/25		49,457		54,471
Fannie Mae S.F. 30 yr TBA
3.00% 3/1/45		7,251,000		7,479,350
3.50% 3/1/45		1,021,000		1,076,142
4.00% 3/1/45		2,865,000		3,062,305
4.50% 3/1/45		1,189,000		1,288,904
5.50% 2/1/45		218,000		243,802
Freddie Mac ARM
2.249% 7/1/36 —		23,919		25,740
2.265% 10/1/36 —		46,051		49,058
Freddie Mac S.F. 15 yr
4.00% 12/1/24		28,450		30,223
4.00% 5/1/25		10,360		11,039
4.00% 8/1/25		37,596		40,059
4.00% 4/1/26		41,720		44,572
4.50% 8/1/24		56,084		60,656
4.50% 6/1/26		25,179		27,241
Freddie Mac S.F. 20 yr
3.00% 6/1/34		21,556		22,500
Freddie Mac S.F. 30 yr
3.00% 10/1/42		73,940		76,598
3.00% 11/1/42		98,760		102,610
4.50% 10/1/39		46,860		50,932
4.50% 4/1/41		210,792		229,206
4.50% 3/1/42		376,153		408,901
5.50% 3/1/34		6,827		7,667
5.50% 12/1/34		6,672		7,518
5.50% 6/1/36		4,330		4,850
5.50% 11/1/36		10,966		12,272
5.50% 9/1/37		10,114		11,312
5.50% 7/1/38		37,269		41,682
5.50% 8/1/38		23,264		26,008
5.50% 6/1/39		39,770		44,488
5.50% 3/1/40		23,707		26,519
5.50% 8/1/40		91,039		101,787

7

Schedule of investments

Delaware Core Plus Bond Fund

	Principal amount°		Value (U.S. $)
Agency Mortgage-Backed Securities (continued)
Freddie Mac S.F. 30 yr
5.50% 1/1/41		29,093	$	32,530
5.50% 6/1/41		172,439		192,724
6.00% 2/1/36		14,973		17,083
6.00% 1/1/38		9,739		10,986
6.00% 6/1/38		27,090		30,616
6.00% 8/1/38		153,822		174,580
6.00% 5/1/40		11,528		13,029
8.00% 5/1/31		49,978		57,755
10.00% 1/1/19		3,952		4,304
11.50% 6/1/15		47		47
11.50% 8/1/15		124		125
11.50% 2/1/16		378		383
11.50% 3/1/16		175		176
Freddie Mac S.F. 30 yr TBA
6.00% 2/1/45		65,000		73,460
GNMA I S.F. 30 yr
5.00% 6/15/40		14,139		15,657
7.50% 1/15/32		8,387		10,578
8.00% 5/15/30		12,219		12,509
9.50% 10/15/19		2,201		2,213
9.50% 8/15/21		6,354		7,410
9.50% 3/15/23		7,637		8,736
10.00% 9/15/18		4,800		4,828
12.00% 6/15/15		595		597
12.50% 1/15/16		2,039		2,052
GNMA II S.F. 30 yr
7.50% 9/20/30		12,051		14,766
8.00% 6/20/30		6,875		8,701
10.00% 11/20/15		33		34
10.00% 6/20/20		2,317		2,589
10.00% 8/20/20		1,398		1,578
10.00% 1/20/21		2,158		2,460
10.00% 2/20/21		6,452		7,116
10.00% 5/20/21		2,813		3,196
10.00% 6/20/21		423		439
10.50% 3/20/16		143		145
10.50% 1/20/18		185		186
10.50% 12/20/18		241		264
10.50% 2/20/19		96		96
10.50% 6/20/19		177		184
10.50% 9/20/19		269		302
10.50% 5/20/20		4,466		4,551

8

	Principal amount°		Value (U.S. $)
Agency Mortgage-Backed Securities (continued)
GNMA II S.F. 30 yr
10.50% 8/20/20		384	$	386
10.50% 10/20/20		3,655		4,060
10.50% 2/20/21		15,467		15,561
11.00% 5/20/15		39		39
11.00% 7/20/19		335		338
12.00% 5/20/15		11		11
Total Agency Mortgage-Backed Securities (cost $28,116,250)				28,431,461
Agency Obligation – 0.11%
Tennessee Valley Authority
2.875% 9/15/24		130,000		137,860
Total Agency Obligation (cost $128,622)				137,860
Commercial Mortgage-Backed Securities – 5.22%
Banc of America Commercial Mortgage Trust
Series 2006-1 AM 5.421% 9/10/45 —		30,000		31,004
Series 2007-4 AM 5.821% 2/10/51 —		80,000		87,399
CD Commercial Mortgage Trust
Series 2005-CD1 AM 5.226% 7/15/44 —		85,000		87,066
Series 2005-CD1 C 5.226% 7/15/44 —		30,000		30,553
Citigroup Commercial Mortgage Trust
Series 2014-GC25 A4 3.635% 10/10/47		120,000		129,165
Series 2015-GC27 A5 3.137% 2/10/48		130,000		133,895
Commercial Mortgage Trust
Series 2014-CR19 A5 3.796% 8/10/47		215,000		234,633
Series 2014-CR20 A4 3.59% 11/10/47		170,000		182,636
Series 2014-CR20 AM 3.938% 11/10/47		45,000		48,300
Series 2014-CR21 A3 3.528% 12/10/47		100,000		106,921
Series 2015-LC19 A4 3.183% 2/10/48		185,000		191,620
DB-UBS Mortgage Trust
Series 2011-LC1A A3 144A 5.002% 11/10/46 #		200,000		229,849
Series 2011-LC1A C 144A 5.557% 11/10/46 #—		145,000		166,241
FREMF Mortgage Trust
Series 2011-K10 B 144A 4.615% 11/25/49 #—		210,000		230,539
Series 2011-K13 B 144A 4.60% 1/25/48 #—		100,000		109,691
Series 2011-K15 B 144A 4.931% 8/25/44 #—		75,000		83,957
Series 2011-K702 B 144A 4.77% 4/25/44 #—		25,000		26,811
Series 2011-K703 B 144A 4.884% 7/25/44 #—		85,000		91,613
Series 2012-K19 B 144A 4.036% 5/25/45 #—		20,000		21,377
Series 2012-K22 B 144A 3.686% 8/25/45 #—		85,000		88,463
Series 2012-K22 C 144A 3.686% 8/25/45 #—		70,000		71,527

9

Schedule of investments

Delaware Core Plus Bond Fund

	Principal amount°		Value (U.S. $)
Commercial Mortgage-Backed Securities (continued)
FREMF Mortgage Trust
Series 2012-K707 B 144A 3.883% 1/25/47 #—		35,000	$	36,716
Series 2012-K708 B 144A 3.759% 2/25/45 #—		240,000		250,656
Series 2012-K708 C 144A 3.759% 2/25/45 #—		25,000		25,727
Series 2012-K711 B 144A 3.562% 8/25/45 #—		15,000		15,584
Series 2013-K26 C 144A 3.60% 12/25/45 #—		45,000		45,075
Series 2013-K31 C 144A 3.627% 7/25/46 #—		140,000		140,741
Series 2013-K33 B 144A 3.503% 8/25/46 #—		65,000		66,723
Series 2013-K33 C 144A 3.503% 8/25/46 #—		50,000		48,828
Series 2013-K712 B 144A 3.368% 5/25/45 #—		300,000		308,748
Series 2013-K713 B 144A 3.165% 4/25/46 #—		290,000		295,784
Series 2013-K713 C 144A 3.165% 4/25/46 #—		115,000		114,295
Series 2014-K716 B 144A 3.954% 8/25/47 #—		55,000		57,521
Series 2014-K716 C 144A 3.954% 8/25/47 #—		60,000		61,655
Goldman Sachs Mortgage Securities Trust
Series 2010-C1 A2 144A 4.592% 8/10/43 #		245,000		275,838
Series 2010-C1 C 144A 5.635% 8/10/43 #—		150,000		166,826
GRACE Mortgage Trust
Series 2014-GRCE A 144A 3.369% 6/10/28 #		300,000		319,286
Hilton USA Trust
Series 2013-HLT AFX 144A 2.662% 11/5/30 #		350,000		352,069
Series 2013-HLT BFX 144A 3.367% 11/5/30 #		115,000		116,934
JPMBB Commercial Mortgage Securities Trust
Series 2014-C18 A1 1.254% 2/15/47		150,892		151,012
Series 2014-C22 B 4.562% 9/15/47 —		35,000		38,434
JPMorgan Chase Commercial Mortgage Securities Trust
Series 2005-CB11 E 5.548% 8/12/37 —		35,000		38,487
Series 2005-LDP5 D 5.383% 12/15/44 —		60,000		61,569
Series 2006-LDP8 AM 5.44% 5/15/45		100,000		106,006
Series 2011-C5 B 144A 5.323% 8/15/46 #—		100,000		116,050
Lehman Brothers-UBS Commercial Mortgage Trust
Series 2004-C1 A4 4.568% 1/15/31		13,214		13,408
Series 2006-C6 AJ 5.452% 9/15/39 —		115,000		120,971
Series 2006-C6 AM 5.413% 9/15/39		100,000		106,201
Morgan Stanley Bank of America Merrill Lynch Trust
Series 2014-C18 A4 3.923% 10/15/47		50,000		55,210
Series 2014-C19 AS 3.832% 12/15/47		30,000		31,972
Morgan Stanley Capital I Trust
Series 2005-HQ7 AJ 5.201% 11/14/42 —		85,000		86,794
Series 2005-HQ7 C 5.201% 11/14/42 —		120,000		121,026
Series 2006-T21 AM 5.204% 10/12/52 —		75,000		77,349
TimberStar Trust I
Series 2006-1A A 144A 5.668% 10/15/36 #		110,000		116,915

10

	Principal amount°		Value (U.S. $)
Commercial Mortgage-Backed Securities (continued)
WF-RBS Commercial Mortgage Trust
Series 2014-C23 A5 3.917% 10/15/57		60,000	$	66,187
Total Commercial Mortgage-Backed Securities (cost $6,291,621)				6,389,857
Convertible Bonds – 0.44%
Alaska Communications Systems Group 6.25% exercise price $10.28, expiration date 4/27/18		24,000		22,830
Ares Capital 5.75% exercise price $19.13, expiration date 2/1/16		20,000		20,675
BGC Partners 4.50% exercise price $9.84, expiration date 7/13/16		25,000		26,297
Blucora 4.25% exercise price $21.66, expiration date 3/29/19		5,000		4,691
Chesapeake Energy 2.50% exercise price $47.77, expiration date 5/15/37		11,000		10,725
Ciena 144A 3.75% exercise price $20.17, expiration date 10/15/18 #		14,000		16,765
General Cable 4.50% exercise price $34.47, expiration date 11/15/29 f		28,000		17,797
Gilead Sciences 1.625% exercise price $22.71, expiration date 4/29/16		7,000		32,235
Helix Energy Solutions Group 3.25% exercise price $25.02, expiration date 3/12/32		9,000		9,664
Hologic 2.00% exercise price $31.17, expiration date 2/27/42 f		19,000		22,574
Illumina 0.25% exercise price $83.55, expiration date 3/11/16		11,000		25,706
Intel 3.25% exercise price $21.71, expiration date 8/1/39		19,000		30,923
Jefferies Group 3.875% exercise price $45.06, expiration date 10/31/29		32,000		33,040
Lexington Realty Trust 144A 6.00% exercise price $6.60, expiration date 1/11/30 #		10,000		16,819
Liberty Interactive 0.75% exercise price $1,000.00, expiration date 3/30/43		23,000		30,015
Meritor 4.00% exercise price $26.73, expiration date 2/12/27 f		39,000		40,706
Mylan 3.75% exercise price $13.32, expiration date 9/15/15		6,000		23,914
Nuance Communications 2.75% exercise price $32.30, expiration date 11/1/31		27,000		26,781
NuVasive 2.75% exercise price $42.13, expiration date 6/30/17		44,000		55,413
Peabody Energy 4.75% exercise price $57.62, expiration date 12/15/41		19,000		9,120

11

Schedule of investments

Delaware Core Plus Bond Fund

		Principal amount°		Value (U.S. $)
Convertible Bonds (continued)
SanDisk 1.50% exercise price $51.36, expiration date 8/11/17			17,000	$	26,424
Titan Machinery 3.75% exercise price $43.17, expiration date 4/30/19			26,000		18,850
Vector Group 2.50% exercise price $16.78, expiration date 1/14/19 —			8,000		11,382
Total Convertible Bonds (cost $465,684)					533,346
Corporate Bonds – 43.01%
Banking – 5.82%
Bank of America 4.25% 10/22/26			390,000		405,533
Barclays 2.75% 11/8/19			200,000		204,328
Barclays Bank 7.625% 11/21/22			200,000		223,500
BB&T 5.25% 11/1/19			377,000		428,309
BBVA Banco Continental 144A 5.00% 8/26/22 #			60,000		63,900
BBVA Bancomer 144A 7.25% 4/22/20 #			100,000		112,990
Branch Banking & Trust 3.80% 10/30/26			250,000		268,531
City National 5.25% 9/15/20			110,000		127,679
Cooperatieve Centrale Raiffeisen-Boerenleenbank 4.625% 12/1/23			250,000		274,077
Credit Suisse 144A 6.50% 8/8/23 #			250,000		278,297
Export-Import Bank of China 144A 2.50% 7/31/19 #			200,000		202,796
Goldman Sachs Group
5.20% 12/17/19	NZD		43,000		31,990
6.15% 4/1/18			295,000		333,513
HSBC Holdings 5.625% 12/29/49 —			200,000		203,000
JPMorgan Chase
3.125% 1/23/25			45,000		45,417
4.125% 12/15/26			600,000		624,015
6.75% 1/29/49 —			95,000		102,095
KeyBank 5.45% 3/3/16			250,000		262,550
Lloyds Banking Group 7.50% 4/30/49 —			200,000		205,000
Morgan Stanley
2.65% 1/27/20			85,000		86,407
4.35% 9/8/26			275,000		288,160
Northern Trust 3.95% 10/30/25			80,000		87,126
Oversea-Chinese Banking 144A 4.00% 10/15/24 #—			200,000		207,526
PNC Bank 3.30% 10/30/24			250,000		264,207
PNC Preferred Funding Trust II 144A 1.463% 3/29/49 #—			300,000		283,500
Santander UK 144A 5.00% 11/7/23 #			225,000		243,469
USB Capital IX 3.50% 10/29/49 —			705,000		586,031
USB Realty 144A 1.40% 12/29/49 #—			100,000		91,651
Wells Fargo 5.875% 12/29/49 —			50,000		52,375

12

	Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
Banking (continued)
Woori Bank
144A 2.875% 10/2/18 #		200,000	$	205,370
144A 4.75% 4/30/24 #		200,000		216,641
Zions Bancorp 4.50% 6/13/23		105,000		113,183
				7,123,166
Basic Industry – 3.79%
ArcelorMittal 10.60% 6/1/19		330,000		395,670
Braskem Finance 6.45% 2/3/24		200,000		195,500
Celanese U.S. Holdings 4.625% 11/15/22		70,000		70,175
CF Industries
5.15% 3/15/34		50,000		56,761
5.375% 3/15/44		160,000		184,431
6.875% 5/1/18		210,000		240,455
7.125% 5/1/20		275,000		333,544
Dow Chemical
3.50% 10/1/24		55,000		56,672
8.55% 5/15/19		479,000		603,783
Eastman Chemical 2.70% 1/15/20		105,000		107,521
FMG Resources August 2006 144A 6.875% 4/1/22 #		160,000		126,200
Freeport-McMoRan 4.55% 11/14/24		55,000		50,364
Georgia-Pacific
144A 2.539% 11/15/19 #		165,000		168,323
144A 3.60% 3/1/25 #		200,000		207,139
8.00% 1/15/24		100,000		135,926
Gerdau Holdings 144A 7.00% 1/20/20 #		100,000		108,500
International Paper 4.80% 6/15/44		20,000		21,922
INVISTA Finance 144A 4.25% 10/15/19 #		120,000		120,450
LyondellBasell Industries 5.75% 4/15/24		400,000		473,876
Methanex 4.25% 12/1/24		160,000		160,826
Office Cherifien 144A 5.625% 4/25/24 #		200,000		218,774
Plains Exploration & Production 6.50% 11/15/20		86,000		90,988
PPG Industries 2.30% 11/15/19		85,000		86,496
Rock-Tenn 3.50% 3/1/20		90,000		93,452
Rockwood Specialties Group 4.625% 10/15/20		85,000		88,719
Weyerhaeuser 4.625% 9/15/23		130,000		144,835
Yamana Gold 4.95% 7/15/24		95,000		96,397
				4,637,699
Brokerage – 0.67%
Jefferies Group
5.125% 1/20/23		285,000		294,980
6.45% 6/8/27		60,000		64,234
6.50% 1/20/43		50,000		51,637

13

Schedule of investments

Delaware Core Plus Bond Fund

	Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
Brokerage (continued)
Lazard Group 6.85% 6/15/17		366,000	$	408,802
				819,653
Capital Goods – 0.65%
Algeco Scotsman Global Finance 144A 8.50% 10/15/18 #		325,000		320,125
Cemex 144A 9.50% 6/15/18 #		200,000		218,000
Crane
2.75% 12/15/18		35,000		35,913
4.45% 12/15/23		135,000		147,569
Ingersoll-Rand Global Holding 4.25% 6/15/23		55,000		59,734
Parker-Hannifin 3.30% 11/21/24		10,000		10,659
				792,000
Communications – 7.10%
American Tower Trust I
144A 1.551% 3/15/43 #		85,000		84,678
144A 3.07% 3/15/23 #		210,000		214,696
AT&T 4.80% 6/15/44		305,000		326,533
Bharti Airtel International Netherlands 144A 5.35% 5/20/24 #		200,000		226,694
British Sky Broadcasting Group 144A 3.75% 9/16/24 #		400,000		419,276
CC Holdings GS V 3.849% 4/15/23		100,000		102,791
CenturyLink 5.80% 3/15/22		265,000		280,237
Columbus International 144A 7.375% 3/30/21 #		200,000		206,500
Comcast
3.375% 2/15/25		370,000		392,332
4.75% 3/1/44		35,000		42,393
Cox Communications
144A 3.85% 2/1/25 #		235,000		245,388
144A 4.80% 2/1/35 #		15,000		16,546
Crown Castle Towers 144A 4.883% 8/15/20 #		505,000		561,093
Digicel Group 144A 8.25% 9/30/20 #		200,000		195,600
DIRECTV Holdings 3.95% 1/15/25		255,000		268,176
DISH DBS 5.00% 3/15/23		655,000		645,175
Grupo Televisa 5.00% 5/13/45		200,000		213,056
Historic TW 6.875% 6/15/18		220,000		256,807
Intelsat Luxembourg 8.125% 6/1/23		470,000		477,050
Omnicom Group 3.65% 11/1/24		260,000		272,452
Orange 5.50% 2/6/44		145,000		182,120
SBA Tower Trust 144A 2.24% 4/16/18 #		160,000		159,970
SES GLOBAL Americas Holdings 144A 5.30% 3/25/44 #		430,000		519,297
Sprint 7.125% 6/15/24		160,000		156,400
Telefonica Emisiones 4.57% 4/27/23		250,000		281,153
Telemar Norte Leste 144A 5.50% 10/23/20 #		100,000		90,250

14

	Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
Communications (continued)
Time Warner Cable
4.50% 9/15/42		55,000	$	58,893
8.25% 4/1/19		335,000		415,082
Verizon Communications
3.00% 11/1/21		365,000		370,878
4.40% 11/1/34		170,000		180,517
5.15% 9/15/23		235,000		269,644
Viacom 4.85% 12/15/34		415,000		444,734
WPP Finance 2010 5.625% 11/15/43		95,000		117,655
				8,694,066
Consumer Cyclical – 3.55%
Alibaba Group Holding 144A 3.125% 11/28/21 #		400,000		405,486
Amazon.com 4.80% 12/5/34		95,000		105,972
Bed Bath & Beyond 4.915% 8/1/34		125,000		134,476
CDK Global 144A 4.50% 10/15/24 #		115,000		120,923
Delphi 4.15% 3/15/24		100,000		107,806
Expedia 4.50% 8/15/24		55,000		57,141
Ford Motor Credit 3.664% 9/8/24		330,000		342,293
General Motors
3.50% 10/2/18		115,000		118,450
5.00% 4/1/35		90,000		97,412
General Motors Financial
3.15% 1/15/20		55,000		55,804
4.00% 1/15/25		55,000		56,314
4.375% 9/25/21		90,000		95,513
Host Hotels & Resorts
3.75% 10/15/23		230,000		236,641
4.75% 3/1/23		175,000		190,306
5.875% 6/15/19		75,000		78,617
Hyundai Capital America 144A 2.125% 10/2/17 #		130,000		131,041
International Game Technology 5.35% 10/15/23		170,000		173,884
Magna International 3.625% 6/15/24		165,000		172,774
Marriott International 3.375% 10/15/20		100,000		105,388
QVC
4.375% 3/15/23		270,000		278,656
5.45% 8/15/34		130,000		132,779
Signet UK Finance 4.70% 6/15/24		155,000		160,887
Starwood Hotels & Resorts Worldwide
3.75% 3/15/25		85,000		89,078
4.50% 10/1/34		50,000		54,086
Target 2.30% 6/26/19		50,000		51,562
TRW Automotive 144A 4.45% 12/1/23 #		270,000		272,700

15

Schedule of investments

Delaware Core Plus Bond Fund

	Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
Consumer Cyclical (continued)
Tupy Overseas 144A 6.625% 7/17/24 #		200,000	$	184,500
Walgreens Boots Alliance 3.80% 11/18/24		125,000		132,447
Wyndham Worldwide
4.25% 3/1/22		100,000		105,486
5.625% 3/1/21		90,000		102,995
				4,351,417
Consumer Non-Cyclical – 3.22%
Amgen 3.625% 5/22/24		45,000		47,619
Becton Dickinson 3.734% 12/15/24		145,000		154,775
Boston Scientific 6.00% 1/15/20		240,000		276,487
BRF 144A 3.95% 5/22/23 #		255,000		244,723
CareFusion 6.375% 8/1/19		185,000		217,865
Celgene
3.95% 10/15/20		245,000		266,104
4.625% 5/15/44		35,000		39,100
Constellation Brands 4.25% 5/1/23		75,000		77,063
Express Scripts Holding
2.25% 6/15/19		95,000		96,001
3.50% 6/15/24		205,000		212,635
Gilead Sciences
3.50% 2/1/25		85,000		91,354
4.50% 2/1/45		25,000		28,836
JBS Investments 144A 7.75% 10/28/20 #		200,000		206,940
McKesson 3.796% 3/15/24		230,000		246,667
Medtronic
144A 3.15% 3/15/22 #		85,000		89,212
144A 3.50% 3/15/25 #		170,000		180,196
144A 4.375% 3/15/35 #		90,000		100,189
Omnicare 5.00% 12/1/24		555,000		579,975
Perrigo 4.00% 11/15/23		200,000		212,559
Perrigo Finance 3.50% 12/15/21		200,000		209,655
Sysco 4.35% 10/2/34		65,000		71,036
Thermo Fisher Scientific
2.40% 2/1/19		250,000		255,206
3.30% 2/15/22		35,000		36,417
				3,940,614
Electric – 4.83%
AES 7.375% 7/1/21		135,000		150,187
AES Gener 144A 8.375% 12/18/73 #•		200,000		217,000
Ameren Illinois
3.25% 3/1/25		110,000		117,007
9.75% 11/15/18		389,000		502,624

16

	Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
Electric (continued)
American Electric Power 2.95% 12/15/22		45,000	$	45,905
American Transmission Systems 144A 5.25% 1/15/22 #		100,000		114,976
Berkshire Hathaway Energy 144A 4.50% 2/1/45 #		75,000		85,649
Cleveland Electric Illuminating 5.50% 8/15/24		230,000		282,179
CMS Energy 6.25% 2/1/20		190,000		224,418
ComEd Financing III 6.35% 3/15/33		190,000		196,243
Dominion Resources 3.625% 12/1/24		115,000		121,781
DTE Energy 2.40% 12/1/19		125,000		127,829
Dynegy Finance I 144A 7.625% 11/1/24 #		535,000		551,719
Electricite de France 144A 5.25% 1/29/49 #—		225,000		236,813
Enel 144A 8.75% 9/24/73 #—		200,000		237,950
Entergy Arkansas 3.70% 6/1/24		45,000		49,252
Exelon Generation 2.95% 1/15/20		50,000		50,909
Great Plains Energy 5.292% 6/15/22		90,000		105,124
Integrys Energy Group 6.11% 12/1/66 —		195,000		196,156
ITC Holdings 3.65% 6/15/24		145,000		154,538
LG&E & KU Energy 4.375% 10/1/21		380,000		420,827
Metropolitan Edison 144A 4.00% 4/15/25 #		50,000		52,761
National Rural Utilities Cooperative Finance
2.85% 1/27/25		90,000		92,010
4.75% 4/30/43 —		190,000		189,145
NextEra Energy Capital Holdings
2.40% 9/15/19		140,000		143,068
3.625% 6/15/23		65,000		68,503
NV Energy 6.25% 11/15/20		100,000		119,786
Pennsylvania Electric 5.20% 4/1/20		175,000		196,769
Puget Energy 6.00% 9/1/21		65,000		77,804
SCANA 4.125% 2/1/22		85,000		91,438
State Grid Overseas Investment 2014 144A 4.125% 5/7/24 #		200,000		218,833
Trans-Allegheny Interstate Line 144A 3.85% 6/1/25 #		115,000		122,626
Transelec 144A 4.25% 1/14/25 #		200,000		203,776
Wisconsin Energy 6.25% 5/15/67 —		150,000		150,826
				5,916,431
Energy – 5.80%
Anadarko Petroleum 3.45% 7/15/24		95,000		96,581
Canadian Natural Resources 3.90% 2/1/25		130,000		128,995
Cimarex Energy 4.375% 6/1/24		70,000		66,653
CNOOC Nexen Finance 2014 4.25% 4/30/24		200,000		215,768
ConocoPhillips
3.35% 11/15/24		135,000		141,178
4.30% 11/15/44		55,000		60,236

17

Schedule of investments

Delaware Core Plus Bond Fund

	Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
Energy (continued)
Continental Resources 4.50% 4/15/23		320,000	$	303,246
Dominion Gas Holdings 3.60% 12/15/24		160,000		170,328
Enbridge Energy Partners 8.05% 10/1/37 —		245,000		268,887
Energy Transfer Partners
5.15% 2/1/43		55,000		57,744
5.95% 10/1/43		140,000		161,121
9.70% 3/15/19		127,000		161,485
EnLink Midstream Partners 5.05% 4/1/45		75,000		76,801
Enterprise Products Operating 7.034% 1/15/68 —		405,000		441,745
Kinder Morgan 144A 5.00% 2/15/21 #		65,000		69,327
Kinder Morgan Energy Partners 9.00% 2/1/19		415,000		508,605
Marathon Petroleum 4.75% 9/15/44		100,000		98,577
Newfield Exploration 5.625% 7/1/24		175,000		173,687
Noble Energy
3.90% 11/15/24		80,000		80,941
5.05% 11/15/44		90,000		91,945
ONGC Videsh 3.25% 7/15/19		200,000		203,406
Pacific Rubiales Energy
144A 5.375% 1/26/19 #		100,000		66,000
144A 5.625% 1/19/25 #		113,000		64,693
Petrobras Global Finance
3.00% 1/15/19		5,000		4,281
4.875% 3/17/20		115,000		101,775
Petrobras International Finance 5.375% 1/27/21		135,000		121,964
Petroleos Mexicanos 144A 4.25% 1/15/25 #		50,000		49,365
Plains All American Pipeline 8.75% 5/1/19		195,000		245,484
Pride International 6.875% 8/15/20		475,000		537,962
QEP Resources 5.375% 10/1/22		645,000		619,200
Statoil 3.25% 11/10/24		155,000		163,164
Sunoco Logistics Partners Operations
3.45% 1/15/23		165,000		163,362
5.35% 5/15/45		25,000		26,810
Talisman Energy 5.50% 5/15/42		260,000		258,501
TransCanada PipeLines 6.35% 5/15/67 —		290,000		280,575
Williams 4.55% 6/24/24		90,000		83,699
Williams Partners 7.25% 2/1/17		535,000		589,627
Woodside Finance 144A 8.75% 3/1/19 #		115,000		143,406
				7,097,124
Finance Companies – 0.82%
Aviation Capital Group 144A 6.75% 4/6/21 #		90,000		101,700
General Electric Capital
2.10% 12/11/19		65,000		66,461

18

	Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
Finance Companies (continued)
General Electric Capital
2.20% 1/9/20		65,000	$	66,289
7.125% 12/29/49 —		400,000		467,000
Hutchison Whampoa International 14 144A 3.625% 10/31/24 #		200,000		206,472
SUAM Finance 144A 4.875% 4/17/24 #		100,000		101,711
				1,009,633
Insurance – 1.99%
Allstate 5.75% 8/15/53 —		25,000		26,625
American International Group
3.875% 1/15/35		120,000		123,446
8.175% 5/15/58 —		200,000		275,000
Chubb 6.375% 3/29/67 —		205,000		220,887
Five Corners Funding Trust 144A 4.419% 11/15/23 #		100,000		109,507
Highmark
144A 4.75% 5/15/21 #		200,000		212,704
144A 6.125% 5/15/41 #		30,000		33,900
Liberty Mutual Group 144A 4.25% 6/15/23 #		200,000		214,545
MetLife 3.60% 4/10/24		125,000		133,625
Prudential Financial
4.50% 11/15/20		50,000		55,902
5.625% 6/15/43 —		95,000		99,275
5.875% 9/15/42 —		245,000		261,537
TIAA Asset Management Finance
144A 2.95% 11/1/19 #		95,000		97,600
144A 4.125% 11/1/24 #		190,000		204,033
Voya Financial 5.65% 5/15/53 —		220,000		222,200
XL Group 6.50% 10/29/49 —		160,000		144,400
				2,435,186
REITs – 1.97%
Alexandria Real Estate Equities
3.90% 6/15/23		30,000		31,176
4.50% 7/30/29		60,000		64,762
AvalonBay Communities 3.50% 11/15/24		80,000		83,264
Brixmor Operating Partnership 3.85% 2/1/25		100,000		102,582
Carey (W.P.) 4.60% 4/1/24		90,000		95,786
CBL & Associates
4.60% 10/15/24		185,000		194,185
5.25% 12/1/23		20,000		22,214
Corporate Office Properties
3.60% 5/15/23		150,000		148,990
5.25% 2/15/24		85,000		94,101

19

Schedule of investments

Delaware Core Plus Bond Fund

	Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
REITs (continued)
DDR
3.625% 2/1/25		80,000	$	81,187
7.875% 9/1/20		90,000		113,017
9.625% 3/15/16		150,000		164,187
Education Realty Operating Partnership 4.60% 12/1/24		115,000		122,376
Excel Trust 4.625% 5/15/24		65,000		69,504
Healthcare Trust of America Holdings 3.375% 7/15/21		55,000		56,765
Hospitality Properties Trust 4.50% 3/15/25		100,000		105,059
Regency Centers
4.80% 4/15/21		55,000		61,530
5.875% 6/15/17		95,000		104,627
Trust F/1401 144A 5.25% 12/15/24 #		200,000		211,200
WEA Finance 144A 3.75% 9/17/24 #		460,000		484,362
				2,410,874
Technology – 1.93%
Adobe Systems 3.25% 2/1/25		185,000		188,343
Baidu 3.25% 8/6/18		245,000		251,668
BMC Software Finance 144A 8.125% 7/15/21 #		140,000		123,025
Ingram Micro 4.95% 12/15/24		90,000		93,100
Motorola Solutions 4.00% 9/1/24		150,000		157,243
National Semiconductor 6.60% 6/15/17		255,000		287,985
NetApp 3.25% 12/15/22		45,000		45,854
Oracle
3.40% 7/8/24		105,000		112,134
4.50% 7/8/44		75,000		87,958
Samsung Electronics America 144A 1.75% 4/10/17 #		200,000		202,008
Seagate HDD Cayman
144A 4.75% 1/1/25 #		105,000		111,302
144A 5.75% 12/1/34 #		135,000		147,432
Xerox 6.35% 5/15/18		490,000		558,381
				2,366,433
Transportation – 0.78%
American Airlines 2014-1 Class A Pass Through Trust 3.70% 10/1/26 ¨		55,000		55,413
AP Moeller - Maersk 144A 2.55% 9/22/19 #		65,000		66,150
Brambles USA 144A 3.95% 4/1/15 #		80,000		80,377
Burlington Northern Santa Fe 3.40% 9/1/24		220,000		231,702
ERAC USA Finance 144A 5.25% 10/1/20 #		220,000		253,846
Trinity Industries 4.55% 10/1/24		115,000		114,287
United Airlines 2014-1 Class A Pass Through Trust 4.00% 4/11/26 ¨		45,000		46,913

