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: | 811-04413 |
Exact name of registrant as specified in charter: | Delaware Group® Equity Funds IV |
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: | September 30 |
Date of reporting period: | March 31, 2020 |
Item 1. Reports to Stockholders
Semiannual report
Equity funds | ||
Delaware Equity Income Fund | Delaware Government Cash Management Fund | |
(formerly, First Investors Equity Income Fund) | (formerly, First Investors Government Cash Management Fund) | |
Delaware Growth and Income Fund | Delaware International Opportunities Bond Fund | |
(formerly, First Investors Growth & Income Fund) | (formerly, First Investors International Opportunities Bond Fund) | |
Delaware Growth Equity Fund | Delaware Investment Grade Fund | |
(formerly, First Investors Select Growth Fund) | (formerly, First Investors Investment Grade Fund) | |
Delaware Opportunity Fund | Delaware Limited Duration Bond Fund | |
(formerly, First Investors Opportunity Fund) | (formerly, First Investors Limited Duration Bond Fund) | |
Delaware Special Situations Fund | Delaware Strategic Income II Fund | |
(formerly, First Investors Special Situations Fund) | (formerly, First Investors Strategic Income) | |
Delaware Global Equity Fund | Alternative/specialty funds | |
(formerly, First Investors Global Fund) | ||
Delaware Covered Call Strategy Fund | ||
Delaware International Fund | (formerly, First Investors Covered Call Strategy Fund) | |
(formerly, First Investors International Fund) | ||
Delaware Hedged U.S. Equity Opportunities Fund | ||
Fixed income funds | (formerly, First Investors Hedged U.S. Equity Opportunities Fund) | |
Delaware Floating Rate II Fund | Delaware Premium Income Fund | |
(formerly, First Investors Floating Rate Fund) | (formerly, First Investors Premium Income Fund) | |
Delaware Fund for Income | Multi-asset funds | |
(formerly, First Investors Fund For Income) | Delaware Total Return Fund | |
(formerly, First Investors Total Return Fund) |
March 31, 2020
If you already elected to receive shareholder reports electronically, you will not be affected by this change and you do not need to take any action. You may elect to receive shareholder reports and other communications from the Fund electronically by signing up at delawarefunds.com/edelivery. If you own these shares through a financial intermediary, you may contact your financial intermediary.
Carefully consider the Funds’ investment objectives, risk factors, charges, and expenses before investing. This and other information can be found in the Funds’ prospectus and their summary prospectuses, which may be obtained by visiting delawarefunds.com/literature 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 delawarefunds.com/edelivery.
Experience Delaware Funds®by Macquarie
Macquarie Investment Management (MIM) is a global asset manager with offices in the United States, Europe, Asia, and Australia.
As active managers we prioritize autonomy and accountability at the investment team level in pursuit of opportunities that matter for clients. Delaware Funds is one of the longest-standing mutual fund families, with more than 80 years in existence.
If you are interested in learning more about creating an investment plan, contact your financial advisor.
You can learn more about Delaware Funds or obtain a prospectus for the Funds at delawarefunds.com/literature.
● | Check your account balance and transactions |
● | View statements and tax forms |
● | Make purchases and redemptions |
Visit delawarefunds.com/account-access.
Macquarie Asset Management (MAM) offers a diverse range of products including securities investment management, infrastructure and real asset management, and fund and equity-based structured products. MIM is the marketing name for certain companies comprising the asset management division of Macquarie Group. This includes the following investment advisers: Macquarie Investment Management Business Trust (MIMBT), Macquarie Funds Management Hong Kong Limited, Macquarie Investment Management Austria Kapitalanlage AG, Macquarie Investment Management Global Limited, Macquarie Investment Management Europe Limited, Macquarie Capital Investment Management LLC, and Macquarie Investment Management Europe S.A.
The Funds are distributed byDelaware Distributors, L.P. (DDLP), an affiliate of MIMBT and Macquarie Group Limited.
Table of contents | ||
Disclosure of Fund expenses | 1 | |
Security type / sector / country allocations and top 10 equity holdings | 12 | |
Schedules of investments | 36 | |
Statements of assets and liabilities | 152 | |
Statements of operations | 166 | |
Statements of changes in net assets | 178 | |
Financial highlights | 214 | |
Notes to financial statements | 316 | |
About the organization | 367 |
Unless otherwise noted, views expressed herein are current as of March 31, 2020, and subject to change for events occurring after such date.
The Funds are not FDIC insured and are not guaranteed. It is possible to lose the principal amount invested.
Advisory services provided by Delaware Management Company, a series of MIMBT, a US registered investment advisor.
All third-party marks cited are the property of their respective owners.
Disclosure of Fund expenses
For the six-month period from October 1, 2019 to March 31, 2020 (Unaudited)
Delaware Equity Income Fund seeks total return.
Delaware Growth and Income Fund seeks long-term growth of capital and current income.
Delaware Growth Equity Fund and Delaware Special Situations Fund seek long-term growth of capital.
Delaware Opportunity Fund, Delaware Global Equity Fund, and Delaware International Fund seek long-term capital growth.
Delaware Floating Rate II Fund and Delaware Strategic Income II Fund seek a high level of current income.
Delaware Fund for Income seeks high current income.
Delaware Government Cash Management Fund seeks to earn current income consistent with the preservation of capital and maintenance of liquidity.
Delaware International Opportunities Bond Fund seeks total return consisting of income and capital appreciation.
Delaware Investment Grade Fund seeks to generate a maximum level of income consistent with investment in primarily investment grade debt securities.
Delaware Limited Duration Bond Fund seeks current income consistent with low volatility of principal.
Delaware Covered Call Strategy Fund seeks long-term capital appreciation.
Delaware Hedged U.S. Equity Opportunities Fund seeks total return and, secondarily, capital preservation.
Delaware Premium Income Fund seeks to generate income.
Delaware Total Return Fund seeks to provide sustainable current income with potential for capital appreciation with moderate investment risk.
As a shareholder of a 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 service (12b-1) fees; and other Fund expenses. These following examples are intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The examples are based on an investment of $1,000 invested at the beginning of the period and held for the entire six-month period from Oct. 1, 2019 to March 31, 2020.
Actual expenses
The first section of the tables 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
1
Disclosure of Fund expenses
For the six-month period from October 1, 2019 to March 31, 2020 (Unaudited)
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 tables shown, “Hypothetical 5% return,” provides information about hypothetical account values and hypothetical expenses based on the Funds’ actual expense ratios and an assumed rate of return of 5% per year before expenses, which is not the Funds’ 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 each 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 tables 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 each 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 Funds’ expenses shown in the tables reflect fee waivers in effect and assume reinvestment of all dividends and distributions.
Delaware Equity Income Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||||||
Actual Fund return† | ||||||||||||||||||||
Class A | $ | 1,000.00 | $ | 780.00 | 1.16 | % | $ | 5.16 | ||||||||||||
Institutional Class** | 1,000.00 | 781.10 | 0.92 | % | 4.10 | |||||||||||||||
Class R6*** | 1,000.00 | 781.50 | 0.82 | % | 3.65 | |||||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||||||
Class A | $ | 1,000.00 | $ | 1,019.20 | 1.16 | % | $ | 5.86 | ||||||||||||
Institutional Class** | 1,000.00 | 1,020.40 | 0.92 | % | 4.65 | |||||||||||||||
Class R6*** | 1,000.00 | 1,020.90 | 0.82 | % | 4.14 |
2
Delaware Growth and Income Fund
Expense analysis of an investment of $1,000
Beginning | Beginning | Expenses | ||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||
Actual Fund return† | ||||||||||||||||
Class A | $1,000.00 | $780.80 | 1.09% | $4.85 | ||||||||||||
Institutional Class** | 1,000.00 | 782.00 | 0.85% | 3.79 | ||||||||||||
Class R6*** | 1,000.00 | 781.80 | 0.76% | 3.39 | ||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||
Class A | $1,000.00 | $1,019.55 | 1.09% | $5.50 | ||||||||||||
Institutional Class** | 1,000.00 | 1,020.75 | 0.85% | 4.29 | ||||||||||||
Class R6*** | 1,000.00 | 1,021.20 | 0.76% | 3.84 |
Delaware Growth Equity Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||
Actual Fund return† | ||||||||||||||||
Class A | $1,000.00 | $928.30 | 1.16% | $5.59 | ||||||||||||
Institutional Class** | 1,000.00 | 929.50 | 0.87% | 4.20 | ||||||||||||
Class R6*** | 1,000.00 | 929.80 | 0.80% | 3.86 | ||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||
Class A | $1,000.00 | $1,019.20 | 1.16% | $5.86 | ||||||||||||
Institutional Class** | 1,000.00 | 1,020.65 | 0.87% | 4.39 | ||||||||||||
Class R6*** | 1,000.00 | 1,021.00 | 0.80% | 4.04 |
3
Disclosure of Fund expenses
For the six-month period from October 1, 2019 to March 31, 2020 (Unaudited)
Delaware Opportunity Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||
Actual Fund return† | ||||||||||||||||
Class A | $1,000.00 | $691.80 | 1.22% | $5.16 | ||||||||||||
Institutional Class** | 1,000.00 | 692.60 | 0.98% | 4.15 | ||||||||||||
Class R6*** | 1,000.00 | 693.20 | 0.79% | 3.34 | ||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||
Class A | $1,000.00 | $1,018.90 | 1.22% | $6.16 | ||||||||||||
Institutional Class** | 1,000.00 | 1,020.10 | 0.98% | 4.95 | ||||||||||||
Class R6*** | 1,000.00 | 1,021.05 | 0.79% | 3.99 |
Delaware Special Situations Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||
Actual Fund return† | ||||||||||||||||
Class A | $1,000.00 | $670.90 | 1.29% | $5.39 | ||||||||||||
Institutional Class** | 1,000.00 | 672.00 | 1.10% | 4.60 | ||||||||||||
Class R6*** | 1,000.00 | 672.30 | 0.89% | 3.72 | ||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||
Class A | $1,000.00 | $1,018.55 | 1.29% | $6.51 | ||||||||||||
Institutional Class** | 1,000.00 | 1,019.50 | 1.10% | 5.55 | ||||||||||||
Class R6*** | 1,000.00 | 1,020.55 | 0.89% | 4.50 |
4
Delaware Global Equity Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||
Actual Fund return† | ||||||||||||||||
Class A | $1,000.00 | $890.90 | 1.42% | $6.71 | ||||||||||||
Institutional Class** | 1,000.00 | 892.90 | 1.10% | 5.21 | ||||||||||||
Class R6*** | 1,000.00 | 892.20 | 1.03% | 4.87 | ||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||
Class A | $1,000.00 | $1,017.90 | 1.42% | $7.16 | ||||||||||||
Institutional Class** | 1,000.00 | 1,019.50 | 1.10% | 5.55 | ||||||||||||
Class R6*** | 1,000.00 | 1,019.85 | 1.03% | 5.20 |
Delaware International Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||
Actual Fund return† | ||||||||||||||||
Class A | $1,000.00 | $860.30 | 1.45% | $6.74 | ||||||||||||
Institutional Class** | 1,000.00 | 861.30 | 1.19% | 5.54 | ||||||||||||
Class R6*** | 1,000.00 | 862.20 | 1.11% | 5.17 | ||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||
Class A | $1,000.00 | $1,017.75 | 1.45% | $7.31 | ||||||||||||
Institutional Class** | 1,000.00 | 1,019.05 | 1.19% | 6.01 | ||||||||||||
Class R6*** | 1,000.00 | 1,019.45 | 1.11% | 5.60 |
5
Disclosure of Fund expenses
For the six-month period from October 1, 2019 to March 31, 2020 (Unaudited)
Delaware Floating Rate II Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||
Actual Fund return† | ||||||||||||||||
Class A | $1,000.00 | $911.00 | 1.05% | $5.02 | ||||||||||||
Institutional Class** | 1,000.00 | 911.70 | 0.92% | 4.40 | ||||||||||||
Class R6*** | 1,000.00 | 913.70 | 0.78% | 3.73 | ||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||
Class A | $1,000.00 | $1,019.75 | 1.05% | $5.30 | ||||||||||||
Institutional Class** | 1,000.00 | 1,020.40 | 0.92% | 4.65 | ||||||||||||
Class R6*** | 1,000.00 | 1,021.10 | 0.78% | 3.94 |
Delaware Fund for Income
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||
Actual Fund return† | ||||||||||||||||
Class A | $1,000.00 | $899.80 | 1.18% | $5.60 | ||||||||||||
Institutional Class** | 1,000.00 | 900.00 | 0.93% | 4.42 | ||||||||||||
Class R6*** | 1,000.00 | 901.90 | 0.92% | 4.37 | ||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||
Class A | $1,000.00 | $1,019.10 | 1.18% | $5.96 | ||||||||||||
Institutional Class** | 1,000.00 | 1,020.35 | 0.93% | 4.70 | ||||||||||||
Class R6*** | 1,000.00 | 1,020.40 | 0.92% | 4.65 |
6
Delaware Government Cash Management Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||
Actual Fund return† | ||||||||||||||
Class A | $1,000.00 | $1,004.90 | 0.54% | $2.71 | ||||||||||
Class R6*** | 1,000.00 | 1,004.80 | 0.57% | 2.86 | ||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||
Class A | $1,000.00 | $1,022.30 | 0.54% | $2.73 | ||||||||||
Class R6*** | 1,000.00 | 1,022.15 | 0.57% | 2.88 |
Delaware International Opportunities Bond Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||
Actual Fund return† | ||||||||||||||
Class A | $1,000.00 | $970.40 | 1.39% | $6.85 | ||||||||||
Institutional Class** | 1,000.00 | 971.10 | 1.10% | 5.42 | ||||||||||
Class R6*** | 1,000.00 | 972.00 | 1.00% | 4.93 | ||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||
Class A | $1,000.00 | $1,018.05 | 1.39% | $7.01 | ||||||||||
Institutional Class** | 1,000.00 | 1,019.50 | 1.10% | 5.55 | ||||||||||
Class R6*** | 1,000.00 | 1,020.00 | 1.00% | 5.05 |
7
Disclosure of Fund expenses
For the six-month period from October 1, 2019 to March 31, 2020 (Unaudited)
Delaware Investment Grade Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||
Actual Fund return† | ||||||||||||||
Class A | $1,000.00 | $949.00 | 1.04% | $5.07 | ||||||||||
Institutional Class** | 1,000.00 | 949.80 | 0.84% | 4.09 | ||||||||||
Class R6*** | 1,000.00 | 950.90 | 0.79% | 3.85 | ||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||
Class A | $1,000.00 | $1,019.80 | 1.04% | $5.25 | ||||||||||
Institutional Class** | 1,000.00 | 1,020.80 | 0.84% | 4.24 | ||||||||||
Class R6*** | 1,000.00 | 1,021.05 | 0.79% | 3.99 |
Delaware Limited Duration Bond Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||
Actual Fund return† | ||||||||||||||
Class A | $1,000.00 | $999.40 | 0.74% | $3.70 | ||||||||||
Institutional Class** | 1,000.00 | 1,000.60 | 0.51% | 2.55 | ||||||||||
Class R6*** | 1,000.00 | 1,002.40 | 0.35% | 1.75 | ||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||
Class A | $1,000.00 | $1,021.30 | 0.74% | $3.74 | ||||||||||
Institutional Class** | 1,000.00 | 1,022.45 | 0.51% | 2.58 | ||||||||||
Class R6*** | 1,000.00 | 1,023.25 | 0.35% | 1.77 |
8
Delaware Strategic Income II Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||
Actual Fund return† | ||||||||||||||
Class A | $1,000.00 | $897.30 | 1.12% | $5.31 | ||||||||||
Institutional Class** | 1,000.00 | 898.50 | 0.87% | 4.13 | ||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||
Class A | $1,000.00 | $1,019.40 | 1.12% | $5.65 | ||||||||||
Institutional Class** | 1,000.00 | 1,020.65 | 0.87% | 4.39 |
Delaware Covered Call Strategy Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||
Actual Fund return† | ||||||||||||||
Class A | $1,000.00 | $791.50 | 1.33% | $5.96 | ||||||||||
Institutional Class** | 1,000.00 | 792.80 | 1.10% | 4.93 | ||||||||||
Class R6*** | 1,000.00 | 793.20 | 0.89% | 3.99 | ||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||
Class A | $1,000.00 | $1,018.35 | 1.33% | $6.71 | ||||||||||
Institutional Class** | 1,000.00 | 1,019.50 | 1.10% | 5.55 | ||||||||||
Class R6*** | 1,000.00 | 1,020.55 | 0.89% | 4.50 |
9
Disclosure of Fund expenses
For the six-month period from October 1, 2019 to March 31, 2020 (Unaudited)
Delaware Hedged U.S. Equity Opportunities Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||
Actual Fund return† | ||||||||||||||
Class A | $1,000.00 | $903.70 | 1.67% | $7.95 | ||||||||||
Institutional Class** | 1,000.00 | 906.10 | 1.35% | 6.43 | ||||||||||
Class R6*** | 1,000.00 | 905.50 | 1.24% | 5.91 | ||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||
Class A | $1,000.00 | $1,016.65 | 1.67% | $8.42 | ||||||||||
Institutional Class** | 1,000.00 | 1,018.25 | 1.35% | 6.81 | ||||||||||
Class R6*** | 1,000.00 | 1,018.80 | 1.24% | 6.26 |
Delaware Premium Income Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||
Actual Fund return† | ||||||||||||||
Class A | $1,000.00 | $830.40 | 1.30% | $5.95 | ||||||||||
Institutional Class** | 1,000.00 | 830.20 | 1.05% | 4.80 | ||||||||||
Class R6*** | 1,000.00 | 830.90 | 0.90% | 4.12 | ||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||
Class A | $1,000.00 | $1,018.50 | 1.30% | $6.56 | ||||||||||
Institutional Class** | 1,000.00 | 1,019.75 | 1.05% | 5.30 | ||||||||||
Class R6*** | 1,000.00 | 1,020.50 | 0.90% | 4.55 |
10
Delaware Total Return Fund
Expense analysis of an investment of $1,000
Beginning | Ending | Expenses | ||||||||||||||||||
Account Value | Account Value | Annualized | Paid During Period | |||||||||||||||||
10/1/19 | 3/31/20 | Expense Ratio | 10/1/19 to 3/31/20* | |||||||||||||||||
Actual Fund return† | ||||||||||||||||||||
Class A | $ | 1,000.00 | $ | 827.80 | 1.17 | % | $ | 5.35 | ||||||||||||
Institutional Class** | 1,000.00 | 829.10 | 0.90 | % | 4.12 | |||||||||||||||
Class R6*** | 1,000.00 | 829.40 | 0.82 | % | 3.75 | |||||||||||||||
Hypothetical 5% return(5% return before expenses) | ||||||||||||||||||||
Class A | $ | 1,000.00 | $ | 1,019.15 | 1.17 | % | $ | 5.91 | ||||||||||||
Institutional Class** | 1,000.00 | 1,020.50 | 0.90 | % | 4.55 | |||||||||||||||
Class R6*** | 1,000.00 | 1,020.90 | 0.82 | % | 4.14 |
* | “Expenses Paid During Period” are equal to the relevant Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 183/366 (to reflect the one-half year period). |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
† | Because actual returns reflect only the most recent six-month period, the returns shown may differ significantly from fiscal year returns. |
In addition to each Fund’s expenses reflected above, the Fund also indirectly bears its portion of the fees and expenses of the investment companies (Underlying Funds) in which it may invest, including exchange-traded funds. The tables above do not reflect the expenses of the Underlying Funds.
11
Security type / sector allocations and top 10 equity holdings | |
Delaware Equity Income Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | ||||
Common Stock | 98.39 | % | |||
Communication Services | 11.54 | % | |||
Consumer Discretionary | 5.97 | % | |||
Consumer Staples | 10.40 | % | |||
Energy | 3.90 | % | |||
Financials | 13.71 | % | |||
Healthcare | 23.95 | % | |||
Industrials | 7.90 | % | |||
Information Technology | 12.55 | % | |||
Materials | 2.48 | % | |||
Real Estate | 3.00 | % | |||
Utilities | 2.99 | % | |||
Short-Term Investments | 1.18 | % | |||
Total Value of Securities | 99.57 | % | |||
Receivables and Other Assets Net of Liabilities | 0.43 | % | |||
Total Net Assets | 100.00 | % |
Holdings are for informational purposes only and are subject to change at any time. They are not a recommendation to buy, sell, or hold any security.
Top 10 equity holdings | Percentage of net assets | ||||
Conagra Brands | 3.52 | % | |||
Pfizer | 3.51 | % | |||
Cardinal Health | 3.45 | % | |||
Mondelez International Class A | 3.45 | % | |||
Merck & Co. | 3.45 | % | |||
Archer-Daniels-Midland | 3.43 | % | |||
Verizon Communications | 3.41 | % | |||
Abbott Laboratories | 3.39 | % | |||
Cisco Systems | 3.39 | % | |||
CVS Health | 3.39 | % |
12
Security type / sector allocations and top 10 equity holdings | |
Delaware Growth and Income Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | ||||
Common Stock | 98.60 | % | |||
Communication Services | 11.50 | % | |||
Consumer Discretionary | 6.11 | % | |||
Consumer Staples | 9.99 | % | |||
Energy | 3.86 | % | |||
Financials | 13.42 | % | |||
Healthcare | 23.89 | % | |||
Industrials | 8.10 | % | |||
Information Technology | 13.03 | % | |||
Materials | 2.47 | % | |||
Real Estate | 2.99 | % | |||
Utilities | 3.24 | % | |||
Short-Term Investments | 0.37 | % | |||
Total Value of Securities | 98.97 | % | |||
Receivables and Other Assets Net of Liabilities | 1.03 | % | |||
Total Net Assets | 100.00 | % |
Holdings are for informational purposes only and are subject to change at any time. They are not a recommendation to buy, sell, or hold any security.
Top 10 equity holdings | Percentage of net assets | ||||
Pfizer | 3.59% | ||||
Merck & Co. | 3.53 | % | |||
CVS Health | 3.48 | % | |||
Abbott Laboratories | 3.46 | % | |||
Archer-Daniels-Midland | 3.44 | % | |||
Verizon Communications | 3.41 | % | |||
Cigna | 3.40 | % | |||
Johnson & Johnson | 3.37 | % | |||
Mondelez International Class A | 3.37 | % | |||
Intel | 3.32 | % |
13
Security type / sector allocations and top 10 equity holdings | |
Delaware Growth Equity Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | ||||
Common Stock✧ | 98.91 | % | |||
Communication Services | 6.47 | % | |||
Consumer Discretionary | 12.13 | % | |||
Consumer Staples | 4.61 | % | |||
Energy | 0.68 | % | |||
Financials | 4.29 | % | |||
Healthcare | 19.01 | % | |||
Industrials | 9.85 | % | |||
Information Technology | 41.87 | % | |||
Short-Term Investments | 1.24 | % | |||
Total Value of Securities | 100.15 | % | |||
Liabilities Net of Receivables and Other Assets | (0.15 | %) | |||
Total Net Assets | 100.00 | % |
✧ | Narrow industries are utilized for compliance purposes for diversification whereas broad sectors are used for financial reporting. |
To monitor compliance with the Fund’s concentration guidelines as described in the Fund’s prospectus and Statement of Additional Information, the Information Technology sector (as disclosed herein for financial reporting purposes) is subdivided into a variety of “industries” (in accordance with the requirements of the Investment Company Act of 1940, as amended). The Information Technology sector consisted of commercial services, computers, office/business equipment, semiconductors, software, and telecommunications. As of March 31, 2020, such amounts, as a percentage of total net assets, were 5.98%, 11.33%, 2.82%, 2.30%, 16.92%, and 2.52% respectively. The percentage in any such single industry will comply with the Fund’s concentration policy even if the percentages in the Technology sector for financial reporting purposes may exceed 25%.
14
Holdings are for informational purposes only and are subject to change at any time. They are not a recommendation to buy, sell, or hold any security.
Top 10 equity holdings | Percentage of net assets | ||
Microsoft | 4.89% | ||
Apple | 4.44% | ||
Fortinet | 4.24% | ||
Adobe | 3.88% | ||
Cadence Design Systems | 3.65% | ||
Eli Lilly & Co. | 3.64% | ||
Alphabet Class A | 3.47% | ||
Amazon.com | 3.32% | ||
Centene | 3.29% | ||
PayPal Holdings | 3.10% |
15
Security type / sector allocations and top 10 equity holdings | |
Delaware Opportunity Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | |||||
Common Stock | 99.01% | |||||
Basic Industry | 7.84% | |||||
Business Services | 1.83% | |||||
Capital Spending | 10.72% | |||||
Consumer Cyclical | 4.30% | |||||
Consumer Services | 5.68% | |||||
Consumer Staples | 3.44% | |||||
Energy | 2.19% | |||||
Financial Services | 20.08% | |||||
Healthcare | 6.19% | |||||
Real Estate Investment Trusts | 10.22% | |||||
Technology | 13.83% | |||||
Transportation | 2.49% | |||||
Utilities | 10.20% | |||||
Short-Term Investments | 1.09% | |||||
Total Value of Securities | 100.10% | |||||
Liabilities Net of Receivables and Other Assets | (0.10% | ) | ||||
Total Net Assets | 100.00% |
Holdings are for informational purposes only and are subject to change at any time. They are not a recommendation to buy, sell, or hold any security.
Top 10 equity holdings | Percentage of net assets | ||
Synopsys | 3.49% | ||
KBR | 2.28% | ||
Raymond James Financial | 2.25% | ||
CMS Energy | 2.19% | ||
ITT | 2.06% | ||
Public Service Enterprise Group | 2.01% | ||
Allstate | 1.99% | ||
WEC Energy Group | 1.94% | ||
Graphic Packaging Holding | 1.92% | ||
Life Storage | 1.81% |
16
Security type / sector allocations and top 10 equity holdings | |
Delaware Special Situations Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | ||||
Common Stock✧ | 98.32% | ||||
Basic Industry | 5.18% | ||||
Business Services | 0.79% | ||||
Capital Spending | 8.57% | ||||
Consumer Cyclical | 3.67% | ||||
Consumer Services | 7.38% | ||||
Consumer Staples | 4.39% | ||||
Energy | 2.21% | ||||
Financial Services | 29.12% | ||||
Healthcare | 3.39% | ||||
Real Estate Investment Trusts | 9.87% | ||||
Technology | 13.79% | ||||
Transportation | 3.58% | ||||
Utilities | 6.38% | ||||
Short-Term Investments | 1.21% | ||||
Total Value of Securities | 99.53% | ||||
Receivables and Other Assets Net of Liabilities | 0.47% | ||||
Total Net Assets | 100.00% |
✧ | Narrow industries are utilized for compliance purposes for diversification whereas broad sectors are used for financial reporting. |
To monitor compliance with the Fund’s concentration guidelines as described in the Fund’s prospectus and statement of additional information, the Financial Services sector (as disclosed herein for financial reporting purposes) is subdivided into a variety of “industries” (in accordance with the requirements of the Investment Company Act of 1940, as amended). The Financial Services sector consisted of banks, diversified financial services, and insurance. As of March 31, 2020, such amounts, as percentage of total net assets, were 20.55%, 2.61%, and 5.96% respectively. The percentage in any such single industry will comply with the Fund’s concentration policy even if the percentages in the Financial Services sector for financial reporting purposes may exceed 25%.
17
Security type / sector allocations and top 10 equity holdings | |
Delaware Special Situations Fund |
Holdings are for informational purposes only and are subject to change at any time. They are not a recommendation to buy, sell, or hold any security.
Percentage | |||
Top 10 equity holdings | of net assets | ||
ITT | 2.36% | ||
MasTec | 2.35% | ||
East West Bancorp | 2.29% | ||
Teradyne | 2.10% | ||
Berry Global Group | 1.93% | ||
Stifel Financial | 1.88% | ||
Black Hills | 1.80% | ||
Southwest Gas Holdings | 1.75% | ||
Hanover Insurance Group | 1.65% | ||
Selective Insurance Group | 1.63% |
18
Security type / sector allocations and top 10 equity holdings | |
Delaware Global Equity Fund | As of March 31, 2020 (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.
Security type / country | Percentage of net assets | ||||
Common Stock by Country | 99.08% | ||||
Denmark | 5.48% | ||||
France | 16.01% | ||||
Germany | 5.46% | ||||
Ireland | 1.10% | ||||
Japan | 15.71% | ||||
Netherlands | 5.37% | ||||
Sweden | 3.01% | ||||
Switzerland | 11.48% | ||||
United Kingdom | 4.27% | ||||
United States | 31.19% | ||||
Exchange-Traded Fund | 0.47% | ||||
Short-Term Investments | 0.16% | ||||
Total Value of Securities | 99.71% | ||||
Receivables and Other Assets Net of Liabilities | 0.29% | ||||
Total Net Assets | 100.00% |
19
Security type / country and sector allocations |
Delaware Global Equity Fund |
Common stock by sector✧ | Percentage of net assets | ||||
Communication Services | 6.26% | ||||
Consumer Discretionary | 10.09% | ||||
Consumer Staples* | 49.97% | ||||
Healthcare | 21.06% | ||||
Industrials | 7.59% | ||||
Materials | 4.11% | ||||
Total | 99.08% |
✧ | Narrow industries are utilized for compliance purposes for diversification whereas broad sectors are used for financial reporting. |
* | To monitor compliance with the Fund’s concentration guidelines as described in the Fund’s prospectus and Statement of Additional Information, the Consumer Staples sector (as disclosed herein for financial reporting purposes) is subdivided into a variety of “industries” (in accordance with the requirements of the Investment Company Act of 1940, as amended). The Consumer Staples sector consisted of beverages, cosmetics/personal care, food, household products/wares and retail. As of March 31, 2020, such amounts, as a percentage of total net assets, were 4.66%, 1.11%, 35.03%, 7.43%, and 1.74%, respectively. The percentage in any such single industry will comply with the Fund’s concentration policy even if the percentages in the Consumer Staples sector for financial reporting purposes may exceed 25%. |
20
Security type / country and sector allocations | |
Delaware International Fund | As of March 31, 2020 (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 classification.
Security type / country | Percentage of net assets | |||||
Common Stock by Country | 106.25 | % | ||||
Denmark | 8.42 | % | ||||
France | 24.68 | % | ||||
Germany | 8.43 | % | ||||
Ireland | 1.74 | % | ||||
Japan | 25.09 | % | ||||
Netherlands | 8.08 | % | ||||
Sweden | 4.33 | % | ||||
Switzerland | 17.74 | % | ||||
United Kingdom | 7.74 | % | ||||
Exchange-Traded Funds | 0.65 | % | ||||
Total Value of Securities | 106.90 | % | ||||
Liabilities Net of Receivables and Other Assets | (6.90 | %) | ||||
Total Net Assets | 100.00 | % | ||||
Common stock by sector✧ | Percentage of net assets | |||||
Communication Services | 13.43 | % | ||||
Consumer Discretionary | 10.97 | % | ||||
Consumer Staples* | 42.67 | % | ||||
Healthcare | 22.17 | % | ||||
Industrials | 10.36 | % | ||||
Materials | 6.65 | % | ||||
Total | 106.25 | % |
✧ | Narrow industries are utilized for compliance purposes for diversification whereas broad sectors are used for financial reporting. |
* | To monitor compliance with the Fund’s concentration guidelines as described in the Fund’s Prospectus and Statement of Additional Information, the Consumer Staples sector (as disclosed herein for financial reporting purposes) is subdivided into a variety of “industries” (in accordance with the requirements of the Investment Company Act of 1940, as amended). The Consumer Staples sector consisted of beverages, cosmetics/personal care, food, and retail. As of March 31, 2020, such amounts, as a percentage of total net assets, were 8.35%, 2.30%, 29.18%, and 2.84%, respectively. The percentage in any such single industry will comply with the Fund’s concentration policy even if the percentage in the Consumer Staples sector for financial reporting purposes may exceed 25%. |
21
Security type / sector allocations | |
Delaware Fund for Income | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | |||||
Corporate Bonds | 86.22 | % | ||||
Banking | 4.31 | % | ||||
Basic Industry | 10.15 | % | ||||
Capital Goods | 7.02 | % | ||||
Communications | 9.83 | % | ||||
Consumer Cyclical | 2.80 | % | ||||
Consumer Non-Cyclical | 5.61 | % | ||||
Energy | 7.80 | % | ||||
Financial Services | 0.47 | % | ||||
Healthcare | 8.45 | % | ||||
Insurance | 3.81 | % | ||||
Media | 12.86 | % | ||||
Real Estate | 0.79 | % | ||||
Services | 2.48 | % | ||||
Technology | 6.84 | % | ||||
Transportation | 0.52 | % | ||||
Utilities | 2.48 | % | ||||
Loan Agreements | 6.63 | % | ||||
Short-Term Investments | 8.36 | % | ||||
Total Value of Securities | 101.21 | % | ||||
Liabilities Net of Receivables and Other Assets | (1.21 | %) | ||||
Total Net Assets | 100.00 | % |
22
Security type / sector allocations | |
Delaware Floating Rate II Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | |||||
Convertible Bond | 0.26 | % | ||||
Corporate Bonds | 3.65 | % | ||||
Capital Goods | 0.13 | % | ||||
Communications | 1.21 | % | ||||
Healthcare | 1.55 | % | ||||
Media | 0.47 | % | ||||
Technology | 0.29 | % | ||||
Loan Agreements | 95.43 | % | ||||
Short-Term Investments | 1.09 | % | ||||
Total Value of Securities | 100.43 | % | ||||
Liabilities Net of Receivables and Other Assets | (0.43 | %) | ||||
Total Net Assets | 100.00 | % |
23
Security type / sector allocations | |
Delaware Government Cash Management Fund | As of March 31, 2020 (Unaudited) |
Security type / sector | Percentage of net assets | |||||
Agency Obligations | 5.52 | % | ||||
Short-Term Investments | 80.97 | % | ||||
Total Value of Securities | 86.49 | % | ||||
Receivables and Other Assets Net of Liabilities | 13.51 | % | ||||
Total Net Assets | 100.00 | % |
24
Security type / country and sector allocations | |
Delaware International Opportunities Bond Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | |||||
Corporate Bonds | 8.52 | % | ||||
Banking | 7.83 | % | ||||
Electric | 0.69 | % | ||||
Regional Bonds | 8.75 | % | ||||
Sovereign Bonds by Country | 67.38 | % | ||||
Australia | 4.45 | % | ||||
Austria | 0.76 | % | ||||
Belgium | 2.17 | % | ||||
Canada | 1.70 | % | ||||
Denmark | 0.79 | % | ||||
Finland | 0.21 | % | ||||
France | 6.94 | % | ||||
Germany | 5.06 | % | ||||
Ireland | 0.26 | % | ||||
Italy | 7.35 | % | ||||
Japan | 11.83 | % | ||||
Mexico | 2.53 | % | ||||
Netherlands | 1.37 | % | ||||
New Zealand | 4.22 | % | ||||
Poland | 1.44 | % | ||||
Portugal | 0.49 | % | ||||
Spain | 5.20 | % | ||||
United Kingdom | 10.61 | % | ||||
Supranational Banks | 6.73 | % | ||||
US Treasury Obligation | 1.89 | % | ||||
Short-Term Investments | 0.84 | % | ||||
Total Value of Securities | 94.11 | % | ||||
Receivables and Other Assets Net of Liabilities | 5.89 | % | ||||
Total Net Assets | 100.00 | % |
25
Security type / sector allocations | |
Delaware Investment Grade Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | |||||
Convertible Bond | 0.35 | % | ||||
Corporate Bonds | 96.46 | % | ||||
Banking | 24.09 | % | ||||
Basic Industry | 3.39 | % | ||||
Brokerage | 0.35 | % | ||||
Capital Goods | 5.02 | % | ||||
Communications | 14.78 | % | ||||
Consumer Cyclical | 2.63 | % | ||||
Consumer Non-Cyclical | 9.01 | % | ||||
Electric | 12.03 | % | ||||
Energy | 7.58 | % | ||||
Finance Companies | 2.19 | % | ||||
Insurance | 3.07 | % | ||||
Real Estate Investment Trusts | 1.62 | % | ||||
Technology | 9.32 | % | ||||
Transportation | 0.95 | % | ||||
Utilities | 0.43 | % | ||||
Loan Agreements | 0.27 | % | ||||
Preferred Stock | 0.60 | % | ||||
Short-Term Investments | 2.27 | % | ||||
Total Value of Securities | 99.95 | % | ||||
Receivables and Other Assets Net of Liabilities | 0.05 | % | ||||
Total Net Assets | 100.00 | % |
26
Security type / sector allocations | |
Delaware Limited Duration Bond Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | |||||
Agency Commercial Mortgage-Backed Security | 1.66 | % | ||||
Agency Mortgage-Backed Securities | 17.40 | % | ||||
Corporate Bonds | 33.37 | % | ||||
Banking | 15.95 | % | ||||
Basic Industry | 1.36 | % | ||||
Capital Goods | 1.47 | % | ||||
Communications | 2.58 | % | ||||
Consumer Cyclical | 1.23 | % | ||||
Consumer Non-Cyclical | 2.37 | % | ||||
Electric | 3.45 | % | ||||
Energy | 1.79 | % | ||||
Finance Companies | 2.10 | % | ||||
Insurance | 0.24 | % | ||||
Technology | 0.83 | % | ||||
Non-Agency Asset-Backed Securities | 25.49 | % | ||||
US Treasury Obligations | 12.37 | % | ||||
Short-Term Investments | 8.43 | % | ||||
Total Value of Securities | 98.72 | % | ||||
Receivables and Other Assets Net of Liabilities | 1.28 | % | ||||
Total Net Assets | 100.00 | % |
27
Security type / sector allocations | |
Delaware Strategic Income II Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | |||||
Agency Collateralized Mortgage Obligations | 7.30 | % | ||||
Agency Mortgage-Backed Securities | 3.56 | % | ||||
Convertible Bonds | 1.47 | % | ||||
Corporate Bonds | 46.80 | % | ||||
Banking | 6.77 | % | ||||
Basic Industry | 8.04 | % | ||||
Brokerage | 0.85 | % | ||||
Capital Goods | 1.21 | % | ||||
Communications | 5.27 | % | ||||
Consumer Cyclical | 2.69 | % | ||||
Consumer Non-Cyclical | 1.89 | % | ||||
Energy | 6.62 | % | ||||
Finance Companies | 0.88 | % | ||||
Insurance | 2.37 | % | ||||
Technology | 2.33 | % | ||||
Transportation | 1.13 | % | ||||
Utilities | 6.75 | % | ||||
Loan Agreements | 5.05 | % | ||||
Non-Agency Asset-Backed Security | 0.75 | % | ||||
Non-Agency Collateralized Mortgage Obligations | 12.19 | % | ||||
Non-Agency Commercial Mortgage-Backed Securities | 14.23 | % | ||||
Sovereign Bonds | 4.93 | % | ||||
Preferred Stock | 0.28 | % | ||||
Short-Term Investments | 0.59 | % | ||||
Total Value of Securities | 97.15 | % | ||||
Receivables and Other Assets Net of Liabilities | 2.85 | % | ||||
Total Net Assets | 100.00 | % |
28
Security type / sector allocations and top 10 equity holdings | |
Delaware Covered Call Strategy Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | |||||
Common Stock✧ | 102.93 | % | ||||
Communication Services | 1.04 | % | ||||
Consumer Discretionary | 7.90 | % | ||||
Consumer Staples | 13.12 | % | ||||
Energy | 3.95 | % | ||||
Financials | 15.78 | % | ||||
Healthcare | 11.44 | % | ||||
Industrials | 16.07 | % | ||||
Information Technology | 31.37 | % | ||||
Materials | 2.26 | % | ||||
Short-Term Investments | 3.64 | % | ||||
Total Value of Securities Before Options Written | 106.57 | % | ||||
Options Written | (7.05 | %) | ||||
Receivables and Other Assets Net of Liabilities | 0.48 | % | ||||
Total Net Assets | 100.00 | % |
✧ | Narrow industries are utilized for compliance purposes for diversification whereas broad sectors are used for financial reporting. |
To monitor compliance with the Fund’s concentration guidelines as described in the Fund’s prospectus and Statement of Additional Information, the Information Technology sector (as disclosed herein for financial reporting purposes) is subdivided into a variety of “industries” (in accordance with the requirements of the Investment Company Act of 1940, as amended). The Information Technology sector consisted of computers, diversified financial services, semiconductors, software, and telecommunications. As of March 31, 2020, such amounts, as a percentage of total net assets, were 8.08%, 5.33%, 6.47%, 9.26%, and 2.23% respectively. The percentage in any such single industry will comply with the Fund’s concentration policy even if the percentages in the Information Technology sector for financial reporting purposes may exceed 25%.
29
Security type / sector allocations and top 10 equity holdings
Delaware Covered Call Strategy Fund
Holdings are for informational purposes only and are subject to change at any time. They are not a recommendation to buy, sell, or hold any security.
Top 10 equity holdings | Percentage of net assets | |
Microsoft | 6.69% | |
Apple | 5.97% | |
Mastercard | 5.33% | |
Home Depot | 4.78% | |
JPMorgan Chase & Co. | 4.33% | |
Costco Wholesale | 4.28% | |
Medtronic | 4.06% | |
Broadcom | 3.86% | |
Mondelez International | 3.74% | |
BlackRock | 3.50% |
30
Security type / sector allocations and top 10 equity holdings | |
Delaware Hedged U.S. Equity Opportunities Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | ||||
Common Stock | 90.60 | % | |||
Communication Services | 5.27 | % | |||
Consumer Discretionary | 12.10 | % | |||
Consumer Staples | 6.19 | % | |||
Energy | 0.47 | % | |||
Financials | 10.85 | % | |||
Healthcare | 17.75 | % | |||
Industrials | 13.19 | % | |||
Information Technology | 15.19 | % | |||
Materials | 2.94 | % | |||
Real Estate | 4.74 | % | |||
Utilities | 1.91 | % | |||
Exchange-Traded Fund | 0.54 | % | |||
Options Purchased | 1.56 | % | |||
Short-Term Investments | 5.86 | % | |||
Total Value of Securities Before Options Written | 98.56 | % | |||
Options Written | (1.06 | %) | |||
Receivables and Other Assets Net of Liabilities | 2.50 | % | |||
Total Net Assets | 100.00 | % |
Holdings are for informational purposes only and are subject to change at any time. They are not a recommendation to buy, sell, or hold any security.
Top 10 equity holdings | Percentage of net assets | |
Johnson & Johnson | 1.91% | |
Amazon.com | 1.81% | |
TJX | 1.41% | |
UnitedHealth Group | 1.38% | |
McDonald’s | 1.21% | |
Medtronic | 1.20% | |
Coca-Cola | 1.18% | |
NIKE Class B | 1.10% | |
American Express | 1.06% | |
Canadian National Railway | 1.04% |
31
Security type / sector allocations and top 10 equity holdings | |
Delaware Premium Income Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | ||||
Common Stock | 111.89 | % | |||
Communication Services | 7.12 | % | |||
Consumer Discretionary | 7.34 | % | |||
Consumer Staples | 14.85 | % | |||
Energy | 6.37 | % | |||
Financials | 17.34 | % | |||
Healthcare | 11.47 | % | |||
Industrials | 19.80 | % | |||
Information Technology | 19.43 | % | |||
Materials | 5.55 | % | |||
Utilities | 2.62 | % | |||
Short-Term Investments | 2.90 | % | |||
Total Value of Securities Before Options Written | 114.79 | % | |||
Options Written | (13.90 | %) | |||
Liabilities Net of Receivables and Other Assets | (0.89 | %) | |||
Total Net Assets | 100.00 | % |
Holdings are for informational purposes only and are subject to change at any time. They are not a recommendation to buy, sell, or hold any security.
Top 10 equity holdings | Percentage of net assets | ||
BlackRock | 5.52% | ||
Amgen | 4.76% | ||
American Express | 4.12% | ||
Philip Morris International | 4.10% | ||
Broadcom | 4.05% | ||
General Mills | 3.89% | ||
Cisco Systems | 3.75% | ||
Lockheed Martin | 3.62% | ||
United Parcel Service Class B | 3.59% | ||
Verizon Communications | 3.34% |
32
Security type / sector allocations and top 10 equity holdings | |
Delaware Total Return Fund | As of March 31, 2020 (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.
Security type / sector | Percentage of net assets | ||||
Common Stock | 57.93 | % | |||
Communication Services | 5.08 | % | |||
Consumer Discretionary | 3.82 | % | |||
Consumer Staples | 5.42 | % | |||
Energy | 1.60 | % | |||
Financials | 8.54 | % | |||
Healthcare | 11.58 | % | |||
Industrials | 4.79 | % | |||
Information Technology | 7.11 | % | |||
Materials | 1.24 | % | |||
REITs Diversified | 0.31 | % | |||
REITs Healthcare | 0.93 | % | |||
REITs Hotel | 0.36 | % | |||
REITs Industrial | 0.59 | % | |||
REITs Information Technology | 0.04 | % | |||
REITs Mall | 0.06 | % | |||
REITs Manufactured Housing | 0.58 | % | |||
REITs Multifamily | 3.13 | % | |||
REITs Office | 0.35 | % | |||
REITs Self-Storage | 0.16 | % | |||
REITs Single Tenant | 0.38 | % | |||
REITs Specialty | 0.13 | % | |||
Utilities | 1.73 | % | |||
Convertible Preferred Stock | 2.48 | % | |||
Exchange-Traded Funds | 1.16 | % | |||
Agency Mortgage-Backed Securities | 0.69 | % | |||
Collateralized Debt Obligation | 0.17 | % | |||
Convertible Bonds | 10.36 | % | |||
Capital Goods | 0.38 | % | |||
Communications | 1.81 | % | |||
Consumer Cyclical | 0.19 | % | |||
Consumer Non-Cyclical | 2.29 | % | |||
Energy | 1.27 | % | |||
Financials | 0.49 | % | |||
Real Estate Investment Trusts | 0.35 | % | |||
Technology | 3.23 | % | |||
Utilities | 0.35 | % |
33
Security type / sector allocations and top 10 equity holdings
Delaware Total Return Fund
Security type / sector | Percentage of net assets | ||||
Corporate Bonds | 14.57 | % | |||
Banking | 1.39 | % | |||
Basic Industry | 1.32 | % | |||
Brokerage | 0.05 | % | |||
Capital Goods | 1.06 | % | |||
Communication Services | 1.87 | % | |||
Communications | 1.04 | % | |||
Consumer Cyclical | 1.02 | % | |||
Consumer Non-Cyclical | 1.17 | % | |||
Energy | 1.03 | % | |||
Financials | 0.48 | % | |||
Healthcare | 1.13 | % | |||
Insurance | 0.64 | % | |||
Media | 0.06 | % | |||
Real Estate Investment Trusts | 0.08 | % | |||
Services | 0.33 | % | |||
Technology | 0.10 | % | |||
Technology & Electronics | 0.70 | % | |||
Transportation | 0.17 | % | |||
Utilities | 0.93 | % | |||
Loan Agreement | 0.13 | % | |||
Municipal Bonds | 5.41 | % | |||
Non-Agency Asset-Backed Securities | 0.12 | % | |||
Non-Agency Commercial Mortgage-Backed Securities | 0.55 | % | |||
Sovereign Bonds | 1.39 | % | |||
Supranational Bank | 0.05 | % | |||
US Treasury Obligations | 0.28 | % | |||
Preferred Stock | 0.14 | % | |||
Short-Term Investments | 4.01 | % | |||
Total Value of Securities | 99.44 | % | |||
Receivables and Other Assets Net of Liabilities | 0.56 | % | |||
Total Net Assets | 100.00 | % |
34
Holdings are for informational purposes only and are subject to change at any time. They are not a recommendation to buy, sell, or hold any security.
Top 10 equity holdings | Percentage of net assets | |||||
Cisco Systems | 1.46 | % | ||||
Cigna | 1.46 | % | ||||
Mondelez International Class A | 1.44 | % | ||||
Pfizer | 1.43 | % | ||||
Cardinal Health | 1.42 | % | ||||
Conagra Brands | 1.42 | % | ||||
Archer-Daniels-Midland | 1.42 | % | ||||
Northrop Grumman | 1.40 | % | ||||
Intel | 1.40 | % | ||||
CVS Health | 1.39 | % |
35
Schedules of investments | |
Delaware Equity Income Fund | March 31, 2020 (Unaudited) |
Number of shares | Value (US $) | ||||
Common Stock – 98.39% | |||||
Communication Services – 11.54% | |||||
AT&T | 306,600 | $ | 8,937,390 | ||
Comcast Class A | 238,388 | 8,195,779 | |||
Verizon Communications | 191,200 | 10,273,176 | |||
Walt Disney | 76,323 | 7,372,802 | |||
34,779,147 | |||||
Consumer Discretionary – 5.97% | |||||
Dollar Tree † | 120,800 | 8,875,176 | |||
Lowe’s | 105,900 | 9,112,695 | |||
17,987,871 | |||||
Consumer Staples – 10.40% | |||||
Archer-Daniels-Midland | 293,600 | 10,328,848 | |||
Conagra Brands | 361,300 | 10,600,542 | |||
Mondelez International Class A | 207,700 | 10,401,616 | |||
31,331,006 | |||||
Energy – 3.90% | |||||
ConocoPhillips | 211,600 | 6,517,280 | |||
Marathon Oil | 529,999 | 1,743,697 | |||
Occidental Petroleum | 299,900 | 3,472,842 | |||
11,733,819 | |||||
Financials – 13.71% | |||||
Allstate | 102,700 | 9,420,671 | |||
American International Group | 252,600 | 6,125,550 | |||
Bank of New York Mellon | 268,000 | 9,026,240 | |||
Marsh & McLennan | 108,200 | 9,354,972 | |||
Truist Financial | 239,200 | 7,376,928 | |||
41,304,361 | |||||
Healthcare – 23.95% | |||||
Abbott Laboratories | 129,500 | 10,218,845 | |||
Cardinal Health | 217,000 | 10,402,980 | |||
Cigna | 57,500 | 10,187,850 | |||
CVS Health | 172,200 | 10,216,626 | |||
Johnson & Johnson | 77,600 | 10,175,688 | |||
Merck & Co. | 134,900 | 10,379,206 | |||
Pfizer | 323,800 | 10,568,832 | |||
72,150,027 | |||||
Industrials – 7.90% | |||||
Caterpillar | 48,139 | 5,586,049 | |||
Northrop Grumman | 29,200 | 8,834,460 | |||
Raytheon | 58,400 | 7,659,160 | |||
Waste Management | 18,623 | 1,723,745 | |||
23,803,414 |
36
Number of shares | Value (US $) | ||||
Common Stock(continued) | |||||
Information Technology – 12.55% | |||||
Broadcom | 40,900 | $ | 9,697,390 | ||
Cisco Systems | 259,900 | 10,216,669 | |||
Intel | 156,300 | 8,458,956 | |||
Oracle | 194,900 | 9,419,517 | |||
37,792,532 | |||||
Materials – 2.48% | |||||
DuPont de Nemours | 219,400 | 7,481,540 | |||
7,481,540 | |||||
Real Estate – 3.00% | |||||
Equity Residential | 146,300 | 9,028,173 | |||
9,028,173 | |||||
Utilities – 2.99% | |||||
Edison International | 164,200 | 8,996,518 | |||
8,996,518 | |||||
Total Common Stock(cost $350,132,648) | 296,388,408 | ||||
Short-Term Investments – 1.18% | |||||
Money Market Mutual Funds – 1.18% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 713,887 | 713,887 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 713,887 | 713,887 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 713,888 | 713,888 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 713,888 | 713,888 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 713,888 | 713,888 | |||
Total Short-Term Investments(cost $3,569,438) | 3,569,438 | ||||
Total Value of Securities – 99.57% | |||||
(cost $353,702,086) | $ | 299,957,846 |
† | Non-income producing security. |
GS – Goldman Sachs
See accompanying notes, which are an integral part of the financial statements.
37
Schedules of investments | |
Delaware Growth and Income Fund | March 31, 2020 (Unaudited) |
Number of shares | Value (US $) | ||||
Common Stock – 98.60% | |||||
Communication Services – 11.50% | |||||
AT&T | 992,400 | $ | 28,928,460 | ||
Comcast Class A | 771,580 | 26,526,920 | |||
Verizon Communications | 624,000 | 33,527,520 | |||
Walt Disney | 248,812 | 24,035,239 | |||
113,018,139 | |||||
Consumer Discretionary – 6.11% | |||||
Dollar Tree † | 422,400 | 31,033,729 | |||
Lowe’s | 337,700 | 29,059,085 | |||
60,092,814 | |||||
Consumer Staples – 9.99% | |||||
Archer-Daniels-Midland | 960,300 | 33,783,354 | |||
Conagra Brands | 1,065,100 | 31,250,034 | |||
Mondelez International Class A | 661,900 | 33,147,952 | |||
98,181,340 | |||||
Energy – 3.86% | |||||
ConocoPhillips | 690,500 | 21,267,400 | |||
Marathon Oil | 1,725,911 | 5,678,247 | |||
Occidental Petroleum | 946,500 | 10,960,470 | |||
37,906,117 | |||||
Financials – 13.42% | |||||
Allstate | 328,400 | 30,124,132 | |||
American International Group | 803,400 | 19,482,450 | |||
Bank of New York Mellon | 863,900 | 29,096,152 | |||
Marsh & McLennan | 341,600 | 29,534,736 | |||
Truist Financial | 769,000 | 23,715,960 | |||
131,953,430 | |||||
Healthcare – 23.89% | |||||
Abbott Laboratories | 431,000 | 34,010,210 | |||
Cardinal Health | 627,000 | 30,058,380 | |||
Cigna | 188,400 | 33,380,712 | |||
CVS Health | 576,700 | 34,215,611 | |||
Johnson & Johnson | 252,900 | 33,162,777 | |||
Merck & Co. | 450,900 | 34,692,246 | |||
Pfizer | 1,081,100 | 35,287,104 | |||
234,807,040 | |||||
Industrials – 8.10% | |||||
Caterpillar | 156,964 | 18,214,103 | |||
Northrop Grumman | 105,500 | 31,919,025 | |||
Raytheon | 183,100 | 24,013,565 | |||
Waste Management | 59,063 | 5,466,871 | |||
79,613,564 |
38
Number of shares | Value (US $) | ||||
Common Stock(continued) | |||||
Information Technology – 13.03% | |||||
Broadcom | 132,000 | $ | 31,297,200 | ||
Cisco Systems | 818,400 | 32,171,304 | |||
Intel | 603,500 | 32,661,420 | |||
Oracle | 660,900 | 31,941,297 | |||
128,071,221 | |||||
Materials – 2.47% | |||||
DuPont de Nemours | 710,800 | 24,238,280 | |||
24,238,280 | |||||
Real Estate – 2.99% | |||||
Equity Residential | 476,400 | 29,398,644 | |||
29,398,644 | |||||
Utilities – 3.24% | |||||
Edison International | 581,300 | 31,849,427 | |||
31,849,427 | |||||
Total Common Stock(cost $1,148,909,883) | 969,130,016 | ||||
Short-Term Investments – 0.37% | |||||
Money Market Mutual Funds – 0.37% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 721,180 | 721,180 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 721,180 | 721,180 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 721,181 | 721,181 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 721,181 | 721,181 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 721,180 | 721,180 | |||
Total Short-Term Investments(cost $3,605,902) | 3,605,902 | ||||
Total Value of Securities – 98.97% | |||||
(cost $1,152,515,785) | $ | 972,735,918 |
† | Non-income producing security. |
GS – Goldman Sachs
See accompanying notes, which are an integral part of the financial statements.
39
Schedules of investments | |
Delaware Growth Equity Fund | March 31, 2020 (Unaudited) |
Number of Shares | Value (US$) | ||||
Common Stock – 98.91%✧ | |||||
Communication Services – 6.47% | |||||
Alphabet Class A † | 15,080 | $ | 17,522,206 | ||
Facebook Class A † | 90,900 | 15,162,120 | |||
32,684,326 | |||||
Consumer Discretionary – 12.13% | |||||
Amazon.com † | 8,600 | 16,767,592 | |||
AutoZone † | 12,200 | 10,321,200 | |||
Burlington Stores † | 64,600 | 10,236,516 | |||
Deckers Outdoor † | 97,600 | 13,078,400 | |||
Target | 116,291 | 10,811,574 | |||
61,215,282 | |||||
Consumer Staples – 4.61% | |||||
Procter & Gamble | 102,812 | 11,309,320 | |||
Walmart | 105,512 | 11,988,273 | |||
23,297,593 | |||||
Energy – 0.68% | |||||
Chevron | 47,300 | 3,427,358 | |||
3,427,358 | |||||
Financials – 4.29% | |||||
Bank of America | 514,200 | 10,916,466 | |||
JPMorgan Chase & Co. | 119,400 | 10,749,582 | |||
21,666,048 | |||||
Healthcare – 19.01% | |||||
Baxter International | 169,333 | 13,748,146 | |||
Biogen † | 38,910 | 12,310,346 | |||
Bristol-Myers Squibb | 232,400 | 12,953,976 | |||
Centene † | 279,240 | 16,589,648 | |||
Edwards Lifesciences † | 60,700 | 11,449,234 | |||
Eli Lilly & Co. | 132,472 | 18,376,516 | |||
Merck & Co. | 137,000 | 10,540,780 | |||
95,968,646 | |||||
Industrials – 9.85% | |||||
Alaska Air Group | 203,400 | 5,790,798 | |||
Dover | 146,800 | 12,322,392 | |||
EMCOR Group | 152,400 | 9,345,168 | |||
Huntington Ingalls Industries | 64,190 | 11,696,060 | |||
Rockwell Automation | 70,100 | 10,578,791 | |||
49,733,209 | |||||
Information Technology – 41.87% | |||||
Adobe † | 61,500 | 19,571,760 | |||
Akamai Technologies † | 139,379 | 12,751,785 | |||
Apple | 88,102 | 22,403,457 |
40
Number of Shares | Value (US$) | ||||
Common Stock✧(continued) | |||||
Information Technology(continued) | |||||
Automatic Data Processing | 106,564 | $ | 14,565,167 | ||
Cadence Design Systems † | 278,750 | 18,408,650 | |||
Ciena † | 320,100 | 12,743,181 | |||
EPAM Systems † | 72,193 | 13,403,352 | |||
Fortinet † | 211,480 | 21,395,432 | |||
Microsoft | 156,450 | 24,673,729 | |||
NVIDIA | 44,000 | 11,598,400 | |||
Oracle | 206,700 | 9,989,811 | |||
PayPal Holdings † | 163,340 | 15,638,172 | |||
Zebra Technologies Class A † | 77,477 | 14,224,777 | |||
211,367,673 | |||||
Total Common Stock(cost $454,078,739) | 499,360,135 | ||||
Short-Term Investments – 1.24% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 1,251,746 | 1,251,746 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 1,251,747 | 1,251,747 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 1,251,747 | 1,251,747 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 1,251,747 | 1,251,747 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 1,251,747 | 1,251,747 | |||
Total Short-Term Investments(cost $6,258,734) | 6,258,734 | ||||
Total Value of Securities – 100.15% | |||||
(cost $460,337,473) | $ | 505,618,869 |
✧ | Narrow industries are utilized for compliance purposes for diversification whereas broad sectors are used for financial reporting. |
† | Non-income producing security. |
GS – Goldman Sachs
See accompanying notes, which are an integral part of the financial statements.
41
Schedules of investments | |
Delaware Opportunity Fund | March 31, 2020 (Unaudited) |
Number of shares | Value (US $) | ||||
Common Stock – 99.01% | |||||
Basic Industry – 7.84% | |||||
Axalta Coating Systems † | 155,900 | $ | 2,692,393 | ||
Berry Global Group † | 255,300 | 8,606,163 | |||
Celanese | 69,200 | 5,078,588 | |||
Graphic Packaging Holding | 856,800 | 10,452,960 | |||
Huntsman | 516,800 | 7,457,424 | |||
Newmont | 184,000 | 8,331,520 | |||
42,619,048 | |||||
Business Services – 1.83% | |||||
Brink’s | 127,000 | 6,610,350 | |||
ManpowerGroup | 62,600 | 3,317,174 | |||
9,927,524 | |||||
Capital Spending – 10.72% | |||||
AECOM † | 203,900 | 6,086,415 | |||
Allison Transmission Holdings | 139,900 | 4,562,139 | |||
Gates Industrial † | 429,800 | 3,171,924 | |||
HD Supply Holdings † | 192,000 | 5,458,560 | |||
ITT | 246,900 | 11,199,384 | |||
KBR | 598,200 | 12,370,776 | |||
Quanta Services | 279,400 | 8,865,362 | |||
Spirit AeroSystems Holdings Class A | 87,800 | 2,101,054 | |||
United Rentals † | 43,200 | 4,445,280 | |||
58,260,894 | |||||
Consumer Cyclical – 4.30% | |||||
BorgWarner | 149,200 | 3,636,004 | |||
DR Horton | 169,100 | 5,749,400 | |||
Johnson Controls International | 106,100 | 2,860,456 | |||
Mohawk Industries † | 45,400 | 3,461,296 | |||
Stanley Black & Decker | 76,600 | 7,660,000 | |||
23,367,156 | |||||
Consumer Services – 5.68% | |||||
Cable One | 3,750 | 6,165,037 | |||
Darden Restaurants | 58,500 | 3,185,910 | |||
Dollar Tree † | 78,600 | 5,774,742 | |||
Hasbro | 57,400 | 4,106,970 | |||
Marriott International Class A | 58,700 | 4,391,347 | |||
PVH | 39,700 | 1,494,308 | |||
VF | 62,600 | 3,385,408 | |||
ViacomCBS Class B | 168,800 | 2,364,888 | |||
30,868,610 | |||||
Consumer Staples – 3.44% | |||||
Conagra Brands | 186,800 | 5,480,712 |
42
Number of shares | Value (US $) | ||||
Common Stock(continued) | |||||
Consumer Staples(continued) | |||||
Kellogg | 77,300 | $ | 4,637,227 | ||
Tyson Foods Class A | 82,200 | 4,756,914 | |||
US Foods Holding † | 216,800 | 3,839,528 | |||
18,714,381 | |||||
Energy – 2.19% | |||||
Hess | 225,200 | 7,499,160 | |||
Marathon Oil | 956,800 | 3,147,872 | |||
Patterson-UTI Energy | 526,100 | 1,236,335 | |||
11,883,367 | |||||
Financial Services – 20.08% | |||||
Affiliated Managers Group | 69,600 | 4,116,144 | |||
Allstate | 118,000 | 10,824,140 | |||
American Financial Group | 121,900 | 8,542,752 | |||
Assurant | 72,000 | 7,494,480 | |||
Comerica | 221,800 | 6,507,612 | |||
East West Bancorp | 377,800 | 9,724,572 | |||
First Hawaiian | 224,370 | 3,708,836 | |||
Globe Life | 104,900 | 7,549,653 | |||
Hancock Whitney | 284,865 | 5,560,565 | |||
Hartford Financial Services Group | 242,400 | 8,542,176 | |||
KeyCorp | 913,800 | 9,476,106 | |||
Raymond James Financial | 193,800 | 12,248,160 | |||
Reinsurance Group of America | 88,400 | 7,437,976 | |||
Synchrony Financial | 457,700 | 7,364,393 | |||
109,097,565 | |||||
Healthcare – 6.19% | |||||
AmerisourceBergen | 79,600 | 7,044,600 | |||
Quest Diagnostics | 84,700 | 6,801,410 | |||
Service Corp. International | 129,300 | 5,056,923 | |||
STERIS | 46,600 | 6,522,602 | |||
Zimmer Biomet Holdings | 81,100 | 8,197,588 | |||
33,623,123 | |||||
Real Estate Investment Trusts – 10.22% | |||||
Apartment Investment & Management Class A | 221,300 | 7,778,695 | |||
Brandywine Realty Trust | 555,200 | 5,840,704 | |||
Highwoods Properties | 180,400 | 6,389,768 | |||
Host Hotels & Resorts | 541,200 | 5,974,848 | |||
Kimco Realty | 486,200 | 4,701,554 | |||
Life Storage | 103,800 | 9,814,290 | |||
Outfront Media | 336,900 | 4,541,412 |
43
Schedules of investments | |
Delaware Opportunity Fund |
Number of shares | Value (US $) | ||||
Common Stock(continued) | |||||
Real Estate Investment Trusts(continued) | |||||
VEREIT | 1,288,100 | $ | 6,298,809 | ||
Welltower | 90,800 | 4,156,824 | |||
55,496,904 | |||||
Technology – 13.83% | |||||
Agilent Technologies | 105,400 | 7,548,748 | |||
Avnet | 222,400 | 5,582,240 | |||
Citrix Systems | 22,200 | 3,142,410 | |||
DXC Technology | 75,600 | 986,580 | |||
Fiserv † | 50,800 | 4,825,492 | |||
Flex † | 718,000 | 6,013,250 | |||
Keysight Technologies † | 95,100 | 7,957,968 | |||
ON Semiconductor † | 213,000 | 2,649,720 | |||
Qorvo † | 64,500 | 5,200,635 | |||
Synopsys † | 147,400 | 18,983,646 | |||
Teradyne | 177,600 | 9,620,592 | |||
Western Digital | 63,000 | 2,622,060 | |||
75,133,341 | |||||
Transportation – 2.49% | |||||
CSX | 59,200 | 3,392,160 | |||
JB Hunt Transport Services | 69,800 | 6,437,654 | |||
Southwest Airlines | 104,000 | 3,703,440 | |||
13,533,254 | |||||
Utilities – 10.20% | |||||
CMS Energy | 202,500 | 11,896,875 | |||
Edison International | 118,100 | 6,470,699 | |||
MDU Resources Group | 221,300 | 4,757,950 | |||
NRG Energy | 149,300 | 4,069,918 | |||
Public Service Enterprise Group | 242,800 | 10,904,148 | |||
WEC Energy Group | 119,900 | 10,566,787 | |||
Xcel Energy | 111,700 | 6,735,510 | |||
55,401,887 | |||||
Total Common Stock(cost $716,920,349) | 537,927,054 | ||||
Short-Term Investments – 1.09% | |||||
Money Market Mutual Funds – 1.09% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 1,185,198 | 1,185,198 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 1,185,198 | 1,185,198 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 1,185,198 | 1,185,198 |
44
Number of shares | Value (US $) | ||||
Short-Term Investments(continued) | |||||
Money Market Mutual Funds(continued) | |||||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 1,185,198 | $ | 1,185,198 | ||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 1,185,198 | 1,185,198 | |||
Total Short-Term Investments(cost $5,925,990) | 5,925,990 | ||||
Total Value of Securities – 100.10% | |||||
(cost $722,846,339) | $ | 543,853,044 |
† | Non-income producing security. |
GS – Goldman Sachs
See accompanying notes, which are an integral part of the financial statements.
45
Schedules of investments | |
Delaware Special Situations Fund | March 31, 2020 (Unaudited) |
Number of shares | Value (US $) | ||||
Common Stock – 98.32%✧ | |||||
Basic Industry – 5.18% | |||||
Berry Global Group † | 157,100 | $ | 5,295,841 | ||
Ferro † | 82,007 | 767,586 | |||
HB Fuller | 97,100 | 2,712,003 | |||
Huntsman | 88,800 | 1,281,384 | |||
Louisiana-Pacific | 192,400 | 3,305,432 | |||
Olin | 71,000 | 828,570 | |||
14,190,816 | |||||
Business Services – 0.79% | |||||
Deluxe | 46,700 | 1,210,931 | |||
WESCO International † | 42,300 | 966,555 | |||
2,177,486 | |||||
Capital Spending – 8.57% | |||||
Altra Industrial Motion | 149,500 | 2,614,755 | |||
Atkore International Group † | 106,000 | 2,233,420 | |||
H&E Equipment Services | 90,400 | 1,327,072 | |||
ITT | 142,400 | 6,459,264 | |||
MasTec † | 196,400 | 6,428,172 | |||
Primoris Services | 121,100 | 1,925,490 | |||
Rexnord | 110,000 | 2,493,700 | |||
23,481,873 | |||||
Consumer Cyclical – 3.67% | |||||
Barnes Group | 75,500 | 3,158,165 | |||
KB Home | 110,600 | 2,001,860 | |||
Knoll | 136,000 | 1,403,520 | |||
Meritage Homes † | 63,100 | 2,303,781 | |||
Standard Motor Products | 28,900 | 1,201,373 | |||
10,068,699 | |||||
Consumer Services – 7.38% | |||||
Asbury Automotive Group † | 31,700 | 1,750,791 | |||
Cable One | 1,950 | 3,205,819 | |||
Caleres | 106,250 | 552,500 | |||
Cheesecake Factory | 28,800 | 491,904 | |||
Choice Hotels International | 52,500 | 3,215,625 | |||
Cracker Barrel Old Country Store | 19,900 | 1,656,078 | |||
Steven Madden | 74,400 | 1,728,312 | |||
Texas Roadhouse | 52,900 | 2,184,770 | |||
UniFirst | 25,800 | 3,898,122 | |||
Wolverine World Wide | 101,639 | 1,544,913 | |||
20,228,834 | |||||
Consumer Staples – 4.39% | |||||
Core-Mark Holding | 80,800 | 2,308,456 |
46
Number of shares | Value (US $) | ||||
Common Stock✧(continued) | |||||
Consumer Staples(continued) | |||||
J&J Snack Foods | 22,500 | $ | 2,722,500 | ||
Performance Food Group † | 78,000 | 1,928,160 | |||
Scotts Miracle-Gro | 32,600 | 3,338,240 | |||
Spectrum Brands Holdings | 47,600 | 1,731,212 | |||
12,028,568 | |||||
Energy – 2.21% | |||||
Delek US Holdings | 121,500 | 1,914,840 | |||
Dril-Quip † | 52,600 | 1,604,300 | |||
Helix Energy Solutions Group † | 343,500 | 563,340 | |||
Patterson-UTI Energy | 348,300 | 818,505 | |||
WPX Energy † | 375,800 | 1,146,190 | |||
6,047,175 | |||||
Financial Services – 29.12% | |||||
American Equity Investment Life Holding | 207,100 | 3,893,480 | |||
Bank of NT Butterfield & Son | 79,400 | 1,352,182 | |||
East West Bancorp | 243,900 | 6,277,986 | |||
First Financial Bancorp | 208,400 | 3,107,244 | |||
First Hawaiian | 156,800 | 2,591,904 | |||
First Interstate BancSystem Class A | 89,500 | 2,581,180 | |||
First Midwest Bancorp | 232,300 | 3,074,491 | |||
FNB | 585,200 | 4,312,924 | |||
Great Western Bancorp | 175,500 | 3,594,240 | |||
Hancock Whitney | 210,100 | 4,101,152 | |||
Hanover Insurance Group | 49,900 | 4,519,942 | |||
Kemper | 46,300 | 3,443,331 | |||
Legg Mason | 40,600 | 1,983,310 | |||
NBT Bancorp | 84,809 | 2,746,963 | |||
Prosperity Bancshares | 56,300 | 2,716,475 | |||
S&T Bancorp | 72,900 | 1,991,628 | |||
Sandy Spring Bancorp | 29,200 | 661,088 | |||
Selective Insurance Group | 89,900 | 4,468,030 | |||
Stifel Financial | 124,900 | 5,155,872 | |||
Umpqua Holdings | 363,000 | 3,956,700 | |||
Valley National Bancorp | 470,600 | 3,440,086 | |||
Webster Financial | 169,600 | 3,883,840 | |||
WesBanco | 96,800 | 2,294,160 | |||
Western Alliance Bancorp | 118,600 | 3,630,346 | |||
79,778,554 | |||||
Healthcare – 3.39% | |||||
Avanos Medical † | 90,100 | 2,426,393 | |||
Catalent † | 47,600 | 2,472,820 | |||
Integer Holdings † | 30,000 | 1,885,800 |
47
Schedules of investments
Delaware Special Situations Fund
Number of shares | Value (US $) | ||||
Common Stock✧(continued) | |||||
Healthcare(continued) | |||||
Service Corp. International | 64,300 | $ | 2,514,773 | ||
9,299,786 | |||||
Real Estate Investment Trusts – 9.87% | |||||
Brandywine Realty Trust | 344,100 | 3,619,932 | |||
Highwoods Properties | 102,200 | 3,619,924 | |||
Kite Realty Group Trust | 80,660 | 763,850 | |||
Lexington Realty Trust | 386,700 | 3,839,931 | |||
Life Storage | 39,500 | 3,734,725 | |||
Outfront Media | 229,300 | 3,090,964 | |||
RPT Realty | 222,800 | 1,343,484 | |||
Spirit Realty Capital | 106,500 | 2,784,975 | |||
STAG Industrial | 64,351 | 1,449,184 | |||
Summit Hotel Properties | 264,200 | 1,114,924 | |||
Washington Real Estate Investment Trust | 70,179 | 1,675,173 | |||
27,037,066 | |||||
Technology – 13.79% | |||||
Cirrus Logic † | 54,200 | 3,557,146 | |||
Coherent † | 19,500 | 2,074,995 | |||
Diodes † | 8,495 | 345,194 | |||
Flex † | 421,941 | 3,533,756 | |||
NCR † | 179,951 | 3,185,133 | |||
NetScout Systems † | 101,400 | 2,400,138 | |||
ON Semiconductor † | 239,600 | 2,980,624 | |||
Tech Data † | 14,100 | 1,844,985 | |||
Teradyne | 106,200 | 5,752,854 | |||
Tower Semiconductor † | 183,100 | 2,914,952 | |||
TTM Technologies † | 289,300 | 2,991,362 | |||
Viavi Solutions † | 256,900 | 2,879,849 | |||
Vishay Intertechnology | 230,606 | 3,323,032 | |||
37,784,020 | |||||
Transportation – 3.58% | |||||
Kirby † | 38,100 | 1,656,207 | |||
Saia † | 31,700 | 2,331,218 | |||
SkyWest | 54,300 | 1,422,117 | |||
Werner Enterprises | 121,100 | 4,391,086 | |||
9,800,628 | |||||
Utilities – 6.38% | |||||
ALLETE | 46,800 | 2,839,824 | |||
Black Hills | 77,200 | 4,943,116 | |||
El Paso Electric | 32,800 | 2,229,088 |
48
Number of shares | Value (US $) | ||||
Common Stock✧(continued) | |||||
Utilities(continued) | |||||
South Jersey Industries | 107,300 | $ | 2,682,500 | ||
Southwest Gas Holdings | 68,800 | 4,785,728 | |||
17,480,256 | |||||
Total Common Stock(cost $384,072,408) | 269,403,761 | ||||
Short-Term Investments – 1.21% | |||||
Money Market Mutual Funds – 1.21% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 665,473 | 665,473 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 665,473 | 665,473 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 665,473 | 665,473 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 665,473 | 665,473 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 665,473 | 665,473 | |||
Total Short-Term Investments(cost $3,327,365) | 3,327,365 | ||||
Total Value of Securities – 99.53% | |||||
(cost $387,399,773) | $ | 272,731,126 |
✧ | Narrow industries are utilized for compliance purposes for diversification whereas broad sectors are used for financial reporting. |
† | Non-income producing security. |
GS – Goldman Sachs
See accompanying notes, which are an integral part of the financial statements.
49
Schedules of investments | |
Delaware Global Equity Fund | March 31, 2020 (Unaudited) |
Number of Shares | Value (US $) | ||||
Common Stock – 99.08%∆ | |||||
Denmark – 5.48% | |||||
Novo Nordisk Class B | 260,730 | $ | 15,569,777 | ||
15,569,777 | |||||
France – 16.01% | |||||
Air Liquide | 91,590 | 11,691,236 | |||
Danone | 215,182 | 13,771,270 | |||
Orange | 561,730 | 6,801,124 | |||
Publicis Groupe | 251,710 | 7,193,602 | |||
Sodexo | 90,060 | 6,048,001 | |||
45,505,233 | |||||
Germany – 5.46% | |||||
adidas AG | 25,540 | 5,670,579 | |||
Fresenius Medical Care AG & Co. | 150,710 | 9,837,746 | |||
15,508,325 | |||||
Ireland – 1.10% | |||||
Kerry Group Class A | 26,970 | 3,129,196 | |||
3,129,196 | |||||
Japan – 15.71% | |||||
Asahi Group Holdings | 142,300 | 4,616,667 | |||
Kao | 38,600 | 3,144,674 | |||
KDDI | 372,500 | 11,003,126 | |||
Kirin Holdings | 127,800 | 2,524,082 | |||
Lawson | 90,100 | 4,945,570 | |||
Makita | 174,700 | 5,329,006 | |||
Secom | 35,300 | 2,919,601 | |||
Seven & i Holdings | 307,800 | 10,165,064 | |||
44,647,790 | |||||
Netherlands – 5.37% | |||||
Koninklijke Ahold Delhaize | 655,520 | 15,271,367 | |||
15,271,367 | |||||
Sweden – 3.01% | |||||
Hennes & Mauritz Class B | 224,880 | 2,877,742 | |||
Securitas Class B | 527,540 | 5,667,075 | |||
8,544,817 | |||||
Switzerland – 11.48% | |||||
Nestle | 122,150 | 12,504,226 | |||
Roche Holding | 47,490 | 15,279,529 | |||
Swatch Group | 24,650 | 4,841,223 | |||
32,624,978 | |||||
United Kingdom – 4.27% | |||||
Diageo | 193,080 | 6,122,475 |
50
Number of Shares | Value (US $) | ||||
Common Stock∆(continued) | |||||
United Kingdom(continued) | |||||
G4S | 3,508,220 | $ | 3,990,261 | ||
Next | 40,680 | 2,040,868 | |||
12,153,604 | |||||
United States – 31.19% | |||||
Clorox | 36,350 | 6,297,637 | |||
Conagra Brands | 369,330 | 10,836,142 | |||
General Mills | 247,640 | 13,067,963 | |||
Hormel Foods | 155,780 | 7,265,579 | |||
Kimberly-Clark | 115,850 | 14,813,740 | |||
Lamb Weston Holdings | 168,630 | 9,628,773 | |||
Merck & Co. | 148,730 | 11,443,286 | |||
Mondelez International Class A | 78,580 | 3,935,286 | |||
Parker-Hannifin | 28,140 | 3,650,602 | |||
Pfizer | 236,600 | 7,722,624 | |||
88,661,632 | |||||
Total Common Stock(cost $311,476,052) | 281,616,719 | ||||
Exchange-Traded Fund – 0.47% | |||||
Vanguard S&P 500 ETF | 5,575 | 1,320,271 | |||
Total Exchange-Traded Fund(cost $1,606,736) | 1,320,271 | ||||
Short-Term Investments – 0.16% | |||||
Money Market Mutual Funds – 0.16% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 92,062 | 92,062 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 92,062 | 92,062 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 92,062 | 92,062 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 92,062 | 92,062 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 92,062 | 92,062 | |||
Total Short-Term Investments(cost $460,310) | 460,310 | ||||
Total Value of Securities – 99.71% | |||||
(cost $313,543,098) | $ | 283,397,300 |
∆ | Securities have been classified by country of origin. Aggregate classification by business sector has been presented on page 20 in “Security type / country and sector allocations.” |
51
Schedules of investments
Delaware Global Equity Fund
The following foreign currency exchange contracts were outstanding at March 31, 2020:1
Foreign Currency Exchange Contracts
Currency to | Settlement | Unrealized | ||||||||||||||
Counterparty | Receive (Deliver) | In Exchange For | Date | Depreciation | ||||||||||||
BNYM | DKK | (1,018,281 | ) | USD | 150,229 | 4/2/20 | $ | (214 | ) | |||||||
BNYM | JPY | (150,660,223 | ) | USD | 1,386,164 | 4/2/20 | (15,081 | ) | ||||||||
BNYM | SEK | 28,573,323 | USD | (2,889,024 | ) | 4/2/20 | (519 | ) | ||||||||
Total Foreign Currency Exchange Contracts | $ | (15,814 | ) |
The use of foreign currency exchange contracts involves elements of market risk and risks in excess of the amounts disclosed 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.
