Commonwealth International Series Trust N-CSRS Certified semi-annual shareholder report (management investment company)

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES

Investment Company Act File Number 811-04665

Commonwealth International Series Trust
(Exact name of registrant as specified in charter)

791 Town & Country Blvd
               Houston, TX 77024-3925               
(Address of principal executive offices) (Zip code)

CT Corporation System
155 Federal Street
                  Boston, MA 02110                  
(Name and address of agent for service)

Copies to:
John H. Lively
The Law Offices of John H. Lively & Associates, Inc.
A member firm of The 1940 Act Law Group^TM
11300 Tomahawk Parkway, Suite 310
Leawood, KS 66221

Registrant’s telephone number, including area code: (888) 345-1898

Date of fiscal year end: October 31

Date of reporting period: April 30, 2013

Item 1.  Reports to Stockholders.

The following is a copy of the report transmitted to shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940, as amended.

Commonwealth International Series Trust 791 Town & Country Blvd, Suite 250 Houston, TX 77024-3925 888-345-1898 www.commonwealthfunds.com INVESTMENT ADVISOR FCA Corp 791 Town & Country Blvd, Suite 250 Houston, TX 77024-3925 713-781-2856 DISTRIBUTOR UMB Distribution Services, LLC 803 West Michigan Street Milwaukee, WI 53233 TRANSFER AGENT & ADMINISTRATOR UMB Fund Services, Inc. 803 West Michigan Street Milwaukee, WI 53233 CUSTODIAN BANK Fifth Third Bank Fifth Third Center 38 Fountain Square Plaza Cincinnati, OH 45263 INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM BBD, LLP 1835 Market Street, 26th Floor Philadelphia, PA 19103 LEGAL COUNSEL The Law Offices of John H. Lively & Associates, Inc. A member firm of The 1940 Act Law GroupTM 11300 Tomahawk Creek Parkway, Ste. 310 Leawood, KS 66211

Commonwealth Australia/New Zealand Fund Africa Fund Commonwealth Japan Fund Commonwealth Global Fund Commonwealth Real Estate Securities Fund SEMI-ANNUAL REPORT April 30, 2013

This report is intended for the shareholders of the family of funds of the Commonwealth International Series Trust. It may not be distributed to prospective investors unless it is preceded or accompanied by the Funds’ current Prospectus. An additional Prospectus may be obtained at www.commonwealthfunds.com or from the principal underwriter of the Funds or your broker.

Table of Contents
Performance Overview	1
Portfolio Composition	2
Schedules of Investments	3
Statements of Assets and Liabilities	12
Statements of Operations	13
Statements of Changes in Net Assets	14
Financial Highlights	16
Notes to Financial Statements	21
Additional Information	31
Approval of the Renewal of Investment Advisory Agreement	33

(This page intentionally left blank.)

C O M M O N W E A L T H INTERNATIONAL SERIES TRUST	SEMI-ANNUAL REPORT 2013
PERFORMANCE OVERVIEW – April 30, 2013 (Unaudited)

		Average Annual Total Returns as of April 30, 2013								Gross		Net
	Inception									Expense		Expense
	Date	1 Year		5 Year		10 Year		Inception		Ratio*		Ratio*
Commonwealth Australia/New Zealand Fund	11/25/91	19.65	%	3.50	%	10.00	%	6.28	%	3.32	%	3.32	%
Africa Fund	11/07/11	0.06	%	—		—		2.46	%	8.36	%	7.11	%
Commonwealth Japan Fund	07/10/89	11.31	%	-2.26	%	0.72	%	-4.20	%	4.85	%	4.85	%
Commonwealth Global Fund	12/03/02	8.73	%	0.32	%	7.45	%	7.19	%	3.33	%	3.33	%
Commonwealth Real Estate Securities Fund	01/05/04	14.84	%	0.90	%	—		3.74	%	3.53	%	3.53	%

The Fund’s total return is presented net of Fund expenses, which means that the Fund’s performance is reduced by applicable Fund fees and expenses. Performance data represents past performance and does not guarantee future results. Investment return and principal value will fluctuate and your investment may result in a gain or loss when you sell your shares. An investor should consider the Fund’s investment objectives, risks, charges and expenses carefully before investing. This and other important information about the Funds can be found in the Funds’ Prospectus. To obtain performance information current to the most recent month end, please call 1-888-345-1898.

* The above expense ratios are from the Funds’ Prospectus dated February 28, 2013. Additional information pertaining to the Funds’ expense ratios as of April 30, 2013 can be found in the financial highlights. Excluding the indirect costs of investing in acquired funds, total fund net operating expenses would be 3.32%, 7.07%, 4.84%, 3.31% and 3.53% for the Australia/New Zealand Fund, Africa Fund, Japan Fund, Global Fund and the Real Estate Securities Fund, respectively.

Investment Risks

Equity securities (stocks) are more volatile and carry more risk than other forms of investments, including high-grade fixed income securities. The net asset values per share of a Fund will fluctuate as the value of these securities in the portfolio changes.

The Funds’ investments in debt and/or fixed income securities also contain risk factors. The value of these securities tends to fluctuate inversely with changes in interest rates. Changes in an issuer’s financial strength or creditworthiness also can affect the value of the securities it issues. Convertible and preferred stocks, which have some characteristics of both equity and fixed income securities, also contain, to varying degrees depending on their structure, the associated risks of each.

The Fund’s expenses, as with any mutual fund, detract from the Fund’s performance. The Fund’s asset levels have a direct effect on the expense indirectly paid by shareholders. To the extent the Fund’s assets decline and the expenses of the Fund rise or do not decrease proportionately, performance will be negatively impacted.

International investing involves increased risk and volatility. An investment in a Fund entails the special risks of international investing, including currency exchange fluctuation, government regulations, and the potential for political and economic instability. Because the Commonwealth Australia/ New Zealand Fund, Africa Fund and the Commonwealth Japan Fund invest primarily in industries located principally in Australia/New Zealand, Africa and Japan, the Funds are particularly susceptible to any economic, political, or regulatory developments affecting a particular issuer of those countries.

The Commonwealth Real Estate Securities Fund’s investments in REITs involve certain unique risks in addition to those risks associated with investing in the real estate industry in general. Equity REITs may be affected by changes in the value of the underlying property owned by the REITs, while mortgage REITs may be affected by the quality of any credit extended. Investments are subject to the risks related to direct investment in real estate, such as real estate risk, regulatory risks, concentration risk, and diversification risk.

By itself none of the Funds constitute a complete investment plan and should be considered a long-term investment for investors who can afford to weather change in the value of their investments. Investors should refer to the Funds’ prospectus for a more complete description of risks associated with investing in and of the Funds.

1

C O M M O N W E A L T H INTERNATIONAL SERIES TRUST	SEMI-ANNUAL REPORT 2013
PORTFOLIO COMPOSITION – April 30, 2013* (Unaudited)

COMMONWEALTH AUSTRALIA/NEW ZEALAND FUND
Industry or	Percent of Total
Security Type	Investments
Commercial Services	17.9	%
Healthcare – Services	11.8	%
Transportation	7.2	%
Oil & Gas	7.1	%
Retail	7.0	%
Telecommunications	5.1	%
Electric	4.8	%
Home Furnishings	4.6	%
REITS	4.3	%
Mining	4.0	%
Bonds – New Zealand	3.7	%
Diversified Financial Services	3.5	%
Media	3.3	%
Insurance	3.3	%
Preferred Stocks	2.6	%
Electrical Components & Equipment	2.4	%
Healthcare – Products	2.2	%
Metal Fabricate/Hardware	1.6	%
Bonds – Australia	1.1	%
Chemicals	1.0	%
Agriculture	1.0	%
Software	0.5	%
	100.0	%

AFRICA FUND
Country or	Percent of Total
Security Type	Investments
South Africa	56.2	%
Exchange Traded Funds – Africa Region	12.0	%
Short-Term Investments	11.6	%
Exchange Traded Funds – South Africa	11.5	%
Egypt	4.5	%
United Kingdom	2.6	%
Bonds – South Africa	1.2	%
Guernsey	0.4	%
	100.0	%

COMMONWEALTH JAPAN FUND
Industry or	Percent of Total
Security Type	Investments
Transportation	20.8	%
Short-Term Investments	12.8	%
Exchange Traded Funds	7.8	%
Healthcare – Products	6.5	%
Real Estate	5.2	%
Auto Parts & Equipment	5.1	%
Insurance	5.1	%
Distribution/Wholesale	3.3	%
Cosmetics/Personal Care	3.1	%
Beverages	2.9	%
Engineering & Construction	2.9	%
Electric	2.7	%
Machinery – Diversified	2.6	%
Electronics	2.5	%
Retail	2.4	%
Auto Manufacturers	2.1	%
Banks	2.1	%
Entertainment	1.6	%
Computers	1.6	%
REITS	1.5	%
Hand/Machine Tools	1.5	%
Leisure Time	1.3	%
Chemicals	1.2	%
Food	0.7	%
Diversified Financial Services	0.7	%
	100.0	%

COMMONWEALTH GLOBAL FUND
Country or	Percent of Total
Security Type	Investments
United States	37.8	%
United Kingdom	15.0	%
Switzerland	7.0	%
Short-Term Investments	6.0	%
France	4.4	%
Preferred Stocks	4.3	%
Israel	3.9	%
Bermuda	3.1	%
Netherlands	2.6	%
Mexico	2.5	%
Guernsey	2.4	%
Canada	2.1	%
Germany	2.1	%
Japan	1.6	%
India	1.6	%
Spain	1.5	%
South Africa	1.3	%
Brazil	0.6	%
Call Options	0.2	%
	100.0	%

COMMONWEALTH REAL ESTATE SECURITIES FUND
Industry or	Percent of Total
Security Type	Investments
REITS – Office Property	13.4	%
Building Materials	10.9	%
Lodging	9.6	%
REITS – Apartments	8.9	%
REITS – Hotels	7.8	%
Real Estate	6.9	%
Home Builders	5.3	%
Telecommunications	5.0	%
Short-Term Investments	5.0	%
REITS – Storage	4.8	%
REITS – Diversified	4.1	%
REITS – Shopping Centers	3.6	%
Engineering & Construction	2.5	%
Exchange Traded Funds	2.2	%
Retail	2.1	%
REITS – Warehouse/Industries	2.1	%
REITS – Health Care	2.1	%
Savings & Loans	1.9	%
REITS – Single Tenant	1.8	%
	100.0	%

* Portfolio composition is subject to change.

2

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

SCHEDULES OF INVESTMENTS – April 30, 2013 (Unaudited)

Commonwealth Australia/New Zealand Fund

	Shares		Value
AUSTRALIA (18.9%)
COMMON STOCKS (17.9%)
CHEMICALS (0.9%)
Nufarm, Ltd.		55,013	$	239,534
ELECTRIC (2.1%)
AGL Energy, Ltd.		33,299		547,849
HEALTHCARE – PRODUCTS (1.1%)
Cochlear, Ltd.		4,000		273,606
HEALTHCARE – SERVICES (1.4%)
Sonic Healthcare, Ltd.		26,324		361,866
INSURANCE (2.1%)
QBE Insurance Group, Ltd.		38,445		532,873
MINING (3.8%)
Orica, Ltd.		13,374		316,811
OZ Minerals, Ltd.		30,866		137,595
PanAust, Ltd.		213,387		513,226
				967,632
OIL & GAS (2.4%)
Santos, Ltd.		28,536		365,353
Woodside Petroleum, Ltd.		6,518		253,801
				619,154
RETAIL (2.0%)
Wesfarmers, Ltd.		11,583		520,791
TRANSPORTATION (2.1%)
Asciano Group		93,333		522,494
TOTAL COMMON STOCKS (Cost $3,615,607)				4,585,799
	Principal
CORPORATE BONDS (1.0%)
CBA Capital Australia, Ltd., 3.43%,    4/15/15 (1) (2) (3)	$	300,000		250,964
TOTAL CORPORATE BONDS (Cost $202,443)				250,964
TOTAL AUSTRALIA (Cost $3,818,050)				4,836,763
	Shares
NEW ZEALAND (74.8%)
COMMON STOCKS (68.8%)
AGRICULTURE (0.9%)
PGG Wrightson, Ltd.		715,459		233,029
COAL (0.0%)
Pike River Coal, Ltd. (4) (5)		1,145,295		—
COMMERCIAL SERVICES (16.8%)
Guinness Peat Group PLC (5)		495,906		235,903
Mowbray Collectables, Ltd. (5) (6)		821,593		338,017
Northland Port Corp. (NZ), Ltd.		81,425		191,227
Port of Tauranga, Ltd.		50,000		664,267
South Port New Zealand, Ltd.		1,027,930		2,863,437
				4,292,851
DIVERSIFIED FINANCIAL SERVICES (3.3%)
Heartland New Zealand, Ltd.		1,252,765		837,539
ELECTRIC (2.3%)
Infratil, Ltd.		210,076		415,038
TrustPower Ltd.		30,000		187,709
				602,747
ELECTRICAL COMPONENTS & EQUIPMENT (2.3%)
Cavotec SA		130,250		580,800
HEALTHCARE – PRODUCTS (1.0%)
Ebos Group, Ltd.		31,634		263,007
HEALTHCARE – SERVICES (9.6%)
Metlifecare, Ltd.		120,385		366,304
Ryman Healthcare, Ltd.		400,000		2,091,369
				2,457,673
HOME FURNISHINGS (4.3%)
Scott Technology, Ltd.		497,396		1,108,451
INSURANCE (1.0%)
Tower, Ltd.		169,723		250,213
MEDIA (3.1%)
Sky Network Television, Ltd.		159,745		783,184
METAL FABRICATE/HARDWARE (1.4%)
Methven, Ltd.		356,250		369,472

See accompanying notes to financial statements.