20

	Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
Transportation (continued)
United Airlines 2014-2 Class A Pass Through Trust 3.75% 9/3/26 ¨		100,000	$	100,000
				948,688
Utilities – 0.09%
American Water Capital 3.40% 3/1/25		100,000		106,232
				106,232
Total Corporate Bonds (cost $51,166,811)				52,649,216
Municipal Bonds – 0.44%
Golden State, California Tobacco Securitization Settlement Revenue (Asset-Backed Senior Notes) Series A-1
5.125% 6/1/47		80,000		65,117
5.75% 6/1/47		30,000		26,679
New Jersey Transportation Trust Fund Authority
Series AA 5.00% 6/15/44		130,000		143,152
New York City, New York
Series I 5.00% 8/1/22		50,000		61,291
New York State Thruway Authority Revenue
Series A 5.00% 5/1/19		60,000		69,439
State of Maryland Local Facilities Loan 2nd
Series A 5.00% 8/1/21		85,000		105,008
Texas Private Activity Bond Surface Transportation Revenue Bond (Senior Lien NTC Mobility Partners Segments 3)
6.75% 6/30/43 (AMT)		55,000		68,017
Total Municipal Bonds (cost $478,579)				538,703
Non-Agency Asset-Backed Securities – 3.65%
AEP Texas Central Transition Funding II
Series 2006-A A4 5.17% 1/1/18		100,000		107,007
Ally Master Owner Trust
Series 2013-1 A2 1.00% 2/15/18		100,000		100,223
Series 2013-2 A 0.617% 4/15/18 —		200,000		199,878
Series 2014-2 A 0.537% 1/16/18 —		280,000		279,729
American Express Credit Account Master Trust
Series 2013-2 A 0.587% 5/17/21 —		100,000		100,259
Series 2014-3 A 1.49% 4/15/20		100,000		100,859
Avis Budget Rental Car Funding AESOP
Series 2011-3A A 144A 3.41% 11/20/17 #		100,000		103,617
Series 2013-1A A 144A 1.92% 9/20/19 #		120,000		120,206
Series 2014-1A A 144A 2.46% 7/20/20 #		200,000		202,827

21

Schedule of investments

Delaware Core Plus Bond Fund

	Principal amount°		Value (U.S. $)
Non-Agency Asset-Backed Securities (continued)
BA Credit Card Trust
Series 2014-A3 A 0.457% 1/15/20 —		85,000	$	84,936
Cabela’s Credit Card Master Note Trust
Series 2013-1A A 144A 2.71% 2/17/26 #		100,000		102,458
California Republic Auto Receivables Trust
Series 2013-1 A2 144A 1.41% 9/17/18 #		52,327		52,590
Capital One Multi-Asset Execution Trust
Series 2007-A2 A2 0.247% 12/16/19 —		110,000		109,550
Series 2013-A2 A2 0.347% 2/15/19 —		440,000		440,040
Series 2014-A4 A 0.527% 6/15/22 —		120,000		120,151
Chase Issuance Trust
Series 2013-A6 A6 0.587% 7/15/20 —		150,000		150,422
Series 2014-A5 A5 0.537% 4/15/21 —		125,000		124,623
Series 2014-A8 A 0.417% 11/15/18 —		105,000		105,016
Citibank Credit Card Issuance Trust
Series 2013-A4 A4 0.588% 7/24/20 —		100,000		100,199
Dell Equipment Finance Trust
Series 2014-1 A3 144A 0.94% 6/22/20 #		100,000		100,049
Discover Card Execution Note Trust
Series 2014-A3 A3 1.22% 10/15/19		200,000		200,788
Ford Credit Auto Owner Trust
Series 2014-C A3 1.06% 5/15/19		90,000		90,200
Series 2015-1 A 144A 2.12% 7/15/26 #		160,000		161,392
GE Dealer Floorplan Master Note Trust
Series 2014-2 A 0.618% 10/20/19 —		30,000		29,977
Golden Credit Card Trust
Series 2014-2A A 144A 0.617% 3/15/21 #—		400,000		399,014
GreatAmerica Leasing Receivables
Series 2014-1 A3 144A 0.89% 7/15/17 #		100,000		100,144
Hyundai Auto Lease Securitization Trust
Series 2014-A A4 144A 1.01% 9/15/17 #		125,000		125,406
MMAF Equipment Finance
Series 2014-AA A4 144A 1.59% 2/8/22 #		110,000		110,022
Synchrony Credit Card Master Note Trust
Series 2012-6 A 1.36% 8/17/20		100,000		100,134
Series 2014-1 A 1.61% 11/15/20		110,000		110,558
Trafigura Securitisation Finance
Series 2012-1A A 144A 2.567% 10/15/15 #—		160,000		160,575

22

	Principal amount°		Value (U.S. $)
Non-Agency Asset-Backed Securities (continued)
Volvo Financial Equipment
Series 2014-1A A3 144A 0.82% 4/16/18 #		80,000	$	80,042
Total Non-Agency Asset-Backed Securities (cost $4,471,707)				4,472,891
Non-Agency Collateralized Mortgage Obligations – 0.72%
American Home Mortgage Investment Trust
Series 2005-2 5A1 5.064% 9/25/35 f		7,482		7,381
Citicorp Residential Mortgage Trust
Series 2006-3 A5 5.948% 11/25/36 f		300,000		299,577
Credit Suisse First Boston Mortgage Securities
Series 2005-5 6A3 5.00% 7/25/35		109,572		109,791
GSMPS Mortgage Loan Trust
Series 1998-2 A 144A 7.574% 5/19/27 #—		54,439		55,169
JPMorgan Mortgage Trust
Series 2006-S1 1A1 6.00% 4/25/36		68,855		69,536
Series 2007-A1 7A4 2.517% 7/25/35 —		157,765		138,898
Sequoia Mortgage Trust
Series 2013-11 B1 144A 3.708% 9/25/43 #—		97,040		94,494
Structured Asset Securities Mortgage Pass Through Certificates
Series 2004-20 2A1 5.50% 11/25/34 ¨		39,109		39,924
Washington Mutual Alternative Mortgage Pass Through Certificates
Series 2005-1 5A2 6.00% 3/25/35 ¨		97,276		48,126
Wells Fargo Mortgage-Backed Securities Trust
Series 2006-AR5 2A1 2.615% 4/25/36 —		21,171		20,240
Total Non-Agency Collateralized Mortgage Obligations (cost $907,356)				883,136
Senior Secured Loans – 6.35%«
Activision Blizzard Tranche B 1st Lien 3.25% 10/11/20		292,388		292,368
ARAMARK Tranche E 3.25% 9/7/19		164,900		163,215
Azure Midstream Tranche B 6.50% 11/15/18		55,437		49,616
BJ’s Wholesale Club 2nd Lien 8.50% 3/31/20		160,000		157,633
BJ’s Wholesale Club Tranche B 1st Lien 4.50% 9/26/19		316,377		312,592
Chrysler Group Tranche B 1st Lien 3.50% 5/24/17		166,972		166,462
Clear Channel Communications Tranche B 3.65% 1/29/16		224,653		222,026
DaVita Healthcare Partners Tranche B 3.50% 6/24/21		567,150		565,378
DrillShips Financing Holding Tranche B1 6.00% 3/31/21		167,450		130,527
Emdeon 1st Lien 3.75% 11/2/18		573,109		564,870
Energy Transfer Equity 1st Lien 3.25% 12/2/19		125,000		118,938
First Data Tranche B 1st Lien 4.00% 3/24/21		300,857		298,074
Hilton Worldwide Finance Tranche B2 3.50% 10/25/20		563,333		557,612
Houghton International 2nd Lien 9.50% 12/21/20		475,000		476,188

23

Schedule of investments

Delaware Core Plus Bond Fund

		Principal amount°		Value (U.S. $)
Senior Secured Loans« (continued)
IASIS Healthcare Tranche B 1st Lien 4.50% 5/3/18			204,241	$	204,156
Immucor Tranche B2 5.00% 8/19/18			489,666		486,810
Intelsat Jackson Holdings Tranche B2 3.75% 6/30/19			519,117		514,142
Landry’s Tranche B 4.00% 4/24/18			164,030		163,689
Level 3 Financing Tranche B 4.00% 1/15/20			250,000		248,094
Scientific Games International 6.00% 10/18/20			267,300		264,516
Smart & Final Tranche B 1st Lien 4.75% 11/15/19			160,029		159,729
Sprouts Farmers 4.00% 4/23/20			123,140		123,089
Univision Communications Tranche C4 4.00% 3/1/20			553,654		546,128
USI Insurance Services
Tranche B 1st Lien 4.25% 12/27/19			186,218		183,657
Valeant Pharmaceuticals International Tranche BE 3.50% 8/5/20			199,049		197,999
Vantage Drilling Tranche B 1st Lien 5.00% 10/25/17			144,495		105,843
Zayo Group Tranche B 1st Lien 4.00% 7/2/19			502,165		497,981
Total Senior Secured Loans (cost $7,866,547)					7,771,332
Sovereign Bonds – 1.08%D
Brazil – 0.15%
Brazil Notas do Tesouro Nacional Series F
10.00% 1/1/17	BRL		47,000		16,842
10.00% 1/1/21	BRL		232,000		79,577
10.00% 1/1/23	BRL		270,000		91,352
					187,771
Chile – 0.07%
Chile Government International Bond 5.50% 8/5/20	CLP		50,000,000		84,117
					84,117
Colombia – 0.14%
Colombia Government International Bond
4.375% 3/21/23	COP		50,000,000		18,918
7.375% 9/18/37			100,000		135,750
9.85% 6/28/27	COP		43,000,000		23,587
					178,255
Dominican Republic – 0.08%
Dominican Republic International Bond 144A 6.85% 1/27/45 #			100,000		101,500
					101,500
Hungary – 0.05%
Hungary Government International Bond 5.375% 3/25/24			50,000		57,100
					57,100
Indonesia – 0.20%
Indonesia Government International Bond 144A 4.625% 4/15/43 #			200,000		197,500

24

	Principal amount°			Value (U.S. $)
Sovereign BondsD (continued)
Indonesia (continued)
Indonesia Treasury Bond 7.875% 4/15/19		IDR	514,000,000	$	42,199
					239,699
Mexico – 0.16%
Mexican Bonos
7.50% 6/3/27		MXN	1,102,000		87,008
10.00% 12/5/24		MXN	1,219,000		110,949
					197,957
Peru – 0.04%
Peruvian Government International Bond 144A 5.70% 8/12/24 #		PEN	148,000		49,658
					49,658
South Africa – 0.12%
South Africa Government Bond
6.75% 3/31/21		ZAR	200,000		17,234
8.00% 1/31/30		ZAR	1,450,000		130,834
					148,068
Turkey – 0.07%
Turkey Government Bond 9.00% 7/24/24		TRY	175,000		81,227
					81,227
Total Sovereign Bonds (cost $1,346,799)					1,325,352
Supranational Banks – 0.21%
European Bank for Reconstruction & Development
6.00% 3/3/16		INR	2,600,000		42,226
7.375% 4/15/19		IDR	360,000,000		28,833
Inter-American Development Bank
6.00% 9/5/17		INR	3,900,000		64,471
7.20% 1/22/18		IDR	830,000,000		65,850
7.25% 7/17/17		IDR	360,000,000		28,352
International Bank for Reconstruction & Development 4.625% 10/6/21		NZD	40,000		30,678
Total Supranational Banks (cost $263,862)					260,410
U.S. Treasury Obligations – 10.26%
U.S. Treasury Bond
3.00% 11/15/44			4,095,000		4,752,439
U.S. Treasury Notes
1.25% 1/31/20			60,000		60,176
1.625% 12/31/19			3,985,000		4,069,370
2.25% 11/15/24 ¥			3,500,000		3,679,921
Total U.S. Treasury Obligations (cost $11,313,553)					12,561,906

25

Schedule of investments

Delaware Core Plus Bond Fund

	Number of Shares		Value (U.S. $)
Convertible Preferred Stock – 0.09%
ArcelorMittal 6.00% exercise price $20.36, expiration date 12/21/15		475	$	7,555
Bank of America 7.25% exercise price $50.00, expiration date 12/31/49		7		8,253
Chesapeake Energy 144A 5.75% exercise price $26.14, expiration date 12/31/49 #		16		16,270
Dominion Resources 6.125% exercise price $65.21, expiration date 4/1/16		180		10,845
HealthSouth 6.50% exercise price $29.70, expiration date 12/31/49		10		14,834
Intelsat 5.75% exercise price $22.05, expiration date 5/1/16		405		17,743
SandRidge Energy 8.50% exercise price $8.01, expiration date 12/31/49		280		11,533
Wells Fargo 7.50% exercise price $156.71, expiration date 12/31/49		14		17,402
Total Convertible Preferred Stock (cost $127,403)				104,435
Preferred Stock – 0.63%
Alabama Power 5.625%		3,715		93,154
Integrys Energy Group 6.00% —		4,400		120,384
National Retail Properties 5.70%		4,225		104,695
Public Storage 5.20%		4,400		107,624
Regions Financial 6.375% —		2,200		55,374
U.S. Bancorp 3.50% —		350		293,300
Total Preferred Stock (cost $717,835)				774,531
	Principal amount°
Short-Term Investments – 13.60%
Discount Notes – 8.97%≠
Federal Home Loan Bank
0.057% 4/8/15		1,042,558		1,042,497
0.065% 2/25/15		2,289,491		2,289,478
0.065% 3/5/15		2,638,811		2,638,771
0.065% 4/20/15		660,860		660,815
0.07% 4/6/15		1,010,171		1,010,115
0.08% 2/20/15		2,064,521		2,064,511
0.08% 3/18/15		494,224		494,214
0.085% 3/27/15		780,586		780,567
				10,980,968

26

	Principal amount°		Value (U.S. $)
Short-Term Investments (continued)
Repurchase Agreements – 4.63%
Bank of America Merrill Lynch
0.03%, dated 1/30/15, to be repurchased on 2/2/15, repurchase price $2,119,246 (collateralized by U.S. government obligations 0.000%–7.875% 2/26/15–8/15/40; market value $2,161,625)		2,119,240	$	2,119,240
Bank of Montreal
0.05%, dated 1/30/15, to be repurchased on 2/2/15, repurchase price $1,412,833 (collateralized by U.S. government obligations 0.75%–3.875% 6/30/16–8/15/40; market value $1,441,084)		1,412,827		1,412,827
BNP Paribas
0.06%, dated 1/30/15, to be repurchased on 2/2/15, repurchase price $2,131,564 (collateralized by U.S.government obligations 0.000%–2.125% 7/31/16–5/15/29; market value $2,174,184)		2,131,553		2,131,553
				5,663,620
Total Short-Term Investments (cost $16,644,029)				16,644,588
Total Value of Securities – 112.32% (cost $134,182,578)				$137,492,922

# Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. At Jan. 31, 2015, the aggregate value of Rule 144A securities was $20,084,872, which represents 16.41% of the Fund’s net assets. See Note 9 in “Notes to financial statements.”

¨ Pass Through Agreement. Security represents the contractual right to receive a proportionate amount of underlying payments due to the counterparty pursuant to various agreements related to the rescheduling of obligations and the exchange of certain notes.

≠ The rate shown is the effective yield at the time of purchase.

° Principal amount shown is stated in U.S. dollars unless noted that the security is denominated in another currency.

— Variable rate security. The rate shown is the rate as of Jan. 31, 2015. Interest rates reset periodically.

¥ Fully or partially pledged as collateral for futures contracts.

D Securities have been classified by country of origin.

S Interest only security. An interest only security is the interest only portion of a fixed income security which is separated and sold individually from the principal portion of the security.

« Senior secured loans generally pay interest at rates which are periodically redetermined by reference to a base lending rate plus a premium. These base lending rates are generally: (i) the prime rate offered by one or more U.S. banks, (ii) the lending rate offered by one or more European banks such as the London Inter-Bank Offered Rate (LIBOR), and (iii) the certificate of deposit rate. Senior secured loans may be subject to restrictions on resale. Stated rate in effect at Jan. 31, 2015.

27

Schedule of investments

Delaware Core Plus Bond Fund

f Step coupon bond. Coupon increases or decreases periodically based on a predetermined schedule. Stated rate in effect at Jan. 31, 2015.

The following foreign currency exchange contracts and futures contracts were outstanding at Jan. 31, 2015:¹

Foreign Currency Exchange Contracts

Counterparty	Contracts to Receive (Deliver)				In Exchange For				Settlement Date	Unrealized Appreciation (Depreciation)
GSC		TRY	108,750			USD	(45,156	)	2/2/15	$	(731	)
MSC		BRL	(242,786	)		USD	90,863		2/27/15		1,009
										$	278

Futures Contracts

Contracts to Buy (Sell)		Notional Cost (Proceeds)		Notional Value		Expiration Date	Unrealized Appreciation (Depreciation)
42	U.S. Treasury 5 yr Notes	$	5,024,989	$	5,096,438	3/31/15	$	71,449

The use of foreign currency exchange contracts and futures contracts involves elements of market risk and risks in excess of the amounts disclosed in the financial statements. The notional values and foreign currency exchange contracts presented above represent the Fund’s total exposure in such contracts, whereas only the net unrealized appreciation (depreciation) is reflected in the Fund’s net assets.

¹See Note 6 in “Notes to financial statements.”

Summary of abbreviations:

AMT – Subject to Alternative Minimum Tax

ARM – Adjustable Rate Mortgage

BRL – Brazilian Real

CLP – Chilean Peso

COP – Colombian Peso

DB – Deutsche Bank

GNMA – Government National Mortgage Association

GSC – Goldman Sachs Capital

GSMPS – Goldman Sachs Reperforming Mortgage Securities

HSBC – Hong Kong Shanghai Bank

IDR – Indonesian Rupiah

INR – Indian Rupee

MSC – Morgan Stanley Capital

MXN – Mexican Peso

NZD – New Zealand Dollar

PEN – Peruvian Nuevo Sol

REIT – Real Estate Investment Trust

28

Summary of abbreviations:

REMIC – Real Estate Mortgage Investment Conduit

S.F. – Single Family

TBA – To be announced

TRY – Turkish Lira

UBS – Union Bank of Switzerland

USD – U.S. Dollar

yr – Year

ZAR – South African Rand

See accompanying notes, which are an integral part of the financial statements.

29

Statement of assets and liabilities
Delaware Core Plus Bond Fund	January 31, 2015 (Unaudited)

Assets:
Investments, at value1	$	120,848,334
Short-term investments, at value2		16,644,588
Foreign currencies, at value3		4,403
Receivable for securities sold		22,711,843
Dividends and interest receivable		868,834
Receivable for fund shares sold		70,884
Variation margin due from broker on futures contracts		25,954
Unrealized gain on foreign currency exchange contracts		1,009
Total assets		161,175,849
Liabilities:
Payable for securities purchased		38,449,762
Other accrued expenses		97,239
Income distribution payable		80,103
Payable for fund shares redeemed		72,228
Distribution fees payable to affiliates		24,959
Investment management fees payable		16,786
Cash overdraft		14,782
Other affiliates payable		8,258
Unrealized loss on foreign currency exchange contracts		731
Trustees’ fees and expenses payable		431
Other liabilities		320
Total liabilities		38,765,599
Total Net Assets	$	122,410,250
Net Assets Consist of:
Paid-in capital	$	119,978,755
Distributions in excess of net investment income		(343,334	)
Accumulated net realized loss on investments		(605,669	)
Net unrealized appreciation of investments, foreign currencies, and derivatives		3,380,498
Total Net Assets	$	122,410,250

30

Net Asset Value
Class A:
Net assets	$	66,753,312
Shares of beneficial interest outstanding, unlimited authorization, no par		7,682,719
Net asset value per share	$	8.69
Sales charge		4.50	%
Offering price per share, equal to net asset value per share/(1 – sales charge)	$	9.10
Class C:
Net assets	$	9,102,360
Shares of beneficial interest outstanding, unlimited authorization, no par		1,046,336
Net asset value per share	$	8.70
Class R:
Net assets	$	7,339,104
Shares of beneficial interest outstanding, unlimited authorization, no par		841,839
Net asset value per share	$	8.72
Institutional Class:
Net assets	$	39,215,474
Shares of beneficial interest outstanding, unlimited authorization, no par		4,508,196
Net asset value per share	$	8.70
1 Investments, at cost	$	117,538,549
2 Short-term investments, at cost		16,644,029
3 Foreign currencies, at cost		4,565

See accompanying notes, which are an integral part of the financial statements.

31

Statement of operations   Delaware Core Plus Bond Fund Six months ended January 31, 2015 (Unaudited)

Investment Income:
Interest	$	1,919,380
Dividends		23,329
		1,942,709
Expenses:
Management fees		322,181
Distribution expenses – Class A		82,628
Distribution expenses – Class B		458
Distribution expenses – Class C		44,088
Distribution expenses – Class R		19,412
Dividend disbursing and transfer agent fees and expenses		79,882
Registration fees		34,389
Reports and statements to shareholders		30,458
Audit and tax		23,673
Legal fees		19,679
Accounting and administration expenses		19,122
Custodian fees		12,003
Trustees’ fees and expenses		2,614
Other		19,746
		710,333
Less expenses waived		(180,950	)
Less waived distribution expenses – Class B		(348	)
Less expense paid indirectly		(34	)
Total operating expenses		529,001
Net Investment Income		1,413,708

32

Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments	$	1,503,483
Foreign currencies		(1,583	)
Foreign currency exchange contracts		(2,617	)
Futures contracts		36,930
Swap contracts		(15,185	)
Net realized gain		1,521,028
Net change in unrealized appreciation (depreciation) of:
Investments*		954,465
Foreign currencies		(517	)
Foreign currency exchange contracts		278
Futures contracts		50,553
Swap contracts		1,244
Net change in unrealized appreciation (depreciation)		1,006,023
Net Realized and Unrealized Gain		2,527,051
Net Increase in Net Assets Resulting from Operations	$	3,940,759

*Includes $330 capital gains taxes accrued

See accompanying notes, which are an integral part of the financial statements.

33

Statements of changes in net assets

Delaware Core Plus Bond Fund

	Six months ended
	1/31/15			Year ended
	(Unaudited)			7/31/14
Increase in Net Assets from Operations:
Net investment income	$	1,413,708		$	3,122,789
Net realized gain		1,521,028			730,641
Net change in unrealized appreciation (depreciation)		1,006,023			1,831,781
Net increase in net assets resulting from operations		3,940,759			5,685,211
Dividends and Distributions to Shareholders from:
Net investment income:
Class A		(937,938	)		(2,013,571	)
Class B		(1,451	)		(13,455	)
Class C		(91,848	)		(195,214	)
Class R		(100,417	)		(196,604	)
Institutional Class		(526,434	)		(840,683	)
Return of capital:
Class A		—			(271,322	)
Class B		—			(1,198	)
Class C		—			(35,483	)
Class R		—			(32,192	)
Institutional Class		—			(125,196	)
		(1,658,088	)		(3,724,918	)
Capital Share Transactions:
Proceeds from shares sold:
Class A		5,750,835			7,627,435
Class B		89			415
Class C		1,493,592			1,356,183
Class R		685,632			1,503,884
Institutional Class		10,014,765			18,421,281

34

	Six months ended
	1/31/15			Year ended
	(Unaudited)			7/31/14
Capital Share Transactions (continued):
Net asset value of shares issued upon reinvestment of dividends and distributions:
Class A	$	847,409		$	2,056,563
Class B		1,131			12,120
Class C		86,835			221,061
Class R		101,504			228,482
Institutional Class		515,227			965,879
		19,497,019			32,393,303
Cost of shares redeemed:
Class A		(6,540,144	)		(26,761,534	)
Class B		(289,338	)		(418,556	)
Class C		(1,223,728	)		(4,197,775	)
Class R		(1,380,396	)		(2,185,999	)
Institutional Class		(2,297,001	)		(49,434,542	)
		(11,730,607	)		(82,998,406	)
Increase (Decrease) in net assets derived from capital share transactions		7,766,412			(50,605,103	)
Net Increase (Decrease) in Net Assets		10,049,083			(48,644,810	)
Net Assets:
Beginning of period		112,361,167			161,005,977
End of period	$	122,410,250		$	112,361,167
Distributions in excess of net investment income	$	(343,334	)	$	(98,954	)

See accompanying notes, which are an integral part of the financial statements.

35

Financial highlights

Delaware Core Plus Bond Fund Class A

Selected data for each share of the Fund outstanding throughout each period were as follows:

Net asset value, beginning of period

Income (loss) from investment operations:

Net investment income²

Net realized and unrealized gain (loss)

Total from investment operations

Less dividends and distributions from:

Net investment income

Return of capital

Net realized gain

Total dividends and distributions

Net asset value, end of period

Total return³

Ratios and supplemental data:

Net assets, end of period (000 omitted)

Ratio of expenses to average net assets

Ratio of expenses to average net assets prior to fees waived

Ratio of net investment income to average net assets

Ratio of net investment income to average net assets prior to fees waived

Portfolio turnover

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  The average shares outstanding method has been applied for per share information.

³  Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value and does not reflect the impact of a sales charge. Total investment return during all of the periods shown reflects waivers by the manager and/or distributor. Performance would have been lower had the waivers not been in effect.

See accompanying notes, which are an integral part of the financial statements.

36

Six months ended 1/31/151				Year ended
(Unaudited)				7/31/14				7/31/13				7/31/12				7/31/11				7/31/10
	$	8.530			$	8.340			$	8.750			$	8.420			$	8.220			$	7.620
		0.104				0.226				0.202				0.205				0.264				0.366
		0.178				0.233				(0.328	)			0.375				0.244				0.606
		0.282				0.459				(0.126	)			0.580				0.508				0.972
		(0.122	)			(0.234	)			(0.265	)			(0.250	)			(0.308	)			(0.372	)
		—				(0.035	)			—				—				—				—
		—				—				(0.019	)			—				—				—
		(0.122	)			(0.269	)			(0.284	)			(0.250	)			(0.308	)			(0.372	)
	$	8.690			$	8.530			$	8.340			$	8.750			$	8.420			$	8.220
		3.34%				5.60%				(1.51%	)			7.01%				6.32%				13.03%
	$	66,753			$	65,466			$	81,042			$	91,099			$	74,107			$	72,618
		0.90%				0.90%				0.90%				0.90%				0.90%				0.91%
		1.21%				1.19%				1.17%				1.18%				1.29%				1.34%
		2.39%				2.70%				2.33%				2.41%				3.20%				4.60%
		2.08%				2.41%				2.06%				2.13%				2.81%				4.17%
		160%				273%				340%				422%				293%				264%

37

Financial highlights

Delaware Core Plus Bond Fund Class C

Selected data for each share of the Fund outstanding throughout each period were as follows:

Net asset value, beginning of period

Income (loss) from investment operations:

Net investment income²

Net realized and unrealized gain (loss)

Total from investment operations

Less dividends and distributions from:

Net investment income

Return of capital

Net realized gain

Total dividends and distributions

Net asset value, end of period

Total return³

Ratios and supplemental data:

Net assets, end of period (000 omitted)

Ratio of expenses to average net assets

Ratio of expenses to average net assets prior to fees waived

Ratio of net investment income to average net assets

Ratio of net investment income to average net assets prior to fees waived

Portfolio turnover

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  The average shares outstanding method has been applied for per share information.

³  Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value and does not reflect the impact of a sales charge. Total investment return during all of the periods shown reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect.

See accompanying notes, which are an integral part of the financial statements.

38

Six months ended 1/31/151				Year ended
(Unaudited)				7/31/14				7/31/13				7/31/12				7/31/11				7/31/10
	$	8.540			$	8.350			$	8.760			$	8.430			$	8.230			$	7.620
		0.072				0.164				0.137				0.142				0.203				0.307
		0.178				0.232				(0.328	)			0.374				0.244				0.616
		0.250				0.396				(0.191	)			0.516				0.447				0.923
		(0.090	)			(0.171	)			(0.200	)			(0.186	)			(0.247	)			(0.313	)
		—				(0.035	)			—				—				—				—
		—				—				(0.019	)			—				—				—
		(0.090	)			(0.206	)			(0.219	)			(0.186	)			(0.247	)			(0.313	)
	$	8.700			$	8.540			$	8.350			$	8.760			$	8.430			$	8.230
		2.95%				4.81%				(2.24%	)			6.20%				5.53%				12.32%
	$	9,102			$	8,572			$	10,990			$	12,989			$	10,147			$	10,022
		1.65%				1.65%				1.65%				1.65%				1.65%				1.66%
		1.96%				1.93%				1.87%				1.88%				1.99%				2.04%
		1.64%				1.95%				1.58%				1.66%				2.45%				3.85%
		1.33%				1.67%				1.36%				1.43%				2.11%				3.47%
		160%				273%				340%				422%				293%				264%

39

Financial highlights

Delaware Core Plus Bond Fund Class R

Selected data for each share of the Fund outstanding throughout each period were as follows:

Net asset value, beginning of period

Income (loss) from investment operations:

Net investment income²

Net realized and unrealized gain (loss)

Total from investment operations

Less dividends and distributions from:

Net investment income

Return of capital

Net realized gain

Total dividends and distributions

Net asset value, end of period

Total return³

Ratios and supplemental data:

Net assets, end of period (000 omitted)

Ratio of expenses to average net assets

Ratio of expenses to average net assets prior to fees waived

Ratio of net investment income to average net assets

Ratio of net investment income to average net assets prior to fees waived

Portfolio turnover

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  The average shares outstanding method has been applied for per share information.

³  Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value. Total investment return during all of the periods shown reflects waivers by the manager and/or distributor. Performance would have been lower had the waivers not been in effect.

See accompanying notes, which are an integral part of the financial statements.

40

Six months ended 1/31/151				Year ended
(Unaudited)				7/31/14				7/31/13				7/31/12				7/31/11				7/31/10
	$	8.560			$	8.370			$	8.780			$	8.450			$	8.240			$	7.630
		0.094				0.206				0.181				0.185				0.244				0.350
		0.178				0.233				(0.328	)			0.374				0.255				0.613
		0.272				0.439				(0.147	)			0.559				0.499				0.963
		(0.112	)			(0.214	)			(0.244	)			(0.229	)			(0.289	)			(0.353	)
		—				(0.035	)			—				—				—				—
		—				—				(0.019	)			—				—				—
		(0.112	)			(0.249	)			(0.263	)			(0.229	)			(0.289	)			(0.353	)
	$	8.720			$	8.560			$	8.370			$	8.780			$	8.450			$	8.240
		3.20%				5.32%				(1.74%	)			6.73%				6.17%				12.87%
	$	7,339			$	7,793			$	8,077			$	9,180			$	6,789			$	6,031
		1.15%				1.15%				1.15%				1.15%				1.15%				1.16%
		1.46%				1.45%				1.47%				1.48%				1.59%				1.64%
		2.14%				2.45%				2.08%				2.16%				2.95%				4.35%
		1.83%				2.15%				1.76%				1.83%				2.51%				3.87%
		160%				273%				340%				422%				293%				264%

41

Financial highlights

Delaware Core Plus Bond Fund Institutional Class

Selected data for each share of the Fund outstanding throughout each period were as follows:

Net asset value, beginning of period

Income (loss) from investment operations:

Net investment income²

Net realized and unrealized gain (loss)

Total from investment operations

Less dividends and distributions from:

Net investment income

Return of capital

Net realized gain

Total dividends and distributions

Net asset value, end of period

Total return³

Ratios and supplemental data:

Net assets, end of period (000 omitted)

Ratio of expenses to average net assets

Ratio of expenses to average net assets prior to fees waived

Ratio of net investment income to average net assets

Ratio of net investment income to average net assets prior to fees waived

Portfolio turnover

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  The average shares outstanding method has been applied for per share information.

³  Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value. Total investment return during all of the periods shown reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect.

See accompanying notes, which are an integral part of the financial statements.