1 | See Note 6 in “Notes to financial statements.” |
Summary of abbreviations:
AG – Aktiengesellschaft
BNYM – The Bank of New York Mellon
DKK – Danish Krone
ETF – Exchange-Traded Fund
GS – Goldman Sachs
JPY – Japanese Yen
LLC – Limited Liability Company
SEK – Swedish Krona
S&P – Standard & Poor’s Financial Services LLC
USD – US Dollar
See accompanying notes, which are an integral part of the financial statements.
52
Schedules of investments | |
Delaware International Fund | March 31, 2020 (Unaudited) |
Number of Shares | Value (US $) | ||||
Common Stock – 106.25%∆ | |||||
Denmark – 8.42% | |||||
Novo Nordisk Class B | 411,510 | $ | 24,573,769 | ||
24,573,769 | |||||
France – 24.68% | |||||
Air Liquide | 152,080 | 19,412,634 | |||
Danone | 299,700 | 19,180,274 | |||
Orange | 983,600 | 11,908,898 | |||
Publicis Groupe | 412,330 | 11,783,949 | |||
Sodexo | 144,800 | 9,724,079 | |||
72,009,834 | |||||
Germany – 8.43% | |||||
adidas AG | 34,710 | 7,706,570 | |||
Fresenius Medical Care AG & Co. | 258,620 | 16,881,679 | |||
24,588,249 | |||||
Ireland – 1.74% | |||||
Kerry Group Class A | 43,900 | 5,093,501 | |||
5,093,501 | |||||
Japan – 25.09% | |||||
Asahi Group Holdings | 235,700 | 7,646,862 | |||
Kao | 82,400 | 6,712,983 | |||
KDDI | 524,200 | 15,484,130 | |||
Kirin Holdings | 220,800 | 4,360,856 | |||
Lawson | 151,100 | 8,293,847 | |||
Makita | 290,600 | 8,864,391 | |||
Secom | 61,200 | 5,061,745 | |||
Seven & i Holdings | 507,900 | 16,773,346 | |||
73,198,160 | |||||
Netherlands – 8.08% | |||||
Koninklijke Ahold Delhaize | 1,012,690 | 23,592,202 | |||
23,592,202 | |||||
Sweden – 4.33% | |||||
Hennes & Mauritz Class B | 250,000 | 3,199,198 | |||
Securitas Class B | 877,580 | 9,427,364 | |||
12,626,562 | |||||
Switzerland – 17.74% | |||||
Nestle | 200,240 | 20,498,127 | |||
Roche Holding | 72,230 | 23,239,426 | |||
Swatch Group | 40,940 | 8,040,554 | |||
51,778,107 | |||||
United Kingdom – 7.74% | |||||
Diageo | 389,430 | 12,348,640 |
53
Schedules of investments
Delaware International Fund
Number of Shares | Value (US $) | ||||
Common Stock∆(continued) | |||||
United Kingdom(continued) | |||||
G4S | 6,045,510 | $ | 6,876,184 | ||
Next | 66,840 | 3,353,284 | |||
22,578,108 | |||||
Total Common Stock(cost $352,715,936) | 310,038,492 | ||||
Exchange-Traded Funds – 0.65% | |||||
iShares MSCI EAFE ETF | 1,145 | 61,212 | |||
Vanguard FTSE Developed Markets ETF | 54,650 | 1,822,031 | |||
Total Exchange-Traded Funds(cost $1,942,701) | 1,883,243 | ||||
Total Value of Securities – 106.90% | |||||
(cost $354,658,637) | $ | 311,921,735 |
∆ | Securities have been classified by country of origin. Aggregate classification by business sector has been presented on page 21 in “Security type / country and sector allocations.” |
The following foreign currency exchange contracts were outstanding at March 31, 2020:1
Foreign Currency Exchange Contracts
Currency to | Settlement | Unrealized | ||||||||||||||
Counterparty | Receive (Deliver) | In Exchange For | Date | Depreciation | ||||||||||||
BNYM | CHF | (1,235,260 | ) | USD | 1,281,174 | 4/2/20 | $ | (2,317 | ) | |||||||
BNYM | DKK | (3,852,003 | ) | USD | 568,091 | 4/2/20 | (1,012 | ) | ||||||||
BNYM | EUR | (1,172,374 | ) | USD | 1,289,962 | 4/2/20 | (3,124 | ) | ||||||||
BNYM | JPY | (176,711,886 | ) | USD | 1,625,855 | 4/2/20 | (17,688 | ) | ||||||||
BNYM | SEK | 31,765,078 | USD | (3,211,739 | ) | 4/2/20 | (577 | ) | ||||||||
Total Foreign Currency Exchange Contracts | $ | (24,718 | ) |
The use of foreign currency exchange contracts involves elements of market risk and risks in excess of the amounts disclosed 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.
Summary of abbreviations:
AG – Aktiengesellschaft
BNYM – The Bank of New York Mellon
CHF – Swiss Franc
DKK – Danish Krone
EAFE – Europe Australasia and Far East
ETF – Exchange-Traded Fund
EUR – European Monetary Unit
FTSE – Financial Times Stock Exchange 100 Index
54
Summary of abbreviations (continued):
JPY – Japanese Yen
MSCI – Morgan Stanley Capital International
SEK – Swedish Krona
USD – United States Dollar
See accompanying notes, which are an integral part of the financial statements.
55
Schedules of investments | |
Delaware Floating Rate II Fund | March 31, 2020 (Unaudited) |
Principal amount° | Value (US $) | ||||
Convertible Bond – 0.26% | |||||
Cheniere Energy 144A 4.875% exercise price $93.64, expiration date 5/28/21 #❆ | 176,000 | $ | 170,722 | ||
Total Convertible Bond(cost $177,540) | 170,722 | ||||
Corporate Bonds – 3.65% | |||||
Capital Goods – 0.13% | |||||
Bombardier 144A 7.875% 4/15/27 # | 125,000 | 87,197 | |||
87,197 | |||||
Communications – 1.21% | |||||
Cincinnati Bell 144A 7.00% 7/15/24 # | 223,000 | 226,060 | |||
Consolidated Communications 6.50% 10/1/22 | 412,000 | 363,590 | |||
Frontier Communications 144A 8.00% 4/1/27 # | 214,000 | 212,252 | |||
801,902 | |||||
Healthcare – 1.55% | |||||
Bausch Health 144A 7.00% 3/15/24 # | 400,000 | 412,501 | |||
Centene 144A 3.375% 2/15/30 # | 400,000 | 373,500 | |||
Tenet Healthcare 5.125% 5/1/25 | 250,000 | 238,125 | |||
1,024,126 | |||||
Media – 0.47% | |||||
Clear Channel Worldwide Holdings 144A 9.25% 2/15/24 # | 250,000 | 216,564 | |||
Radiate Holdco 144A 6.625% 2/15/25 # | 105,000 | 90,168 | |||
306,732 | |||||
Technology – 0.29% | |||||
Banff Merger Sub 144A 9.75% 9/1/26 # | 215,000 | 190,829 | |||
190,829 | |||||
Total Corporate Bonds(cost $2,524,568) | 2,410,786 | ||||
Loan Agreements – 95.43% | |||||
Acrisure Tranche B 5.207% (LIBOR03M + 3.50%) 2/15/27● | 620,554 | 527,471 | |||
Air Medical Group Holdings 4.932% (LIBOR02M + 3.25%) 4/28/22● | 497,455 | 460,146 | |||
American Airlines Tranche B 0.00% 12/14/23 X | 1,000,000 | 836,000 | |||
Applied Systems 2nd Lien 8.45% (LIBOR03M + 7.00%) 9/19/25● | 1,500,000 | 1,387,500 | |||
Apro 5.00% (LIBOR01M + 4.00%) 10/28/26● | 911,604 | 799,933 | |||
Aramark Services Tranche B-4 2.739% (LIBOR01M + 1.75%) 1/15/27● | 318,000 | 297,330 | |||
AssuredPartners 4.489% (LIBOR01M + 3.50%) 2/12/27● | 1,236,293 | 1,103,392 | |||
AthenaHealth Tranche B 1st Lien 5.284% (LIBOR03M + 4.50%) 2/11/26● | 495,000 | 465,300 | |||
Bausch Health 3.612% (LIBOR01M + 3.00%) 6/2/25● | 646,545 | 619,605 |
56
Principal amount° | Value (US $) | ||||
Loan Agreements(continued) | |||||
Berry Global Tranche W 2.863% (LIBOR03M + 2.00%) 10/1/22 ● | 1,000,000 | $ | 965,500 | ||
Berry Global Tranche Y 2.863% (LIBOR03M + 2.00%) 7/1/26 ● | 398,746 | 377,612 | |||
Boxer Parent 5.239% (LIBOR01M + 4.25%) 10/2/25● | 1,243,703 | 1,065,853 | |||
Buckeye Partners 4.265% (LIBOR01M + 2.75%) 11/1/26● | 443,971 | 412,893 | |||
BW Gas & Convenience Holdings 7.18% (LIBOR01M + 6.25%) 11/18/24● | 1,264,988 | 1,062,590 | |||
Calpine 3.24% (LIBOR01M + 2.25%) 1/15/24● | 1,238,305 | 1,195,996 | |||
Camelot US Acquisition 4.239% (LIBOR01M + 3.25%) 10/30/26 ● | 1,037,400 | 938,847 | |||
CenturyLink Tranche B 3.239% (LIBOR01M + 2.25%) 3/15/27 ● | 940,643 | 874,210 | |||
Change Healthcare Holdings 3.489% (LIBOR01M + 2.50%) 3/1/24● | 743,940 | 686,905 | |||
Chemours Tranche B-2 0.00% 4/3/25 X | 350,000 | 317,625 | |||
Chesapeake Energy Tranche A 9.00% (LIBOR01M + 8.00%) 6/24/24● | 851,333 | 345,641 | |||
Clear Channel Outdoor Holdings Tranche B 4.489% (LIBOR01M + 3.50%) 8/21/26● | 447,750 | 405,773 | |||
Connect US Finco 5.49% (LIBOR01M + 4.50%) 12/12/26 ● | 1,325,000 | 1,083,188 | |||
Consolidated Communications 4.00% (LIBOR01M + 3.00%) 10/5/23● | 1,137,070 | 981,534 | |||
Coral US Tranche B-5 3.239% (LIBOR01M + 2.25%) 1/31/28 ● | 700,000 | 627,667 | |||
Core & Main 0.00% 8/1/24 X | 945,000 | 836,325 | |||
CPI Holdco 1st Lien 5.70% (LIBOR03M + 4.25%) 11/4/26 ● | 1,021,079 | 898,550 | |||
CSC Holdings 2.862% (LIBOR01M + 2.25%) 7/17/25● | 1,186,170 | 1,150,585 | |||
Cumulus Media New Holdings 4.822% (LIBOR06M + 3.75%) 3/31/26● | 795,501 | 645,682 | |||
Datto 5.239% (LIBOR01M + 4.25%) 4/2/26● | 453,879 | 393,457 | |||
DaVita Tranche B-1 2.739% (LIBOR01M + 1.75%) 8/12/26 ● | 654,714 | 625,797 | |||
Delek US Holdings 3.239% (LIBOR01M + 2.25%) 3/31/25 ● | 166,230 | 123,287 | |||
Dorna Sports SL Tranche B2 4.921% (LIBOR06M + 3.00%) 4/12/24● | 1,000,000 | 900,000 | |||
Dun & Bradstreet Tranche B 4.959% (LIBOR01M + 4.00%) 2/6/26● | 1,100,000 | 1,012,000 | |||
Edgewater Generation 4.739% (LIBOR01M + 3.75%) 12/15/25● | 938,499 | 772,697 | |||
Ensemble RCM 5.513% (LIBOR03M + 3.75%) 8/1/26● | 1,492,500 | 1,390,513 | |||
ESH Hospitality 2.989% (LIBOR01M + 2.00%) 9/18/26● | 1,075,550 | 939,761 |
57
Schedules of investments
Delaware Floating Rate II Fund
Principal amount° | Value (US $) | ||||
Loan Agreements(continued) | |||||
Frontier Communications Tranche B-1 5.35% (LIBOR03M + 3.75%) 6/17/24● | 1,039,522 | $ | 985,813 | ||
Garda World Security Tranche B 1st Lien 6.39% (LIBOR03M + 4.75%) 10/23/26● | 608,053 | 580,690 | |||
Genesee & Wyoming 3.45% (LIBOR03M + 2.00%) 12/30/26● | 337,000 | 326,469 | |||
GFL Environmental 3.989% (LIBOR01M + 3.00%) 5/30/25● | 404,444 | 394,586 | |||
Granite Generation 4.818% (LIBOR01M + 3.75%) 11/9/26 ● | 337,654 | 292,070 | |||
HCA Tranche B13 2.739% (LIBOR01M + 1.75%) 3/18/26● | 1,064,825 | 1,019,570 | |||
HD Supply Tranche B-5 2.739% (LIBOR01M + 1.75%) 10/17/23 ● | 1,492,424 | 1,410,341 | |||
Heartland Dental Tranche B 1st Lien 4.739% (LIBOR01M + 3.75%) 4/30/25● | 929,019 | 732,996 | |||
HUB International 5.692% (LIBOR03M + 4.00%) 4/25/25● | 997,500 | 932,663 | |||
Informatica 4.243% (LIBOR01M + 3.25%) 2/25/27● | 650,000 | 585,000 | |||
Informatica 2nd Lien 7.125% (LIBOR06M + 0.00%) 2/14/25 ● | 1,085,000 | 960,225 | |||
Ingersoll-Rand Services Tranche B-1 2.739% (LIBOR01M + 1.75%) 2/28/27● | 650,000 | 611,000 | |||
Iron Mountain Information Management Tranche B 2.739% (LIBOR01M + 1.75%) 1/2/26● | 374,046 | 360,954 | |||
JBS USA LUX 3.072% (LIBOR03M + 2.00%) 5/1/26● | 1,492,462 | 1,409,311 | |||
Kronos 0.00% 11/1/23 X | 185,000 | 171,356 | |||
Kronos 2nd Lien 0.00% 11/1/24 X | 870,000 | 820,410 | |||
LCPR Loan Financing 5.705% (LIBOR01M + 5.00%) 10/15/26● | 1,285,000 | 1,117,950 | |||
Merrill Communications Tranche B 1st Lien 6.908% (LIBOR03M + 5.00%) 10/5/26● | 1,097,250 | 905,231 | |||
NFP 4.239% (LIBOR01M + 3.25%) 2/15/27● | 992,327 | 868,286 | |||
Numericable US Tranche B-11 3.739% (LIBOR01M + 2.75%) 7/31/25● | 760,668 | 699,814 | |||
ON Semiconductor Tranche B-4 2.989% (LIBOR01M + | |||||
2.00%) 9/16/26● | 650,615 | 613,612 | |||
Panda Liberty Tranche B-2 0.00% 8/21/20 X | 1,554,000 | 1,328,670 | |||
Panda Patriot Tranche B-1 7.20% (LIBOR03M + 5.75%) | |||||
12/19/20● | 1,330,512 | 1,128,717 | |||
Panda Patriot Tranche B-2 0.00% 12/19/20 X | 217,597 | 186,045 | |||
Panther BF Aggregator 2 1st Lien 4.441% (LIBOR01M + | |||||
3.50%) 4/30/26● | 1,243,750 | 1,144,250 | |||
Perstorp Holding Tranche B 5.822% (LIBOR06M + 4.75%) 4/13/26● | 1,488,750 | 1,016,072 | |||
PQ Tranche B 0.00% 2/8/27 X | 700,000 | 631,750 |
58
Principal amount° | Value (US $) | ||||
Loan Agreements(continued) | |||||
Pregis Topco 1st Lien 4.989% (LIBOR01M + 4.00%) 7/24/26● | 448,875 | $ | 395,010 | ||
Prestige Brands Tranche B-4 2.989% (LIBOR01M + 2.00%) 1/26/24● | 349,964 | 328,382 | |||
Prime Security Services Borrower Tranche B-1 4.606% (LIBOR01M + 3.25%) 9/23/26● | 414,830 | 377,495 | |||
Quikrete Holdings 1st Lien 3.489% (LIBOR01M + 2.50%) 2/1/27● | 735,158 | 639,587 | |||
Russell Investments US Institutional Holdco 3.822% (LIBOR06M + 2.75%) 6/1/23● | 112,452 | 104,299 | |||
Sinclair Television Group Tranche B-2 3.21% (LIBOR01M + 2.50%) 9/30/26● | 721,375 | 668,174 | |||
Solenis International 1st Lien 5.613% (LIBOR03M + 4.00%) 6/26/25● | 750,000 | 602,500 | |||
Solenis International 2nd Lien 10.113% (LIBOR03M + 8.50%) 6/26/26● | 400,000 | 278,000 | |||
SS&C Technologies Tranche B-5 2.739% (LIBOR01M + 1.75%) 4/16/25● | 1,492,362 | 1,418,490 | |||
Staples Tranche B-1 6.515% (LIBOR01M + 5.00%) 4/16/26● | 457,227 | 367,496 | |||
Surf Holdings 1st Lien 4.814% (LIBOR03M + 3.50%) 3/5/27● | 920,455 | 826,108 | |||
Terrier Media Buyer 5.70% (LIBOR03M + 4.25%) 12/17/26● | 960,593 | 832,714 | |||
Titan Acquisition 4.45% (LIBOR03M + 3.00%) 3/28/25● | 464,489 | 395,977 | |||
Transdigm Tranche F 3.239% (LIBOR01M + 2.25%) 12/9/25● | 648,375 | 606,231 | |||
UGI Energy Services 4.739% (LIBOR01M + 3.75%) 8/7/26● | 387,893 | 335,527 | |||
Ultimate Software Group 1st Lien 4.739% (LIBOR01M + 3.75%) 5/4/26● | 1,492,500 | 1,410,413 | |||
US Foods Tranche B 3.072% (LIBOR06M + 2.00%) 9/13/26● | 572,125 | 533,030 | |||
USI 4.989% (LIBOR01M + 4.00%) 12/2/26● | 897,750 | 821,441 | |||
USI Tranche B 3.989% (LIBOR03M + 3.00%) 5/16/24● | 590,578 | 538,903 | |||
Verscend Holding Tranche B 5.489% (LIBOR01M + 4.50%) 8/27/25● | 1,031,763 | 980,175 | |||
Vistra Operations 2.55% (LIBOR01M + 1.75%) 12/31/25● | 2,001,741 | 1,801,567 | |||
Total Loan Agreements(cost $70,195,363) | 63,022,535 | ||||
Number of shares | |||||
Short-Term Investments – 1.09% | |||||
Money Market Mutual Funds – 1.09% | |||||
BlackRock FedFund – Institutional Shares (seven-day effective yield 0.33%) | 143,722 | 143,722 |
59
Schedules of investments
Delaware Floating Rate II Fund
Number of shares | Value (US $) | |||||
Short-Term Investments(continued) | ||||||
Money Market Mutual Funds(continued) | ||||||
Fidelity Investments Money Market Government | ||||||
Portfolio – Class I (seven-day effective yield 0.30%) | 143,722 | $ | 143,722 | |||
GS Financial Square Government Fund – Institutional | ||||||
Shares (seven-day effective yield 0.34%) | 143,722 | 143,722 | ||||
Morgan Stanley Government Portfolio – Institutional Share | ||||||
Class (seven-day effective yield 0.22%) | 143,722 | 143,722 | ||||
State Street Institutional US Government Money Market | ||||||
Fund – Investor Class (seven-day effective yield 0.24%) | 143,722 | 143,723 | ||||
Total Short-Term Investments(cost $718,611) | 718,611 | |||||
Total Value of Securities – 100.43% | ||||||
(cost $73,616,082) | $ | 66,322,654 |
# | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended.At March 31, 2020, the aggregate value of Rule 144A securities was $1,979,793 which represents3.00% of the Fund’s net assets. See Note 9 in “Notes to financial statements.” |
❆ | PIK. 100% of the income received was in the form of cash. |
° | Principal amount shown is stated in USD unless noted that the security is denominated in anothercurrency. |
● | Variable rate investment. Rates reset periodically. Rate shown reflects the rate in effect atMarch 31, 2020. For securities based on a published reference rate and spread, the reference rateand spread are indicated in their description above. The reference rate descriptions (i.e. LIBOR03M,LIBOR06M, etc.) used in this report are identical for different securities, but the underlying referencerates may differ due to the timing of the reset period. Certain variable rate securities are not based ona published reference rate and spread but are determined by the issuer or agent and are based oncurrent market conditions, or for mortgage-backed securities, are impacted by the individualmortgages which are paying off over time. These securities do not indicate a reference rate andspread in their description above. |
X
| This loan will settle after March 31, 2020, at which time the interest rate, based on the LIBOR and theagreed upon spread on trade date, will be reflected. |
Unfunded Loan Commitments
The Fund may invest in floating rate loans. In connection with these investments, the Fund may also enter into unfunded corporate loan commitments (commitments). Commitments may obligate the Fund to furnish temporary financing to a borrower until permanent financing can be arranged. In connection with these commitments, the Fund earns a commitment fee, typically set as a percentage of the commitment amount. The following unfunded loan commitment was outstanding at March 31, 2020:
Principal | Unrealized Appreciation | |||||
Borrower | Amount | Value | (Depreciation) | |||
Apro 4.00% | ||||||
(LIBOR03M + 4.00%) 10/28/26 | $261,111 | $229,125 | $(31,986) |
60
Summary of abbreviations:
GS – Goldman Sachs
ICE – Intercontinental Exchange
LIBOR – London interbank offered rate
LIBOR01M – ICE LIBOR USD 1 Month
LIBOR02M – ICE LIBOR USD 2 Month
LIBOR03M – ICE LIBOR USD 3 Month
LIBOR06M – ICE LIBOR USD 6 Month
PIK – Pay-in-Kind
USD – US Dollar
See accompanying notes, which are an integral part of the financial statements.
61
Schedules of investments | |
Delaware Fund for Income | March 31, 2020 (Unaudited) |
Principal amount° | Value (US $) | |||||
Corporate Bonds – 86.22% | ||||||
Banking – 4.31% | ||||||
Ally Financial 8.00% 11/1/31 | 2,945,000 | $ | 3,401,622 | |||
Credit Suisse Group | ||||||
144A 6.25%#µψ | 400,000 | 371,443 | ||||
144A 7.50%#µψ | 1,525,000 | 1,477,451 | ||||
Deutsche Bank 6.00%µψ | 1,800,000 | 1,209,600 | ||||
Popular 6.125% 9/14/23 | 5,405,000 | 5,046,892 | ||||
Royal Bank of Scotland Group 8.625%µψ | 4,795,000 | 4,700,658 | ||||
Synovus Financial 5.90% 2/7/29 µ | 1,135,000 | 1,064,148 | ||||
17,271,814 | ||||||
Basic Industry – 10.15% | ||||||
Allegheny Technologies | ||||||
5.875% 12/1/27 | 825,000 | 688,050 | ||||
7.875% 8/15/23 | 2,480,000 | 2,407,993 | ||||
Blue Cube Spinco 10.00% 10/15/25 | 784,000 | 832,102 | ||||
Chemours | ||||||
5.375% 5/15/27 | 1,425,000 | 1,100,706 | ||||
7.00% 5/15/25 | 3,020,000 | 2,533,040 | ||||
First Quantum Minerals | ||||||
144A 7.25% 4/1/23 # | 1,750,000 | 1,509,384 | ||||
144A 7.50% 4/1/25 # | 2,005,000 | 1,681,082 | ||||
Freeport-McMoRan 5.45% 3/15/43 | 4,440,000 | 4,008,432 | ||||
Hudbay Minerals 144A 7.625% 1/15/25 # | 550,000 | 481,940 | ||||
IAMGOLD 144A 7.00% 4/15/25 # | 1,195,000 | 1,121,800 | ||||
Joseph T Ryerson & Son 144A 11.00% 5/15/22 # | 1,075,000 | 1,007,790 | ||||
Kraton Polymers 144A 7.00% 4/15/25 # | 3,435,000 | 3,068,932 | ||||
Lennar 5.00% 6/15/27 | 1,370,000 | 1,265,253 | ||||
M/I Homes 144A 4.95% 2/1/28 # | 3,590,000 | 3,073,937 | ||||
Mattamy Group | ||||||
144A 4.625% 3/1/30 # | 655,000 | 566,984 | ||||
144A 5.25% 12/15/27 # | 1,870,000 | 1,753,125 | ||||
New Enterprise Stone & Lime 144A 6.25% 3/15/26 # | 1,500,000 | 1,392,814 | ||||
Novelis 144A 5.875% 9/30/26 # | 1,977,000 | 1,953,933 | ||||
Olin | ||||||
5.00% 2/1/30 | 2,615,000 | 2,260,537 | ||||
5.625% 8/1/29 | 2,475,000 | 2,291,355 | ||||
Standard Industries | ||||||
144A 5.00% 2/15/27 # | 1,300,000 | 1,192,058 | ||||
144A 5.375% 11/15/24 # | 2,425,000 | 2,346,260 | ||||
144A 6.00% 10/15/25 # | 850,000 | 841,729 | ||||
Tms International Holding 144A 7.25% 8/15/25 # | 1,440,000 | 1,308,593 | ||||
40,687,829 |
62
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Capital Goods – 7.02% | ||||||
ARD Finance 144A PIK 6.50% 6/30/27 #❆ | 1,975,000 | $ | 1,707,289 | |||
Ashtead Capital 144A 4.25% 11/1/29 # | 1,850,000 | 1,580,145 | ||||
Berry Global | ||||||
144A 4.875% 7/15/26 # | 1,325,000 | 1,345,699 | ||||
144A 5.625% 7/15/27 # | 1,550,000 | 1,613,077 | ||||
Bombardier | ||||||
144A 7.50% 12/1/24 # | 1,950,000 | 1,304,072 | ||||
144A 7.875% 4/15/27 # | 530,000 | 369,715 | ||||
Cloud Crane 144A 10.125% 8/1/24 # | 625,000 | 496,097 | ||||
Gates Global 144A 6.25% 1/15/26 # | 1,504,000 | 1,339,320 | ||||
Granite US Holdings 144A 11.00% 10/1/27 # | 1,290,000 | 1,117,730 | ||||
Griffon 144A 5.75% 3/1/28 # | 2,280,000 | 2,156,025 | ||||
Mauser Packaging Solutions Holding 144A | ||||||
7.25% 4/15/25 # | 2,255,000 | 1,725,143 | ||||
Titan Acquisition 144A 7.75% 4/15/26 # | 800,000 | 673,574 | ||||
TransDigm | ||||||
144A 5.50% 11/15/27 # | 1,255,000 | 1,133,328 | ||||
144A 6.25% 3/15/26 # | 3,200,000 | 3,201,990 | ||||
Trivium Packaging Finance 144A 5.50% 8/15/26 # | 1,415,000 | 1,415,880 | ||||
United Rentals North America | ||||||
5.25% 1/15/30 | 4,800,000 | 4,825,200 | ||||
5.50% 5/15/27 | 2,150,000 | 2,112,214 | ||||
28,116,498 | ||||||
Communications – 9.83% | ||||||
Altice France Holding | ||||||
144A 6.00% 2/15/28 # | 2,570,000 | 2,280,053 | ||||
144A 10.50% 5/15/27 # | 2,500,000 | 2,650,000 | ||||
C&W Senior Financing 144A 6.875% 9/15/27 # | 1,756,000 | 1,526,785 | ||||
CenturyLink | ||||||
144A 4.00% 2/15/27 # | 1,435,000 | 1,381,187 | ||||
144A 5.125% 12/15/26 # | 3,520,000 | 3,528,800 | ||||
Cincinnati Bell 144A 7.00% 7/15/24 # | 1,450,000 | 1,469,894 | ||||
Consolidated Communications 6.50% 10/1/22 | 3,622,000 | 3,196,415 | ||||
Front Range BidCo 144A 6.125% 3/1/28 # | 3,500,000 | 3,344,688 | ||||
Frontier Communications 144A 8.00% 4/1/27 # | 4,650,000 | 4,612,009 | ||||
Qwest 7.25% 9/15/25 | 1,575,000 | 1,603,076 | ||||
Sprint | ||||||
7.625% 3/1/26 | 1,325,000 | 1,506,989 | ||||
7.875% 9/15/23 | 4,915,000 | 5,448,941 | ||||
Sprint Capital 8.75% 3/15/32 | 815,000 | 1,082,361 |
63
Schedules of investments
Delaware Fund for Income
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Communications(continued) | ||||||
T-Mobile USA 6.00% 4/15/24 | 1,875,000 | $ | 1,917,131 | |||
T-Mobile USA Escrowψ† | 4,550,000 | 0 | ||||
Uniti Group 144A 7.875% 2/15/25 # | 2,290,000 | 2,146,875 | ||||
Vodafone Group 7.00% 4/4/79 µ | 1,595,000 | 1,708,181 | ||||
39,403,385 | ||||||
Consumer Cyclical – 2.80% | ||||||
Allison Transmission 144A 5.875% 6/1/29 # | 1,810,000 | 1,786,411 | ||||
Boyd Gaming 144A 4.75% 12/1/27 # | 2,260,000 | 1,877,043 | ||||
MGM Resorts International 6.00% 3/15/23 | 1,200,000 | 1,165,506 | ||||
Murphy Oil USA 4.75% 9/15/29 | 4,751,000 | 4,480,431 | ||||
Scientific Games International 144A 8.25% 3/15/26 # | 1,723,000 | 1,112,596 | ||||
Stars Group Holdings 144A 7.00% 7/15/26 # | 825,000 | 780,244 | ||||
11,202,231 | ||||||
Consumer Non-Cyclical – 5.61% | ||||||
Albertsons 144A 4.875% 2/15/30 # | 1,190,000 | 1,187,025 | ||||
Energizer Holdings | ||||||
144A 5.50% 6/15/25 # | 1,700,000 | 1,659,633 | ||||
144A 6.375% 7/15/26 # | 850,000 | 863,217 | ||||
HLF Financing 144A 7.25% 8/15/26 # | 1,325,000 | 1,131,219 | ||||
JBS USA | ||||||
144A 5.50% 1/15/30 # | 3,475,000 | 3,607,224 | ||||
144A 5.875% 7/15/24 # | 575,000 | 584,344 | ||||
144A 6.75% 2/15/28 # | 2,050,000 | 2,199,753 | ||||
Kraft Heinz Foods | ||||||
3.95% 7/15/25 | 1,505,000 | 1,482,456 | ||||
5.00% 7/15/35 | 1,055,000 | 1,055,952 | ||||
5.20% 7/15/45 | 1,765,000 | 1,706,968 | ||||
Pilgrim’s Pride 144A 5.875% 9/30/27 # | 2,325,000 | 2,329,534 | ||||
Post Holdings | ||||||
144A 5.50% 12/15/29 # | 1,325,000 | 1,381,776 | ||||
144A 5.75% 3/1/27 # | 1,150,000 | 1,186,429 | ||||
Spectrum Brands 144A 5.00% 10/1/29 # | 2,455,000 | 2,107,722 | ||||
22,483,252 | ||||||
Energy – 7.80% | ||||||
Cheniere Corpus Christi Holdings 7.00% 6/30/24 | 4,320,000 | 3,801,636 | ||||
Cheniere Energy Partners 144A 4.50% 10/1/29 # | 3,830,000 | 3,429,957 | ||||
Crestwood Midstream Partners | ||||||
5.75% 4/1/25 | 1,375,000 | 797,541 | ||||
6.25% 4/1/23 | 2,175,000 | 1,232,040 | ||||
DCP Midstream Operating | ||||||
3.875% 3/15/23 | 1,100,000 | 887,887 | ||||
5.125% 5/15/29 | 925,000 | 587,837 |
64
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Energy(continued) | |||||
Genesis Energy 6.50% 10/1/25 | 1,600,000 | $ | 1,168,432 | ||
Murphy Oil | |||||
5.875% 12/1/27 | 3,395,000 | 1,787,637 | |||
5.875% 12/1/42 | 1,219,000 | 512,230 | |||
NuStar Logistics | |||||
5.625% 4/28/27 | 1,650,000 | 1,277,677 | |||
6.00% 6/1/26 | 1,650,000 | 1,230,276 | |||
PBF Holding 144A 6.00% 2/15/28 # | 947,000 | 643,960 | |||
PDC Energy 6.125% 9/15/24 | 1,778,000 | 964,556 | |||
Precision Drilling | |||||
6.50% 12/15/21 | 137,216 | 104,106 | |||
144A 7.125% 1/15/26 # | 950,000 | 321,615 | |||
Southwestern Energy | |||||
6.20% 1/23/25 | 1,550,000 | 1,067,051 | |||
7.50% 4/1/26 | 600,000 | 397,545 | |||
7.75% 10/1/27 | 2,495,000 | 1,659,362 | |||
Sunoco 4.875% 1/15/23 | 1,975,000 | 1,924,470 | |||
Targa Resources Partners | |||||
5.375% 2/1/27 | 1,875,000 | 1,553,531 | |||
6.50% 7/15/27 | 2,465,000 | 2,119,900 | |||
Transocean | |||||
144A 7.25% 11/1/25 # | 1,665,000 | 849,600 | |||
144A 8.00% 2/1/27 # | 1,890,000 | 904,837 | |||
WPX Energy | |||||
4.50% 1/15/30 | 1,200,000 | 656,100 | |||
5.25% 10/15/27 | 2,525,000 | 1,402,764 | |||
31,282,547 | |||||
Financial Services – 0.47% | |||||
DAE Funding 144A 5.75% 11/15/23 # | 2,025,000 | 1,890,834 | |||
1,890,834 | |||||
Healthcare – 8.45% | |||||
AMN Healthcare 144A 4.625% 10/1/27 # | 2,350,000 | 2,246,599 | |||
Bausch Health 144A 5.50% 11/1/25 # | 5,120,000 | 5,204,762 | |||
Charles River Laboratories International 144A | |||||
4.25% 5/1/28 # | 3,695,000 | 3,582,118 | |||
CHS 144A 8.00% 3/15/26 # | 2,350,000 | 2,245,712 | |||
DaVita 5.125% 7/15/24 | 4,525,000 | 4,539,729 | |||
Encompass Health 4.75% 2/1/30 | 2,335,000 | 2,312,934 | |||
Hadrian Merger 144A 8.50% 5/1/26 # | 2,900,000 | 2,185,273 | |||
HCA | |||||
5.375% 2/1/25 | 2,075,000 | 2,124,271 | |||
5.875% 2/1/29 | 3,190,000 | 3,385,387 |
65
Schedules of investments
Delaware Fund for Income
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Healthcare(continued) | |||||
Hill-Rom Holdings 144A 4.375% 9/15/27 # | 2,445,000 | $ | 2,429,211 | ||
Tenet Healthcare | |||||
5.125% 5/1/25 | 1,035,000 | 985,837 | |||
6.875% 11/15/31 | 1,000,000 | 848,543 | |||
8.125% 4/1/22 | 1,865,000 | 1,772,384 | |||
33,862,760 | |||||
Insurance – 3.81% | |||||
Centene | |||||
144A 4.625% 12/15/29 # | 2,585,000 | 2,612,272 | |||
144A 5.375% 8/15/26 # | 4,245,000 | 4,377,656 | |||
GTCR AP Finance 144A 8.00% 5/15/27 # | 464,000 | 430,844 | |||
HUB International 144A 7.00% 5/1/26 # | 4,239,000 | 4,228,720 | |||
USI 144A 6.875% 5/1/25 # | 3,854,000 | 3,613,009 | |||
15,262,501 | |||||
Media – 12.86% | |||||
Altice Financing 144A 5.00% 1/15/28 # | 1,445,000 | 1,289,663 | |||
Cablevision Systems 5.875% 9/15/22 | 1,396,000 | 1,417,415 | |||
CCO Holdings | |||||
144A 4.50% 8/15/30 # | 6,550,000 | 6,455,844 | |||
144A 4.75% 3/1/30 # | 1,125,000 | 1,128,431 | |||
144A 5.375% 6/1/29 # | 2,165,000 | 2,236,770 | |||
Clear Channel Worldwide Holdings | |||||
144A 5.125% 8/15/27 # | 3,425,000 | 3,226,179 | |||
144A 9.25% 2/15/24 # | 1,691,000 | 1,464,837 | |||
Connect Finco 144A 6.75% 10/1/26 # | 4,865,000 | 4,037,950 | |||
CSC Holdings | |||||
144A 5.375% 7/15/23 # | 3,225,000 | 3,277,422 | |||
144A 5.75% 1/15/30 # | 4,430,000 | 4,484,090 | |||
144A 7.50% 4/1/28 # | 1,425,000 | 1,528,152 | |||
Cumulus Media New Holdings 144A 6.75% 7/1/26 # | 2,465,000 | 2,220,033 | |||
Gray Television 144A 7.00% 5/15/27 # | 2,435,000 | 2,436,339 | |||
LCPR Senior Secured Financing 144A 6.75% 10/15/27 # | 2,355,000 | 2,332,745 | |||
Netflix | |||||
4.875% 4/15/28 | 1,775,000 | 1,823,946 | |||
144A 4.875% 6/15/30 # | 405,000 | 413,383 | |||
Nexstar Broadcasting 144A 5.625% 7/15/27 # | 3,270,000 | 3,214,574 | |||
Radiate Holdco 144A 6.625% 2/15/25 # | 2,240,000 | 1,923,589 | |||
Sirius XM Radio 144A 4.625% 7/15/24 # | 2,725,000 | 2,782,729 |
66
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Media(continued) | |||||
Terrier Media Buyer 144A 8.875% 12/15/27 # | 2,010,000 | $ | 1,703,475 | ||
VTR Finance 144A 6.875% 1/15/24 # | 2,345,000 | 2,142,732 | |||
51,540,298 | |||||
Real Estate – 0.79% | |||||
HAT Holdings I 144A 5.25% 7/15/24 # | 950,000 | 917,942 | |||
MGM Growth Properties Operating Partnership | |||||
5.75% 2/1/27 | 2,585,000 | 2,258,644 | |||
3,176,586 | |||||
Services – 2.48% | |||||
Anixter 6.00% 12/1/25 | 1,650,000 | 1,629,367 | |||
Clean Harbors 144A 5.125% 7/15/29 # | 1,365,000 | 1,281,111 | |||
Mobile Mini 5.875% 7/1/24 | 1,000,000 | 965,000 | |||
Prime Security Services Borrower | |||||
144A 5.75% 4/15/26 # | 3,550,000 | 3,498,958 | |||
144A 6.25% 1/15/28 # | 2,950,000 | 2,566,500 | |||
9,940,936 | |||||
Technology – 6.84% | |||||
Banff Merger Sub 144A 9.75% 9/1/26 # | 3,417,000 | 3,032,844 | |||
Camelot Finance 144A 4.50% 11/1/26 # | 2,105,000 | 2,053,684 | |||
CDK Global | |||||
144A 5.25% 5/15/29 # | 3,550,000 | 3,634,313 | |||
5.875% 6/15/26 | 398,000 | 422,696 | |||
CommScope Technologies 144A 5.00% 3/15/27 # | 1,930,000 | 1,688,895 | |||
Granite Merger 2 144A 11.00% 7/15/27 # | 1,190,000 | 1,182,316 | |||
Iron Mountain 144A 5.25% 3/15/28 # | 4,335,000 | 4,306,172 | |||
Open Text 144A 3.875% 2/15/28 # | 700,000 | 661,281 | |||
Open Text Holdings 144A 4.125% 2/15/30 # | 2,962,000 | 2,801,682 | |||
Science Applications International 144A 4.875% 4/1/28 # | 2,120,000 | 2,047,125 | |||
SS&C Technologies 144A 5.50% 9/30/27 # | 3,100,000 | 3,214,313 | |||
Verscend Escrow 144A 9.75% 8/15/26 # | 2,345,000 | 2,358,355 | |||
27,403,676 | |||||
Transportation – 0.52% | |||||
Stena International 144A 6.125% 2/1/25 # | 770,000 | 652,575 | |||
VistaJet Malta Finance 144A 10.50% 6/1/24 # | 1,755,000 | 1,430,334 | |||
2,082,909 | |||||
Utilities – 2.48% | |||||
Calpine 144A 5.25% 6/1/26 # | 2,365,000 | 2,263,228 | |||
Edison International 4.95% 4/15/25 | 585,000 | 583,649 | |||
Vistra Operations | |||||
144A 5.00% 7/31/27 # | 1,175,000 | 1,199,146 |
67
Schedules of investments
Delaware Fund for Income
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Utilities(continued) | |||||
Vistra Operations | |||||
144A 5.50% 9/1/26 # | 1,195,000 | $ | 1,239,176 | ||
144A 5.625% 2/15/27 # | 4,505,000 | 4,670,784 | |||
9,955,983 | |||||
Total Corporate Bonds(cost $382,575,843) | 345,564,039 | ||||
Loan Agreements – 6.63% | |||||
Air Medical Group Holdings 4.932% (LIBOR02M + 3.25%) | |||||
4/28/22 ● | 2,426,564 | 2,244,571 | |||
Applied Systems 2nd Lien 8.45% (LIBOR03M + 7.00%) | |||||
9/19/25 ● | 3,139,000 | 2,903,575 | |||
Apro 5.00% (LIBOR01M + 4.00%) 10/28/26● | 1,357,708 | 1,191,389 | |||
BW Gas & Convenience Holdings 7.18% (LIBOR01M + | |||||
6.25%) 11/18/24● | 1,255,113 | 1,054,295 | |||
Calpine 0.00% 1/15/24 X | 293,001 | 282,990 | |||
Chesapeake Energy Tranche A 9.00% (LIBOR01M + | |||||
8.00%) 6/24/24● | 2,425,999 | 984,956 | |||
Dorna Sports SL Tranche B2 4.921% (LIBOR06M + | |||||
3.00%) 4/12/24● | 2,600,000 | 2,340,000 | |||
Granite US Holdings Tranche B 6.322% (LIBOR03M + | |||||
5.25%) 9/30/26● | 1,004,843 | 728,511 | |||
Informatica 2nd Lien 7.125% (LIBOR06M + 0.00%) | |||||
2/14/25 ● | 2,398,000 | 2,122,230 | |||
Kronos 2nd Lien 10.013% (LIBOR03M + 8.25%) 11/1/24● | 2,324,000 | 2,191,532 | |||
LCPR Loan Financing 5.705% (LIBOR01M + 5.00%) | |||||
10/15/26 ● | 975,000 | 848,250 | |||
Merrill Communications Tranche B 1st Lien 6.908% | |||||
(LIBOR03M + 5.00%) 10/5/26● | 1,640,888 | 1,353,732 | |||
Ortho-Clinical Diagnostics 0.00% 6/30/25 X | 2,192,000 | 1,876,352 | |||
Panda Liberty Tranche B-2 0.00% 8/21/20 X | 1,229,000 | 1,050,795 | |||
Panda Patriot Tranche B-1 0.00% 12/19/20 X | 684,980 | 581,091 | |||
Panda Patriot Tranche B-2 0.00% 12/19/20 X | 515,020 | 440,342 | |||
Terrier Media Buyer 5.70% (LIBOR03M + 4.25%) | |||||
12/17/26 ● | 2,346,120 | 2,033,793 | |||
Transdigm Tranche F 0.00% 12/9/25 X | 365,828 | 342,049 | |||
Ultimate Software Group 1st Lien 0.00% 5/4/26 X | 372,000 | 351,540 | |||
Verscend Holding Tranche B 5.489% (LIBOR01M + | |||||
4.50%) 8/27/25● | 1,751,111 | 1,663,556 | |||
Total Loan Agreements(cost $30,282,694) | 26,585,549 |
68
Number of shares | Value (US $) | ||||
Short-Term Investments – 8.36% | |||||
Money Market Mutual Fund – 8.36% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 6,704,690 | $ | 6,704,690 | ||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 6,704,690 | 6,704,690 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 6,704,690 | 6,704,690 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 6,704,691 | 6,704,691 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 6,704,691 | 6,704,691 | |||
Total Short-Term Investments(cost $33,523,452) | 33,523,452 | ||||
Total Value of Securities – 101.21% | |||||
(cost $446,381,989) | $ | 405,673,040 |
# | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended.At March 31, 2020, the aggregate value of Rule 144A securities was $229,259,450, which represents 57.20% of the Fund’s net assets. See Note 9 in “Notes to financial statements.” |
❄ | PIK. The first payment of cash and/or principal will be made after June 30, 2020. |
° | Principal amount shown is stated in USD unless noted that the security is denominated in another currency. |
µ | Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at March 31, 2020.Rate will reset at a future date. |
Ψ | No contractual maturity date. |
† | Non-income producing security. |
● | Variable rate investment. Rates reset periodically. Rate shown reflects the rate in effect at March 31, 2020. For securities based on a published reference rate and spread, the reference rate and spread are indicated in their description above. The reference rate descriptions (i.e. LIBOR03M, LIBOR06M, etc.) used in this report are identical for different securities, but the underlying reference rates may differ due to the timing of the reset period. Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions, or for mortgage-backed securities, are impacted by the individual mortgages which are paying off over time. These securities do not indicate a reference rate and spread in their description above. |
X | This loan will settle after March 31, 2020, at which time the interest rate, based on the LIBOR and the agreed upon spread on trade date, will be reflected. |
69
Schedules of investments
Delaware Fund for Income
Unfunded Loan Commitments1
The Fund may invest in floating rate loans. In connection with these investments, the Fund may also enter into unfunded corporate loan commitments (commitments). Commitments may obligate the Fund to furnish temporary financing to a borrower until permanent financing can be arranged. In connection with these commitments, the Fund earns a commitment fee, typically set as a percentage of the commitment amount. The following unfunded loan commitment was outstanding at March 31, 2020:
Principal | ||||||
Borrower | Amount | Value | Unrealized Depreciation | |||
Apro 4.00% | ||||||
(LIBOR03M + 4.00%) 10/28/26 | $388,889 | $341,250 | $(47,639) |
1See Note 9 in “Notes to financial statements.”
Summary of abbreviations:
GS – Goldman Sachs
ICE – Intercontinental Exchange
LIBOR – London interbank offered rate
LIBOR01M – ICE LIBOR USD 1 Month
LIBOR02M – ICE LIBOR USD 2 Month
LIBOR03M – ICE LIBOR USD 3 Month
LIBOR06M – ICE LIBOR USD 6 Month
PIK – Payment-in-kind
USD – US Dollar
See accompanying notes, which are an integral part of the financial statements.
70
Schedules of investments
Delaware Government Cash Management Fund | March 31, 2020 (Unaudited) |
Principal amount° | Value (US $) | ||||
Agency Obligations – 5.52% | |||||
Federal Farm Credit Bank | |||||
0.947% 6/25/20● | 7,000,000 | $ | 6,999,909 | ||
0.951% 7/30/20● | 3,000,000 | 2,999,951 | |||
1.501% 6/1/20● | 1,000,000 | 999,849 | |||
Total Agency Obligations(cost $10,999,709) | 10,999,709 | ||||
Short-Term Investments – 80.97% | |||||
Discount Notes – 79.61%≠ | |||||
Federal Home Loan Bank | |||||
0.01% 4/13/20 | 5,900,000 | 5,899,980 | |||
0.01% 4/16/20 | 11,000,000 | 10,999,956 | |||
0.01% 4/22/20 | 2,750,000 | 2,749,984 | |||
0.01% 4/24/20 | 6,700,000 | 6,699,957 | |||
0.01% 4/29/20 | 575,000 | 574,996 | |||
0.014% 4/2/20 | 3,100,000 | 3,099,999 | |||
0.016% 4/3/20 | 21,200,000 | 21,199,981 | |||
0.02% 4/6/20 | 700,000 | 699,998 | |||
0.02% 5/4/20 | 1,500,000 | 1,499,973 | |||
0.022% 4/9/20 | 20,800,000 | 20,799,897 | |||
0.026% 5/6/20 | 500,000 | 499,987 | |||
0.03% 4/30/20 | 4,400,000 | 4,399,894 | |||
0.045% 5/1/20 | 5,460,000 | 5,459,797 | |||
0.113% 4/1/20 | 28,137,000 | 28,137,000 | |||
0.134% 4/15/20 | 14,625,000 | 14,624,239 | |||
0.433% 4/8/20 | 18,450,000 | 18,448,449 | |||
0.495% 4/17/20 | 12,800,000 | 12,797,183 | |||
158,591,270 | |||||
US Treasury Obligation – 1.36%≠ | |||||
US Treasury Bill 0.054% 5/7/20 | 2,700,000 | 2,699,854 | |||
2,699,854 | |||||
Total Short-Term Investments | |||||
(cost $161,291,124) | 161,291,124 | ||||
Total Value of Securities – 86.49% | |||||
(cost $172,290,833) | $ | 172,290,833 |
≠ | The rate shown is the effective yield at the time of purchase. |
° | Principal amount shown is stated in USD unless noted that the security is denominated in anothercurrency. |
● | Variable rate investment. Rates reset periodically. Rate shown reflects the rate in effect atMarch 31, 2020. For securities based on a published reference rate and spread, the reference rateand spread are indicated in their description above. The reference rate descriptions (i.e. LIBOR03M,LIBOR06M, etc.) used in this report are identical for different securities, but the underlying reference rates may differ due to the timing of the reset period. Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions, or for mortgage-backed securities, are impacted by the individual mortgages which are paying off over time. These securities do not indicate a reference rate and spread in their description above. |
71
Schedules of investments
Delaware Government Cash Management Fund
Summary of abbreviations:
ICE – Intercontinental Exchange
LIBOR – London interbank offered rate
LIBOR03M – ICE LIBOR USD 3 Month
LIBOR06M – ICE LIBOR USD 6 Month
USD – US Dollar
See accompanying notes, which are an integral part of the financial statements.
72
Schedules of investments
Delaware International Opportunities Bond Fund | March 31, 2020 (Unaudited) |
Principal amount° | Value (US $) | ||||||
Corporate Bonds – 8.52% | |||||||
Banking – 7.83% | |||||||
Development Bank of Japan 0.235% 10/13/27 | JPY | 200,000,000 | $ | 1,876,563 | |||
Kreditanstalt Fuer Wiederaufbau 0.00% 12/15/22 | EUR | 1,710,000 | 1,904,038 | ||||
3,780,601 | |||||||
Electric – 0.69% | |||||||
Israel Electric 144A 5.00% 11/12/24 # | 315,000 | 330,752 | |||||
330,752 | |||||||
Total Corporate Bonds(cost $3,884,937) | 4,111,353 | ||||||
Regional Bonds – 8.75%Δ | |||||||
Canada – 3.90% | |||||||
Province of Alberta Canada 2.20% 6/1/26 | CAD | 1,290,000 | 937,273 | ||||
Province of Quebec Canada 2.30% 9/1/29 | CAD | 1,280,000 | 945,543 | ||||
1,882,816 | |||||||
Japan – 4.85% | |||||||
Japan Finance Organization For Municipalities | |||||||
0.205% 5/28/27 | JPY | 250,000,000 | 2,339,228 | ||||
2,339,228 | |||||||
Total Regional Bonds(cost $4,305,394) | 4,222,044 | ||||||
Sovereign Bonds – 67.38%Δ | |||||||
Australia – 4.45% | |||||||
Australia Government Bonds | |||||||
1.75% 11/21/20 | AUD | 1,165,000 | 723,917 | ||||
2.25% 11/21/22 | AUD | 1,435,000 | 929,299 | ||||
2.75% 11/21/29 | AUD | 400,000 | 292,078 | ||||
3.00% 3/21/47 | AUD | 255,000 | 203,797 | ||||
2,149,091 | |||||||
Austria – 0.76% | |||||||
Republic of Austria Government Bond 144A | |||||||
1.50% 2/20/47 # | EUR | 265,000 | 366,057 | ||||
366,057 | |||||||
Belgium – 2.17% | |||||||
Kingdom of Belgium Government Bonds | |||||||
144A 1.45% 6/22/37 # | EUR | 480,000 | 613,132 | ||||
144A 4.25% 3/28/41 # | EUR | 230,000 | 433,812 | ||||
1,046,944 | |||||||
Canada – 1.70% | |||||||
Canadian Government Bonds 2.50% 6/1/24 | CAD | 615,000 | 471,386 | ||||
Canadian When Issued Government Bonds | |||||||
2.00% 6/1/29 | CAD | 300,000 | 242,027 |
73
Schedules of investments
Delaware International Opportunities Bond Fund
Principal amount° | Value (US $) | ||||||
Sovereign BondsΔ(continued) | |||||||
Canada(continued) | |||||||
Canadian When Issued Government Bonds | |||||||
2.75% 12/1/48 | CAD | 115,000 | $ | 109,386 | |||
822,799 | |||||||
Denmark – 0.79% | |||||||
Denmark Government Bond 0.50% 11/15/27 | DKK | 2,415,000 | 380,022 | ||||
380,022 | |||||||
Finland – 0.21% | |||||||
Finland Government Bond 144A 1.375% 4/15/47 # | EUR | 75,000 | 103,817 | ||||
103,817 | |||||||
France – 6.94% | |||||||
French Republic Government Bond OAT 144A | |||||||
1.25% 5/25/36 # | EUR | 2,675,000 | 3,347,569 | ||||
3,347,569 | |||||||
Germany – 5.06% | |||||||
Bundesrepublik Deutschland Bundesanleihe | |||||||
0.00% 8/15/29 | EUR | 540,000 | 623,730 | ||||
0.00% 8/15/50 | EUR | 765,000 | 837,775 | ||||
0.50% 2/15/25 | EUR | 840,000 | 980,575 | ||||
2,442,080 | |||||||
Ireland – 0.26% | |||||||
Ireland Government Bond 1.35% 3/18/31 | EUR | 100,000 | 124,142 | ||||
124,142 | |||||||
Italy – 7.35% | |||||||
Italy Buoni Poliennali Del Tesoro | |||||||
1.75% 7/1/24 | EUR | 965,000 | 1,105,655 | ||||
3.00% 8/1/29 | EUR | 1,155,000 | 1,445,552 | ||||
144A 3.85% 9/1/49 # | EUR | 695,000 | 996,111 | ||||
3,547,318 | |||||||
Japan – 11.83% | |||||||
Japan Finance 0.911% 7/19/23 | JPY | 210,000,000 | 2,010,049 | ||||
Japan Government Thirty Year Bond 0.40% 9/20/49 | JPY | 255,500,000 | 2,368,785 | ||||
Tokyo Metropolitan Government 0.475% 9/19/25 | JPY | 140,000,000 | 1,331,341 | ||||
5,710,175 | |||||||
Mexico – 2.53% | |||||||
Mexican Bonos | |||||||
8.00% 9/5/24 | MXN | 11,000,000 | 488,683 | ||||
8.00% 11/7/47 | MXN | 6,000,000 | 252,803 | ||||
8.50% 5/31/29 | MXN | 10,500,000 | 478,147 | ||||
1,219,633 |
74
Principal amount° | Value (US $) | ||||||
Sovereign BondsΔ (continued) | |||||||
Netherlands – 1.37% | |||||||
Netherlands Government Bonds | |||||||
144A 0.25% 7/15/29 # | EUR | 380,000 | $ | 439,925 | |||
144A 2.75% 1/15/47 # | EUR | 120,000 | 222,609 | ||||
662,534 | |||||||
New Zealand – 4.22% | |||||||
New Zealand Government Bonds | |||||||
3.00% 4/20/29 | NZD | 700,000 | 486,587 | ||||
6.00% 5/15/21 | NZD | 2,440,000 | 1,549,343 | ||||
2,035,930 | |||||||
Poland – 1.44% | |||||||
Republic of Poland Government Bond 2.25% 4/25/22 | PLN | 2,800,000 | 695,846 | ||||
695,846 | |||||||
Portugal – 0.49% | |||||||
Portugal Obrigacoes do Tesouro 144A 2.25% 4/18/34 # | EUR | 185,000 | 235,519 | ||||
235,519 | |||||||
Spain – 5.20% | |||||||
Spain Government Bonds | |||||||
144A 0.60% 10/31/29 # | EUR | 1,435,000 | 1,578,768 | ||||
144A 1.50% 4/30/27 # | EUR | 210,000 | 248,358 | ||||
144A 2.70% 10/31/48 # | EUR | 485,000 | 682,874 | ||||
2,510,000 | |||||||
United Kingdom – 10.61% | |||||||
United Kingdom Gilt | |||||||
0.50% 7/22/22 | GBP | 520,000 | 651,472 | ||||
0.875% 10/22/29 | GBP | 1,135,000 | 1,486,851 | ||||
1.00% 4/22/24 | GBP | 435,000 | 558,835 | ||||
1.75% 1/22/49 | GBP | 1,400,000 | 2,156,268 | ||||
3.75% 9/7/21 | GBP | 205,000 | 267,873 | ||||
5,121,299 | |||||||
Total Sovereign Bonds(cost $33,564,679) | 32,520,775 | ||||||
Supranational Banks – 6.73% | |||||||
European Investment Bank | |||||||
0.375% 5/15/26 | EUR | 1,960,000 | 2,235,726 | ||||
0.875% 1/30/25 | SEK | 2,000,000 | 206,893 | ||||
International Bank for Reconstruction and Development | |||||||
0.50% 6/21/35 | EUR | 700,000 | 804,427 | ||||
Total Supranational Banks(cost $3,284,167) | 3,247,046 |
75
Schedules of investments
Delaware International Opportunities Bond Fund
Principal amount° | Value (US $) | ||||
US Treasury Obligation – 1.89% | |||||
US Treasury Floating Rate Note | |||||
0.239% 1/31/22 ● | 910,000 | $ | 910,068 | ||
Total US Treasury Obligation(cost $910,208) | 910,068 | ||||
Number of shares | |||||
Short-Term Investment – 0.84% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 81,356 | 81,356 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 81,356 | 81,356 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 81,356 | 81,356 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 81,356 | 81,356 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 81,356 | 81,356 | |||
Total Short-Term Investments(cost $406,780) | 406,780 | ||||
Total Value of Securities – 94.11% | |||||
(cost $46,356,165) | $ | 45,418,066 |
# | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. At March 31, 2020, the aggregate value of Rule 144A securities was $9,599,303, which represents 19.89% of the Fund’s net assets. See Note 9 in “Notes to financial statements.” |
° | Principal amount shown is stated in USD unless noted that the security is denominated in another currency. |
Δ | Securities have been classified by country of origin. |
● | Variable rate investment. Rates reset periodically. Rate shown reflects the rate in effect at March 31, 2020. For securities based on a published reference rate and spread, the reference rate and spread are indicated in their description above. The reference rate descriptions (i.e. LIBOR03M, LIBOR06M, etc.) used in this report are identical for different securities, but the underlying reference rates may differ due to the timing of the reset period. Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions, or for mortgage-backed securities, are impacted by the individual mortgages which are paying off over time. These securities do not indicate a reference rate and spread in their description above. |
76
The following foreign currency exchange contracts and futures contracts were outstanding at March 31, 2020:1
Foreign Currency Exchange Contracts
Currency to | Settlement | Unrealized | Unrealized | ||||||||||||||||
Counterparty | Receive (Deliver) | In Exchange For | Date | Appreciation | Depreciation | ||||||||||||||
BNYM | EUR | (19,500 | ) | USD | 21,396 | 4/1/20 | $ | — | $ | (111 | ) | ||||||||
BNYM | JPY | 170,981 | USD | (1,583 | ) | 4/1/20 | 6 | — | |||||||||||
JPMCB | JPY | 697,900,000 | USD | (6,532,925 | ) | 6/12/20 | — | (21,788 | ) | ||||||||||
JPMCB | MXN | (10,700,000 | ) | USD | 543,394 | 6/12/20 | 97,257 | — | |||||||||||
TD | AUD | (2,402,134 | ) | USD | 1,476,159 | 4/1/20 | — | (1,400 | ) | ||||||||||
TD | AUD | (1,975,000 | ) | USD | 1,304,744 | 6/12/20 | 89,676 | — | |||||||||||
TD | CAD | (2,855,000 | ) | USD | 2,133,773 | 6/12/20 | 103,658 | — | |||||||||||
TD | EUR | 2,320,000 | USD | (2,604,292 | ) | 6/12/20 | — | (38,317 | ) | ||||||||||
TD | NZD | (3,130,000 | ) | USD | 1,968,425 | 6/12/20 | 101,807 | — | |||||||||||
Total Foreign Currency Exchange Contracts | $ | 392,404 | $ | (61,616 | ) |
Futures Contracts | |||||||||||||||||||||
Variation | |||||||||||||||||||||
Margin | |||||||||||||||||||||
Notional | Value/ | Value/ | Due from | ||||||||||||||||||
Notional | Cost | Expiration | Unrealized | Unrealized | (Due to) | ||||||||||||||||
Contracts to Buy (Sell) | Amount | (Proceeds) | Date | Appreciation | Depreciation | Brokers | |||||||||||||||
(65) Euro-BOBL | $ | (9,693,002 | ) | $ | (9,748,202 | ) | 6/8/20 | $ | 55,200 | $ | — | $ | 21,438 | ||||||||
5 JPN 10 yr Bond | 7,094,629 | 7,165,791 | 6/15/20 | — | (71,162 | ) | (1,817 | ) | |||||||||||||
27 US Treasury 2 yr | |||||||||||||||||||||
Notes | 5,950,336 | 5,896,890 | 6/30/20 | 53,446 | — | (844 | ) | ||||||||||||||
Total Futures | |||||||||||||||||||||
Contracts | $ | 3,314,479 | $ | 108,646 | $ | (71,162 | ) | $ | 18,777 |
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 foreign currency exchange contracts and notional amounts presented above represent the Fund’s total exposure in such contracts, whereas only the net unrealized appreciation (depreciation) and variation margin are reflected in the Fund’s net assets.
1See Note 6 in “Notes to financial statements.”
77
Schedules of investments
Delaware International Opportunities Bond Fund
Summary of abbreviations: |
AUD – Australian Dollar |
BNYM – The Bank of New York Mellon |
BOBL – Bundesobligationen |
CAD – Canadian Dollar |
DKK – Danish Krone |
EUR – Euro |
GBP – British Pound Sterling |
GS – Goldman Sachs |
JPMCB – JPMorgan Chase Bank |
JPY – Japanese Yen |
MXN – Mexican Peso |
NZD – New Zealand Dollar |
OAT – Obligations Assimilables du Tresor |
PLN – Polish Zloty |
SEK – Swedish Krona |
TD – TD Bank |
USD – US Dollar |
yr – Year |
See accompanying notes, which are an integral part of the financial statements.
78
Schedules of investments | |
Delaware Investment Grade Fund | March 31, 2020 (Unaudited |
Principal amount° | Value (US $) | ||||
Convertible Bond – 0.35% | |||||
Cheniere Energy 144A 4.875% exercise price $93.64, | |||||
expiration date 5/28/21 #❆ | 1,020,000 | $ | 989,414 | ||
Total Convertible Bond(cost $1,028,925) | 989,414 | ||||
Corporate Bonds – 96.46% | |||||
Banking – 24.09% | |||||
Banco Bilbao Vizcaya Argentaria 6.50% µψ | 1,600,000 | 1,241,112 | |||
Bank of America | |||||
2.114% (LIBOR03M + 0.32%) 7/26/21 ● | 695,000 | 680,405 | |||
2.496% 2/13/31 µ | 580,000 | 558,634 | |||
2.625% 10/19/20 | 825,000 | 826,363 | |||
4.083% 3/20/51 µ | 785,000 | 893,528 | |||
5.125% µψ | 1,215,000 | 1,155,094 | |||
Barclays 5.20% 5/12/26 | 2,748,000 | 2,828,940 | |||
BBVA USA | |||||
2.875% 6/29/22 | 1,095,000 | 1,068,751 | |||
3.875% 4/10/25 | 1,290,000 | 1,223,444 | |||
BNP Paribas 144A 4.50% #µψ | 1,510,000 | 1,163,644 | |||
Citigroup | |||||
4.044% 6/1/24 µ | 1,535,000 | 1,623,623 | |||
4.412% 3/31/31 µ | 1,480,000 | 1,631,734 | |||
4.70% µψ | 1,585,000 | 1,373,997 | |||
Citizens Financial Group 2.85% 7/27/26 | 3,215,000 | 3,142,929 | |||
Credit Agricole 144A 3.25% 1/14/30 # | 1,790,000 | 1,706,477 | |||
Credit Suisse Group | |||||
144A 2.593% 9/11/25 #µ | 3,475,000 | 3,307,401 | |||
144A 5.10% #µψ | 1,010,000 | 781,488 | |||
144A 6.375% #µψ | 1,195,000 | 1,049,849 | |||
Deutsche Bank 6.00% µψ | 400,000 | 268,800 | |||
Fifth Third Bancorp 2.375% 1/28/25 | 825,000 | 805,136 | |||
Fifth Third Bank 3.85% 3/15/26 | 2,325,000 | 2,455,287 | |||
Goldman Sachs Group | |||||
2.60% 2/7/30 | 2,115,000 | 1,994,844 | |||
3.50% 4/1/25 | 405,000 | 411,425 | |||
4.95% µψ | 1,510,000 | 1,344,949 | |||
JPMorgan Chase & Co. | |||||
4.023% 12/5/24 µ | 2,535,000 | 2,689,922 | |||
5.00% µψ | 1,855,000 | 1,740,352 | |||
KeyBank 3.40% 5/20/26 | 3,420,000 | 3,571,260 | |||
Lloyds Banking Group 2.438% 2/5/26 µ | 940,000 | 889,577 | |||
Morgan Stanley | |||||
2.954% (LIBOR03M + 1.22%) 5/8/24 ● | 1,135,000 | 1,088,886 |
79
Schedules of investments
Delaware Investment Grade Fund
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Banking(continued) | ||||||
Morgan Stanley | ||||||
3.622% 4/1/31 µ | 700,000 | $ | 730,045 | |||
5.00% 11/24/25 | 1,715,000 | 1,899,038 | ||||
PNC Bank 4.05% 7/26/28 | 1,010,000 | 1,098,676 | ||||
PNC Financial Services Group 2.60% 7/23/26 | 1,570,000 | 1,589,291 | ||||
Regions Financial 3.80% 8/14/23 | 1,095,000 | 1,110,625 | ||||
Royal Bank of Scotland Group | ||||||
3.754% 11/1/29 µ | 705,000 | 652,847 | ||||
8.625% µψ | 1,180,000 | 1,156,784 | ||||
Santander UK 144A 5.00% 11/7/23 # | 345,000 | 348,171 | ||||
State Street 144A 2.901% 3/30/26 #µ | 430,000 | 440,544 | ||||
Truist Bank | ||||||
2.25% 3/11/30 | 1,080,000 | 991,553 | ||||
2.636% 9/17/29 µ | 4,010,000 | 3,846,151 | ||||
UBS 7.625% 8/17/22 | 1,125,000 | 1,159,301 | ||||
UBS Group | ||||||
144A 3.126% 8/13/30 #µ | 890,000 | 870,075 | ||||
6.875% µψ | 1,335,000 | 1,308,300 | ||||
US Bancorp 3.00% 7/30/29 | 4,385,000 | 4,384,040 | ||||
Wells Fargo & Co. 4.478% 4/4/31 µ | 945,000 | 1,072,900 | ||||
Wells Fargo Bank 2.60% 1/15/21 | 1,380,000 | 1,386,720 | ||||
67,562,912 | ||||||
Basic Industry – 3.39% | ||||||
BHP Billiton Finance USA 144A 6.25% 10/19/75 #µ | 3,090,000 | 3,037,764 | ||||
Chevron Phillips Chemical 144A 5.125% 4/1/25 # | 445,000 | 458,663 | ||||
Methanex 5.25% 12/15/29 | 1,070,000 | 806,213 | ||||
Newmont | ||||||
2.25% 10/1/30 | 570,000 | 528,558 | ||||
2.80% 10/1/29 | 2,750,000 | 2,636,454 | ||||
Steel Dynamics 2.80% 12/15/24 | 510,000 | 476,100 | ||||
Teck Resources 6.25% 7/15/41 | 1,815,000 | 1,576,337 | ||||
9,520,089 | ||||||
Brokerage – 0.35% | ||||||
Jefferies Group | ||||||
4.15% 1/23/30 | 580,000 | 556,605 | ||||
6.50% 1/20/43 | 515,000 | 428,870 | ||||
985,475 | ||||||
Capital Goods – 5.02% | ||||||
Carrier Global | ||||||
144A 2.242% 2/15/25 # | 540,000 | 529,161 | ||||
144A 2.493% 2/15/27 # | 625,000 | 599,467 | ||||
144A 2.722% 2/15/30 # | 555,000 | 513,920 |
80
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Capital Goods(continued) | ||||||
General Dynamics | ||||||
3.25% 4/1/25 | 135,000 | $ | 142,317 | |||
4.25% 4/1/40 | 1,120,000 | 1,338,681 | ||||
4.25% 4/1/50 | 645,000 | 803,134 | ||||
L3Harris Technologies 144A 3.85% 6/15/23 # | 550,000 | 572,932 | ||||
Otis Worldwide | ||||||
144A 2.056% 4/5/25 # | 700,000 | 686,692 | ||||
144A 2.565% 2/15/30 # | 1,175,000 | 1,145,422 | ||||
144A 3.112% 2/15/40 # | 720,000 | 689,993 | ||||
144A 3.362% 2/15/50 # | 430,000 | 424,019 | ||||
Roper Technologies 2.35% 9/15/24 | 2,575,000 | 2,508,195 | ||||
United Technologies 3.65% 8/16/23 | 283,000 | 298,108 | ||||
Waste Connections | ||||||
2.60% 2/1/30 | 1,345,000 | 1,261,895 | ||||
3.05% 4/1/50 | 1,090,000 | 985,845 | ||||
Waste Management 2.95% 6/15/24 | 1,535,000 | 1,563,811 | ||||
14,063,592 | ||||||
Communications – 14.78% | ||||||
AMC Networks 4.75% 8/1/25 | 875,000 | 856,411 | ||||
American Tower 3.375% 5/15/24 | 2,435,000 | 2,450,791 | ||||
AT&T | ||||||
4.35% 3/1/29 | 1,690,000 | 1,821,092 | ||||
4.50% 3/9/48 | 1,520,000 | 1,657,628 | ||||
4.90% 8/15/37 | 795,000 | 895,392 | ||||
Charter Communications Operating 4.908% 7/23/25 | 1,295,000 | 1,397,587 | ||||
Comcast | ||||||
3.20% 7/15/36 | 2,280,000 | 2,415,989 | ||||
3.75% 4/1/40 | 305,000 | 337,797 | ||||
Crown Castle International 5.25% 1/15/23 | 1,635,000 | 1,736,272 | ||||
CSC Holdings 144A 5.375% 2/1/28 # | 422,000 | 433,380 | ||||
Deutsche Telekom 144A 3.625% 1/21/50 # | 1,345,000 | 1,344,678 | ||||
Discovery Communications | ||||||
4.125% 5/15/29 | 1,750,000 | 1,699,886 | ||||
5.00% 9/20/37 | 1,390,000 | 1,381,137 | ||||
5.20% 9/20/47 | 30,000 | 30,796 | ||||
Fox 144A 4.03% 1/25/24 # | 2,260,000 | 2,352,502 | ||||
Interpublic Group of Cos 4.75% 3/30/30 | 1,165,000 | 1,160,277 | ||||
Telefonica Emisiones 5.52% 3/1/49 | 2,080,000 | 2,450,176 | ||||
Time Warner Cable 7.30% 7/1/38 | 1,825,000 | 2,247,867 | ||||
Time Warner Entertainment 8.375% 3/15/23 | 1,650,000 | 1,813,683 | ||||
T-Mobile USA Escrow =† | 275,000 | 0 |
81
Schedules of investments
Delaware Investment Grade Fund
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Communications(continued) | ||||||
Verizon Communications | ||||||
3.15% 3/22/30 | 370,000 | $ | 398,727 | |||
4.00% 3/22/50 | 255,000 | 304,026 | ||||
4.50% 8/10/33 | 4,290,000 | 5,174,880 | ||||
ViacomCBS | ||||||
4.375% 3/15/43 | 2,815,000 | 2,509,608 | ||||
4.95% 1/15/31 | 605,000 | 600,115 | ||||
Virgin Media Secured Finance 144A 5.50% 5/15/29 # | 823,000 | 827,568 | ||||
Vodafone Group | ||||||
4.25% 9/17/50 | 695,000 | 716,940 | ||||
4.875% 6/19/49 | 2,185,000 | 2,443,411 | ||||
41,458,616 | ||||||
Consumer Cyclical – 2.63% | ||||||
Dollar Tree 4.00% 5/15/25 | 1,450,000 | 1,487,940 | ||||
Ford Motor Credit 3.087% 1/9/23 | 1,050,000 | 950,250 | ||||
General Motors 6.25% 10/2/43 | 734,000 | 585,131 | ||||
General Motors Financial 5.25% 3/1/26 | 705,000 | 623,492 | ||||
Home Depot | ||||||
2.70% 4/15/30 | 585,000 | 596,961 | ||||
3.35% 4/15/50 | 510,000 | 556,150 | ||||
Lowe’s 5.125% 4/15/50 | 660,000 | 798,272 | ||||
Mastercard | ||||||
3.30% 3/26/27 | 370,000 | 402,679 | ||||
3.85% 3/26/50 | 185,000 | 226,872 | ||||
TJX | ||||||
3.875% 4/15/30 | 715,000 | 741,350 | ||||
4.50% 4/15/50 | 385,000 | 414,366 | ||||
7,383,463 | ||||||
Consumer Non-Cyclical – 9.01% | ||||||
AbbVie | ||||||
144A 2.60% 11/21/24 # | 945,000 | 961,991 | ||||
144A 2.95% 11/21/26 # | 2,070,000 | 2,113,990 | ||||
144A 4.05% 11/21/39 # | 1,180,000 | 1,243,313 | ||||
Amgen 3.15% 2/21/40 | 605,000 | 602,929 | ||||
Anheuser-Busch InBev Worldwide | ||||||
3.65% 2/1/26 | 1,900,000 | 2,000,013 | ||||
4.15% 1/23/25 | 2,615,000 | 2,825,609 | ||||
Bristol-Myers Squibb 144A 2.90% 7/26/24 # | 3,910,000 | 4,152,042 | ||||
Cigna | ||||||
2.40% 3/15/30 | 555,000 | 528,447 | ||||
3.20% 3/15/40 | 530,000 | 490,668 |
82
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Consumer Non-Cyclical(continued) | ||||||
CVS Health | ||||||
3.25% 8/15/29 | 725,000 | $ | 710,374 | |||
3.75% 4/1/30 | 585,000 | 606,527 | ||||
4.78% 3/25/38 | 1,875,000 | 2,066,719 | ||||
DH Europe Finance II | ||||||
3.25% 11/15/39 | 982,000 | 962,434 | ||||
3.40% 11/15/49 | 43,000 | 42,478 | ||||
General Mills 2.875% 4/15/30 | 765,000 | 763,470 | ||||
Gilead Sciences 4.15% 3/1/47 | 2,195,000 | 2,696,832 | ||||
Perrigo Finance Unlimited 4.375% 3/15/26 | 1,600,000 | 1,656,859 | ||||
Zimmer Biomet Holdings 3.55% 3/20/30 | 855,000 | 856,367 | ||||
25,281,062 | ||||||
Electric – 12.03% | ||||||
AEP Texas 3.45% 1/15/50 | 640,000 | 578,593 | ||||
AES 4.50% 3/15/23 | 685,000 | 675,585 | ||||
Berkshire Hathaway Energy 144A 4.25% 10/15/50 # | 550,000 | 630,197 | ||||
CenterPoint Energy 2.95% 3/1/30 | 1,735,000 | 1,651,894 | ||||
Consumers Energy 3.50% 8/1/51 | 650,000 | 701,242 | ||||
Dominion Energy 4.65% µψ | 1,960,000 | 1,762,638 | ||||
Duke Energy 4.875% µψ | 1,495,000 | 1,256,839 | ||||
Duke Energy Indiana 2.75% 4/1/50 | 910,000 | 840,327 | ||||
Edison International | ||||||
3.125% 11/15/22 | 985,000 | 969,239 | ||||
4.95% 4/15/25 | 650,000 | 648,499 | ||||
Emera 6.75% 6/15/76 µ | 1,390,000 | 1,288,176 | ||||
Entergy Arkansas 4.20% 4/1/49 | 1,940,000 | 2,212,410 | ||||
Entergy Louisiana 2.90% 3/15/51 | 815,000 | 721,563 | ||||
Entergy Mississippi 3.85% 6/1/49 | 280,000 | 286,814 | ||||
Entergy Texas 3.55% 9/30/49 | 665,000 | 683,659 | ||||
Exelon 4.05% 4/15/30 | 950,000 | 942,784 | ||||
FirstEnergy Transmission 144A 4.55% 4/1/49 # | 1,445,000 | 1,450,024 | ||||
Idaho Power 4.20% 3/1/48 | 595,000 | 693,169 | ||||
Interstate Power & Light 4.10% 9/26/28 | 1,145,000 | 1,285,295 | ||||
Louisville Gas & Electric 4.25% 4/1/49 | 1,985,000 | 2,268,039 | ||||
National Rural Utilities Cooperative Finance 5.25% | ||||||
4/20/46 µ | 620,000 | 591,645 | ||||
Nevada Power 3.125% 8/1/50 | 1,220,000 | 1,136,707 | ||||
NRG Energy | ||||||
144A 3.75% 6/15/24 # | 650,000 | 645,273 | ||||
144A 4.45% 6/15/29 # | 1,040,000 | 1,059,650 | ||||
San Diego Gas & Electric 3.32% 4/15/50 | 595,000 | 594,209 |
83
Schedules of investments
Delaware Investment Grade Fund
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Electric(continued) | ||||||
Southern California Edison | ||||||
3.65% 2/1/50 | 1,035,000 | $ | 1,010,086 | |||
4.875% 3/1/49 | 1,160,000 | 1,345,862 | ||||
Southwestern Electric Power 4.10% 9/15/28 | 1,780,000 | 1,913,226 | ||||
Vistra Operations | ||||||
144A 3.55% 7/15/24 # | 1,660,000 | 1,565,463 | ||||
144A 3.70% 1/30/27 # | 695,000 | 621,143 | ||||
144A 4.30% 7/15/29 # | 290,000 | 258,438 | ||||
Xcel Energy | ||||||
2.60% 12/1/29 | 410,000 | 389,698 | ||||
3.40% 6/1/30 | 470,000 | 477,379 | ||||
3.50% 12/1/49 | 645,000 | 575,905 | ||||
33,731,670 | ||||||
Energy – 7.58% | ||||||
BP Capital Markets America 3.796% 9/21/25 | 1,450,000 | 1,492,807 | ||||
Cheniere Corpus Christi Holdings 7.00% 6/30/24 | 1,545,000 | 1,359,613 | ||||
Continental Resources 5.00% 9/15/22 | 1,629,000 | 1,011,396 | ||||
Energy Transfer Operating | ||||||
6.25% 4/15/49 | 1,565,000 | 1,329,288 | ||||
7.125% µψ | 1,630,000 | 983,020 | ||||
Husky Energy 4.40% 4/15/29 | 1,133,000 | 805,290 | ||||
Magellan Midstream Partners 5.00% 3/1/26 | 2,395,000 | 2,372,883 | ||||
Marathon Oil 4.40% 7/15/27 | 1,475,000 | 986,737 | ||||
MPLX | ||||||
4.125% 3/1/27 | 3,340,000 | 2,854,896 | ||||
5.50% 2/15/49 | 745,000 | 631,454 | ||||
Noble Energy 4.20% 10/15/49 | 1,565,000 | 852,506 | ||||
NuStar Logistics 5.625% 4/28/27 | 859,000 | 665,167 | ||||
Occidental Petroleum 2.90% 8/15/24 | 1,125,000 | 614,257 | ||||
ONEOK 7.50% 9/1/23 | 1,640,000 | 1,635,118 | ||||
Sabine Pass Liquefaction 5.75% 5/15/24 | 1,815,000 | 1,706,504 | ||||
Targa Resources Partners 5.875% 4/15/26 | 854,000 | 715,756 | ||||
Transcanada Trust 5.50% 9/15/79 µ | 1,610,000 | 1,234,459 | ||||
21,251,151 | ||||||
Finance Companies – 2.19% | ||||||
AerCap Ireland Capital 3.65% 7/21/27 | 500,000 | 388,324 | ||||
Air Lease 3.00% 2/1/30 | 1,545,000 | 1,123,801 | ||||
Aviation Capital Group 144A 3.50% 11/1/27 # | 2,700,000 | 2,064,736 | ||||
Avolon Holdings Funding | ||||||
144A 3.25% 2/15/27 # | 435,000 | 342,917 |
84
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Finance Companies(continued) | |||||
Avolon Holdings Funding | |||||
144A 3.95% 7/1/24 # | 1,075,000 | $ | 901,390 | ||
144A 5.25% 5/15/24 # | 1,555,000 | 1,327,851 | |||
6,149,019 | |||||
Insurance – 3.07% | |||||
Berkshire Hathaway Finance 1.85% 3/12/30 | 2,350,000 | 2,293,493 | |||
Brighthouse Financial 4.70% 6/22/47 | 2,765,000 | 2,229,442 | |||
Centene | |||||
144A 3.375% 2/15/30 # | 915,000 | 854,381 | |||
144A 4.625% 12/15/29 # | 640,000 | 646,752 | |||
Reinsurance Group of America 3.90% 5/15/29 | 2,635,000 | 2,578,574 | |||
8,602,642 | |||||
Real Estate Investment Trusts – 1.62% | |||||
Alexandria Real Estate Equities 4.90% 12/15/30 | 265,000 | 289,079 | |||
CubeSmart 3.00% 2/15/30 | 2,790,000 | 2,607,202 | |||
UDR 3.00% 8/15/31 | 1,730,000 | 1,659,185 | |||
4,555,466 | |||||
Technology – 9.32% | |||||
Amphenol 2.05% 3/1/25 | 3,205,000 | 3,041,410 | |||
Citrix Systems 3.30% 3/1/30 | 1,335,000 | 1,249,653 | |||
Fiserv 3.20% 7/1/26 | 1,825,000 | 1,882,568 | |||
Global Payments 2.65% 2/15/25 | 3,005,000 | 2,984,693 | |||
International Business Machines 3.00% 5/15/24 | 2,905,000 | 3,043,472 | |||
KLA 3.30% 3/1/50 | 2,980,000 | 2,879,881 | |||
Microchip Technology | |||||
3.922% 6/1/21 | 435,000 | 424,157 | |||
4.333% 6/1/23 | 3,110,000 | 3,104,341 | |||
NVIDIA 2.85% 4/1/30 | 1,039,000 | 1,081,253 | |||
NXP | |||||
144A 4.125% 6/1/21 # | 630,000 | 636,117 | |||
144A 4.30% 6/18/29 # | 1,105,000 | 1,137,632 | |||
144A 4.875% 3/1/24 # | 2,585,000 | 2,764,788 | |||
Oracle 2.95% 4/1/30 | 1,020,000 | 1,028,286 | |||
SS&C Technologies 144A 5.50% 9/30/27 # | 836,000 | 866,828 | |||
26,125,079 | |||||
Transportation – 0.95% | |||||
Union Pacific | |||||
2.40% 2/5/30 | 1,100,000 | 1,077,508 | |||
3.25% 2/5/50 | 1,610,000 | 1,586,698 | |||
2,664,206 | |||||
Utilities – 0.43% | |||||
American Water Capital 3.45% 6/1/29 | 30,000 | 32,087 |
85
Schedules of investments
Delaware Investment Grade Fund
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Utilities(continued) | |||||
Essential Utilities 4.276% 5/1/49 | 1,075,000 | $ | 1,166,717 | ||
1,198,804 | |||||
Total Corporate Bonds(cost $288,378,355) | 270,533,246 | ||||
Loan Agreements – 0.27% | |||||
Zayo Group Holdings 3.989% (LIBOR01M + 3.00%) | |||||
3/9/27● | 815,000 | 764,063 | |||
Total Loan Agreements(cost $812,976) | 764,063 | ||||
Number of shares | |||||
Preferred Stock – 0.60% | |||||
Morgan Stanley 5.55% µ | 1,905,000 | 1,675,962 | |||
Total Preferred Stock(cost $1,933,575) | 1,675,962 | ||||
Short-Term Investments – 2.27% | |||||
Money Market Mutual Funds – 2.27% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 1,272,810 | 1,272,810 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 1,272,809 | 1,272,809 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 1,272,809 | 1,272,809 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 1,272,809 | 1,272,809 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 1,272,809 | 1,272,809 | |||
Total Short-Term Investments(cost $6,364,046) | 6,364,046 | ||||
Total Value of Securities – 99.95% | |||||
(cost $298,517,877) | $ | 280,326,731 |
# | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended.At March 31, 2020, the aggregate value of Rule 144A securities was $50,518,140, which represents 18.01% of the Fund’s net assets. See Note 9 in “Notes to financial statements.” |
❄ | PIK. 100% of the income received was in the form of cash. |
= | The value of this security was determined using significant unobservable inputs and is reported as a Level 3 security in the disclosure table located in Note 3 in “Notes to financial statements.” |
° | Principal amount shown is stated in USD unless noted that the security is denominated in another currency. |
86
µ | Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at March 31, 2020.Rate will reset at a future date. |
Ψ | No contractual maturity date. |
† | Non-income producing security. |
● | Variable rate investment. Rates reset periodically. Rate shown reflects the rate in effect at March 31, 2020. For securities based on a published reference rate and spread, the reference rate and spread are indicated in their description above. The reference rate descriptions (i.e. LIBOR03M, LIBOR06M, etc.) used in this report are identical for different securities, but the underlying reference rates may differ due to the timing of the reset period. Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions, or for mortgage-backed securities, are impacted by the individual mortgages which are paying off over time. These securities do not indicate a reference rate and spread in their description above. |
The following futures contracts were outstanding at March 31, 2020:1
Futures Contracts
Variation | |||||||||||||||||
Margin | |||||||||||||||||
Notional | Value/ | Due from | |||||||||||||||
Notional | Cost | Expiration | Unrealized | (Due to) | |||||||||||||
Contracts to Buy (Sell) | Amount | (Proceeds) | Date | Appreciation | Brokers | ||||||||||||
US Treasury 10 | |||||||||||||||||
105 | yr Notes | $ | 14,562,188 | $ | 13,918,502 | 6/19/20 | $ | 643,686 | $ | (14,766 | ) |
The use of futures contracts involves elements of market risk and risks in excess of the amounts disclosed in the financial statements. The notional amount presented above represents the Fund’s total exposure in such contracts, whereas only the variation margin is reflected in the Fund’s net assets.1See Note 6 in “Notes to financial statements.”