3

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

SCHEDULES OF INVESTMENTS – April 30, 2013 (Unaudited)

Commonwealth Australia/New Zealand Fund

	Shares		Value
NEW ZEALAND (74.8%) - Continued
COMMON STOCKS (68.8%) - Continued
OIL & GAS (4.3%)
New Zealand Oil & Gas, Ltd.		962,531	$	676,503
New Zealand Refining Co., Ltd./The		200,000		414,845
				1,091,348
REITS (4.0%)
Goodman Property Trust		364,809		353,333
Vital Healthcare Property Trust		564,063		667,187
				1,020,520
RETAIL (4.5%)
Briscoe Group, Ltd.		183,520		393,246
Colonial Motor Co., Ltd.		199,565		720,124
Kathmandu Holdings, Ltd.		20,000		38,570
				1,151,940
SOFTWARE (0.5%)
Xero Ltd. (5)		10,000		127,711
TELECOMMUNICATIONS (4.8%)
Chorus, Ltd.		100,000		235,707
TeamTalk, Ltd.		396,019		984,362
				1,220,069
TRANSPORTATION (4.7%)
Freightways, Ltd.		173,540		669,349
Mainfreight, Ltd.		60,000		542,042
				1,211,391
TOTAL COMMON STOCKS (Cost $11,639,504)				17,601,945
PREFERRED STOCKS (2.5%)
INVESTMENT COMPANIES (2.5%)
ASB Capital, Ltd., 3.46% (1) (2)		954,218		633,856
TOTAL PREFERRED STOCKS (Cost $686,799)				633,856
	Principal
CORPORATE BONDS (3.5%)
Credit Agricole SA, 5.04%,       12/29/49 (1) (2) (3)	$	890,000		482,493
Sky Network Television, Ltd., 3.19%,       10/16/16 (1) (2) (3)		500,000		412,060
TOTAL CORPORATE BONDS (Cost $801,162)				894,553
TOTAL NEW ZEALAND (Cost $13,127,465)				19,130,354
TOTAL INVESTMENTS (93.7%) (Cost $16,945,515)				23,967,117
OTHER ASSETS IN EXCESS OF LIABILITIES (6.3%)				1,602,922
NET ASSETS (100.0%)			$	25,570,039

(1)	Variable, Floating, or Step Rate Security. The rate reflected in the Schedule of Investments is the rate in effect at April 30, 2013.
(2)	Callable.
(3)	Principal amount shown is in New Zealand Dollars; value shown in U.S. Dollars.
(4)	Security is being fair valued in accordance with the Trust’s fair valuation policies.
(5)	Non-income producing.
(6)	Affiliated Investment. See Note 5 of the Financial Statements.
PLC — Public Limited Company

See accompanying notes to financial statements.

4

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

SCHEDULES OF INVESTMENTS – April 30, 2013 (Unaudited)

Africa Fund

	Shares		Value
COMMON STOCKS (65.7%)
EGYPT (4.7%)
Orascom Construction Industries ADR (1)		800	$	26,200
Orascom Telecom Holding SAE GDR (1)		20,000		67,400
				93,600
GUERNSEY (0.4%)
Agriterra, Ltd. (1)		210,000		8,187
SOUTH AFRICA (57.9%)
African Bank Investments, Ltd.		10,000		31,749
Anglo American Platinum, Ltd. (1)		800		30,346
AngloGold Ashanti, Ltd. ADR		2,000		39,000
Astral Foods, Ltd.		4,000		42,124
Barloworld, Ltd.		3,300		34,568
Bidvest Group, Ltd.		1,400		36,408
Capitec Bank Holdings, Ltd.		2,850		69,399
Clientele, Ltd.		25,000		32,039
Coronation Fund Managers, Ltd.		6,500		38,898
Discovery Holdings, Ltd.		9,000		81,981
FirstRand, Ltd.		9,800		34,052
Gold Fields, Ltd. ADR		5,000		37,300
Grindrod, Ltd.		35,000		73,327
Howden Africa Holdings, Ltd.		11,000		39,840
Imperial Holdings, Ltd. ADR		1,200		26,640
Invicta Holdings, Ltd.		3,000		32,763
JD Group, Ltd.		9,200		33,894
Kagiso Media, Ltd.		16,000		38,335
MTN Group, Ltd. ADR		2,600		47,242
Nedbank Group, Ltd.		2,000		42,490
Pinnacle Technology Holdings, Ltd.		15,000		36,775
PSG Group, Ltd.		5,200		38,246
Rainbow Chicken, Ltd.		18,000		30,891
Sasol, Ltd. ADR		1,600		69,472
Shoprite Holdings, Ltd. ADR		900		34,299
Standard Bank Group, Ltd. ADR		2,800		34,888
Steinhoff International Holdings, Ltd. (1)		13,222		35,289
Wilson Bayly Holmes-Ovcon, Ltd.		2,200		37,878
				1,160,133
UNITED KINGDOM (2.7%)
SABMiller PLC ADR		500		27,050
Tullow Oil PLC ADR		3,500		27,195
				54,245
TOTAL COMMON STOCKS (Cost $1,300,950)				1,316,165
EXCHANGE TRADED FUNDS (24.2%)
iShares MSCI South Africa Index Fund		3,700		237,540
Market Vectors Africa Index ETF		8,340		248,115
TOTAL EXCHANGE TRADED FUNDS (Cost $480,078)				485,655
	Principal
SOVEREIGN BONDS (1.2%)
SOUTH AFRICA (1.2%)
South Africa Government Bond, 8.00%, 12/21/18 (2)		R200,000		24,635
TOTAL SOVEREIGN BONDS (Cost $26,599)				24,635
	Shares
SHORT-TERM INVESTMENTS (12.0%)
Federated Government Obligations Fund, 0.01% (3)		239,843		239,843
TOTAL SHORT-TERM INVESTMENTS (Cost $239,843)				239,843
TOTAL INVESTMENTS (103.1%) (Cost $2,047,470)				2,066,298
LIABILITIES IN EXCESS OF OTHER ASSETS (-3.1%)				(61,969	)
NET ASSETS (100.0%)			$	2,004,329

(1)	Non-income producing.
(2)	Principal amount shown in South African Rand; value shown in U.S. Dollars.
(3)	Rate disclosed is the seven day yield as of April 30, 2013.

ADR — American Depository Receipt
GDR — Global Depository Receipt
PLC — Public Limited Company

See accompanying notes to financial statements.

5

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

SCHEDULES OF INVESTMENTS – April 30, 2013 (Unaudited)

Commonwealth Japan Fund

	Shares		Value
COMMON STOCKS (82.4%)
AUTO MANUFACTURERS (2.2%)
Toyota Motor Corp. ADR		1,000	$	116,300
AUTO PARTS & EQUIPMENT (5.3%)
NGK Spark Plug Co., Ltd.		6,000		101,000
Sumitomo Rubber Industries, Ltd.		10,000		184,336
				285,336
BANKS (2.2%)
Mizuho Financial Group, Inc.		30,000		66,164
Nishi-Nippon City Bank, Ltd.		15,000		50,008
				116,172
BEVERAGES (3.0%)
Coca-Cola West Co., Ltd.		4,000		74,391
Kirin Holdings Co., Ltd.		5,000		87,552
				161,943
CHEMICALS (1.3%)
JSR Corp.		3,000		69,026
COMPUTERS (1.7%)
INES Corp.		5,000		37,544
Otsuka Corp.		500		51,649
				89,193
COSMETICS/PERSONAL CARE (3.2%)
Unicharm Corp.		2,700		174,488
DISTRIBUTION/WHOLESALE (3.4%)
Marubeni Corp.		20,000		142,996
Yamae Hisano Co., Ltd.		4,000		38,570
				181,566
DIVERSIFIED FINANCIAL SERVICES (0.7%)
Kyushu Leasing Service Co., Ltd.		13,000		36,006
ELECTRIC (2.8%)
Hokkaido Electric Power Co., Inc. (1)		6,000		76,012
Tohoku Electric Power Co., Inc. (1)		7,000		74,822
				150,834
ELECTRONICS (2.6%)
Hamamatsu Photonics K.K.		1,500		61,625
Hoya Corp.		4,000		79,930
				141,555
ENGINEERING & CONSTRUCTION (2.9%)
Kajima Corp.		33,000		105,278
Taihei Dengyo Kaisha, Ltd.		6,000		36,498
Takada Corp. (1)		6,000		16,679
				158,455
ENTERTAINMENT (1.7%)
Sankyo Co., Ltd.		2,000		91,091
FOOD (0.7%)
Maxvalu Kyushu Co., Ltd.		3,000		39,698
HAND/MACHINE TOOLS (1.6%)
Meidensha Corp.		28,000		83,582
HEALTHCARE – PRODUCTS (6.7%)
Asahi Intecc Co., Ltd.		4,000		237,165
Terumo Corp.		2,500		124,121
				361,286
INSURANCE (5.3%)
Dai-ichi Life Insurance Co., Ltd.		110		151,203
T & D Holdings, Inc.		6,000		69,672
Tokio Marine Holdings ADR		2,000		63,700
				284,575
LEISURE TIME (1.3%)
Shimano, Inc.		800		69,508
MACHINERY – DIVERSIFIED (2.7%)
Fanuc, Ltd.		700		105,555
Torishima Pump Manufacturing Co., Ltd.		5,000		40,570
				146,125
REAL ESTATE (5.4%)
Mitsui Fudosan Co., Ltd.		3,000		101,862
Sumitomo Realty & Development Co., Ltd.		4,000		188,747
				290,609
REITS (1.6%)
Fukuoka REIT Corp.		10		84,526
RETAIL (2.5%)
Sugi Holdings Co., Ltd.		2,500		96,041
TOTAL MEDICAL SERVICE Co., Ltd.		2,600		40,006
				136,047

See accompanying notes to financial statements.

6

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

SCHEDULES OF INVESTMENTS – April 30, 2013 (Unaudited)

Commonwealth Japan Fund

	Shares		Value
COMMON STOCKS (82.4%) - Continued
TRANSPORTATION (21.6%)
Daiichi Koutsu Sangyo Co., Ltd.		2,500	$	20,798
East Japan Railway Co.		1,500		126,481
Hankyu Hanshin Holdings, Inc.		22,000		142,176
Kawasaki Kisen Kaisha, Ltd.		30,000		65,856
Keikyu Corp.		13,000		143,755
Keio Corp.		18,000		154,732
Kintetsu World Express, Inc.		2,000		71,909
Mitsui OSK Lines, Ltd. (1)		18,000		74,781
Nippon Express Co., Ltd.		15,000		78,012
Nishi-Nippon Railroad Co., Ltd.		10,000		40,929
Tobu Railway Co., Ltd.		18,000		104,508
Yamato Holdings Co., Ltd.		7,000		134,780
				1,158,717
TOTAL COMMON STOCKS (Cost $3,085,670)				4,426,638
EXCHANGE TRADED FUNDS (8.1%)
iShares MSCI Japan Index Fund		20,000		234,000
iShares S&P/TOPIX 150 Index Fund		4,000		202,000
TOTAL EXCHANGE TRADED FUNDS (Cost $426,747)				436,000
SHORT-TERM INVESTMENTS (13.3%)
Federated Government Obligations Fund, 0.01% (2)		715,651		715,651
TOTAL SHORT-TERM INVESTMENTS (Cost $715,651)				715,651
TOTAL INVESTMENTS (103.8%) (Cost $4,228,068)				5,578,289
LIABILITIES IN EXCESS OF OTHER ASSETS (-3.8%)				(202,055	)
NET ASSETS (100.0%)			$	5,376,234

(1)	Non-income producing.
(2)	Rate disclosed is the seven day yield as of April 30, 2013.
ADR — American Depository Receipt
REIT — Real Estate Investment Trusts

See accompanying notes to financial statements.