42

Six months ended 1/31/151				Year ended
(Unaudited)				7/31/14				7/31/13				7/31/12				7/31/11				7/31/10
	$	8.540			$	8.350			$	8.760			$	8.430			$	8.230			$	7.630
		0.114				0.248				0.224				0.228				0.285				0.388
		0.179				0.233				(0.328	)			0.373				0.245				0.605
		0.293				0.481				(0.104	)			0.601				0.530				0.993
		(0.133	)			(0.256	)			(0.287	)			(0.271	)			(0.330	)			(0.393	)
		—				(0.035	)			—				—				—				—
		—				—				(0.019	)			—				—				—
				��
		(0.133	)			(0.291	)			(0.306	)			(0.271	)			(0.330	)			(0.393	)
	$	8.700			$	8.540			$	8.350			$	8.760			$	8.430			$	8.230
		3.47%				5.86%				(1.26%	)			7.27%				6.58%				13.30%
	$	39,216			$	30,241			$	60,210			$	75,469			$	10,205			$	8,640
		0.65%				0.65%				0.65%				0.65%				0.65%				0.66%
		0.96%				0.93%				0.87%				0.88%				0.99%				1.04%
		2.64%				2.95%				2.58%				2.66%				3.45%				4.85%
		2.33%				2.67%				2.36%				2.43%				3.11%				4.47%
		160%				273%				340%				422%				293%				264%

43

Notes to financial statements   Delaware Core Plus Bond Fund   January 31, 2015 (Unaudited)  

Delaware Group^® Government Fund (Trust) is organized as a Delaware statutory trust and offers three series: Delaware Core Plus Bond Fund, Delaware Emerging Markets Debt Fund, and Delaware Inflation Protected Bond Fund. These financial statements and the related notes pertain to Delaware Core Plus Bond Fund (Fund). The Trust is an open-end investment company. The Fund is considered diversified under the Investment Company Act of 1940, as amended, and offers Class A, Class C, Class R, and Institutional Class shares. Class A shares are sold with a maximum front-end sales charge of 4.50%. Class A share purchases of $1,000,000 or more will incur a contingent deferred sales charge (CDSC) of 1.00% if redeemed during the first year and 0.50% during the second year, provided that Delaware Distributors, L.P. (DDLP) paid a financial advisor a commission on the purchase of those shares. Effective Sept. 25, 2014, all remaining shares of Class B were converted to Class A shares. Between June 1, 2007 and Sept. 25, 2014, Class B shares could be purchased only through dividend reinvestment and certain permitted exchanges. Class B shares automatically converted to Class A shares on a quarterly basis approximately eight years after purchase. Class C shares are sold with a CDSC of 1.00%, if redeemed during the first 12 months. Class R and Institutional Class shares are not subject to a sales charge and are offered for sale exclusively to certain eligible investors.

The investment objective of the Fund is to seek maximum long-term total return, consistent with reasonable risk.

1. Significant Accounting Policies

The following accounting policies are in accordance with U.S. generally accepted accounting principles (U.S. GAAP) and are consistently followed by the Fund.

Security Valuation – Equity securities, except those traded on the Nasdaq Stock Market, Inc. (Nasdaq), are valued at the last quoted sales price as of the time of the regular close of the New York Stock Exchange on the valuation date. Securities traded on the Nasdaq are valued in accordance with the Nasdaq Official Closing Price, which may not be the last sales price. If, on a particular day, an equity security does not trade, the mean between the bid and ask prices will be used, which approximates fair value. U.S. government and agency securities are valued at the mean between the bid and ask prices, which approximates fair value. Debt securities and credit default swap (CDS) contracts are valued based upon valuations provided by an independent pricing service or broker/counterparty and reviewed by management. To the extent current market prices are not available, the pricing service may take into account developments related to the specific security, as well as transactions in comparable securities. Valuations for fixed income securities utilize matrix systems, which reflect such factors as security prices, yields, maturities, and ratings, and are supplemented by dealer and exchange quotations. For asset-backed securities, collateralized mortgage obligations, commercial mortgage securities, and U.S. government agency mortgage securities, pricing vendors utilize matrix pricing which considers prepayment speed, attributes of the collateral, yield or price of bonds of comparable quality, coupon, maturity, and type as well as broker/dealer-supplied prices. Swap prices are derived using daily swap curves and models that incorporate a number of market data factors, such as discounted cash flows, trades, and values of the underlying reference instruments. Foreign currency exchange contracts and foreign cross currency exchange contracts are valued at the mean between the bid and ask prices, which approximates fair value. Interpolated values are derived when the settlement date of the contract is an interim date for which quotations are not available. Futures contracts and options on futures

44

contracts are valued at the daily quoted settlement prices. Generally, other securities and assets for which market quotations are not readily available are valued at fair value as determined in good faith under the direction of the Fund’s Board of Trustees (Board). In determining whether market quotations are readily available or fair valuation will be used, various factors will be taken into consideration, such as market closures or suspension of trading in a security.

Federal and Foreign Income Taxes – No provision for federal income taxes has been made as the Fund intends to continue to qualify for federal income tax purposes as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended, and make the requisite distributions to shareholders. The Fund evaluates tax positions taken or expected to be taken in the course of preparing the Fund’s tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the “more-likely-than-not” threshold are recorded as a tax benefit or expense in the current year. Management has analyzed the Fund’s tax positions taken for all open federal income tax years (July 31, 2011–July 31, 2014), and has concluded that no provision for federal income tax is required in the Fund’s financial statements. In regard to foreign taxes only, the Fund has open tax years in certain foreign countries in which it invests that may date back to the inception of the Fund.

Class Accounting – Investment income and common expenses are allocated to the various classes of the Fund on the basis of “settled shares” of each class in relation to the net assets of the Fund. Realized and unrealized gain (loss) on investments are allocated to the various classes of the Fund on the basis of daily net assets of each class. Distribution expenses relating to a specific class are charged directly to that class.

Repurchase Agreements – The Fund may purchase certain U.S. government securities subject to the counterparty’s agreement to repurchase them at an agreed upon date and price. The counterparty will be required on a daily basis to maintain the value of the collateral subject to the agreement at not less than the repurchase price (including accrued interest). The agreements are conditioned upon the collateral being deposited under the Federal Reserve book-entry system with the Fund’s custodian or a third party sub-custodian. In the event of default or bankruptcy by the other party to the agreement, retention of the collateral may be subject to legal proceedings. All open repurchase agreements as of the date of this report were entered into on Jan. 30, 2015.

To Be Announced Trades (TBA) – The Fund may contract to purchase or sell securities for a fixed price at a transaction date beyond the customary settlement period (examples: “when issued,” “delayed delivery,” “forward commitment,” or “TBA transactions”) consistent with the Fund’s ability to manage its investment portfolio and meet redemption requests. These transactions involve a commitment by the Fund to purchase or sell securities for a predetermined price or yield with payment and delivery taking place more than three days in the future, or after a period longer than the customary settlement period for that type of security. No interest will be earned by the Fund on such purchases until the securities are delivered or transaction is completed; however, the market value may change prior to delivery.

Foreign Currency Transactions – Transactions denominated in foreign currencies are recorded at the prevailing exchange rates on the valuation date in accordance with the Fund’s prospectus. The value of all assets and liabilities denominated in foreign currencies is translated daily into U.S. dollars at the exchange rate of such currencies against the U.S. dollar. Transaction gains or losses resulting from

45

Notes to financial statements

Delaware Core Plus Bond Fund

1. Significant Accounting Policies (continued)

changes in exchange rates during the reporting period or upon settlement of the foreign currency transaction are reported in operations for the current period. The Fund generally bifurcates that portion of realized gains and losses on investments in debt securities which is due to changes in foreign exchange rates from that which is due to changes in market prices of debt securities. That portion of gains (losses) which are due to changes in foreign exchange rates is included on the “Statement of operations” under “Net realized gain (loss) on foreign currencies.” The Fund reports certain foreign currency related transactions as components of realized gains (losses) for financial reporting purposes, whereas such components are treated as ordinary income (loss) for federal income tax purposes.

Use of Estimates – The Fund is an investment company in conformity with U.S. GAAP. Therefore, the Fund follows the accounting and reporting guidelines for investment companies. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the fair value of investments, 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 revenues and expenses during the reporting period. Actual results could differ from those estimates and the differences could be material.

Other – Expenses directly attributable to the Fund are charged directly to the Fund. Other expenses common to various funds within the Delaware Investments^® Family of Funds are generally allocated among such funds on the basis of average net assets. Management fees and some other expenses are paid monthly. Security transactions are recorded on the date the securities are purchased or sold (trade date) for financial reporting purposes. Costs used in calculating realized gains and losses on the sale of investment securities are those of the specific securities sold. Dividend income is recorded on the ex-dividend date and interest income is recorded on the accrual basis. Discounts and premiums on debt securities are amortized to interest income over the lives of the respective securities using the effective interest method. Realized gains (losses) on paydowns of asset- and mortgage-backed securities are classified as interest income. The Fund declares dividends daily from net investment income and pays the dividends monthly and declares and pays distributions from net realized gain on investments, if any, annually. The Fund may distribute more frequently, if necessary for tax purposes. Dividends and distributions, if any, are recorded on the ex-dividend date.

The Fund may receive earnings credits from its custodian when positive cash balances are maintained, which may be used to offset custody fees. There were no earnings credits for the six months ended Jan. 31, 2015.

The Fund receives earnings credits from its transfer agent when positive cash balances are maintained, which may be used to offset transfer agent fees. If the amount earned is greater than one dollar, the expense paid under this arrangement is included on the “Statement of operations” under “Dividend disbursing and transfer agent fees and expenses” with the corresponding expense offset shown under “Less expense paid indirectly.” For the year ended Jan. 31, 2015, the Fund earned $34 under this agreement.

46

2. Investment Management, Administration Agreements, and Other Transactions with Affiliates

In accordance with the terms of its investment management agreement, the Fund pays Delaware Management Company (DMC), a series of Delaware Management Business Trust and the investment manager, an annual fee which is calculated daily at the rate of 0.55% on the first $500 million of average daily net assets of the Fund, 0.50% on the next $500 million, 0.45% on the next $1.5 billion, and 0.425% on average daily net assets in excess of $2.5 billion.

DMC has contractually agreed to waive that portion, if any, of its management fee and/or pay/reimburse the Fund to the extent necessary to prevent that total annual operating expenses (excluding any 12b-1 fees, acquired fund fees and expenses, taxes, interest, short sale and dividend interest expenses, brokerage fees, certain insurance costs, and nonroutine expenses or costs, including, but not limited to, those relating to reorganizations, litigation, conducting shareholder meetings, and liquidations (collectively, nonroutine expenses)), do not exceed 0.65% of the Fund’s average daily net assets from Aug. 1, 2014 through Jan. 31, 2015.* These waivers and reimbursements apply only to expenses paid directly by the Fund and may only be terminated by agreement of DMC and the Fund.

Effective Nov. 1, 2014, Delaware Investments Fund Services Company (DIFSC), an affiliate of DMC, provides fund accounting and financial administration oversight services to the Fund. Prior to this time, Delaware Service Company, Inc. (DSC), an affiliate of DMC, provided fund accounting and financial administration oversight services to the Fund under a substantially identical agreement with an identical fee schedule. For these services, DIFSC’s fees are calculated based on the aggregate daily net assets of the Delaware Investments^® Family of Funds at the following annual rate: 0.0050% of the first $30 billion; 0.0045% of the next $10 billion; 0.0040% of the next $10 billion; and 0.0025% of aggregate average daily net assets in excess of $50 billion. The fees payable to DIFSC under the service agreement described above are allocated among all funds in the Delaware Investments Family of Funds on a relative net asset value basis. For the six months ended Jan. 31, 2015, the Fund was charged $2,788 for these services. This amount is included on the “Statement of operations” under “Accounting and administration expenses.”

Effective Nov. 1, 2014, DIFSC is the transfer agent and dividend disbursing agent of the Fund. Prior to this time, DSC was the transfer agent and dividend disbursing agent of the Fund under a substantially identical agreement with an identical fee schedule. For these services, DIFSC’s fees are calculated based on the aggregate daily net assets of the retail funds within the Delaware Investments Family of Funds at the following annual rate: 0.025% of the first $20 billion, 0.020% of the next $5 billion; 0.015% of the next $5 billion; and 0.013% on average daily net assets in excess of $30 billion. The fees payable to DIFSC under the service agreement described above are allocated among all retail Funds in the Delaware Investments Family of Funds on a relative net asset value basis. This amount is included on the “Statement of operations” under “Dividend disbursing and transfer agent fees and expenses.” For the six months ended Jan. 31, 2015, the Fund was charged $12,384 for these services. Pursuant to a sub-transfer agency agreement between DIFSC and BNY Mellon Investment Servicing (US) Inc. (BNYMIS), BNYMIS provides certain sub-transfer agency services to the Fund. Sub-transfer agency fees are passed on to and paid by the Fund.

Pursuant to a distribution agreement and distribution plan, the Fund pays DDLP, the distributor and an affiliate of DMC, an annual distribution and service fee of 0.25%, 1.00%, and 0.50% of the average daily

47

Notes to financial statements

Delaware Core Plus Bond Fund

2. Investment Management, Administration Agreements, and Other Transactions with Affiliates (continued)

net assets of the Class A, Class C, and Class R shares, respectively. The Fund’s Class B shares were subject to a 12b-1 fee of 1.00% of the average daily net assets, which was contractually waived to 0.25% of the average daily net assets from Aug.1, 2014 through Sept. 25, 2014. Institutional Class shares pay no distribution and service fees.

The Board has adopted a formula for calculating 12b-1 plan fees for the Fund’s Class A shares that went into effect on June 1, 1992. The Fund’s Class A shares are currently subject to a blended 12b-1 fees equal to the sum of: (i) 0.10% of the average daily net assets representing shares that were acquired prior to June 1, 1992, and (ii) 0.25% of the average daily net assets representing shares acquired on or after June 1, 1992. All Class A shareholders currently bear 12b-1 fees at the same rate, the blended rate based on the formula described above. This method of calculating Class A 12b-1 fees may be discontinued at the sole discretion of the Board.

As provided in the investment management agreement, the Fund bears a portion of the cost of certain resources shared with DMC, including the cost of internal personnel of DMC and/or its affiliates that provide legal, tax, and regulatory reporting services to the Fund. For the six months ended Jan. 31, 2015, the Fund was charged $1,570 for internal legal, tax, and regulatory reporting provided by DMC and/or its affiliates’ employees.

For the six months ended Jan. 31, 2015, DDLP earned $2,022 for commissions on sales of the Fund’s Class A shares. For the six months ended Jan. 31, 2015, DDLP received gross CDSC commissions of $15 on redemptions of the Fund’s Class C shares, and these commissions were entirely used to offset upfront commissions previously paid by DDLP to broker/dealers on sales of those shares.

Trustees’ fees include expenses accrued by the Fund for each Trustee’s retainer and meeting fees. Certain officers of DMC, DIFSC, and DDLP are officers and/or Trustees of the Trust. These officers and Trustees are paid no compensation by the Fund.

* The contractual waiver period is from Nov. 27, 2013 through Nov. 30, 2015.

3. Investments

For the six months ended Jan. 31, 2015, the Fund made purchases and sales of investment securities other than short-term investments as follows:

Purchases other than U.S. government securities	$	159,036,289
Purchases of U.S. government securities		32,028,652
Sales other than U.S. government securities		156,389,571
Sales of U.S. government securities		25,001,250

48

At Jan. 31, 2015, the cost of investments for federal income tax purposes has been estimated since final tax characteristics cannot be determined until fiscal year end. At Jan. 31, 2015, the cost of investments and unrealized appreciation (depreciation) for the Fund were as follows:

Cost of investments	$	135,010,433
Aggregate unrealized appreciation	$	3,532,538
Aggregate unrealized depreciation		(1,050,049	)
Net unrealized appreciation	$	2,482,489

On Dec. 22, 2010, the Regulated Investment Company Modernization Act of 2010 (Act) was enacted, which changed various technical rules governing the tax treatment of regulated investment companies. The changes were generally effective for taxable years beginning after the date of enactment. Under the Act, the Fund is permitted to carry forward capital losses incurred in taxable years beginning after the date of enactment for an unlimited period.

Losses incurred that will be carried forward under tha Act were as follows:

Loss carryforward character
Short-term	Long-term
$1,298,550	$ —

U.S. GAAP defines fair value as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date under current market conditions. A three-level hierarchy for fair value measurements has been established based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions that market participants would use in pricing the asset or liability developed based on the best information available under the circumstances. The Fund’s investment in its entirety is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-level hierarchy of inputs is summarized below.

Level 1 –	Inputs are quoted prices in active markets for identical investments. (Examples: equity securities, open-end investment companies, futures contracts, exchange-traded options contracts)
Level 2 –	Other observable inputs, including, but not limited to: quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks, and default rates), or other market-corroborated inputs. (Examples: debt securities, government securities, swap contracts, foreign currency exchange contracts, foreign securities utilizing international fair value pricing, broker-quoted securities, fair valued securities)
Level 3 –	Significant unobservable inputs, including the Fund’s own assumptions used to determine the fair value of investments. (Examples: broker-quoted securities, fair valued securities)

49

Notes to financial statements

Delaware Core Plus Bond Fund

3. Investments (continued)

Level 3 investments are valued using significant unobservable inputs. The Fund may also use an income-based valuation approach in which the anticipated future cash flows of the investment are discounted to calculate fair value. Discounts may also be applied due to the nature or duration of any restrictions on the disposition of the investments. Valuations may also be based upon current market prices of securities that are comparable in coupon, rating, maturity, and industry. The derived value of a Level 3 investment may not represent the value which is received upon disposition and this could impact the results of operations.

The following table summarizes the valuation of the Fund’s investments by fair value hierarchy levels as of Jan. 31, 2015:

	Level 1		Level 2		Level 3		Total
Agency, Asset- & Mortgage-Backed Securities1	$	—	$	43,604,574	$	724,529	$	44,329,103
Corporate Debt		—		53,182,562		—		53,182,562
Municipal Bonds		—		538,703		—		538,703
Foreign Bonds		—		1,585,762		—		1,585,762
Senior Secured Loans		—		7,771,332		—		7,771,332
U.S. Treasury Obligations		—		12,561,906		—		12,561,906
Convertible Preferred Stock1		45,990		58,445		—		104,435
Preferred Stock		774,531		—		—		774,531
Short-Term Investments		—		16,644,588		—		16,644,588
Total	$	820,521	$	135,947,872	$	724,529	$	137,492,922
Foreign Currency Exchange Contracts	$	—	$	278	$	—	$	278
Futures Contracts		71,449		—		—		71,449

¹Security type is valued across multiple levels. Level 1 investments represent exchange-traded investments, Level 2 investments represent investments with observable inputs or matrix-priced investments, and Level 3 investments represent investments without observable inputs. The amounts attributed to Level 1 investments, Level 2 investments, and Level 3 investments represent the following percentages of the total market value of these security types:

	Level 1			Level 2			Level 3			Total
Agency, Asset- & Mortgage-Backed Securities		—			98.37	%		1.63	%		100.00	%
Convertible Preferred Stock		44.04	%		55.96	%		—			100.00	%

During the six months ended Jan. 31, 2015, there were no transfers between Level 1 investments, Level 2 investments, or Level 3 investments that had a significant impact to the Fund. The Fund’s policy is to recognize transfers between levels at the beginning of the reporting period.

A reconciliation of Level 3 investments is presented when the Fund has a significant amount of Level 3 investments at the beginning, interim, or end of period in relation to net assets. Management has

50

determined not to provide additional disclosure on Level 3 inputs since the Level 3 investments are not considered significant to the Fund’s net assets at the end of the period.

4. Capital Shares

Transactions in capital shares were as follows:

	Six months ended			Year ended
	1/31/15			7/31/14
Shares sold:
Class A		671,885			909,421
Class B		10			49
Class C		175,018			161,531
Class R		79,963			178,678
Institutional Class		1,173,608			2,183,678
Shares issued upon reinvestment of dividends and distributions:
Class A		99,100			244,808
Class B		132			1,446
Class C		10,143			26,274
Class R		11,833			27,088
Institutional Class		60,189			115,672
		2,281,881			3,848,645
Shares redeemed:
Class A		(765,231	)		(3,195,906	)
Class B		(34,031	)		(50,030	)
Class C		(142,818	)		(500,117	)
Class R		(160,818	)		(260,263	)
Institutional Class		(267,966	)		(5,968,776	)
		(1,370,864	)		(9,975,092	)
Net increase (decrease)		911,017			(6,126,447	)

For the six months ended Jan. 31, 2015 and the year ended July 31, 2014, 10,479 Class B shares were converted to 10,481 Class A shares valued at $89,090 and 11,215 Class B shares were converted to 11,215 Class A shares valued at $94,252, respectively. The respective amounts are included in Class B redemptions and Class A subscriptions in the table above and the “Statements of changes in net assets.”

5. Line of Credit

The Fund, along with certain other funds in the Delaware Investments^® Family of Funds (Participants), was a participant in a $225,000,000 revolving line of credit to be used for temporary or emergency purposes as an additional source of liquidity to fund redemptions of investor shares. Under the agreement, the Participants were charged an annual commitment fee of 0.08%, which was allocated

51

Notes to financial statements

Delaware Core Plus Bond Fund

5. Line of Credit (continued)

across the Participants on the basis of each Participant’s allocation of the entire facility. The Participants were permitted to borrow up to a maximum of one third of their net assets under the agreement. Each Participant was individually, and not jointly, liable for its particular advances, if any, under the line of credit. The line of credit under the agreement expired on Nov. 10, 2014.

On Nov. 10, 2014, the Fund, along with the other Participants, entered into an amendment to the agreement for a $275,000,000 revolving line of credit. The line of credit is to be used as described above and operates in substantially the same manner as the original agreement described above. The line of credit under the agreement expires on Nov. 9, 2015.

The Fund had no amounts outstanding as of Jan. 31, 2015 or at any time during the period then ended.

6. Derivatives

U.S. GAAP requires disclosures that enable investors to understand: 1) how and why an entity uses derivatives; 2) how they are accounted for; and 3) how they affect an entity’s results of operations and financial position.

Foreign Currency Exchange Contracts – The Fund may enter into foreign currency exchange contracts and foreign cross currency exchange contracts as a way of managing foreign exchange rate risk. The Fund may enter into these contracts to fix the U.S. dollar value of securities that it agreed to buy or sell for the period between the date the trade was entered into and the date the security is delivered and paid for. The Fund may also enter into these contracts to hedge the U.S. dollar value of securities it already owns that are denominated in foreign currencies. In addition, the Fund may enter into these contracts to facilitate or expedite the settlement of portfolio transactions. The change in value is recorded as an unrealized gain or loss. When the contract is closed, a realized gain or loss is recorded equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed.

The use of foreign currency exchange contracts and foreign cross currency exchange contracts does not eliminate fluctuations in the underlying prices of the securities, but does establish a rate of exchange that can be achieved in the future. Although foreign currency exchange contracts and foreign cross currency exchange contracts limit the risk of loss due to an unfavorable change in the value of the hedged currency, they also limit any potential gain that might result should the value of the currency change favorably. In addition, the Fund could be exposed to risks if the counterparties to the contracts are unable to meet the terms of their contracts. The Fund’s maximum risk of loss from counterparty credit risk is the value of its currency exchanged with the counterparty. The risk is generally mitigated by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty.

During the six months ended Jan. 31, 2015, the Fund used foreign currency exchange contracts to hedge the U.S. dollar value of securities it already owns that are denominated in foreign currencies.

Futures Contracts – A futures contract is an agreement in which the writer (or seller) of the contract agrees to deliver to the buyer an amount of cash or securities equal to a specific dollar amount times the difference between the value of a specific security or index at the close of the last trading day of the

52

contract and the price at which the agreement is made. The Fund may use futures in the normal course of pursuing its investment objective. The Fund may invest in futures contracts to hedge its existing portfolio securities against fluctuations in fair value caused by changes in interest rates or market conditions. Upon entering into a futures contract, the Fund deposits cash or pledges U.S. government securities to a broker, equal to the minimum “initial margin” requirements of the exchange on which the contract is traded. Subsequent payments are received from the broker or paid to the broker each day, based on the daily fluctuation in the market value of the contract. These receipts or payments are known as “variation margin” and are recorded daily by the Fund as unrealized gains or losses until the contracts are closed. When the contracts are closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. Risks of entering into futures contracts include potential imperfect correlation between the futures contracts and the underlying securities and the possibility of an illiquid secondary market for these instruments. When investing in futures, there is reduced counterparty credit risk to the Fund because futures are exchange-traded and the exchange’s clearinghouse, as counterparty to all exchange-traded futures, guarantees against default. The Fund posted $60,982 in securities as margin for open futures contracts, which is presented on the “Schedule of Investments.”

During the six months ended Jan. 31, 2015, the Fund used futures contracts to hedge the Fund’s existing portfolio securities against fluctuations in value caused by changes in interest rates or market conditions.

Options Contracts – During the six months ended Jan. 31, 2015, the Fund entered into options contracts in the normal course of pursuing its investment objective. The Fund may buy or write options contracts for any number of reasons, including without limitation: to manage the Fund’s exposure to changes in securities prices caused by interest rates or market conditions and foreign currencies; to earn income; as an efficient means of adjusting the Fund’s overall exposure to certain markets; to protect the value of portfolio securities; and as a cash management tool. The Fund may buy or write call or put options on securities, futures, swaps, swaptions, financial indices, and foreign currencies. When the Fund buys an option, a premium is paid and an asset is recorded and adjusted on a daily basis to reflect the current market value of the option purchased. When the Fund writes an option, a premium is received and a liability is recorded and adjusted on a daily basis to reflect the current market value of the option written. Premiums received from writing options that expire unexercised are treated by the Fund on the expiration date as realized gains. The difference between the premium received and the amount paid on effecting a closing purchase transaction, including brokerage commissions, is treated as realized gain or loss. If a call option is exercised, the premium is added to the proceeds from the sale of the underlying security in determining whether the Fund has a realized gain or loss. If a put option is exercised, the premium reduces the cost basis of the securities purchased by the Fund. The Fund, as writer of an option, bears the market risk of an unfavorable change in the price of the security underlying the written option. When writing options, the Fund is subject to minimal counterparty risk because the counterparty is only obligated to pay premiums and does not bear the market risk of an unfavorable market change. There were no transactions in options written during the six months ended Jan. 31, 2015.

During the six months ended Jan. 31, 2015. the Fund used purchased options to manage the Fund’s exposure to changes in securities prices caused by interest rates or market conditions.

53

Notes to financial statements

Delaware Core Plus Bond Fund

6. Derivatives (continued)

Swap Contracts – The Fund may enter into CDS contracts in the normal course of pursuing its investment objective. The Fund may enter into CDS contracts in order to hedge against a credit event, to enhance total return or to gain exposure to certain securities or markets. The Fund will not be permitted to enter into any swap transactions unless, at the time of entering into such transactions, the unsecured long-term debt of the actual counterparty, combined with any credit enhancements, is rated at least BBB- by Standard & Poor’s Financial Services LLC (S&P) or Baa3 by Moody’s Investors Service, Inc. (Moody’s) or is determined to be of equivalent credit quality by DMC.

Credit Default Swaps. A CDS contract is a risk-transfer instrument through which one party (purchaser of protection) transfers to another party (seller of protection) the financial risk of a credit event (as defined in the CDS agreement), as it relates to a particular reference security or basket of securities (such as an index). In exchange for the protection offered by the seller of protection, the purchaser of protection agrees to pay the seller of protection a periodic amount at a stated rate that is applied to the notional amount of the CDS contract. In addition, an upfront payment may be made or received by the Fund in connection with an unwinding or assignment of a CDS contract. Upon the occurrence of a credit event, the seller of protection would pay the par (or other agreed-upon) value of the reference security (or basket of securities) to the counterparty. Credit events generally include, among others, bankruptcy, failure to pay, and obligation default.

During the six months ended Jan. 31, 2015, the Fund entered into CDS contracts as a purchaser of protection to hedge against credit events. Periodic payments (receipts) on such contracts are accrued daily and recorded as unrealized losses (gains) on swap contracts. Upon payment (receipt), such amounts are recorded as realized losses (gains) on swap contracts. Upfront payments made or received in connection with CDS contracts are amortized over the expected life of the CDS contracts as unrealized losses (gains) on swap contracts. The change in value of CDS contracts is recorded daily as unrealized appreciation or depreciation. A realized gain or loss is recorded upon a credit event (as defined in the CDS agreement) or the maturity or termination of the agreement. Initial margin and variation margin is posted to central counterparties for CDS basket trades, as determined by the applicable central counterparty. During the six months ended Jan. 31, 2015, the Fund did not enter into any CDS contracts as a seller of protection.

CDS contracts may involve greater risks than if the Fund had invested in the reference obligation directly. CDS contracts are subject to general market risk, liquidity risk, counterparty risk, and credit risk. The Fund’s maximum risk of loss from counterparty credit risk, either as the seller of protection or the buyer of protection, is the fair value of the contract. This risk is mitigated by (1) for bilateral swap contracts, having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty, and (2) for cleared swaps, trading these instruments through a central counterparty.

During the six months ended Jan. 31, 2015, the Fund used CDS contracts to hedge against credit events.

Swaps Generally. The value of open swaps may differ from that which would be realized in the event the Fund terminated its position in the contract on a given day. Risks of entering into these contracts include the potential inability of the counterparty to meet the terms of the contracts. This type of risk is generally

54

limited to the amount of favorable movement in the value of the underlying security, instrument, or basket of instruments, if any, at the day of default. Risks also arise from potential losses from adverse market movements and such losses could exceed the unrealized amounts. No swap contracts were outstanding at Jan. 31, 2015.

Fair value of derivative instruments as of Jan. 31, 2015 was as follows:

	Asset Derivatives			Liability Derivatives
	Statement of Assets and Liabilities Location	Fair Value		Statement of Assets and Liabilities Location	Fair Value
Foreign currency exchange contracts	Foreign currency exchange contracts	$	1,009	Foreign currency exchange contracts	$	(731	)
Interest rate contracts (Futures contracts)	Variation margin due from broker on futures contracts*		25,954	Variation margin due from broker on futures contracts*		—
Total		$	26,963		$	(731	)

*Includes cumulative appreciation (depreciation) of futures contracts from the date the contracts are opened through Jan. 31, 2015. Only current day variation margin is reported on the Fund’s “Statement of assets and liabilities.”

The effect of derivative instruments on the “Statement of operations” for the six months ended Jan. 31, 2015 was as follows:

					Net Realized Gain (Loss) on:
	Foreign Currency Exchange Contracts				Futures Contracts			Swap Contracts				Total
Forward currency exchange contracts		$	(2,617	)		$	—		$	—			$	(2,617	)
Interest rate contracts			—				36,930			—				36,930
Credit contracts			—				—			(15,185	)			(15,185	)
Total		$	(2,617	)		$	36,930		$	(15,185	)		$	19,128

55

Notes to financial statements

Delaware Core Plus Bond Fund

6. Derivatives (continued)

	Net Change in Unrealized Appreciation (Depreciation) of:
	Foreign Currency Exchange Contracts			Futures Contracts			Swap Contracts			Total
Forward currency exchange contracts		$	278		$	—		$	—		$	278
Interest rate contracts			—			50,553			—			50,553
Credit contracts			—			—			1,244			1,244
Total		$	278		$	50,553		$	1,244		$	52,075

Derivatives Generally. The table below summarizes the average balance of derivative holdings by the Fund during the six months ended Jan. 31, 2015:

	Long Derivative Volume			Short Derivative Volume
Foreign currency exchange contracts (average cost)		$	9,343		$	(80,148	)
Futures contracts (average notional value)			3,096,743			(4,865,462	)
CDS contracts (average notional value)*			171,658			—

*Long represents buying protection and short represents selling protection.

7. Offsetting

In December 2011, the Financial Accounting Standards Board (FASB) issued guidance that expands current disclosure requirements on the offsetting of certain assets and liabilities. The disclosures are required for investments and derivative financial instruments subject to master netting or similar agreements which are eligible for offset on the “Statement of assets and liabilities” and requires an entity to disclose both gross and net information about such investments and transactions in the financial statements. In January 2013, the FASB issued guidance that clarifies which investments and transactions are subject to the offsetting disclosure requirements. The scope of the disclosure requirements for offsetting is limited to derivative instruments, repurchase agreements and reverse repurchase agreements, and securities borrowing. The guidance is effective for financial statements with fiscal years beginning on or after Jan. 1, 2013, and interim periods within those fiscal years.

In order to better define its contractual rights and to secure rights that will help the Fund mitigate its counterparty risk, the Fund entered into an International Swaps and Derivatives Association, Inc. Master Agreement (ISDA Master Agreement) or similar agreement with each of its derivative contract counterparties. An ISDA Master Agreement is a bilateral agreement between the Fund and a counterparty that governs over-the-counter (OTC) derivatives and foreign exchange contracts and typically contains, among other things, collateral posting items and netting provisions in the event of a default and/or termination event. Under an ISDA Master Agreement, the Fund may, under certain circumstances, offset with the counterparty certain derivative financial instrument’s payables and/or receivables with collateral held and/or posted and create one single net payment. The provisions of the ISDA Master Agreement typically permit a single net payment in the event of default (close-out) including the bankruptcy or insolvency of the counterparty. However, bankruptcy or insolvency laws of a particular

56

jurisdiction may impose restrictions on or prohibitions against the right of offset in bankruptcy, insolvency or other events.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements on the “Statement of assets and liabilities.”