Summary of abbreviations:
GS – Goldman Sachs
ICE – Intercontinental Exchange
LIBOR – London interbank offered rate
LIBOR01M – ICE LIBOR USD 1 Month
LIBOR03M – ICE LIBOR USD 3 Month
LIBOR06M – ICE LIBOR USD 6 Month
PIK – Pay-in-Kind
USD – US Dollar
yr – Year
See accompanying notes, which are an integral part of the financial statements.
87
Schedules of investments | |
Delaware Limited Duration Bond Fund | March 31, 2020 (Unaudited) |
Principal amount° | Value (US $) | ||||
Agency Commercial Mortgage-Backed Security – 1.66% | |||||
Freddie Mac Multifamily Structured Pass Through | |||||
Certificates | |||||
Series K734 A1 3.139% 6/25/25◆ | 2,958,694 | $ | 3,183,217 | ||
Total Agency Commercial Mortgage-Backed Security(cost $3,017,865) | 3,183,217 | ||||
Agency Mortgage-Backed Securities – 17.40% | |||||
Fannie Mae S.F. 30 yr | |||||
4.50% 1/1/43 | 2,195,754 | 2,403,466 | |||
4.50% 2/1/44 | 1,691,455 | 1,874,300 | |||
4.50% 4/1/44 | 1,970,735 | 2,183,783 | |||
4.50% 11/1/44 | 2,115,677 | 2,335,854 | |||
4.50% 10/1/45 | 4,881,212 | 5,342,477 | |||
5.00% 5/1/48 | 3,361,495 | 3,639,201 | |||
5.50% 5/1/44 | 1,824,004 | 2,064,026 | |||
Freddie Mac S.F. 30 yr | |||||
4.00% 9/1/49 | 3,376,855 | 3,673,569 | |||
4.50% 7/1/45 | 413,252 | 452,754 | |||
4.50% 4/1/49 | 969,666 | 1,042,872 | |||
5.00% 7/1/45 | 4,828,588 | 5,355,344 | |||
5.00% 8/1/48 | 2,805,923 | 3,031,930 | |||
Total Agency Mortgage-Backed Securities(cost $33,169,628) | 33,399,576 | ||||
Corporate Bonds – 33.37% | |||||
Banking – 15.95% | |||||
Banco Santander 3.50% 4/11/22 | 1,200,000 | 1,187,869 | |||
Bank of America | |||||
3.458% 3/15/25 µ | 1,500,000 | 1,549,328 | |||
5.625% 7/1/20 | 520,000 | 523,290 | |||
Citizens Financial Group 2.85% 7/27/26 | 920,000 | 899,376 | |||
DNB Boligkreditt 144A 2.50% 3/28/22 # | 4,500,000 | 4,658,850 | |||
Goldman Sachs Group | |||||
3.50% 4/1/25 | 135,000 | 137,142 | |||
5.75% 1/24/22 | 4,000,000 | 4,247,386 | |||
Huntington National Bank | |||||
2.50% 8/7/22 | 285,000 | 286,068 | |||
3.125% 4/1/22 | 910,000 | 922,730 | |||
JPMorgan Chase & Co. | |||||
4.023% 12/5/24 µ | 3,410,000 | 3,618,396 | |||
4.60%µψ | 335,000 | 293,611 | |||
KeyBank | |||||
2.40% 6/9/22 | 250,000 | 250,984 | |||
3.18% 5/22/22 | 655,000 | 657,480 |
88
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Banking(continued) | |||||
Morgan Stanley | |||||
2.75% 5/19/22 | 120,000 | $ | 121,372 | ||
2.954% (LIBOR03M + 1.22%) 5/8/24● | 1,290,000 | 1,237,588 | |||
3.622% 4/1/31 µ | 230,000 | 239,872 | |||
3.737% 4/24/24 µ | 350,000 | 360,886 | |||
PNC Bank | |||||
1.206% (LIBOR03M + 0.31%) 6/10/21● | 3,120,000 | 3,067,879 | |||
2.70% 11/1/22 | 455,000 | 461,350 | |||
Regions Financial | |||||
2.75% 8/14/22 | 300,000 | 297,017 | |||
3.80% 8/14/23 | 235,000 | 238,353 | |||
Truist Bank 2.636% 9/17/29 µ | 1,015,000 | 973,527 | |||
Truist Financial 2.70% 1/27/22 | 1,650,000 | 1,660,271 | |||
UBS Group | |||||
144A 2.65% 2/1/22 # | 580,000 | 579,595 | |||
144A 3.00% 4/15/21 # | 1,605,000 | 1,608,587 | |||
US Bank | |||||
2.05% 10/23/20 | 265,000 | 264,807 | |||
3.40% 7/24/23 | 250,000 | 263,453 | |||
30,607,067 | |||||
Basic Industry – 1.36% | |||||
Georgia-Pacific 144A 5.40% 11/1/20 # | 2,587,000 | 2,611,979 | |||
2,611,979 | |||||
Capital Goods – 1.47% | |||||
Carrier Global 144A 2.242% 2/15/25 # | 170,000 | 166,588 | |||
L3Harris Technologies 144A 3.85% 6/15/23 # | 225,000 | 234,381 | |||
Otis Worldwide 144A 2.056% 4/5/25 # | 425,000 | 416,920 | |||
Roper Technologies 2.35% 9/15/24 | 2,050,000 | 1,996,815 | |||
2,814,704 | |||||
Communications – 2.58% | |||||
AT&T 1.964% (LIBOR03M + 1.18%) 6/12/24● | 1,365,000 | 1,268,501 | |||
Crown Castle International 5.25% 1/15/23 | 435,000 | 461,944 | |||
Fox 144A 4.03% 1/25/24 # | 2,985,000 | 3,107,176 | |||
T-Mobile USA Escrow=† | 50,000 | 0 | |||
Verizon Communications 3.15% 3/22/30 | 115,000 | 123,929 | |||
4,961,550 | |||||
Consumer Cyclical – 1.23% | |||||
Ford Motor Credit | |||||
3.087% 1/9/23 | 335,000 | 303,175 | |||
3.336% 3/18/21 | 525,000 | 504,000 |
89
Schedules of investments
Delaware Limited Duration Bond Fund
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Consumer Cyclical(continued) | |||||
General Motors Financial | |||||
3.45% 4/10/22 | 960,000 | $ | 887,333 | ||
4.15% 6/19/23 | 575,000 | 523,667 | |||
Mastercard 3.30% 3/26/27 | 125,000 | 136,040 | |||
2,354,215 | |||||
Consumer Non-Cyclical – 2.37% | |||||
AbbVie 144A 2.60% 11/21/24 # | 710,000 | 722,766 | |||
Amgen 2.20% 2/21/27 | 560,000 | 559,783 | |||
Anheuser-Busch InBev Worldwide 4.15% 1/23/25 | 2,435,000 | 2,631,112 | |||
CVS Health 3.35% 3/9/21 | 635,000 | 639,589 | |||
4,553,250 | |||||
Electric – 3.45% | |||||
Cleveland Electric Illuminating 5.50% 8/15/24 | 1,150,000 | 1,341,652 | |||
Duke Energy 4.875%µψ | 460,000 | 386,720 | |||
Entergy 4.00% 7/15/22 | 845,000 | 868,055 | |||
Entergy Louisiana 4.05% 9/1/23 | 905,000 | 926,295 | |||
ITC Holdings 2.70% 11/15/22 | 1,755,000 | 1,745,037 | |||
NRG Energy 144A 3.75% 6/15/24 # | 690,000 | 684,982 | |||
Vistra Operations 144A 3.55% 7/15/24 # | 705,000 | 664,850 | |||
6,617,591 | |||||
Energy – 1.79% | |||||
Continental Resources 3.80% 6/1/24 | 505,000 | 255,663 | |||
Marathon Oil 2.80% 11/1/22 | 545,000 | 417,685 | |||
ONEOK 7.50% 9/1/23 | 1,330,000 | 1,326,041 | |||
Sabine Pass Liquefaction 5.75% 5/15/24 | 585,000 | 550,030 | |||
Schlumberger Holdings 144A 3.75% 5/1/24 # | 930,000 | 881,799 | |||
3,431,218 | |||||
Finance Companies – 2.10% | |||||
Aviation Capital Group 144A 2.875% 1/20/22 # | 485,000 | 438,680 | |||
Avolon Holdings Funding 144A 3.95% 7/1/24 # | 3,285,000 | 2,754,481 | |||
International Lease Finance 8.625% 1/15/22 | 870,000 | 844,457 | |||
4,037,618 | |||||
Insurance – 0.24% | |||||
Equitable Holdings 3.90% 4/20/23 | 465,000 | 463,930 | |||
463,930 | |||||
Technology – 0.83% | |||||
Global Payments 2.65% 2/15/25 | 430,000 | 427,094 | |||
International Business Machines 3.00% 5/15/24 | 390,000 | 408,590 |
90
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Technology(continued) | |||||
Microchip Technology | |||||
3.922% 6/1/21 | 145,000 | $ | 141,386 | ||
4.333% 6/1/23 | 615,000 | 613,881 | |||
1,590,951 | |||||
Total Corporate Bonds(cost $66,369,060) | 64,044,073 | ||||
Non-Agency Asset-Backed Securities – 25.49% | |||||
American Express Credit Account Master Trust | |||||
Series 2019-4 A 0.945% (LIBOR01M + 0.24%) | |||||
4/15/24● | 2,000,000 | 1,977,642 | |||
Americredit Automobile Receivables Trust | |||||
Series 2019-1 B 3.13% 2/18/25 | 1,200,000 | 1,202,314 | |||
ARI Fleet Lease Trust | |||||
Series 2019-A A2B 144A 1.185% (LIBOR01M + 0.48%) | |||||
11/15/27 #● | 4,890,000 | 4,786,681 | |||
BMW Vehicle Lease Trust | |||||
Series 2018-1 A3 3.26% 7/20/21 | 900,000 | 900,890 | |||
CarMax Auto Owner Trust | |||||
Series 2018-2 B 3.37% 10/16/23 | 1,850,000 | 1,873,695 | |||
Series 2019-2 A3 2.68% 3/15/24 | 2,000,000 | 2,021,469 | |||
Citibank Credit Card Issuance Trust | |||||
Series 2018-A1 A1 2.49% 1/20/23 | 6,030,000 | 6,074,020 | |||
Ford Credit Floorplan Master Owner Trust A | |||||
Series 2017-1 A2 1.125% (LIBOR01M + 0.42%) | |||||
5/15/22● | 2,000,000 | 1,994,020 | |||
GM Financial Automobile Leasing Trust | |||||
Series 2018-2 B 3.31% 4/20/22 | 1,400,000 | 1,402,968 | |||
Series 2018-3 A3 3.18% 6/21/21 | 2,500,043 | 2,503,755 | |||
Hertz Vehicle Financing II | |||||
Series 2017-1A A 144A 2.96% 10/25/21 # | 1,500,000 | 1,475,718 | |||
Hyundai Auto Receivables Trust | |||||
Series 2019-B A2 1.93% 7/15/22 | 1,000,000 | 997,549 | |||
John Deere Owner Trust | |||||
Series 2019-A A3 2.91% 7/17/23 | 8,000,000 | 8,142,292 | |||
Kubota Credit Owner Trust | |||||
Series 2018-1A A3 144A 3.10% 8/15/22 # | 3,600,000 | 3,608,918 | |||
Mercedes-Benz Auto Lease Trust | |||||
Series 2019-B A2 2.01% 12/15/21 | 2,000,000 | 1,997,996 | |||
Nissan Auto Receivables Owner Trust | |||||
Series 2019-B A3 2.50% 11/15/23 | 3,000,000 | 3,042,826 | |||
Tesla Auto Lease Trust | |||||
Series 2018-B A 144A 3.71% 8/20/21 # | 3,766,561 | 3,783,545 |
91
Schedules of investments
Delaware Limited Duration Bond Fund
Principal amount° | Value (US $) | ||||
Non-Agency Asset-Backed Securities(continued) | |||||
Verizon Owner Trust | |||||
Series 2017-2A A 144A 1.92% 12/20/21 # | 1,135,538 | $ | 1,131,650 | ||
Total Non-Agency Asset-Backed Securities | |||||
(cost $48,784,474) | 48,917,948 | ||||
US Treasury Obligations – 12.37% | |||||
US Treasury Bond | |||||
2.00% 2/15/50 | 30,000 | 34,860 | |||
US Treasury Notes | |||||
0.50% 3/31/25 | 5,100,000 | 5,132,772 | |||
1.125% 2/28/25 | 4,050,000 | 4,201,875 | |||
1.375% 1/31/25 | 3,965,000 | 4,154,886 | |||
1.50% 2/15/30 | 1,870,000 | 2,016,203 | |||
1.625% 12/31/21 | 2,770,000 | 2,838,006 | |||
1.75% 12/31/24 | 2,805,000 | 2,987,435 | |||
1.75% 11/15/29 | 2,160,000 | 2,374,819 | |||
Total US Treasury Obligations(cost $23,269,340) | 23,740,856 | ||||
Number of shares | |||||
Short-Term Investments – 8.43% | |||||
Money Market Mutual Funds – 0.63% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 240,257 | 240,257 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 240,257 | 240,257 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 240,257 | 240,257 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 240,257 | 240,257 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 240,257 | 240,257 | |||
1,201,285 | |||||
Principal amount° | |||||
US Treasury Obligation – 7.80%≠ | |||||
US Treasury Bill 1.50% 7/15/20 | 14,910,000 | 14,968,534 | |||
14,968,534 | |||||
Total Short-Term Investments(cost $16,111,318) | 16,169,819 | ||||
Total Value of Securities – 98.72% | |||||
(cost $190,721,685) | $ | 189,455,489 |
# | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. At March 31, 2020, the aggregate value of Rule 144A securities was $34,318,146, which represents 17.88% of the Fund’s net assets. See Note 9 in “Notes to financial statements.” |
92
◆ | 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 value of this security was determined using significant unobservable inputs and is reported as a Level 3 security in the disclosure table located in Note 3 in “Notes to financial statements.” |
≠ | The rate shown is the effective yield at the time of purchase. |
° | Principal amount shown is stated in USD unless noted that the security is denominated in another currency. |
µ | Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at March 31, 2020.Rate will reset at a future date. |
ψ | No contractual maturity date. |
† | Non-income producing security. |
● | Variable rate investment. Rates reset periodically. Rate shown reflects the rate in effect at March 31, 2020. For securities based on a published reference rate and spread, the reference rate and spread are indicated in their description above. The reference rate descriptions (i.e. LIBOR03M, LIBOR06M, etc.) used in this report are identical for different securities, but the underlying reference rates may differ due to the timing of the reset period. Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions, or for mortgage-backed securities, are impacted by the individual mortgages which are paying off over time. These securities do not indicate a reference rate and spread in their description above. |
Summary of abbreviations: |
GS – Goldman Sachs |
ICE – Intercontinental Exchange |
LIBOR – London interbank offered rate |
LIBOR01M – ICE LIBOR USD 1 Month |
LIBOR03M – ICE LIBOR USD 3 Month |
LIBOR06M – ICE LIBOR USD 6 Month |
S.F. – single family |
USD – US Dollar |
yr – Year |
See accompanying notes, which are an integral part of the financial statements.
93
Schedules of investments | |
Delaware Strategic Income II Fund | March 31, 2020 (Unaudited) |
Principal amount° | Value (US $) | ||||
Agency Collateralized Mortgage Obligations – 7.30% | |||||
Fannie Mae Connecticut Avenue Securities | |||||
Series 2018-C03 1M2 3.097% (LIBOR01M + 2.15%, | |||||
Floor 2.15%) 10/25/30● | 1,350,000 | $ | 1,121,992 | ||
Series 2018-C05 1M2 3.297% (LIBOR01M + 2.35%, | |||||
Floor 2.35%) 1/25/31● | 1,350,000 | 1,133,734 | |||
Freddie Mac Structured Agency Credit Risk Debt Notes | |||||
Series 2018-HQA1 M2 3.247% (LIBOR01M + 2.30%) | |||||
9/25/30 ● | 1,340,668 | 1,129,110 | |||
Freddie Mac Structured Agency Credit Risk REMIC | |||||
Series 2020-HQA2 M2 144A 3.911% (LIBOR01M + | |||||
3.10%) 3/25/50 #● | 2,500,000 | 1,608,709 | |||
Freddie Mac Structured Agency Credit Risk REMIC Trust | |||||
Series 2019-HQA4 M2 144A 2.997% (LIBOR01M + | |||||
2.05%) 11/25/49 #● | 1,500,000 | 1,108,151 | |||
Series 2020-DNA2 M2 144A 2.797% (LIBOR01M + | |||||
1.85%, Floor 1.85%) 2/25/50 #● | 2,000,000 | 1,270,403 | |||
Total Agency Collateralized Mortgage Obligations(cost $10,072,038) | 7,372,099 | ||||
Agency Mortgage-Backed Securities – 3.56% | |||||
Fannie Mae S.F. 30 yr | |||||
4.00% 12/1/48 | 1,151,103 | 1,227,318 | |||
4.50% 6/1/48 | 1,356,172 | 1,462,108 | |||
4.50% 1/1/49 | 400,549 | 430,501 | |||
Freddie Mac S.F. 30 yr | |||||
5.00% 10/1/48 | 439,891 | 475,445 | |||
Total Agency Mortgage-Backed Securities(cost $3,451,347) | 3,595,372 | ||||
Convertible Bonds – 1.47% | |||||
Boingo Wireless 1.00% exercise price $42.32, expiration | |||||
date 10/1/23 | 1,079,000 | 964,092 | |||
Cheniere Energy 4.25% exercise price $138.38, expiration | |||||
date 3/15/45 | 1,046,000 | 517,929 | |||
Total Convertible Bonds(cost $1,729,947) | 1,482,021 | ||||
Corporate Bonds – 46.80% | |||||
Banking – 6.77% | |||||
Bank of America | |||||
2.496% 2/13/31 µ | 205,000 | 197,448 | |||
2.884% 10/22/30 µ | 170,000 | 170,113 | |||
5.125%µψ | 510,000 | 484,854 | |||
BBVA Bancomer 144A 6.75% 9/30/22 # | 667,000 | 665,559 | |||
Credit Suisse Group 144A 6.25%#µψ | 1,050,000 | 975,038 | |||
JPMorgan Chase & Co. 5.00%µψ | 465,000 | 436,261 |
94
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Banking(continued) | ||||||
Popular 6.125% 9/14/23 | 1,301,000 | $ �� | 1,214,802 | |||
Royal Bank of Scotland Group 8.625%µψ | 1,150,000 | 1,127,374 | ||||
Turkiye Garanti Bankasi 144A 5.875% 3/16/23 # | 605,000 | 563,657 | ||||
UBS Group 6.875%µψ | 565,000 | 553,700 | ||||
USB Capital IX 3.50% (LIBOR03M + 1.02%)ψ● | 600,000 | 448,047 | ||||
6,836,853 | ||||||
Basic Industry – 8.04% | ||||||
BHP Billiton Finance USA 144A 6.25% 10/19/75 #µ | 1,130,000 | 1,110,897 | ||||
Corp Nacional del Cobre de Chile 144A 3.15% 1/14/30 # | 588,000 | 548,130 | ||||
CSN Islands XI 144A 6.75% 1/28/28 # | 655,000 | 422,468 | ||||
Equate Petrochemical 144A 3.00% 3/3/22 # | 564,000 | 543,976 | ||||
Freeport-McMoRan 5.45% 3/15/43 | 1,526,000 | 1,377,673 | ||||
Gold Fields Orogen Holdings BVI 144A 6.125% 5/15/29 # | 568,000 | 539,912 | ||||
GUSAP III 144A 4.25% 1/21/30 # | 1,180,000 | 1,045,787 | ||||
Hudbay Minerals 144A 7.625% 1/15/25 # | 393,000 | 344,368 | ||||
Methanex 5.25% 12/15/29 | 665,000 | 501,058 | ||||
Newmont 2.25% 10/1/30 | 125,000 | 115,912 | ||||
Novolipetsk Steel Via Steel Funding DAC 144A | ||||||
4.00% 9/21/24 # | 564,000 | 561,386 | ||||
Petkim Petrokimya Holding 144A 5.875% 1/26/23 # | 573,000 | 478,180 | ||||
Teck Resources 6.25% 7/15/41 | 610,000 | 529,788 | ||||
8,119,535 | ||||||
Brokerage – 0.85% | ||||||
Jefferies Group 6.50% 1/20/43 | 1,035,000 | 861,904 | ||||
861,904 | ||||||
Capital Goods – 1.21% | ||||||
Grupo Cementos de Chihuahua 144A 5.25% 6/23/24 # | 565,000 | 524,741 | ||||
Mauser Packaging Solutions Holding 144A | ||||||
7.25% 4/15/25 # | 699,000 | 534,756 | ||||
TransDigm 144A 6.25% 3/15/26 # | 165,000 | 165,103 | ||||
1,224,600 | ||||||
Communications – 5.27% | ||||||
Altice Financing 144A 5.00% 1/15/28 # | 635,000 | 566,737 | ||||
AMC Networks 4.75% 8/1/25 | 33,000 | 32,299 | ||||
AT&T 4.35% 3/1/29 | 580,000 | 624,990 | ||||
Cablevision Systems 5.875% 9/15/22 | 50,000 | 50,767 | ||||
Charter Communications Operating | ||||||
4.80% 3/1/50 | 90,000 | 94,224 | ||||
5.125% 7/1/49 | 230,000 | 245,788 | ||||
Clear Channel Worldwide Holdings 144A 9.25% 2/15/24 # | 95,000 | 82,294 | ||||
Comcast 3.20% 7/15/36 | 85,000 | 90,070 | ||||
LCPR Senior Secured Financing 144A 6.75% 10/15/27 # | 340,000 | 336,787 |
95
Schedules of investments
Delaware Strategic Income II Fund
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Communications(continued) | ||||||
Radiate Holdco 144A 6.625% 2/15/25 # | 621,000 | $ | 533,281 | |||
Sirius XM Radio 144A 4.625% 7/15/24 # | 147,000 | 150,114 | ||||
Sprint 7.875% 9/15/23 | 570,000 | 631,922 | ||||
Time Warner Cable 7.30% 7/1/38 | 480,000 | 591,220 | ||||
Time Warner Entertainment 8.375% 3/15/23 | 225,000 | 247,320 | ||||
Verizon Communications 4.50% 8/10/33 | 865,000 | 1,043,420 | ||||
5,321,233 | ||||||
Consumer Cyclical – 2.69% | ||||||
Future Retail 144A 5.60% 1/22/25 # | 630,000 | 317,549 | ||||
M/I Homes 5.625% 8/1/25 | 644,000 | 582,012 | ||||
Prime Security Services Borrower 144A 5.75% 4/15/26 # | 991,000 | 976,751 | ||||
Resorts World Las Vegas 144A 4.625% 4/16/29 # | 600,000 | 531,719 | ||||
Scientific Games International 144A 8.25% 3/15/26 # | 480,000 | 309,951 | ||||
2,717,982 | ||||||
Consumer Non-Cyclical – 1.89% | ||||||
Aramark Services 144A 5.00% 2/1/28 # | 105,000 | 98,298 | ||||
Bausch Health 144A 5.50% 11/1/25 # | 120,000 | 121,987 | ||||
CVS Health 4.30% 3/25/28 | 140,000 | 148,975 | ||||
MHP 144A 6.95% 4/3/26 # | 566,000 | 459,240 | ||||
Rede D’or Finance 144A 4.50% 1/22/30 # | 765,000 | 667,654 | ||||
Tenet Healthcare 6.875% 11/15/31 | 270,000 | 229,106 | ||||
Zimmer Biomet Holdings 3.05% 1/15/26 | 180,000 | 177,129 | ||||
1,902,389 | ||||||
Energy – 6.62% | ||||||
Cheniere Corpus Christi Holdings 7.00% 6/30/24 | 815,000 | 717,207 | ||||
Energy Transfer Operating 7.125%µψ | 545,000 | 328,679 | ||||
Gazprom via Gaz Finance 144A 3.25% 2/25/30 # | 620,000 | 574,120 | ||||
KazMunayGas National JSC 144A 6.375% 10/24/48 # | 1,134,000 | 1,127,763 | ||||
KazTransGas JSC 144A 4.375% 9/26/27 # | 570,000 | 511,837 | ||||
Marathon Oil | ||||||
2.80% 11/1/22 | 285,000 | 218,423 | ||||
4.40% 7/15/27 | 695,000 | 464,937 | ||||
MPLX | ||||||
4.00% 3/15/28 | 200,000 | 178,158 | ||||
5.50% 2/15/49 | 295,000 | 250,039 | ||||
Noble Energy 4.20% 10/15/49 | 550,000 | 299,603 | ||||
Petrobras Global Finance 144A 5.093% 1/15/30 # | 558,000 | 511,267 | ||||
Petroleos Mexicanos 144A 6.84% 1/23/30 # | 563,000 | 410,298 | ||||
Saudi Arabian Oil 144A 4.25% 4/16/39 # | 565,000 | 562,533 | ||||
Southwestern Energy 7.75% 10/1/27 | 800,000 | 532,060 | ||||
6,686,924 |
96
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Finance Companies – 0.88% | ||||||
Avolon Holdings Funding 144A 4.375% 5/1/26 # | 950,000 | $ | 763,312 | |||
International Lease Finance 8.625% 1/15/22 | 125,000 | 121,330 | ||||
884,642 | ||||||
Insurance – 2.37% | ||||||
AssuredPartners 144A 7.00% 8/15/25 # | 674,000 | 611,635 | ||||
Brighthouse Financial | ||||||
3.70% 6/22/27 | 335,000 | 291,401 | ||||
4.70% 6/22/47 | 595,000 | 479,753 | ||||
HUB International 144A 7.00% 5/1/26 # | 389,000 | 388,057 | ||||
USI 144A 6.875% 5/1/25 # | 665,000 | 623,418 | ||||
2,394,264 | ||||||
Technology – 2.33% | ||||||
CDK Global 5.875% 6/15/26 | 60,000 | 63,723 | ||||
CommScope Technologies 144A 5.00% 3/15/27 # | 1,270,000 | 1,111,345 | ||||
Micron Technology 4.663% 2/15/30 | 960,000 | 1,007,438 | ||||
NXP 144A 4.30% 6/18/29 # | 160,000 | 164,725 | ||||
2,347,231 | ||||||
Transportation – 1.13% | ||||||
Aerovias de Mexico 144A 7.00% 2/5/25 # | 625,000 | 192,187 | ||||
ASG Finance Designated Activity 144A 7.875% 12/3/24 # | 645,000 | 403,257 | ||||
Rutas 2 and 7 Finance 144A 2.932% 9/30/36 #^ | 705,000 | 416,165 | ||||
Union Pacific 3.25% 2/5/50 | 130,000 | 128,118 | ||||
1,139,727 | ||||||
Utilities – 6.75% | ||||||
Aegea Finance 144A 5.75% 10/10/24 # | 600,000 | 557,253 | ||||
Calpine 144A 5.25% 6/1/26 # | 1,288,000 | 1,232,574 | ||||
Comision Federal de Electricidad 144A 4.875% 1/15/24 # | 513,000 | 491,836 | ||||
Duke Energy 4.875%µψ | 650,000 | 546,452 | ||||
Israel Electric 144A 5.00% 11/12/24 # | 570,000 | 598,503 | ||||
NRG Energy 144A 4.45% 6/15/29 # | 950,000 | 967,950 | ||||
Southern California Edison | ||||||
3.65% 2/1/50 | 140,000 | 136,630 | ||||
4.00% 4/1/47 | 100,000 | 104,605 | ||||
4.20% 3/1/29 | 185,000 | 197,084 | ||||
4.875% 3/1/49 | 550,000 | 638,124 | ||||
Vistra Operations | ||||||
144A 3.55% 7/15/24 # | 1,240,000 | 1,169,382 | ||||
144A 5.50% 9/1/26 # | 165,000 | 171,100 | ||||
6,811,493 | ||||||
Total Corporate Bonds(cost $53,912,835) | 47,248,777 |
97
Schedules of investments
Delaware Strategic Income II Fund
Principal amount° | Value (US $) | |||||
Loan Agreements – 5.05% | ||||||
Acrisure Tranche B 5.207% (LIBOR03M + 3.50%) 2/15/27 ● | 339,139 | $ | 288,268 | |||
Applied Systems 2nd Lien 8.45% (LIBOR03M + 7.00%) | ||||||
9/19/25● | 325,000 | 300,625 | ||||
AssuredPartners 4.489% (LIBOR01M + 3.50%) 2/12/27● | 338,218 | 301,859 | ||||
AthenaHealth Tranche B 1st Lien 5.284% (LIBOR03M + | ||||||
4.50%) 2/11/26● | 338,291 | 317,994 | ||||
Blackstone CQP Holdco 4.616% (LIBOR03M + 3.50%) | ||||||
9/30/24● | 148,517 | 121,041 | ||||
Blue Ribbon 1st Lien 5.623% (LIBOR03M + 4.00%) | ||||||
11/15/21● | 150,000 | 118,750 | ||||
Buckeye Partners 4.265% (LIBOR01M + 2.75%) 11/1/26● | 222,650 | 207,065 | ||||
BWay Holding 5.084% (LIBOR03M + 3.25%) 4/3/24● | 208,926 | 173,408 | ||||
Calpine 0.00% 1/15/24 X | 28,882 | 27,896 | ||||
Connect US Finco 5.49% (LIBOR01M + 4.50%) | ||||||
12/12/26● | 210,000 | 171,675 | ||||
Cushman & Wakefield US Borrower 3.739% (LIBOR01M + | ||||||
2.75%) 8/21/25● | 269,318 | 242,386 | ||||
Frontier Communications Tranche B-1 5.35% (LIBOR03M | ||||||
+ 3.75%) 6/17/24● | 789,261 | 748,482 | ||||
Gentiva Health Services Tranche B 4.25% (LIBOR01M + | ||||||
3.75%) 7/2/25● | 269,318 | 254,506 | ||||
Granite Generation 4.818% (LIBOR01M + 3.75%) | ||||||
11/9/26● | 169,714 | 146,802 | ||||
Kronos 4.763% (LIBOR03M + 3.00%) 11/1/23● | 379,591 | 351,596 | ||||
Kronos 2nd Lien 10.013% (LIBOR03M + 8.25%) 11/1/24● | 275,000 | 259,325 | ||||
Panda Patriot Tranche B-1 0.00% 12/19/20 X | 51,657 | 43,822 | ||||
Sprint Communications 3.50% (LIBOR01M + 2.50%) | ||||||
2/2/24● | 26,637 | 26,537 | ||||
Stars Group Holdings 4.95% (LIBOR03M + 3.50%) | ||||||
7/10/25● | 192,347 | 184,412 | ||||
Summit Midstream Partners Holdings 7.00% (LIBOR01M + | ||||||
6.00%) 5/13/22● | 461,345 | 221,446 | ||||
Terrier Media Buyer 0.00% 12/17/26 X | 38,000 | 32,941 | ||||
Ultimate Software Group 1st Lien 4.739% (LIBOR01M + | ||||||
3.75%) 5/4/26● | 314,356 | 297,066 | ||||
Verscend Holding Tranche B 5.489% (LIBOR01M + | ||||||
4.50%) 8/27/25● | 273,611 | 259,931 | ||||
Total Loan Agreements(cost $5,731,958) | 5,097,833 | |||||
Non-Agency Asset-Backed Security – 0.75% | ||||||
Towd Point Mortgage Trust | ||||||
Series 2017-4 M1 144A 3.25% 6/25/57 #● | 844,391 | 759,843 | ||||
Total Non-Agency Asset-Backed Security(cost $874,934) | 759,843 |
98
Principal amount° | Value (US $) | |||||
Non-Agency Collateralized Mortgage Obligations – 12.19% | ||||||
Connecticut Avenue Securities Trust | ||||||
Series 2019-R07 1M2 144A 3.047% (LIBOR01M + | ||||||
2.10%) 10/25/39 #● | 1,500,000 | $ | 1,208,600 | |||
Series 2020-R01 1M2 144A 2.997% (LIBOR01M + | ||||||
2.05%) 1/25/40 #● | 1,500,000 | 892,500 | ||||
GS Mortgage-Backed Securities Trust | ||||||
Series 2020-PJ1 A1 144A 3.50% 5/25/50 #● | 1,471,163 | 1,486,509 | ||||
JPMorgan Mortgage Trust | ||||||
Series 2020-1 A4 144A 3.50% 6/25/50 #● | 1,455,305 | 1,454,195 | ||||
Series 2020-2 A3 144A 3.50% 7/25/50 #● | 1,986,108 | 2,004,019 | ||||
Sequoia Mortgage Trust | ||||||
Series 2014-1 B3 144A 3.929% 4/25/44 #● | 1,404,617 | 1,326,050 | ||||
Series 2017-5 B2 144A 3.842% 8/25/47 #● | 1,405,444 | 1,311,284 | ||||
Series 2017-6 B2 144A 3.754% 9/25/47 #● | 1,406,286 | 1,307,762 | ||||
Series 2017-7 B2 144A 3.758% 10/25/47 #● | 1,411,738 | 1,309,943 | ||||
Total Non-Agency Collateralized Mortgage Obligations(cost $13,868,659) | 12,300,862 | |||||
Non-Agency Commercial Mortgage-Backed Securities – 14.23% | ||||||
BANK | ||||||
Series 2017-BNK8 C 4.072% 11/15/50● | 1,350,000 | 1,036,892 | ||||
Series 2019-BN20 A3 3.011% 9/15/62 | 1,350,000 | 1,406,165 | ||||
Cantor Commercial Real Estate Lending | ||||||
Series 2019-CF2 A5 2.874% 11/15/52 | 1,350,000 | 1,385,176 | ||||
Citigroup Commercial Mortgage Trust | ||||||
Series 2016-P3 A4 3.329% 4/15/49 | 1,250,000 | 1,281,195 | ||||
DB-JPM Mortgage Trust | ||||||
Series 2016-C1 B 4.195% 5/10/49● | 1,000,000 | 964,531 | ||||
Series 2016-C3 A5 2.89% 8/10/49 | 1,000,000 | 1,035,550 | ||||
GS Mortgage Securities Trust | ||||||
Series 2017-GS5 A4 3.674% 3/10/50 | 1,350,000 | 1,413,799 | ||||
Series 2017-GS6 A3 3.433% 5/10/50 | 1,360,000 | 1,383,010 | ||||
Series 2018-GS9 A4 3.992% 3/10/51● | 1,535,000 | 1,646,268 | ||||
JPM-DB Commercial Mortgage Securities Trust | ||||||
Series 2017-C7 A5 3.409% 10/15/50 | 1,350,000 | 1,433,276 | ||||
Morgan Stanley Bank of America Merrill Lynch Trust | ||||||
Series 2016-C29 A4 3.325% 5/15/49 | 1,350,000 | 1,383,445 | ||||
Total Non-Agency Commercial Mortgage-Backed Securities(cost $15,261,881) | 14,369,307 |
99
Schedules of investments
Delaware Strategic Income II Fund
Principal amount° | Value (US $) | ||||||
Sovereign Bonds – 4.93%Δ | |||||||
Brazil – 0.50% | |||||||
Brazilian Government International Bond 4.75% 1/14/50 | 550,000 | $ | 507,953 | ||||
507,953 | |||||||
Egypt – 0.50% | |||||||
Egypt Government International Bond 144A | |||||||
7.60% 3/1/29 # | 564,000 | 506,878 | |||||
506,878 | |||||||
El Salvador – 0.50% | |||||||
El Salvador Government International Bond 144A | |||||||
7.65% 6/15/35 # | 584,000 | 502,418 | |||||
502,418 | |||||||
Ghana – 0.42% | |||||||
Ghana Government International Bond 144A | |||||||
7.875% 3/26/27 # | 562,000 | 418,873 | |||||
418,873 | |||||||
Ivory Coast – 0.50% | |||||||
Ivory Coast Government International Bond 144A | |||||||
6.125% 6/15/33 # | 574,000 | 503,372 | |||||
503,372 | |||||||
Mongolia – 0.58% | |||||||
Mongolia Government International Bond 144A | |||||||
5.625% 5/1/23 # | 647,000 | 582,279 | |||||
582,279 | |||||||
Peru – 0.57% | |||||||
Peruvian Government International Bond 2.844% 6/20/30 | 536,000 | 570,595 | |||||
570,595 | |||||||
Russia – 0.28% | |||||||
Russian Federal Bond 7.65% 4/10/30 | RUB | 20,696,000 | 282,337 | ||||
282,337 | |||||||
Senegal – 0.46% | |||||||
Senegal Government International Bond 144A | |||||||
6.75% 3/13/48 # | 564,000 | 466,922 | |||||
466,922 | |||||||
Uzbekistan – 0.62% | |||||||
Republic of Uzbekistan Bond 144A 4.75% 2/20/24 # | 636,000 | 628,909 | |||||
628,909 | |||||||
Total Sovereign Bonds(cost $5,480,847) | 4,970,536 |
100
Number of shares | Value (US $) | ||||
Preferred Stock – 0.28% | |||||
Morgan Stanley 5.55% µ | 325,000 | $ | 285,925 | ||
Total Preferred Stock(cost $330,242) | 285,925 | ||||
Short-Term Investments – 0.59% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 119,415 | 119,415 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 119,415 | 119,415 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 119,415 | 119,415 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 119,415 | 119,415 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 119,415 | 119,415 | |||
Total Short-Term Investments(cost $597,075) | 597,075 | ||||
Total Value of Securities – 97.15% | |||||
(cost $111,311,763) | $ | 98,079,650 |
# | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. At March 31, 2020, the aggregate value of Rule 144A securities was $48,394,456, which represents 47.94% of the Fund’s net assets. See Note 9 in “Notes to financial statements.” |
° | Principal amount shown is stated in USD unless noted that the security is denominated in another currency. |
Δ | Securities have been classified by country of origin. |
µ | Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at March 31, 2020. Rate will reset at a future date. |
ψ | No contractual maturity date. |
● | Variable rate investment. Rates reset periodically. Rate shown reflects the rate in effect at March 31, 2020. For securities based on a published reference rate and spread, the reference rate and spread are indicated in their description above. The reference rate descriptions (i.e. LIBOR03M, LIBOR06M, etc.) used in this report are identical for different securities, but the underlying reference rates may differ due to the timing of the reset period. Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions, or for mortgage-backed securities, are impacted by the individual mortgages which are paying off over time. These securities do not indicate a reference rate and spread in their description above. |
X | This loan will settle after March 31, 2020, at which time the interest rate, based on the LIBOR and the agreed upon spread on trade date, will be reflected. |
^ | Zero-coupon security. The rate shown is the effective yield at the time of purchase. |
101
Schedules of investments
Delaware Strategic Income II Fund
The following futures contracts were outstanding at March 31, 2020:1
Futures Contracts
Variation | |||||||||||||||||
Margin | |||||||||||||||||
Notional | Value/ | Due from | |||||||||||||||
Notional | Cost | Expiration | Unrealized | (Due to) | |||||||||||||
Contracts to Buy (Sell) | Amount | (Proceeds) | Date | Depreciation | Brokers | ||||||||||||
(14) US Treasury 10 yr Notes | $ | (1,941,625 | ) | $ | (1,904,641 | ) | 6/19/20 | $ | (36,984 | ) | $ | 1,969 |
The use of futures contracts involves elements of market risk and risks in excess of the amounts disclosed in the financial statements. The notional amount presented above represents the Fund’s total exposure in such contracts, whereas only the variation margin is reflected in the Fund’s net assets.
1See Note 9 in “Notes to Financial statements.”
Summary of abbreviations:
DB – Deutsche Bank
GS – Goldman Sachs
ICE – Intercontinental Exchange
JPM – JPMorgan
JSC – Joint-Stock Company
LIBOR – London interbank offered rate
LIBOR01M – ICE LIBOR USD 1 Month
LIBOR03M – ICE LIBOR USD 3 Month
LIBOR06M – ICE LIBOR USD 6 Month
REMIC – Real Estate Mortgage Investment Conduit
RUB – Russian Ruble
S.F. – single family
yr – Year
See accompanying notes, which are an integral part of the financial statements.
102
Schedules of investments
Delaware Covered Call Strategy Fund | March 31, 2020 (Unaudited) |
Number of shares | Value (US $) | ||||
Common Stock – 102.93%✧ | |||||
Communication Services – 1.04% | |||||
AT&T ∞ | 61,300 | $ | 1,786,895 | ||
1,786,895 | |||||
Consumer Discretionary – 7.90% | |||||
Home Depot ∞ | 43,800 | 8,177,898 | |||
Whirlpool ∞ | 62,300 | 5,345,340 | |||
13,523,238 | |||||
Consumer Staples – 13.12% | |||||
Constellation Brands Class A ∞ | 20,300 | 2,910,208 | |||
Costco Wholesale ∞ | 25,700 | 7,327,841 | |||
Kroger ∞ | 193,300 | 5,822,196 | |||
Mondelez International Class A ∞ | 127,900 | 6,405,232 | |||
22,465,477 | |||||
Energy – 3.95% | |||||
Chevron ∞ | 68,000 | 4,927,280 | |||
ConocoPhillips ∞ | 59,300 | 1,826,440 | |||
6,753,720 | |||||
Financials – 15.78% | |||||
Allstate ∞ | 39,300 | 3,604,989 | |||
American Express ∞ | 59,700 | 5,110,917 | |||
BlackRock ∞ | 13,600 | 5,983,592 | |||
Blackstone Group Class A ∞ | 107,400 | 4,894,218 | |||
JPMorgan Chase & Co. ∞ | 82,400 | 7,418,472 | |||
27,012,188 | |||||
Healthcare – 11.44% | |||||
Bristol-Myers Squibb ∞ | 68,700 | 3,829,338 | |||
Medtronic ∞ | 77,100 | 6,952,878 | |||
Merck & Co. ∞ | 74,000 | 5,693,560 | |||
Stryker ∞ | 18,700 | 3,113,363 | |||
19,589,139 | |||||
Industrials – 16.07% | |||||
Boeing ∞ | 32,200 | 4,802,308 | |||
Caterpillar ∞ | 30,900 | 3,585,636 | |||
Delta Air Lines ∞ | 103,200 | 2,944,296 | |||
Lockheed Martin ∞ | 14,700 | 4,982,565 | |||
Raytheon ∞ | 24,900 | 3,265,635 | |||
Union Pacific ∞ | 14,200 | 2,002,768 | |||
United Parcel Service Class B ∞ | 27,900 | 2,606,418 | |||
United Technologies ∞ | 35,100 | 3,310,983 | |||
27,500,609 | |||||
Information Technology – 31.37% | |||||
Apple ∞ | 40,200 | 10,222,458 |
103
Schedules of investments
Delaware Covered Call Strategy Fund
Number of shares | Value (US $) | ||||||
Common Stock✧(continued) | |||||||
Information Technology(continued) | |||||||
Broadcom ∞ | 27,900 | $ | 6,615,090 | ||||
Corning ∞ | 185,800 | 3,816,332 | |||||
International Business Machines ∞ | 32,500 | 3,605,225 | |||||
Mastercard Class A ∞ | 37,800 | 9,130,968 | |||||
Microsoft ∞ | 72,600 | 11,449,748 | |||||
Oracle ∞ | 91,000 | 4,398,030 | |||||
Texas Instruments ∞ | 44,700 | 4,466,871 | |||||
53,704,722 | |||||||
Materials – 2.26% | |||||||
Dow ∞ | 49,400 | 1,444,455 | |||||
Nucor ∞ | 67,100 | 2,416,942 | |||||
3,861,397 | |||||||
Total Common Stock(cost $178,872,962) | 176,197,385 | ||||||
Short-Term Investments – 3.64% | |||||||
Money Market Mutual Funds – 3.64% | |||||||
BlackRock FedFund – Institutional Shares (seven-day | |||||||
effective yield 0.33%) | 1,244,205 | 1,244,205 | |||||
Fidelity Investments Money Market Government | |||||||
Portfolio – Class I (seven-day effective yield 0.30%) | 1,244,206 | 1,244,206 | |||||
GS Financial Square Government Fund – Institutional | |||||||
Shares (seven-day effective yield 0.34%) | 1,244,205 | 1,244,205 | |||||
Morgan Stanley Government Portfolio – Institutional Share | |||||||
Class (seven-day effective yield 0.22%) | 1,244,205 | 1,244,205 | |||||
State Street Institutional US Government Money Market | |||||||
Fund – Investor Class (seven-day effective yield 0.24%) | 1,244,206 | 1,244,206 | |||||
Total Short-Term Investments(cost $6,221,027) | 6,221,027 | ||||||
Total Value of Securities Before Options Written – 106.57% | |||||||
(cost $185,093,989) | 182,418,412 | ||||||
Number of contracts | |||||||
Options Written – (7.05%) | |||||||
Equity Call Options – (7.05%) | |||||||
Allstate strike price $115, expiration date 7/17/20, notional | |||||||
amount ($4,519,500) | (393 | ) | (73,294 | ) | |||
American Express strike price $140, expiration date | |||||||
7/17/20, notional amount ($8,358,000) | (597 | ) | (22,388 | ) | |||
Apple strike price $300, expiration date 6/19/20, notional | |||||||
amount ($12,060,000) | (402 | ) | (173,865 | ) |
104
Number of contracts | Value (US $) | ||||||
Options Written(continued) | |||||||
Equity Call Options(continued) | |||||||
AT&T strike price $39, expiration date 10/16/20, notional | |||||||
amount ($2,390,700) | (613 | ) | $ | (15,632 | ) | ||
BlackRock strike price $450, expiration date 9/18/20, | |||||||
notional amount ($3,960,000) | (88 | ) | (428,560 | ) | |||
BlackRock strike price $480, expiration date 10/16/20, | |||||||
notional amount ($2,304,000) | (48 | ) | (176,640 | ) | |||
Blackstone Group strike price $47, expiration date | |||||||
1/15/21, notional amount ($3,468,600) | (738 | ) | (523,980 | ) | |||
Blackstone Group strike price $52.50, expiration date | |||||||
1/15/21, notional amount ($1,764,000) | (336 | ) | (177,240 | ) | |||
Boeing strike price $200, expiration date 10/16/20, | |||||||
notional amount ($2,480,000) | (124 | ) | (200,880 | ) | |||
Boeing strike price $240, expiration date 10/16/20, | |||||||
notional amount ($4,752,000) | (198 | ) | (156,420 | ) | |||
Bristol-Myers Squibb strike price $65, expiration date | |||||||
9/18/20, notional amount ($4,465,500) | (687 | ) | (101,332 | ) | |||
Broadcom strike price $230, expiration date 9/18/20, | |||||||
notional amount ($6,417,000) | (279 | ) | (929,070 | ) | |||
Caterpillar strike price $115, expiration date 8/21/20, | |||||||
notional amount ($3,553,500) | (309 | ) | (381,615 | ) | |||
Chevron strike price $90, expiration date 9/18/20, notional | |||||||
amount ($6,120,000) | (680 | ) | (244,800 | ) | |||
ConocoPhillips strike price $36, expiration date 8/21/20, | |||||||
notional amount ($993,600) | (276 | ) | (71,898 | ) | |||
ConocoPhillips strike price $40, expiration date 6/19/20, | |||||||
notional amount ($1,268,000) | (317 | ) | (114,120 | ) | |||
Constellation Brands strike price $175, expiration date | |||||||
7/17/20, notional amount ($3,552,500) | (203 | ) | (96,425 | ) | |||
Corning strike price $22, expiration date 8/21/20, notional | |||||||
amount ($3,214,200) | (1,461 | ) | (458,754 | ) | |||
Corning strike price $25, expiration date 8/21/20, notional | |||||||
amount ($992,500) | (397 | ) | (59,947 | ) | |||
Costco Wholesale strike price $320, expiration date | |||||||
7/17/20, notional amount ($8,224,000) | (257 | ) | (226,802 | ) | |||
Delta Air Lines strike price $30, expiration date 9/18/20, | |||||||
notional amount ($1,353,000) | (451 | ) | (260,452 | ) | |||
Delta Air Lines strike price $35, expiration date 9/18/20, | |||||||
notional amount ($2,033,500) | (581 | ) | (225,138 | ) | |||
Dow strike price $35, expiration date 9/18/20, notional | |||||||
amount ($1,729,000) | (494 | ) | (96,330 | ) | |||
Home Depot strike price $230, expiration date 9/18/20, | |||||||
notional amount ($1,794,000) | (78 | ) | (44,265 | ) | |||
Home Depot strike price $245, expiration date 9/18/20, | |||||||
notional amount ($8,820,000) | (360 | ) | (144,900 | ) |
105
Schedules of investments
Delaware Covered Call Strategy Fund
Number of contracts | Value (US $) | ||||||
Options Written(continued) | |||||||
Equity Call Options(continued) | |||||||
International Business Machines strike price $115, | |||||||
expiration date 9/18/20, notional amount ($3,737,500) | (325 | ) | $ | (274,625 | ) | ||
JPMorgan Chase & Co. strike price $105, expiration date | |||||||
9/18/20, notional amount ($8,652,000) | (824 | ) | (401,700 | ) | |||
Kroger strike price $30, expiration date 6/19/20, notional | |||||||
amount ($2,895,000) | (965 | ) | (236,908 | ) | |||
Kroger strike price $31, expiration date 10/16/20, notional | |||||||
amount ($3,000,800) | (968 | ) | (353,320 | ) | |||
Lockheed Martin strike price $320, expiration date | |||||||
9/18/20, notional amount ($4,704,000) | (147 | ) | (695,310 | ) | |||
Mastercard strike price $250, expiration date 10/16/20, | |||||||
notional amount ($9,450,000) | (378 | ) | (1,058,400 | ) | |||
Medtronic strike price $90, expiration date 8/21/20, | |||||||
notional amount ($6,939,000) | (771 | ) | (726,668 | ) | |||
Merck & Co. strike price $87.50, expiration date 6/19/20, | |||||||
notional amount ($6,475,000) | (740 | ) | (64,380 | ) | |||
Microsoft strike price $175, expiration date 9/18/20, | |||||||
notional amount ($7,122,500) | (407 | ) | (339,845 | ) | |||
Microsoft strike price $180, expiration date 9/18/20, | |||||||
notional amount ($5,742,000) | (319 | ) | (214,528 | ) | |||
Mondelez International strike price $55, expiration date | |||||||
9/18/20, notional amount ($1,848,000) | (336 | ) | (76,776 | ) | |||
Mondelez International strike price $60, expiration date | |||||||
6/19/20, notional amount ($5,658,000) | (943 | ) | (170,683 | ) | |||
Nucor strike price $40, expiration date 10/16/20, notional | |||||||
amount ($2,684,000) | (671 | ) | (290,208 | ) | |||
Oracle strike price $55, expiration date 9/18/20, notional | |||||||
amount ($5,005,000) | (910 | ) | (176,085 | ) | |||
Raytheon strike price $140, expiration date 6/19/20, | |||||||
notional amount ($3,486,000) | (249 | ) | (220,988 | ) | |||
Stryker strike price $185, expiration date 1/15/21, notional | |||||||
amount ($3,459,500) | (187 | ) | (342,210 | ) | |||
Texas Instruments strike price $120, expiration date | |||||||
9/18/20, notional amount ($5,364,000) | (447 | ) | (151,980 | ) | |||
Union Pacific strike price $155, expiration date 6/19/20, | |||||||
notional amount ($2,201,000) | (142 | ) | (86,265 | ) | |||
United Parcel Service strike price $100, expiration date | |||||||
7/17/20, notional amount ($2,790,000) | (279 | ) | (163,215 | ) | |||
United Technologies strike price $155, expiration date | |||||||
4/17/20, notional amount ($5,440,500) | (351 | ) | (5,265 | ) |
106
Number of contracts | Value (US $) | ||||||
Options Written(continued) | |||||||
Equity Call Options(continued) | |||||||
Whirlpool strike price $95, expiration date 9/18/20, | |||||||
notional amount ($5,918,500) | (623 | ) | $ | (615,211 | ) | ||
Total Options Written | |||||||
(premium received $9,415,978) | (12,069,317 | ) |
✧ | Narrow industries are utilized for compliance purposes for diversification whereas broad sectors are used for financial reporting. |
∞ | All or portion of the security has been pledged as collateral with outstanding options written. |
GS – Goldman Sachs
See accompanying notes, which are an integral part of the financial statements.
107
Schedules of investments | |
Delaware Hedged U.S. Equity Opportunities Fund | March 31, 2020 (Unaudited) |
Number of shares | Value (US $) | ||||
Common Stock – 90.60% | |||||
Communication Services – 5.27% | |||||
Activision Blizzard | 6,357 | $ | 378,114 | ||
Alphabet Class A † | 73 | 84,822 | |||
AT&T | 16,523 | 481,645 | |||
Charter Communications Class A † | 31 | 13,526 | |||
Cinemark Holdings | 4,231 | 43,114 | |||
Comcast Class A | 7,713 | 265,173 | |||
Electronic Arts † | 920 | 92,156 | |||
Facebook Class A † | 1,500 | 250,200 | |||
Live Nation Entertainment † | 910 | 41,369 | |||
Match Group † | 2,301 | 151,958 | |||
Netflix † | 1,523 | 571,887 | |||
Pinterest Class A † | 9,930 | 153,319 | |||
Roku † | 2,327 | 203,566 | |||
Spotify Technology † | 3,818 | 463,658 | |||
T-Mobile US † | 4,309 | 361,525 | |||
Verizon Communications | 1,785 | 95,908 | |||
ViacomCBS Class B | 2,122 | 29,729 | |||
Walt Disney | 2,908 | 280,913 | |||
3,962,582 | |||||
Consumer Discretionary – 12.10% | |||||
Alibaba Group Holding ADR † | 1,195 | 232,404 | |||
Amazon.com † | 700 | 1,364,804 | |||
Aramark | 4,022 | 80,319 | |||
Autoliv | 313 | 14,401 | |||
CarMax † | 2,702 | 145,449 | |||
Carter’s | 2,589 | 170,175 | |||
Chipotle Mexican Grill † | 225 | 147,240 | |||
Choice Hotels International | 3,355 | 205,494 | |||
Compass Group | 14,145 | 220,381 | |||
Dollar Tree † | 1,840 | 135,185 | |||
Expedia Group | 2,471 | 139,043 | |||
General Motors | 4,387 | 91,162 | |||
Genuine Parts | 2,100 | 141,393 | |||
Home Depot | 3,352 | 625,852 | |||
Las Vegas Sands | 1,744 | 74,068 | |||
Lennar Class A | 3,268 | 124,838 | |||
Lowe’s | 3,890 | 334,735 | |||
Marriott International Class A | 768 | 57,454 | |||
Marriott Vacations Worldwide | 465 | 25,845 | |||
McDonald’s | 5,493 | 908,267 | |||
NIKE Class B | 10,045 | 831,123 |
108
Number of shares | Value (US $) | ||||
Common Stock(continued) | |||||
Consumer Discretionary(continued) | |||||
Norwegian Cruise Line Holdings † | 2,077 | $ | 22,764 | ||
NVR † | 125 | 321,139 | |||
Peloton Interactive Class A † | 6,921 | 183,752 | |||
Planet Fitness Class A † | 3,561 | 173,421 | |||
Ross Stores | 3,879 | 337,357 | |||
Royal Caribbean Cruises | 2,563 | 82,452 | |||
Steven Madden | 9,457 | 219,686 | |||
Tesla † | 216 | 113,184 | |||
TJX | 22,210 | 1,061,860 | |||
Tractor Supply | 1,887 | 159,546 | |||
Vail Resorts | 660 | 97,489 | |||
Veoneer † | 290 | 2,123 | |||
VF | 1,529 | 82,688 | |||
Whirlpool | 220 | 18,876 | |||
Wyndham Destinations | 736 | 15,971 | |||
Wyndham Hotels & Resorts | 4,715 | 148,570 | |||
9,110,510 | |||||
Consumer Staples – 6.19% | |||||
Altria Group | 8,604 | 332,717 | |||
Archer-Daniels-Midland | 2,094 | 73,667 | |||
Bunge | 318 | 13,047 | |||
Coca-Cola | 20,134 | 890,929 | |||
Colgate-Palmolive | 10,441 | 692,865 | |||
Diageo | 21,810 | 691,585 | |||
JM Smucker | 442 | 49,062 | |||
Kellogg | 1,128 | 67,669 | |||
Keurig Dr Pepper | 4,975 | 120,743 | |||
Monster Beverage † | 9,768 | 549,548 | |||
PepsiCo | 6,015 | 722,401 | |||
Philip Morris International | 3,464 | 252,733 | |||
Sysco | 1,765 | 80,537 | |||
US Foods Holding † | 7,062 | 125,068 | |||
4,662,571 | |||||
Energy – 0.47% | |||||
Apergy † | 320 | 1,840 | |||
Canadian Natural Resources | 5,880 | 79,674 | |||
Cimarex Energy | 1,165 | 19,607 | |||
Concho Resources | 1,620 | 69,417 | |||
Diamondback Energy | 4,323 | 113,263 | |||
Halliburton | 3,149 | 21,571 | |||
Marathon Petroleum | 464 | 10,960 |
109
Schedules of investments
Delaware Hedged U.S. Equity Opportunities Fund
Number of shares | Value (US $) | |||||
Common Stock(continued) | ||||||
Energy(continued) | ||||||
Tenaris ADR | 3,001 | $ | 36,162 | |||
352,494 | ||||||
Financials – 10.85% | ||||||
Aflac | 8,454 | 289,465 | ||||
Alleghany | 124 | 68,491 | ||||
Allstate | 1,563 | 143,374 | ||||
American Express | 9,330 | 798,741 | ||||
Assurant | 1,609 | 167,481 | ||||
Athene Holding Class A † | 3,806 | 94,465 | ||||
Atlantic Union Bankshares | 2,201 | 48,202 | ||||
Bank of America | 6,533 | 138,696 | ||||
Bank OZK | 3,210 | 53,607 | ||||
Berkshire Hathaway Class B † | 1,320 | 241,336 | ||||
Blackstone Group Class A | 3,860 | 175,900 | ||||
Charles Schwab | 9,629 | 323,727 | ||||
Chubb (Switzerland) | 7,000 | 781,830 | ||||
Citigroup | 2,091 | 88,073 | ||||
CNO Financial Group | 20,400 | 252,756 | ||||
Credit Acceptance † | 694 | 177,449 | ||||
Equitable Holdings | 3,519 | 50,849 | ||||
FactSet Research Systems | 207 | 53,961 | ||||
Fidelity National Financial | 4,432 | 110,268 | ||||
First Citizens BancShares Class A | 177 | 58,918 | ||||
First Republic Bank | 1,557 | 128,110 | ||||
Hanover Insurance Group | 553 | 50,091 | ||||
IBERIABANK | 2,240 | 80,998 | ||||
Kemper | 2,510 | 186,669 | ||||
KeyCorp | 11,254 | 116,704 | ||||
Lincoln National | 4,506 | 118,598 | ||||
London Stock Exchange Group | 842 | 75,322 | ||||
M&T Bank | 2,795 | 289,087 | ||||
Markel † | 439 | 407,344 | ||||
Marsh & McLennan | 6,007 | 519,365 | ||||
MetLife | 5,088 | 155,540 | ||||
Moody’s | 508 | 107,442 | ||||
People’s United Financial | 8,272 | 91,406 | ||||
PNC Financial Services Group | 3,346 | 320,279 | ||||
Progressive | 3,269 | 241,383 | ||||
Raymond James Financial | 2,799 | 176,897 | ||||
SLM | 11,878 | 85,403 | ||||
TD Ameritrade Holding | 2,234 | 77,430 | ||||
Travelers | 1,757 | 174,558 |
110
Number of shares | Value (US $) | |||||
Common Stock(continued) | ||||||
Financials(continued) | ||||||
Unum Group | 4,258 | $ | 63,913 | |||
Voya Financial | 6,447 | 261,426 | ||||
White Mountains Insurance Group | 147 | 133,770 | ||||
Zions Bancorp | 7,117 | 190,451 | ||||
8,169,775 | ||||||
Healthcare – 17.75% | ||||||
ABIOMED † | 1,975 | 286,691 | ||||
Acadia Healthcare † | 4,622 | 84,814 | ||||
Alnylam Pharmaceuticals † | 2,250 | 244,913 | ||||
Anthem | 263 | 59,711 | ||||
AstraZeneca ADR | 5,042 | 225,176 | ||||
Baxter International | 6,389 | 518,723 | ||||
Becton Dickinson and Co. | 2,072 | 476,083 | ||||
Bristol-Myers Squibb | 1,529 | 85,226 | ||||
Centene † | 6,148 | 365,253 | ||||
CVS Health | 4,967 | 294,692 | ||||
Danaher | 4,264 | 590,180 | ||||
DENTSPLY SIRONA | 3,099 | 120,334 | ||||
DexCom † | 1,923 | 517,806 | ||||
Elanco Animal Health † | 9,619 | 215,369 | ||||
Eli Lilly & Co. | 556 | 77,128 | ||||
Encompass Health | 2,692 | 172,369 | ||||
Exact Sciences † | 3,457 | 200,506 | ||||
Galapagos ADR † | 1,132 | 221,781 | ||||
Gilead Sciences | 650 | 48,594 | ||||
Haemonetics † | 109 | 10,863 | ||||
Hill-Rom Holdings | 2,049 | 206,129 | ||||
Insulet † | 3,717 | 615,832 | ||||
Intuitive Surgical † | 1,288 | 637,830 | ||||
Ionis Pharmaceuticals † | 4,607 | 217,819 | ||||
Johnson & Johnson | 10,982 | 1,440,070 | ||||
Koninklijke Philips | 711 | 28,554 | ||||
Laboratory Corp. of America Holdings † | 998 | 126,137 | ||||
Medtronic | 10,015 | 903,153 | ||||
Merck & Co. | 6,626 | 509,804 | ||||
Mettler-Toledo International † | 330 | 227,868 | ||||
Molina Healthcare † | 1,434 | 200,344 | ||||
Pfizer | 15,498 | 505,855 | ||||
Regeneron Pharmaceuticals † | 129 | 62,989 | ||||
Seattle Genetics † | 2,251 | 259,720 | ||||
Stryker | 2,722 | 453,186 |
111
Schedules of investments
Delaware Hedged U.S. Equity Opportunities Fund
Number of shares | Value (US $) | |||||
Common Stock(continued) | ||||||
Healthcare(continued) | ||||||
Teleflex | 822 | $ | 240,731 | |||
Thermo Fisher Scientific | 1,600 | 453,760 | ||||
UnitedHealth Group | 4,155 | 1,036,174 | ||||
Veeva Systems Class A † | 2,689 | 420,479 | ||||
13,362,646 | ||||||
Industrials – 13.19% | ||||||
AMERCO | 659 | 191,472 | ||||
AO Smith | 2,259 | 85,413 | ||||
Canadian National Railway | 10,010 | 782,634 | ||||
Cintas | 1,554 | 269,184 | ||||
Clean Harbors † | 3,330 | 170,962 | ||||
Colfax † | 3,126 | 61,895 | ||||
Copart † | 7,711 | 528,358 | ||||
CoStar Group † | 697 | 409,285 | ||||
Cummins | 541 | 73,208 | ||||
Deere & Co. | 1,364 | 188,450 | ||||
Dover | 1,382 | 116,005 | ||||
Equifax | 1,465 | 174,994 | ||||
Expeditors International of Washington | 2,761 | 184,214 | ||||
Fastenal | 4,483 | 140,094 | ||||
Fortive | 3,162 | 174,511 | ||||
General Dynamics | 5,822 | 770,309 | ||||
Herman Miller | 1,902 | 42,224 | ||||
Huntington Ingalls Industries | 202 | 36,806 | ||||
IDEX | 2,219 | 306,466 | ||||
Ingersoll Rand † | 9,612 | 238,378 | ||||
JELD-WEN Holding † | 6,355 | 61,834 | ||||
Kennametal | 6,478 | 120,620 | ||||
L3Harris Technologies | 3,239 | 583,409 | ||||
Lennox International | 1,462 | 265,777 | ||||
Lockheed Martin | 1,007 | 341,323 | ||||
Middleby † | 922 | 52,443 | ||||
PACCAR | 3,593 | 219,640 | ||||
Pentair | 1,448 | 43,092 | ||||
Republic Services | 5,056 | 379,503 | ||||
Rockwell Automation | 1,562 | 235,721 | ||||
Sanwa Holdings | 8,443 | 65,568 | ||||
Southwest Airlines | 3,372 | 120,077 | ||||
SPX FLOW † | 4,639 | 131,840 | ||||
Steelcase Class A | 3,261 | 32,186 | ||||
Trane Technologies | 5,655 | 467,046 |
112
Number of shares | Value (US $) | |||||
Common Stock(continued) | ||||||
Industrials(continued) | ||||||
TransUnion | 3,031 | $ | 200,592 | |||
Uber Technologies † | 17,275 | 482,318 | ||||
Union Pacific | 4,577 | 645,540 | ||||
Waste Connections | 2,348 | 181,970 | ||||
Westinghouse Air Brake Technologies | 3,288 | 158,251 | ||||
Xylem | 3,009 | 195,976 | ||||
9,929,588 | ||||||
Information Technology – 15.19% | ||||||
Accenture Class A | 2,486 | 405,864 | ||||
Advanced Micro Devices † | 12,524 | 569,591 | ||||
Amdocs | 4,484 | 246,485 | ||||
Apple | 1,919 | 487,982 | ||||
Black Knight † | 3,486 | 202,397 | ||||
Broadcom | 501 | 118,787 | ||||
CDW | 2,122 | 197,919 | ||||
Cisco Systems | 3,697 | 145,329 | ||||
Coherent † | 1,510 | 160,679 | ||||
Constellation Software | 335 | 304,464 | ||||
Fair Isaac † | 588 | 180,922 | ||||
Fleetcor Technologies † | 1,292 | 241,010 | ||||
Genpact | 10,845 | 316,674 | ||||
Global Payments | 1,495 | 215,624 | ||||
GoDaddy Class A † | 8,735 | 498,856 | ||||
Guidewire Software † | 3,329 | 264,023 | ||||
Intel | 4,130 | 223,516 | ||||
International Business Machines | 1,321 | 146,538 | ||||
KLA | 723 | 103,924 | ||||
Lumentum Holdings † | 4,862 | 358,329 | ||||
Marvell Technology Group | 10,561 | 238,995 | ||||
Maxim Integrated Products | 2,330 | 113,261 | ||||
Micron Technology † | 1,744 | 73,353 | ||||
Microsoft | 4,529 | 714,269 | ||||
MKS Instruments | 1,992 | 162,248 | ||||
Motorola Solutions | 616 | 81,879 | ||||
NVIDIA | 1,923 | 506,903 | ||||
PayPal Holdings † | 3,936 | 376,833 | ||||
RingCentral Class A † | 370 | 78,407 | ||||
Samsung Electronics GDR | 145 | 118,953 | ||||
ServiceNow † | 1,586 | 454,516 | ||||
Slack Technologies Class A † | 21,126 | 567,022 | ||||
Splunk † | 4,080 | 515,018 |
113
Schedules of investments
Delaware Hedged U.S. Equity Opportunities Fund
Number of shares | Value (US $) | |||||
Common Stock(continued) | ||||||
Information Technology(continued) | ||||||
Square Class A † | 6,362 | $ | 333,242 | |||
TE Connectivity | 5,116 | 322,206 | ||||
Trade Desk Class A † | 234 | 45,162 | ||||
VeriSign † | 1,366 | 246,003 | ||||
Visa Class A | 2,022 | 325,785 | ||||
Western Digital | 1,260 | 52,441 | ||||
WEX † | 1,140 | 119,187 | ||||
Workday Class A † | 3,444 | 448,478 | ||||
Zoom Video Communications Class A † | 1,028 | 150,211 | ||||
11,433,285 | ||||||
Materials – 2.94% | ||||||
Ball | 2,769 | 179,043 | ||||
Carpenter Technology | 4,397 | 85,741 | ||||
Celanese | 3,594 | 263,764 | ||||
CRH | 2,287 | 62,057 | ||||
Eastman Chemical | 2,200 | 102,476 | ||||
FMC | 5,080 | 414,985 | ||||
Linde | 3,539 | 612,247 | ||||
Nucor | 3,029 | 109,105 | ||||
Nutrien | 1,203 | 41,126 | ||||
Reliance Steel & Aluminum | 1,462 | 128,057 | ||||
Sherwin-Williams | 457 | 210,001 | ||||
2,208,602 | ||||||
Real Estate – 4.74% | ||||||
Alexandria Real Estate Equities | 1,241 | 170,091 | ||||
American Tower | 2,262 | 492,551 | ||||
Americold Realty Trust | 4,734 | 161,145 | ||||
AvalonBay Communities | 1,545 | 227,378 | ||||
Boston Properties | 1,443 | 133,088 | ||||
Columbia Property Trust | 3,792 | 47,400 | ||||
Digital Realty Trust | 815 | 113,212 | ||||
Equinix | 514 | 321,029 | ||||
Federal Realty Investment Trust | 319 | 23,801 | ||||
Gaming and Leisure Properties | 6,807 | 188,622 | ||||
Highwoods Properties | 5,860 | 207,561 | ||||
Host Hotels & Resorts | 9,583 | 105,796 | ||||
Kimco Realty | 5,348 | 51,715 | ||||
Life Storage | 2,103 | 198,839 | ||||
Mid-America Apartment Communities | 414 | 42,654 | ||||
Prologis | 1,050 | 84,389 | ||||
Public Storage | 3,196 | 634,758 |
114
Number of shares | Value (US $) | |||||
Common Stock(continued) | ||||||
Real Estate(continued) | ||||||
SL Green Realty | 294 | $ | 12,671 | |||
UDR | 2,061 | 75,309 | ||||
VICI Properties | 7,007 | 116,596 | ||||
Welltower | 3,541 | 162,107 | ||||
3,570,712 | ||||||
Utilities – 1.91% | ||||||
CMS Energy | 1,885 | 110,744 | ||||
Dominion Energy | 1,914 | 138,172 | ||||
Duke Energy | 1,051 | 85,005 | ||||
Eversource Energy | 1,650 | 129,047 | ||||
Exelon | 5,088 | 187,289 | ||||
Iberdrola ADR | 2,499 | 97,230 | ||||
Pinnacle West Capital | 754 | 57,146 | ||||
Portland General Electric | 1,982 | 95,017 | ||||
Southern | 7,651 | 414,225 | ||||
UGI | 4,722 | 125,936 | ||||
1,439,811 | ||||||
Total Common Stock(cost $72,032,245) | 68,202,576 | |||||
Exchange-Traded Fund – 0.54% | ||||||
iShares Russell 1000 Growth ETF | 2,698 | 406,454 | ||||
Total Exchange-Traded Fund(cost $401,954) | 406,454 | |||||
Number of contracts | ||||||
Options Purchased – 1.56% | ||||||
Equity Put Options – 1.56% | ||||||
S&P 500 Index strike price $2,225, expiration date 6/19/20, | ||||||
notional amount $9,790,000 | 44 | 416,460 | ||||
S&P 500 Index strike price $2,375, expiration date 9/18/20, | ||||||
notional amount $9,975,000 | 42 | 757,260 | ||||
Total Options Purchased(cost $1,236,708) | 1,173,720 | |||||
Number of shares | ||||||
Short-Term Investments – 5.86% | ||||||
Money Market Mutual Funds – 5.86% | ||||||
BlackRock FedFund – Institutional Shares (seven-day | ||||||
effective yield 0.33%) | 882,737 | 882,737 | ||||
Fidelity Investments Money Market Government | ||||||
Portfolio – Class I (seven-day effective yield 0.30%) | 882,738 | 882,738 | ||||
GS Financial Square Government Fund – Institutional | ||||||
Shares (seven-day effective yield 0.34%) | 882,738 | 882,738 |
115
Schedules of investments
Delaware Hedged U.S. Equity Opportunities Fund
Number of shares | Value (US $) | |||||||
Short-Term Investments(continued) | ||||||||
Morgan Stanley Government Portfolio – Institutional Share | ||||||||
Class (seven-day effective yield 0.22%) | 882,738 | $ | 882,738 | |||||
State Street Institutional US Government Money Market | ||||||||
Fund – Investor Class (seven-day effective yield 0.24%) | 882,738 | 882,738 | ||||||
Total Short-Term Investments(cost $4,413,689) | 4,413,689 | |||||||
Total Value of Securities Before Options Written – 98.56% | ||||||||
(cost $78,084,596) | 74,196,439 | |||||||
Number of contracts | ||||||||
Options Written – (1.06%) | ||||||||
Equity Put Options – (1.06%) | ||||||||
S&P 500 Index strike price $2,050, expiration date 6/19/20, | ||||||||
notional amount ($9,020,000) | (44 | ) | (271,700 | ) | ||||
S&P 500 Index strike price $2,175, expiration date 9/18/20, | ||||||||
notional amount ($9,135,000) | (42 | ) | (528,990 | ) | ||||
Total Options Written(premium received $842,722) | (800,690 | ) |
† | Non-income producing security. |
The following foreign currency exchange contracts and futures contracts were outstanding at March 31, 2020:1
Foreign Currency Exchange Contracts
Currency to | Settlement | Unrealized | Unrealized | ||||||||||||||||
Counterparty | Receive (Deliver) | In Exchange For | Date | Appreciation | Depreciation | ||||||||||||||
BMO | GBP | (1,271,000 | ) | USD | 1,594,259 | 6/17/20 | $ | 13,390 | $ | — | |||||||||
BNYM | CAD | 47,960 | USD | (34,051 | ) | 4/1/20 | 28 | — | |||||||||||
BNYM | CAD | (4,801 | ) | USD | 3,384 | 4/1/20 | — | (27 | ) | ||||||||||
BNYM | GBP | 20,250 | USD | (25,108 | ) | 4/1/20 | 44 | — | |||||||||||
MSCS | CAD | (1,590,000 | ) | USD | 1,145,024 | 6/17/20 | 14,359 | — | |||||||||||
Total Foreign Currency Exchange Contracts | $ | 27,821 | $ | (27 | ) |
116
Futures Contracts
Variation | ||||||||||||||||||||||
Margin | ||||||||||||||||||||||
Notional | Value/ | Value/ | Due from | |||||||||||||||||||
Notional | Cost | Expiration | Unrealized | Unrealized | (Due to) | |||||||||||||||||
Contracts to Buy (Sell) | Amount | (Proceeds) | Date | Appreciation | Depreciation | Brokers | ||||||||||||||||
E-mini S&P | ||||||||||||||||||||||
(10) | 500 Index | $ | (1,284,850 | ) | $ | (1,228,166 | ) | 6/19/20 | $ | — | $ | (56,684 | ) | $ | 20,750 | |||||||
E-mini S&P | ||||||||||||||||||||||
MidCap 400 | ||||||||||||||||||||||
(73) | Index | (10,495,940 | ) | (10,083,801 | ) | 6/19/20 | — | (412,139 | ) | 113,880 | ||||||||||||
FTSE 100 | ||||||||||||||||||||||
(25) | Index | (1,749,964 | ) | (1,550,965 | ) | 6/19/20 | — | (198,999 | ) | (25,244 | ) | |||||||||||
MSCI EAFE | ||||||||||||||||||||||
(7) | Index | (545,755 | ) | (517,615 | ) | 6/19/20 | — | (28,140 | ) | 4,095 | ||||||||||||
MSCI | ||||||||||||||||||||||
Emerging | ||||||||||||||||||||||
Markets | ||||||||||||||||||||||
(9) | Index | (379,305 | ) | (391,230 | ) | 6/19/20 | 11,925 | — | (3,375 | ) | ||||||||||||
S&P/TSX 60 | ||||||||||||||||||||||
(11) | Index | (1,272,820 | ) | (1,152,857 | ) | 6/18/20 | — | (119,963 | ) | (34,498 | ) | |||||||||||
Total Futures | ||||||||||||||||||||||
Contracts | $ | (14,924,634 | ) | $ | 11,925 | $ | (815,925 | ) | $ | 75,608 |
The use of foreign currency exchange contracts and futures contracts involve elements of market risk and risks in excess of the amounts disclosed in these financial statements. The foreign currency exchange contracts and notional amounts presented above represent the Fund’s total exposure in such contracts, whereas only the net unrealized appreciation (depreciation) and variation margin are reflected in the Fund’s net assets.
