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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number: 811-05371
Russell Investment Funds
(Exact name of registrant as specified in charter)
1301 2nd Avenue 18th Floor, Seattle Washington 98101
(Address of principal executive offices) (Zip code)
(Address of principal executive offices) (Zip code)
Mary Beth Albaneze, Secretary and Chief Legal Officer
1301 2nd Avenue
18th Floor
Seattle, Washington 98101
206-505-4846
______________________________________________
(Name and address of agent for service)
Registrant's telephone number, including area code: 800-787-7354
Date of fiscal year end: December 31
Date of reporting period: January 1, 2021 to December 31, 2021
Item 1. Reports to Stockholders
2021
ANNUAL
REPORT
Russell
Investment
Funds
DECEMBER
31,
2021
FUND
U.S.
Strategic
Equity
Fund
U.S.
Small
Cap
Equity
Fund
International
Developed
Markets
Fund
Strategic
Bond
Fund
Global
Real
Estate
Securities
Fund
Russell
Investment
Funds
Russell
Investment
Funds
is
a
series
investment
company
with
nine
different
investment
portfolios
referred
to
as
Funds.
These
financial
statements
report
on
five
of
these
Funds.
Page
To
Our
Shareholders
3
U.S.
Strategic
Equity
Fund
4
U.S.
Small
Cap
Equity
Fund
23
International
Developed
Markets
Fund
51
Strategic
Bond
Fund
75
Global
Real
Estate
Securities
Fund
125
Notes
to
Schedules
of
Investments
145
Notes
to
Financial
Highlights
147
Notes
to
Financial
Statements
148
Report
of
Independent
Registered
Public
Accounting
Firm
168
Tax
Information
169
Affiliated
Brokerage
Transactions
170
Basis
for
Approval
of
Investment
Advisory
Contracts
171
Shareholder
Requests
for
Additional
Information
172
Disclosure
of
Information
about
Fund
Trustees
and
Officers
173
Supplemental
Proxy
Information
180
Adviser,
Money
Managers
and
Service
Providers
181
Russell
Investment
Funds
Annual
Report
December
31,
2021
Table
of
Contents
Russell
Investment
Funds
Copyright
©
Russell
Investments
2022.
All
rights
reserved.
Russell
Investments’
ownership
is
composed
of
a
majority
stake
held
by
funds
managed
by
TA
Associates,
with
a
significant
minority
stake
held
by
funds
managed
by
Reverence
Capital
Partners.
Russell
Investments’
employees
and
Hamilton
Lane
Advisors,
LLC
also
hold
minority,
non-controlling,
ownership
stakes.
Frank
Russell
Company
is
the
owner
of
the
Russell
trademark
contained
in
this
material
and
all
trademark
rights
related
to
the
Russell
trademarks,
which
the
members
of
the
Russell
Investment
group
of
companies
are
permitted
to
use
under
license
from
Frank
Russell
Company.
The
members
of
the
Russell
Investments
group
of
companies
are
not
affiliated
in
any
manner
with
Frank
Russell
Company
or
any
entity
operating
under
the
“FTSE
RUSSELL”
brand.
Fund
objectives,
risks,
charges
and
expenses
should
be
carefully
considered
before
in-
vesting.
A
prospectus
containing
this
and
other
important
information
must
precede
or
accompany
this
material.
Please
read
the
prospectus
carefully
before
investing.
Securities
distributed
through
Russell
Investments
Financial
Services,
LLC,
member
FINRA
and
part
of
Russell
Investments.
Indices
and
benchmarks
are
unmanaged
and
cannot
be
invested
in
directly.
Returns
represent
past
performance,
are
not
a
guarantee
of
future
performance,
and
are
not
indicative
of
any
specific
investment.
Index
return
information
is
provided
by
vendors
and
although
deemed
reliable,
is
not
guaranteed
by
Russell
Investments
or
its
affiliates.
Performance
quoted
represents
past
performance
and
does
not
guarantee
future
results.
The
investment
return
and
principal
value
of
an
investment
will
fluctuate
so
that
shares,
when
redeemed,
may
be
worth
more
or
less
than
their
original
cost.
Current
performance
may
be
lower
or
higher
than
the
performance
data
quoted.
To
Our
Shareholders
To
Our
Shareholders
3
Fellow
Investors,
Our
primary
focus
is
as
clear
as
ever:
It
is
to
improve
the
financial
security
of
our
investors.
We
believe
that
the
combination
of
our
investment
solutions,
a
sound
plan
and
timely
investment
advice
provides
the
best
strategy
for
those
individuals
seeking
to
navigate
the
difficult
world
of
investing.
Your
financial
security
is
the
reason
we
work
hard
to
maintain
a
time-
tested,
disciplined
investment
approach,
focused
on
meeting
our
clients’
financial
needs.
The
year
of
2021,
despite
continued
COVID-19
pressures,
has
seen
strong
performance:
For
the
one-year
period
ended
December
31,
2021,
U.S.
equities
returned
28.71%,
according
to
the
S&P
500.
*
In
comparison,
within
the
same
time
period,
developed
non-U.S.
equities,
as
measured
by
the
MSCI
EAFE
index,
provided
a
return
of
11.26%.
*
With
the
benefit
of
the
strong
market
recovery
continuing
into
2022
and
the
unique
period
we
all
have
just
managed
through,
it
is
critical
to
be
disciplined
when
assessing
your
investment
plan.
It
is
important
to
challenge
prior
thinking
but
have
an
equally
high
bar
to
any
material
changes
to
long-term
strategies.
We
continue
to
emphasize
that
prioritizing
the
long-term
investment
plan
over
short-term
gains
is
most
consistently
rewarded.
As
we
look
forward,
we
maintain
our
focus
and
look
to
position
our
funds
for
the
year
ahead,
not
the
one
that
has
just
passed.
With
this
in
mind,
we
hold
the
following
views
on
markets:
We
continue
to
believe
in
diversifying
globally.
We
have
a
modest
preference
for
non-U.S.
equities
to
U.S.
equities.
The
post-vaccine
economic
recovery
should
favor
undervalued
cyclical
value
stocks
over
expensive
technology
and
growth
stocks.
We
think
inflation
pressures
are
mostly
transitory
but
may
not
peak
until
the
first
half
of
2022.
We
believe
central
banks
will
react
cautiously
and
although
global
growth
likely
will
slow,
we
expect
most
developed
economies
to
achieve
above-trend
growth
in
2022.
The
extent
and
duration
of
the
slowdown
in
China
is
one
of
the
main
risks
to
the
outlook.
We
expect
more
stimulus
early
in
2022,
which,
combined
with
relatively
attractive
valuation,
makes
us
cautiously
optimistic
about
emerging
market
equities.
Let
me
reiterate
that
at
Russell
Investments,
our
stated
purpose
is
to
improve
people’s
financial
security.
We
have
a
long
heritage
of
providing
solutions
to
help
investors
like
you
reach
your
financial
goals,
whether
you’re
saving
for
retirement,
already
depending
on
retirement
income
or
building
a
college
fund.
There
is
nothing
we
value
more
than
the
trust
you
have
placed
in
our
firm.
All
of
us
at
Russell
Investments
appreciate
the
opportunity
to
help
you
achieve
your
own
financial
security.
Best
regards,
Kate
El-Hillow
Global
Chief
Investment
Officer,
Russell
Investments
*
Source:
MarketWatch.
Indexes
are
unmanaged
and
cannot
be
invested
in
directly.
The
S&P
500
Index
is
an
index,
with
dividends
reinvested,
of
500
issues
representative
of
leading
companies
in
the
U.S.
large
cap
securities
market.
The
MSCI
EAFE
(Europe,
Australasia,
Far
East)
index
is
a
free
float-adjusted
market
capitalization
index
that
is
designed
to
measure
the
equity
market
performance
of
developed
markets,
excluding
the
U.S.
and
Canada.
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Portfolio
Management
Discussion
and
Analysis
—
December
31,
2021
(Unaudited)
4
U.S.
Strategic
Equity
Fund
U.S.
Strategic
Equity
Fund
Total
Return
1
Year
20
.40%
5
Years
16
.22%§
10
Years
15
.08%§
Russell
1000
®
Index**
Total
Return
1
Year
26
.45%
5
Years
18
.43%§
10
Years
16
.54%§
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
U.S.
Strategic
Equity
Fund
5
The
U.S.
Strategic
Equity
Fund
(the
“Fund”)
employs
a
multi-
manager
approach
whereby
portions
of
the
Fund
are
allocated
to
different
money
manager
strategies.
Fund
assets
not
allocated
to
money
managers
are
managed
by
Russell
Investment
Management,
LLC
(“RIM”),
the
Fund’s
advisor.
RIM
may
change
the
allocation
of
the
Fund’s
assets
among
money
managers
at
any
time,
including
not
allocating
Fund
assets
to
one
or
more
money
manager
strategies.
An
exemptive
order
from
the
Securities
and
Exchange
Commission
permits
RIM
to
engage
or
terminate
a
money
manager
at
any
time,
subject
to
approval
by
the
Fund’s
Board,
without
a
shareholder
vote.
Pursuant
to
the
terms
of
the
exemptive
order,
the
Fund
is
required
to
notify
its
shareholders
within
90
days
of
when
a
money
manager
begins
providing
services.
As
of
December
31,
2021,
the
Fund
had
four
money
managers.
What
is
the
Fund’s
investment
objective?
The
Fund
seeks
to
provide
long
term
capital
growth.
How
did
the
Fund
perform
relative
to
its
benchmark
for
the
fiscal
year
ended
December
31,
2021?
For
the
fiscal
year
ended
December
31,
2021
(the
“fiscal
year”),
the
Fund
gained
20.40%.
This
is
compared
to
the
Fund’s
benchmark,
the
Russell
1000
®
Index,
which
gained
26.45%
during
the
same
fiscal
year.
The
Fund’s
performance
includes
operating
expenses,
whereas
index
returns
are
unmanaged
and
do
not
include
expenses
of
any
kind.
For
the
fiscal
year,
the
Morningstar
®
Insurance
Large
Blend
Category,
a
group
of
funds
that
Morningstar
considers
to
have
investment
strategies
similar
to
those
of
the
Fund,
gained
26.73%.
This
result
serves
as
a
peer
comparison
and
is
expressed
net
of
operating
expenses.
RIM
may
assign
a
money
manager
a
specific
style
or
capitalization
benchmark
other
than
the
Fund’s
index
(“a
RIM-assigned
benchmark”).
However,
the
Fund’s
primary
index
remains
the
benchmark
for
the
Fund
and
is
intended
to
be
representative
of
the
aggregate
of
each
money
manager’s
benchmark
index.
How
did
market
conditions
affect
the
Fund’s
performance?
Investor
sentiment
was
positive
during
the
fiscal
year
with
strong
absolute
returns
in
the
U.S.
market.
Progression
of
COVID-19
vaccine
campaigns
coupled
with
historic
amounts
of
fiscal
stimulus,
an
accommodative
Federal
Reserve
policy,
and
robust
earnings
growth
aided
in
renewed
levels
of
optimism
in
equities.
In
the
market
environment,
growth
and
mega
cap
were
the
best
performing
areas
within
the
U.S.
large
cap
universe.
Energy,
information
technology,
and
financials
were
the
best
performing
sectors
while
consumer
staples,
consumer
discretionary,
and
utilities
lagged.
How
did
the
investment
strategies
and
techniques
employed
by
the
Fund
and
its
money
managers
affect
its
benchmark
relative
performance?
Over
the
fiscal
year,
the
Fund
maintained
exposure
to
companies
with
lower
valuation
and
lower
market
capitalization
compared
to
its
benchmark.
Overall,
the
Fund’s
factor
tilts
detracted
from
performance
as
both
factors
lagged
in
the
market
environment.
Sector
allocation
decisions
detracted
over
the
fiscal
year
and
were
a
driver
of
relative
underperformance.
Underweights
to
the
energy
and
real
estate
sectors
detracted
from
performance.
Underweights
to
the
consumer
staples
and
industrials
sectors
had
a
positive
impact
on
performance.
The
Fund
employs
discretionary
and
non-discretionary
money
managers.
The
Fund’s
discretionary
money
managers
select
the
individual
portfolio
securities
for
the
assets
assigned
to
them.
The
Fund’s
non-discretionary
money
managers
provide
a
model
portfolio
to
RIM
representing
their
investment
recommendations,
based
upon
which
RIM
purchases
and
sells
securities
for
the
Fund.
RIM
manages
assets
not
allocated
to
money
manager
strategies
and
the
Fund’s
cash
balances.
Stock
selection
by
the
Fund’s
money
managers
detracted
from
performance,
including
as
a
result
of
underperforming
holdings
within
the
information
technology,
communication
services,
and
health
care
sectors.
With
respect
to
certain
of
the
Fund’s
money
managers,
Brandywine
Global
Investment
Management,
LLC
outperformed
its
RIM-
assigned
benchmark.
Stock
selection
within
the
information
technology,
consumer
discretionary,
and
consumer
staples
sectors
was
the
primary
driver
of
relative
outperformance.
Sector
allocation
decisions
had
a
positive
effect
on
performance—an
overweight
to
the
financials
sector
and
an
underweight
to
the
communication
services
sector
contributed
positively
to
performance.
Jackson
Square
Partners,
LLC
underperformed
its
RIM-assigned
benchmark.
Stock
selection
within
the
information
technology,
communication
services,
and
consumer
discretionary
sectors
was
the
primary
driver
of
relative
underperformance.
Sector
allocation
decisions
had
a
negative
effect
on
performance,
as
overweights
to
the
health
care
and
industrials
sectors
detracted.
During
the
fiscal
year,
RIM
utilized
a
positioning
strategy
to
control
Fund-level
exposures
and
risks
through
the
purchase
of
a
stock
portfolio.
Using
the
output
from
quantitative
and/
or
rules-based
processes
and
qualitative
analysis,
the
strategy
seeks
to
position
the
portfolio
to
meet
RIM’s
overall
preferred
positioning
with
respect
to
Fund
exposures
along
factor
and
industry
dimensions.
The
Fund’s
active
positioning
strategy
provided
exposure
to
RIM’s
strategic
equity
beliefs
associated
with
value,
quality
and
low
volatility
factors.
During
the
fiscal
year,
the
strategy
outperformed
the
Fund’s
benchmark.
A
tilt
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
6
U.S.
Strategic
Equity
Fund
toward
stocks
with
higher
quality
was
rewarded.
Sector
allocation
decisions
detracted
from
performance,
including
underweights
to
the
energy
and
financials
sectors.
During
the
fiscal
year,
RIM
partially
equitized
the
Fund’s
cash
using
index
futures
contracts
to
provide
the
Fund
with
greater
market
exposure
and
this
strategy
performed
as
intended.
Describe
any
changes
to
the
Fund’s
structure
or
the
money
manager
line-up.
There
were
no
changes
to
the
Fund’s
structure
or
money
manager
line-up
during
the
fiscal
year.
The
views
expressed
in
this
report
reflect
those
of
the
portfolio
managers
only
through
the
end
of
the
fiscal
year
covered
by
the
report.
These
views
do
not
necessarily
represent
the
views
of
RIM,
or
any
other
person
in
RIM
or
any
other
affiliated
organization.
These
views
are
subject
to
change
at
any
time
based
upon
market
conditions
or
other
events,
and
RIM
disclaims
any
responsibility
to
update
the
views
contained
herein.
These
views
should
not
be
relied
on
as
investment
advice
and,
because
investment
decisions
for
a
Russell
Investment
Funds
(“RIF”)
Fund
are
based
on
numerous
factors,
should
not
be
relied
on
as
an
indication
of
investment
decisions
of
any
RIF
Fund.
Money
Managers
as
of
December
31,
2021
Styles
Brandywine
Global
Investment
Management,
LLC
Value
HS
Management
Partners,
LLC
Growth
Jackson
Square
Partners,
LLC
Growth
Jacobs
Levy
Equity
Management,
Inc.
Market
Oriented
*
Assumes
initial
investment
on
January
1,
2012.
**
The
Russell
1000
®
Index
includes
the
1,000
largest
companies
in
the
Russell
3000
®
Index.
The
Russell
1000
®
Index
represents
the
universe
of
stocks
from
which
most
active
money
managers
typically
select.
The
Russell
1000
®
Index
return
reflects
adjustments
from
income
dividends
and
capital
gain
distributions
reinvested
as
of
the
ex-dividend
dates.
§
Annualized.
The
performance
shown
in
this
section
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Performance
is
historical
and
assumes
reinvestment
of
all
dividends
and
capital
gains. Investment
return
and
principal
value
will
fluctuate
so
that
an
investor’s
shares,
when
redeemed,
may
be
worth
more
or
less
than
when
purchased. Past
performance
is
not
indicative
of
future
results. Additionally,
the
returns
presented
herein
may
differ
from
the
performance
reported
in
the
Financial
Highlights
as
the
returns
herein
are
calculated
in
a
manner
consistent
with
standardized
performance
in
accordance
with
Securities
and
Exchange
Commission
rules,
while
the
performance
in
the
Financial
Highlights
has
been
calculated
in
accordance
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”).
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Shareholder
Expense
Example
—
December
31,
2021
(Unaudited)
U.S.
Strategic
Equity
Fund
7
Fund
Expenses
The
following
disclosure
provides
important
information
regarding
the
Fund’s
Shareholder
Expense
Example
(“Example”).
Example
As
a
shareholder
of
the
Fund,
you
incur
two
types
of
costs:
(1)
transaction
costs,
and
(2)
ongoing
costs,
including
advisory
and
administrative
fees
and
other
Fund
expenses.
The
Example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
Fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
indicated,
which
for
this
Fund
is
from
July
1,
2021
to
December
31,
2021
.
Actual
Expenses
The
information
in
the
table
under
the
heading
“Actual
Performance”
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
column,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
column
in
the
row
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
in
the
table
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
the
Fund’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
Fund’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
the
Fund
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
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.
Therefore,
the
information
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
In
addition,
if
these
transactional
costs
were
included,
your
costs
would
have
been
higher.
The
fees
and
expenses
shown
in
this
section
do
not
reflect
any
Insurance
Company
Separate
Account
Policy
Charges.
Actual
Performance
Hypothetical
Performance
(5%
return
before
expenses)
Beginning
Account
Value
July
1,
2021
$
1,000.00
$
1,000.00
Ending
Account
Value
December
31,
2021
$
1,060.70
$
1,020.9
7
Expenses
Paid
During
Period*
$
4.36
$
4.28
*
Expenses
are
equal
to
the
Fund's
annualized
expense
ratio
of
0.84%
(representing
the
six
month
period
annualized),
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(to
reflect
the
one-half
year
period).
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Schedule
of
Investments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
8
U.S.
Strategic
Equity
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Common
Stocks
-
95.6%
Consumer
Discretionary
-
14.0%
Advance
Auto
Parts,
Inc.
1,840
441
Amazon.com,
Inc.(Æ)
6,848
22,835
Amerco
,
Inc.
627
455
AutoNation,
Inc.(Æ)
1,964
229
Best
Buy
Co.,
Inc.
5,506
559
BorgWarner,
Inc.
1,264
57
Brunswick
Corp.
2,105
212
CarMax,
Inc.(Æ)
1,501
195
Charter
Communications,
Inc.
Class
A(Æ)
11,479
7,484
Comcast
Corp.
Class
A
32,723
1,647
Costco
Wholesale
Corp.
3,266
1,854
Dick's
Sporting
Goods,
Inc.(Ñ)
1,407
162
Dollar
General
Corp.
2,849
672
DR
Horton,
Inc.
21,489
2,330
eBay,
Inc.
8,441
561
Floor
&
Decor
Holdings,
Inc.
Class
A(Æ)
2,227
290
Foot
Locker,
Inc.
2,627
115
Ford
Motor
Credit
Co.
LLC
52,514
1,091
Gap,
Inc.
(The)
10,071
178
Garmin,
Ltd.
2,775
378
General
Motors
Co.(Æ)
75,665
4,436
Genuine
Parts
Co.
3,099
434
Graham
Holdings
Co.
Class
B
356
224
Grand
Canyon
Education,
Inc.(Æ)
1,590
136
Home
Depot,
Inc.
(The)
5,172
2,146
Kohl's
Corp.
4,484
221
Lear
Corp.
347
63
Lennar
Corp.
Class
A
5,282
614
Liberty
SiriusXM
Group
Class
C(Æ)
5,778
294
LKQ
Corp.
13,118
787
Lowe's
Cos.,
Inc.
3,186
824
Lululemon
Athletica
,
Inc.(Æ)
744
291
McDonald's
Corp.
569
153
Mohawk
Industries,
Inc.(Æ)
1,033
188
Netflix,
Inc.(Æ)
9,120
5,494
Nike,
Inc.
Class
B
47,019
7,838
NVR,
Inc.(Æ)
70
414
Ollie's
Bargain
Outlet
Holdings,
Inc.(Æ)
2,419
124
Omnicom
Group,
Inc.
37,692
2,762
O'Reilly
Automotive,
Inc.(Æ)
525
371
Penske
Automotive
Group,
Inc.
3,280
352
Polaris,
Inc.
3,134
344
Pool
Corp.
384
217
PulteGroup,
Inc.
71,673
4,097
Ross
Stores,
Inc.
3,695
422
Starbucks
Corp.
5,390
630
Target
Corp.
4,779
1,106
Tesla,
Inc.(Æ)
3,146
3,325
Thor
Industries,
Inc.
23,197
2,407
TJX
Cos.,
Inc.
(The)
5,401
410
Tractor
Supply
Co.
2,044
488
Ulta
Beauty,
Inc.(Æ)
997
411
ViacomCBS
,
Inc.
Class
B
4,924
149
Walmart,
Inc.
10,391
1,503
Walt
Disney
Co.
(The)(Æ)
8,880
1,375
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Whirlpool
Corp.
908
213
Williams-Sonoma,
Inc.
2,717
460
Yum
China
Holdings,
Inc.
3,171
158
87,626
Consumer
Staples
-
5.3%
Altria
Group,
Inc.
11,685
554
Archer-Daniels-Midland
Co.
7,959
538
Casey's
General
Stores,
Inc.
582
115
Church
&
Dwight
Co.,
Inc.
4,932
506
Clorox
Co.
(The)
2,974
519
Coca-Cola
Co.
(The)
18,637
1,103
Colgate-Palmolive
Co.
10,610
905
ConAgra
Foods,
Inc.
67,318
2,299
CVS
Health
Corp.
48,460
4,999
Estee
Lauder
Cos.,
Inc.
(The)
Class
A
1,283
475
General
Mills,
Inc.
6,816
459
Hormel
Foods
Corp.
1,723
84
Ingredion,
Inc.
33,569
3,244
JM
Smucker
Co.
(The)
3,096
420
Kimberly-Clark
Corp.
5,168
739
Kraft
Heinz
Foods
Co.
9,385
337
Kroger
Co.
(The)
93,647
4,238
Mondelez
International,
Inc.
Class
A
7,602
504
Monster
Beverage
Corp.(Æ)
2,598
250
PepsiCo,
Inc.
7,106
1,234
Philip
Morris
International,
Inc.
15,479
1,471
Procter
&
Gamble
Co.
(The)
18,404
3,011
Tyson
Foods,
Inc.
Class
A
47,020
4,098
US
Foods
Holding
Corp.(Æ)
5,544
193
Walgreens
Boots
Alliance,
Inc.
13,629
711
33,006
Energy
-
1.7%
BP
PLC
-
ADR
103,430
2,754
Canadian
Natural
Resources,
Ltd.
74,410
3,144
Chevron
Corp.
23,650
2,775
Exxon
Mobil
Corp.
22,784
1,394
Kinder
Morgan,
Inc.
21,131
335
ONEOK,
Inc.
4,077
240
10,642
Financial
Services
-
16.2%
AerCap
Holdings
Ltd.
/
AerCap
Global
Aviation
Trust(Æ)
39,343
2,574
Aflac,
Inc.
8,838
516
Allstate
Corp.
(The)
4,199
494
American
Express
Co.
1,079
177
American
International
Group,
Inc.
3,987
227
American
Tower
Corp.(ö)
1,160
339
Banco
Santander
SA
-
ADR
448,129
1,474
Bank
of
America
Corp.
122,626
5,456
Bank
of
New
York
Mellon
Corp.
(The)
5,310
308
Berkshire
Hathaway,
Inc.
Class
B(Æ)
26,976
8,066
BlackRock,
Inc.
Class
A
279
255
Capital
One
Financial
Corp.
2,570
373
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Strategic
Equity
Fund
9
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Cboe
Global
Markets,
Inc.
503
66
CBRE
Group,
Inc.
Class
A
5,874
637
Charles
Schwab
Corp.
(The)
4,725
397
Chubb,
Ltd.
3,134
606
Citigroup,
Inc.
136,020
8,214
Citizens
Financial
Group,
Inc.
2,876
136
Crown
Castle
International
Corp.(ö)
1,803
376
Discover
Financial
Services
2,083
241
Equinix
,
Inc.(Æ)(ö)
144
122
Essent
Group,
Ltd.
26,754
1,218
Everest
Re
Group,
Ltd.
130
36
Fifth
Third
Bancorp
11,295
492
First
Republic
Bank
1,072
221
Global
Payments,
Inc.
16,967
2,294
Goldman
Sachs
Group,
Inc.
(The)
3,247
1,242
Hartford
Financial
Services
Group,
Inc.
3,157
218
JPMorgan
Chase
&
Co.
36,601
5,796
KeyCorp
9,178
212
KKR
&
Co.,
Inc.
Class
A
87,544
6,522
M&T
Bank
Corp.
1,614
248
MasterCard,
Inc.
Class
A
31,636
11,366
MetLife,
Inc.
4,703
294
Morgan
Stanley
27,101
2,660
New
York
Community
Bancorp,
Inc.
212,069
2,589
Northern
Trust
Corp.
2,978
356
PayPal
Holdings,
Inc.(Æ)
3,304
623
People's
United
Financial,
Inc.
3,680
66
PNC
Financial
Services
Group,
Inc.
(The)
5,737
1,150
Popular,
Inc.
27,898
2,289
Progressive
Corp.
(The)
3,213
330
Prudential
Financial,
Inc.
2,506
271
Raymond
James
Financial,
Inc.
2,758
277
Regions
Financial
Corp.
14,319
312
Reinsurance
Group
of
America,
Inc.
Class
A
1,509
165
RenaissanceRe
Holdings,
Ltd.
5
1
Ryman
Hospitality
Properties,
Inc.(Æ)(ö)
21,820
2,007
SLM
Corp.
112,593
2,215
State
Street
Corp.
2,147
200
Synchrony
Financial
7,636
354
Travelers
Cos.,
Inc.
(The)
3,142
492
Truist
Financial
Corp.
17,708
1,037
Two
Harbors
Investment
Corp.(ö)
345,025
1,991
US
Bancorp
15,606
877
Visa,
Inc.
Class
A
50,733
10,994
Wells
Fargo
&
Co.
113,570
5,449
Willis
Towers
Watson
PLC(Æ)
12,719
3,021
100,939
Health
Care
-
15.9%
10x
Genomics,
Inc.
Class
A(Æ)
24,245
3,612
Abbott
Laboratories
9,546
1,344
AbbVie,
Inc.
27,705
3,751
Abiomed
,
Inc.(Æ)
488
175
Agilent
Technologies,
Inc.
4,291
685
Align
Technology,
Inc.(Æ)
8,955
5,885
Alkermes
PLC(Æ)
14,653
341
Alnylam
Pharmaceuticals,
Inc.(Æ)
2,347
398
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Amgen,
Inc.
3,268
735
Anthem,
Inc.(Æ)
1,088
504
AstraZeneca
PLC
-
ADR
36,666
2,136
Baxter
International,
Inc.
4,144
356
Becton
Dickinson
and
Co.
2,469
621
Biogen,
Inc.(Æ)
2,601
624
BioMarin
Pharmaceutical,
Inc.(Æ)
1,022
90
Boston
Scientific
Corp.(Æ)
9,231
392
Bristol-Myers
Squibb
Co.
58,652
3,657
Catalent
,
Inc.(Æ)
53,556
6,857
Centene
Corp.(Æ)
6,687
551
Cerner
Corp.
6,807
632
Cigna
Corp.
2,417
555
Cooper
Cos.,
Inc.
(The)
872
365
DexCom
,
Inc.(Æ)
853
458
Edwards
Lifesciences
Corp.(Æ)
69,048
8,945
Eli
Lilly
&
Co.
4,218
1,165
Exact
Sciences
Corp.(Æ)
1,507
117
Exelixis
,
Inc.(Æ)
15,276
279
Gilead
Sciences,
Inc.
6,508
473
GlaxoSmithKline
PLC
-
ADR
68,700
3,030
HCA
Healthcare,
Inc.
921
237
Hologic
,
Inc.(Æ)
2,266
173
Humana,
Inc.
425
197
IDEXX
Laboratories,
Inc.(Æ)
459
302
Illumina,
Inc.(Æ)
466
177
Incyte
Corp.(Æ)
5,060
371
Insulet
Corp.(Æ)
433
115
Integra
LifeSciences
Holdings
Corp.(Æ)
1,183
79
Intra-Cellular
Therapies,
Inc.
Class
A(Æ)
35,692
1,868
Intuitive
Surgical,
Inc.(Æ)
19,782
7,108
Jazz
Pharmaceuticals
PLC(Æ)
17,558
2,237
Johnson
&
Johnson
42,492
7,269
Laboratory
Corp.
of
America
Holdings(Æ)
2,182
686
Masimo
Corp.(Æ)
619
181
Medtronic
PLC
21,024
2,175
Merck
&
Co.,
Inc.
13,415
1,028
Moderna
,
Inc.(Æ)
2,999
762
Neurocrine
Biosciences,
Inc.(Æ)
831
71
Organon
&
Co.
1,341
41
Pfizer,
Inc.
81,940
4,839
Quest
Diagnostics,
Inc.
1,359
235
Regeneron
Pharmaceuticals,
Inc.(Æ)
777
491
ResMed
,
Inc.
2,615
681
Sage
Therapeutics,
Inc.(Æ)
2,682
114
Seagen
,
Inc.(Æ)
1,169
181
STERIS
PLC
1,342
327
Stryker
Corp.
2,840
759
Teleflex,
Inc.
438
144
Thermo
Fisher
Scientific,
Inc.
2,455
1,638
United
Therapeutics
Corp.(Æ)
2,504
541
UnitedHealth
Group,
Inc.
5,847
2,936
Veeva
Systems,
Inc.
Class
A(Æ)
22,936
5,860
Vertex
Pharmaceuticals,
Inc.(Æ)
2,569
564
Viatris
,
Inc.
Class
W
142,093
1,923
West
Pharmaceutical
Services,
Inc.
2,073
972
Zimmer
Biomet
Holdings,
Inc.
19,027
2,417
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
10
U.S.
Strategic
Equity
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Zoetis,
Inc.
Class
A
4,509
1,100
99,532
Materials
and
Processing
-
3.6%
Air
Products
&
Chemicals,
Inc.
144
44
Alcoa
Corp.
46,374
2,763
Ball
Corp.
4,120
397
Berry
Plastics
Group,
Inc.(Æ)
2,656
196
Carrier
Global
Corp.
5,632
305
Copart
,
Inc.(Æ)
1,742
264
Crown
Holdings,
Inc.
20,511
2,269
Dow,
Inc.
4,652
264
DowDuPont
,
Inc.
40,171
3,245
Eastman
Chemical
Co.
14,467
1,749
Ecolab,
Inc.
87
20
Fastenal
Co.
4,175
267
Freeport-McMoRan,
Inc.
8,142
340
Huntsman
Corp.
54,732
1,909
International
Paper
Co.
9,622
452
Lennox
International,
Inc.
546
177
Linde
PLC(Æ)
2,546
882
LyondellBasell
Industries
NV
Class
A
2,417
223
Newmont
Corp.
70,376
4,365
Nucor
Corp.
6,306
720
Owens
Corning
526
48
Reliance
Steel
&
Aluminum
Co.
434
70
Southern
Copper
Corp.
9,944
614
Steel
Dynamics,
Inc.
63
4
Sylvamo
Corp.(Æ)
874
24
Trane
Technologies
PLC
4,122
833
22,444
Producer
Durables
-
5.9%
3M
Co.
1,939
344
Ametek
,
Inc.
487
72
Aptiv
PLC(Æ)
1,648
272
Automatic
Data
Processing,
Inc.
1,376
339
Booz
Allen
Hamilton
Holding
Corp.
Class
A
1,562
132
Canadian
Pacific
Railway,
Ltd.
5,211
375
Carlisle
Cos.,
Inc.
1,102
273
CH
Robinson
Worldwide,
Inc.
3,238
349
Cintas
Corp.
1,104
489
CoStar
Group,
Inc.(Æ)
6,064
479
CSX
Corp.
9,234
347
Cummins,
Inc.
2,931
639
Danaher
Corp.
3,932
1,294
Deere
&
Co.
930
319
Eaton
Corp.
PLC
2,329
402
Emerson
Electric
Co.
3,665
341
Expeditors
International
of
Washington,
Inc.
1,184
159
FedEx
Corp.
20,895
5,403
General
Dynamics
Corp.
478
100
Gentex
Corp.
803
28
GXO
Logistics,
Inc.(Æ)
1,342
122
Honeywell
International,
Inc.
4,718
984
IDEX
Corp.
561
133
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
IHS
Markit
,
Ltd.(Æ)
2,910
387
Illinois
Tool
Works,
Inc.
1,625
401
Johnson
Controls
International
PLC(Æ)
13,670
1,112
Keysight
Technologies,
Inc.(Æ)
918
190
Lockheed
Martin
Corp.
9,090
3,231
Magna
International,
Inc.
Class
A
16,208
1,312
Norfolk
Southern
Corp.
744
221
Northrop
Grumman
Corp.
932
361
Old
Dominion
Freight
Line,
Inc.
548
196
Otis
Worldwide
Corp.
2,816
245
PACCAR
Financial
Corp.
5,469
483
Paychex,
Inc.
971
133
Quanta
Services,
Inc.
5,718
656
Raytheon
Co.(Æ)
7,864
677
Republic
Services,
Inc.
Class
A
2,907
405
Roper
Technologies,
Inc.
859
423
S&P
Global,
Inc.
188
89
Snap-on,
Inc.
935
201
Stanley
Black
&
Decker,
Inc.
719
136
Toro
Co.
(The)
2,847
284
Union
Pacific
Corp.
2,316
583
United
Parcel
Service,
Inc.
Class
B
6,663
1,428
United
Rentals,
Inc.(Æ)
1,115
371
Verisk
Analytics,
Inc.
Class
A
2,141
490
Vontier
Corp.
98,135
3,016
Waste
Management,
Inc.
34,316
5,726
Waters
Corp.(Æ)
348
130
Westinghouse
Air
Brake
Technologies
Corp.
1,530
141
XPO
Logistics,
Inc.(Æ)
1,342
104
36,527
Technology
-
28.0%
Accenture
PLC
Class
A
3,090
1,281
Activision
Blizzard,
Inc.
2,116
141
Adobe,
Inc.(Æ)
8,740
4,956
Advanced
Micro
Devices,
Inc.(Æ)
8,992
1,294
Airbnb,
Inc.
Class
A(Æ)
19,769
3,291
Alphabet,
Inc.
Class
A(Æ)
2,287
6,626
Alphabet,
Inc.
Class
C(Æ)
1,280
3,704
Amphenol
Corp.
Class
A
4,565
399
Analog
Devices,
Inc.
7,891
1,387
Ansys
,
Inc.(Æ)
36
14
Apple,
Inc.
87,437
15,526
Applied
Materials,
Inc.
6,816
1,073
Broadcom,
Inc.
2,554
1,699
CACI
International,
Inc.
Class
A(Æ)
356
96
Cadence
Design
Systems,
Inc.(Æ)
2,745
512
CDW
Corp.
717
147
Cisco
Systems,
Inc.
24,991
1,584
Cognizant
Technology
Solutions
Corp.
Class
A
1,337
119
Corning,
Inc.
7,541
281
Corteva
,
Inc.
67,881
3,209
Coupa
Software,
Inc.(Æ)
24,486
3,870
Datadog
,
Inc.
Class
A(Æ)
36,230
6,453
Dell
Technologies,
Inc.
Class
C(Æ)
7,292
410
Electronic
Arts,
Inc.
923
122
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Strategic
Equity
Fund
11
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
F5
Networks,
Inc.(Æ)
1,997
489
Fidelity
National
Information
Services,
Inc.
1,947
213
Fiserv,
Inc.(Æ)
1,506
156
Fortinet,
Inc.(Æ)
1,123
404
Hewlett
Packard
Enterprise
Co.
Class
H
30,059
474
HP,
Inc.(Æ)
23,418
882
Intel
Corp.
31,958
1,646
Intuit,
Inc.
1,463
941
Juniper
Networks,
Inc.
116,779
4,170
KLA
Corp.
2,031
874
Kyndryl
Holdings,
Inc.(Æ)
845
15
Lam
Research
Corp.
1,000
719
Leidos
Holdings,
Inc.
3,168
282
Marvell
Technology,
Inc.
1,377
120
Match
Group,
Inc.(Æ)
43,603
5,766
Meta
Platforms,
Inc.
Class
A(Æ)
24,260
8,160
Microchip
Technology,
Inc.
6,822
594
Micron
Technology,
Inc.
31,313
2,917
Microsoft
Corp.
99,519
33,469
Monolithic
Power
Systems,
Inc.
849
419
Motorola
Solutions,
Inc.
1,828
497
NVIDIA
Corp.
15,553
4,574
ON
Semiconductor
Corp.(Æ)
8,918
606
Oracle
Corp.
8,534
744
Paycom
Software,
Inc.(Æ)
8,352
3,468
Qorvo
,
Inc.(Æ)
1,232
193
QUALCOMM,
Inc.
6,909
1,263
Salesforce.com,
Inc.(Æ)
3,988
1,013
ServiceNow
,
Inc.(Æ)
12,446
8,079
Skyworks
Solutions,
Inc.
2,960
459
Snowflake,
Inc.
Class
A(Æ)
18,496
6,266
Synopsys,
Inc.(Æ)
892
329
Take-Two
Interactive
Software,
Inc.(Æ)
1,909
339
Teradyne,
Inc.
32,043
5,240
Texas
Instruments,
Inc.
7,081
1,335
Twilio
,
Inc.
Class
A(Æ)
23,291
6,133
Uber
Technologies,
Inc.(Æ)
211,884
8,884
VMware,
Inc.
Class
A
3,213
372
Wix.com,
Ltd.(Æ)
20,896
3,297
Workday,
Inc.
Class
A(Æ)
542
148
Xilinx,
Inc.
1,779
377
Zynga,
Inc.
Class
A(Æ)
38,500
246
174,766
Utilities
-
5.0%
American
Electric
Power
Co.,
Inc.
1,296
115
AT&T,
Inc.
119,610
2,942
Avangrid
,
Inc.
4,074
203
Cheniere
Energy,
Inc.
3,812
387
ConocoPhillips
Co.
30,757
2,220
Consolidated
Edison
Co.,
Inc.
4,123
352
Dominion
Energy,
Inc.
1,134
89
DT
Midstream,
Inc.
984
47
DTE
Energy
Co.
1,968
235
Duke
Energy
Corp.
5,841
613
Edison
International
46,238
3,156
Evergy
,
Inc.
5,903
405
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Eversource
Energy(Æ)
2,847
259
Exelon
Corp.
10,426
602
FirstEnergy
Corp.
63,059
2,623
International
Business
Machines
Corp.
4,227
565
National
Fuel
Gas
Co.
2,504
160
NextEra
Energy,
Inc.
6,860
640
NiSource,
Inc.
96,700
2,670
Pinnacle
West
Capital
Corp.
1,968
139
PPL
Corp.
72,213
2,171
Sempra
Energy
1,619
214
Southern
Co.
(The)
3,859
265
T-Mobile
USA,
Inc.(Æ)
51,761
6,003
UGI
Corp.
40,289
1,850
Verizon
Communications,
Inc.
31,027
1,612
WEC
Energy
Group,
Inc.(Æ)
4,349
422
30,959
Total
Common
Stocks
(cost
$382,066
)
596,441
Short-Term
Investments
-
4.2%
U.S.
Cash
Management
Fund(@)
26,477,937
(∞)
26,470
Total
Short-Term
Investments
(cost
$26,472)
26,470
Other
Securities
-
0.0%
U.S.
Cash
Collateral
Fund(@)(×)
148,525
(∞)
149
Total
Other
Securities
(cost
$149)
149
Total
Investments
-
99.8%
(identified
cost
$408,687)
623,060
Other
Assets
and
Liabilities,
Net
-
0.2%
1,107
Net
Assets
-
100.0%
624,167
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
12
U.S.
Strategic
Equity
Fund
Futures
Contracts
Amounts
in
thousands
(except
contract
amounts
)
Number
of
Contracts
Notional
Amount
Expiration
Date
Value
and
Unrealized
Appreciation
(Depreciation)
$
Long
Positions
S&P
500
E-Mini
Index
Futures
66
USD
15,703
03/22
269
Total
Value
and
Unrealized
Appreciation
(Depreciation)
on
Open
Futures
Contracts
(å)
269
Presentation
of
Portfolio
Holdings
Amounts
in
thousands
Fair
Value
Portfolio
Summary
Level
1
Level
2
Level
3
Practical
Expedient
(a)
Total
%
of
Net
Assets
Common
Stocks
Consumer
Discretionary
$
87,626
$
—
$
—
$
—
$
87,626
14.0
Consumer
Staples
33,006
—
—
—
33,006
5.3
Energy
10,642
—
—
—
10,642
1.7
Financial
Services
100,939
—
—
—
100,939
16.
2
Health
Care
99,532
—
—
—
99,532
15.9
Materials
and
Processing
22,444
—
—
—
22,444
3.6
Producer
Durables
36,527
—
—
—
36,527
5.9
Technology
174,766
—
—
—
174,766
28.0
Utilities
30,959
—
—
—
30,959
5.0
Short-Term
Investments
—
—
—
26,470
26,470
4.
2
Other
Securities
—
—
—
149
149
—
*
Total
Investments
596,441
—
—
26,619
623,060
99.8
Other
Assets
and
Liabilities,
Net
0.2
100.0
Other
Financial
Instruments
Assets
Futures
Contracts
269
—
—
—
269
—
*
Total
Other
Financial
Instruments
**
$
269
$
—
$
—
$
—
$
269
*
Less
than
0.05%
of
net
assets.
**
Futures
and
foreign
currency
exchange
contract
values
reflect
the
unrealized
appreciation
(depreciation)
on
the
investments.
(a)
Certain
investments
that
are
measured
at
fair
value
using
the
net
asset
value
per
share
(or
its
equivalent)
practical
expedient
have
not
been
classified
in
the
fair
value
levels.
The
fair
value
amounts
presented
in
the
table
are
intended
to
permit
reconciliation
to
the
amounts
presented
in
the
Schedule
of
Investments.
For
a
description
of
the
Levels,
see
note
2
in
the
Notes
to
Financial
Statements.
For
a
disclosure
on
transfers
into
and
out
of
Level
3
during
the
period
ended
December
31,
2021,
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Fair
Value
of
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Strategic
Equity
Fund
13
Amounts
in
thousands
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Variation
margin
on
futures
contracts*
$
269
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Location:
Statement
of
Operations
-
Net
realized
gain
(loss)
Futures
contracts
$
2,019
Location:
Statement
of
Operations
-
Net
change
in
unrealized
appreciation
(depreciation)
Futures
contracts
$
139
*
Includes
cumulative
appreciation
(depreciation)
of
futures
contracts
as
reported
in
the
Schedule
of
Investments.
Only
variation
margin
is
reported
within
the
Statement
of
Assets
and
Liabilities.
For
further
disclosure
on
derivatives
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Balance
Sheet
Offsetting
of
Financial
and
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
14
U.S.
Strategic
Equity
Fund
Amounts
in
thousands
Offsetting
of
Financial
Assets
and
Derivative
Assets
Description
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Gross
Amounts
of
Recognized
Assets
Gross
Amounts
Offset
in
the
Statement
of
Assets
and
Liabilities
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Securities
on
Loan*
Investments,
at
fair
value
$
149
$
—
$
149
Total
Financial
and
Derivative
Assets
149
—
149
Financial
and
Derivative
Assets
not
subject
to
a
netting
agreement
—
—
—
Total
Financial
and
Derivative
Assets
subject
to
a
netting
agreement
$
149
$
—
$
149
Financial
Assets,
Derivative
Assets,
and
Collateral
Held
by
Counterparty
Gross
Amounts
Not
Offset
in
the
Statement
of
Assets
and
Liabilities
Counterparty
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Financial
and
Derivative
Instruments
Collateral
Received^
Net
Amount
National
Bank
of
Canada
$
149
$
—
$
149
$
—
Total
$
149
$
—
$
149
$
—
*
Fair
value
of
securities
on
loan
as
reported
in
the
footnotes
to
the
Statement
of
Assets
and
Liabilities.
^ Collateral
received
or
pledged
amounts
may
not
reconcile
to
those
disclosed
in
the
Statement
of
Assets
and
Liabilities
due
to
the
inclusion
of
off-Balance
Sheet
collateral
and
adjustments
made
to
exclude
overcollateralization.
For
further
disclosure
on
derivatives
and
counterparty
risk
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Strategic
Equity
Fund
15
I
i
Statement
of
Assets
and
Liabilities
—
December
31,
2021
Amounts
in
thousands
Assets
Investments,
at
identified
cost
........................................................................................................................................................
$
408,
687
Investments,
at
fair
value(*)(>)
......................................................................................................................................................
623,060
Cash
...............................................................................................................................................................................................
28
Receivables:
Dividends
and
interest
.......................................................................................................................................................
494
Dividends
from
affiliated
funds
..........................................................................................................................................
2
Investments
sold
................................................................................................................................................................
546
Fund
shares
sold
................................................................................................................................................................
25
From
broker(a)
...................................................................................................................................................................
456
Variation
margin
on
futures
contracts
.................................................................................................................................
269
Total
assets
.................................................................................................................................................
624,880
Liabilities
Payables:
Fund
shares
redeemed
.......................................................................................................................................................
1
3
Accrued
fees
to
affiliates
....................................................................................................................................................