At Jan. 31, 2015, the Fund had the following assets and liabilities subject to offsetting provisions:

Offsetting of Financial Assets and Liabilities and Derivative Assets and Liabilities

Counterparty	Gross Value of Derivative Asset			Gross Value of Derivative Liability				Net Position
Goldman Sachs		$	—		$	(731	)		$	(731	)
Morgan Stanley
Capital			1,009			—				1,009
Total		$	1,009		$	(731	)		$	278

					Gross Amounts Not Offset in the Statement of Assets and Liabilities
Counterparty	Net Position				Fair Value of Non-Cash Collateral Received			Cash Collateral Received			Fair Value of Non-Cash Collateral Pledged			Cash Collateral Pledged			Net Amount(a)
Goldman Sachs		$	(731	)		$	—		$	—		$	—		$	—		$	(731	)
Morgan Stanley
Capital			1,009				—			—			—			—			1,009
Total		$	278			$	—		$	—		$	—		$	—		$	278

Counterparty	Repurchase Agreements			Fair Value of Non-Cash Collateral Received				Cash Collateral Received			Net Amount(a)
Bank of America Merrill Lynch		$	2,119,240		$	(2,119,240	)		$	—		$	—
Bank of Montreal			1,412,827			(1,412,827	)			—			—
BNP Paribas			2,131,553			(2,131,553	)			—			—
Total		$	5,663,620		$	(5,663,620	)		$	—		$	—

^(a)Net amount represents the receivable/(payable) that would be due from/(to) the counterparty in the event of default.

8. Securities Lending

The Fund, along with other funds in the Delaware Investments^® Family of Funds, may lend its securities pursuant to a security lending agreement (Lending Agreement) with The Bank of New York Mellon (BNY Mellon). At the time a security is loaned, the borrower must post collateral equal to the required percentage of the market value of the loaned security, including any accrued interest. The required percentage is: (1) 102% with respect to U.S. securities and foreign securities that are denominated and payable in U.S. dollars; and (2) 105% with respect to foreign securities. With respect to each loan, if on any business day the aggregate market value of securities collateral plus cash collateral held is less than

57

Notes to financial statements

Delaware Core Plus Bond Fund

8. Securities Lending (continued)

the aggregate market value of the securities which are the subject of such loan, the borrower will be notified to provide additional collateral by the end of the following business day which, together with the collateral already held, will be not less than the applicable initial collateral requirements for such security loan. If the aggregate market value of securities collateral and cash collateral held with respect to a security loan exceeds the applicable initial collateral requirement, upon request of the borrower, BNY Mellon must return enough collateral to the borrower by the end of the following business day to reduce the value of the remaining collateral to the applicable initial collateral requirement for such security loan. As a result of the foregoing, the value of the collateral held with respect to a loaned security on any particular day may be more or less than the value of the security on loan.

Cash collateral received is generally invested in the Delaware Investments Collateral Fund No. 1 (Collective Trust) established by BNY Mellon for the purpose of investment on behalf of funds managed by DMC that participate in BNY Mellon’s securities lending program. The Collective Trust may invest in U.S. government securities and high-quality corporate debt, asset-backed and other money market securities, and in repurchase agreements collateralized by such securities, provided that the Collective Trust will generally have a dollar-weighted average portfolio maturity of 60 days or less. The Fund can also accept U.S. government securities and letters of credit (non-cash collateral) in connection with securities loans. In the event of default or bankruptcy by the lending agent, realization and/or retention of the collateral may be subject to legal proceedings. In the event the borrower fails to return loaned securities and the collateral received is insufficient to cover the value of the loaned securities and provided such collateral shortfall is not the result of investment losses, the lending agent has agreed to pay the amount of the shortfall to the Fund or, at the discretion of the lending agent, replace the loaned securities. The Fund continues to record dividends or interest, as applicable, on the securities loaned and is subject to changes in value of the securities loaned that may occur during the term of the loan. The Fund has the right under the Lending Agreement to recover the securities from the borrower on demand. With respect to security loans collateralized by non-cash collateral, the Fund receives loan premiums paid by the borrower. With respect to security loans collateralized by cash collateral, the earnings from the collateral investments are shared among the Fund, the security lending agent, and the borrower. The Fund records security lending income net of allocations to the security lending agent, and the borrower.

The Collective Trust used for the investment of cash collateral received from borrowers of securities seeks to maintain a net asset value per unit of $1.00, but there can be no assurance that it will always be able to do so. The Fund may incur investment losses as a result of investing securities lending collateral in the Collective Trust. This could occur if an investment in the Collective Trust defaulted or if it were necessary to liquidate assets in the Collective Trust to meet returns on outstanding security loans at a time when the Collective Trust’s net asset value per unit was less than $1.00. Under those circumstances, the Fund may not receive an amount from the Collective Trust that is equal in amount to the collateral the Fund would be required to return to the borrower of the securities and the Fund would be required to make up for this shortfall.

During the six months ended Jan. 31, 2015, the Fund had no securities out on loan.

58

9. Credit and Market Risk

The Fund invests a portion of its assets in high yield, fixed income securities, which are securities rated lower than BBB- by S&P and lower than Baa3 by Moody’s, or similarly rated by another nationally recognized statistical rating organization. Investments in these higher yielding securities are generally accompanied by a greater degree of credit risk than higher rated securities. Additionally, lower rated securities may be more susceptible to adverse economic and competitive industry conditions than investment grade securities.

The Fund invests in fixed income securities whose value is derived from an underlying pool of mortgages or consumer loans. The value of these securities is sensitive to changes in economic conditions, including delinquencies and/or defaults, and may be adversely affected by shifts in the market’s perception of the issuers and changes in interest rates. Investors receive principal and interest payments as the underlying mortgages and consumer loans are paid back. Some of these securities are collateralized mortgage obligations (CMOs). CMOs are debt securities issued by U.S. government agencies or by financial institutions and other mortgage lenders, which are collateralized by a pool of mortgages held under an indenture. Prepayment of mortgages may shorten the stated maturity of the obligations and can result in a loss of premium, if any has been paid. Certain of these securities may be stripped (securities which provide only the principal or interest feature of the underlying security). The yield to maturity on an interest-only CMO is extremely sensitive not only to changes in prevailing interest rates, but also to the rate of principal payments (including prepayments) on the related underlying mortgage assets. A rapid rate of principal payments may have a material adverse effect on the Fund’s yield to maturity. If the underlying mortgage assets experience greater-than-anticipated prepayments of principal, the Fund may fail to fully recoup its initial investment in these securities even if the securities are rated in the highest rating categories.

The Fund invests in bank loans and other securities that may subject it to direct indebtedness risk, the risk that the Fund will not receive payment of principal, interest, and other amounts due in connection with these investments and will depend primarily on the financial condition of the borrower. Loans that are fully secured offer the Fund more protection than unsecured loans in the event of nonpayment of scheduled interest or principal, although there is no assurance that the liquidation of collateral from a secured loan would satisfy the corporate borrower’s obligation, or that the collateral can be liquidated. Some loans or claims may be in default at the time of purchase. Certain of the loans and the other direct indebtedness acquired by the Fund may involve revolving credit facilities or other standby financing commitments that obligate the Fund to pay additional cash on a certain date or on demand. These commitments may require the Fund to increase its investment in a company at a time when the Fund might not otherwise decide to do so (including at a time when the company’s financial condition makes it unlikely that such amounts will be repaid). To the extent that the Fund is committed to advance additional funds, it will at all times hold and maintain cash or other high grade debt obligations in an amount sufficient to meet such commitments.

As the Fund may be required to rely upon another lending institution to collect and pass on to the Fund amounts payable with respect to the loan and to enforce the Fund’s rights under the loan and other direct indebtedness, an insolvency, bankruptcy, or reorganization of the lending institution may delay or prevent the Fund from receiving such amounts. The highly leveraged nature of many loans may make

59

Notes to financial statements

Delaware Core Plus Bond Fund

9. Credit and Market Risk (continued)

them especially vulnerable to adverse changes in economic or market conditions. Investments in such loans and other direct indebtedness may involve additional risk to the Fund.

The Fund invests in certain obligations that may have liquidity protection to ensure that the receipt of payments due on the underlying security is timely. Such protection may be provided through guarantees, insurance policies, or letters of credit obtained by the issuer or sponsor through third parties, through various means of structuring the transaction or through a combination of such approaches. The Fund will not pay any additional fees for such credit support, although the existence of credit support may increase the price of a security.

The Fund may invest up to 15% of its net assets in illiquid securities, which may include securities with contractual restrictions on resale, securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended, and other securities which may not be readily marketable. The relative illiquidity of these securities may impair the Fund from disposing of them in a timely manner and at a fair price when it is necessary or desirable to do so. While maintaining oversight, the Fund’s Board has delegated to DMC the day-to-day functions of determining whether individual securities are liquid for purposes of the Fund’s limitation on investments in illiquid securities. Securities eligible for resale pursuant to Rule 144A, which are determined to be liquid, are not subject to the Fund’s 15% limit on investments in illiquid securities. As of Jan. 31, 2015, no securities held by the Fund have been determined to be illiquid under the Fund’s Liquidity Procedures. Rule 144A securities have been identified on the “Schedule of investments.”

10. Contractual Obligations

The Fund enters into contracts in the normal course of business that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these contracts. Management has reviewed the Fund’s existing contracts and expects the risk of loss to be remote.

11. Recent Accounting Pronouncements

In June 2014, the FASB issued guidance to improve the financial reporting of reverse repurchase agreements and other similar transactions. The guidance includes expanded disclosure requirements for entities that enter into reverse repurchase agreements and similar transactions accounted for as secured borrowings. The guidance is effective for financial statements with fiscal years beginning on or after Dec.15, 2014 and interim periods within those fiscal years. Management is evaluating the impact, if any, of this guidance on the Fund’s financial statement disclosures.

12. Subsequent Events

Management has determined that no material events or transactions occurred subsequent to Jan. 31, 2015 that would require recognition or disclosure in the Fund’s financial statements.

60

Other Fund information (Unaudited)

Delaware Core Plus Bond Fund

Board Consideration of Delaware Core Plus Bond Fund Investment Management Agreement

At a meeting held on Aug. 19–21, 2014 (the “Annual Meeting”), the Board of Trustees (the “Board”), including a majority of disinterested or independent Trustees, approved the renewal of the Investment Management Agreement for Delaware Core Plus Bond Fund (the “Fund”). In making its decision, the Board considered information furnished at regular quarterly Board meetings, including reports detailing Fund performance, investment strategies, and expenses, as well as information prepared specifically in connection with the renewal of the investment advisory and sub-advisory contracts. Information furnished specifically in connection with the renewal of the Investment Management Agreement with Delaware Management Company (“DMC”) included materials provided by DMC and its affiliates (“Delaware Investments”) concerning, among other things, the nature, extent, and quality of services provided to the Fund; the costs of such services to the Fund; economies of scale; and the financial condition and profitability of Delaware Investments. In addition, in connection with the Annual Meeting, reports were provided to the Trustees in May 2014 and included reports provided by Lipper, Inc., an independent statistical compilation organization (“Lipper”). The Lipper reports compared the Fund’s investment performance and expenses with those of other comparable mutual funds. The Independent Trustees reviewed and discussed the Lipper reports with independent legal counsel to the Independent Trustees. The Board requested and received information regarding DMC’s policy with respect to advisory fee levels and its breakpoint philosophy; the structure of portfolio manager compensation; the investment manager’s profitability; comparative client fee information; and any constraints or limitations on the availability of securities for certain investment styles, which had in the past year inhibited, or which were likely in the future to inhibit, DMC’s ability to invest fully in accordance with Fund policies.

In considering information relating to the approval of the Fund’s management agreement, the Independent Trustees received assistance and advice from and met separately with independent legal counsel to the Independent Trustees. Although the Board gave attention to all information furnished, the following discussion identifies, under separate headings, the primary factors taken into account by the Board during its contract renewal considerations.

Nature, Extent, and Quality of Service. The Board considered the services provided by Delaware Investments to the Fund and its shareholders. In reviewing the nature, extent, and quality of services, the Board considered reports furnished to it throughout the year, which covered matters such as the relative performance of the Fund; compliance of portfolio managers with the investment policies, strategies, and restrictions for the Fund; compliance by DMC and Delaware Distributors, L.P. (together, “Management”) personnel with the Code of Ethics adopted throughout the Delaware Investments^® Family of Funds complex; and adherence to fair value pricing procedures as established by the Board. The Board was pleased with the current staffing of the Fund’s investment manager and the emphasis placed on research in the investment process. The Board recognized DMC’s receipt of several industry distinctions. The Board gave favorable consideration to DMC’s efforts to control expenditures while maintaining service levels committed to Fund matters. The Board noted that, in the third and fourth quarters of 2013, Management reduced the maximum 12b-1 fee for certain funds, and in November 2013 Management negotiated a substantial reduction in fees for fund accounting services provided to the Funds. The Board noted the benefits provided to Fund shareholders through each shareholder’s ability to exchange an investment in one Delaware Investments fund for the same class of shares in another Delaware Investments fund without a sales charge, to reinvest Fund dividends into additional shares of the Fund or into additional shares of other Delaware Investments funds, and the privilege to combine holdings in

61

Other Fund information (Unaudited)

Delaware Core Plus Bond Fund

Board Consideration of Delaware Core Plus Bond Fund Investment Management Agreement (continued)

other Delaware Investments funds to obtain a reduced sales charge. The Board was satisfied with the nature, extent, and quality of the overall services provided by Delaware Investments.

Investment Performance. The Board placed significant emphasis on the investment performance of the Fund in view of the importance of investment performance to shareholders. Although the Board gave appropriate consideration to performance reports and discussions with portfolio managers at Investment Committee meetings throughout the year, the Board gave particular weight to the Lipper reports furnished for the Annual Meeting. The Lipper reports prepared for the Fund showed the investment performance of its Class A shares in comparison to a group of similar funds as selected by Lipper (the “Performance Universe”). A fund with the best performance ranked first, and a fund with the poorest performance ranked last. The highest/best performing 25% of funds in the Performance Universe make up the first quartile; the next 25%, the second quartile; the next 25%, the third quartile; and the poorest/worst performing 25% of funds in the Performance Universe make up the fourth quartile. Comparative annualized performance for the Fund was shown for the past 1-, 3-, 5-, and 10-year periods, to the extent applicable, ended March 31, 2014. The Board’s objective is that the Fund’s performance for the periods considered be at or above the median of its Performance Universe. The following paragraph summarizes the performance results for the Fund and the Board’s view of such performance.

The Performance Universe for the Fund consisted of the Fund and all retail and institutional core plus bond funds as selected by Lipper. The Lipper report comparison showed that the Fund’s total return for the 1-, 3-, and 10-year periods was in the third quartile of its Performance Universe. The report further showed that the Fund’s total return for the 5-year period was in the second quartile of its Performance Universe. The Board noted that the Fund’s performance results were not in line with the Board’s objective. In evaluating the Fund’s short and intermediate term performance, the Board considered the numerous investment and performance reports delivered by Management personnel to the Board’s Investments Committee. The Board was satisfied that Management was taking action to improve Fund short and intermediate term performance and thereby, to meet the Board’s performance objective.

Comparative Expenses. The Board considered expense comparison data for the Delaware Investments^® Family of Funds. Management provided the Board with information on pricing levels and fee structures for the Fund as of its most recently completed fiscal year. The Board also focused on the comparative analysis of effective management fees and total expense ratios of the Fund versus effective management fees and expense ratios of a group of similar funds as selected by Lipper (the “Expense Group”). In reviewing comparative costs, the Fund’s contractual management fee and the actual management fee incurred by the Fund were compared with the contractual management fees (assuming all funds in the Expense Group were similar in size to the Fund) and actual management fees (as reported by each fund) within the Expense Group, taking into account any applicable breakpoints and fee waivers. The Fund’s total expenses were also compared with those of its Expense Group. The Lipper total expenses, for comparative consistency, were shown by Lipper for Class A shares and comparative total expenses including 12b-1 and non 12b-1 service fees. The Board considered fees paid to Delaware Investments for nonmanagement services. The Board’s objective is to limit the Fund’s total expense ratio to be competitive with that of the Expense Group. The following paragraph summarizes the expense results for the Fund and the Board’s view of such expenses.

62

The expense comparisons for the Fund showed that its actual management fee and total expenses were in the quartile with the second lowest expenses of its Expense Group. The Board was satisfied with the management fee and total expenses of the Fund in comparison to those of its Expense Group as shown in the Lipper report.

Management Profitability. The Board considered the level of profits realized by Delaware Investments in connection with the operation of the Fund. In this respect, the Board reviewed the Investment Management Profitability Analysis that addressed the overall profitability of Delaware Investments’ business in providing management and other services to each of the individual funds and the Delaware Investments^® Family of Funds as a whole. Specific attention was given to the methodology followed in allocating costs for the purpose of determining profitability. Management stated that the level of profits of Delaware Investments, to a certain extent, reflects recent operational cost savings and efficiencies initiated by Delaware Investments. The Board considered Delaware Investments’ efforts to improve services provided to fund shareholders and to meet additional regulatory and compliance requirements resulting from recent industry-wide Securities and Exchange Commission initiatives. The Board also considered the extent to which Delaware Investments might derive ancillary benefits from fund operations, including the potential for procuring additional business as a result of the prestige and visibility associated with its role as service provider to the Delaware Investments Family of Funds and the benefits from allocation of fund brokerage to improve trading efficiencies. The Board found that the management fees were reasonable in light of the services rendered and the level of profitability of Delaware Investments.

Economies of Scale. The Trustees considered whether economies of scale are realized by Delaware Investments as the Fund’s assets increase and the extent to which any economies of scale are reflected in the level of management fees charged. The Trustees reviewed the standardized advisory fee pricing and structure, approved by the Board and shareholders, which includes breakpoints. Breakpoints in the advisory fee occur when the advisory fee rate is reduced on assets in excess of specified levels. Breakpoints result in a lower advisory fee than would otherwise be the case on all assets when the asset levels specified are exceeded. The Board noted that the fee under the Fund’s management contract fell within the standard structure. Although the Fund has not reached a size at which it can take advantage of breakpoints, the Board recognized that the fee was structured so that when the Fund grows, economies of scale may be shared.

63

About the organization

Board of trustees
Patrick P. Coyne	Joseph W. Chow	Lucinda S. Landreth	Thomas K. Whitford
President and Chief Executive Officer Delaware Investments® Family of Funds Philadelphia, PA Thomas L. Bennett Chairman of the Board Delaware Investments Family of Funds Private Investor Rosemont, PA	Former Executive Vice President State Street Corporation Brookline, MA John A. Fry President Drexel University Philadelphia, PA	Former Chief Investment Officer Assurant, Inc. Philadelphia, PA Frances A. Sevilla-Sacasa Chief Executive Officer Banco Itaú International Miami, FL	Former Vice Chairman PNC Financial Services Group Pittsburgh, PA Janet L. Yeomans Former Vice President and Treasurer 3M Corporation St. Paul, MN J. Richard Zecher Founder Investor Analytics Scottsdale, AZ
Affiliated officers
David F. Connor	Daniel V. Geatens	David P. O’Connor	Richard Salus
Senior Vice President,	Vice President and	Executive Vice President,	Senior Vice President and
Deputy General Counsel,	Treasurer	General Counsel,	Chief Financial Officer
and Secretary	Delaware Investments	and Chief Legal Officer	Delaware Investments
Delaware Investments	Family of Funds	Delaware Investments	Family of Funds
Family of Funds	Philadelphia, PA	Family of Funds	Philadelphia, PA
Philadelphia, PA		Philadelphia, PA

This semiannual report is for the information of Delaware Core Plus Bond Fund shareholders, but it may be used with prospective investors when preceded or accompanied by the Delaware Investments Fund fact sheet for the most recently completed calendar quarter. These documents are available at delawareinvestments.com.

Delaware Investments is the marketing name of Delaware Management Holdings, Inc. and its subsidiaries.

The Fund files its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-Q. The Fund’s Forms N-Q, as well as a description of the policies and procedures that the Fund uses to determine how to vote proxies (if any) relating to portfolio securities are available without charge (i) upon request, by calling 800 523-1918; and (ii) on the SEC’s website at sec.gov. In addition, a description of the policies and procedures that the Fund uses to determine how to vote proxies (if any) relating to portfolio securities and the Schedule of Investments included in the Fund’s most recent Form N-Q are available without charge on the Fund’s website at delawareinvestments.com. The Fund’s Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C.; information on the operation of the Public Reference Room may be obtained by calling 800 SEC-0330.

Information (if any) regarding how the Fund voted proxies relating to portfolio securities during the most recently disclosed 12-month period ended June 30 is available without charge (i) through the Fund’s website at delawareinvestments.com; and (ii) on the SEC’s website at sec.gov.

64

 

Semiannual report

Fixed income mutual fund

Delaware Emerging Markets Debt Fund

January 31, 2015

Carefully consider the Fund’s investment objectives, risk factors, charges, and expenses before investing. This and other information can be found in the Fund’s prospectus and its summary prospectus, which may be obtained by visiting delawareinvestments.com or calling 800 523-1918. Investors should read the prospectus and the summary prospectus carefully before investing.

You can obtain shareholder reports and prospectuses online instead of in the mail.

Visit delawareinvestments.com/edelivery.

Experience Delaware Investments

Delaware Investments is committed to the pursuit of consistently superior asset management and unparalleled client service. We believe in our investment processes, which seek to deliver consistent results, and in convenient services that help add value for our clients.

If you are interested in learning more about creating an investment plan, contact your financial advisor.

You can learn more about Delaware Investments or obtain a prospectus for Delaware Emerging Markets Debt Fund at delawareinvestments.com.

Manage your investments online

• 24-hour access to your account information

• Obtain share prices

• �� Check your account balance and recent transactions

• Request statements or literature

• Make purchases and redemptions

Delaware Management Holdings, Inc. and its subsidiaries (collectively known by the marketing name of Delaware Investments) are wholly owned subsidiaries of Macquarie Group Limited, a global provider of banking, financial, advisory, investment and funds management services.

Investments in Delaware Emerging Markets Debt Fund are not and will not be deposits with or liabilities of Macquarie Bank Limited ABN 46 008 583 542 and its holding companies, including their subsidiaries or related companies (Macquarie Group), and are subject to investment risk, including possible delays in repayment and loss of income and capital invested. No Macquarie Group company guarantees or will guarantee the performance of the Fund, the repayment of capital from the Fund, or any particular rate of return.

Table of contents

Disclosure of Fund expenses	1
Security type / sector allocation	3
Schedule of investments	4
Statement of assets and liabilities	10
Statement of operations	12
Statements of changes in net assets	14
Statement of cash flows	16
Financial highlights	17
Notes to financial statements	21
Other Fund information	37
About the organization	40

Unless otherwise noted, views expressed herein are current as of Jan. 31, 2015, and subject to change for events occurring after such date.

Funds are not FDIC insured and are not guaranteed. It is possible to lose the principal amount invested.

Mutual fund advisory services provided by Delaware Management Company, a series of Delaware Management Business Trust, which is a registered investment advisor. Delaware Investments, a member of Macquarie Group, refers to Delaware Management Holdings, Inc. and its subsidiaries, including the Fund’s distributor, Delaware Distributors, L.P. Macquarie Group refers to Macquarie Group Limited and its subsidiaries and affiliates worldwide.

© 2015 Delaware Management Holdings, Inc.

All third-party marks cited are the property of their respective owners.

Disclosure of Fund expenses

For the six-month period August 1, 2014 to January 31, 2015 (Unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; and exchange fees; and (2) ongoing costs, including management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire six-month period from Aug. 1, 2014 to Jan. 31, 2015.

Actual expenses

The first section of the table shown, “Actual Fund return,” provides information about actual account values and actual expenses. You may use the information in this section of the table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first section under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

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

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the second section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher. The Fund’s expenses shown in the table reflect fee waivers in effect. The expenses shown in the table assume reinvestment of all dividends and distributions.

1

Disclosure of Fund expenses

For the six-month period August 1, 2014 to January 31, 2015 (Unaudited)

Delaware Emerging Markets Debt Fund

Expense analysis of an investment of $1,000

	Beginning Account Value 8/1/14		Ending Account Value 1/31/15		Annualized Expense Ratio	Expenses Paid During Period 8/1/14 to 1/31/15*
Actual Fund return†
Class A	$	1,000.00	$	959.20	1.15%	$5.68
Class C		1,000.00		959.20	1.15%	5.68
Class R		1,000.00		959.20	1.15%	5.68
Institutional Class		1,000.00		959.20	1.15%	5.68
Hypothetical 5% return (5% return before expenses)
Class A	$	1,000.00	$	1,019.41	1.15%	$5.85
Class C		1,000.00		1,019.41	1.15%	5.85
Class R		1,000.00		1,019.41	1.15%	5.85
Institutional Class		1,000.00		1,019.41	1.15%	5.85

* “Expenses Paid During Period” are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

† Because actual returns reflect only the most recent six-month period, the returns shown may differ significantly from fiscal year returns.

2

Security type / sector allocation
Delaware Emerging Markets Debt Fund	As of January 31, 2015 (Unaudited)

Sector designations may be different than the sector designations presented in other fund materials. The sector designations may represent the investment manager’s internal sector classifications, which may result in the sector designations for one fund being different than another fund’s sector designations.

Security type / sector	Percentage of net assets
Corporate Bonds		71.95%
Banking		16.03%
Basic Industry		8.25%
Capital Goods		2.88%
Communications		15.62%
Consumer Cyclical		1.09%
Consumer Non-Cyclical		4.86%
Electric		7.72%
Energy		7.31%
Finance Companies		3.69%
Holding Companies - Diversified		1.30%
Technology		1.41%
Transportation		1.79%
Senior Secured Loan		2.80%
Sovereign Bonds		12.65%
Supranational Banks		1.86%
Short-Term Investments		1.02%
Total Value of Securities		90.28%
Receivables and Other Assets Net of Liabilities		9.72%
Total Net Assets		100.00%

3

Schedule of investments
Delaware Emerging Markets Debt Fund	January 31, 2015 (Unaudited)

	Principal amount°		Value (U.S. $)
Corporate Bonds – 71.95%
Banking – 16.03%
Akbank TAS 144A 4.00% 1/24/20 #		300,000	$	297,825
Banco Santander Mexico 144A 5.95% 1/30/24 #—¥		200,000		209,000
Bank of Georgia 144A 7.75% 7/5/17 #		300,000		304,500
BBVA Bancomer 6.50% 3/10/21 ¥		250,000		278,375
Oversea-Chinese Banking 144A 4.00% 10/15/24 #—		375,000		389,112
Siam Commercial Bank 144A 3.50% 4/7/19 #		250,000		259,873
Turkiye Garanti Bankasi 144A 4.75% 10/17/19 #		500,000		511,250
Woori Bank 144A 4.75% 4/30/24 #		295,000		319,546
Yapi ve Kredi Bankasi 5.188% 10/13/15 ¥		350,000		356,125
				2,925,606
Basic Industry – 8.25%
Alpek SAB de CV 4.50% 11/20/22 ¥		250,000		255,625
Consolidated Energy Finance 144A 6.75% 10/15/19 #		250,000		241,250
Fibria Overseas Finance 5.25% 5/12/24		200,000		202,000
Mexichem 144A 5.875% 9/17/44 #		300,000		293,550
OCP 144A 5.625% 4/25/24 #		300,000		328,161
Tupy Overseas 144A 6.625% 7/17/24 #¥		200,000		184,500
				1,505,086
Capital Goods – 2.88%
Cemex SAB de CV
144A 5.875% 3/25/19 #		250,000		252,375
9.50% 6/15/18 ¥		250,000		272,500
				524,875
Communications – 15.62%
Bharti Airtel International Netherlands 144A 5.35% 5/20/24 #¥		200,000		226,694
Columbus International 144A 7.375% 3/30/21 #		250,000		258,125
Digicel Group 144A 8.25% 9/30/20 #¥		500,000		489,000
Grupo Televisa 5.00% 5/13/45 ¥		200,000		213,056
Millicom International Cellular 144A 6.625% 10/15/21 #¥		200,000		205,500
MTN Mauritius Investments 144A 4.755% 11/11/24 #		255,000		258,825
TBG Global PTE 144A 4.625% 4/3/18 #		300,000		301,500
Telemar Norte Leste 144A 5.50% 10/23/20 #¥		200,000		180,500
Tencent Holdings 144A 3.375% 5/2/19 #		235,000		242,638
VimpelCom Holdings 144A 6.255% 3/1/17 #¥		300,000		274,149
VTR Finance 144A 6.875% 1/15/24 #¥		200,000		201,010
				2,850,997
Consumer Cyclical – 1.09%
SACI Falabella 144A 4.375% 1/27/25 #		200,000		199,445
				199,445
Consumer Non-Cyclical – 4.86%
ENA Norte Trust 4.95% 4/25/23		224,278		228,764

4

		Principal amount°		Value (U.S. $)
Corporate Bonds (continued)
Consumer Non-Cyclical (continued)
Gruma SAB de CV 144A 4.875% 12/1/24 #			200,000	$	209,500
JBS Investments 144A 7.75% 10/28/20 #¥			200,000		206,940
Minerva Luxembourg 144A 7.75% 1/31/23 #			250,000		241,250
					886,454
Electric – 7.72%
AES Gener
144A 5.25% 8/15/21 #¥			200,000		213,257
144A 8.375% 12/18/73 #—¥			200,000		217,000
Comision Federal de Electricidad 144A 4.875% 1/15/24 #			250,000		265,125
State Grid Overseas Investment 2014
144A 2.75% 5/7/19 #			200,000		203,751
144A 4.125% 5/7/24 #			280,000		306,367
Transelec 144A 4.25% 1/14/25 #			200,000		203,776
					1,409,276
Energy – 7.31%
CNOOC Nexen Finance 2014 4.25% 4/30/24 ¥			300,000		323,652
Lukoil International Finance 144A 3.416% 4/24/18 #			200,000		168,500
ONGC Videsh 2.50% 5/7/18 ¥			200,000		199,991
Pacific Rubiales Energy 144A 5.625% 1/19/25 #			452,000		258,770
Petroleos Mexicanos 144A 4.25% 1/15/25 #			190,000		187,587
PTT Exploration & Production PCL 144A 4.875% 12/29/49 #—			200,000		195,750
					1,334,250
Finance Companies – 3.69%
Corp Financiera de Desarrollo 144A 5.25% 7/15/29 #—¥			200,000		207,500
Export-Import Bank of China 144A 2.50% 7/31/19 #¥			250,000		253,495
Trust F 144A 5.25% 12/15/24 #¥			200,000		211,200
					672,195
Holding Companies - Diversified – 1.30%
Hutchison Whampoa International 14 144A 3.625% 10/31/24 #			230,000		237,443
					237,443
Technology – 1.41%
Baidu 3.25% 8/6/18			250,000		256,804
					256,804
Transportation – 1.79%
Red de Carreteras de Occidente SAPIB de CV 9.00% 6/10/28	MXN		5,000,000		326,992
					326,992
Total Corporate Bonds (cost $13,110,609)					13,129,423

5

Schedule of investments

Delaware Emerging Markets Debt Fund

		Principal amount°		Value (U.S. $)
Senior Secured Loan – 2.80%«
Republic of Angola (Unsecured) 6.25% 12/16/23			510,000	$	511,275
Total Senior Secured Loan (cost $510,000)					511,275
Sovereign Bonds – 12.65%D
Brazil – 0.76%
Brazil Notas do Tesouro Nacional Series F
10.00% 1/1/17	BRL		300,000		107,501
10.00% 1/1/21	BRL		89,000		30,527
					138,028
Chile – 0.46%
Chile Government International Bond 5.50% 8/5/20	CLP		50,000,000		84,117
					84,117
Colombia – 2.02%
Colombia Government International Bond
5.625% 2/26/44			200,000		232,000
7.375% 9/18/37			100,000		135,750
					367,750
Costa Rica – 0.92%
Costa Rica Government International Bond 5.625% 4/30/43			200,000		167,500
					167,500
Dominican Republic – 1.11%
Dominican Republic International Bond
144A 5.50% 1/27/25 #			100,000		101,750
144A 6.85% 1/27/45 #			100,000		101,500
					203,250
Hungary – 0.31%
Hungary Government International Bond 5.375% 3/25/24			50,000		57,100
					57,100
Indonesia – 1.32%
Indonesia Government International Bond 144A 4.625% 4/15/43 #			200,000		197,500
Indonesia Treasury Bond 7.875% 4/15/19	IDR		517,000,000		42,446
					239,946
Kazakhstan – 1.04%
Kazakhstan Government International Bond 144A 4.875% 10/14/44 #			216,000		189,972
					189,972
Mexico – 0.10%
Mexican Bonos 10.00% 12/5/24	MXN		208,000		18,931
					18,931

6

		Principal amount°		Value (U.S. $)
Sovereign BondsD (continued)
Pakistan – 1.12%
Pakistan Government International Bond 144A 7.25% 4/15/19 #			200,000	$	204,750
					204,750
Peru – 0.46%
Peruvian Government International Bond 144A 5.70% 8/12/24 #	PEN		248,000		83,211
					83,211
Senegal – 1.09%
Senegal Government International Bond 144A 6.25% 7/30/24 #			200,000		199,624
					199,624
South Africa – 1.75%
South Africa Government Bond
6.75% 3/31/21	ZAR		3,070,000		264,543
8.00% 1/31/30	ZAR		613,000		55,311
					319,854
Turkey – 0.19%
Turkey Government Bond 9.00% 7/24/24	TRY		73,000		33,883
					33,883
Total Sovereign Bonds (cost $2,340,495)					2,307,916
Supranational Banks – 1.86%
African Export-Import Bank 3.875% 6/4/18			300,000		296,616
European Bank for Reconstruction & Development 7.375% 4/15/19	IDR		550,000,000		44,050
Total Supranational Banks (cost $347,986)					340,666
Short-Term Investments – 1.02%
Repurchase Agreements – 1.02%
Bank of America Merrill Lynch
0.03%, dated 1/30/15, to be repurchased on 2/2/15, repurchase price $69,493 (collateralized by U.S. government obligations 0.000%–7.875% 2/26/15–8/15/40; market value $70,883)			69,493		69,493
Bank of Montreal
0.05%, dated 1/30/15, to be repurchased on 2/2/15, repurchase price $46,329 (collateralized by U.S. government obligations 0.75%–3.875%
6/30/16–8/15/40; market value $47,255)			46,328		46,328

7

Schedule of investments

Delaware Emerging Markets Debt Fund

	Principal amount°		Value (U.S. $)
Short-Term Investments (continued)
Repurchase Agreements (continued)
BNP Paribas
0.06%, dated 1/30/15, to be repurchased on 2/2/15, repurchase price $69,897 (collateralized by U.S. government obligations 0.000%–2.125%
7/31/16–5/15/29; market value $71,295)		69,897	$	69,897
Total Short-Term Investments (cost $185,718)				185,718
Total Value of Securities – 90.28%
(cost $16,494,808)			$	16,474,998

# Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. At Jan. 31, 2015, the aggregate value of Rule 144A securities was $11,293,846, which represents 61.89% of the Fund’s net assets. See Note 9 in “Notes to financial statements.”