1See Note 6 in “Notes to financial statements.”
Summary of abbreviations:
ADR – American Depositary Receipt
BMO – Bank of Montreal
BNYM – Bank of New York Mellon
CAD – Canadian Dollar
EAFE – Europe Australasia Far East
ETF – Exchange-Traded Fund
FTSE – Financial Times Stock Exchange
GBP – British Pound Sterling
GDR – Global Depositary Receipt
GS – Goldman Sachs
LLC – Limited Liability Company
MSCI – Morgan Stanley Capital International
MSCS – Morgan Stanley Capital Services LLC
117
Schedules of investments
Delaware Hedged U.S. Equity Opportunities Fund
Summary of abbreviations: (continued)
S&P – Standard & Poor’s Financial Services LLC
TSX – Toronto Stock Exchange
USD – US Dollar
See accompanying notes, which are an integral part of the financial statements.
118
Schedules of investments | |
Delaware Premium Income Fund | March 31, 2020 (Unaudited) |
Number of shares | Value (US $) | |||||
Common Stock – 111.89% | ||||||
Communication Services – 7.12% | ||||||
Comcast Class A ~ | 64,600 | $ | 2,220,948 | |||
Verizon Communications ~ | 50,600 | 2,718,738 | ||||
ViacomCBS Class B ~ | 61,200 | 857,412 | ||||
5,797,098 | ||||||
Consumer Discretionary – 7.34% | ||||||
Home Depot ~ | 10,500 | 1,960,455 | ||||
TJX ~ | 35,300 | 1,687,693 | ||||
Whirlpool ~ | 27,100 | 2,325,180 | ||||
5,973,328 | ||||||
Consumer Staples – 14.85% | ||||||
Colgate-Palmolive ~ | 15,600 | 1,035,216 | ||||
Constellation Brands Class A ~ | 14,400 | 2,064,384 | ||||
General Mills ~ | 59,900 | 3,160,923 | ||||
Kellogg ~ | 17,100 | 1,025,829 | ||||
Mondelez International Class A ~ | 29,200 | 1,462,336 | ||||
Philip Morris International ~ | 45,700 | 3,334,272 | ||||
12,082,960 | ||||||
Energy – 6.37% | ||||||
Chevron ~ | 36,100 | 2,615,806 | ||||
ConocoPhillips ~ | 40,600 | 1,250,480 | ||||
Exxon Mobil ~ | 16,200 | 615,114 | ||||
Halliburton ~ | 88,800 | 608,280 | ||||
Kinder Morgan ~ | 2,000 | 27,840 | ||||
Occidental Petroleum ~ | 5,500 | 63,690 | ||||
5,181,210 | ||||||
Financials – 17.34% | ||||||
American Express ~ | 39,200 | 3,355,912 | ||||
Bank of America ~ | 97,200 | 2,063,556 | ||||
BlackRock ~ | 10,200 | 4,487,694 | ||||
Discover Financial Services ~ | 41,900 | 1,494,573 | ||||
JPMorgan Chase & Co. ~ | 8,600 | 774,258 | ||||
Travelers ~ | 16,000 | 1,589,600 | ||||
Wells Fargo & Co. ~ | 11,900 | 341,530 | ||||
14,107,123 | ||||||
Healthcare – 11.47% | ||||||
Amgen ~ | 19,100 | 3,872,143 | ||||
Bristol-Myers Squibb ~ | 32,300 | 1,800,402 | ||||
Merck & Co. ~ | 19,900 | 1,531,106 | ||||
Pfizer ~ | 65,100 | 2,124,864 | ||||
9,328,515 | ||||||
Industrials – 19.80% | ||||||
Boeing ~ | 7,500 | 1,118,550 |
119
Schedules of investments
Delaware Premium Income Fund
Number of shares | Value (US $) | ||||
Common Stock(continued) | |||||
Industrials(continued) | |||||
CSX ~ | 30,200 | $ | 1,730,460 | ||
Delta Air Lines ~ | 31,200 | 890,136 | |||
General Dynamics ~ | 16,600 | 2,196,346 | |||
Honeywell International ~ | 15,600 | 2,087,124 | |||
Lockheed Martin ~ | 8,700 | 2,948,865 | |||
Raytheon ~ | 16,900 | 2,216,435 | |||
United Parcel Service Class B ~ | 31,300 | 2,924,046 | |||
16,111,962 | |||||
Information Technology – 19.43% | |||||
Apple ~ | 7,400 | 1,881,746 | |||
Broadcom ~ | 13,900 | 3,295,690 | |||
Cisco Systems ~ | 77,600 | 3,050,456 | |||
Corning ~ | 94,100 | 1,932,814 | |||
International Business Machines ~ | 7,400 | 820,882 | |||
Microsoft ~ | 11,700 | 1,845,207 | |||
Oracle ~ | 53,500 | 2,585,655 | |||
Texas Instruments ~ | 4,000 | 399,720 | |||
15,812,170 | |||||
Materials – 5.55% | |||||
Dow ~ | 31,700 | 926,908 | |||
DuPont de Nemours ~ | 50,600 | 1,725,460 | |||
Nucor ~ | 51,700 | 1,862,234 | |||
4,514,602 | |||||
Utilities – 2.62% | |||||
Exelon ~ | 58,000 | 2,134,980 | |||
2,134,980 | |||||
Total Common Stock(cost $121,197,270) | 91,043,948 | ||||
Short-Term Investments – 2.90% | |||||
Money Market Mutual Fund – 2.90% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 472,087 | 472,087 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 472,087 | 472,087 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 472,088 | 472,088 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 472,088 | 472,088 |
120
Number of shares | Value (US $) | ||||||
Short-Term Investments(continued) | |||||||
Money Market Mutual Fund(continued) | |||||||
State Street Institutional US Government Money Market | |||||||
Fund – Investor Class (seven-day effective yield 0.24%) | 472,088 | $ | 472,088 | ||||
Total Short-Term Investments(cost $2,360,438) | 2,360,438 | ||||||
Total Value of Securities Before Options Written – 114.79% | |||||||
(cost $123,557,708) | 93,404,386 | ||||||
Number of contracts | |||||||
Options Written – (13.90%) | |||||||
Equity Call Options – (13.90%) | |||||||
American Express strike price $110, expiration date | |||||||
1/15/21, notional amount ($4,312,000) | (392 | ) | (196,980 | ) | |||
Amgen strike price $190, expiration date 10/16/20, | |||||||
notional amount ($3,629,000) | (191 | ) | (521,907 | ) | |||
Apple strike price $240, expiration date 1/15/21, notional | |||||||
amount ($888,000) | (37 | ) | (141,062 | ) | |||
Apple strike price $250, expiration date 9/18/20, notional | |||||||
amount ($925,000) | (37 | ) | (109,520 | ) | |||
Bank of America strike price $25, expiration date 1/15/21, | |||||||
notional amount ($2,430,000) | (972 | ) | (174,960 | ) | |||
BlackRock strike price $410, expiration date 1/15/21, | |||||||
notional amount ($451,000) | (11 | ) | (87,175 | ) | |||
BlackRock strike price $420, expiration date 9/18/20, | |||||||
notional amount ($2,604,000) | (62 | ) | (399,280 | ) | |||
BlackRock strike price $460, expiration date 1/15/21, | |||||||
notional amount ($1,334,000) | (29 | ) | (155,150 | ) | |||
Boeing strike price $200, expiration date 1/15/21, notional | |||||||
amount ($400,000) | (20 | ) | (42,200 | ) | |||
Boeing strike price $260, expiration date 9/18/20, notional | |||||||
amount ($988,000) | (38 | ) | (17,385 | ) | |||
Boeing strike price $270, expiration date 9/18/20, notional | |||||||
amount ($459,000) | (17 | ) | (6,290 | ) | |||
Bristol-Myers Squibb strike price $40, expiration date | |||||||
6/19/20, notional amount ($20,000) | (5 | ) | (7,912 | ) | |||
Bristol-Myers Squibb strike price $43, expiration date | |||||||
6/19/20, notional amount ($51,600) | (12 | ) | (15,780 | ) | |||
Bristol-Myers Squibb strike price $52.50, expiration date | |||||||
1/15/21, notional amount ($1,606,500) | (306 | ) | (221,085 | ) | |||
Broadcom strike price $240, expiration date 6/19/20, | |||||||
notional amount ($984,000) | (41 | ) | (90,610 | ) | |||
Broadcom strike price $270, expiration date 9/18/20, | |||||||
notional amount ($2,646,000) | (98 | ) | (142,590 | ) | |||
Chevron strike price $52.50, expiration date 3/19/21, | |||||||
notional amount ($1,338,750) | (255 | ) | (618,375 | ) |
121
Schedules of investments
Delaware Premium Income Fund
Number of contracts | Value (US $) | ||||||
Options Written(continued) | |||||||
Equity Call Options(continued) | |||||||
Chevron strike price $100, expiration date 1/15/21, | |||||||
notional amount ($1,060,000) | (106 | ) | $ | (22,525 | ) | ||
Cisco Systems strike price $30, expiration date 1/15/21, | |||||||
notional amount ($387,000) | (129 | ) | (133,515 | ) | |||
Cisco Systems strike price $42.50, expiration date | |||||||
9/18/20, notional amount ($2,749,750) | (647 | ) | (164,338 | ) | |||
Colgate-Palmolive strike price $60, expiration date | |||||||
8/21/20, notional amount ($936,000) | (156 | ) | (145,860 | ) | |||
Comcast strike price $35, expiration date 1/15/21, notional | |||||||
amount ($1,718,500) | (491 | ) | (220,950 | ) | |||
Comcast strike price $37.50, expiration date 1/15/21, | |||||||
notional amount ($581,250) | (155 | ) | (49,988 | ) | |||
ConocoPhillips strike price $30, expiration date 1/15/21, | |||||||
notional amount ($375,000) | (125 | ) | (72,500 | ) | |||
ConocoPhillips strike price $35, expiration date 1/15/21, | |||||||
notional amount ($983,500) | (281 | ) | (129,962 | ) | |||
Constellation Brands strike price $155, expiration date | |||||||
7/17/20, notional amount ($403,000) | (26 | ) | (28,470 | ) | |||
Constellation Brands strike price $165, expiration date | |||||||
1/15/21, notional amount ($1,947,000) | (118 | ) | (162,250 | ) | |||
Corning strike price $20, expiration date 1/15/21, notional | |||||||
amount ($1,100,000) | (550 | ) | (191,125 | ) | |||
Corning strike price $25, expiration date 1/15/21, notional | |||||||
amount ($977,500) | (391 | ) | (65,688 | ) | |||
CSX strike price $60, expiration date 1/15/21, notional | |||||||
amount ($1,812,000) | (302 | ) | (231,030 | ) | |||
Delta Air Lines strike price $37, expiration date 9/18/20, | |||||||
notional amount ($666,000) | (180 | ) | (58,050 | ) | |||
Delta Air Lines strike price $50, expiration date 9/18/20, | |||||||
notional amount ($660,000) | (132 | ) | (14,256 | ) | |||
Discover Financial Services strike price $50, expiration | |||||||
date 1/15/21, notional amount ($430,000) | (86 | ) | (22,790 | ) | |||
Discover Financial Services strike price $57.50, expiration | |||||||
date 1/15/21, notional amount ($1,489,250) | (259 | ) | (40,145 | ) | |||
Discover Financial Services strike price $65, expiration | |||||||
date 1/15/21, notional amount ($481,000) | (74 | ) | (5,180 | ) | |||
Dow strike price $25, expiration date 1/15/21, notional | |||||||
amount ($280,000) | (112 | ) | (87,360 | ) | |||
Dow strike price $32.50, expiration date 1/15/21, notional | |||||||
amount ($666,250) | (205 | ) | (70,725 | ) | |||
DuPont de Nemours strike price $52.50, expiration date | |||||||
1/15/21, notional amount ($2,656,500) | (506 | ) | (54,395 | ) | |||
Exelon strike price $40, expiration date 1/15/21, notional | |||||||
amount ($2,320,000) | (580 | ) | (187,050 | ) |
122
Number of contracts | Value (US $) | ||||||
Options Written(continued) | |||||||
Equity Call Options(continued) | |||||||
Exxon Mobil strike price $45, expiration date 1/15/21, | |||||||
notional amount ($729,000) | (162 | ) | $ | (54,270 | ) | ||
General Dynamics strike price $150, expiration date | |||||||
1/15/21, notional amount ($1,170,000) | (78 | ) | (70,200 | ) | |||
General Dynamics strike price $155, expiration date | |||||||
1/15/21, notional amount ($1,364,000) | (88 | ) | (56,760 | ) | |||
General Mills strike price $45, expiration date 1/15/21, | |||||||
notional amount ($2,389,500) | (531 | ) | (545,602 | ) | |||
General Mills strike price $47.50, expiration date 4/17/20, | |||||||
notional amount ($323,000) | (68 | ) | (34,680 | ) | |||
Halliburton strike price $10, expiration date 1/15/21, | |||||||
notional amount ($888,000) | (888 | ) | (116,772 | ) | |||
Home Depot strike price $185, expiration date 9/18/20, | |||||||
notional amount ($1,350,500) | (73 | ) | (175,018 | ) | |||
Home Depot strike price $190, expiration date 9/18/20, | |||||||
notional amount ($608,000) | (32 | ) | (62,640 | ) | |||
Honeywell International strike price $95, expiration date | |||||||
1/15/21, notional amount ($1,130,500) | (119 | ) | (536,690 | ) | |||
Honeywell International strike price $105, expiration date | |||||||
1/15/21, notional amount ($388,500) | (37 | ) | (137,363 | ) | |||
International Business Machines strike price $115, | |||||||
expiration date 1/15/21, notional amount ($241,500) | (21 | ) | (22,470 | ) | |||
International Business Machines strike price $125, | |||||||
expiration date 9/18/20, notional amount ($662,500) | (53 | ) | (29,150 | ) | |||
JPMorgan Chase & Co. strike price $100, expiration date | |||||||
1/15/21, notional amount ($10,000) | (1 | ) | (800 | ) | |||
JPMorgan Chase & Co. strike price $105, expiration date | |||||||
1/15/21, notional amount ($892,500) | (85 | ) | (54,825 | ) | |||
Kellogg strike price $57.50, expiration date 1/15/21, | |||||||
notional amount ($983,250) | (171 | ) | (147,060 | ) | |||
Kinder Morgan strike price $17, expiration date 6/19/20, | |||||||
notional amount ($34,000) | (20 | ) | (640 | ) | |||
Lockheed Martin strike price $365, expiration date | |||||||
1/15/21, notional amount ($3,175,500) | (87 | ) | (271,440 | ) | |||
Merck & Co. strike price $72.50, expiration date 1/15/21, | |||||||
notional amount ($1,442,750) | (199 | ) | (175,120 | ) | |||
Microsoft strike price $135, expiration date 10/16/20, | |||||||
notional amount ($904,500) | (67 | ) | (210,548 | ) | |||
Microsoft strike price $140, expiration date 1/15/21, | |||||||
notional amount ($700,000) | (50 | ) | (148,625 | ) | |||
Mondelez International strike price $45, expiration date | |||||||
6/19/20, notional amount ($1,314,000) | (292 | ) | (205,860 | ) | |||
Nucor strike price $35, expiration date 1/15/21, notional | |||||||
amount ($1,809,500) | (517 | ) | (368,362 | ) |
123
Schedules of investments
Delaware Premium Income Fund
Number of contracts | Value (US $) | ||||||
Options Written(continued) | |||||||
Equity Call Options(continued) | |||||||
Occidental Petroleum strike price $20, expiration date | |||||||
1/15/21, notional amount ($110,000) | (55 | ) | $ | (13,805 | ) | ||
Oracle strike price $42.50, expiration date 9/18/20, | |||||||
notional amount ($918,000) | (216 | ) | (189,540 | ) | |||
Oracle strike price $47, expiration date 1/15/21, notional | |||||||
amount ($484,100) | (103 | ) | (63,860 | ) | |||
Oracle strike price $47.50, expiration date 6/19/20, | |||||||
notional amount ($1,026,000) | (216 | ) | (95,580 | ) | |||
Pfizer strike price $30, expiration date 1/15/21, notional | |||||||
amount ($318,000) | (106 | ) | (46,640 | ) | |||
Pfizer strike price $33, expiration date 1/15/21, notional | |||||||
amount ($732,600) | (222 | ) | (60,495 | ) | |||
Pfizer strike price $35, expiration date 1/15/21, notional | |||||||
amount ($1,130,500) | (323 | ) | (56,848 | ) | |||
Philip Morris International strike price $72.50, expiration | |||||||
date 1/15/21, notional amount ($3,313,250) | (457 | ) | (413,585 | ) | |||
Raytheon strike price $165, expiration date 6/19/20, | |||||||
notional amount ($2,508,000) | (152 | ) | (47,500 | ) | |||
Raytheon strike price $195, expiration date 8/21/20, | |||||||
notional amount ($331,500) | (17 | ) | (3,613 | ) | |||
Texas Instruments strike price $87.50, expiration date | |||||||
1/15/21, notional amount ($350,000) | (40 | ) | (78,600 | ) | |||
TJX strike price $42.50, expiration date 1/15/21, notional | |||||||
amount ($93,500) | (22 | ) | (23,870 | ) | |||
TJX strike price $47.50, expiration date 4/17/20, notional | |||||||
amount ($23,750) | (5 | ) | (1,838 | ) | |||
TJX strike price $50, expiration date 1/15/21, notional | |||||||
amount ($570,000) | (114 | ) | (72,960 | ) | |||
TJX strike price $55, expiration date 7/17/20, notional | |||||||
amount ($1,166,000) | (212 | ) | (47,700 | ) | |||
Travelers strike price $95, expiration date 1/15/21, notional | |||||||
amount ($1,520,000) | (160 | ) | (284,800 | ) | |||
United Parcel Service strike price $80, expiration date | |||||||
1/15/21, notional amount ($2,504,000) | (313 | ) | (622,870 | ) | |||
Verizon Communications strike price $52.50, expiration | |||||||
date 1/15/21, notional amount ($2,656,500) | (506 | ) | (258,060 | ) | |||
ViacomCBS strike price $20, expiration date 1/15/21, | |||||||
notional amount ($1,224,000) | (612 | ) | (97,920 | ) | |||
Wells Fargo & Co. strike price $40, expiration date | |||||||
10/16/20, notional amount ($476,000) | (119 | ) | (8,330 | ) |
124
Number of contracts | Value (US $) | ||||||
Options Written(continued) | |||||||
Equity Call Options(continued) | |||||||
Whirlpool strike price $100, expiration date 1/15/21, | |||||||
notional amount ($2,460,000) | (246 | ) | $ | (276,750 | ) | ||
Whirlpool strike price $125, expiration date 1/15/21, | |||||||
notional amount ($312,500) | (25 | ) | (11,875 | ) | |||
Total Options Written | |||||||
(premium received $19,880,764) | $ | (11,308,347 | ) |
~ | All or portion of the security has been pledged as collateral with outstanding options written. |
GS – Goldman Sachs
See accompanying notes, which are an integral part of the financial statements.
125
Schedules of investments | |
Delaware Total Return Fund | March 31, 2020 (Unaudited) |
Number of Shares | Value (US $) | ||||
Common Stock – 57.93% | |||||
Communication Services – 5.08% | |||||
AT&T | 237,800 | $ | 6,931,870 | ||
Comcast Class A | 184,867 | 6,355,727 | |||
KDDI | 26,500 | 782,773 | |||
Orange | 50,100 | 606,584 | |||
Publicis Groupe | 20,790 | 594,156 | |||
Verizon Communications | 132,800 | 7,135,344 | |||
Walt Disney | 59,378 | 5,735,915 | |||
28,142,369 | |||||
Consumer Discretionary – 3.82% | |||||
adidas AG | 1,750 | 388,548 | |||
Amazon.com † | 2,489 | 4,852,853 | |||
Dollar Tree † | 102,900 | 7,560,063 | |||
Hennes & Mauritz Class B | 12,600 | 161,240 | |||
Lowe’s | 82,700 | 7,116,335 | |||
Next | 3,330 | 167,062 | |||
Sodexo | 7,300 | 490,233 | |||
Swatch Group | 2,060 | 404,581 | |||
21,140,915 | |||||
Consumer Staples – 5.42% | |||||
Archer-Daniels-Midland | 222,900 | 7,841,622 | |||
Asahi Group Holdings | 11,900 | 386,074 | |||
Conagra Brands | 268,400 | 7,874,856 | |||
Danone | 15,280 | 977,893 | |||
Diageo | 19,630 | 622,458 | |||
Kao | 4,200 | 342,167 | |||
Kerry Group Class A | 2,210 | 256,415 | |||
Kirin Holdings | 11,100 | 219,228 | |||
Koninklijke Ahold Delhaize | 51,170 | 1,192,085 | |||
Lawson | 7,600 | 417,162 | |||
Mondelez International Class A | 159,000 | 7,962,720 | |||
Nestle | 10,190 | 1,043,128 | |||
Seven & i Holdings | 25,600 | 845,437 | |||
29,981,245 | |||||
Energy – 1.60% | |||||
ConocoPhillips | 159,600 | 4,915,680 | |||
Marathon Oil | 411,979 | 1,355,411 | |||
Occidental Petroleum | 223,000 | 2,582,340 | |||
8,853,431 | |||||
Financials – 8.54% | |||||
Allstate | 81,000 | 7,430,130 | |||
American International Group | 197,600 | 4,791,800 | |||
Annaly Capital Management | 59,906 | 303,723 |
126
Number of Shares | Value (US $) | ||||
Common Stock(continued) | |||||
Financials(continued) | |||||
Bank of New York Mellon | 199,700 | $ | 6,725,896 | ||
Blackstone Group Class A | 22,158 | 1,009,740 | |||
Hercules Capital | 337,200 | 2,576,208 | |||
JPMorgan Chase & Co. | 53,942 | 4,856,398 | |||
Marsh & McLennan | 81,900 | 7,081,074 | |||
Sc Hixson Pp = | 7,200,000 | 6,840,000 | |||
Truist Financial | 183,100 | 5,646,804 | |||
47,261,773 | |||||
Healthcare – 11.58% | |||||
Abbott Laboratories | 94,300 | 7,441,213 | |||
AbbVie | 27,334 | 2,082,577 | |||
Brookdale Senior Living † | 1,503,698 | 4,691,538 | |||
Cardinal Health | 164,300 | 7,876,542 | |||
Cigna | 45,700 | 8,097,126 | |||
CVS Health | 129,900 | 7,706,967 | |||
Fresenius Medical Care AG & Co. | 13,040 | 851,199 | |||
Johnson & Johnson | 56,000 | 7,343,280 | |||
Merck & Co. | 99,800 | 7,678,612 | |||
Novo Nordisk Class B | 20,820 | 1,243,289 | |||
Pfizer | 242,600 | 7,918,464 | |||
Roche Holding | 3,650 | 1,174,358 | |||
64,105,165 | |||||
Industrials – 4.79% | |||||
Caterpillar | 37,451 | 4,345,814 | |||
G4S | 304,830 | 346,715 | |||
General Electric | 123,782 | 982,829 | |||
Honeywell International | 34,750 | 4,649,203 | |||
Makita | 14,700 | 448,405 | |||
Northrop Grumman | 25,700 | 7,775,535 | |||
Raytheon | 44,900 | 5,888,635 | |||
Secom | 3,100 | 256,396 | |||
Securitas Class B | 44,390 | 476,858 | |||
Waste Management | 14,387 | 1,331,661 | |||
26,502,051 | |||||
Information Technology – 7.11% | |||||
Broadcom | 31,700 | 7,516,070 | |||
Cisco Systems | 206,000 | 8,097,860 | |||
Intel | 143,100 | 7,744,572 | |||
Microsoft | 41,365 | 6,523,674 | |||
Oracle | 151,600 | 7,326,828 | |||
Texas Instruments | 21,747 | 2,173,178 | |||
39,382,182 |
127
Schedules of investments
Delaware Total Return Fund
Number of Shares | Value (US $) | ||||
Common Stock(continued) | |||||
Materials – 1.24% | |||||
Air Liquide | 7,670 | $ | 979,056 | ||
DuPont de Nemours | 173,000 | 5,899,300 | |||
6,878,356 | |||||
REITs Diversified – 0.31% | |||||
Lexington Realty Trust | 171,358 | 1,701,585 | |||
1,701,585 | |||||
REITs Healthcare – 0.93% | |||||
Assura | 2,183,187 | 2,263,107 | |||
Healthpeak Properties | 84,082 | 2,005,356 | |||
Sabra Health Care REIT | 50,300 | 549,276 | |||
Welltower | 7,527 | 344,586 | |||
5,162,325 | |||||
REITs Hotel – 0.36% | |||||
MGM Growth Properties Class A | 24,700 | 584,649 | |||
VICI Properties | 83,365 | 1,387,194 | |||
1,971,843 | |||||
REITs Industrial – 0.59% | |||||
Americold Realty Trust | 16,735 | 569,659 | |||
Granite Real Estate Investment Trust | 20,445 | 844,502 | |||
Prologis | 22,700 | 1,824,399 | |||
3,238,560 | |||||
REITs Information Technology – 0.04% | |||||
American Tower | 973 | 211,871 | |||
211,871 | |||||
REITs Mall – 0.06% | |||||
Simon Property Group | 6,374 | 349,678 | |||
349,678 | |||||
REITs Manufactured Housing – 0.58% | |||||
Equity LifeStyle Properties | 25,000 | 1,437,000 | |||
Sun Communities | 14,400 | 1,797,840 | |||
3,234,840 | |||||
REITs Multifamily – 3.13% | |||||
Apartment Investment & Management Class A | 23,608 | 829,821 | |||
AvalonBay Communities | 500 | 73,585 | |||
Bluerock Residential Growth REIT | 88,055 | 490,466 | |||
Camden Property Trust | 19,344 | 1,532,819 | |||
Equity Residential | 115,300 | 7,115,163 | |||
Front Yard Residential | 63,537 | 759,267 | |||
Grainger | 309,506 | 984,952 | |||
Invitation Homes | 79,451 | 1,697,868 | |||
Killam Apartment Real Estate Investment Trust | 98,771 | 1,107,515 |
128
Number of Shares | Value (US $) | ||||
Common Stock(continued) | |||||
REITs Multifamily(continued) | |||||
NexPoint Residential Trust | 23,710 | $ | 597,729 | ||
UDR | 57,900 | 2,115,666 | |||
17,304,851 | |||||
REITs Office – 0.35% | |||||
Alpine Income Property Trust | 100,000 | 1,231,000 | |||
Cousins Properties | 13,321 | 389,906 | |||
Postal Realty Trust Class A | 20,291 | 321,004 | |||
1,941,910 | |||||
REITs Self-Storage – 0.16% | |||||
Extra Space Storage | 9,201 | 881,088 | |||
881,088 | |||||
REITs Single Tenant – 0.38% | |||||
National Retail Properties | 16,600 | 534,354 | |||
Spirit Realty Capital | 28,600 | 747,890 | |||
STORE Capital | 44,102 | 799,128 | |||
2,081,372 | |||||
REITs Specialty – 0.13% | |||||
Safehold | 11,778 | 744,723 | |||
744,723 | |||||
Utilities – 1.73% | |||||
Edison International | 130,200 | 7,133,658 | |||
NextEra Energy | 7,065 | 1,699,980 | |||
TerraForm Power Class A | 46,406 | 731,823 | |||
9,565,461 | |||||
Total Common Stock(cost $380,211,294) | 320,637,594 | ||||
Convertible Preferred Stock – 2.48% | |||||
AMG Capital Trust II 5.15% exercise price $195.47, | |||||
maturity date 10/15/37 | 44,463 | 1,353,343 | |||
Bank of America 7.25% exercise price $50.00Ψ | 1,598 | 2,023,100 | |||
El Paso Energy Capital Trust I 4.75% exercise price | |||||
$34.49, maturity date 3/31/28 | 60,947 | 2,620,721 | |||
Lyondellbasell Advanced Polymers 6.00% exercise price | |||||
$52.33 Ψ | 3,298 | 3,411,163 | |||
QTS Realty Trust 6.50% exercise price $46.94Ψ | 18,800 | 2,416,928 | |||
Wells Fargo & Co. 7.50% exercise price $156.71Ψ | 1,475 | 1,879,180 | |||
Total Convertible Preferred Stock(cost $15,552,827) | 13,704,435 | ||||
Exchange-Traded Funds – 1.16% | |||||
iShares MSCI EAFE ETF | 60 | 3,208 | |||
SPDR Gold Shares † | 22,903 | 3,390,789 |
129
Schedules of investments
Delaware Total Return Fund
Number of Shares | Value (US $) | ||||||
Exchange-Traded Funds(continued) | |||||||
VanEck Vectors High-Yield Municipal Index ETF | 56,489 | $ | 2,952,115 | ||||
Vanguard FTSE Developed Markets ETF | 2,230 | 74,348 | |||||
Total Exchange-Traded Funds(cost $7,007,444) | 6,420,460 | ||||||
Principal amount° | |||||||
Agency Mortgage-Backed Securities – 0.69% | |||||||
Fannie Mae S.F. 30 yr | |||||||
4.00% 3/1/47 | 660,887 | 710,996 | |||||
4.50% 9/1/40 | 310,147 | 339,822 | |||||
5.00% 11/1/40 | 194,268 | 215,526 | |||||
5.50% 5/1/33 | 45,657 | 51,350 | |||||
5.50% 10/1/33 | 67,194 | 75,926 | |||||
5.50% 12/1/34 | 82,722 | 93,503 | |||||
5.50% 9/1/35 | 49,538 | 56,085 | |||||
5.50% 1/1/37 | 60,740 | 68,812 | |||||
5.50% 10/1/39 | 98,650 | 111,866 | |||||
6.00% 5/1/36 | 57,149 | 63,744 | |||||
6.00% 6/1/37 | 16,349 | 18,784 | |||||
6.00% 7/1/37 | 21,430 | 24,619 | |||||
6.00% 8/1/37 | 22,136 | 25,437 | |||||
6.00% 10/1/40 | 197,157 | 227,021 | |||||
6.50% 11/1/33 | 96,638 | 109,273 | |||||
6.50% 6/1/36 | 38,267 | 43,960 | |||||
7.00% 3/1/32 | 185,031 | 210,695 | |||||
7.00% 8/1/32 | 271,782 | 298,284 | |||||
Freddie Mac S.F. 30 yr | |||||||
4.50% 10/1/40 | 500,716 | 548,921 | |||||
5.50% 5/1/38 | 152,051 | 172,124 | |||||
5.50% 9/1/39 | 110,688 | 125,574 | |||||
5.50% 10/1/39 | 214,042 | 235,744 | |||||
Total Agency Mortgage-Backed Securities(cost $3,660,166) | 3,828,066 | ||||||
Collateralized Debt Obligation – 0.17% | |||||||
Octagon Investment Partners | |||||||
144A 2.959% (LIBOR03M + 1.14%) 1/20/30 #● | 1,000,000 | 960,431 | |||||
Total Collateralized Debt Obligation(cost $998,845) | 960,431 | ||||||
Convertible Bonds – 10.36% | |||||||
Capital Goods – 0.38% | |||||||
Chart Industries 144A 1.00% exercise price $58.73, | |||||||
expiration date 11/15/24 # | 1,424,000 | 1,120,010 |
130
Principal amount° | Value (US $) | |||||
Convertible Bonds(continued) | ||||||
Capital Goods(continued) | ||||||
Dycom Industries 0.75% exercise price $96.89, expiration | ||||||
date 9/15/21 | 1,194,000 | $ | 1,013,407 | |||
2,133,417 | ||||||
Communications – 1.81% | ||||||
DISH Network 2.375% exercise price $82.22, expiration | ||||||
date 3/15/24 | 3,290,000 | 2,619,663 | ||||
GCI Liberty 144A 1.75% exercise price $370.52, expiration | ||||||
date 9/30/46 # | 2,506,000 | 3,167,003 | ||||
InterDigital 144A 2.00% exercise price $81.29, expiration | ||||||
date 6/1/24 # | 2,157,000 | 1,985,842 | ||||
Liberty Media 2.25% exercise price $33.85, expiration date | ||||||
9/30/46 | 4,788,000 | 2,252,697 | ||||
10,025,205 | ||||||
Consumer Cyclical – 0.19% | ||||||
Meritor 3.25% exercise price $39.92, expiration date | ||||||
10/15/37 | 1,238,000 | 1,053,848 | ||||
1,053,848 | ||||||
Consumer Non-Cyclical – 2.29% | ||||||
BioMarin Pharmaceutical 0.599% exercise price $124.67, | ||||||
expiration date 8/1/24 | 1,762,000 | 1,850,862 | ||||
Chefs’ Warehouse 144A 1.875% exercise price $44.20, | ||||||
expiration date 12/1/24 # | 1,030,000 | 640,531 | ||||
Collegium Pharmaceutical 2.625% exercise price $29.19, | ||||||
expiration date 2/15/26 | 478,000 | 437,623 | ||||
FTI Consulting 2.00% exercise price $101.38, expiration | ||||||
date 8/15/23 | 2,328,000 | 3,048,012 | ||||
Integra LifeSciences Holdings 144A 0.50% exercise price | ||||||
$73.67, expiration date 8/15/25 # | 1,651,000 | 1,467,049 | ||||
Jazz Investments I 1.875% exercise price $199.77, | ||||||
expiration date 8/15/21 | 1,703,000 | 1,619,979 | ||||
Paratek Pharmaceuticals 4.75% exercise price $15.90, | ||||||
expiration date 5/1/24 | 2,298,000 | 1,789,682 | ||||
Team 5.00% exercise price $21.70, expiration date | ||||||
8/1/23 | 2,422,000 | 1,846,775 | ||||
12,700,513 | ||||||
Energy – 1.27% | ||||||
Cheniere Energy 4.25% exercise price $138.38, expiration | ||||||
date 3/15/45 | 4,457,000 | 2,206,894 | ||||
Helix Energy Solutions Group 4.25% exercise price | ||||||
$13.89, expiration date 5/1/22 | 2,113,000 | 1,594,219 | ||||
PDC Energy 1.125% exercise price $85.39, expiration date | ||||||
9/15/21 | 3,930,000 | 3,225,162 | ||||
7,026,275 |
131
Schedules of investments
Delaware Total Return Fund
Principal amount° | Value (US $) | |||||
Convertible Bonds(continued) | ||||||
Financials – 0.49% | ||||||
GAIN Capital Holdings 5.00% exercise price $8.20, | ||||||
expiration date 8/15/22 | 2,719,000 | $ | 2,709,410 | |||
2,709,410 | ||||||
Real Estate Investment Trusts – 0.35% | ||||||
Blackstone Mortgage Trust 4.75% exercise price $36.23, | ||||||
expiration date 3/15/23 | 2,464,000 | 1,946,560 | ||||
1,946,560 | ||||||
Technology – 3.23% | ||||||
Boingo Wireless 1.00% exercise price $42.32, expiration | ||||||
date 10/1/23 | 4,145,000 | 3,703,578 | ||||
CSG Systems International 4.25% exercise price $56.81, | ||||||
expiration date 3/15/36 | 2,198,000 | 2,243,974 | ||||
Knowles 3.25% exercise price $18.43, expiration date | ||||||
11/1/21 | 932,000 | 961,708 | ||||
Ligand Pharmaceuticals 0.75% exercise price $248.48, | ||||||
expiration date 5/15/23 | 1,332,000 | 1,103,063 | ||||
ON Semiconductor 1.625% exercise price $20.72, | ||||||
expiration date 10/15/23 | 819,000 | 815,498 | ||||
Pluralsight 144A 0.375% exercise price $38.76, expiration | ||||||
date 3/1/24 # | 2,801,000 | 2,073,440 | ||||
Quotient Technology 1.75% exercise price $17.36, | ||||||
expiration date 12/1/22 | 2,421,000 | 2,173,185 | ||||
Retrophin 2.50% exercise price $38.80, expiration date | ||||||
9/15/25 | 2,142,000 | 1,690,889 | ||||
Synaptics 0.50% exercise price $73.02, expiration date | ||||||
6/15/22 | 819,000 | 853,496 | ||||
Verint Systems 1.50% exercise price $64.46, expiration | ||||||
date 6/1/21 | 2,316,000 | 2,244,583 | ||||
17,863,414 | ||||||
Utilities – 0.35% | ||||||
NRG Energy 2.75% exercise price $47.74, expiration date | ||||||
6/1/48 | 2,008,000 | 1,917,640 | ||||
1,917,640 | ||||||
Total Convertible Bonds(cost $64,654,567) | 57,376,282 |
132
Principal amount° | Value (US $) | |||||
Corporate Bonds – 14.57% | ||||||
Banking – 1.39% | ||||||
Ally Financial | ||||||
5.75% 11/20/25 | 1,275,000 | $ | 1,256,767 | |||
8.00% 11/1/31 | 50,000 | 57,753 | ||||
Banco de Credito del Peru 144A 2.70% 1/11/25 # | 302,000 | 277,463 | ||||
Bancolombia 3.00% 1/29/25 | 270,000 | 242,935 | ||||
Bank of America | ||||||
2.496% 2/13/31 µ | 475,000 | 457,502 | ||||
3.458% 3/15/25 µ | 275,000 | 284,043 | ||||
4.083% 3/20/51 µ | 20,000 | 22,765 | ||||
BBVA Bancomer 144A 5.125% 1/18/33 #µ | 577,000 | 482,127 | ||||
Credit Suisse Group | ||||||
144A 3.869% 1/12/29 #µ | 275,000 | 278,926 | ||||
144A 6.25%#µψ | 625,000 | 580,380 | ||||
Development Bank of Mongolia 144A 7.25% 10/23/23 # | 265,000 | 229,216 | ||||
Goldman Sachs Group | ||||||
2.60% 2/7/30 | 25,000 | 23,580 | ||||
3.50% 4/1/25 | 10,000 | 10,159 | ||||
JPMorgan Chase & Co. | ||||||
4.023% 12/5/24 µ | 150,000 | 159,167 | ||||
4.60% µψ | 30,000 | 26,293 | ||||
5.00% µψ | 130,000 | 121,965 | ||||
KeyBank 3.40% 5/20/26 | 275,000 | 287,163 | ||||
Morgan Stanley | ||||||
2.954% (LIBOR03M + 1.22%) 5/8/24● | 90,000 | 86,343 | ||||
3.622% 4/1/31 µ | 20,000 | 20,858 | ||||
5.00% 11/24/25 | 165,000 | 182,706 | ||||
PNC Financial Services Group 2.60% 7/23/26 | 295,000 | 298,625 | ||||
Popular 6.125% 9/14/23 | 935,000 | 873,052 | ||||
Royal Bank of Scotland Group 8.625%µψ | 910,000 | 892,096 | ||||
Truist Bank | ||||||
2.25% 3/11/30 | 260,000 | 238,707 | ||||
2.636% 9/17/29 µ | 275,000 | 263,763 | ||||
USB Capital IX 3.50% (LIBOR03M + 1.02%)ψ● | 85,000 | 63,473 | ||||
7,717,827 | ||||||
Basic Industry – 1.32% | ||||||
Allegheny Technologies 7.875% 8/15/23 | 75,000 | 72,822 | ||||
Chemours | ||||||
5.375% 5/15/27 | 665,000 | 513,663 | ||||
7.00% 5/15/25 | 160,000 | 134,201 | ||||
FMG Resources August 2006 144A 5.125% 5/15/24 # | 430,000 | 426,240 | ||||
Freeport-McMoRan | ||||||
4.55% 11/14/24 | 345,000 | 327,959 |
133
Schedules of investments
Delaware Total Return Fund
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Basic Industry(continued) | ||||||
Freeport-McMoRan | ||||||
5.45% 3/15/43 | 580,000 | $ | 523,624 | |||
HD Supply 144A 5.375% 10/15/26 # | 515,000 | 504,230 | ||||
Hudbay Minerals | ||||||
144A 7.25% 1/15/23 # | 175,000 | 153,780 | ||||
144A 7.625% 1/15/25 # | 25,000 | 21,906 | ||||
Joseph T Ryerson & Son 144A 11.00% 5/15/22 # | 50,000 | 46,874 | ||||
Koppers 144A 6.00% 2/15/25 # | 50,000 | 40,374 | ||||
Kraton Polymers 144A 7.00% 4/15/25 # | 50,000 | 44,672 | ||||
Lennar 5.00% 6/15/27 | 195,000 | 180,091 | ||||
Methanex 5.25% 12/15/29 | 275,000 | 207,204 | ||||
Minera Mexico 144A 4.50% 1/26/50 # | 307,000 | 261,044 | ||||
New Enterprise Stone & Lime 144A 6.25% 3/15/26 # | 50,000 | 46,427 | ||||
Newmont | ||||||
2.25% 10/1/30 | 130,000 | 120,548 | ||||
2.80% 10/1/29 | 275,000 | 263,645 | ||||
Novelis 144A 5.875% 9/30/26 # | 100,000 | 98,833 | ||||
Olin | ||||||
5.00% 2/1/30 | 245,000 | 211,790 | ||||
5.125% 9/15/27 | 785,000 | 706,918 | ||||
PulteGroup 5.00% 1/15/27 | 185,000 | 185,555 | ||||
Standard Industries | ||||||
144A 4.75% 1/15/28 # | 870,000 | 807,288 | ||||
144A 5.00% 2/15/27 # | 50,000 | 45,848 | ||||
144A 5.375% 11/15/24 # | 100,000 | 96,753 | ||||
144A 6.00% 10/15/25 # | 50,000 | 49,513 | ||||
Steel Dynamics 5.00% 12/15/26 | 890,000 | 930,308 | ||||
Univar Solutions USA 144A 5.125% 12/1/27 # | 320,000 | 292,976 | ||||
7,315,086 | ||||||
Brokerage – 0.05% | ||||||
Jefferies Group 4.15% 1/23/30 | 275,000 | 263,907 | ||||
263,907 | ||||||
Capital Goods – 1.06% | ||||||
Ashtead Capital 144A 4.00% 5/1/28 # | 1,120,000 | 968,240 | ||||
Berry Global 144A 5.625% 7/15/27 # | 50,000 | 52,035 | ||||
Bombardier 144A 6.00% 10/15/22 # | 425,000 | 321,937 | ||||
Carrier Global | ||||||
144A 2.242% 2/15/25 # | 15,000 | 14,699 | ||||
144A 2.493% 2/15/27 # | 15,000 | 14,387 | ||||
144A 2.722% 2/15/30 # | 15,000 | 13,890 | ||||
Cloud Crane 144A 10.125% 8/1/24 # | 25,000 | 19,844 | ||||
Colfax 144A 6.00% 2/15/24 # | 25,000 | 25,031 |
134
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Capital Goods(continued) | ||||||
Crown Americas 4.25% 9/30/26 | 775,000 | $ | 769,995 | |||
Gates Global 144A 6.25% 1/15/26 # | 246,000 | 219,064 | ||||
Greif 144A 6.50% 3/1/27 # | 50,000 | 48,233 | ||||
L3Harris Technologies | ||||||
2.90% 12/15/29 | 50,000 | 47,540 | ||||
144A 3.85% 6/15/23 # | 15,000 | 15,625 | ||||
Mauser Packaging Solutions Holding 144A 5.50% | ||||||
4/15/24 # | 970,000 | 899,646 | ||||
Otis Worldwide | ||||||
144A 2.056% 4/5/25 # | 20,000 | 19,620 | ||||
144A 2.565% 2/15/30 # | 30,000 | 29,245 | ||||
144A 3.112% 2/15/40 # | 20,000 | 19,166 | ||||
144A 3.362% 2/15/50 # | 10,000 | 9,861 | ||||
Reynolds Group Issuer 144A 5.125% 7/15/23 # | 175,000 | 174,780 | ||||
Roper Technologies 2.35% 9/15/24 | 275,000 | 267,865 | ||||
TransDigm 144A 6.25% 3/15/26 # | 790,000 | 790,491 | ||||
United Rentals North America | ||||||
4.625% 10/15/25 | 175,000 | 166,468 | ||||
5.25% 1/15/30 | 945,000 | 949,961 | ||||
5,857,623 | ||||||
Communication Services – 1.87% | ||||||
AMC Networks 4.75% 8/1/25 | 929,000 | 909,263 | ||||
Cablevision Systems 5.875% 9/15/22 | 36,000 | 36,552 | ||||
CCO Holdings | ||||||
144A 4.75% 3/1/30 # | 50,000 | 50,153 | ||||
144A 5.375% 6/1/29 # | 565,000 | 583,730 | ||||
144A 5.875% 5/1/27 # | 975,000 | 1,010,926 | ||||
Clear Channel Worldwide Holdings | ||||||
144A 5.125% 8/15/27 # | 125,000 | 117,744 | ||||
144A 9.25% 2/15/24 # | 42,000 | 36,383 | ||||
CSC Holdings | ||||||
144A 5.375% 7/15/23 # | 200,000 | 203,251 | ||||
6.75% 11/15/21 | 665,000 | 689,439 | ||||
144A 7.50% 4/1/28 # | 720,000 | 772,119 | ||||
144A 7.75% 7/15/25 # | 745,000 | 780,365 | ||||
144A 10.875% 10/15/25 # | 200,000 | 216,625 | ||||
Gray Television | ||||||
144A 5.875% 7/15/26 # | 175,000 | 169,461 | ||||
144A 7.00% 5/15/27 # | 600,000 | 600,330 | ||||
Lamar Media 5.75% 2/1/26 | 840,000 | 864,150 | ||||
Netflix | ||||||
4.875% 4/15/28 | 25,000 | 25,689 |
135
Schedules of investments
Delaware Total Return Fund
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Communication Services(continued) | ||||||
Netflix | ||||||
5.875% 2/15/25 | 75,000 | $ | 79,669 | |||
5.875% 11/15/28 | 935,000 | 1,005,639 | ||||
Nexstar Broadcasting | ||||||
144A 5.625% 8/1/24 # | 125,000 | 118,437 | ||||
144A 5.625% 7/15/27 # | 25,000 | 24,576 | ||||
Sinclair Television Group | ||||||
144A 5.125% 2/15/27 # | 565,000 | 482,252 | ||||
144A 5.625% 8/1/24 # | 75,000 | 69,563 | ||||
Sirius XM Radio | ||||||
144A 4.625% 7/15/24 # | 75,000 | 76,589 | ||||
144A 5.00% 8/1/27 # | 305,000 | 311,237 | ||||
144A 5.50% 7/1/29 # | 925,000 | 948,634 | ||||
T-Mobile USA 6.00% 3/1/23 | 175,000 | 177,059 | ||||
10,359,835 | ||||||
Communications – 1.04% | ||||||
Altice Financing 144A 5.00% 1/15/28 # | 200,000 | 178,500 | ||||
Altice France 144A 7.375% 5/1/26 # | 980,000 | 995,239 | ||||
AT&T | ||||||
4.35% 3/1/29 | 175,000 | 188,575 | ||||
4.90% 8/15/37 | 125,000 | 140,785 | ||||
Charter Communications Operating | ||||||
4.80% 3/1/50 | 70,000 | 73,285 | ||||
5.05% 3/30/29 | 165,000 | 179,499 | ||||
Comcast 3.20% 7/15/36 | 190,000 | 201,332 | ||||
Front Range BidCo 144A 4.00% 3/1/27 # | 745,000 | 717,063 | ||||
Hughes Satellite Systems 6.625% 8/1/26 | 25,000 | 25,536 | ||||
Level 3 Financing 144A 3.875% 11/15/29 # | 640,000 | 604,218 | ||||
Ooredoo International Finance 144A 5.00% 10/19/25 # | 267,000 | 282,470 | ||||
Qwest 7.25% 9/15/25 | 75,000 | 76,337 | ||||
Sprint | ||||||
7.125% 6/15/24 | 815,000 | 900,563 | ||||
7.625% 3/1/26 | 50,000 | 56,868 | ||||
7.875% 9/15/23 | 125,000 | 138,579 | ||||
Time Warner Cable 7.30% 7/1/38 | 110,000 | 135,488 | ||||
Time Warner Entertainment 8.375% 3/15/23 | 55,000 | 60,456 | ||||
T-Mobile USA 6.375% 3/1/25 | 25,000 | 25,719 | ||||
T-Mobile USA Escrow=† | 175,000 | 0 | ||||
Verizon Communications | ||||||
3.15% 3/22/30 | 10,000 | 10,776 | ||||
4.00% 3/22/50 | 5,000 | 5,961 | ||||
4.50% 8/10/33 | 220,000 | 265,379 |
136
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Communications(continued) | ||||||
ViacomCBS | ||||||
4.375% 3/15/43 | 270,000 | $ | 240,708 | |||
4.95% 1/15/31 | 15,000 | 14,879 | ||||
Vodafone Group | ||||||
4.25% 9/17/50 | 115,000 | 118,630 | ||||
4.875% 6/19/49 | 130,000 | 145,375 | ||||
5,782,220 | ||||||
Consumer Cyclical – 1.02% | ||||||
Allison Transmission 144A 5.875% 6/1/29 # | 765,000 | 755,030 | ||||
Boyd Gaming 6.00% 8/15/26 | 750,000 | 651,407 | ||||
Future Retail 144A 5.60% 1/22/25 # | 285,000 | 143,653 | ||||
General Motors Financial | ||||||
4.35% 4/9/25 | 110,000 | 98,721 | ||||
5.25% 3/1/26 | 165,000 | 145,924 | ||||
Hilton Worldwide Finance 4.875% 4/1/27 | 965,000 | 922,106 | ||||
Home Depot | ||||||
2.70% 4/15/30 | 15,000 | 15,307 | ||||
3.35% 4/15/50 | 15,000 | 16,357 | ||||
KFC Holding 144A 5.00% 6/1/24 # | 175,000 | 172,595 | ||||
Lowe’s 4.55% 4/5/49 | 210,000 | 233,356 | ||||
Mastercard | ||||||
3.30% 3/26/27 | 10,000 | 10,883 | ||||
3.85% 3/26/50 | 5,000 | 6,132 | ||||
MGM Resorts International | ||||||
5.75% 6/15/25 | 76,000 | 68,588 | ||||
6.00% 3/15/23 | 50,000 | 48,563 | ||||
Murphy Oil USA 4.75% 9/15/29 | 1,143,000 | 1,077,906 | ||||
Scientific Games International 144A 8.25% 3/15/26 # | 292,000 | 188,554 | ||||
Stars Group Holdings 144A 7.00% 7/15/26 # | 50,000 | 47,288 | ||||
TJX | ||||||
3.875% 4/15/30 | 20,000 | 20,737 | ||||
4.50% 4/15/50 | 10,000 | 10,763 | ||||
William Carter 144A 5.625% 3/15/27 # | 355,000 | 342,764 | ||||
Wynn Las Vegas 144A 5.50% 3/1/25 # | 50,000 | 46,874 | ||||
Yum! Brands 144A 4.75% 1/15/30 # | 690,000 | 646,496 | ||||
5,670,004 | ||||||
Consumer Non-Cyclical – 1.17% | ||||||
AbbVie | ||||||
144A 2.60% 11/21/24 # | 30,000 | 30,539 | ||||
144A 2.95% 11/21/26 # | 25,000 | 25,531 | ||||
144A 4.05% 11/21/39 # | 10,000 | 10,537 | ||||
144A 4.25% 11/21/49 # | 30,000 | 32,779 |
137
Schedules of investments
Delaware Total Return Fund
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Consumer Non-Cyclical(continued) | ||||||
Alcon Finance 144A 3.00% 9/23/29 # | 275,000 | $ | 274,811 | |||
Amgen | ||||||
2.20% 2/21/27 | 10,000 | 9,996 | ||||
2.45% 2/21/30 | 35,000 | 34,956 | ||||
Anheuser-Busch InBev Worldwide 3.65% 2/1/26 | 200,000 | 210,528 | ||||
Aramark Services 144A 5.00% 2/1/28 # | 800,000 | 748,936 | ||||
Cigna | ||||||
2.40% 3/15/30 | 15,000 | 14,282 | ||||
3.20% 3/15/40 | 15,000 | 13,887 | ||||
Cott Holdings 144A 5.50% 4/1/25 # | 466,000 | 454,935 | ||||
CVS Health | ||||||
3.25% 8/15/29 | 280,000 | 274,351 | ||||
3.75% 4/1/30 | 15,000 | 15,552 | ||||
DH Europe Finance II | ||||||
2.60% 11/15/29 | 40,000 | 39,139 | ||||
3.25% 11/15/39 | 45,000 | 44,103 | ||||
Energizer Holdings | ||||||
144A 5.50% 6/15/25 # | 50,000 | 48,813 | ||||
144A 6.375% 7/15/26 # | 25,000 | 25,389 | ||||
Gilead Sciences 4.15% 3/1/47 | 275,000 | 337,872 | ||||
HLF Financing 144A 7.25% 8/15/26 # | 50,000 | 42,687 | ||||
JBS USA 144A 6.50% 4/15/29 # | 1,077,000 | 1,161,275 | ||||
Pilgrim’s Pride 144A 5.875% 9/30/27 # | 875,000 | 876,706 | ||||
Post Holdings | ||||||
144A 5.50% 12/15/29 # | 1,188,000 | 1,238,906 | ||||
144A 5.75% 3/1/27 # | 175,000 | 180,544 | ||||
Rede D’or Finance 144A 4.50% 1/22/30 # | 345,000 | 301,099 | ||||
6,448,153 | ||||||
Energy – 1.03% | ||||||
Apergy 6.375% 5/1/26 | 50,000 | 38,927 | ||||
Archrock Partners 6.00% 10/1/22 | 170,000 | 170,000 | ||||
Cheniere Corpus Christi Holdings 7.00% 6/30/24 | 235,000 | 206,802 | ||||
Cheniere Energy Partners 144A 4.50% 10/1/29 # | 547,000 | 489,866 | ||||
Crestwood Midstream Partners | ||||||
144A 5.625% 5/1/27 # | 390,000 | 217,341 | ||||
6.25% 4/1/23 | 80,000 | 45,316 | ||||
DCP Midstream Operating | ||||||
3.875% 3/15/23 | 50,000 | 40,359 | ||||
5.125% 5/15/29 | 25,000 | 15,887 | ||||
Energy Transfer Operating | ||||||
5.25% 4/15/29 | 165,000 | 140,008 | ||||
6.25% 4/15/49 | 55,000 | 46,716 |
138
Principal amount° | Value (US $) | |||||
Corporate Bonds(continued) | ||||||
Energy(continued) | ||||||
Enterprise Products Operating 3.70% 1/31/51 | 10,000 | $ | 9,042 | |||
Gazprom via Gaz Finance 144A 3.25% 2/25/30 # | 280,000 | 259,280 | ||||
Genesis Energy 6.50% 10/1/25 | 50,000 | 36,513 | ||||
Hilcorp Energy I 144A 5.00% 12/1/24 # | 445,000 | 208,592 | ||||
Israel Electric 144A 4.25% 8/14/28 # | 498,000 | 510,258 | ||||
KazTransGas JSC 144A 4.375% 9/26/27 # | 579,000 | 519,919 | ||||
Marathon Oil 4.40% 7/15/27 | 260,000 | 173,933 | ||||
MPLX | ||||||
4.00% 3/15/28 | 35,000 | 31,178 | ||||
4.80% 2/15/29 | 150,000 | 132,496 | ||||
5.50% 2/15/49 | 90,000 | 76,283 | ||||
Murphy Oil 5.875% 12/1/27 | 513,000 | 270,120 | ||||
Noble Energy | ||||||
3.25% 10/15/29 | 130,000 | 76,440 | ||||
4.95% 8/15/47 | 90,000 | 54,674 | ||||
NuStar Logistics 5.625% 4/28/27 | 405,000 | 313,612 | ||||
Sinopec Group Overseas Development 2018 144A 2.50% | ||||||
8/8/24 # | 898,000 | 900,331 | ||||
Southwestern Energy | ||||||
6.20% 1/23/25 | 50,000 | 34,421 | ||||
7.75% 10/1/27 | 472,000 | 313,915 | ||||
Sunoco 4.875% 1/15/23 | 75,000 | 73,081 | ||||
Targa Resources Partners 5.375% 2/1/27 | 310,000 | 256,851 | ||||
USA Compression Partners 6.875% 9/1/27 | 50,000 | 31,278 | ||||
5,693,439 | ||||||
Financials – 0.48% | ||||||
AerCap Global Aviation Trust 144A 6.50% 6/15/45 #µ | 425,000 | 355,534 | ||||
AerCap Ireland Capital 4.45% 4/3/26 | 185,000 | 158,955 | ||||
Air Lease 3.00% 2/1/30 | 45,000 | 32,732 | ||||
Avolon Holdings Funding | ||||||
144A 3.25% 2/15/27 # | 10,000 | 7,883 | ||||
144A 3.95% 7/1/24 # | 75,000 | 62,888 | ||||
144A 4.375% 5/1/26 # | 200,000 | 160,697 | ||||
Banco del Estado de Chile 144A 2.704% 1/9/25 # | 280,000 | 261,873 | ||||
Bank of Georgia 144A 6.00% 7/26/23 # | 255,000 | 265,316 | ||||
E*TRADE Financial 5.875%µψ | 940,000 | 900,186 | ||||
Icahn Enterprises 6.25% 5/15/26 | 100,000 | 95,062 | ||||
International Lease Finance 8.625% 1/15/22 | 355,000 | 344,577 | ||||
2,645,703 | ||||||
Healthcare – 1.13% | ||||||
Bausch Health 144A 5.50% 11/1/25 # | 1,080,000 | 1,097,879 |
139
Schedules of investments
Delaware Total Return Fund
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Healthcare(continued) | |||||
Charles River Laboratories International 144A 4.25% | |||||
5/1/28 # | 1,160,000 | $ | 1,124,562 | ||
CHS 144A 6.625% 2/15/25 # | 305,000 | 284,413 | |||
DaVita 5.125% 7/15/24 | 125,000 | 125,407 | |||
Encompass Health | |||||
4.75% 2/1/30 | 950,000 | 941,023 | |||
5.75% 11/1/24 | 101,000 | 102,106 | |||
HCA | |||||
5.375% 2/1/25 | 930,000 | 952,083 | |||
5.875% 2/1/29 | 350,000 | 371,437 | |||
Hill-Rom Holdings 144A 4.375% 9/15/27 # | 400,000 | 397,417 | |||
Hologic 144A 4.625% 2/1/28 # | 535,000 | 534,220 | |||
Tenet Healthcare 8.125% 4/1/22 | 360,000 | 342,122 | |||
6,272,669 | |||||
Insurance – 0.64% | |||||
AIA Group 144A 3.375% 4/7/30 # | 200,000 | 202,442 | |||
Centene | |||||
144A 3.375% 2/15/30 # | 530,000 | 494,887 | |||
144A 4.625% 12/15/29 # | 360,000 | 363,798 | |||
144A 5.375% 8/15/26 # | 830,000 | 855,937 | |||
GTCR AP Finance 144A 8.00% 5/15/27 # | 16,000 | 14,857 | |||
HUB International 144A 7.00% 5/1/26 # | 640,000 | 638,448 | |||
Molina Healthcare 144A 4.875% 6/15/25 # | 175,000 | 172,155 | |||
USI 144A 6.875% 5/1/25 # | 825,000 | 773,413 | |||
3,515,937 | |||||
Media – 0.06% | |||||
AMC Networks 5.00% 4/1/24 | 100,000 | 96,500 | |||
DISH DBS 5.00% 3/15/23 | 175,000 | 169,316 | |||
Midcontinent Communications 144A 5.375% 8/15/27 # | 75,000 | 73,257 | |||
339,073 | |||||
Real Estate Investment Trusts – 0.08% | |||||
Crown Castle International 5.25% 1/15/23 | 225,000 | 238,937 | |||
HAT Holdings I 144A 5.25% 7/15/24 # | 25,000 | 24,156 | |||
Ladder Capital Finance Holdings 144A 5.25% 10/1/25 # | 175,000 | 145,520 | |||
MGM Growth Properties Operating Partnership 5.75% | |||||
2/1/27 | 50,000 | 43,688 | |||
452,301 | |||||
Services – 0.33% | |||||
Covanta Holding 5.875% 3/1/24 | 175,000 | 166,468 | |||
Greystar Real Estate Partners 144A 5.75% 12/1/25 # | 200,000 | 182,506 | |||
Prime Security Services Borrower 144A 5.75% 4/15/26 # | 968,000 | 954,082 | |||
Realogy Group 144A 9.375% 4/1/27 # | 50,000 | 42,518 |
140
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Services(continued) | |||||
Service Corp. International 4.625% 12/15/27 | 499,000 | $ | 502,477 | ||
1,848,051 | |||||
Technology – 0.10% | |||||
Global Payments | |||||
2.65% 2/15/25 | 200,000 | 198,648 | |||
3.20% 8/15/29 | 75,000 | 73,712 | |||
NXP 144A 4.875% 3/1/24 # | 255,000 | 272,735 | |||
Oracle 2.95% 4/1/30 | 30,000 | 30,244 | |||
575,339 | |||||
Technology & Electronics – 0.70% | |||||
CDK Global 144A 5.25% 5/15/29 # | 970,000 | 993,037 | |||
CommScope Technologies 144A 5.00% 3/15/27 # | 340,000 | 297,525 | |||
Iron Mountain | |||||
144A 5.25% 3/15/28 # | 530,000 | 526,475 | |||
5.75% 8/15/24 | 325,000 | 325,803 | |||
Sensata Technologies UK Financing 144A 6.25% | |||||
2/15/26 # | 505,000 | 497,703 | |||
SS&C Technologies 144A 5.50% 9/30/27 # | 1,100,000 | 1,140,563 | |||
VeriSign 4.75% 7/15/27 | 25,000 | 26,049 | |||
Verscend Escrow 144A 9.75% 8/15/26 # | 50,000 | 50,285 | |||
3,857,440 | |||||
Transportation – 0.17% | |||||
DAE Funding 144A 5.75% 11/15/23 # | 390,000 | 364,161 | |||
FedEx 4.05% 2/15/48 | 150,000 | 132,750 | |||
Rutas 2 and 7 Finance 144A 3.08% 9/30/36 #^ | 302,000 | 178,272 | |||
Union Pacific 3.25% 2/5/50 | 180,000 | 177,395 | |||
VistaJet Malta Finance 144A 10.50% 6/1/24 # | 75,000 | 61,125 | |||
913,703 | |||||
Utilities – 0.93% | |||||
AEP Texas 3.45% 1/15/50 | 10,000 | 9,041 | |||
Calpine | |||||
144A 4.50% 2/15/28 # | 135,000 | 131,355 | |||
144A 5.25% 6/1/26 # | 780,000 | 746,435 | |||
Centrais Eletricas Brasileiras 144A 3.625% 2/4/25 # | 200,000 | 178,102 | |||
Duke Energy 4.875%µψ | 125,000 | 105,087 | |||
Duke Energy Indiana | |||||
2.75% 4/1/50 | 190,000 | 175,453 | |||
3.25% 10/1/49 | 150,000 | 152,304 | |||
Empresas Publicas de Medellin 144A 4.25% 7/18/29 # | 575,000 | 495,099 | |||
Entergy Mississippi 2.85% 6/1/28 | 90,000 | 90,656 | |||
Entergy Texas 3.55% 9/30/49 | 185,000 | 190,191 | |||
Infraestructura Energetica Nova 144A 3.75% 1/14/28 # | 275,000 | 241,599 |
141
Schedules of investments
Delaware Total Return Fund
Principal amount° | Value (US $) | ||||
Corporate Bonds(continued) | |||||
Utilities(continued) | |||||
Mong Duong Finance Holdings 144A 5.125% 5/7/29 # | 749,000 | $ | 637,819 | ||
Nevada Power 3.125% 8/1/50 | 15,000 | 13,976 | |||
NextEra Energy Capital Holdings | |||||
2.90% 4/1/22 | 75,000 | 75,753 | |||
3.15% 4/1/24 | 110,000 | 112,777 | |||
PacifiCorp 3.50% 6/15/29 | 80,000 | 81,641 | |||
Southern California Edison | |||||
3.65% 2/1/50 | 30,000 | 29,278 | |||
4.00% 4/1/47 | 35,000 | 36,612 | |||
4.20% 3/1/29 | 150,000 | 159,798 | |||
4.875% 3/1/49 | 90,000 | 104,420 | |||
Southwestern Electric Power 4.10% 9/15/28 | 275,000 | 295,583 | |||
Vistra Operations | |||||
144A 5.00% 7/31/27 # | 780,000 | 796,029 | |||
144A 5.50% 9/1/26 # | 240,000 | 248,872 | |||
Xcel Energy 3.40% 6/1/30 | 15,000 | 15,236 | |||
5,123,116 | |||||
Total Corporate Bonds(cost $86,781,756) | 80,651,426 | ||||
Loan Agreement – 0.13% | |||||
Frontier Communications Tranche B-1 6/17/24 X | 772,000 | 732,113 | |||
Total Loan Agreement(cost $750,973) | 732,113 | ||||
Municipal Bonds – 5.41% | |||||
Allegheny County Industrial Development Authority | |||||
Revenue | |||||
(United States Steel Corporation Project) | |||||
4.875% 11/1/24 | 1,000,000 | 905,790 | |||
Capital Trust Agency, Florida | |||||
(University Bridge, LLC Student Housing Project) Series | |||||
A 144A 5.25% 12/1/58 # | 1,500,000 | 1,404,450 | |||
Chicago, Illinois | |||||
Series A 5.00% 1/1/44 | 2,000,000 | 2,008,600 | |||
Colorado Health Facilities Authority Revenue | |||||
(Cappella of Grand Junction Project) 144A | |||||
5.00% 12/1/54 # | 1,000,000 | 845,810 | |||
Cumberland County, Pennsylvania Municipal Authority | |||||
Revenue | |||||
(Asbury Pennsylvania Obligation Group) 5.00% 1/1/45 | 1,000,000 | 853,550 | |||
Illinois State | |||||
5.00% 11/1/29 | 2,250,000 | 2,332,440 |
142
Principal amount° | Value (US $) | ||||
Municipal Bonds(continued) | |||||
Lower Alabama Gas District | |||||
Series A 5.00% 9/1/46 | 2,250,000 | $ | 2,646,180 | ||
Mississippi Business Finance Corporation Gulf Opportunity | |||||
Zone Industrial Development Revenue | |||||
(Chevron USA Project) | |||||
Series A 0.65% 12/1/30 ¤ | 1,000,000 | 1,000,000 | |||
Series L 0.65% 11/1/35 ¤ | 400,000 | 400,000 | |||
New Hampshire Business Finance Authority | |||||
(The Vista Project) Series A 144A 5.25% 7/1/39 # | 1,000,000 | 944,380 | |||
New Jersey Tobacco Settlement Financing Corporation | |||||
Series B 5.00% 6/1/46 | 4,500,000 | 4,337,505 | |||
New Jersey Transportation Trust Fund Authority | |||||
(Transportation Program) 4.00% 6/15/50 | 3,000,000 | 2,912,700 | |||
Puerto Rico Sales Tax Financing Revenue | |||||
(Restructured) | |||||
Series A-1 4.75% 7/1/53 | 1,250,000 | 1,180,200 | |||
Series A-1 5.00% 7/1/58 | 2,500,000 | 2,437,375 | |||
Seminole County Industrial Development Authority, Florida | |||||
(Legacy Pointe at UCF Project) 5.50% 11/15/49 | 500,000 | 409,445 | |||
Texas Private Activity Bond Surface Transportation | |||||
Corporate Senior Lien | |||||
(NTE Mobility Partners Segments 3 LLC Segment 3C | |||||
Project) 5.00% 6/30/58 (AMT) | 2,250,000 | 2,413,328 | |||
Union County, New Jersey Improvement Authority | |||||
(Aries Linden, LLC Project) 144A 6.75% 12/1/41 (AMT)# | 1,000,000 | 889,000 | |||
Washington Health Care Facilities Authority | |||||
(CommonSpirit Health) 4.00% 8/1/44 | 2,000,000 | 2,004,900 | |||
Total Municipal Bonds(cost $33,510,513) | 29,925,653 | ||||
Non-Agency Asset-Backed Securities – 0.12% | |||||
Citibank Credit Card Issuance Trust | |||||
Series 2018-A1 A1 2.49% 1/20/23 | 500,000 | 503,650 | |||
Verizon Owner Trust | |||||
Series 2017-2A A 144A 1.92% 12/20/21 # | 162,840 | 162,283 | |||
Total Non-Agency Asset-Backed Securities | |||||
(cost $666,128) | 665,933 | ||||
Non-Agency Commercial Mortgage-Backed Securities – 0.55% | |||||
BANK | |||||
Series 2019-BN21 A5 2.851% 10/17/52 | 100,000 | 102,832 | |||
Benchmark Mortgage Trust | |||||
Series 2019-B9 A5 4.016% 3/15/52 | 350,000 | 387,341 |
143
Schedules of investments
Delaware Total Return Fund
Principal amount° | Value (US $) | ||||
Non-Agency Commercial Mortgage-Backed Securities(continued) | |||||
Cantor Commercial Real Estate Lending | |||||
Series 2019-CF2 A5 2.874% 11/15/52 | 350,000 | $ | 359,120 | ||
GS Mortgage Securities Trust | |||||
Series 2017-GS5 A4 3.674% 3/10/50 | 350,000 | 366,540 | |||
Series 2017-GS6 A3 3.433% 5/10/50 | 350,000 | 355,922 | |||
JPM-BB Commercial Mortgage Securities Trust | |||||
Series 2015-C31 A3 3.801% 8/15/48 | 350,000 | 373,613 | |||
JPM-DB Commercial Mortgage Securities Trust | |||||
Series 2017-C7 A5 3.409% 10/15/50 | 350,000 | 371,590 | |||
Morgan Stanley Bank of America Merrill Lynch Trust | |||||
Series 2016-C29 A4 3.325% 5/15/49 | 350,000 | 358,671 | |||
Wells Fargo Commercial Mortgage Trust | |||||
Series 2016-BNK1 A3 2.652% 8/15/49 | 350,000 | 344,420 | |||
Total Non-Agency Commercial Mortgage-Backed Securities(cost $3,111,557) | 3,020,049 | ||||
Sovereign Bonds – 1.39%Δ | |||||
Azerbaijan – 0.14% | |||||
Republic of Azerbaijan International Bond 144A | |||||
3.50% 9/1/32 # | 940,000 | 797,182 | |||
797,182 | |||||
Dominican Republic – 0.11% | |||||
Dominican Republic International Bond | |||||
144A 4.50% 1/30/30 # | 283,000 | 247,483 | |||
144A 6.00% 7/19/28 # | 381,000 | 364,386 | |||
611,869 | |||||
El Salvador – 0.10% | |||||
El Salvador Government International Bond | |||||
144A 7.125% 1/20/50 # | 398,000 | 310,042 | |||
144A 7.65% 6/15/35 # | 249,000 | 214,216 | |||
524,258 | |||||
Gabon – 0.02% | |||||
Gabon Government International Bond 144A | |||||
6.625% 2/6/31 # | 200,000 | 123,767 | |||
123,767 | |||||
Georgia – 0.06% | |||||
Georgia Government International Bond 6.875% 4/12/21 | 299,000 | 301,173 | |||
301,173 | |||||
Guatemala – 0.05% | |||||
Guatemala Government Bond 144A 4.875% 2/13/28 # | 281,000 | 274,970 | |||
274,970 | |||||
Israel – 0.06% | |||||
Israel Government International Bond 2.75% 7/3/30 | 300,000 | 300,000 | |||
300,000 |
144
Principal amount° | Value (US $) | ||||||
Sovereign BondsΔ(continued) | |||||||
Ivory Coast – 0.07% | |||||||
Ivory Coast Government International Bond | |||||||
144A 6.125% 6/15/33 # | 306,000 | $ | 268,348 | ||||
144A 6.875% 10/17/40 # | EUR | 100,000 | 95,098 | ||||
363,446 | |||||||
Mexico – 0.04% | |||||||
Mexican Bonos 7.75% 5/29/31 | MXN | 4,900,000 | 211,994 | ||||
211,994 | |||||||
Mongolia – 0.04% | |||||||
Mongolia Government International Bond 144A | |||||||
5.625% 5/1/23 # | 269,000 | 242,091 | |||||
242,091 | |||||||
Paraguay – 0.09% | |||||||
Paraguay Government International Bond | |||||||
144A 4.625% 1/25/23 # | 257,000 | 260,858 | |||||
144A 5.60% 3/13/48 # | 223,000 | 229,692 | |||||
490,550 | |||||||
Peru – 0.21% | |||||||
Peruvian Government International Bond 2.844% 6/20/30 | 1,092,000 | 1,162,480 | |||||
1,162,480 | |||||||
Republic of Vietnam – 0.04% | |||||||
Vietnam Government International Bond 144A | |||||||
4.80% 11/19/24 # | 241,000 | 244,600 | |||||
244,600 | |||||||
Romania – 0.02% | |||||||
Romanian Government International Bond 144A | |||||||
3.375% 1/28/50 # | EUR | 119,000 | 117,910 | ||||
117,910 | |||||||
Russia – 0.11% | |||||||
Russian Foreign Bond – Eurobond 144A 4.25% 6/23/27 # | 600,000 | 630,258 | |||||
630,258 | |||||||
Ukraine – 0.15% | |||||||
Ukraine Government International Bond 144A | |||||||
7.75% 9/1/21 # | 877,000 | 846,928 | |||||
846,928 | |||||||
Uruguay – 0.01% | |||||||
Uruguay Government International Bond 4.50% 8/14/24 | 69,000 | 73,485 | |||||
73,485 |
145
Schedules of investments
Delaware Total Return Fund
Principal amount° | Value (US $) | ||||
Sovereign BondsΔ(continued) | |||||
Uzbekistan – 0.07% | |||||
Republic of Uzbekistan Bond 144A 4.75% 2/20/24 # | 374,000 | $ | 369,830 | ||
369,830 | |||||
Total Sovereign Bonds(cost $8,202,835) | 7,686,791 | ||||
Supranational Bank – 0.05% | |||||
Banque Ouest Africaine de Developpement 144A | |||||
4.70% 10/22/31 # | 306,000 | 279,149 | |||
Total Supranational Bank(cost $306,000) | 279,149 | ||||
US Treasury Obligations – 0.28% | |||||
US Treasury Bond | |||||
4.50% 2/15/36 | 255,000 | 391,983 | |||
US Treasury Inflation | |||||
Indexed Note | |||||
0.125% 1/15/30 | 912,430 | 941,431 | |||
US Treasury Strip Principal | |||||
2.26% 5/15/44 ^ | 345,000 | 247,357 | |||
Total US Treasury Obligations(cost $1,490,198) | 1,580,771 | ||||
Number of | |||||
Shares | |||||
Preferred Stock – 0.14% | |||||
Bank of America 6.50% µ | 735,000 | 775,936 | |||
Total Preferred Stock(cost $830,601) | 775,936 | ||||
Short-Term Investments – 4.01% | |||||
Money Market Mutual Funds – 4.01% | |||||
BlackRock FedFund – Institutional Shares (seven-day | |||||
effective yield 0.33%) | 4,436,397 | 4,436,397 | |||
Fidelity Investments Money Market Government | |||||
Portfolio – Class I (seven-day effective yield 0.30%) | 4,436,397 | 4,436,397 | |||
GS Financial Square Government Fund – Institutional | |||||
Shares (seven-day effective yield 0.34%) | 4,436,397 | 4,436,397 | |||
Morgan Stanley Government Portfolio – Institutional Share | |||||
Class (seven-day effective yield 0.22%) | 4,436,397 | 4,436,397 | |||
State Street Institutional US Government Money Market | |||||
Fund – Investor Class (seven-day effective yield 0.24%) | 4,436,397 | 4,436,397 | |||
Total Short-Term Investments(cost $22,181,985) | 22,181,985 | ||||
Total Value of Securities – 99.44% | |||||
(cost $629,917,689) | $ | 550,427,074 |
146
# | Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. At March 31, 2020, the aggregate value of Rule 144A securities was $67,617,743, which represents 12.22% of the Fund’s net assets. See Note 9 in “Notes to financial statements. |
¤ | Tax-exempt obligations that contain a floating or variable interest rate adjustment formula and an unconditional right of demand to receive payment of the unpaid principal balance plus accrued interest upon a short notice period (generally up to 30 days) prior to specified dates either from the issuer or by drawing on a bank letter of credit, a guarantee, or insurance issued with respect to such instrument. Each rate shown is as of March 31, 2020. |
= | The value of this security was determined using significant unobservable inputs and is reported as a Level 3 security in the disclosure table located in Note 3 in “Notes to financial statements.” |
° | Principal amount shown is stated in USD unless noted that the security is denominated in another currency. |
Δ | Securities have been classified by country of origin. |
µ | Fixed to variable rate investment. The rate shown reflects the fixed rate in effect at March 31, 2020. Rate will reset at a future date. |
ψ | No contractual maturity date. |
† | Non-income producing security. |
● | Variable rate investment. Rates reset periodically. Rate shown reflects the rate in effect at March 31, 2020. For securities based on a published reference rate and spread, the reference rate and spread are indicated in their description above. The reference rate descriptions (i.e. LIBOR03M, LIBOR06M, etc.) used in this report are identical for different securities, but the underlying reference rates may differ due to the timing of the reset period. Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions, or for mortgage-backed securities, are impacted by the individual mortgages which are paying off over time. These securities do not indicate a reference rate and spread in their description above. |
X | This loan will settle after March 31, 2020, at which time the interest rate, based on the LIBOR and the agreed upon spread on trade date, will be reflected. |
^ | Zero-coupon security. The rate shown is the effective yield at the time of purchase. |
147
Schedules of investments
Delaware Total Return Fund
The following foreign currency exchange contracts and futures contracts were outstanding at March 31, 2020:1
Foreign Currency Exchange Contracts
Currency to | Settlement | Unrealized | Unrealized | ||||||||||||||||
Counterparty | Receive (Deliver) | In Exchange For | Date | Appreciation | Depreciation | ||||||||||||||
BNYM | CHF | (50,329 | ) | USD | 52,199 | 4/2/20 | $ | — | $ | (94 | ) | ||||||||
BNYM | DKK | (161,184 | ) | USD | 23,772 | 4/2/20 | — | (41 | ) | ||||||||||
BNYM | EUR | (46,630 | ) | USD | 51,306 | 4/2/20 | — | (124 | ) | ||||||||||
BNYM | JPY | (8,788,513 | ) | USD | 80,859 | 4/2/20 | — | (880 | ) | ||||||||||
BNYM | SEK | 1,600,959 | USD | (161,871 | ) | 4/2/20 | — | (29 | ) | ||||||||||
JPMCB | EUR | (100,000 | ) | USD | 112,252 | 6/12/20 | 1,649 | — | |||||||||||
JPMCB | EUR | (145,834 | ) | USD | 167,417 | 6/19/20 | 6,907 | — | |||||||||||
Total Foreign Currency Exchange Contracts | $ | 8,556 | $ | (1,168 | ) |
Futures Contracts
Variation | |||||||||||||||||||
Margin | |||||||||||||||||||
Notional | Value/ | Due from | |||||||||||||||||
Notional | Cost | Expiration | Unrealized | (Due to) | |||||||||||||||
Contracts to Buy (Sell) | Amount | (Proceeds) | Date | Depreciation | Brokers | ||||||||||||||
US Treasury | |||||||||||||||||||
(25) | 10 yr Notes | $ | (3,467,187 | ) | $ | (3,348,410 | ) | 6/19/20 | $ | (118,777 | ) | $ | 3,516 |
148
Swap Contracts
CDS Contracts2
Variation | ||||||||||||||||||
Upfront | Margin | |||||||||||||||||
Reference Obligation/ | Annual | Payments | Due from | |||||||||||||||
Termination Date/ | Notional | Protection | Paid | Unrealized | (Due to) | |||||||||||||
Payment Frequency | Amount3 | Payments | Value | (Received) | Depreciation4 | Brokers | ||||||||||||
Over-The-Counter/ | ||||||||||||||||||
Protection Purchases | ||||||||||||||||||
Moody’s Ratings: | ||||||||||||||||||
JPMCB-Mexico | ||||||||||||||||||
3.60% | ||||||||||||||||||
12/31/21 WR | ||||||||||||||||||
6/20/25- | ||||||||||||||||||
Quarterly | 1,134,000 | 1.00 | % | $ | 72,979 | $ | 84,702 | $ | (11,723 | ) | $ | — | ||||||
JPMCB-Republic | ||||||||||||||||||
of Indonesia | ||||||||||||||||||
3.40% | ||||||||||||||||||
9/18/29 Baa2 | ||||||||||||||||||
6/20/25- | ||||||||||||||||||
Quarterly | 830,000 | 1.00 | % | 43,771 | 58,301 | (14,530 | ) | — | ||||||||||
Total CDS Contracts | $ | 116,750 | $ | 143,003 | $ | (26,253 | ) | $ | — |
The use of foreign currency exchange contracts, futures contracts, and swap contracts involve elements of market risk and risks in excess of the amounts disclosed in these financial statements. The foreign currency exchange contracts and notional amounts presented on the previous page represent the Fund’s total exposure in such contracts, whereas only the variation margin is reflected in the Fund’s net assets.