7

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

SCHEDULES OF INVESTMENTS – April 30, 2013 (Unaudited)

Commonwealth Global Fund

	Shares		Value
COMMON STOCKS (90.5%)
BERMUDA (3.2%)
Bunge, Ltd.		6,500	$	469,365
BRAZIL (0.6%)
Vale SA ADR		5,000		85,450
CANADA (2.1%)
InterOil Corp. (1)		4,000		316,480
FRANCE (4.4%)
Arkema SA ADR		4,130		388,220
Total SA ADR		5,200		261,248
				649,468
GERMANY (2.1%)
Siemens AG ADR		3,000		313,530
GUERNSEY (2.4%)
Amdocs, Ltd.		10,000		357,000
INDIA (1.6%)
ICICI Bank, Ltd. ADR		5,000		234,100
ISRAEL (4.0%)
NICE Systems, Ltd. ADR (1)		10,000		354,700
Teva Pharmaceutical Industries, Ltd. ADR		6,000		229,740
				584,440
JAPAN (1.6%)
Nidec Corp. ADR		14,000		237,160
MEXICO (2.6%)
Grupo Televisa SA ADR		15,000		379,800
NETHERLANDS (2.6%)
Unilever NV		9,000		382,320
SOUTH AFRICA (1.3%)
Shoprite Holdings, Ltd. ADR		5,000		190,550
SPAIN (1.5%)
Banco Santander SA ADR		31,672		229,622
SWITZERLAND (7.1%)
Nestle SA ADR		7,750		552,032
Roche Holding AG ADR		8,000		499,360
				1,051,392
UNITED KINGDOM (15.2%)
Anglo American PLC ADR		11,830		144,090
BG Group PLC ADR		10,000		167,900
BP PLC ADR		4,639		202,261
Centrica PLC ADR		7,000		161,770
Diageo PLC ADR		2,000		244,400
InterContinental Hotels Group PLC ADR		9,333		275,790
Old Mutual PLC ADR		13,125		335,014
Prudential PLC ADR		13,500		466,290
Vodafone Group PLC ADR		7,875		240,896
				2,238,411
UNITED STATES (38.2%)
AECOM Technology Corp. (1)		10,000		290,700
AGCO Corp.		5,000		266,250
BorgWarner, Inc. (1)		2,000		156,340
CF Industries Holdings, Inc.		1,000		186,510
Chemed Corp.		4,200		342,804
Conmed Corp.		15,720		492,508
DENTSPLY International, Inc.		8,700		368,445
Huntington Bancshares, Inc.		20,000		143,400
Integrated Silicon Solution, Inc. (1)		22,000		201,740
Johnson Controls, Inc.		6,000		210,060
KVH Industries, Inc. (1)		30,000		396,300
LifePoint Hospitals, Inc. (1)		4,500		216,000
Miller Industries, Inc.		14,000		211,540
National Oilwell Varco, Inc.		3,000		195,660
New York Community Bancorp, Inc.		10,000		135,500
Norfolk Southern Corp.		4,000		309,680
Northwest Natural Gas Co.		5,000		222,350
Pentair, Inc.		10,760		584,806
Starwood Hotels & Resorts Worldwide, Inc.		5,000		322,600
Tenneco, Inc. (1)		6,000		232,020
Wells Fargo & Co.		4,000		151,920
				5,637,133
TOTAL COMMON STOCKS (Cost $9,369,330)				13,356,221
PREFERRED STOCKS (4.4%)
UNITED STATES (4.4%)
HSBC USA, Inc., Series F, 3.50%, Callable 5/30/13 (2) (3)		18,000		405,540
HSBC USA, Inc., Series G, 4.00%, Callable 5/30/13 (2) (3)		10,000		243,100
TOTAL PREFERRED STOCKS (Cost $467,195)				648,640

See accompanying notes to financial statements.

8

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

SCHEDULES OF INVESTMENTS – April 30, 2013 (Unaudited)

Commonwealth Global Fund

	Contracts		Value
CALL OPTION (0.1%)
UNITED STATES (0.1%)
Apple, Inc., Strike Price: $425.00, Expiration 1/18/2014 (1)		5	$	22,600
TOTAL CALL OPTIONS (Cost $22,360)				22,600
	Shares
SHORT-TERM INVESTMENTS (6.1%)
Federated Government Obligations Fund, 0.01% (4)		893,994		893,994
TOTAL SHORT-TERM INVESTMENTS (Cost $893,994)				893,994
TOTAL INVESTMENTS (101.1%) (Cost $10,752,879)				14,921,455
LIABILITIES IN EXCESS OF OTHER ASSETS (-1.1%)				(164,156	)
NET ASSETS (100.0%)			$	14,757,299

(1)	Non-income producing.
(2)	Callable.
(3)	Variable, Floating, or Step Rate Security. The rate reflected in the Schedule of Investments is the rate in effect at April 30, 2013.
(4)	Rate disclosed is the seven day yield as of April 30, 2013.
ADR — American Depository Receipt
PLC — Public Limited Company

See accompanying notes to financial statements.

9

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

SCHEDULES OF INVESTMENTS – April 30, 2013 (Unaudited)

Commonwealth Real Estate Securities Fund

	Shares		Value
COMMON STOCKS (96.2%)
BUILDING MATERIALS (11.4%)
Cemex SAB de CV ADR (1)		24,598	$	276,733
CRH PLC ADR		3,000		64,530
James Hardie Industries NV – ADR		9,000		472,050
Lafarge SA ADR		5,000		81,000
Pretoria Portland Cement Co., Ltd. ADR		12,500		91,500
				985,813
ENGINEERING & CONSTRUCTION (2.6%)
Grupo Aeroportuario del Sureste SAB de CV ADR		1,300		161,343
Kajima Corp. ADR		2,000		63,650
				224,993
HOME BUILDERS (5.5%)
China Housing & Land Development, Inc. (1)		40,000		71,200
Desarrolladora Homex SAB
de CV ADR (1)		13,000		63,440
MDC Holdings, Inc.		5,000		188,000
Toll Brothers, Inc. (1)		4,500		154,395
				477,035
LODGING (10.0%)
Home Inns & Hotels Management, Inc. ADR (1)		8,500		211,820
InterContinental Hotels Group PLC ADR		5,866		173,340
Marriott International, Inc., Class A		5,035		216,807
Ryman Hospitality Properties		5,924		263,381
				865,348
REAL ESTATE (7.1%)
Alto Palermo SA ADR		11,500		165,025
Gafisa SA ADR (1)		12,000		47,640
IRSA Inversiones y Representaciones SA ADR		6,000		51,720
WP Carey & Co., LLC		5,000		352,600
				616,985
REITS – APARTMENTS (9.2%)
AvalonBay Communities, Inc.		1,347		179,205
Campus Crest Communities, Inc.		11,000		150,260
Equity Residential		5,700		330,942
Essex Property Trust, Inc.		900		141,345
				801,752
REITS – DIVERSIFIED (4.3%)
Vornado Realty Trust		2,307		202,001
Washington Real Estate Investment Trust		6,000		171,360
				373,361
REITS – HEALTH CARE (2.2%)
Health Care REIT, Inc.		2,500		187,425
REITS – HOTELS (8.1%)
Host Hotels & Resorts, Inc.		15,317		279,841
LaSalle Hotel Properties		11,000		285,230
Pebblebrook Hotel Trust		5,000		135,800
				700,871
REITS – OFFICE PROPERTY (13.8%)
Alexandria Real Estate Equities, Inc.		2,500		181,925
BioMed Realty Trust, Inc.		9,000		202,590
Boston Properties, Inc.		2,500		273,575
Corporate Office Properties Trust SBI MD		4,000		115,960
Douglas Emmett, Inc.		6,000		157,020
SL Green Realty Corp.		3,000		272,100
				1,203,170
REITS – SHOPPING CENTERS (3.7%)
Acadia Realty Trust		4,985		142,322
Saul Centers, Inc.		4,100		183,680
				326,002
REITS – SINGLE TENANT (1.8%)
National Retail Properties, Inc.		4,000		158,720
REITS – STORAGE (5.0%)
Extra Space Storage, Inc.		9,900		431,442
REITS – WAREHOUSE/INDUSTRIES (2.2%)
EastGroup Properties, Inc.		3,000		189,210
RETAIL (2.2%)
Kingfisher PLC ADR		20,000		193,200
SAVINGS & LOANS (2.0%)
Harleysville Savings Financial Corp.		8,675		169,163
TELECOMMUNICATIONS (5.1%)
American Tower Corp., Class A		2,500		209,975
SBA Communications Corp., Class A (1)		3,000		236,970
				446,945
TOTAL COMMON STOCKS (Cost $6,358,410)				8,351,435
EXCHANGE TRADED FUNDS (2.3%)
Guggenheim China Real Estate ETF		8,500		195,075
TOTAL EXCHANGE TRADED FUNDS (Cost $144,153)				195,075

See accompanying notes to financial statements.

10

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

SCHEDULES OF INVESTMENTS – April 30, 2013 (Unaudited)

Commonwealth Real Estate Securities Fund

	Shares		Value
SHORT-TERM INVESTMENTS (5.1%)
Federated Government Obligations Fund, 0.01% (2)		446,823	$	446,823
TOTAL SHORT-TERM INVESTMENTS (Cost $446,823)				446,823
TOTAL INVESTMENTS (103.6%) (Cost $6,949,386)				8,993,333
LIABILITIES IN EXCESS OF OTHER ASSETS (-3.6%)				(308,345	)
NET ASSETS (100.0%)			$	8,684,988

(1)	Non-income producing.
(2)	Rate disclosed is the seven day yield as of April 30, 2013.
ADR — American Depository Receipt
PLC — Public Limited Company
REIT — Real Estate Investment Trusts

See accompanying notes to financial statements.

11

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

STATEMENTS OF ASSETS AND LIABILITIES – April 30, 2013 (Unaudited)

	Commonwealth														Commonwealth
	Australia/New						Commonwealth				Commonwealth				Real Estate
	Zealand Fund			Africa Fund			Japan Fund				Global Fund				Securities Fund
ASSETS:
Investments, at value (Cost $16,187,197, $2,047,470, $4,228,068, $10,752,879 and $6,949,386)		$	23,629,100		$	2,066,298		$	5,578,289			$	14,921,455			$	8,993,333
Investments in affiliated companies, at value (Cost $758,318, $0, $0, $0 and $0)			338,017			—			—				—				—
Total Investments, at value (Cost $16,945,515, $2,047,470, $4,228,068, $10,752,879 and $6,949,386)			23,967,117			2,066,298			5,578,289				14,921,455				8,993,333
Foreign currency, at value (Cost $1,750,896, $16,211, $14,949, $0 and $0)			1,785,928			16,538			15,125				—				—
Interest and dividends receivable			17,817			2,415			25,099				76,180				18,571
Receivable for shares of beneficial interest issued			17,817			2,000			—				3,000				124
Receivable for investments sold			137,300			—			—				—				—
Due from adviser			—			7,003			—				—				—
Prepaid expenses			18,809			14,561			12,023				17,046				17,466
Total Assets			25,944,788			2,108,815			5,630,536				15,017,681				9,029,494
LIABILITIES:
Due to custodian			46,674			—			—				—				—
Payable for investments purchased			209,575			95,918			230,960				197,175				205,450
Payable for options written (Proceeds $0, $0, $0, $0 and $13,410)			—			—			—				—				6,795
Payable for shares of beneficial interest redeemed			19,963			—			—				—				97,151
Accrued expenses and other payables:
Management fees (Note 4)			15,541			—			2,992				8,963				5,361
Administration			13,497			1,288			2,796				8,090				4,899
Distribution			10,511			799			1,915				13,751				4,586
Accounting and transfer agent			13,477			3,419			7,930				6,751				5,159
Trustee			9,135			717			1,705				5,415				3,191
Compliance			6,171			491			1,034				3,600				2,148
Custodian			2,482			227			345				493				325
Other			27,723			1,627			4,625				16,144				9,441
Total Liabilities			374,749			104,486			254,302				260,382				344,506
NET ASSETS		$	25,570,039		$	2,004,329		$	5,376,234			$	14,757,299			$	8,684,988
NET ASSET VALUE, OFFERING PRICE & REDEMPTION PRICE PER SHARE:(a)
(1,912,985, 196,379, 1,762,400, 946,965 and 692,503, shares of beneficial interest outstanding, respectively.)		$	13.37		$	10.21		$	3.05			$	15.58			$	12.54
NET ASSETS CONSIST OF:
Paid-in-beneficial interest		$	18,164,149		$	1,968,160		$	5,067,461			$	10,447,751			$	7,509,716
Accumulated net investment income (loss)			169,725			8,725			(150,401	)			(125,225	)			(67,893	)
Accumulated net realized gains (losses) from investments, option contracts and foreign currency transactions			181,343			8,292			(890,366	)			266,197				(807,397	)
Net unrealized appreciation on investments, option contracts and foreign currency translations			7,054,822			19,152			1,349,540				4,168,576				2,050,562
NET ASSETS		$	25,570,039		$	2,004,329		$	5,376,234			$	14,757,299			$	8,684,988

(a) Subject to certain exceptions, a 2% redemption fee is imposed upon shares redeemed within 14 calendar days of their purchase. See Note 3 in the Notes to the Financial Statements. Par value $0.01, unlimited shares authorized.

See accompanying notes to financial statements.