411
Other
accrued
expenses
.....................................................................................................................................................
140
Payable
upon
return
of
securities
loaned
.......................................................................................................................................
14
9
Total
liabilities
.............................................................................................................................................
713
Net
Assets
............................................................................................................................................................
$
624,167
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
16
U.S.
Strategic
Equity
Fund
Statement
of
Assets
and
Liabilities,
continued
—
December
31,
2021
Amounts
in
thousands
Net
Assets
Consist
of:
Total
distributable
earnings
(losses)
...............................................................................................................................................
$
226,129
Shares
of
beneficial
interest
...........................................................................................................................................................
291
Additional
paid-in
capital
..............................................................................................................................................................
397,747
Net
Assets
............................................................................................................................................................
$
624,167
Net
Asset
Value
,
offering
and
redemption
price
per
share:
Net
asset
value
per
share:(#)
..........................................................................................................................................................
$
21.46
Net
assets
...............................................................................................................................................................................
$
624,166,970
Shares
outstanding
($.01
par
value)
.......................................................................................................................................
29,091,814
Amounts
in
thousands
(*)
Securities
on
loan
included
in
investments
$
149
(>)
Investments
in
affiliates,
U.S.
Cash
Management
Fund
and
U.S.
Cash
Collateral
Fund
$
26,
619
(a)
Receivable
from
Broker
for
Futures
$
456
(#)
Net
asset
value
per
share
equals
net
assets
divided
by
shares
of
beneficial
interest
outstanding.
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Strategic
Equity
Fund
17
Statement
of
Operations
—
For
the
Period
Ended
December
31,
2021
Amounts
in
thousands
Investment
Income
Dividends
..........................................................................................................................................................................
$
6
,
91
7
Dividends
from
affiliated
funds
.........................................................................................................................................
11
Securities
lending
income
(net)
.........................................................................................................................................
16
Total
investment
income
...............................................................................................................................................................
6
,
94
4
Expenses
Advisory
fees
....................................................................................................................................................................
4,395
Administrative
fees
...........................................................................................................................................................
301
Custodian
fees
...................................................................................................................................................................
77
Transfer
agent
fees
............................................................................................................................................................
26
Professional
fees
...............................................................................................................................................................
105
Trustees’
fees
....................................................................................................................................................................
22
Printing
fees
......................................................................................................................................................................
70
Proxy
fees
.........................................................................................................................................................................
25
Miscellaneous
...................................................................................................................................................................
9
Total
expenses
...............................................................................................................................................................................
5,030
Net
investment
income
(loss)
........................................................................................................................................................
1
,
91
4
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
on:
Investments
......................................................................................................................................................................
6
8
,
03
0
Investments
in
affiliated
funds
..........................................................................................................................................
(1)
Futures
contracts
..............................................................................................................................................................
2,019
Net
realized
gain
(loss)
..................................................................................................................................................................
70
,
0
48
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
......................................................................................................................................................................
38,
64
7
Investments
in
affiliated
funds
..........................................................................................................................................
(2)
Futures
contracts
..............................................................................................................................................................
139
Net
change
in
unrealized
appreciation
(depreciation)
...................................................................................................................
38,7
8
4
Net
realized
and
unrealized
gain
(loss)
.........................................................................................................................................
108,
83
2
Net
Increase
(Decrease)
in
Net
Assets
from
Operations
..........................................................................................
$
110,746
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
18
U.S.
Strategic
Equity
Fund
Statements
of
Changes
in
Net
Assets
For
the
Periods
Ended
December
31,
Amounts
in
thousands
2021
2020
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
(loss)
............................................................................................................
$
1
,
91
4
$
2,811
Net
realized
gain
(loss)
......................................................................................................................
70
,
0
48
(4,225)
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
38,7
8
4
109,826
Net
increase
(decrease)
in
net
assets
from
operations
.............................................................................
110,746
108,412
Distributions
To
shareholders
.................................................................................................................................
(55,15
0
)
(6,692)
Net
decrease
in
net
assets
from
distributions
..........................................................................................
(55,15
0
)
(6,692)
Share
Transactions*
Net
increase
(decrease)
in
net
assets
from
share
transactions
.................................................................
7,466
(53,977)
Total
Net
Increase
(Decrease)
in
Net
Assets
..........................................................................
63,06
2
47,743
Net
Assets
Beginning
of
period
.................................................................................................................................
561,105
513,362
End
of
period
..........................................................................................................................................
$
624,16
7
$
561,105
*
Share
transaction
amounts
(in
thousands)
for
the
periods
ended
December
31,
2021
and
December
31,
2020
were
as
follows:
2021
2020
Shares
Dollars
Shares
Dollars
Proceeds
from
shares
sold
1,108
$
23,948
383
$
5,956
Proceeds
from
reinvestment
of
distributions
2,623
55,150
430
6,692
Payments
for
shares
redeemed
(3,297)
(71,632)
(4,185)
(66,625)
Total
increase
(decrease)
434
$
7,466
(3,372)
$
(53,977)
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
Financial
Highlights
—
For
the
Periods
Ended
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
20
U.S.
Strategic
Equity
Fund
For
a
Share
Outstanding
Throughout
Each
Period.
$
Net
Asset
Value,
Beginning
of
Period
$
Net
Investment
Income
(Loss)
(a)(b)
$
Net
Realized
and
Unrealized
Gain
(Loss)
$
Total
from
Investment
Operations
$
Distributions
from
Net
Investment
Income
$
Distributions
from
Net
Realized
Gain
December
31,
2021
19.58
.07
3.87
3.94
(.12)
(1.94)
December
31,
2020
16.03
.09
3.67
3.76
(.07)
(.14)
December
31,
2019
13.12
.16
3.77
3.93
(.16)
(.86)
December
31,
2018
18.53
.17
(1.97)
(1.80)
(.21)
(3.40)
December
31,
2017
17.08
.17
3.29
3.46
(.19)
(1.82)
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Strategic
Equity
Fund
21
$
Total
Distributions
$
Net
Asset
Value,
End
of
Period
%
Total
Return
(d)
$
Net
Assets,
End
of
Period
(000)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Gross
%
Ratio
of
Expenses
to
Average
Net
Assets,
Net
(b)
%
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
(b)
%
Portfolio
Turnover
Rate
(2.06)
21.46
20.40
624,167
.84
.84
.3
2
33
(.21)
19.58
23.84
561,105
.84
.84
.58
44
(1.02)
16.03
30.26
513,362
.85
.85
1.07
100
(3.61)
13.12
(9.64)
379,576
.84
.84
.93
150
(2.01)
18.53
20.80
461,727
.83
.83
.94
80
Russell
Investment
Funds
U.S.
Strategic
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
22
U.S.
Strategic
Equity
Fund
Related
Party
Transactions,
Fees
and
Expenses
Accrued
fees
payable
to
affiliates
for
the
period
ended
December
31,
2021
were
as
follows:
Transactions
(amounts
in
thousands)
during
the
period
ended
December
31,
2021
with
Underlying
Funds
which
are,
or
were,
an
affiliated
company
are
as
follows:
Federal
Income
Taxes
At
December
31,
2021,
the
cost
of
investments
and
net
unrealized
appreciation
(depreciation),
undistributed
ordinary
income
and
undistributed
long-term
capital
gains
for
income
tax
purposes
were
as
follows:
For
the
fiscal
years
ended
December
31,
2021
and
December
31,
2020
respectively,
the
Fund
made
the
following
tax
basis
distributions:
Net
investment
income
and
net
realized
gains
(losses)
in
the
financial
statements
may
differ
from
taxable
net
investment
income
and
net
realized
gains
(losses).
Capital
accounts
within
the
financial
statements
are
adjusted
for
permanent
book-tax
differences.
Book-tax
differences
are
primarily
due
to
foreign
currency
gains
and
losses,
reclassifications
of
dividends,
differences
in
treatment
of
income
from
swaps,
net
operating
losses,
investments
in
partnerships,
investments
in
passive
foreign
investment
companies
(PFICs),
tax
straddle
transaction,
use
of
tax
equalization
and
foreign
capital
gains
taxes.
These
adjustments
have
no
impact
on
the
net
assets.
At
December
31,
2021,
there
were
no
adjustments
to
the
Statement
of
Assets
and
Liabilities.
Advisory
fees
$
379,571
Administration
fees
25,998
Transfer
agent
fees
2,288
Trustee
fees
2,671
$
410,528
Fair
Value,
Beginning
of
Period
Purchases
Sales
Realized
Gain
(Loss)
Change
in
Unrealized
Gain
(Loss)
Fair
Value,
End
of
Period
Income
Distributions
Capital
Gains
Distributions
U.S.
Cash
Management
Fund
$
17,912
$
129,230
$
120,669
$
(1
)
$
(2
)
$
26,470
$
11
$
—
U.S.
Cash
Collateral
Fund
2,849
58,816
61,516
—
—
149
1
—
$
20,761
$
188,046
$
182,185
$
(1
)
$
(2
)
$
26,619
$
12
$
—
Cost
of
Investments
Unrealized
Appreciation
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
(Capital
Loss
Carryforward)
$
413,562,507
$
215,329,461
$
(5,831,601)
$
209,497,860
$
1,117,253
$
15,511,404
December
31,
2021
December
31,
2020
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
$
7,261,919
$
47,888,459
$
—
$
2,209,349
$
4,482,632
$
—
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Portfolio
Management
Discussion
and
Analysis
—
December
31,
2021
(Unaudited)
U.S.
Small
Cap
Equity
Fund
23
U.S.
Small
Cap
Equity
Fund
Total
Return
1
Year
25
.79%
5
Years
12
.14%§
10
Years
12
.39%§
Russell
2000
®
Index**
Total
Return
1
Year
14
.82%
5
Years
12
.02%§
10
Years
13
.23%§
U.S.
Small
Cap
Equity
Linked
Benchmark***
Total
Return
1
Year
14
.82%
5
Years
12
.02%§
10
Years
13
.36%§
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
24
U.S.
Small
Cap
Equity
Fund
The
U.S.
Small
Cap
Equity
Fund
(the
“Fund”)
employs
a
multi-
manager
approach
whereby
portions
of
the
Fund
are
allocated
to
different
money
manager
strategies.
Fund
assets
not
allocated
to
money
managers
are
managed
by
Russell
Investment
Management,
LLC
(“RIM”),
the
Fund’s
advisor.
RIM
may
change
the
allocation
of
the
Fund’s
assets
among
money
managers
at
any
time,
including
not
allocating
Fund
assets
to
one
or
more
money
manager
strategies.
An
exemptive
order
from
the
Securities
and
Exchange
Commission
permits
RIM
to
engage
or
terminate
a
money
manager
at
any
time,
subject
to
approval
by
the
Fund’s
Board,
without
a
shareholder
vote.
Pursuant
to
the
terms
of
the
exemptive
order,
the
Fund
is
required
to
notify
its
shareholders
within
90
days
of
when
a
money
manager
begins
providing
services.
As
of
December
31,
2021,
the
Fund
had
nine
money
managers.
What
is
the
Fund’s
investment
objective?
The
Fund
seeks
to
provide
long
term
capital
growth.
How
did
the
Fund
perform
relative
to
its
benchmark
for
the
fiscal
year
ended
December
31,
2021?
For
the
fiscal
year
ended
December
31,
2021
(the
“fiscal
year”),
the
Fund
gained
25.79%.
This
is
compared
to
the
Fund’s
benchmark,
the
Russell
2000
®
Index,
which
gained
14.82%
during
the
same
period.
The
Fund’s
performance
includes
operating
expenses,
whereas
index
returns
are
unmanaged
and
do
not
include
expenses
of
any
kind.
For
the
fiscal
year,
the
Morningstar
®
Insurance
Small
Blend
Category,
a
group
of
funds
that
Morningstar
considers
to
have
investment
strategies
similar
to
those
of
the
Fund,
gained
21.74%.
This
result
serves
as
a
peer
comparison
and
is
expressed
net
of
operating
expenses.
How
did
market
conditions
affect
the
Fund’s
performance?
Investor
sentiment
was
positive
during
the
fiscal
year
with
strong
absolute
returns
in
the
U.S.
market.
Progression
of
COVID-19
vaccine
campaigns
coupled
with
historic
amounts
of
fiscal
stimulus,
an
accommodative
Federal
Reserve
policy,
and
robust
earnings
growth
aided
in
renewed
levels
of
optimism
in
equities.
In
the
market
environment,
value
and
low
volatility
were
the
best
performing
factors
within
the
U.S.
small
cap
universe.
Energy
and
financials
were
the
best
performing
sectors
while
health
care
and
utilities
lagged.
How
did
the
investment
strategies
and
techniques
employed
by
the
Fund
and
its
money
managers
affect
its
benchmark
relative
performance?
Over
the
fiscal
year,
the
Fund
maintained
exposure
to
small
and
micro
capitalization
stocks
trading
at
discounted
valuations
as
well
as
companies
with
higher
quality
and
lower
volatility.
This
positioning
was
in
recognition
of
perceived
valuation
opportunities
as
well
as
the
risk
of
elevated
levels
of
corporate
debt
and
unprofitability
among
U.S.
small
cap
companies.
Within
the
U.S.
small
cap
market,
factor
impact
was
positive
as
the
preference
for
low
valuation
and
lower
volatility
stocks
positively
impacted
benchmark
relative
performance.
Sector
allocation
decisions
positively
contributed
to
performance
during
the
fiscal
year,
especially
an
overweight
to
the
energy
sector
and
an
underweight
to
the
health
care
sector.
The
Fund
employs
discretionary
and
non-discretionary
money
managers.
The
Fund’s
discretionary
money
managers
select
the
individual
portfolio
securities
for
the
assets
assigned
to
them.
The
Fund’s
non-discretionary
money
managers
provide
a
model
portfolio
to
RIM
representing
their
investment
recommendations,
based
upon
which
RIM
purchases
and
sells
securities
for
the
Fund.
RIM
manages
assets
not
allocated
to
money
manager
strategies
and
the
Fund’s
cash
balances.
Stock
selection
by
the
Fund’s
money
managers
was
the
primary
contributor
to
performance
during
the
fiscal
year,
including
outperforming
holdings
within
the
health
care
and
consumer
discretionary
sectors.
With
respect
to
certain
of
the
Fund’s
money
managers,
Boston
Partners
Global
Investors,
Inc.
outperformed
the
Fund’s
benchmark
over
the
fiscal
year.
Stock
selection
within
the
materials
and
information
technology
sectors
was
a
meaningful
driver
of
outperformance.
Additionally,
an
underweight
to
the
health
care
sector
and
an
overweight
to
the
energy
sector
positively
contributed
to
performance.
Jacobs
Levy
Equity
Management,
Inc.
outperformed
the
Fund’s
benchmark
over
the
fiscal
year.
The
money
manager’s
stock
selection
within
the
consumer
discretionary,
industrials
and
information
technology
sectors
was
the
primary
driver
of
benchmark
relative
outperformance.
Additionally,
a
tilt
toward
lower
valuation
stocks
was
beneficial.
Sector
allocation
decisions
contributed
positively
to
performance,
including
an
overweight
to
the
energy
sector
and
an
underweight
to
the
health
care
sector.
During
the
fiscal
year,
RIM
utilized
a
positioning
strategy
to
control
Fund-level
exposures
and
risks
through
the
purchase
of
a
stock
portfolio.
Using
the
output
from
quantitative
and/or
rules-based
processes
and
qualitative
analysis,
the
strategy
seeks
to
position
the
portfolio
to
meet
RIM’s
overall
preferred
positioning
with
respect
to
Fund
exposures
along
factor
and
industry
dimensions.
The
Fund’s
active
positioning
strategy
provided
exposure
to
RIM’s
strategic
equity
beliefs
associated
with
value
and
quality
factors.
During
the
fiscal
year,
the
strategy
underperformed
the
Fund’s
benchmark
as
sector
allocation
decisions
were
not
rewarded,
including
overweights
to
the
health
care
and
communication
services
sectors
and
underweights
to
the
energy
and
materials
sectors.
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
U.S.
Small
Cap
Equity
Fund
25
During
the
fiscal
year,
RIM
partially
equitized
the
Fund’s
cash
using
index
futures
contracts
to
provide
the
Fund
with
greater
market
exposure
and
this
strategy
performed
as
intended.
Describe
any
changes
to
the
Fund’s
structure
or
the
money
manager
line-up.
In
June
2021,
RIM
hired
BAMCO,
Inc.
as
a
biotechnology
specialist
and
added
a
new
micro/small
cap
value
mandate
for
DePrince,
Race
&
Zollo,
Inc.’s
(“DePrince”).
Additionally,
RIM
determined
to
allocate
Fund
assets
to
DePrince’s
existing
small
cap
value
mandate
and
determined
to
no
longer
allocate
Fund
assets
to
Penn
Capital
Management
Company,
LLC.
Allocations
to
the
other
managers
were
adjusted
as
a
result.
The
views
expressed
in
this
report
reflect
those
of
the
portfolio
managers
only
through
the
end
of
the
fiscal
year
covered
by
the
report.
These
views
do
not
necessarily
represent
the
views
of
RIM,
or
any
other
person
in
RIM
or
any
other
affiliated
organization.
These
views
are
subject
to
change
at
any
time
based
upon
market
conditions
or
other
events,
and
RIM
disclaims
any
responsibility
to
update
the
views
contained
herein.
These
views
should
not
be
relied
on
as
investment
advice
and,
because
investment
decisions
for
a
Russell
Investment
Funds
(“RIF”)
Fund
are
based
on
numerous
factors,
should
not
be
relied
on
as
an
indication
of
investment
decisions
of
any
RIF
Fund.
Money
Managers
as
of
December
31,
2021
Styles
Ancora
Advisors,
LLC
Market
Oriented
BAMCO,
Inc.
Growth
Boston
Partners
Global
Investors,
Inc.
Value
Calamos
Advisors
LLC
Growth
Copeland
Capital
Management,
LLC
Market
Oriented
DePrince
,
Race
&
Zollo
,
Inc.
Value
Jacobs
Levy
Equity
Management,
Inc.
Market
Oriented
Penn
Capital
Management
Company,
LLC
Market
Oriented
Ranger
Investment
Management,
L.P.
Growth
*
Assumes
initial
investment
on
January
1,
2012
.
**
Russell
2000
®
Index
measures
the
performance
of
the
small-cap
segment
of
the
U.S.
equity
universe.
The
Russell
2000
®
Index
is
a
subset
of
the
Russell
3000
®
Index
representing
approximately
10%
of
the
total
market
capitalization
of
that
index.
It
includes
approximately
2000
of
the
smallest
securities
based
on
a
combination
of
their
market
cap
and
current
index
membership.
The
Russell
2000
®
Index
is
constructed
to
provide
a
comprehensive
and
unbiased
small-cap
opportunity
barometer
and
is
completely
reconstituted
annually
to
ensure
larger
stocks
do
not
distort
the
performance
and
characteristics
of
the
true
small-cap
opportunity
set.
***
The
U.S.
Small
Cap
Equity
Linked
Benchmark
provides
a
means
to
compare
the
Fund’s
average
annual
returns
to
a
secondary
benchmark
that
takes
into
account
historical
changes
in
the
Fund’s
primary
benchmark.
The
U.S.
Small
Cap
Equity
Linked
Benchmark
represents
the
returns
of
the
Russell
2500
TM
Index
through
April
30,
2012
and
the
returns
of
the
Russell
2000
®
Index
thereafter.
§
Annualized.
The
performance
shown
in
this
section
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Performance
is
historical
and
assumes
reinvestment
of
all
dividends
and
capital
gains. Investment
return
and
principal
value
will
fluctuate
so
that
an
investor’s
shares,
when
redeemed,
may
be
worth
more
or
less
than
when
purchased. Past
performance
is
not
indicative
of
future
results. Additionally,
the
returns
presented
herein
may
differ
from
the
performance
reported
in
the
Financial
Highlights
as
the
returns
herein
are
calculated
in
a
manner
consistent
with
standardized
performance
in
accordance
with
Securities
and
Exchange
Commission
rules,
while
the
performance
in
the
Financial
Highlights
has
been
calculated
in
accordance
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”).
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Shareholder
Expense
Example
—
December
31,
2021
(Unaudited)
26
U.S.
Small
Cap
Equity
Fund
Fund
Expenses
The
following
disclosure
provides
important
information
regarding
the
Fund’s
Shareholder
Expense
Example
(“Example”).
Example
As
a
shareholder
of
the
Fund,
you
incur
two
types
of
costs:
(1)
transaction
costs,
and
(2)
ongoing
costs,
including
advisory
and
administrative
fees
and
other
Fund
expenses.
The
Example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
Fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
indicated,
which
for
this
Fund
is
from
July
1,
2021
to
December
31,
2021
.
Actual
Expenses
The
information
in
the
table
under
the
heading
“Actual
Performance”
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
column,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
column
in
the
row
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
in
the
table
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
the
Fund’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
Fund’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
the
Fund
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
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.
Therefore,
the
information
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
In
addition,
if
these
transactional
costs
were
included,
your
costs
would
have
been
higher.
The
fees
and
expenses
shown
in
this
section
do
not
reflect
any
Insurance
Company
Separate
Account
Policy
Charges.
Actual
Performance
Hypothetical
Performance
(5%
return
before
expenses)
Beginning
Account
Value
July
1,
2021
$
1,000.00
$
1,000.00
Ending
Account
Value
December
31,
2021
$
1,020.70
$
1,019.
51
Expenses
Paid
During
Period*
$
5.
76
$
5.
75
*
Expenses
are
equal
to
the
Fund's
annualized
expense
ratio
of
1.13
%
(representing
the
six
month
period
annualized),
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(to
reflect
the
one-half
year
period).
May
reflect
amounts
waived
and/or
reimbursed.
Without
any
waivers
and/or
reimbursements,
expenses
would
have
been
higher.
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
27
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Common
Stocks
–
99.0%
Consumer
Discretionary
-
12.6%
1-800-Flowers.com,
Inc.
Class
A(Æ)
9,659
226
2U,
Inc.(Æ)(Ð)
4,324
87
Aaron's
Co.,
Inc.
(The)
20,750
511
Abercrombie
&
Fitch
Co.
Class
A(Æ)
6,109
213
Academy
Sports
and
Outdoors,
Inc.(Æ)
6,518
286
Adtalem
Global
Education,
Inc.(Æ)
3,858
114
Altice
USA,
Inc.
Class
A(Æ)(Û)
706
11
Amerco,
Inc.(Û)
286
208
American
Axle
&
Manufacturing
Holdings,
Inc.(Æ)
32,137
300
American
Eagle
Outfitters,
Inc.
3,091
78
American
Outdoor
Brands,
Inc.(Æ)
1,124
22
American
Public
Education,
Inc.(Æ)
6,631
147
America's
Car-Mart,
Inc.(Æ)
5,543
568
APi
Group
Corp.(Æ)
33,417
862
B.
Riley
Financial,
Inc.
8,933
795
Barnes
&
Noble
Education,
Inc.(Æ)
13,041
89
Bassett
Furniture
Industries,
Inc.
813
14
Beazer
Homes
USA,
Inc.(Æ)
3,945
92
BJ's
Restaurants,
Inc.(Æ)
10,367
358
BJ's
Wholesale
Club
Holdings,
Inc.(Æ)
2,521
169
Bluegreen
Vacations
Holding
Corp.(Æ)
996
35
Boot
Barn
Holdings,
Inc.(Æ)
15,262
1,879
Boston
Omaha
Corp.
Class
A(Æ)
6,171
177
Buckle,
Inc.
(The)
2,857
121
Caleres,
Inc.
21,756
494
Cardlytics,
Inc.(Æ)
7,842
518
Carriage
Services,
Inc.
Class
A
1,065
69
Carrols
Restaurant
Group,
Inc.
32,949
98
Carter's,
Inc.
5,756
583
Cavco
Industries,
Inc.(Æ)
2,423
771
Celestica,
Inc.(Æ)
41,577
463
Central
Garden
&
Pet
Co.
Class
A(Æ)
1,288
62
Century
Casinos,
Inc.(Æ)
35,484
432
Century
Communities,
Inc.
2,552
209
Chico's
FAS,
Inc.(Æ)
8,528
46
Citi
Trends,
Inc.(Æ)
649
61
Conn's,
Inc.(Æ)
3,148
74
Container
Store
Group,
Inc.
(The)(Æ)
4,179
42
Cooper-Standard
Holdings,
Inc.(Æ)
1,607
36
Coty,
Inc.
Class
A(Æ)
8,766
92
Cracker
Barrel
Old
Country
Store,
Inc.
1,724
222
Crocs,
Inc.(Æ)
2,058
264
Dana
Holding
Corp.
21,786
497
Delta
Apparel,
Inc.(Æ)
12,903
384
Designer
Brands,
Inc.
Class
A(Æ)
26,490
376
Dillard's,
Inc.
Class
A
1,038
254
Drive
Shack,
Inc.(Æ)
25,304
36
Escalade,
Inc.
5,635
89
Ethan
Allen
Interiors,
Inc.
3,768
99
Fiesta
Restaurant
Group,
Inc.(Æ)
9,288
102
Foot
Locker,
Inc.
4,432
193
Fossil
Group,
Inc.(Æ)
6,055
62
Genesco,
Inc.(Æ)
6,607
424
GMS,
Inc.(Æ)
2,693
162
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Goodyear
Tire
&
Rubber
Co.
(The)(Æ)
35,200
750
GoPro,
Inc.
Class
A(Æ)(Ð)
18,299
189
Gray
Television,
Inc.
3,190
64
Group
1
Automotive,
Inc.
1,658
323
H&R
Block,
Inc.
13,702
323
Hanesbrands,
Inc.
21,731
363
Haverty
Furniture
Cos.,
Inc.
1,313
40
HealthStream,
Inc.(Æ)
1,940
51
Hibbett,
Inc.
2,076
149
Hillenbrand,
Inc.
7,296
379
Horizon
Global
Corp.(Æ)
49,108
392
Houghton
Mifflin
Harcourt
Co.(Æ)(Ð)
7,050
114
iMedia
Brands,
Inc.(Æ)
16,334
98
International
Game
Technology
PLC
7,902
228
IntriCon
Corp.(Æ)
7,234
117
JOANN,
Inc.(Ñ)
7,193
75
Johnson
Outdoors,
Inc.
Class
A
200
19
KB
Home
6,499
291
Kohl's
Corp.
5,611
277
Kontoor
Brands,
Inc.
8,129
417
Kura
Sushi
USA,
Inc.
Class
A(Æ)
5,438
440
Lands'
End,
Inc.(Æ)
2,409
47
Landsea
Homes
Corp.(Æ)
28,689
210
La-Z-Boy,
Inc.
4,496
163
Lumber
Liquidators
Holdings,
Inc.(Æ)
6,479
110
Macy's,
Inc.
4,616
121
Madison
Square
Garden
Entertainment
Corp.
(Æ)
4,030
283
MarineMax,
Inc.(Æ)
4,294
254
MasterCraft
Boat
Holdings,
Inc.(Æ)
4,004
113
Monro
Muffler
Brake,
Inc.
6,834
398
Motorcar
Parts
of
America,
Inc.(Æ)
7,749
132
Movado
Group,
Inc.
7,075
296
Nathan's
Famous,
Inc.
980
57
National
Presto
Industries,
Inc.
698
57
Noodles
&
Co.
Class
A(Æ)(Ð)
805
7
Nordstrom,
Inc.(Æ)(Ð)
6,325
143
Overstock.com,
Inc.(Æ)
1,122
66
Papa
John's
International,
Inc.
922
123
Perdoceo
Education
Corp.(Æ)(Ð)
3,718
44
PetIQ,
Inc.(Æ)
2,233
51
Poshmark,
Inc.
Class
A(Æ)
12,650
215
Potbelly
Corp.(Æ)
12,057
67
QuinStreet,
Inc.(Æ)
16,730
304
Quotient
Technology,
Inc.(Æ)
8,077
60
RealReal,
Inc.
(The)(Æ)
16,142
187
Red
Robin
Gourmet
Burgers,
Inc.(Æ)
1,116
18
REV
Group,
Inc.
16,356
231
Revolve
Group,
Inc.(Æ)
1,394
78
Ruth's
Hospitality
Group,
Inc.
6,340
126
Sally
Beauty
Holdings,
Inc.(Æ)
8,739
161
Scholastic
Corp.
10,441
417
Scientific
Games
Corp.
Class
A(Æ)
4,092
273
Shake
Shack,
Inc.
Class
A(Æ)
2,412
174
Shoe
Carnival,
Inc.
595
23
Shutterstock,
Inc.
1,088
121
Signet
Jewelers,
Ltd.
1,998
174
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
28
U.S.
Small
Cap
Equity
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Sinclair
Broadcast
Group,
Inc.
Class
A
2,309
61
Skyline
Champion
Corp.(Æ)
18,487
1,461
SMART
Global
Holdings,
Inc.(Æ)
4,613
327
Sonic
Automotive,
Inc.
Class
A
3,587
177
Steven
Madden,
Ltd.
9,646
448
Stoneridge,
Inc.(Æ)
4,715
93
Stride,
Inc.(Æ)
3,403
113
TEGNA,
Inc.
3,758
70
Tenneco,
Inc.
Class
A(Æ)
9,177
104
Texas
Roadhouse,
Inc.
Class
A
11,762
1,051
Tilly's,
Inc.
Class
A
667
11
Townsquare
Media,
Inc.
Class
A(Æ)
35,706
476
Universal
Electronics,
Inc.(Æ)
7,779
317
Universal
Technical
Institute,
Inc.(Æ)
662
5
Vera
Bradley,
Inc.(Æ)
805
7
Vista
Outdoor,
Inc.(Æ)
7,742
357
Visteon
Corp.(Æ)
1,588
176
Wingstop,
Inc.
2,290
396
Wolverine
World
Wide,
Inc.
15,029
433
WW
International,
Inc.(Æ)
8,772
141
Wyndham
Hotels
&
Resorts,
Inc.
5,448
488
YETI
Holdings,
Inc.(Æ)
8,016
665
Zumiez,
Inc.(Æ)
3,057
147
32,503
Consumer
Staples
-
3.5%
Albertsons
Co.,
Inc.
Class
A(Û)
12,148
367
Alico,
Inc.
3,695
137
Andersons,
Inc.
(The)
6,512
252
Arko
Corp.(Æ)
3,400
30
Boston
Beer
Co.,
Inc.
Class
A(Æ)
487
246
Bunge,
Ltd.(Û)
4,591
429
Calavo
Growers,
Inc.
965
41
Celsius
Holdings,
Inc.(Æ)
1,424
106
Coca-Cola
Bottling
Co.
236
146
Dole
PLC(Ñ)
3,070
41
elf
Beauty,
Inc.(Æ)
60,430
2,007
Energizer
Holdings,
Inc.
-
GDR(Æ)
9,352
427
Farmer
Brothers
Co.(Æ)
24,739
184
Fresh
Del
Monte
Produce,
Inc.
3,293
91
Grocery
Outlet
Holding
Corp.(Æ)(Ñ)
30,839
872
Helen
of
Troy,
Ltd.(Æ)
594
145
Herbalife
Nutrition,
Ltd.(Æ)(Û)
6,987
286
Ingles
Markets,
Inc.
Class
A
1,406
121
Ingredion,
Inc.
4,993
483
J&J
Snack
Foods
Corp.
2,984
471
Lancaster
Colony
Corp.
595
99
Landec
Corp.(Æ)
19,648
218
Medifast,
Inc.
747
156
Molson
Coors
Beverage
Co.
Class
B(Ð)
1,191
55
Performance
Food
Group
Co.(Æ)
3,573
164
Pilgrim's
Pride
Corp.(Æ)(Û)
506
14
Post
Holdings,
Inc.(Æ)
717
81
Primo
Water
Corp.
9,627
170
Quanex
Building
Products
Corp.
10,998
273
Spectrum
Brands
Holdings,
Inc.
4,967
505
Turning
Point
Brands,
Inc.
4,460
168
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
United
Natural
Foods,
Inc.(Æ)
4,552
224
USANA
Health
Sciences,
Inc.(Æ)
790
80
9,089
Energy
-
3.4%
Arch
Resources,
Inc.
3,356
306
ChampionX
Corp.(Æ)
18,889
382
CVR
Energy,
Inc.
2,889
49
Delek
US
Holdings,
Inc.(Æ)
40,909
613
Dril-Quip,
Inc.(Æ)(Ð)
805
16
Euro
Manganese,
Inc.(Æ)
132,500
43
Green
Brick
Partners,
Inc.(Æ)
42,989
1,303
HollyFrontier
Corp.(Ð)
9,651
316
Hostess
Brands,
Inc.
Class
A(Æ)
4,279
87
Liberty
Oilfield
Services,
Inc.
Class
A(Æ)
8,311
81
Luxfer
Holdings
PLC
-
ADR
8,094
156
Matrix
Service
Co.(Æ)
32,304
243
Nabors
Industries,
Inc.(Æ)
347
28
National
Energy
Services
Reunited
Corp.(Æ)
85,449
806
Natural
Gas
Services
Group,
Inc.(Æ)
13,253
139
NexTier
Oilfield
Solutions,
Inc.(Æ)
134,230
477
NOV,
Inc.(Æ)
24,123
327
NOW,
Inc.(Æ)
7,512
64
Oil
States
International,
Inc.(Æ)
40,626
202
Par
Pacific
Holdings,
Inc.(Æ)
4,341
72
Patterson-UTI
Energy,
Inc.
89,115
753
PBF
Energy,
Inc.
Class
A(Æ)
8,625
112
Peabody
Energy
Corp.(Æ)
2,377
24
REX
American
Resources
Corp.(Æ)
479
46
SM
Energy
Co.
15,266
450
Solaris
Oilfield
Infrastructure,
Inc.
Class
A
21,519
141
SunCoke
Energy,
Inc.
6,464
43
Talon
Metals
Corp.(Æ)
225,500
109
Targa
Resources
Corp.
6,510
340
TPI
Composites,
Inc.(Æ)
2,400
36
W&T
Offshore,
Inc.(Æ)
62,106
201
Warrior
Met
Coal,
Inc.
22,720
584
World
Fuel
Services
Corp.
3,635
96
8,645
Financial
Services
-
21.8%
AerCap
Holdings
Ltd.
/
AerCap
Global
Aviation
Trust(Æ)
1,944
127
Agree
Realty
Corp.(ö)
6,793
485
Alleghany
Corp.(Æ)
473
316
Alpine
Income
Property
Trust,
Inc.(ö)
32,361
649
Amalgamated
Financial
Corp.
682
11
American
Campus
Communities,
Inc.(Ð)(ö)
4,815
276
American
Equity
Investment
Life
Holding
Co.
6,833
265
Ameris
Bancorp
5,156
256
Apple
Hospitality
REIT,
Inc.(ö)
27,174
439
Argo
Group
International
Holdings,
Ltd.
1,730
101
Armada
Hoffler
Properties,
Inc.(Ð)(ö)
1,481
23
Associated
Banc-Corp.(Ð)
2,990
68
Assurant,
Inc.
105
16
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
29
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Atlantic
Union
Bankshares
Corp.(Æ)
2,689
100
Augmedix,
Inc.(Æ)(Ñ)
25,701
81
Axis
Capital
Holdings,
Ltd.
8,594
468
Axos
Financial,
Inc.(Æ)
2,529
141
Banc
of
California,
Inc.
69,626
1,365
Bancorp,
Inc.
(The)(Æ)
5,313
134
BankUnited,
Inc.
2,529
107
Bar
Harbor
Bankshares
2,463
71
Blucora,
Inc.(Æ)
32,523
563
Braemar
Hotels
&
Resorts,
Inc.(Æ)(Ð)(ö)
3,500
18
Bridgewater
Bancshares,
Inc.(Æ)
442
8
Brighthouse
Financial,
Inc.(Æ)
6,314
327
Brixmor
Property
Group,
Inc.(ö)
17,461
444
Bryn
Mawr
Bank
Corp.
4,863
219
Byline
Bancorp,
Inc.
11,912
326
Cadence
Bank
46,026
1,370
Cambridge
Bancorp
1,019
95
Camden
Property
Trust(ö)
2,375
424
Cannae
Holdings,
Inc.(Æ)
10,844
381
Capital
Bancorp,
Inc.
10,341
271
Capital
City
Bank
Group,
Inc.
9,885
261
Capstar
Financial
Holdings,
Inc.
25,883
544
Carter
Bankshares,
Inc.(Æ)
864
13
CatchMark
Timber
Trust,
Inc.
Class
A(ö)
29,679
259
Cathay
General
Bancorp
3,138
135
CBTX,
Inc.
990
29
Chatham
Lodging
Trust(Æ)(Ð)(ö)
2,968
41
CIT
Group,
Inc.
2,760
142
Civista
Bancshares,
Inc.
6,042
147
CNO
Financial
Group,
Inc.
9,279
221
Columbia
Banking
System,
Inc.
16,566
542
Community
Bank
System,
Inc.
1,604
119
CorEnergy
Infrastructure
Trust,
Inc.(ö)
702
2
Cousins
Properties,
Inc.(ö)
10,003
403
Cowen
Group,
Inc.
Class
A
11,208
404
CTO
Realty
Growth,
Inc.(ö)
12,914
793
Curo
Group
Holdings
Corp.
10,723
172
Customers
Bancorp,
Inc.(Æ)
4,071
267
DigitalBridge
Group,
Inc.(Æ)(ö)
52,900
441
Diversified
Healthcare
Trust(Æ)
4,706
15
Donegal
Group,
Inc.
Class
A
7,279
104
Easterly
Government
Properties,
Inc.(ö)
10,858
249
Eastern
Bankshares,
Inc.
5,100
103
EastGroup
Properties,
Inc.(ö)
677
154
eHealth,
Inc.(Æ)
4,190
107
Emerald
Holding,
Inc.(Æ)
21,939
87
Enova
International,
Inc.(Æ)
2,467
101
Enterprise
Financial
Services
Corp.
5,317
250
Essent
Group,
Ltd.
10,291
469
eXp
World
Holdings,
Inc.
2,485
84
EZCORP,
Inc.
Class
A(Æ)
54,858
404
Farmland
Partners,
Inc.(ö)
2,092
25
Fathom
Holdings,
Inc.(Æ)
2,873
59
Federal
Agricultural
Mortgage
Corp.
Class
C
4,304
533
Federated
Hermes,
Inc.
Class
B
2,249
85
First
BanCorp
9,914
137
First
Community
Corp.
11,377
236
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
First
Financial
Bankshares,
Inc.
1,892
96
First
Financial
Corp.
265
12
First
Foundation,
Inc.
28,490
708
First
Internet
Bancorp
3,232
152
First
Interstate
BancSystem,
Inc.
Class
A
16,700
679
First
Merchants
Corp.
9,239
387
First
Mid-Illinois
Bancshares,
Inc.
3,797
162
FirstCash
Holdings,
Inc.
2,678
200
Five
Star
Bancorp
10,729
322
Flagstar
Bancorp,
Inc.
2,235
107
Flushing
Financial
Corp.
3,435
83
FNB
Corp.
6,377
77
Forestar
Group,
Inc.(Æ)
8,726
189
Four
Corners
Property
Trust,
Inc.(ö)
2,491
73
Franchise
Group,
Inc.(Æ)
9,640
503
Gaming
and
Leisure
Properties,
Inc.(ö)
15,493
754
Genworth
Financial,
Inc.
Class
A(Æ)
44,942
182
GEO
Group,
Inc.
(The)(ö)
16,622
129
German
American
Bancorp,
Inc.
1,153
45
Getty
Realty
Corp.(ö)
6,649
213
Glacier
Bancorp,
Inc.
3,450
196
Global
Medical
REIT,
Inc.(ö)
9,822
174
Great
Western
Bancorp,
Inc.
2,298
78
Green
Dot
Corp.
Class
A(Æ)
3,688
134
Greenlight
Capital
Re,
Ltd.
Class
A(Æ)
667
5
Grid
Dynamics
Holdings,
Inc.(Æ)
2,896
110
Guaranty
Bancshares,
Inc.
3,391
128
Hancock
Holding
Co.
9,619
481
Hanmi
Financial
Corp.
1,506
36
Hanover
Insurance
Group,
Inc.
(The)
1,824
239
HarborOne
Bancorp,
Inc.
13,622
202
Healthcare
Realty
Trust,
Inc.(ö)
5,716
181
Heritage
Insurance
Holdings,
Inc.
249
1
Hilltop
Holdings,
Inc.
2,506
88
Home
Bancorp,
Inc.
2,265
94
Home
BancShares,
Inc.
37,504
913
HomeStreet,
Inc.
12,603
656
HomeTrust
Bancshares,
Inc.
466
14
Horace
Mann
Educators
Corp.
9,386
363
Houlihan
Lokey,
Inc.
Class
A
1,747
181
Howard
Hughes
Corp.
(The)(Æ)(Ð)
700
71
Hudson
Pacific
Properties,
Inc.(ö)
13,374
330
I3
Verticals,
Inc.
Class
A(Æ)
33,889
772
Independent
Bank
Corp.
7,743
185
Innovative
Industrial
Properties,
Inc.(ö)
1,171
308
International
Bancshares
Corp.
1,838
78
Investar
Holding
Corp.
9,943
183
Investors
Bancorp,
Inc.
8,306
126
Jackson
Financial,
Inc.
Class
A
22,171
927
James
River
Group
Holdings,
Ltd.
9,646
278
JER
Investment
Trust,
Inc.(Æ)(Š)(Þ)
1,771
—
Kearny
Financial
Corp.
24,885
330
Kemper
Corp.(Ð)
2,792
164
Kennedy-Wilson
Holdings,
Inc.
2,171
52
Ladder
Capital
Corp.
Class
A(ö)
13,162
158
Live
Oak
Bancshares,
Inc.
1,694
148
Macerich
Co.
(The)(ö)
5,377
93
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
30
U.S.
Small
Cap
Equity
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Merchants
Bancorp
1,179
56
Metropolitan
Bank
Holding
Corp.(Æ)
6,107
651
MFA
Financial,
Inc.(ö)
33,942
155
Mr.
Cooper
Group,
Inc.(Æ)
3,359
140
National
Bank
Holdings
Corp.
Class
A
16,804
739
National
Retail
Properties,
Inc.(ö)
8,151
392
National
Storage
Affiliates
Trust(ö)
1,571
109
New
York
Mortgage
Trust,
Inc.(ö)
18,497
69
NexPoint
Residential
Trust,
Inc.(ö)
275
23
Nicolet
Bankshares,
Inc.(Æ)
456
39
NMI
Holdings,
Inc.
Class
A(Æ)
21,336
466
Northeast
Bank
7,633
273
Northrim
BanCorp,
Inc.
249
11
OceanFirst
Financial
Corp.
11,683
259
ODP
Corp.
(The)(Æ)
3,044
120
OFG
Bancorp
2,378
63
Old
National
Bancorp
22,539
408
Old
Second
Bancorp,
Inc.
25,023
315
Oportun
Financial
Corp.(Æ)
6,335
128
Origin
Bancorp,
Inc.
459
20
Outfront
Media
Capital
LLC
/
Outfront
Media
Capital
Corp.(ö)
4,430
119
Pacific
Premier
Bancorp,
Inc.
2,925
117
Paramount
Group,
Inc.(ö)
7,600
63
PCB
Bancorp(Æ)
24,385
535
PCSB
Financial
Corp.
23,351
445
Peapack
Gladstone
Financial
Corp.
282
10
Pebblebrook
Hotel
Trust(ö)
7,060
158
PennyMac
Financial
Services,
Inc.(Û)
3,676
256
Peoples
Bancorp,
Inc.
15,633
497
Piedmont
Office
Realty
Trust,
Inc.
Class
A(ö)
1,648
30
Plymouth
Industrial
REIT,
Inc.(ö)
15,210
487
Popular,
Inc.
10,518
863
Potlatch
Corp.(ö)
13,116
790
PRA
Group,
Inc.(Æ)
1,877
94
Premier
Financial
Corp.
20,149
623
ProAssurance
Corp.
2,162
55
PROG
Holdings,
Inc.(Æ)
5,548
250
PS
Business
Parks,
Inc.(ö)
731
135
Pzena
Investment
Management,
Inc.
Class
A
22,661
215
QCR
Holdings,
Inc.
3,868
216
Radian
Group,
Inc.
4,857
103
Realogy
Holdings
Corp.(Æ)
13,225
222
Redfin
Corp.(Æ)(Ñ)
6,172
237
Reinsurance
Group
of
America,
Inc.
Class
A
3,432
376
RenaissanceRe
Holdings,
Ltd.
2,182
369
Renasant
Corp.
2,340
89
Repay
Holdings
Corp.(Æ)
35,992
658
Riverview
Bancorp,
Inc.
10,972
84
RLI
Corp.
639
72
RLJ
Lodging
Trust(ö)
9,726
135
RMR
Group,
Inc.
(The)
Class
A
6,979
242
Ryman
Hospitality
Properties,
Inc.(Æ)(ö)
2,728
251
Sculptor
Capital
Management,
Inc.
9,818
210
Selective
Insurance
Group,
Inc.
5,135
421
Selectquote,
Inc.(Æ)
11,569
105
ServisFirst
Bancshares,
Inc.
900
76
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Signature
Bank(Û)
673
218
Silvergate
Capital
Corp.
Class
A(Æ)
711
105
Simmons
First
National
Corp.
Class
A
2,757
82
SLM
Corp.(Ð)
14,385
283
SmartFinancial,
Inc.
2,756
75
South
State
Corp.
887
71
Southern
Missouri
Bancorp,
Inc.
2,113
110
SP
Plus
Corp.(Æ)
14,690
415
Spirit
Realty
Capital,
Inc.(ö)
3,391
163
STAG
Industrial,
Inc.(ö)
7,670
368
Stewart
Information
Services
Corp.
4,877
389
StoneX
Group,
Inc.(Æ)
6,868
421
Summit
Hotel
Properties,
Inc.(Æ)(ö)
24,027
235
Target
Hospitality
Corp.
Class
A(Æ)
13,868
49
Terreno
Realty
Corp.(ö)
1,131
96
Territorial
Bancorp,
Inc.
18,649
471
Texas
Capital
Bancshares,
Inc.(Æ)(Ð)(Û)
3,029
182
Tiptree
Financial,
Inc.