° Principal amount shown is stated in U.S. dollars unless noted that the security is denominated in another currency.

— Variable rate security. The rate shown is the rate as of Jan. 31, 2015. Interest rates reset periodically.

¥ Fully or partially pledged as collateral for borrowing transactions.

D Securities have been classified by country of origin.

« Senior secured loans generally pay interest at rates which are periodically redetermined by reference to a base lending rate plus a premium. These base lending rates are generally: (i) the prime rate offered by one or more U.S. banks, (ii) the lending rate offered by one or more European banks such as the London Inter-Bank Offered Rate (LIBOR), and (iii) the certificate of deposit rate. Senior secured loans may be subject to restrictions on resale. Stated rate in effect at Jan. 31, 2015.

The following foreign currency exchange contracts were outstanding at Jan. 31, 2015:¹

Foreign Currency Exchange Contracts

Counterparty	Contracts to Receive (Deliver)			In Exchange For				Settlement Date		Unrealized Appreciation (Depreciation)
GSC		TRY	91,250		USD	(37,889	)		2/2/15	$	(613)

The use of foreign currency exchange contracts involves elements of market risk and risks in excess of the amounts recognized in the financial statements. The foreign currency exchange contracts presented above represent the Fund’s total exposure in such contracts, whereas only the net unrealized appreciation (depreciation) is reflected in the Fund’s net assets.

¹See Note 6 in “Notes to financial statements.”

8

Summary of abbreviations:

BRL – Brazilian Real

CLP – Chilean Peso

GSC – Goldman Sachs Capital

IDR – Indonesian Rupiah

MXN – Mexican Peso

PEN – Peruvian Nuevo Sol

TRY – Turkish Lira

USD – U.S. Dollar

ZAR – South African Rand

See accompanying notes, which are an integral part of the financial statements.

9

Statement of assets and liabilities
Delaware Emerging Markets Debt Fund	January 31, 2015 (Unaudited)

Assets:
Investments, at value1	$16,289,280
Short-term investments, at value2	185,718
Foreign currencies, at value3	19,701
Receivable for securities sold	1,927,501
Interest receivable	205,672
Prepaid expenses	64,014
Total assets	18,691,886
Liabilities:
Margin payable	200,000
Cash overdraft	168,698
Payable for securities purchased	35,174
Interest payable for margin	45
Other accrued expenses	29,938
Investment management fees payable	7,955
Other affiliates payable	447
Trustees’ fees and expenses payable	65
Unrealized loss on foreign currency exchange contracts	613
Deferred capital gains tax	315
Total liabilities	443,250
Total Net Assets	$18,248,636
Net Assets Consist of:
Paid-in capital	$18,944,964
Undistributed net investment income	17,786
Accumulated net realized loss on investments	(692,850	)
Net unrealized depreciation of investments, foreign currencies, and derivatives	(21,264	)
Total Net Assets	$18,248,636

10

Class A:
Net assets	$	2,096
Shares of beneficial interest outstanding, unlimited authorization, no par		256
Net asset value per share	$	8.19
Sales charge		4.50	%
Offering price per share, equal to net asset value per share/(1 – sales charge)	$	8.58
Class C:
Net assets	$	2,081
Shares of beneficial interest outstanding, unlimited authorization, no par		254
Net asset value per share	$	8.19
Class R:
Net assets	$	2,089
Shares of beneficial interest outstanding, unlimited authorization, no par		255
Net asset value per share	$	8.19
Institutional Class:
Net assets	$	18,242,370
Shares of beneficial interest outstanding, unlimited authorization, no par		2,227,000
Net asset value per share	$	8.19

1Investments, at cost	$	16,309,090
2Short-term investments, at cost		185,718
3Foreign currencies, at cost		20,038

See accompanying notes, which are an integral part of the financial statements.

11

Statement of operations
Delaware Emerging Markets Debt Fund	Six months ended January 31, 2015 (Unaudited)

Investment Income:
Interest	$	536,767
Dividends		9,238
		546,005
Expenses:
Management fees		70,866
Distribution expenses – Class A		3
Distribution expenses – Class C		11
Distribution expenses – Class R		5
Audit and tax		20,057
Legal fees		18,651
Reports and statements to shareholders		13,161
Dividend disbursing and transfer agent fees and expenses		3,186
Accounting and administration expenses		3,085
Custodian fees		2,466
Registration fees		622
Trustees’ fees and expenses		427
Other		2,713
Expenses before dividends on short sales and interest expense		135,253
Dividends on short sales		7,683
Interest expense		6,152
		149,088
Less expenses waived		(40,367	)
Less waived distribution expenses – Class A		(3	)
Less waived distribution expenses – Class C		(11	)
Less waived distribution expenses – Class R		(5	)
Total operating expenses		108,702
Net Investment Income		437,303

12

Net Realized and Unrealized Loss:
Net realized loss on:
Investments	$	(557,615	)
Foreign currencies		(19,813	)
Foreign currency exchange contracts		(9,099	)
Swap contracts		(5,723	)
Net realized loss		(592,250	)
Net change in unrealized appreciation (depreciation) of:
Investments*		(624,944	)
Foreign currencies		(1,836	)
Foreign currency exchange contracts		(613	)
Swap contracts		5,408
Net change in unrealized appreciation (depreciation)		(621,985	)
Net Realized and Unrealized Loss		(1,214,235	)
Net Decrease in Net Assets Resulting from Operations	$	(776,932	)

* Includes $315 capital gains taxes accrued.

See accompanying notes, which are an integral part of the financial statements.

13

Statements of changes in net assets

Delaware Emerging Markets Debt Fund

	Six months
	ended			9/30/13*
	1/31/15			to
	(Unaudited)			7/31/14
Increase (Decrease) in Net Assets from Operations:
Net investment income	$	437,303		$	715,440
Net realized gain (loss)		(592,250	)		108,974
Net change in unrealized appreciation (depreciation)		(621,985	)		600,721
Net increase (decrease) in net assets resulting from operations		(776,932	)		1,425,135
Dividends and Distributions to Shareholders from:
Net investment income:
Class A		(50	)		(76	)
Class C		(50	)		(64	)
Class R		(50	)		(72	)
Institutional Class		(437,202	)		(701,408	)
Net realized gain:
Class A		(24	)		—
Class C		(23	)		—
Class R		(23	)		—
Institutional Class		(205,499	)		—
		(642,921	)		(701,620	)

14

	Six months
	ended			9/30/13*
	1/31/15			to
	(Unaudited)			7/31/14
Capital Share Transactions:
Proceeds from shares sold:
Class A	$	—		$	2,025
Class C		—			2,026
Class R		—			2,026
Institutional Class		—			28
Proceeds from shares issued upon transfer:
Institutional Class		—			17,600,000
Net asset value of shares issued upon reinvestment of dividends and distributions:
Class A		74			76
Class C		73			63
Class R		73			71
Institutional Class		642,701			701,408
		642,921			18,307,723
Cost of shares redeemed:
Institutional Class		—			(5,670	)
Increase in net assets derived from capital share transactions		642,921			18,302,053
Net Increase (Decrease) in Net Assets		(776,932	)		19,025,568
Net Assets:
Beginning of period		19,025,568			—
End of period	$	18,248,636		$	19,025,568
Undistributed net investment income	$	17,786		$	17,835

See accompanying notes, which are an integral part of the financial statements.

15

Statement of cash flows
Delaware Emerging Markets Debt Fund	January 31, 2015 (Unaudited)

Net Cash Provided by (Used for) Operating Activities:
Net decrease in net assets resulting from operations	$	(776,932	)
Adjustments to reconcile net increase in net assets from operations to cash provided by (used for) operating activities:
Amortization of premium and discount on investments purchased, net		3,857
Purchase of investment securities		(18,000,294	)
Proceeds from sale of investment securities		21,606,300
Proceeds from securities sold short		5,172,308
Purchase of securities to close short sales		(6,098,572	)
Proceeds from sale of short-term investment securities, net		761,282
Net realized loss on investments, swaps and currencies		583,151
Net change in unrealized appreciation (depreciation)		621,985
Decrease in cash collateral due from brokers		120,000
Increase in receivable for investments sold		(317,068	)
Decrease in interest receivable		40,569
Decrease in due from investment manager		13,541
Increase in prepaid expenses		(64,014	)
Decrease in payable for investments purchased		(214,564	)
Decrease in upfront payments on credit default swap contracts		(101,183	)
Decrease in swap payments payable		(5,833	)
Decrease in interest payable		(816	)
Decrease in distribution fees payable		(2	)
Increase in investment management fees payable		7,955
Increase in Trustees’ fees and expenses payable		21
Decrease in other affiliates payable		(1,373	)
Decrease in other accrued expenses		(13,305	)
Total adjustments		4,113,945
Net cash used for operating activities		3,337,013
Cash Flows Used for Financing Activities:
Decrease in margin payable		(3,351,342	)
Net cash used for financing activities		(3,351,342	)
Effect of exchange rates on cash		(296	)
Net decrease in cash		(14,625	)
Cash overdraft and foreign currencies, at value at beginning of period		(134,372	)
Cash overdraft and foreign currencies, at value at end of period	$	(148,997	)
Non-Cash Financing Activities:
Cash paid for interest expense for leverage	$	10,054

See accompanying notes, which are an integral part of the financial statements.

16

Financial highlights

Delaware Emerging Markets Debt Fund Class A

Selected data for each share of the Fund outstanding throughout each period were as follows:

	Six months ended			9/30/132
	1/31/151			to
	(Unaudited)			7/31/14
Net asset value, beginning of period	$	8.840		$	8.500
Income (loss) from investment operations:
Net investment income3		0.200			0.323
Net realized and unrealized gain (loss)		(0.555	)		0.333
Total from investment operations		(0.355	)		0.656
Less dividends and distributions from:
Net investment income		(0.201	)		(0.316	)
Net realized gain		(0.094	)		—
Total dividends and distributions		(0.295	)		(0.316	)
Net asset value, end of period	$	8.190		$	8.840
Total return4		(4.08%	)		7.86%
Ratios and supplemental data:
Net assets, end of period (000 omitted)	$	2		$	2
Ratio of expenses to average net assets excluding interest expenses		1.09%			1.31%
Ratio of expenses to average net assets		1.15%			1.50%
Ratio of expenses to average net assets prior to fees waived		1.83%			2.48%
Ratio of net investment income to average net assets excluding interest expenses		4.69%			4.66%
Ratio of net investment income to average net assets		4.63%			4.47%
Ratio of net investment income to average net assets prior to fees waived		3.95%			3.49%
Portfolio turnover		123%			152%

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  Date of commencement of operations; ratios have been annualized and total return has not been annualized.

³  The average shares outstanding method has been applied for per share information.

⁴  Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value and does not reflect the impact of a sales charge. Total investment return reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect.

See accompanying notes, which are an integral part of the financial statements.

17

Financial highlights

Delaware Emerging Markets Debt Fund Class C

Selected data for each share of the Fund outstanding throughout each period were as follows:

	Six months ended			9/30/132
	1/31/151			to
	(Unaudited)			7/31/14
Net asset value, beginning of period		$    8.840		$	8.500
Income (loss) from investment operations:
Net investment income3		0.200			0.271
Net realized and unrealized gain (loss)		(0.555	)		0.333
Total from investment operations		(0.355	)		0.604
Less dividends and distributions from:
Net investment income		(0.201	)		(0.264	)
Net realized gain		(0.094	)		—
Total dividends and distributions		(0.295	)		(0.264	)
Net asset value, end of period		$    8.190		$	8.840
Total return4		(4.08%)			7.22%
Ratios and supplemental data:
Net assets, end of period (000 omitted)		$           2		$	2
Ratio of expenses to average net assets excluding interest expense		1.09%			2.03%
Ratio of expenses to average net assets		1.15%			2.22%
Ratio of expenses to average net assets prior to fees waived		2.58%			3.20%
Ratio of net investment income to average net assets excluding interest expense		4.69%			3.94%
Ratio of net investment income to average net assets		4.63%			3.75%
Ratio of net investment income to average net assets prior to fees waived		3.20%			2.77%
Portfolio turnover		123%			152%

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized.

³  The average shares outstanding method has been applied for per share information.

⁴  Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value and does not reflect the impact of a sales charge. Total investment return reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect.

See accompanying notes, which are an integral part of the financial statements.

18

Financial highlights

Delaware Emerging Markets Debt Fund Class R

Selected data for each share of the Fund outstanding throughout each period were as follows:

	Six months ended 1/31/151 (Unaudited)			9/30/132 to 7/31/14
Net asset value, beginning of period		$    8.840			$    8.500
Income (loss) from investment operations:
Net investment income3		0.200			0.306
Net realized and unrealized gain (loss)		(0.555	)		0.332
Total from investment operations		(0.355	)		0.638
Less dividends and distributions from:
Net investment income		(0.201	)		(0.298	)
Net realized gain		(0.094	)		—
Total dividends and distributions		(0.295	)		(0.298	)
Net asset value, end of period		$    8.190			$    8.840
Total return4		(4.08%	)		7.64%
Ratios and supplemental data:
Net assets, end of period (000 omitted)		$           2			$           2
Ratio of expenses to average net assets excluding interest expense		1.09%			1.55%
Ratio of expenses to average net assets		1.15%			1.74%
Ratio of expenses to average net assets prior to fees waived		2.08%			2.72%
Ratio of net investment income to average net assets excluding interest expense		4.69%			4.42%
Ratio of net investment income to average net assets		4.63%			4.23%
Ratio of net investment income to average net assets prior to fees waived		3.70%			3.25%
Portfolio turnover		123%			152%

¹ Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized.

³  The average shares outstanding method has been applied for per share information.

⁴ Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value and does not reflect the impact of a sales charge. Total investment return reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect.

See accompanying notes, which are an integral part of the financial statements.

19

Financial highlights

Delaware Emerging Markets Debt Fund Institutional Class

Selected data for each share of the Fund outstanding throughout each period were as follows:

	Six months ended 1/31/151 (Unaudited)			9/30/132 to 7/31/14
Net asset value, beginning of period		$      8.840		$	8.500
Income (loss) from investment operations:
Net investment income3		0.200			0.340
Net realized and unrealized gain (loss)		(0.555	)		0.333
Total from investment operations		(0.355	)		0.673
Less dividends and distributions from:
Net investment income		(0.201	)		(0.333	)
Net realized gain		(0.094	)		—
Total dividends and distributions		(0.295	)		(0.333	)
Net asset value, end of period		$      8.190		$	8.840
Total return4		(4.08%	)		8.08%
Ratios and supplemental data:
Net assets, end of period (000 omitted)		$    18,243		$	19,020
Ratio of expenses to average net assets excluding interest expense		1.09%			1.07%
Ratio of expenses to average net assets		1.15%			1.26%
Ratio of expenses to average net assets prior to fees waived		1.58%			2.24%
Ratio of net investment income to average net assets excluding interest expense		4.69%			4.90%
Ratio of net investment income to average net assets		4.63%			4.71%
Ratio of net investment income to average net assets prior to fees waived		4.20%			3.73%
Portfolio turnover		123%			152%

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

² Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized.

³ The average shares outstanding method has been applied for per share information.

⁴ Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value and does not reflect the impact of a sales charge. Total investment return reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect.

See accompanying notes, which are an integral part of the financial statements.

20

Notes to financial statements

Delaware Emerging Markets Debt Fund January 31, 2015 (Unaudited)

Delaware Group^® Government Fund (Trust) is organized as a Delaware statutory trust and offers three series: Delaware Core Plus Bond Fund, Delaware Emerging Markets Debt Fund, and Delaware Inflation Protected Bond Fund. These financial statements and the related notes pertains to Delaware Emerging Markets Debt Fund (Fund). The Trust is an open-end investment company. The Fund is considered diversified under the Investment Company Act of 1940, as amended, and offers Class A, Class C, Class R and Institutional Class shares. Class A shares are sold with a maximum front-end sales charge of 4.50%. Class A share purchases of $1,000,000 or more will incur a contingent deferred sales charge (CDSC) of 1.00% if redeemed during the first year and 0.50% during the second year, provided that Delaware Distributors, L.P. (DDLP) paid a financial advisor a commission on the purchase of those shares. Class C shares are sold with a CDSC charge of 1.00%, if redeemed during the first twelve months. Class R and Institutional Class shares are not subject to a sales charge and are offered for sale exclusively to certain eligible investors.

The investment objective of the Fund is to primarily seek current income and secondarily capital appreciation.

1. Significant Accounting Policies

The following accounting policies are in accordance with U.S. generally accepted accounting principles (U.S. GAAP) and are consistently followed by the Fund.

Security Valuation – Equity securities and exchange-traded funds (ETFs), except those traded on the Nasdaq Stock Market, Inc. (Nasdaq), are valued at the last quoted sales price as of the time of the regular close of the New York Stock Exchange on the valuation date. Securities and ETFs traded on the Nasdaq are valued in accordance with the Nasdaq Official Closing Price, which may not be the last sales price. If, on a particular day, an equity security or ETF does not trade, the mean between the bid and ask prices will be used, which approximates fair value. Securities listed on a foreign exchange are normally valued at the last quoted sales price on the valuation date. Debt securities and credit default swap (CDS) contracts are valued based upon valuations provided by an independent pricing service or broker/ counterparty and reviewed by management. To the extent current market prices are not available, the pricing service may take into account developments related to the specific security, as well as transactions in comparable securities. U.S. government and agency securities are valued at the mean between the bid and ask prices, which approximates fair value. Valuations for fixed income securities utilize matrix systems, which reflect such factors as security prices, yields, maturities, and ratings, and are supplemented by dealer and exchange quotations. Swap prices are derived using daily swap curves and models that incorporate a number of market data factors, such as discounted cash flows, trades, and values of the underlying reference instruments. Foreign currency exchange contracts and foreign cross currency exchange contracts are valued at the mean between the bid and ask prices, which approximates fair value. Interpolated values are derived when the settlement date of the contract is an interim date for which quotations are not available. Generally, other securities and assets for which market quotations are not readily available are valued at fair value as determined in good faith under the direction of the Fund’s Board of Trustees (Board). In determining whether market quotations are readily available or fair valuation will be used, various factors will be taken into consideration, such as market closures or suspension of trading in a security.

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Notes to financial statements

Delaware Emerging Markets Debt Fund

1. Significant Accounting Policies (continued)

Federal Income Taxes – No provision for federal income taxes has been made as the Fund intends to continue to qualify for federal income tax purposes as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended, and make the requisite distributions to shareholders. The Fund evaluates tax positions taken or expected to be taken in the course of preparing the Fund’s tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the “more-likely-than-not” threshold are recorded as a tax benefit or expense in the current year. Management has analyzed the Fund’s tax positions taken on the federal income tax return for the open tax year July 31, 2014, and has concluded that no provision for federal income tax is required in the Fund’s financial statements. In regards to foreign taxes only, the Fund has open tax years in certain foreign countries in which it invests that may date back to the inception of the Fund.

Class Accounting – Investment income, common expenses and realized and unrealized gain (loss) on investments are allocated to the various classes of the Fund on the basis of daily net assets of each class. Distribution expenses relating to a specific class are charged directly to that class.

Repurchase Agreements – The Fund may purchase certain U.S. government securities subject to the counterparty’s agreement to repurchase them at an agreed upon date and price. The counterparty will be required on a daily basis to maintain the value of the collateral subject to the agreement at not less than the repurchase price (including accrued interest). The agreements are conditioned upon the collateral being deposited under the Federal Reserve book-entry system with the Fund’s custodian or a third party sub-custodian. In the event of default or bankruptcy by the other party to the agreement, retention of the collateral may be subject to legal proceedings. All open repurchase agreements as of the date of this report were entered into on Jan. 30, 2015.

Reverse Repurchase Agreements – The Fund may enter into reverse repurchase agreements. In a reverse repurchase agreement, the Fund sells securities to a bank or broker/dealer and agrees to repurchase the securities at an agreed upon date and price. The Fund will maintain, in a segregated account with its custodian, cash, cash equivalents, or U.S. government securities in an amount sufficient to cover its obligations under reverse repurchase agreements. The Fund will subject its investments in reverse repurchase agreements to the borrowing provisions set forth in the 1940 Act. The use of reverse repurchase agreements by the Fund creates leverage, which increases the Fund’s investment risk. If the income and gains on securities purchased with the proceeds of reverse repurchase agreements exceed the costs of the agreements, the Fund’s earnings or NAV will increase faster than otherwise would be the case; conversely, if the income and gains fail to exceed the costs, earnings or NAV would decline faster than otherwise would be the case. For the six months ended Jan. 31, 2015, the Fund did not enter into any reverse repurchase agreements.

Short Sales – The Fund may make short sales in an attempt to protect against declines in an individual security or the overall market, to manage duration, or for such other purposes consistent with the Fund’s investment objectives and strategies. Typically, short sales are transactions in which the Fund sells a security it does not own and, at the time a short sale is effected, the Fund incurs an obligation to replace the security borrowed at whatever its price may be at the time the Fund purchases it for delivery to the lender. The price at such time may be more or less than the price at which the security was sold

22

by the Fund. When a short sale transaction is closed out by delivery of the security, any gain or loss on the transaction generally is taxable as short-term capital gain or loss. Until the security is replaced, the Fund is required to pay to the lender amounts equal to any dividends or interest that accrue during the period of the loan. To borrow the security, the Fund also may be required to pay a premium, which would increase the cost of the security sold. The proceeds of the short sale, and potentially additional margin, will be retained by the broker from whom the security is borrowed, to the extent necessary to meet margin requirements, until the short position is closed out.

Leverage – The Fund may employ leverage to attempt to take advantage of or increase the total return of attractive investment opportunities. The Fund may initiate leverage to the extent that the sum of aggregate borrowed funds and the notional value plus any gain or minus any loss of derivatives positions may not exceed an amount equal to 33 1/3% of the Fund’s total assets, measured at the time the leverage is employed. To the extent that the Fund initiates leverage, such leverage may include borrowing through a margin account maintained with a broker. At Jan. 31, 2015, the Fund had borrowed $200,000, which is included on the “Statement of assets and liabilities” under “Margin payable.” Securities pledged as collateral for these transactions have been identified in the “Schedule of investments.” For the six months Jan. 31, 2015, the Fund had average borrowing of $1,352,350 for which it paid interest at an average rate of 0.90%.

Foreign Currency Transactions – Transactions denominated in foreign currencies are recorded at the prevailing exchange rates on the valuation date in accordance with the Fund’s prospectus. The value of all assets and liabilities denominated in foreign currencies is translated daily into U.S. dollars at the exchange rate of such currencies against the U.S. dollar. Transaction gains or losses resulting from changes in exchange rates during the reporting period or upon settlement of the foreign currency transaction are reported in operations for the current period. The Fund generally bifurcates that portion of realized gains and losses on investments in debt securities which is due to changes in foreign exchange rates from that which is due to changes in market prices of debt securities. That portion of gains (losses) is included on the “Statement of operations” under “Net realized gain (loss) on foreign currencies.” The Fund reports certain foreign currency related transactions as components of realized gains (losses) for financial reporting purposes, whereas such components are treated as ordinary income (loss) for federal income tax purposes.

Use of Estimates – The Fund is an investment company in conformity with U.S. GAAP. Therefore, the Fund follows the accounting and reporting guidelines for investment companies. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the fair value of investments, 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 revenues and expenses during the reporting period. Actual results could differ from those estimates and the differences could be material.

Other – Expenses directly attributable to the Fund are charged directly to the Fund. Other expenses common to various funds within the Delaware Investments^® Family of Funds are generally allocated among such funds on the basis of average net assets. Management fees and some other expenses are paid monthly. Security transactions are recorded on the date the securities are purchased or sold (trade date) for financial reporting purposes. Costs used in calculating realized gains and losses on the sale of

23

Notes to financial statements

Delaware Emerging Markets Debt Fund

1. Significant Accounting Policies (continued)

investment securities are those of the specific securities sold. Dividend income is recorded on the ex-dividend date and interest income is recorded on the accrual basis. Discounts and premiums on debt securities are amortized to interest income over the lives of the respective securities using the effective interest method. The Fund declares and pays dividends from net investment income monthly and pays distributions from net realized gain on investments, if any, annually. The Fund may distribute more frequently, if necessary for tax purposes. Dividends and distributions, if any, are recorded on the ex-dividend date.

The Fund may receive earnings credits from its custodian when positive cash balances are maintained, which may be used to offset custody fees. There were no earnings credits for the six months ended Jan. 31, 2015.

The Fund receives earnings credits from its transfer agent when positive cash balances are maintained, which may be used to offset transfer agent fees. If the amount earned is greater than one dollar, the expense paid under this arrangement is included on the “Statement of operations” under “Dividend disbursing and transfer agent fees and expenses” with the corresponding expense offset shown under “Less expense paid indirectly.” For the six months ended Jan. 31, 2015, the Fund earned less than one dollar under this agreement.

2. Investment Management, Administration Agreements and Other Transactions with Affiliates

In accordance with the terms of its investment management agreement, the Fund pays Delaware Management Company (DMC), a series of Delaware Management Business Trust and the investment manager, an annual fee which is calculated daily at the rate of 0.75% on the first $500 million of average daily net assets of the Fund, 0.70% on the next $500 million, 0.65% on the next $1.5 billion, and 0.60% on average daily net assets in excess of $2.5 billion.

DMC has contractually agreed to waive all or a portion, if any, of its management fee and/or pay/ reimburse the Fund to the extent necessary to limit annual operating expenses (excluding any 12b-1 fees, taxes, interest, short sale dividend and interest expenses, brokerage fees, certain insurance costs, acquired fund fees and expenses, and nonroutine expenses or costs including, but not limited to, those relating to reorganizations, litigation, conducting shareholder meetings, and liquidations) (collectively nonroutine expenses), to 1.00% of average daily net assets of the Fund from Aug. 1, 2014 through Jan. 31, 2015.* For purposes of this waiver and reimbursement, nonroutine expenses may also include such additional costs and expenses, as may be agreed upon from time to time by the Fund’s Board and DMC. This expense waiver and reimbursement may be terminated only by agreement of the Fund’s Board and DMC and apply only to expenses paid directly by the Fund.

Effective Nov. 1, 2014, Delaware Investments Fund Services Company (DIFSC), an affiliate of DMC, provides fund accounting and financial administration oversight services to the Fund. Prior to this time, Delaware Service Company, Inc. (DSC), an affiliate of DMC, provided fund accounting and financial administration oversight services to the Fund under a substantially identical agreement with an identical fee schedule. For these services, DIFSC’s fees are calculated based on the aggregate daily net assets of the Delaware Investments^® Family of Funds at the following annual rate: 0.0050% of the first $30 billion; 0.0045% of the next $10 billion; 0.0040% of the next $10 billion; and 0.0025% of aggregate average

24

daily net assets in excess of $50 billion. The fees payable to DIFSC under the service agreement described above are allocated among all funds in the Delaware Investments^® Family of Funds on a relative net asset value basis. This amount is included in the “Statement of operations” under “Accounting and administration expenses.” For the six months ended Jan. 31, 2015, the Fund was charged $450 for these services.

Effective Nov. 1, 2014, DIFSC is the transfer agent and dividend disbursing agent of the Fund. Prior to this time, DSC was the transfer agent and dividend disbursing agent of the Fund under a substantially identical agreement with an identical fee schedule. For these services, DIFSC’s fees are calculated based on the aggregate daily net assets of the retail funds within the Delaware Investments^® Family of Funds at the following annual rate: 0.025% of the first $20 billion; 0.020% of the next $5 billion; 0.015% of the next $5 billion; and 0.013% on average daily net assets in excess of $30 billion. The fees payable to DIFSC under the service agreement described above are allocated among all retail funds in the Delaware Investments Family of Funds on a relative net asset value basis. This amount is included on the “Statement of operations” under “Dividend disbursing and transfer agent fees and expenses.” For the six months ended Jan. 31, 2015, the fund was charged $1,998 for these services. Pursuant to a sub-transfer agency agreement between DIFSC and BNY Mellon Investment Servicing (US) Inc. (BNYMIS), BNYMIS provides certain sub-transfer agency services to the Fund. Sub-transfer agency fees are passed on to and paid by the Fund.

Pursuant to a distribution agreement and distribution plan, the Fund pays DDLP, the distributor and an affiliate of DMC, an annual distribution and service fee of 0.25% of the average daily net assets of the Class A shares, 1.00% of the average daily net assets of the Class C shares, and 0.50% of the average daily net assets of the Class R shares. Institutional Class shares pay no distribution and service expenses. Effective July 22, 2014, DDLP agreed to voluntarily suspend the distribution and service fees for Class A, Class C, and Class R shares. The suspension of the distribution and service fees will remain in effect while the Fund is not broadly distributed.

As provided in the investment management agreement, the Fund bears a portion of the cost of certain resources shared with DMC, including the cost of internal personnel of DMC and/or its affiliates that provide legal, tax and regulatory reporting services to the Fund. For the six months ended Jan. 31, 2015, the Fund was charged $3,936 for internal legal, tax, and regulatory reporting services provided by DMC and/or its affiliates’ employees. This amount is included in the “Statement of operations” under “Legal fees.”

For the six months ended Jan. 31, 2015, DDLP earned less than $1 for commissions on sales of the Fund’s Class A shares. For the six months ended Jan. 31, 2015, DDLP received no gross CDSC commissions on redemption of the Fund’s Class A and Class C shares.

Trustees’ fees include expenses accrued by the Fund for each Trustee’s retainer and meeting fees. Certain officers of DMC, DIFSC, and DDLP are officers and/or Trustees of the Trust. These officers and Trustees are paid no compensation by the Fund.

* The contractual waiver period is Nov. 27, 2013 through Nov. 30, 2015.

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Notes to financial statements

Delaware Emerging Markets Debt Fund

3. Investments

For the six months ended Jan. 31, 2015, the Fund made purchases and sales of investment securities other than short-term investments as follows:

Purchases	$	23,705,265
Sales		26,778,608

At Jan. 31, 2015, the cost of investments for federal income tax purposes has been estimated since final tax characteristics cannot be determined until fiscal year end. At Jan. 31, 2015, the cost of investments and unrealized appreciation (depreciation) for federal income tax purposes for the Fund were as follows:

Cost of investments	$	16,494,808
Aggregate unrealized appreciation	$	453,375
Aggregate unrealized depreciation		(473,185	)
Net unrealized depreciation	$	(19,810	)

U.S. GAAP defines fair value as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date under current market conditions. A three-level hierarchy for fair value measurements has been established based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available under the circumstances. The Fund’s investment in its entirety is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-level hierarchy of inputs is summarized below.