12

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

STATEMENTS OF OPERATIONS – April 30, 2013 (Unaudited)

	Commonwealth																Commonwealth
	Australia/								Commonwealth				Commonwealth				Real Estate
	New Zealand Fund				Africa Fund				Japan Fund				Global Fund				Securities Fund
INVESTMENT INCOME:
Interest income		$	36,863			$	940			$	15			$	50			$	4,820
Dividend income, unaffiliated issuers			651,840				24,514				35,415				179,980				140,399
Foreign tax withholding			(82,322	)			(1,731	)			(2,426	)			(10,606	)			—
Total Investment Income			606,381				23,723				33,004				169,424				145,219
EXPENSES:
Management fees (Note 4)			91,031				10,473				15,166				52,968				30,981
Legal fees			27,275				1,562				4,480				16,553				9,300
Administration fees			86,721				6,233				14,467				50,467				29,604
Accounting and transfer agent fees			44,305				11,821				26,314				22,176				17,050
Distribution fees			30,344				2,095				5,055				16,516				10,327
Custodian fees			7,648				875				703				1,669				1,091
Miscellaneous fees			10,609				978				1,969				6,335				3,756
Audit fees			15,344				1,149				2,665				9,012				5,303
Trustee fees and expenses			19,195				1,503				3,033				10,710				6,222
Consulting services fees			1,385				97				221				802				470
Compliance fees			25,043				1,784				4,036				14,496				8,502
Insurance fees			9,627				583				1,796				5,981				3,436
State registration and filing fees			9,141				9,643				8,505				9,266				10,026
Printing and postage fees			12,073				1,280				1,775				6,098				3,708
Interest expense			—				—				24				—				—
Total Expenses			389,741				50,076				90,209				223,049				139,776
Waiver of fees and reimbursement of expenses (Note 4)			—				(50,076	)			—				—				—
Net expenses			389,741				—				90,209				223,049				139,776
Net Investment Income (Loss)			216,640				23,723				(57,205	)			(53,625	)			5,443
REALIZED/UNREALIZED GAIN ON INVESTMENTS, OPTION CONTRACTS AND FOREIGN CURRENCY TRANSACTIONS:
Net realized gain (loss) on investments, unaffiliated issuers			336,843				6,331				(67,773	)			286,543				10,014
Net realized gain (loss) from option contracts			—				—				(14,576	)			—				30,016
Net realized gain (loss) on foreign currency transactions			27,522				1,961				(16,310	)			—				—
Net change in unrealized appreciation/depreciation on:
Investments, unaffiliated issuers			2,212,294				(9,205	)			916,327				1,164,377				818,713
Investments, affiliated issuers			33,961				—				—				—				—
Option contracts			—				—				22,225				240				32,605
Rights			—				(1,232	)			—				—				—
Foreign currency translations			38,537				(730	)			(64	)			—				—
Net realized/unrealized gain (loss) from investments, option contracts and foreign currency transactions			2,649,157				(2,875	)			839,829				1,451,160				891,348
Net Increase In Net Assets Resulting From Operations		$	2,865,797			$	20,848			$	782,624			$	1,397,535			$	896,791

See accompanying notes to financial statements.

13

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

STATEMENTS OF CHANGES IN NET ASSETS

	Commonwealth
	Australia/New Zealand Fund								Africa Fund
	Six Months Ended								Six Months Ended
	April 30, 2013				Year Ended				April 30, 2013				Period Ended
	(Unaudited)				October 31, 2012				(Unaudited)				October 31, 2012(a)
OPERATIONS:
Net investment income (loss)		$	216,640			$	262,838			$	23,723			$	10,377
Net realized gain (loss) from investments			336,843				879,348				6,331				—
Net realized gain (loss) from option contracts			—				—				—				—
Net realized gain from rights			—				17,003				—				—
Net realized gain (loss) from foreign currency transactions			27,522				(2,300	)			1,961				(5,517	)
Net change in unrealized appreciation (depreciation) on investments, option contracts, rights and foreign currency translations			2,284,792				1,497,953				(11,167	)			30,319
Change in net assets resulting from operations			2,865,797				2,654,842				20,848				35,179
DISTRIBUTIONS TO SHAREHOLDERS:
Net investment income:			(310,746	)			(231,695	)			(23,881	)			—
Net realized gains:			—				—				—				—
Change in net assets from distributions			(310,746	)			(231,695	)			(23,881	)			—
CAPITAL TRANSACTIONS:
Proceeds from shares issued			3,297,009				3,723,251				797,618				1,373,853
Dividends reinvested			293,826				218,231				23,784				—
Cost of shares redeemed			(2,923,232	)			(5,429,542	)			(170,089	)			(52,993	)
Redemption fees			32				27				10				—
Change in net assets resulting from capital transactions			667,635				(1,488,033	)			651,323				1,320,860
Change in net assets			3,222,686				935,114				648,290				1,356,039
NET ASSETS:
Beginning of period			22,347,353				21,412,239				1,356,039				—
End of period		$	25,570,039			$	22,347,353			$	2,004,329			$	1,356,039
Accumulated net investment income (loss)		$	169,725			$	263,831			$	8,725			$	8,883
SHARE TRANSACTIONS:
Issued			262,607				347,614				78,065				138,021
Reinvested			23,811				22,110				2,268				—
Redeemed			(228,079	)			(505,576	)			(16,489	)			(5,486	)
Change in shares			58,339				(135,852	)			63,844				132,535

(a) Reflects operations for the period from November 7, 2011 (inception date) to October 31, 2012.

See accompanying notes to financial statements.

14

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

STATEMENTS OF CHANGES IN NET ASSETS

Commonwealth								Commonwealth								Commonwealth
Japan Fund								Global Fund								Real Estate Securities Fund
Six Months Ended								Six Months Ended								Six Months Ended
April 30, 2013				Year Ended				April 30, 2013				Year Ended				April 30, 2013				Year Ended
(Unaudited)				October 31, 2012				(Unaudited)				October 31, 2012				(Unaudited)				October 31, 2012
	$	(57,205	)		$	(115,774	)		$	(53,625	)		$	(112,945	)		$	5,443			$	(91,397	)
		(67,773	)			123,173				286,543				(19,297	)			10,014				(132,284	)
		(14,576	)			(38,716	)			—				—				30,016				—
		—				—				—				—				—				—
		(16,310	)			7,014				—				—				—				—
		938,488				(210,489	)			1,164,617				577,629				851,318				1,346,246
		782,624				(234,792	)			1,397,535				445,387				896,791				1,122,565
		—				—				—				—				—				—
		—				—				—				(1,332,683	)			—				—
		—				—				—				(1,332,683	)			—				—
		1,715,292				1,092,483				778,436				916,081				648,683				278,311
		—				—				—				1,305,051				—				—
		(1,138,637	)			(634,582	)			(729,962	)			(1,307,983	)			(684,096	)			(871,009	)
		—				18				4				10				21				11
		576,655				457,919				48,478				913,159				(35,392	)			(592,687	)
		1,359,279				223,127				1,446,013				25,863				861,399				529,878
		4,016,955				3,793,828				13,311,286				13,285,423				7,823,589				7,293,711
	$	5,376,234			$	4,016,955			$	14,757,299			$	13,311,286			$	8,684,988			$	7,823,589
	$	(150,401	)		$	(93,196	)		$	(125,225	)		$	(71,600	)		$	(67,893	)		$	(73,336	)
		610,292				417,917				53,201				65,767				55,648				26,926
		—				—				—				98,607				—				—
		(429,445	)			(241,723	)			(48,588	)			(93,537	)			(57,342	)			(83,159	)
		180,847				176,194				4,613				70,837				(1,694	)			(56,233	)

See accompanying notes to financial statements.

15

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

FINANCIAL HIGHLIGHTS

Commonwealth Australia/New Zealand Fund

Selected data for a share outstanding throughout the periods indicated:

	For the six
	months ended				For the year				For the year				For the year				For the year				For the year
	4/30/13				ended				ended				ended				ended				ended
	(Unaudited)				10/31/12				10/31/11				10/31/10				10/31/09				10/31/08
Net Asset Value, Beginning of Period		$	12.05			$	10.76			$	10.74			$	9.84			$	10.87			$	20.34
Change in net assets from operations:
Net investment income			0.11				0.14				0.12				0.08				0.08	(a)			1.04
Net realized and unrealized gain (loss) from investments			1.37				1.27				0.07	(b)			0.82				1.95				(8.47	)
Total from investment activities			1.48				1.41				0.19				0.90				2.03				(7.43	)
Distributions
Net investment income			(0.16	)			(0.12	)			(0.17	)			—				(1.80	)			(0.60	)
Net realized gains			—				—				—				—				(1.26	)			(1.44	)
Total distributions			(0.16	)			(0.12	)			(0.17	)			—				(3.06	)			(2.04	)
Redemption fees			—	(c)			—	(c)			—	(c)			—	(c)			—	(c)			—
Net Asset Value, End of Period		$	13.37			$	12.05			$	10.76			$	10.74			$	9.84			$	10.87
Total return			12.40	%(d)			13.31	%			1.85	%			9.15	%			29.09	%			(40.25	)%
Net assets at end of period (000’s)		$	25,570			$	22,347			$	21,412			$	24,975			$	28,975			$	19,964
Ratios/Supplemental Data:
Ratio of net expenses to average net assets			3.21	%(e)			3.32	%			3.08	%			3.24	%			3.59	%			2.74	%
Ratio of gross expenses before reimbursement to average net assets			3.21	%(e)			3.32	%			3.08	%			3.24	%			3.59	%			2.74	%
Ratio of net investment income to average net assets			1.78	%(e)			1.26	%			1.20	%			1.05	%			0.95	%			5.67	%
Portfolio turnover rate			11	%(d)			8	%			22	%			12	%			34	%			21	%

(a)	Calculated using the average shares method.
(b)	The amount of net gain from securities (both realized and unrealized) per share, does not accord with the amounts reported in the Statements of Operations due to the timing of purchases and redemptions of Fund shares during the year.
(c)	Value is less than $0.005 per share.
(d)	Not annualized for periods less than one year.
(e)	Annualized for periods less than one year.

See accompanying notes to financial statements.

16

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

FINANCIAL HIGHLIGHTS

Africa Fund

Selected data for a share outstanding throughout the periods indicated:

	For the six
	months ended				For the Period
	4/30/13				ended
	(Unaudited)				10/31/12(a)
Net Asset Value, Beginning of Period		$	10.23			$	10.00
Change in net assets from operations:
Net investment income			0.13				0.08
Net realized and unrealized gain from investments			0.01				0.15
Total from investment activities			0.14				0.23
Distributions
Net investment income			(0.16	)			—
Total distributions			(0.16	)			—
Redemption fees			—	(b)			—
Net Asset Value, End of Period		$	10.21			$	10.23
Total return			1.33	%(c)			2.30	%(c)
Net assets at end of period (000’s)		$	2,004			$	1,356
Ratios/Supplemental Data:
Ratio of net expenses to average net assets			—	%(d)(f)			0.70	%(d)(e)
Ratio of gross expenses before reimbursement to average net assets			5.96	%(d)			8.32	%(d)
Ratio of net investment income to average net assets			2.82	%(d)			1.32	%(d)
Portfolio turnover rate			5	%(c)			—	%(c)

(a)	Reflects operations for the period from November 7, 2011 (inception date) to October 31, 2012.
(b)	Value is less than $0.005 per share.
(c)	Not annualized for periods less than one year.
(d)	Annualized for periods less than one year.
(e)	The ratio of net expenses are the combined result of $9,801 in contractual waivers representing (1.25)% and $49,962 in voluntary reimbursements representing (6.37)%. Please refer to Note 4, Related Party Transactions and Other Arrangements, in the Notes to Financial Statements.
(f)	The ratio of net expenses are the combined result of $10,473 in contractual waivers representing (1.25)% and $39,603 in voluntary reimbursements representing (4.71)%. Please refer to Note 4, Related Party Transactions and Other Arrangements, in the Notes to Financial Statements.

See accompanying notes to financial statements.

17

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

FINANCIAL HIGHLIGHTS

Commonwealth Japan Fund

Selected data for a share outstanding throughout the periods indicated:

	For the six
	months ended				For the year				For the year				For the year				For the year				For the year
	4/30/13				ended				ended				ended				ended				ended
	(Unaudited)				10/31/12				10/31/11				10/31/10				10/31/09				10/31/08
Net Asset Value, Beginning of Period		$	2.54			$	2.70			$	2.80			$	2.69			$	2.47			$	3.82
Change in net assets from operations:
Net investment loss			(0.03	)			(0.07	)			(0.09	)			(0.07	)			(0.06	)(a)			(0.04	)
Net realized and unrealized gain (loss) from investments			0.54				(0.09	)			(0.01	)(b)			0.18				0.28				(1.31	)
Total from investment activities			0.51				(0.16	)			(0.10	)			0.11				0.22				(1.35	)
Redemption fees			—				—	(c)			—	(c)			—	(c)			—	(c)			—
Net Asset Value, End of Period		$	3.05			$	2.54			$	2.70			$	2.80			$	2.69			$	2.47
Total return			20.08	%(d)			(5.93	)%			(3.57	)%			4.09	%			8.91	%			(35.34	)%
Net assets at end of period (000’s)		$	5,376			$	4,017			$	3,794			$	4,017			$	4,432			$	4,905
Ratios/Supplemental Data:
Ratio of net expenses to average net assets			4.44	%(e)			4.84	%			3.91	%			4.24	%			4.56	%			3.33	%
Ratio of gross expenses before reimbursement to average net assets			4.44	%(e)			4.84	%			3.91	%			4.24	%			4.56	%			3.33	%
Ratio of net investment loss to average net assets			(2.82	)%(e)			(3.01	)%			(2.52	)%			(2.45	)%			(2.58	)%			(1.36	)%
Portfolio turnover rate			13	%(d)			20	%			62	%			10	%			30	%			10	%

(a)	Calculated using the average shares method.
(b)	The amount of net gain from securities (both realized and unrealized) per share, does not accord with the amounts reported in the Statements of Operations due to the timing of purchases and redemptions of Fund shares during the year.
(c)	Value is less than $0.005 per share.
(d)	Not annualized for periods less than one year.
(e)	Annualized for periods less than one year.