1See Note 6 in “Notes to financial statements.”
2A 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). 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 CDS agreement.
3Notional amount shown is stated in USD unless noted that the swap is denominated in another currency.
4Unrealized appreciation (depreciation) does not include periodic interest payments (receipt) on swap contracts accrued daily in the amount of ($508).
149
Schedules of investments
Delaware Total Return Fund
Summary of abbreviations: |
AG – Aktiengesellschaft |
AMT – Subject to Alternative Minimum Tax |
BNYM – Bank of New York Mellon |
CDS – Credit Default Swap |
CHF – Swiss Franc |
DB – Deutsche Bank |
DKK – Danish Krone |
EAFE – Europe, Australasia and Far East |
ETF – Exchange-Traded Fund |
EUR – Euro |
FTSE – Financial Times Stock Exchange 100 Index |
GS – Goldman Sachs |
ICE – Intercontinental Exchange, Inc. |
JPM – JPMorgan |
JPMCB – JPMorgan Chase Bank |
JPY – Japanese Yen |
LIBOR – London interbank offered rate |
LIBOR03M – ICE LIBOR USD 3 Month |
LIBOR06M – ICE LIBOR USD 6 Month |
LLC – Limited Liability Company |
MSCI – Morgan Stanley Capital International |
MXN – Mexican Peso |
REIT – Real Estate Investment Trust |
S&P – Standard & Poor’s Financial Services LLC |
S.F. – single family |
SEK – Swedish Krona |
SPDR – S&P Depositary Receipts |
USD – US Dollar |
Yr – Year |
See accompanying notes, which are an integral part of the financial statements.
150
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Statements of assets and liabilities | |
March 31, 2020 (Unaudited) |
Delaware | Delaware | Delaware | |||||||
Equity | Growth and | Growth | |||||||
Income Fund | Income Fund | Equity Fund | |||||||
Assets: | |||||||||
Investments, at value1 | $ | 299,957,846 | $ | 972,735,918 | $ | 505,618,869 | |||
Cash | — | 2,017,202 | — | ||||||
Receivable for securities sold | 4,148,706 | 19,733,960 | — | ||||||
Dividends and interest receivable | 793,560 | 2,592,836 | 288,646 | ||||||
Receivable for fund shares sold | 123,612 | 420,346 | 179,437 | ||||||
Other assets | 19,982 | 57,616 | 24,395 | ||||||
Total assets | 305,043,706 | 997,557,878 | 506,111,347 | ||||||
Liabilities: | |||||||||
Due to custodian | 683 | — | 910 | ||||||
Payable for securities purchased | 3,258,442 | 12,646,032 | — | ||||||
Payable for fund shares redeemed | 136,970 | 828,798 | 614,409 | ||||||
Custody fees payable | 3,198 | 18,608 | 5,215 | ||||||
Distribution payable | 46 | 178 | — | ||||||
Legal fees payable to non-affiliates | 5,493 | 15,685 | 6,107 | ||||||
Investment management fees payable to | |||||||||
affiliates | 173,804 | 541,313 | 276,149 | ||||||
Dividend disbursing and transfer agent | |||||||||
fees and expenses payable to | |||||||||
non-affiliates | 78,787 | 292,670 | 186,500 | ||||||
Distribution fees payable to affiliates | 67,012 | 217,194 | 87,635 | ||||||
Other accrued expenses | 25,088 | 42,380 | 22,930 | ||||||
Audit and tax fees payable | 17,713 | 17,712 | 17,713 | ||||||
Reports and statements to shareholders | |||||||||
expenses payable to non-affiliates | 16,851 | 34,957 | 23,414 | ||||||
Dividend disbursing and transfer agent | |||||||||
fees and expenses payable to affiliates | 2,653 | 8,626 | 4,374 | ||||||
Trustees’ fees and expenses payable | 2,457 | 7,952 | 3,897 | ||||||
Accounting and administration expenses | |||||||||
payable to affiliates | 1,281 | 3,403 | 1,892 | ||||||
Legal fees payable to affiliates | 657 | 2,126 | 1,041 | ||||||
Reports and statements to shareholders | |||||||||
expenses payable to affiliates | 360 | 1,181 | 622 | ||||||
Total liabilities | 3,791,495 | 14,678,815 | 1,252,808 | ||||||
Total Net Assets | $ | 301,252,211 | $ | 982,879,063 | $ | 504,858,539 |
152
Delaware | Delaware | Delaware | ||||||||||
Equity | Growth and | Growth | ||||||||||
Income Fund | Income Fund | Equity Fund | ||||||||||
Net Assets Consist of: | ||||||||||||
Paid-in capital | $ | 346,903,937 | $ | 1,137,369,256 | $ | 438,632,530 | ||||||
Total distributable earnings (loss) | (45,651,726 | ) | (154,490,193 | ) | 66,226,009 | |||||||
Total Net Assets | $ | 301,252,211 | $ | 982,879,063 | $ | 504,858,539 | ||||||
Net Asset Value | ||||||||||||
Class A: | ||||||||||||
Net assets | $ | 299,726,442 | $ | 975,542,819 | $ | 402,372,754 | ||||||
Shares of beneficial interest outstanding, | ||||||||||||
unlimited authorization, no par | 56,228,604 | 95,505,521 | 39,789,915 | |||||||||
Net asset value per share | $ | 5.33 | $ | 10.21 | $ | 10.11 | ||||||
Sales charge | 5.75 | % | 5.75 | % | 5.75 | % | ||||||
Offering price per share, equal to net | ||||||||||||
asset value per share / (1 – sales | ||||||||||||
charge) | $ | 5.66 | $ | 10.83 | $ | 10.73 | ||||||
Institutional Class*: | ||||||||||||
Net assets | $ | 758,534 | $ | 3,888,954 | $ | 99,959,073 | ||||||
Shares of beneficial interest outstanding, | ||||||||||||
unlimited authorization, no par | 141,297 | 379,113 | 9,646,122 | |||||||||
Net asset value per share | $ | 5.37 | $ | 10.26 | $ | 10.36 | ||||||
Class R6**: | ||||||||||||
Net assets | $ | 767,235 | $ | 3,447,290 | $ | 2,526,712 | ||||||
Shares of beneficial interest outstanding, | ||||||||||||
unlimited authorization, no par | 144,210 | 335,600 | 242,159 | |||||||||
Net asset value per share | $ | 5.32 | $ | 10.27 | $ | 10.43 | ||||||
____________________ | ||||||||||||
1 Investments, at cost | $ | 353,702,086 | $ | 1,152,515,785 | $ | 460,337,473 |
*On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements.
**On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements.
See accompanying notes, which are an integral part of the financial statements.
153
Statements of assets and liabilities
Delaware | Delaware | Delaware | |||||||
Opportunity | Special | Global | |||||||
Fund | Situations Fund | Equity Fund | |||||||
Assets: | |||||||||
Investments, at value1 | $ | 543,853,044 | $ | 272,731,126 | $ | 283,397,300 | |||
Foreign currencies, at value2 | — | — | 160,281 | ||||||
Foreign tax reclaims receivable | 9,929 | — | 557,801 | ||||||
Dividends and interest receivable | 1,050,249 | 556,053 | 758,319 | ||||||
Receivable for fund shares sold | 224,442 | 141,957 | 31,161 | ||||||
Receivable for securities sold | — | 1,843,007 | 2,898,007 | ||||||
Other assets | 37,070 | 23,221 | 19,900 | ||||||
Total assets | 545,174,734 | 275,295,364 | 287,822,769 | ||||||
Liabilities: | |||||||||
Due to custodian | 1,327 | 683 | 607 | ||||||
Payable for securities purchased | 664,336 | 593,610 | 2,888,368 | ||||||
Payable for fund shares redeemed | 330,805 | 261,891 | 212,573 | ||||||
Custody fees payable | 6,729 | 8,056 | 39,392 | ||||||
Unrealized loss on foreign currency | |||||||||
exchange contracts | — | — | 15,814 | ||||||
Investment management fees payable to | |||||||||
affiliates | 372,274 | 162,967 | 204,261 | ||||||
Dividend disbursing and transfer agent | |||||||||
fees and expenses payable to | |||||||||
non-affiliates | 279,927 | 110,597 | 103,119 | ||||||
Distribution fees payable to affiliates | 126,141 | 63,113 | 56,734 | ||||||
Reports and statements to shareholders | |||||||||
expenses payable to non-affiliates | 37,687 | 22,880 | 16,725 | ||||||
Audit and tax fees payable | 17,713 | 17,713 | 17,947 | ||||||
Other accrued expenses | 14,350 | 31,044 | 24,052 | ||||||
Legal fees payable to non-affiliates | 8,953 | 3,644 | 6,229 | ||||||
Dividend disbursing and transfer agent | |||||||||
fees and expenses payable to affiliates | 4,973 | 2,508 | 2,418 | ||||||
Trustees’ fees and expenses payable | 4,952 | 2,558 | 2,103 | ||||||
Accounting and administration expenses | |||||||||
payable to affiliates | 2,105 | 1,230 | 1,198 | ||||||
Legal fees payable to affiliates | 1,325 | 685 | 562 | ||||||
Reports and statements to shareholders | |||||||||
expenses payable to affiliates | 652 | 324 | 350 | ||||||
Total liabilities | 1,874,249 | 1,283,503 | 3,592,452 | ||||||
Total Net Assets | $ | 543,300,485 | $ | 274,011,861 | $ | 284,230,317 |
154
Delaware | Delaware | Delaware | ||||||||||
Opportunity | Special | Global | ||||||||||
Fund | Situations Fund | Equity Fund | ||||||||||
Net Assets Consist of: | ||||||||||||
Paid-in capital | $ | 731,063,621 | $ | 392,915,443 | $ | 312,127,688 | ||||||
Total distributable earnings (loss) | (187,763,136 | ) | (118,903,582 | ) | (27,897,371 | ) | ||||||
Total Net Assets | $ | 543,300,485 | $ | 274,011,861 | $ | 284,230,317 | ||||||
Net Asset Value | ||||||||||||
Class A: | ||||||||||||
Net assets | $ | 539,885,879 | $ | 270,127,324 | $ | 263,993,043 | ||||||
Shares of beneficial interest outstanding, | ||||||||||||
unlimited authorization, no par | 29,094,264 | 18,434,131 | 46,187,109 | |||||||||
Net asset value per share | $ | 18.56 | $ | 14.65 | $ | 5.72 | ||||||
Sales charge | 5.75 | % | 5.75 | % | 5.75 | % | ||||||
Offering price per share, equal to net | ||||||||||||
asset value per share / (1 – sales | ||||||||||||
charge) | $ | 19.69 | $ | 15.54 | $ | 6.07 | ||||||
Institutional Class*: | ||||||||||||
Net assets | $ | 2,419,916 | $ | 1,820,980 | $ | 18,769,035 | ||||||
Shares of beneficial interest outstanding, | ||||||||||||
unlimited authorization, no par | 124,681 | 121,246 | 3,145,248 | |||||||||
Net asset value per share | $ | 19.41 | $ | 15.02 | $ | 5.97 | ||||||
Class R6**: | ||||||||||||
Net assets | $ | 994,690 | $ | 2,063,557 | $ | 1,468,239 | ||||||
Shares of beneficial interest outstanding, | ||||||||||||
unlimited authorization, no par | 51,977 | 137,169 | 245,883 | |||||||||
Net asset value per share | $ | 19.14 | $ | 15.04 | $ | 5.97 | ||||||
____________________ | ||||||||||||
1 Investments, at cost | $ | 722,846,339 | $ | 387,399,773 | $ | 313,543,098 | ||||||
2Foreign currencies, at cost | — | — | 158,503 | |||||||||
*On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
155
Statements of assets and liabilities
Delaware | Delaware | Delaware | ||||||||
International | Floating | Fund | ||||||||
Fund | Rate II Fund | for Income | ||||||||
Assets: | ||||||||||
Investments, at value1 | $ | 311,921,735 | $ | 66,322,654 | $ | 405,673,040 | ||||
Foreign currencies, at value2 | 420,525 | — | — | |||||||
Cash | — | 171,760 | 222,818 | |||||||
Receivable for securities sold | 4,548,402 | 9,695,003 | 3,155,215 | |||||||
Dividends and interest receivable | 850,304 | 181,359 | 5,818,585 | |||||||
Receivable for fund shares sold | 92,464 | 16,396 | 61,204 | |||||||
Foreign tax reclaims receivable | 688,594 | — | — | |||||||
Other assets | 12,749 | 18,180 | 33,751 | |||||||
Total assets | 318,534,773 | 76,405,352 | 414,964,613 | |||||||
Liabilities: | ||||||||||
Due to custodian | 22,488,307 | — | — | |||||||
Payable for securities purchased | 3,211,010 | 10,115,804 | 13,141,010 | |||||||
Payable for fund shares redeemed | 461,386 | 105,488 | 315,368 | |||||||
Custody fees payable | 57,027 | 1,904 | 5,422 | |||||||
Unrealized loss on foreign currency | ||||||||||
exchange contracts | 24,718 | — | — | |||||||
Distribution payable | — | 17,705 | 206,436 | |||||||
Investment management fees payable to affiliates | 231,475 | 28,445 | 227,805 | |||||||
Dividend disbursing and transfer agent fees and expenses payable to non-affiliates | 165,444 | 36,294 | 89,406 | |||||||
Distribution fees payable to affiliates | 38,200 | 9,851 | 80,620 | |||||||
Other accrued expenses | 22,931 | 12,590 | 26,533 | |||||||
Audit and tax fees payable | 17,947 | 24,353 | 23,153 | |||||||
Reports and statements to shareholders expenses payable to non-affiliates | 12,949 | 9,350 | 24,660 | |||||||
Legal fees payable to non-affiliates | 4,727 | 2,298 | 6,185 | |||||||
Dividend disbursing and transfer agent fees and expenses payable to affiliates | 2,699 | 610 | 3,387 | |||||||
Trustees’ fees and expenses payable | 2,447 | 560 | 3,021 | |||||||
Accounting and administration expenses payable to affiliates | 1,297 | 556 | 1,542 | |||||||
Legal fees payable to affiliates | 654 | 150 | 807 | |||||||
Reports and statements to shareholders | ||||||||||
expenses payable to affiliates | 358 | 84 | 512 | |||||||
Total liabilities | 26,743,576 | 10,366,042 | 14,155,867 | |||||||
Total Net Assets | $ | 291,791,197 | $ | 66,039,310 | $ | 400,808,746 |
156
Delaware | Delaware | Delaware | |||||||||||
International | Floating | Fund | |||||||||||
Fund | Rate II Fund | for Income | |||||||||||
Net Assets Consist of: | |||||||||||||
Paid-in capital | $ | 337,497,815 | $ | 80,313,521 | $ | 497,968,232 | |||||||
Total distributable earnings (loss) | (45,706,618 | ) | (14,274,211 | ) | (97,159,486 | ) | |||||||
Total Net Assets | $ | 291,791,197 | $ | 66,039,310 | $ | 400,808,746 | |||||||
Net Asset Value | |||||||||||||
Class A: | |||||||||||||
Net assets | $ | 176,754,279 | $ | 43,741,815 | $ | 365,482,370 | |||||||
Shares of beneficial interest outstanding, | |||||||||||||
unlimited authorization, no par | 16,454,257 | 5,128,143 | 170,324,455 | ||||||||||
Net asset value per share | $ | 10.74 | $ | 8.53 | $ | 2.15 | |||||||
Sales charge | 5.75 | % | 2.75 | % | 4.00 | % | |||||||
Offering price per share, equal to net | |||||||||||||
asset value per share / (1 – sales | |||||||||||||
charge) | $ | 11.40 | $ | 8.77 | $ | 2.24 | |||||||
Institutional Class*: | |||||||||||||
Net assets | $ | 114,325,870 | $ | 22,249,104 | $ | 34,190,677 | |||||||
Shares of beneficial interest outstanding, | |||||||||||||
unlimited authorization, no par | 10,382,411 | 2,611,520 | 16,052,930 | ||||||||||
Net asset value per share | $ | 11.01 | $ | 8.52 | $ | 2.13 | |||||||
Class R6**: | |||||||||||||
Net assets | $ | 711,048 | $ | 48,391 | $ | 1,135,699 | |||||||
Shares of beneficial interest outstanding, | |||||||||||||
unlimited authorization, no par | 64,249 | 5,666 | 526,691 | ||||||||||
Net asset value per share | $ | 11.07 | $ | 8.54 | $ | 2.16 | |||||||
____________________ | |||||||||||||
1Investments, at cost | $ | 354,658,637 | $ | 73,616,082 | $ | 446,381,989 | |||||||
2Foreign currencies, at cost | 415,875 | — | — | ||||||||||
*On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. **On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
157
Statements of assets and liabilities
Delaware | ||||||||||||
Delaware | International | Delaware | ||||||||||
Government Cash | Opportunities | Investment | ||||||||||
Management Fund | Bond Fund | Grade Fund | ||||||||||
Assets: | ||||||||||||
Investments, at value1 | $ | 172,290,833 | $ | 45,418,066 | $ | 280,326,731 | ||||||
Cash | 32,479,016 | — | 74,611 | |||||||||
Cash collateral for derivatives | — | 21,533 | 213,675 | |||||||||
Foreign currencies, at value2 | — | 1,500,073 | — | |||||||||
Receivable for fund shares sold | 381,255 | 22,489 | 35,997 | |||||||||
Dividends and interest receivable | 2,739 | 212,232 | 2,238,360 | |||||||||
Receivable for securities sold | — | 4,289,689 | 5,807,838 | |||||||||
Variation margin due from HSBC on futures contracts | — | 18,777 | — | |||||||||
Unrealized gain on foreign currency exchange contracts | — | 392,404 | — | |||||||||
Foreign tax reclaims receivable | — | 126,772 | — | |||||||||
Other assets | 4,781 | 4,781 | 19,124 | |||||||||
Total assets | 205,158,624 | 52,006,816 | 288,716,336 |
158
Delaware | ||||||||||||||
Delaware | International | Delaware | ||||||||||||
Government Cash | Opportunities | Investment | ||||||||||||
Management Fund | Bond Fund | Grade Fund | ||||||||||||
Liabilities: | ||||||||||||||
Due to custodian | $ | — | $ | 3,476,819 | $ | — | ||||||||
Payable for securities purchased | 2,999,994 | — | 7,579,981 | |||||||||||
Payable for fund shares redeemed | 2,850,903 | 54,327 | 277,385 | |||||||||||
Distribution payable | 4,337 | 832 | 45,219 | |||||||||||
Custody fees payable | 3,548 | 9,155 | 5,278 | |||||||||||
Unrealized loss on foreign currency exchange contracts | — | 61,616 | — | |||||||||||
Variation margin due to HSBC on futures contracts | — | — | 14,766 | |||||||||||
Dividend disbursing and transfer agent fees and expenses payable to non-affiliates | 37,547 | 40,207 | 57,509 | |||||||||||
Investment management fees payable to affiliates | 26,997 | 53,806 | 143,057 | |||||||||||
Audit and tax fees payable | 18,338 | 24,213 | 23,152 | |||||||||||
Reports and statements to shareholders expenses payable to non-affiliates | 11,698 | 10,666 | 19,185 | |||||||||||
Legal fees payable to non-affiliates | 2,252 | 1,833 | 5,232 | |||||||||||
Dividend disbursing and transfer agent fees and expenses payable to affiliates | 1,603 | 621 | 2,439 | |||||||||||
Trustees’ fees and expenses payable | 1,219 | 530 | 2,156 | |||||||||||
Accounting and administration expenses payable to affiliates | 908 | 559 | 1,205 | |||||||||||
Legal fees payable to affiliates | 325 | 142 | 576 | |||||||||||
Reports and statements to shareholders expenses payable to affiliates | 253 | 63 | 362 | |||||||||||
Other accrued expenses | 148 | 1,281 | 20,256 | |||||||||||
Distribution fees payable | — | 7,128 | 61,051 | |||||||||||
Total liabilities | 5,960,070 | 3,743,798 | 8,258,809 | |||||||||||
Total Net Assets | $ | 199,198,554 | $ | 48,263,018 | $ | 280,457,527 | ||||||||
Net Assets Consist of: | ||||||||||||||
Paid-in capital | $ | 199,198,554 | $ | 74,480,762 | $ | 300,214,286 | ||||||||
Total distributable earnings (loss) | — | (26,217,744 | ) | (19,756,759 | ) | |||||||||
Total Net Assets | $ | 199,198,554 | $ | 48,263,018 | $ | 280,457,527 |
159
Statements of assets and liabilities
Delaware | |||||||||||||
Delaware | International | Delaware | |||||||||||
Government Cash | Opportunities | Investment | |||||||||||
Management Fund | Bond Fund | Grade Fund | |||||||||||
Net Asset Value | |||||||||||||
Class A: | |||||||||||||
Net assets | $ | 199,188,502 | $ | 31,862,320 | $ | 277,323,330 | |||||||
Shares of beneficial interest outstanding, | |||||||||||||
unlimited authorization, no par | 199,188,541 | 3,839,988 | 30,869,424 | ||||||||||
Net asset value per share | $ | 1.00 | $ | 8.30 | $ | 8.98 | |||||||
Sales charge | — | 4.50 | % | 4.50 | % | ||||||||
Offering price per share, equal to net | |||||||||||||
asset value per share / (1 – sales | |||||||||||||
charge) | $ | 1.00 | $ | 8.69 | $ | 9.40 | |||||||
Institutional Class*: | |||||||||||||
Net assets | $ | 10,052 | $ | 16,326,172 | $ | 2,228,217 | |||||||
Shares of beneficial interest outstanding, | |||||||||||||
unlimited authorization, no par | 10,052 | 1,942,673 | 246,630 | ||||||||||
Net asset value per share | $ | 1.00 | $ | 8.40 | $ | 9.03 | |||||||
Class R6**: | |||||||||||||
Net assets | $ | — | $ | 74,526 | $ | 905,980 | |||||||
Shares of beneficial interest outstanding, | |||||||||||||
unlimited authorization, no par | — | 8,773 | 100,533 | ||||||||||
Net asset value per share | $ | — | $ | 8.49 | $ | 9.01 | |||||||
____________________ | |||||||||||||
1Investments, at cost | $ | 172,290,833 | $ | 46,356,165 | $ | 298,517,877 | |||||||
2Foreign currencies, at cost | — | $ | 1,446,732 | — |
*On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
**On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
160
Delaware | |||||||||
Limited | Delaware | Delaware | |||||||
Duration | Strategic | Covered Call | |||||||
Bond Fund | Income II Fund | Strategy Fund | |||||||
Assets: | |||||||||
Investments, at value1 | $ | 189,455,489 | $ | 98,079,650 | $ | 182,418,412 | |||
Cash | — | 52,457 | — | ||||||
Cash collateral for derivatives | — | 28,490 | — | ||||||
Receivable for securities sold | 1,907,586 | 2,849,947 | 6,834,935 | ||||||
Dividends and interest receivable | 842,463 | 853,171 | 207,829 | ||||||
Receivable for fund shares sold | 58,292 | 26,718 | 44,839 | ||||||
Variation margin due from HSBC on | |||||||||
futures contracts | — | 1,969 | — | ||||||
Foreign tax reclaims receivable | — | — | 13,244 | ||||||
Other assets | 10,216 | 4,822 | 11,236 | ||||||
Total assets | 192,274,046 | 101,897,224 | 189,530,495 | ||||||
Liabilities: | |||||||||
Options written, at value2 | — | — | 12,069,317 | ||||||
Due to custodian | 455 | — | 379 | ||||||
Payable for fund shares redeemed | 136,867 | 89,728 | 155,409 | ||||||
Distribution payable | 18,947 | 16,275 | 17 | ||||||
Payable for securities purchased | — | 704,463 | 5,868,311 | ||||||
Investment management fees payable to | |||||||||
affiliates | 59,368 | 50,518 | 106,633 | ||||||
Dividend disbursing and transfer agent | |||||||||
fees and expenses payable to | |||||||||
non-affiliates | 53,646 | 18,181 | 72,441 | ||||||
Distribution fees payable to affiliates | 23,418 | 23,030 | 29,491 | ||||||
Audit and tax fees payable | 23,152 | 14,877 | 19,837 | ||||||
Other accrued expenses | 17,928 | 9,306 | 8,332 | ||||||
Reports and statements to shareholders | |||||||||
expenses payable to non-affiliates | 15,459 | 7,316 | 11,492 | ||||||
Custody fees payable | 4,657 | 1,069 | 1,167 | ||||||
Legal fees payable to non-affiliates | 3,101 | 1,809 | 4,491 | ||||||
Dividend disbursing and transfer agent | |||||||||
fees and expenses payable to affiliates | 1,655 | 911 | 1,530 | ||||||
Trustees’ fees and expenses payable | 1,421 | 812 | 1,439 | ||||||
Accounting and administration expenses | |||||||||
payable to affiliates | 927 | 662 | 882 | ||||||
Legal fees payable to affiliates | 380 | 976 | 385 | ||||||
Reports and statements to shareholders | |||||||||
expenses payable to affiliates | 245 | 130 | 206 | ||||||
Total liabilities | 361,626 | 940,063 | 18,351,759 |
161
Statements of assets and liabilities
Delaware | ||||||||||||
Limited | Delaware | Delaware | ||||||||||
Duration | Strategic | Covered Call | ||||||||||
Bond Fund | Income II Fund | Strategy Fund | ||||||||||
Total Net Assets | $ | 191,912,420 | $ | 100,957,161 | $ | 171,178,736 | ||||||
Net Assets Consist of: | ||||||||||||
Paid-in capital | $ | 227,050,357 | $ | 123,325,987 | $ | 188,781,327 | ||||||
Total distributable earnings (loss) | (35,137,937 | ) | (22,368,826 | ) | (17,602,591 | ) | ||||||
Total Net Assets | $ | 191,912,420 | $ | 100,957,161 | $ | 171,178,736 | ||||||
Net Asset Value | ||||||||||||
Class A: | ||||||||||||
Net assets | $ | 181,119,221 | $ | 100,598,810 | $ | 129,033,313 | ||||||
Shares of beneficial interest outstanding, | ||||||||||||
unlimited authorization, no par | 19,700,504 | 12,236,103 | 13,903,904 | |||||||||
Net asset value per share | $ | 9.19 | $ | 8.22 | $ | 9.28 | ||||||
Sales charge | 2.75 | % | 4.50 | % | 5.75 | % | ||||||
Offering price per share, equal to net | ||||||||||||
asset value per share / (1 – sales | ||||||||||||
charge) | $ | 9.45 | $ | 8.61 | $ | 9.85 | ||||||
Institutional Class*: | ||||||||||||
Net assets | $ | 10,390,593 | $ | 358,351 | $ | 41,266,367 | ||||||
Shares of beneficial interest outstanding, | ||||||||||||
unlimited authorization, no par | 1,126,982 | 43,619 | 4,457,827 | |||||||||
Net asset value per share | $ | 9.22 | $ | 8.22 | $ | 9.26 | ||||||
Class R6**: | ||||||||||||
Net assets | $ | 402,606 | $ | — | $ | 879,056 | ||||||
Shares of beneficial interest outstanding, | ||||||||||||
unlimited authorization, no par | 43,590 | — | 95,761 | |||||||||
Net asset value per share | $ | 9.24 | $ | — | $ | 9.18 | ||||||
____________________ | ||||||||||||
1Investments, at cost | $ | 190,721,685 | $ | 111,311,763 | $ | 185,093,989 | ||||||
2Premium received | — | — | (9,415,978 | ) |
*On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
**On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
162
Delaware | |||||||||||
Hedged | Delaware | Delaware | |||||||||
U.S. Equity | Premium | Total | |||||||||
Opportunities Fund | Income Fund | Return Fund | |||||||||
Assets: | |||||||||||
Investments, at value1 | $ | 74,196,439 | $ | 93,404,386 | $ | 550,427,074 | |||||
Cash collateral for derivatives | 2,006,226 | — | 50,875 | ||||||||
Cash | 84,683 | — | 269,050 | ||||||||
Foreign currencies, at value2 | — | — | 12,883 | ||||||||
Receivable for securities sold | 596,622 | 642,209 | 5,587,516 | ||||||||
Dividends and interest receivable | 90,408 | 154,710 | 2,828,199 | ||||||||
Variation margin due from HSBC on | |||||||||||
futures contracts | — | — | 3,516 | ||||||||
Variation margin due from Morgan | |||||||||||
Stanley on futures contracts | 75,608 | — | — | ||||||||
Receivable for fund shares sold | 30,280 | 14,532 | 96,063 | ||||||||
Unrealized gain on foreign currency | |||||||||||
exchange contracts | 27,821 | — | 8,556 | ||||||||
Foreign tax reclaims receivable | 5,731 | — | 23,857 | ||||||||
Upfront payments paid on credit default | |||||||||||
swap contracts | — | — | 143,003 | ||||||||
Other assets | 5,108 | 3,168 | 29,462 | ||||||||
Total assets | 77,118,926 | 94,219,005 | 559,480,054 |
163
Statements of assets and liabilities
Delaware | ||||||||||||
Hedged | Delaware | Delaware | ||||||||||
U.S. Equity | Premium | Total | ||||||||||
Opportunities Fund | Income Fund | Return Fund | ||||||||||
Liabilities: | ||||||||||||
Options written, at value3 | $ | 800,690 | $ | 11,308,347 | $ | — | ||||||
Due to custodian | 54,238 | 2,350 | — | |||||||||
Payable for securities purchased | 558,693 | 1,258,518 | 4,790,860 | |||||||||
Payable for fund shares redeemed | 246,570 | 150,992 | 371,411 | |||||||||
Custody fees payable | 15,143 | 799 | 20,960 | |||||||||
Unrealized depreciation on foreign | ||||||||||||
currency exchange contracts | 27 | — | 1,168 | |||||||||
Annual protection payments on credit | ||||||||||||
default swap contracts | — | — | 655 | |||||||||
Distribution payable | — | 7 | — | |||||||||
Unrealized depreciation on credit default | ||||||||||||
swap contracts | — | — | 26,253 | |||||||||
Investment management fees payable to | ||||||||||||
affiliates | 67,828 | 41,602 | 319,800 | |||||||||
Dividend disbursing and transfer agent | ||||||||||||
fees and expenses payable to | ||||||||||||
non-affiliates | 34,715 | 39,575 | 148,366 | |||||||||
Audit and tax fees payable | 20,898 | 19,837 | 24,118 | |||||||||
Reports and statements to shareholders | ||||||||||||
expenses payable to non-affiliates | 13,579 | 4,086 | 42,450 | |||||||||
Distribution fees payable to affiliates | 12,476 | 8,605 | 123,714 | |||||||||
Other accrued expenses | 9,978 | 12,695 | 58,492 | |||||||||
Legal fees payable to non-affiliates | 2,525 | 2,304 | 11,101 | |||||||||
Dividend disbursing and transfer agent | ||||||||||||
fees and expenses payable to affiliates | 664 | 735 | 4,890 | |||||||||
Trustees’ fees and expenses payable | 596 | 689 | 4,464 | |||||||||
Accounting and administration expenses | ||||||||||||
payable to affiliates | 575 | 600 | 2,076 | |||||||||
Legal fees payable to affiliates | 159 | 184 | 1,953 | |||||||||
Reports and statements to shareholders | ||||||||||||
expenses payable to affiliates | 94 | 101 | 688 | |||||||||
Total liabilities | 1,839,448 | 12,852,026 | 5,953,419 | |||||||||
Total Net Assets | $ | 75,279,478 | $ | 81,366,979 | $ | 553,526,635 |
164
Delaware | ||||||||||||||||||
Hedged | Delaware | Delaware | ||||||||||||||||
U.S. Equity | Premium | Total | ||||||||||||||||
Opportunities Fund | Income Fund | Return Fund | ||||||||||||||||
Net Assets Consist of: | ||||||||||||||||||
Paid-in capital | $ | 67,369,175 | $ | 101,929,241 | $ | 631,020,629 | ||||||||||||
Total distributable earnings (loss) | 7,910,303 | (20,562,262 | ) | (77,493,994 | ) | |||||||||||||
Total Net Assets | $ | 75,279,478 | $ | 81,366,979 | $ | 553,526,635 | ||||||||||||
Net Asset Value | ||||||||||||||||||
Class A: | ||||||||||||||||||
Net assets | $ | 55,979,401 | $ | 37,057,096 | $ | 551,947,680 | ||||||||||||
Shares of beneficial interest outstanding, | ||||||||||||||||||
unlimited authorization, no par | 5,917,347 | 4,508,503 | 43,828,250 | |||||||||||||||
Net asset value per share | $ | 9.46 | $ | 8.22 | $ | 12.59 | ||||||||||||
Sales charge | 5.75 | % | 5.75 | % | 5.75 | % | ||||||||||||
Offering price per share, equal to net | ||||||||||||||||||
asset value per share / (1 – sales | ||||||||||||||||||
charge) | $ | 10.04 | $ | 8.72 | $ | 13.36 | ||||||||||||
Institutional Class*: | ||||||||||||||||||
Net assets | $ | 19,195,880 | $ | 44,273,947 | $ | 498,951 | ||||||||||||
Shares of beneficial interest outstanding, | ||||||||||||||||||
unlimited authorization, no par | 2,000,363 | 5,383,580 | 39,451 | |||||||||||||||
Net asset value per share | $ | 9.60 | $ | 8.22 | $ | 12.65 | ||||||||||||
Class R6**: | ||||||||||||||||||
Net assets | $ | 104,197 | $ | 35,936 | $ | 1,080,004 | ||||||||||||
Shares of beneficial interest outstanding, | ||||||||||||||||||
unlimited authorization, no par | 10,862 | 8,260 | 85,180 | |||||||||||||||
Net asset value per share | $ | 9.59 | $ | 4.35 | $ | 12.68 | ||||||||||||
____________________ | ||||||||||||||||||
1Investments, at cost | $ | 78,084,596 | $ | 123,557,708 | $ | 629,917,689 | ||||||||||||
2Foreign currencies, at cost | — | — | 12,879 | |||||||||||||||
3Premium received | (842,722 | ) | (19,880,764 | ) | — | |||||||||||||
*On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. | ||||||||||||||||||
**On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
165
Statements of operations
Six months ended March 31, 2020 (Unaudited)
Delaware | Delaware | Delaware | ||||||||||||||||
Equity | Growth and | Growth | ||||||||||||||||
Income Fund | Income Fund | Equity Fund | ||||||||||||||||
Investment Income: | ||||||||||||||||||
Dividends | $ | 5,994,126 | $ | 19,145,346 | $ | 3,162,865 | ||||||||||||
Interest | 20,144 | 46,728 | 7,799 | |||||||||||||||
6,014,270 | 19,192,074 | 3,170,664 | ||||||||||||||||
Expenses: | ||||||||||||||||||
Management fees | 1,378,075 | 4,123,488 | 2,032,391 | |||||||||||||||
Distribution expenses — Class A | 524,813 | 1,672,506 | 619,106 | |||||||||||||||
Dividend disbursing and transfer agent | ||||||||||||||||||
fees and expenses | 328,446 | 1,085,698 | 557,851 | |||||||||||||||
Registration fees | 62,855 | 82,162 | 62,400 | |||||||||||||||
Accounting and administration expenses | 51,557 | 124,126 | 68,236 | |||||||||||||||
Reports and statements to shareholders | ||||||||||||||||||
expenses | 43,739 | 130,235 | 74,491 | |||||||||||||||
Trustees’ fees and expenses | 17,795 | 56,747 | 25,839 | |||||||||||||||
Audit and tax fees | 17,713 | 17,712 | 17,713 | |||||||||||||||
Legal fees | 12,956 | 36,800 | 16,340 | |||||||||||||||
Custodian fees | 6,872 | 31,410 | 13,119 | |||||||||||||||
Other | 8,026 | 26,891 | 21,373 | |||||||||||||||
2,452,847 | 7,387,775 | 3,508,859 | ||||||||||||||||
Less expenses waived | (651 | ) | (2,003 | ) | (26,382 | ) | ||||||||||||
Less expenses paid indirectly | (1,530 | ) | (5,132 | ) | (4,831 | ) | ||||||||||||
Total operating expenses | 2,450,666 | 7,380,640 | 3,477,646 | |||||||||||||||
Net Investment Income (Loss) | 3,563,604 | 11,811,434 | (306,982 | ) | ||||||||||||||
Net Realized and Unrealized Gain | ||||||||||||||||||
(Loss): | ||||||||||||||||||
Net realized gain on investments | 104,925,193 | 356,867,588 | 26,629,011 | |||||||||||||||
Net change in unrealized appreciation | ||||||||||||||||||
(depreciation) of investments | (194,283,350 | ) | (645,997,531 | ) | (59,429,096 | ) | ||||||||||||
Net Realized and Unrealized Loss | (89,358,157 | ) | (289,129,943 | ) | (32,800,085 | ) | ||||||||||||
Net Decrease in Net Assets Resulting | ||||||||||||||||||
from Operations | $ | (85,794,553 | ) | $ | (277,318,509 | ) | $ | (33,107,067 | ) |
See accompanying notes, which are an integral part of the financial statements.
166
Delaware | Delaware | Delaware | ||||||||||||||||
Opportunity | Special | Global | ||||||||||||||||
Fund | Situations Fund | Equity Fund | ||||||||||||||||
Investment Income: | ||||||||||||||||||
Dividends | $ | 8,445,706 | $ | 4,805,450 | $ | 3,554,438 | ||||||||||||
Interest | 27,910 | 19,396 | 1,970 | |||||||||||||||
Foreign tax withheld | (4,432 | ) | — | (234,316 | ) | |||||||||||||
8,469,184 | 4,824,846 | 3,322,092 | ||||||||||||||||
Expenses: | ||||||||||||||||||
Management fees | 3,069,176 | 1,656,918 | 1,516,795 | |||||||||||||||
Distribution expenses — Class A | 1,041,429 | 539,983 | 398,598 | |||||||||||||||
Dividend disbursing and transfer agent | ||||||||||||||||||
fees and expenses | 848,344 | 455,002 | 348,496 | |||||||||||||||
Reports and statements to shareholders | ||||||||||||||||||
expenses | 93,265 | 67,846 | 50,301 | |||||||||||||||
Accounting and administration expenses | 84,041 | 52,930 | 46,363 | |||||||||||||||
Registration fees | 67,522 | 60,968 | 60,409 | |||||||||||||||
Trustees’ fees and expenses | 35,382 | 18,666 | 15,599 | |||||||||||||||
Legal fees | 22,344 | 11,421 | 12,944 | |||||||||||||||
Custodian fees | 18,090 | 15,101 | 37,473 | |||||||||||||||
Audit and tax fees | 17,728 | 17,724 | 30,704 | |||||||||||||||
Other | 17,352 | 10,743 | 12,362 | |||||||||||||||
5,314,673 | 2,907,302 | 2,530,044 | ||||||||||||||||
Less expenses waived | (192,342 | ) | (74,268 | ) | (60,253 | ) | ||||||||||||
Less expenses paid indirectly | (6,133 | ) | (2,439 | ) | — | |||||||||||||
Total operating expenses | 5,116,198 | 2,830,595 | 2,469,791 | |||||||||||||||
Net Investment Income | 3,352,986 | 1,994,251 | 852,301 |
167
Statements of operations
Delaware | Delaware | Delaware | ||||||||||||||||
Opportunity | Special | Global | ||||||||||||||||
Fund | Situations Fund | Equity Fund | ||||||||||||||||
Net Realized and Unrealized Gain | ||||||||||||||||||
(Loss): | ||||||||||||||||||
Net realized gain (loss) on: | ||||||||||||||||||
Investments | $ | 161,499,140 | $ | 22,612,585 | $ | 58,191,744 | ||||||||||||
Foreign currencies | — | — | 306,203 | |||||||||||||||
Foreign currency exchange contracts | — | — | (285,130 | ) | ||||||||||||||
Net realized gain | 161,499,140 | 22,612,585 | 58,212,817 | |||||||||||||||
Net change in unrealized appreciation | ||||||||||||||||||
(depreciation) of: | ||||||||||||||||||
Investments | (408,142,219 | ) | (160,006,100 | ) | (94,107,004 | ) | ||||||||||||
Foreign currencies | — | — | 37,400 | |||||||||||||||
Foreign currency exchange contracts | — | — | (15,814 | ) | ||||||||||||||
Net change in unrealized appreciation | ||||||||||||||||||
(depreciation) | (408,142,219 | ) | (160,006,100 | ) | (94,085,418 | ) | ||||||||||||
Net Realized and Unrealized Loss | (246,643,079 | ) | (137,393,515 | ) | (35,872,601 | ) | ||||||||||||
Net Decrease in Net Assets Resulting | ||||||||||||||||||
from Operations | $ | (243,290,093 | ) | $ | (135,399,264 | ) | $ | (35,020,300 | ) |
See accompanying notes, which are an integral part of the financial statements.
168
Delaware | Delaware | Delaware | ||||||||||||||||
International | Floating | Fund | ||||||||||||||||
Fund | Rate II Fund | for Income | ||||||||||||||||
Investment Income: | ||||||||||||||||||
Dividends | $ | 3,589,491 | $ | 36,671 | $ | 142,031 | ||||||||||||
Interest | 19,807 | 2,383,109 | 13,718,244 | |||||||||||||||
Foreign tax withheld | (351,064 | ) | — | — | ||||||||||||||
3,258,234 | 2,419,780 | 13,860,275 | ||||||||||||||||
Expenses: | ||||||||||||||||||
Management fees | 1,738,758 | 217,965 | 1,524,146 | |||||||||||||||
Distribution expenses — Class A | 280,449 | 69,372 | 549,316 | |||||||||||||||
Dividend disbursing and transfer agent | ||||||||||||||||||
fees and expenses | 418,341 | 97,336 | 402,390 | |||||||||||||||
Registration fees | 60,579 | 46,635 | 41,940 | |||||||||||||||
Custodian fees | 52,493 | 1,641 | 12,817 | |||||||||||||||
Accounting and administration expenses | 50,429 | 25,646 | 55,189 | |||||||||||||||
Reports and statements to shareholders | ||||||||||||||||||
expenses | 47,327 | 17,801 | 64,984 | |||||||||||||||
Audit and tax fees | 30,704 | 24,353 | 23,153 | |||||||||||||||
Trustees’ fees and expenses | 17,121 | 4,015 | 20,101 | |||||||||||||||
Legal fees | 11,815 | 4,740 | 14,457 | |||||||||||||||
Other | 10,435 | 2,504 | 36,565 | |||||||||||||||
2,718,451 | 512,008 | 2,745,058 | ||||||||||||||||
Less expenses waived | (28 | ) | (62,590 | ) | (1,022 | ) | ||||||||||||
Less expenses paid indirectly | (1,478 | ) | (1,428 | ) | (4,908 | ) | ||||||||||||
Total operating expenses | 2,716,945 | 447,990 | 2,739,128 | |||||||||||||||
Net Investment Income | 541,289 | 1,971,790 | 11,121,147 |
169
Statements of operations
Delaware | Delaware | Delaware | ||||||||||||||||
International | Floating | Fund | ||||||||||||||||
Fund | Rate II Fund | for Income | ||||||||||||||||
Net Realized and Unrealized Gain (Loss): | ||||||||||||||||||
Net realized gain (loss) on: | ||||||||||||||||||
Investments | $ | 73,314,887 | $ | (2,964,314 | ) | $ | (8,851,628 | ) | ||||||||||
Foreign currencies | 523,368 | — | — | |||||||||||||||
Foreign currency exchange contracts | (337,974 | ) | — | — | ||||||||||||||
Swap contracts | — | (52,031 | ) | — | ||||||||||||||
Net realized gain (loss) | 73,500,281 | (3,016,345 | ) | (8,851,628 | ) | |||||||||||||
Net change in unrealized appreciation | ||||||||||||||||||
(depreciation) of: | ||||||||||||||||||
Investments | (126,044,529 | ) | (6,270,003 | ) | (47,214,612 | ) | ||||||||||||
Foreign currencies | 104,400 | — | — | |||||||||||||||
Foreign currency exchange contracts | (24,718 | ) | — | — | ||||||||||||||
Net change in unrealized appreciation | ||||||||||||||||||
(depreciation) | (125,964,847 | ) | (6,270,003 | ) | (47,214,612 | ) | ||||||||||||
Net Realized and Unrealized Loss | (52,464,566 | ) | (9,286,348 | ) | (56,066,240 | ) | ||||||||||||
Net Decrease in Net Assets Resulting | ||||||||||||||||||
from Operations | $ | (51,923,277 | ) | $ | (7,314,558 | ) | $ | (44,945,093 | ) |
See accompanying notes, which are an integral part of the financial statements.
170
Delaware | ||||||||||||||||||
Delaware | International | Delaware | ||||||||||||||||
Government Cash | Opportunities | Investment | ||||||||||||||||
Management Fund | Bond Fund | Grade Fund | ||||||||||||||||
Investment Income: | ||||||||||||||||||
Interest | $ | 1,392,127 | $ | 576,715 | $ | 5,026,498 | ||||||||||||
Dividends | — | 19,090 | 37,031 | |||||||||||||||
Foreign tax withheld | — | 3,813 | — | |||||||||||||||
1,392,127 | 599,618 | 5,063,529 | ||||||||||||||||
Expenses: | ||||||||||||||||||
Management fees | 411,369 | 311,548 | 836,775 | |||||||||||||||
Distribution expenses — Class A | — | 46,920 | 408,798 | |||||||||||||||
Dividend disbursing and transfer agent | ||||||||||||||||||
fees and expenses | 238,540 | 100,300 | 280,620 | |||||||||||||||
Registration fees | 33,622 | 30,110 | 48,407 | |||||||||||||||
Accounting and administration expenses | 28,895 | 25,178 | 44,612 | |||||||||||||||
Reports and statements to shareholders | ||||||||||||||||||
expenses | 19,937 | 23,661 | 51,390 | |||||||||||||||
Audit and tax fees | 18,338 | 24,213 | 23,153 | |||||||||||||||
Trustees’ fees and expenses | 7,068 | 3,773 | 14,636 | |||||||||||||||
Legal fees | 5,120 | 4,154 | 11,549 | |||||||||||||||
Custodian fees | 4,905 | 6,690 | 10,278 | |||||||||||||||
Other | 1,756 | 10,333 | 21,578 | |||||||||||||||
769,550 | 586,880 | 1,751,796 | ||||||||||||||||
Less expenses waived | (270,630 | ) | (72,814 | ) | (18,298 | ) | ||||||||||||
Less expenses paid indirectly | — | — | (3,256 | ) | ||||||||||||||
Total operating expenses | 498,920 | 514,066 | 1,730,242 | |||||||||||||||
Net Investment Income | 893,207 | 85,552 | 3,333,287 |
171
Statements of operations
Delaware | |||||||||||||||||
Delaware | International | Delaware | |||||||||||||||
Government Cash | Opportunities | Investment | |||||||||||||||
Management Fund | Bond Fund | Grade Fund | |||||||||||||||
Net Realized and Unrealized Gain (Loss): | |||||||||||||||||
Net realized gain (loss) on: | |||||||||||||||||
Investments | $ | — | $ | (1,249,876 | ) | $ | 26,248,037 | ||||||||||
Foreign currencies | — | (12,698,179 | ) | — | |||||||||||||
Foreign currency exchange contracts | — | (1,304,570 | ) | — | |||||||||||||
Futures contracts | — | (7,394 | ) | 446,575 | |||||||||||||
Options purchased | — | 211,219 | — | ||||||||||||||
Net realized gain (loss) | — | (15,048,800 | ) | 26,694,612 | |||||||||||||
Net change in unrealized appreciation | |||||||||||||||||
(depreciation) of: | |||||||||||||||||
Investments | — | 11,187,818 | (45,465,658 | ) | |||||||||||||
Foreign currencies | — | 49,005 | — | ||||||||||||||
Foreign currency exchange contracts | — | 1,312,828 | — | ||||||||||||||
Futures contracts | — | 37,484 | 643,686 | ||||||||||||||
Net change in unrealized appreciation | |||||||||||||||||
(depreciation) | — | 12,587,135 | (44,821,972 | ) | |||||||||||||
Net Realized and Unrealized Loss | — | (2,461,665 | ) | (18,127,360 | ) | ||||||||||||
Net Increase (Decrease) in Net Assets | |||||||||||||||||
Resulting from Operations | $ | 893,207 | $ | (2,376,113 | ) | $ | (14,794,073 | ) |
See accompanying notes, which are an integral part of the financial statements.
172
Delaware | ||||||||||||||||||
Limited | Delaware | Delaware | ||||||||||||||||
Duration | Strategic | Covered Call | ||||||||||||||||
Bond Fund | Income II Fund | Strategy Fund | ||||||||||||||||
Investment Income: | ||||||||||||||||||
Interest | $ | 2,817,423 | $ | 2,389,939 | $ | — | ||||||||||||
Dividends | 17,875 | 118,234 | 3,166,879 | |||||||||||||||
2,835,298 | 2,508,173 | 3,166,879 | ||||||||||||||||
Expenses: | ||||||||||||||||||
Management fees | 562,757 | 334,912 | 991,257 | |||||||||||||||
Distribution expenses — Class A | 251,820 | 155,616 | 233,706 | |||||||||||||||
Dividend disbursing and transfer agent | ||||||||||||||||||
fees and expenses | 216,356 | 93,652 | 221,749 | |||||||||||||||
Registration fees | 51,093 | 31,409 | 51,019 | |||||||||||||||
Reports and statements to shareholders | ||||||||||||||||||
expenses | 38,201 | 15,509 | 25,879 | |||||||||||||||
Accounting and administration expenses | 36,629 | 28,416 | 38,670 | |||||||||||||||
Audit and tax fees | 23,152 | 14,878 | 19,841 | |||||||||||||||
Trustees’ fees and expenses | 10,580 | 5,274 | 10,501 | |||||||||||||||
Legal fees | 9,658 | 6,322 | 9,393 | |||||||||||||||
Custodian fees | 6,360 | 3,041 | 4,112 | |||||||||||||||
Other | 15,453 | 11,560 | 5,959 | |||||||||||||||
1,222,059 | 700,589 | 1,612,086 | ||||||||||||||||
Less expenses waived | (298,371 | ) | — | (43,019 | ) | |||||||||||||
Less waived distribution | ||||||||||||||||||
expenses — Class A | (98,314 | ) | — | — | ||||||||||||||
Less expenses paid indirectly | (2,976 | ) | (2,445 | ) | (1,926 | ) | ||||||||||||
Total operating expenses | 822,398 | 698,144 | 1,567,141 | |||||||||||||||
Net Investment Income | 2,012,900 | 1,810,029 | 1,599,738 |
173
Statements of operations
Delaware | ||||||||||||||||||
Limited | Delaware | Delaware | ||||||||||||||||
Duration | Strategic | Covered Call | ||||||||||||||||
Bond Fund | Income II Fund | Strategy Fund | ||||||||||||||||
Net Realized and Unrealized Gain (Loss): | ||||||||||||||||||
Net realized gain (loss) on: | ||||||||||||||||||
Investments | $ | 4,560,876 | $ | (4,664,791 | ) | $ | 18,539,436 | |||||||||||
Foreign currencies | — | 8,213 | — | |||||||||||||||
Futures contracts | — | 144,113 | — | |||||||||||||||
Options written | — | — | (6,172,376 | ) | ||||||||||||||
Net realized gain (loss) | 4,560,876 | (4,512,465 | ) | 12,367,060 | ||||||||||||||
Net change in unrealized appreciation | ||||||||||||||||||
(depreciation) of: | ||||||||||||||||||
Investments | (6,101,720 | ) | (8,898,010 | ) | (60,879,863 | ) | ||||||||||||
Foreign currencies | — | (2,091 | ) | — | ||||||||||||||
Futures contracts | — | (36,984 | ) | — | ||||||||||||||
Options written | — | — | 609,849 | |||||||||||||||
Net change in unrealized appreciation | ||||||||||||||||||
(depreciation) | (6,101,720 | ) | (8,937,085 | ) | (60,270,014 | ) | ||||||||||||
Net Realized and Unrealized Loss | (1,540,844 | ) | (13,449,550 | ) | (47,902,954 | ) | ||||||||||||
Net Increase (Decrease) in Net Assets | ||||||||||||||||||
Resulting from Operations | $ | 472,056 | $ | (11,639,521 | ) | $ | (46,303,216 | ) |
See accompanying notes, which are an integral part of the financial statements.
174
Delaware | |||||||||||||||
Hedged | Delaware | Delaware | |||||||||||||
U.S. Equity | Premium | Total | |||||||||||||
Opportunities Fund | Income Fund | Return Fund | |||||||||||||
Investment Income: | |||||||||||||||
Dividends | $ | 850,858 | $ | 1,925,514 | $ | 7,162,812 | |||||||||
Interest | 33,084 | — | 4,203,620 | ||||||||||||
Foreign tax withheld | (3,489 | ) | (2,160 | ) | (31,597 | ) | |||||||||
880,453 | 1,923,354 | 11,334,835 | |||||||||||||
Expenses: | |||||||||||||||
Management fees | 575,465 | 452,170 | 2,315,725 | ||||||||||||
Distribution expenses — Class A | 88,576 | 66,980 | 905,854 | ||||||||||||
Dividend disbursing and transfer agent | |||||||||||||||
fees and expenses | 93,228 | 94,811 | 625,366 | ||||||||||||
Registration fees | 47,940 | 53,902 | 60,703 | ||||||||||||
Reports and statements to shareholders | |||||||||||||||
expenses | 29,425 | 5,947 | 100,613 | ||||||||||||
Accounting and administration expenses | 26,469 | 27,560 | 75,323 | ||||||||||||
Audit and tax fees | 21,124 | 19,844 | 24,134 | ||||||||||||
Custodian fees | 20,835 | 2,087 | 43,297 | ||||||||||||
Legal fees | 5,322 | 3,800 | 25,011 | ||||||||||||
Trustees’ fees and expenses | 4,530 | 4,835 | 31,009 | ||||||||||||
Other | 5,645 | 1,551 | 52,486 | ||||||||||||
918,559 | 733,487 | 4,259,521 | |||||||||||||
Less expenses waived | (114,207 | ) | (65,074 | ) | (723 | ) | |||||||||
Less expenses paid indirectly | (13,390 | ) | (1,174 | ) | (18,866 | ) | |||||||||
Total operating expenses | 790,962 | 667,239 | 4,239,932 | ||||||||||||
Net Investment Income | 89,491 | 1,256,115 | 7,094,903 |
175
Statements of operations
Delaware | |||||||||||||||
Hedged | Delaware | Delaware | |||||||||||||
U.S. Equity | Premium | Total | |||||||||||||
Opportunities Fund | Income Fund | Return Fund | |||||||||||||
Net Realized and Unrealized Gain (Loss): | |||||||||||||||
Net realized gain (loss) on: | |||||||||||||||
Investments | 13,300,992 | 112,390 | 107,847,243 | ||||||||||||
Foreign currencies | 44,196 | — | 13,165 | ||||||||||||
Foreign currency exchange contracts | 43,323 | — | (91,936 | ) | |||||||||||
Futures contracts | 4,203,335 | — | (241,535 | ) | |||||||||||
Options purchased | 3,014,405 | — | — | ||||||||||||
Options written | (2,172,349 | ) | 1,290,896 | — | |||||||||||
Swap contracts | — | — | 247,262 | ||||||||||||
Net realized gain | 18,433,902 | 1,403,286 | 107,774,199 | ||||||||||||
Net change in unrealized appreciation | |||||||||||||||
(depreciation) of: | |||||||||||||||
Investments | (24,832,529 | ) | (33,156,926 | ) | (231,369,975 | ) | |||||||||
Foreign currencies | (1,168 | ) | — | (1,485 | ) | ||||||||||
Foreign currency exchange contracts | 7,771 | — | 7,388 | ||||||||||||
Futures contracts | (969,560 | ) | — | (118,777 | ) | ||||||||||
Options purchased | (62,987 | ) | — | — | |||||||||||
Options written | (392,280 | ) | 12,565,936 | — | |||||||||||
Swap contracts | — | — | (26,761 | ) | |||||||||||
Net change in unrealized appreciation | |||||||||||||||
(depreciation) | (26,250,753 | ) | (20,590,990 | ) | (231,509,610 | ) | |||||||||
Net Realized and Unrealized Loss | (7,816,851 | ) | (19,187,704 | ) | (123,735,411 | ) | |||||||||
Net Decrease in Net Assets Resulting | |||||||||||||||
from Operations | $ | (7,727,360 | ) | $ | (17,931,589 | ) | $ | (116,640,508 | ) |
See accompanying notes, which are an integral part of the financial statements.
176
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Statements of changes in net assets
Delaware Equity Income Fund
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Increase (Decrease) in Net Assets from Operations: | |||||||||
Net investment income | $ | 3,563,604 | $ | 8,879,846 | |||||
Net realized gain | 104,925,193 | 33,813,012 | |||||||
Net change in unrealized appreciation (depreciation) | (194,283,350 | ) | (38,030,962 | ) | |||||
Net increase (decrease) in net assets resulting from | |||||||||
operations | (85,794,553 | ) | 4,661,896 | ||||||
Dividends and Distributions to Shareholders from: | |||||||||
Distributable earnings: | |||||||||
Class A | (130,089,227 | ) | (67,899,359 | ) | |||||
Class B* | — | (286,459 | ) | ||||||
Institutional Class** | (326,346 | ) | (9,736,043 | ) | |||||
Class R6*** | (378,413 | ) | (284,978 | ) | |||||
(130,793,986 | ) | (78,206,839 | ) | ||||||
Capital Share Transactions: | |||||||||
Proceeds from shares sold: | |||||||||
Class A | 14,843,168 | 41,356,189 | |||||||
Class B* | — | 93,212 | |||||||
Institutional Class** | 353,493 | 9,803,002 | |||||||
Class R6*** | 157,909 | 1,785,192 | |||||||
Net asset value of shares issued upon reinvestment of | |||||||||
dividends and distributions: | |||||||||
Class A | 128,580,422 | 66,810,971 | |||||||
Class B* | — | 286,459 | |||||||
Institutional Class** | 301,625 | 9,664,501 | |||||||
Class R6*** | 378,413 | 284,977 | |||||||
144,615,030 | 130,084,503 |
178
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Capital Share Transactions (continued): | |||||||||
Cost of shares redeemed: | |||||||||
Class A | $ | (96,851,528 | ) | $ | (124,019,685 | ) | |||
Class B* | — | (2,586,603 | ) | ||||||
Institutional Class** | (1,183,388 | ) | (86,468,280 | ) | |||||
Class R6*** | (569,476 | ) | (2,892,185 | ) | |||||
(98,604,392 | ) | (215,966,753 | ) | ||||||
Increase (Decrease) in net assets derived from capital share | |||||||||
transactions | 46,010,638 | (85,882,250 | ) | ||||||
Net Decrease in Net Assets | (170,577,901 | ) | (159,427,193 | ) | |||||
Net Assets: | |||||||||
Beginning of period | 471,830,112 | 631,257,305 | |||||||
End of period | $ | 301,252,211 | $ | 471,830,112 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
179
Statements of changes in net assets
Delaware Growth and Income Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 11,811,434 | $ | 22,841,340 | ||||
Net realized gain | 356,867,588 | 191,416,436 | ||||||
Net change in unrealized appreciation (depreciation) | (645,997,531 | ) | (189,978,012 | ) | ||||
Net increase (decrease) in net assets resulting from | ||||||||
operations | (277,318,509 | ) | 24,279,764 | |||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (482,570,022 | ) | (285,704,754 | ) | ||||
Class B* | — | (2,023,413 | ) | |||||
Institutional Class** | (2,819,757 | ) | (25,839,515 | ) | ||||
Class R6*** | (1,873,607 | ) | (1,676,586 | ) | ||||
(487,263,386 | ) | (315,244,268 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 37,713,427 | 104,698,583 | ||||||
Class B* | — | 320,127 | ||||||
Institutional Class** | 2,123,209 | 92,583,930 | ||||||
Class R6*** | 244,901 | 709,788 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 478,472,427 | 282,926,826 | ||||||
Class B* | — | 2,019,655 | ||||||
Institutional Class** | 2,760,247 | 25,657,982 | ||||||
Class R6*** | 1,873,606 | 1,676,586 | ||||||
523,187,817 | 510,593,477 |
180
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (247,140,492 | ) | $ | (313,279,311 | ) | ||
Class B* | — | (11,984,237 | ) | |||||
Institutional Class** | (18,763,759 | ) | (215,436,743 | ) | ||||
Class R6*** | (1,409,254 | ) | (6,215,502 | ) | ||||
(267,313,505 | ) | (546,915,793 | ) | |||||
Increase (Decrease) in net assets derived from capital share | ||||||||
transactions | 255,874,312 | (36,322,316 | ) | |||||
Net Decrease in Net Assets | (508,707,583 | ) | (327,286,820 | ) | ||||
Net Assets: | ||||||||
Beginning of period | 1,491,586,646 | 1,818,873,466 | ||||||
End of period | $ | 982,879,063 | $ | 1,491,586,646 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
181
Statements of changes in net assets
Delaware Growth Equity Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income (loss) | $ | (306,982 | ) | $ | 1,760,472 | |||
Net realized gain | 26,629,011 | 59,410,250 | ||||||
Net change in unrealized appreciation (depreciation) | (59,429,096 | ) | (106,507,568 | ) | ||||
Net decrease in net assets resulting from operations | (33,107,067 | ) | (45,336,846 | ) | ||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (51,256,384 | ) | (26,782,811 | ) | ||||
Class B* | — | (154,240 | ) | |||||
Institutional Class** | (14,562,190 | ) | (9,136,425 | ) | ||||
Class R6*** | (406,462 | ) | (308,565 | ) | ||||
(66,225,036 | ) | (36,382,041 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 26,329,867 | 91,999,515 | ||||||
Class B* | — | 165,997 | ||||||
Institutional Class** | 13,741,320 | 118,768,769 | ||||||
Class R6*** | 152,565 | 1,197,203 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 50,798,612 | 26,527,802 | ||||||
Class B* | — | 150,066 | ||||||
Institutional Class** | 14,146,829 | 9,075,112 | ||||||
Class R6*** | 406,461 | 308,565 | ||||||
105,575,654 | 248,193,029 |
182
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (103,815,400 | ) | $ | (120,862,330 | ) | ||
Class B* | — | (2,962,433 | ) | |||||
Institutional Class** | (50,708,849 | ) | (159,103,061 | ) | ||||
Class R6*** | (1,560,115 | ) | (4,543,171 | ) | ||||
(156,084,364 | ) | (287,470,995 | ) | |||||
Decrease in net assets derived from capital share transactions | (50,508,710 | ) | (39,277,966 | ) | ||||
Net Decrease in Net Assets | (149,840,813 | ) | (120,996,853 | ) | ||||
Net Assets: | ||||||||
Beginning of period | 654,699,352 | 775,696,205 | ||||||
End of period | $ | 504,858,539 | $ | 654,699,352 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
183
Statements of changes in net assets
Delaware Opportunity Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 3,352,986 | $ | 3,693,300 | ||||
Net realized gain | 161,499,140 | 107,728,650 | ||||||
Net change in unrealized appreciation (depreciation) | (408,142,219 | ) | (108,217,293 | ) | ||||
Net increase (decrease) in net assets resulting from | ||||||||
operations | (243,290,093 | ) | 3,204,657 | |||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (260,597,869 | ) | (89,968,893 | ) | ||||
Class B* | — | (687,500 | ) | |||||
Institutional Class** | (1,436,450 | ) | (13,689,378 | ) | ||||
Class R6*** | (621,869 | ) | (437,316 | ) | ||||
(262,656,188 | ) | (104,783,087 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 26,870,397 | 85,847,163 | ||||||
Class B* | — | 202,837 | ||||||
Institutional Class** | 965,028 | 25,710,508 | ||||||
Class R6*** | 211,095 | 652,202 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 258,629,421 | 89,198,488 | ||||||
Class B* | — | 684,857 | ||||||
Institutional Class** | 1,387,018 | 13,608,679 | ||||||
Class R6*** | 621,869 | 437,316 | ||||||
288,684,828 | 216,342,050 |
184
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (158,506,360 | ) | $ | (184,561,093 | ) | ||
Class B* | — | (6,188,675 | ) | |||||
Institutional Class** | (7,850,775 | ) | (163,748,110 | ) | ||||
Class R6*** | (1,082,844 | ) | (4,052,940 | ) | ||||
(167,439,979 | ) | (358,550,818 | ) | |||||
Increase (Decrease) in net assets derived from capital share | ||||||||
transactions | 121,244,849 | (142,208,768 | ) | |||||
Net Decrease in Net Assets | (384,701,432 | ) | (243,787,198 | ) | ||||
Net Assets: | ||||||||
Beginning of period | 928,001,917 | 1,171,789,115 | ||||||
End of period | $ | 543,300,485 | $ | 928,001,917 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
185
Statements of changes in net assets
Delaware Special Situations Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 1,994,251 | $ | 2,546,193 | ||||
Net realized gain | 22,612,585 | 37,166,502 | ||||||
Net change in unrealized appreciation (depreciation) | (160,006,100 | ) | (110,118,154 | ) | ||||
Net decrease in net assets resulting from operations | (135,399,264 | ) | (70,405,459 | ) | ||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (61,185,168 | ) | (69,289,188 | ) | ||||
Class B* | — | (397,669 | ) | |||||
Institutional Class** | (770,700 | ) | (16,747,438 | ) | ||||
Class R6*** | (512,755 | ) | (988,798 | ) | ||||
(62,468,623 | ) | (87,423,093 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 17,129,987 | 57,725,267 | ||||||
Class B* | — | 105,962 | ||||||
Institutional Class** | 482,169 | 27,517,981 | ||||||
Class R6*** | 133,462 | 675,600 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 60,626,902 | 68,590,690 | ||||||
Class B* | — | 395,996 | ||||||
Institutional Class** | 762,955 | 16,649,603 | ||||||
Class R6*** | 512,756 | 987,844 | ||||||
79,648,231 | 172,648,943 |
186
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (89,880,653 | ) | $ | (104,992,077 | ) | ||
Class B* | — | (2,429,549 | ) | |||||
Institutional Class** | (9,950,166 | ) | (142,584,431 | ) | ||||
Class R6*** | (889,873 | ) | (5,468,146 | ) | ||||
(100,720,692 | ) | (255,474,203 | ) | |||||
Decrease in net assets derived from capital share transactions | (21,072,461 | ) | (82,825,260 | ) | ||||
Net Decrease in Net Assets | (218,940,348 | ) | (240,653,812 | ) | ||||
Net Assets: | ||||||||
Beginning of period | 492,952,209 | 733,606,021 | ||||||
End of period | $ | 274,011,861 | $ | 492,952,209 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
187
Statements of changes in net assets
Delaware Global Equity Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 852,301 | $ | 3,967,886 | ||||
Net realized gain (loss) | 58,212,817 | (6,888,442 | ) | |||||
Net change in unrealized appreciation (depreciation) | (94,085,418 | ) | (4,967,086 | ) | ||||
Net decrease in net assets resulting from operations | (35,020,300 | ) | (7,887,642 | ) | ||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (47,492,756 | ) | (43,940,031 | ) | ||||
Class B* | — | (324,786 | ) | |||||
Institutional Class** | (3,789,098 | ) | (25,969,559 | ) | ||||
Class R6*** | (280,865 | ) | (407,474 | ) | ||||
(51,562,719 | ) | (70,641,850 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 7,948,014 | 27,819,062 | ||||||
Class B* | — | 77,755 | ||||||
Institutional Class** | 3,366,869 | 118,947,331 | ||||||
Class R6*** | 149,897 | 357,949 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 46,817,307 | 43,193,288 | ||||||
Class B* | — | 324,786 | ||||||
Institutional Class** | 3,775,915 | 25,895,633 | ||||||
Class R6*** | 280,865 | 407,474 | ||||||
62,338,867 | 217,023,278 |
188
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (55,128,243 | ) | $ | (68,689,497 | ) | ||
Class B* | — | (2,265,919 | ) | |||||
Institutional Class** | (57,556,733 | ) | (271,864,556 | ) | ||||
Class R6*** | (456,031 | ) | (2,717,006 | ) | ||||
(113,141,007 | ) | (345,536,978 | ) | |||||
Decrease in net assets derived from capital share transactions | (50,802,140 | ) | (128,513,700 | ) | ||||
Net Decrease in Net Assets | (137,385,159 | ) | (207,043,192 | ) | ||||
Net Assets: | ||||||||
Beginning of period | 421,615,476 | 628,658,668 | ||||||
End of period | $ | 284,230,317 | $ | 421,615,476 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
189
Statements of changes in net assets
Delaware International Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 541,289 | $ | 1,137,496 | ||||
Net realized gain | 73,500,281 | 21,649,781 | ||||||
Net change in unrealized appreciation (depreciation) | (125,964,847 | ) | 6,761,884 | |||||
Net increase (decrease) in net assets resulting from | ||||||||
operations | (51,923,277 | ) | 29,549,161 | |||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (49,806,206 | ) | (16,053,838 | ) | ||||
Class B* | — | (72,818 | ) | |||||
Institutional Class** | (40,763,845 | ) | (8,663,047 | ) | ||||
Class R6*** | (265,507 | ) | (183,424 | ) | ||||
(90,835,558 | ) | (24,973,127 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 9,915,832 | 30,633,200 | ||||||
Class B* | — | 34,643 | ||||||
Institutional Class** | 18,228,886 | 138,845,397 | ||||||
Class R6*** | 72,039 | 333,252 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 49,436,814 | 15,918,971 | ||||||
Class B* | — | 72,635 | ||||||
Institutional Class** | 40,743,288 | 8,630,971 | ||||||
Class R6*** | 265,507 | 183,425 | ||||||
118,662,366 | 194,652,494 |
190
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (52,381,648 | ) | $ | (59,056,317 | ) | ||
Class B* | — | (1,289,492 | ) | |||||
Institutional Class** | (81,514,764 | ) | (86,942,993 | ) | ||||
Class R6*** | (589,121 | ) | (2,625,255 | ) | ||||
(134,485,533 | ) | (149,914,057 | ) | |||||
Increase (Decrease) in net assets derived from capital share | ||||||||
transactions | (15,823,167 | ) | 44,738,437 | |||||
Net Increase (Decrease) in Net Assets | (158,582,002 | ) | 49,314,471 | |||||
Net Assets: | ||||||||
Beginning of period | 450,373,199 | 401,058,728 | ||||||
End of period | $ | 291,791,197 | $ | 450,373,199 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
191
Statements of changes in net assets
Delaware Floating Rate II Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 1,971,790 | $ | 8,274,311 | ||||
Net realized loss | (3,016,345 | ) | (231,419 | ) | ||||
Net change in unrealized appreciation (depreciation) | (6,270,003 | ) | (2,650,231 | ) | ||||
Net increase (decrease) in net assets resulting from | ||||||||
operations | (7,314,558 | ) | 5,392,661 | |||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (1,274,645 | ) | (2,770,276 | ) | ||||
Institutional Class* | (812,328 | ) | (4,436,212 | ) | ||||
Class R6** | (7,630 | ) | (1,069,434 | ) | ||||
(2,094,603 | ) | (8,275,922 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 3,244,734 | 19,796,406 | ||||||
Institutional Class* | 5,696,171 | 55,959,610 | ||||||
Class R6** | 37,547 | 3,204,376 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 1,191,818 | 2,621,576 | ||||||
Institutional Class* | 808,682 | 4,303,144 | ||||||
Class R6** | 7,564 | 30,284 | ||||||
10,986,516 | 85,915,396 |
192
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (19,073,121 | ) | $ | (25,931,302 | ) | ||
Institutional Class* | (21,160,800 | ) | (162,934,169 | ) | ||||
Class R6** | (479,557 | ) | (34,376,234 | ) | ||||
(40,713,478 | ) | (223,241,705 | ) | |||||
Decrease in net assets derived from capital share transactions | (29,726,962 | ) | (137,326,309 | ) | ||||
Net Decrease in Net Assets | (39,136,123 | ) | (140,209,570 | ) | ||||
Net Assets: | ||||||||
Beginning of period | 105,175,433 | 245,385,003 | ||||||
End of period | $ | 66,039,310 | $ | 105,175,433 |
* | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
193
Statements of changes in net assets
Delaware Fund for Income
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 11,121,147 | $ | 28,225,944 | ||||
Net realized loss | (8,851,628 | ) | (554,649 | ) | ||||
Net change in unrealized appreciation (depreciation) | (47,214,612 | ) | 5,012,920 | |||||
Net increase (decrease) in net assets resulting from | ||||||||
operations | (44,945,093 | ) | 32,684,215 | |||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (10,891,189 | ) | (26,190,928 | ) | ||||
Class B* | — | (49,755 | ) | |||||
Institutional Class** | (707,593 | ) | (2,944,295 | ) | ||||
Class R6*** | (77,158 | ) | (2,093,656 | ) | ||||
(11,675,940 | ) | (31,278,634 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 11,830,534 | 32,589,138 | ||||||
Class B* | — | 104,665 | ||||||
Institutional Class** | 16,561,023 | 44,665,685 | ||||||
Class R6*** | 529,058 | 18,118,700 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 9,404,053 | 22,732,227 | ||||||
Class B* | — | 41,153 | ||||||
Institutional Class** | 703,454 | 2,736,588 | ||||||
Class R6*** | 44,659 | 167,967 | ||||||
39,072,781 | 121,156,123 |
194
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (80,651,346 | ) | $ | (102,791,798 | ) | ||
Class B* | — | (1,917,196 | ) | |||||
Institutional Class** | (7,990,578 | ) | (99,019,284 | ) | ||||
Class R6*** | (35,752,087 | ) | (15,224,537 | ) | ||||
(124,394,011 | ) | (218,952,815 | ) | |||||
Decrease in net assets derived from capital share transactions | (85,321,230 | ) | (97,796,692 | ) | ||||
Net Decrease in Net Assets | (141,942,263 | ) | (96,391,111 | ) | ||||
Net Assets: | ||||||||
Beginning of period | 542,751,009 | 639,142,120 | ||||||
End of period | $ | 400,808,746 | $ | 542,751,009 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
195
Statements of changes in net assets
Delaware Government Cash Management Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase in Net Assets from Operations: | ||||||||
Net investment income | $ | 893,207 | $ | 2,943,310 | ||||
Net increase in net assets resulting from operations | 893,207 | 2,943,310 | ||||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (893,164 | ) | (2,942,231 | ) | ||||
Class B* | — | (1,061 | ) | |||||
Class R6** | (43 | ) | (18 | ) | ||||
(893,207 | ) | (2,943,310 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 198,085,171 | 243,937,757 | ||||||
Class B* | — | 119,589 | ||||||
Class R6** | 10,021 | — | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 842,900 | 2,848,143 | ||||||
Class B* | — | 1,039 | ||||||
Class R6** | 42 | 18 | ||||||
198,938,134 | 246,906,546 |
196
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (168,644,292 | ) | $ | (231,576,163 | ) | ||
Class B* | — | (222,047 | ) | |||||
Class R6** | (1,039 | ) | — | |||||
(168,645,331 | ) | (231,798,210 | ) | |||||
Increase in net assets derived from capital share transactions | 30,292,803 | 15,108,336 | ||||||
Net Increase in Net Assets | 30,292,803 | 15,108,336 | ||||||
Net Assets: | ||||||||
Beginning of period | 168,905,751 | 153,797,415 | ||||||
End of period | $ | 199,198,554 | $ | 168,905,751 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
197
Statements of changes in net assets
Delaware International Opportunities Bond Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 85,552 | $ | 4,288,033 | ||||
Net realized loss | (15,048,800 | ) | (7,212,574 | ) | ||||
Net change in unrealized appreciation (depreciation) | 12,587,135 | 1,893,674 | ||||||
Net decrease in net assets resulting from operations | (2,376,113 | ) | (1,030,867 | ) | ||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (75,240 | ) | (928,347 | ) | ||||
Institutional Class* | (156,145 | ) | (1,600,584 | ) | ||||
Class R6** | (791 | ) | (219,517 | ) | ||||
(232,176 | ) | (2,748,448 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 1,287,657 | 4,177,875 | ||||||
Institutional Class* | 4,720,637 | 36,535,536 | ||||||
Class R6** | 17,384 | 9,908,986 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 72,159 | 888,921 | ||||||
Institutional Class* | 153,257 | 1,596,425 | ||||||
Class R6** | 783 | 8,115 | ||||||
6,251,877 | 53,115,858 |
198
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (11,108,423 | ) | $ | (15,079,450 | ) | ||
Institutional Class* | (37,522,852 | ) | (72,895,176 | ) | ||||
Class R6** | (13,898,132 | ) | (5,632,160 | ) | ||||
(62,529,407 | ) | (93,606,786 | ) | |||||
Decrease in net assets derived from capital share transactions | (56,277,530 | ) | (40,490,928 | ) | ||||
Net Decrease in Net Assets | (58,885,819 | ) | (44,270,243 | ) | ||||
Net Assets: | ||||||||
Beginning of period | 107,148,837 | 151,419,080 | ||||||
End of period | $ | 48,263,018 | $ | 107,148,837 |
* | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
199
Statements of changes in net assets
Delaware Investment Grade Fund
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Increase (Decrease) in Net Assets from Operations: | |||||||||
Net investment income | $ | 3,333,287 | $ | 16,009,220 | |||||
Net realized gain | 26,694,612 | 9,505,082 | |||||||
Net change in unrealized appreciation (depreciation) | (44,821,972 | ) | 35,715,910 | ||||||
Net increase (decrease) in net assets resulting from | |||||||||
operations | (14,794,073 | ) | 61,230,212 | ||||||
Dividends and Distributions to Shareholders from: | |||||||||
Distributable earnings: | |||||||||
Class A | (15,658,259 | ) | (13,019,432 | ) | |||||
Class B* | — | (26,417 | ) | ||||||
Institutional Class** | (203,934 | ) | (5,307,664 | ) | |||||
Class R6*** | (73,872 | ) | (829,881 | ) | |||||
(15,936,065 | ) | (19,183,394 | ) | ||||||
Capital Share Transactions: | |||||||||
Proceeds from shares sold: | |||||||||
Class A | 11,529,867 | 36,161,680 | |||||||
Class B* | — | 103,617 | |||||||
Institutional Class** | 10,875,523 | 37,872,470 | |||||||
Class R6*** | 137,601 | 4,059,470 | |||||||
Net asset value of shares issued upon reinvestment of | |||||||||
dividends and distributions: | |||||||||
Class A | 15,177,802 | 12,267,106 | |||||||
Class B* | — | 26,215 | |||||||
Institutional Class** | 201,623 | 5,266,597 | |||||||
Class R6*** | 61,518 | 53,717 | |||||||
37,983,934 | 95,810,872 |
200
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Capital Share Transactions (continued): | |||||||||
Cost of shares redeemed: | |||||||||
Class A | $ | (82,333,124 | ) | $ | (116,043,630 | ) | |||
Class B* | — | (1,670,389 | ) | ||||||
Institutional Class** | (20,050,339 | ) | (221,815,011 | ) | |||||
Class R6*** | (22,379,525 | ) | (6,770,284 | ) | |||||
(124,762,988 | ) | (346,299,314 | ) | ||||||
Decrease in net assets derived from capital share transactions | (86,779,054 | ) | (250,488,442 | ) | |||||
Net Decrease in Net Assets | (117,509,192 | ) | (208,441,624 | ) | |||||
Net Assets: | |||||||||
Beginning of period | 397,966,719 | 606,408,343 | |||||||
End of period | $ | 280,457,527 | $ | 397,966,719 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
201
Statements of changes in net assets
Delaware Limited Duration Bond Fund
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Increase (Decrease) in Net Assets from Operations: | |||||||||
Net investment income | $ | 2,012,900 | $ | 7,945,941 | |||||
Net realized gain | 4,560,876 | 490,159 | |||||||
Net change in unrealized appreciation (depreciation) | (6,101,720 | ) | 7,076,563 | ||||||
Net increase in net assets resulting from operations | 472,056 | 15,512,663 | |||||||
Dividends and Distributions to Shareholders from: | |||||||||
Distributable earnings: | |||||||||
Class A | (2,492,527 | ) | (6,578,036 | ) | |||||
Institutional Class* | (390,418 | ) | (2,085,773 | ) | |||||
Class R6** | (28,885 | ) | (1,128,359 | ) | |||||
(2,911,830 | ) | (9,792,168 | ) | ||||||
Capital Share Transactions: | |||||||||
Proceeds from shares sold: | |||||||||
Class A | 10,604,783 | 37,598,776 | |||||||
Institutional Class* | 4,569,767 | 176,696,611 | |||||||
Class R6** | 34,208 | 35,842,234 | |||||||
Net asset value of shares issued upon reinvestment of | |||||||||
dividends and distributions: | |||||||||
Class A | 2,373,814 | 6,298,169 | |||||||
Institutional Class* | 373,519 | 2,061,691 | |||||||
Class R6** | 7,201 | 21,676 | |||||||
17,963,292 | 258,519,157 |
202
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Capital Share Transactions (continued): | |||||||||
Cost of shares redeemed: | |||||||||
Class A | $ | (50,309,724 | ) | $ | (74,562,975 | ) | |||
Institutional Class* | (50,595,380 | ) | (159,637,535 | ) | |||||
Class R6** | (47,709,421 | ) | (27,257,693 | ) | |||||
(148,614,525 | ) | (261,458,203 | ) | ||||||
Decrease in net assets derived from capital share transactions | (130,651,233 | ) | (2,939,046 | ) | |||||
Net Increase (Decrease) in Net Assets | (133,091,007 | ) | 2,781,449 | ||||||
Net Assets: | |||||||||
Beginning of period | 325,003,427 | 322,221,978 | |||||||
End of period | $ | 191,912,420 | $ | 325,003,427 |
* | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
203
Statements of changes in net assets
Delaware Strategic Income II Fund
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Increase (Decrease) in Net Assets from Operations: | |||||||||
Net investment income | $ | 1,810,029 | $ | 4,768,654 | |||||
Net realized loss | (4,512,465 | ) | (950,833 | ) | |||||
Net change in unrealized appreciation (depreciation) | (8,937,085 | ) | 2,862,510 | ||||||
Net increase (decrease) in net assets resulting from | |||||||||
operations | (11,639,521 | ) | 6,680,331 | ||||||
Dividends and Distributions to Shareholders from: | |||||||||
Distributable earnings: | |||||||||
Class A | (2,113,105 | ) | (4,796,353 | ) | |||||
Institutional Class* | (9,455 | ) | (26,638 | ) | |||||
(2,122,560 | ) | (4,822,991 | ) | ||||||
Capital Share Transactions: | |||||||||
Proceeds from shares sold: | |||||||||
Class A | 8,596,941 | 19,197,484 | |||||||
Institutional Class* | 146,599 | 457,470 | |||||||
Net asset value of shares issued upon reinvestment of | |||||||||
dividends and distributions: | |||||||||
Class A | 2,014,016 | 4,582,076 | |||||||
Institutional Class* | 9,363 | 26,041 | |||||||
10,766,919 | 24,263,071 |
204
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Capital Share Transactions (continued): | |||||||||
Cost of shares redeemed: | |||||||||
Class A | $ | (33,453,592 | ) | $ | (40,650,338 | ) | |||
Institutional Class* | (315,268 | ) | (688,192 | ) | |||||
(33,768,860 | ) | (41,338,530 | ) | ||||||
Decrease in net assets derived from capital share transactions | (23,001,941 | ) | (17,075,459 | ) | |||||
Net Decrease in Net Assets | (36,764,022 | ) | (15,218,119 | ) | |||||
Net Assets: | |||||||||
Beginning of period | 137,721,183 | 152,939,302 | |||||||
End of period | $ | 100,957,161 | $ | 137,721,183 |
* | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
205
Statements of changes in net assets
Delaware Covered Call Strategy Fund
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Increase (Decrease) in Net Assets from Operations: | |||||||||
Net investment income | $ | 1,599,738 | $ | 3,750,010 | |||||
Net realized gain (loss) | 12,367,060 | (12,573,241 | ) | ||||||
Net change in unrealized appreciation (depreciation) | (60,270,014 | ) | 8,864,550 | ||||||
Net increase (decrease) in net assets resulting from | |||||||||
operations | (46,303,216 | ) | 41,319 | ||||||
Dividends and Distributions to Shareholders from: | |||||||||
Distributable earnings: | |||||||||
Class A | (1,128,031 | ) | (2,445,494 | ) | |||||
Institutional Class* | (411,763 | ) | (1,174,712 | ) | |||||
Class R6** | (10,963 | ) | (33,338 | ) | |||||
(1,550,757 | ) | (3,653,544 | ) | ||||||
Capital Share Transactions: | |||||||||
Proceeds from shares sold: | |||||||||
Class A | 14,579,124 | 44,574,129 | |||||||
Institutional Class* | 6,324,367 | 55,309,828 | |||||||
Class R6** | 62,115 | 307,194 | |||||||
Net asset value of shares issued upon reinvestment of | |||||||||
dividends and distributions: | |||||||||
Class A | 1,109,389 | 2,403,312 | |||||||
Institutional Class* | 382,056 | 1,083,507 | |||||||
Class R6** | 10,501 | 33,020 | |||||||
22,467,552 | 103,710,990 |
206
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Capital Share Transactions (continued): | |||||||||
Cost of shares redeemed: | |||||||||
Class A | $ | (62,447,177 | ) | $ | (71,836,104 | ) | |||
Institutional Class* | (20,060,585 | ) | (101,320,736 | ) | |||||
Class R6** | (432,258 | ) | (1,727,818 | ) | |||||
(82,940,020 | ) | (174,884,658 | ) | ||||||
Decrease in net assets derived from capital share transactions | (60,472,468 | ) | (71,173,668 | ) | |||||
Net Decrease in Net Assets | (108,326,441 | ) | (74,785,893 | ) | |||||
Net Assets: | |||||||||
Beginning of period | 279,505,177 | 354,291,070 | |||||||
End of period | $ | 171,178,736 | $ | 279,505,177 |
* | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
207
Statements of changes in net assets
Delaware Hedged U.S. Equity Opportunities Fund
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Increase (Decrease) in Net Assets from Operations: | |||||||||
Net investment income | $ | 89,491 | $ | 288,569 | |||||
Net realized gain | 18,433,902 | 12,517,641 | |||||||
Net change in unrealized appreciation (depreciation) | (26,250,753 | ) | 3,210,979 | ||||||
Net increase (decrease) in net assets resulting from | |||||||||
operations | (7,727,360 | ) | 16,017,189 | ||||||
Dividends and Distributions to Shareholders from: | |||||||||
Distributable earnings: | |||||||||
Class A | (11,099,496 | ) | (1,268,295 | ) | |||||
Institutional Class* | (4,445,817 | ) | (1,748,223 | ) | |||||
Class R6** | (49,879 | ) | (9,534 | ) | |||||
(15,595,192 | ) | (3,026,052 | ) | ||||||
Capital Share Transactions: | |||||||||
Proceeds from shares sold: | |||||||||
Class A | 4,862,290 | 24,887,381 | |||||||
Institutional Class* | 2,982,403 | 157,532,297 | |||||||
Class R6** | 74,366 | 254,983 | |||||||
Net asset value of shares issued upon reinvestment of | |||||||||
dividends and distributions: | |||||||||
Class A | 10,953,456 | 1,255,237 | |||||||
Institutional Class* | 4,430,714 | 1,740,439 | |||||||
Class R6** | 49,879 | 9,534 | |||||||
23,353,108 | 185,679,871 |
208
Six months | |||||||||
ended | |||||||||
3/31/20 | Year ended | ||||||||
(Unaudited) | 9/30/19 | ||||||||
Capital Share Transactions (continued): | |||||||||
Cost of shares redeemed: | |||||||||
Class A | $ | (21,178,106 | ) | $ | (18,330,956 | ) | |||
Institutional Class* | (26,441,125 | ) | (218,918,208 | ) | |||||
Class R6** | (313,151 | ) | (515,075 | ) | |||||
(47,932,382 | ) | (237,764,239 | ) | ||||||
Decrease in net assets derived from capital share transactions | (24,579,274 | ) | (52,084,368 | ) | |||||
Net Decrease in Net Assets | (47,901,826 | ) | (39,093,231 | ) | |||||
Net Assets: | |||||||||
Beginning of period | 123,181,304 | 162,274,535 | |||||||
End of period | $ | 75,279,478 | $ | 123,181,304 |
* | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
209
Statements of changes in net assets
Delaware Premium Income Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 1,256,115 | $ | 2,116,901 | ||||
Net realized gain | 1,403,286 | 3,452,367 | ||||||
Net change in unrealized appreciation (depreciation) | (20,590,990 | ) | (2,128,498 | ) | ||||
Net increase (decrease) in net assets resulting from | ||||||||
operations | (17,931,589 | ) | 3,440,770 | |||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (1,198,700 | ) | (2,048,419 | ) | ||||
Institutional Class* | (1,456,836 | ) | (2,126,770 | ) | ||||
Class R6** | (1,985 | ) | (20,972 | ) | ||||
(2,657,521 | ) | (4,196,161 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 5,999,305 | 32,786,671 | ||||||
Institutional Class* | 11,419,879 | 77,670,239 | ||||||
Class R6** | 21,761 | 27,464 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 1,174,374 | 2,001,143 | ||||||
Institutional Class* | 1,379,195 | 2,001,731 | ||||||
Class R6** | 1,915 | 15,731 | ||||||
19,996,429 | 114,502,979 |
210
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (21,389,859 | ) | $ | (15,332,080 | ) | ||
Institutional Class* | (25,345,682 | ) | (45,830,176 | ) | ||||
Class R6** | (6,936 | ) | (3,618,214 | ) | ||||
(46,742,477 | ) | (64,780,470 | ) | |||||
Increase (Decrease) in net assets derived from capital share | ||||||||
transactions | (26,746,048 | ) | 49,722,509 | |||||
Net Increase (Decrease) in Net Assets | (47,335,158 | ) | 48,967,118 | |||||
Net Assets: | ||||||||
Beginning of period | 128,702,137 | 79,735,019 | ||||||
End of period | $ | 81,366,979 | $ | 128,702,137 |
* | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
211
Statements of changes in net assets
Delaware Total Return Fund
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Increase (Decrease) in Net Assets from Operations: | ||||||||
Net investment income | $ | 7,094,903 | $ | 13,035,330 | ||||
Net realized gain | 107,774,199 | 55,471,198 | ||||||
Net change in unrealized appreciation (depreciation) | (231,509,610 | ) | (31,701,223 | ) | ||||
Net increase (decrease) in net assets resulting from | ||||||||
operations | (116,640,508 | ) | 36,805,305 | |||||
Dividends and Distributions to Shareholders from: | ||||||||
Distributable earnings: | ||||||||
Class A | (150,990,689 | ) | (79,846,565 | ) | ||||
Class B* | — | (471,925 | ) | |||||
Institutional Class** | (186,042 | ) | (105,598 | ) | ||||
Class R6*** | (352,145 | ) | (3,088,864 | ) | ||||
(151,528,876 | ) | (83,512,952 | ) | |||||
Capital Share Transactions: | ||||||||
Proceeds from shares sold: | ||||||||
Class A | 25,102,641 | 70,130,360 | ||||||
Class B* | — | 361,645 | ||||||
Institutional Class** | 580,997 | 696,193 | ||||||
Class R6*** | 122,364 | 347,661 | ||||||
Net asset value of shares issued upon reinvestment of | ||||||||
dividends and distributions: | ||||||||
Class A | 149,220,883 | 78,807,381 | ||||||
Class B* | — | 471,902 | ||||||
Institutional Class** | 168,605 | 91,540 | ||||||
Class R6*** | 352,145 | 3,088,864 | ||||||
175,547,635 | 153,995,546 |
212
Six months | ||||||||
ended | ||||||||
3/31/20 | Year ended | |||||||
(Unaudited) | 9/30/19 | |||||||
Capital Share Transactions (continued): | ||||||||
Cost of shares redeemed: | ||||||||
Class A | $ | (155,971,495 | ) | $ | (192,814,710 | ) | ||
Class B* | — | (6,418,944 | ) | |||||
Institutional Class** | (1,142,503 | ) | (568,268 | ) | ||||
Class R6*** | (788,969 | ) | (34,529,019 | ) | ||||
(157,902,967 | ) | (234,330,941 | ) | |||||
Increase (Decrease) in net assets derived from capital share | ||||||||
transactions | 17,644,668 | (80,335,395 | ) | |||||
Net Decrease in Net Assets | (250,524,716 | ) | (127,043,042 | ) | ||||
Net Assets: | ||||||||
Beginning of period | 804,051,351 | 931,094,393 | ||||||
End of period | $ | 553,526,635 | $ | 804,051,351 |
* | All Class B shares were converted into Class A shares on June 14, 2019. |
** | On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares. See Notes to Financial Statements. |
*** | On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares. See Notes to Financial Statements. |
See accompanying notes, which are an integral part of the financial statements.