Level 1	–	Inputs are quoted prices in active markets for identical investments. (Examples: equity securities, open-end investment companies, futures contracts, exchange-traded options contracts)
Level 2	–	Other observable inputs, including, but not limited to: quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs. (Examples: debt securities, government securities, swap contracts, foreign currency exchange contracts, foreign securities utilizing international fair value pricing, broker-quoted securities, fair valued securities)
Level 3	–	Significant unobservable inputs, including the Fund’s own assumptions used to determine the fair value of investments. (Examples: broker-quoted securities, fair valued securities)

Level 3 investments are valued using significant unobservable inputs. The Fund may also use an income-based valuation approach in which the anticipated future cash flows of the investment are discounted to calculate fair value. Discounts may also be applied due to the nature or duration of any restrictions on

26

the disposition of the investments. Valuations may also be based upon current market prices of securities that are comparable in coupon, rating, maturity, and industry. The derived value of a Level 3 investment may not represent the value which is received upon disposition and this could impact the results of operations.

The following table summarizes the valuation of the Fund’s investments by fair value hierarchy levels as of Jan. 31, 2015:

	Level 1	Level 2			Level 3		Total
Assets:
Corporate Debt	$—	$	13,129,423		$	—	$	13,129,423
Foreign Debt	—		2,648,582			—		2,648,582
Senior Secured Loans	—		—			511,275		511,275
Short-Term Investments	—		185,718			—		185,718
Total	$—	$	15,963,723		$	511,275	$	16,474,998
Derivatives:
Foreign Currency Exchange Contracts	$—	$	(613	)	$	—	$	(613	)

During the six months ended Jan. 31, 2015, there were no transfers between Level 1 investments, Level 2 investments or Level 3 investments that had a significant impact to the Fund. The Fund’s policy is to recognize transfers between levels at the beginning of the reporting period.

The following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value:

	Senior Secured Loans
Balance as of 7/31/14		$	510,000
Net change in unrealized appreciation/depreciation			1,275
Balance as of 1/31/15		$	511,275

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Notes to financial statements

Delaware Emerging Markets Debt Fund

3. Investments (continued)

Sensitivity Analysis

Valuation: U.S. GAAP defines fair value as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The Fund fair values its financial instruments at fair value using independent pricing sources under the policies approved by the Board. The Pricing Committee is the committee formed by the advisor to develop pricing policies and procedures and to provide oversight of the pricing function for the Funds.

When market quotations are not readily available for one or more portfolio securities, the Fund’s NAV shall be calculated by using the “fair value” of the securities as determined by the Pricing Committee. Such “fair value” is the amount that a Fund might reasonably expect to receive for the security (or asset) upon its current sale. Each such determination should be based on a consideration of all relevant factors, which are likely to vary from one pricing context to another. Examples of such factors may include, but are not limited to: (1) the type of security, (2) the size of the holding, (3) the initial cost of the security, (4) the existence of any contractual restrictions of the security’s disposition, (5) the price and extent of public trading in similar securities of the issuer or of comparable companies, (6) quotations or evaluated prices from broker-dealers and/or pricing services, (7) information obtained from the issuer, analysts, and/or appropriate stock exchange (for exchange-traded securities), (8) an analysis of the company’s financial statements, and (9) an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold.

The Pricing Committee, or its delegate, employs various methods for calibrating these valuation approaches, including due diligence of the Fund’s pricing vendors and periodic back-testing of the prices that are fair valued under these procedures and reviews of any market related activity. The pricing of all securities fair valued by the Pricing Committee is subsequently reported to and approved by the Board on a quarterly basis.

Quantitative Information about Level 3 Fair Value Measurements

Fair Value at 1/31/15	Valuation Technique(s)	Unobservable Input	Range (Weighted Average)
Senior Secured Loans    $511,275	Broker Quote	Market pricing of securities	N/A

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4. Capital Shares

Transactions in capital shares were as follows:

	Six months ended 1/31/15		9/30/13* to 7/31/14
Shares sold:
Class A		—		238
Class C		—		238
Class R		—		238
Institutional Class		—		3
Shares issued upon transfer:
Institutional Class		—		2,070,588
Shares issued upon reinvestment of dividends and distributions:
Class A		9		9
Class C		9		7
Class R		9		8
Institutional Class		76,017		81,097
		76,044		2,152,426
Shares redeemed:
Institutional Class		—		(705	)
Net increase		76,044		2,151,721

* Date of commencement of operations.

5. Line of Credit

The Fund, along with certain other funds in the Delaware Investments^® Family of Funds (Participants), was a participant in a $225,000,000 revolving line of credit intended to be used for temporary or emergency purposes as an additional source of liquidity to fund redemptions of investor shares. Under the agreement, the Participants were charged an annual commitment fee of 0.08%, which was allocated across the Participants on the basis of each Participant’s allocation of the entire facility. The Participants were permitted to borrow up to a maximum of one third of their net assets under the agreement. Each Participant was individually, and not jointly, liable for its particular advances, if any, under the line of credit. The line of credit under the agreement expired on Nov. 10, 2014.

On Nov. 10, 2014, the Fund, along with the other Participants, entered into an amendment to the agreement for a $275,000,000 revolving line of credit. The line of credit is to be used as described above and operates in substantially the same manner as the original agreement described above. The line of credit available under the agreement expires on Nov. 9, 2015.

The Fund had no amounts outstanding as of Jan. 31, 2015 or at any time during the period then ended.

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Notes to financial statements

Delaware Emerging Markets Debt Fund

6. Derivatives

U.S. GAAP requires disclosures that enable investors to understand: (1) how and why an entity uses derivatives; (2) how they are accounted for; and (3) how they affect an entity’s results of operations and financial position.

Foreign Currency Exchange Contracts – The Fund may enter into foreign currency exchange contracts and foreign cross currency exchange contracts as a way of managing foreign exchange rate risk. The Fund may enter into these contracts to fix the U.S. dollar value of a security that it has agreed to buy or sell for the period between the date the trade was entered into and the date the security is delivered and paid for. The Fund may also use these contracts to hedge the U.S. dollar value of securities it already owns that are denominated in foreign currencies. In addition, the Fund may enter into these contracts to facilitate or expedite the settlement of portfolio transactions. The change in value is recorded as an unrealized gain or loss. When the contract is closed, a realized gain or loss is recorded equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed.

The use of foreign currency exchange contracts and foreign cross currency exchange contracts does not eliminate fluctuations in the underlying prices of the securities, but does establish a rate of exchange that can be achieved in the future. Although foreign currency exchange contracts limit the risk of loss due to an unfavorable change in the value of the hedged currency, they also limit any potential gain that might result should the value of the currency change favorably. In addition, the Fund could be exposed to risks if the counterparties to the contracts are unable to meet the terms of their contracts. The Fund’s maximum risk of loss from counterparty credit risk is the value of its currency exchanged with the counterparty. The risk is generally mitigated by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty.

During the six months ended Jan. 31, 2015, the Fund entered into foreign currency exchange contracts and cross currency exchange contracts to hedge the U.S. dollar value of securities it already owns that are denominated in foreign currencies.

Swap Contracts – The Fund may enter into CDS contracts in the normal course of pursuing its investment objective. The Fund may enter into CDS contracts in order to hedge against credit events, to enhance total return, or to gain exposure to certain securities or markets. The Fund will not be permitted to enter into any swap transactions unless, at the time of entering into such transactions, the unsecured long-term debt of the actual counterparty, combined with any credit enhancements, is rated at least BBB- by Standard & Poor’s Financial Services LLC (S&P) or at least Baa3 by Moody’s Investors Service, Inc. (Moody’s) or is determined to be of equivalent credit quality by DMC.

Credit Default Swaps. A CDS contract is a risk-transfer instrument through which one party (purchaser of protection) transfers to another party (seller of protection) the financial risk of a credit event (as defined in the CDS agreement), as it relates to a particular reference security or basket of securities (such as an index). In exchange for the protection offered by the seller of protection, the purchaser of protection agrees to pay the seller of protection a periodic amount at a stated rate that is applied to the notional amount of the CDS contract. In addition, an upfront payment may be made or received by the Fund in connection with an unwinding or assignment of a CDS contract. Upon the occurrence of a credit event,

30

the seller of protection would pay the par (or other agreed-upon) value of the reference security (or basket of securities) to the counterparty. Credit events generally include, among others, bankruptcy, failure to pay, and obligation default.

During the six months ended Jan. 31, 2015, the Fund entered into CDS contracts as a purchaser of protection. Periodic payments (receipts) on such contracts are accrued daily and recorded as unrealized losses (gains) on swap contracts. Upon payment (receipt), such amounts are recorded as realized losses (gains) on swap contracts. Upfront payments made or received in connection with CDS contracts are amortized over the expected life of the CDS contracts as unrealized losses (gains) on swap contracts. The change in value of CDS contracts is recorded daily as unrealized appreciation or depreciation. A realized gain or loss is recorded upon a credit event (as defined in the CDS agreement) or the maturity or termination of the agreement. Initial margin and variation margin are posted to central counterparties for CDS basket trades, as determined by the applicable central counterparty.

CDS contracts may involve greater risks than if the Fund had invested in the reference obligation directly. CDS contracts are subject to general market risk, liquidity risk, counterparty risk and credit risk. The Fund’s maximum risk of loss from counterparty credit risk, either as the seller of protection or the buyer of protection, is the fair value of the contract. This risk is mitigated by (1) for bilateral swap contracts, having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty or (2) for cleared swaps, trading these instruments through a central counterparty.

During the six months ended Jan. 31, 2015, the Fund used CDS contracts to hedge against credit events.

Swaps Generally. The value of open swaps may differ from that which would be realized in the event the Fund terminated its position in the contract on a given day. Risks of entering into these contracts include the potential inability of the counterparty to meet the terms of the contracts. This type of risk is generally limited to the amount of favorable movement in the value of the underlying security, instrument or basket of instruments, if any, at the day of default. Risks also arise from potential losses from adverse market movements and such losses could exceed the unrealized amounts shown on the “Schedule of investments.”

Fair value of derivative instruments as of Jan. 31, 2015 was as follows:

	Asset Derivatives		Liability Derivatives
	Statement of Assets and Liabilities Location	Fair Value	Statement of Assets and Liabilities Location	Fair Value
Forward currency exchange contracts (Foreign currency
exchange contracts)	Unrealized gain on foreign currency exchange contracts	$—	Unrealized loss on foreign currency exchange contracts	$(613)

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Notes to financial statements

Delaware Emerging Markets Debt Fund

6. Derivatives (continued)

The effect of derivative instruments on the “Statement of operations” for the six months ended Jan. 31, 2015 was as follows:

	Net Realized Loss on:
	Foreign
	Currency
	Transactions		Swaps		Total
Forward currency exchange contracts		$(9,099)		$      —		$  (9,099	)
Credit contracts		—		(5,723)		(5,723	)
Total		$(9,099)		$(5,723)		$(14,822	)
Net Change in Unrealized Appreciation (Depreciation) of:
	Foreign
	Currency
	Transactions		Swaps		Total
Forward currency exchange contracts		$(613)		$     —		$  (613	)
Credit contracts		—		5,408		5,408
Total		$(613)		$5,408		$4,795

Derivatives Generally. The table below summarizes the average balance of derivative holdings by the Fund during the six months ended Jan. 31, 2015.

	Long Derivative		Short Derivative
	Volume		Volume
Foreign currency exchange contracts (average cost)		$  11,160		$250,185
CDS contracts (average notional value)*		184,000		—

*Long represents buying protection and short represents selling protection.

7. Offsetting

In December 2011, the Financial Accounting Standards Board (FASB) issued guidance that expands disclosure requirements on the offsetting of certain assets and liabilities. The disclosures are required for investments and derivative financial instruments subject to master netting or similar agreements which are eligible for offset in the “Statement of assets and liabilities” and requires an entity to disclose both gross and net information about such investments and transactions in the financial statements. In January 2013, the FASB issued guidance that clarifies which investments and transactions are subject to the offsetting disclosure requirements. The scope of the disclosure requirements for offsetting is limited to derivative instruments, repurchase agreements and reverse repurchase agreements, and securities borrowing. The guidance is effective for financial statements with fiscal years beginning on or after Jan. 1, 2013, and interim periods within those fiscal years.

In order to better define its contractual rights and to secure rights that will help the Fund mitigate its counterparty risk, the Fund entered into an International Swaps and Derivatives Association, Inc. Master Agreement (ISDA Master Agreement) or similar agreement with each of its derivative contract counterparties. An ISDA Master Agreement is a bilateral agreement between the Fund and a counterparty that governs certain over-the-counter (OTC) derivatives and foreign exchange contracts and typically contains, among other things, collateral posting items and netting provisions in the event of

32

a default and/or termination event. Under an ISDA Master Agreement, the Fund may, under certain circumstances, offset with the counterparty certain derivative financial instrument’s payables and/or receivables with collateral held and/or posted and create one single net payment. The provisions of the ISDA Master Agreement typically permit a single net payment in the event of default (close-out) netting including the bankruptcy or insolvency of the counterparty. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset in bankruptcy, insolvency or other events.

For financial reporting purposes, the Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the “Statement of assets and liabilities.”

At Jan. 31, 2015, the Fund had the following assets and liabilities subject to offsetting provisions:

Offsetting of Financial Assets and Liabilities and Derivatives Assets and Liabilities

	Gross Value of	Gross Value of
Counterparty	Derivative Asset	Derivative Liability	Net Position
Goldman Sachs Capital	$—	$(613)	$(613)

Counterparty	Net Position	Fair Value of Non-Cash Collateral Received	Cash Collateral Received	Fair Value of Non-Cash Collateral Pledged	Cash Collateral Pledged	Net Amount(a)
Goldman Sachs Capital	$(613)	$—	$—	$—	$—	$(613)

Counterparty	Repurchase Agreements			Fair Value of Non-Cash Collateral Received				Cash Collateral Received			Net Amount(a)
Bank of America Merrill Lynch		$	69,493		$	(69,493	)		$	—		$	—
Bank of Montreal			46,328			(46,328	)			—			—
BNP Paribas			69,897			(69,897	)			—			—
Total		$	185,718		$	(185,718	)		$	—		$	—

^(a)Net amount represents the receivable/(payable) that would be due from/(to) the counterparty in the event of default.

8. Securities Lending

The Fund, along with other funds in the Delaware Investments^® Family of Funds, may lend its securities pursuant to a security lending agreement (Lending Agreement) with The Bank of New York Mellon (BNY Mellon). At the time a security is loaned, the borrower must post collateral equal to the required percentage of the market value of the loaned security, including any accrued interest. The required percentage is: (1) 102% with respect to U.S. securities and foreign securities that are denominated and payable in U.S. dollars; and (2) 105% with respect to foreign securities. With respect to each loan, if on any business day the aggregate market value of securities collateral plus cash collateral held is less than the aggregate market value of the securities which are the subject of such loan, the borrower will be notified to provide additional collateral by the end of the following business day which, together with the collateral already held, will be not less than the applicable initial collateral requirements for such security

33

Notes to financial statements

Delaware Emerging Markets Debt Fund

8. Securities Lending (continued)

loan. If the aggregate market value of securities collateral and cash collateral held with respect to a security loan exceeds the applicable initial collateral requirement, upon request of the borrower, BNY Mellon must return enough collateral to the borrower by the end of the following business day to reduce the value of the remaining collateral to the applicable initial collateral requirement for such security loan. As a result of the foregoing, the value of the collateral held with respect to a loaned security on any particular day may be more or less than the value of the security on loan.

Cash collateral received is generally invested in the Delaware Investments Collateral Fund No. 1 (Collective Trust) established by BNY Mellon for the purpose of investment on behalf of funds managed by DMC that participate in BNY Mellon’s securities lending program. The Collective Trust may invest in U.S. government securities and high quality corporate debt, asset-backed and other money market securities and in repurchase agreements collateralized by such securities, provided that the Collective Trust will generally have a dollar-weighted average portfolio maturity of 60 days or less. The Fund can also accept U.S. government securities and letters of credit (non-cash collateral) in connection with securities loans. In the event of default or bankruptcy by the lending agent, realization and/or retention of the collateral may be subject to legal proceedings. In the event the borrower fails to return loaned securities and the collateral received is insufficient to cover the value of the loaned securities and provided such collateral shortfall is not the result of investment losses, the lending agent has agreed to pay the amount of the shortfall to the Fund, or at the discretion of the lending agent, replace the loaned securities. The Fund continues to record dividends or interest, as applicable, on the securities loaned and is subject to changes in value of the securities loaned that may occur during the term of the loan. The Fund has the right under the Lending Agreement to recover the securities from the borrower on demand. With respect to security loans collateralized by non-cash collateral, the Fund receives loan premiums paid by the borrower. With respect to security loans collateralized by cash collateral, the earnings from the collateral investments are shared among the Fund, the security lending agent and the borrower. The Fund records security lending income net of allocations to the security lending agent and the borrower.

The Collective Trust used for the investment of cash collateral received from borrowers of securities seeks to maintain a net asset value per unit of $1.00, but there can be no assurance that it will always be able to do so. The Fund may incur investment losses as a result of investing securities lending collateral in the Collective Trust. This could occur if an investment in the Collective Trust defaulted or if it were necessary to liquidate assets in the Collective Trust to meet returns on outstanding security loans at a time when the Collective Trust’s net asset value per unit was less than $1.00. Under those circumstances, the Fund may not receive an amount from the Collective Trust that is equal in amount to the collateral the Fund would be required to return to the borrower of the securities and the Fund would be required to make up for this shortfall.

During the six months ended Jan. 31, 2015, the Fund had no securities on loan.

9. Credit and Market Risk

Some countries in which the Fund may invest require governmental approval for the repatriation of investment income, capital or the proceeds of sales of securities by foreign investors. In addition, if there

34

is deterioration in a country’s balance of payments or for other reasons, a country may impose temporary restrictions on foreign capital remittances abroad.

The securities exchanges of certain foreign markets are substantially smaller, less liquid and more volatile than the major securities markets in the United States. Consequently, acquisition and disposition of securities by the Fund may be inhibited. In addition, a significant portion of the aggregate market value of equity securities listed on the major securities exchanges in emerging markets is held by a smaller number of investors. This may limit the number of shares available for acquisition or disposition by the Fund.

The Fund invests a portion of its assets in high-yield, fixed income securities, which are securities rated lower than BBB- by S&P and lower than Baa3 by Moody’s, or similarly rated by another nationally recognized statistical rating organization. Investments in these higher yielding securities are generally accompanied by a greater degree of credit risk than higher rated securities. Additionally, lower rated securities may be more susceptible to adverse economic and competitive industry conditions than investment-grade securities.

The Fund invests in certain obligations that may have liquidity protection designed to ensure that the receipt of payments due on the underlying security is timely. Such protection may be provided through guarantees, insurance policies, or letters of credit obtained by the issuer or sponsor through third parties, through various means of structuring the transaction, or through a combination of such approaches. The Fund will not pay any additional fees for such credit support, although the existence of credit support may increase the price of the security.

The Fund may invest up to 15% of its net assets in illiquid securities, which may include securities with contractual restrictions on resale, securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended, and other securities which may not be readily marketable. The relative illiquidity of these securities may impair the Fund from disposing of them in a timely manner and at a fair price when it is necessary or desirable to do so. While maintaining oversight, the Fund’s Board has delegated to DMC, the day-to-day functions of determining whether individual securities are liquid for purposes of the Fund’s limitation on investments in illiquid securities. Securities eligible for resale pursuant to Rule 144A, which are determined to be liquid, are not subject to the Fund’s 15% limit on investments in illiquid securities. Rule 144A and illiquid securities have been identified in the “Schedule of investments.”

10. Contractual Obligations

The Fund enters into contracts in the normal course of business that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these contracts. Management has reviewed the Fund’s existing contracts and expects the risk of loss to be remote.

11. Recent Accounting Pronouncements

In June 2014, the FASB issued guidance to improve the financial reporting of reverse repurchase agreements and other similar transactions. The guidance includes expanded disclosure requirements for entities that enter into reverse repurchase agreements and similar transactions accounted for as secured

35

Notes to financial statements

Delaware Emerging Markets Debt Fund

borrowings. The guidance is effective for financial statements with fiscal years beginning on or after Dec. 15, 2014 and interim periods within those fiscal years. Management is evaluating the impact, if any, of this guidance on the Fund’s financial statement disclosures.

12. Subsequent Events

Management has determined that no material events or transactions occurred subsequent to Jan. 31, 2015 that would require recognition or disclosure in the Fund’s financial statements.

36

Other Fund information (Unaudited)

Delaware Emerging Markets Debt Fund

Board Consideration of Delaware Emerging Markets Debt Fund Investment Management Agreement

At a meeting held on Aug. 19–21, 2014 (the “Annual Meeting”), the Board of Trustees (the “Board”), including a majority of disinterested or independent Trustees, approved the renewal of the Investment Management Agreement for Delaware Emerging Markets Debt Fund (the “Fund”). In making its decision, the Board considered information furnished at regular quarterly Board meetings, including reports detailing Fund performance, investment strategies, and expenses, as well as information prepared specifically in connection with the renewal of the investment advisory and sub-advisory contracts. Information furnished specifically in connection with the renewal of the Investment Management Agreement with Delaware Management Company (“DMC”) included materials provided by DMC and its affiliates (“Delaware Investments”) concerning, among other things, the nature, extent, and quality of services provided to the Fund; the costs of such services to the Fund; economies of scale; and the financial condition and profitability of Delaware Investments. In addition, in connection with the Annual Meeting, reports were provided to the Trustees in May 2014 and included reports provided by Lipper, Inc., an independent statistical compilation organization (“Lipper”). The Lipper reports compared the Fund’s investment performance and expenses with those of other comparable mutual funds. The Independent Trustees reviewed and discussed the Lipper reports with independent legal counsel to the Independent Trustees. The Board requested and received information regarding DMC’s policy with respect to advisory fee levels and its breakpoint philosophy; the structure of portfolio manager compensation; the investment manager’s profitability; comparative client fee information; and any constraints or limitations on the availability of securities for certain investment styles, which had in the past year inhibited, or which were likely in the future to inhibit, DMC’s ability to invest fully in accordance with Fund policies.

In considering information relating to the approval of the Fund’s management agreement, the Independent Trustees received assistance and advice from and met separately with independent legal counsel to the Independent Trustees. Although the Board gave attention to all information furnished, the following discussion identifies, under separate headings, the primary factors taken into account by the Board during its contract renewal considerations.

Nature, extent, and quality of service. The Board considered the services provided by Delaware Investments to the Fund and its shareholders. In reviewing the nature, extent, and quality of services, the Board considered reports furnished to it throughout the year, which covered matters such as the relative performance of the Fund; compliance of portfolio managers with the investment policies, strategies, and restrictions for the Fund; compliance by DMC and Delaware Distributors, L.P. (together, “Management”) personnel with the Code of Ethics adopted throughout the Delaware Investments^® Family of Funds complex; and adherence to fair value pricing procedures as established by the Board. The Board was pleased with the current staffing of the Fund’s investment manager and the emphasis placed on research in the investment process. The Board recognized DMC’s receipt of several industry distinctions. The Board gave favorable consideration to DMC’s efforts to control expenditures while maintaining service levels committed to Fund matters. The Board noted that, in the third and fourth quarters of 2013, Management reduced the maximum 12b-1 fee for certain funds, and in November 2013 Management negotiated a substantial reduction in fees for fund accounting services provided to the Funds. The Board noted the benefits provided to Fund shareholders through each shareholder’s ability to exchange an investment in one Delaware Investments fund for the same class of shares in another Delaware Investments fund without a sales charge, to reinvest Fund dividends into additional

37

Other Fund information (Unaudited)

Delaware Emerging Markets Debt Fund

shares of the Fund or into additional shares of other Delaware Investments funds, and the privilege to combine holdings in other Delaware Investments funds to obtain a reduced sales charge. The Board was satisfied with the nature, extent, and quality of the overall services provided by Delaware Investments.

Investment performance. The Board placed significant emphasis on the investment performance of the Fund in view of the importance of investment performance to shareholders. Although the Board gave appropriate consideration to performance reports and discussions with portfolio managers at Investment Committee meetings throughout the year, the Board gave particular weight to the Lipper reports furnished for the Annual Meeting. The Lipper reports prepared for the Fund showed the investment performance of its Class A shares in comparison to a group of similar funds as selected by Lipper (the “Performance Universe”). A fund with the best performance ranked first, and a fund with the poorest performance ranked last. The highest/best performing 25% of funds in the Performance Universe make up the first quartile; the next 25%, the second quartile; the next 25%, the third quartile; and the poorest/ worst performing 25% of funds in the Performance Universe make up the fourth quartile. Comparative annualized performance for the Fund was shown for the past 1-, 3-, 5-, and 10-year periods, to the extent applicable, ended March 31, 2014. The Board’s objective is that the Fund’s performance for the periods considered be at or above the median of its Performance Universe. The following paragraph summarizes the performance results for the Fund and the Board’s view of such performance.

The Performance Universe for the Fund consisted of the Fund and all retail and institutional emerging markets hard currency debt funds as selected by Lipper. The Lipper report comparison showed that the Fund’s total return for the three-month and year-to-date periods ended June 30, 2014, was in the fourth quartile of its Performance Universe. The report further showed that the Fund’s total return since inception was in the third quartile of its Performance Universe. The Fund’s performance results were not in line with the Board’s objective. In evaluating the Fund’s performance, the Board considered the Fund’s short existence. The Board also considered the numerous investment and performance reports delivered by Management personnel to the Board’s Investments Committee. The Board was satisfied that Management was taking action to improve the Fund’s performance and to meet the Board’s performance objective.

Comparative expenses. The Board considered expense comparison data for the Delaware Investments^® Family of Funds. Management provided the Board with information on pricing levels and fee structures for the Fund as of its most recently completed fiscal year. The Board also focused on the comparative analysis of effective management fees and total expense ratios of the Fund versus effective management fees and expense ratios of a group of similar funds as selected by Lipper (the “Expense Group”). In reviewing comparative costs, the Fund’s contractual management fee and the actual management fee incurred by the Fund were compared with the contractual management fees (assuming all funds in the Expense Group were similar in size to the Fund) and actual management fees (as reported by each fund) within the Expense Group, taking into account any applicable breakpoints and fee waivers. The Fund’s total expenses were also compared with those of its Expense Group. The Lipper total expenses, for comparative consistency, were shown by Lipper for Class A shares and comparative total expenses including 12b-1 and non 12b-1 service fees. The Board considered fees paid to Delaware Investments for nonmanagement services. The Board’s objective is to limit the Fund’s total expense ratio to be competitive with that of the Expense Group. The following paragraph summarizes the expense results for the Fund and the Board’s view of such expenses.

38

The expense comparisons for the Fund showed that its contractual management fee was in the quartile with the lowest expenses of its Expense Group and its total expenses were in the quartile with the second highest expenses of its Expense Group. The Board gave favorable consideration to the Fund’s management fee, but noted that the Fund’s total expenses were not in line with the Board’s objective. In evaluating total expenses, the Board considered the Fund’s short existence. The Board also considered various initiatives implemented by Management, such as the outsourcing of certain transfer agency services and a negotiation of lower fees for fund accounting services, which had created an opportunity for a further reduction in expenses. The Board was satisfied with Management’s efforts to improve the Fund’s total expense ratio and to bring it in line with the Board’s objective.

Management profitability. The Board considered the level of profits realized by Delaware Investments in connection with the operation of the Fund. In this respect, the Board reviewed the Investment Management Profitability Analysis that addressed the overall profitability of Delaware Investments’ business in providing management and other services to each of the individual funds and the Delaware Investments Family of Funds as a whole. Specific attention was given to the methodology followed in allocating costs for the purpose of determining profitability. Management stated that the level of profits of Delaware Investments, to a certain extent, reflects recent operational cost savings and efficiencies initiated by Delaware Investments. The Board considered Delaware Investments’ efforts to improve services provided to fund shareholders and to meet additional regulatory and compliance requirements resulting from recent industry-wide Securities and Exchange Commission initiatives. The Board also considered the extent to which Delaware Investments might derive ancillary benefits from fund operations, including the potential for procuring additional business as a result of the prestige and visibility associated with its role as service provider to the Delaware Investments^® Family of Funds and the benefits from allocation of fund brokerage to improve trading efficiencies. The Board found that the management fees were reasonable in light of the services rendered and the level of profitability of Delaware Investments.

Economies of scale. The Trustees considered whether economies of scale are realized by Delaware Investments as the Fund’s assets increase and the extent to which any economies of scale are reflected in the level of management fees charged. The Trustees reviewed the standardized advisory fee pricing and structure, approved by the Board and shareholders, which includes breakpoints. Breakpoints in the advisory fee occur when the advisory fee rate is reduced on assets in excess of specified levels. Breakpoints result in a lower advisory fee than would otherwise be the case on all assets when the asset levels specified are exceeded. The Board noted that the fee under the Fund’s management contract fell within the standard structure. Although the Fund has not reached a size at which it can take advantage of breakpoints, the Board recognized that the fee was structured so that when the Fund grows, economies of scale may be shared.

39

About the organization

Board of trustees
Patrick P. Coyne President and Chief Executive Officer Delaware Investments® Family of Funds Philadelphia, PA Thomas L. Bennett Chairman of the Board Delaware Investments Family of Funds Private Investor Rosemont, PA	Joseph W. Chow Former Executive Vice President State Street Corporation Brookline, MA John A. Fry President Drexel University Philadelphia, PA	Lucinda S. Landreth Former Chief Investment Officer Assurant, Inc. Philadelphia, PA Frances A. Sevilla-Sacasa Chief Executive Officer Banco Itaú International Miami, FL	Thomas K. Whitford Former Vice Chairman PNC Financial Services Group Pittsburgh, PA Janet L. Yeomans Former Vice President and Treasurer 3M Corporation St. Paul, MN J. Richard Zecher Founder Investor Analytics Scottsdale, AZ
Affiliated officers
David F. Connor	Daniel V. Geatens	David P. O’Connor	Richard Salus
Senior Vice President,	Vice President and	Executive Vice President,	Senior Vice President and
Deputy General Counsel,	Treasurer	General Counsel,	Chief Financial Officer
and Secretary	Delaware Investments	and Chief Legal Officer	Delaware Investments
Delaware Investments	Family of Funds	Delaware Investments	Family of Funds
Family of Funds	Philadelphia, PA	Family of Funds	Philadelphia, PA
Philadelphia, PA		Philadelphia, PA

This semiannual report is for the information of Delaware Emerging Markets Debt Fund shareholders, but it may be used with prospective investors when preceded or accompanied by the Delaware Investments Fund fact sheet for the most recently completed calendar quarter. These documents are available at delawareinvestments.com.

Delaware Investments is the marketing name of Delaware Management Holdings, Inc. and its subsidiaries.

The Fund files its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-Q. The Fund’s Forms N-Q, as well as a description of the policies and procedures that the Fund uses to determine how to vote proxies (if any) relating to portfolio securities are available without charge (i) upon request, by calling 800 523-1918; and (ii) on the SEC’s website at sec.gov. In addition, a description of the policies and procedures that the Fund uses to determine how to vote proxies (if any) relating to portfolio securities and the Schedule of Investments included in the Fund’s most recent Form N-Q are available without charge on the Fund’s website at delawareinvestments.com. The Fund’s Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C.; information on the operation of the Public Reference Room may be obtained by calling 800 SEC-0330.

Information (if any) regarding how the Fund voted proxies relating to portfolio securities during the most recently disclosed 12-month period ended June 30 is available without charge (i) through the Fund’s website at delawareinvestments.com; and (ii) on the SEC’s website at sec.gov.

40

 

Semiannual report

Fixed income mutual fund

Delaware Inflation Protected Bond Fund

January 31, 2015

Carefully consider the Fund’s investment objectives, risk factors, charges, and expenses before investing. This and other information can be found in the Fund’s prospectus and its summary prospectus, which may be obtained by visiting delawareinvestments.com or calling 800 523-1918. Investors should read the prospectus and the summary prospectus carefully before investing.

You can obtain shareholder reports and prospectuses online instead of in the mail.

Visit delawareinvestments.com/edelivery.

Experience Delaware Investments

Delaware Investments is committed to the pursuit of consistently superior asset management and unparalleled client service. We believe in our investment processes, which seek to deliver consistent results, and in convenient services that help add value for our clients.

If you are interested in learning more about creating an investment plan, contact your financial advisor.

You can learn more about Delaware Investments or obtain a prospectus for Delaware Inflation Protected Bond Fund at delawareinvestments.com.