See accompanying notes to financial statements.

18

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

FINANCIAL HIGHLIGHTS

Commonwealth Global Fund

Selected data for a share outstanding throughout the periods indicated:

	For the six
	months ended				For the year				For the year				For the year				For the year				For the year
	4/30/13				ended				ended				ended				ended				ended
	(Unaudited)				10/31/12				10/31/11				10/31/10				10/31/09				10/31/08
Net Asset Value, Beginning of Period		$	14.13			$	15.24			$	15.44			$	13.40			$	11.16			$	19.97
Change in net assets from operations:
Net investment loss			(0.05	)			(0.12	)			(0.07	)			(0.12	)			(0.10	)(a)			(0.02	)
Net realized and unrealized gain (loss) from investments			1.50				0.54				(0.13	)(b)			2.16				2.34				(7.60	)
Total from investment activities			1.45				0.42				(0.20	)			2.04				2.24				(7.62	)
Distributions
Net investment income			—				—				—				—				—				(0.01	)
Net realized gains			—				(1.53	)			—				—				—				(1.18	)
Total distributions			—				(1.53	)			—				—				—				(1.19	)
Redemption fees			—	(c)			—	(c)			—	(c)			—	(c)			—	(c)			—
Net Asset Value, End of Period		$	15.58			$	14.13			$	15.24			$	15.44			$	13.40			$	11.16
Total return			10.26	%(d)			3.47	%			(1.30	)%			15.22	%			20.07	%			(40.36	)%
Net assets at end of period (000’s)		$	14,757			$	13,311			$	13,285			$	16,574			$	14,953			$	13,328
Ratios/Supplemental Data:
Ratio of net expenses to average net assets			3.16	%(e)			3.31	%			3.05	%			3.02	%			3.40	%			2.43	%
Ratio of gross expenses before reimbursement to average net assets			3.16	%(e)			3.31	%			3.05	%			3.02	%			3.40	%			2.43	%
Ratio of net investment loss to average net assets			(0.76	)%(e)			(0.85	)%			(0.38	)%			(0.85	)%			(0.92	)%			(0.12	)%
Portfolio turnover rate			7	%(d)			11	%			18	%			10	%			12	%			7	%

(a)	Calculated using the average shares method.
(b)	The amount of net gain from securities (both realized and unrealized) per share, does not accord with the amounts reported in the Statements of Operations due to the timing of purchases and redemptions of Fund shares during the year.
(c)	Value is less than $0.005 per share.
(d)	Not annualized for periods less than one year.
(e)	Annualized for periods less than one year.

See accompanying notes to financial statements.

19

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

FINANCIAL HIGHLIGHTS

Commonwealth Real Estate Securities Fund

Selected data for a share outstanding throughout the periods indicated:

	For the six
	months ended				For the year				For the year				For the year				For the year				For the year
	4/30/13				ended				ended				ended				Ended				ended
	(Unaudited)				10/31/12				10/31/11				10/31/10				10/31/09				10/31/08
Net Asset Value, Beginning of Period		$	11.27			$	9.72			$	10.09			$	8.42			$	7.56			$	14.21
Change in net assets from operations:
Net investment income (loss)			0.01				(0.13	)			(0.16	)			(0.09	)			(0.01	)(a)			(0.08	)
Net realized and unrealized gain (loss) from investments			1.26				1.68				(0.21	)(b)			1.76				0.87				(5.45	)
Total from investment activities			1.27				1.55				(0.37	)			1.67				0.86				(5.53	)
Distributions
Net realized gains			—				—				—				—				—				(0.95	)
Return of capital			—				—				—				—				—				(0.17	)
Total distributions			—				—				—				—				—				(1.12	)
Redemption fees			—	(c)			—	(c)			—	(c)			—				—				—
Net Asset Value, End of Period		$	12.54			$	11.27			$	9.72			$	10.09			$	8.42			$	7.56
Total return			11.27	%(d)			15.95	%			(3.67	)%			19.83	%			11.38	%			(41.65	)%
Net assets at end of period (000’s)		$	8,685			$	7,824			$	7,294			$	9,063			$	8,189			$	8,190
Ratios/Supplemental Data:
Ratio of net expenses to average net assets			3.38	%(e)			3.53	%			3.29	%			3.22	%			3.71	%			2.55	%
Ratio of gross expenses before reimbursement to average net assets			3.38	%(e)			3.53	%			3.29	%			3.22	%			3.71	%			2.55	%
Ratio of net investment income (loss) to average net assets			0.13	%(e)			(1.20	)%			(1.48	)%			(0.89	)%			(0.11	)%			(0.66	)%
Portfolio turnover rate			3	%(d)			5	%			7	%			21	%			5	%			13	%

(a)	Calculated using the average shares method.
(b)	The amount of net gain from securities (both realized and unrealized) per share, does not accord with the amounts reported in the Statements of Operations due to the timing of purchases and redemptions of Fund shares during the year.
(c)	Value is less than $0.005 per share.
(d)	Not annualized for periods less than one year.
(e)	Annualized for periods less than one year.

See accompanying notes to financial statements.

20

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited)

Note 1 – Organization

Commonwealth International Series Trust (the “Trust”) was organized as a Massachusetts business trust on May 8, 1986, and is registered under the Investment Company Act of 1940, as amended (the “Act”), as a diversified open-end management investment company. The Trust currently consists of five diversified series: the Commonwealth Australia/New Zealand Fund (the “Australia/New Zealand Fund”), the Africa Fund (the “Africa Fund”), the Commonwealth Japan Fund (the “Japan Fund”), the Commonwealth Global Fund (the “Global Fund”) and the Commonwealth Real Estate Securities Fund (the “Real Estate Securities Fund”) (each a “Fund” and collectively the “Funds”).

Note 2 – Investment Objectives

Each Fund’s investment objective is to provide long-term capital appreciation and current income. Under normal market conditions, each Fund (other than the Global Fund) invests at least 80% of its assets in the country or asset class specified in its name (i.e. Australia/New Zealand, Africa, Japan or Real Estate).

Note 3 – Significant Accounting Policies

The following is a summary of significant accounting policies consistently followed by the Trust in the preparation of financial statements for the Funds. The policies are in conformity with accounting principles generally accepted in the United States of America (“GAAP”).

A) Valuation of Securities  – Each Fund’s assets are valued normally on the basis of market quotations or official closing prices or, if there is no recent last sales price available, reference is made to the last current bid and ask quotation in the principal market in which the securities are normally traded. Equity securities that are traded on the NASDAQ National Market System, for which quotations are readily available, are valued at the official closing price. Debt securities are priced either by using a market quotation or an independent pricing service. The pricing service may use one or more pricing models. Generally, debt instruments with maturities of less than 60 days (short-term debt) are valued at amortized cost or original cost plus interest, which approximates current value. Investments in open-end investment companies are valued at net asset value. If Fund management determines that market quotations or official closing prices are not readily available or do not accurately reflect the fair value for a security, the fair value of the security or securities will be determined in accordance with procedures established by the Board of Trustees (the “Board”). Fair value prices are generally provided by an independent fair value pricing service. The Funds have instituted a policy whereby the value of certain equity securities listed or traded on foreign security exchanges may be valued by an independent fair value pricing service on any day when certain conditions are met. The Australia/New Zealand Fund, Africa Fund and Japan Fund have retained an independent fair value pricing service to assist in the fair valuing of these foreign securities. The service utilizes statistical data based on historical performance of securities, markets, and other data in developing factors used to estimate a fair value. In the Australia/New Zealand Fund and Japan Fund, the measure is based on a comparison between the S&P 500 Futures, Tokyo close to New York close. In the Africa Fund, the measure is based on a comparison between the S&P 500 Futures, London close to New York close.

B) Fair Value Measurements  – The Funds’ investments have been categorized by tiers dependent upon the various “inputs” used to determine the fair value of the Funds’ investments. These inputs are summarized in the three broad levels listed below:

• Level 1 – quoted prices in active markets for identical assets.

• Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayments speeds, credit risk, etc.).

• Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments).

The Funds have adopted Accounting Standards Update No. 2011-04,Fair Value Measurements (Topic 820) — Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and International Financial Reporting Standards (“IFRS”) which amends Fair Value Measurements and Disclosures to establish common requirements for measuring fair value and for disclosing information about fair value measurements in accordance with U.S. GAAP and IFRS. Enhanced disclosure is required to detail any transfers into and out of Level 1 and Level 2 measurements and Level 2 and Level 3 measurements and the reason for the transfers.

21

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited) (Continued)

A description of the valuation techniques applied to the Fund’s major categories of assets and liabilities measured at fair value on a recurring basis follows:

Common stocks, preferred stocks, exchange traded funds and short term investments. Securities traded on a national exchange (or reported on the NASDAQ national market) are stated at the last reported sales price on the day of valuation. To the extent these securities are actively traded and valuation adjustments are not applied, they are generally categorized in Level 1 of the fair value hierarchy. Investments in other open-end registered investment companies are valued at net asset value. Short term investments may be valued using amortized cost which approximates fair value. Securities traded on inactive markets, valued by reference to similar instruments or whose inputs are observable and timely would be categorized in Level 2 of the fair value hierarchy.

Corporate Bonds. The fair value of corporate bonds may be estimated using recently executed transactions, market price quotations (where observable), bond spreads, and/or credit default swap spreads adjusted for any basis difference between cash and derivative instruments. Corporate bonds are generally categorized in Level 2 of the fair value hierarchy; in instances where prices, spreads, or any of the other aforementioned key inputs are unobservable, they would be categorized in Level 3 of the fair value hierarchy.

Written/Purchased options. Listed derivatives that are actively traded are valued based on quoted prices from the exchange and are generally categorized in Level 1 of the fair value hierarchy.

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used to value the Funds’ net assets as of April 30, 2013:

	Australia/New Zealand Fund
		Level 1		Level 2		Level 3		Total**
Security Type
Common Stocks*		$	22,187,744	$	—	$	—	$	22,187,744
Corporate Bonds			1,145,517		—		—		1,145,517
Preferred Stocks			633,856		—		—		633,856
Total		$	23,967,117	$	—	$	—	$	23,967,117
	Africa Fund
		Level 1		Level 2		Level 3		Total**
Security Type
Common Stocks*		$	1,316,165	$	—	$	—	$	1,316,165
Exchange Traded Funds			485,655		—		—		485,655
Sovereign Bonds			24,635		—		—		24,635
Short Term Investments			239,843		—		—		239,843
Total		$	2,066,298	$	—	$	—	$	2,066,298
	Japan Fund
		Level 1		Level 2		Level 3		Total**
Security Type
Common Stocks*		$	4,426,638	$	—	$	—	$	4,426,638
Exchange Traded Funds			436,000		—		—		436,000
Short Term Investments			715,651		—		—		715,651
Total		$	5,578,289	$	—	$	—	$	5,578,289
	Global Fund
		Level 1		Level 2		Level 3		Total**
Security Type
Common Stocks*		$	11,117,810	$	—	$	—	$	11,117,810
United Kingdom			1,903,397		335,014		—		2,238,411
Preferred Stocks*			648,640		—		—		648,640
Call Options			22,600		—		—		22,600
Short Term Investments			893,994		—		—		893,994
Total		$	14,586,441	$	335,014	$	—	$	14,921,455

22

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited) (Continued)

	Real Estate Securities Fund
		Level 1		Level 2		Level 3		Total**
Security Type
Common Stocks*		$	8,351,435	$	—	$	—	$	8,351,435
Exchange Traded Funds			195,075		—		—		195,075
Short Term Investments			446,823		—		—		446,823
Total		$	8,993,333	$	—	$	—	$	8,993,333

*	All sub-categories within Common Stocks and Preferred Stocks represent Level 1 evaluation status. For a detailed breakout by industry, please refer to the Schedule of Investments.
**	There were no Level 3 securities held as of April 30, 2013.

The following is a summary of other financial instruments that are derivative instruments not reflected in the Schedule of Investments, such as futures, written options, forwards and swap contracts, which are valued at the unrealized appreciation/depreciation on the investment.

	Unrealized Appreciation on Other Financial Instruments
Fund		Level 1		Level 2		Level 3		Total
Real Estate Securities Fund
Written Options		$	6,615	$	—	$	—	$	6,615
Total		$	6,615	$	—	$	—	$	6,615

It is the Fund’s policy to recognize transfers into and out of all Levels at the end of the reporting period. As described in Note 3 – Significant Accounting Policies under A) Valuation of Securities, certain equity securities listed or traded on foreign exchanges may be valued by an independent fair value pricing service on any day when certain conditions are met. During the period ended April 30, 2013, there were several instances where these conditions were met, and as a result, foreign securities in the Australia/New Zealand Fund, Africa Fund and the Japan Fund were fair valued. On October 31, 2012 and April 30, 2013, conditions were not met requiring securities to be fair valued and therefore, categorized in Level 1. For the period ended April 30, 2013 there were no transfers between each of the three levels.