Class
A
20,956
290
TPG
RE
Finance
Trust,
Inc.(ö)
11,985
148
TriCo
Bancshares
4,644
200
Triumph
Bancorp,
Inc.(Æ)
6,248
744
Trupanion,
Inc.(Æ)
1,879
248
UMB
Financial
Corp.
1,247
132
UMH
Properties,
Inc.(ö)
27,393
749
United
Bankshares,
Inc.
3,683
134
United
Community
Banks,
Inc.
13,539
487
United
Fire
Group,
Inc.
925
21
United
Insurance
Holdings
Corp.
2,667
12
Universal
Insurance
Holdings,
Inc.
9,186
156
Univest
Corp.
of
Pennsylvania
3,052
91
Unum
Group(Ð)
14,359
353
Valley
National
Bancorp
34,085
469
Velocity
Financial,
Inc.(Æ)
10,405
143
Virtus
Investment
Partners,
Inc.
289
86
Voya
Financial,
Inc.
4,159
276
Walker
&
Dunlop,
Inc.
1,070
161
Washington
Trust
Bancorp,
Inc.
7,298
411
Waterstone
Financial,
Inc.
1,055
23
Webster
Financial
Corp.
15,867
886
West
BanCorp,
Inc.
1,696
53
Westamerica
BanCorp
4,846
280
Westwood
Holdings
Group,
Inc.
9,570
162
WSFS
Financial
Corp.
2,159
108
56,232
Health
Care
-
18.2%
Acadia
Pharmaceuticals,
Inc.(Æ)
10,898
255
Accuray,
Inc.(Æ)
28,792
138
Aerie
Pharmaceuticals,
Inc.(Æ)
5,508
39
Agios
Pharmaceuticals,
Inc.(Æ)(Ð)
4,460
147
Akebia
Therapeutics,
Inc.(Æ)(Ð)
18,688
42
Alkermes
PLC(Æ)
12,604
293
Allakos,
Inc.(Æ)
879
9
Allscripts
Healthcare
Solutions,
Inc.(Æ)
16,562
306
Alpha
Teknova,
Inc.(Æ)
19,722
404
ALX
Oncology
Holdings,
Inc.(Æ)
3,622
78
Amicus
Therapeutics,
Inc.(Æ)(Ð)
23,703
274
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
31
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
AMN
Healthcare
Services,
Inc.(Æ)
1,255
154
Amneal
Pharmaceuticals,
Inc.(Æ)(Ð)
12,007
58
Amphastar
Pharmaceuticals,
Inc.(Æ)
12,728
297
AngioDynamics,
Inc.(Æ)
1,511
42
Angion
Biomedica
Corp.(Æ)
23,461
68
ANI
Pharmaceuticals,
Inc.(Æ)
9,063
418
Anika
Therapeutics,
Inc.(Æ)
9,846
353
Antares
Pharma,
Inc.(Æ)
43,389
155
Apellis
Pharmaceuticals,
Inc.(Æ)
9,126
431
Applied
Therapeutics,
Inc.(Æ)
6,693
60
Apria,
Inc.(Æ)
10,916
356
Ardelyx,
Inc.(Æ)(Ð)
4,019
4
Arena
Pharmaceuticals,
Inc.(Æ)
12,261
1,140
Argenx
SE
-
ADR(Æ)
3,453
1,208
Arrowhead
Pharmaceuticals,
Inc.(Æ)
16,701
1,107
Arvinas,
Inc.(Æ)
3,893
320
Ascendis
Pharma
A/S
-
ADR(Æ)
2,225
299
Athenex,
Inc.(Æ)(Ð)
3,913
5
Aveanna
Healthcare
Holdings,
Inc.(Æ)
1,287
10
Avid
Bioservices,
Inc.(Æ)(Ñ)
86,257
2,516
AVROBIO,
Inc.(Æ)(Ð)
2,466
9
Axogen,
Inc.(Æ)
1,000
9
Beam
Therapeutics,
Inc.(Æ)
7,633
608
BioDelivery
Sciences
International,
Inc.(Æ)
7,474
23
Biohaven
Pharmaceutical
Holding
Co.,
Ltd.
(Æ)
8,213
1,132
BioLife
Solutions,
Inc.(Æ)
48,813
1,818
Bluebird
Bio,
Inc.(Æ)(Ð)
7,455
74
Blueprint
Medicines
Corp.(Æ)
3,942
422
BridgeBio
Pharma,
Inc.(Æ)(Ñ)
10,190
170
Cara
Therapeutics,
Inc.(Æ)(Ð)
3,851
47
Cardinal
Health,
Inc.(Û)
1,392
72
Cardiovascular
Systems,
Inc.(Æ)
1,373
26
CareDx,
Inc.(Æ)
1,881
86
Castlight
Health,
Inc.
Class
B(Æ)
7,389
11
Catalyst
Pharmaceuticals,
Inc.(Æ)
5,646
38
Clovis
Oncology,
Inc.(Æ)(Ñ)
15,107
41
Computer
Programs
&
Systems,
Inc.(Æ)
4,255
125
CONMED
Corp.
6,242
885
Consensus
Cloud
Solutions,
Inc.
Class
W(Æ)
4,246
246
Cutera,
Inc.(Æ)
1,095
45
Cytokinetics,
Inc.(Æ)
15,729
717
CytomX
Therapeutics,
Inc.(Æ)(Ð)
6,965
30
Deciphera
Pharmaceuticals,
Inc.(Æ)(Ð)
1,799
18
Denali
Therapeutics,
Inc.(Æ)
4,633
207
Eagle
Pharmaceuticals,
Inc.(Æ)
830
42
Editas
Medicine,
Inc.(Æ)
1,595
42
Enanta
Pharmaceuticals,
Inc.(Æ)(Ð)
1,154
86
Encompass
Health
Corp.(Æ)
11,394
744
Endo
International
PLC(Æ)
19,218
72
Ensign
Group,
Inc.
(The)
2,689
226
Epizyme,
Inc.(Æ)
6,009
15
Exelixis,
Inc.(Æ)(Û)
16,757
306
FibroGen,
Inc.(Æ)(Ð)
9,443
133
F-Star
Therapeutics,
Inc.(Æ)(Ñ)
21,685
109
Global
Blood
Therapeutics,
Inc.(Æ)
3,395
99
Gossamer
Bio,
Inc.(Æ)
4,198
47
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Halozyme
Therapeutics,
Inc.(Æ)
1,897
76
Harrow
Health,
Inc.(Æ)(Ñ)
25,474
220
Heska
Corp.(Æ)
5,976
1,091
Homology
Medicines,
Inc.(Æ)(Ð)
4,739
17
IGM
Biosciences,
Inc.(Æ)
1,772
52
Inari
Medical,
Inc.(Æ)
2,605
238
Incyte
Corp.(Æ)(Û)
780
57
InfuSystems
Holdings,
Inc.(Æ)
37,444
638
Inhibrx,
Inc.(Æ)
13,180
576
Inogen,
Inc.(Æ)
1,672
57
Insmed,
Inc.(Æ)
3,962
108
Inspire
Medical
Systems,
Inc.(Æ)
807
186
Intellia
Therapeutics,
Inc.(Æ)
5,954
704
Intercept
Pharmaceuticals,
Inc.(Æ)(Ð)
4,825
79
Invacare
Corp.(Æ)
18,280
49
Ionis
Pharmaceuticals,
Inc.(Æ)
11,457
349
iRadimed
Corp.(Æ)
16,600
767
iRhythm
Technologies,
Inc.(Æ)
3,246
382
Jazz
Pharmaceuticals
PLC(Æ)(Ð)(Û)
2,654
338
Karuna
Therapeutics,
Inc.(Æ)
565
74
Kezar
Life
Sciences,
Inc.(Æ)
9,891
165
Kiniksa
Pharmaceuticals,
Ltd.
Class
A(Æ)(Ð)
1,118
13
Kodiak
Sciences,
Inc.(Æ)
1,218
103
Kura
Oncology,
Inc.(Æ)
4,916
69
Lantheus
Holdings,
Inc.(Æ)
26,060
753
LeMaitre
Vascular,
Inc.
25,642
1,287
LHC
Group,
Inc.(Æ)
4,196
576
LivaNova
PLC(Æ)
2,894
253
MedAvail
Holdings,
Inc.(Æ)
26,466
37
MEDNAX,
Inc.(Æ)
7,442
202
Medpace
Holdings,
Inc.(Æ)
8,862
1,928
MeiraGTx
Holdings
PLC(Æ)
3,090
73
Merit
Medical
Systems,
Inc.(Æ)(Ð)
1,343
84
Mirati
Therapeutics,
Inc.(Æ)
4,067
597
Mirum
Pharmaceuticals,
Inc.(Æ)
2,064
33
ModivCare,
Inc.(Æ)
529
78
Molecular
Templates,
Inc.(Æ)
24,328
95
Molina
Healthcare,
Inc.(Æ)(Û)
1,516
482
Myriad
Genetics,
Inc.(Æ)
1,960
54
Natus
Medical,
Inc.(Æ)
11,520
273
Nektar
Therapeutics(Æ)(Ð)
1,057
14
Neogen
Corp.(Æ)
24,881
1,130
NeoGenomics,
Inc.(Æ)
19,596
669
Neurocrine
Biosciences,
Inc.(Æ)
2,699
230
Nevro
Corp.(Æ)
2,957
239
NextGen
Healthcare,
Inc.(Æ)
3,599
64
NGM
Biopharmaceuticals,
Inc.(Æ)
2,187
39
Omnicell,
Inc.(Æ)
5,263
950
Orthofix
Medical,
Inc.(Æ)
1,599
50
Ovid
Therapeutics,
Inc.(Æ)
21,212
68
Owens
&
Minor,
Inc.
5,583
243
Pacific
Biosciences
of
California,
Inc.(Æ)
8,674
177
Pacira
BioSciences,
Inc.(Æ)
1,852
111
Pennant
Group,
Inc.
(The)(Æ)
3,660
84
Phathom
Pharmaceuticals,
Inc.(Æ)(Ð)
1,039
20
Phibro
Animal
Health
Corp.
Class
A
9,053
185
Pliant
Therapeutics,
Inc.(Æ)
2,442
33
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
32
U.S.
Small
Cap
Equity
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Poseida
Therapeutics,
Inc.(Æ)
2,813
19
Prestige
Brands
Holdings,
Inc.(Æ)
1,942
118
Progenics
Pharmaceuticals,
Inc.(Æ)
1,808
—
Protagonist
Therapeutics,
Inc.(Æ)
15,225
521
Protech
Home
Medical
Corp.(Æ)
28,452
160
Prothena
Corp.
PLC(Æ)
1,630
81
PTC
Therapeutics,
Inc.(Æ)
17,995
717
Puma
Biotechnology,
Inc.(Æ)(Ð)
1,609
5
Radius
Health,
Inc.(Æ)
2,943
20
RadNet,
Inc.(Æ)
18,543
558
Reata
Pharmaceuticals,
Inc.
Class
A(Æ)
3,826
101
Recro
Pharma,
Inc.(Æ)
64,285
110
Recursion
Pharmaceuticals,
Inc.
Class
A(Æ)
(Ñ)
2,640
45
Repligen
Corp.(Æ)
4,635
1,227
Revance
Therapeutics,
Inc.(Æ)(Ð)
4,035
66
RxSight,
Inc.(Æ)(Ñ)
3,894
44
Sage
Therapeutics,
Inc.(Æ)
3,180
135
Sarepta
Therapeutics,
Inc.(Æ)(Ð)
2,750
248
Schrodinger,
Inc.(Æ)
9,943
346
Selecta
Biosciences,
Inc.(Æ)(Ð)
7,062
23
Seres
Therapeutics,
Inc.(Æ)(Ð)
5,743
48
ShockWave
Medical,
Inc.(Æ)
2,248
401
SIGA
Technologies,
Inc.(Æ)
27,245
205
SpringWorks
Therapeutics,
Inc.(Æ)
3,486
216
STAAR
Surgical
Co.(Æ)
1,036
95
Stoke
Therapeutics,
Inc.(Æ)
1,300
31
Surmodics,
Inc.(Æ)
342
16
Talkspace,
Inc.(Æ)(Ñ)
22,571
44
Tenet
Healthcare
Corp.(Æ)
6,375
521
TG
Therapeutics,
Inc.(Æ)
3,755
71
Theravance
Biopharma,
Inc.(Æ)
5,191
57
TransMedics
Group,
Inc.(Æ)
3,370
65
Travere
Therapeutics,
Inc.(Æ)
4,154
129
Tricida,
Inc.(Æ)
1,652
16
Turning
Point
Therapeutics,
Inc.(Æ)
1,194
57
Twist
Bioscience
Corp.(Æ)
4,494
348
United
Therapeutics
Corp.(Æ)(Û)
1,787
386
Utah
Medical
Products,
Inc.
6,997
700
Varex
Imaging
Corp.(Æ)(Ð)
3,105
98
Viatris,
Inc.
Class
W(Û)
3,311
45
Vincerx
Pharma,
Inc.(Æ)
4,731
48
Vir
Biotechnology,
Inc.(Æ)
2,237
94
Vivos
Therapeutics,
Inc.(Æ)
17,160
39
WaVe
Life
Sciences,
Ltd.(Æ)
1,187
4
Xencor,
Inc.(Æ)
8,679
348
Xenon
Pharmaceuticals,
Inc.(Æ)
4,479
140
Zentalis
Pharmaceuticals,
Inc.(Æ)
4,999
420
Zogenix,
Inc.(Æ)
17,643
287
Zymeworks,
Inc.(Æ)
9,138
150
46,908
Materials
and
Processing
-
7.7%
AdvanSix,
Inc.
1,769
84
Allegheny
Technologies,
Inc.(Æ)
6,325
101
American
Vanguard
Corp.
23,571
386
Apogee
Enterprises,
Inc.
1,962
94
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Arconic
Corp.(Æ)
15,313
505
Ashland
Global
Holdings,
Inc.
2,591
279
Aspen
Aerogels,
Inc.(Æ)
2,455
122
Atkore
International
Group,
Inc.(Æ)
894
99
AZEK
Co.,
Inc.
(The)(Æ)
14,497
670
Beacon
Roofing
Supply,
Inc.(Æ)
1,950
112
Belden,
Inc.
1,607
106
BlueLinx
Holdings,
Inc.(Æ)
569
54
Boise
Cascade
Co.
2,400
171
BrightView
Holdings,
Inc.(Æ)
16,710
235
Cabot
Corp.
12,026
676
Caesarstone,
Ltd.
7,138
81
Capstone
Mining
Corp.(Æ)
34,601
153
Carpenter
Technology
Corp.
8,212
240
Chemours
Co.
(The)
5,267
176
Clearwater
Paper
Corp.(Æ)
1,000
37
Compass
Minerals
International,
Inc.
1,915
98
Constellium
SE(Æ)
8,213
147
Cornerstone
Building
Brands,
Inc.(Æ)
25,921
452
Critical
Elements
Lithium
Corp.(Æ)
82,146
90
Culp,
Inc.
34,352
327
Danimer
Scientific,
Inc.(Æ)(Ñ)
12,381
105
Ecovyst,
Inc.(Æ)
18,168
186
Element
Solutions,
Inc.(Æ)
40,550
984
European
Metals
Holdings,
Ltd.(Æ)
83,066
77
Horizonte Minerals PLC(Æ)
707,920
62
Horizonte
Minerals
PLC
35,396
—
Huntsman
Corp.
21,222
740
Ingevity
Corp.(Æ)
4,389
315
Insteel
Industries,
Inc.
17,240
686
Interface,
Inc.
Class
A
8,562
136
Kaiser
Aluminum
Corp.
582
55
Koppers
Holdings,
Inc.(Æ)
9,662
302
Louisiana-Pacific
Corp.
5,930
465
LSI
Industries,
Inc.
4,562
31
Mosaic
Co.
(The)
14,050
552
MRC
Global,
Inc.(Æ)
6,937
48
Mueller
Water
Products,
Inc.
Class
A
4,766
69
Neenah
Paper,
Inc.
6,572
304
NN,
Inc.(Æ)
3,171
13
Northwest
Pipe
Co.(Æ)
5,518
175
Nouveau
Monde
Graphite,
Inc.(Æ)
7,038
49
O-I
Glass,
Inc.(Æ)
10,949
132
Oil-Dri
Corp.
of
America
2,010
66
Olin
Corp.
7,028
404
Omega
Flex,
Inc.
2,371
301
Orion
Engineered
Carbons
SA
1,796
33
Pactiv
Evergreen,
Inc.
805
10
Patrick
Industries,
Inc.
1,627
131
Quaker
Chemical
Corp.
2,988
690
Rayonier
Advanced
Materials,
Inc.(Æ)
3,417
20
Ryerson
Holding
Corp.
33
1
Schnitzer
Steel
Industries,
Inc.
Class
A
2,867
149
Schweitzer-Mauduit
International,
Inc.
17,765
531
Silgan
Holdings,
Inc.
6,596
283
Simpson
Manufacturing
Co.,
Inc.
888
123
SiteOne
Landscape
Supply,
Inc.(Æ)
3,325
806
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
33
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Stelco
Holdings,
Inc.
5,176
169
Stepan
Co.
1,367
170
Summit
Materials,
Inc.
Class
A(Æ)
4,703
189
Sylvamo
Corp.(Æ)
24,005
669
TimkenSteel
Corp.(Æ)
4,601
76
Trinseo
Public,
Ltd.
Co.
3,847
202
Tronox
Holdings
PLC
Class
A
42,549
1,023
UFP
Industries,
Inc.(Æ)
1,833
169
UFP
Technologies,
Inc.(Æ)
6,743
474
Unifi,
Inc.(Æ)
5,453
126
Univar
Solutions,
Inc.
-
ADR(Æ)
17,436
494
Universal
Stainless
&
Alloy
Products,
Inc.(Æ)
12,525
99
Valvoline,
Inc.
20,427
762
Venator
Materials
PLC(Æ)
49,139
125
Veritiv
Corp.(Æ)
2,212
271
Verso
Corp.
Class
A
1,910
52
VSE
Corp.
1,978
121
Westlake
Chemical
Corp.
402
39
19,759
Producer
Durables
-
14.3%
ABM
Industries,
Inc.
4,846
198
Acacia
Research
Corp.(Æ)
869
4
ACCO
Brands
Corp.
5,922
49
AGCO
Corp.(Ð)
3,276
380
Air
Transport
Services
Group,
Inc.(Æ)
9,433
277
Allegiant
Travel
Co.
Class
A(Æ)(Ð)
1,333
249
Allied
Motion
Technologies,
Inc.
16,037
585
Allison
Transmission
Holdings,
Inc.
Class
A
10,530
383
Alta
Equipment
Group,
Inc.(Æ)
23,868
349
Applied
Industrial
Technologies,
Inc.
1,216
125
ArcBest
Corp.
2,684
322
Arcosa,
Inc.
6,280
331
Ardmore
Shipping
Corp.(Æ)(Ñ)
60,854
206
Argan,
Inc.
12,548
485
ASGN,
Inc.(Æ)
1,594
197
Astronics
Corp.(Æ)
1,689
20
Atlas
Air
Worldwide
Holdings,
Inc.(Æ)
925
87
Barnes
Group,
Inc.
3,797
177
Barrett
Business
Services,
Inc.
3,698
256
Bellring
Brands,
Inc.
Class
A(Æ)(Ð)
2,655
76
Bloom
Energy
Corp.
Class
A(Æ)
7,025
154
Bowman
Consulting
Group,
Ltd.(Æ)
4,328
92
Brady
Corp.
Class
A
1,453
78
Brookfield
Infrastructure
Corp.
Class
A(Ñ)
880
60
Chart
Industries,
Inc.(Æ)
3,688
588
Cimpress
NV(Æ)
893
64
Concrete
Pumping
Holdings,
Inc.(Æ)
14,376
118
CoreCivic,
Inc.(Æ)
7,469
74
Covenant
Transportation
Group,
Inc.
Class
A(Æ)
4,694
124
CRA
International,
Inc.
7,513
701
Crane
Co.
2,234
227
Daseke,
Inc.(Æ)
1,700
17
Deluxe
Corp.
16,255
522
DHT
Holdings,
Inc.
52,313
272
Dorian
LPG,
Ltd.
1,459
19
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Ducommun,
Inc.(Æ)
553
26
Dycom
Industries,
Inc.(Æ)
1,290
121
EMCOR
Group,
Inc.
2,893
369
Encore
Wire
Corp.
1,704
244
Ennis,
Inc.
2,764
54
Euronav
NV(Ñ)
82,085
729
Evo
Payments,
Inc.
Class
A(Æ)
45,311
1,159
Flowserve
Corp.
20,354
623
Fluor
Corp.(Æ)(Ð)
8,610
213
Franklin
Electric
Co.,
Inc.
1,296
123
frontdoor,
Inc.(Æ)
11,454
420
Genasys,
Inc.(Æ)
59,828
238
Genco
Shipping
&
Trading,
Ltd.
829
13
Granite
Construction,
Inc.(Ð)
3,161
122
Greenbrier
Cos.,
Inc.
17,221
789
Hackett
Group,
Inc.
(The)
3,900
80
Heidrick
&
Struggles
International,
Inc.
4,716
206
Herc
Holdings,
Inc.
Class
W
617
97
Herman
Miller,
Inc.
14,899
584
Hillman
Solutions
Corp.(Æ)
18,336
197
HNI
Corp.
1,732
73
Hub
Group,
Inc.
Class
A(Æ)
1,643
138
Huntington
Ingalls
Industries,
Inc.
1,571
293
Hyster-Yale
Materials
Handling,
Inc.
458
19
ICF
International,
Inc.
2,039
209
Infrastructure
and
Energy
Alternatives,
Inc.
(Æ)(Ñ)
23,234
214
Insperity,
Inc.(Û)
1,796
212
International
Money
Express,
Inc.(Æ)
7,958
127
JetBlue
Airways
Corp.(Æ)
18,257
260
Kaman
Corp.
Class
A
10,765
465
KBR,
Inc.
7,160
341
Kennametal,
Inc.
19,120
687
Kimball
International,
Inc.
Class
B
46,404
475
Kirby
Corp.(Æ)
3,378
201
Knight-Swift
Transportation
Holdings,
Inc.
(Æ)
5,464
333
Korn
&
Ferry
International
2,593
196
Kratos
Defense
&
Security
Solutions,
Inc.(Æ)
21,184
411
Manitowoc
Co.,
Inc.
(The)(Æ)
2,172
40
ManpowerGroup,
Inc.(Û)
3,225
314
Marathon
Digital
Holdings,
Inc.(Æ)(Ñ)
2,595
85
Marten
Transport,
Ltd.
8,049
138
Matson,
Inc.
1,546
139
Mesa
Air
Group,
Inc.(Æ)
21,760
122
Mesa
Laboratories,
Inc.
5,522
1,811
Methode
Electronics,
Inc.
9,115
448
Mitek
Systems,
Inc.(Æ)
29,165
518
Modine
Manufacturing
Co.(Æ)
3,116
31
Murphy
USA,
Inc.
1,224
244
MYR
Group,
Inc.(Æ)
1,136
126
Neo
Performance
Materials,
Inc.
7,695
123
Nikola
Corp.(Æ)(Ñ)
21,026
208
Orion
Group
Holdings,
Inc.(Æ)
36,703
138
Park-Ohio
Holdings
Corp.
186
4
Pitney
Bowes,
Inc.
30,060
199
Powell
Industries,
Inc.
2,819
84
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
34
U.S.
Small
Cap
Equity
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Primoris
Services
Corp.
1,697
41
Purple
Innovation,
Inc.(Æ)
5,134
68
Radiant
Logistics,
Inc.(Æ)
27,136
198
Ranpak
Holdings
Corp.(Æ)
9,633
362
Resources
Connection,
Inc.
12,440
222
Riot
Blockchain,
Inc.(Æ)(Ñ)
3,090
69
Roth
CH
Acquisition
I
Co.
Parent
Corp.(Æ)
(Ñ)
13,541
130
Rush
Enterprises,
Inc.
Class
A
2,228
124
Ryder
System,
Inc.
4,177
344
Saia,
Inc.(Æ)
6,182
2,083
Schneider
National,
Inc.
Class
B(Ð)
3,315
89
Scorpio
Tankers,
Inc.
10,553
135
SFL
Corp.,
Ltd.(Æ)
5,356
44
SHYFT
Group,
Inc.
(The)(Æ)
2,485
122
Smith
&
Wesson
Brands,
Inc.(Æ)
2,481
44
Southwest
Gas
Holdings,
Inc.
993
70
Steelcase,
Inc.
Class
A
6,273
74
Sun
Country
Airlines
Holdings,
Inc.(Æ)
7,221
197
Teekay
Tankers,
Ltd.
Class
A(Æ)
21,626
236
Tennant
Co.
6,845
555
Terex
Corp.
3,261
143
Tetra
Tech,
Inc.
982
167
Textainer
Group
Holdings,
Ltd.
2,227
80
Textron,
Inc.(Ð)
5,463
422
Thermon
Group
Holdings,
Inc.(Æ)
6,312
107
Titan
International,
Inc.(Æ)
39,901
438
Titan
Machinery,
Inc.(Æ)
1,063
36
TopBuild
Corp.(Æ)
3,871
1,067
Travel
+
Leisure
Co.(Æ)
8,245
456
TriNet
Group,
Inc.(Æ)
2,389
228
Trinity
Industries,
Inc.(Ð)
1,384
42
TrueBlue,
Inc.(Æ)
7,783
216
Tutor
Perini
Corp.(Æ)
47,432
587
Universal
Truckload
Services,
Inc.
10,500
198
US
Xpress
Enterprises,
Inc.
Class
A(Æ)
1,109
7
USA
Truck,
Inc.(Æ)
7,021
140
Vectrus,
Inc.(Æ)
5,256
241
Vishay
Precision
Group,
Inc.(Æ)
4,854
180
Wabash
National
Corp.
1,971
38
Werner
Enterprises,
Inc.
2,525
120
WESCO
International,
Inc.(Æ)
4,575
602
WillScot
Mobile
Mini
Holdings
Corp.(Æ)
5,189
212
WNS
Holdings,
Ltd.
-
ADR(Æ)
20,837
1,837
Xerox
Holdings
Corp.(Ð)
10,227
232
Yellow
Corp.(Æ)
2,735
34
Zurn
Water
Solutions
Corp.
5,282
192
36,928
Technology
-
12.6%
A10
Networks,
Inc.
2,743
45
Absolute
Software
Corp.
22,570
212
ADTRAN,
Inc.
3,102
71
Agilysys,
Inc.(Æ)
6,610
294
Alarm.com
Holdings,
Inc.(Æ)
1,106
94
Alight,
Inc.
Class
A(Æ)
65,924
713
Allot
Communications,
Ltd.(Æ)(Ñ)
7,947
94
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Alpha
&
Omega
Semiconductor,
Ltd.(Æ)
1,179
71
Ambarella,
Inc.(Æ)
705
143
American
Software,
Inc.
Class
A
41,235
1,078
Appfolio,
Inc.
Class
A(Æ)
3,259
395
Appian
Corp.(Æ)
1,202
78
Applied
Optoelectronics,
Inc.(Æ)
667
3
Arlo
Technologies,
Inc.(Æ)(Ð)
11,827
124
Arrow
Electronics,
Inc.(Æ)(Û)
2,905
390
Asana,
Inc.
Class
A(Æ)
1,448
108
Asure
Software,
Inc.(Æ)
10,977
86
Avaya
Holdings
Corp.(Æ)
8,817
175
Aviat
Networks,
Inc.(Æ)
873
28
Avid
Technology,
Inc.(Æ)
2,604
85
Avnet,
Inc.
3,621
149
Axcelis
Technologies,
Inc.(Æ)
4,284
319
Bandwidth,
Inc.
Class
A(Æ)
741
53
Benchmark
Electronics,
Inc.
4,469
121
Benefitfocus,
Inc.(Æ)
1,710
18
BigCommerce
Holdings,
Inc.(Æ)
4,317
153
Blackline,
Inc.(Æ)
1,046
108
Box,
Inc.
Class
A(Æ)
2,463
65
Brightcove,
Inc.(Æ)
1,603
16
Cadre
Holdings,
Inc.(Ñ)
13,645
347
CalAmp
Corp.(Æ)
1,692
12
Calix,
Inc.(Æ)
1,509
121
Cargurus,
Inc.(Æ)
3,145
106
Casa
Systems,
Inc.(Æ)
3,533
20
Cerence,
Inc.(Æ)
4,905
376
ChannelAdvisor
Corp.(Æ)
4,293
106
Ciena
Corp.(Æ)
6,271
483
Cirrus
Logic,
Inc.(Æ)
3,647
336
Citrix
Systems,
Inc.(Ð)
271
26
CMC
Materials,
Inc.(Æ)
1,133
217
CommScope
Holding
Co.,
Inc.(Æ)
40,555
448
CommVault
Systems,
Inc.(Æ)
2,276
157
comScore,
Inc.(Æ)
64,388
215
Comtech
Telecommunications
Corp.
895
21
Concentrix
Corp.
2,108
377
Conduent,
Inc.(Æ)
11,568
62
Covetrus,
Inc.(Æ)
2,711
54
CSG
Systems
International,
Inc.(Ð)
2,076
120
Daily
Journal
Corp.(Æ)
527
188
Diebold
Nixdorf,
Inc.(Æ)
1,613
15
DigitalOcean
Holdings,
Inc.(Æ)
1,294
104
Domo,
Inc.
Class
B(Æ)
1,172
58
Donnelley
Financial
Solutions,
Inc.(Æ)
2,169
102
DoubleVerify
Holdings,
Inc.(Æ)
16,780
558
Dropbox,
Inc.
Class
A(Æ)(Û)
14,482
355
Ebix,
Inc.
1,808
55
eGain
Corp.(Æ)
10,880
109
EMCORE
Corp.(Æ)
2,294
16
Endava
PLC
-
ADR(Æ)
6,364
1,068
EverQuote,
Inc.
Class
A(Æ)
2,944
46
Extreme
Networks,
Inc.(Æ)
7,280
114
Frontier
Communications
Corp.(Æ)(Û)
2,403
71
GoDaddy,
Inc.
Class
A(Æ)(Ð)
1,376
117
IBEX
Holdings,
Ltd.(Æ)
7,103
92
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
35
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Infinera
Corp.(Æ)(Ð)
17,368
167
INNOVATE
Corp.(Æ)
29,156
108
Inspired
Entertainment,
Inc.(Æ)
13,800
179
Jabil
Circuit,
Inc.
5,791
407
Kimball
Electronics,
Inc.(Æ)
9,085
198
Kulicke
&
Soffa
Industries,
Inc.
13,613
824
KVH
Industries,
Inc.(Æ)
8,145
75
Lantronix,
Inc.(Æ)
33,309
261
Lattice
Semiconductor
Corp.(Æ)
2,726
210
Liberty
Latin
America,
Ltd.
Class
C(Æ)
11,212
128
Limelight
Networks,
Inc.(Æ)(Ð)
7,273
25
LiveRamp
Holdings,
Inc.(Æ)
5,368
257
Loyalty
Ventures,
Inc.(Æ)
3,519
106
Maxar
Technologies,
Inc.
13,773
407
Mercury
Systems,
Inc.(Æ)
8,842
487
Mimecast,
Ltd.(Æ)
9,353
744
Model
N,
Inc.(Æ)
17,299
519
N-Able,
Inc.(Æ)
24,039
267
NAPCO
Security
Technologies,
Inc.(Æ)
17,680
884
NeoPhotonics
Corp.(Æ)
5,691
87
NETGEAR,
Inc.(Æ)
5,173
151
NetScout
Systems,
Inc.(Æ)
5,931
196
nLight,
Inc.(Æ)
31,268
749
Nutanix,
Inc.
Class
A(Æ)(Ð)
7,929
253
ON24,
Inc.(Æ)
15,270
264
OneSpan,
Inc.(Æ)
2,245
38
Ooma,
Inc.(Æ)
15,007
307
PAE,
Inc.(Æ)
26,382
262
Parsons
Corp.(Æ)
1,854
62
PC
Connection,
Inc.
522
23
PCTEL,
Inc.
22,445
127
PDF
Solutions,
Inc.(Æ)
27,608
878
Pegasystems,
Inc.
11,900
1,330
Perficient,
Inc.(Æ)
802
104
Ping
Identity
Holding
Corp.(Æ)
3,935
90
Plantronics,
Inc.(Æ)
4,047
119
PlayAGS,
Inc.(Æ)
2,791
19
Playtika
Holding
Corp.(Æ)(Û)
6,623
115
Power
Integrations,
Inc.
1,826
170
Pure
Storage,
Inc.
Class
A(Æ)(Û)
10,673
347
Q2
Holdings,
Inc.(Æ)
2,474
197
Qualys,
Inc.(Æ)
6,885
944
Quantum
Corp.(Æ)
34,667
192
RADCOM,
Ltd.(Æ)
10,957
143
Rambus,
Inc.(Æ)
11,040
324
Ribbon
Communications,
Inc.(Æ)
7,716
47
Rimini
Street,
Inc.(Æ)
1,971
12
Rogers
Corp.(Æ)
877
239
SailPoint
Technologies
Holding,
Inc.(Æ)
2,242
108
ScanSource,
Inc.(Æ)
757
27
SecureWorks
Corp.
Class
A(Æ)
1,126
18
Semtech
Corp.(Æ)
1,247
111
Silicon
Laboratories,
Inc.(Æ)
3,665
757
Simulations
Plus,
Inc.(Ñ)
26,492
1,252
SiTime
Corp.(Æ)
478
140
Sprout
Social,
Inc.
Class
A(Æ)
2,169
197
SPS
Commerce,
Inc.(Æ)
992
141
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Super
Micro
Computer,
Inc.(Æ)
5,986
263
Synaptics,
Inc.(Æ)
576
167
Synchronoss
Technologies,
Inc.(Æ)
2,667
7
TrueCar,
Inc.(Æ)
11,344
39
Unisys
Corp.(Æ)
14,456
297
Upwork,
Inc.(Æ)
2,609
89
Varonis
Systems,
Inc.(Æ)
2,324
113
Veeco
Instruments,
Inc.(Æ)(Ð)
4,651
132
Verint
Systems,
Inc.(Æ)
2,019
106
Workiva,
Inc.(Æ)
15,366
2,004
Yelp,
Inc.
Class
A(Æ)
4,102
149
Zynga,
Inc.
Class
A(Æ)(Û)
57,925
371
32,491
Utilities
-
4.9%
Allete,
Inc.
13,752
912
American
States
Water
Co.
1,064
110
APA
Corp.(Ð)
1,608
43
Artesian
Resources
Corp.
Class
A
3,660
170
Avista
Corp.
4,875
207
Black
Hills
Corp.
1,329
94
Brigham
Minerals,
Inc.
Class
A
45,058
949
Chesapeake
Energy
Corp.
3,560
230
CNX
Resources
Corp.(Æ)
15,827
218
Cogent
Communications
Holdings,
Inc.
2,971
217
Comstock
Resources,
Inc.(Æ)(Ð)
5,419
44
Denbury,
Inc.(Æ)
1,469
113
DT
Midstream,
Inc.
10,080
484
Earthstone
Energy,
Inc.
Class
A(Æ)
13,709
150
Evolution
Petroleum
Corp.
21,291
108
Gogo,
Inc.(Æ)(Ñ)
15,455
209
IDT
Corp.
Class
B(Æ)
3,397
150
Iridium
Communications,
Inc.(Æ)
3,094
128
J2
Global,
Inc.(Æ)
4,423
490
Mammoth
Energy
Services,
Inc.(Æ)
10,847
20
MDU
Resources
Group,
Inc.
37,984
1,170
MGE
Energy,
Inc.
1,435
118
New
Jersey
Resources
Corp.
2,864
118
Northern
Oil
and
Gas,
Inc.
49,069
1,009
Northwest
Natural
Holding
Co.
4,170
203
NorthWestern
Corp.
1,188
68
NRG
Energy,
Inc.
10,128
436
Oasis
Petroleum,
Inc.
893
113
ONE
Gas,
Inc.
6,313
490
Ovintiv,
Inc.
10,264
346
Pinnacle
West
Capital
Corp.
5,831
412
Plains
GP
Holdings,
LP
Class
A(Æ)
4,498
46
PNM
Resources,
Inc.
2,173
99
Portland
General
Electric
Co.
6,289
333
Pure
Cycle
Corp.(Æ)
10,683
156
RGC
Resources,
Inc.
25,276
582
South
Jersey
Industries,
Inc.
15,724
411
Spire,
Inc.
3,533
230
Spok
Holdings,
Inc.
31,711
296
Telephone
&
Data
Systems,
Inc.
5,337
108
US
Cellular
Corp.(Æ)
1,030
32
Vidler
Water
Resources,
Inc.(Æ)
10,714
129
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
36
U.S.
Small
Cap
Equity
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Vistra
Corp.(Ð)(Û)
20,811
474
Vonage
Holdings
Corp.(Æ)
4,943
103
Whiting
Petroleum
Corp.(Æ)
960
62
York
Water
Co.
(The)
511
31
12,621
Total
Common
Stocks
(cost
$207,441)
255,176
Short-Term
Investments
-
4.9%
U.S.
Cash
Management
Fund(@)
12,578,527
(∞)
12,575
Total
Short-Term
Investments
(cost
$12,575)
12,575
Other
Securities
-
2.0%
U.S.
Cash
Collateral
Fund(@)(×)
5,045,449
(∞)
5,045
Total
Other
Securities
(cost
$5,045)
5,045
Total
Investments
-
105.9%
(identified
cost
$225,061)
272,796
Securities
Sold
Short
-
(4.0)%
Consumer
Discretionary
-
(0.8)%
1-800-Flowers.com,
Inc.
Class
A(Æ)
(2,570)
(60)
Akoustis
Technologies,
Inc.(Æ)
(2,015)
(13)
AMC
Entertainment
Holdings,
Inc.
Class
A(Æ)
(8,084)
(220)
AMMO,
Inc.(Æ)
(2,155)
(12)
Astra
Space,
Inc.(Æ)
(5,440)
(38)
Bally's
Corp.(Æ)
(1,128)
(43)
Byrna
Technologies,
Inc.(Æ)
(1,121)
(15)
Callaway
Golf
Co.(Æ)
(3,982)
(109)
Cardlytics,
Inc.(Æ)
(437)
(29)
CarParts.com,
Inc.(Æ)
(4,795)
(54)
Cinedigm
Corp.
Class
A(Æ)
(8,851)
(10)
CuriosityStream,
Inc.(Æ)
(2,511)
(15)
Fox
Factory
Holding
Corp.(Æ)
(649)
(110)
fuboTV,
Inc.(Æ)
(286)
(4)
GameStop
Corp.
Class
A(Æ)
(1,441)
(214)
GrowGeneration
Corp.(Æ)
(1,036)
(14)
Hall
of
Fame
Resort
&
Entertainment
Co.(Æ)
(7,300)
(11)
Interpublic
Group
of
Cos.,
Inc.
(The)
(4,554)
(171)
Leggett
&
Platt,
Inc.
(3,993)
(164)
LifeMD,
Inc.(Æ)
(2,284)
(9)
Lindblad
Expeditions
Holdings,
Inc.(Æ)
(1,493)
(23)
Lordstown
Motors
Corp.
Class
A(Æ)
(4,133)
(14)
Lovesac
Co.
(The)(Æ)
(185)
(12)
Madison
Square
Garden
Entertainment
Corp.
(Æ)
(2,216)
(156)
Marcus
Corp.(Æ)
(2,503)
(45)
National
CineMedia,
Inc.
(5,210)
(15)
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Ollie's
Bargain
Outlet
Holdings,
Inc.(Æ)
(3,488)
(179)
Pool
Corp.
(146)
(83)
Stitch
Fix,
Inc.
Class
A(Æ)
(376)
(7)
TechTarget,
Inc.(Æ)
(1,624)
(155)
Warner
Music
Group
Corp.
Class
A
(2,302)
(99)
(2,103)
Consumer
Staples
–
(0.1)%
22nd
Century
Group,
Inc.(Æ)
(14,779)
(46)
Cadiz,
Inc.(Æ)
(1,041)
(4)
Chefs'
Warehouse
Holdings,
Inc.(Æ)
(1,567)
(52)
Freshpet,
Inc.(Æ)
(500)
(48)
Greenlane
Holdings,
Inc.
Class
A(Æ)
(8,276)
(8)
Laird
Superfood,
Inc.(Æ)
(712)
(9)
MGP
Ingredients,
Inc.
(1,201)
(102)
PetMed
Express,
Inc.
(2,219)
(56)
Utz
Brands,
Inc.
(2,477)
(40)
Vital
Farms,
Inc.(Æ)
(801)
(14)
(379)
Energy
-
(0.2)%
Aemetis,
Inc.(Æ)
(1,237)
(15)
Ameresco,
Inc.
Class
A(Æ)
(1,730)
(141)
Beam
Global(Æ)
(425)
(8)
Blink
Charging
Co.(Æ)
(260)
(7)
Cleanspark,
Inc.(Æ)
(1,228)
(12)
FuelCell
Energy,
Inc.(Æ)
(838)
(4)
Gevo,
Inc.(Æ)
(2,543)
(11)
Liberty
Oilfield
Services,
Inc.
Class
A(Æ)
(11,801)
(114)
Sunrun,
Inc.(Æ)
(2,783)
(95)
(407)
Financial
Services
-
(0.6)%
Arbor
Realty
Trust,
Inc.(ö)
(6,515)
(119)
BRP
Group,
Inc.
Class
A(Æ)
(4,101)
(148)
Franchise
Group,
Inc.(Æ)
(919)
(48)
Hannon
Armstrong
Sustainable
Infrastructure
Capital,
Inc.(ö)
(2,708)
(144)
Legacy
Housing
Corp.(Æ)
(378)
(10)
Newmark
Group,
Inc.
Class
A
(8,848)
(165)
Orchid
Island
Capital,
Inc.(ö)
(23,548)
(106)
Rayonier,
Inc.(ö)
(3,580)
(144)
Rocket
Cos.,
Inc.
Class
A
(5,893)
(83)
Shift4
Payments,
Inc.
Class
A(Æ)
(3,096)
(179)
StepStone
Group,
Inc.
Class
A
(3,433)
(143)
Trupanion,
Inc.(Æ)
(1,330)
(176)
UWM
Holdings
Corp.
(4,645)
(27)
(1,492)
Health
Care
-
(1.2)%
1Life
Healthcare,
Inc.(Æ)
(10,023)
(176)
Absci
Corp.(Æ)
(1,282)
(11)
Adagio
Therapeutics,
Inc.(Æ)
(2,172)
(16)
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
37
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Aldeyra
Therapeutics,
Inc.(Æ)
(3,836)
(15)
Alpha
Teknova,
Inc.(Æ)
(1,029)
(21)
Alphatec
Holdings,
Inc.(Æ)
(4,847)
(55)
Ampio
Pharmaceuticals,
Inc.(Æ)
(8,364)
(5)
Anavex
Life
Sciences
Corp.(Æ)
(964)
(17)
AquaBounty
Technologies,
Inc.(Æ)
(2,068)
(4)
Arcus
Biosciences,
Inc.(Æ)
(473)
(19)
Arcutis
Biotherapeutics,
Inc.(Æ)
(105)
(2)
Arvinas,
Inc.(Æ)
(921)
(76)
Asensus
Surgical,
Inc.(Æ)
(12,333)
(14)
Aspira
Women's
Health,
Inc.(Æ)
(4,941)
(9)
Atossa
Therapeutics,
Inc.(Æ)
(3,257)
(5)
aTyr
Pharma,
Inc.(Æ)
(3,212)
(24)
AVEO
Pharmaceuticals,
Inc.(Æ)
(881)
(4)
Berkeley
Lights,
Inc.(Æ)
(89)
(2)
BioLife
Solutions,
Inc.(Æ)
(3,461)
(129)
Bionano
Genomics,
Inc.(Æ)
(30,870)
(92)
Blueprint
Medicines
Corp.(Æ)
(193)
(21)
Cassava
Sciences,
Inc.(Æ)
(133)
(6)
CEL-SCI
Corp.(Æ)
(1,338)
(9)
Cerevel
Therapeutics
Holdings,
Inc.(Æ)
(349)
(11)
Chinook
Therapeutics,
Inc.(Æ)
(1,722)
(28)
ChromaDex
Corp.(Æ)
(1,660)
(6)
ClearPoint
Neuro,
Inc.(Æ)
(1,413)
(16)
Clene,
Inc.(Æ)
(400)
(2)
Codexis,
Inc.(Æ)
(2,174)
(68)
Curis,
Inc.(Æ)
(1,357)
(6)
Cytokinetics,
Inc.(Æ)
(4,262)
(194)
DarioHealth
Corp.(Æ)
(433)
(6)
DermTech,
Inc.(Æ)
(984)
(16)
Dynavax
Technologies
Corp.(Æ)
(1,404)
(20)
Evolus,
Inc.(Æ)
(2,199)
(14)
Fate
Therapeutics,
Inc.(Æ)
(2,067)
(121)
Fulgent
Genetics,
Inc.(Æ)
(91)
(9)
Galectin
Therapeutics,
Inc.(Æ)
(961)
(2)
Heska
Corp.(Æ)
(720)
(131)
iBio,
Inc.(Æ)
(12,162)
(7)
ICU
Medical,
Inc.(Æ)
(179)
(42)
Imago
BioSciences,
Inc.(Æ)
(965)
(23)
ImmunityBio,
Inc.(Æ)
(2,559)
(16)
Immunovant,
Inc.(Æ)
(1,282)
(11)
Inmune
Bio,
Inc.(Æ)
(1,234)
(13)
Inotiv,
Inc.(Æ)
(1,378)
(58)
Inovio
Pharmaceuticals,
Inc.(Æ)
(1,657)
(8)
Instil
Bio,
Inc.(Æ)
(3,132)
(54)
Invitae
Corp.(Æ)
(5,109)
(78)
Krystal
Biotech,
Inc.(Æ)
(1,734)
(121)
Kymera
Therapeutics,
Inc.(Æ)
(2,195)
(139)
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Lantheus
Holdings,
Inc.(Æ)
(4,633)
(134)
LifeStance
Health
Group,
Inc.(Æ)
(1,708)
(16)
Lineage
Cell
Therapeutics,
Inc.(Æ)
(871)
(2)
MannKind
Corp.(Æ)
(3,903)
(17)
Matinas
BioPharma
Holdings,
Inc.(Æ)
(8,835)
(9)
Mersana
Therapeutics,
Inc.(Æ)
(581)
(4)
NanoString
Technologies,
Inc.(Æ)
(1,386)
(59)
NeoGenomics,
Inc.(Æ)
(5,202)
(177)
Ocugen,
Inc.(Æ)
(2,187)
(10)
OncoCyte
Corp.(Æ)
(3,748)
(8)
Oncternal
Therapeutics,
Inc.(Æ)
(2,788)
(6)
Oramed
Pharmaceuticals,
Inc.(Æ)
(1,548)
(22)
PDS
Biotechnology
Corp.(Æ)
(1,397)
(11)
PLx
Pharma,
Inc.(Æ)
(2,916)
(23)
Quanterix
Corp.(Æ)
(576)
(24)
R1
RCM,
Inc.(Æ)
(1,983)
(51)
Relay
Therapeutics,
Inc.(Æ)
(5,271)
(162)
Repligen
Corp.(Æ)
(767)
(203)
Replimune
Group,
Inc.(Æ)
(1,066)
(29)
Rigel
Pharmaceuticals,
Inc.(Æ)
(3,939)
(10)
Rocket
Pharmaceuticals,
Inc.(Æ)
(238)
(5)
Seelos
Therapeutics,
Inc.(Æ)
(5,417)
(9)
Sientra,
Inc.(Æ)
(1,751)
(6)
Sorrento
Therapeutics,
Inc.(Æ)
(581)
(3)
Spero
Therapeutics,
Inc.(Æ)
(80)
(1)
TFF
Pharmaceuticals,
Inc.(Æ)
(952)
(8)
TherapeuticsMD,
Inc.(Æ)
(44,852)
(16)
Treace
Medical
Concepts,
Inc.(Æ)
(2,220)
(41)
Vaxart,
Inc.(Æ)
(1,856)
(12)
Veracyte,
Inc.(Æ)
(3,401)
(140)
Vincerx
Pharma,
Inc.(Æ)
(867)
(9)
VistaGen
Therapeutics,
Inc.(Æ)
(6,591)
(13)
ZIOPHARM
Oncology,
Inc.(Æ)
(13,550)
(15)
(3,207)
Materials
and
Processing
-
(0.2)%
Builders
FirstSource,
Inc.(Æ)
(3,601)
(309)
Karat
Packaging,
Inc.(Æ)
(253)
(5)
Marrone
Bio
Innovations,
Inc.(Æ)
(4,187)
(3)
Uranium
Energy
Corp.(Æ)
(29,942)
(100)
View,
Inc.(Æ)
(5,600)
(22)
(439)
Producer
Durables
–
(0.1)%
AeroVironment,
Inc.(Æ)
(1,151)
(71)
American
Superconductor
Corp.(Æ)
(2,438)
(27)
Cryoport,
Inc.(Æ)
(1,113)
(66)
Custom
Truck
One
Source,
Inc.(Æ)
(2,621)
(21)
Genasys,
Inc.(Æ)
(1,893)
(8)
Liquidity
Services,
Inc.(Æ)
(1,335)
(29)
Macquarie
Infrastructure
Corp.