Manage your investments online

— 24-hour access to your account information

— Obtain share prices

— Check your account balance and recent transactions

— Request statements or literature

— Make purchases and redemptions

Delaware Management Holdings, Inc. and its subsidiaries (collectively known by the marketing name of Delaware Investments) are wholly owned subsidiaries of Macquarie Group Limited, a global provider of banking, financial, advisory, investment and funds management services.

Investments in Delaware Inflation Protected Bond Fund are not and will not be deposits with or liabilities of Macquarie Bank Limited ABN 46 008 583 542 and its holding companies, including their subsidiaries or related companies (Macquarie Group), and are subject to investment risk, including possible delays in repayment and loss of income and capital invested. No Macquarie Group company guarantees or will guarantee the performance of the Fund, the repayment of capital from the Fund, or any particular rate of return.

Table of contents

Disclosure of Fund expenses	1
Security type / sector allocation	3
Schedule of investments	4
Statement of assets and liabilities	6
Statement of operations	8
Statements of changes in net assets	10
Financial highlights	12
Notes to financial statements	18
Other Fund information	33
About the organization	36

Unless otherwise noted, views expressed herein are current as of Jan. 31, 2015, and subject to change for events occurring after such date.

Funds are not FDIC insured and are not guaranteed. It is possible to lose the principal amount invested.

Mutual fund advisory services provided by Delaware Management Company, a series of Delaware Management Business Trust, which is a registered investment advisor. Delaware Investments, a member of Macquarie Group, refers to Delaware Management Holdings, Inc. and its subsidiaries, including the Fund’s distributor, Delaware Distributors, L.P. Macquarie Group refers to Macquarie Group Limited and its subsidiaries and affiliates worldwide.

© 2015 Delaware Management Holdings, Inc.

All third-party marks cited are the property of their respective owners.

Disclosure of Fund expenses

For the six-month period from August 1, 2014 to January 31, 2015 (Unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; and exchange fees; and (2) ongoing costs, including management fees; distribution and/or service (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire six-month period from Aug. 1, 2014 to Jan. 31, 2015.

Actual expenses

The first section of the table shown, “Actual Fund return,” provides information about actual account values and actual expenses. You may use the information in this section of the table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first section under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

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

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the second section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher. The Fund’s expenses shown in the table reflect fee waivers in effect. The expenses shown in the table assume reinvestment of all dividends and distributions.

1

Disclosure of Fund expenses

For the six-month period from August 1, 2014 to January 31, 2015 (Unaudited)

Delaware Inflation Protected Bond Fund

Expense analysis of an investment of $1,000

	Beginning			Ending						Expenses
	Account Value			Account Value			Annualized			Paid During Period
	8/1/14			1/31/15			Expense Ratio			8/1/14 to 1/31/15*
Actual Fund return†
Class A		$	1,000.00		$	993.20		0.86	%		$4.32
Class C			1,000.00			989.10		1.61	%		8.07
Institutional Class			1,000.00			993.40		0.61	%		3.06
Hypothetical 5% return (5% return before expenses)
Class A		$	1,000.00		$	1,020.87		0.86	%		$4.38
Class C			1,000.00			1,017.09		1.61	%		8.19
Institutional Class			1,000.00			1,022.13		0.61	%		3.11

* “Expenses Paid During Period” are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period).

^†  Because actual returns reflect only the most recent six-month period, the returns shown may differ significantly from fiscal year returns.

2

Security type / sector allocation
Delaware Inflation Protected Bond Fund	As of January 31, 2015 (Unaudited)

Sector designations may be different than the sector designations presented in other Fund materials. The sector designations may represent the investment manager’s internal sector classifications, which may result in the sector designations for one fund being different than another fund’s sector designations.

Security type / sector	Percentage of net assets
U.S. Treasury Obligations	84.84%
Short-Term Investments	11.87%
Total Value of Securities	96.71%
Receivables and Other Assets Net of Liabilities	3.29%
Total Net Assets	100.00%

3

Schedule of investments

Delaware Inflation Protected Bond Fund January 31, 2015 (Unaudited)    

	Principal amount°		Value (U.S. $)
U.S. Treasury Obligations – 84.84%
U.S. Treasury Inflation Indexed Bonds
1.125% 1/15/21		14,465,702	$	15,580,009
1.375% 1/15/20		5,263,681		5,702,872
1.375% 2/15/44		4,002,417		4,930,165
1.625% 1/15/18		3,888,944		4,142,332
2.375% 1/15/25		14,607,765		17,999,512
2.375% 1/15/27		2,464,976		3,096,049
U.S. Treasury Notes
2.25% 11/15/24		1,930,000		2,029,214
Total U.S. Treasury Obligations (cost $51,223,563)				53,480,153
Short-Term Investments – 11.87%
Repurchase Agreements – 11.87%
Bank of America Merrill Lynch
0.03%, dated 1/30/15, to be repurchased on 2/2/15, repurchase price $2,798,955 (collateralized by U.S. government obligations 0.000%–7.875% 2/26/15–8/15/40; market value $2,854,927)		2,798,948		2,798,948
Bank of Montreal
0.05%, dated 1/30/15, to be repurchased on 2/2/15, repurchase price $1,865,973 (collateralized by U.S. government obligations 0.75%–3.875% 6/30/16–8/15/40; market value $1,903,285)		1,865,965		1,865,965
BNP Paribas
0.06%, dated 1/30/15, to be repurchased on 2/2/15, repurchase price $2,815,224 (collateralized by U.S. government obligations 0.000%–2.125% 7/31/16–5/15/29; market value $2,871,514)		2,815,210		2,815,210
Total Short-Term Investments (cost $7,480,123)				7,480,123
Total Value of Securities – 96.71% (cost $58,703,686)				$    60,960,276

° Principal amount shown is stated in U.S. dollars unless noted that the security is denominated in another currency.

See accompanying notes, which are an integral part of the financial statements.

4

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Statement of assets and liabilities

Delaware Inflation Protected Bond Fund January 31, 2015 (Unaudited)

Assets:
Investments, at value1	$	53,480,153
Short-term investments, at value2		7,480,123
Cash		2,274,744
Interest receivable		68,521
Receivables for fund shares sold		34,299
Total assets		63,337,840
Liabilities:
Payable for fund shares redeemed		153,667
Income distribution payable		253
Other accrued expenses		117,717
Distribution fees payable		21,922
Other affiliates payable		11,215
Investment management fees payable		624
Trustees’ fees and expenses payable		228
Total liabilities		305,626
Total Net Assets	$	63,032,214
Net Assets Consist of:
Paid-in capital	$	104,678,107
Distributions in excess of net investment income		(581,769	)
Accumulated net realized loss on investments		(43,320,714	)
Net unrealized appreciation of investments		2,256,590
Total Net Assets	$	63,032,214

6

Net Asset Value
Class A:
Net assets	$	25,211,074
Shares of beneficial interest outstanding, unlimited authorization, no par		2,755,328
Net asset value per share	$	9.15
Sales charge		4.50	%
Offering price per share, equal to net asset value per share / (1 – sales charge)	$	9.58
Class C:
Net assets	$	19,139,922
Shares of beneficial interest outstanding, unlimited authorization, no par		2,102,673
Net asset value per share	$	9.10
Institutional Class:
Net assets	$	18,681,218
Shares of beneficial interest outstanding, unlimited authorization, no par		2,038,782
Net asset value per share	$	9.16
1Investments, at cost	$	51,223,563
2Short-term investments, at cost		7,480,123

See accompanying notes, which are an integral part of the financial statements.

7

Statement of operations
Delaware Inflation Protected Bond Fund	Six months ended January 31, 2015 (Unaudited)

Investment Income:
Interest	$	146,841
Amortization of premiums		(318,661	)
		(171,820	)
Expenses:
Management fees		168,007
Distribution expenses — Class A		37,033
Distribution expenses — Class B		203
Distribution expenses — Class C		105,987
Dividend disbursing and transfer agent fees and expenses		70,249
Registration fees		41,076
Reports and statements to shareholders		30,020
Audit and tax		20,822
Legal fees		12,520
Accounting and administration expenses		12,201
Custodian fees		3,016
Trustees’ fees and expenses		1,759
Other		7,449
		510,342
Less expenses waived		(137,943	)
Less waived distribution expenses — Class B		(154	)
Less expense paid indirectly		(75	)
Total operating expenses		372,170
Net Investment Loss		(543,990	)

8

Net Realized and Unrealized Gain (Loss):
Net realized gain (loss) on:
Investments	$	840,785
Futures contracts		(86,928	)
Swap contracts		(1,394,710	)
Net realized loss		(640,853	)
Net change in unrealized appreciation (depreciation) of:
Investments		324,869
Foreign currencies		(761	)
Swap contracts		(186,765	)
Net change in unrealized appreciation (depreciation)		137,343
Net Realized and Unrealized Loss		(503,510	)
Net Decrease in Net Assets Resulting from Operations	$	(1,047,500	)

See accompanying notes, which are an integral part of the financial statements.

9

Statements of changes in net assets

Delaware Inflation Protected Bond Fund

	Six months
	ended
	1/31/15			Year ended
	(Unaudited)			7/31/14
Increase (Decrease) in Net Assets from Operations:
Net investment income (loss)	$	(543,990	)	$	246,333
Net realized loss		(640,853	)		(11,231,197	)
Net change in unrealized appreciation (depreciation)		137,343			9,744,862
Net decrease in net assets resulting from operations		(1,047,500	)		(1,240,002	)
Dividends and Distributions to Shareholders from:
Net investment income:
Class A		(63,062	)		(276	)
Class B		(236	)		(1	)
Class C		—			—
Institutional Class		(56,755	)		(213	)
Return of capital:
Class A		—			(412,175	)
Class B		—			(804	)
Class C		—			—
Institutional Class		—			(498,842	)
		(120,053	)		(912,311	)
Capital Share Transactions:
Proceeds from shares sold:
Class A		1,723,213			11,320,667
Class B		—			—
Class C		458,220			824,835
Institutional Class		9,566,911			15,835,304

10

	Six months ended 1/31/15 (Unaudited)			Year ended 7/31/14
Capital Share Transactions (continued):
Net asset value of shares based upon reinvestment of dividends and distributions:
Class A	$	60,220		$	396,631
Class B		236			805
Class C		—			—
Institutional Class		54,858			484,910
	��	11,863,658			28,863,152
Cost of shares redeemed:
Class A		(11,366,051	)		(82,235,618	)
Class B		(124,950	)		(195,162	)
Class C		(4,067,344	)		(25,093,923	)
Institutional Class		(17,764,967	)		(97,450,081	)
		(33,323,312	)		(204,974,784	)
Decrease in net assets derived from capital share transactions		(21,459,654	)		(176,111,632	)
Net Decrease in Net Assets		(22,627,207	)		(178,263,945	)
Net Assets:
Beginning of period		85,659,421			263,923,366
End of period	$	63,032,214		$	85,659,421
Undistributed (distributions in excess of) net investment income	$	(581,769	)	$	82,274

See accompanying notes, which are an integral part of the financial statements.

11

Financial highlights

Delaware Inflation Protected Bond Fund Class A

Selected data for each share of the Fund outstanding throughout each period were as follows:

Net asset value, beginning of period

Income (loss) from investment operations:

Net investment income (loss)²

Net realized and unrealized gain (loss)

Total from investment operations

Less dividends and distributions from:

Net investment income

Net realized gain

Return of capital

Total dividends and distributions

Net asset value, end of period

Total return⁴

Ratios and supplemental data:

Net assets, end of period (000 omitted)

Ratio of expenses to average net assets

Ratio of expenses to average net assets prior to fees waived

Ratio of net investment income (loss) to average net assets

Ratio of net investment income (loss) to average net assets prior to fees waived

Portfolio turnover

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  The average shares outstanding method has been applied for per share information.

³  For the year ended July 31, 2014, dividends from net investment income were calculated to a de minimis amount of $0.000 per share.

⁴  Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value and does not reflect the impact of a sales charge. Total investment return during all of the periods shown reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect.

See accompanying notes, which are an integral part of the financial statements.

12

	Six months ended 1/31/151			Year ended
(Unaudited)			7/31/14			7/31/13			7/31/12			7/31/11			7/31/10
$	9.230		$	9.190		$	11.330		$	11.040		$	10.630		$	10.080
	(0.060	)		0.019			(0.048	)		0.025			0.291			0.314
	(0.003	)		0.112			(1.189	)		0.860			0.787			0.603
	(0.063	)		0.131			(1.237	)		0.885			1.078			0.917
	(0.017	)		—	3		(0.099	)		(0.192	)		(0.325	)		(0.367	)
	—			—			(0.803	)		(0.403	)		(0.343	)		—
	—			(0.091	)		(0.001	)		—			—			—
	(0.017	)		(0.091	)		(0.903	)		(0.595	)		(0.668	)		(0.367	)
$	9.150		$	9.230		$	9.190		$	11.330		$	11.040		$	10.630
	(0.68%	)		1.44%			(11.80%	)		8.35%			10.55%			9.25%
$	25,211		$	35,232		$	106,686		$	259,303		$	189,624		$	156,345
	0.86%			0.84%			0.82%			0.81%			0.80%			0.78%
	1.23%			1.09%			0.97%			0.94%			0.97%			0.94%
	(1.16%	)		0.21%			(0.46%	)		0.23%			2.72%			3.00%
	(1.53%	)		(0.04%	)		(0.61%	)		0.10%			2.55%			2.84%
	61%			128%			322%			225%			157%			118%

13

Financial highlights

Delaware Inflation Protected Bond Fund Class C

Selected data for each share of the Fund outstanding throughout each period were as follows:

Net asset value, beginning of period

Income (loss) from investment operations:

Net investment income (loss)²

Net realized and unrealized gain (loss)

Total from investment operations

Less dividends and distributions from:

Net investment income

Net realized gain

Return of capital

Total dividends and distributions

Net asset value, end of period

Total return³

Ratios and supplemental data:

Net assets, end of period (000 omitted)

Ratio of expenses to average net assets

Ratio of expenses to average net assets prior to fees waived

Ratio of net investment income (loss) to average net assets

Ratio of net investment income (loss) to average net assets prior to fees waived

Portfolio turnover

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  The average shares outstanding method has been applied for per share information.

³  Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value and does not reflect the impact of a sales charge. Total investment return during all of the periods shown reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect.

See accompanying notes, which are an integral part of the financial statements.

14

Six months ended 1/31/151			Year ended
	(Unaudited)			7/31/14			7/31/13			7/31/12			7/31/11			7/31/10
$	9.200		$	9.140		$	11.310		$	11.030		$	10.620		$	10.020
	(0.096	)		(0.049	)		(0.127	)		(0.058	)		0.210			0.235
	(0.004	)		0.109			(1.175	)		0.857			0.789			0.600
	(0.100	)		0.060			(1.302	)		0.799			0.999			0.835
	—			—			(0.064	)		(0.116	)		(0.246	)		(0.235	)
	—			—			(0.803	)		(0.403	)		(0.343	)		—
	—			—			(0.001	)		—			—			—
	—			—			(0.868	)		(0.519	)		(0.589	)		(0.235	)
$	9.100		$	9.200		$	9.140		$	11.310		$	11.030		$	10.620
	(1.09%	)		0.66%			(12.39%	)		7.52%			9.74%			8.40%
$	19,140		$	23,071		$	47,629		$	93,561		$	89,740		$	71,866
	1.61%			1.59%			1.58%			1.56%			1.55%			1.53%
	1.98%			1.84%			1.73%			1.69%			1.72%			1.69%
	(1.91%	)		(0.54%	)		(1.22%	)		(0.52%	)		1.97%			2.25%
	(2.28%	)		(0.79%	)		(1.37%	)		(0.65%	)		1.80%			2.09%
	61%			128%			322%			225%			157%			118%

15

Financial highlights

Delaware Inflation Protected Bond Fund Institutional Class

Selected data for each share of the Fund outstanding throughout each period were as follows:

Net asset value, beginning of period

Income (loss) from investment operations:

Net investment income (loss)²

Net realized and unrealized gain (loss)

Total from investment operations

Less dividends and distributions from:

Net investment income

Net realized gain

Return of capital

Total dividends and distributions

Net asset value, end of period

Total return⁴

Ratios and supplemental data:

Net assets, end of period (000 omitted)

Ratio of expenses to average net assets

Ratio of expenses to average net assets prior to fees waived

Ratio of net investment income (loss) to average net assets

Ratio of net investment income (loss) to average net assets prior to fees waived

Portfolio turnover

¹  Ratios have been annualized and total return and portfolio turnover have not been annualized.

²  The average shares outstanding method has been applied for per share information.

³  For the year ended July 31, 2014, dividends from net investment income were calculated to a de minimis amount of $0.000 per share.

⁴  Total investment return is based on the change in net asset value of a share during the period and assumes reinvestment of dividends and distributions at net asset value. Total investment return during all of the periods shown reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect.

See accompanying notes, which are an integral part of the financial statements.

16

	Six months ended 1/31/151			Year ended
(Unaudited)			7/31/14			7/31/13			7/31/12			7/31/11			7/31/10
$	9.240		$	9.210		$	11.340		$	11.040		$	10.630		$	10.100
	(0.053	)		0.041			(0.023	)		0.053			0.317			0.339
	(0.008	)		0.119			(1.192	)		0.867			0.788			0.603
	(0.061	)		0.160			(1.215	)		0.920			1.105			0.942
	(0.019	)		—	3		(0.111	)		(0.217	)		(0.352	)		(0.412	)
	—			—			(0.803	)		(0.403	)		(0.343	)		—
	—			(0.130	)		(0.001	)		—			—			—
	(0.019	)		(0.130	)		(0.915	)		(0.620	)		(0.695	)		(0.412	)
$	9.160		$	9.240		$	9.210		$	11.340		$	11.040		$	10.630
	(0.66%	)		1.75%			(11.51%	)		8.59%			10.83%			9.51%
$	18,681		$	27,228		$	109,284		$	162,400		$	140,221		$	42,418
	0.61%			0.59%			0.58%			0.56%			0.55%			0.53%
	0.98%			0.84%			0.73%			0.69%			0.72%			0.69%
	(0.91%	)		0.46%			(0.22%	)		0.48%			2.97%			3.25%
	(1.28%	)		0.21%			(0.37%	)		0.35%			2.80%			3.09%
	61%			128%			322%			225%			157%			118%

17

Notes to financial statements

Delaware Inflation Protected Bond Fund January 31, 2015 (Unaudited)

Delaware Group^® Government Fund (Trust) is organized as a Delaware statutory trust and offers three series: Delaware Core Plus Bond Fund, Delaware Emerging Markets Debt Fund, and Delaware Inflation Protected Bond Fund. These financial statements and the related notes pertain to Delaware Inflation Protected Bond Fund (Fund). The Trust is an open-end investment company. The Fund is considered diversified under the Investment Company Act of 1940, as amended, and offers Class A, Class C, and Institutional Class shares. Class A shares are sold with a maximum front-end sales charge of 4.50%. Class A share purchases of $1,000,000 or more will incur a contingent deferred sales charge (CDSC) of 1.00% if redeemed during the first year and 0.50% during the second year, provided that Delaware Distributors, L.P. (DDLP) paid a financial advisor a commission on the purchase of those shares. Effective Sept. 25, 2014, all remaining shares of Class B were converted to Class A shares. Between June 1, 2007 and Sept. 25, 2014, Class B shares could be purchased only through dividend reinvestment and certain permitted exchanges. Class B shares automatically converted to Class A shares on a quarterly basis approximately eight years after purchase. Class C shares are sold with a CDSC of 1.00%, if redeemed during the first 12 months. Institutional Class shares are not subject to a sales charge and are offered for sale exclusively to certain eligible investors.

The investment objective of the Fund is to seek to provide inflation protection and current income.

1. Significant Accounting Policies

The following accounting policies are in accordance with U.S. generally accepted accounting principles (U.S. GAAP) and are consistently followed by the Fund.

Security Valuation — Debt securities, credit default swap (CDS) contracts, inflation swap contracts, and interest rate swap contracts are valued based upon valuations provided by an independent pricing service or broker/counterparty and reviewed by management. To the extent current market prices are not available, the pricing service may take into account developments related to the specific security, as well as transactions in comparable securities. U.S. government securities are valued at the mean between the bid and ask prices, which approximates fair value. For asset-backed securities and U.S. government securities, pricing vendors utilize matrix pricing which considers prepayment speed; attributes of the collateral; and yield or price of bonds of comparable quality, coupon, maturity, and type as well as broker/dealer-supplied prices. Swap prices are derived using daily swap curves and models that incorporate a number of market data factors, such as discounted cash flows, trades, and values of the underlying reference instruments. Foreign currency exchange contracts and foreign cross currency exchange contracts are valued at the mean between the bid and ask prices, which approximates fair value. Interpolated values are derived when the settlement date of the contract is an interim date for which quotations are not available. Futures contracts and options on futures contracts are valued at the daily quoted settlement prices. Generally, other securities and assets for which market quotations are not readily available are valued at fair value as determined in good faith under the direction of the Fund’s Board of Trustees (Board). In determining whether market quotations are readily available or fair valuation will be used, various factors will be taken into consideration, such as market closures or suspension of trading in a security.

Federal and Foreign Income Taxes — No provision for federal income taxes has been made as the Fund intends to continue to qualify for federal income tax purposes as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended, and make the

18

requisite distributions to shareholders. The Fund evaluates tax positions taken or expected to be taken in the course of preparing the Fund’s tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the “more-likely-than-not” threshold are recorded as a tax benefit or expense in the current year. Management has analyzed the Fund’s tax positions taken for all open federal income tax years (July 31, 2011–July 31, 2014), and has concluded that no provision for federal income tax is required in the Fund’s financial statements. In regard to foreign taxes only, the Fund has open tax years in certain foreign countries in which it invests that may date back to the inception of the Fund.

Class Accounting — Investment income, common expenses, and realized and unrealized gain (loss) on investments are allocated to the various classes of the Fund on the basis of daily net assets of each class. Distribution expenses relating to a specific class are charged directly to that class.

Repurchase Agreements — The Fund may purchase certain U.S. government securities subject to the counterparty’s agreement to repurchase them at an agreed upon date and price. The counterparty will be required on a daily basis to maintain the value of the collateral subject to the agreement at not less than the repurchase price (including accrued interest). The agreements are conditioned upon the collateral being deposited under the Federal Reserve book-entry system with the Fund’s custodian or a third-party sub-custodian. In the event of default or bankruptcy by the other party to the agreement, retention of the collateral may be subject to legal proceedings. All open repurchase agreements as of the date of this report were entered into on Jan. 30, 2015.

To Be Announced Trades (TBA) — The Fund may contract to purchase or sell securities for a fixed price at a transaction date beyond the customary settlement period (examples: when issued, delayed delivery, forward commitment, or TBA transactions) consistent with the Fund’s ability to manage its investment portfolio and meet redemption requests. These transactions involve a commitment by the Fund to purchase or sell securities for a predetermined price or yield with payment and delivery taking place more than three days in the future, or after a period longer than the customary settlement period for that type of security. No interest will be earned by the Fund on such purchases until the securities are delivered or the transaction is completed; however, the market value may change prior to delivery.

Inflation-Indexed Bonds — The Fund invests in inflation-indexed bonds. Inflation-indexed bonds are fixed income securities whose principal value is periodically adjusted to the rate of inflation. The interest rate on these bonds is generally fixed at issuance at a rate lower than typical bonds. Over the life of an inflation-indexed bond, however, interest will be paid based on a principal value, which is adjusted for inflation. Any increase or decrease in the principal amount of an inflation-indexed bond will be included as interest income on the “Statement of operations,” even though investors do not receive their principal until maturity.

Foreign Currency Transactions — Transactions denominated in foreign currencies are recorded at the prevailing exchange rates on the valuation date in accordance with the Fund’s prospectus. The value of all assets and liabilities denominated in foreign currencies is translated daily into U.S. dollars at the exchange rate of such currencies against the U.S. dollar. Transaction gains or losses resulting from changes in exchange rates during the reporting period or upon settlement of the foreign currency transaction are reported in operations for the current period. The Fund generally bifurcates that portion of realized gains and losses on investments in debt securities which is due to changes in foreign exchange

19

Notes to financial statements

Delaware Inflation Protected Bond Fund

1. Significant Accounting Policies (continued)

rates from that which is due to changes in market prices of debt securities. That portion of gains (losses) is included in the “Statement of operations” under “Net realized gain (loss) on foreign currencies.” The Fund reports certain foreign currency related transactions as components of realized gains (losses) for financial reporting purposes, whereas such components are treated as ordinary income (loss) for federal income tax purposes.

Use of Estimates — The Fund is an investment company in conformity with U.S. GAAP. Therefore, the Fund follows the accounting and reporting guidelines for investment companies. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the fair value of investments, 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 revenues and expenses during the reporting period. Actual results could differ from those estimates and the differences could be material.

Other — Expenses directly attributable to the Fund are charged directly to the Fund. Other expenses common to various funds within the Delaware Investments^® Family of Funds are generally allocated among such funds on the basis of average net assets. Management fees and some other expenses are paid monthly. Security transactions are recorded on the date the securities are purchased or sold (trade date) for financial reporting purposes. Costs used in calculating realized gains and losses on the sale of investment securities are those of the specific securities sold. Interest income is recorded on the accrual basis. Discounts and premiums on debt securities are amortized to interest income over the lives of the respective securities using the effective interest method. Realized gains (losses) on paydowns of asset-and mortgage-backed securities are classified as interest income. The Fund expects to declare and pay dividends from net investment income monthly and distributions from net realized gain on investments, if any, at least annually, usually in December. The Fund may distribute more frequently, if necessary for tax purposes. Dividends and distributions, if any, are recorded on the ex-dividend date.

The Fund may receive earnings credits from its custodian when positive cash balances are maintained, which may be used to offset custody fees. There were no earnings credits for the six months ended Jan. 31, 2015.

The Fund receives earnings credits from its transfer agent when positive cash balances are maintained, which may be used to offset transfer agent fees. If the amount earned is greater than one dollar, the expense paid under this arrangement is included on the “Statement of operations” under “Dividend disbursing and transfer agent fees and expenses” with the corresponding expense offset shown under “Less expense paid indirectly.” For the six months ended Jan. 31, 2015, the Fund earned $75 under this agreement.

2. Investment Management, Administration Agreements and Other Transactions with Affiliates

In accordance with the terms of its investment management agreement, the Fund pays Delaware Management Company (DMC), a series of Delaware Management Business Trust and the investment manager, an annual fee which is calculated daily at the rate of 0.45% on the first $500 million of average daily net assets of the Fund, 0.40% on the next $500 million, 0.35% on the next $1.5 billion, and 0.30% on average daily net assets in excess of $2.5 billion.

20

DMC had contractually agreed to waive that portion, if any, of its management fee and/or pay/reimburse the Fund to the extent necessary to limit annual operating expenses (excluding any 12b-1 fees, acquired fund fees and expenses, taxes, interest, inverse floater program expenses, short sale and dividend interest expenses, brokerage fees, certain insurance costs, and nonroutine expenses or costs including, but not limited to, those relating to reorganizations, litigation, conducting shareholder meetings, and liquidations), to 0.59% of average daily net assets of the Fund from Aug. 1, 2014 through Nov. 28, 2014.* Effective Nov. 28, 2014, DMC voluntarily agreed waive that portion, if any, of its management fee and/or pay/reimburse the Fund to the extent necessary to limit annual operating expenses (excluding any 12b-1 fees, acquired fund fees and expenses, taxes, interest, inverse floater program expenses, short sale and dividend interest expenses, brokerage fees, certain insurance costs, and nonroutine expenses or costs including, but not limited to, those relating to reorganizations, litigation, conducting shareholder meetings, and liquidations), to 0.65% of average daily net assets of the Fund until such time as the voluntary expense cap is discontinued. For purposes of this waiver and reimbursement, nonroutine expenses may also include such additional costs and expenses, as may be agreed upon from time to time by the Fund’s Board and DMC. This expense waiver and reimbursement apply only to expenses paid directly by the Fund and may be discontinued at any time because they are voluntary.

Effective Nov. 1, 2014, Delaware Investments Fund Services Company (DIFSC), an affiliate of DMC, provides fund accounting and financial administration oversight services to the Fund. Prior to this time, Delaware Service Company, Inc. (DSC), an affiliate of DMC, provided fund accounting and financial administration oversight services to the Fund under a substantially identical agreement with an identical fee schedule. For these services, DIFSC’s fees are calculated based on the aggregate daily net assets of the Delaware Investments^® Family of Funds at the following annual rate: 0.0050% of the first $30 billion; 0.0045% of the next $10 billion; 0.0040% of the next $10 billion; and 0.0025% of aggregate average daily net assets in excess of $50 billion. The fees payable to DIFSC under the service agreement described above are allocated among all funds in the Delaware Investments Family of Funds on a relative net asset value basis. For the six months ended Jan. 31, 2015, the Fund was charged $1,777 for these services. This amount is included on the “Statement of operations” under “Accounting and administration expenses.”

Effective Nov. 1, 2014, DIFSC is the transfer agent and dividend disbursing agent of the Fund. Prior to this time, DSC was the transfer agent and dividend disbursing agent of the Fund under a substantially identical agreement with an identical fee schedule. For these services, DIFSC’s fees are calculated based on the aggregate daily net assets of the retail funds within the Delaware Investments Family of Funds at the following annual rate: 0.025% of the first $20 billion, 0.020% of the next $5 billion; 0.015% of the next $5 billion; and 0.013% on average daily net assets in excess of $30 billion. The fees payable to DIFSC under the service agreement described above are allocated among all retail Funds in the Delaware Investments Family of Funds on a relative net asset value basis. This amount is included on the “Statement of operations” under “Dividend disbursing and transfer agent fees and expenses.” For the six months ended Jan. 31, 2015, the Fund was charged $7,901 for these services. Pursuant to a sub-transfer agency agreement between DIFSC and BNY Mellon Investment Servicing (US) Inc. (BNYMIS), BNYMIS provides certain sub-transfer agency services to the Fund. Sub-transfer agency fees are passed on to and paid by the Fund.

21

Notes to financial statements

Delaware Inflation Protected Bond Fund

2. Investment Management, Administration Agreements and Other Transactions with Affiliates (continued)

Pursuant to a distribution agreement and distribution plan, the Fund pays DDLP, the distributor and an affiliate of DMC, an annual distribution and service fee of 0.25% of the average daily net assets of the Class A shares and 1.00% of the average daily net assets of the Class C shares. The Fund’s Class B shares were subject to a 12b-1 fee of 1.00% of the average daily net assets, which was contractually waived to 0.25% of average daily net assets from Aug. 1, 2014 through Sept. 25, 2014. Institutional Class shares pay no distribution and service expenses.

As provided in the investment management agreement, the Fund bears a portion of the cost of certain resources shared with DMC, including the cost of internal personnel of DMC and/or its affiliates that provide legal, tax, and regulatory reporting services to the Fund. For the six months ended Jan. 31, 2015, the Fund was charged $1,018 for internal legal, tax, and regulatory reporting services provided by DMC and/or its affiliates’ employees. This amount is included on the “Statement of operations” under “Legal fees.”

For the six months ended Jan. 31, 2015, DDLP earned $330 for commissions on sales of the Fund’s Class A shares.

Trustees’ fees include expenses accrued by the Fund for each Trustee’s retainer and meeting fees. Certain officers of DMC, DIFSC, and DDLP are officers and/or Trustees of the Trust. These officers and Trustees are paid no compensation by the Fund.

* The contractual waiver period was Nov. 27, 2013 through Nov. 28, 2014.

3. Investments

For the six months ended Jan. 31, 2015, the Fund made purchases and sales of investment securities other than short-term investments as follows:

Purchases of U.S. government securities	$41,279,666
Sales other than U.S. government securities	21,019,370
Sales of U.S. government securities	45,524,027

22

At Jan. 31, 2015, the cost of investments and unrealized appreciation (depreciation) for federal income tax purposes has been estimated since final tax characteristics cannot be determined until fiscal year end. At Jan. 31, 2015, the cost of investments and unrealized appreciation (depreciation) were as follows:

Cost of investments	$	58,703,686
Aggregate unrealized appreciation	$	2,257,048
Aggregate unrealized depreciation		(458	)
Net unrealized appreciation	$	2,256,590

On Dec. 22, 2010, the Regulated Investment Company Modernization Act of 2010 (Act) was enacted, which changed various technical rules governing the tax treatment of regulated investment companies. The changes were generally effective for taxable years beginning after the date of enactment. Under the Act, the Fund is permitted to carry forward capital losses incurred in taxable years beginning after the date of enactment for an unlimited period.

Losses incurred that will be carried forward under the Act are as follows:

Loss carryforward character
Short-term		Long-term
$	32,217,679	$	8,742,234

U.S. GAAP defines fair value as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date under current market conditions. A three-level hierarchy for fair value measurements has been established based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available under the circumstances. The Fund’s investment in its entirety is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-level hierarchy of inputs is summarized below.