C) Currency Translation – For purposes of determining a Fund’s net asset value, all assets and liabilities initially expressed in foreign currency values are converted into U.S. dollar values at the prevailing market rate on each U.S. business day. The cost of securities is determined by using an exchange rate provided by an independent third party. Income is translated at approximate rates prevailing when accrued. The Funds do not isolate that portion of gains and losses on investments which is due to changes in foreign exchange rates from that which is due to changes in the market prices of the investments. Such fluctuations are included with the net realized and unrealized gains and losses from investments.

D) Allocations of Expenses – Expenses directly attributable to a Fund are charged directly to that Fund, while expenses which are attributable to more than one Fund, or the Trust, are allocated among the respective Funds based upon relative net assets or some other reasonable method.

E) Accounting for Investments – Security transactions are accounted for on the trade date. Realized gains and losses on security transactions are based on the identified cost basis for both financial statement and Federal income tax purposes. Dividend income and distributions to shareholders are recorded on the ex-dividend date or as soon as known if after the ex-dividend date. Discounts and premiums on bonds purchased are amortized over the life of the bonds (which may include maturity or call date). Interest income and estimated expenses are accrued daily.

F) Federal Income Taxes – It is each Fund’s policy to comply with the requirements of Subchapter M of the Internal Revenue Code that are applicable to regulated investment companies and to distribute substantially all investment company taxable income and net capital gain to shareholders in a manner which results in no tax cost to the Funds. Therefore, no federal income tax provision is required.

Dividends or interest on foreign securities may be subject to the withholding of the country of domicile’s income tax by tax treaty provisions or otherwise. Generally, there are no foreign taxes applicable to the Funds’ capital gains realized on foreign securities in their country of domicile.

Accounting for Uncertainty in Income Taxes (the “Income Tax Statement”) requires an evaluation of tax positions taken (or expected to be taken) in the course of preparing a Fund’s tax returns to determine whether these positions meet a “more-likely-than-not” standard that, based on the technical merits, have a more than fifty percent likelihood of being sustained by a taxing authority upon examination. A tax position that meets the “more-likely-than-not” recognition threshold is measured to determine the amount of benefit to recognize in the financial statements. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statements of Operations.

23

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited) (Continued)

The Income Tax Statement requires management of the Funds to analyze all open tax years, fiscal years 2009-2013 as defined by IRS statute of limitations for all major jurisdictions, including federal tax authorities and certain state tax authorities. As of and during the period ended April 30, 2013, the Funds did not have a liability for any unrecognized tax benefits. The Funds have no examinations in progress and are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

G) Distributions to Shareholders – The Funds distribute net investment income, if any, and net realized gains (net of any capital loss carryovers) annually. Income and capital gain distributions are determined in accordance with income tax regulations which may differ from GAAP. These differences are primarily due to differing treatments for foreign currency transactions and deferrals of certain losses.

H) Redemption Fees – Redemption fees are applicable to certain redemptions of shares within fourteen calendar days of purchase. The redemption fee is imposed to discourage abusive trading activity, which can have disruptive effects on the Funds’ portfolio management and can increase the Funds’ expenses. The redemption fees are intended to offset, at least partially, portfolio transaction and administrative costs associated with short-term trading. The shareholder will be charged a fee equal to 2.00% of the amount redeemed and will be charged when shares are sold, exchanged or involuntarily redeemed. In determining the applicability of the redemption fee, shares held for the longest period of time will be treated as being sold first and shares held for the shortest period of time as being sold last. For the period ended April 30, 2013, the Australia/New Zealand Fund, Africa Fund, Japan Fund, Global Fund, and Real Estate Fund had contributions to capital due to redemption fees in the amount of $32, $10, $0, $4 and $21, respectively.

I) Option Accounting Principles – A Fund may purchase or write put or call options on futures contracts, individual securities, currencies or stock indices to hedge against fluctuations in securities prices and currency exchange rates and to adjust its risk exposure relative to the benchmark. The Fund may use these derivatives for any purpose consistent with its investment objective, such as hedging, obtaining market exposure, and generating premium income.

When a Fund writes an option, the premium received is recorded as a liability. Each day the option contract liability is valued in accordance with the procedures for security valuation discussed above. When an offsetting option is purchased (a closing transaction) or the option contract expires, the Fund realizes a gain or loss and the liability related to such option contract is eliminated. When a call option is exercised, the Fund realizes a gain or loss from the sale of the underlying security and the proceeds of the sale are increased by the premiums originally received.

When a Fund purchases an option, the premium paid is recorded as an asset. Each day the option contract is valued in accordance with the procedures for security valuation discussed above. When an offsetting option is written (a closing transaction) or the option contract expires, the Fund realizes a gain or loss and the asset representing such option contract is eliminated. When a call option is exercised, the Fund purchases the underlying security and the cost basis of such purchase is increased by the premium originally paid.

J) Forward Currency Contracts – Forward currency transactions may be undertaken to hedge against possible variations in the foreign exchange rates between the U.S. dollar and foreign currencies. A forward currency contract is an agreement between two parties to buy or sell a currency at a set price on a future date. Forward contracts are marked-to-market daily and the change in the market value is recorded by the Fund as an unrealized gain or loss. When a contract is closed, the Fund records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed. The Funds could be exposed to risk if the counterparties are unable to meet the terms of the contracts or if the value of the currency changes unfavorably. Other risks of forward currency transactions include failing to achieve expected benefit, markets moving in a direction that the Funds did not expect, a Fund’s inability to be able to close out its position in the hedging instrument, and political and social unrest and the possibility of negative governmental actions. As of April 30, 2013, the Funds held no foreign currency contracts.

K) Repurchase Agreements – In connection with transactions in repurchase agreements, it is the Funds’ policy that their custodian bank takes possession of the underlying collateral securities, the fair value of which must be equal to the principal amount of the repurchase agreement including accrued interest throughout the term of the repurchase agreement. If the seller defaults and the fair value of the collateral declines, realization of the collateral value by the Funds may be delayed or limited.

L) Use of Estimates – The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates and these differences could be material.

24

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited) (Continued)

Note 4 – Related Party Transactions and Other Arrangements

A) Investment Advisor – The Trust, on behalf of each Fund, has retained FCA Corp. as the Funds’ investment advisor (the “Advisor”). Under each Fund’s Investment Advisory Agreement, the Advisor is paid a monthly fee (the “Management Fee”), calculated daily and payable monthly, equal to an annual rate of 0.75% of the average net assets of each Fund other than the Africa Fund for which it receives 1.25% of the average daily net assets of the Fund. The Advisor has contractually agreed to waive the Management Fee of 1.25% for the Africa Fund through February 28, 2014. The Advisor may not terminate this arrangement prior to February 28, 2014 unless the investment advisory agreement is terminated. The Africa Fund has agreed to repay the Advisor for amounts waived by the Advisor pursuant to the fee waiver agreement to the extent that such repayment occurs within three years of the date of any such waiver and such repayment does not cause the Africa Fund’s total fund operating expenses to exceed 3.30%. For the period ended April 30, 2013, the Advisor waived Management Fees in the Africa Fund in the amount of $10,473 which is subject to recoupment. For the period ended April 30, 2013, the Advisor chose to voluntarily reimburse beyond its contractual agreement in the Africa Fund in the amount of $39,603, an amount which is not subject to recoupment. As of April 30, 2013, the Africa Fund has $9,801 subject to recoupment through October 31, 2015 and an additional $10,473 through April 30, 2016.

Certain officers of the Trust are also officers of FCA.

B) Administration, Fund Accounting and Transfer Agent – UMB Fund Services, Inc. (“UMB”) serves as the administrator, transfer agent and fund accountant to the Funds. For these services UMB receives fees computed at an annual rate of the daily net assets of the Funds, subject to a minimum annual contractual fee. An officer of the Trust also is an employee of UMB, but is paid no fees directly by the Funds for serving as an officer of the Trust.

C) Distribution – UMB Distribution Services, LLC, serves as the principal underwriter for the shares of each Fund of the Trust and receives an annual contractual fee. UMB Distribution Services, LLC is an affiliate of UMB.

Each Fund has adopted a Service and Distribution Plan (each a “Plan”) pursuant to Rule 12b-1 under the Act, whereby up to 0.35% of the Fund’s assets may be used to reimburse the Distributor for costs and expenses incurred in connection with the distribution and marketing of shares of the Fund and the servicing of Fund shareholders. Distribution and marketing expenses include, among other things, printing of prospectuses, marketing literature, and costs of personnel involved with the promotion and distribution of the Fund’s shares. These amounts are disclosed on the Statement of Operations under Distribution fees. While the plans permit each Fund to pay up to 0.35% of its average daily net assets to reimburse for certain expenses in connection with the distribution of its shares, the Board of Trustees has currently authorized each Fund to pay out only 0.25% under its Plan. If the Trustees’ intention changes on this matter, the Funds will amend or supplement their prospectus. Out of the foregoing amount, each Fund is permitted to pay up to an aggregate of 0.25% of its average daily net assets to reimburse for certain shareholder services.

D) Legal Counsel – The Law Offices of John H. Lively and Associates, Inc., a member firm of The 1940 Act Law Group^TM, serves as legal counsel to the Trust. John H. Lively, Secretary of the Trust, is the owner of the Law Offices of John H. Lively & Associates, Inc., but he receives no special compensation from the Trust or the Funds for serving as an officer of the Trust.

Note 5 – Investments in Affiliates

A company is considered an affiliate of a Fund under the 1940 Act if the Fund’s holdings in that company represent 5% or more of the outstanding voting shares of that company. The Australia/New Zealand Fund’s holding below is shown in its Schedule of Investments. Further detail on this holding during the period ended April 30, 2013 appears below:

							Change in			Realized
	Percentage	Shares	Shares	Fair Value	Cost of	Cost of	Appreciation/	Fair Value	Dividend	Gain
Security Held	of Ownership	10/31/12	4/30/13	10/31/12	Purchases	Sales	Depreciation	4/30/13	Income	(Loss)
Mowbray Collectables Ltd.	7.36%	821,593	821,593	$304,056	—	—	$33,961	$338,017	$—	$—

25

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited) (Continued)

Note 6 – Purchases and Sales of Securities

Purchases and sales of investment securities (excluding short-term securities) by the Funds for the period ended April 30, 2013 were as follows:

	Purchases		Sales
Australia/New Zealand Fund	$	2,443,114	$	2,481,623
Africa Fund		658,233		75,845
Japan Fund		819,385		494,062
Global Fund		1,014,128		881,041
Real Estate Securities Fund		298,590		275,942

Note 7 – Financial Instruments with Off-Balance Sheet Risk

In the ordinary course of trading activities, certain of the Funds trade and hold certain fair-valued derivative contracts. Such contracts include forward currency contracts, where the Funds would be obligated to buy currency at specified prices, and written put and call options, where the Funds would be obligated to purchase or sell securities at specified prices (i.e., the options are exercised by the counterparties). The maximum payout for the put option contracts is limited to the number of contracts written and the related strike prices, respectively. The maximum payout for the written call option contracts is limited only by how high the underlying securities strike price rises. Maximum payout amounts could be offset by the subsequent sale, if any, of assets obtained via the execution of a payout event.

The financial instruments contain varying degrees of off-balance sheet risk whereby changes in the market value of securities underlying the financial instruments may be in excess of the amounts recognized in the Statement of Assets and Liabilities. A Fund, as writer of an option, bears the market risk of an unfavorable change in the price of the security underlying the written option. The risk associated with purchasing an option is that the Fund pays a premium whether or not the option is exercised. Additionally, each Fund bears the risk of loss of premium and change in market value should the counterparty not perform under the contract. A call option gives the holder the right to buy the underlying stock from the writer at a specified price within a fixed period of time. Therefore, the securities held by the Fund against which options are written may not be traded and are held in escrow by the custodian.

The following is a summary of the Commonwealth Real Estate Securities Fund’s written option activity:

Contracts	Number of Contracts	Premium
Outstanding @ 10/31/2012	—	$	—
Options written	45		13,410
Options expired	—		—
Options exercised	—		—
Options closed	—		—
Outstanding @ 4/30/2013	45	$	13,410

At April 30, 2013, the Real Estate Securities Fund had the following outstanding written options:

		Expiration	Exercise	Number Of	Market	Unrealized
Contracts	Type	Date	Price	Contracts	Value	Appreciation
Toll Brothers, Inc.	Call	9/21/2013	$38.00	45	$6,795	$6,615

26

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited) (Continued)

Note 8 – Derivatives

The Funds’ use of derivatives for the period ended April 30, 2013 was limited to options, foreign exchange contracts and rights issuances. The derivative instruments outstanding as of April 30, 2013, as disclosed in the Notes to the Financial Statements, and the amounts of realized and changes in unrealized gains and losses on derivative instruments during the period, as disclosed in the Statement of Operations, serve as indicators of the volume of derivative activity for the Funds. Following is a summary of how these derivatives are treated in the financial statements and their impact on the Funds.