(5,482)
(20)
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
38
U.S.
Small
Cap
Equity
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Magnite,
Inc.(Æ)
(1,136)
(20)
Performant
Financial
Corp.(Æ)
(2,339)
(6)
Proterra,
Inc.(Æ)
(1,293)
(11)
Vertex
Energy,
Inc.(Æ)
(3,632)
(16)
Workhorse
Group,
Inc.(Æ)
(1,125)
(5)
(300)
Technology
-
(0.8)%
3D
Systems
Corp.(Æ)
(4,154)
(90)
Aehr
Test
Systems(Æ)
(1,104)
(28)
Atomera,
Inc.(Æ)
(752)
(17)
AXT,
Inc.(Æ)
(1,596)
(15)
Bentley
Systems,
Inc.
Class
B
(2,603)
(126)
Bill.com
Holdings,
Inc.(Æ)
(335)
(83)
Bio
Techne
Corp.(Æ)
(77)
(40)
Brooks
Automation,
Inc.
(2,109)
(217)
Digital
Turbine,
Inc.(Æ)
(505)
(31)
E2open
Parent
Holdings,
Inc.(Æ)
(11,773)
(133)
Flying
Eagle
Acquisition
Corp.(Æ)
(8,398)
(62)
HyreCar,
Inc.(Æ)
(2,365)
(11)
Ideanomics,
Inc.(Æ)
(5,338)
(6)
Identiv,
Inc.(Æ)
(473)
(13)
II-VI,
Inc.(Æ)
(2,717)
(186)
Immersion
Corp.(Æ)
(5,363)
(31)
LivePerson,
Inc.(Æ)
(366)
(13)
Luna
Innovations,
Inc.(Æ)
(145)
(1)
MicroStrategy,
Inc.
Class
A(Æ)
(245)
(133)
MicroVision,
Inc.(Æ)
(1,908)
(10)
NAPCO
Security
Technologies,
Inc.(Æ)
(553)
(28)
Onto
Innovation,
Inc.(Æ)
(2,695)
(273)
Ouster,
Inc.(Æ)
(11,995)
(62)
PAR
Technology
Corp.(Æ)
(1,865)
(98)
Powerfleet,
Inc.(Æ)
(1,594)
(8)
Resonant,
Inc.(Æ)
(2,403)
(4)
Root,
Inc.
Class
A(Æ)
(16,778)
(52)
Sabre
Corp.(Æ)
(5,224)
(45)
SkyWater
Technology,
Inc.(Æ)
(457)
(7)
Vuzix
Corp.(Æ)
(1,589)
(14)
Wolfspeed,
Inc.(Æ)
(1,403)
(157)
(1,994)
Utilities
–
(0.0)%
New
Fortress
Energy
LLC
(2,660)
(64)
NextDecade
Corp.(Æ)
(3,247)
(9)
Tellurian,
Inc.(Æ)
(5,620)
(17)
(90)
Total
Securities
Sold
Short
(proceeds
$10,551)
(10,411)
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Other
Assets
and
Liabilities,
Net
-
(1.9)%
(4,832)
Net
Assets
-
100.0%
257,553
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
39
Restricted
Securities
Amounts
in
thousands
(except
share
and
cost
per
unit
amounts)
%
of
Net
Assets
Acquisition
Principal
Amount
($)
Cost
per
Unit
Cost
(000)
Fair
Value
(000)
Securities
Date
or
shares
$
$
$
0.0%
JER
Investment
Trust,
Inc.
05/27/04
1,771
82.03
145
—
—
For
a
description
of
restricted
securities
see
note
7
in
the
Notes
to
Financial
Statements.
Futures
Contracts
Amounts
in
thousands
(except
contract
amounts
)
Number
of
Contracts
Notional
Amount
Expiration
Date
Value
and
Unrealized
Appreciation
(Depreciation)
$
Long
Positions
Russell
2000
E-Mini
Index
Futures
108
USD
12,111
03/22
226
Total
Value
and
Unrealized
Appreciation
(Depreciation)
on
Open
Futures
Contracts
(å)
226
Presentation
of
Portfolio
Holdings
Amounts
in
thousands
Fair
Value
Portfolio
Summary
Level
1
Level
2
Level
3
Practical
Expedient
(a)
Total
%
of
Net
Assets
Common
Stocks
Consumer
Discretionary
$
32,503
$
—
$
—
$
—
$
32,503
12.
6
Consumer
Staples
9,089
—
—
—
9,089
3.
5
Energy
8,645
—
—
—
8,645
3.
4
Financial
Services
56,232
—
—
—
56,232
21.
8
Health
Care
46,908
—
—
—
46,908
18.
2
Materials
and
Processing
19,759
—
—
—
19,759
7.
7
Producer
Durables
36,928
—
—
—
36,928
14.
3
Technology
32,491
—
—
—
32,491
12.
6
Utilities
12,6
21
—
—
—
12,6
21
4.9
Short-Term
Investments
—
—
—
12,575
12,575
4.9
Other
Securities
—
—
—
5,045
5,045
2.0
Total
Investments
255,17
6
—
—
17,620
272,79
6
105.
9
Securities
Sold
Short
**
(10,411
)
—
—
—
(10,411
)
(4.0
)
Other
Assets
and
Liabilities,
Net
(1.9)
100.0
Other
Financial
Instruments
Assets
Futures
Contracts
226
—
—
—
226
0.1
Total
Other
Financial
Instruments
*
$
226
$
—
$
—
$
—
$
226
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
40
U.S.
Small
Cap
Equity
Fund
*
Futures
and
foreign
currency
exchange
contract
values
reflect
the
unrealized
appreciation
(depreciation)
on
the
investments.
**
Refer
to
Schedule
of
Investments
for
detailed
sector
breakout.
(a)
Certain
investments
that
are
measured
at
fair
value
using
the
net
asset
value
per
share
(or
its
equivalent)
practical
expedient
have
not
been
classified
in
the
fair
value
levels.
The
fair
value
amounts
presented
in
the
table
are
intended
to
permit
reconciliation
to
the
amounts
presented
in
the
Schedule
of
Investments.
For
a
description
of
the
Levels,
see
note
2
in
the
Notes
to
Financial
Statements.
For
a
disclosure
on
transfers
into
and
out
of
Level
3
during
the
period
ended
December
31,
2021,
see
note
2
in
the
Notes
to
Financial
Statements.
Investments
in
which
significant
unobservable
inputs
(Level
3)
were
used
in
determining
a
fair
value
for
the
period
ended
December
31,
2021,
were
less
than
1%
of
net
assets.
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Fair
Value
of
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
41
Amounts
in
thousands
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Variation
margin
on
futures
contracts*
$
226
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Location:
Statement
of
Operations
-
Net
realized
gain
(loss)
Futures
contracts
$
2,116
Location:
Statement
of
Operations
-
Net
change
in
unrealized
appreciation
(depreciation)
Futures
contracts
$
(15)
*
Includes
cumulative
appreciation
(depreciation)
of
futures
contracts
as
reported
in
the
Schedule
of
Investments.
Only
variation
margin
is
reported
within
the
Statement
of
Assets
and
Liabilities.
For
further
disclosure
on
derivatives
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Balance
Sheet
Offsetting
of
Financial
and
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
42
U.S.
Small
Cap
Equity
Fund
Amounts
in
thousands
Offsetting
of
Financial
Assets
and
Derivative
Assets
Description
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Gross
Amounts
of
Recognized
Assets
Gross
Amounts
Offset
in
the
Statement
of
Assets
and
Liabilities
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Securities
on
Loan*
Investments,
at
fair
value
$
4,877
$
—
$
4,877
Total
Financial
and
Derivative
Assets
4,877
—
4,877
Financial
and
Derivative
Assets
not
subject
to
a
netting
agreement
—
—
—
Total
Financial
and
Derivative
Assets
subject
to
a
netting
agreement
$
4,877
$
—
$
4,877
Financial
Assets,
Derivative
Assets,
and
Collateral
Held
by
Counterparty
Gross
Amounts
Not
Offset
in
the
Statement
of
Assets
and
Liabilities
Counterparty
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Financial
and
Derivative
Instruments
Collateral
Received^
Net
Amount
Bank
of
America
$
361
$
—
$
361
$
—
Bank
of
Nova
Scotia
304
—
304
—
Citigroup
174
—
174
—
Goldman
Sachs
126
—
126
—
HSBC
1,236
—
1,236
—
Morgan
Stanley
1,418
—
1,418
—
National
Bank
of
Canada
1,093
—
1,093
—
Wells
Fargo
165
—
165
—
Total
$
4,877
$
—
$
4,877
$
—
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Balance
Sheet
Offsetting
of
Financial
and
Derivative
Instruments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
43
Amounts
in
thousands
Offsetting
of
Financial
Liabilities
and
Derivative
Liabilities
Description
Location:
Statement
of
Assets
and
Liabilities
-
Liabilities
Gross
Amounts
of
Recognized
Liabilities
Gross
Amounts
Offset
in
the
Statement
of
Assets
and
Liabilities
Net
Amounts
of
Liabilities
Presented
in
the
Statement
of
Assets
and
Liabilities
Short
Sales
Securities
sold
short,
at
fair
value
$
10,411
$
—
$
10,411
Total
Financial
and
Derivative
Liabilities
10,411
—
10,411
Financial
and
Derivative
Liabilities
not
subject
to
a
netting
agreement
—
—
—
Total
Financial
and
Derivative
Liabilities
subject
to
a
netting
agreement
$
10,411
$
—
$
10,411
Financial
Liabilities,
Derivative
Liabilities,
and
Collateral
Pledged
by
Counterparty
Gross
Amounts
Not
Offset
in
the
Statement
of
Assets
and
Liabilities
Counterparty
Net
Amounts
of
Liabilities
Presented
in
the
Statement
of
Assets
and
Liabilities
Financial
and
Derivative
Instruments
Collateral
Pledged^
Net
Amount
State
Street
$
10,411
$
—
$
10,411
$
—
Total
$
10,411
$
—
$
10,411
$
—
*
Fair
value
of
securities
on
loan
as
reported
in
the
footnotes
to
the
Statement
of
Assets
and
Liabilities.
^ Collateral
received
or
pledged
amounts
may
not
reconcile
to
those
disclosed
in
the
Statement
of
Assets
and
Liabilities
due
to
the
inclusion
of
off-Balance
Sheet
collateral
and
adjustments
made
to
exclude
overcollateralization.
For
further
disclosure
on
derivatives
and
counterparty
risk
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
44
U.S.
Small
Cap
Equity
Fund
Statement
of
Assets
and
Liabilities
—
December
31,
2021
Amounts
in
thousands
Assets
Investments,
at
identified
cost
........................................................................................................................................................
$
225
,
061
Investments,
at
fair
value(*)(>)
......................................................................................................................................................
272,796
Foreign
currency
holdings(^)
.........................................................................................................................................................
4
Receivables:
Dividends
and
interest
.......................................................................................................................................................
155
Dividends
from
affiliated
funds
..........................................................................................................................................
1
Investments
sold
................................................................................................................................................................
108
Fund
shares
sold
................................................................................................................................................................
23
From
broker(a)
...................................................................................................................................................................
400
Variation
margin
on
futures
contracts
.................................................................................................................................
226
Total
assets
.................................................................................................................................................
273,713
Liabilities
Payables:
Investments
purchased
......................................................................................................................................................
373
Accrued
fees
to
affiliates
....................................................................................................................................................
200
Other
accrued
expenses
.....................................................................................................................................................
131
Securities
sold
short,
at
fair
value(‡)
..............................................................................................................................................
10,411
Payable
upon
return
of
securities
loaned
.......................................................................................................................................
5,045
Total
liabilities
.............................................................................................................................................
16,160
Net
Assets
............................................................................................................................................................
$
257,553
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
45
Statement
of
Assets
and
Liabilities,
continued
—
December
31,
2021
Amounts
in
thousands
Net
Assets
Consist
of:
Total
distributable
earnings
(losses)
...............................................................................................................................................
$
45,950
Shares
of
beneficial
interest
...........................................................................................................................................................
169
Additional
paid-in
capital
..............................................................................................................................................................
211,434
Net
Assets
............................................................................................................................................................
$
257,553
Net
Asset
Value
,
offering
and
redemption
price
per
share:
Net
asset
value
per
share:
(#)
.........................................................................................................................................................
$
15.27
Net
assets
...............................................................................................................................................................................
$
257,553,391
Shares
outstanding
($.01
par
value)
.......................................................................................................................................
16,869,294
Amounts
in
thousands
(^)
Foreign
currency
holdings
-
cost
$
4
(*)
Securities
on
loan
included
in
investments
$
4,
877
(‡)
Proceeds
on
securities
sold
short
$
10,551
(>)
Investments
in
affiliates,
U.S.
Cash
Management
Fund
and
U.S.
Cash
Collateral
Fund
$
17,620
(a)
Receivable
from
Broker
for
Futures
$
400
(#)
Net
asset
value
per
share
equals
net
assets
divided
by
shares
of
beneficial
interest
outstanding.
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
46
U.S.
Small
Cap
Equity
Fund
Statement
of
Operations
—
For
the
Period
Ended
December
31,
2021
Amounts
in
thousands
Investment
Income
Dividends
..........................................................................................................................................................................
$
2,
895
Dividends
from
affiliated
funds
.........................................................................................................................................
6
Securities
lending
income
(net)
.........................................................................................................................................
102
Total
investment
income
...............................................................................................................................................................
3,003
Expenses
Advisory
fees
....................................................................................................................................................................
2,299
Administrative
fees
...........................................................................................................................................................
128
Custodian
fees
...................................................................................................................................................................
128
Transfer
agent
fees
............................................................................................................................................................
11
Professional
fees
...............................................................................................................................................................
83
Trustees’
fees
....................................................................................................................................................................
10
Printing
fees
......................................................................................................................................................................
36
Dividends
from
securities
sold
short
.................................................................................................................................
94
Interest
expense
paid
on
securities
sold
short
...................................................................................................................
107
Proxy
fees
.........................................................................................................................................................................
11
Miscellaneous
...................................................................................................................................................................
3
Expenses
before
reductions
..............................................................................................................................................
2,91
0
Expense
reductions
...........................................................................................................................................................
(22
)
Net
e
xpenses
.................................................................................................................................................................................
2,888
Net
investment
income
(loss)
........................................................................................................................................................
115
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
on:
Investments
......................................................................................................................................................................
66,
546
Futures
contracts
..............................................................................................................................................................
2,116
Securities
sold
short
..........................................................................................................................................................
(3,487)
Foreign
currency-related
transactions
...............................................................................................................................
(1)
Net
realized
gain
(loss)
..................................................................................................................................................................
65,
174
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
......................................................................................................................................................................
(9,883
)
Futures
contracts
..............................................................................................................................................................
(15)
Securities
sold
short
..........................................................................................................................................................
2,947
Net
change
in
unrealized
appreciation
(depreciation)
...................................................................................................................
(6,951
)
Net
realized
and
unrealized
gain
(loss)
.........................................................................................................................................
58,
223
Net
Increase
(Decrease)
in
Net
Assets
from
Operations
..........................................................................................
$
58,338
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
47
Statements
of
Changes
in
Net
Assets
For
the
Periods
Ended
December
31,
Amounts
in
thousands
2021
2020
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
(loss)
............................................................................................................
$
115
$
239
Net
realized
gain
(loss)
......................................................................................................................
65,174
(5,547)
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
(6,951
)
31,557
Net
increase
(decrease)
in
net
assets
from
operations
.............................................................................
58,338
26,249
Distributions
To
shareholders
.................................................................................................................................
(57,621)
(5,017)
Net
decrease
in
net
assets
from
distributions
..........................................................................................
(57,621)
(5,017)
Share
Transactions*
Net
increase
(decrease)
in
net
assets
from
share
transactions
.................................................................
20,572
(12,867)
Total
Net
Increase
(Decrease)
in
Net
Assets
..........................................................................
21,289
8,365
Net
Assets
Beginning
of
period
.................................................................................................................................
236,264
227,899
End
of
period
..........................................................................................................................................
$
257,553
$
236,264
*
Share
transaction
amounts
(in
thousands)
for
the
periods
ended
December
31,
2021
and
December
31,
2020
were
as
follows:
2021
2020
Shares
Dollars
Shares
Dollars
Proceeds
from
shares
sold
978
$
18,542
963
$
10,350
Proceeds
from
reinvestment
of
distributions
3,876
57,621
367
5,017
Payments
for
shares
redeemed
(2,990)
(55,591)
(2,267)
(28,234)
Total
increase
(decrease)
1,864
$
20,572
(937)
$
(12,867)
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
Financial
Highlights
—
For
the
Periods
Ended
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
48
U.S.
Small
Cap
Equity
Fund
For
a
Share
Outstanding
Throughout
Each
Period.
$
Net
Asset
Value,
Beginning
of
Period
$
Net
Investment
Income
(Loss)
(a)(b)
$
Net
Realized
and
Unrealized
Gain
(Loss)
$
Total
from
Investment
Operations
$
Distributions
from
Net
Investment
Income
$
Distributions
from
Net
Realized
Gain
December
31,
2021
15.75
.01
3.92
3.93
(.04)
(4.37)
December
31,
2020
14.30
.02
1.75
1.77
(.01)
(.31)
December
31,
2019
11.86
.05
2.68
2.73
(.07)
(.22)
December
31,
2018
16.40
.07
(1.94)
(1.87)
(.08)
(2.59)
December
31,
2017
15.21
.03
2.33
2.36
(.03)
(1.14)
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
U.S.
Small
Cap
Equity
Fund
49
$
Total
Distributions
$
Net
Asset
Value,
End
of
Period
%
Total
Return
(d)
$
Net
Assets,
End
of
Period
(000)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Gross
%
Ratio
of
Expenses
to
Average
Net
Assets,
Net
(b)
%
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
(b)
%
Portfolio
Turnover
Rate
(4.41)
15.27
25.79
257,553
1.14
1.13
.05
114
(.32)
15.75
12.70
236,264
1.25
1.25
.12
125
(.29)
14.30
23.07
227,899
1.19
1.19
.34
127
(2.67)
11.86
(11.97)
204,490
1.04
1.04
.45
80
(1.17)
16.40
15.48
254,854
1.03
1.03
.17
135
Russell
Investment
Funds
U.S.
Small
Cap
Equity
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
50
U.S,
Small
Cap
Equity
Fund
Related
Party
Transactions,
Fees
and
Expenses
Accrued
fees
payable
to
affiliates
for
the
period
ended
December
31,
2021
were
as
follows:
Transactions
(amounts
in
thousands)
during
the
period
ended
December
31,
2021
with
Underlying
Funds
which
are,
or
were,
an
affiliated
company
are
as
follows:
Federal
Income
Taxes
At
December
31,
2021,
the
cost
of
investments
and
net
unrealized
appreciation
(depreciation),
undistributed
ordinary
income
and
undistributed
long-term
capital
gains
for
income
tax
purposes
were
as
follows:
For
the
fiscal
years
ended
December
31,
2021
and
December
31,
2020
respectively,
the
Fund
made
the
following
tax
basis
distributions:
Net
investment
income
and
net
realized
gains
(losses)
in
the
financial
statements
may
differ
from
taxable
net
investment
income
and
net
realized
gains
(losses).
Capital
accounts
within
the
financial
statements
are
adjusted
for
permanent
book-tax
differences.
Book-tax
differences
are
primarily
due
to
foreign
currency
gains
and
losses,
reclassifications
of
dividends,
differences
in
treatment
of
income
from
swaps,
net
operating
losses,
investments
in
partnerships,
investments
in
passive
foreign
investment
companies
(PFICs),
tax
straddle
transaction,
use
of
tax
equalization
and
foreign
capital
gains
taxes.
These
adjustments
have
no
impact
on
the
net
assets.
At
December
31,
2021,
there
were
no
adjustments
to
the
Statement
of
Assets
and
Liabilities.
Advisory
fees
$
187,313
Administration
fees
10,583
Transfer
agent
fees
931
Trustee
fees
1,08
8
$
199,915
Fair
Value,
Beginning
of
Period
Purchases
Sales
Realized
Gain
(Loss)
Change
in
Unrealized
Gain
(Loss)
Fair
Value,
End
of
Period
Income
Distributions
Capital
Gains
Distributions
U.S.
Cash
Management
Fund
$
10,681
$
146,905
$
145,011
$
—
$
—
$
12,575
$
6
$
—
U.S.
Cash
Collateral
Fund
13,171
51,379
59,505
—
—
5,045
2
—
$
23,852
$
198,284
$
204,516
$
—
$
—
$
17,620
$
8
$
—
Cost
of
Investments
Unrealized
Appreciation
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
(Capital
Loss
Carryforward)
$
220,994,802
$
50,720,823
$
(9,330,965)
$
41,389,858
$
540,007
$
4,019,719
December
31,
2021
December
31,
2020
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
$
30,051,616
$
27,569,711
$
—
$
130,062
$
4,887,295
$
—
Russell
Investment
Funds
International
Developed
Markets
Fund
Portfolio
Management
Discussion
and
Analysis
—
December
31,
2021
(Unaudited)
International
Developed
Markets
Fund
51
International
Developed
Markets
Fund
Total
Return
1
Year
12
.66%
5
Years
8
.56%§
10
Years
7
.83%§
MSCI
World
ex
USA
Index
(Net)**
Total
Return
1
Year
12
.62%
5
Years
9
.63%§
10
Years
7
.84%§
International
Developed
Markets
Linked
Benchmark***
Total
Return
1
Year
12
.62%
5
Years
9
.74%§
10
Years
8
.04%§
Russell
Investment
Funds
International
Developed
Markets
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
52
International
Developed
Markets
Fund
The
International
Developed
Markets
Fund
(the
“Fund”)
employs
a
multi-manager
approach
whereby
Russell
Investment
Management,
LLC
(“RIM”)
manages
a
portion
of
the
Fund’s
assets
based
upon
model
portfolios
provided
by
multiple
non-
discretionary
money
managers.
The
Fund’s
money
managers
have
non-discretionary
assignments
pursuant
to
which
they
provide
a
model
portfolio
to
RIM
representing
their
investment
recommendations,
based
upon
which
RIM
purchases
and
sells
securities
for
the
Fund.
RIM
also
manages
the
portion
of
the
Fund’s
assets
that
RIM
determines
not
to
manage
based
upon
model
portfolios
provided
by
the
Fund’s
money
managers.
RIM
may
change
the
allocation
of
the
Fund’s
assets
at
any
time.
An
exemptive
order
from
the
Securities
and
Exchange
Commission
permits
RIM
to
engage
or
terminate
a
money
manager
at
any
time,
subject
to
approval
by
the
Fund’s
Board,
without
a
shareholder
vote.
Pursuant
to
the
terms
of
the
exemptive
order,
the
Fund
is
required
to
notify
its
shareholders
within
90
days
of
when
a
money
manager
begins
providing
services.
As
of
December
31,
2021,
the
Fund
had
three
money
managers.
What
is
the
Fund’s
investment
objective?
The
Fund
seeks
to
provide
long
term
capital
growth.
How
did
the
Fund
perform
relative
to
its
benchmark
for
the
fiscal
year
ended
December
31,
2021?
For
the
fiscal
year
ended
December
31,
2021
(the
“fiscal
year”),
the
Fund
gained
12.66%.
This
is
compared
to
the
Fund’s
benchmark,
the
MSCI
World
ex
USA
Index
(Net),
which
gained
12.62%
during
the
same
fiscal
year.
The
Fund’s
performance
includes
operating
expenses,
whereas
index
returns
are
unmanaged
and
do
not
include
expenses
of
any
kind.
For
the
fiscal
year,
the
Morningstar
®
Insurance
Foreign
Large
Blend
Category,
a
group
of
funds
that
Morningstar
considers
to
have
investment
strategies
similar
to
those
of
the
Fund,
gained
10.43%.
This
result
serves
as
a
peer
comparison
and
is
expressed
net
of
operating
expenses.
How
did
market
conditions
affect
the
Fund’s
performance?
Non-U.S.
developed
markets
were
positive
over
the
fiscal
year.
Canada,
Europe
and
the
United
Kingdom
recorded
the
strongest
gains,
while
Asia
ex-Japan
and
the
emerging
markets
underperformed
relative
to
other
non-U.S.
developed
markets.
In
terms
of
sector
performance
within
the
Fund’s
benchmark
over
the
fiscal
year,
energy,
financials
and
information
technology
led
performance.
Real
estate
and
utilities
posted
the
weakest
gains,
while
communication
services
sector
recorded
a
loss
over
the
fiscal
year.
In
terms
of
factor
performance,
the
value
and
low
volatility
factors
were
the
main
drivers
of
positive
performance
over
the
fiscal
year,
while
the
growth
and
momentum
factors
lagged.
How
did
the
investment
strategies
and
techniques
employed
by
the
Fund
and
its
money
managers
affect
its
benchmark
relative
performance?
The
Fund
outperformed
its
benchmark
for
the
fiscal
year.
The
fund’s
tactical
tilt
to
the
value
factor
was
a
tailwind.
Sector
allocation
was
additive,
mainly
due
to
an
overweight
to
financials
and
an
underweight
to
utilities.
An
underweight
to
the
United
States
added
value
while
an
underweight
to
Canada
moderated
gains.
Stock
selection
contributed
positively
over
the
fiscal
year,
particularly
within
the
industrials
and
communication
services
sectors.
Selection
was
also
particularly
strong
in
Europe
ex-UK.
With
respect
to
certain
of
the
Fund’s
money
managers,
Wellington
Management
Company
LLP’s
value
strategy
contributed
positively,
driven
by
strong
selection
in
communication
services
and
financials
sectors.
The
manager’s
growth
strategy
lagged,
held
back
by
unfavorable
selection
in
consumer
discretionary
and
information
technology
sectors.
Intermede
Investment
Partners
Limited’s
growth
strategy
faced
headwinds.
Sector
allocation
and
selection
were
the
main
detractor,
particularly
in
consumer
discretionary
and
financials
sectors.
RIM
manages
assets
not
allocated
to
money
manager
strategies
and
the
Fund’s
cash
balances.
RIM
manages
a
multi-factor
positioning
strategy
that
aims
to
increase
the
Fund’s
value
exposure
while
moderating
volatility
exposure
and
expressing
RIM’s
total
preferred
positioning
across
multiple
factors
and
sectors.
The
strategy
uses
output
from
quantitative
and/or
rules-based
processes
and
qualitative
analysis
to
purchase
a
stock
portfolio
expressing
these
views.
The
positioning
strategy’s
benchmark-relative
performance
was
positive
for
the
fiscal
year,
as
the
strategy’s
overweight
to
value
was
a
tailwind.
In
addition,
RIM
utilized
equity
futures
and
currency
forward
contracts
in
order
to
position
the
portfolio
to
meet
RIM’s
overall
preferred
positioning
with
respect
to
country
and
currency
exposures.
This
strategy
contributed
positively
during
the
fiscal
year.
During
the
fiscal
year,
RIM
used
index
futures
contracts
to
equitize
a
portion
of
the
Fund’s
cash
and
this
strategy
was
a
positive
contributor.
Describe
any
changes
to
the
Fund’s
structure
or
the
money
manager
line-up.
There
were
no
changes
to
the
Fund’s
structure
or
money
manager
line-up
during
the
fiscal
year.
Russell
Investment
Funds
International
Developed
Markets
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
International
Developed
Markets
Fund
53
The
views
expressed
in
this
report
reflect
those
of
the
portfolio
managers
only
through
the
end
of
the
fiscal
year
covered
by
the
report.
These
views
do
not
necessarily
represent
the
views
of
RIM
or
any
other
person
in
RIM
or
any
other
affiliated
organization.
These
views
are
subject
to
change
at
any
time
based
upon
market
conditions
or
other
events,
and
RIM
disclaims
any
responsibility
to
update
the
views
contained
herein.
These
views
should
not
be
relied
on
as
investment
advice
and,
because
investment
decisions
for
a
Russell
Investment
Funds
(“RIF”)
Fund
are
based
on
numerous
factors,
should
not
be
relied
on
as
an
indication
of
investment
decisions
of
any
RIF
Fund.
Money
Managers
as
of
December
31,
2021
Styles
Intermede
Investment
Partners
Limited
and
Intermede
Global
Partners
Inc.
Growth
Pzena
Investment
Management
LLC
Value
Wellington
Management
Company
LLP
Blend
*
Assumes
initial
investment
on
January
1,
2012.
**
The
MSCI
World
ex
USA
Index
(Net)
is
a
free
float‐adjusted
market
capitalization
weighted
index
that
is
designed
to
measure
the
equity
market
performance
of
developed
markets.
The
index
consists
of
22
developed
market
country
indexes.
***
The
International
Developed
Markets
Linked
Benchmark
provides
a
means
to
compare
the
Fund’s
average
annual
returns
to
a
secondary
benchmark
that
takes
into
account
historical
changes
in
the
Fund’s
primary
benchmark.
The
International
Developed
Markets
Linked
Benchmark
represents
the
returns
of
the
Russell
Developed
ex
US
Large
Cap
Index
(net
of
tax
on
dividends
from
foreign
holdings)
through
December
31,
2017,
and
the
returns
of
the
MSCI
World
ex
USA
Index
(net
of
tax
on
dividends
from
foreign
holdings)
thereafter.
§
Annualized.
The
performance
shown
in
this
section
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Performance
is
historical
and
assumes
reinvestment
of
all
dividends
and
capital
gains. Investment
return
and
principal
value
will
fluctuate
so
that
an
investor’s
shares,
when
redeemed,
may
be
worth
more
or
less
than
when
purchased. Past
performance
is
not
indicative
of
future
results. Additionally,
the
returns
presented
herein
may
differ
from
the
performance
reported
in
the
Financial
Highlights
as
the
returns
herein
are
calculated
in
a
manner
consistent
with
standardized
performance
in
accordance
with
Securities
and
Exchange
Commission
rules,
while
the
performance
in
the
Financial
Highlights
has
been
calculated
in
accordance
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”).
Russell
Investment
Funds
International
Developed
Markets
Fund
Shareholder
Expense
Example
—
December
31,
2021
(Unaudited)
54
International
Developed
Markets
Fund
Fund
Expenses
The
following
disclosure
provides
important
information
regarding
the
Fund’s
Shareholder
Expense
Example
(“Example”).
Example
As
a
shareholder
of
the
Fund,
you
incur
two
types
of
costs:
(1)
transaction
costs,
and
(2)
ongoing
costs,
including
advisory
and
administrative
fees
and
other
Fund
expenses.
The
Example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
Fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
indicated,
which
for
this
Fund
is
from
July
1,
2021
to
December
31,
2021
.
Actual
Expenses
The
information
in
the
table
under
the
heading
“Actual
Performance”
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
column,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
column
in
the
row
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
in
the
table
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
the
Fund’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
Fund’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
the
Fund
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
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.
Therefore,
the
information
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
In
addition,
if
these
transactional
costs
were
included,
your
costs
would
have
been
higher.
The
fees
and
expenses
shown
in
this
section
do
not
reflect
any
Insurance
Company
Separate
Account
Policy
Charges.
Actual
Performance
Hypothetical
Performance
(5%
return
before
expenses)
Beginning
Account
Value
July
1,
2021
$
1,000.00
$
1,000.00
Ending
Account
Value
December
31,
2021
$
1,007.70
$
1,020.0
6
Expenses
Paid
During
Period*
$
5.
16
$
5.
19
*
Expenses
are
equal
to
the
Fund's
annualized
expense
ratio
of
1.02%
(representing
the
six
month
period
annualized),
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(to
reflect
the
one-half
year
period).
May
reflect
amounts
waived
and/or
reimbursed.
Without
any
waivers
and/or
reimbursements,
expenses
would
have
been
higher.
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
55
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Common
Stocks
-
92.1%
Argentina
-
0.0%
YPF
SA
-
ADR(Æ)
17,193
66
Australia
-
2.0%
APA
Group
11,636
85
ASX,
Ltd.
-
ADR
3,273
221
Australia
&
New
Zealand
Banking
Group,
Ltd.
-
ADR
7,830
157
BHP
Group
PLC
24,449
729
BHP
Group,
Ltd.
-
ADR
26,613
805
BlueScope
Steel,
Ltd.
8,785
134
Commonwealth
Bank
of
Australia
-
ADR
18,237
1,341
CSL,
Ltd.
1,402
297
Dexus
Property
Group(ö)
25,041
203
Fortescue
Metals
Group,
Ltd.
28,069
394
Goodman
Group(ö)
8,506
164
Insurance
Australia
Group,
Ltd.(Æ)
79,649
247
Macquarie
Group,
Ltd.
2,143
320
Magellan
Financial
Group,
Ltd.
-
ADR
3,288
51
Medibank
Pvt,
Ltd.
99,581
243
National
Australia
Bank,
Ltd.
-
ADR
8,328
175
Rio
Tinto
PLC
14,281
942
Rio
Tinto,
Ltd.
-
ADR
1,008
74
Sonic
Healthcare,
Ltd.
6,018
204
South32,
Ltd.
Class
B
125,336
367
Wesfarmers,
Ltd.(Æ)
3,132
135
Westpac
Banking
Corp.
6,567
102
7,390
Austria
-
0.5%
Erste
Group
Bank
AG
30,512
1,434
Mondi
PLC
13,553
334
1,768
Belgium
-
0.5%
Ageas
SA
11,060
573
Colruyt
SA
2,157
92
Groupe
Bruxelles
Lambert
SA
2,180
244
KBC
Groep
NV
7,114
611
Solvay
SA
784
91
UCB
SA
960
110
1,721
Brazil
-
0.6%
Ambev
SA
455,900
1,285
Cia
de
Saneamento
Basico
do
Estado
de
Sao
Paulo(Æ)
66,400
484
Telefonica
Brasil,
SA
39,119
341
Ultrapar
Participacoes
SA
59,500
157
Yara
International
ASA
2,286
115
2,382
Burkina
Faso
-
0.1%
Endeavour
Mining
PLC
9,734
213
Canada
-
4.4%
Algonquin
Power
&
Utilities
Corp.
6,261
90
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Alimentation
Couche-Tard,
Inc.
3,568
149
ARC
Resources,
Ltd.
28,974
263
B2Gold
Corp.
65,308
257
Bank
of
Montreal
2,496
269
Bank
of
Nova
Scotia
(The)
7,070
501
Barrick
Gold
Corp.
31,110
591
CAE,
Inc.(Æ)
83,015
2,095
Cameco
Corp.
Class
A
15,323
334
Canadian
Imperial
Bank
of
Commerce
1,668
194
Canadian
National
Railway
Co.
18,109
2,225
Canadian
Natural
Resources,
Ltd.
3,006
127
CGI
Group,
Inc.(Æ)
1,863
165
Dollarama,
Inc.
12,972
649
Emera,
Inc.
1,665
83
Enbridge,
Inc.
6,029
235
George
Weston,
Ltd.
1,055
122
Great-West
Lifeco,
Inc.
3,162
95
iA
Financial
Corp.,
Inc.
1,405
80
Kinross
Gold
Corp.
54,551
317
Loblaw
Cos.,
Ltd.
2,236
183
Metro,
Inc.
Class
A
5,571
296
National
Bank
of
Canada
4,041
308
Nuvei
Corp.(Æ)(Þ)
3,658
237
Open
Text
Corp.
2,344
111
Royal
Bank
of
Canada
-
GDR
16,921
1,797
Shopify,
Inc.
Class
A(Æ)
665
916
Stantec,
Inc.
7,221
406
Sun
Life
Financial,
Inc.
20,761
1,156
Teck
Resources,
Ltd.
Class
B
9,541
275
TELUS
Corp.
8,789
207
Thomson
Reuters
Corp.(Æ)
1,222
146
Toronto-Dominion
Bank
(The)
20,950
1,607
Tourmaline
Oil
Corp.
9,148
295
16,781
China
-
1.6%
Alibaba
Group
Holding,
Ltd.(Æ)
83,600
1,252
Alibaba
Group
Holding,
Ltd.
-
ADR(Æ)
18,077
2,147
Dongfeng
Motor
Group
Co.,
Ltd.
Class
H
626,000
520
Tencent
Holdings,
Ltd.
21,984
1,290
Wilmar
International,
Ltd.
215,100
661
5,870
Denmark
-
1.4%
AP
Moller
-
Maersk
A/S
Class
B
590
2,118
Carlsberg
A/S
Class
B
1,393
239
Coloplast
A/S
Class
B
975
171
Danske
Bank
A/S
42,174
721
DSV
Panalpina
A/S
5,143
1,188
Novo
Nordisk
A/S
Class
B
5,294
592
Novozymes
A/S
Class
B
1,505
123
5,152
Finland
-
1.6%
Elisa
OYJ
7,304
449
Fortum
OYJ
5,927
181
Kone
OYJ
Class
B
10,263
730
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
56
International
Developed
Markets
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Neste
OYJ
1,690
83
Nokia
OYJ(Æ)
486,481
3,056
Nordea
Bank
Abp
21,407
261
Orion
OYJ
Class
B
1,887
78
Sampo
OYJ
Class
A
12,054
601
UPM-Kymmene
OYJ
19,047
720
6,159
France
-
9.2%
Accor
SA(Æ)
21,835
707
Air
Liquide
SA
Class
A
1,635
285
Airbus
Group
SE(Æ)
7,900
1,009
Amundi
SA(Þ)
13,696
1,131
Arkema
SA
791
112
AXA
SA
45,410
1,353
BNP
Paribas
SA
17,993
1,243
Bollore
SA
27,016
151
Bouygues
SA
-
ADR
16,761
601
Bureau
Veritas
SA
24,489
813
Capgemini
SE
3,767
920
Carrefour
SA
35,062
643
Cie
de
Saint-Gobain
SA
19,816
1,394
Cie
Generale
des
Etablissements
Michelin
SCA
Class
B
13,577
2,226
Danone
SA
2,699
168
Dassault
Aviation
SA
2,250
243
Dassault
Systemes
SE
2,279
135
Eiffage
SA
1,346
139
Engie
SA
97,308
1,441
EssilorLuxottica
SA
1,018
217
Gecina
SA(ö)
699
98
Getlink
SE
5,198
86
Hermes
International
176
307
L'Oreal
SA
3,739
1,772
LVMH
Moet
Hennessy
Louis
Vuitton
SE
-
ADR
3,345
2,760
Orange
SA
-
ADR
74,138
794
Pernod
Ricard
SA
333
80
Publicis
Groupe
SA
-
ADR
18,065
1,216
Renault
SA(Æ)
11,915
414
Rexel
SA
Class
H(Æ)
146,163
2,971
Sanofi
-
ADR
18,937
1,903
Schneider
Electric
SE
11,952
2,343
SCOR
SE
-
ADR
26,641
832
Societe
Generale
SA
26,038
894
Technip
Energies
NV
-
ADR(Æ)
32,787
475
Total
SA
42,883
2,178
Vinci
SA
2,561
271
Vivendi
SE
-
ADR
17,094
231
34,556
Germany
-
4.3%
Allianz
SE
1,463
346
BASF
SE
27,959
1,967
Bayer
AG
2,787
149
Bayerische
Motoren
Werke
Aktiengesellschaft
2,256
227
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Beiersdorf
AG
1,398
144
Ceconomy
AG
49,527
214
Continental
AG(Æ)
5,501
582
Covestro
AG(Þ)
32,223
1,988
Daimler
AG
9,695
744
Daimler
Truck
Holding
AG(Æ)
6,901
254
Deutsche
Bank
AG(Æ)
26,907
338
Deutsche
Boerse
AG
4,516
757
Deutsche
Telekom
AG
11,437
213
Deutsche
Wohnen
SE
5,684
238
E.ON
SE
16,754
232
Fresenius
Medical
Care
AG
&
Co.
18,515
1,199
Fresenius
SE
&
Co.
KGaA
23,920
964
Hannover
Rueck
SE
2,013
383
HeidelbergCement
AG
1,689
114
Infineon
Technologies
AG
-
ADR
19,987
927
LEG
Immobilien
SE
1,567
219
Merck
&
Co.,
Inc.
880
228
Metro
AG
8,876
93
Muenchener
Rueckversicherungs-
Gesellschaft
AG
3,265
969
RWE
AG
4,014
163
SAP
SE
-
ADR
1,761
252
Scout24
SE(Þ)
1,154
81
Siemens
AG
5,640
980
Symrise
AG
1,220
181
Uniper
SE
1,762
84
Vonovia
SE
2,792
154
Zalando
SE(Æ)(Þ)
8,655
702
16,086
Hong
Kong
-
2.7%
AIA
Group,
Ltd.
275,608
2,778
CK
Asset
Holdings,
Ltd.
114,049
719
CK
Hutchison
Holdings,
Ltd.
Class
B
13,313
86
CK
Infrastructure
Holdings,
Ltd.
21,000
134
CLP
Holdings,
Ltd.
90,500
914
Hang
Seng
Bank,
Ltd.
26,300
482
Hong
Kong
Exchanges
&
Clearing,
Ltd.
12,100
707
Link
Real
Estate
Investment
Trust(ö)
17,200
152
New
World
Development
Co.,
Ltd.
23,000
91
Power
Assets
Holdings,
Ltd.
55,000
343
Sun
Hung
Kai
Properties,
Ltd.
11,500
140
Techtronic
Industries
Co.,
Ltd.
178,771
3,558
WH
Group,
Ltd.(Þ)
123,000
77
Xinyi
Glass
Holdings,
Ltd.
74,000
185
10,366
India
-
1.4%
Canara
Bank
95,649
257
Housing
Development
Finance
Corp.,
Ltd.
105,884
3,668
Oil
&
Natural
Gas
Corp.,
Ltd.
201,547
386
Reliance
Industries,
Ltd.
-
GDR(Þ)
12,031
767
Zee
Entertainment
Enterprises,
Ltd.
62,658
269
5,347
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
57
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Indonesia
-
0.2%
Bank
Mandiri
Persero
Tbk
PT
1,189,600
586
Ireland
-
2.4%
Accenture
PLC
Class
A
9,777
4,053
AIB
Group
PLC(Æ)
163,110
397
Bank
of
Ireland
Group
PLC(Æ)
84,091
477
CRH
PLC
2,291
121
Flutter
Entertainment
PLC(Æ)
5,517
875
Kerry
Group
PLC
Class
A
18,136
2,338
Ryanair
Holdings
PLC
-
ADR(Æ)
6,937
710
Smurfit
Kappa
Group
PLC
1,751
97
9,068
Israel
-
0.1%
Bank
Hapoalim
BM
14,903
153
Bank
Leumi
Le-Israel
BM
12,839
138
Check
Point
Software
Technologies,
Ltd.
(Æ)
1,425
166
Israel
Discount
Bank,
Ltd.