213
Financial highlights
Delaware Equity Income 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of net investment income to average net assets |
Portfolio turnover |
1 | Ratios have been annualized and total return and portfolio turnover have not been annualized. |
2 | On Oct. 4, 2019, Class A shares of First Investors Equity Income Fund were reorganized into Class A shares of Delaware Equity Income Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Equity Income Fund Class A shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
214
Six months ended | ||||||||||||||||||||||||
3/31/201, 2 | Year ended | |||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||
$ | 9.68 | $ | 11.09 | $ | 10.71 | $ | 9.72 | $ | 8.99 | $ | 9.99 | |||||||||||||
0.07 | 0.15 | 0.26 | 0.16 | 0.16 | 0.15 | |||||||||||||||||||
(1.35 | ) | (0.16 | ) | 0.65 | 1.22 | 1.08 | (0.54 | ) | ||||||||||||||||
(1.28 | ) | (0.01 | ) | 0.91 | 1.38 | 1.24 | (0.39 | ) | ||||||||||||||||
(0.16 | ) | (0.26 | ) | (0.17 | ) | (0.21 | ) | (0.16 | ) | (0.15 | ) | |||||||||||||
(2.91 | ) | (1.14 | ) | (0.36 | ) | (0.18 | ) | (0.35 | ) | (0.46 | ) | |||||||||||||
(3.07 | ) | (1.40 | ) | (0.53 | ) | (0.39 | ) | (0.51 | ) | (0.61 | ) | |||||||||||||
$ | 5.33 | $ | 9.68 | $ | 11.09 | $ | 10.71 | $ | 9.72 | $ | 8.99 | |||||||||||||
(22.00% | ) | 1.83% | 8.68% | 14.46% | 14.16% | (4.31% | ) | |||||||||||||||||
$ | 299,726 | $ | 468,634 | $ | 545,810 | $ | 564,918 | $ | 529,327 | $ | 485,342 | |||||||||||||
1.16% | 1.19% | 1.20% | 1.20% | 1.22% | 1.21% | |||||||||||||||||||
1.68% | 1.58% | 2.42% | 1.58% | 1.72% | 1.52% | |||||||||||||||||||
96% | 6 | 39% | 35% | 15% | 22% | 23% |
215
Financial highlights
Delaware Equity Income 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Equity Income Fund were reorganized into Institutional Class shares of Delaware Equity Income Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Equity Income Fund Advisor Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
216
Six months ended | ||||||||||||||||||||||||
3/31/201, 2 | Year ended | |||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||
$ | 9.73 | $ | 11.16 | $ | 10.77 | $ | 9.74 | $ | 9.00 | $ | 9.99 | |||||||||||||
0.08 | 0.20 | 0.31 | 0.19 | 0.20 | 0.19 | |||||||||||||||||||
(1.34 | ) | (0.20 | ) | 0.65 | 1.23 | 1.08 | (0.55 | ) | ||||||||||||||||
(1.26 | ) | — | 0.96 | 1.42 | 1.28 | (0.36 | ) | |||||||||||||||||
(0.19 | ) | (0.29 | ) | (0.21 | ) | (0.21 | ) | (0.19 | ) | (0.17 | ) | |||||||||||||
(2.91 | ) | (1.14 | ) | (0.36 | ) | (0.18 | ) | (0.35 | ) | (0.46 | ) | |||||||||||||
(3.10 | ) | (1.43 | ) | (0.57 | ) | (0.39 | ) | (0.54 | ) | (0.63 | ) | |||||||||||||
$ | 5.37 | $ | 9.73 | $ | 11.16 | $ | 10.77 | $ | 9.74 | $ | 9.00 | |||||||||||||
(21.89% | )5 | 1.97 | % | 9.09% | 14.87% | 14.63% | (3.96% | ) | ||||||||||||||||
$ | 759 | $ | 1,786 | $ | 80,387 | $ | 71,611 | $ | 54,576 | $ | 38,482 | |||||||||||||
0.92% | 0.86% | 0.85% | 0.84% | 0.85% | 0.84% | |||||||||||||||||||
0.96% | 0.86% | 0.85% | 0.84% | 0.85% | 0.84% | |||||||||||||||||||
1.95% | 2.08% | 2.79% | 1.94% | 2.08% | 1.90% | |||||||||||||||||||
1.91% | 2.08% | 2.79% | 1.94% | 2.08% | 1.90% | |||||||||||||||||||
96% | 7 | 39% | 35% | 15% | 22% | 23% |
217
Financial highlights
Delaware Equity Income Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Equity Income Fund were reorganized into Class R6 shares of Delaware Equity Income Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Equity Income Fund Institutional Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
218
Six months ended | ||||||||||||||||||||||||
3/31/201, 2 | Year ended | |||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||
$ | 9.67 | $ | 11.12 | $ | 10.72 | $ | 9.78 | $ | 9.04 | $ | 10.03 | |||||||||||||
0.08 | 0.19 | 0.31 | 0.37 | 0.20 | 0.19 | |||||||||||||||||||
(1.33 | ) | (0.17 | ) | 0.66 | 1.06 | 1.09 | (0.55 | ) | ||||||||||||||||
(1.25 | ) | 0.02 | 0.97 | 1.43 | 1.29 | (0.36 | ) | |||||||||||||||||
(0.19 | ) | (0.33 | ) | (0.21 | ) | (0.31 | ) | (0.20 | ) | (0.17 | ) | |||||||||||||
(2.91 | ) | (1.14 | ) | (0.36 | ) | (0.18 | ) | (0.35 | ) | (0.46 | ) | |||||||||||||
(3.10 | ) | (1.47 | ) | (0.57 | ) | (0.49 | ) | (0.55 | ) | (0.63 | ) | |||||||||||||
$ | 5.32 | $ | 9.67 | $ | 11.12 | $ | 10.72 | $ | 9.78 | $ | 9.04 | |||||||||||||
(21.85% | )5 | 2.18% | 9.21% | 14.84% | 14.67% | (3.97% | ) | |||||||||||||||||
$ | 767 | $ | 1,411 | $ | 2,499 | $ | 2,193 | $ | 2,448 | $ | 9,773 | |||||||||||||
0.82% | 0.81% | 0.80% | 0.80% | 0.78% | 0.81% | |||||||||||||||||||
0.89% | 0.81% | 0.80% | 0.80% | 0.78% | 0.81% | |||||||||||||||||||
2.03% | 1.94% | 2.81% | 2.02% | 2.08% | 1.93% | |||||||||||||||||||
1.96% | 1.94% | 2.81% | 2.02% | 2.08% | 1.93% | |||||||||||||||||||
96% | 7 | 39% | 35% | 15% | 22% | 23% |
219
Financial highlights
Delaware Growth and Income 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of net investment income to average net assets |
Portfolio turnover |
1 | Ratios have been annualized and total return and portfolio turnover have not been annualized. |
2 | On Oct. 4, 2019, Class A shares of First Investors Growth & Income Fund were reorganized into Class A shares of Delaware Growth and Income Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Growth & Income Fund Class A shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
220
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 19.85 | $ | 24.41 | $ | 23.30 | $ | 21.51 | $ | 20.35 | $ | 22.76 | ||||||||||||||
0.13 | 0.27 | 0.26 | 0.25 | 0.26 | 0.20 | ||||||||||||||||||||
(2.54 | ) | (0.54 | ) | 2.11 | 2.66 | 2.07 | (1.37 | ) | |||||||||||||||||
(2.41 | ) | (0.27 | ) | 2.37 | 2.91 | 2.33 | (1.17 | ) | |||||||||||||||||
(0.29 | ) | (0.27 | ) | (0.32 | ) | (0.37 | ) | (0.24 | ) | (0.19 | ) | ||||||||||||||
(6.94 | ) | (4.02 | ) | (0.94 | ) | (0.75 | ) | (0.93 | ) | (1.05 | ) | ||||||||||||||
(7.23 | ) | (4.29 | ) | (1.26 | ) | (1.12 | ) | (1.17 | ) | (1.24 | ) | ||||||||||||||
$ | 10.21 | $ | 19.85 | $ | 24.41 | $ | 23.30 | $ | 21.51 | $ | 20.35 | ||||||||||||||
(21.92% | ) | 2.02% | 10.35% | 13.99% | 11.72% | (5.62% | ) | ||||||||||||||||||
$ | 975,543 | $ | 1,464,393 | $ | 1,653,563 | $ | 1,675,590 | $ | 1,588,423 | $ | 1,496,803 | ||||||||||||||
1.09% | 1.13% | 1.14% | 1.15% | 1.16% | 1.15% | ||||||||||||||||||||
1.74% | 1.37% | 1.08% | 1.13% | 1.28% | 0.89% | ||||||||||||||||||||
95% | 6 | 55% | 34% | 16% | 23% | 23% |
221
Financial highlights
Delaware Growth and Income 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Growth & Income Fund were reorganized into Institutional Class shares of Delaware Growth and Income Fund. See Notes to Financial Statements. |
The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Growth & Income Fund Advisor Class shares. | |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
222
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year Ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 19.87 | $ | 24.58 | $ | 23.46 | $ | 21.67 | $ | 20.46 | $ | 22.84 | ||||||||||||||
0.17 | 0.33 | 0.35 | 0.33 | 0.35 | 0.29 | ||||||||||||||||||||
(2.39 | ) | (0.55 | ) | 2.11 | 2.69 | 2.08 | (1.38 | ) | |||||||||||||||||
(2.22 | ) | (0.22 | ) | 2.46 | 3.02 | 2.43 | (1.09 | ) | |||||||||||||||||
(0.45 | ) | (0.47 | ) | (0.40 | ) | (0.48 | ) | (0.29 | ) | (0.24 | ) | ||||||||||||||
(6.94 | ) | (4.02 | ) | (0.94 | ) | (0.75 | ) | (0.93 | ) | (1.05 | ) | ||||||||||||||
(7.39 | ) | (4.49 | ) | (1.34 | ) | (1.23 | ) | (1.22 | ) | (1.29 | ) | ||||||||||||||
$ | 10.26 | $ | 19.87 | $ | 24.58 | $ | 23.46 | $ | 21.67 | $ | 20.46 | ||||||||||||||
(21.80% | )5 | 2.26% | 10.73% | 14.42% | 12.18% | (5.24% | ) | ||||||||||||||||||
$ | 3,889 | $ | 21,597 | $ | 142,220 | $ | 166,851 | $ | 132,486 | $ | 141,229 | ||||||||||||||
0.85% | 0.83% | 0.79% | 0.78% | 0.77% | 0.75% | ||||||||||||||||||||
0.86% | 0.83% | 0.79% | 0.78% | 0.77% | 0.75% | ||||||||||||||||||||
1.99% | 1.66% | 1.44% | 1.50% | 1.68% | 1.29% | ||||||||||||||||||||
1.98% | 1.66% | 1.44% | 1.50% | 1.68% | 1.29% | ||||||||||||||||||||
95% | 7 | 55% | 34% | 16% | 23% | 23% |
223
Financial highlights
Delaware Growth and Income Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Growth & Income Fund were reorganized into Class R6 shares of Delaware Growth and Income Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Growth & Income Fund Institutional Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
224
Six months ended | ||||||||||||||||||||||||
3/31/201, 2 | Year ended | |||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||
$ | 19.92 | $ | 24.52 | $ | 23.39 | $ | 21.58 | $ | 20.39 | $ | 22.78 | |||||||||||||
0.16 | 0.35 | 0.36 | 0.34 | 0.35 | 0.29 | |||||||||||||||||||
(2.50 | ) | (0.56 | ) | 2.12 | 2.67 | 2.07 | (1.39 | ) | ||||||||||||||||
(2.34 | ) | (0.21 | ) | 2.48 | 3.01 | 2.42 | (1.10 | ) | ||||||||||||||||
(0.37 | ) | (0.37 | ) | (0.41 | ) | (0.45 | ) | (0.30 | ) | (0.24 | ) | |||||||||||||
(6.94 | ) | (4.02 | ) | (0.94 | ) | (0.75 | ) | (0.93 | ) | (1.05 | ) | |||||||||||||
(7.31 | ) | (4.39 | ) | (1.35 | ) | (1.20 | ) | (1.23 | ) | (1.29 | ) | |||||||||||||
$ | 10.27 | $ | 19.92 | $ | 24.52 | $ | 23.39 | $ | 21.58 | $ | 20.39 | |||||||||||||
(21.82% | )5 | 2.34% | 10.85% | 14.47% | 12.18% | (5.27% | ) | |||||||||||||||||
$ | 3,447 | $ | 5,597 | $ | 11,067 | $ | 10,839 | $ | 10,596 | $ | 9,380 | |||||||||||||
0.76% | 0.75% | 0.74% | 0.74% | 0.74% | 0.75% | |||||||||||||||||||
0.81% | 0.75% | 0.74% | 0.74% | 0.74% | 0.75% | |||||||||||||||||||
2.07% | 1.75% | 1.49% | 1.54% | 1.70% | 1.29% | |||||||||||||||||||
2.02% | 1.75% | 1.49% | 1.54% | 1.70% | 1.29% | |||||||||||||||||||
95% | 7 | 55% | 34% | 16% | 23% | 23% |
225
Financial highlights
Delaware Growth Equity 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)3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
Total dividends and distributions |
Net asset value, end of period |
Total return5 |
Ratios and supplemental data: |
Net assets, end of period (000 omitted) |
Ratio of expenses to average net assets7 |
Ratio of expenses to average net assets prior to fees waived7 |
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 | On Oct. 4, 2019, Class A shares of First Investors Select Growth Fund were reorganized into Class A shares of Delaware Growth Equity Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Select Growth Fund Class A shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Amount is less than $0.005 per share. |
5 | Total 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. |
6 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
7 | Expense ratios do not include expenses of the Underlying Fund in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
226
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 12.09 | $ | 13.61 | $ | 12.04 | $ | 11.24 | $ | 11.64 | $ | 10.97 | ||||||||||||||
(0.01 | ) | 0.02 | (0.01 | ) | — | 0.02 | 0.02 | ||||||||||||||||||
(0.65 | ) | (0.92 | ) | 2.66 | 2.38 | 0.73 | 0.65 | ||||||||||||||||||
(0.66 | ) | (0.90 | ) | 2.65 | 2.38 | 0.75 | 0.67 | ||||||||||||||||||
(0.02 | ) | — | (0.01 | ) | (0.03 | ) | (0.02 | ) | — | 4 | |||||||||||||||
(1.30 | ) | (0.62 | ) | (1.07 | ) | (1.55 | ) | (1.13 | ) | — | |||||||||||||||
(1.32 | ) | (0.62 | ) | (1.08 | ) | (1.58 | ) | (1.15 | ) | — | |||||||||||||||
$ | 10.11 | $ | 12.09 | $ | 13.61 | $ | 12.04 | $ | 11.24 | $ | 11.64 | ||||||||||||||
(7.17% | ) | (6.01% | )6 | 23.22% | 24.16% | 6.50% | 6.12% | ||||||||||||||||||
$ | 402,373 | $ | 507,351 | $ | 570,309 | $ | 444,933 | $ | 373,279 | $ | 352,651 | ||||||||||||||
1.16% | 1.19% | 1.22% | 1.25% | 1.27% | 1.25% | ||||||||||||||||||||
1.16% | 1.20% | 1.22% | 1.25% | 1.27% | 1.25% | ||||||||||||||||||||
(0.16% | ) | 0.16% | (0.06% | ) | 0.00% | 0.22% | 0.16% | ||||||||||||||||||
(0.16% | ) | 0.15% | 0.06% | 0.00% | 0.22% | 0.16% | |||||||||||||||||||
16% | 51% | 37% | 58% | 59% | 48% |
227
Financial highlights
Delaware Growth Equity 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Select Growth Fund were reorganized into Institutional Class shares of Delaware Growth Equity Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Select Growth Fund Advisor Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Fund in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
228
Six months ended | ||||||||||||||||||||||||
3/31/201, 2 | Year ended | |||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||
$ | 12.38 | $ | 13.89 | $ | 12.23 | $ | 11.37 | $ | 11.73 | $ | 11.01 | |||||||||||||
0.01 | 0.06 | 0.04 | 0.05 | 0.07 | 0.07 | |||||||||||||||||||
(0.67 | ) | (0.94 | ) | 2.71 | 2.40 | 0.73 | 0.66 | |||||||||||||||||
(0.66 | ) | (0.88 | ) | 2.75 | 2.45 | 0.80 | 0.73 | |||||||||||||||||
(0.06 | ) | (0.01 | ) | (0.02 | ) | (0.04 | ) | (0.03 | ) | (0.01 | ) | |||||||||||||
(1.30 | ) | (0.62 | ) | (1.07 | ) | (1.55 | ) | (1.13 | ) | — | ||||||||||||||
(1.36 | ) | (0.63 | ) | (1.09 | ) | (1.59 | ) | (1.16 | ) | (0.01 | ) | |||||||||||||
$ | 10.36 | $ | 12.38 | $ | 13.89 | $ | 12.23 | $ | 11.37 | $ | 11.73 | |||||||||||||
(7.05% | )5 | (5.74% | )5 | 23.74% | 24.61% | 6.93% | 6.61% | |||||||||||||||||
$ | 99,959 | $ | 143,304 | $ | 194,554 | $ | 81,203 | $ | 66,588 | $ | 46,793 | |||||||||||||
0.87% | 0.88% | 0.83% | 0.84% | 0.86% | 0.84% | |||||||||||||||||||
0.91% | 0.89% | 0.83% | 0.84% | 0.86% | 0.84% | |||||||||||||||||||
0.13% | 0.50% | 0.34% | 0.40% | 0.62% | 0.57% | |||||||||||||||||||
0.09% | 0.49% | 0.34% | 0.40% | 0.62% | 0.57% | |||||||||||||||||||
16% | 51% | 37% | 58% | 59% | 48% |
229
Financial highlights
Delaware Growth Equity Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Select Growth Fund were reorganized into Class R6 shares of Delaware Growth Equity Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Select Growth Fund Institutional Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Fund in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
230
Six months ended | ||||||||||||||||||||||||
3/31/201, 2 | Year ended | |||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||
$ | 12.46 | $ | 13.97 | $ | 12.29 | $ | 11.42 | $ | 11.77 | $ | 11.06 | |||||||||||||
0.01 | 0.07 | 0.05 | 0.05 | 0.07 | 0.07 | |||||||||||||||||||
(0.67 | ) | (0.95 | ) | 2.72 | 2.41 | 0.74 | 0.66 | |||||||||||||||||
(0.66 | ) | (0.88 | ) | 2.77 | 2.46 | 0.81 | 0.73 | |||||||||||||||||
(0.07 | ) | (0.01 | ) | (0.02 | ) | (0.04 | ) | (0.03 | ) | (0.02 | ) | |||||||||||||
(1.30 | ) | (0.62 | ) | (1.07 | ) | (1.55 | ) | (1.13 | ) | — | ||||||||||||||
(1.37 | ) | (0.63 | ) | (1.09 | ) | (1.59 | ) | (1.16 | ) | (0.02 | ) | |||||||||||||
$ | 10.43 | $ | 12.46 | $ | 13.97 | $ | 12.29 | $ | 11.42 | $ | 11.77 | |||||||||||||
(7.02% | )5 | (5.66% | ) | 23.81% | 24.61% | 7.00% | 6.56% | |||||||||||||||||
$ | 2,527 | $ | 4,044 | $ | 7,836 | $ | 4,950 | $ | 3,915 | $ | 3,608 | |||||||||||||
0.80% | 0.79% | 0.80% | 0.82% | 0.83% | 0.82% | |||||||||||||||||||
0.85% | 0.80% | 0.80% | 0.82% | 0.83% | 0.82% | |||||||||||||||||||
0.19% | 0.57% | 0.35% | 0.43% | 0.66% | 0.59% | |||||||||||||||||||
0.14% | 0.56% | 0.35% | 0.43% | 0.66% | 0.59% | |||||||||||||||||||
16% | 51% | 37% | 58% | 59% | 48% |
231
Financial highlights
Delaware Opportunity 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Class A shares of First Investors Opportunity Fund were reorganized into Class A shares of Delaware Opportunity Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Opportunity Fund Class A shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
232
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 37.79 | $ | 42.06 | $ | 41.86 | $ | 37.29 | $ | 37.79 | $ | 40.90 | ||||||||||||||
0.12 | 0.12 | 0.39 | 0.11 | 0.20 | 0.04 | ||||||||||||||||||||
(7.67 | ) | (0.60 | ) | 2.31 | 6.03 | 2.52 | (0.39 | ) | |||||||||||||||||
(7.55 | ) | (0.48 | ) | 2.70 | 6.14 | 2.72 | (0.35 | ) | |||||||||||||||||
(0.24 | ) | (0.38 | ) | (0.12 | ) | (0.22 | ) | (0.04 | ) | (0.06 | ) | ||||||||||||||
(11.44 | ) | (3.41 | ) | (2.38 | ) | (1.35 | ) | (3.18 | ) | (2.70 | ) | ||||||||||||||
(11.68 | ) | (3.79 | ) | (2.50 | ) | (1.57 | ) | (3.22 | ) | (2.76 | ) | ||||||||||||||
$ | 18.56 | $ | 37.79 | $ | 42.06 | $ | 41.86 | $ | 37.29 | $ | 37.79 | ||||||||||||||
(30.82% | )5 | 0.80% | 6.49% | 16.99% | 7.39% | (1.16% | ) | ||||||||||||||||||
$ | 539,886 | $ | 915,339 | $ | 1,010,312 | $ | 1,002,618 | $ | 880,274 | $ | 818,955 | ||||||||||||||
1.22% | 1.20% | 1.20% | 1.20% | 1.22% | 1.20% | ||||||||||||||||||||
1.27% | 1.20% | 1.20% | 1.20% | 1.22% | 1.20% | ||||||||||||||||||||
0.80% | 0.32% | 0.93% | 0.27% | 0.54% | 0.11% | ||||||||||||||||||||
0.75% | 0.32% | 0.93% | 0.27% | 0.54% | 0.11% | ||||||||||||||||||||
98% | 7 | 47% | 35% | 32% | 36% | 37% |
233
Financial highlights
Delaware Opportunity 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Opportunity Fund were reorganized into Institutional Class shares of Delaware Opportunity Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Opportunity Fund Advisor Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
234
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 38.75 | $ | 42.91 | $ | 42.56 | $ | 37.79 | $ | 38.18 | $ | 41.20 | ||||||||||||||
0.16 | 0.23 | 0.61 | 0.24 | 0.30 | 0.16 | ||||||||||||||||||||
(8.06 | ) | (0.58 | ) | 2.27 | 6.12 | 2.56 | (0.40 | ) | |||||||||||||||||
(7.90 | ) | (0.35 | ) | 2.88 | 6.36 | 2.86 | (0.24 | ) | |||||||||||||||||
— | (0.40 | ) | (0.15 | ) | (0.24 | ) | (0.07 | ) | (0.08 | ) | |||||||||||||||
(11.44 | ) | (3.41 | ) | (2.38 | ) | (1.35 | ) | (3.18 | ) | (2.70 | ) | ||||||||||||||
(11.44 | ) | (3.81 | ) | (2.53 | ) | (1.59 | ) | (3.25 | ) | (2.78 | ) | ||||||||||||||
$ | 19.41 | $ | 38.75 | $ | 42.91 | $ | 42.56 | $ | 37.79 | $ | 38.18 | ||||||||||||||
(30.74% | )5 | 1.14% | 6.82% | 17.37% | 7.69% | (0.87% | ) | ||||||||||||||||||
$ | 2,420 | $ | 10,325 | $ | 149,481 | $ | 81,773 | $ | 73,477 | $ | 48,322 | ||||||||||||||
0.98% | 0.92% | 0.89% | 0.88% | 0.93% | 0.91% | ||||||||||||||||||||
1.07% | 0.92% | 0.89% | 0.88% | 0.93% | 0.91% | ||||||||||||||||||||
0.97% | 0.62% | 1.42% | 0.59% | 0.83% | 0.40% | ||||||||||||||||||||
0.88% | 0.62% | 1.42% | 0.59% | 0.83% | 0.40% | ||||||||||||||||||||
98% | 7 | 47% | 35% | 32% | 36% | 37% |
235
Financial highlights
Delaware Opportunity Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Opportunity Fund were reorganized into Class R6 shares of Delaware Opportunity Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Opportunity Fund Institutional Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
236
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 38.71 | $ | 42.87 | $ | 42.49 | $ | 37.71 | $ | 38.07 | $ | 41.15 | ||||||||||||||
0.19 | 0.27 | 0.59 | 0.27 | 0.36 | 0.22 | ||||||||||||||||||||
(7.92 | ) | (0.59 | ) | 2.33 | 6.12 | 2.54 | (0.40 | ) | |||||||||||||||||
(7.73 | ) | (0.32 | ) | 2.92 | 6.39 | 2.90 | (0.18 | ) | |||||||||||||||||
(0.40 | ) | (0.43 | ) | (0.16 | ) | (0.26 | ) | (0.08 | ) | (0.20 | ) | ||||||||||||||
(11.44 | ) | (3.41 | ) | (2.38 | ) | (1.35 | ) | (3.18 | ) | (2.70 | ) | ||||||||||||||
(11.84 | ) | (3.84 | ) | (2.54 | ) | (1.61 | ) | (3.26 | ) | (2.90 | ) | ||||||||||||||
$ | 19.14 | $ | 38.71 | $ | 42.87 | $ | 42.49 | $ | 37.71 | $ | 38.07 | ||||||||||||||
(30.68% | )5 | 1.23% | 6.95% | 17.49% | 7.84% | (0.74% | ) | ||||||||||||||||||
$ | 994 | $ | 2,338 | $ | 5,793 | $ | 5,678 | $ | 4,975 | $ | 4,228 | ||||||||||||||
0.79% | 0.78% | 0.77% | 0.78% | 0.79% | 0.78% | ||||||||||||||||||||
0.95% | 0.78% | 0.77% | 0.78% | 0.79% | 0.78% | ||||||||||||||||||||
1.18% | 0.73% | 1.38% | 0.70% | 0.98% | 0.52% | ||||||||||||||||||||
1.02% | 0.73% | 1.38% | 0.70% | 0.98% | 0.52% | ||||||||||||||||||||
98% | 7 | 47% | 35% | 32% | 36% | 37% |
237
Financial highlights
Delaware Special Situations 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Class A shares of First Investors Special Situations Fund were reorganized into Class A shares of Delaware Special Situations Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Special Situations Fund Class A shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
238
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 25.11 | $ | 32.62 | $ | 31.18 | $ | 26.34 | $ | 25.27 | $ | 26.65 | ||||||||||||||
0.10 | 0.09 | 0.03 | — | 0.17 | 0.02 | ||||||||||||||||||||
(7.04 | ) | (3.69 | ) | 2.29 | 5.24 | 2.36 | 0.07 | ||||||||||||||||||
(6.94 | ) | (3.60 | ) | 2.32 | 5.24 | 2.53 | 0.09 | ||||||||||||||||||
(0.08 | ) | (0.08 | ) | (0.01 | ) | (0.16 | ) | (0.02 | ) | (0.04 | ) | ||||||||||||||
(3.44 | ) | (3.83 | ) | (0.87 | ) | (0.24 | ) | (1.44 | ) | (1.43 | ) | ||||||||||||||
(3.52 | ) | (3.91 | ) | (0.88 | ) | (0.40 | ) | (1.46 | ) | (1.47 | ) | ||||||||||||||
$ | 14.65 | $ | 25.11 | $ | 32.62 | $ | 31.18 | $ | 26.34 | $ | 25.27 | ||||||||||||||
(32.91% | )5 | (9.54% | ) | 7.50% | 20.06% | 10.35% | 0.12% | 5 | |||||||||||||||||
$ | 270,127 | $ | 476,826 | $ | 580,730 | $ | 549,780 | $ | 472,720 | $ | 432,235 | ||||||||||||||
1.29% | 1.31% | 1.29% | 1.31% | 1.34% | 1.32% | ||||||||||||||||||||
1.32% | 1.31% | 1.29% | 1.31% | 1.34% | 1.33% | ||||||||||||||||||||
0.90% | 0.36% | 0.08% | (0.01% | ) | 0.68% | 0.07% | |||||||||||||||||||
0.87% | 0.36% | 0.08% | (0.01% | ) | 0.68% | 0.06% | |||||||||||||||||||
102% | 7 | 51% | 48% | 27% | 39% | 43% |
239
Financial highlights
Delaware Special Situations 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Special Situations Fund were reorganized into Institutional Class shares of Delaware Special Situations Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Special Situations Fund Advisor Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
240
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 25.55 | $ | 33.02 | $ | 31.47 | $ | 26.52 | $ | 25.38 | $ | 26.71 | ||||||||||||||
0.11 | 0.18 | 0.14 | 0.08 | 0.23 | 0.10 | ||||||||||||||||||||
(7.20 | ) | (3.72 | ) | 2.32 | 5.29 | 2.39 | 0.08 | ||||||||||||||||||
(7.09 | ) | (3.54 | ) | 2.46 | 5.37 | 2.62 | 0.18 | ||||||||||||||||||
— | (0.10 | ) | (0.04 | ) | (0.18 | ) | (0.04 | ) | (0.08 | ) | |||||||||||||||
(3.44 | ) | (3.83 | ) | (0.87 | ) | (0.24 | ) | (1.44 | ) | (1.43 | ) | ||||||||||||||
(3.44 | ) | (3.93 | ) | (0.91 | ) | (0.42 | ) | (1.48 | ) | (1.51 | ) | ||||||||||||||
$ | 15.02 | $ | 25.55 | $ | 33.02 | $ | 31.47 | $ | 26.52 | $ | 25.38 | ||||||||||||||
(32.80% | )5 | (9.19% | ) | 7.86% | 20.45% | 10.67% | 5 | 0.46% | 5 | ||||||||||||||||
$ | 1,821 | $ | 12,228 | $ | 140,657 | $ | 120,912 | $ | 59,159 | $ | 38,790 | ||||||||||||||
1.10% | 1.01% | 0.95% | 0.97% | 1.03% | 1.02% | ||||||||||||||||||||
1.12% | 1.01% | 0.95% | 0.97% | 1.04% | 1.04% | ||||||||||||||||||||
0.92% | 0.69% | 0.43% | 0.34% | 0.94% | 0.37% | ||||||||||||||||||||
0.90% | 0.69% | 0.43% | 0.34% | 0.93% | 0.36% | ||||||||||||||||||||
102% | 7 | 51% | 48% | 27% | 39% | 43% |
241
Financial highlights
Delaware Special Situations Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Special Situations Fund were reorganized into Class R6 shares of Delaware Special Situations Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Special Situations Fund Institutional Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
242
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 3/31/19 | 3/31/18 | 3/31/17 | 3/31/16 | 3/31/15 | ||||||||||||||||||||
$ | 25.75 | $ | 33.25 | $ | 31.66 | $ | 26.65 | $ | 25.47 | $ | 26.84 | ||||||||||||||
0.15 | 0.21 | 0.17 | 0.12 | 0.28 | 0.14 | ||||||||||||||||||||
(7.23 | ) | (3.76 | ) | 2.34 | 5.31 | 2.39 | 0.08 | ||||||||||||||||||
(7.08 | ) | (3.55 | ) | 2.51 | 5.43 | 2.67 | 0.22 | ||||||||||||||||||
(0.19 | ) | 0.12 | ) | (0.05 | ) | (0.18 | ) | (0.05 | ) | (0.16 | ) | ||||||||||||||
(3.44 | ) | (3.83 | ) | (0.87 | ) | (0.24 | ) | (1.44 | ) | (1.43 | ) | ||||||||||||||
(3.63 | ) | (3.95 | ) | (0.92 | ) | (0.42 | ) | (1.49 | ) | (1.59 | ) | ||||||||||||||
$ | 15.04 | $ | 25.75 | $ | 33.25 | $ | 31.66 | $ | 26.65 | $ | 25.47 | ||||||||||||||
(32.77% | )5 | (9.16% | ) | 7.98% | 20.56% | 10.84% | 5 | 0.60% | 5 | ||||||||||||||||
$ | 2,064 | $ | 3,898 | $ | 9,592 | $ | 8,712 | $ | 6,914 | $ | 5,905 | ||||||||||||||
0.89% | 0.88% | 0.86% | 0.87% | 0.89% | 0.88% | ||||||||||||||||||||
1.04% | 0.88% | 0.86% | 0.87% | 0.90% | 0.89% | ||||||||||||||||||||
1.29% | 0.79% | 0.52% | 0.42% | 1.11% | 0.51% | ||||||||||||||||||||
1.14% | 0.79% | 0.52% | 0.42% | 1.10% | 0.50% | ||||||||||||||||||||
102% | 7 | 51% | 48% | 27% | 39% | 43% |
243
Financial highlights
Delaware Global Equity 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)3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
Total dividends and distributions |
Net asset value, end of period |
Total return5 |
Ratios and supplemental data: |
Net assets, end of period (000 omitted) |
Ratio of expenses to average net assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
Ratio of net investment income (loss) 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 | On Oct. 4, 2019, Class A shares of First Investors Global Fund were reorganized into Class A shares of Delaware Global Equity Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Global Fund Class A shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Amount is less than $0.005 per share. |
5 | Total 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 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. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
244
Six months ended | ||||||||||||||||||||||||
3/31/201, 2 | Year ended | |||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||
$ | 7.50 | $ | 8.81 | $ | 8.60 | $ | 7.30 | $ | 7.26 | $ | 8.66 | |||||||||||||
0.02 | 0.04 | (0.01 | ) | 0.02 | 0.01 | — | ||||||||||||||||||
(0.68 | ) | (0.35 | ) | 0.89 | 1.29 | 0.43 | 0.11 | |||||||||||||||||
(0.66 | ) | (0.31 | ) | 0.88 | 1.31 | 0.44 | 0.11 | |||||||||||||||||
(0.08 | ) | — | (0.04 | ) | (0.01 | ) | — | 4 | — | |||||||||||||||
(1.04 | ) | (1.00 | ) | (0.63 | ) | — | (0.40 | ) | (1.51 | ) | ||||||||||||||
(1.12 | ) | (1.00 | ) | (0.67 | ) | (0.01 | ) | (0.40 | ) | (1.51 | ) | |||||||||||||
$ | 5.72 | $ | 7.50 | $ | 8.81 | $ | 8.60 | $ | 7.30 | $ | 7.26 | |||||||||||||
(10.91% | ) | (1.48% | ) | 10.69% | 17.99% | 6.03% | 0.87% | |||||||||||||||||
$ | 263,993 | $ | 344,592 | $ | 393,697 | $ | 379,176 | $ | 339,956 | $ | 331,382 | |||||||||||||
1.42% | 1.44% | 1.43% | 1.44% | 1.47% | 1.47% | |||||||||||||||||||
1.45% | 1.46% | 1.48% | 1.49% | 1.52% | 1.52% | |||||||||||||||||||
0.47% | 0.55% | (0.16% | ) | 0.30% | 0.09% | (0.01% | ) | |||||||||||||||||
0.44% | 0.53% | (0.21% | ) | 0.25% | 0.04% | (0.06% | ) | |||||||||||||||||
111% | 119% | 132% | 117% | 94% | 97% |
245
Financial highlights
Delaware Global Equity 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of expenses to average net assets |
prior to fees waived5 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Global Fund were reorganized into Institutional Class shares of Delaware Global Equity Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Global Fund Advisor Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
246
Six months ended | ||||||||||||||||||||||||
3/31/201, 2 | Year ended | |||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||
$ | 7.74 | $ | 9.03 | $ | 8.78 | $ | 7.43 | $ | 7.36 | $ | 8.72 | |||||||||||||
0.02 | 0.07 | 0.02 | 0.06 | 0.04 | 0.03 | |||||||||||||||||||
(0.70 | ) | (0.36 | ) | 0.91 | 1.31 | 0.44 | 0.12 | |||||||||||||||||
(0.68 | ) | (0.29 | ) | 0.93 | 1.37 | 0.48 | 0.15 | |||||||||||||||||
(0.05 | ) | — | (0.05 | ) | (0.02 | ) | (0.01 | ) | — | |||||||||||||||
(1.04 | ) | (1.00 | ) | (0.63 | ) | — | (0.40 | ) | (1.51 | ) | ||||||||||||||
(1.09 | ) | (1.00 | ) | (0.68 | ) | (0.02 | ) | (0.41 | ) | (1.51 | ) | |||||||||||||
$ | 5.97 | $ | 7.74 | $ | 9.03 | $ | 8.78 | $ | 7.43 | $ | 7.36 | |||||||||||||
(10.71% | ) | (1.20% | ) | 11.03% | 18.46% | 6.48% | 1.37% | |||||||||||||||||
$ | 18,769 | $ | 75,077 | $ | 228,234 | $ | 191,839 | $ | 169,088 | $ | 114,556 | |||||||||||||
1.10% | 1.09% | 1.05% | 1.04% | 1.05% | 1.06% | |||||||||||||||||||
1.21% | 1.11% | 1.10% | 1.09% | 1.10% | 1.11% | |||||||||||||||||||
0.56% | 0.95% | 0.25% | 0.70% | 0.53% | 0.43% | |||||||||||||||||||
0.45% | 0.93% | 0.20% | 0.65% | 0.48% | 0.38% | |||||||||||||||||||
111% | 119% | 132% | 117% | 94% | 97% |
247
Financial highlights
Delaware Global Equity Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of expenses to average net assets |
prior to fees waived5 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Global Fund were reorganized into Class R6 shares of Delaware Global Equity Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Global Fund Institutional Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
248
Six months ended | ||||||||||||||||||||||||
3/31/201, 2 | Year Ended | |||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||
$ | 7.80 | $ | 9.08 | $ | 8.82 | $ | 7.47 | $ | 7.39 | $ | 8.75 | |||||||||||||
0.03 | 0.07 | 0.03 | 0.06 | 0.04 | 0.04 | |||||||||||||||||||
(0.71 | ) | (0.35 | ) | 0.91 | 1.31 | 0.45 | 0.11 | |||||||||||||||||
(0.68 | ) | (0.28 | ) | 0.94 | 1.37 | 0.49 | 0.15 | |||||||||||||||||
(0.11 | ) | — | (0.05 | ) | (0.02 | ) | (0.01 | ) | — | |||||||||||||||
(1.04 | ) | (1.00 | ) | (0.63 | ) | — | (0.40 | ) | (1.51 | ) | ||||||||||||||
(1.15 | ) | (1.00 | ) | (0.68 | ) | (0.02 | ) | (0.41 | ) | (1.51 | ) | |||||||||||||
$ | 5.97 | $ | 7.80 | $ | 9.08 | $ | 8.82 | $ | 7.47 | $ | 7.39 | |||||||||||||
(10.78% | ) | (1.08% | ) | 11.12% | 18.38% | 6.61% | 1.37% | |||||||||||||||||
$ | 1,468 | $ | 1,946 | $ | 4,419 | $ | 3,800 | $ | 3,288 | $ | 2,955 | |||||||||||||
1.03% | 1.02% | 1.00% | 1.00% | 1.01% | 1.02% | |||||||||||||||||||
1.15% | 1.04% | 1.05% | 1.05% | 1.06% | 1.07% | |||||||||||||||||||
0.84% | 0.95% | 0.29% | 0.74% | 0.55% | 0.45% | |||||||||||||||||||
0.72% | 0.93% | 0.24% | 0.69% | 0.50% | 0.40% | |||||||||||||||||||
111% | 119% | 132% | 117% | 94% | 97% |
249
Financial highlights
Delaware International 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of expenses to average net assets prior to fees waived5 |
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 | On Oct. 4, 2019, Class A shares of First Investors International Fund were reorganized into Class A shares of Delaware International Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors International Fund Class A shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
250
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 15.87 | $ | 15.95 | $ | 15.68 | $ | 13.71 | $ | 12.65 | $ | 13.06 | ||||||||||||||
�� | |||||||||||||||||||||||||
0.01 | 0.03 | 0.01 | 0.02 | 0.06 | 0.05 | ||||||||||||||||||||
(1.63 | ) | 0.88 | 0.28 | 2.02 | 1.05 | (0.41 | ) | ||||||||||||||||||
(1.62 | ) | 0.91 | 0.29 | 2.04 | 1.11 | (0.36 | ) | ||||||||||||||||||
(0.01 | ) | (0.03 | ) | (0.02 | ) | (0.07 | ) | (0.05 | ) | (0.05 | ) | ||||||||||||||
(3.50 | ) | (0.96 | ) | — | — | — | — | ||||||||||||||||||
(3.51 | ) | (0.99 | ) | (0.02 | ) | (0.07 | ) | (0.05 | ) | (0.05 | ) | ||||||||||||||
$ | 10.74 | $ | 15.87 | $ | 15.95 | $ | 15.68 | $ | 13.71 | $ | 12.65 | ||||||||||||||
(13.97% | ) | 7.01% | 1.83% | 15.00% | 8.80% | (2.78% | ) | ||||||||||||||||||
$ | 176,754 | $ | 248,302 | $ | 259,683 | $ | 238,770 | $ | 209,205 | $ | 194,991 | ||||||||||||||
1.45% | 1.55% | 1.56% | 1.58% | 1.61% | 1.64% | ||||||||||||||||||||
1.45% | 1.55% | 1.56% | 1.58% | 1.61% | 1.64% | ||||||||||||||||||||
0.16% | 0.19% | 0.09% | 0.17% | 0.45% | 0.40% | ||||||||||||||||||||
0.16% | 0.19% | 0.09% | 0.17% | 0.45% | 0.40% | ||||||||||||||||||||
106% | 76% | 36% | 38% | 28% | 27% |
251
Financial highlights
Delaware International 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of expenses to average net assets |
prior to fees waived5 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors International Fund were reorganized into Institutional Class shares of Delaware International Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors International Fund Advisor Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
252
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 16.23 | $ | 16.24 | $ | 15.92 | $ | 13.87 | $ | 12.76 | $ | 13.13 | ||||||||||||||
0.03 | 0.09 | 0.08 | 0.08 | 0.11 | 0.11 | ||||||||||||||||||||
(1.68 | ) | 0.90 | 0.27 | 2.05 | 1.06 | (0.43 | ) | ||||||||||||||||||
(1.65 | ) | 0.99 | 0.35 | 2.13 | 1.17 | (0.32 | ) | ||||||||||||||||||
(0.07 | ) | (0.04 | ) | (0.03 | ) | (0.08 | ) | (0.06 | ) | (0.05 | ) | ||||||||||||||
(3.50 | ) | (0.96 | ) | — | — | — | — | ||||||||||||||||||
(3.57 | ) | (1.00 | ) | (0.03 | ) | (0.08 | ) | (0.06 | ) | (0.05 | ) | ||||||||||||||
$ | 11.01 | $ | 16.23 | $ | 16.24 | $ | 15.92 | $ | 13.87 | $ | 12.76 | ||||||||||||||
(13.87% | ) | 7.43% | 2.21% | 15.50% | 9.22% | (2.45% | ) | ||||||||||||||||||
$ | 114,326 | $ | 200,720 | $ | 136,628 | $ | 111,334 | $ | 81,525 | $ | 57,623 | ||||||||||||||
1.19% | 1.17% | 1.18% | 1.18% | 1.24% | 1.24% | ||||||||||||||||||||
1.19% | 1.17% | 1.18% | 1.18% | 1.24% | 1.24% | ||||||||||||||||||||
0.39% | 0.61% | 0.48% | 0.59% | 0.85% | 0.83% | ||||||||||||||||||||
0.39% | 0.61% | 0.48% | 0.59% | 0.85% | 0.83% | ||||||||||||||||||||
106% | 76% | 36% | 38% | 28% | 27% |
253
Financial highlights
Delaware International Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of expenses to average net assets |
prior to fees waived5 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors International Fund were reorganized into Class R6 shares of Delaware International Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors International Fund Institutional Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
254
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 16.29 | $ | 16.30 | $ | 15.96 | $ | 13.91 | $ | 12.78 | $ | 13.19 | ||||||||||||||
0.03 | 0.07 | 0.09 | 0.09 | 0.13 | 0.12 | ||||||||||||||||||||
(1.67 | ) | 0.93 | 0.29 | 2.05 | 1.07 | (0.43 | ) | ||||||||||||||||||
(1.64 | ) | 1.00 | 0.38 | 2.14 | 1.20 | (0.31 | ) | ||||||||||||||||||
(0.08 | ) | (0.05 | ) | (0.04 | ) | (0.09 | ) | (0.07 | ) | (0.10 | ) | ||||||||||||||
(3.50 | ) | (0.96 | ) | — | — | — | — | ||||||||||||||||||
(3.58 | ) | (1.01 | ) | (0.04 | ) | (0.09 | ) | (0.07 | ) | (0.10 | ) | ||||||||||||||
$ | 11.07 | $ | 16.29 | $ | 16.30 | $ | 15.96 | $ | 13.91 | $ | 12.78 | ||||||||||||||
(13.78% | ) | 7.46% | 2.36% | 15.54% | 9.39% | (2.33% | ) | ||||||||||||||||||
$ | 711 | $ | 1,352 | $ | 3,509 | $ | 3,274 | $ | 2,695 | $ | 2,347 | ||||||||||||||
1.11% | 1.09% | 1.09% | 1.09% | 1.12% | 1.14% | ||||||||||||||||||||
1.11% | 1.09% | 1.09% | 1.09% | 1.12% | 1.14% | ||||||||||||||||||||
0.38% | 0.44% | 0.56% | 0.65% | 0.95% | 0.89% | ||||||||||||||||||||
0.38% | 0.44% | 0.56% | 0.65% | 0.95% | 0.89% | ||||||||||||||||||||
106% | 76% | 36% | 38% | 28% | 27% |
255
Financial highlights
Delaware Floating Rate II 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Class A shares of First Investors Floating Rate Fund were reorganized into Class A shares of Delaware Floating Rate II Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Floating Rate Fund Class A shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Fund in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
256
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.58 | $ | 9.71 | $ | 9.67 | $ | 9.66 | $ | 9.58 | $ | 9.88 | ||||||||||||||
0.21 | 0.39 | 0.32 | 0.27 | 0.27 | 0.26 | ||||||||||||||||||||
(0.85 | ) | (0.13 | ) | 0.04 | 0.05 | 0.09 | (0.27 | ) | |||||||||||||||||
(0.64 | ) | 0.26 | 0.36 | 0.32 | 0.36 | (0.01 | ) | ||||||||||||||||||
(0.41 | ) | (0.39 | ) | (0.32 | ) | (0.31 | ) | (0.28 | ) | (0.29 | ) | ||||||||||||||
(0.41 | ) | (0.39 | ) | (0.32 | ) | (0.31 | ) | (0.28 | ) | (0.29 | ) | ||||||||||||||
$ | 8.53 | $ | 9.58 | $ | 9.71 | $ | 9.67 | $ | 9.66 | $ | 9.58 | ||||||||||||||
(8.90% | )5 | 2.71% | 3.83% | 5 | 3.47% | 5 | 3.69% | 5 | (0.08% | )5 | |||||||||||||||
$ | 43,742 | $ | 64,136 | $ | 68,567 | $ | 66,769 | $ | 61,243 | $ | 57,101 | ||||||||||||||
1.05% | 1.10% | 1.10% | 1.10% | 1.10% | 1.10% | ||||||||||||||||||||
1.22% | 1.10% | 1.21% | 1.24% | 1.27% | 1.33% | ||||||||||||||||||||
4.34% | 4.12% | 3.25% | 2.90% | 2.86% | 2.72% | ||||||||||||||||||||
4.17% | 4.12% | 3.14% | 2.76% | 2.69% | 2.49% | ||||||||||||||||||||
110% | 88% | 60% | 89% | 38% | 49% |
257
Financial highlights
Delaware Floating Rate II 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets5 |
Ratio of expenses to average net assets prior to fees waived5 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Floating Rate Fund were reorganized into Institutional Class shares of Delaware Floating Rate II Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Floating Rate Fund Advisor Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Fund in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
258
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.57 | $ | 9.72 | $ | 9.68 | $ | 9.65 | $ | 9.58 | $ | 9.88 | ||||||||||||||
0.21 | 0.39 | 0.34 | 0.26 | 0.29 | 0.28 | ||||||||||||||||||||
(0.83 | ) | (0.13 | ) | 0.04 | 0.09 | 0.08 | (0.26 | ) | |||||||||||||||||
(0.62 | ) | 0.26 | 0.38 | 0.35 | 0.37 | 0.02 | |||||||||||||||||||
(0.43 | ) | (0.41 | ) | (0.34 | ) | (0.32 | ) | (0.30 | ) | (0.32 | ) | ||||||||||||||
(0.43 | ) | (0.41 | ) | (0.34 | ) | (0.32 | ) | (0.30 | ) | (0.32 | ) | ||||||||||||||
$ | 8.52 | $ | 9.57 | $ | 9.72 | $ | 9.68 | $ | 9.65 | $ | 9.58 | ||||||||||||||
(8.83% | ) | 2.72% | 4.03% | 3.70% | 3.92% | 0.18% | |||||||||||||||||||
$ | 22,249 | $ | 40,542 | $ | 144,799 | $ | 98,958 | $ | 61,844 | $ | 50,122 | ||||||||||||||
0.92% | 0.90% | 0.90% | 0.90% | 0.90% | 0.90% | ||||||||||||||||||||
1.01% | 0.84% | 0.86% | 0.92% | 0.98% | 1.03% | ||||||||||||||||||||
4.51% | 4.09% | 3.46% | 3.07% | 3.06% | 2.92% | ||||||||||||||||||||
4.42% | 4.15% | 3.50% | 3.05% | 2.98% | 2.79% | ||||||||||||||||||||
110% | 88% | 60% | 89% | 38% | 49% |
259
Financial highlights
Delaware Floating Rate II Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets5 |
Ratio of expenses to average net assets prior to fees waived5 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Floating Rate Fund were reorganized into Class R6 shares of Delaware Floating Rate II Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Floating Rate Fund Institutional Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Fund in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
260
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.59 | $ | 9.71 | $ | 9.67 | $ | 9.64 | $ | 9.57 | $ | 9.86 | ||||||||||||||
0.22 | 0.41 | 0.36 | 0.26 | 0.31 | 0.30 | ||||||||||||||||||||
(0.83 | ) | (0.11 | ) | 0.04 | 0.11 | 0.08 | (0.25 | ) | |||||||||||||||||
(0.61 | ) | 0.30 | 0.40 | 0.37 | 0.39 | 0.05 | |||||||||||||||||||
(0.44 | ) | (0.42 | ) | (0.36 | ) | (0.34 | ) | (0.32 | ) | (0.34 | ) | ||||||||||||||
(0.44 | ) | (0.42 | ) | (0.36 | ) | (0.34 | ) | (0.32 | ) | (0.34 | ) | ||||||||||||||
$ | 8.54 | $ | 9.59 | $ | 9.71 | $ | 9.67 | $ | 9.64 | $ | 9.57 | ||||||||||||||
(8.63% | ) | 3.21% | 4.20% | 3.87% | 4.14% | 0.47% | |||||||||||||||||||
$ | 48 | $ | 497 | $ | 32,019 | $ | 21,277 | $ | 11,456 | $ | 10,458 | ||||||||||||||
0.78% | 0.75% | 0.70% | 0.70% | 0.70% | 0.70% | ||||||||||||||||||||
0.97% | 0.78% | 0.75% | 0.80% | 0.83% | 0.90% | ||||||||||||||||||||
4.66% | 4.31% | 3.68% | 3.23% | 3.27% | 3.17% | ||||||||||||||||||||
4.47% | 4.28% | 3.63% | 3.13% | 3.14% | 2.97% | ||||||||||||||||||||
110% | 88% | 60% | 89% | 38% | 49% |
261
Financial highlights
Delaware Fund for Income 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets5 |
Ratio of expenses to average net assets |
prior to fees waived5 |
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 | On Oct. 4, 2019, Class A shares of First Investors Fund for Income were reorganized into Class A shares of Delaware Fund for Income. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Fund for Income Class A shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
262
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 2.45 | $ | 2.44 | $ | 2.52 | $ | 2.48 | $ | 2.39 | $ | 2.59 | ||||||||||||||
0.06 | 0.12 | 0.11 | 0.11 | 0.11 | 0.11 | ||||||||||||||||||||
(0.24 | ) | 0.02 | (0.06 | ) | 0.05 | 0.10 | (0.18 | ) | |||||||||||||||||
(0.18 | ) | 0.14 | 0.05 | 0.16 | 0.21 | (0.07 | ) | ||||||||||||||||||
(0.12 | ) | (0.13 | ) | (0.13 | ) | (0.12 | ) | (0.12 | ) | (0.13 | ) | ||||||||||||||
(0.12 | ) | (0.13 | ) | (0.13 | ) | (0.12 | ) | (0.12 | ) | (0.13 | ) | ||||||||||||||
$ | 2.15 | $ | 2.45 | $ | 2.44 | $ | 2.52 | $ | 2.48 | $ | 2.39 | ||||||||||||||
(10.02% | ) | 5.80% | 1.88% | 6.79% | 9.07% | (2.85% | ) | ||||||||||||||||||
$ | 365,482 | $ | 477,952 | $ | 523,932 | $ | 572,631 | $ | 571,028 | $ | 567,249 | ||||||||||||||
1.18% | 1.20% | 1.22% | 1.21% | 1.22% | 1.21% | ||||||||||||||||||||
1.18% | 1.22% | 1.24% | 1.23% | 1.24% | 1.23% | ||||||||||||||||||||
4.73% | 4.72% | 4.46% | 4.57% | 4.76% | 4.39% | ||||||||||||||||||||
4.73% | 4.70% | 4.44% | 4.55% | 4.74% | 4.37% | ||||||||||||||||||||
93% | 71% | 67% | 65% | 55% | 47% |
263
Financial highlights
Delaware Fund for Income 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets5 |
Ratio of expenses to average net assets |
prior to fees waived5 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Fund for Income were reorganized into Institutional Class shares of Delaware Fund for Income. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Fund for Income Advisor Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
264
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 2.43 | $ | 2.44 | $ | 2.52 | $ | 2.48 | $ | 2.39 | $ | 2.59 | ||||||||||||||
0.06 | 0.12 | 0.12 | 0.12 | 0.12 | 0.12 | ||||||||||||||||||||
(0.23 | ) | — | (0.07 | ) | 0.05 | 0.10 | (0.18 | ) | |||||||||||||||||
(0.17 | ) | 0.12 | 0.05 | 0.17 | 0.22 | (0.06 | ) | ||||||||||||||||||
(0.13 | ) | (0.13 | ) | (0.13 | ) | (0.13 | ) | (0.13 | ) | (0.14 | ) | ||||||||||||||
(0.13 | ) | (0.13 | ) | (0.13 | ) | (0.13 | ) | (0.13 | ) | (0.14 | ) | ||||||||||||||
$ | 2.13 | $ | 2.43 | $ | 2.44 | $ | 2.52 | $ | 2.48 | $ | 2.39 | ||||||||||||||
(10.00% | ) | 5.13% | 2.17% | 7.05% | 9.34% | (2.47% | ) | ||||||||||||||||||
$ | 34,191 | $ | 28,107 | $ | 79,880 | $ | 73,403 | $ | 68,198 | $ | 41,699 | ||||||||||||||
0.93% | 1.01% | 0.93% | 0.94% | 0.93% | 0.93% | ||||||||||||||||||||
0.93% | 1.03% | 0.95% | 0.96% | 0.96% | 0.95% | ||||||||||||||||||||
4.96% | 4.98% | 4.76% | 4.84% | 5.02% | 4.65% | ||||||||||||||||||||
4.96% | 4.96% | 4.74% | 4.82% | 5.00% | 4.63% | ||||||||||||||||||||
93% | 71% | 67% | 65% | 55% | 47% |
265
Financial highlights
Delaware Fund for Income Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets5 |
Ratio of expenses to average net assets |
prior to fees waived5 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Fund for Income were reorganized into Class R6 shares of Delaware Fund for Income. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Fund for Income Institutional Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
266
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 2.46 | $ | 2.45 | $ | 2.54 | $ | 2.49 | $ | 2.40 | $ | 2.60 | ||||||||||||||
0.06 | 0.13 | 0.12 | 0.13 | 0.12 | 0.12 | ||||||||||||||||||||
(0.23 | ) | 0.02 | (0.07 | ) | 0.05 | 0.10 | (0.17 | ) | |||||||||||||||||
(0.17 | ) | 0.15 | 0.05 | 0.18 | 0.22 | (0.05 | ) | ||||||||||||||||||
(0.13 | ) | (0.14 | ) | (0.14 | ) | (0.13 | ) | (0.13 | ) | (0.15 | ) | ||||||||||||||
(0.13 | ) | (0.14 | ) | (0.14 | ) | (0.13 | ) | (0.13 | ) | (0.15 | ) | ||||||||||||||
$ | 2.16 | $ | 2.46 | $ | 2.45 | $ | 2.54 | $ | 2.49 | $ | 2.40 | ||||||||||||||
(9.81% | ) | 6.23% | 1.91% | 7.59% | 9.58% | (2.28% | ) | ||||||||||||||||||
$ | 1,136 | $ | 36,692 | $ | 33,545 | $ | 78,784 | $ | 62,340 | $ | 51,704 | ||||||||||||||
0.92% | 0.80% | 0.79% | 0.78% | 0.79% | 0.78% | ||||||||||||||||||||
0.99% | 0.82% | 0.81% | 0.80% | 0.81% | 0.80% | ||||||||||||||||||||
5.05% | 5.12% | 4.88% | 4.99% | 5.19% | 4.81% | ||||||||||||||||||||
4.98% | 5.10% | 4.86% | 4.97% | 5.17% | 4.79% | ||||||||||||||||||||
93% | 71% | 67% | 65% | 55% | 47% |
267
Financial highlights
Delaware Government Cash Management 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 from investment operations: |
Net investment income3 |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Total dividends and distributions |
Net asset value, end of period |
Total return5 |
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 (loss) to average net assets |
prior to fees waived |
1 | Ratios have been annualized and total return and portfolio turnover have not been annualized. |
2 | On Oct. 4, 2019, Class A shares of First Investors Government Cash Management Fund were reorganized into Class A shares of Delaware Government Cash Management Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Government Cash Management Fund Class A shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Amount is less than $0.005 per share. |
5 | Total 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. |
See accompanying notes, which are an integral part of the financial statements.
268
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | ||||||||||||||
0.01 | 0.02 | 0.01 | — | 4 | — | — | |||||||||||||||||||
0.01 | 0.02 | 0.01 | — | — | — | ||||||||||||||||||||
(0.01 | ) | (0.02 | ) | (0.01 | ) | — | 4 | — | — | ||||||||||||||||
(0.01 | ) | (0.02 | ) | (0.01 | ) | — | — | — | |||||||||||||||||
$ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | ||||||||||||||
0.49% | 1.73% | 0.96% | 0.08% | 0.00% | 0.00% | ||||||||||||||||||||
$ | 199,189 | $ | 168,905 | $ | 153,695 | $ | 127,079 | $ | 122,037 | $ | 109,566 | ||||||||||||||
0.54% | 0.60% | 0.60% | 0.60% | 0.33% | 0.10% | ||||||||||||||||||||
0.83% | 0.85% | 1.01% | 1.02% | 1.05% | 1.08% | ||||||||||||||||||||
0.96% | 1.72% | 0.98% | 0.08% | 0.00% | 0.00% | ||||||||||||||||||||
0.67% | 1.47% | 0.57% | (0.34% | ) | (0.72% | ) | (0.98% | ) |
269
Financial highlights
Delaware Government Cash Management 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 from investment operations: |
Net investment income |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 to average net assets |
Ratio of net investment income (loss) to average net assets |
prior to fees waived |
1 | Ratios have been annualized and total return and portfolio turnover have not been annualized. |
2 | On Oct. 4, 2019, Advisor Class shares of First Investors Government Cash Management Fund were reorganized into Institutional Class shares of Delaware Government Cash Management Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Government Cash Management Fund Advisor Class shares. |
3 | Amount is less than $0.005 per share. |
4 | Total 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. |
See accompanying notes, which are an integral part of the financial statements.