Level 1 –

Inputs are quoted prices in active markets for identical investments. (Examples: equity securities, open-end investment companies, futures contracts, exchange-traded options contracts)

Level 2 –

Other observable inputs, including, but not limited to: quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks, and default rates) or other market-corroborated inputs. (Examples: debt securities,government securities, swap contracts, foreign currency exchange contracts, foreign securities utilizing international fair value pricing, broker-quoted securities, fair valued securities)

23

Notes to financial statements

Delaware Inflation Protected Bond Fund

3. Investments (continued)

Level 3 – Significant unobservable inputs, including the Fund’s own assumptions used to determine the fair value of investments. (Examples: broker-quoted securities, fair valued securities)

Level 3 investments are valued using significant unobservable inputs. The Fund may also use an income-based valuation approach in which the anticipated future cash flows of the investment are discounted to calculate fair value. Discounts may also be applied due to the nature or duration of any restrictions on the disposition of the investments. Valuations may also be based upon current market prices of securities that are comparable in coupon, rating, maturity, and industry. The derived value of a Level 3 investment may not represent the value which is received upon disposition and this could impact the results of operations.

The following table summarizes the valuation of the Fund’s investments by fair value hierarchy levels as of Jan. 31, 2015:

	Level 2
U.S. Treasury Obligations	$	53,480,153
Short-Term Investments		7,480,123
Total	$	60,960,276

During the six months ended Jan. 31, 2015, there were no transfers between Level 1 investments, Level 2 investments, or Level 3 investments that had a significant impact to the Fund. The Fund’s policy is to recognize transfers between levels at the beginning of the reporting period.

A reconciliation of Level 3 investments is presented when the Fund has a significant amount of Level 3 investments at the beginning, interim, or end of the period in relation to net assets. At Jan. 31, 2015, there were no Level 3 investments.

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4. Capital Shares

Transactions in capital shares were as follows:

	Six months ended 1/31/15			Year ended 7/31/14
Shares sold:
Class A		191,522			1,249,269
Class B		—			—
Class C		50,276			90,388
Institutional Class		1,062,726			1,743,455
Shares issued upon reinvestment of dividends and distributions:
Class A		6,560			43,218
Class B		26			87
Class C		—			—
Institutional Class		5,976			52,888
		1,317,086			3,179,305
Shares redeemed:
Class A		(1,258,126	)		(9,083,615	)
Class B		(13,930	)		(21,579	)
Class C		(454,123	)		(2,795,967	)
Institutional Class		(1,977,412	)		(10,714,907	)
		(3,703,591	)		(22,616,068	)
Net decrease		(2,386,505	)		(19,436,763	)

For the six months ended Jan. 31, 2015 and the year ended July 31, 2014, 5,963 Class B shares were converted to 5,963 Class A shares valued at $53,486 and 3,058 Class B shares were converted to 3,052 Class A shares valued at $27,610, respectively. The respective amounts are included in Class B redemptions and Class A subscriptions in the table above and the “Statements of changes in net assets.”

5. Line of Credit

The Fund, along with certain other funds in the Delaware Investments^® Family of Funds (Participants), was a participant in a $225,000,000 revolving line of credit to be used for temporary or emergency purposes as an additional source of liquidity to fund redemptions of investor shares. Under the agreement, the Participants were charged an annual commitment fee of 0.08%, which was allocated across the Participants on the basis of each Participant’s allocation of the entire facility. The Participants were permitted to borrow up to a maximum of one third of their net assets under the agreement. Each Participant was individually, and not jointly, liable for its particular advances, if any, under the line of credit. The line of credit under the agreement expired on Nov. 10, 2014.

25

Notes to financial statements

Delaware Inflation Protected Bond Fund

5. Line of Credit (continued)

On Nov. 10, 2014, the Fund, along with the other Participants, entered into an amendment to the agreement for a $275,000,000 revolving line of credit to be used as described above and to be operated in substantially the same manner as the original agreement. The line of credit under the agreement expires on Nov. 9, 2015.

The Fund had no amounts outstanding as of Jan. 31, 2015, or at any time during the period then ended.

6. Derivatives

U.S. GAAP requires disclosures that enable investors to understand: (1) how and why an entity uses derivatives; (2) how they are accounted for; and (3) how they affect an entity’s results of operations and financial position.

Futures Contracts — A futures contract is an agreement in which the writer (or seller) of the contract agrees to deliver to the buyer an amount of cash or securities equal to a specific dollar amount times the difference between the value of a specific security or index at the close of the last trading day of the contract and the price at which the agreement is made. The Fund may use futures in the normal course of pursuing its investment objectives. The Fund may invest in futures contracts to hedge its existing portfolio securities against fluctuations in value caused by changes in interest rates or market conditions. Upon entering into a futures contract, the Fund deposits cash or pledges U.S. government securities to a broker, equal to the minimum “initial margin” requirements of the exchange on which the contract is traded. Subsequent payments are received from the broker or paid to the broker each day, based on the daily fluctuation in the market value of the contract. These receipts or payments are known as “variation margin” and are recorded daily by the Fund as unrealized gains or losses until the contracts are closed. When the contracts are closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. Risks of entering into futures contracts include potential imperfect correlation between the futures contracts and the underlying securities and the possibility of an illiquid secondary market for these instruments. When investing in futures, there is reduced counterparty credit risk to the Fund because futures are exchange-traded and the exchange’s clearinghouse, as counterparty to all exchange-traded futures, guarantees against default.

During the six months ended Jan. 31, 2015, the Fund entered into futures contracts to hedge the Fund’s existing portfolio securities against fluctuations in value caused by changes in interest rates or market conditions.

At Jan. 31, 2015, there were no futures contracts outstanding.

Swap Contracts — The Fund may enter into interest rate swap contracts and inflation swap contracts in the normal course of pursuing its investment objectives. The Fund may use interest rate swaps to adjust the Fund’s sensitivity to interest rates or to hedge against changes in interest rates. The Fund may use inflation swaps to hedge the inflation risk in nominal bonds, thereby creating synthetic inflation-indexed bonds. The Fund may enter into CDS contracts in order to hedge against a credit event, to enhance total return, or to gain exposure to certain securities or markets. The Fund will not be permitted to enter into any swap transactions unless, at the time of entering into such transactions, the unsecured

26

long-term debt of the actual counterparty, combined with any credit enhancements, is rated at least BBB- by Standard & Poor’s Financial Services LLC (S&P) or Baa3 by Moody’s Investors Service Inc. (Moody’s) or is determined to be of equivalent credit quality by DMC.

Interest Rate Swaps. An interest rate swap contract is an exchange of interest rates between counterparties. In one instance, an interest rate swap involves payments received by the Fund from another party based on a variable or floating interest rate, in return for making payments based on a fixed interest rate. An interest rate swap can also work in reverse with the Fund receiving payments based on a fixed interest rate and making payments based on a variable or floating interest rate. Interest rate swaps may be used to adjust the Fund’s sensitivity to interest rates or to hedge against changes in interest rates. Periodic payments on such contracts are accrued daily and recorded as unrealized appreciation/depreciation on swap contracts. Upon periodic payment/receipt or termination of the contract, such amounts are recorded as realized gains or losses on swap contracts. The Fund’s maximum risk of loss from counterparty credit risk is the discounted net value of the cash flows to be received from/paid to the counterparty over the interest rate swap contract’s remaining life, to the extent that the amount is positive. This risk is mitigated by (1) for bilateral swap contracts, having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty, and (2) for cleared swaps, trading these instruments through a central counterparty.

During the six months ended Jan. 31, 2015, the Fund entered into interest rate swap contracts to manage the Fund’s sensitivity to interest rates or to hedge against changes in interest rates.

Inflation Swaps. Inflation swap agreements involve commitments to pay a regular stream of inflation-indexed cash payments in exchange for receiving a stream of nominal interest payments (or vice versa), where both payment streams are based on notional amounts. The nominal interest payments may be based on either a fixed interest rate or variable interest rate such as the London Interbank Offered Rate (LIBOR). The change in value of swap contracts outstanding, if any, is recorded as unrealized appreciation or depreciation. A realized gain or loss is recorded on maturity or termination of the swap contract. The Fund’s maximum risk of loss from counterparty credit risk is the discounted net value of the cash flows to be received from/paid to the counterparty over the swap contract’s remaining life, to the extent that the amount is positive. This risk is mitigated, for bilateral swap contracts, by having a netting arrangement between the Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover the Fund’s exposure to the counterparty.

During the six months ended Jan. 31, 2015, the Fund entered into inflation swap agreements to hedge the inflation risk in nominal bonds (example: non-inflation protected bonds), thereby creating “synthetic” inflation-indexed bonds.

Swaps Generally. The value of open swaps may differ from that which would be realized in the event the Fund terminated its position in the contract on a given day. Risks of entering into these contracts include the potential inability of the counterparty to meet the terms of the contracts. This type of risk is generally limited to the amount of favorable movement in the value of the underlying security, instrument, or basket of instruments, if any, at the day of default. Risks also arise from potential losses from adverse market movements and such losses could exceed the unrealized amounts shown on the “Schedule of investments.”

27

Notes to financial statements

Delaware Inflation Protected Bond Fund

6. Derivatives (continued)

The effect of derivative instruments on the “Statement of operations” for the six months ended Jan. 31, 2015 was as follows:

	Net Realized Loss on:
	Futures Contracts		Swap Contracts		Total
Interest rate contracts		$(86,928)		$(1,394,710)		$(1,481,638)
	Net Change in Unrealized Appreciation (Depreciation) of:
			Swap Contracts
Interest rate contracts				$(186,668)

Derivatives Generally. The table below summarizes the average balance of derivative holdings by the Fund during the six months ended Jan. 31, 2015.

	Long Derivative Short Derivative
	Volume		Volume
Futures contracts (average notional value)	$	—	$	4,478,296
Interest rate contracts (average notional value)		5,320,640		—

7. Offsetting

In December 2011, the Financial Accounting Standards Board (FASB) issued guidance that expands disclosure requirements on the offsetting of certain assets and liabilities. The disclosures are required for investments and derivative financial instruments subject to master netting or similar agreements which are eligible for offset on the “Statement of assets and liabilities” and requires an entity to disclose both gross and net information about such investments and transactions in the financial statements. In January 2013, the FASB issued guidance that clarifies which investments and transactions are subject to the offsetting disclosure requirements. The scope of the disclosure requirements for offsetting is limited to derivative instruments, repurchase agreements and reverse repurchase agreements, and securities borrowing. The guidance is effective for financial statements with fiscal years beginning on or after Jan. 1, 2013, and interim periods within those fiscal years.

In order to better define its contractual rights and to secure rights that will help the Fund mitigate its counterparty risk, the Fund entered into an International Swaps and Derivatives Association, Inc. Master Agreement (ISDA Master Agreement) or a similar agreement with each of its derivative contract counterparties. An ISDA Master Agreement is a bilateral agreement between the Fund and a counterparty that governs certain over-the-counter (OTC) derivatives and foreign exchange contracts and typically contains, among other things, collateral posting items and netting provisions in the event of a default and/or termination event. Under an ISDA Master Agreement, the Fund may, under certain circumstances, offset with the counterparty certain derivative financial instruments’ payables and/or receivables with collateral held and/or posted and create one single net payment. The provisions of the ISDA Master Agreement typically permit a single net payment in the event of default (close-out), including

28

the bankruptcy or insolvency of the counterparty. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset in bankruptcy, insolvency, or other events.

For financial reporting purposes, the Fund does not offset derivative assets and liabilities that are subject to netting arrangements in the “Statement of assets and liabilities.”

At Jan. 31, 2015, the Fund had the following assets and liabilities subject to offsetting provisions:

Master Repurchase Agreements

Counterparty		Repurchase Agreements		Fair Value of Non-Cash Collateral Received		Cash Collateral Received		Net Amount(a)
Bank of America Merrill Lynch	$	2,798,948	$	(2,798,948)	$	—	$	—
Bank of Montreal		1,865,965		(1,865,965)		—		—
BNP Paribas		2,815,210		(2,815,210)		—		—
Total	$	7,480,123	$	(7,480,123)	$	—	$	—

^(a) Net amount represents the receivable/(payable) that would be due from/(to) the counterparty in the event of default.

8. Securities Lending

The Fund, along with other funds in the Delaware Investments^® Family of Funds, may lend its securities pursuant to a security lending agreement (Lending Agreement) with The Bank of New York Mellon (BNY Mellon). At the time a security is loaned, the borrower must post collateral equal to the required percentage of the market value of the loaned security, including any accrued interest. The required percentage is: (1) 102% with respect to U.S. securities and foreign securities that are denominated and payable in U.S. dollars; and (2) 105% with respect to foreign securities. With respect to each loan, if on any business day the aggregate market value of securities collateral plus cash collateral held is less than the aggregate market value of the securities which are the subject of such loan, the borrower will be notified to provide additional collateral by the end of the following business day which, together with the collateral already held, will be not less than the applicable initial collateral requirements for such security loan. If the aggregate market value of securities collateral and cash collateral held with respect to a security loan exceeds the applicable initial collateral requirement, upon the request of the borrower, BNY Mellon must return enough collateral to the borrower by the end of the following business day to reduce the value of the remaining collateral to the applicable initial collateral requirement for such security loan. As a result of the foregoing, the value of the collateral held with respect to a loaned security on any particular day may be more or less than the value of the security on loan.

Cash collateral received is generally invested in the Delaware Investments Collateral Fund No. 1 (Collective Trust) established by BNY Mellon for the purpose of investment on behalf of funds managed by DMC that participate in BNY Mellon’s securities lending program. The Collective Trust may invest in U.S. government securities and high-quality corporate debt, asset-backed and other money market securities, and in repurchase agreements collateralized by such securities, provided that the Collective

29

Notes to financial statements

Delaware Inflation Protected Bond Fund

8. Securities Lending (continued)

Trust will generally have a dollar-weighted average portfolio maturity of 60 days or less. The Fund can also accept U.S. government securities and letters of credit (non-cash collateral) in connection with securities loans. In the event of default or bankruptcy by the lending agent, realization and/or retention of the collateral may be subject to legal proceedings. In the event the borrower fails to return loaned securities and the collateral received is insufficient to cover the value of the loaned securities and provided such collateral shortfall is not the result of investment losses, the lending agent has agreed to pay the amount of the shortfall to the Fund or, at the discretion of the lending agent, replace the loaned securities. The Fund continues to record dividends or interest, as applicable, on the securities loaned and is subject to changes in value of the securities loaned that may occur during the term of the loan. The Fund has the right under the Lending Agreement to recover the securities from the borrower on demand. With respect to security loans collateralized by non-cash collateral, the Fund receives loan premiums paid by the borrower. With respect to security loans collateralized by cash collateral, the earnings from the collateral investments are shared among the Fund, the security lending agent and the borrower. The Fund records security lending income net of allocations to the security lending agent and the borrower.

The Collective Trust used for the investment of cash collateral received from borrowers of securities seeks to maintain a net asset value per unit of $1.00, but there can be no assurance that it will always be able to do so. The Fund may incur investment losses as a result of investing securities lending collateral in the Collective Trust. This could occur if an investment in the Collective Trust defaulted or if it were necessary to liquidate assets in the Collective Trust to meet returns on outstanding security loans at a time when the Collective Trust’s net asset value per unit was less than $1.00. Under those circumstances, the Fund may not receive an amount from the Collective Trust that is equal in amount to the collateral the Fund would be required to return to the borrower of the securities and the Fund would be required to make up for this shortfall.

At Jan. 31, 2015, the Fund had no securities out on loan.

9. Credit and Market Risk

The Fund primarily invests in inflation-protected debt securities whose principal and/or interest payments are adjusted for inflation, unlike traditional debt securities that make fixed principal and interest payments. Under normal circumstances, the Fund will invest at least 80% of its net assets in inflation-protected bonds issued by the U.S. government, its agencies or instrumentalities, foreign governments, and corporations, which may include synthetic investments such as options, forwards, futures contracts, or swap agreements that, when combined with non-inflation-indexed bonds, have economic characteristics similar to inflation-indexed bonds.

Some countries in which the Fund may invest require governmental approval for the repatriation of investment income, capital or the proceeds of sales of securities by foreign investors. In addition, if there is deterioration in a country’s balance of payments or for other reasons, a country may impose temporary restrictions on foreign capital remittances abroad. The securities exchanges of certain foreign markets are substantially smaller, less liquid and more volatile than the major securities markets in the United States. Consequently, acquisition and disposition of securities by the Fund may be inhibited.

30

The Fund may invest up to 10% of its net assets in high yield, fixed income securities, which are securities rated lower than BBB- by S&P and lower than Baa3 by Moody’s, or similarly rated by another nationally recognized statistical rating organization. Investments in these higher yielding securities are generally accompanied by a greater degree of credit risk than higher rated securities. Additionally, lower rated securities may be more susceptible to adverse economic and competitive industry conditions than investment grade securities.

The Fund invests in fixed income securities whose value is derived from an underlying pool of mortgages or consumer loans. The value of these securities is sensitive to changes in economic conditions, including delinquencies and/or defaults, and may be adversely affected by shifts in the market’s perception of the issuers and changes in interest rates. Investors receive principal and interest payments as the underlying mortgages and consumer loans are paid back. Some of these securities are collateralized mortgage obligations (CMOs). CMOs are debt securities issued by U.S. government agencies or by financial institutions and other mortgage lenders, which are collateralized by a pool of mortgages held under an indenture. Prepayment of mortgages may shorten the stated maturity of the obligations and can result in a loss of premium, if any has been paid. Certain of these securities may be stripped (securities which provide only the principal or interest feature of the underlying security). The yield to maturity on an interest-only CMO is extremely sensitive not only to changes in prevailing interest rates, but also to the rate of principal payments (including prepayments) on the related underlying mortgage assets. A rapid rate of principal payments may have a material adverse effect on the Fund’s yield to maturity. If the underlying mortgage assets experience greater than anticipated prepayments of principal, the Fund may fail to fully recoup its initial investment in these securities even if the securities are rated in the highest rating categories.

The Fund invests in certain obligations that may have liquidity protection designed to ensure that the receipt of payments due on the underlying security is timely. Such protection may be provided through guarantees, insurance policies or letters of credit obtained by the issuer or sponsor through third parties, through various means of structuring the transaction, or through a combination of such approaches. The Fund will not pay any additional fees for such credit support, although the existence of credit support may increase the price of a security.

The Fund may invest up to 15% of its net assets in illiquid securities, which may include securities with contractual restrictions on resale, securities exempt from registration under Rule 144A of the Securities Act of 1933, as amended, and other securities which may not be readily marketable. The relative illiquidity of these securities may impair the Fund from disposing of them in a timely manner and at a fair price when it is necessary or desirable to do so. While maintaining oversight, the Fund’s Board has delegated to DMC, the day-to-day functions of determining whether individual securities are liquid for purposes of the Fund’s limitation on investments in illiquid securities. Securities eligible for resale pursuant to Rule 144A, which are determined to be liquid, are not subject to the Fund’s 15% limit on investments in illiquid securities. As of Jan. 31, 2015, there were no Rule 144A securities and no securities held by the Fund have been determined to be illiquid under the Fund’s Liquidity Procedures.

10. Contractual Obligations

The Fund enters into contracts in the normal course of business that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the

31

Notes to financial statements

Delaware Inflation Protected Bond Fund

10. Contractual Obligations (continued)

Fund has not had prior claims or losses pursuant to these contracts. Management has reviewed the Fund’s existing contracts and expects the risk of loss to be remote.

11. Recent Accounting Pronouncements

In June 2014, the FASB issued guidance to improve the financial reporting of reverse repurchase agreements and other similar transactions. The guidance includes expanded disclosure requirements for entities that enter into reverse repurchase agreements and similar transactions accounted for as secured borrowings. The guidance is effective for financial statements with fiscal years beginning on or after Dec.15, 2014 and interim periods within those fiscal years. Management is evaluating the impact, if any, of this guidance on the Fund’s financial statement disclosures.

12. Subsequent Events

On Feb. 19, 2015, the Board of Trustees of Delaware Group^® Government Fund unanimously voted and approved a proposal to liquidate the Fund. Please read the prospectus, summary prospectus, and related supplements for more information concerning this event.

Management has determined that no other material events or transactions occurred subsequent to Jan. 31, 2015 that would require recognition or disclosure in the Fund’s financial statements.

32

Other Fund information (Unaudited)

Delaware Inflation Protected Bond Fund

Board Consideration of Delaware Inflation Protected Bond Fund Investment Management Agreement

At a meeting held on Aug. 19–21, 2014 (the “Annual Meeting”), the Board of Trustees (the “Board”), including a majority of disinterested or independent Trustees, approved the renewal of the Investment Management Agreement for Delaware Inflation Protected Bond Fund (the “Fund”). In making its decision, the Board considered information furnished at regular quarterly Board meetings, including reports detailing Fund performance, investment strategies, and expenses, as well as information prepared specifically in connection with the renewal of the investment advisory and sub-advisory contracts. Information furnished specifically in connection with the renewal of the Investment Management Agreement with Delaware Management Company (“DMC”) included materials provided by DMC and its affiliates (“Delaware Investments”) concerning, among other things, the nature, extent, and quality of services provided to the Fund; the costs of such services to the Fund; economies of scale; and the financial condition and profitability of Delaware Investments. In addition, in connection with the Annual Meeting, reports were provided to the Trustees in May 2014 and included reports provided by Lipper, Inc., an independent statistical compilation organization (“Lipper”). The Lipper reports compared the Fund’s investment performance and expenses with those of other comparable mutual funds. The Independent Trustees reviewed and discussed the Lipper reports with independent legal counsel to the Independent Trustees. The Board requested and received information regarding DMC’s policy with respect to advisory fee levels and its breakpoint philosophy; the structure of portfolio manager compensation; the investment manager’s profitability; comparative client fee information; and any constraints or limitations on the availability of securities for certain investment styles, which had in the past year inhibited, or which were likely in the future to inhibit, DMC’s ability to invest fully in accordance with Fund policies.

In considering information relating to the approval of the Fund’s management agreement, the Independent Trustees received assistance and advice from and met separately with independent legal counsel to the Independent Trustees. Although the Board gave attention to all information furnished, the following discussion identifies, under separate headings, the primary factors taken into account by the Board during its contract renewal considerations.

Nature, Extent, and Quality of Service. The Board considered the services provided by Delaware Investments to the Fund and its shareholders. In reviewing the nature, extent, and quality of services, the Board considered reports furnished to it throughout the year, which covered matters such as the relative performance of the Fund; compliance of portfolio managers with the investment policies, strategies, and restrictions for the Fund; compliance by DMC and Delaware Distributors, L.P. (together, “Management”) personnel with the Code of Ethics adopted throughout the Delaware Investments^® Family of Funds complex; and adherence to fair value pricing procedures as established by the Board. The Board was pleased with the current staffing of the Fund’s investment manager and the emphasis placed on research in the investment process. The Board recognized DMC’s receipt of several industry distinctions. The Board gave favorable consideration to DMC’s efforts to control expenditures while maintaining service levels committed to Fund matters. The Board noted that, in the third and fourth quarters of 2013, Management reduced the maximum 12b-1 fee for certain funds, and in November 2013 Management negotiated a substantial reduction in fees for fund accounting services provided to the Funds. The Board noted the benefits provided to Fund shareholders through each shareholder’s ability to exchange an investment in one Delaware Investments fund for the same class of shares in

33

Other Fund information (Unaudited)

Delaware Inflation Protected Bond Fund

another Delaware Investments fund without a sales charge, to reinvest Fund dividends into additional shares of the Fund or into additional shares of other Delaware Investments^® funds, and the privilege to combine holdings in other Delaware Investments funds to obtain a reduced sales charge. The Board was satisfied with the nature, extent, and quality of the overall services provided by Delaware Investments.

Investment Performance. The Board placed significant emphasis on the investment performance of the Fund in view of the importance of investment performance to shareholders. Although the Board gave appropriate consideration to performance reports and discussions with portfolio managers at Investment Committee meetings throughout the year, the Board gave particular weight to the Lipper reports furnished for the Annual Meeting. The Lipper reports prepared for the Fund showed the investment performance of its Class A shares in comparison to a group of similar funds as selected by Lipper (the “Performance Universe”). A fund with the best performance ranked first, and a fund with the poorest performance ranked last. The highest/best performing 25% of funds in the Performance Universe make up the first quartile; the next 25%, the second quartile; the next 25%, the third quartile; and the poorest/ worst performing 25% of funds in the Performance Universe make up the fourth quartile. Comparative annualized performance for the Fund was shown for the past 1-, 3-, 5-, and 10-year periods, to the extent applicable, ended March 31, 2014. The Board’s objective is that the Fund’s performance for the periods considered be at or above the median of its Performance Universe. The following paragraph summarizes the performance results for the Fund and the Board’s view of such performance.

The Performance Universe for the Fund consisted of the Fund and all retail and institutional inflation-protected bond funds as selected by Lipper. The Lipper report comparison showed that the Fund’s total return for the 1-, 3-, and 5-year periods was in the fourth quartile of its Performance Universe. The Board observed that the Fund’s performance results were not in line with the Board’s objective. In evaluating the Fund’s performance, the Board considered the numerous investment and performance reports delivered by Management personnel to the Board’s Investments Committee. The Board was satisfied that Management was taking action to improve Fund performance and to meet the Board’s performance objective.

Comparative Expenses. The Board considered expense comparison data for the Delaware Investments Family of Funds. Management provided the Board with information on pricing levels and fee structures for the Fund as of its most recently completed fiscal year. The Board also focused on the comparative analysis of effective management fees and total expense ratios of the Fund versus effective management fees and expense ratios of a group of similar funds as selected by Lipper (the “Expense Group”). In reviewing comparative costs, the Fund’s contractual management fee and the actual management fee incurred by the Fund were compared with the contractual management fees (assuming all funds in the Expense Group were similar in size to the Fund) and actual management fees (as reported by each fund) within the Expense Group, taking into account any applicable breakpoints and fee waivers. The Fund’s total expenses were also compared with those of its Expense Group. The Lipper total expenses, for comparative consistency, were shown by Lipper for Class A shares and comparative total expenses including 12b-1 and non 12b-1 service fees. The Board considered fees paid to Delaware Investments for nonmanagement services. The Board’s objective is to limit the Fund’s total expense ratio to be competitive with that of the Expense Group. The following paragraph summarizes the expense results for the Fund and the Board’s view of such expenses.

34

The expense comparisons for the Fund showed that its actual management fee was in the quartile with the lowest expenses of its Expense Group and its total expenses were in the quartile with the second lowest expenses of its Expense Group. The Board was satisfied with the management fee and total expenses of the Fund in comparison to those of its Expense Group as shown in the Lipper report.

Management Profitability. The Board considered the level of profits realized by Delaware Investments in connection with the operation of the Fund. In this respect, the Board reviewed the Investment Management Profitability Analysis that addressed the overall profitability of Delaware Investments’ business in providing management and other services to each of the individual funds and the Delaware Investments^® Family of Funds as a whole. Specific attention was given to the methodology followed in allocating costs for the purpose of determining profitability. Management stated that the level of profits of Delaware Investments, to a certain extent, reflects recent operational cost savings and efficiencies initiated by Delaware Investments. The Board considered Delaware Investments’ efforts to improve services provided to fund shareholders and to meet additional regulatory and compliance requirements resulting from recent industry-wide Securities and Exchange Commission initiatives. The Board also considered the extent to which Delaware Investments might derive ancillary benefits from fund operations, including the potential for procuring additional business as a result of the prestige and visibility associated with its role as service provider to the Delaware Investments Family of Funds and the benefits from allocation of fund brokerage to improve trading efficiencies. The Board found that the management fees were reasonable in light of the services rendered and the level of profitability of Delaware Investments.

Economies of Scale. The Trustees considered whether economies of scale are realized by Delaware Investments as the Fund’s assets increase and the extent to which any economies of scale are reflected in the level of management fees charged. The Trustees reviewed the standardized advisory fee pricing and structure, approved by the Board and shareholders, which includes breakpoints. Breakpoints in the advisory fee occur when the advisory fee rate is reduced on assets in excess of specified levels. Breakpoints result in a lower advisory fee than would otherwise be the case on all assets when the asset levels specified are exceeded. The Board noted that the fee under the Fund’s management contract fell within the standard structure. Although the Fund has not reached a size at which it can take advantage of breakpoints, the Board recognized that the fee was structured so that when the Fund grows, economies of scale may be shared.

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About the organization

Board of trustees
Patrick P. Coyne	Joseph W. Chow	Lucinda S. Landreth	Thomas K. Whitford
President and	Former Executive Vice	Former Chief Investment	Former Vice Chairman
Chief Executive Officer	President	Officer	PNC Financial Services Group
Delaware Investments®	State Street Corporation	Assurant, Inc.	Pittsburgh, PA
Family of Funds	Brookline, MA	Philadelphia, PA
Philadelphia, PA			Janet L. Yeomans
	John A. Fry	Frances A.	Former Vice President
Thomas L. Bennett	President	Sevilla-Sacasa	and Treasurer
Chairman of the Board	Drexel University	Chief Executive Officer	3M Corporation
Delaware Investments	Philadelphia, PA	Banco Itaú	St. Paul, MN
Family of Funds		International
Private Investor		Miami, FL	J. Richard Zecher
Rosemont, PA			Founder
			Investor Analytics
			Scottsdale, AZ
Affiliated officers
David F. Connor	Daniel V. Geatens	David P. O’Connor	Richard Salus
Senior Vice President,	Vice President and	Executive Vice President,	Senior Vice President and
Deputy General Counsel,	Treasurer	General Counsel,	Chief Financial Officer
and Secretary	Delaware Investments	and Chief Legal Officer	Delaware Investments
Delaware Investments	Family of Funds	Delaware Investments	Family of Funds
Family of Funds	Philadelphia, PA	Family of Funds	Philadelphia, PA
Philadelphia, PA		Philadelphia, PA

This semiannual report is for the information of Delaware Inflation Protected Bond Fund shareholders, but it may be used with prospective investors when preceded or accompanied by the Delaware Investments Fund fact sheet for the most recently completed calendar quarter. These documents are available at delawareinvestments.com.

Delaware Investments is the marketing name of Delaware Management Holdings, Inc. and its subsidiaries.

The Fund files its complete schedule of portfolio holdings with the Securities and Exchange Commission (SEC) for the first and third quarters of each fiscal year on Form N-Q. The Fund’s Forms N-Q, as well as a description of the policies and procedures that the Fund uses to determine how to vote proxies (if any) relating to portfolio securities are available without charge (i) upon request, by calling 800 523-1918; and (ii) on the SEC’s website at sec.gov. In addition, a description of the policies and procedures that the Fund uses to determine how to vote proxies (if any) relating to portfolio securities and the Schedule of Investments included in the Fund’s most recent Form N-Q are available without charge on the Fund’s website at delawareinvestments.com. The Fund’s Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C.; information on the operation of the Public Reference Room may be obtained by calling 800 SEC-0330.

Information (if any) regarding how the Fund voted proxies relating to portfolio securities during the most recently disclosed 12-month period ended June 30 is available without charge (i) through the Fund’s website at delawareinvestments.com; and (ii) on the SEC’s website at sec.gov.

36

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) Included as part of report to shareholders filed under Item 1 of this Form N-CSR.

(b) Divestment of securities in accordance with Section 13(c) of the Investment Company Act of 1940.

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 Companies and Affiliated Purchasers

Not applicable.

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

Not applicable.

Item 11. Controls and Procedures

The registrant’s principal executive officer and principal financial officer have evaluated the registrant’s disclosure controls and procedures within 90 days of the filing of this report and have concluded that they are effective in providing reasonable assurance that the information required to be disclosed by the registrant in its reports or statements filed under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the Securities and Exchange Commission.

There were no significant changes in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by the report to stockholders included herein (i.e., the registrant’s second fiscal quarter) that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12. Exhibits

(a)	(1) Code of Ethics
	Not applicable.
	(2) Certifications of Principal Executive Officer and Principal Financial Officer pursuant to Rule 30a-2 under the Investment Company Act of 1940 are attached hereto as Exhibit 99.CERT.
	(3) Written solicitations to purchase securities pursuant to Rule 23c-1 under the Securities Exchange Act of 1934.
	Not applicable.
(b)	Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 are furnished herewith as Exhibit 99.906CERT.

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.

DELAWARE GROUP^® GOVERNMENT FUND

/s/ PATRICK P. COYNE
By:	Patrick P. Coyne
Title:	Chief Executive Officer
Date:	April 2, 2015

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.

/s/ PATRICK P. COYNE
By:	Patrick P. Coyne
Title:	Chief Executive Officer
Date:	April 2, 2015
/s/ RICHARD SALUS
By:	Richard Salus
Title:	Chief Financial Officer
Date:	April 2, 2015