Class
A
18,095
122
579
Italy
-
2.1%
Assicurazioni
Generali
SpA
43,552
919
BPER
Banca
103,990
214
Davide
Campari-Milano
NV(Æ)
67,623
985
Enel
SpA
166,065
1,323
Eni
SpA
-
ADR
79,867
1,104
Ferrari
NV
2,833
729
FinecoBank
Banca
Fineco
SpA
18,788
327
Intesa
Sanpaolo
SpA
56,174
145
Moncler
SpA
9,504
687
Saipem
SpA(Æ)(Ñ)
113,516
238
Snam
Rete
Gas
SpA
27,986
168
UniCredit
SpA
82,067
1,263
8,102
Japan
-
17.1%
Ajinomoto
Co.,
Inc.
6,400
195
Alfresa
Holdings
Corp.
15,500
207
Alps
Alpine
Co.,
Ltd.
25,300
239
Asahi
Kasei
Corp.
7,900
74
Astellas
Pharma,
Inc.
49,000
797
Benesse
Holdings,
Inc.
3,100
61
Bridgestone
Corp.
24,000
1,033
Brother
Industries,
Ltd.
3,700
71
Canon,
Inc.
35,600
867
Casio
Computer
Co.,
Ltd.
6,000
77
Chiyoda
Corp.(Æ)
31,000
95
Concordia
Financial
Group,
Ltd.
34,900
127
Dai-ichi
Life
Holdings,
Inc.
33,750
682
Daiichi
Sankyo
Co.,
Ltd.
28,900
735
Daito
Trust
Construction
Co.,
Ltd.
2,600
297
Daiwa
House
REIT
Investment
Corp.(ö)
26
79
DeNA
Co.,
Ltd.
19,800
305
Eisai
Co.,
Ltd.
10,940
621
Fuji
Media
Holdings,
Inc.
12,900
124
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
FUJIFILM
Holdings
Corp.
2,000
148
Fukuoka
Financial
Group,
Inc.
28,500
488
GLP
J-REIT(ö)
47
81
Hankyu
Hanshin
Holdings,
Inc.
2,500
71
Hino
Motors,
Ltd.
64,900
535
Hitachi
Metals,
Ltd.(Æ)
36,000
667
Hitachi,
Ltd.
2,700
146
Honda
Motor
Co.,
Ltd.
105,400
2,960
Hoya
Corp.
800
119
Iida
Group
Holdings
Co.,
Ltd.
33,800
784
Inpex
Corp.
73,000
637
Isuzu
Motors,
Ltd.
173,000
2,152
ITOCHU
Corp.
9,000
275
Japan
Airlines
Co.,
Ltd.(Æ)
27,300
521
Japan
Exchange
Group,
Inc.
17,700
388
Japan
Post
Holdings
Co.,
Ltd.
33,900
265
Japan
Real
Estate
Investment
Corp.(ö)
13
74
Japan
Tobacco,
Inc.
48,100
970
JGC
Holdings
Corp.
45,400
379
Kajima
Corp.
9,000
103
Kamigumi
Co.,
Ltd.
14,900
281
Kansai
Electric
Power
Co.,
Inc.
(The)
18,000
168
Kao
Corp.
15,600
816
KDDI
Corp.
30,800
900
Keyence
Corp.
4,900
3,080
Kintetsu
Group
Holdings
Co.,
Ltd.(Æ)
2,600
73
Komatsu,
Ltd.
79,400
1,859
Kyocera
Corp.
10,800
675
Marubeni
Corp.
11,100
108
MEIJI
Holdings
Co.,
Ltd.
7,900
471
Menicon
Co.,
Ltd.
47,800
1,409
Mitsubishi
Chemical
Holdings
Corp.
17,900
133
Mitsubishi
Corp.
6,200
197
Mitsubishi
Electric
Corp.
52,500
666
Mitsubishi
Estate
Co.,
Ltd.
43,200
599
Mitsubishi
Heavy
Industries,
Ltd.
9,900
229
Mitsubishi
Motors
Corp.(Æ)
65,200
181
Mitsubishi
UFJ
Financial
Group,
Inc.
213,100
1,158
Mitsui
&
Co.,
Ltd.
46,400
1,099
Mizuho
Financial
Group,
Inc.
10,800
137
MS&AD
Insurance
Group
Holdings,
Inc.
19,800
611
Murata
Manufacturing
Co.,
Ltd.
8,800
699
Nidec
Corp.
3,400
400
Nikon
Corp.
39,900
430
Nintendo
Co.,
Ltd.
1,510
704
Nippon
Building
Fund,
Inc.(ö)
12
70
Nippon
Prologis,
Inc.(Æ)(ö)
23
81
Nippon
Telegraph
&
Telephone
Corp.
6,306
172
Nippon
Television
Holdings,
Inc.
21,200
215
Nippon
Yusen
3,300
251
Nissan
Motor
Co.,
Ltd.(Æ)
102,700
496
Nitori
Holdings
Co.,
Ltd.
600
90
Nitto
Denko
Corp.
4,700
363
Nomura
Holdings,
Inc.
84,600
369
Nomura
Real
Estate
Master
Fund,
Inc.(ö)
53
75
Nomura
Research
Institute,
Ltd.
6,000
256
Obayashi
Corp.
11,200
87
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
58
International
Developed
Markets
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Ono
Pharmaceutical
Co.,
Ltd.
47,100
1,168
Oriental
Land
Co.,
Ltd.
400
67
ORIX
Corp.
4,900
100
Orix
JREIT,
Inc.(ö)
47
73
Osaka
Gas
Co.,
Ltd.
9,800
162
Otsuka
Corp.
3,600
172
Otsuka
Holdings
Co.,
Ltd.
14,000
507
Panasonic
Corp.
117,000
1,287
Pigeon
Corp.
4,700
90
Resona
Holdings,
Inc.
286,000
1,112
Secom
Co.,
Ltd.
1,700
118
Sekisui
Chemical
Co.,
Ltd.
15,700
262
Sekisui
House,
Ltd.
8,000
172
Shimamura
Co.,
Ltd.
5,800
487
Shimano,
Inc.
600
159
Shimizu
Corp.
19,500
121
Shin-Etsu
Chemical
Co.,
Ltd.
19,735
3,419
Shionogi
&
Co.,
Ltd.
3,600
254
Shiseido
Co.,
Ltd.
27,300
1,522
SMC
Corp.
1,000
675
SoftBank
Group
Corp.
11,500
145
Sompo
Japan
Nipponkoa
Holdings,
Inc.
2,600
110
Sony
Corp.
9,110
1,152
Subaru
Corp.
29,100
520
Sumitomo
Corp.
10,900
161
Sumitomo
Electric
Industries,
Ltd.
35,900
468
Sumitomo
Heavy
Industries,
Ltd.
10,600
257
Sumitomo
Metal
Mining
Co.,
Ltd.
3,400
129
Sumitomo
Mitsui
Banking
Corp.
53,900
1,842
Sumitomo
Mitsui
Trust
Holdings,
Inc.
20,400
681
Suzuki
Motor
Corp.
6,400
246
T&D
Holdings,
Inc.
94,900
1,215
Taiheiyo
Cement
Corp.
14,200
281
Takeda
Pharmaceutical
Co.,
Ltd.
27,500
752
Terumo
Corp.
3,700
156
THK
Co.,
Ltd.
18,700
451
Tokyo
Electron,
Ltd.
3,100
1,775
Tokyo
Gas
Co.,
Ltd.
9,600
173
Toppan
Printing
Co.,
Ltd.
14,500
272
Toray
Industries,
Inc.
17,500
104
Tosoh
Corp.
5,400
80
Toyota
Industries
Corp.
25,000
1,998
Toyota
Motor
Corp.
32,500
600
Trend
Micro,
Inc.
6,100
337
USS
Co.,
Ltd.
8,100
126
Yamaha
Motor
Co.,
Ltd.
16,400
393
Yamato
Holdings
Co.,
Ltd.
3,300
77
64,485
Luxembourg
-
0.8%
ArcelorMittal
SA(Æ)
33,849
1,089
Eurofins
Scientific
SE
13,735
1,700
RTL
Group
SA
6,660
354
3,143
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Macao
-
0.3%
Galaxy
Entertainment
Group,
Ltd.(Æ)
195,000
1,010
Malaysia
-
0.1%
CIMB
Group
Holdings
BHD
276,327
362
Mexico
-
0.6%
America
Movil
SAB
de
CV
Class
L
-
ADR
31,350
662
Grupo
Televisa
SAB
-
ADR
174,301
1,633
2,295
Netherlands
-
5.1%
ABN
AMRO
Bank
NV(Þ)
47,166
693
Adyen
NV(Æ)(Þ)
265
693
Akzo
Nobel
NV
6,660
733
ASML
Holding
NV
2,731
2,178
Exor
NV
1,148
102
Heineken
Holding
NV
1,598
148
Heineken
NV
35,910
4,037
ING
Groep
NV
215,042
2,997
Koninklijke
Ahold
Delhaize
NV
7,662
263
Koninklijke
DSM
NV
358
80
Koninklijke
KPN
NV
90,187
280
Koninklijke
Philips
NV
13,387
498
NN
Group
NV
2,396
129
PostNL
NV
-
ADR
55,011
239
Randstad
NV
4,511
309
Royal
Dutch
Shell
PLC
Class
A
97,713
2,147
Royal
Dutch
Shell
PLC
Class
B
109,080
2,394
Universal
Music
Group
NV
40,077
1,130
Wolters
Kluwer
NV
1,740
205
19,255
New
Zealand
-
0.6%
Fisher
&
Paykel
Healthcare
Corp.,
Ltd.
96,195
2,157
Spark
New
Zealand,
Ltd.
39,929
124
2,281
Norway
-
0.4%
Gjensidige
Forsikring
ASA
3,802
92
Mowi
ASA
16,046
380
Norsk
Hydro
ASA
48,916
385
Orkla
ASA
43,997
442
Telenor
ASA
15,024
236
1,535
Russia
-
0.4%
Gazprom
PJSC
-
ADR
75,542
696
Lukoil
PJSC
-
ADR
2,007
179
Sberbank
of
Russia
PJSC
-
ADR
22,110
354
VEON,
Ltd.(Æ)
134,442
230
1,459
Singapore
-
0.4%
Ascendas
Real
Estate
Investment
Trust(ö)
35,600
78
DBS
Group
Holdings,
Ltd.
32,409
786
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
59
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Oversea-Chinese
Banking
Corp.,
Ltd.
15,292
129
Singapore
Exchange,
Ltd.
22,500
155
Singapore
Technologies
Engineering,
Ltd.
21,600
60
United
Overseas
Bank,
Ltd.
6,400
128
Venture
Corp.,
Ltd.
18,100
246
1,582
South
Africa
-
0.2%
Gold
Fields,
Ltd.
-
ADR
15,276
168
Impala
Platinum
Holdings,
Ltd.
3,810
54
MTN
Group,
Ltd.(Æ)
27,160
290
Old
Mutual,
Ltd.
353,626
291
803
South
Korea
-
1.5%
Coway
Co.,
Ltd.(Æ)
5,697
354
Hankook
Tire
&
Technology
Co.,
Ltd.
9,991
332
KB
Financial
Group,
Inc.
19,182
884
KT
Corp.
-
ADR
55,416
697
POSCO
5,409
1,242
Samsung
Electronics
Co.,
Ltd.
14,466
950
Shinhan
Financial
Group
Co.,
Ltd.
43,394
1,337
5,796
Spain
-
2.0%
Amadeus
IT
Group
SA
Class
A(Æ)
19,195
1,293
Banco
Santander
SA
-
ADR
31,165
104
CaixaBank
SA
567,510
1,556
Cellnex
Telecom
SA(Þ)
39,894
2,316
Endesa
SA
-
ADR
16,318
376
Iberdrola
SA
18,367
215
Industria
de
Diseno
Textil
SA
39,623
1,284
Naturgy
Energy
Group
SA
4,700
153
Red
Electrica
Corp.
SA
9,691
210
Repsol
SA
-
ADR
8,055
96
Telefonica
SA
-
ADR
27,730
121
7,724
Sweden
-
2.0%
Assa
Abloy
AB
Class
B
35,058
1,065
Atlas
Copco
AB(Æ)
9,533
660
Boliden
AB(Æ)
12,613
489
Essity
Aktiebolag
Class
B
8,098
264
Hexagon
AB(Æ)
69,902
1,100
ICA
Gruppen
AB
4,834
286
Investor
AB
Class
B
12,825
321
Kinnevik
AB
Class
B(Æ)
2,854
101
Sandvik
AB
62,557
1,747
Securitas
AB
Class
B
9,746
134
Skandinaviska
Enskilda
Banken
AB
Class
A
10,055
139
Skanska
AB
Class
B
4,372
113
Svenska
Handelsbanken
AB
Class
A
12,929
140
Swedbank
AB
Class
A
4,857
98
Swedish
Match
AB
91,123
724
Tele2
AB
Class
B
6,957
99
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Telia
Co.
AB
26,701
104
7,584
Switzerland
-
8.7%
ABB,
Ltd.
17,764
677
Adecco
Group
AG
20,614
1,054
Alcon,
Inc.
9,868
869
Baloise
Holding
AG
608
99
Barry
Callebaut
AG
32
78
Chocoladefabriken
Lindt
&
Spruengli
AG
15
327
Cie
Financiere
Richemont
SA
Class
A
6,616
988
Credit
Suisse
Group
AG
Class
A
44,790
434
EMS-Chemie
Holding
AG
164
183
Geberit
AG
193
157
Givaudan
SA
37
195
Julius
Baer
Group,
Ltd.
20,882
1,395
Kuehne
&
Nagel
International
AG
320
103
LafargeHolcim,
Ltd.(Æ)
24,205
1,232
Lonza
Group
AG
1,346
1,121
Nestle
SA
53,299
7,450
Novartis
AG
43,326
3,805
Partners
Group
Holding
AG
1,165
1,921
Roche
Holding
AG
9,771
4,056
Schindler
Holding
AG
827
222
SGS
SA
241
803
Sika
AG
342
142
Swiss
Life
Holding
AG
189
116
Swiss
Prime
Site
AG
Class
A
1,844
181
Swiss
Re
AG
1,579
156
Swisscom
AG
1,359
767
UBS
Group
AG
188,489
3,383
Zurich
Insurance
Group
AG
2,197
963
32,877
Taiwan
-
2.8%
Catcher
Technology
Co.,
Ltd.
164,513
928
Hon
Hai
Precision
Industry
Co.,
Ltd.
680,184
2,550
MediaTek,
Inc.
28,000
1,197
Shin
Kong
Financial
Holding
Co.,
Ltd.
259,000
103
Taiwan
Semiconductor
Manufacturing
Co.,
Ltd.
107,000
2,369
Taiwan
Semiconductor
Manufacturing
Co.,
Ltd.
-
ADR
28,432
3,421
10,568
Thailand
-
0.2%
Kasikornbank
PCL
181,600
771
Turkey
-
0.1%
Turk
Telekomunikasyon
AS
230,967
168
Turkcell
Iletisim
Hizmetleri
AS
150,487
205
373
United
Kingdom
-
11.2%
Allfunds
Group
PLC(Æ)
22,831
448
Anglo
American
PLC
44,967
1,841
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
60
International
Developed
Markets
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
AstraZeneca
PLC
13,092
1,526
Auto
Trader
Group
PLC(Þ)
21,424
214
Aviva
PLC
143,057
794
Babcock
International
Group
PLC(Æ)
73,961
319
BAE
Systems
PLC
134,186
1,000
Barclays
PLC
356,586
906
Barratt
Developments
PLC
13,355
135
Berkeley
Group
Holdings
PLC(Æ)
5,005
323
BP
PLC
352,059
1,566
British
American
Tobacco
PLC
6,937
257
British
Land
Co.
PLC
(The)(ö)
52,154
374
BT
Group
PLC
309,294
707
Centrica
PLC(Æ)
277,283
268
Compass
Group
PLC(Æ)
106,206
2,366
Croda
International
PLC(Æ)
1,764
242
DCC
PLC
1,269
104
Diageo
PLC
25,269
1,377
Direct
Line
Insurance
Group
PLC
51,660
195
easyJet
PLC(Æ)
27,518
207
Experian
PLC
7,454
366
Ferguson
PLC
621
110
GlaxoSmithKline
PLC
-
ADR
14,663
319
Halma
PLC
3,228
139
HSBC
Holdings
PLC
287,491
1,740
Intermediate
Capital
Group
PLC(Æ)
35,112
1,039
Intertek
Group
PLC
2,244
171
J
Sainsbury
PLC
517,819
1,931
John
Wood
Group
PLC(Æ)
446,737
1,155
Johnson
Matthey
PLC
2,355
65
Kingfisher
PLC
121,707
556
Land
Securities
Group
PLC(ö)
34,795
365
Legal
&
General
Group
PLC
40,525
163
Linde
PLC
11,888
4,142
Lloyds
Banking
Group
PLC
177,653
115
Marks
&
Spencer
Group
PLC(Æ)
74,307
232
National
Grid
PLC
19,046
275
Natwest
Group
PLC
297,720
907
Persimmon
PLC
Class
A
9,776
377
Reckitt
Benckiser
Group
PLC
5,959
511
RELX
PLC
10,932
356
Sage
Group
PLC
(The)
14,612
168
Scottish
&
Southern
Energy
PLC
14,467
323
Segro
PLC(ö)
17,419
338
Smith
&
Nephew
PLC
50,158
878
Spirax-Sarco
Engineering
PLC
668
145
St.
James's
Place
PLC
21,061
480
Standard
Chartered
PLC
269,763
1,630
Taylor
Wimpey
PLC
46,913
111
TechnipFMC
PLC(Æ)
110,698
655
Tesco
PLC
525,041
2,058
Travis
Perkins
PLC
76,186
1,599
Unilever
PLC
23,903
1,281
United
Utilities
Group
PLC
5,357
79
Vodafone
Group
PLC
623,724
930
Wausau
Paper
Corp.
81,554
1,233
42,111
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
United
States
-
2.5%
Allegion
PLC
20,273
2,685
Amdocs,
Ltd.
23,783
1,780
Aon
PLC
Class
A
9,371
2,816
James
Hardie
Industries
PLC
17,529
706
Lululemon
Athletica,
Inc.(Æ)
2,256
883
Ovintiv,
Inc.(Ñ)
7,234
243
Pagseguro
Digital,
Ltd.
Class
A(Æ)
12,772
335
9,448
Total
Common
Stocks
(cost
$314,203)
347,654
Preferred
Stocks
-
2.0%
Germany
-
1.3%
Henkel
AG
&
Co.
KGaA
2.486%
(Ÿ)
1,853
150
Porsche
Automobil
Holding
SE
2.645%
(Ÿ)
959
91
Sartorius
AG
0.139%
(Ÿ)
2,987
2,022
Volkswagen
AG
2.660%
(Ÿ)
12,908
2,608
4,871
South
Korea
-
0.7%
Samsung
Electronics
Co.,
Ltd.
0.000%
(Æ)
40,508
2,425
Total
Preferred
Stocks
(cost
$5,544)
7,296
Short-Term
Investments
-
3.2%
United
States
-
3.2%
U.S.
Cash
Management
Fund(@)
12,142,362
(∞)
12,139
Total
Short-Term
Investments
(cost
$12,140)
12,139
Other
Securities
-
0.1%
U.S.
Cash
Collateral
Fund(@)(×)
473,278
(∞)
473
Total
Other
Securities
(cost
$473)
473
Total
Investments
-
97.4%
(identified
cost
$332,360)
367,562
Other
Assets
and
Liabilities,
Net
-
2.6%
9,901
Net
Assets
-
100.0%
377,463
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
61
Restricted
Securities
Amounts
in
thousands
(except
share
and
cost
per
unit
amounts)
%
of
Net
Assets
Acquisition
Principal
Amount
($)
Cost
per
Unit
Cost
(000)
Fair
Value
(000)
Securities
Date
or
shares
$
$
$
2.4%
ABN
AMRO
Bank
NV
10/03/19
EUR
47,166
17.60
830
693
Adyen
NV
07/25/19
EUR
265
763.34
202
693
Amundi
SA
02/21/19
EUR
13,696
64.95
890
1,131
Auto
Trader
Group
PLC
12/10/21
GBP
21,424
9.80
210
214
Cellnex
Telecom
SA
08/07/17
EUR
39,894
41.94
1,673
2,316
Covestro
AG
08/15/19
EUR
32,223
45.21
1,456
1,988
Nuvei
Corp.
11/11/21
CAD
3,658
78.39
287
237
Reliance
Industries,
Ltd.
10/21/20
12,031
58.25
701
767
Scout24
SE
12/17/20
EUR
1,154
83.16
96
81
WH
Group,
Ltd.
06/26/19
HKD
123,000
1.02
125
77
Zalando
SE
12/12/19
EUR
8,655
57.05
494
702
8,899
For
a
description
of
restricted
securities
see
note
7
in
the
Notes
to
Financial
Statements.
Futures
Contracts
Amounts
in
thousands
(except
contract
amounts
)
Number
of
Contracts
Notional
Amount
Expiration
Date
Value
and
Unrealized
Appreciation
(Depreciation)
$
Long
Positions
Amsterdam
Index
Futures
14
EUR
2,234
01/22
53
CAC40
Euro
Index
Futures
82
EUR
5,857
01/22
232
DAX
Index
Futures
10
EUR
3,964
03/22
115
FTSE
100
Index
Futures
53
GBP
3,882
03/22
104
FTSE/MIB
Index
Futures
9
EUR
1,226
03/22
42
IBEX
35
Index
Futures
13
EUR
1,129
01/22
49
MSCI
Emerging
Markets
Index
Futures
526
USD
32,252
03/22
5
MSCI
Singapore
Index
Futures
6
SGD
204
01/22
1
OMXS30
Index
Futures
67
SEK
16,209
01/22
86
S&P
500
E-Mini
Index
Futures
88
USD
20,937
03/22
(311)
S&P/TSX
60
Index
Futures
96
CAD
24,593
03/22
331
SPI
200
Index
Futures
94
AUD
17,265
03/22
106
TOPIX
Index
Futures
75
JPY
1,494,000
03/22
174
Short
Positions
EURO
STOXX
50
Index
Futures
79
EUR
3,387
03/22
100
Hang
Seng
Index
Futures
3
HKD
3,518
01/22
3
Total
Value
and
Unrealized
Appreciation
(Depreciation)
on
Open
Futures
Contracts
(å)
1,090
Foreign
Currency
Exchange
Contracts
Amounts
in
thousands
Counterparty
Amount
Sold
Amount
Bought
Settlement
Date
Unrealized
Appreciation
(Depreciation)
$
Bank
of
Montreal
USD
3,368
AUD
4,697
03/16/22
50
Bank
of
Montreal
USD
4,323
CAD
5,464
03/16/22
(3)
Bank
of
Montreal
USD
836
DKK
5,470
03/16/22
3
Bank
of
Montreal
USD
1,361
EUR
1,198
03/16/22
5
Bank
of
Montreal
USD
1,137
GBP
859
03/16/22
25
Bank
of
Montreal
USD
2,977
JPY
338,485
03/16/22
(33)
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
62
International
Developed
Markets
Fund
Foreign
Currency
Exchange
Contracts
Amounts
in
thousands
Counterparty
Amount
Sold
Amount
Bought
Settlement
Date
Unrealized
Appreciation
(Depreciation)
$
Bank
of
Montreal
CHF
1,274
USD
1,386
03/16/22
(15)
Citigroup
USD
3,361
AUD
4,697
03/16/22
58
Citigroup
USD
4,333
CAD
5,464
03/16/22
(14)
Citigroup
USD
834
DKK
5,470
03/16/22
4
Citigroup
USD
1,358
EUR
1,198
03/16/22
8
Citigroup
USD
1,134
GBP
859
03/16/22
29
Citigroup
USD
2,976
JPY
338,485
03/16/22
(31)
Citigroup
CHF
1,274
USD
1,384
03/16/22
(17)
JPMorgan
Chase
USD
3,361
AUD
4,697
03/16/22
56
JPMorgan
Chase
USD
4,334
CAD
5,464
03/16/22
(15)
JPMorgan
Chase
USD
833
DKK
5,470
03/16/22
6
JPMorgan
Chase
USD
1,357
EUR
1,198
03/16/22
9
JPMorgan
Chase
USD
1,135
GBP
859
03/16/22
28
JPMorgan
Chase
USD
2,974
JPY
338,485
03/16/22
(31)
JPMorgan
Chase
CHF
1,274
USD
1,383
03/16/22
(17)
Royal
Bank
of
Canada
USD
3,358
AUD
4,697
03/16/22
60
Royal
Bank
of
Canada
USD
4,329
CAD
5,464
03/16/22
(10)
Royal
Bank
of
Canada
USD
834
DKK
5,470
03/16/22
5
Royal
Bank
of
Canada
USD
1,358
EUR
1,198
03/16/22
8
Royal
Bank
of
Canada
USD
1,135
GBP
859
03/16/22
27
Royal
Bank
of
Canada
USD
2,976
JPY
338,485
03/16/22
(32)
Royal
Bank
of
Canada
CHF
1,274
USD
1,385
03/16/22
(16)
Standard
Chartered
USD
3,366
AUD
4,697
03/16/22
51
Standard
Chartered
USD
4,317
CAD
5,464
03/16/22
3
Standard
Chartered
USD
835
DKK
5,470
03/16/22
3
Standard
Chartered
USD
1,361
EUR
1,198
03/16/22
5
Standard
Chartered
USD
1,136
GBP
859
03/16/22
27
Standard
Chartered
USD
2,975
JPY
338,485
03/16/22
(31)
Standard
Chartered
CHF
1,274
USD
1,385
03/16/22
(16)
State
Street
USD
3,272
NOK
29,140
03/16/22
33
State
Street
USD
338
SEK
3,050
03/16/22
—
State
Street
HKD
2,630
USD
337
03/16/22
—
Total
Unrealized
Appreciation
(Depreciation)
on
Open
Foreign
Currency
Exchange
Contracts
222
Presentation
of
Portfolio
Holdings
Amounts
in
thousands
Fair
Value
Portfolio
Summary
Level
1
Level
2
Level
3
Practical
Expedient
(a)
Total
%
of
Net
Assets
Common
Stocks
Argentina
$
66
$
—
$
—
$
—
$
66
—
*
Australia
—
7,390
—
—
7,390
2.0
Austria
—
1,768
—
—
1,768
0.5
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
63
Presentation
of
Portfolio
Holdings
Amounts
in
thousands
Fair
Value
Portfolio
Summary
Level
1
Level
2
Level
3
Practical
Expedient
(a)
Total
%
of
Net
Assets
Belgium
—
1,721
—
—
1,721
0.5
Brazil
—
2,382
—
—
2,382
0.6
Burkina
Faso
213
—
—
—
213
0.1
Canada
16,781
—
—
—
16,781
4.4
China
2,147
3,723
—
—
5,870
1.6
Denmark
—
5,152
—
—
5,152
1.4
Finland
—
6,159
—
—
6,159
1.6
France
475
34,081
—
—
34,556
9.2
Germany
254
15,832
—
—
16,086
4.3
Hong
Kong
—
10,366
—
—
10,366
2.7
India
—
5,347
—
—
5,347
1.4
Indonesia
—
586
—
—
586
0.2
Ireland
4,763
4,305
—
—
9,068
2.4
Israel
166
413
—
—
579
0.
1
Italy
—
8,102
—
—
8,102
2.1
Japan
—
64,485
—
—
64,485
17.
1
Luxembourg
—
3,143
—
—
3,143
0.8
Macao
—
1,010
—
—
1,010
0.3
Malaysia
—
362
—
—
362
0.1
Mexico
2,295
—
—
—
2,295
0.6
Netherlands
—
19,255
—
—
19,255
5.1
New
Zealand
—
2,281
—
—
2,281
0.6
Norway
—
1,535
—
—
1,535
0.4
Russia
230
1,229
—
—
1,459
0.4
Singapore
—
1,582
—
—
1,582
0.4
South
Africa
168
635
—
—
803
0.2
South
Korea
697
5,099
—
—
5,796
1.5
Spain
—
7,724
—
—
7,724
2.
0
Sweden
—
7,584
—
—
7,584
2.0
Switzerland
—
32,877
—
—
32,877
8.7
Taiwan
3,421
7,147
—
—
10,568
2.8
Thailand
—
771
—
—
771
0.2
Turkey
—
373
—
—
373
0.1
United
Kingdom
655
41,456
—
—
42,111
11.2
United
States
8,742
706
—
—
9,448
2.5
Preferred
Stocks
—
7,296
—
—
7,296
2
.
0
Short-Term
Investments
—
—
—
12,139
12,139
3.2
Other
Securities
—
—
—
473
473
0.1
Total
Investments
41,073
313,877
—
12,612
367,562
97.
4
Other
Assets
and
Liabilities,
Net
2.
6
Russell
Investment
Funds
International
Developed
Markets
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
64
International
Developed
Markets
Fund
Presentation
of
Portfolio
Holdings
Amounts
in
thousands
Fair
Value
Portfolio
Summary
Level
1
Level
2
Level
3
Practical
Expedient
(a)
Total
%
of
Net
Assets
100.0
Other
Financial
Instruments
Assets
Futures
Contracts
1,
401
—
—
—
1,401
0.
4
Foreign
Currency
Exchange
Contracts
—
50
3
—
—
50
3
0.1
A
Liabilities
Futures
Contracts
(311)
—
—
—
(311)
(0.1)
Foreign
Currency
Exchange
Contracts
—
(281)
—
—
(281)
(0.1)
Total
Other
Financial
Instruments
**
$
1,
090
$
222
$
—
$
—
$
1,312
*
Less
than
0.05%
of
net
assets.
**
Futures
and
foreign
currency
exchange
contract
values
reflect
the
unrealized
appreciation
(depreciation)
on
the
investments.
(a)
Certain
investments
that
are
measured
at
fair
value
using
the
net
asset
value
per
share
(or
its
equivalent)
practical
expedient
have
not
been
classified
in
the
fair
value
levels.
The
fair
value
amounts
presented
in
the
table
are
intended
to
permit
reconciliation
to
the
amounts
presented
in
the
Schedule
of
Investments.
For
a
description
of
the
Levels,
see
note
2
in
the
Notes
to
Financial
Statements.
For
a
disclosure
on
transfers
into
and
out
of
Level
3
during
the
period
ended
December
31,
2021,
see
note
2
in
the
Notes
to
Financial
Statements.
Amounts
in
thousands
Sector
Exposure
Fair
Value
$
Common
Stocks
Consumer
Discretionary
..........................................................
51,225
Consumer
Staples
...................................................................
23,567
Energy
....................................................................................
17,724
Financial
Services
...................................................................
80,911
Health
Care
.............................................................................
30,277
Materials
and
Processing
........................................................
38,683
Producer
Durables
..................................................................
46,926
Technology
..............................................................................
42,037
Utilities
...................................................................................
16,304
Preferred
Stocks
Consumer
Discretionary
..........................................................
2,699
Consumer
Staples
...................................................................
150
Technology
..............................................................................
4,447
Short-Term
Investments
................................................................
12,139
Other
Securities
...........................................................................
473
Total
Investments
....................................................................
367,562
Russell
Investment
Funds
International
Developed
Markets
Fund
Fair
Value
of
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
65
Amounts
in
thousands
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Foreign
Currency
Contracts
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Unrealized
appreciation
on
foreign
currency
exchange
contracts
$
—
$
503
Variation
margin
on
futures
contracts*
1,401
—
Total
$
1,401
$
503
Location:
Statement
of
Assets
and
Liabilities
-
Liabilities
Variation
margin
on
futures
contracts*
$
311
$
—
Unrealized
depreciation
on
foreign
currency
exchange
contracts
—
281
Total
$
311
$
281
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Foreign
Currency
Contracts
Location:
Statement
of
Operations
-
Net
realized
gain
(loss)
Futures
contracts
$
5,962
$
—
Foreign
currency
exchange
contracts
—
(3,365)
Total
$
5,962
$
(3,365)
Location:
Statement
of
Operations
-
Net
change
in
unrealized
appreciation
(depreciation)
Futures
contracts
$
2,458
$
—
Foreign
currency
exchange
contracts
—
(802)
Total
$
2,458
$
(802)
*
Includes
cumulative
appreciation
(depreciation)
of
futures
contracts
as
reported
in
the
Schedule
of
Investments.
Only
variation
margin
is
reported
within
the
Statement
of
Assets
and
Liabilities.
For
further
disclosure
on
derivatives
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
International
Developed
Markets
Fund
Balance
Sheet
Offsetting
of
Financial
and
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
66
International
Developed
Markets
Fund
Amounts
in
thousands
Offsetting
of
Financial
Assets
and
Derivative
Assets
Description
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Gross
Amounts
of
Recognized
Assets
Gross
Amounts
Offset
in
the
Statement
of
Assets
and
Liabilities
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Securities
on
Loan*
Investments,
at
fair
value
$
454
$
—
$
454
Foreign
Currency
Exchange
Contracts
Unrealized
appreciation
on
foreign
currency
exchange
contracts
503
—
503
Total
Financial
and
Derivative
Assets
957
—
957
Financial
and
Derivative
Assets
not
subject
to
a
netting
agreement
—
—
—
Total
Financial
and
Derivative
Assets
subject
to
a
netting
agreement
$
957
$
—
$
957
Financial
Assets,
Derivative
Assets,
and
Collateral
Held
by
Counterparty
Gross
Amounts
Not
Offset
in
the
Statement
of
Assets
and
Liabilities
Counterparty
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Financial
and
Derivative
Instruments
Collateral
Received^
Net
Amount
Bank
of
Montreal
$
83
$
52
$
—
$
31
Barclays
229
—
229
—
Citigroup
325
64
224
37
JPMorgan
Chase
99
62
—
37
Royal
Bank
of
Canada
99
57
—
42
Standard
Chartered
89
46
—
43
State
Street
33
—
—
33
Total
$
957
$
28
1
$
453
$
22
3
Russell
Investment
Funds
International
Developed
Markets
Fund
Balance
Sheet
Offsetting
of
Financial
and
Derivative
Instruments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
67
Amounts
in
thousands
Offsetting
of
Financial
Liabilities
and
Derivative
Liabilities
Description
Location:
Statement
of
Assets
and
Liabilities
-
Liabilities
Gross
Amounts
of
Recognized
Liabilities
Gross
Amounts
Offset
in
the
Statement
of
Assets
and
Liabilities
Net
Amounts
of
Liabilities
Presented
in
the
Statement
of
Assets
and
Liabilities
Foreign
Currency
Exchange
Contracts
Unrealized
depreciation
on
foreign
currency
exchange
contracts
$
281
$
—
$
281
Total
Financial
and
Derivative
Liabilities
281
—
281
Financial
and
Derivative
Liabilities
not
subject
to
a
netting
agreement
—
—
—
Total
Financial
and
Derivative
Liabilities
subject
to
a
netting
agreement
$
281
$
—
$
281
Financial
Liabilities,
Derivative
Liabilities,
and
Collateral
Pledged
by
Counterparty
Gross
Amounts
Not
Offset
in
the
Statement
of
Assets
and
Liabilities
Counterparty
Net
Amounts
of
Liabilities
Presented
in
the
Statement
of
Assets
and
Liabilities
Financial
and
Derivative
Instruments
Collateral
Pledged^
Net
Amount
Bank
of
Montreal
$
52
$
52
$
—
$
—
Citigroup
64
64
—
—
JPMorgan
Chase
62
62
—
—
Royal
Bank
of
Canada
57
57
—
—
Standard
Chartered
46
46
—
—
Total
$
281
$
281
$
—
$
—
*
Fair
value
of
securities
on
loan
as
reported
in
the
footnotes
to
the
Statement
of
Assets
and
Liabilities.
^ Collateral
received
or
pledged
amounts
may
not
reconcile
to
those
disclosed
in
the
Statement
of
Assets
and
Liabilities
due
to
the
inclusion
of
off-Balance
Sheet
collateral
and
adjustments
made
to
exclude
overcollateralization.
For
further
disclosure
on
derivatives
and
counterparty
risk
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
International
Developed
Markets
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
68
International
Developed
Markets
Fund
Statement
of
Assets
and
Liabilities
—
December
31,
2021
Amounts
in
thousands
Assets
Investments,
at
identified
cost
........................................................................................................................................................
$
332,360
Investments,
at
fair
value(*)(>)
......................................................................................................................................................
367,562
Foreign
currency
holdings(^)
.........................................................................................................................................................
1,524
Unrealized
appreciation
on
foreign
currency
exchange
contracts
...................................................................................................
503
Receivables:
Dividends
and
interest
.......................................................................................................................................................
301
Dividends
from
affiliated
funds
..........................................................................................................................................
1
Fund
shares
sold
................................................................................................................................................................
34
Foreign
capital
gains
taxes
recoverable
.............................................................................................................................
963
From
broker(a)
...................................................................................................................................................................
6,721
Variation
margin
on
futures
contracts
.................................................................................................................................
1,094
Total
assets
.................................................................................................................................................
378,703
Liabilities
Payables:
Fund
shares
redeemed
.......................................................................................................................................................
23
Accrued
fees
to
affiliates
....................................................................................................................................................
296
Other
accrued
expenses
.....................................................................................................................................................
156
Deferred
capital
gains
tax
liability
.....................................................................................................................................
11
Unrealized
depreciation
on
foreign
currency
exchange
contracts
...................................................................................................
281
Payable
upon
return
of
securities
loaned
.......................................................................................................................................
473
Total
liabilities
.............................................................................................................................................
1,240
Net
Assets
............................................................................................................................................................
$
377,463
Russell
Investment
Funds
International
Developed
Markets
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
69
Statement
of
Assets
and
Liabilities,
continued
—
December
31,
2021
Amounts
in
thousands
Net
Assets
Consist
of:
Total
distributable
earnings
(losses)
...............................................................................................................................................
$
34,768
Shares
of
beneficial
interest
...........................................................................................................................................................
306
Additional
paid-in
capital
..............................................................................................................................................................
342,389
Net
Assets
............................................................................................................................................................
$
377,463
Net
Asset
Value
,
offering
and
redemption
price
per
share:
Net
asset
value
per
share:
(#)
.........................................................................................................................................................
$
12.35
Net
assets
...............................................................................................................................................................................
$
377,463,206
Shares
outstanding
($.01
par
value)
.......................................................................................................................................
30,551,638
Amounts
in
thousands
(^)
Foreign
currency
holdings
-
cost
$
1,531
(*)
Securities
on
loan
included
in
investments
$
45
4
(>)
Investments
in
affiliates,
U.S.
Cash
Management
Fund
and
U.S.
Cash
Collateral
Fund
$
12,612
(a)
Receivable
from
Broker
for
Futures
$
6,721
(#)
Net
asset
value
per
share
equals
net
assets
divided
by
shares
of
beneficial
interest
outstanding.
Russell
Investment
Funds
International
Developed
Markets
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
70
International
Developed
Markets
Fund
Statement
of
Operations
—
For
the
Period
Ended
December
31,
2021
Amounts
in
thousands
Investment
Income
Dividends
..........................................................................................................................................................................
$
12,0
49
Dividends
from
affiliated
funds
.........................................................................................................................................
6
Securities
lending
income
(net)
.........................................................................................................................................
74
Less
foreign
taxes
withheld
...............................................................................................................................................
(1,224)
Total
investment
income
...............................................................................................................................................................
10,905
Expenses
Advisory
fees
....................................................................................................................................................................
3,507
Administrative
fees
...........................................................................................................................................................
195
Custodian
fees
...................................................................................................................................................................
132
Transfer
agent
fees
............................................................................................................................................................
17
Professional
fees
...............................................................................................................................................................
103
Trustees’
fees
....................................................................................................................................................................
16
Printing
fees
......................................................................................................................................................................
50
Proxy
fees
.........................................................................................................................................................................
18
Miscellaneous
...................................................................................................................................................................
6
Expenses
before
reductions
..............................................................................................................................................
4,044
Expense
reductions
...........................................................................................................................................................
(45)
Net
expenses
.................................................................................................................................................................................
3,999
Net
investment
income
(loss)
........................................................................................................................................................
6,906
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
on:
Investments
(net
of
deferred
tax
liability
for
foreign
capital
gains
taxes)
...........................................................................
30,770
Investments
in
affiliated
funds
..........................................................................................................................................
(1)
Futures
contracts
..............................................................................................................................................................
5,962
Foreign
currency
exchange
contracts
................................................................................................................................
(3,365)
Foreign
currency-related
transactions
...............................................................................................................................
124
Net
realized
gain
(loss)
..................................................................................................................................................................
33,490
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
(net
of
deferred
tax
liability
for
foreign
capital
gains
taxes)
...........................................................................
6,686
Investments
in
affiliated
funds
..........................................................................................................................................
(1)
Futures
contracts
..............................................................................................................................................................
2,458
Foreign
currency
exchange
contracts
................................................................................................................................
(802)
Foreign
currency-related
transactions
...............................................................................................................................
(143)
Net
change
in
unrealized
appreciation
(depreciation)
...................................................................................................................
8,198
Net
realized
and
unrealized
gain
(loss)
.........................................................................................................................................
41,688
Net
Increase
(Decrease)
in
Net
Assets
from
Operations
..........................................................................................
$
48,594
Russell
Investment
Funds
International
Developed
Markets
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
71
Statements
of
Changes
in
Net
Assets
For
the
Periods
Ended
December
31,
Amounts
in
thousands
2021
2020
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
(loss)
............................................................................................................
$
6,906
$
4,067
Net
realized
gain
(loss)
......................................................................................................................
33,490
8,875
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
8,198
5,697
Net
increase
(decrease)
in
net
assets
from
operations
.............................................................................
48,594
18,639
Distributions
To
shareholders
.................................................................................................................................
(37,914)
(4,239)
Net
decrease
in
net
assets
from
distributions
..........................................................................................
(37,914)
(4,239)
Share
Transactions*
Net
increase
(decrease)
in
net
assets
from
share
transactions
.................................................................
(28,735)
(15,988)
Total
Net
Increase
(Decrease)
in
Net
Assets
..........................................................................
(18,055)
(1,588)
Net
Assets
Beginning
of
period
.................................................................................................................................
395,518
397,106
End
of
period
..........................................................................................................................................
$
377,463
$
395,518
*
Share
transaction
amounts
(in
thousands)
for
the
periods
ended
December
31,
2021
and
December
31,
2020
were
as
follows:
2021
2020
Shares
Dollars
Shares
Dollars
Proceeds
from
shares
sold
1,021
$
13,580
1,807
$
17,388
Proceeds
from
reinvestment
of
distributions
3,119
37,914
362
4,239
Payments
for
shares
redeemed
(6,056)
(80,229)
(3,587)
(37,615)
Total
increase
(decrease)
(1,916)
$
(28,735)
(1,418)
$
(15,988)
Russell
Investment
Funds
International
Developed
Markets
Fund
Financial
Highlights
—
For
the
Periods
Ended
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
72
International
Developed
Markets
Fund
For
a
Share
Outstanding
Throughout
Each
Period.
$
Net
Asset
Value,
Beginning
of
Period
$
Net
Investment
Income
(Loss)
(a)(b)
$
Net
Realized
and
Unrealized
Gain
(Loss)
$
Total
from
Investment
Operations
$
Distributions
from
Net
Investment
Income
$
Distributions
from
Net
Realized
Gain
December
31,
2021
12.18
.23
1.27
1.50
(.33)
(1.00)
December
31,
2020
11.72
.12
.47
.59
(.13)
—
December
31,
2019
10.04
.22
1.76
1.98
(.30)
—
December
31,
2018
13.12
.22
(2.11)
(1.89)
(.22)
(.97)
December
31,
2017
11.15
.19
2.58
2.77
(.34)
(.46)
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
International
Developed
Markets
Fund
73
$
Total
Distributions
$
Net
Asset
Value,
End
of
Period
%
Total
Return
(d)
$
Net
Assets,
End
of
Period
(000)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Gross
%
Ratio
of
Expenses
to
Average
Net
Assets,
Net
(b)
%
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
(b)
%
Portfolio
Turnover
Rate
(1.33)
12.35
12.66
377,463
1.04
1.03
1.78
32
(.13)
12.18
5.08
395,518
1.06
1.06
1.17
59
(.30)
11.72
19.72
397,106
1.06
1.06
2.03
72
(1.19)
10.04
(14.87)
357,596
1.08
1.08
1.76
65
(.80)
13.12
24.98
436,310
1.08
1.08
1.59
117
Russell
Investment
Funds
International
Developed
Markets
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
74
International
Developed
Markets
Fund
Related
Party
Transactions,
Fees
and
Expenses
Accrued
fees
payable
to
affiliates
for
the
period
ended
December
31,
2021
were
as
follows:
Transactions
(amounts
in
thousands)
during
the
period
ended
December
31,
2021
with
Underlying
Funds
which
are,
or
were,
an
affiliated
company
are
as
follows:
Federal
Income
Taxes
At
December
31,
2021,
the
cost
of
investments
and
net
unrealized
appreciation
(depreciation),
undistributed
ordinary
income
and
undistributed
long-term
capital
gains
for
income
tax
purposes
were
as
follows:
For
the
fiscal
years
ended
December
31,
2021
and
December
31,
2020
respectively,
the
Fund
made
the
following
tax
basis
distributions:
Net
investment
income
and
net
realized
gains
(losses)
in
the
financial
statements
may
differ
from
taxable
net
investment
income
and
net
realized
gains
(losses).
Capital
accounts
within
the
financial
statements
are
adjusted
for
permanent
book-tax
differences.
Book-tax
differences
are
primarily
due
to
foreign
currency
gains
and
losses,
reclassifications
of
dividends,
differences
in
treatment
of
income
from
swaps,
net
operating
losses,
investments
in
partnerships,
investments
in
passive
foreign
investment
companies
(PFICs),
tax
straddle
transaction,
use
of
tax
equalization
and
foreign
capital
gains
taxes.
These
adjustments
have
no
impact
on
the
net
assets.
At
December
31,
2021,
there
were
no
adjustments
to
the
Statement
of
Assets
and
Liabilities.
Advisory
fees
$
276,564
Administration
fees
15,714
Transfer
agent
fees
1,382
Trustee
fees
1,904
$
295,564
Fair
Value,
Beginning
of
Period
Purchases
Sales
Realized
Gain
(Loss)
Change
in
Unrealized
Gain
(Loss)
Fair
Value,
End
of
Period
Income
Distributions
Capital
Gains
Distributions
U.S.