270
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | ||||||||||||||
0.01 | 0.02 | 0.01 | — | 3 | — | — | |||||||||||||||||||
0.01 | 0.02 | 0.01 | — | — | — | ||||||||||||||||||||
(0.01 | ) | (0.02 | ) | (0.01 | ) | — | 3 | — | — | ||||||||||||||||
(0.01 | ) | (0.02 | ) | (0.01 | ) | — | — | — | |||||||||||||||||
$ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | $ | 1.00 | ||||||||||||||
0.48% | 1.76% | 0.97% | 0.07% | 0.00% | 0.00% | ||||||||||||||||||||
$ | 10 | $ | 1 | $ | 1 | $ | 2,394 | $ | 2,844 | $ | 2,267 | ||||||||||||||
0.57% | 0.60% | 0.60% | 0.60% | 0.33% | 0.10% | ||||||||||||||||||||
0.84% | 0.69% | 0.68% | 0.68% | 0.68% | 0.67% | ||||||||||||||||||||
0.91% | 1.77% | 0.96% | 0.06% | 0.00% | 0.00% | ||||||||||||||||||||
0.64% | 1.68% | 0.88% | (0.02% | ) | (0.35% | ) | (0.57% | ) |
271
Financial highlights
Delaware International Opportunities 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Total dividends and distributions |
Net asset value, end of period |
Total return5 |
Ratios and supplemental data: |
Net assets, end of period (000 omitted) |
Ratio of expenses to average net assets7 |
Ratio of expenses to average net assets prior to fees waived7 |
Ratio of net investment income 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 | On Oct. 4, 2019, Class A shares of First Investors International Opportunities Bond Fund were reorganized into Class A shares of Delaware International Opportunities Bond Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors International Opportunities Bond Fund Class A shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Amount is less than $0.005 per share. |
5 | Total 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. |
6 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
7 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
8 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
272
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 8.57 | $ | 8.78 | $ | 9.49 | $ | 9.21 | $ | 8.63 | $ | 9.85 | ||||||||||||||
— | 4 | 0.25 | 0.23 | 0.22 | 0.20 | 0.12 | |||||||||||||||||||
(0.25 | ) | (0.30 | ) | (0.64 | ) | 0.21 | 0.51 | (1.06 | ) | ||||||||||||||||
(0.25 | ) | (0.05 | ) | (0.41 | ) | 0.43 | 0.71 | (0.94 | ) | ||||||||||||||||
(0.02 | ) | (0.16 | ) | (0.30 | ) | (0.15 | ) | (0.13 | ) | (0.28 | ) | ||||||||||||||
(0.02 | ) | (0.16 | ) | (0.30 | ) | (0.15 | ) | (0.13 | ) | (0.28 | ) | ||||||||||||||
$ | 8.30 | $ | 8.57 | $ | 8.78 | $ | 9.49 | $ | 9.21 | $ | 8.63 | ||||||||||||||
(2.96% | )6 | (0.56% | )6 | (4.50% | ) | 4.70% | 8.30% | 6 | (9.72% | )6 | |||||||||||||||
$ | 31,862 | $ | 42,814 | $ | 54,060 | $ | 59,782 | $ | 65,456 | $ | 69,394 | ||||||||||||||
1.39% | 1.36% | 1.40% | 1.41% | 1.38% | 1.30% | ||||||||||||||||||||
1.51% | 1.41% | 1.40% | 1.41% | 1.41% | 1.38% | ||||||||||||||||||||
0.01% | 2.92% | 2.49% | 2.35% | 2.29% | 1.29% | ||||||||||||||||||||
(0.11% | ) | 2.87% | 2.49% | 2.35% | 2.26% | 1.21% | |||||||||||||||||||
212% | 8 | 85% | 41% | 76% | 72% | 61% |
273
Financial highlights
Delaware International Opportunities 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors International Opportunities Bond Fund were reorganized into Institutional Class shares of Delaware International Opportunities Bond Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors International Opportunities Bond Fund Advisor Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
274
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 8.68 | $ | 8.87 | $ | 9.56 | $ | 9.25 | $ | 8.64 | $ | 9.85 | ||||||||||||||
0.01 | 0.28 | 0.27 | 0.24 | 0.23 | 0.14 | ||||||||||||||||||||
(0.26 | ) | (0.31 | ) | (0.66 | ) | 0.23 | 0.51 | (1.06 | ) | ||||||||||||||||
(0.25 | ) | (0.03 | ) | (0.39 | ) | 0.47 | 0.74 | (0.92 | ) | ||||||||||||||||
(0.03 | ) | (0.16 | ) | (0.30 | ) | (0.16 | ) | (0.13 | ) | (0.29 | ) | ||||||||||||||
(0.03 | ) | (0.16 | ) | (0.30 | ) | (0.16 | ) | (0.13 | ) | (0.29 | ) | ||||||||||||||
$ | 8.40 | $ | 8.68 | $ | 8.87 | $ | 9.56 | $ | 9.25 | $ | 8.64 | ||||||||||||||
(2.89% | )5 | (0.30% | )5 | (4.17% | ) | 5.07% | 8.70% | 5 | (9.51% | )5 | |||||||||||||||
$ | 16,326 | $ | 50,335 | $ | 87,491 | $ | 68,162 | $ | 50,749 | $ | 50,912 | ||||||||||||||
1.10% | 1.08% | 1.08% | 1.11% | 1.08% | 1.04% | ||||||||||||||||||||
1.32% | 1.13% | 1.08% | 1.11% | 1.08% | 1.04% | ||||||||||||||||||||
0.30% | 3.26% | 2.82% | 2.66% | 2.60% | 1.56% | ||||||||||||||||||||
0.08% | 3.21% | 2.82% | 2.66% | 2.60% | 1.56% | ||||||||||||||||||||
212% | 7 | 85% | 41% | 76% | 72% | 61% |
275
Financial highlights
Delaware International Opportunities Bond Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors International Opportunities Bond Fund were reorganized into Class R6 shares of Delaware International Opportunities Bond Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors International Opportunities Bond Fund Institutional Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
276
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year Ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 8.77 | $ | 8.92 | $ | 9.59 | $ | 9.29 | $ | 8.67 | $ | 9.88 | ||||||||||||||
0.21 | 0.30 | 0.28 | 0.22 | 0.24 | 0.17 | ||||||||||||||||||||
(0.45 | ) | (0.33 | ) | (0.65 | ) | 0.27 | 0.52 | (1.08 | ) | ||||||||||||||||
(0.24 | ) | (0.03 | ) | (0.37 | ) | 0.49 | 0.76 | (0.91 | ) | ||||||||||||||||
(0.04 | ) | (0.12 | ) | (0.30 | ) | (0.19 | ) | (0.14 | ) | (0.30 | ) | ||||||||||||||
(0.04 | ) | (0.12 | ) | (0.30 | ) | (0.19 | ) | (0.14 | ) | (0.30 | ) | ||||||||||||||
$ | 8.49 | $ | 8.77 | $ | 8.92 | $ | 9.59 | $ | 9.29 | $ | 8.67 | ||||||||||||||
(2.80% | )5 | (0.25% | )5 | (4.03% | ) | 5.27% | 8.85% | 5 | (9.36% | )5 | |||||||||||||||
$ | 75 | $ | 14,000 | $ | 9,868 | $ | 8,669 | $ | 8,289 | $ | 19,097 | ||||||||||||||
1.00% | 0.91% | 0.93% | 0.95% | 0.93% | 0.90% | ||||||||||||||||||||
1.13% | 0.96% | 0.93% | 0.95% | 0.93% | 0.90% | ||||||||||||||||||||
4.74% | 3.37% | 2.98% | 2.80% | 2.75% | 1.69% | ||||||||||||||||||||
4.61% | 3.32% | 2.98% | 2.80% | 2.75% | 1.69% | ||||||||||||||||||||
212% | 7 | 85% | 41% | 76% | 72% | 61% |
277
Financial highlights
Delaware Investment Grade 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of expenses to average net assets prior to fees waived5 |
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 | On Oct. 4, 2019, Class A shares of First Investors Investment Grade Fund were reorganized into Class A shares of Delaware Investment Grade Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Investment Grade Fund Class A shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
278
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.93 | $ | 9.17 | $ | 9.66 | $ | 9.90 | $ | 9.64 | $ | 9.92 | ||||||||||||||
0.10 | 0.26 | 0.26 | 0.26 | 0.27 | 0.28 | ||||||||||||||||||||
(0.43 | ) | 0.82 | (0.42 | ) | (0.17 | ) | 0.35 | (0.17 | ) | ||||||||||||||||
(0.33 | ) | 1.08 | (0.16 | ) | 0.09 | 0.62 | 0.11 | ||||||||||||||||||
(0.29 | ) | (0.32 | ) | (0.33 | ) | (0.33 | ) | (0.36 | ) | (0.39 | ) | ||||||||||||||
(0.33 | ) | — | — | — | — | — | |||||||||||||||||||
(0.62 | ) | (0.32 | ) | (0.33 | ) | (0.33 | ) | (0.36 | ) | (0.39 | ) | ||||||||||||||
$ | 8.98 | $ | 9.93 | $ | 9.17 | $ | 9.66 | $ | 9.90 | $ | 9.64 | ||||||||||||||
(5.10% | ) | 12.00% | (1.69% | ) | 0.97% | 6.55% | 1.12% | ||||||||||||||||||
$ | 277,324 | $ | 363,366 | $ | 400,673 | $ | 462,999 | $ | 477,010 | $ | 458,704 | ||||||||||||||
1.04% | 1.07% | 1.06% | 1.04% | 1.05% | 1.04% | ||||||||||||||||||||
1.05% | 1.16% | 1.17% | 1.15% | 1.15% | 1.15% | ||||||||||||||||||||
2.00% | 2.83% | 2.80% | 2.68% | 2.78% | 2.85% | ||||||||||||||||||||
1.99% | 2.74% | 2.69% | 2.57% | 2.68% | 2.74% | ||||||||||||||||||||
165% | 6 | 60% | 58% | 52% | 37% | 36% |
279
Financial highlights
Delaware Investment Grade 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of expenses to average net assets prior to fees waived5 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Investment Grade Fund were reorganized into Institutional Class shares of Delaware Investment Grade Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Investment Grade Fund Advisor Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Fund in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
280
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.99 | $ | 9.23 | $ | 9.71 | $ | 9.94 | $ | 9.67 | $ | 9.92 | ||||||||||||||
0.11 | 0.30 | 0.30 | 0.26 | 0.30 | 0.31 | ||||||||||||||||||||
(0.41 | ) | 0.82 | (0.42 | ) | (0.14 | ) | 0.34 | (0.16 | ) | ||||||||||||||||
(0.30 | ) | 1.12 | (0.12 | ) | 0.12 | 0.64 | 0.15 | ||||||||||||||||||
(0.33 | ) | (0.36 | ) | (0.36 | ) | (0.35 | ) | (0.37 | ) | (0.40 | ) | ||||||||||||||
(0.33 | ) | — | — | — | — | — | |||||||||||||||||||
(0.66 | ) | (0.36 | ) | (0.36 | ) | (0.35 | ) | (0.37 | ) | (0.40 | ) | ||||||||||||||
$ | 9.03 | $ | 9.99 | $ | 9.23 | $ | 9.71 | $ | 9.94 | $ | 9.67 | ||||||||||||||
(5.02% | ) | 12.37% | (1.25% | ) | 1.32% | 6.78% | 1.53% | ||||||||||||||||||
$ | 2,228 | $ | 11,518 | $ | 180,286 | $ | 136,316 | $ | 83,659 | $ | 63,614 | ||||||||||||||
0.84% | 0.75% | 0.72% | 0.72% | 0.74% | 0.73% | ||||||||||||||||||||
0.89% | 0.84% | 0.83% | 0.82% | 0.85% | 0.84% | ||||||||||||||||||||
2.25% | 3.22% | 3.15% | 2.99% | 3.08% | 3.17% | ||||||||||||||||||||
2.20% | 3.13% | 3.04% | 2.89% | 2.97% | 3.06% | ||||||||||||||||||||
165% | 6 | 60% | 58% | 52% | 37% | 36% |
281
Financial highlights
Delaware Investment Grade Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of expenses to average net assets prior to fees waived5 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Investment Grade Fund were reorganized into Class R6 shares of Delaware Investment Grade Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Investment Grade Fund Institutional Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 return during some of the periods reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
282
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.96 | $ | 9.20 | $ | 9.68 | $ | 9.92 | $ | 9.66 | $ | 9.94 | ||||||||||||||
0.11 | 0.30 | 0.31 | 0.31 | 0.31 | 0.32 | ||||||||||||||||||||
(0.40 | ) | 0.82 | (0.42 | ) | (0.18 | ) | 0.35 | (0.17 | ) | ||||||||||||||||
(0.29 | ) | 1.12 | (0.11 | ) | 0.13 | 0.66 | 0.15 | ||||||||||||||||||
(0.33 | ) | (0.36 | ) | (0.37 | ) | (0.37 | ) | (0.40 | ) | (0.43 | ) | ||||||||||||||
(0.33 | ) | — | — | — | — | — | |||||||||||||||||||
(0.66 | ) | (0.36 | ) | (0.37 | ) | (0.37 | ) | (0.40 | ) | (0.43 | ) | ||||||||||||||
$ | 9.01 | $ | 9.96 | $ | 9.20 | $ | 9.68 | $ | 9.92 | $ | 9.66 | ||||||||||||||
(4.91% | ) | 12.43% | (1.18% | ) | 1.41% | 6.97% | 1.48% | ||||||||||||||||||
$ | 906 | $ | 23,083 | $ | 23,974 | $ | 26,127 | $ | 31,395 | $ | 15,025 | ||||||||||||||
0.79% | 0.67% | 0.64% | 0.63% | 0.63% | 0.63% | ||||||||||||||||||||
0.87% | 0.76% | 0.75% | 0.74% | 0.74% | 0.74% | ||||||||||||||||||||
2.30% | 3.19% | 3.23% | 3.10% | 3.17% | 3.26% | ||||||||||||||||||||
2.22% | 3.10% | 3.12% | 2.99% | 3.06% | 3.15% | ||||||||||||||||||||
165% | 6 | 60% | 58% | 52% | 37% | 36% |
283
Financial highlights
Delaware Limited Duration 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)3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets5 |
Ratio of expenses to average net assets prior to fees waived5 |
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 | On Oct. 4, 2019, Class A shares of First Investors Limited Duration Bond Fund were reorganized into Class A shares of Delaware Limited Duration Bond Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Limited Duration Bond Fund Class A shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
284
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.31 | $ | 9.17 | $ | 9.47 | $ | 9.66 | $ | 9.76 | $ | 9.89 | ||||||||||||||
0.08 | 0.21 | — | 0.08 | (0.03 | ) | 0.03 | |||||||||||||||||||
0.04 | 0.19 | (0.05 | ) | (0.06 | ) | 0.15 | 0.04 | ||||||||||||||||||
0.12 | 0.40 | (0.05 | ) | 0.02 | 0.12 | 0.07 | |||||||||||||||||||
(0.24 | ) | (0.26 | ) | (0.25 | ) | (0.21 | ) | (0.22 | ) | (0.20 | ) | ||||||||||||||
(0.24 | ) | (0.26 | ) | (0.25 | ) | (0.21 | ) | (0.22 | ) | (0.20 | ) | ||||||||||||||
$ | 9.19 | $ | 9.31 | $ | 9.17 | $ | 9.47 | $ | 9.66 | $ | 9.76 | ||||||||||||||
(0.06% | ) | 4.37% | (0.52% | ) | 0.22% | 1.21% | 0.67% | ||||||||||||||||||
$ | 181,119 | $ | 220,830 | $ | 247,902 | $ | 62,841 | $ | 48,342 | $ | 26,852 | ||||||||||||||
0.74% | 0.79% | 0.89% | 1.05% | 1.05% | 1.05% | ||||||||||||||||||||
1.09% | 0.99% | 1.11% | 1.22% | 1.23% | 1.32% | ||||||||||||||||||||
1.70% | 2.22% | 0.02% | 0.85% | (0.25% | ) | 0.37% | |||||||||||||||||||
1.35% | 2.02% | (0.20% | ) | 0.68% | (0.43% | ) | 0.10% | ||||||||||||||||||
103% | 6 | 87% | 102% | 60% | 54% | 57% |
285
Financial highlights
Delaware Limited Duration 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets5 |
Ratio of expenses to average net assets prior to fees waived5 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Limited Duration Bond Fund were reorganized into Institutional Class shares of Delaware Limited Duration Bond Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Limited Duration Bond Fund Advisor Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
286
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.34 | $ | 9.20 | $ | 9.50 | $ | 9.69 | $ | 9.80 | $ | 9.91 | ||||||||||||||
0.09 | 0.23 | 0.03 | 0.13 | — | 0.06 | ||||||||||||||||||||
0.05 | 0.19 | (0.05 | ) | (0.08 | ) | 0.14 | 0.05 | ||||||||||||||||||
0.14 | 0.42 | (0.02 | ) | 0.05 | 0.14 | 0.11 | |||||||||||||||||||
(0.26 | ) | (0.28 | ) | (0.28 | ) | (0.24 | ) | (0.25 | ) | (0.22 | ) | ||||||||||||||
(0.26 | ) | (0.28 | ) | (0.28 | ) | (0.24 | ) | (0.25 | ) | (0.22 | ) | ||||||||||||||
$ | 9.22 | $ | 9.34 | $ | 9.20 | $ | 9.50 | $ | 9.69 | $ | 9.80 | ||||||||||||||
0.06% | 4.65% | (0.25% | ) | 0.54% | 1.47% | 1.08% | |||||||||||||||||||
$ | 10,390 | $ | 56,209 | $ | 35,498 | $ | 31,638 | $ | 50,645 | $ | 40,502 | ||||||||||||||
0.51% | 0.51% | 0.62% | 0.75% | 0.75% | 0.75% | ||||||||||||||||||||
0.83% | 0.69% | 0.84% | 1.02% | 1.01% | 1.09% | ||||||||||||||||||||
2.00% | 2.47% | 0.33% | 1.14% | 0.04% | 0.66% | ||||||||||||||||||||
1.68% | 2.29% | 0.11% | 0.87% | (0.22% | ) | 0.32% | |||||||||||||||||||
103% | 6 | 87% | 102% | 60% | 54% | 57% |
287
Financial highlights
Delaware Limited Duration Bond Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
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 assets5 |
Ratio of expenses to average net assets prior to fees waived5 |
Ratio of net investment income 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 | On Oct. 4, 2019, Institutional Class shares of First Investors Limited Duration Bond Fund were reorganized into Class R6 shares of Delaware Limited Duration Bond Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Limited Duration Bond Fund Institutional Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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 return during all of the periods shown reflects waivers by the manager. Performance would have been lower had the waiver not been in effect. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
288
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.35 | $ | 9.21 | $ | 9.52 | $ | 9.70 | $ | 9.81 | $ | 9.92 | ||||||||||||||
0.10 | 0.25 | 0.04 | 0.11 | 0.02 | 0.08 | ||||||||||||||||||||
0.07 | 0.19 | (0.06 | ) | (0.04 | ) | 0.14 | 0.04 | ||||||||||||||||||
0.17 | 0.44 | (0.02 | ) | 0.07 | 0.16 | 0.12 | |||||||||||||||||||
(0.28 | ) | (0.30 | ) | (0.29 | ) | (0.25 | ) | (0.27 | ) | (0.23 | ) | ||||||||||||||
(0.28 | ) | (0.30 | ) | (0.29 | ) | (0.25 | ) | (0.27 | ) | (0.23 | ) | ||||||||||||||
$ | 9.24 | $ | 9.35 | $ | 9.21 | $ | 9.52 | $ | 9.70 | $ | 9.81 | ||||||||||||||
0.24% | 4.83% | (0.19% | ) | 0.77% | 1.64% | 1.21% | |||||||||||||||||||
$ | 403 | $ | 47,965 | $ | 38,822 | $ | 41,065 | $ | 22,296 | $ | 6,747 | ||||||||||||||
0.35% | 0.36% | 0.47% | 0.60% | 0.60% | 0.60% | ||||||||||||||||||||
0.57% | 0.56% | 0.68% | 0.82% | 0.82% | 0.92% | ||||||||||||||||||||
2.11% | 2.64% | 0.46% | 1.30% | 0.20% | 0.81% | ||||||||||||||||||||
1.89% | 2.44% | 0.25% | 1.08% | (0.02% | ) | 0.49% | |||||||||||||||||||
103% | 6 | 87% | 102% | 60% | 54% | 57% |
289
Financial highlights
Delaware Strategic Income II 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Class A shares of First Investors Strategic Income Fund were reorganized into Class A shares of Delaware Strategic Income II Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Strategic Income Fund Class A shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Fund in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
290
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 9.32 | $ | 9.20 | $ | 9.53 | $ | 9.48 | $ | 9.30 | $ | 9.94 | ||||||||||||||
0.13 | 0.30 | 0.31 | 0.30 | 0.30 | 0.34 | ||||||||||||||||||||
(0.93 | ) | 0.12 | (0.32 | ) | 0.05 | 0.22 | (0.57 | ) | |||||||||||||||||
(0.80 | ) | 0.42 | (0.01 | ) | 0.35 | 0.52 | (0.23 | ) | |||||||||||||||||
(0.30 | ) | (0.30 | ) | (0.32 | ) | (0.30 | ) | (0.32 | ) | (0.34 | ) | ||||||||||||||
— | — | — | — | (0.02 | ) | (0.07 | ) | ||||||||||||||||||
(0.30 | ) | (0.30 | ) | (0.32 | ) | (0.30 | ) | (0.34 | ) | (0.41 | ) | ||||||||||||||
$ | 8.22 | $ | 9.32 | $ | 9.20 | $ | 9.53 | $ | 9.48 | $ | 9.30 | ||||||||||||||
(10.27% | ) | 4.67% | 5 | (0.10% | ) | 3.73% | 5.64% | (2.37% | ) | ||||||||||||||||
$ | 100,599 | $ | 137,155 | $ | 152,180 | $ | 162,789 | $ | 149,190 | $ | 131,734 | ||||||||||||||
1.12% | 0.53% | 0.56% | 0.57% | 0.58% | 0.59% | ||||||||||||||||||||
1.12% | 0.55% | 0.56% | 0.57% | 0.58% | 0.59% | ||||||||||||||||||||
2.90% | 3.24% | 3.36% | 3.24% | 3.19% | 3.55% | ||||||||||||||||||||
2.90% | 3.22% | 3.36% | 3.24% | 3.19% | 3.55% | ||||||||||||||||||||
182% | 7 | 70% | 58% | 37% | 49% | 40% |
291
Financial highlights
Delaware Strategic Income II 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Strategic Income Fund were reorganized into Institutional Class shares of Delaware Strategic Income II Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Strategic Income Fund Advisor Class shares. |
3 | The average shares outstanding have been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Fund in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
292
Six months ended | ||||||||||||||||||||||||||
3/31/201, 2 | Year ended | |||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | |||||||||||||||||||||
$ | 9.32 | $ | 9.19 | $ | 9.52 | $ | 9.47 | $ | 9.29 | $ | 9.92 | |||||||||||||||
0.15 | 0.48 | 0.34 | 0.29 | 0.33 | 0.38 | |||||||||||||||||||||
(0.93 | ) | 0.13 | (0.32 | ) | 0.09 | 0.23 | (0.56 | ) | ||||||||||||||||||
(0.78 | ) | 0.61 | 0.02 | 0.38 | 0.56 | (0.18 | ) | |||||||||||||||||||
(0.32 | ) | (0.65 | ) | (0.35 | ) | (0.33 | ) | (0.36 | ) | (0.38 | ) | |||||||||||||||
— | — | — | — | (0.02 | ) | (0.07 | ) | |||||||||||||||||||
(0.32 | ) | (0.65 | ) | (0.35 | ) | (0.33 | ) | (0.38 | ) | (0.45 | ) | |||||||||||||||
$ | 8.22 | $ | 9.32 | $ | 9.19 | $ | 9.52 | $ | 9.47 | $ | 9.29 | |||||||||||||||
(10.15% | ) | (5.04% | )5 | 0.22% | 4.14% | 6.14% | (1.93% | ) | ||||||||||||||||||
$ | 358 | $ | 924 | $ | 759 | $ | 963 | $ | 415 | $ | 306 | |||||||||||||||
0.87% | 1.06% | 0.21% | 0.18% | 0.17% | 0.19% | |||||||||||||||||||||
0.87% | 1.08% | 0.21% | 0.18% | 0.17% | 0.19% | |||||||||||||||||||||
3.14% | 6.74% | 3.70% | 3.66% | 3.59% | 3.95% | |||||||||||||||||||||
3.14% | 6.72% | 3.70% | 3.66% | 3.59% | 3.95% | |||||||||||||||||||||
182% | 7 | 70% | 58% | 37% | 49% | 40% |
293
Financial highlights
Delaware Covered Call Strategy 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 income4 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
Total dividends and distributions |
Net asset value, end of period |
Total return5 |
Ratios and supplemental data: |
Net assets, end of period (000 omitted) |
Ratio of expenses to average net assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Class A shares of First Investors Covered Call Strategy Fund were reorganized into Class A shares of Delaware Covered Call Strategy Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Covered Call Strategy Fund Class A shares. |
3 | Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized. |
4 | The average shares outstanding method has been applied for per share information. |
5 | Total 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 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. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
294
Six months ended | 4/1/163 | ||||||||||||||||||||
3/31/201, 2 | Year ended | to | |||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | |||||||||||||||||
$ | 11.81 | $ | 11.83 | $ | 11.18 | $ | 10.36 | $ | 10.00 | ||||||||||||
0.07 | 0.12 | 0.11 | 0.10 | 0.06 | |||||||||||||||||
(2.47 | ) | (0.02 | ) | 0.64 | 0.85 | 0.33 | |||||||||||||||
(2.40 | ) | 0.10 | 0.75 | 0.95 | 0.39 | ||||||||||||||||
(0.13 | ) | (0.12 | ) | (0.10 | ) | (0.11 | ) | (0.03 | ) | ||||||||||||
— | — | — | (0.02 | ) | — | ||||||||||||||||
(0.13 | ) | (0.12 | ) | (0.10 | ) | (0.13 | ) | (0.03 | ) | ||||||||||||
$ | 9.28 | $ | 11.81 | $ | 11.83 | $ | 11.18 | $ | 10.36 | ||||||||||||
(20.85% | ) | 0.97% | 6.79% | 9.17% | 3.94% | ||||||||||||||||
$ | 129,033 | $ | 211,777 | $ | 237,103 | $ | 167,906 | $ | 48,514 | ||||||||||||
1.33% | 1.30% | 1.30% | 1.30% | 1.30% | |||||||||||||||||
1.37% | 1.28% | 1.28% | 1.36% | 1.73% | |||||||||||||||||
1.24% | 1.11% | 0.95% | 1.18% | 1.19% | |||||||||||||||||
1.20% | 1.13% | 0.97% | 1.12% | 0.76% | |||||||||||||||||
27% | 34% | 107% | 121% | 83% |
295
Financial highlights
Delaware Covered Call Strategy 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 income4 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
Total dividends and distributions |
Net asset value, end of period |
Total return5 |
Ratios and supplemental data: |
Net assets, end of period (000 omitted) |
Ratio of expenses to average net assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Advisor Class shares of First Investors Covered Call Strategy Fund were reorganized into Institutional Class shares of Delaware Covered Call Strategy Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Covered Call Strategy Fund Advisor Class shares. |
3 | Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized. |
4 | The average shares outstanding method has been applied for per share information. |
5 | Total 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 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. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
296
Six months ended | 4/1/163 | ||||||||||||||||||||
3/31/201, 2 | Year ended | to | |||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | |||||||||||||||||
$ | 11.78 | $ | 11.80 | $ | 11.16 | $ | 10.34 | $ | 10.00 | ||||||||||||
0.09 | 0.16 | 0.14 | 0.13 | 0.08 | |||||||||||||||||
(2.45 | ) | (0.02 | ) | 0.64 | 0.86 | 0.32 | |||||||||||||||
(2.36 | ) | 0.14 | 0.78 | 0.99 | 0.40 | ||||||||||||||||
(0.16 | ) | (0.16 | ) | (0.14 | ) | (0.15 | ) | (0.06 | ) | ||||||||||||
— | — | — | (0.02 | ) | — | ||||||||||||||||
(0.16 | ) | (0.16 | ) | (0.14 | ) | (0.17 | ) | (0.06 | ) | ||||||||||||
$ | 9.26 | $ | 11.78 | $ | 11.80 | $ | 11.16 | $ | 10.34 | ||||||||||||
(20.72% | ) | 1.25% | 7.09% | 9.62% | 4.05% | ||||||||||||||||
$ | 41,267 | $ | 66,252 | $ | 114,275 | $ | 109,360 | $ | 39,129 | ||||||||||||
1.10% | 1.00% | 0.97% | 0.97% | 0.97% | |||||||||||||||||
1.11% | 0.96% | 1.03% | 1.06% | 1.50% | |||||||||||||||||
1.47% | 1.41% | 1.25% | 1.53% | 1.64% | |||||||||||||||||
1.46% | 1.45% | 1.19% | 1.44% | 1.11% | |||||||||||||||||
27% | 34% | 107% | 121% | 83% |
297
Financial highlights
Delaware Covered Call Strategy Fund Class R6
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 income4 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
Total dividends and distributions |
Net asset value, end of period |
Total return5 |
Ratios and supplemental data: |
Net assets, end of period (000 omitted) |
Ratio of expenses to average net assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Covered Call Strategy Fund were reorganized into Class R6 shares of Delaware Covered Call Strategy Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Covered Call Strategy Fund Institutional Class shares. |
3 | Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized. |
4 | The average shares outstanding method has been applied for per share information. |
5 | Total 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 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. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
298
Six months ended | 4/1/163 | ||||||||||||||||||||
3/31/201, 2 | Year ended | to | |||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | |||||||||||||||||
$ | 11.69 | $ | 11.72 | $ | 11.17 | $ | 10.35 | $ | 10.00 | ||||||||||||
0.10 | 0.17 | 0.16 | 0.16 | 0.09 | |||||||||||||||||
(2.42 | ) | (0.02 | ) | 0.63 | 0.85 | 0.33 | |||||||||||||||
(2.32 | ) | 0.15 | 0.79 | 1.01 | 0.42 | ||||||||||||||||
(0.19 | ) | (0.18 | ) | (0.24 | ) | (0.17 | ) | (0.07 | ) | ||||||||||||
— | — | — | (0.02 | ) | — | ||||||||||||||||
(0.19 | ) | (0.18 | ) | (0.24 | ) | (0.19 | ) | (0.07 | ) | ||||||||||||
$ | 9.18 | $ | 11.69 | $ | 11.72 | $ | 11.17 | $ | 10.35 | ||||||||||||
(20.68% | ) | 1.42% | 7.19% | 9.77% | 4.18% | ||||||||||||||||
$ | 879 | $ | 1,477 | $ | 2,913 | $ | 7,334 | $ | 4,214 | ||||||||||||
0.89% | 0.87% | 0.84% | 0.84% | 0.84% | |||||||||||||||||
1.06% | 0.90% | 0.89% | 0.96% | 1.25% | |||||||||||||||||
1.67% | 1.54% | 1.38% | 1.65% | 1.76% | |||||||||||||||||
1.50% | 1.51% | 1.33% | 1.53% | 1.35% | |||||||||||||||||
27% | 34% | 107% | 121% | 83% |
299
Financial highlights
Delaware Hedged U.S. Equity Opportunities 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)4 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
Total dividends and distributions |
Net asset value, end of period |
Total return5 |
Ratios and supplemental data: |
Net assets, end of period (000 omitted) |
Ratio of expenses to average net assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Class A shares of First Investors Hedged U.S. Equity Opportunities Fund were reorganized into Class A shares of Delaware Hedged U.S. Equity Opportunities Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Hedged U.S. Equity Opportunities Fund Class A shares. |
3 | Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized. |
4 | The average shares outstanding method has been applied for per share information. |
5 | Total 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 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. | |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
300
Six months ended | 8/1/163 | |||||||||||||||||||||
3/31/201, 2 | Year ended | to | ||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | ||||||||||||||||||
$ | 12.36 | $ | 11.90 | $ | 10.77 | $ | 9.91 | $ | 10.00 | |||||||||||||
0.01 | (0.01 | ) | (0.03 | ) | (0.02 | ) | — | |||||||||||||||
(0.95 | ) | 0.68 | 1.16 | 0.88 | (0.09 | ) | ||||||||||||||||
(0.94 | ) | 0.67 | 1.13 | 0.86 | (0.09 | ) | ||||||||||||||||
(0.05 | ) | — | — | — | — | |||||||||||||||||
(1.91 | ) | (0.21 | ) | — | — | — | ||||||||||||||||
(1.96 | ) | (0.21 | ) | — | — | — | ||||||||||||||||
$ | 9.46 | $ | 12.36 | $ | 11.90 | $ | 10.77 | $ | 9.91 | |||||||||||||
(9.63% | ) | 5.92% | 10.49% | 8.68% | (0.90% | ) | ||||||||||||||||
$ | 55,979 | $ | 78,297 | $ | 66,746 | $ | 44,228 | $ | 9,265 | |||||||||||||
1.67% | 1.75% | 1.75% | 1.75% | 1.75% | ||||||||||||||||||
1.87% | 1.68% | 1.76% | 2.09% | 4.24% | ||||||||||||||||||
0.09% | (0.05% | ) | (0.22% | ) | (0.21% | ) | (0.02% | ) | ||||||||||||||
(0.11% | ) | 0.02% | (0.23% | ) | (0.55% | ) | (2.51% | ) | ||||||||||||||
59% | 124% | 56% | 75% | 7% |
301
Financial highlights
Delaware Hedged U.S. Equity Opportunities 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 income4 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
Total dividends and distributions |
Net asset value, end of period |
Total return6 |
Ratios and supplemental data: |
Net assets, end of period (000 omitted) |
Ratio of expenses to average net assets7 |
Ratio of expenses to average net assets prior to fees waived7 |
Ratio of net investment income 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 | On Oct. 4, 2019, Advisor Class shares of First Investors Hedged U.S. Equity Opportunities Fund were reorganized into Institutional Class shares of Delaware Hedged U.S. Equity Opportunities Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Hedged U.S. Equity Opportunities Fund Advisor Class shares. |
3 | Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized. |
4 | The average shares outstanding method has been applied for per share information. |
5 | Amount is less than $0.005 per share. |
6 | Total 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 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. |
7 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
302
Six months ended | 8/1/163 | ||||||||||||||||||||
3/31/201, 2 | Year ended | to | |||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | |||||||||||||||||
$ | 12.48 | $ | 11.99 | $ | 10.81 | $ | 9.91 | $ | 10.00 | ||||||||||||
0.02 | 0.03 | 0.02 | 0.01 | — | |||||||||||||||||
(0.94 | ) | 0.67 | 1.16 | 0.89 | (0.09 | ) | |||||||||||||||
(0.92 | ) | 0.70 | 1.18 | 0.90 | (0.09 | ) | |||||||||||||||
(0.05 | ) | — | 5 | — | — | 5 | — | ||||||||||||||
(1.91 | ) | (0.21 | ) | — | — | — | |||||||||||||||
(1.96 | ) | (0.21 | ) | — | — | — | |||||||||||||||
$ | 9.60 | $ | 12.48 | $ | 11.99 | $ | 10.81 | $ | 9.91 | ||||||||||||
(9.39% | ) | 6.14% | 10.92% | 9.11% | (0.90% | ) | |||||||||||||||
$ | 19,196 | $ | 44,543 | $ | 94,955 | $ | 33,770 | $ | 24,539 | ||||||||||||
1.35% | 1.42% | 1.42% | 1.42% | 1.42% | |||||||||||||||||
1.65% | 1.39% | 1.40% | 1.76% | 3.37% | |||||||||||||||||
0.39% | 0.27% | 0.16% | 0.10% | 0.26% | |||||||||||||||||
0.09% | 0.30% | 0.18% | (0.24% | ) | (1.69% | ) | |||||||||||||||
59% | 124% | 56% | 75% | 7% |
303
Financial highlights
Delaware Hedged U.S. Equity Opportunities Fund Class R6
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 income4 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
Total dividends and distributions |
Net asset value, end of period |
Total return6 |
Ratios and supplemental data: |
Net assets, end of period (000 omitted) |
Ratio of expenses to average net assets7 |
Ratio of expenses to average net assets prior to fees waived7 |
Ratio of net investment income 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 | On Oct. 4, 2019, Institutional Class shares of First Investors Hedged U.S. Equity Opportunities Fund were reorganized into Class R6 shares of Delaware Hedged U.S. Equity Opportunities Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Hedged U.S. Equity Opportunities Fund Institutional Class shares. |
3 | Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized. |
4 | The average shares outstanding method has been applied for per share information. |
5 | Amount is less than $0.005 per share. |
6 | Total 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 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. |
7 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
304
Six months ended | 8/1/163 | ||||||||||||||||||||
3/31/201, 2 | Year ended | to | |||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | |||||||||||||||||
$ | 12.53 | $ | 12.01 | $ | 10.82 | $ | 9.91 | $ | 10.00 | ||||||||||||
0.03 | 0.04 | 0.02 | 0.02 | 0.01 | |||||||||||||||||
(0.96 | ) | 0.69 | 1.17 | 0.89 | (0.10 | ) | |||||||||||||||
(0.93 | ) | 0.73 | 1.19 | 0.91 | (0.09 | ) | |||||||||||||||
(0.10 | ) | — | 5 | — | — | 5 | — | ||||||||||||||
(1.91 | ) | (0.21 | ) | — | — | — | |||||||||||||||
(2.01 | ) | (0.21 | ) | — | — | — | |||||||||||||||
$ | 9.59 | $ | 12.53 | $ | 12.01 | $ | 10.82 | $ | 9.91 | ||||||||||||
(9.45% | ) | 6.39% | 11.00% | 9.21% | (0.90% | ) | |||||||||||||||
$ | 104 | $ | 341 | $ | 574 | $ | 472 | $ | 99 | ||||||||||||
1.24% | 1.31% | 1.31% | 1.31% | 1.31% | |||||||||||||||||
1.56% | 1.30% | 1.39% | 1.74% | 3.24% | |||||||||||||||||
0.45% | 0.37% | 0.21% | 0.23% | 0.30% | |||||||||||||||||
0.13% | 0.38% | 0.13% | (0.20% | ) | (1.63% | ) | |||||||||||||||
59% | 124% | 56% | 75% | 7% |
305
Financial highlights
Delaware Premium Income Fund Class A
Selected data for each share of the Fund outstanding throughout each period were as follows:
Six months ended | 4/2/183 | ||||||||||||
3/31/201, 2 | Year ended | to | |||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | |||||||||||
Net asset value, beginning of period | $ | 10.14 | $ | 10.26 | $ | 10.00 | |||||||
Income (loss) from investment operations: | |||||||||||||
Net investment income4 | 0.10 | 0.18 | 0.08 | ||||||||||
Net realized and unrealized gain (loss) | (1.62 | ) | 0.05 | 0.23 | |||||||||
Total from investment operations | (1.52 | ) | 0.23 | 0.31 | |||||||||
Less dividends and distributions from: | |||||||||||||
Net investment income | (0.18 | ) | (0.17 | ) | (0.05 | ) | |||||||
Net realized gain | (0.22 | ) | (0.18 | ) | — | ||||||||
Total dividends and distributions | (0.40 | ) | (0.35 | ) | (0.05 | ) | |||||||
Net asset value, end of period | $ | 8.22 | $ | 10.14 | $ | 10.26 | |||||||
Total return5 | (16.96% | ) | 2.33% | 3.06% | |||||||||
Ratios and supplemental data: | |||||||||||||
Net assets, end of period (000 omitted) | $ | 37,057 | $ | 60,830 | $ | 41,688 | |||||||
Ratio of expenses to average net assets6 | 1.30% | 1.30% | 1.30% | ||||||||||
Ratio of expenses to average net assets prior to fees waived6 | 1.41% | 1.35% | 2.07% | ||||||||||
Ratio of net investment income to average net assets | 2.06% | 1.74% | 1.57% | ||||||||||
Ratio of net investment income to average net assets | |||||||||||||
prior to fees waived | 1.95% | 1.69% | 0.80% | ||||||||||
Portfolio turnover | 27% | 63% | 77% |
1 | Ratios have been annualized and total return and portfolio turnover have not been annualized. |
2 | On Oct. 4, 2019, Class A shares of First Investors Premium Income Fund were reorganized into Class A shares of Delaware Premium Income Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Premium Income Fund Class A shares. |
3 | Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized. |
4 | The average shares outstanding method has been applied for per share information. |
5 | Total 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 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. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
306
Financial highlights
Delaware Premium Income Fund Institutional Class
Selected data for each share of the Fund outstanding throughout each period were as follows:
Six months ended | 4/2/183 | ||||||||||||
3/31/201, 2 | Year ended | to | |||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | |||||||||||
Net asset value, beginning of period | $ | 10.16 | $ | 10.26 | $ | 10.00 | |||||||
Income (loss) from investment operations: | |||||||||||||
Net investment income4 | 0.12 | 0.20 | 0.10 | ||||||||||
Net realized and unrealized gain (loss) | (1.63 | ) | 0.07 | 0.22 | |||||||||
Total from investment operations | (1.51 | ) | 0.27 | 0.32 | |||||||||
Less dividends and distributions from: | |||||||||||||
Net investment income | (0.21 | ) | (0.19 | ) | (0.06 | ) | |||||||
Net realized gain | (0.22 | ) | (0.18 | ) | — | ||||||||
Total dividends and distributions | (0.43 | ) | (0.37 | ) | (0.06 | ) | |||||||
Net asset value, end of period | $ | 8.22 | $ | 10.16 | $ | 10.26 | |||||||
Total return5 | (16.98% | ) | 2.67% | 3.18% | |||||||||
Ratios and supplemental data: | |||||||||||||
Net assets, end of period (000 omitted) | $ | 44,274 | $ | 67,844 | $ | 34,170 | |||||||
Ratio of expenses to average net assets6 | 1.05% | 1.05% | 1.02% | ||||||||||
Ratio of expenses to average net assets prior to fees waived6 | 1.16% | 1.10% | 1.52% | ||||||||||
Ratio of net investment income to average net assets | 2.33% | 1.98% | 1.86% | ||||||||||
Ratio of net investment income to average net assets | |||||||||||||
prior to fees waived | 2.22% | 1.93% | 1.36% | ||||||||||
Portfolio turnover | 27% | 63% | 77% |
1 | Ratios have been annualized and total return and portfolio turnover have not been annualized. |
2 | On Oct. 4, 2019, Advisor Class shares of First Investors Premium Income Fund were reorganized into Institutional Class shares of Delaware Premium Income Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Premium Income Fund Advisor Class shares. |
3 | Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized. |
4 | The average shares outstanding method has been applied for per share information. |
5 | Total 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 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. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
307
Financial highlights
Delaware Premium Income Fund Class R6
Selected data for each share of the Fund outstanding throughout each period were as follows:
Six months ended | 4/2/183 | |||||||||||||
3/31/201, 2 | Year Ended | to | ||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | ||||||||||||
Net asset value, beginning of period | $ | 5.53 | $ | 10.16 | $ | 10.00 | ||||||||
Income (loss) from investment operations: | ||||||||||||||
Net investment income4 | 0.07 | 0.20 | 0.10 | |||||||||||
Net realized and unrealized gain (loss) | (0.87 | ) | (0.27 | ) | 0.23 | |||||||||
Total from investment operations | (0.80 | ) | (0.07 | ) | 0.33 | |||||||||
Less dividends and distributions from: | ||||||||||||||
Net investment income | (0.16 | ) | (4.38 | ) | (0.17 | ) | ||||||||
Net realized gain | (0.22 | ) | (0.18 | ) | — | |||||||||
Total dividends and distributions | (0.38 | ) | (4.56 | ) | (0.17 | ) | ||||||||
Net asset value, end of period | $ | 4.35 | $ | 5.53 | $ | 10.16 | ||||||||
Total return5 | (16.91% | ) | 2.90% | 3.27% | ||||||||||
Ratios and supplemental data: | ||||||||||||||
Net assets, end of period (000 omitted) | $ | 36 | $ | 29 | $ | 3,877 | ||||||||
Ratio of expenses to average net assets6 | 0.90% | 0.90% | 0.89% | |||||||||||
Ratio of expenses to average net assets prior to fees waived6 | 1.10% | 1.05% | 1.88% | |||||||||||
Ratio of net investment income to average net assets | 2.52% | 2.06% | 1.88% | |||||||||||
Ratio of net investment income to average net assets | ||||||||||||||
prior to fees waived | 2.32% | 1.91% | 0.89% | |||||||||||
Portfolio turnover | 27% | 63% | 77% |
1 | Ratios have been annualized and total return and portfolio turnover have not been annualized. |
2 | On Oct. 4, 2019, Institutional Class shares of First Investors Premium Income Fund were reorganized into Class R6 shares of Delaware Premium Income Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Premium Income Fund Institutional Class shares. |
3 | Date of commencement of operations; ratios have been annualized and total return and portfolio turnover have not been annualized. |
4 | The average shares outstanding method has been applied for per share information. |
5 | Total 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 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. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
See accompanying notes, which are an integral part of the financial statements.
308
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Financial highlights
Delaware Total Return 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of net investment income to average net assets |
Portfolio turnover |
1 | Ratios have been annualized and total return and portfolio turnover have not been annualized. |
2 | On Oct. 4, 2019, Class A shares of First Investors Total Return Fund were reorganized into Class A shares of Delaware Total Return Fund. See Notes to Financial Statements. The Class A shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Total Return Fund Class A shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
310
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 19.03 | $ | 20.22 | $ | 19.88 | $ | 19.00 | $ | 18.21 | $ | 19.63 | ||||||||||||||
0.16 | 0.28 | 0.31 | 0.23 | 0.23 | 0.21 | ||||||||||||||||||||
(2.52 | ) | 0.39 | 0.74 | 1.27 | 1.26 | (0.68 | ) | ||||||||||||||||||
(2.36 | ) | 0.67 | 1.05 | 1.50 | 1.49 | (0.47 | ) | ||||||||||||||||||
(0.35 | ) | (0.34 | ) | (0.36 | ) | (0.32 | ) | (0.27 | ) | (0.28 | ) | ||||||||||||||
(3.73 | ) | (1.52 | ) | (0.35 | ) | (0.30 | ) | (0.43 | ) | (0.67 | ) | ||||||||||||||
(4.08 | ) | (1.86 | ) | (0.71 | ) | (0.62 | ) | (0.70 | ) | (0.95 | ) | ||||||||||||||
$ | 12.59 | $ | 19.03 | $ | 20.22 | $ | 19.88 | $ | 19.00 | $ | 18.21 | ||||||||||||||
(17.22% | ) | 4.58% | 5.32% | 8.09% | 8.36% | (2.65% | ) | ||||||||||||||||||
$ | 551,948 | $ | 800,910 | $ | 889,473 | $ | 877,311 | $ | 845,726 | $ | 784,281 | ||||||||||||||
1.17% | 1.17% | 1.18% | 1.19% | 1.19% | 1.18% | ||||||||||||||||||||
1.95% | 1.50% | 1.55% | 1.22% | 1.27% | 1.05% | ||||||||||||||||||||
112% | 6 | 59% | 53% | 39% | 63% | 40% |
311
Financial highlights
Delaware Total Return 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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets5 |
Ratio of net investment income to average net assets |
Portfolio turnover |
1 | Ratios have been annualized and total return and portfolio turnover have not been annualized. |
2 | On Oct. 4, 2019, Advisor Class shares of First Investors Total Return Fund were reorganized into Institutional Class shares of Delaware Total Return Fund. See Notes to Financial Statements. The Institutional Class shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Total Return Fund Advisor Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
6 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
312
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 19.10 | $ | 20.32 | $ | 19.98 | $ | 19.04 | $ | 18.26 | $ | 19.64 | ||||||||||||||
0.19 | 0.34 | 0.37 | 0.32 | 0.26 | 0.29 | ||||||||||||||||||||
(2.46 | ) | 0.40 | 0.75 | 1.30 | 1.27 | (0.69 | ) | ||||||||||||||||||
(2.27 | ) | 0.74 | 1.12 | 1.62 | 1.53 | (0.40 | ) | ||||||||||||||||||
(0.45 | ) | (0.44 | ) | (0.43 | ) | (0.38 | ) | (0.32 | ) | (0.31 | ) | ||||||||||||||
(3.73 | ) | (1.52 | ) | (0.35 | ) | (0.30 | ) | (0.43 | ) | (0.67 | ) | ||||||||||||||
(4.18 | ) | (1.96 | ) | (0.78 | ) | (0.68 | ) | (0.75 | ) | (0.98 | ) | ||||||||||||||
$ | 12.65 | $ | 19.10 | $ | 20.32 | $ | 19.98 | $ | 19.04 | $ | 18.26 | ||||||||||||||
(17.09% | ) | 4.93% | 5.69% | 8.69% | 8.55% | (2.24% | ) | ||||||||||||||||||
$ | 499 | $ | 1,166 | $ | 1,006 | $ | 996 | $ | 1,213 | $ | 976 | ||||||||||||||
0.90% | 0.85% | 0.84% | 0.80% | 0.82% | 0.78% | ||||||||||||||||||||
2.16% | 1.80% | 1.83% | 1.61% | 1.63% | 1.44% | ||||||||||||||||||||
112% | 6 | 59% | 53% | 39% | 63% | 40% |
313
Financial highlights
Delaware Total Return Fund Class R6
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 income3 |
Net realized and unrealized gain (loss) |
Total from investment operations |
Less dividends and distributions from: |
Net investment income |
Net realized gain |
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 assets6 |
Ratio of expenses to average net assets prior to fees waived6 |
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 | On Oct. 4, 2019, Institutional Class shares of First Investors Total Return Fund were reorganized into Class R6 shares of Delaware Total Return Fund. See Notes to Financial Statements. The Class R6 shares financial highlights for the periods prior to Oct. 4, 2019, reflect the performance of First Investors Total Return Fund Institutional Class shares. |
3 | The average shares outstanding method has been applied for per share information. |
4 | Total 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. |
5 | Total return during the period reflects a waiver by the manager. Performance would have been lower had the waiver not been in effect. |
6 | Expense ratios do not include expenses of the Underlying Funds in which the Fund invests. |
7 | The Fund’s portfolio turnover rate increased substantially during the year ended March 31, 2020 due to a change in the Fund’s portfolio managers and associated repositioning. |
See accompanying notes, which are an integral part of the financial statements.
314
Six months ended | |||||||||||||||||||||||||
3/31/201, 2 | Year ended | ||||||||||||||||||||||||
(Unaudited) | 9/30/19 | 9/30/18 | 9/30/17 | 9/30/16 | 9/30/15 | ||||||||||||||||||||
$ | 19.14 | $ | 20.38 | $ | 20.05 | $ | 19.13 | $ | 18.29 | $ | 19.65 | ||||||||||||||
0.19 | 0.35 | 0.40 | 0.32 | 0.31 | 0.29 | ||||||||||||||||||||
(2.43 | ) | 0.41 | 0.74 | 1.27 | 1.28 | (0.70 | ) | ||||||||||||||||||
(2.24 | ) | 0.76 | 1.14 | 1.59 | 1.59 | (0.41 | ) | ||||||||||||||||||
(0.49 | ) | (0.48 | ) | (0.46 | ) | (0.37 | ) | (0.32 | ) | (0.28 | ) | ||||||||||||||
(3.73 | ) | (1.52 | ) | (0.35 | ) | (0.30 | ) | (0.43 | ) | (0.67 | ) | ||||||||||||||
(4.22 | ) | (2.00 | ) | (0.81 | ) | (0.67 | ) | (0.75 | ) | (0.95 | ) | ||||||||||||||
$ | 12.68 | $ | 19.14 | $ | 20.38 | $ | 20.05 | $ | 19.13 | $ | 18.29 | ||||||||||||||
(17.06% | )5 | 5.06% | 5.77% | 8.50% | 8.88% | (2.28% | ) | ||||||||||||||||||
$ | 1,080 | $ | 1,976 | $ | 34,555 | $ | 33,545 | $ | 32,525 | $ | 30,644 | ||||||||||||||
0.82% | 0.79% | 0.77% | 0.77% | 0.77% | 0.77% | ||||||||||||||||||||
0.91% | 0.79% | 0.77% | 0.77% | 0.77% | 0.77% | ||||||||||||||||||||
2.28% | 1.86% | 1.96% | 1.65% | 1.68% | 1.47% | ||||||||||||||||||||
2.19% | 1.86% | 1.96% | 1.65% | 1.68% | 1.47% | ||||||||||||||||||||
112% | 7 | 59% | 53% | 39% | 63% | 40% |
315
Notes to financial statements | |
Delaware Group® Equity Funds IV (Trust) | March 31, 2020 (Unaudited) |
Delaware Group® Equity Funds IV (Trust) is organized as a Delaware statutory trust and offers 21 series. These financial statements and the related notes pertain to 18 funds listed below (each a Fund, or collectively, the Funds). Each Fund is an open-end investment company. The Funds are considered diversified under the Investment Company Act of 1940, as amended (1940 Act), and offer Class A, Institutional Class and Class R6 shares. Class A shares are sold with a maximum front-end sales charge of 5.75% for Delaware Growth and Income Fund, Delaware Equity Income Fund, Delaware Growth Equity Fund, Delaware Opportunity Fund, Delaware Special Situations Fund, Delaware Global Equity Fund, Delaware International Fund, Delaware Total Return Fund, Delaware Covered Call Strategy Fund, Delaware Hedged U.S. Equity Opportunities Fund, and Delaware Premium Income Fund; 4.50% for Delaware Investment Grade Fund, Delaware Fund for Income, Delaware Strategic Income II Fund, and Delaware International Opportunities Bond Fund; and 2.75% for Delaware Limited Duration Bond Fund and Delaware Floating Rate II Fund. There is no front-end sales charge for Delaware Government Cash Management Fund. Class A share purchases of $1,000,000 or more will incur a contingent deferred sales charge (CDSC) instead of a front-end sales charge 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. Institutional Class and Class R6 shares are not subject to a sales charge and are offered for sale exclusively to certain eligible investors. In addition, Class R6 shares do not pay any service fees, sub-accounting fees, and/or sub-transfer agency fees to any brokers, dealers or other financial intermediaries.
Before each Fund commenced operations, on Oct. 4, 2019, all of the assets and liabilities of the corresponding fund identified as its respective Predecessor Fund (the “Predecessor Fund”) were transferred to the Fund in a tax-free reorganization as set forth in an agreement and plan of reorganization (each a Foresters Reorganization) between the Trust, on behalf of the Funds, and Foresters Investment Management Company, Inc., on behalf of the Predecessor Funds. As a result of each Foresters Reorganization, the applicable Fund assumed the performance and accounting history of its corresponding Predecessor Fund. Financial information included for the dates prior to the Foresters Reorganization is that of the Predecessor Funds.
Fund | Predecessor Fund | |
Delaware Equity Income Fund | First Investors Equity Income Fund | |
Delaware Growth and Income Fund | First Investors Growth & Income Fund | |
Delaware Growth Equity Fund | First Investors Select Growth Fund | |
Delaware Opportunity Fund | First Investors Opportunity Fund | |
Delaware Special Situations Fund | First Investors Special Situations Fund | |
Delaware Global Equity Fund | First Investors Global Fund | |
Delaware International Fund | First Investors International Fund | |
Delaware Floating Rate II Fund | First Investors Floating Rate Fund | |
Delaware Fund for Income | First Investors Fund For Income | |
Delaware Government Cash | ||
Management Fund | First Investors Government Cash Management Fund | |
Delaware International Opportunities | ||
Bond Fund | First Investors International Opportunities Bond Fund | |
Delaware Investment Grade Fund | First Investors Investment Grade Fund |
316
Fund | Predecessor Fund | |
Delaware Limited Duration Bond Fund | First Investors Limited Duration Bond Fund | |
Delaware Strategic Income II Fund | First Investors Strategic Income | |
Delaware Covered Call Strategy Fund | First Investors Covered Call Strategy Fund | |
Delaware Hedged U.S. Equity | ||
Opportunities Fund | First Investors Hedged U.S. Equity Opportunities Fund | |
Delaware Premium Income Fund | First Investors Premium Income Fund | |
Delaware Total Return Fund | First Investors Total Return Fund |
1. Significant Accounting Policies
Each Fund follows accounting and reporting guidance under Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. The following accounting policies are in accordance with US generally accepted accounting principles (US GAAP) and are consistently followed by the Funds.
Security Valuation— Equity securities and exchange-traded funds (ETFs), except those traded on the Nasdaq Stock Market LLC (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. Equity 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. Equity 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 contracts (CDS) 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. US 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. For asset-backed securities, collateralized mortgage obligations, commercial mortgage securities, and US 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. Exchange-traded options are valued at the last reported sale price or, if no sales are reported, at the mean between the last reported bid and ask prices, which approximates fair value. Futures contracts are valued at the daily quoted settlement prices. 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. Open-end investment companies are valued at their published net asset value (NAV). 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 Trust’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
317
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
1. Significant Accounting Policies (continued)
closures or suspension of trading in a security. The Funds may use fair value pricing more frequently for securities traded primarily in non-US markets because, among other things, most foreign markets close well before the Funds value their securities, generally as of 4:00pm Eastern Time. The earlier close of these foreign markets gives rise to the possibility that significant events, including broad market moves, government actions or pronouncements, aftermarket trading, or news events may have occurred in the interim. Whenever such a significant event occurs, the Funds may value foreign securities using fair value prices based on third-party vendor modeling tools (international fair value pricing.) Restricted securities are valued at fair value using methods approved by the Board.
Federal and Foreign Income Taxes— No provision for federal income taxes has been made as each 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. Each Fund evaluates tax positions taken or expected to be taken in the course of preparing each 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 each Fund’s tax positions taken or expected to be taken on each Fund’s federal income tax returns through the six months ended March 31, 2020 and for all open tax years (years ended Sept. 30, 2017–Sept. 30, 2019), and has concluded that no provision for federal income tax is required in each Fund’s financial statements. In regard to foreign taxes only, a Fund has open tax years in certain foreign countries in which it invests in that may date back to the inception of the Fund. If applicable, each Fund recognizes interest accrued on unrecognized tax benefits in interest expense and penalties in “Other” on the “Statements of operations.” During the six months ended March 31, 2020, the Funds did not incur any interest or tax penalties.
Class Accounting— Investment income, common expenses, and realized and unrealized gain (loss) on investments are allocated to the various classes for each Fund on the basis of daily net assets of each class. For Delaware Floating Rate II Fund, Delaware Fund for Income, Delaware Government Cash Management Fund, Delaware International Opportunities Bond Fund, Delaware Investment Grade Fund, Delaware Limited Duration Bond Fund, and Delaware Strategic Income II Fund, investment income and common expenses are allocated to the various classes of each Fund on the basis of “settled shares” of each class in relation to the net assets of each respective Fund. Realized and unrealized gain (loss) on investments are allocated to the various classes of each Fund on the basis of daily net assets of each class. Distribution expenses relating to a specific class are charged directly to that class. Class R6 shares will not be allocated any expenses related to service fees, sub-accounting fees, and/or sub-transfer agency fees paid to brokers, dealers, or other financial intermediaries.
Foreign Currency Transactions— Transactions denominated in foreign currencies are recorded at the prevailing exchange rates on the valuation date in accordance with the Funds’ prospectus. The value of all assets and liabilities denominated in foreign currencies is translated daily into US dollars at the exchange rate of such currencies against the US 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 Funds generally bifurcate that portion of realized gains and losses on investments in debt securities which is due to changes in foreign exchange
318
rates from that which is due to changes in market prices of debt securities. That portion of gains (losses) attributable to changes in foreign exchange rates is included on the “Statement of operations” under “Net realized gain (loss) on foreign currencies.” For foreign equity securities, these changes are included on the “Statements of operations” under “Net realized and unrealized gain (loss) on investments.” The Funds report 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 preparation of financial statements in conformity with US 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 a Fund are charged directly to that Fund. Other expenses common to various funds within the Delaware Funds® by Macquarie (Delaware Funds) are generally allocated among such funds on the basis of average net assets. Management fees and certain 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 accreted or amortized to interest income, respectively, 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. Distributions received from investments in real estate investment trusts (REITs) are recorded as dividend income on the ex-dividend date, subject to reclassification upon notice of the character of such distributions by the issuer. Distributions received from investments in master limited partnerships are recorded as return of capital on investments on the ex-dividend date. Foreign dividends are also recorded on the ex-dividend date or as soon after the ex-dividend date that the Funds are aware of such dividends, net of all tax withholdings, a portion of which may be reclaimable. Withholding taxes and reclaims on foreign dividends and interest have been recorded in accordance with the Funds’ understanding of the applicable country’s tax rules and rates. Delaware Floating Rate II Fund, Delaware Fund for Income, Delaware Government Cash Management Fund, Delaware International Opportunities Bond Fund, Delaware Investment Grade Fund, Delaware Limited Duration Bond Fund, and Delaware Strategic Income II Fund declare dividends daily from net investment income and pay the dividends monthly. Delaware Total Return Fund declares and pays dividends monthly. Delaware Equity Income Fund, Delaware Growth and Income Fund, Delaware Covered Call Strategy Fund, and Delaware Premium Income Fund declare and pay dividends quarterly. Delaware Growth Equity Fund, Delaware Opportunity Fund, Delaware Special Situations Fund, Delaware Global Equity Fund, Delaware International Fund, and Delaware Hedged U.S. Equity Opportunities Fund declare and pay dividends annually. Each Fund declares and pays distributions from net realized gain on investments, if any, annually. Each Fund may distribute more frequently, if necessary for tax purposes. Dividends and distributions, if any, are recorded on the ex-dividend date.
319
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
1. Significant Accounting Policies (continued)
Each Fund receives earnings credits from its custodian when positive cash balances are maintained, which may be used to offset custody fees. The expenses paid under this arrangement are included on the “Statements of operations” under “Custodian fees” with the corresponding expenses offset included under “Less expenses paid indirectly.”
For the six months ended March 31, 2020, each Fund earned the following amounts under this arrangement:
Fund | Credit | ||
Delaware Equity Income Fund | $ | 1,530 | |
Delaware Growth and Income | |||
Fund | 5,132 | ||
Delaware Growth Equity Fund | 4,831 | ||
Delaware Opportunity Fund | 6,133 | ||
Delaware Special Situations Fund | 2,439 | ||
Delaware Global Equity Fund | — | ||
Delaware International Fund | 1,478 | ||
Delaware Floating Rate II Fund | 1,428 | ||
Delaware Fund for Income | 4,908 | ||
Delaware Government Cash Management Fund | — | ||
Delaware International Opportunities Bond Fund | — | ||
Delaware Investment Grade Fund | 3,256 | ||
Delaware Limited Duration Bond Fund | 2,976 | ||
Delaware Strategic Income II Fund | 2,445 | ||
Delaware Covered Call Strategy Fund | 1,926 | ||
Delaware Hedged U.S. Equity Opportunities | |||
Fund | 13,390 | ||
Delaware Premium Income Fund | 1,174 | ||
Delaware Total Return Fund | 18,866 |
2. Investment Management, Administration Agreements, and Other Transactions with Affiliates
In accordance with the terms of its respective investment management agreement, effective close of business on Oct. 4, 2019, each Fund pays Delaware Management Company (DMC), a series of Macquarie Investment Management Business Trust and the investment manager, an annual fee which is calculated daily and paid monthly based on each Fund’s average daily net assets as follows:
On the first | On the next | On the next | In excess of | |||||
$500 million | $500 million | $1.5 billion | $2.5 billion | |||||
Delaware Equity Income Fund | 0.650% | 0.600% | 0.550% | 0.500% | ||||
Delaware Growth and Income | ||||||||
Fund | 0.650% | 0.600% | 0.550% | 0.500% | ||||
Delaware Growth Equity Fund | 0.650% | 0.600% | 0.550% | 0.500% | ||||
Delaware Opportunity Fund | 0.750% | 0.700% | 0.650% | 0.600% | ||||
Delaware Special Situations | ||||||||
Fund | 0.750% | 0.700% | 0.650% | 0.600% | ||||
Delaware Global Equity Fund | 0.850% | 0.800% | 0.750% | 0.700% | ||||
Delaware International Fund | 0.850% | 0.800% | 0.750% | 0.700% | ||||
Delaware Floating Rate II Fund | 0.500% | 0.475% | 0.450% | 0.425% | ||||
Delaware Fund for Income | 0.650% | 0.600% | 0.550% | 0.500% | ||||
Delaware International | ||||||||
Opportunities Bond Fund | 0.750% | 0.700% | 0.650% | 0.600% |
320
On the first | On the next | On the next | In excess of | |||||
$500 million | $500 million | $1.5 billion | $2.5 billion | |||||
Delaware Investment Grade | ||||||||
Fund | 0.500% | 0.475% | 0.450% | 0.425% | ||||
Delaware Limited Duration | ||||||||
Bond Fund | 0.500% | 0.475% | 0.450% | 0.425% | ||||
Delaware Strategic Income II | ||||||||
Fund | 0.550% | 0.500% | 0.450% | 0.425% | ||||
Delaware Total Return Fund | 0.650% | 0.600% | 0.550% | 0.500% |
On the | On the | On the | On the | On the | In excess | |||||||
first $300 | next $200 | next $500 | next $1 | next $1 | of $3 | |||||||
million | million | million | billion | billion | billion | |||||||
Delaware Covered Call | ||||||||||||
Strategy Fund | 0.800% | 0.750% | 0.700% | 0.650% | 0.600% | 0.550% | ||||||
On the | On the | On the | On the | On the | In excess | |||||||
first $100 | next $400 | next $500 | next $1 | next $1 | of $3 | |||||||
million | million | million | billion | billion | billion | |||||||
Delaware Hedged U.S. Equity | ||||||||||||
Opportunities Fund | 1.150% | 1.100% | 1.050% | 1.000% | 0.950% | 0.900% |
Delaware Government Cash Management Fund and Delaware Premium Income Fund pay 0.45% and 0.80% of each Fund’s average daily net assets, respectively.
Prior to Oct. 4, 2019, each Fund paid Foresters Investment Management Company, Inc. (FIMCO), an annual fee which was calculated daily and paid monthly based on each Fund’s average daily net assets at the following annual rates: Delaware Equity Income Fund, Delaware Growth and Income Fund, Delaware Growth Equity Fund, and Delaware Opportunity Fund paid 0.75% on the first $300 million; 0.72% on the next $200 million; 0.69% on the next $250 million; 0.66% on the next $500 million; 0.64% on the next $500 million; 0.62% on the next $500 million and 0.60% in excess of $2.25 billion; Delaware Special Situations Fund paid 0.90% on the first $200 million; 0.75% on the next $300 million; 0.72% on the next $250 million; 0.69% on the next $250 million; 0.66% on the next $500 million and 0.64% in excess of $1.5 billion; Delaware Global Equity Fund paid 0.95% on the first $600 million; 0.92% on the next $400 million; 0.90% on the next $500 million and 0.88% in excess of $1.5 billion; Delaware International Fund paid 0.98% on the first $300 million; 0.95% on the next $300 million; 0.92% on the next $400 million; 0.90% on the next $500 million and 0.88% in excess of $1.5 billion; Delaware Floating Rate II Fund paid 0.60% on the first $250 million; 0.55% on the next $250 million; 0.50% on the next $500 million; 0.45% on the next $1 billion and 0.40% on average daily net assets in excess of $2 billion; Delaware Fund For Income and Delaware International Opportunities Bond Fund paid 0.75% on the first $250 million; 0.72% on the next $250 million; 0.69% on the next $250 million; 0.66% on the next $500 million; 0.64% on the next $500 million; 0.62% on the next $500 million and 0.60% in excess of $2.25 billion; Delaware Government Cash Management Fund paid 0.50% of average daily net assets, Delaware Investment Grade Fund paid 0.66% on the first $500 million; 0.64% on the next $500 million; 0.62% on the next $500 million and 0.60% in excess of $1.5 billion; Delaware Limited Duration Bond Fund paid 0.41% on the first $500 million; 0.39% on the next $500 million; 0.37% on the next $500 million and 0.35% in excess of $1.5 billion; Delaware Strategic Income II Fund paid 0.05% of
321
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
2. Investment Management, Administration Agreements, and Other Transactions with Affiliates (continued)average daily net assets, Delaware Covered Call Strategy Fund and Delaware Premium Income Fund paid 0.80% on the first $300 million; 0.75% on the next $200 million; 0.70% on the next $500 million; 0.65% on the next $1 billion; 0.60% on the next $1 billion and 0.55% in excess of $3 billion; Delaware Hedged U.S. Equity Opportunities Fund paid 1.15% on the first $100 million; 1.10% on the next $400 million; 1.05% on the next $500 million; 1.00% on the next $1 billion; 0.95% on the next $1 billion and 0.90% in excess of $3 billion; Delaware Total Return Fund paid 0.75% on the first $300 million; 0.70% on the next $200 million; 0.65% on the next $500 million; 0.60% on the next $1 billion; 0.55% on the next $1 billion and 0.50% in excess of $3 billion.
DMC has contractually agreed to waive all or a portion of its investment advisory fees and/or pay/reimburse expenses (excluding any acquired fund fees and expenses, taxes, interest, short sale dividend and 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), in order to prevent total annual fund operating expenses from exceeding the following percentages of each Fund’s average daily net assets from Oct. 4, 2019 through March 31, 2020.* These waivers and reimbursements may only be terminated by agreement of the DMC and each Fund. The waivers and reimbursements are accrued daily and received monthly.
Operating expense | Operating expense | Operating expense | ||||
limitation as a | limitation as a | limitation as a | ||||
percentage of average | percentage of average | percentage of average | ||||
daily net assets | daily net assets | daily net assets | ||||
Oct. 4, 2019 through | Oct. 4, 2019 through | Oct. 4, 2019 through | ||||
March 31, 2020 | March 31, 2020 | March 31, 2020 | ||||
Class A | Institutional Class | Class R6 | ||||
Delaware Equity Income Fund | 1.17% | 0.85% | 0.81% | |||
Delaware Growth and Income | ||||||
Fund | 1.11% | 0.82% | 0.75% | |||
Delaware Growth Equity Fund | 1.17% | 0.86% | 0.79% | |||
Delaware Opportunity Fund | 1.21% | 0.90% | 0.78% | |||
Delaware Special Situations | ||||||
Fund | 1.27% | 1.02% | 0.87% | |||
Delaware Global Equity Fund | 1.41% | 1.07% | 1.02% | |||
Delaware International Fund | 1.53% | 1.18% | 1.09% | |||
Delaware Floating Rate II Fund | 1.05% | 0.89% | 0.74% | |||
Delaware Fund for Income | 1.18% | 1.03% | 0.80% | |||
Delaware Government Cash | ||||||
Management Fund | 0.55% | n/a | 0.60% | |||
Delaware International | ||||||
Opportunities Bond Fund | 1.39% | 1.09% | 0.94% | |||
Delaware Investment Grade | ||||||
Fund | 1.03% | 0.74% | 0.66% |
322
Operating expense | Operating expense | Operating expense | ||||
limitation as a | limitation as a | limitation as a | ||||
percentage of average | percentage of average | percentage of average | ||||
daily net assets | daily net assets | daily net assets | ||||
Oct. 4, 2019 through | Oct. 4, 2019 through | Oct. 4, 2019 through | ||||
March 31, 2020 | March 31, 2020 | March 31, 2020 | ||||
Class A | Institutional Class | Class R6 | ||||
Delaware Limited Duration | ||||||
Bond Fund | 0.74% | 0.51% | 0.36% | |||
Delaware Strategic Income II | ||||||
Fund | 1.20% | 0.92% | n/a | |||
Delaware Covered Call Strategy | ||||||
Fund | 1.31% | 1.09% | 0.88% | |||
Delaware Hedged U.S. Equity | ||||||
Opportunities Fund | 1.64% | 1.30% | 1.20% | |||
Delaware Premium Income | ||||||
Fund | 1.30% | 1.05% | 0.90% | |||
Delaware Total Return Fund | 1.15% | 0.91% | 0.79% |
Prior to Oct. 4, 2019, FIMCO had waived to limit the advisory fee to each Fund’s daily net assets as follows.
Operating expense | Operating expense | Operating expense | ||||
limitation as a | limitation as a | limitation as a | ||||
percentage of average | percentage of average | percentage of average | ||||
daily net assets | daily net assets | daily net assets | ||||
Class A | Institutional Class | Class R6 | ||||
Delaware Floating Rate II Fund | 1.10% | n/a | n/a | |||
Delaware Government Cash | ||||||
Management Fund | 0.80% | 0.80% | n/a | |||
Delaware Limited Duration | ||||||
Bond Fund | 0.79% | 0.51% | 0.36% | |||
Delaware Covered Call Strategy | ||||||
Fund | 1.30% | 0.97% | 0.84% | |||
Delaware Hedged U.S. Equity | ||||||
Opportunities Fund | 1.75% | 1.42% | 1.31% | |||
Delaware Premium Income | ||||||
Fund | 1.30% | 1.06% | 0.99% |
Effective Oct. 4, 2019, DMC may seek investment advice and recommendations from its affiliates: Macquarie Investment Management Europe Limited, Macquarie Investment Management Austria Kapitalanlage AG, and Macquarie Investment Management Global Limited (together, the “Affiliated Sub-Advisors”). The Manager may also permit these Affiliated Sub-Advisors to execute Fund security trades on behalf of the Manager and exercise investment discretion for securities in certain markets where DMC believes it will be beneficial to utilize an Affiliated Sub-Advisor’s specialized market knowledge. Although the Affiliated Sub-Advisors serve as sub-advisors, DMC has ultimate responsibility for all investment advisory services. For these services, DMC, not a Portfolio, pays each Affiliated Sub-Advisor a portion of its investment management fee.
323
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
2. Investment Management, Administration Agreements, and Other Transactions with Affiliates (continued)
Effective Oct. 4, 2019, Delaware Investments Fund Services Company (DIFSC), an affiliate of DMC, provides fund accounting and financial administrative oversight services to the Funds. For these services, DIFSC’s fees are calculated daily and paid monthly based on the aggregate daily net assets of all funds within the Delaware Funds at the following annual rates: 0.00475% of the first $35 billion; 0.0040% of the next $10 billion; and 0.0025% of aggregate average daily net assets in excess of $45 billion (Total Fee). Each fund in the Delaware Funds pays a minimum of $4,000, which, in aggregate, is subtracted from the Total Fee. Each fund then pays its portion of the remainder of the Total Fee on a relative NAV basis. These amounts are included on the “Statements of operations” under “Accounting and administration expenses.” For the six months ended March 31, 2020, each Fund was charged for these services as follows:
Fund | Fees | ||
Delaware Equity Income Fund | $ | 8,926 | |
Delaware Growth and Income | |||
Fund | 24,208 | ||
Delaware Growth Equity Fund | 12,432 | ||
Delaware Opportunity Fund | 15,774 | ||
Delaware Special Situations Fund | 9,221 | ||
Delaware Global Equity Fund | 7,827 | ||
Delaware International Fund | 8,685 | ||
Delaware Floating Rate II Fund | 3,467 | ||
Delaware Fund for Income | 9,681 | ||
Delaware Government Cash Management Fund | 5,022 | ||
Delaware International Opportunities Bond Fund | 3,368 | ||
Delaware Investment Grade Fund | 7,455 | ||
Delaware Limited Duration Bond Fund | 5,776 | ||
Delaware Strategic Income II Fund | 4,049 | ||
Delaware Covered Call Strategy Fund | 6,036 | ||
Delaware Hedged U.S. Equity Opportunities | |||
Fund | 3,641 | ||
Delaware Premium Income Fund | 3,871 | ||
Delaware Total Return Fund | 13,924 |
Effective Oct. 4, 2019, DIFSC is also the transfer agent and dividend disbursing agent of the Funds. For these services, DIFSC’s fees are calculated daily and paid monthly based on the aggregate daily net assets of the retail funds within the Delaware Funds at the following annual rates: 0.014% of the first $20 billion; 0.011% of the next $5 billion; 0.007% of the next $5 billion; 0.005% of the next $20 billion; and 0.0025% of average daily net assets in excess of $50 billion. The fees payable to DIFSC under the shareholder services agreement described above are allocated among all retail funds in the Delaware Funds on a relative NAV basis. These amounts are included on the “Statements of operations” under “Dividend disbursing and transfer agent fees and expenses.”
324
For the six months ended March 31, 2020, each Fund was charged for these services as follows:
Fund | Fees | ||
Delaware Equity Income Fund | $ | 18,220 | |
Delaware Growth and Income | |||
Fund | 58,445 | ||
Delaware Growth Equity Fund | 27,469 | ||
Delaware Opportunity Fund | 36,218 | ||
Delaware Special Situations Fund | 18,975 | ||
Delaware Global Equity Fund | 15,346 | ||
Delaware International Fund | 17,598 | ||
Delaware Floating Rate II Fund | 3,859 | ||
Delaware Fund for Income | 20,242 | ||
Delaware Government Cash Management Fund | 7,974 | ||
Delaware International Opportunities Bond Fund | 3,600 | ||
Delaware Investment Grade Fund | 14,378 | ||
Delaware Limited Duration Bond Fund | 9,951 | ||
Delaware Strategic Income II Fund | 5,396 | ||
Delaware Covered Call Strategy Fund | 10,615 | ||
Delaware Hedged U.S. Equity Opportunities | |||
Fund | 4,315 | ||
Delaware Premium Income Fund | 4,919 | ||
Delaware Total Return Fund | 31,399 |
Prior to Oct. 4, 2019, Foresters Investor Services, Inc. was the transfer agent of the Funds.
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 each Fund. Sub-transfer agency fees are paid by each Fund and are also included on the “Statements of operations” under “Dividend disbursing and transfer agent fees and expenses.” The fees that are calculated daily and paid as invoices are received on a monthly or quarterly basis.
Effective Oct. 4, 2019, pursuant to a distribution agreement and distribution plan, each Fund, other than Delaware Government Cash Management Fund, pays DDLP, the distributor and an affiliate of DMC, an annual 12b-1 fee of 0.25% of the average daily net assets of the Class A shares. DDLP has contracted to limit the Delaware Limited Duration Bond Fund Class A shares’ 12b-1 fees to no more than 0.15% of average daily net assets from Oct. 4, 2019 through March 31, 2020.* This waiver may be terminated only by agreement of DDLP and the Fund. The fees are calculated daily and paid monthly. From Oct. 1, 2019 through Oct. 4, 2019, each Fund, other than Delaware Government Cash Management Fund, was authorized to pay Foresters Financial Services, Inc. a fee up to 0.30% (and for certain Funds, up to 0.25%), of the average daily net assets of the Class A shares, on an annual basis, payable monthly. Institutional Class and Class R6 shares do not pay 12b-1 fees.
As provided in the investment management agreement, each 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 each Fund. These amounts are included on the “Statements of operations” under “Legal fees.”
325
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
2. Investment Management, Administration Agreements, and Other Transactions with Affiliates (continued)
For the period Oct. 4, 2019 through March 31, 2020, each Fund was charged for internal legal, tax, and regulatory services provided by DMC and/or its affiliates’ employees as follows:
Fund | Fees | ||
Delaware Equity Income Fund | $ | 4,847 | |
Delaware Growth and Income | |||
Fund | 15,554 | ||
Delaware Growth Equity Fund | 7,325 | ||
Delaware Opportunity Fund | 9,660 | ||
Delaware Special Situations Fund | 5,054 | ||
Delaware Global Equity Fund | 4,093 | ||
Delaware International Fund | 4,686 | ||
Delaware Floating Rate II Fund | 1,029 | ||
Delaware Fund for Income | 4,906 | ||
Delaware Government Cash Management Fund | 2,152 | ||
Delaware International Opportunities Bond Fund | 939 | ||
Delaware Investment Grade Fund | 3,866 | ||
Delaware Limited Duration Bond Fund | 2,641 | ||
Delaware Strategic Income II Fund | 3,417 | ||
Delaware Covered Call Strategy Fund | 2,823 | ||
Delaware Hedged U.S. Equity Opportunities | |||
Fund | 1,147 | ||
Delaware Premium Income Fund | 1,312 | ||
Delaware Total Return Fund | 10,913 |
For the six months ended March 31, 2020, DDLP earned commissions on sales of Class A shares for each Fund as follows:
Fund | Commissions | ||
Delaware Equity Income Fund | $ | 161,713 | |
Delaware Growth and Income | |||
Fund | 679,363 | ||
Delaware Growth Equity Fund | 410,512 | ||
Delaware Opportunity Fund | 518,028 | ||
Delaware Special Situations Fund | 302,828 | ||
Delaware Global Equity Fund | 132,534 | ||
Delaware International Fund | 142,381 | ||
Delaware Floating Rate II Fund | 7,624 | ||
Delaware Fund for Income | 75,324 | ||
Delaware Government Cash Management | |||
Fund | — | ||
Delaware International Opportunities Bond | |||
Fund | 10,385 | ||
Delaware Investment Grade Fund | 72,835 | ||
Delaware Limited Duration Bond Fund | 22,730 | ||
Delaware Strategic Income II Fund | 44,394 | ||
Delaware Covered Call Strategy Fund | 143,643 | ||
Delaware Hedged U.S. Equity | |||
Opportunities Fund | 57,198 | ||
Delaware Premium Income Fund | 35,986 | ||
Delaware Total Return Fund | 452,649 |
326
For the six months ended March 31, 2020, DDLP received gross CDSC commissions on redemptions of each Fund’s Class A shares, and these commissions were entirely used to offset upfront commissions previously paid by DDLP to broker/dealers on sales of those shares. The amounts received were as follows:
Fund | CDSC | ||
Delaware Equity Income Fund | $ | 1,936 | |
Delaware Growth and Income | |||
Fund | 1,956 | ||
Delaware Growth Equity Fund | 4,630 | ||
Delaware Opportunity Fund | 1,756 | ||
Delaware Special Situations Fund | 1,616 | ||
Delaware Global Equity Fund | 800 | ||
Delaware International Fund | 1,075 | ||
Delaware Floating Rate II Fund | 92 | ||
Delaware Fund for Income | 1,141 | ||
Delaware Government Cash Management Fund | 4,479 | ||
Delaware International Opportunities Bond Fund | — | ||
Delaware Investment Grade Fund | 1,269 | ||
Delaware Limited Duration Bond Fund | 40 | ||
Delaware Strategic Income II Fund | 512 | ||
Delaware Covered Call Strategy Fund | 1,098 | ||
Delaware Hedged U.S. Equity Opportunities | |||
Fund | 2,861 | ||
Delaware Premium Income Fund | 1,248 | ||
Delaware Total Return Fund | 2,510 |
Trustees’ fees include expenses accrued by each Fund for each Trustee’s retainer and meeting fees. Certain officers of DMC, DIFSC, and DDLP are officers and/or Trustees of the Trusts. These officers and Trustees are paid no compensation by the Funds.
In addition to the management fees and other expenses of a Fund, a Fund indirectly bears the investment management fees and other expenses of the investment companies (Underlying Funds) in which it may invest. The amount of these fees and expenses incurred indirectly by a Fund will vary based upon the expense and fee levels of the Underlying Funds and the number of shares that are owned of the Underlying Funds at different times.
Cross trades for the six months ended March 31, 2020, were executed by the Funds pursuant to procedures adopted by the Board designed to ensure compliance with Rule 17a-7 under the 1940 Act. Cross trading is the buying or selling of portfolio securities between funds of investment companies, or between a fund of an investment company and another entity, that are or could be considered affiliates by virtue of having a common investment advisor (or affiliated investment advisors), common directors/trustees and/or common officers. At their regularly scheduled meetings, the Board reviews such transactions for compliance with the procedures adopted by the Board. Pursuant to these procedures, for the six months ended March 31, 2020, the following Funds engaged in Rule 17a-7 securities purchases and securities sales, as follows:
Purchases | Sales | |||||
Delaware Fund for Income | $ | 3,211,905 | $ | — | ||
Delaware Total Return Fund | 7,144,171 | 200,047 |
The sales did not result in any realized gain or loss.
*The aggregate contractual waiver period covering this report is from Oct. 4, 2019 through Oct. 31, 2021.