	Statements of Assets and Liabilities		Statements of Operations
				Amount of			Amount of
Fund/Financial	Location of Asset/Liability		Location of Gain (Loss) on	Realized			Unrealized
Instrument Type	Derivatives	Value	Derivatives Recognized	Gain (Loss)			Gain (Loss)
Africa Fund
Rights Issuances			Net change in unrealized
			appreciation/(depreciation) on rights	$	—			$(1,232	)
Japan Fund
Equity Contracts			Net realized loss from option contracts		(14,576	)		—
			Net change in unrealized
			appreciation/(depreciation) on option
			contracts		—			22,225
Global Fund
Equity Contracts	Investments, at value		Net change in unrealized
	(Purchase options)	22,600	appreciation/(depreciation) on option
			contracts		—			240
Real Estate Securities Fund
Equity Contracts	Payable for options		Net realized gain from option contracts		30,016			—
	written (Written options)	(6,795)
			Net change in unrealized
			appreciation/(depreciation) on option
			contracts		—			32,605

Note 9 – Tax Matters

As of October 31, 2012, the components of accumulated earnings (deficit) on a tax basis were as follows:

	Australia/New											Real Estate
	Zealand Fund			Africa Fund		Japan Fund			Global Fund			Securities Fund
Undistributed ordinary income	$	310,698		$	8,883	$	—		$	—		$	—
Undistributed long-term capital gains		—			—		—			—			—
Tax accumulated earnings		310,698			8,883		—			—			—
Accumulated capital and other losses		(180,946	)		—		(881,836	)		(91,937	)		(898,370	)
Unrealized appreciation on investments		4,726,404			29,265		408,602			3,003,950			1,176,851
Unrealized appreciation (depreciation) on foreign currency		(5,317	)		1,054		(617	)		—			—
Total accumulated earnings (deficit)	$	4,850,839		$	39,202	$	(473,851	)	$	2,912,013		$	278,481

27

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited) (Continued)

At April 30, 2013, the gross unrealized appreciation (depreciation) on investments and cost of securities on a tax basis for federal income tax purposes were as follows:

	Australia/New												Real Estate
	Zealand Fund			Africa Fund			Japan Fund			Global Fund			Securities Fund
Gross unrealized appreciation	$	8,832,506		$	110,891		$	1,528,441		$	4,349,476		$	2,686,224
Gross unrealized depreciation		(1,812,980	)		(92,063	)		(178,220	)		(180,911	)		(680,505	)
Net unrealized appreciation on foreign currency translations		33,220			323			(681	)		—			—
Net unrealized appreciation (depreciation)	$	7,052,746		$	19,151		$	1,349,540		$	4,168,565		$	2,005,719
Cost of investments	$	16,947,591		$	2,047,470		$	4,228,068		$	10,752,890		$	6,987,614

The difference between cost amounts for financial statement and federal income tax purposes is due primarily to wash sale loss deferrals and passive foreign investment companies (“PFICs”)

The tax character of distributions paid during the tax years ended October 31, 2012 and 2011 were as follows:

	Australia/New																Real Estate
	Zealand Fund				Africa Fund				Japan Fund				Global Fund				Securities Fund
	Year		Year		Year		Year		Year		Year		Year		Year		Year		Year
	Ended		Ended		Ended		Ended		Ended		Ended		Ended		Ended		Ended		Ended
	October 31,		October 31,		October 31,		October 31,		October 31,		October 31,		October 31,		October 31,		October 31,		October 31,
	2012		2011		2012		2011		2012		2011		2012		2011		2012		2011
Distributions paid from:
Ordinary Income		$231,695		$370,401		$—		$—		$—		$—		$             —		$—		$—		$—
Net long-term capital gains		—		—		—		—		—		—		1,332,683		—		—		—
Total distributions paid		$231,695		$370,401		$—		$—		$—		$—		$1,332,683		$—		$—		$—

As of October 31, 2012, the following funds had net capital loss carryforwards which are available to offset future net capital gains, if any:

	Australia/New						Real Estate
	Zealand Fund		Japan Fund		Global Fund		Securities Fund
	Short-term		Short-term		Short-term		Short-term		Long-term
For losses expiring October 31,
2016		$        —		$        —		$        —		$169,716		$         —
2017		180,946		791,707		—		—		—
2018		—		—		—		493,840		—
Non-Expiring		—		—		20,337		—		155,540
		$180,946		$791,707		$20,337		$663,556		$155,540

Capital loss carryovers are available to offset future realized capital gains and thereby reduce further taxable gain distributions. During the year ended October 31, 2012, the Australia/New Zealand Fund and Japan Fund utilized $778,267 and $84,457, respectively, of their capital loss carryovers.

As of October 31, 2012, the Japan, Global and Real Estate Securities Funds, respectively, had $90,129, $71,600 and $79,274 of qualified late-year ordinary losses, which are deferred until fiscal year 2013 for tax purposes. Net late-year losses incurred after December 31, and within the taxable year are deemed to arise on the first day of the Fund’s next taxable year.

28

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited) (Continued)

Note 10 – Revolving Credit Agreement

The Trust has in place an Amended and Restated Revolving Credit Agreement (the “Agreement”) with its custodian, Fifth Third Bank N.A. (the “Bank”). Pursuant to the terms of the Agreement, the Bank makes available to the Trust, a line of credit facility under which the Bank may make loans to the Trust, on behalf of the Funds, from time to time. The Agreement provided a line of credit in an amount of up to $3,500,000 for the Trust with respect to all of the Funds. The Agreement further limits the amount that any Fund may borrow to the lesser of ¹/3 of the value of its net assets taken at market value, at the time of the borrowing, including the amount borrowed, or 5% of the Fund’s total assets valued at costs, excluding the amount borrowed. Under the terms of the Agreement, any principal balance outstanding would bear interest at the Federal Funds Rate in effect at that time plus 1.50%.

The average amount of borrowings for the days which the Funds borrowed and the average interest rate on those borrowings by the Funds during the period ended April 30, 2013 were as follows:

	Average	Average
	Principal	Interest Rate
Japan Fund	$129,663	1.66%

During the period ended April 30, 2013 the Funds had no borrowings outstanding under the Agreement. As of April 30, 2013, the Australia/New Zealand Fund had $46,674 in custody overdrafts outstanding. It is the Custodian’s policy to utilize the line of credit for draws greater than $50,000.

Note 11 – Contractual Obligations

Under the Funds organizational documents, its Trustees and Officers are indemnified against certain liabilities arising out of the performance of their duties to the Fund. In the normal course of business, the Funds enter into contracts that contain various representations and warranties and provide general indemnifications. The Funds’ maximum exposure under these arrangements is dependent on future claims against the Funds and is presently unknown.

Note 12 – Concentration of Market Risk

The Australia/New Zealand Fund has a majority of its investments in securities issued by Australian and New Zealand issuers, the Africa Fund invests primarily in securities issued by Africa issuers and the Japan Fund invests primarily in securities of Japanese issuers. Investing in companies from specific geographic regions, such as Australia, New Zealand, Africa or Japan, may pose additional risks inherent to a region’s economic and political situation. These events will not necessarily affect the U.S. economy or similar issuers located in the U.S. In addition, many of the investments in Australia, New Zealand, Africa or Japan are denominated in foreign currencies. As a result, changes in the values of these currencies compared to the U.S. dollar may affect (positively or negatively) the value of the Funds’ investments. These events may happen separately from, and in response to, events that do not otherwise affect the values of the securities in the issuers’ home countries.

The Africa Fund may be exposed to additional risks by focusing its investments on issuers in African countries that other funds invested in securities of issuers in a broader region may not be exposed to. The Fund is highly dependent on the state of economics of countries throughout Africa and, in particular Sub-Saharan countries. Changes in economics, tax policies, inflation rates, governmental instability, war or other political or economic factors may affect (positively or negatively) the Fund’s investments.

A large portion of investments held by the Real Estate Securities Fund are considered investments in the real estate sector of the market, which may include REITs. Investing in REITs involves certain unique risks in addition to those risks associated with investing in the real estate industry in general. Equity REITs may be affected by changes in the value of the underlying property owned by the REITs, while mortgage REITs may be affected by the quality of any credit extended. REITs are dependent upon management skills, are not diversified, are subject to heavy cash flow dependency, default by borrowers and self-liquidation. REITs are also subject to the possibilities of failing to qualify for tax-free pass through of income and maintaining their exemption from registration under the 1940 Act. Investing in a single market sector may be riskier than investing in a variety of market sectors.

29

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

NOTES TO FINANCIAL STATEMENTS – April 30, 2013 (Unaudited) (Continued)

Note 13 – Legal Matters

On October 22, 2010, Edward S. Weisfelner, as Trustee of the LB Creditor Trust (the “Plaintiff”), filed a suit in the Supreme Court of the State of New York in the County of New York against, among numerous other defendants, the Trust’s custodian (the “Custodian”) as a record holder of shares of Lyondell Chemical Company (“Lyondell”). The action was removed to the United States District Court for the Southern District of New York and then referred to the United States Bankruptcy Court for the Southern District of New York. Among the shares alleged to have been held by the Custodian were 10,000 shares for which the Commonwealth Global Fund (the “Global Fund”) was a beneficial shareholder. On December 19, 2011, the Plaintiff filed a Second Amended Complaint in the U.S. Bankruptcy Court, Southern District of New York, naming the Global Fund as a defendant. Generally, the Plaintiff’s claim alleges that a merger transaction, which closed on December 20, 2007, in which the Global Fund and the other shareholders of Lyondell disposed of their positions in Lyondell caused Lyondell to be insolvent and ultimately resulted in Lyondell filing for bankruptcy protection. Lyondell sought bankruptcy protection in cases filed on January 6, 2009 and April 24, 2009. The Plaintiff’s claim further alleges that, under various theories under state law, the transaction constituted a fraudulent transfer. The Plaintiff is seeking to set aside and recover the entire amount of the transfer, which is alleged to be approximately $5.9 billion. The Global Fund’s proceeds from the transaction amounted to $479,700. As of this date, the suit has only involved preliminary procedural filings, including Motions to Dismiss the Complaint. To date, the Trust has joined in the response with several other defendants in the case seeking to dismiss the claims. The Court has not yet rendered a decision as to the motion to dismiss. The Trust expects to continue participating in the defense of this case, albeit as a direct defendant.

Note 14 – Subsequent Events

Within the financial statements, the Funds are required to recognize the effects of all subsequent events that provide additional evidence about conditions that existed as of the date of the Statement of Assets and Liabilities. For non-recognized subsequent events that must be disclosed to keep the financial statements from being misleading, the funds are required to disclose the nature of the event as well as an estimate of its financial effect, on a statement that such an estimate cannot be made. Management has evaluated subsequent events through the issuances of these financial statements and has noted no such events.

Note 15 – New Accounting Pronouncements

In January 2013, the Financial Accounting Standards Board issued ASU No. 2013-01Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities. This update gives additional clarification to the Financial Accounting Standards Board issued ASU No. 2011-11 Disclosures about Offsetting Assets and Liabilities. The amendments in this ASU require an entity to disclose information about offsetting and related arrangements to enable users of its financial statements to understand the effect of those arrangements on its financial position. The ASU is effective for annual reporting periods beginning on or after January 1, 2013, and interim periods within those annual periods. The guidance requires retrospective application for all comparative periods presented. Management is currently evaluating the impact ASU 2013-01 will have on the financial statement disclosures.

30

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

ADDITIONAL INFORMATION – April 30, 2013 (Unaudited)

Table of Shareholder Expenses

As a shareholder of the Funds, you incur ongoing costs, including management fees, distribution and service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from November 1, 2012 through April 30, 2013.

Actual Expenses

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

	Beginning		Ending		Expense Paid		Expense Ratio
	Account Value		Account Value		During Period*		During Period*
	11/1/12		4/30/13		11/1/12 – 4/30/13		11/1/12 – 4/30/13
Australia/New Zealand Fund	$	1,000.00	$	1,124.00	$	16.91		3.21	%
Africa Fund		1,000.00		1,013.30		—		—
Japan Fund		1,000.00		1,200.80		24.23		4.44	%
Global Fund		1,000.00		1,102.60		16.47		3.16	%
Real Estate Securities Fund		1,000.00		1,112.70		17.71		3.38	%

Hypothetical Example for Comparison Purposes

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

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), or exchange fees. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning		Ending		Expense Paid		Expense Ratio
	Account Value		Account Value		During Period*		During Period*
	11/1/12		4/30/13		11/1/12 – 4/30/13		11/1/12 – 4/30/13
Australia/New Zealand Fund	$	1,000.00	$	1,009.10	$	15.99		3.21	%
Africa Fund		1,000.00		1,025.00		—		—
Japan Fund		1,000.00		1,003.00		22.05		4.44	%
Global Fund		1,000.00		1,009.40		15.74		3.16	%
Real Estate Securities Fund		1,000.00		1,008.20		16.83		3.38	%

* Expenses are equal to the average account value times the Fund’s annualized expense ratio multiplied by 181 (the number of days in the most recent fiscal half-year) divided by 365 (the number of days in the fiscal year) to reflect the one-half year period.

31

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

ADDITIONAL INFORMATION – April 30, 2013 (Unaudited) (Continued)

Disclosure of Portfolio Holdings

The Funds file their complete schedule of portfolio holdings with the Securities and Exchange Commission (the “Commission”) for the first and third quarters of each fiscal year on Form N-Q. The Funds’ Forms N-Q are available on the Commission’s website at http://www.sec.gov. The Funds’ Forms N-Q may be reviewed and copied at the Commission’s Public Reference Room in Washington, DC. Information on the operation of the Commission’s Public Reference Room may be obtained by calling 800-SEC-0330.