Cash
Management
Fund
$
9,583
$
158,898
$
156,340
$
(1
)
$
(1
)
$
12,139
$
6
$
—
U.S.
Cash
Collateral
Fund
601
23,468
23,596
—
—
473
—
—
$
10,184
$
182,366
$
179,936
$
(1
)
$
(1
)
$
12,612
$
6
$
—
Cost
of
Investments
Unrealized
Appreciation
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
(Capital
Loss
Carryforward)
$
336,858,168
$
52,289,110
$
(20,482,636)
$
31,806,474
$
342,967
$
2,621,391
December
31,
2021
December
31,
2020
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
$
30,003,070
$
7,911,279
$
—
$
4,238,968
$
—
$
—
Russell
Investment
Funds
Strategic
Bond
Fund
Portfolio
Management
Discussion
and
Analysis
—
December
31,
2021
(Unaudited)
Strategic
Bond
Fund
75
Strategic
Bond
Fund
Total
Return
1
Year
(1
.82)%
5
Years
3
.67%§
10
Years
3
.34%§
Bloomberg
U.S.
Aggregate
Bond
Index**
Total
Return
1
Year
(1
.54)%
5
Years
3
.57%§
10
Years
2
.90%§
Russell
Investment
Funds
Strategic
Bond
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
76
Strategic
Bond
Fund
The
Strategic
Bond
Fund
(the
“Fund”)
employs
a
multi-manager
approach
whereby
portions
of
the
Fund
are
allocated
to
different
money
manager
strategies.
Fund
assets
not
allocated
to
money
managers
are
managed
by
Russell
Investment
Management,
LLC
(“RIM”),
the
Fund’s
advisor.
RIM
may
change
the
allocation
of
the
Fund’s
assets
among
money
managers
at
any
time.
An
exemptive
order
from
the
Securities
and
Exchange
Commission
permits
RIM
to
engage
or
terminate
a
money
manager
at
any
time,
subject
to
approval
by
the
Fund’s
Board,
without
a
shareholder
vote.
Pursuant
to
the
terms
of
the
exemptive
order,
the
Fund
is
required
to
notify
its
shareholders
within
90
days
of
when
a
money
manager
begins
providing
services.
As
of
December
31,
2021,
the
Fund
had
three
money
managers.
What
is
the
Fund’s
investment
objective?
The
Fund
seeks
to
provide
total
return.
How
did
the
Fund
perform
relative
to
its
benchmark
for
the
fiscal
year
ended
December
31,
2021?
For
the
fiscal
year
ended
December
31,
2021
(the
“fiscal
year”),
the
Fund
lost
1.82%.
This
is
compared
to
the
Fund’s
benchmark,
the
Bloomberg
U.S.
Aggregate
Bond
Index,
which
lost
1.54%
during
the
same
fiscal
year.
The
Fund’s
performance
includes
operating
expenses,
whereas
index
returns
are
unmanaged
and
do
not
include
expenses
of
any
kind.
For
the
fiscal
year,
the
Morningstar
®
Insurance
Intermediate
Core
Bond
Category,
a
group
of
funds
that
Morningstar
considers
to
have
investment
strategies
similar
to
those
of
the
Fund,
lost
1.73%.
This
result
serves
as
a
peer
comparison
and
is
expressed
net
of
operating
expenses.
RIM
may
assign
a
money
manager
a
benchmark
other
than
the
Fund’s
index
(a
“RIM-assigned
benchmark”).
However,
the
Fund’s
primary
index
remains
the
benchmark
for
the
Fund
and
is
intended
to
be
representative
of
each
money
manager’s
benchmark
index.
How
did
market
conditions
affect
the
Fund’s
performance?
The
fiscal
year
began
with
risk
markets
positively
impacted
by
relaxed
central
bank
monetary
policy,
sizeable
fiscal
stimulus,
and
continued
distribution
of
COVID-19
vaccines.
Market
sentiment
shifted
in
the
fourth
quarter
of
2021
with
the
introduction
of
a
new
COVID-19
variant
and
the
Federal
Reserve
Bank’s
plan
for
accelerated
tapering
of
asset
purchases.
Credit
spreads
tightened
to
near
historic
lows
during
the
fiscal
year,
but
ended
the
fiscal
year
modestly
tighter
than
the
prior
year,
which
had
a
positive
impact
on
Fund
performance.
The
Fund
was
negatively
impacted
by
interest
rates
increasing
over
the
fiscal
year,
which
occurred
in
conjunction
with
rising
inflation
rates.
As
the
U.S.
economy
faced
cash
strapped
consumers,
labor
shortages,
and
supply
constraints,
the
U.S.
Urban
Consumer
Price
Index
reached
a
6.8%
year-over-
year
increase,
the
highest
in
nearly
four
decades
and
significantly
higher
than
the
Federal
Reserve
Bank’s
2%
inflation
target.
The
Fund’s
exposure
to
spread
sectors
was
a
positive
during
the
fiscal
year
as
credit
spreads
tightened
modestly.
The
Bloomberg
U.S.
Corporate
Bond
Index
posted
a
total
return
of
-1.04%
for
the
fiscal
year,
above
equivalent
duration
treasuries.
The
Bloomberg
U.S.
Corporate
High
Yield
Index
performed
well,
posting
total
returns
of
5.28%
for
the
fiscal
year.
U.S.
Treasuries
performed
poorly
over
the
fiscal
year
as
yields
rose;
the
10-year
Treasury
yield
began
the
fiscal
year
at
0.91%
and
ended
the
fiscal
year
at
1.51%.
How
did
the
investment
strategies
and
techniques
employed
by
the
Fund
and
its
money
managers
affect
its
benchmark
relative
performance?
The
Fund
was
generally
positioned
long
duration
during
the
fiscal
year,
which
detracted
from
performance
as
interest
rates
rose.
The
Fund
generally
carried
greater
credit
risk
than
the
benchmark.
The
Fund
was
underweight
investment
grade
credit
and
treasuries
and
remained
marginally
overweight
to
high
yield
corporates
and
emerging
market
debt.
The
selection
and
rotation
of
strategies
within
credit
was
a
positive
contributor
to
performance.
RIM’s
investment
grade
value
strategy
contributed
positively
to
the
Fund’s
performance.
The
Fund
employs
discretionary
money
managers.
The
Fund’s
discretionary
money
managers
select
the
individual
portfolio
securities
for
the
assets
assigned
to
them.
RIM
manages
assets
not
allocated
to
money
manager
strategies
and
the
Fund’s
cash
balances.
With
respect
to
the
Fund’s
money
managers,
Western
Asset
Management
Company
and
Western
Asset
Management
Company
Limited
(“Western”)
outperformed
both
the
Fund’s
benchmark
and
its
RIM-assigned
benchmark.
Western’s
bias
toward
corporate
bonds,
and
strong
sector
and
issue
selection
drove
performance.
BlueBay
Asset
Management
(“BlueBay”)
outperformed
the
Fund’s
benchmark
during
the
fiscal
year.
BlueBay’s
tactical
rotation
around
duration
contributed
positively
to
performance.
Schroder
Investment
Management
(“Schroder”)
outperformed
the
Fund’s
benchmark
and
its
RIM-assigned
benchmark
during
the
fiscal
year.
Schroder’s
bias
toward
non-agency
MBS,
CLO
and
CMBS
as
well
as
maintaining
a
minimum
mandated
exposure
to
agency
MBS
contributed
positively
to
performance.
During
the
fiscal
year,
RIM
managed
multiple
positioning
strategies
to
seek
to
achieve
the
desired
risk/return
profile
for
the
Fund.
RIM’s
U.S.
Investment
Grade
Intelligent
Credit
positioning
strategy,
which
screens
securities
based
on
value
within
the
Bloomberg
U.S.
Corporate
Bond
Index
and
purchases
physical
Russell
Investment
Funds
Strategic
Bond
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
Strategic
Bond
Fund
77
bonds
that
RIM
believes
to
be
undervalued,
outperformed
the
Fund’s
benchmark.
The
strategy
benefited
from
strong
security
selection
and
general
spread
tightening
over
the
fiscal
year.
RIM’s
U.S.
Government
positioning
strategy,
which
seeks
to
provide
exposure
to
securities
issued
by
the
U.S.
government,
performed
in-line
with
the
Fund’s
benchmark.
RIM
also
managed
Currency
Factors
and
Rates
Factors
strategies,
which
seek
to
generate
active
returns
through
currency
and
international
rates
positioning,
respectively,
and
utilize
long
and
short
positions
in
global
government
bond
futures
and
currency
forward
contracts.
The
Fund’s
Currency
Factors
strategy
contributed
positively
to
performance,
while
the
Rates
Factors
strategy
detracted
from
performance.
During
the
fiscal
year,
RIM
also
implemented
tactical
positioning
strategies
through
the
use
of
derivatives.
These
positioning
strategies
contributed
positively
to
Fund
performance
during
the
fiscal
year,
including
in
particular
as
a
result
of
interest
rate
derivatives,
which
RIM
used
to
extend
duration
throughout
the
fiscal
year.
RIM
also
utilized
credit
default
swaps
to
reduce
credit
risk
at
certain
times
during
the
fiscal
year.
Describe
any
changes
to
the
Fund’s
structure
or
the
money
manager
line-up.
In
January
2021,
Western
Asset
Management
Company
and
Western
Asset
Management
Company
Limited’s
mandate
changed
to
an
investment
grade
credit
strategy.
In
March
2021,
Colchester
Global
Investors
Limited
was
terminated.
The
views
expressed
in
this
report
reflect
those
of
the
portfolio
managers
only
through
the
end
of
the
fiscal
year
covered
by
the
report.
These
views
do
not
necessarily
represent
the
views
of
RIM,
or
any
other
person
in
RIM
or
any
other
affiliated
organization.
These
views
are
subject
to
change
at
any
time
based
upon
market
conditions
or
other
events,
and
RIM
disclaims
any
responsibility
to
update
the
views
contained
herein.
These
views
should
not
be
relied
on
as
investment
advice
and,
because
investment
decisions
for
a
Russell
Investment
Funds
(“RIF”)
Fund
are
based
on
numerous
factors,
should
not
be
relied
on
as
an
indication
of
investment
decisions
of
any
RIF
Fund.
Money
Managers
as
of
December
31,
2021
Styles
BlueBay
Asset
Management
LLP
Sector
Specialist
Schroder
Investment
Management
North
America
Inc.
Sector
Specialist
Western
Asset
Management
Company
and
Western
Asset
Management
Company
Limited
Sector
Specialist
*
Assumes
initial
investment
on
January
1,
2012.
**
The
Bloomberg
U.S.
Aggregate
Bond
Index
is
an
index,
with
income
reinvested,
generally
representative
of
intermediate-term
government
bonds,
investment-
grade
corporate
debt
securities
and
mortgage-backed
securities.
§
Annualized.
The
performance
shown
in
this
section
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Performance
is
historical
and
assumes
reinvestment
of
all
dividends
and
capital
gains.
Investment
return
and
principal
value
will
fluctuate
so
that
an
investor’s
shares,
when
redeemed,
may
be
worth
more
or
less
than
when
purchased.
Past
performance
is
not
indicative
of
future
results.
Additionally,
the
returns
presented
herein
may
differ
from
the
performance
reported
in
the
Financial
Highlights
as
the
returns
herein
are
calculated
in
a
manner
consistent
with
standardized
performance
in
accordance
with
Securities
and
Exchange
Commission
rules,
while
the
performance
in
the
Financial
Highlights
has
been
calculated
in
accordance
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”).
Russell
Investment
Funds
Strategic
Bond
Fund
Shareholder
Expense
Example
—
December
31,
2021
(Unaudited)
78
Strategic
Bond
Fund
Fund
Expenses
The
following
disclosure
provides
important
information
regarding
the
Fund’s
Shareholder
Expense
Example
(“Example”).
Example
As
a
shareholder
of
the
Fund,
you
incur
two
types
of
costs:
(1)
transaction
costs,
and
(2)
ongoing
costs,
including
advisory
and
administrative
fees
and
other
Fund
expenses.
The
Example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
Fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
indicated,
which
for
this
Fund
is
from
July
1,
2021
to
December
31,
2021
.
Actual
Expenses
The
information
in
the
table
under
the
heading
“Actual
Performance”
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
column,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
column
in
the
row
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
in
the
table
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
the
Fund’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
Fund’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
the
Fund
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
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.
Therefore,
the
information
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
In
addition,
if
these
transactional
costs
were
included,
your
costs
would
have
been
higher.
The
fees
and
expenses
shown
in
this
on
do
not
reflect
any
Insurance
Company
Separate
Account
Policy
Charges.
Actual
Performance
Hypothetical
Performance
(5%
return
before
expenses)
Beginning
Account
Value
July
1,
2021
$
1,000.00
$
1,000.00
Ending
Account
Value
December
31,
2021
$
995.20
$
1,021.8
8
Expenses
Paid
During
Period*
$
3.32
$
3.36
*
Expenses
are
equal
to
the
Fund's
annualized
expense
ratio
of
0.66%
(representing
the
six
month
period
annualized),
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(to
reflect
the
one-half
year
period).
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
79
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Long-Term
Investments
-
84.9%
Asset-Backed
Securities
-
2.5%
Amur
Equipment
Finance
Receivables
IX
LLC
Series
2021-1A
Class
C
1.750%
due
06/21/27
(Þ)
735
726
Carlyle
Global
Market
Strategies
CLO,
Ltd.
Series
2021-4A
Class
A1R3
1.208%
due
04/22/32
(USD
3
Month
LIBOR
+
1.080%)(Ê)(Þ)
2,298
2,296
CLI
Funding
VI
LLC
Series
2020-3A
Class
A
2.070%
due
10/18/45
(Þ)
1,462
1,451
Conseco
Financial
Corp.
Series
1998-2
Class
M1
6.940%
due
12/01/28
(~)(Ê)
920
929
Countrywide
Asset-Backed
Certificates
Trust
Series
2007-4
Class
A4W
4.640%
due
04/25/47
1,514
1,569
FNA
VI
LLC
Series
2021-1A
Class
A
1.350%
due
01/10/32
(~)(Ê)(Š)(Þ)
648
632
Goldentree
Loan
Management
US
CLO
7,
Ltd.
Series
2021-7A
Class
AR
1.202%
due
04/20/34
(USD
3
Month
LIBOR
+
1.070%)(Ê)(Þ)
1,147
1,143
GoodLeap
Sustainable
Home
Improvements
Series
2021-5CS
Class
A
2.310%
due
10/20/48
(Þ)
1,126
1,123
Greenpoint
Manufactured
Housing
Contract
Trust
Series
2000-4
Class
A3
2.190%
due
08/21/31
(USD
1
Month
LIBOR
+
2.000%)(Ê)
625
626
Madison
Park
Funding
XXI,
Ltd.
1.061%
due
10/21/30
1,922
1,921
Octane
Receivables
Trust
Series
2021-2A
Class
A
1.210%
due
09/20/28
(Þ)
1,823
1,813
OneMain
Financial
Issuance
Trust
Series
2019-2A
Class
A
3.140%
due
10/14/36
(Þ)
500
526
Series
2020-1A
Class
A
3.840%
due
05/14/32
(Þ)
1,242
1,270
Option
One
Mortgage
Loan
Trust
Series
2007-FXD1
Class
3A4
5.860%
due
01/25/37
(~)(Ê)
518
519
Prodigy
Finance
Designated
Activity
Co.
Series
2021-1A
Class
A
1.352%
due
07/25/51
1,026
1,026
SpringCastle
America
Funding
LLC
Series
2020-AA
Class
A
1.970%
due
09/25/37
(Þ)
3,762
3,743
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
TAL
Advantage
VII
LLC
Series
2020-1A
Class
A
2.050%
due
09/20/45
(Þ)
1,963
1,948
Towd
Point
Mortgage
Trust
Series
2020-MH1
Class
A1
2.250%
due
02/25/60
(~)(Ê)(Þ)
2,305
2,305
25,566
Corporate
Bonds
and
Notes
-
19.8%
3M
Co.
3.700%
due
04/15/50
30
35
Abbott
Laboratories
4.750%
due
11/30/36
824
1,051
4.900%
due
11/30/46
90
123
AbbVie,
Inc.
3.600%
due
05/14/25
60
64
Series
WI
2.600%
due
11/21/24
440
457
3.800%
due
03/15/25
60
64
2.950%
due
11/21/26
670
706
3.200%
due
11/21/29
770
823
4.550%
due
03/15/35
10
12
4.050%
due
11/21/39
710
815
4.250%
due
11/21/49
60
72
Air
Lease
Corp.
0.700%
due
02/15/24
570
561
3.375%
due
07/01/25
480
501
1.875%
due
08/15/26
350
344
Alexandria
Real
Estate
Equities,
Inc.
2.000%
due
05/18/32
210
201
3.000%
due
05/18/51
150
148
Ally
Financial,
Inc.
8.000%
due
11/01/31
554
761
Alphabet,
Inc.
1.900%
due
08/15/40
130
118
2.050%
due
08/15/50
40
36
2.250%
due
08/15/60
80
71
Altria
Group,
Inc.
4.400%
due
02/14/26
222
245
2.450%
due
02/04/32
560
532
10.200%
due
02/06/39
22
37
3.400%
due
02/04/41
460
424
5.375%
due
01/31/44
643
742
3.875%
due
09/16/46
70
68
Amazon.com,
Inc.
1.200%
due
06/03/27
190
187
2.100%
due
05/12/31
350
355
2.500%
due
06/03/50
140
133
3.100%
due
05/12/51
210
224
Series
WI
2.800%
due
08/22/24
891
933
3.875%
due
08/22/37
50
59
Ambac
Assurance
Corp.
5.100%
due
12/31/99
(Þ)
1
1
American
Airlines
Group,
Inc.
5.500%
due
04/20/26
(Þ)
160
166
5.750%
due
04/20/29
(Þ)
140
150
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
80
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
American
Express
Co.
2.500%
due
07/30/24
60
62
3.550%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.854%)(Ê)(ƒ)
80
80
American
International
Group,
Inc.
4.750%
due
04/01/48
70
89
American
Tower
Corp.
5.000%
due
02/15/24
805
866
American
Transmission
Systems,
Inc.
2.650%
due
01/15/32
(Þ)
190
192
Americo
Life,
Inc.
3.450%
due
04/15/31
(Þ)
70
68
AmFam
Holdings,
Inc.
2.805%
due
03/11/31
(Þ)
120
123
3.833%
due
03/11/51
(Þ)
100
110
Amgen,
Inc.
4.400%
due
05/01/45
100
119
Series
WI
4.663%
due
06/15/51
50
64
Andeavor
LLC
Series
WI
5.125%
due
12/15/26
225
249
Anthem,
Inc.
4.101%
due
03/01/28
50
55
4.375%
due
12/01/47
20
24
4.850%
due
08/15/54
783
1,016
Aon
Corp.
8.205%
due
01/01/27
172
216
Apache
Corp.
4.375%
due
10/15/28
50
54
4.750%
due
04/15/43
150
165
4.250%
due
01/15/44
120
122
Apple,
Inc.
4.500%
due
02/23/36
691
867
4.650%
due
02/23/46
100
131
2.650%
due
05/11/50
150
147
Ares
Capital
Corp.
3.250%
due
07/15/25
914
944
AT&T,
Inc.
3.800%
due
02/15/27
150
163
6.950%
due
01/15/28
450
559
1.650%
due
02/01/28
200
196
4.500%
due
05/15/35
150
173
3.100%
due
02/01/43
270
262
4.350%
due
06/15/45
26
29
3.300%
due
02/01/52
10
10
3.500%
due
02/01/61
220
216
Series
WI
4.450%
due
04/01/24
868
926
4.300%
due
02/15/30
70
79
2.550%
due
12/01/33
40
39
6.375%
due
03/01/41
30
42
3.500%
due
09/15/53
200
202
3.550%
due
09/15/55
83
83
3.800%
due
12/01/57
330
344
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Aviation
Capital
Group
LLC
3.875%
due
05/01/23
(Þ)
898
924
5.500%
due
12/15/24
(Þ)
170
186
Ball
Corp.
3.125%
due
09/15/31
230
227
Bank
of
America
Corp.
4.000%
due
01/22/25
45
48
4.271%
due
07/23/29
(USD
3
Month
LIBOR
+
1.310%)(Ê)
110
123
3.974%
due
02/07/30
(USD
3
Month
LIBOR
+
1.210%)(Ê)
500
551
2.884%
due
10/22/30
(USD
3
Month
LIBOR
+
1.190%)(Ê)
200
207
2.592%
due
04/29/31
(SOFR
+
2.150%)(Ê)
140
141
1.922%
due
10/24/31
(SOFR
+
1.370%)(Ê)
870
833
2.687%
due
04/22/32
(SOFR
+
1.320%)(Ê)
430
436
2.299%
due
07/21/32
(SOFR
+
1.220%)(Ê)
330
324
2.572%
due
10/20/32
(SOFR
+
1.210%)(Ê)
270
271
2.482%
due
09/21/36
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
1.200%)(Ê)
500
484
2.676%
due
06/19/41
(SOFR
+
1.930%)(Ê)
90
87
3.311%
due
04/22/42
(SOFR
+
1.580%)(Ê)
500
526
5.000%
due
01/21/44
555
729
4.330%
due
03/15/50
(USD
3
Month
LIBOR
+
1.520%)(Ê)
30
37
4.083%
due
03/20/51
(USD
3
Month
LIBOR
+
3.150%)(Ê)
330
397
Series
GMTN
4.450%
due
03/03/26
30
33
3.500%
due
04/19/26
80
86
Bank
of
America
NA
Series
BKNT
6.000%
due
10/15/36
734
1,006
BankUnited
,
Inc.
4.875%
due
11/17/25
280
308
Becton
Dickinson
and
Co.
3.363%
due
06/06/24
900
942
3.734%
due
12/15/24
188
200
4.685%
due
12/15/44
8
10
Bed
Bath
&
Beyond,
Inc.
3.749%
due
08/01/24
270
272
Berkshire
Hathaway
Energy
Co.
Series
WI
4.050%
due
04/15/25
699
756
Berkshire
Hathaway
Finance
Corp.
2.850%
due
10/15/50
1,044
1,029
Berkshire
Hathaway,
Inc.
3.125%
due
03/15/26
684
730
Berry
Global,
Inc.
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
81
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Series
WI
0.950%
due
02/15/24
949
940
Berry
Petroleum
Corp.
7.000%
due
02/15/26
(Þ)
490
485
BGC
Partners,
Inc.
Series
WI
5.375%
due
07/24/23
408
431
Blackstone
Holdings
Finance
Co.
LLC
4.750%
due
02/15/23
(Þ)
900
936
Boardwalk
Pipelines,
LP
4.800%
due
05/03/29
710
795
Boeing
Co.
(The)
4.875%
due
05/01/25
220
241
2.196%
due
02/04/26
870
870
3.100%
due
05/01/26
20
21
2.700%
due
02/01/27
40
41
2.800%
due
03/01/27
30
31
3.200%
due
03/01/29
120
124
5.150%
due
05/01/30
310
361
3.250%
due
02/01/35
160
161
5.705%
due
05/01/40
160
206
3.750%
due
02/01/50
210
218
5.805%
due
05/01/50
100
135
3.950%
due
08/01/59
290
301
Bon
Secours
Mercy
Health,
Inc.
3.464%
due
06/01/30
90
98
BP
Capital
Markets
America,
Inc.
3.410%
due
02/11/26
200
213
3.000%
due
02/24/50
860
847
Brighthouse
Financial,
Inc.
Series
WI
4.700%
due
06/22/47
263
289
Bristol-Myers
Squibb
Co.
2.350%
due
11/13/40
230
218
Series
WI
3.900%
due
02/20/28
380
424
3.400%
due
07/26/29
170
186
5.000%
due
08/15/45
171
227
Broadcom,
Inc.
3.187%
due
11/15/36
(Þ)
820
819
Series
WI
4.300%
due
11/15/32
320
360
Brown
&
Brown,
Inc.
4.200%
due
09/15/24
864
922
Burlington
Northern
Santa
Fe
LLC
4.400%
due
03/15/42
100
122
Cabot
Oil
&
Gas
Corp.
4.375%
due
06/01/24
(Þ)
150
159
3.900%
due
05/15/27
(Þ)
260
279
Cameron
LNG
LLC
3.701%
due
01/15/39
(Þ)
70
75
Capital
One
Financial
Corp.
3.500%
due
06/15/23
884
916
Carrier
Global
Corp.
Series
WI
3.577%
due
04/05/50
40
43
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
CC
Holdings
GS
V
LLC
/
Crown
Castle
GS
III
Corp.
3.849%
due
04/15/23
529
547
CCO
Holdings
LLC
/
CCO
Holdings
Capital
Corp.
5.125%
due
05/01/27
(Þ)
80
82
4.500%
due
08/15/30
(Þ)
10
10
Series
WI
4.500%
due
05/01/32
480
494
Centene
Corp.
Series
WI
4.250%
due
12/15/27
80
83
4.625%
due
12/15/29
270
291
3.375%
due
02/15/30
260
265
CenterPoint
Energy
Houston
Electric
LLC
4.500%
due
04/01/44
190
238
Charles
Schwab
Corp.
(The)
2.000%
due
03/20/28
140
142
Series
H
4.000%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
10
Year
+
3.079%)(Ê)(ƒ)
240
242
Charter
Communications
Operating
LLC
/
Charter
Communications
Operating
Capital
2.250%
due
01/15/29
410
400
5.050%
due
03/30/29
120
137
3.500%
due
06/01/41
150
146
3.500%
due
03/01/42
190
184
5.750%
due
04/01/48
350
436
3.850%
due
04/01/61
60
57
3.950%
due
06/30/62
170
164
Series
WI
4.908%
due
07/23/25
120
132
6.384%
due
10/23/35
20
26
6.484%
due
10/23/45
639
873
6.834%
due
10/23/55
20
29
Cheniere
Energy
Partners,
LP
3.250%
due
01/31/32
(Þ)
290
293
Chevron
Corp.
1.141%
due
05/11/23
939
944
2.954%
due
05/16/26
70
74
3.078%
due
05/11/50
10
11
2.343%
due
08/12/50
130
120
CHS/Community
Health
Systems,
Inc.
6.875%
due
04/15/29
(Þ)
140
143
Cigna
Corp.
2.400%
due
03/15/30
110
111
3.200%
due
03/15/40
490
508
Series
WI
4.375%
due
10/15/28
460
523
4.800%
due
08/15/38
220
271
6.125%
due
11/15/41
335
483
Cimarex
Energy
Co.
4.375%
due
03/15/29
130
138
Cintas
Corp.
No.
2
3.700%
due
04/01/27
70
77
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
82
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Cisco
Systems,
Inc.
3.625%
due
03/04/24
832
883
CIT
Bank
NA
Series
BKNT
2.969%
due
09/27/25
(SOFR
+
1.715%)(Ê)
812
836
Citigroup,
Inc.
3.106%
due
04/08/26
(SOFR
+
2.842%)(Ê)
100
105
2.976%
due
11/05/30
(SOFR
+
1.422%)(Ê)
400
415
2.572%
due
06/03/31
(SOFR
+
2.107%)(Ê)
220
222
2.561%
due
05/01/32
(SOFR
+
1.167%)(Ê)
920
925
2.520%
due
11/03/32
(SOFR
+
1.177%)(Ê)
330
330
8.125%
due
07/15/39
370
626
4.650%
due
07/23/48
838
1,076
Series
Y
4.150%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.000%)(Ê)(ƒ)
230
234
Clorox
Co.
(The)
1.800%
due
05/15/30
220
213
CNH
Industrial
Capital
LLC
1.950%
due
07/02/23
941
953
Coca-Cola
Co.
(The)
1.450%
due
06/01/27
945
939
1.375%
due
03/15/31
90
85
4.125%
due
03/25/40
120
142
2.500%
due
06/01/40
10
10
Comcast
Corp.
3.700%
due
04/15/24
901
957
4.150%
due
10/15/28
110
125
4.250%
due
10/15/30
120
138
7.050%
due
03/15/33
150
216
6.500%
due
11/15/35
19
27
3.250%
due
11/01/39
10
11
3.750%
due
04/01/40
10
11
3.400%
due
07/15/46
20
21
4.000%
due
03/01/48
80
92
2.887%
due
11/01/51
(Þ)
364
352
2.937%
due
11/01/56
(Þ)
30
29
2.987%
due
11/01/63
(Þ)
117
111
CommonSpirit
Health
2.782%
due
10/01/30
80
82
3.910%
due
10/01/50
90
100
Commonwealth
Edison
Co.
6.450%
due
01/15/38
120
173
Comstock
Resources,
Inc.
5.875%
due
01/15/30
(Þ)
330
338
ConocoPhillips
Co.
3.750%
due
10/01/27
(Þ)
90
99
Constellation
Brands,
Inc.
4.250%
due
05/01/23
892
930
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
4.750%
due
11/15/24
40
44
Consumers
Energy
Co.
2.500%
due
05/01/60
110
97
Continental
Resources,
Inc.
4.500%
due
04/15/23
120
124
2.268%
due
11/15/26
(Þ)
80
79
2.875%
due
04/01/32
(Þ)
120
117
Series
WI
4.375%
due
01/15/28
260
281
Corning,
Inc.
3.900%
due
11/15/49
100
112
Costco
Wholesale
Corp.
2.750%
due
05/18/24
904
939
1.600%
due
04/20/30
120
116
Coterra
Energy,
Inc.
4.375%
due
03/15/29
(Þ)
330
369
Covey
Park
Energy
LLC
7.500%
due
05/15/25
(Þ)
180
186
Crown
Castle
International
Corp.
5.200%
due
02/15/49
792
1,016
CVS
Health
Corp.
2.625%
due
08/15/24
70
72
3.625%
due
04/01/27
40
43
4.300%
due
03/25/28
101
113
3.250%
due
08/15/29
70
75
3.750%
due
04/01/30
110
121
2.125%
due
09/15/31
200
196
4.780%
due
03/25/38
260
316
4.125%
due
04/01/40
40
46
2.700%
due
08/21/40
310
299
5.050%
due
03/25/48
385
503
CyrusOne
,
LP
/
CyrusOne
Finance
Corp.
2.900%
due
11/15/24
915
944
Danaher
Corp.
2.800%
due
12/10/51
120
118
DCP
Midstream
Operating,
LP
3.250%
due
02/15/32
110
111
6.450%
due
11/03/36
(Þ)
50
65
Series
A
7.375%
due
12/31/99
(USD
3
Month
LIBOR
+
5.148%)(Ê)(ƒ)
80
79
Deere
&
Co.
3.750%
due
04/15/50
40
47
Dell
International
LLC
/
EMC
Corp.
Series
WI
8.100%
due
07/15/36
65
99
8.350%
due
07/15/46
8
13
Delta
Air
Lines,
Inc.
3.800%
due
04/19/23
30
31
7.000%
due
05/01/25
(Þ)
280
320
4.500%
due
10/20/25
(Þ)
180
189
7.375%
due
01/15/26
110
130
4.750%
due
10/20/28
(Þ)
300
328
3.750%
due
10/28/29
30
31
Devon
Energy
Corp.
5.850%
due
12/15/25
140
160
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
83
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
5.600%
due
07/15/41
100
125
4.750%
due
05/15/42
170
197
5.000%
due
06/15/45
410
496
Series
WI
5.250%
due
10/15/27
19
20
5.875%
due
06/15/28
153
166
4.500%
due
01/15/30
220
236
DH
Europe
Finance
II
SARL
3.400%
due
11/15/49
684
733
Diamondback
Energy,
Inc.
3.500%
due
12/01/29
340
361
4.400%
due
03/24/51
160
183
DISH
DBS
Corp.
5.750%
due
12/01/28
(Þ)
150
152
Series
WI
7.750%
due
07/01/26
10
11
Dollar
General
Corp.
3.250%
due
04/15/23
920
942
Dominion
Energy,
Inc.
Series
C
3.375%
due
04/01/30
80
85
DR
Horton,
Inc.
2.500%
due
10/15/24
280
288
Duke
Energy
Carolinas
LLC
6.100%
due
06/01/37
190
258
4.000%
due
09/30/42
100
115
Duke
Energy
Indiana
LLC
Series
YYY
3.250%
due
10/01/49
80
83
DuPont
de
Nemours,
Inc.
4.205%
due
11/15/23
888
939
Eaton
Corp.
4.150%
due
11/02/42
20
23
eBay,
Inc.
2.600%
due
05/10/31
70
71
Edison
International
4.950%
due
04/15/25
160
174
4.125%
due
03/15/28
718
758
Series
A
5.375%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.698%)(Ê)(ƒ)
220
230
Series
B
5.000%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.901%)(Ê)(ƒ)
110
112
El
Paso
Natural
Gas
Co.
LLC
7.500%
due
11/15/26
350
425
Enbridge
Energy
Partners,
LP
7.375%
due
10/15/45
484
755
Energy
Transfer
Operating,
LP
5.875%
due
01/15/24
653
703
7.600%
due
02/01/24
50
55
4.500%
due
04/15/24
290
307
2.900%
due
05/15/25
30
31
5.250%
due
04/15/29
30
34
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
3.750%
due
05/15/30
140
148
6.125%
due
12/15/45
60
75
6.250%
due
04/15/49
30
39
Series
10Y
4.950%
due
06/15/28
40
45
Series
H
6.500%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.694%)(Ê)(ƒ)
360
366
Energy
Transfer,
LP
5.500%
due
06/01/27
280
319
6.625%
due
12/31/99
(USD
3
Month
LIBOR
+
4.155%)(Ê)(ƒ)
110
104
6.750%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.134%)(Ê)(ƒ)
280
280
7.125%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.306%)(Ê)(ƒ)
520
528
EnLink
Midstream
LLC
5.625%
due
01/15/28
(Þ)
280
291
Enterprise
Products
Operating
LLC
3.900%
due
02/15/24
30
31
4.150%
due
10/16/28
150
168
2.800%
due
01/31/30
100
104
7.550%
due
04/15/38
20
30
5.700%
due
02/15/42
40
52
4.850%
due
03/15/44
60
72
3.700%
due
01/31/51
140
147
3.300%
due
02/15/53
160
159
3.950%
due
01/31/60
160
173
5.375%
due
02/15/78
(USD
3
Month
LIBOR
+
2.570%)(Ê)
330
331
Series
D
6.875%
due
03/01/33
844
1,140
EOG
Resources,
Inc.
4.150%
due
01/15/26
40
44
4.375%
due
04/15/30
190
220
4.950%
due
04/15/50
50
68
EQT
Corp.
3.125%
due
05/15/26
(Þ)
30
31
3.900%
due
10/01/27
160
172
5.000%
due
01/15/29
10
11
7.000%
due
02/01/30
100
129
3.625%
due
05/15/31
(Þ)
30
31
Equifax,
Inc.
2.350%
due
09/15/31
620
612
Equities
Corp.
6.125%
due
02/01/25
10
11
Essex
Portfolio,
LP
3.250%
due
05/01/23
912
934
Exelon
Corp.
Series
WI
3.950%
due
06/15/25
489
522
Exelon
Generation
Co.
LLC
5.600%
due
06/15/42
615
727
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
84
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Exxon
Mobil
Corp.
1.571%
due
04/15/23
934
945
3.482%
due
03/19/30
120
131
4.227%
due
03/19/40
230
272
4.114%
due
03/01/46
40
47
4.327%
due
03/19/50
10
12
3.452%
due
04/15/51
50
54
Fiat
Chrysler
Automobiles
NV
Series
WI
5.250%
due
04/15/23
877
920
Fidelity
&
Guaranty
Life
Holdings,
Inc.
5.500%
due
05/01/25
(Þ)
50
56
First
Horizon
Corp.
3.550%
due
05/26/23
898
925
FirstEnergy
Corp.
Series
B
4.250%
due
03/15/23
100
104
3.900%
due
07/15/27
180
194
Series
C
7.375%
due
11/15/31
240
324
4.850%
due
07/15/47
50
59
Florida
Gas
Transmission
Co.
LLC
2.300%
due
10/01/31
(Þ)
520
509
Florida
Power
&
Light
Co.
3.150%
due
10/01/49
40
42
Ford
Motor
Co.
3.250%
due
02/12/32
290
297
Ford
Motor
Credit
Co.
LLC
2.700%
due
08/10/26
400
404
4.000%
due
11/13/30
200
215
Fortinet,
Inc.
2.200%
due
03/15/31
300
294
Fox
Corp.
Series
WI
5.476%
due
01/25/39
130
168
FS
KKR
Capital
Corp.
3.400%
due
01/15/26
921
935
General
Dynamics
Corp.
3.625%
due
04/01/30
100
111
4.250%
due
04/01/40
220
269
4.250%
due
04/01/50
60
77
General
Electric
Co.
Series
MTNA
6.750%
due
03/15/32
334
455
General
Mills,
Inc.
3.700%
due
10/17/23
444
465
General
Motors
Co.
4.875%
due
10/02/23
671
713
5.400%
due
10/02/23
40
43
6.125%
due
10/01/25
100
115
6.250%
due
10/02/43
110
151
6.750%
due
04/01/46
100
143
General
Motors
Financial
Co.,
Inc.
4.250%
due
05/15/23
10
10
4.150%
due
06/19/23
765
796
Genting
New
York
LLC
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
3.300%
due
02/15/26
(Þ)
440
436
Gilead
Sciences,
Inc.
5.650%
due
12/01/41
50
69
4.750%
due
03/01/46
100
127
GLP
Capital,
LP
/
GLP
Financing
II,
Inc.
5.375%
due
04/15/26
653
727
3.250%
due
01/15/32
80
80
Goldman
Sachs
Group,
Inc.
(The)
4.250%
due
10/21/25
140
153
3.500%
due
11/16/26
90
96
3.691%
due
06/05/28
(USD
3
Month
LIBOR
+
1.510%)(Ê)
200
215
4.223%
due
05/01/29
(USD
3
Month
LIBOR
+
1.301%)(Ê)
50
56
3.800%
due
03/15/30
410
451
2.650%
due
10/21/32
(SOFR
+
1.264%)(Ê)
480
483
5.150%
due
05/22/45
140
182
Series
DMTN
2.383%
due
07/21/32
(SOFR
+
1.248%)(Ê)
800
788
Series
V
4.125%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.949%)(Ê)(ƒ)
30
30
Halliburton
Co.
4.850%
due
11/15/35
60
71
5.000%
due
11/15/45
20
24
HCA,
Inc.
5.125%
due
06/15/39
50
62
5.500%
due
06/15/47
443
580
Hershey
Co.
(The)
1.700%
due
06/01/30
160
157
Hilton
Domestic
Operating
Co.,
Inc.
5.375%
due
05/01/25
(Þ)
120
125
5.750%
due
05/01/28
(Þ)
40
43
Home
Depot,
Inc.
(The)
2.500%
due
04/15/27
867
904
3.900%
due
12/06/28
10
11
2.700%
due
04/15/30
80
84
3.300%
due
04/15/40
50
54
3.350%
due
04/15/50
90
98
HSBC
Holdings
PLC
7.200%
due
07/15/97
457
812
Humana,
Inc.
0.650%
due
08/03/23
743
739
3.850%
due
10/01/24
50
53
4.500%
due
04/01/25
20
22
3.950%
due
03/15/27
200
219
4.625%
due
12/01/42
20
25
4.950%
due
10/01/44
20
26
Huntington
Bancshares,
Inc.
2.487%
due
08/15/36
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
1.170%)(Ê)(Þ)
1,012
970
Intel
Corp.
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
85
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
2.800%
due
08/12/41
110
110
3.200%
due
08/12/61
170
174
Series
WI
3.734%
due
12/08/47
10
11
International
Business
Machines
Corp.
3.375%
due
08/01/23
904
939
International
Paper
Co.
7.300%
due
11/15/39
669
1,025
Jefferies
Financial
Group,
Inc.
6.625%
due
10/23/43
761
1,033
Jefferies
Group
LLC
6.500%
due
01/20/43
635
877
Johnson
&
Johnson
2.100%
due
09/01/40
210
199
2.450%
due
09/01/60
160
151
JPMorgan
Chase
&
Co.
2.182%
due
06/01/28
(SOFR
+
1.890%)(Ê)
788
794
4.203%
due
07/23/29
(USD
3
Month
LIBOR
+
1.260%)(Ê)
40
45
4.452%
due
12/05/29
(USD
3
Month
LIBOR
+
1.330%)(Ê)
40
45
8.750%
due
09/01/30
280
423
2.739%
due
10/15/30
(SOFR
+
1.510%)(Ê)
140
144
2.522%
due
04/22/31
(SOFR
+
2.040%)(Ê)
120
121
2.956%
due
05/13/31
(SOFR
+
2.515%)(Ê)
340
352
1.953%
due
02/04/32
(SOFR
+
1.065%)(Ê)
600
578
2.580%
due
04/22/32
(SOFR
+
1.250%)(Ê)
390
395
2.545%
due
11/08/32
(SOFR
+
1.180%)(Ê)
80
80
4.950%
due
06/01/45
100
130
4.260%
due
02/22/48
(USD
3
Month
LIBOR
+
1.580%)(Ê)
110
134
3.109%
due
04/22/51
(SOFR
+
2.440%)(Ê)
90
93
3.328%
due
04/22/52
(SOFR
+
1.580%)(Ê)
620
663
Series
KK
3.650%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.850%)(Ê)(ƒ)
220
219
Kaiser
Foundation
Hospitals
4.150%
due
05/01/47
30
37
Series
2019
3.266%
due
11/01/49
30
32
Series
2021
2.810%
due
06/01/41
80
80
3.002%
due
06/01/51
80
82
Kimco
Realty
Corp.
2.250%
due
12/01/31
310
302
Kinder
Morgan
Energy
Partners,
LP
7.300%
due
08/15/33
50
69
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
6.550%
due
09/15/40
600
806
5.500%
due
03/01/44
20
25
Kinder
Morgan,
Inc.
4.300%
due
06/01/25
90
97
4.300%
due
03/01/28
170
189
5.300%
due
12/01/34
690
830
5.550%
due
06/01/45
80
101
5.050%
due
02/15/46
30
36
5.200%
due
03/01/48
10
12
KKR
Group
Finance
Co.
II
LLC
5.500%
due
02/01/43
(Þ)
10
13
3.250%
due
12/15/51
(Þ)
90
90
KKR
Group
Finance
Co.
III
LLC
5.125%
due
06/01/44
(Þ)
100
129
Kroger
Co.
(The)
3.850%
due
08/01/23
750
779
5.150%
due
08/01/43
20
26
Kyndryl
Holdings,
Inc.
2.050%
due
10/15/26
(Þ)
120
117
3.150%
due
10/15/31
(Þ)
320
310
4.100%
due
10/15/41
(Þ)
230
223
L3Harris
Technologies,
Inc.
2.900%
due
12/15/29
350
361
Laboratory
Corp.
of
America
Holdings
3.250%
due
09/01/24
886
928
Lam
Research
Corp.
1.900%
due
06/15/30
140
138
2.875%
due
06/15/50
60
60
Las
Vegas
Sands
Corp.
3.200%
due
08/08/24
922
939
2.900%
due
06/25/25
940
937
Lennar
Corp.
4.500%
due
04/30/24
10
11
Series
WI
5.000%
due
06/15/27
10
11
Lennox
International,
Inc.
1.700%
due
08/01/27
110
108
Lithia
Motors,
Inc.
4.625%
due
12/15/27
(Þ)
110
116
3.875%
due
06/01/29
(Þ)
190
194
Lockheed
Martin
Corp.
1.850%
due
06/15/30
140
137
4.500%
due
05/15/36
842
1,027
Loews
Corp.
6.000%
due
02/01/35
601
799
Lowe's
Cos.,
Inc.
3.875%
due
09/15/23
895
934
4.500%
due
04/15/30
50
58
1.700%
due
10/15/30
150
143
2.800%
due
09/15/41
90
88
3.000%
due
10/15/50
190
187
LPL
Holdings,
Inc.
4.375%
due
05/15/31
(Þ)
80
82
M&T
Bank
Corp.
3.550%
due
07/26/23
431
447
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
86
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
3.500%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.679%)(Ê)(ƒ)
70
69
Main
Street
Capital
Corp.
5.200%
due
05/01/24
728
776
Markel
Corp.
4.300%
due
11/01/47
699
810
Marriott
International,
Inc.
Series
FXD
3.600%
due
04/15/24
120
125
Mars,
Inc.
2.375%
due
07/16/40
(Þ)
240
228
Marsh
&
McLennan
Cos.,
Inc.
3.875%
due
03/15/24
876
926
2.375%
due
12/15/31
220
222
Massachusetts
Mutual
Life
Insurance
Co.
3.375%
due
04/15/50
(Þ)
70
74
Mastercard
,
Inc.
3.300%
due
03/26/27
130
140
3.850%
due
03/26/50
120
144
McDonald's
Corp.
1.450%
due
09/01/25
20
20
3.500%
due
03/01/27
10
11
3.500%
due
07/01/27
60
65
3.800%
due
04/01/28
50
55
3.600%
due
07/01/30
70
77
4.700%
due
12/09/35
716
872
4.450%
due
03/01/47
40
49
4.450%
due
09/01/48
80
99
3.625%
due
09/01/49
10
11
4.200%
due
04/01/50
140
169
MDC
Holdings,
Inc.
2.500%
due
01/15/31
160
155
6.000%
due
01/15/43
50
63
Merck
&
Co.,
Inc.
2.800%
due
05/18/23
620
638
1.450%
due
06/24/30
70
67
2.350%
due
06/24/40
120
114
2.450%
due
06/24/50
40
38
2.750%
due
12/10/51
180
178
Microchip
Technology,
Inc.
0.972%
due
02/15/24
390
387
0.983%
due
09/01/24
(Þ)
160
157
Micron
Technology,
Inc.
2.703%
due
04/15/32
140
140
3.366%
due
11/01/41
30
31
Microsoft
Corp.
3.300%
due
02/06/27
871
949
3.450%
due
08/08/36
130
150
2.525%
due
06/01/50
174
170
2.921%
due
03/17/52
176
187
Mid-America
Apartments,
LP
3.750%
due
06/15/24
890
937
MidAmerican
Energy
Co.
3.650%
due
04/15/29
50
55
3.150%
due
04/15/50
110
115
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Mileage
Plus
Holdings
LLC
/
Mileage
Plus
Intellectual
Property
Assets,
Ltd.