327
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
3. Investments
For the six months ended March 31, 2020, each Fund made purchases and sales of investment securities other than short-term investments as follows:
Purchases | Purchases of | Sales | Sales of | |||||||||
other than | US | other than | US | |||||||||
US government | government | US government | government | |||||||||
Fund | securities | securities | securities | securities | ||||||||
Delaware Equity Income Fund | $ | 393,274,627 | $ | — | $ | 457,116,288 | $ | — | ||||
Delaware Growth and Income Fund | 1,249,135,257 | — | 1,428,948,781 | — | ||||||||
Delaware Growth Equity Fund | 101,042,448 | — | 201,630,749 | — | ||||||||
Delaware Opportunity Fund | 799,858,453 | — | 904,081,927 | — | ||||||||
Delaware Special Situations Fund | 433,670,859 | — | 501,331,262 | — | ||||||||
Delaware Global Equity Fund | 391,620,704 | — | 475,465,025 | — | ||||||||
Delaware International Fund | 421,217,026 | — | 454,940,962 | — | ||||||||
Delaware Floating Rate II Fund | 95,942,062 | — | 128,179,885 | — | ||||||||
Delaware Fund for Income | 423,420,579 | — | 529,061,834 | — | ||||||||
Delaware Government Cash Management | ||||||||||||
Fund | — | — | — | — | ||||||||
Delaware International Opportunities Bond | ||||||||||||
Fund | 98,342,257 | 67,912,961 | 156,305,678 | 66,248,425 | ||||||||
Delaware Investment Grade Fund | 488,474,455 | 56,007,236 | 574,795,478 | 59,976,101 | ||||||||
Delaware Limited Duration Bond Fund | 114,219,504 | 106,162,000 | 244,157,524 | 111,877,495 | ||||||||
Delaware Strategic Income II Fund | 151,461,124 | 70,744,301 | 168,344,061 | 77,903,076 | ||||||||
Delaware Covered Call Strategy Fund | 65,255,896 | — | 130,810,110 | — | ||||||||
Delaware Hedged U.S. Equity | ||||||||||||
Opportunities Fund | 54,493,006 | — | 86,277,353 | — | ||||||||
Delaware Premium Income Fund | 35,645,055 | — | 65,362,205 | — | ||||||||
Delaware Total Return Fund | 740,540,668 | 26,931,244 | 750,916,904 | 125,163,930 |
328
At March 31, 2020, the cost and unrealized appreciation (depreciation) of investments and derivatives for federal income tax purposes have been estimated since the final tax characteristics cannot be determined until fiscal year end. At March 31, 2020, the cost and unrealized appreciation (depreciation) of investments and derivatives for each Fund were as follows:
Net | ||||||||||||||
Aggregate | Aggregate | unrealized | ||||||||||||
unrealized | unrealized | appreciation | ||||||||||||
appreciation | depreciation | (depreciation) | ||||||||||||
Cost of | of | of | of | |||||||||||
Fund | investments | investments | investments | investments | ||||||||||
Delaware Equity Income Fund | $ | 353,702,086 | $ | 13,965,136 | $ | (67,709,376 | ) | $ | (53,744,240 | ) | ||||
Delaware Growth and Income | ||||||||||||||
Fund | 1,152,515,785 | 45,151,107 | (224,930,974 | ) | (179,779,867 | ) | ||||||||
Delaware Growth Equity Fund | 460,337,473 | 85,958,994 | (40,677,598 | ) | 45,281,396 | |||||||||
Delaware Opportunity Fund | 722,846,339 | 21,402,931 | (200,396,226 | ) | (178,993,295 | ) | ||||||||
Delaware Special Situations Fund | 387,399,773 | 3,997,949 | (118,666,596 | ) | (114,668,647 | ) | ||||||||
Delaware Global Equity Fund | 313,543,098 | 9,614,472 | (39,776,084 | ) | (30,161,612 | ) | ||||||||
Delaware International Fund | 354,658,637 | 12,840,399 | (55,602,019 | ) | (42,761,620 | ) | ||||||||
Delaware Floating Rate II Fund | 73,641,688 | 39,370 | (7,358,404 | ) | (7,319,034 | ) | ||||||||
Delaware Fund for Income | 447,718,327 | 1,821,481 | (43,866,768 | ) | (42,045,287 | ) | ||||||||
Delaware Government Cash Management | ||||||||||||||
Fund | 172,290,833 | — | — | — | ||||||||||
Delaware International Opportunities Bond | ||||||||||||||
Fund | 46,604,779 | 951,306 | (1,769,747 | ) | (818,441 | ) | ||||||||
Delaware Investment Grade Fund | 299,474,872 | 2,915,220 | (21,419,675 | ) | (18,504,455 | ) | ||||||||
Delaware Limited Duration Bond Fund | 191,288,337 | 1,505,774 | (3,338,622 | ) | (1,832,848 | ) | ||||||||
Delaware Strategic Income II Fund | 111,513,115 | 524,528 | (13,957,993 | ) | (13,433,465 | ) | ||||||||
Delaware Covered Call Strategy Fund | 175,678,011 | 21,547,692 | (26,876,608 | ) | (5,328,916 | ) | ||||||||
Delaware Hedged U.S. Equity | ||||||||||||||
Opportunities Fund | 77,241,874 | 4,148,794 | (8,771,125 | ) | (4,622,331 | ) | ||||||||
Delaware Premium Income Fund | 103,676,944 | 9,677,265 | (31,258,170 | ) | (21,580,905 | ) | ||||||||
Delaware Total Return Fund | 631,003,203 | 19,530,212 | (100,100,979 | ) | (80,570,767 | ) |
329
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
3. Investments (continued)
At Sept. 30, 2019, capital loss carryforwards subject to no expiration available to offset future realized capital gains, were as follows:
Loss carryforward character | |||||||||
Fund | Short-term | Long-term | Total | ||||||
Delaware Global Equity Fund | $ | 5,175,460 | $ | — | $ | 5,175,460 | |||
Delaware Floating Rate II Fund | 486,325 | 2,807,821 | 3,294,146 | ||||||
Delaware Fund for Income | 7,049,901 | 33,034,947 | 40,084,848 | ||||||
Delaware International Opportunities Bond | |||||||||
Fund | — | 3,918,295 | 3,918,295 | ||||||
Delaware Investment Grade Fund | — | 5,860,069 | 5,860,069 | ||||||
Delaware Limited Duration Bond Fund | 2,054,630 | 8,926,600 | 10,981,230 | ||||||
Delaware Strategic Income II Fund | 951,419 | 2,357,236 | 3,308,655 | ||||||
Delaware Covered Call Strategy Fund | 9,178,030 | — | 9,178,030 |
US GAAP defines fair value as the price that each 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. Each 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, and 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, and fair valued securities) |
Level 3 – | Significant unobservable inputs, including each Fund’s own assumptions used to determine the fair value of investments. (Examples: broker-quoted securities and fair valued securities) |
Level 3 investments are valued using significant unobservable inputs. Each Fund may also use an income-based valuation approach in which the anticipated future cash flows of the investment are
330
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 tables summarize the valuation of each Fund’s investments by fair value hierarchy levels as of March 31, 2020:
Delaware Equity Income Fund | |||||
Securities | Level 1 | ||||
Assets: | |||||
Common Stock | $ | 296,388,408 | |||
Short-Term Investments | 3,569,438 | ||||
Total Value of Securities | $ | 299,957,846 | |||
Delaware Growth and Income Fund | |||||
Securities | Level 1 | ||||
Assets: | |||||
Common Stock | $ | 969,130,016 | |||
Short-Term Investments | 3,605,902 | ||||
Total Value of Securities | $ | 972,735,918 |
331
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
3. Investments (continued)
Delaware Growth Equity Fund | |||||
Securities | Level 1 | ||||
Assets: | |||||
Common Stock | $ | 499,360,135 | |||
Short-Term Investments | 6,258,734 | ||||
Total Value of Securities | $ | 505,618,869 | |||
Delaware Opportunity Fund | |||||
Securities | Level 1 | ||||
Assets: | |||||
Common Stock | $ | 537,927,054 | |||
Short-Term Investments | 5,925,990 | ||||
Total Value of Securities | $ | 543,853,044 | |||
Delaware Special Situations Fund | |||||
Securities | Level 1 | ||||
Assets: | |||||
Common Stock | $ | 269,403,761 | |||
Short-Term Investments | 3,327,365 | ||||
Total Value of Securities | $ | 272,731,126 |
332
Delaware Global Equity Fund | |||||||||||
Securities | Level 1 | Level 2 | Total | ||||||||
Assets: | |||||||||||
Common Stock | |||||||||||
Denmark | — | 15,569,777 | 15,569,777 | ||||||||
France | — | 45,505,233 | 45,505,233 | ||||||||
Germany | — | 15,508,325 | 15,508,325 | ||||||||
Ireland | 3,129,196 | — | 3,129,196 | ||||||||
Japan | — | 44,647,790 | 44,647,790 | ||||||||
Netherlands | — | 15,271,367 | 15,271,367 | ||||||||
Sweden | — | 8,544,817 | 8,544,817 | ||||||||
Switzerland | — | 32,624,978 | 32,624,978 | ||||||||
United Kingdom | — | 12,153,604 | 12,153,604 | ||||||||
United States | 88,661,632 | — | 88,661,632 | ||||||||
Exchange-Traded Funds | 1,320,271 | — | 1,320,271 | ||||||||
Short-Term Investments | 460,310 | — | 460,310 | ||||||||
Total Value of Securities | $ | 93,571,409 | $ | 189,825,891 | $ | 283,397,300 | |||||
Derivatives1 | |||||||||||
Liabilities: | |||||||||||
Foreign Currency Exchange Contracts | $ | — | $ | (15,814 | ) | $ | (15,814 | ) |
1Foreign currency exchange contracts are valued at the unrealized appreciation (depreciation) on the instrument at the period end.
333
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
3. Investments (continued)
Delaware International Fund | |||||||||||
Securities | Level 1 | Level 2 | Total | ||||||||
Assets: | |||||||||||
Common Stock | |||||||||||
Denmark | — | 24,573,769 | 24,573,769 | ||||||||
France | — | 72,009,834 | 72,009,834 | ||||||||
Germany | — | 24,588,249 | 24,588,249 | ||||||||
Ireland | 5,093,501 | — | 5,093,501 | ||||||||
Japan | — | 73,198,160 | 73,198,160 | ||||||||
Netherlands | — | 23,592,202 | 23,592,202 | ||||||||
Sweden | — | 12,626,562 | 12,626,562 | ||||||||
Switzerland | — | 51,778,107 | 51,778,107 | ||||||||
United Kingdom | — | 22,578,108 | 22,578,108 | ||||||||
Exchange-Traded Funds | 1,883,243 | — | 1,883,243 | ||||||||
Total Value of Securities | $ | 6,976,744 | $ | 304,944,991 | $ | 311,921,735 | |||||
Derivatives1 | |||||||||||
Liabilities: | |||||||||||
Foreign Currency Exchange Contracts | $ | — | $ | (24,718 | ) | $ | (24,718 | ) |
1Foreign currency exchange contracts are valued at the unrealized appreciation (depreciation) on the instrument at the period end.
Delaware Floating Rate II Fund | |||||||||
Securities | Level 1 | Level 2 | Total | ||||||
Assets: | |||||||||
Corporate Debt | $ | — | $ | 2,581,508 | $ | 2,581,508 | |||
Loan Agreements | — | 63,022,535 | 63,022,535 | ||||||
Short-Term Investments | 718,611 | — | 718,611 | ||||||
Total Value of Securities | $ | 718,611 | $ | 65,604,043 | $ | 66,322,654 |
334
Delaware Fund for Income | |||||||||
Securities | Level 1 | Level 2 | Total | ||||||
Assets: | |||||||||
Corporate Debt | $ | — | $ | 345,564,039 | $ | 345,564,039 | |||
Loan Agreements | — | 26,585,549 | 26,585,549 | ||||||
Short-Term Investments | 33,523,452 | — | 33,523,452 | ||||||
Total Value of Securities | $ | 33,523,452 | $ | 372,149,588 | $ | 405,673,040 |
Delaware Government Cash Management Fund | |||||
Securities | Level 2 | ||||
Assets: | |||||
Agency Obligations | $ | 10,999,709 | |||
Short-Term Investments | 161,291,124 | ||||
Total Value of Securities | $ | 172,290,833 |
Delaware International Opportunities Bond Fund | ||||||||||||||
Securities | Level 1 | Level 2 | Total | |||||||||||
Assets: | ||||||||||||||
Corporate Debt | $ | — | $ | 4,111,353 | $ | 4,111,353 | ||||||||
Foreign Debt | — | 39,989,865 | 39,989,865 | |||||||||||
US Treasury Obligations | — | 910,068 | 910,068 | |||||||||||
Short-Term Investments | 406,780 | — | 406,780 | |||||||||||
Total Value of Securities | $ | 406,780 | $ | 45,011,286 | $ | 45,418,066 | ||||||||
Derivatives1 | ||||||||||||||
Assets: | ||||||||||||||
Foreign Currency Exchange Contracts | $ | — | $ | 392,404 | $ | 392,404 | ||||||||
Futures Contracts | 108,646 | — | 108,646 | |||||||||||
Liabilities: | ||||||||||||||
Foreign Currency Exchange Contracts | $ | — | $ | (61,616 | ) | $ | (61,616 | ) | ||||||
Futures Contracts | (71,162 | ) | — | (71,162 | ) |
1 | Foreign currency exchange contracts and futures contracts are valued at the unrealized appreciation (depreciation) on the instrument at the period end. |
335
Notes to financial statements
Delaware Group®Equity Funds IV (Trust)
3. Investments (continued)
Delaware Investment Grade Fund | ||||||||||||||
Securities | Level 1 | Level 2 | Level 3 | Total | ||||||||||
Assets: | ||||||||||||||
Corporate Debt | $ | — | $ | 271,522,660 | $ | — | $ | 271,522,660 | ||||||
Loan Agreements | — | 764,063 | — | 764,063 | ||||||||||
Preferred Stock | — | 1,675,962 | — | 1,675,962 | ||||||||||
Short-Term Investments | 6,364,046 | — | — | 6,364,046 | ||||||||||
Total Value of Securities | $ | 6,364,046 | $ | 273,962,685 | $ | — | $ | 280,326,731 | ||||||
Derivatives1 | ||||||||||||||
Assets: | ||||||||||||||
Futures Contracts | $ | 643,686 | $ | — | $ | — | $ | 643,686 |
1 | Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument at the period end. |
Delaware Limited Duration Bond Fund | ||||||||||||||
Securities | Level 1 | Level 2 | Level 3 | Total | ||||||||||
Assets: | ||||||||||||||
Corporate Debt | $ | — | $ | 64,044,073 | $ | — | $ | 64,044,073 | ||||||
Agency, Asset-Backed and Mortgage-Backed | ||||||||||||||
Securities | — | 85,500,741 | — | 85,500,741 | ||||||||||
US Treasury Obligations | — | 23,740,856 | — | 23,740,856 | ||||||||||
Short-Term Investments1 | 1,201,285 | 14,968,534 | — | 16,169,819 | ||||||||||
Total Value of Securities | $ | 1,201,285 | $ | 188,254,204 | $ | — | $ | 189,455,489 |
1 | Security type is valued across multiple levels. Level 1 investments represent exchange-traded investments and Level 2 investments represent investments with observable inputs or matrix-priced investments. The amounts attributed to Level 1 investments and Level 2 investments represent the following percentages of the total market value of these security types: |
Level 1 | Level 2 | Total | |||||||
Short-Term Investments | 7.43 | % | 92.57 | % | 100.00 | % |
336
Delaware Strategic Income II Fund | |||||||||||
Securities | Level 1 | Level 2 | Total | ||||||||
Assets: | |||||||||||
Agency, Asset-Backed and Mortgage-Backed Securities | $ | — | $ | 38,397,483 | $ | 38,397,483 | |||||
Corporate Debt | — | 48,730,798 | 48,730,798 | ||||||||
Loan Agreements | — | 5,097,833 | 5,097,833 | ||||||||
Foreign Debt | — | 4,970,536 | 4,970,536 | ||||||||
Preferred Stock | — | 285,925 | 285,925 | ||||||||
Short-Term Investments | 597,075 | — | 597,075 | ||||||||
Total Value of Securities | $ | 597,075 | $ | 97,482,575 | $ | 98,079,650 | |||||
Derivatives1 | |||||||||||
Assets: | |||||||||||
Liabilities: | |||||||||||
Futures Contracts | (36,984 | ) | — | (36,984 | ) |
1 | Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument at the period end. |
Delaware Covered Call Strategy Fund | ||||||
Securities | Level 1 | |||||
Assets: | ||||||
Common Stock | $ | 176,197,385 | ||||
Short-Term Investments | 6,221,027 | |||||
Total Value of Securities Before Options Written | $ | 182,418,412 | ||||
Liabilities: | ||||||
Options Written | $ | (12,069,317 | ) |
337
Notes to financial statements
Delaware Group®Equity Funds IV (Trust)
3. Investments (continued)
Delaware Hedged U.S. Equity Opportunities Fund | ||||||||||||
Securities | Level 1 | Level 2 | Total | |||||||||
Assets: | ||||||||||||
Common Stock | ||||||||||||
Communication Services | $ | 3,962,582 | $ | — | $ | 3,962,582 | ||||||
Consumer Discretionary | 8,890,129 | 220,381 | 9,110,510 | |||||||||
Consumer Staples | 3,970,986 | 691,585 | 4,662,571 | |||||||||
Energy | 352,494 | — | 352,494 | |||||||||
Financials | 8,094,453 | 75,322 | 8,169,775 | |||||||||
Healthcare | 13,362,646 | — | 13,362,646 | |||||||||
Industrials | 9,864,020 | 65,568 | 9,929,588 | |||||||||
Information Technology | 11,314,332 | 118,953 | 11,433,285 | |||||||||
Materials | 2,146,545 | 62,057 | 2,208,602 | |||||||||
Real Estate | 3,570,712 | — | 3,570,712 | |||||||||
Utilities | 1,439,811 | — | 1,439,811 | |||||||||
Exchange-Traded Funds | 406,454 | — | 406,454 | |||||||||
Options Purchased | 1,173,720 | — | 1,173,720 | |||||||||
Short-Term Investments | 4,413,689 | — | 4,413,689 | |||||||||
Total Value of Securities Before Options Written | $ | 72,962,573 | $ | 1,233,866 | $ | 74,196,439 | ||||||
Liabilities: | ||||||||||||
Options Written | $ | (800,690 | ) | $ | — | $ | (800,690 | ) | ||||
Derivatives1 | ||||||||||||
Assets: | ||||||||||||
Foreign Currency Exchange Contracts | $ | — | $ | 27,821 | $ | 27,821 | ||||||
Futures Contracts | 11,925 | — | 11,925 | |||||||||
Liabilities: | ||||||||||||
Foreign Currency Exchange Contracts | $ | — | $ | (27 | ) | $ | (27 | ) | ||||
Futures Contracts | (815,925 | ) | — | (815,925 | ) |
1 | Foreign currency exchange contracts and futures contracts are valued at the unrealized appreciation (depreciation) on the instrument at the period end. |
338
Delaware Premium Income Fund | ||||||
Securities | Level 1 | |||||
Assets: | ||||||
Common Stock | $ | 91,043,948 | ||||
Short-Term Investments | 2,360,438 | |||||
Total Value of Securities | $ | 93,404,386 | ||||
Liabilities: | ||||||
Options Written | $ | (11,308,347 | ) |
339
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
3. Investments (continued)
Delaware Total Return Fund | ||||||||||||
Securities | Level 1 | Level 2 | Level 3 | Total | ||||||||
Assets: | ||||||||||||
Common Stock | ||||||||||||
Communication Services | $ | 26,158,856 | $ | 1,983,513 | $ | — | $ | 28,142,369 | ||||
Consumer Discretionary | 19,529,251 | 1,611,664 | — | 21,140,915 | ||||||||
Consumer Staples | 23,935,613 | 6,045,632 | — | 29,981,245 | ||||||||
Energy | 8,853,431 | — | — | 8,853,431 | ||||||||
Financials | 40,421,773 | — | 6,840,000 | 47,261,773 | ||||||||
Healthcare | 60,836,319 | 3,268,846 | — | 64,105,165 | ||||||||
Industrials | 24,973,677 | 1,528,374 | — | 26,502,051 | ||||||||
Information Technology | 39,382,182 | — | — | 39,382,182 | ||||||||
Materials | 5,899,300 | 979,056 | — | 6,878,356 | ||||||||
REITs Diversified | 1,701,585 | — | — | 1,701,585 | ||||||||
REITs Healthcare | 2,899,218 | 2,263,107 | — | 5,162,325 | ||||||||
REITs Hotel | 1,971,843 | — | — | 1,971,843 | ||||||||
REITs Industrial | 3,238,560 | — | — | 3,238,560 | ||||||||
REITs Information Technology | 211,871 | — | — | 211,871 | ||||||||
REITs Mall | 349,678 | — | — | 349,678 | ||||||||
REITs Manufactured Housing | 3,234,840 | — | — | 3,234,840 | ||||||||
REITs Multifamily | 16,319,899 | 984,952 | — | 17,304,851 | ||||||||
REITs Office | 1,941,910 | — | — | 1,941,910 | ||||||||
REITs Self-Storage | 881,088 | — | — | 881,088 | ||||||||
REITs Single Tenant | 2,081,372 | — | — | 2,081,372 | ||||||||
REITs Specialty | 744,723 | — | — | 744,723 | ||||||||
Utilities | 9,565,461 | — | — | 9,565,461 | ||||||||
Convertible Preferred Stock1 | 8,939,929 | 4,764,506 | — | 13,704,435 | ||||||||
Exchange-Traded Funds | 6,420,460 | — | — | 6,420,460 | ||||||||
Agency, Asset-Backed and | ||||||||||||
Mortgage-Backed Securities | — | 7,514,048 | — | 7,514,048 | ||||||||
Corporate Debt | — | 138,988,139 | — | 138,988,139 | ||||||||
Loan Agreements | — | 732,113 | — | 732,113 | ||||||||
Municipal Bonds | — | 29,925,653 | — | 29,925,653 | ||||||||
Foreign Debt | — | 7,965,940 | — | 7,965,940 | ||||||||
US Treasury Obligations | — | 1,580,771 | — | 1,580,771 | ||||||||
Preferred Stock | — | 775,936 | — | 775,936 | ||||||||
Short-Term Investments | 22,181,985 | — | — | 22,181,985 | ||||||||
Total Value of Securities | $ | 332,674,824 | $ | 210,912,250 | $ | 6,840,000 | $ | 550,427,074 |
340
Delaware Total Return Fund | |||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Derivatives2 | |||||||||||||||
Assets: | |||||||||||||||
Foreign Currency Exchange Contracts | $ | — | $ | 8,556 | $ | — | $ | 8,556 | |||||||
Liabilities: | |||||||||||||||
Foreign Currency Exchange Contracts | $ | — | $ | (1,168 | ) | $ | — | $ | (1,168 | ) | |||||
Futures Contracts | (118,777 | ) | — | — | (118,777 | ) | |||||||||
Swap Contracts | (11,723 | ) | (14,530 | ) | — | (26,253 | ) |
1 | Security type is valued across multiple levels. Level 1 investments represent exchange-traded investments and Level 2 investments represent investments with observable inputs or matrix-priced investments. The amounts attributed to Level 1 investments and Level 2 investments represent the following percentages of the total market value of these security types: |
Level 1 | Level 2 | Total | ||||
Convertible Preferred Stock | 65.23% | 34.77% | 100.00% |
2 | Foreign currency exchange contracts, futures contracts, and swap contracts are valued at the unrealized appreciation (depreciation) on the instrument at the period end. |
The following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value:
Common Stock | ||||||
Balance as of 9/30/19 | $ | — | ||||
Purchases | 7,200,000 | |||||
Net change in unrealized appreciation (depreciation) | (360,000 | ) | ||||
Balance as of 3/31/20 | $ | 6,840,000 | ||||
Net change in unrealized appreciation (depreciation) | ||||||
from Level 3 investments still held as of 3/31/20 | $ | (360,000 | ) |
Securities valued at zero on the “Schedules of investments” are considered to be Level 3 investments in these tables.
As a result of utilizing international fair value pricing at March 31, 2020, a majority of Delaware Global Equity Fund and Delaware International Fund’s common stock investments were categorized as Level 2.
During the six months ended March 31, 2020, there were no transfers between Level 1 investments, Level 2 investments, or Level 3 investments that had a significant impact to each Fund. This does not include transfers between Level 1 investments and Level 2 investments due to the Funds utilizing international fair value pricing during the period. In accordance with the fair valuation procedures described in Note 1, international fair value pricing of securities in each Fund occurs when market volatility exceeds an established rolling threshold. If the threshold is exceeded on a given date, then prices of international securities (those that traded on exchanges that close at a different time than the time that the Funds’ NAV is determined) are established using a separate pricing feed from a third-party
341
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
3. Investments (continued)
vendor designed to establish a price for each such security as of the time that the Funds’ NAV is determined. Further, international fair value pricing uses other observable market-based inputs in place of the closing exchange price due to the events occurring after the close of the exchange or market on which the investment is principally traded, causing a change in classification between levels. Each Fund’s policy is to recognize transfers between levels based on fair value at the beginning of the reporting period.
A reconciliation of Level 3 investments is presented when each Fund has a significant amount of Level 3 investments at the beginning, interim, or end of the period in relation to each Fund’s net assets. Management has determined not to provide additional disclosure on Level 3 inputs since the Level 3 investments were not considered significant to each Fund’s net assets at the end of the period except for Delaware Total Return Fund. There were no Level 3 investments during the six months ended March 31, 2020 for Delaware Equity Income Fund, Delaware Growth and Income Fund, Delaware Growth Equity Fund, Delaware Opportunity Fund, Delaware Special Situations Fund, Delaware Global Equity Fund, Delaware International Fund, Delaware Floating Rate II Fund, Delaware Fund for Income, Delaware Government Cash Management Fund, Delaware International Opportunities Bond Fund, Delaware Strategic Income II Fund, Delaware Covered Call Strategy Fund, Delaware Hedged U.S. Equity Opportunities Fund and Delaware Premium Income Fund.
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 the 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: (i) the type of security, (ii) the size of the holding, (iii) the initial cost of the security, (iv) the existence of any contractual restrictions of the security’s disposition, (v) the price and extent of public trading in similar securities of the issuer or of comparable companies, (vi) quotations or evaluated prices from broker/dealers and/or pricing services, (vii) information obtained from the issuer, analysts, and/or appropriate stock exchange (for exchange-traded securities), (viii) an analysis of the company’s financial statements, and (ix) 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 for Delaware Total Return Fund are as follows:
Valuation | Unobservable | |||||
Assets | Value | Techniques | Inputs | |||
Fair value cost | ||||||
Common Stock | $6,840,000 | Cost method | adjusted for liquidity |
342
A significant change to the inputs may result in a significant change to the valuation.
4. Capital Shares
Transactions in capital shares were as follows:
Delaware | Delaware | Delaware | ||||||||||||||||
Equity Income Fund | Growth and Income Fund | Growth Equity Fund | ||||||||||||||||
Six months | Year | Six months | Year | Six months | Year | |||||||||||||
ended | ended | ended | ended | ended | ended | |||||||||||||
3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | |||||||||||||
Shares sold: | ||||||||||||||||||
Class A | 1,930,381 | 4,318,513 | 2,513,563 | 5,299,151 | 2,231,463 | 7,533,890 | ||||||||||||
Class B* | — | 9,779 | — | 16,927 | — | 17,259 | ||||||||||||
Institutional Class** | 45,452 | 1,007,631 | 118,472 | 4,759,495 | 1,112,737 | 9,508,471 | ||||||||||||
Class R6*** | 16,921 | 170,775 | 14,859 | 35,949 | 12,213 | 95,065 | ||||||||||||
Shares issued upon reinvestment of dividends and distributions: | ||||||||||||||||||
Class A | 17,872,914 | 7,811,540 | 34,733,647 | 16,609,882 | 4,229,693 | 2,467,703 | ||||||||||||
Class B* | — | 34,733 | — | 131,250 | — | 17,170 | ||||||||||||
Institutional Class** | 41,738 | 1,129,571 | 199,444 | 1,493,783 | 1,150,149 | 826,513 | ||||||||||||
Class R6*** | 52,763 | 33,369 | 135,314 | 97,916 | 32,832 | 27,950 | ||||||||||||
19,960,169 | 14,515,911 | 37,715,299 | 28,444,353 | 8,769,087 | 20,494,021 | |||||||||||||
Shares redeemed: | ||||||||||||||||||
Class A | (11,962,269 | ) | (12,957,709 | ) | (15,533,206 | ) | (15,851,008 | ) | (8,640,800 | ) | (9,937,934 | ) | ||||||
Class B* | — | (281,000 | ) | — | (679,786 | ) | — | (301,167 | ) | |||||||||
Institutional Class** | (129,416 | ) | (9,157,830 | ) | (1,025,628 | ) | (10,952,002 | ) | (4,195,783 | ) | (12,767,501 | ) | ||||||
Class R6*** | (71,314 | ) | (283,093 | ) | (95,496 | ) | (304,391 | ) | (127,513 | ) | (359,535 | ) | ||||||
(12,162,999 | ) | (22,679,632 | ) | (16,654,330 | ) | (27,787,187 | ) | (12,964,096 | ) | (23,366,137 | ) | |||||||
Net increase (decrease) | 7,797,170 | (8,163,721 | ) | 21,060,969 | 657,166 | (4,195,009 | ) | (2,872,116 | ) |
343
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
4. Capital Shares (continued)
Delaware | Delaware | Delaware | ||||||||||||||||
Opportunity Fund | Special Situations Fund | Global Equity Fund | ||||||||||||||||
Six months | Year | Six months | Year | Six months | Year | |||||||||||||
ended | ended | ended | ended | ended | ended | |||||||||||||
3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | |||||||||||||
Shares sold: | ||||||||||||||||||
Class A | 931,165 | 2,344,495 | 794,479 | 2,227,577 | 1,162,715 | 3,761,672 | ||||||||||||
Class B* | — | 7,413 | — | 5,576 | — | 13,695 | ||||||||||||
Institutional | ||||||||||||||||||
Class** | 29,393 | 691,255 | 20,426 | 1,032,850 | 477,859 | 15,755,958 | ||||||||||||
Class R6*** | 7,062 | 17,522 | 5,642 | 25,687 | 19,717 | 46,725 | ||||||||||||
Shares issued | ||||||||||||||||||
upon | ||||||||||||||||||
reinvestment of | ||||||||||||||||||
dividends | ||||||||||||||||||
and | ||||||||||||||||||
distributions: | ||||||||||||||||||
Class A | 9,042,987 | 2,871,812 | 2,586,472 | 3,073,060 | 7,061,434 | 6,812,821 | ||||||||||||
Class B* | — | 29,959 | — | 25,368 | — | 69,696 | ||||||||||||
Institutional | ||||||||||||||||||
Class** | 46,419 | 428,350 | 31,777 | 735,406 | 546,442 | 3,965,640 | ||||||||||||
Class R6*** | 21,109 | 13,787 | 21,330 | 43,308 | 40,587 | 61,926 | ||||||||||||
10,078,135 | 6,404,593 | 3,460,126 | 7,168,832 | 9,308,754 | 30,488,133 | |||||||||||||
Shares | ||||||||||||||||||
redeemed: | ||||||||||||||||||
Class A | (5,100,807 | ) | (5,017,572 | ) | (3,937,732 | ) | (4,110,417 | ) | (7,998,065 | ) | (9,301,139 | ) | ||||||
Class B* | — | (230,205 | ) | — | (139,106 | ) | — | (422,809 | ) | |||||||||
Institutional | ||||||||||||||||||
Class** | (217,589 | ) | (4,336,855 | ) | (409,525 | ) | (5,548,821 | ) | (7,576,207 | ) | (35,292,779 | ) | ||||||
Class R6*** | (36,590 | ) | (106,041 | ) | (41,205 | ) | (206,063 | ) | (63,854 | ) | (345,679 | ) | ||||||
(5,354,986 | ) | (9,690,673 | ) | (4,388,462 | ) | (10,004,407 | ) | (15,638,126 | ) | (45,362,406 | ) | |||||||
Net increase | ||||||||||||||||||
(decrease) | 4,723,149 | (3,286,080 | ) | (928,336 | ) | (2,835,575 | ) | (6,329,372 | ) | (14,874,273 | ) |
344
Delaware | Delaware | Delaware | ||||||||||||||||
International Fund | Floating Rate II Fund | Fund for Income | ||||||||||||||||
Six months | Year | Six months | Year | Six months | Year | |||||||||||||
ended | ended | ended | ended | ended | ended | |||||||||||||
3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | |||||||||||||
Shares sold: | ||||||||||||||||||
Class A | 727,623 | 2,053,028 | 345,129 | 2,065,800 | 4,923,133 | 13,476,860 | ||||||||||||
Class B* | — | 2,681 | — | — | — | 44,612 | ||||||||||||
Institutional Class** | 1,231,942 | 8,826,954 | 601,545 | 5,835,139 | 7,604,211 | 18,487,987 | ||||||||||||
Class R6*** | 4,576 | 22,233 | 4,045 | 334,873 | 203,341 | 7,440,769 | ||||||||||||
Shares issued upon | ||||||||||||||||||
reinvestment of | ||||||||||||||||||
dividends | ||||||||||||||||||
and distributions: | ||||||||||||||||||
Class A | 3,838,262 | 1,218,911 | 126,812 | 274,136 | 3,931,151 | 9,418,798 | ||||||||||||
Class B* | — | 6,043 | — | — | — | 17,139 | ||||||||||||
Institutional Class** | 3,088,953 | 648,458 | 86,094 | 450,372 | 296,489 | 1,141,753 | ||||||||||||
Class R6*** | 20,038 | 13,729 | 796 | 3,167 | 18,533 | 69,202 | ||||||||||||
8,911,394 | 12,792,037 | 1,164,421 | 8,963,487 | 16,976,858 | 50,097,120 | |||||||||||||
Shares redeemed: | ||||||||||||||||||
Class A | (3,755,563 | ) | (3,907,855 | ) | (2,041,459 | ) | (2,704,754 | ) | (33,612,540 | ) | (42,476,056 | ) | ||||||
Class B* | — | (92,547 | ) | — | — | — | (792,185 | ) | ||||||||||
Institutional Class** | (6,308,108 | ) | (5,518,155 | ) | (2,313,972 | ) | (16,951,823 | ) | (3,404,423 | ) | (40,822,238 | ) | ||||||
Class R6*** | (43,338 | ) | (168,329 | ) | (51,031 | ) | (3,582,801 | ) | (14,598,960 | ) | (6,284,488 | ) | ||||||
(10,107,009 | ) | (9,686,886 | ) | (4,406,462 | ) | (23,239,378 | ) | (51,615,923 | ) | (90,374,967 | ) | |||||||
Net increase (decrease) | (1,195,615 | ) | 3,105,151 | (3,242,041 | ) | (14,275,891 | ) | (34,639,065 | ) | (40,277,847 | ) |
345
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
4. Capital Shares (continued)
Delaware | Delaware | |||||||||||||||||
Government Cash | International Opportunities | Delaware | ||||||||||||||||
Management Fund | Bond Fund | Investment Grade Fund | ||||||||||||||||
Six months | Year | Six months | Year | Six months | Year | |||||||||||||
ended | ended | ended | ended | ended | ended | |||||||||||||
3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | |||||||||||||
Shares sold: | ||||||||||||||||||
Class A | 198,085,182 | 243,937,757 | 152,339 | 485,499 | 1,189,954 | 3,829,184 | ||||||||||||
Class B* | — | 119,589 | — | — | — | 11,272 | ||||||||||||
Institutional | ||||||||||||||||||
Class** | — | — | 552,413 | 4,176,296 | 1,095,373 | 4,017,946 | ||||||||||||
Class R6*** | 10,021 | — | 2,876 | 1,130,170 | 13,659 | 430,263 | ||||||||||||
Shares issued | ||||||||||||||||||
upon | ||||||||||||||||||
reinvestment of | ||||||||||||||||||
dividends | ||||||||||||||||||
and | ||||||||||||||||||
distributions: | ||||||||||||||||||
Class A | 842,900 | 2,848,143 | 8,527 | 105,950 | 1,578,719 | 1,301,394 | ||||||||||||
Class B* | — | 1,039 | — | — | — | 2,845 | ||||||||||||
Institutional | ||||||||||||||||||
Class** | — | — | 17,898 | 188,480 | 20,783 | 562,605 | ||||||||||||
Class R6*** | 42 | 18 | 90 | 948 | 6,376 | 5,680 | ||||||||||||
198,938,145 | 246,906,546 | 734,143 | 6,087,343 | 3,904,864 | 10,161,189 | |||||||||||||
Shares | ||||||||||||||||||
redeemed: | ||||||||||||||||||
Class A | (168,644,264 | ) | (231,576,163 | ) | (1,317,826 | ) | (1,748,393 | ) | (8,493,958 | ) | (12,223,963 | ) | ||||||
Class B* | — | (222,047 | ) | — | — | — | (175,762 | ) | ||||||||||
Institutional | ||||||||||||||||||
Class** | — | — | (4,428,050 | ) | (8,430,675 | ) | (2,023,011 | ) | (22,966,280 | ) | ||||||||
Class R6*** | (1,039 | ) | — | (1,590,265 | ) | (641,884 | ) | (2,237,319 | ) | (724,416 | ) | |||||||
(168,645,303 | ) | (231,798,210 | ) | (7,336,141 | ) | (10,820,952 | ) | (12,754,288 | ) | (36,090,421 | ) | |||||||
Net increase | ||||||||||||||||||
(decrease) | 30,292,842 | 15,108,336 | (6,601,998 | ) | (4,733,609 | ) | (8,849,424 | ) | (25,929,232 | ) |
346
Delaware | Delaware | |||||||||||||||||
Limited Duration Bond | Delaware | Covered Call Strategy | ||||||||||||||||
Fund | Strategic Income II Fund | Fund | ||||||||||||||||
Six months | Year | Six months | Year | Six months | Year | |||||||||||||
ended | ended | ended | ended | ended | ended | |||||||||||||
3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | |||||||||||||
Shares sold: | ||||||||||||||||||
Class A | 1,142,326 | 4,079,233 | 924,181 | 2,087,007 | 1,236,649 | 3,985,940 | ||||||||||||
Institutional Class** | 488,350 | 19,055,875 | 15,625 | 49,781 | 595,256 | 4,880,542 | ||||||||||||
Class R6*** | 3,661 | 3,860,217 | — | — | 5,416 | 28,045 | ||||||||||||
Shares issued upon | ||||||||||||||||||
reinvestment of | ||||||||||||||||||
dividends | ||||||||||||||||||
and distributions: | ||||||||||||||||||
Class A | 255,429 | 682,501 | 219,092 | 498,900 | 108,164 | 218,650 | ||||||||||||
Institutional Class** | 40,042 | 222,074 | 1,017 | 2,842 | 37,080 | 99,537 | ||||||||||||
Class R6*** | 771 | 2,338 | — | — | 1,030 | 3,036 | ||||||||||||
1,930,579 | 27,902,238 | 1,159,915 | 2,638,530 | 1,983,595 | 9,215,750 | |||||||||||||
Shares redeemed: | ||||||||||||||||||
Class A | (5,416,119 | ) | (8,074,919 | ) | (3,619,529 | ) | (4,409,875 | ) | (5,374,533 | ) | (6,306,714 | ) | ||||||
Institutional Class** | (5,422,526 | ) | (17,117,131 | ) | (33,755 | ) | (74,483 | ) | (1,798,377 | ) | (9,039,296 | ) | ||||||
Class R6*** | (5,089,253 | ) | (2,948,547 | ) | — | — | (37,024 | ) | (153,194 | ) | ||||||||
(15,927,898 | ) | (28,140,597 | ) | (3,653,284 | ) | (4,484,358 | ) | (7,209,934 | ) | (15,499,204 | ) | |||||||
Net decrease | (13,997,319 | ) | (238,359 | ) | (2,493,369 | ) | (1,845,828 | ) | (5,226,339 | ) | (6,283,454 | ) |
347
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
4. Capital Shares (continued)
Delaware | ||||||||||||||||||
Hedged U.S. Equity | Delaware | Delaware | ||||||||||||||||
Opportunities Fund | Premium Income Fund | Total Return Fund | ||||||||||||||||
Six months | Year | Six months | Year | Six months | Year | |||||||||||||
ended | ended | ended | ended | ended | ended | |||||||||||||
3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | 3/31/20 | 9/30/19 | |||||||||||||
Shares sold: | ||||||||||||||||||
Class A | 437,019 | 2,150,509 | 598,069 | 3,248,351 | 1,510,392 | 3,777,984 | ||||||||||||
Class B* | — | — | — | — | — | 20,382 | ||||||||||||
Institutional Class** | 264,756 | 13,176,303 | 1,200,757 | 7,684,713 | 33,069 | 36,742 | ||||||||||||
Class R6*** | 6,016 | 21,405 | 3,952 | 2,832 | 6,892 | 18,636 | ||||||||||||
Shares issued upon | ||||||||||||||||||
reinvestment of | ||||||||||||||||||
dividends | ||||||||||||||||||
and distributions: | ||||||||||||||||||
Class A | 1,008,606 | 119,206 | 124,581 | 199,417 | 9,498,345 | 4,657,392 | ||||||||||||
Class B* | — | — | — | — | — | 28,672 | ||||||||||||
Institutional Class** | 402,426 | 164,038 | 147,756 | 199,392 | 10,679 | 5,359 | ||||||||||||
Class R6*** | 4,534 | 896 | 392 | 2,970 | 22,266 | 181,206 | ||||||||||||
2,123,357 | 15,632,357 | 2,075,507 | 11,337,675 | 11,081,643 | 8,726,373 | |||||||||||||
Shares redeemed: | ||||||||||||||||||
Class A | (1,864,050 | ) | (1,540,989 | ) | (2,210,845 | ) | (1,512,611 | ) | (9,262,036 | ) | (10,344,862 | ) | ||||||
Class B* | — | — | — | — | — | (353,408 | ) | |||||||||||
Institutional Class** | (2,234,698 | ) | (17,694,623 | ) | (2,645,423 | ) | (4,532,696 | ) | (65,349 | ) | (30,566 | ) | ||||||
Class R6*** | (26,934 | ) | (42,838 | ) | (1,247 | ) | (382,162 | ) | (47,207 | ) | (1,792,261 | ) | ||||||
(4,125,682 | ) | (19,278,450 | ) | (4,857,515 | ) | (6,427,469 | ) | (9,374,592 | ) | (12,521,097 | ) | |||||||
Net increase (decrease) | (2,002,325 | ) | (3,646,093 | ) | (2,782,008 | ) | 4,910,206 | 1,707,051 | (3,794,724 | ) |
348
All Class B shares converted into Class A shares on June 14, 2019. These transactions are included as subscriptions and redemptions in the tables on the previous pages and the “Statements of changes in net assets.” The share transactions associated with the conversion are as follows:
Year ended 9/30/19 | ||||||
Class B | Class A | |||||
Shares | Shares | Value | ||||
Delaware Equity Income Fund | 231,179 | 225,289 | $2,122,225 | |||
Delaware Growth and Income Fund | 542,744 | 492,479 | 9,465,453 | |||
Delaware Growth Equity Fund | 232,779 | 188,891 | 2,274,251 | |||
Delaware Opportunity Fund | 185,936 | 136,323 | 4,981,232 | |||
Delaware Special Situations Fund | 114,318 | 79,647 | 1,961,695 | |||
Delaware Global Equity Fund | 350,438 | 256,571 | 1,867,835 | |||
Delaware International Fund | 74,800 | 68,624 | 1,047,200 | |||
Delaware Fund for Income | 614,684 | 614,684 | 1,493,683 | |||
Delaware Government Cash Management Fund | 139,584 | 139,584 | 139,584 | |||
Delaware Investment Grade Fund | 147,125 | 146,512 | 1,406,515 | |||
Delaware Total Return Fund | 285,193 | 279,964 | 5,190,520 |
349
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
4. Capital Shares (continued)
Certain shareholders may exchange shares of one class for shares of another class in the same Fund. These exchange transactions are included as subscriptions and redemptions in the tables on the previous pages and the “Statements of changes in net assets.” For the six months ended March 31, 2020, the Funds had the following exchange transactions:
Six months ended | |||||||
3/31/20 | |||||||
Exchange | Exchange | ||||||
Redemptions | Subscriptions | ||||||
Institutional | |||||||
Class A | Class | ||||||
Shares | Shares | Value | |||||
Delaware Equity Income Fund | 45,103 | 44,785 | $ | 348,357 | |||
Delaware Growth and Income Fund | 62,518 | 62,327 | 1,026,685 | ||||
Delaware Growth Equity Fund | 24,824 | 24,239 | 301,071 | ||||
Delaware Opportunity Fund | 25,374 | 24,519 | 788,134 | ||||
Delaware Special Situations Fund | 10,708 | 10,483 | 235,825 | ||||
Delaware Global Equity Fund | 64,866 | 62,299 | 417,670 | ||||
Delaware International Fund | 6,923 | 6,764 | 95,987 | ||||
Delaware Floating Rate II Fund | 3,739 | 3,746 | 33,790 | ||||
Delaware Fund for Income | 251,433 | 253,703 | 603,345 | ||||
Delaware Investment Grade Fund | 29,359 | 29,202 | 284,142 | ||||
Delaware Limited Duration Bond Fund | 9,032 | 9,005 | 83,978 | ||||
Delaware Strategic Income II Fund | 5,521 | 5,525 | 52,234 | ||||
Delaware Covered Call Strategy Fund | 32,207 | 32,284 | 385,280 | ||||
Delaware Hedged U.S. Equity Opportunities Fund | 3,419 | 3,384 | 43,077 | ||||
Delaware Premium Income Fund | 39,458 | 39,379 | 382,888 | ||||
Delaware Total Return Fund | 33,177 | 33,045 | 580,408 |
Delaware International Opportunities Bond Fund and Delaware Government Cash Management Fund did not have any exchange transactions for the six months ended March 31, 2020.
* All Class B shares were converted into Class A shares on June 14, 2019.
** On Oct. 4, 2019, Advisor Class shares were reorganized into Institutional Class shares.
*** On Oct. 4, 2019, Institutional Class shares were reorganized into Class R6 shares.
350
5. Line of Credit
On Nov. 4, 2019, each Fund, along with certain other funds in the Delaware Funds (Participants), is a participant in a $250,000,000 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 are charged an annual commitment fee of 0.15%, which is allocated across the Participants based on a weighted average of the respective net assets of each Participant. The Participants are permitted to borrow up to a maximum of one-third of their net assets under the agreement. Each Participant is individually, and not jointly, liable for its particular advances, if any, under the line of credit. The line of credit available under the agreement expires on Nov. 2, 2020.
The Funds had no amounts outstanding as of March 31, 2020, or at any time during the period then ended.
6. Derivatives
US 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— Each Fund may enter into foreign currency exchange contracts and foreign cross currency exchange contracts as a way of managing foreign exchange rate risk. Each Fund may enter into these contracts to fix the US 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. Each Fund may also use these contracts to hedge the US dollar value of securities it already owns that are denominated in foreign currencies. In addition, each 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, each Fund could be exposed to risks if the counterparties to the contracts are unable to meet the terms of their contracts. Each 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 each Fund and the counterparty and by the posting of collateral by the counterparty to the Fund to cover each Fund’s exposure to the counterparty.
During the six months ended March 31, 2020, Delaware Global Equity Fund and Delaware International Fund entered into foreign currency exchange contracts and foreign cross currency contracts in order to fix the US dollar value of a security between the trade date and settlement date. Delaware Hedged U.S. Equity Opportunities Bond Fund, Delaware International Opportunities Bond Fund and Delaware Total Return Fund entered into foreign currency exchange contracts and foreign cross currency contracts to
351
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
6. Derivatives (continued)
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 contract and the price at which the agreement is made. The Funds may use futures in the normal course of pursuing its investment objective. The Funds may invest in futures contracts to hedge its existing portfolio securities against fluctuations in fair value caused by changes in prevailing market interest rates. Upon entering into a futures contract, the Funds deposit cash or pledge US 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 Funds as unrealized gains or losses until the contracts are closed. When the contracts are closed, the Funds record 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 Funds because futures are exchange-traded and the exchange’s clearinghouse, as counterparty to all exchange-traded futures, guarantees against default. Delaware International Opportunities Bond Fund posted $21,533, Delaware Investment Grade Fund posted $213,675, Delaware Strategic Income II Fund posted $28,490, Delaware Hedged U.S. Equity Opportunities Bond Fund posted $2,006,226 and Delaware Total Return Fund posted $50,875 cash collateral as margin for open futures contracts.
During the six months ended March 31, 2020, Delaware International Opportunities Bond Fund, Delaware Investment Grade Fund, Delaware Strategic Income II Fund, Delaware Hedged U.S. Equity Opportunities Bond Fund and Delaware Total Return Fund invested in futures contracts to hedge its existing portfolio securities against fluctuations in value caused by changes in interest rates or market conditions.
Options Contracts— During the six months ended March 31, 2020, the Funds entered into options contracts in the normal course of pursuing their investment objective. Each 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; 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. Each Fund may buy or write call or put options on securities, futures, swaps, swaptions, financial indices, and foreign currencies. When each 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 each 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 each 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
352
underlying security in determining whether each Fund has a realized gain or loss. If a put option is exercised, the premium reduces the cost basis of the securities purchased by each Fund. Each 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, each 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.
During the six months ended March 31, 2020, Delaware International Opportunities Bond Fund, Delaware Covered Call Strategy Fund, Delaware Hedged U.S. Equity Opportunities Fund, and Delaware Premium Income Fund used options contracts to manage the Funds’ exposure to changes in securities prices caused by interest rates or market conditions. In addition, Delaware Covered Call Strategy Fund and Delaware Premium Income Fund used options contracts to receive premiums for writing options and to protect the value of portfolio securities.
Swap Contracts— Delaware Total Return Fund enters into CDS contracts in the normal course of pursuing its investment objective. The Fund entered into CDS contracts in order to hedge against a credit event. 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. In addition, an upfront payment may be made or received by Delaware Total Return 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 March 31, 2020, Delaware Total Return 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. For the six months ended March 31, 2020, the Fund did not enter into any contracts as a seller of protection. Initial margin and variation margin are posted to central counterparties for centrally cleared CDS basket trades, as determined by the applicable central counterparty.
353
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
6. Derivatives (continued)
CDS contracts may involve greater risks than if Delaware Total Return 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.
Swaps Generally. For centrally cleared swaps, 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 by Delaware Total Return Fund as unrealized gains or losses until the contracts are closed. When the contracts are closed, Delaware Total Return 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. The value of open swaps may differ from that which would be realized in the event Delaware Total Return 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 “Schedules of investments.”
Fair values of derivative instruments as of March 31, 2020 were as follows:
Delaware International Opportunities Bond Fund | |||||||||||||||
Asset Derivatives Fair Value | |||||||||||||||
Currency | Interest Rate | ||||||||||||||
Statement of Assets and Liabilities Location | Contracts | Contracts | Total | ||||||||||||
Unrealized appreciation on foreign currency exchange | |||||||||||||||
contracts | $ | 392,404 | $ | — | $ | 392,404 | |||||||||
Variation margin due from broker on futures contracts* | — | 108,646 | 108,646 | ||||||||||||
Total | $ | 392,404 | $ | 108,646 | $ | 501,050 | |||||||||
Delaware International Opportunities Bond Fund | |||||||||||||||
Liability Derivatives Fair Value | |||||||||||||||
Currency | Interest Rate | ||||||||||||||
Statement of Assets and Liabilities Location | Contracts | Contracts | Total | ||||||||||||
Unrealized depreciation on foreign currency exchange | |||||||||||||||
contracts | $ | 61,616 | $ | — | $ | 61,616 | |||||||||
Variation margin due to broker on futures contracts* | — | 71,162 | 71,162 | ||||||||||||
Total | $ | 61,616 | $ | 71,162 | $ | 132,778 |
354
Delaware Hedged U.S. Equity Opportunities Fund | |||||||||
Asset Derivatives Fair Value | |||||||||
Currency | Equity | ||||||||
Statement of Assets and Liabilities Location | Contracts | Contracts | Total | ||||||
Unrealized appreciation on foreign currency exchange | |||||||||
contracts | $ | 27,821 | $ | — | $ | 27,821 | |||
Variation margin due from broker on futures contracts* | — | 11,925 | 11,925 | ||||||
Total | $ | 27,821 | $ | 11,925 | $ | 39,746 |
Delaware Hedged U.S. Equity Opportunities Fund | ||||||||||||||
Liability Derivatives Fair Value | ||||||||||||||
Currency | Equity | |||||||||||||
Statement of Assets and Liabilities Location | Contracts | Contracts | Total | |||||||||||
Unrealized depreciation on foreign currency exchange | ||||||||||||||
contracts | $ | (27 | ) | $ | — | $ | (27 | ) | ||||||
Variation margin due to broker on futures contracts* | — | (815,925 | ) | (815,925 | ) | |||||||||
Options written, at value | — | (800,690 | ) | (800,690 | ) | |||||||||
Total | $ | (27 | ) | $ | (1,616,615 | ) | $ | (1,616,642 | ) |
Delaware Total Return Fund | ||
Asset Derivatives Fair Value | ||
Currency | ||
Statement of Assets and Liabilities Location | Contracts | |
Unrealized appreciation on foreign currency exchange contracts | $8,556 |
Delaware Total Return Fund | ||||||||||||||||
Liability Derivatives Fair Value | ||||||||||||||||
Interest | ||||||||||||||||
Currency | Rate | Credit | ||||||||||||||
Statement of Assets and Liabilities Location | Contracts | Contracts | Contracts | Total | ||||||||||||
Unrealized depreciation on foreign currency exchange | ||||||||||||||||
contracts | $ | (1,168 | ) | $ | — | $ | — | $ | (1,168 | ) | ||||||
Variation margin due to broker on futures contracts* | — | (118,777 | ) | — | (118,777 | ) | ||||||||||
Unrealized depreciation on credit default swap contracts | — | — | (26,253 | ) | (26,253 | ) | ||||||||||
Total | $ | (1,168 | ) | $ | (118,777 | ) | $ | (26,253 | ) | $ | (146,198 | ) |
*Includes cumulative appreciation (depreciation) of futures contracts from the date the contracts were opened through March 31, 2020. Only current day variation margin is reported on the “Statements of assets and liabilities.”
355
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
6. Derivatives (continued)
The effect of derivative instruments on the Delaware International Opportunities Bond Fund’s “Statements of operations” for the six months ended March 31, 2020 was as follows:
Net Realized Gain (Loss) on: | |||||||||||||||
Foreign | |||||||||||||||
Currency | |||||||||||||||
Exchange | Futures | Options | |||||||||||||
Contracts | Contracts | Purchased | Total | ||||||||||||
Currency contracts | $ | (1,304,570 | ) | $ | — | $ | — | $ | (1,304,570 | ) | |||||
Equity contracts | — | 211,219 | 211,219 | ||||||||||||
Interest rate contracts | — | (7,394 | ) | — | (7,394 | ) | |||||||||
Total | $ | (1,304,570 | ) | $ | (7,394 | ) | $ | 211,219 | $ | (1,100,745 | ) |
The effect of derivative instruments on the Delaware Hedged U.S. Equity Opportunities Fund’s “Statements of operations” for the six months ended March 31, 2020 was as follows:
Net Realized Gain (Loss) on: | ||||||||||||||||
Foreign | ||||||||||||||||
Currency | ||||||||||||||||
Exchange | Futures | Options | Options | |||||||||||||
Contracts | Contracts | Purchased | Written | Total | ||||||||||||
Currency contracts | $ | 43,323 | $ | — | $ | — | $ | — | $ | 43,323 | ||||||
Equity contracts | — | 4,203,335 | 3,014,405 | (2,172,349 | ) | 5,045,391 | ||||||||||
Total | $ | 43,323 | $ | 4,203,335 | $ | 3,014,405 | $ | (2,172,349 | ) | $ | 5,088,714 |
The effect of derivative instruments on the Delaware Total Return Fund’s “Statements of operations” for the six months ended March 31, 2020 was as follows:
Net Realized Gain (Loss) on: | |||||||||||||||
Foreign | |||||||||||||||
Currency | |||||||||||||||
Exchange | Futures | Swap | |||||||||||||
Contracts | Contracts | Contracts | Total | ||||||||||||
Currency contracts | $ | (91,936 | ) | $ | — | $ | — | $ | (91,936 | ) | |||||
Interest rate contracts | — | (17,946 | ) | — | (17,946 | ) | |||||||||
Equity contracts | — | (223,589 | ) | — | (223,589 | ) | |||||||||
Credit contracts | — | — | 247,262 | 247,262 | |||||||||||
Total | $ | (91,936 | ) | $ | (241,535 | ) | $ | 247,262 | $ | (86,209 | ) |
356
The effect of derivative instruments on the Delaware International Opportunities Bond Fund’s “Statements of operations” for the six months ended March 31, 2020 was follows:
Net Change in Unrealized Appreciation (Depreciation) of: | |||||||||
Foreign | |||||||||
Currency | |||||||||
Exchange | Futures | ||||||||
Contracts | Contracts | Total | |||||||
Currency contracts | $ | 1,312,828 | $ | — | $ | 1,312,828 | |||
Interest rate contracts | — | 37,484 | 37,484 | ||||||
Total | $ | 1,312,828 | $ | 37,484 | $ | 1,350,312 |
The effect of derivative instruments on the Delaware Hedged U.S. Equity Opportunities Fund’s “Statements of operations” for the six months ended March 31, 2020 was follows:
Net Change in Unrealized Appreciation (Depreciation) of: | |||||||||||||||||||||
Foreign | |||||||||||||||||||||
Currency | |||||||||||||||||||||
Exchange | Futures | Options | Options | ||||||||||||||||||
Contracts | Contracts | Purchased | Written | Total | |||||||||||||||||
Currency contracts | $ | 7,771 | $ | — | $ | — | $ | — | $ | 7,771 | |||||||||||
Equity contracts | — | (969,560 | ) | (62,987 | ) | (392,280 | ) | (1,424,827 | ) | ||||||||||||
Total | $ | 7,771 | $ | (969,560 | ) | $ | (62,987 | ) | $ | (392,280 | ) | $ | (1,417,056 | ) |
The effect of derivative instruments on the Delaware Total Return Fund’s “Statements of operations” for the six months ended March 31, 2020 was follows:
Net Change in Unrealized Appreciation (Depreciation) of: | |||||||||||||||||
Foreign | |||||||||||||||||
Currency | |||||||||||||||||
Exchange | Futures | Swap | |||||||||||||||
Contracts | Contracts | Contracts | Total | ||||||||||||||
Credit contracts | $ | — | $ | — | $ | (26,761 | ) | $ | (26,761 | ) | |||||||
Currency contracts | 7,388 | — | — | 7,388 | |||||||||||||
Interest rate contracts | — | (118,777 | ) | — | (118,777 | ) | |||||||||||
Total | $ | 7,388 | $ | (118,777 | ) | $ | (26,761 | ) | $ | (138,150 | ) |
During the six months ended March 31, 2020, Delaware Global Equity Fund and Delaware International Fund experienced net realized and unrealized gains or losses attributable to foreign currency holdings, which are disclosed on the “Statements of assets and liabilities” and/or “Statements of operations.”
357
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
6. Derivatives (continued)
During the six months ended March 31, 2020, Delaware Investment Grade Fund and Delaware Strategic Income II Fund experienced net realized and unrealized gains or losses attributable to futures contract holdings, which are disclosed on the “Statements of assets and liabilities” and/or “Statements of operations.”
During the six months ended March 31, 2020, Delaware Covered Call Strategy Fund and Delaware Premium Income Fund experienced net realized and unrealized gains or losses attributable to options contracts, which are disclosed on the “Statements of assets and liabilities” and/or “Statements of operations.”
The table below summarizes the average balance of derivative holdings by each Fund during the six months ended March 31, 2020:
Long Derivatives Volume | ||||||||||||||||||||
Foreign currency | ||||||||||||||||||||
exchange contracts | Futures contracts | Purchased Options contracts | CDS contracts | |||||||||||||||||
(average cost) | (average notional value) | (average notional value) | (average notional value)* | |||||||||||||||||
Delaware Global | ||||||||||||||||||||
Equity Fund | $ | 9,524,441 | $ | — | $ | — | $ | — | ||||||||||||
Delaware | ||||||||||||||||||||
International Fund | 60,990,508 | — | — | — | ||||||||||||||||
Delaware | ||||||||||||||||||||
International | ||||||||||||||||||||
Opportunities | ||||||||||||||||||||
Bond Fund | 888,828,660 | 8,945,253 | 70,533 | — | ||||||||||||||||
Delaware Investment | ||||||||||||||||||||
Grade Fund | — | 9,133,524 | — | — | ||||||||||||||||
Delaware Strategic | ||||||||||||||||||||
Income II Fund | — | 711,296 | — | — | ||||||||||||||||
Delaware Hedged | ||||||||||||||||||||
U.S. Equity | ||||||||||||||||||||
Opportunities | ||||||||||||||||||||
Fund | 5,844,070 | — | 1,363,283 | — | ||||||||||||||||
Delaware Total | ||||||||||||||||||||
Return Fund | 953,677 | 128,888 | — | 8,751 |
358
Short Derivatives Volume | |||||||||||||||
Foreign currency | Written | ||||||||||||||
exchange contracts | Futures contracts | Options contracts | |||||||||||||
(average cost) | (average notional value) | (average notional value) | |||||||||||||
Delaware Global | |||||||||||||||
Equity Fund | $ | 51,507,165 | $ | — | $ | — | |||||||||
Delaware | |||||||||||||||
International Fund | 11,041,244 | — | — | ||||||||||||
Delaware | |||||||||||||||
International | |||||||||||||||
Opportunities | |||||||||||||||
Bond Fund | 69,424,934 | 3,249,401 | — | ||||||||||||
Delaware Strategic | |||||||||||||||
Income II Fund | — | 634,880 | — | ||||||||||||
Delaware Covered | |||||||||||||||
Call Strategy Fund | — | — | 9,081,531 | ||||||||||||
Delaware Hedged | |||||||||||||||
U.S. Equity | |||||||||||||||
Opportunities | |||||||||||||||
Fund | 14,206,267 | 18,188,429 | 776,159 | ||||||||||||
Delaware Premium | |||||||||||||||
Fund | — | — | 23,747,773 | ||||||||||||
Delaware Total | |||||||||||||||
Return Fund | 4,663,395 | 1,116,137 | — |
7. Offsetting
Each Fund entered into an International Swaps and Derivatives Association, Inc. Master Agreement (ISDA Master Agreement) or a similar agreement with certain of its derivative contract counterparties in order to better define its contractual rights and to secure rights that will help each Fund mitigate its counterparty risk. An ISDA Master Agreement is a bilateral agreement between each 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, each 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 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 Funds do not offset derivative assets and derivative liabilities that are subject to netting arrangements on the “Statements of assets and liabilities.”
At March 31, 2020, the Funds had the following assets and liabilities subject to offsetting provisions:
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Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
7. Offsetting (continued)
Offsetting of Financial Assets and Liabilities and Derivative Assets and Liabilities
Delaware Global Equity Fund | ||||||||||||
Gross Value of | Gross Value of | |||||||||||
Counterparty | Derivative Asset | Derivative Liability | Net Position | |||||||||
The Bank of New York Mellon | $— | $ | (15,814 | ) | $ | (15,814 | ) |
Fair Value of | Fair Value of | |||||||||||||||||||||||
Non-Cash | Cash Collateral | Non-Cash | Cash Collateral | Net | ||||||||||||||||||||
Counterparty | Net Position | Collateral Received | Received(a) | Collateral Pledged | Pledged | Exposure(b) | ||||||||||||||||||
The Bank of New | ||||||||||||||||||||||||
York Mellon | $ | (15,814 | ) | $— | $— | $— | $— | $ | (15,814 | ) |
Delaware International Fund | ||||||||||||||
Gross Value of | Gross Value of | |||||||||||||
Counterparty | Derivative Asset | Derivative Liability | Net Position | |||||||||||
The Bank of New York Mellon | $— | $ | (24,718 | ) | $ | (24,718 | ) |
Fair Value of | Fair Value of | |||||||||||||||||||||||
Non-Cash | Cash Collateral | Non-Cash | Cash Collateral | Net | ||||||||||||||||||||
Counterparty | Net Position | Collateral Received | Received(a) | Collateral Pledged | Pledged | Exposure(b) | ||||||||||||||||||
The Bank of New | ||||||||||||||||||||||||
York Mellon | $ | (24,718 | ) | $— | $— | $— | $— | $ | (24,718 | ) |
Delaware International Opportunities Bond Fund | |||||||||||||||
Gross Value of | Gross Value of | ||||||||||||||
Counterparty | Derivative Asset | Derivative Liability | Net Position | ||||||||||||
JPMorgan Chase Bank | $ | 97,257 | $ | (21,788 | ) | $ | 75,469 | ||||||||
TD Bank | 295,141 | (39,717 | ) | 255,424 | |||||||||||
The Bank of New York Mellon | 6 | (111 | ) | (105 | ) | ||||||||||
Total | $ | 392,404 | $ | (61,616 | ) | $ | 330,788 |
Fair Value of | Fair Value of | |||||||||||||||||||||||||||
Non-Cash | Cash Collateral | Non-Cash | Cash Collateral | Net | ||||||||||||||||||||||||
Counterparty | Net Position | Collateral Received | Received(a) | Collateral Pledged | Pledged | Exposure(b) | ||||||||||||||||||||||
JPMorgan Chase | ||||||||||||||||||||||||||||
Bank | $ | 75,469 | $ | — | $ | — | $ | — | — | $ | 75,469 | |||||||||||||||||
TD Bank | 255,424 | — | — | — | — | 255,424 | ||||||||||||||||||||||
The Bank of New | ||||||||||||||||||||||||||||
York Mellon | (105 | ) | — | — | — | — | (105 | ) | ||||||||||||||||||||
Total | $ | 330,788 | $ | — | $ | — | $ | — | $ | — | $ | 330,788 |
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Delaware Hedged U.S. Equity Opportunities Fund | ||||||||||||||||
Gross Value of | Gross Value of | |||||||||||||||
Counterparty | Derivative Asset | Derivative Liability | Net Position | |||||||||||||
Bank of Montreal | $ | 13,390 | $ | — | $ | 13,390 | ||||||||||
Morgan Stanley Capital | 14,359 | — | 14,359 | |||||||||||||
The Bank of New York Mellon | 72 | (27 | ) | 45 | ||||||||||||
Total | $ | 27,821 | $ | (27 | ) | $ | 27,794 |
Fair Value of | Fair Value of | |||||||||||||||||||||||||||||
Non-Cash | Cash Collateral | Non-Cash | Cash Collateral | Net | ||||||||||||||||||||||||||
Counterparty | Net Position | Collateral Received | Received(a) | Collateral Pledged | Pledged | Exposure(b) | ||||||||||||||||||||||||
Bank of Montreal | $ | 13,390 | $ | — | $ | — | $ | — | — | $ | 13,390 | |||||||||||||||||||
Morgan Stanley | ||||||||||||||||||||||||||||||
Capital | 14,359 | — | — | — | — | 14,359 | ||||||||||||||||||||||||
The Bank of New | ||||||||||||||||||||||||||||||
York Mellon | 45 | — | — | — | — | 45 | ||||||||||||||||||||||||
Total | $ | 27,794 | $ | — | $ | — | $ | — | $ | — | $ | 27,794 |
Delaware Total Return Fund | |||||||||||||||||
Gross Value of | Gross Value of | ||||||||||||||||
Counterparty | Derivative Asset | Derivative Liability | Net Position | ||||||||||||||
JPMorgan Chase Bank | $ | 8,556 | $ | (26,253 | ) | $ | (17,697 | ) | |||||||||
The Bank of New York Mellon | — | (1,168 | ) | (1,168 | ) | ||||||||||||
Total | $ | 8,556 | $ | (27,421 | ) | $ | (18,865 | ) |
Fair Value of | Fair Value of | |||||||||||||||||||||||||||||||
Non-Cash | Cash Collateral | Non-Cash | Cash Collateral | Net | ||||||||||||||||||||||||||||
Counterparty | Net Position | Collateral Received | Received(a) | Collateral Pledged | Pledged | Exposure(b) | ||||||||||||||||||||||||||
JPMorgan Chase | ||||||||||||||||||||||||||||||||
Bank | $ | (17,697 | ) | $ | — | $ | — | $ | — | — | $ | (17,697 | ) | |||||||||||||||||||
The Bank of New | ||||||||||||||||||||||||||||||||
York Mellon | (1,168 | ) | — | — | — | — | (1,168 | ) | ||||||||||||||||||||||||
Total | $ | (18,865 | ) | $ | — | $ | — | $ | — | $ | — | $ | (18,865 | ) |
(a)The value of the related collateral exceeded the value of the derivatives and securities lending transactions as of March 31, 2020.
(b)Net exposure represents the receivable (payable) that would be due from (to) the counterparty in the event of default.
8. Securities Lending
Each Fund, along with other funds in the Delaware 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 US securities and foreign securities that are denominated and payable in US dollars; and (2) 105% with respect to foreign securities. With respect to each loan, if on any business day, the aggregate
361
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
8. Securities Lending (continued)
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. The collateral percentage with respect to the market value of the loaned security is determined by the security lending agent.
Cash collateral received by each fund of the Trust is generally invested in a series of individual separate accounts, each corresponding to a fund. The investment guidelines permit each separate account to hold certain securities that would be considered eligible securities for a money market fund. Cash collateral received is generally invested in government securities; certain obligations issued by government sponsored enterprises; repurchase agreements collateralized by US Treasury securities; obligations issued by the central government of any Organization for Economic Cooperation and Development (OECD) country or its agencies, instrumentalities, or establishments; obligations of supranational organizations; commercial paper, notes, bonds, and other debt obligations; certificates of deposit, time deposits, and other bank obligations; and asset-backed securities. A fund can also accept US 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 Funds or, at the discretion of the lending agent, replace the loaned securities. The Funds continue 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 Funds have 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 Funds receive 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 Funds, the security lending agent, and the borrower. The Funds record security lending income net of allocations to the security lending agent and the borrower.
Each Fund may incur investment losses as a result of investing securities lending collateral. This could occur if an investment in the collateral investment account defaulted or became impaired. Under those circumstances, the value of each Fund’s cash collateral account may be less than the amount each Fund would be required to return to the borrowers of the securities and each Fund would be required to make up for this shortfall.
During the six months ended March 31, 2020, the Funds had no securities out on loan.
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9. Credit and Market Risk
Some countries in which the Funds 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 Funds may be inhibited. In addition, a significant portion of the aggregate market value of 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 Funds.
When interest rates rise, fixed income securities (i.e. debt obligations) generally will decline in value. These declines in value are greater for fixed income securities with longer maturities or durations.
The risk that potential changes related to the use of the London interbank offered rate (LIBOR) could have adverse impacts on financial instruments which reference LIBOR. The potential abandonment of LIBOR could affect the value and liquidity of instruments which reference LIBOR.
Delaware Floating Rate II Fund, Delaware Fund for Income, Delaware Investment Grade Fund, Delaware Limited Duration Bond Fund, and Delaware Total Return Fund invest in high yield fixed income securities, which are securities rated lower than BBB- by Standard & Poor’s Financial Services LLC and lower than Baa3 by Moody’s Investors Service, Inc., 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.
Delaware Floating Rate II Fund, Delaware Fund for Income, Delaware Investment Grade Fund, Delaware Limited Duration Bond Fund, and Delaware Total Return Fund invest 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 US 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
363
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
9. Credit and Market Risk (continued)
adverse effect on a Fund’s yield to maturity. If the underlying mortgage assets experience greater than anticipated prepayments of principal, a Fund may fail to fully recoup its initial investment in these securities even if the securities are rated in the highest rating categories.
Delaware Floating Rate II Fund, Delaware Fund for Income, Delaware Investment Grade Fund, Delaware Limited Duration Bond Fund, and Delaware Total Return Fund invest in bank loans and other securities that may subject them to direct indebtedness risk, the risk that the Funds 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 Funds 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 Funds may involve revolving credit facilities or other standby financing commitments that obligate the Funds to pay additional cash on a certain date or on demand. These commitments may require each Fund to increase its investment in a company at a time when the Funds 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 each 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. When a loan agreement is purchased, the Funds may pay an assignment fee. On an ongoing basis, the Funds may receive a commitment fee based on the undrawn portion of the underlying line of credit portion of a loan agreement. Prepayment penalty fees are received upon the prepayment of a loan agreement by the borrower. Prepayment penalty, facility, commitment, consent, and amendment fees are recorded to income as earned or paid.
As the Funds may be required to rely upon another lending institution to collect and pass on to the Funds amounts payable with respect to the loan and to enforce the Funds’ rights under the loan and other direct indebtedness, an insolvency, bankruptcy, or reorganization of the lending institution may delay or prevent the Funds from receiving such amounts. The highly leveraged nature of many loans may make 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 Funds.
Delaware Floating Rate II Fund, Delaware Fund for Income, Delaware Investment Grade Fund, Delaware Limited Duration Bond Fund, and Delaware Total Return Fund invest 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 Funds will not pay any additional fees for such credit support, although the existence of credit support may increase the price of a security.
Delaware Opportunity Fund, Delaware Special Situations Fund, and Delaware Hedged U.S. Equity Opportunities Fund may invest in REITs and are subject to the risks associated with that industry. If a Fund holds real estate directly or receives rental income directly from real estate holdings, its tax status as a regulated investment company may be jeopardized. There were no direct real estate holdings during
364
the year ended March 31, 2020. The Funds’ REIT holdings are also affected by interest rate changes, particularly if the REITs they hold use floating rate debt to finance their ongoing operations. The Funds also invests in real estate acquired as a result of ownership of securities or other instruments, including issuers that invest, deal, or otherwise engage in transactions in real estate or interests therein. These instruments may include interests in private equity limited partnerships or limited liability companies that hold real estate investments (Real Estate Limited Partnerships). The Funds will limit their investments in Real Estate Limited Partnerships to 5% of their total assets at the time of purchase.
Each 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 promulgated under the Securities Act of 1933, as amended, and other securities which may not be readily marketable. The relative illiquidity of these securities may impair each 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 Board has delegated to DMC, the day-to-day functions of determining whether individual securities are liquid for purposes of the Funds’ limitation on investments in illiquid securities. Securities eligible for resale pursuant to Rule 144A, which are determined to be liquid, are not subject to each Fund’s 15% limit on investments in illiquid securities. Rule 144A securities have been identified on the “Schedules of investments.”
10. Contractual Obligations
Each Fund enters into contracts in the normal course of business that contain a variety of indemnifications. Each Fund’s maximum exposure under these arrangements is unknown. However, each Fund has not had prior claims or losses pursuant to these contracts. Management has reviewed the Funds’ existing contracts and expects the risk of loss to be remote.
11. Recent Accounting Pronouncements
In March 2017, the FASB issued an Accounting Standards Update (ASU), ASU 2017-08, Receivables — Nonrefundable Fees and Other Costs (Subtopic 310-20), Premium Amortization on Purchased Callable Debt Securities which amends the amortization period for certain callable debt securities purchased at a premium, shortening such period to the earliest call date. The ASU 2017-08 does not require any accounting change for debt securities held at a discount; the discount continues to be amortized to maturity. The ASU 2017-08 is effective for fiscal years, and interim periods within those fiscal years, beginning after Dec. 15, 2018. Management has implemented ASU 2017-08 and determined that the impact of this guidance to each Fund’s net assets at the end of the period is not material.
In August 2018, the FASB issued an ASU 2018-13, which changes certain fair value measurement disclosure requirements. The ASU 2018-13, in addition to other modifications and additions, removes the requirement to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, the policy for the timing of transfers between levels and the valuation process for Level 3 fair value measurements. The ASU 2018-13 is effective for fiscal years, and interim periods within those fiscal years, beginning after Dec. 15, 2019. At this time, Management is evaluating the implications of these changes on the financial statements.
In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) – Facilitation of the Effects of Reference Rate Reform on Financial Reporting. The amendments in the ASU 2020-04 provides
365
Notes to financial statements
Delaware Group® Equity Funds IV (Trust)
optional temporary financial reporting relief from the effect of certain types of contract modifications due to the planned discontinuation of the LIBOR and other interbank-offered based reference rates as of the end of 2021. The ASU 2020-04 is effective for certain reference rate-related contract modifications that occur during the period March 12, 2020 through December 31, 2022. Management is currently evaluating the impact, if any, of applying this ASU.
12. Subsequent Events
On Nov. 4, 2019, each Fund, along with certain other funds in the Delaware Funds (Participants), entered into an amendment to the agreement for a $250,000,000 revolving line of credit. The revolving line of credit available was increased to $275,000,000 on May 6, 2020. The revolving line of credit is to be used as described above and operates in substantially the same manner as the original agreement. The line of credit available under the agreement expires on Nov. 2, 2020.
Beginning in January 2020, global financial markets have experienced and may continue to experience significant volatility resulting from the spread of a novel coronavirus known as COVID-19. The outbreak of COVID-19 has resulted in travel and border restrictions, quarantines, supply chain disruptions, lower consumer demand, and general market uncertainty. The effects of COVID-19 have and may continue to adversely affect the global economy, the economies of certain nations and individual issuers, all of which may negatively impact the Funds’ performance.
Management has determined that no other material events or transactions occurred subsequent to March 31, 2020, that would require recognition or disclosure in the Funds’ financial statements.
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About the organization
Board of trustees | ||||||
Shawn K. Lytle Thomas L. Bennett Jerome D. Abernathy | Ann D. Borowiec Joseph W. Chow John A. Fry | Lucinda S. Landreth Frances A. | Thomas K. Whitford Christianna Wood Janet L. Yeomans | |||
Affiliated officers | ||||||
David F. Connor | Daniel V. Geatens | Richard Salus |
|
This semiannual report is for the information of Delaware Equity Income Fund, Delaware Growth and Income Fund, Delaware Growth Equity Fund, Delaware Opportunity Fund, Delaware Special Situations Fund, Delaware Global Equity Fund, Delaware International Fund, Delaware Floating Rate II Fund, Delaware Fund for Income, Delaware Government Cash Management Fund, Delaware International Opportunities Bond Fund, Delaware Investment Grade Fund, Delaware Limited Duration Bond Fund, Delaware Strategic Income II Fund, Delaware Covered Call Strategy Fund, Delaware Hedged U.S. Equity Opportunities Fund, Delaware Premium Income Fund, and Delaware Total Return Fund shareholders, but it may be used with prospective investors when preceded or accompanied by the Delaware Fund fact sheet for the most recently completed calendar quarter. These documents are available at delawarefunds.com/literature. |
Each 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-PORT. Each Fund’s Forms N-PORT, as well as a description of the policies and procedures that the Funds use 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 Funds use to determine how to vote proxies (if any) relating to portfolio securities and the Schedules of Investments included in the Funds’ most recent Form N-PORT are available without charge on the Funds’ website at delawarefunds.com/literature. Each Fund’s Forms N-PORT 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 Funds voted proxies relating to portfolio securities during the most recently disclosed 12-month period ended June 30 is available without charge (i) through the Funds’ website at delawarefunds.com/proxy; and (ii) on the SEC’s website at sec.gov. |
367
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 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. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.
Not applicable.
Item 13. Exhibits
(a)(1) Code of Ethics
Not applicable.
(3) Written solicitations to purchase securities pursuant to Rule 23c-1 under the Securities Exchange Act of 1934.
Not applicable.
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® EQUITY FUNDS IV
SHAWN K. LYTLE | |
By: | Shawn K. Lytle |
Title: | President and Chief Executive Officer |
Date: | June 4, 2020 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
SHAWN K. LYTLE | |
By: | Shawn K. Lytle |
Title: | President and Chief Executive Officer |
Date: | June 4, 2020 |
RICHARD SALUS | |
By: | Richard Salus |
Title: | Chief Financial Officer |
Date: | June 4, 2020 |