Proxy Voting

A description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 888-345-1898, and on the Commissions website at http://www.sec.gov.

Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge, upon request, by calling 888-345-1898, and on the Commission’s website at http://www.sec.gov.

32

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

APPROVAL OF THE RENEWAL OF INVESTMENT ADVISORY AGREEMENTS – April 30, 2013 (Unaudited)

APPROVAL OF THE INVESTMENT ADVISORY AGREEMENT

FCA Corp (“FCA” or “Advisor”) supervises the investments of the following series portfolios (each may be referred to herein as a “Fund” or collectively as the “Funds”) of the Commonwealth International Series Trust (the “Trust”): the Commonwealth Australia/New Zealand Fund (the “Australia/New Zealand Fund”), the Africa Fund, (the “Africa Fund”) the Commonwealth Japan Fund (the “Japan Fund”), The Commonwealth Global Fund (the “Global Fund”) and the Commonwealth Real Estate Securities Fund (the “Real Estate Fund”) pursuant to Investment the Advisory Agreements (each an “Agreement” and collectively, the “Agreements”) between the Advisor and the Trust with respect to each Fund. At the quarterly meeting of the Board of Trustees (the “Board”) of the Trust that was held on March 27-28, 2013, the Trustees, including a majority of the trustees who are not parties to the Agreements or interested persons of any party to any of the Agreements (the “Independent Trustees”), unanimously approved the renewal of the Agreements for another one year term.

Legal Counsel reviewed with the Board a memorandum from Counsel dated February 1, 2013 and addressed to the Trustees that summarized, among other things, the fiduciary duties and responsibilities of the Board in reviewing and approving the renewal of each Agreement. Legal Counsel discussed with the Trustees the types of information and factors that should be considered by the Board in order to make an informed decision regarding the approval of the continuation of each Agreement, including the following material factors: (i) the nature, extent, and quality of the services provided by FCA; (ii) the investment performance of the Funds; (iii) the costs of the services to be provided and profits to be realized by FCA from the relationship with the Funds; (iv) the extent to which economies of scale would be realized if the Funds grow and whether advisory fee levels reflect those economies of scale for the benefit of the Funds’ investors; and (v) FCA’s practices regarding possible conflicts of interest. It was noted that the continuation of the Agreements was discussed earlier in Governance, Nomination and Compensation Committee (“GNC Committee”) meeting that had occurred prior to this Meeting, as well as in a special meeting of the GNC Committee held on January 28, 2013 and in preliminary discussions with FCA at the Board’s December 2012 quarterly meeting.

In assessing these factors and reaching its decisions, the Board took into consideration information furnished for the Board’s review and consideration throughout the year at regular Board meetings, as well as information specifically prepared and/or presented in connection with the annual renewal process. It was noted that in addition to the original request letter to FCA, the GNC Committee had requested supplemental information from FCA in a correspondence — it was noted that FCA had responded to that request for supplemental information.

The Board, acting directly or through its committees, requested and was provided with information and reports relevant to the annual renewal of each Agreement, including: (i) reports regarding the services and support provided to the Funds and their shareholders by FCA; (ii) quarterly assessments of the investment performance of the Funds by personnel of FCA; (iii) commentary on the reasons for the performance; (iv) presentations by the Funds’ portfolio managers addressing FCA’s investment philosophy, investment strategy, personnel and operations; (v) compliance and audit reports concerning the Funds and FCA; (vi) disclosure information contained in the registration statement of the Trust and the Form ADV of FCA; (vii) information on relevant developments in the mutual fund industry and how the Funds and/or FCA are responding to them; and (viii) a memorandum from Counsel, that summarized the fiduciary duties and responsibilities of the Board in reviewing and approving each of the Agreements, including the material factors set forth above and the types of information included in each factor that should be considered by the Board in order to make an informed decision. The Board also requested and received various informational materials including, without limitation: (i) documents containing information about FCA, including financial information from the parent company of FCA (FCA Holdings), a description of personnel and the services provided to each Fund, information on investment advice, performance, summaries of fund expenses, compliance program, current legal matters, and other general information; (ii) comparative expense and performance information for other mutual funds with strategies similar to the Funds; (iii) the effect of size on the Funds’ performance and expenses; and (iv) benefits to be realized by FCA from its relationship with the Funds.

The Board did not identify any particular information that was most relevant to its consideration to approve the Agreements and each Trustee may have afforded different weight to the various factors that are specifically required to be consider for purposes of disclosure in the Funds’ next set of financial statements.

33

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

APPROVAL OF THE RENEWAL OF INVESTMENT ADVISORY AGREEMENTS – April 30, 2013 (Unaudited) (Continued)

Nature, Extent and Quality of the Services Provided by FCA

In considering the nature, extent, and quality of the services provided by FCA, the Trustees reviewed the responsibilities of FCAunder each Agreement. The Trustees reviewed the services being provided by FCA to each Fund including, without limitation: the quality of its investment advisory services (including research and recommendations with respect to portfolio securities); its process for formulating investment recommendations and assuring compliance with each Fund’s investment objectives and limitations, as well as for ensuring compliance with regulatory requirements; its coordination of services for the Funds among the service providers and the Independent Trustees; and its efforts to promote the Funds and grow each Fund’s assets. The Trustees noted FCA’s continuity of, and commitment to retain, qualified personnel and FCA’s commitment to maintain and enhance its resources and systems; FCA’s creativity in responding to difficult situations; the commitment of FCA’s personnel to finding alternatives and options that allow the Funds to maintain their goals; and FCA’s continued cooperation with the Independent Trustees, the chief compliance officer and Counsel for the Funds. The Trustees evaluated FCA’s personnel, including the education and experience of FCA’s personnel. The Trustees noted that several of the officers of the Trust, including the principal executive officer and president for the Trust were employees of FCA, and they served the Trust without additional compensation. The Trustees noted the continued efforts of FCA in marketing the Funds. After reviewing the foregoing information and further information in the materials provided by FCA (including FCA’s Form ADV), the Board concluded that, in light of all the facts and circumstances, the nature, extent, and quality of the services provided by FCA were satisfactory and adequate for the Funds.

Investment Performance of the Funds and FCA

In considering the investment performance of the Funds and FCA, the Trustees compared the short and long-term performance of each Fund with the performance of funds with similar objectives managed by other investment advisors, as well as with aggregated peer group data. The Trustees also considered the consistency of FCA’s management of the Funds with the investment objectives and policies. The Trustees considered that FCA did not have other accounts that were managed in a manner similar to any of the Funds. With respect to the Commonwealth Australia/New Zealand Fund (“Australia/New Zealand Fund”), the Trustees indicated their belief that the investment strategy of that Fund made it difficult to compare the investment performance of that Fund to other mutual funds. The Trustees noted that there were no other registered investment companies that FCA was able to identify that had the same investment objective and strategies as the Australia/New Zealand Fund. Nonetheless, the Trustees noted the overall relative performance that the Fund had experienced on a short and long-term basis in comparison to category to which this Fund was assigned by an independent rating organization —the Trustees observed that the Fund had outperformed the category average for the trailing 12 months and for the three and five year periods although it trailed the category average for the ten averages. With respect to the Commonwealth Japan Fund (“Japan Fund”), the Trustees noted that the Fund had underperformed its peer group category in the short-term and longer term periods — the Trustees noted the challenges faced by FCA in managing that Fund as a result of its small asset size. With respect to the Commonwealth Global Fund (“Global Fund”), the Trustees noted that the Fund had slightly underperformed its category in both the short-term and longer-term periods. With respect to the Commonwealth Real Estate Fund (“Real Estate Fund”), the Trustees noted that the Fund had outperformed its category for the trailing 12 months, but had underperformed the average for the three year period. With respect to the Africa Fund (“Africa Fund”), the Trustees noted that the Fund had not been in existence, but that it had slightly underperformed its category for the trailing 12 month period. After reviewing and discussing the short and long-term investment performance of the Funds further, FCA’s experience managing the Funds, FCA’s historical investment performance, and other relevant factors, the Board concluded, in light of all the facts and circumstances, that the investment performance of each of the Funds and FCA was satisfactory.

34

C O M M O N W E A L T H
INTERNATIONAL SERIES TRUST SEMI-ANNUAL REPORT 2013

APPROVAL OF THE RENEWAL OF INVESTMENT ADVISORY AGREEMENTS – April 30, 2013 (Unaudited) (Continued)

Costs of the Services to be Provided and Profits to be Realized by FCA

In considering the costs of the services to be provided and profits to be realized by FCA from the relationship with the Funds, the Trustees considered: (1) FCA’s financial condition (as reflected in the financial statements of its parent company) and the level of commitment to the Funds and FCA by the principals of FCA; (2) the asset level of the Funds; (3) the overall expenses of the Funds; and (4) the nature and frequency of advisory fee payments. The Trustees reviewed information provided by FCAregarding its profits associated with managing the Funds. The Trustees also considered potential benefits for FCA in managing the Funds. The Trustees noted that FCA made certain assumptions in its profitability analysis and concluded that such assumptions and the rationales behind them were reasonable — the Trustees questioned these rationales and were satisfied with FCA’s responses to such questions. The Trustees then compared the fees and expenses of the Funds (including the management fee) to other comparable mutual funds. The Trustees noted that while the Funds’ advisory fees were in line with other funds (in all cases lower than respective category average), the Funds’ total expenses were above the expense levels of the other identified comparable funds (each of the Funds other than the Africa Fund having the highest or near the highest expenses identified in their respective peer groups). The Trustees noted that the relatively smaller asset levels of the Funds limited meaningful comparisons with other funds. The Trustees noted that while the Africa Fund’s management fee was above the category average (and was actually toward the higher end of the category), the overall expense ratio was lower than the category averages as a result of management fee waivers and certain voluntary expense limitations that FCAhad instituted since the Fund’s inception. The Trustees concluded that given the very small asset levels of the Funds, it would be difficult for any advisor to operate the Funds at average cost levels and that FCA had put forth significant and reasonable efforts to control the operating expenses of the Funds. The Trustees noted FCA’s efforts to manage the expenses of the Funds. The Board concluded that although Fund expenses were higher than peer averages, such expenses were justified and unavoidable given the complex regulatory requirements, the unique composition of the Funds, and most importantly, the relatively small levels of assets in each of the Funds. Based on the foregoing, the Board concluded that the fees to be paid to FCA by the Funds and the profits to be realized by FCA, in light of all the facts and circumstances, were fair and reasonable in relation to the nature and quality of the services provided by FCA.

Economies of Scale

The Board next considered the impact of economies of scale on the Funds’ size and whether advisory fee levels reflect those economies of scale for the benefit of the Funds’ investors. The Trustees noted that while the management fee for the Funds would remain the same at all asset levels, the Funds’ shareholders could benefit from economies of scale under the Funds’ agreements with service providers other than FCA if applicable asset levels are attained by the Funds. The Trustees noted that shareholders were not realizing such economies of scale at this point. In light of its ongoing consideration of the Funds’ asset levels, expectations for growth in the Funds, and fee levels, the Board determined that the Funds’ fee arrangements, in light of all the facts and circumstances, were fair and reasonable in relation to the nature and quality of the services provided by FCA.

Advisor’s Practices Regarding Possible Conflicts of Interest

In considering FCA’s practices regarding conflicts of interest, the Trustees evaluated the potential for conflicts of interest and considered such matters as the experience and ability of the advisory personnel assigned to the Funds; the basis for soft dollar payments with broker-dealers; the basis of decisions to buy or sell securities for the Funds and/or FCA’s other accounts; and the substance and administration of FCA’s code of ethics. The Trustees also considered disclosure in the registration statement of the Trust related to FCA’s potential conflicts of interest. Based on the foregoing, the Board determined that FCA’s standards and practices relating to the identification and mitigation of possible conflicts of interest were satisfactory.

Based upon all of the foregoing considerations, the Board, including a majority of the Independent Trustees, approved the renewal of the Agreements for the Funds.

35

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.  Schedule of Investments.

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

(b)   Not applicable.

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

Not applicable.

Item 8.  Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

Item 9.  Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

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

Not applicable.

Item 11.  Controls and Procedures.

(a)

The Registrant’s principal executive officer and principal financial officer have reviewed the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended, (the “Act”)) as of a date within 90 days of the filing of this report, as required by Rule 30a-3(b) under the Act. Based on their review, such officers have concluded that the disclosure controls and procedures were effective in ensuring that information required to be disclosed in this report was appropriately recorded, processed, summarized and reported within the time periods specified by the Securities and Exchange Commission’s rules and forms.

(b)

There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the Registrant’s second fiscal quarter of the period covered by this report that materially affected, or were reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

Item 12.  Exhibits.

(a) (1)	Not applicable.
(a) (2)	Certifications required pursuant to Section 30a-2(a) of the Act are attached hereto.
(a) (3)	Not applicable to open-end management investment companies.
(b)	Certifications pursuant to Section 30a-2(b) of the Act are furnished herewith.

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.

Commonwealth International Series Trust

/s/ Robert W. Scharar       
By: Robert W. Scharar
President
June 21, 2013

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.

/s/ Robert W. Scharar       
By: Robert W. Scharar
President
(Principal Executive Officer)
June 21, 2013

/s/ Terrance P. Gallagher       
By: Terrance P. Gallagher
Treasurer
(Principal Financial Officer)
June 21, 2013