6.500%
due
06/20/27
(Þ)
340
363
Molson
Coors
Brewing
Co.
4.200%
due
07/15/46
40
44
Mondelez
International,
Inc.
2.250%
due
09/19/24
(Þ)
690
705
1.875%
due
10/15/32
981
935
2.625%
due
09/04/50
40
37
Morgan
Stanley
2.188%
due
04/28/26
(SOFR
+
1.990%)(Ê)
70
71
1.593%
due
05/04/27
(SOFR
+
0.879%)(Ê)
70
69
3.622%
due
04/01/31
(SOFR
+
3.120%)(Ê)
180
196
1.794%
due
02/13/32
(SOFR
+
1.034%)(Ê)
80
76
2.511%
due
10/20/32
(SOFR
+
1.200%)(Ê)
240
240
2.484%
due
09/16/36
(SOFR
+
1.360%)(Ê)
420
404
3.217%
due
04/22/42
(SOFR
+
1.485%)(Ê)
630
660
Series
GMTN
4.431%
due
01/23/30
(USD
3
Month
LIBOR
+
1.628%)(Ê)
10
11
2.699%
due
01/22/31
(SOFR
+
1.143%)(Ê)
50
51
2.239%
due
07/21/32
(SOFR
+
1.178%)(Ê)
170
166
MPLX,
LP
4.000%
due
03/15/28
40
43
4.800%
due
02/15/29
50
57
4.500%
due
04/15/38
170
190
4.700%
due
04/15/48
70
81
Series
0006
5.200%
due
03/01/47
30
37
MPT
Operating
Partnership,
LP
/
MPT
Finance
Corp.
5.000%
due
10/15/27
120
126
4.625%
due
08/01/29
110
116
Nasdaq,
Inc.
2.500%
due
12/21/40
130
120
NBCUniversal
Media
LLC
4.450%
due
01/15/43
7
8
Nestle
Holdings,
Inc.
3.350%
due
09/24/23
(Þ)
698
727
Netflix,
Inc.
5.375%
due
11/15/29
(Þ)
50
59
4.875%
due
06/15/30
(Þ)
110
128
New
York
Life
Insurance
Co.
3.750%
due
05/15/50
(Þ)
180
205
4.450%
due
05/15/69
(Þ)
50
64
Newell
Brands,
Inc.
3.850%
due
04/01/23
40
41
4.200%
due
04/01/26
40
44
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
87
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
NGPL
PipeCo
LLC
7.768%
due
12/15/37
(Þ)
553
774
NIKE,
Inc.
2.250%
due
05/01/23
933
950
Northern
Oil
and
Gas,
Inc.
8.125%
due
03/01/28
(Þ)
190
200
Northrop
Grumman
Corp.
3.250%
due
08/01/23
908
939
5.150%
due
05/01/40
160
208
5.250%
due
05/01/50
90
126
Series
000N
4.030%
due
10/15/47
160
189
Northwest
Pipeline
LLC
7.125%
due
12/01/25
250
295
Series
WI
4.000%
due
04/01/27
60
65
Northwestern
Mutual
Life
Insurance
Co.
(The)
3.450%
due
03/30/51
(Þ)
480
513
3.625%
due
09/30/59
(Þ)
80
88
NRG
Energy,
Inc.
2.450%
due
12/02/27
(Þ)
390
386
NVIDIA
Corp.
3.500%
due
04/01/40
30
34
3.500%
due
04/01/50
50
57
Occidental
Petroleum
Corp.
6.950%
due
07/01/24
10
11
5.550%
due
03/15/26
110
122
3.400%
due
04/15/26
50
51
3.000%
due
02/15/27
310
315
7.950%
due
06/15/39
50
66
4.625%
due
06/15/45
30
31
4.100%
due
02/15/47
20
20
Oncor
Electric
Delivery
Co.
LLC
3.100%
due
09/15/49
80
83
Oracle
Corp.
2.875%
due
03/25/31
50
50
4.300%
due
07/08/34
648
718
4.000%
due
07/15/46
270
280
3.950%
due
03/25/51
90
93
Otis
Worldwide
Corp.
Series
WI
2.565%
due
02/15/30
60
61
Owl
Rock
Capital
Corp.
4.250%
due
01/15/26
939
987
Pacific
Gas
and
Electric
Co.
4.250%
due
08/01/23
140
145
2.100%
due
08/01/27
110
106
2.500%
due
02/01/31
60
57
3.300%
due
08/01/40
20
19
4.950%
due
07/01/50
60
65
3.500%
due
08/01/50
30
28
Park-Ohio
Holdings
Corp.
Series
WI
6.625%
due
04/15/27
90
87
Parsley
Energy
LLC
/
Parsley
Finance
Corp.
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
4.125%
due
02/15/28
(Þ)
10
10
PayPal
Holdings,
Inc.
1.650%
due
06/01/25
100
101
2.300%
due
06/01/30
110
112
3.250%
due
06/01/50
60
64
PepsiCo,
Inc.
2.625%
due
03/19/27
897
939
1.625%
due
05/01/30
10
10
2.875%
due
10/15/49
40
42
Pfizer,
Inc.
2.550%
due
05/28/40
60
60
2.700%
due
05/28/50
100
101
Series
5YR
3.200%
due
09/15/23
893
928
Philip
Morris
International,
Inc.
2.100%
due
05/01/30
70
68
1.750%
due
11/01/30
280
266
6.375%
due
05/16/38
664
932
Pioneer
Natural
Resources
Co.
2.150%
due
01/15/31
320
309
Plains
All
American
Pipeline,
LP
Series
B
6.125%
due
06/16/23
(USD
3
Month
LIBOR
+
4.110%)(Ê)
390
331
Plains
All
American
Pipeline,
LP
/
PAA
Finance
Corp.
Series
WI
6.700%
due
05/15/36
10
12
Procter
&
Gamble
Co.
(The)
2.850%
due
08/11/27
870
931
3.000%
due
03/25/30
60
65
1.200%
due
10/29/30
170
161
5.500%
due
02/01/34
100
133
Progress
Energy,
Inc.
7.000%
due
10/30/31
559
756
Prologis,
LP
1.250%
due
10/15/30
230
214
Prospect
Capital
Corp.
3.706%
due
01/22/26
1,003
1,020
Range
Resources
Corp.
Series
WI
4.875%
due
05/15/25
230
237
9.250%
due
02/01/26
210
226
8.250%
due
01/15/29
150
167
Raymond
James
Financial,
Inc.
3.750%
due
04/01/51
180
199
Raytheon
Technologies
Corp.
3.650%
due
08/16/23
3
3
3.950%
due
08/16/25
30
33
Series
WI
3.200%
due
03/15/24
708
737
Republic
Services,
Inc.
2.500%
due
08/15/24
60
62
3.375%
due
11/15/27
360
386
Rocket
Mortgage
LLC
/
Rocket
Mortgage
Co-Issuer,
Inc.
2.875%
due
10/15/26
(Þ)
160
159
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
88
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
4.000%
due
10/15/33
(Þ)
140
142
S&P
Global,
Inc.
1.250%
due
08/15/30
80
75
3.250%
due
12/01/49
30
33
2.300%
due
08/15/60
50
43
Salesforce.com,
Inc.
3.700%
due
04/11/28
10
11
1.500%
due
07/15/28
60
59
1.950%
due
07/15/31
50
50
2.900%
due
07/15/51
190
193
3.050%
due
07/15/61
70
72
San
Diego
Gas
&
Electric
Co.
Series
RRR
3.750%
due
06/01/47
100
111
Series
VVV
1.700%
due
10/01/30
240
230
Santander
Holdings
USA,
Inc.
4.500%
due
07/17/25
738
799
Schlumberger
Holdings
Corp.
4.000%
due
12/21/25
(Þ)
40
43
Senior
Housing
Properties
Trust
4.750%
due
05/01/24
120
123
Service
Properties
Trust
4.500%
due
06/15/23
160
160
4.350%
due
10/01/24
220
216
4.750%
due
10/01/26
60
58
Sherwin-Williams
Co.
(The)
3.450%
due
06/01/27
861
931
Shire
Acquisitions
Investments
Ireland
DAC
2.875%
due
09/23/23
906
932
Simon
Property
Group,
LP
3.500%
due
09/01/25
100
107
Skyworks
Solutions,
Inc.
1.800%
due
06/01/26
150
148
Southern
California
Edison
Co.
2.250%
due
06/01/30
290
286
3.650%
due
02/01/50
110
116
Series
C
4.125%
due
03/01/48
130
146
Series
G
2.500%
due
06/01/31
120
120
Southern
Co.
(The)
6.000%
due
10/01/34
196
252
Southwest
Airlines
Co.
4.750%
due
05/04/23
440
461
5.250%
due
05/04/25
70
78
Southwestern
Energy
Co.
4.750%
due
02/01/32
60
63
Spectra
Energy
Partners,
LP
4.750%
due
03/15/24
671
715
Starbucks
Corp.
4.500%
due
11/15/48
794
982
Sunoco
Logistics
Partners
Operations,
LP
3.900%
due
07/15/26
90
97
5.300%
due
04/01/44
10
11
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Synchrony
Financial
3.950%
due
12/01/27
793
852
SYNNEX
Corp.
1.250%
due
08/09/24
(Þ)
510
504
Targa
Resources
Partners,
LP
/
Targa
Resources
Partners
Finance
Corp.
5.875%
due
04/15/26
10
10
5.375%
due
02/01/27
10
10
5.500%
due
03/01/30
30
33
4.875%
due
02/01/31
70
76
4.000%
due
01/15/32
(Þ)
380
397
Target
Corp.
3.375%
due
04/15/29
140
153
Teachers
Insurance
&
Annuity
Association
of
America
4.900%
due
09/15/44
(Þ)
340
436
Tennessee
Gas
Pipeline
Co.
LLC
2.900%
due
03/01/30
(Þ)
460
467
7.625%
due
04/01/37
608
864
Texas
Instruments,
Inc.
2.250%
due
09/04/29
210
214
1.750%
due
05/04/30
70
69
3.875%
due
03/15/39
150
177
Thermo
Fisher
Scientific,
Inc.
5.300%
due
02/01/44
703
967
Time
Warner
Cable
LLC
6.550%
due
05/01/37
90
118
7.300%
due
07/01/38
180
255
6.750%
due
06/15/39
20
27
5.500%
due
09/01/41
666
807
Time
Warner
Entertainment
Co.,
LP
8.375%
due
03/15/23
782
848
8.375%
due
07/15/33
100
146
T-Mobile
USA,
Inc.
2.625%
due
02/15/29
60
59
2.875%
due
02/15/31
70
69
2.700%
due
03/15/32
(Þ)
460
463
Series
WI
3.875%
due
04/15/30
300
328
2.550%
due
02/15/31
824
820
3.000%
due
02/15/41
100
98
3.300%
due
02/15/51
190
186
Transcontinental
Gas
Pipe
Line
Co.
LLC
4.450%
due
08/01/42
240
281
Series
WI
7.850%
due
02/01/26
410
500
3.250%
due
05/15/30
50
53
TSMC
Arizona
Corp.
2.500%
due
10/25/31
200
203
3.125%
due
10/25/41
420
438
TWDC
Enterprises
18
Corp.
Series
MTNB
7.000%
due
03/01/32
552
779
Tyson
Foods,
Inc.
4.875%
due
08/15/34
826
1,009
Union
Pacific
Corp.
2.150%
due
02/05/27
50
51
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
89
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
3.750%
due
02/05/70
40
45
Series
WI
2.891%
due
04/06/36
250
262
3.839%
due
03/20/60
140
165
United
Airlines
Pass-Through
Trust
4.875%
due
01/15/26
260
271
United
Airlines,
Inc.
4.625%
due
04/15/29
(Þ)
30
31
United
Technologies
Corp.
4.625%
due
11/16/48
130
167
UnitedHealth
Group,
Inc.
3.850%
due
06/15/28
70
78
2.000%
due
05/15/30
180
179
4.625%
due
07/15/35
100
125
5.700%
due
10/15/40
60
84
Unum
Group
5.750%
due
08/15/42
796
972
Verizon
Communications,
Inc.
2.100%
due
03/22/28
80
80
3.875%
due
02/08/29
120
133
7.750%
due
12/01/30
100
143
2.550%
due
03/21/31
160
161
4.500%
due
08/10/33
1,086
1,277
5.250%
due
03/16/37
80
104
2.650%
due
11/20/40
90
86
3.400%
due
03/22/41
140
147
2.850%
due
09/03/41
40
39
4.125%
due
08/15/46
60
70
5.500%
due
03/16/47
10
14
4.000%
due
03/22/50
40
46
2.875%
due
11/20/50
230
218
3.550%
due
03/22/51
480
517
3.000%
due
11/20/60
390
369
3.700%
due
03/22/61
1,330
1,443
Series
WI
4.329%
due
09/21/28
53
60
4.862%
due
08/21/46
50
64
2.987%
due
10/30/56
60
57
Visa,
Inc.
2.050%
due
04/15/30
60
61
2.700%
due
04/15/40
70
72
Vontier
Corp.
1.800%
due
04/01/26
(Þ)
170
167
2.400%
due
04/01/28
(Þ)
350
338
Voya
Financial,
Inc.
5.650%
due
05/15/53
(USD
3
Month
LIBOR
+
3.580%)(Ê)
789
816
Wachovia
Corp.
5.500%
due
08/01/35
802
1,017
Walmart,
Inc.
1.800%
due
09/22/31
150
148
2.650%
due
09/22/51
120
123
Walt
Disney
Co.
(The)
Series
WI
3.700%
due
09/15/24
827
879
6.650%
due
11/15/37
40
59
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
5.400%
due
10/01/43
130
180
Waste
Management,
Inc.
3.150%
due
11/15/27
210
224
Wells
Fargo
&
Co.
0.805%
due
05/19/25
(SOFR
+
0.510%)(Ê)
220
218
3.000%
due
04/22/26
140
147
3.000%
due
10/23/26
260
273
4.478%
due
04/04/31
(SOFR
+
4.032%)(Ê)
120
139
3.068%
due
04/30/41
(SOFR
+
2.530%)(Ê)
170
174
5.375%
due
11/02/43
130
172
4.650%
due
11/04/44
10
12
3.900%
due
05/01/45
666
762
4.750%
due
12/07/46
120
150
5.013%
due
04/04/51
(SOFR
+
4.502%)(Ê)
400
546
Western
Gas
Partners,
LP
5.500%
due
08/15/48
40
48
Western
Midstream
Operating,
LP
1.972%
due
01/13/23
(USD
3
Month
LIBOR
+
1.850%)(Ê)
180
180
3.100%
due
02/01/25
90
94
4.650%
due
07/01/26
130
141
4.500%
due
03/01/28
50
54
4.050%
due
02/01/30
250
275
5.450%
due
04/01/44
150
179
5.300%
due
03/01/48
140
169
5.250%
due
02/01/50
60
71
Western
Union
Co.
(The)
6.200%
due
11/17/36
832
1,027
Westinghouse
Air
Brake
Technologies
Corp.
Series
WI
3.450%
due
11/15/26
963
1,019
Williams
Cos.,
Inc.
(The)
3.750%
due
06/15/27
60
65
7.750%
due
06/15/31
130
176
5.800%
due
11/15/43
35
46
3.500%
due
10/15/51
50
51
Wynn
Resorts
Finance
LLC
/
Wynn
Resorts
Capital
Corp.
7.750%
due
04/15/25
(Þ)
210
220
Zions
Bancorp
NA
3.250%
due
10/29/29
994
1,028
203,442
International
Debt
-
19.6%
Abu
Dhabi
Government
International
Bond
1.700%
due
03/02/31
(Þ)
200
194
3.875%
due
04/16/50
(Þ)
270
314
Abu
Dhabi
National
Energy
Co.
PJSC
4.375%
due
04/23/25
(Þ)
200
217
Adani
Ports
&
Special
Economic
Zone,
Ltd.
3.375%
due
07/24/24
(Þ)
515
529
ADCB
Finance
Cayman,
Ltd.
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
90
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
4.000%
due
03/29/23
(Þ)
908
938
AerCap
Ireland
Capital
Designated
Activity
Co.
and
AerCap
Global
Aviation
Trust
4.500%
due
09/15/23
1,046
1,097
3.150%
due
02/15/24
310
320
3.300%
due
01/30/32
150
153
3.400%
due
10/29/33
150
153
3.850%
due
10/29/41
300
312
Africa
Finance
Corp.
Series
REGS
4.375%
due
04/17/26
577
623
African
Export-Import
Bank
(The)
2.634%
due
05/17/26
(Þ)
1,530
1,535
Series
REGS
2.634%
due
05/17/26
300
301
Air
Liquide
Finance
SA
2.250%
due
09/27/23
(Þ)
916
935
Alibaba
Group
Holding,
Ltd.
2.125%
due
02/09/31
200
193
3.150%
due
02/09/51
290
271
Series
WI
3.600%
due
11/28/24
886
932
Alimentation
Couche-Tard,
Inc.
3.550%
due
07/26/27
(Þ)
702
752
Alrosa
Finance
SA
4.650%
due
04/09/24
(Þ)
894
936
Anglo
American
Capital
PLC
4.500%
due
03/15/28
(Þ)
360
397
Anheuser-Busch
Cos.
LLC
/
Anheuser-
Busch
InBev
Worldwide,
Inc.
4.900%
due
02/01/46
70
88
Anheuser-Busch
InBev
Worldwide,
Inc.
5.550%
due
01/23/49
50
69
4.500%
due
06/01/50
270
333
Arbor
Realty
CLO,
Ltd.
Series
2021-FL2
Class
A
1.200%
due
05/15/36
(USD
1
Month
LIBOR
+
1.100%)(Ê)(Þ)
1,029
1,027
Series
2021-FL4
Class
A
1.440%
due
11/15/36
(USD
1
Month
LIBOR
+
1.350%)(Ê)(Þ)
2,087
2,089
Arbor
Realty
Commercial
Real
Estate,
Ltd.
Series
2021-FL3
Class
A
1.155%
due
08/15/34
(USD
1
Month
LIBOR
+
1.070%)(Ê)(Þ)
5,030
5,016
Ares
LXI
CLO,
Ltd.
Series
2021-61A
Class
A
1.282%
due
10/20/34
(USD
3
Month
LIBOR
+
1.150%)(Ê)(Þ)
4,022
4,022
Argentine
Republic
Government
International
Bond
1.000%
due
07/09/29
34
12
0.750%
due
07/09/30
(~)(Ê)
388
136
1.500%
due
07/09/35
(~)(Ê)
310
99
3.500%
due
07/09/41
(~)(Ê)
160
56
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
AstraZeneca
PLC
0.300%
due
05/26/23
958
954
Avolon
Holdings
Funding,
Ltd.
3.950%
due
07/01/24
(Þ)
130
136
2.875%
due
02/15/25
(Þ)
150
153
4.250%
due
04/15/26
(Þ)
370
392
Banco
de
Credito
del
Peru
4.250%
due
04/01/23
(Þ)
693
716
Banco
Inbursa
SA
Institucion
de
Banca
Multiple
4.125%
due
06/06/24
(Þ)
711
741
Banco
Internacional
del
Peru
SAA
Interbank
3.250%
due
10/04/26
(Þ)
928
948
Banco
Mercantil
del
Norte
SA
8.375%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
10
Year
+
7.760%)(Ê)(ƒ)(Þ)
240
275
Banco
Santander
SA
5.179%
due
11/19/25
705
785
1.722%
due
09/14/27
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.900%)(Ê)
600
589
Bancolombia
SA
3.000%
due
01/29/25
991
995
Bank
of
China,
Ltd.
5.000%
due
11/13/24
(Þ)
833
908
Bank
of
Nova
Scotia
(The)
0.550%
due
09/15/23
957
951
Barclays
PLC
5.088%
due
06/20/30
(USD
3
Month
LIBOR
+
3.054%)(Ê)
290
329
4.950%
due
01/10/47
660
855
6.125%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.867%)(Ê)(ƒ)
530
574
Barrick
NA
Finance
LLC
5.700%
due
05/30/41
130
177
BAT
Capital
Corp.
2.259%
due
03/25/28
40
39
3.734%
due
09/25/40
110
106
Series
WI
3.557%
due
08/15/27
385
404
Bayer
US
Finance
II
LLC
3.875%
due
12/15/23
(Þ)
961
1,004
Bayer
US
Finance
LLC
3.375%
due
10/08/24
(Þ)
726
759
BBVA
Banco
Continental
SA
5.250%
due
09/22/29
(Þ)
897
942
BBVA
Bancomer
SA
4.375%
due
04/10/24
(Þ)
862
916
BDS,
Ltd.
Series
2021-FL7
Class
A
1.180%
due
06/16/36
(USD
1
Month
LIBOR
+
1.070%)(Ê)(Þ)
1,558
1,554
Series
2021-FL8
Class
A
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
91
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
1.020%
due
01/18/36
(USD
1
Month
LIBOR
+
0.920%)(Ê)(Þ)
1,043
1,037
Bellemeade
Re,
Ltd.
2.859%
due
10/25/28
(USD
1
Month
LIBOR
+
2.750%)(Ê)(Þ)
1,780
1,782
Series
2017-1
Class
M2
4.297%
due
10/25/27
(USD
1
Month
LIBOR
+
3.350%)(Ê)(Þ)
1,119
1,122
Series
2020-4A
Class
M2B
3.750%
due
06/25/30
(USD
1
Month
LIBOR
+
3.600%)(Ê)(Þ)
881
882
Series
2021-2A
Class
M1A
1.210%
due
06/25/31
(SOFR
30
Day
Average
+
1.200%)(Ê)(Þ)
2,607
2,601
Series
2021-2A
Class
M1B
1.510%
due
06/25/31
(SOFR
30
Day
Average
+
1.500%)(Ê)(Þ)
1,759
1,755
Series
2021-3A
Class
A2
1.050%
due
09/25/31
(SOFR
30
Day
Average
+
1.000%)(Ê)(Þ)
2,380
2,357
Bermuda
Government
International
Bond
2.375%
due
08/20/30
(Þ)
380
379
Bharti
Airtel
International
Netherlands
BV
Series
144a
5.125%
due
03/11/23
(Þ)
693
719
Bharti
Airtel,
Ltd.
4.375%
due
06/10/25
(Þ)
877
934
BHP
Billiton
Finance
USA,
Ltd.
3.850%
due
09/30/23
880
925
BNP
Paribas
SA
2.219%
due
06/09/26
(SOFR
+
2.074%)(Ê)(Þ)
680
686
4.625%
due
03/13/27
(Þ)
722
800
1.675%
due
06/30/27
(SOFR
+
0.912%)(Ê)(Þ)
210
206
4.400%
due
08/14/28
(Þ)
200
224
2.159%
due
09/15/29
(SOFR
+
1.218%)(Ê)(Þ)
270
265
2.824%
due
01/26/41
(Þ)
400
382
BOC
Aviation
USA
Corp.
1.625%
due
04/29/24
(Þ)
200
200
BP
Capital
Markets
PLC
3.994%
due
09/26/23
887
933
BPCE
SA
3.116%
due
10/19/32
(SOFR
+
1.730%)(Ê)(Þ)
300
301
British
Telecommunications
PLC
9.625%
due
12/15/30
70
103
Brookfield
Finance
LLC
3.450%
due
04/15/50
827
861
Brookfield
Finance,
Inc.
4.000%
due
04/01/24
841
886
Canadian
Imperial
Bank
of
Commerce
0.950%
due
06/23/23
920
921
Canadian
Natural
Resources,
Ltd.
5.850%
due
02/01/35
661
821
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Canadian
Pacific
Railway
Co.
2.450%
due
12/02/31
250
255
3.000%
due
12/02/41
70
72
3.100%
due
12/02/51
80
82
6.125%
due
09/15/15
656
976
Carnival
Corp.
Term
Loan
B
3.750%
due
06/30/25
(USD
3
Month
LIBOR
+
3.000%)(Ê)
129
128
Cedar
Funding,
Ltd.
Series
2018-5A
Class
A1R
2.235%
due
07/17/31
(USD
3
Month
LIBOR
+
1.100%)(Ê)(Þ)
1,600
1,600
CI
Financial
Corp.
3.200%
due
12/17/30
500
513
4.100%
due
06/15/51
40
43
CNH
Industrial
NV
4.500%
due
08/15/23
872
916
Comision
Federal
de
Electricidad
3.348%
due
02/09/31
(Þ)
200
196
Commonwealth
Bank
of
Australia
2.688%
due
03/11/31
(Þ)
200
197
3.743%
due
09/12/39
(Þ)
200
214
4.316%
due
01/10/48
(Þ)
886
1,033
Cooperatieve
Rabobank
UA
4.375%
due
08/04/25
650
704
Credicorp
,
Ltd.
2.750%
due
06/17/25
(Þ)
922
931
Credit
Agricole
SA
3.750%
due
04/24/23
(Þ)
897
929
4.375%
due
03/17/25
(Þ)
734
788
Credit
Suisse
Group
AG
4.282%
due
01/09/28
(Þ)
699
759
3.091%
due
05/14/32
(SOFR
+
1.730%)(Ê)(Þ)
480
488
6.250%
due
12/29/49
(USD
Swap
Semiannual
30/360
[versus
3
Month
LIBOR]
5
Year
Rate
+
3.455%)(Ê)
(ƒ)(Þ)
550
586
6.375%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.822%)(Ê)(ƒ)(Þ)
360
388
Series
144a
7.500%
due
12/31/99
(USD
Swap
Semiannual
30/360
[versus
3
Month
LIBOR]
5
Year
Rate
+
4.600%)(Ê)
(ƒ)(Þ)
750
793
Series
FXD
0.520%
due
08/09/23
958
951
DAE
Funding
LLC
1.550%
due
08/01/24
(Þ)
220
218
Daimler
Finance
NA
LLC
3.350%
due
02/22/23
(Þ)
903
928
Danone
SA
2.589%
due
11/02/23
(Þ)
718
736
Danske
Bank
A/S
3.875%
due
09/12/23
(Þ)
200
208
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
92
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
5.375%
due
01/12/24
(Þ)
862
928
1.549%
due
09/10/27
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.730%)(Ê)(Þ)
200
195
Delhaize
America,
Inc.
9.000%
due
04/15/31
154
231
Deutsche
Bank
AG
3.700%
due
05/30/24
890
935
1.447%
due
04/01/25
(SOFR
+
1.131%)(Ê)
1,024
1,018
Deutsche
Telekom
International
Finance
BV
2.485%
due
09/19/23
(Þ)
926
944
8.750%
due
06/15/30
50
73
Dryden
50
Senior
Loan
Fund
Series
2021-50A
Class
A1R
1.124%
due
07/15/30
(USD
3
Month
LIBOR
+
1.000%)(Ê)(Þ)
4,353
4,354
Dryden
85
CLO,
Ltd.
Series
2021-85A
Class
AR
1.274%
due
10/15/35
(USD
3
Month
LIBOR
+
1.150%)(Ê)(Þ)
3,959
3,959
Eagle
Re,
Ltd.
Series
2018-1
Class
M2
3.947%
due
11/25/28
(USD
1
Month
LIBOR
+
3.000%)(Ê)(Þ)
732
736
Series
2020-1
Class
M1A
1.068%
due
01/25/30
(USD
1
Month
LIBOR
+
0.900%)(Ê)(Þ)
511
508
Series
2021-1
Class
M1B
2.165%
due
10/25/33
(SOFR
30
Day
Average
+
2.150%)(Ê)(Þ)
1,268
1,273
Series
2021-2
Class
M1B
2.099%
due
04/25/34
(SOFR
30
Day
Average
+
2.050%)(Ê)(Þ)
1,515
1,517
Ecopetrol
SA
5.375%
due
06/26/26
60
63
4.625%
due
11/02/31
130
126
5.875%
due
05/28/45
80
77
5.875%
due
11/02/51
110
103
Enbridge,
Inc.
3.700%
due
07/15/27
687
741
Enel
Finance
International
NV
Series
658A
3.500%
due
04/06/28
(Þ)
706
755
Eni
SpA
Series
X-R
4.000%
due
09/12/23
(Þ)
892
933
Eni
USA,
Inc.
7.300%
due
11/15/27
711
900
Equinor
ASA
7.750%
due
06/15/23
868
952
Fairfax
Financial
Holdings,
Ltd.
Series
WI
4.850%
due
04/17/28
810
901
First
Quantum
Minerals,
Ltd.
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
7.500%
due
04/01/25
(Þ)
200
206
6.875%
due
10/15/27
(Þ)
480
517
Four
Seasons
Hotels,
Ltd.
1st
Lien
Term
Loan
2.087%
due
11/30/23
(USD
1
Month
LIBOR
+
2.000%)(Ê)
147
146
Fresnillo
PLC
4.250%
due
10/02/50
(Þ)
260
272
Garda
World
Security
Corp.
2021
Term
Loan
B
4.340%
due
10/30/26
(USD
1
Month
LIBOR
+
4.250%)(Ê)
69
68
GFL
Environmental,
Inc.
2020
Term
Loan
3.500%
due
05/31/25
(USD
1
Month
LIBOR
+
3.000%)(Ê)
15
15
GlaxoSmithKline
Capital
PLC
0.534%
due
10/01/23
956
952
GlaxoSmithKline
Capital,
Inc.
2.800%
due
03/18/23
449
460
3.375%
due
05/15/23
892
924
Glencore
Funding
LLC
4.125%
due
05/30/23
(Þ)
912
948
4.125%
due
03/12/24
(Þ)
550
578
4.625%
due
04/29/24
(Þ)
40
43
1.625%
due
09/01/25
(Þ)
140
139
4.000%
due
03/27/27
(Þ)
220
237
3.875%
due
10/27/27
(Þ)
50
54
2.625%
due
09/23/31
(Þ)
70
68
Grifols
Worldwide
Operations
USA,
Inc.
Term
Loan
B
2.072%
due
11/15/27
(USD
1
Month
LIBOR
+
2.000%)(Ê)
278
274
Grupo
Bimbo
SAB
de
CV
3.875%
due
06/27/24
(Þ)
879
927
Heineken
NV
2.750%
due
04/01/23
(Þ)
921
941
HGI
CRE
CLO,
Ltd.
Series
2021-FL1
Class
A
1.160%
due
06/16/36
(USD
1
Month
LIBOR
+
1.050%)(Ê)(Þ)
2,190
2,185
Series
2021-FL2
Class
A
1.200%
due
09/19/26
(USD
1
Month
LIBOR
+
1.000%)(Ê)(Þ)
2,486
2,478
Highlands
Holdings
Bond
Issuer,
Ltd.
7.625%
due
10/15/25
(Þ)
302
320
HOM
RE,
Ltd.
Series
2021-1
Class
M1A
1.173%
due
07/25/33
(USD
1
Month
LIBOR
+
1.050%)(Ê)(Þ)
844
843
HSBC
Holdings
PLC
3.900%
due
05/25/26
220
237
2.099%
due
06/04/26
(SOFR
+
1.929%)(Ê)
200
201
4.041%
due
03/13/28
(USD
3
Month
LIBOR
+
1.546%)(Ê)
410
443
7.625%
due
05/17/32
669
921
2.804%
due
05/24/32
430
431
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
93
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
2.871%
due
11/22/32
(SOFR
+
1.410%)(Ê)
290
292
ICICI
Bank,
Ltd.
4.000%
due
03/18/26
(Þ)
782
833
ICON
Luxembourg
SARL
Term
Loan
3.000%
due
07/01/28
(USD
3
Month
LIBOR
+
2.250%)(Ê)
392
392
ICON
Luxembourg
SARL
US
Term
Loan
3.000%
due
07/01/28
(USD
3
Month
LIBOR
+
2.250%)(Ê)
98
98
ING
Bank
NV
5.800%
due
09/25/23
(Þ)
935
1,006
ING
Groep
NV
4.100%
due
10/02/23
897
944
Innogy
Finance
BV
6.650%
due
04/30/38
(Þ)
621
879
Intesa
Sanpaolo
SpA
3.375%
due
01/12/23
(Þ)
200
204
5.017%
due
06/26/24
(Þ)
200
214
4.198%
due
06/01/32
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.600%)(Ê)(Þ)
410
414
4.950%
due
06/01/42
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.750%)(Ê)(Þ)
400
411
Inversiones
CMPC
SA
4.375%
due
05/15/23
(Þ)
904
933
Israel
Government
International
Bond
2.750%
due
07/03/30
200
213
KazMunayGas
National
Co.
JSC
5.375%
due
04/24/30
(Þ)
200
233
Kerry
Group
Financial
Services
Unltd
.
Co.
3.200%
due
04/09/23
(Þ)
1,000
1,021
Klabin
Austria
GmbH
3.200%
due
01/12/31
(Þ)
200
185
Kookmin
Bank
4.350%
due
12/31/99
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.639%)(Ê)(ƒ)(Þ)
913
951
LCM
XXIII,
Ltd.
Series
2020-23A
Class
A1R
2.205%
due
10/20/29
(USD
3
Month
LIBOR
+
1.070%)(Ê)(Þ)
1,020
1,020
LCM
XXV,
Ltd.
Series
2017-25A
Class
A
2.345%
due
07/20/30
(USD
3
Month
LIBOR
+
1.210%)(Ê)(Þ)
1,904
1,904
Lloyds
Banking
Group
PLC
4.050%
due
08/16/23
742
777
12.000%
due
12/29/49
(USD
3
Month
LIBOR
+
11.756%)(Ê)(ƒ)(Þ)
681
689
7.500%
due
12/31/99
(USD
Swap
Semiannual
30/360
[versus
3
Month
LIBOR]
5
Year
Rate
+
4.496%)(Ê)(ƒ)
200
226
Lukoil
International
Finance
BV
4.563%
due
04/24/23
(Þ)
682
704
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
2.800%
due
04/26/27
(Þ)
550
542
Madison
Park
Funding
XLVIII,
Ltd.
Series
2021-48A
Class
A
1.274%
due
04/19/33
(USD
3
Month
LIBOR
+
1.150%)(Ê)(Þ)
1,158
1,158
MEG
Energy
Corp.
6.500%
due
01/15/25
(Þ)
72
73
7.125%
due
02/01/27
(Þ)
140
149
5.875%
due
02/01/29
(Þ)
80
84
Melco
Resorts
Finance,
Ltd.
5.375%
due
12/04/29
(Þ)
240
233
MercadoLibre
,
Inc.
3.125%
due
01/14/31
410
387
Mexico
Government
International
Bond
4.350%
due
01/15/47
610
633
National
Bank
of
Canada
2.100%
due
02/01/23
942
955
NatWest
Group
PLC
3.875%
due
09/12/23
200
209
3.754%
due
11/01/29
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.100%)(Ê)
200
209
Neuberger
Berman
CLO
XV,
Ltd.
Series
2021-15A
Class
A1R2
1.044%
due
10/15/29
(USD
3
Month
LIBOR
+
0.920%)(Ê)(Þ)
2,766
2,768
Neuberger
Berman
Loan
Advisers
CLO
24,
Ltd.
Series
2020-24A
Class
AR
1.154%
due
04/19/30
(USD
3
Month
LIBOR
+
1.020%)(Ê)(Þ)
589
589
Nippon
Life
Insurance
Co.
2.750%
due
01/21/51
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.653%)(Ê)(Þ)
250
245
Nissan
Motor
Acceptance
Corp.
3.043%
due
09/15/23
(Þ)
440
451
3.522%
due
09/17/25
(Þ)
280
293
4.345%
due
09/17/27
(Þ)
300
324
Nordea
Bank
Abp
4.625%
due
09/13/33
(USD
Swap
Semiannual
30/360
[versus
3
Month
LIBOR]
5
Year
Rate
+
1.690%)(Ê)(Þ)
913
1,013
NTT
Finance
Corp.
2.065%
due
04/03/31
(Þ)
200
200
Nutrien
,
Ltd.
5.875%
due
12/01/36
627
843
NXP
BV
/
NXP
Funding
LLC
3.400%
due
05/01/30
(Þ)
80
85
NYACK
Park
CLO,
Ltd.
Series
2021-1A
Class
A
1.244%
due
10/20/34
(USD
3
Month
LIBOR
+
1.120%)(Ê)(Þ)
5,290
5,283
Oaktown
Re
III,
Ltd.
Series
2019-1A
Class
M1B
2.080%
due
07/25/29
(USD
1
Month
LIBOR
+
1.950%)(Ê)(Þ)
1,355
1,355
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
94
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Oaktown
Re
VI,
Ltd.
Series
2021-1A
Class
M1B
2.060%
due
10/25/33
(SOFR
30
Day
Average
+
2.050%)(Ê)(Þ)
1,465
1,473
Oaktown
Re
VII,
Ltd.
Series
2021-2
Class
M1A
1.650%
due
04/25/34
(SOFR
30
Day
Average
+
1.600%)(Ê)(Þ)
821
821
Oaktown
Re,
Ltd.
Series
2021-1A
Class
M1C
3.010%
due
10/25/33
(SOFR
30
Day
Average
+
3.000%)(Ê)(Þ)
1,475
1,466
OCP
CLO,
Ltd.
Series
2021-10A
Class
A2R2
1.293%
due
01/26/34
(CME
Term
SOFR
3
Month
+
1.240%)(Ê)(Þ)
3,087
3,084
OCP
SA
3.750%
due
06/23/31
(Þ)
200
194
5.125%
due
06/23/51
(Þ)
200
189
Oman
Government
International
Bond
Series
REGS
6.250%
due
01/25/31
765
836
Panama
Government
International
Bond
2.252%
due
09/29/32
260
247
Panasonic
Corp.
2.679%
due
07/19/24
(Þ)
912
941
Paraguay
Government
International
Bond
5.400%
due
03/30/50
(Þ)
200
228
Peruvian
Government
International
Bond
2.783%
due
01/23/31
130
129
Petrobras
Global
Finance
BV
6.900%
due
03/19/49
410
437
5.500%
due
06/10/51
100
93
Series
WI
5.999%
due
01/27/28
100
109
Petroleos
del
Peru
SA
5.625%
due
06/19/47
(Þ)
200
198
POSCO
4.000%
due
08/01/23
(Þ)
850
885
Prosus
NV
4.027%
due
08/03/50
(Þ)
909
873
Provincia
de
Buenos
Aires
5.250%
due
09/01/37
(~)(Ê)(Þ)
152
65
Provincia
de
Cordoba
7.125%
due
12/10/25
(~)(Ê)(Þ)
200
150
7.450%
due
06/01/27
(~)(Ê)(Þ)
230
145
Qatar
Government
International
Bond
4.400%
due
04/16/50
(Þ)
360
447
Qatar
Petroleum
2.250%
due
07/12/31
(Þ)
670
664
Radnor
RE,
Ltd.
Series
2019-2
Class
M1B
1.935%
due
06/25/29
(USD
1
Month
LIBOR
+
1.750%)(Ê)(Þ)
1,415
1,415
Series
2021-2
Class
M1A
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
1.898%
due
11/25/31
(SOFR
30
Day
Average
+
1.850%)(Ê)(Þ)
1,014
1,015
Renesas
Electronics
Corp.
1.543%
due
11/26/24
(Þ)
200
199
2.170%
due
11/25/26
(Þ)
410
409
Republic
of
Chile
Government
International
Bond
2.550%
due
07/27/33
200
195
3.100%
due
05/07/41
200
196
Resorts
World
Las
Vegas
LLC
/
RWLV
Capital,
Inc.
4.625%
due
04/16/29
(Þ)
809
814
Reynolds
American,
Inc.
5.850%
due
08/15/45
70
85
Riserva
CLO,
Ltd.
Series
2021-3A
Class
ARR
1.182%
due
01/18/34
(USD
3
Month
LIBOR
+
1.060%)(Ê)(Þ)
940
935
Roche
Holdings,
Inc.
0.450%
due
03/05/24
(Þ)
422
417
Rogers
Communications,
Inc.
4.100%
due
10/01/23
505
527
SABIC
Capital
II
BV
4.000%
due
10/10/23
(Þ)
737
773
Sands
China,
Ltd.
5.125%
due
08/08/25
(Þ)
200
210
2.300%
due
03/08/27
(Þ)
200
188
2.850%
due
03/08/29
(Þ)
200
188
Series
WI
5.125%
due
08/08/25
200
210
3.800%
due
01/08/26
400
402
5.400%
due
08/08/28
200
215
Santander
UK
Group
Holdings
PLC
5.000%
due
11/07/23
(Þ)
909
967
Class
N
4.750%
due
09/15/25
(Þ)
701
765
Saudi
Arabian
Oil
Co.
2.875%
due
04/16/24
(Þ)
768
793
Shackleton
CLO,
Ltd.
Series
2018-4RA
Class
A1A
2.311%
due
04/13/31
(USD
3
Month
LIBOR
+
1.000%)(Ê)(Þ)
930
926
Shell
International
Finance
BV
2.875%
due
05/10/26
40
42
4.375%
due
05/11/45
190
231
4.000%
due
05/10/46
80
93
3.250%
due
04/06/50
140
149
Siemens
Financieringsmaatschappij
NV
2.000%
due
09/15/23
(Þ)
891
909
SK
Hynix,
Inc.
1.000%
due
01/19/24
(Þ)
952
941
Sky,
Ltd.
3.750%
due
09/16/24
(Þ)
941
1,002
Sociedad
Quimica
y
Minera
de
Chile
SA
3.500%
due
09/10/51
(Þ)
470
455
Societe
Generale
SA
5.000%
due
01/17/24
(Þ)
700
745
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
95
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Southern
Copper
Corp.
6.750%
due
04/16/40
10
14
5.250%
due
11/08/42
60
76
Sovereign
Wealth
Fund
Samruk-Kazyna
JSC
2.000%
due
10/28/26
(Þ)
727
716
Standard
Chartered
PLC
5.700%
due
03/26/44
(Þ)
754
964
State
Bank
of
India
4.375%
due
01/24/24
(Þ)
883
930
Suncor
Energy,
Inc.
6.500%
due
06/15/38
607
830
SURA
Asset
Management
SA
4.875%
due
04/17/24
(Þ)
877
925
Suzano
Austria
GmbH
7.000%
due
03/16/47
(Þ)
200
253
Series
DM3N
3.125%
due
01/15/32
230
223
Takeda
Pharmaceutical
Co.,
Ltd.
Series
WI
4.400%
due
11/26/23
875
926
Teck
Resources,
Ltd.
6.250%
due
07/15/41
60
80
5.400%
due
02/01/43
60
73
Series
WI
3.900%
due
07/15/30
200
215
Telefonica
Emisiones
SA
5.213%
due
03/08/47
150
186
Tencent
Holdings,
Ltd.
3.280%
due
04/11/24
(Þ)
891
930
Tesco
PLC
6.150%
due
11/15/37
(Þ)
623
809
Teva
Pharmaceutical
Finance
Netherlands
III
BV
3.150%
due
10/01/26
300
282
Textainer
Marine
Containers,
Ltd.
Series
2021-3A
Class
A
1.940%
due
08/20/46
(Þ)
2,762
2,708
Toronto-Dominion
Bank
(The)
0.300%
due
06/02/23
956
950
Total
Capital
International
SA
2.700%
due
01/25/23
713
728
TotalEnergies
Capital
Canada,
Ltd.
2.750%
due
07/15/23
770
791
TransAlta
Corp.
6.500%
due
03/15/40
60
70
TransCanada
PipeLines
,
Ltd.
5.600%
due
03/31/34
644
806
UBS
Group
AG
4.500%
due
06/26/48
(Þ)
200
261
7.000%
due
12/31/99
(USD
Swap
Semiannual
30/360
[versus
3
Month
LIBOR]
5
Year
Rate
+
4.344%)(Ê)
(ƒ)(Þ)
460
496
Unilever
Capital
Corp.
0.375%
due
09/14/23
888
882
Vale
Overseas,
Ltd.
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
8.250%
due
01/17/34
636
895
Venture
XXVIII
CLO,
Ltd.
Series
2021-28A
Class
A2R
1.122%
due
07/20/30
(USD
3
Month
LIBOR
+
0.990%)(Ê)(Þ)
1,815
1,814
Videotron,
Ltd.
3.625%
due
06/15/29
(Þ)
60
60
Vodafone
Group
PLC
6.150%
due
02/27/37
50
68
5.250%
due
05/30/48
40
52
Volkswagen
Group
of
America
Finance
LLC
3.125%
due
05/12/23
(Þ)
911
937
WEA
Finance
LLC
/
Westfield
UK
&
Europe
Finance
PLC
3.750%
due
09/17/24
(Þ)
200
210
4.750%
due
09/17/44
(Þ)
200
215
Westpac
Banking
Corp.
2.668%
due
11/15/35
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
1.750%)(Ê)
150
146
3.020%
due
11/18/36
(U.S.
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
1.530%)(Ê)
100
99
3.133%
due
11/18/41
310
307
Woori
Bank
4.750%
due
04/30/24
(Þ)
734
786
Wynn
Macau,
Ltd.
5.625%
due
08/26/28
(Þ)
510
472
Yamana
Gold,
Inc.
2.630%
due
08/15/31
(Þ)
30
29
Series
WI
4.625%
due
12/15/27
280
302
201,240
Loan
Agreements
-
0.4%
Alterra
Mountain
Co.
2021
Term
Loan
B2
4.000%
due
07/30/28
(USD
1
Month
LIBOR
+
3.500%)(Ê)
136
136
Asurion
LLC
1st
Lien
Term
Loan
B7
3.084%
due
11/03/24
(USD
1
Month
LIBOR
+
3.000%)(Ê)
185
184
Asurion
LLC
2020
Term
Loan
B8
3.334%
due
12/23/26
(USD
1
Month
LIBOR
+
3.250%)(Ê)
202
201
Asurion
LLC
2021
Term
Loan
B9
3.334%
due
07/31/27
(USD
1
Month
LIBOR
+
3.250%)(Ê)
79
79
Bausch
Health
Americas,
Inc.
Term
Loan
B
2.834%
due
11/27/25
(USD
1
Month
LIBOR
+
2.750%)(Ê)
13
13
Caesars
Resort
Collection
LLC
1st
Lien
Term
Loan
B
2.834%
due
12/22/24
(USD
1
Month
LIBOR
+
2.750%)(Ê)
136
135
Caesars
Resort
Collection
LLC
2020
Term
Loan
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
96
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
3.583%
due
06/19/25
(USD
1
Month
LIBOR
+
3.500%)(Ê)
158
158
CSC
Holdings
LLC
2018
Incremental
Term
Loan
2.334%
due
01/15/26
(USD
3
Month
LIBOR
+
2.250%)(Ê)
30
29
Eyecare
Partners
LLC
Term
Loan
3.882%
due
02/20/27
(USD
3
Month
LIBOR
+
3.750%)(Ê)
98
98
First
Eagle
Holdings,
Inc.
Term
Loan
B
2.632%
due
02/02/27
(USD
3
Month
LIBOR
+
2.500%)(Ê)
38
37
Focus
Financial
Partners
LLC
Term
Loan
2.084%
due
07/03/24
(USD
1
Month
LIBOR
+
2.000%)(Ê)
147
145
Genesee
&
Wyoming,
Inc.
New
Term
Loan
2.132%
due
12/30/26
(USD
3
Month
LIBOR
+
2.000%)(Ê)
147
146
Harbor
Freight
Tools
USA,
Inc.
2021
Term
Loan
B
3.250%
due
10/19/27
(USD
1
Month
LIBOR
+
2.750%)(Ê)
139
139
McAfee
LLC
Term
Loan
B
5.750%
due
07/27/28
(USD
3
Month
LIBOR
+
5.000%)(Ê)
190
189
Nexstar
Broadcasting,
Inc.
Term
Loan
B4
2.586%
due
09/19/26
(USD
3
Month
LIBOR
+
2.500%)(Ê)
356
354
Petco
Animal
Supplies,
Inc.
2021
Term
Loan
B
4.000%
due
02/24/28
(USD
3
Month
LIBOR
+
3.250%)(Ê)
129
129
Phoenix
Guarantor,
Inc.
Term
Loan
B
3.336%
due
03/05/26
(USD
1
Month
LIBOR
+
3.250%)(Ê)
121
120
Prime
Security
Services
Borrower
LLC
2021
Term
Loan
3.500%
due
09/23/26
(USD
12
Month
LIBOR
+
2.750%)(Ê)
227
226
Quikrete
Holdings,
Inc.
2021
Term
Loan
B1
0.000%
due
06/11/28
(~)(Ê)(v)
60
60
Southwestern
Energy
Co.
Term
Loan
0.000%
due
06/22/27
(~)(Ê)(v)
120
120
UFC
Holdings
LLC
2021
Term
Loan
B
3.500%
due
04/29/26
(USD
6
Month
LIBOR
+
2.750%)(Ê)
208
207
United
Airlines,
Inc.
2021
Term
Loan
B
4.500%
due
04/21/28
(USD
3
Month
LIBOR
+
3.750%)(Ê)
139
139
Verscend
Holding
Corp.
2021
Term
Loan
B
4.084%
due
08/27/25
(USD
1
Month
LIBOR
+
4.000%)(Ê)
159
159
Virgin
Media
Secured
Finance
PLC
Term
Loan
2.584%
due
01/31/28
(USD
3
Month
LIBOR
+
2.500%)(Ê)
297
293
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Zebra
Buyer
LLC
Term
Loan
B
3.750%
due
11/02/28
(USD
3
Month
LIBOR
+
3.250%)(Ê)
275
276
3,772
Mortgage-Backed
Securities
-
15.6%
Alternative
Loan
Trust
Series
2007-16CB
Class
1A5
0.568%
due
08/25/37
(USD
1
Month
LIBOR
+
0.400%)(Ê)
283
197
Banc
of
America
Funding
Trust
Series
2006-6
Class
2A1
6.000%
due
08/25/36
460
460
Bear
Stearns
Commercial
Mortgage
Securities
Trust
Series
2007-T26
Class
AM
5.513%
due
01/12/45
(~)(Ê)
68
68
BX
Commercial
Mortgage
Trust
Series
2018-IND
Class
E
1.885%
due
11/15/35
(USD
1
Month
LIBOR
+
1.700%)(Ê)(Þ)
418
418
Series
2019-XL
Class
E
3.800%
due
10/15/36
(USD
1
Month
LIBOR
+
1.800%)(Ê)(Þ)
1,201
1,199
Series
2021-CIP
Class
D
1.771%
due
12/15/28
(USD
1
Month
LIBOR
+
1.671%)(Ê)(Þ)
2,674
2,673
CAMB
Commercial
Mortgage
Trust
Series
2019-LIFE
Class
F
2.735%
due
12/15/37
(USD
1
Month
LIBOR
+
2.550%)(Ê)(Þ)
987
985
Series
2021-CX2
Class
A
2.700%
due
11/10/46
(Þ)
3,322
3,419
Citigroup
Commercial
Mortgage
Trust
Series
2013-375P
Class
D
3.635%
due
05/10/35
(~)(Ê)(Þ)
1,418
1,420
CORE
Mortgage
Trust
Series
2019-CORE
Class
D
1.835%
due
12/15/31
(USD
1
Month
LIBOR
+
1.650%)(Ê)(Þ)
1,216
1,196
Credit
Suisse
Mortgage
Trust
Series
2019-ICE4
Class
E
2.335%
due
05/15/36
(USD
1
Month
LIBOR
+
2.150%)(Ê)(Þ)
1,282
1,281
DBGS
Mortgage
Trust
Series
2019-1735
Class
D
4.334%
due
04/10/37
(~)(Ê)(Þ)
985
1,031
Deutsche
Mortgage
Securities,
Inc.
Re-
REMIC
Trust
Series
2007-WM1
Class
A1
3.658%
due
06/27/37
(~)(Ê)(Þ)
278
280
ELP
Commercial
Mortgage
Trust
Series
2021-ELP
Class
D
1.619%
due
11/15/36
(USD
1
Month
LIBOR
+
1.518%)(Ê)(Þ)
926
921
Fannie
Mae
2.560%
due
2028
369
387
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
97
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
2.600%
due
2031
375
401
6.000%
due
2032
12
14
5.000%
due
2033
4
4
5.500%
due
2034
9
10
4.500%
due
2035
231
261
5.500%
due
2037
65
74
5.500%
due
2038
281
320
6.000%
due
2039
24
28
4.000%
due
2040
174
194
5.500%
due
2040
319
356
6.000%
due
2040
75
87
4.000%
due
2041
265
291
6.000%
due
2041
118
136
3.500%
due
2043
582
626
4.000%
due
2044
575
638
3.500%
due
2045
711
764
3.000%
due
2046
95
100
3.500%
due
2046
137
148
4.000%
due
2046
672
731
4.500%
due
2046
245
272
3.000%
due
2047
1,955
2,052
3.500%
due
2047
301
323
4.000%
due
2047
58
62
4.500%
due
2048
849
923
5.000%
due
2048
200
219
3.000%
due
2049
4,169
4,399
4.000%
due
2049
797
868
5.000%
due
2049
459
499
2.500%
due
2050
7,430
7,646
3.000%
due
2050
8,077
8,494
2.000%
due
2051
17,658
17,660
2.500%
due
2051
2,855
2,927
Fannie
Mae
Connecticut
Avenue
Securities
Trust
Series
2018-C03
Class
1M2
2.318%
due
10/25/30
(USD
1
Month
LIBOR
+
2.150%)(Ê)
500
506
Fannie
Mae
REMICS
Series
1999-56
Class
Z
7.000%
due
12/18/29
5
6
Series
2004-W5
Class
A1
6.000%
due
02/25/47
121
141
Series
2005-24
Class
ZE
5.000%
due
04/25/35
113
126
Series
2020-75
Class
LI
Interest
Only
STRIP
2.500%
due
11/25/50
1,434
199
Series
2020-97
Class
EI
Interest
Only
STRIP
2.000%
due
01/25/51
2,201
249
Series
2021-1
Class
IM
Interest
Only
STRIP
2.000%
due
02/25/51
1,804
190
Series
2021-3
Class
KI
Interest
Only
STRIP
2.500%
due
02/25/51
1,373
135
Series
2021-3
Class
NI
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Interest
Only
STRIP
2.500%
due
02/25/51
1,555
215
Series
2021-8
Class
EI
Interest
Only
STRIP
3.500%
due
03/25/51
592
92
Series
2021-8
Class
GI
Interest
Only
STRIP
3.000%
due
03/25/51
705
119
Freddie
Mac
5.500%
due
2038
214
246
6.000%
due
2038
49
56
5.000%
due
2040
109
124
4.000%
due
2041
748
832
4.500%
due
2041
103
114
5.500%
due
2041
118
135
3.500%
due
2043
380
414
4.000%
due
2044
264
290
3.500%
due
2045
537
579
4.000%
due
2045
233
254
3.000%
due
2046
1,797
1,898
4.000%
due
2046
136
148
3.000%
due
2047
633
670
3.000%
due
2048
98
103
4.000%
due
2048
745
809
4.500%
due
2048
177
190
3.000%
due
2049
217
227
2.500%
due
2050
1,908
1,964
3.000%
due
2050
3,378
3,532
2.000%
due
2051
5,701
5,689
2.500%
due
2051
10,458
10,743
Freddie
Mac
Multifamily
Structured
Pass-Through
Certificates
Series
2021-F109
Class
AS
0.290%
due
03/25/31
(SOFR
30
Day
Average
+
0.240%)(Ê)
6,132
6,137
Series
2021-F113
Class
AS
0.257%
due
05/25/28
(SOFR
30
Day
Average
+
0.230%)(Ê)
6,132
6,132
Series
2021-F119
Class
AS
0.260%
due
07/25/31
(SOFR
30
Day
Average
+
0.210%)(Ê)
6,132
6,127
Freddie
Mac
REMICS
Series
2003-2624
Class
QH
5.000%
due
06/15/33
40
45
Series
2006-R007
Class
ZA
6.000%
due
05/15/36
132
152
Series
2010-3632
Class
PK
5.000%
due
02/15/40
73
80
Series
2010-3653
Class
B
4.500%
due
04/15/30
112
121
Series
2012-4010
Class
KM
3.000%
due
01/15/42
53
55
Series
2017-4734
Class
IO
Interest
Only
STRIP
4.000%
due
12/15/47
815
129
Series
2020-5008
Class
IE
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
98
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Interest
Only
STRIP
2.000%
due
09/25/50
917
91
Series
2020-5038
Class
NI
Interest
Only
STRIP
2.000%
due
11/25/50
1,341
140
Series
2020-5050
Class
IP
Interest
Only
STRIP
3.000%
due
10/25/50
2,465
356
Series
2020-5052
Class
IO
Interest
Only
STRIP
3.500%
due
12/25/50
927
133
Series
2020-5052
Class
KI
Interest
Only
STRIP
4.000%
due
12/25/50
1,143
182
Series
2021-5072
Class
IQ
Interest
Only
STRIP
3.500%
due
10/25/50
1,362
223
Series
2021-5072
Class
QI
Interest
Only
STRIP
3.500%
due
10/25/50
1,066
185
Ginnie
Mae
REMICS
Series
2020-134
Class
IL
Interest
Only
STRIP
2.500%
due
09/20/50
471
46
Series
2020-146
Class
EI
Interest
Only
STRIP
2.500%
due
10/20/50
1,415
161
Series
2020-160
Class
GI
Interest
Only
STRIP
2.000%
due
10/20/50
2,363
231
Series
2020-167
Class
BI
Interest
Only
STRIP
2.500%
due
11/20/50
1,487
174
Series
2020-167
Class
IA
Interest
Only
STRIP
2.500%
due
11/20/50
2,775
311
Series
2020-167
Class
IW
Interest
Only
STRIP
2.000%
due
11/20/50
1,702
170
Series
2020-173
Class
MI
Interest
Only
STRIP
2.500%
due
11/20/50
5,055
571
Series
2021-1
Class
AI
Interest
Only
STRIP
2.000%
due
01/20/51
926
112
Series
2021-1
Class
PI
Interest
Only
STRIP
2.500%
due
12/20/50
516
37
Series
2021-9
Class
MI
Interest
Only
STRIP
2.500%
due
01/20/51
1,460
171
Series
2021-23
Class
IA
Interest
Only
STRIP
2.500%
due
02/20/51
1,081
124
Series
2021-23
Class
KI
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Interest
Only
STRIP
3.000%
due
02/20/51
838
96
Hilton
USA
Trust
Series
2016-HHV
Class
D
4.333%
due
11/05/38
(~)(Ê)(Þ)
1,240
1,292
Series
2016-HHV
Class
E
4.333%
due
11/05/38
(~)(Ê)(Þ)
600
603
HMH
Trust
Series
2017-NSS
Class
E
6.292%
due
07/05/31
(Þ)
1,170
1,103
Hospitality
Mortgage
Trust
Series
2019-HIT
Class
D
2.185%
due
11/15/36
(USD
1
Month
LIBOR
+
2.000%)(Ê)(Þ)
1,216
1,201
JPMorgan
Chase
Commercial
Mortgage
Securities
Trust
Series
2004-LN2
Class
B
5.686%
due
07/15/41
(~)(Ê)
13
13
JPMorgan
Mortgage
Trust
Series
2018-3
Class
A3
3.500%
due
09/25/48
(~)(Ê)(Þ)
172
172
Series
2020-3
Class
A15
3.500%
due
08/25/50
(~)(Ê)(Þ)
194
195
Series
2021-6
Class
A6
2.500%
due
10/25/51
(~)(Ê)(Þ)
4,295
4,335
Series
2021-7
Class
A6
2.500%
due
11/25/51
(~)(Ê)(Þ)
4,263
4,314
Series
2021-8
Class
A6
2.500%
due
12/25/51
(~)(Ê)(Þ)
3,833
3,868
Series
2021-INV2
Class
A2
2.500%
due
12/25/51
(~)(Ê)(Þ)
4,772
4,769
Mello
Mortgage
Capital
Acceptance
Series
2021-INV1
Class
A4
2.500%
due
06/25/51
(~)(Ê)(Þ)
1,375
1,389
MHC
Commercial
Mortgage
Trust
Series
2021-MHC
Class
A
0.951%
due
04/15/26
(USD
1
Month
LIBOR
+
0.801%)(Ê)(Þ)
2,275
2,270
Morgan
Stanley
Mortgage
Capital
Holdings
LLC
Trust
Series
2017-237P
Class
D
3.865%
due
09/13/39
(~)(Ê)(Þ)
1,500
1,510
Series
2017-237P
Class
XA
Interest
Only
STRIP
0.468%
due
09/13/39
(~)(Ê)(Þ)
8,761
165
Series
2017-237P
Class
XB
Interest
Only
STRIP
0.175%
due
09/13/39
(~)(Ê)(Þ)
5,418
27
Preston
Ridge
Partners
Mortgage
LLC
Series
2020-6
Class
A1
2.363%
due
11/25/25
(~)(Ê)(Þ)
527
525
Series
2021-3
Class
A1
1.867%
due
04/25/26
(~)(Ê)(Þ)
1,092
1,085
Radnor
RE,
Ltd.
Series
2020-1
Class
M1A
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
99
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
1.118%
due
02/25/30
(USD
1
Month
LIBOR
+
0.950%)(Ê)(Þ)
567
563
RCKT
Mortgage
Trust
Series
2021-2
Class
A5
2.500%
due
06/25/51
(~)(Ê)(Þ)
2,711
2,739
Sequoia
Mortgage
Trust
Series
2015-1
Class
A1
3.500%
due
01/25/45
(~)(Ê)(Þ)
95
96
Series
2021-4
Class
A10
2.500%
due
06/25/51
(~)(Ê)(Þ)
2,471
2,492
UWM
Mortgage
Trust
Series
2021-1
Class
A4
2.500%
due
06/25/51
(~)(Ê)(Þ)
2,482
2,497
Washington
Mutual
Mortgage
Pass-
Through
Certificates
Trust
Series
2005-10
Class
3CB1
6.000%
due
11/25/35
429
400
Wells
Fargo
Mortgage
Backed
Securities
Trust
Series
2020-3
Class
A1
3.000%
due
06/25/50
(~)(Ê)(Þ)
1,195
1,215
WinWater
Mortgage
Loan
Trust
Series
2014-1
Class
A1
3.847%
due
06/20/44
(~)(Ê)(Þ)
139
139
159,926
Municipal
Bonds
-
0.1%
American
Municipal
Power,
Inc.
Revenue
Bonds
8.084%
due
02/15/50
70
132
Port
Authority
of
New
York
&
New
Jersey
Revenue
Bonds
4.926%
due
10/01/51
110
152
Regents
of
the
University
of
California
Medical
Center
Pooled
Revenue
Bonds
3.006%
due
05/15/50
230
237
State
of
California
General
Obligation
Unlimited
7.300%
due
10/01/39
10
16
537
Non-US
Bonds
-
8.9%
Alba
PLC
Series
2007-1
Class
A3
0.342%
due
03/17/39
(GBP
3
Month
LIBOR
+
0.170%)(Ê)
GBP
1,293
1,693
Andorra
Government
International
Bond
1.250%
due
05/06/31
EUR
3,500
4,011
Aqueduct
European
CLO
DAC
Series
2021-3A
Class
AR
0.930%
due
08/15/34
(3
Month
EURIBOR
+
0.930%)(Ê)(Þ)
EUR
1,296
1,475
Australia
Government
International
Bond
Series
162
1.750%
due
06/21/51
AUD
781
493
Series
27CI
0.750%
due
11/21/27
AUD
1,018
881
Avoca
CLO
XXIII
DAC
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
0.840%
due
04/15/34
(3
Month
EURIBOR
+
0.840%)(Ê)(Þ)
EUR
1,588
1,797
Avoca
CLO
XXIV
DAC
0.900%
due
07/15/34
EUR
1,000
1,135
Banque
Centrale
de
Tunisie
Government
International
Bond
Series
REGS
6.750%
due
10/31/23
EUR
2,024
1,918
6.375%
due
07/15/26
EUR
1,163
1,003
Banque
Ouest
Africaine
de
Developpement
Series
REGS
2.750%
due
01/22/33
EUR
421
503
Brazil
Notas
do
Tesouro
Nacional
Series
NTNB
6.000%
due
08/15/30
BRL
120
879
Buoni
del
Tesoro
Poliennali
Bonds
0.500%
due
07/15/28
EUR
1,124
1,263
Carin
CLO
VIII
BV
0.860%
due
10/30/30
EUR
2,246
2,557
China
Government
International
Bond
0.250%
due
11/25/30
EUR
100
110
0.625%
due
11/17/33
EUR
1,360
1,490
0.625%
due
11/25/35
EUR
174
188
Contego
CLO
DAC
0.950%
due
01/24/34
EUR
1,700
1,938
Crosthwaite
Park
CLO
DAC
0.850%
due
03/18/34
EUR
1,266
1,437
European
Union
Series
NGEU
0.010%
due
07/04/31
EUR
1,616
1,827
0.400%
due
02/04/37
EUR
677
779
0.450%
due
07/04/41
EUR
1,349
1,529
Eurosail
PLC
Series
2006-4X
Class
A3C
0.946%
due
12/10/44
(GBP
3
Month
LIBOR
+
0.160%)(Ê)
GBP
161
217
Eurosail
PRIME-UK
PLC
Series
2007-PR1X
Class
A1
0.598%
due
09/13/45
(GBP
3
Month
LIBOR
+
0.400%)(Ê)
GBP
567
753
Eurosail
-UK
PLC
0.795%
due
09/13/45
GBP
728
972
Harvest
CLO
XXVI
DAC
Series
2021-26A
Class
A
0.940%
due
01/15/34
(3
Month
EURIBOR
+
0.940%)(Ê)(Þ)
EUR
1,402
1,588
Indonesia
Government
International
Bond
Series
FR87
6.500%
due
02/15/31
IDR
7,466,000
529
Italy
Buoni
Poliennali
Del
Tesoro
2.150%
due
03/01/72
(Þ)
EUR
852
927
Japan
2
Year
Government
International
Bond
Series
423
0.005%
due
04/01/23
JPY
1,300,000
11,314
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
100
Strategic
Bond
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Japan
20
Year
Government
International
Bond
Series
68
2.200%
due
03/20/24
JPY
631,800
5,769
Last
Mile
Logistics
Group,
Inc.
0.750%
due
08/17/26
EUR
1,434
1,633
Last
Mile
Securities
0.900%
due
08/17/31
EUR
1,044
1,190
Madison
Park
Euro
Funding
IX
DAC
Series
2021-9A
Class
AR
0.880%
due
07/15/35
(3
Month
EURIBOR
+
0.880%)(Ê)(Þ)
EUR
1,123
1,276
Mexican
Bonos
de
Desarrollo
Series
M
30
8.500%
due
11/18/38
MXN
13,850
712
Mexico
Government
International
Bond
2.125%
due
10/25/51
EUR
1,539
1,445
4.000%
due
03/15/15
EUR
1,011
1,234
Newgate
Funding
PLC
Series
2006-1
Class
A4
1.086%
due
12/01/50
(GBP
3
Month
LIBOR
+
0.190%)(Ê)
GBP
618
828
Series
2006-3X
Class
A3B
3.732%
due
12/01/50
(3
Month
EURIBOR
+
0.170%)(Ê)
EUR
2,528
2,805
Series
2007-1X
Class
A3
0.240%
due
12/01/50
(GBP
3
Month
LIBOR
+
0.160%)(Ê)
GBP
374
489
Paragon
Mortgages
(No.
12)
PLC
0.293%
due
11/15/38
(GBP
3
Month
LIBOR
+
0.240%)(Ê)
GBP
2,617
3,454
Petroleos
Mexicanos
Series
14-2
7.470%
due
11/12/26
MXN
51,280
2,261
Series
REGS
7.190%
due
09/12/24
MXN
66,598
3,090
Republic
of
Albania
Government
International
Bond
Series
REGS
3.500%
due
11/23/31
EUR
960
1,073
Republic
of
South
Africa
Government
International
Bond
Series
2037
8.500%
due
01/31/37
ZAR
48,460
2,567
RMAC
Securities
No.
1
PLC
0.245%
due
06/12/44
GBP
458
600
Series
2006-NS1X
Class
A2A
1.050%
due
06/12/44
(GBP
3
Month
LIBOR
+
0.150%)(Ê)
GBP
376
492
Series
2006-NS4X
Class
A3A
0.368%
due
06/12/44
(GBP
3
Month
LIBOR
+
0.170%)(Ê)
GBP
848
1,113
Rockfield
Park
CLO
DAC
Series
2021-1A
Class
A1
0.900%
due
07/16/34
(3
Month
EURIBOR
+
0.900%)(Ê)(Þ)
EUR
1,391
1,567
Romania
Government
International
Bond
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Series
REGS
2.124%
due
07/16/31
EUR
223
242
2.000%
due
04/14/33
EUR
202
209
2.625%
due
12/02/40
EUR
1,465
1,484
2.750%
due
04/14/41
EUR
847
860
2.875%
due
04/13/42
EUR
1,166
1,188
Taurus
CMBS
1.022%
due
08/17/31
GBP
2,119
2,870
1.572%
due
08/17/31
GBP
495
670
Taurus
UK
Designated
Activity
Co.
Series
2021-UK1A
Class
A
1.043%
due
05/17/31
(3
Month
SONIA
Deposit
Rate
+
0.850%)(Ê)(Þ)
GBP
496
672
Series
2021-UK1A
Class
B
1.493%
due
05/17/31
(3
Month
SONIA
Deposit
Rate
+
1.300%)(Ê)(Þ)
GBP
496
672
Towd
Point
Mortgage
Funding
Series
2019-A13X
Class
B
1.251%
due
07/20/45
(3
Month
SONIA
Deposit
Rate
+
1.200%)(Ê)
GBP
1,612
2,182
Warwick
Finance
Residential
Mortgages
Number
Three
PLC
0.854%
due
12/21/49
(SONIA +
0.950%)(Ê)(ƒ)(Þ)
GBP
920
1,247
91,100
United
States
Government
Treasuries
-
18.0%
United
States
Treasury
Notes
0.125%
due
01/31/23
1,765
1,759
2.000%
due
02/15/23
2,340
2,380
1.750%
due
05/15/23
7,490
7,614
0.125%
due
05/31/23
1,020
1,014
2.750%
due
05/31/23
80
82
1.375%
due
06/30/23
5,420
5,484
0.125%
due
07/15/23
3,460
3,435
1.250%
due
07/31/23
2,700
2,727
1.625%
due
10/31/23
4,360
4,433
2.125%
due
11/30/23
3,870
3,974
0.125%
due
01/15/24
18,549
18,316
0.250%
due
05/15/24
3,750
3,699
1.250%
due
08/31/24
3,615
3,648
2.000%
due
02/15/25
3,895
4,012
0.375%
due
04/30/25
2,421
2,367
2.125%
due
05/15/25
3,485
3,607
0.250%
due
06/30/25
2,391
2,323
2.000%
due
08/15/25
4,068
4,195
0.250%
due
09/30/25
1,886
1,826
3.000%
due
10/31/25
2,925
3,128
2.250%
due
11/15/25
3,660
3,812
1.625%
due
02/15/26
3,338
3,395
2.250%
due
03/31/26
2,855
2,977
1.625%
due
05/15/26
3,050
3,101
1.500%
due
08/15/26
6,980
7,060
2.375%
due
05/15/27
3,125
3,298
0.500%
due
05/31/27
6,160
5,899
0.375%
due
07/31/27
1,822
1,731
0.750%
due
01/31/28
3,272
3,151
2.750%
due
02/15/28
4,612
4,985
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
101
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
2.875%
due
05/15/28
909
990
2.875%
due
08/15/28
3,410
3,724
2.375%
due
05/15/29
2,630
2,803
1.750%
due
11/15/29
3,692
3,784
0.625%
due
08/15/30
6,577
6,135
0.875%
due
11/15/30
6,182
5,878
3.125%
due
11/15/31
3,397
3,776
1.125%
due
05/15/40
2,905
2,546
1.125%
due
08/15/40
2,972
2,595
1.375%
due
11/15/40
2,804
2,555
2.750%
due
11/15/42
1,365
1,556
2.875%
due
05/15/43
1,490
1,731
3.625%
due
02/15/44
1,949
2,536
3.125%
due
08/15/44
1,425
1,730
2.875%
due
08/15/45
1,365
1,603
3.000%
due
05/15/47
1,424
1,728
2.750%
due
11/15/47
2,010
2,340
3.000%
due
02/15/48
1,784
2,177
3.125%
due
05/15/48
1,828
2,285
3.375%
due
11/15/48
1,984
2,596
2.875%
due
05/15/49
2,170
2,614
2.375%
due
11/15/49
2,552
2,803
1.250%
due
05/15/50
4,930
4,186
2.000%
due
08/15/51
800
816
184,919
Total
Long-Term
Investments
(cost
$871,413
)
870,502
Common
Stocks
-
0.0%
Technology
-
0.0%
Sungard
Availability
Services
Capital,
LP(Æ)(Š)
1,760
—
Total
Common
Stocks
(cost
$44)
—
Short-Term
Investments
-
13.0%
Aetna,
Inc.
2.750%
due
11/15/22
50
51
Air
Lease
Corp.
Series
3Y
3.500%
due
01/15/22
(ç)
40
40
Apache
Corp.
3.250%
due
04/15/22
16
16
Apollo
Commercial
Real
Estate
Finance,
Inc.
4.750%
due
08/23/22
740
743
BHP
Billiton
Finance
USA,
Ltd.
2.875%
due
02/24/22
(ç)
5
5
Continental
Airlines
Pass-Through
Trust
Series
071A
Class
A
5.983%
due
04/19/22
17
17
EQT
Corp.
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
3.000%
due
10/01/22
320
323
Ford
Motor
Credit
Co.
LLC
Series
FXD
3.350%
due
11/01/22
200
203
International
Lease
Finance
Corp.
5.875%
due
08/15/22
410
422
Intesa
Sanpaolo
SpA
3.125%
due
07/14/22
(Þ)
200
202
NBK
SPC,
Ltd.
2.750%
due
05/30/22
(Þ)
714
719
Pacific
Gas
and
Electric
Co.
1.750%
due
06/16/22
380
380
Park
Aerospace
Holdings,
Ltd.
5.250%
due
08/15/22
(Þ)
4
4
Range
Resources
Corp.
5.875%
due
07/01/22
12
12
Teva
Pharmaceutical
Finance
Co.
BV
2.950%
due
12/18/22
23
23
U.S.
Cash
Management
Fund(@)
93,194,139(∞)
93,166
UBS
Group
AG
1.750%
due
04/21/22
(Þ)
220
221
UniCredit
SpA
6.572%
due
01/14/22
(Þ)
720
721
United
Continental
Holdings,
Inc.
4.250%
due
10/01/22
210
213
United
States
Treasury
Notes
2.375%
due
03/15/22
34,397
34,552
1.625%
due
12/15/22
1,675
1,695
Total
Short-Term
Investments
(cost
$133,729)
133,728
Total
Investments
-
97.9%
(identified
cost
$1,005,186)
1,004,230
Other
Assets
and
Liabilities,
Net
-
2.1%
21,582
Net
Assets
-
100.0%
1,025,812
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
102
Strategic
Bond
Fund
Restricted
Securities
Amounts
in
thousands
(except
share
and
cost
per
unit
amounts)
%
of
Net
Assets
Acquisition
Principal
Amount
($)
Cost
per
Unit
Cost
(000)
Fair
Value
(000)
Securities
Date
or
shares
$
$
$
24.7%
Abu
Dhabi
Government
International
Bond
04/08/20
270,000
96.25
260
314
Abu
Dhabi
Government
International
Bond
04/12/21
200,000
96.08
192
194
Abu
Dhabi
National
Energy
Co.
PJSC
04/15/21
200,000
110.26
221
217
Adani
Ports
&
Special
Economic
Zone,
Ltd.
09/10/21
515,000
104.21
537
529
ADCB
Finance
Cayman,
Ltd.
11/03/21
908,000
103.71
942
938
African
Export-Import
Bank
(The)
05/10/21
1,530,000
100.00
1,530
1,535
Air
Liquide
Finance
SA
07/13/21
916,000
102.91
943
935
Alimentation
Couche-Tard,
Inc.
09/19/17
702,000
102.28
718
752
Alrosa
Finance
SA
11/03/21
894,000
105.84
946
936
Ambac
Assurance
Corp.
02/09/17
881
168.77
1
1
American
Airlines
Group,
Inc.
04/12/21
160,000
104.05
166
166
American
Airlines
Group,
Inc.
04/12/21
140,000
106.72
149
150
American
Transmission
Systems,
Inc.
11/29/21
190,000
99.73
189
192
Americo
Life,
Inc.
04/12/21
70,000
99.74
70
68
AmFam
Holdings,
Inc.
04/09/21
100,000
103.46
103
110
AmFam
Holdings,
Inc.
04/12/21
120,000
100.14
120
123
Amur
Equipment
Finance
Receivables
IX
LLC
04/14/21
735,000
99.99
735
726
Anglo
American
Capital
PLC
04/12/21
360,000
112.23
404
397
Aqueduct
European
CLO
DAC
06/15/21
EUR
1,296,000
121.27
1,572
1,475
Arbor
Realty
CLO,
Ltd.
05/26/21
1,029,000
100.00
1,029
1,027
Arbor
Realty
CLO,
Ltd.
11/17/21
2,087,000
100.00
2,087
2,089
Arbor
Realty
Commercial
Real
Estate,
Ltd.
09/20/21
5,030,000
100.00
5,031
5,016
Ares
LXI
CLO,
Ltd.
08/20/21
4,022,000
100.00
4,022
4,022
Aviation
Capital
Group
LLC
04/13/21
170,000
110.29
187
186
Aviation
Capital
Group
LLC
10/06/21
898,000
103.70
931
924
Avoca
CLO
XXIII
DAC
04/23/21
EUR
1,588,000
121.00
1,921
1,797
Avolon
Holdings
Funding,
Ltd.
04/12/21
150,000
100.77
151
153
Avolon
Holdings
Funding,
Ltd.
04/12/21
130,000
104.00
135
136
Avolon
Holdings
Funding,
Ltd.
04/12/21
370,000
104.99
388
392
Banco
de
Credito
del
Peru
12/04/19
693,000
102.06
707
716
Banco
Inbursa
SA
Institucion
de
Banca
Multiple
01/06/20
711,000
102.33
728
741
Banco
Internacional
del
Peru
SAA
Interbank
09/09/21
928,000
101.93
946
948
Banco
Mercantil
del
Norte
SA
04/09/21
240,000
117.44
282
275
Bank
of
China,
Ltd.
04/12/21
833,000
109.46
912
908
Bayer
US
Finance
II
LLC
06/18/21
961,000
105.66
1,015
1,004
Bayer
US
Finance
LLC
08/02/18
726,000
100.35
729
759
BBVA
Banco
Continental
SA
12/22/21
897,000
105.42
946
942
BBVA
Bancomer
SA
10/07/21
862,000
107.27
925
916
BDS,
Ltd.
05/14/21
1,558,000
100.00
1,558
1,554
BDS,
Ltd.
07/22/21
1,043,000
100.00
1,043
1,037
Bellemeade
Re,
Ltd.
02/08/21
1,118,893
101.22
1,133
1,122
Bellemeade
Re,
Ltd.
04/13/21
1,780,000
100.67
1,792
1,782
Bellemeade
Re,
Ltd.
04/23/21
881,000
100.99
890
882
Bellemeade
Re,
Ltd.
06/11/21
2,607,000
100.00
2,607
2,601
Bellemeade
Re,
Ltd.
06/11/21
1,759,000
100.12
1,761
1,755
Bellemeade
Re,
Ltd.
09/23/21
2,380,000
100.00
2,380
2,357
Bermuda
Government
International
Bond
04/12/21
380,000
98.51
374
379
Berry
Petroleum
Corp.
04/13/21
490,000
98.47
483
485
Bharti
Airtel
International
Netherlands
BV
09/26/19
693,000
102.00
707
719
Bharti
Airtel,
Ltd.
09/13/21
877,000
107.96
947
934
Blackstone
Holdings
Finance
Co.
LLC
09/09/21
900,000
104.89
944
936
BNP
Paribas
SA
08/07/18
200,000
99.62
199
224
BNP
Paribas
SA
06/02/20
680,000
101.80
692
686
BNP
Paribas
SA
06/10/20
722,000
109.10
788
800
BNP
Paribas
SA
04/09/21
400,000
91.27
365
382
BNP
Paribas
SA
06/23/21
210,000
100.00
210
206
BNP
Paribas
SA
09/08/21
270,000
100.00
270
265
BOC
Aviation
USA
Corp.
05/06/21
200,000
100.15
200
200
BPCE
SA
10/12/21
300,000
100.00
300
301
Broadcom,
Inc.
04/12/21
820,000
99.89
819
819
BX
Commercial
Mortgage
Trust
08/04/21
417,510
100.30
419
418
BX
Commercial
Mortgage
Trust
12/02/21
2,674,000
99.86
2,670
2,673
BX
Commercial
Mortgage
Trust
12/17/21
1,201,050
99.98
1,201
1,199
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
103
Restricted
Securities
Amounts
in
thousands
(except
share
and
cost
per
unit
amounts)
%
of
Net
Assets
Acquisition
Principal
Amount
($)
Cost
per
Unit
Cost
(000)
Fair
Value
(000)
Securities
Date
or
shares
$
$
$
Cabot
Oil
&
Gas
Corp.
04/11/17
260,000
102.29
266
279
Cabot
Oil
&
Gas
Corp.
02/13/19
150,000
106.62
160
159
CAMB
Commercial
Mortgage
Trust
01/25/19
987,000
100.12
988
985
CAMB
Commercial
Mortgage
Trust
10/22/21
3,322,000
102.98
3,421
3,419
Cameron
LNG
LLC
04/09/21
70,000
107.80
75
75
Carlyle
Global
Market
Strategies
CLO,
Ltd.
09/07/21
2,298,000
100.00
2,298
2,296
CCO
Holdings
LLC
/
CCO
Holdings
Capital
Corp.
04/14/20
10,000
101.73
10
10
CCO
Holdings
LLC
/
CCO
Holdings
Capital
Corp.
04/12/21
80,000
104.67
84
82
Cedar
Funding,
Ltd.
07/03/18
1,600,000
100.00
1,600
1,600
Cheniere
Energy
Partners,
LP
09/13/21
290,000
100.32
291
293
CHS/Community
Health
Systems,
Inc.
04/12/21
140,000
103.72
145
143
Citigroup
Commercial
Mortgage
Trust
02/12/19
1,418,000
0.99
1,403
1,420
CLI
Funding
VI
LLC
10/02/20
1,461,742
99.98
1,461
1,451
Comcast
Corp.
10/28/16
364,000
99.55
362
352
Comcast
Corp.
04/02/20
30,000
103.10
31
29
Comcast
Corp.
04/09/21
117,000
98.43
115
111
Comision
Federal
de
Electricidad
04/12/21
200,000
96.95
194
196
Commonwealth
Bank
of
Australia
04/09/21
200,000
105.25
211
214
Commonwealth
Bank
of
Australia
04/12/21
200,000
98.04
196
197
Commonwealth
Bank
of
Australia
06/17/21
886,000
117.86
1,044
1,033
Comstock
Resources,
Inc.
06/14/21
330,000
100.40
331
338
ConocoPhillips
Co.
08/22/18
90,000
100.00
90
99
Continental
Resources,
Inc.
11/09/21
80,000
100.00
80
79
Continental
Resources,
Inc.
11/09/21
120,000
99.92
120
117
CORE
Mortgage
Trust
03/01/19
1,216,000
100.00
1,216
1,196
Coterra
Energy,
Inc.
12/04/19
330,000
107.65
355
369
Covey
Park
Energy
LLC
04/13/21
180,000
103.47
186
186
Credicorp
,
Ltd.
04/12/21
922,000
101.20
933
931
Credit
Agricole
SA
06/11/20
734,000
106.95
785
788
Credit
Agricole
SA
07/12/21
897,000
104.23
935
929
Credit
Suisse
Group
AG
07/07/20
699,000
110.18
770
759
Credit
Suisse
Group
AG
04/12/21
750,000
107.49
806
793
Credit
Suisse
Group
AG
04/12/21
550,000
108.50
597
586
Credit
Suisse
Group
AG
04/14/21
360,000
108.48
391
388
Credit
Suisse
Group
AG
05/10/21
480,000
100.00
480
488
Credit
Suisse
Mortgage
Trust
05/28/19
1,282,000
100.00
1,282
1,281
DAE
Funding
LLC
06/15/21
220,000
99.52
219
218
Daimler
Finance
NA
LLC
07/08/21
903,000
103.20
932
928
Danone
SA
04/22/19
718,000
100.06
718
736
Danske
Bank
A/S
03/11/19
862,000
102.71
891
928
Danske
Bank
A/S
09/17/19
200,000
101.43
203
208
Danske
Bank
A/S
09/07/21
200,000
100.00
200
195
DBGS
Mortgage
Trust
04/03/19
985,000
101.24
997
1,031
DCP
Midstream
Operating,
LP
12/11/19
50,000
107.65
54
65
Delta
Air
Lines,
Inc.
05/11/20
280,000
98.16
275
320
Delta
Air
Lines,
Inc.
09/16/20
180,000
103.23
186
189
Delta
Air
Lines,
Inc.
09/16/20
300,000
106.42
319
328
Deutsche
Mortgage
Securities,
Inc.
Re-REMIC
Trust
01/04/17
277,641
100.53
279
280
Deutsche
Telekom
International
Finance
BV
12/22/21
926,000
102.15
946
944
DISH
DBS
Corp.
11/10/21
150,000
100.00
150
152
Dryden
50
Senior
Loan
Fund
04/08/21
4,353,000
100.08
4,357
4,354
Dryden
85
CLO,
Ltd.
09/20/21
3,959,000
100.00
3,959
3,959
Eagle
Re,
Ltd.
01/27/20
511,000
100.00
511
508
Eagle
Re,
Ltd.
12/17/20
732,000
100.24
734
736
Eagle
Re,
Ltd.
04/09/21
1,268,000
100.00
1,268
1,273
Eagle
Re,
Ltd.
10/29/21
1,515,000
100.00
1,515
1,517
ELP
Commercial
Mortgage
Trust
11/01/21
926,000
99.61
922
921
Enel
Finance
International
NV
01/05/18
706,000
100.87
712
755
Eni
SpA
08/04/21
892,000
105.48
941
933
EnLink
Midstream
LLC
04/13/21
280,000
99.75
279
291
EQT
Corp.
05/10/21
30,000
100.00
30
31
EQT
Corp.
05/10/21
30,000
100.00
30
31
Fidelity
&
Guaranty
Life
Holdings,
Inc.
04/16/21
50,000
112.46
56
56
First
Quantum
Minerals,
Ltd.
04/12/21
200,000
103.36
207
206
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
104
Strategic
Bond
Fund
Restricted
Securities
Amounts
in
thousands
(except
share
and
cost
per
unit
amounts)
%
of
Net
Assets
Acquisition
Principal
Amount
($)
Cost
per
Unit
Cost
(000)
Fair
Value
(000)
Securities
Date
or
shares
$
$
$
First
Quantum
Minerals,
Ltd.
04/13/21
480,000
108.38
520
517
Florida
Gas
Transmission
Co.
LLC
09/15/21
520,000
99.92
520
509
FNA
VI
LLC
01/22/21
647,712
99.99
648
632
Fresnillo
PLC
04/09/21
260,000
98.42
256
272
Genting
New
York
LLC
04/13/21
440,000
100.32
441
436
Glencore
Funding
LLC
10/12/16
40,000
100.60
40
43
Glencore
Funding
LLC
09/13/17
220,000
100.37
221
237
Glencore
Funding
LLC
01/16/19
50,000
95.50
48
54
Glencore
Funding
LLC
03/05/19
550,000
102.06
561
578
Glencore
Funding
LLC
04/13/21
140,000
100.40
141
139
Glencore
Funding
LLC
09/15/21
70,000
99.78
70
68
Glencore
Funding
LLC
12/20/21
912,000
104.05
949
948
Goldentree
Loan
Management
US
CLO
7,
Ltd.
04/01/21
1,147,000
100.00
1,147
1,143
GoodLeap
Sustainable
Home
Improvements
10/21/21
1,126,000
99.99
1,126
1,123
Grupo
Bimbo
SAB
de
CV
11/04/21
879,000
106.31
934
927
Harvest
CLO
XXVI
DAC
06/24/21
EUR
1,402,000
119.34
1,673
1,588
Heineken
NV
10/06/21
921,000
102.70
946
941
HGI
CRE
CLO,
Ltd.
05/06/21
2,190,000
100.03
2,191
2,185
HGI
CRE
CLO,
Ltd.
09/17/21
2,486,000
100.00
2,486
2,478
Highlands
Holdings
Bond
Issuer,
Ltd.
04/12/21
302,143
105.95
320
320
Hilton
Domestic
Operating
Co.,
Inc.
04/16/20
40,000
100.00
40
43
Hilton
Domestic
Operating
Co.,
Inc.
04/16/20
120,000
100.23
120
125
Hilton
USA
Trust
11/22/16
1,840,000
89.89
1,691
1,895
HMH
Trust
06/09/17
1,170,000
99.98
1,170
1,103
HOM
RE,
Ltd.
01/28/21
844,000
100.00
844
843
Hospitality
Mortgage
Trust
05/16/19
1,216,234
100.00
1,216
1,201
Huntington
Bancshares,
Inc.
06/18/21
1,012,000
100.35
1,016
970
ICICI
Bank,
Ltd.
09/06/18
782,000
101.02
790
833
ING
Bank
NV
04/16/21
935,000
108.54
1,015
1,006
Innogy
Finance
BV
12/02/20
621,000
145.02
901
879
Intesa
Sanpaolo
SpA
07/10/17
200,000
99.98
200
202
Intesa
Sanpaolo
SpA
01/05/18
200,000
99.94
200
204
Intesa
Sanpaolo
SpA
04/12/21
200,000
107.15
214
214
Intesa
Sanpaolo
SpA
05/24/21
400,000
100.58
402
411
Intesa
Sanpaolo
SpA
05/24/21
410,000
100.87
414
414
Inversiones
CMPC
SA
07/08/21
904,000
103.92
939
933
Italy
Buoni
Poliennali
Del
Tesoro
04/07/21
EUR
852,000
117.68
1,003
927
JPMorgan
Mortgage
Trust
06/05/20
172,388
103.10
178
172
JPMorgan
Mortgage
Trust
03/30/21
193,914
102.14
198
195
JPMorgan
Mortgage
Trust
04/26/21
4,294,725
102.77
4,414
4,335
JPMorgan
Mortgage
Trust
05/24/21
4,262,546
102.86
4,384
4,314
JPMorgan
Mortgage
Trust
06/24/21
8,604,790
102.23
8,793
8,637
KazMunayGas
National
Co.
JSC
04/17/18
200,000
100.00
200
233
Kerry
Group
Financial
Services
Unltd
.
Co.
06/21/21
1,000,000
102.61
1,026
1,021
KKR
Group
Finance
Co.
II
LLC
02/20/15
10,000
109.22
11
13
KKR
Group
Finance
Co.
II
LLC
12/01/21
90,000
99.68
90
90
KKR
Group
Finance
Co.
III
LLC
04/16/21
100,000
125.53
126
129
Klabin
Austria
GmbH
04/12/21
200,000
95.59
191
185
Kookmin
Bank
08/05/21
913,000
106.07
968
951
Kyndryl
Holdings,
Inc.
10/07/21
230,000
98.68
227
223
Kyndryl
Holdings,
Inc.
10/07/21
320,000
99.75
319
310
Kyndryl
Holdings,
Inc.
10/07/21
120,000
99.88
120
117
LCM
XXIII,
Ltd.
01/29/20
1,020,000
100.00
1,020
1,020
LCM
XXV,
Ltd.
07/10/17
1,904,000
100.05
1,905
1,904
Lithia
Motors,
Inc.
06/04/21
190,000
103.25
196
194
Lithia
Motors,
Inc.
06/07/21
110,000
105.19
116
116
Lloyds
Banking
Group
PLC
09/03/20
681,000
117.23
798
689
LPL
Holdings,
Inc.
05/10/21
80,000
100.68
81
82
Lukoil
International
Finance
BV
09/19/17
682,000
101.90
695
704
Lukoil
International
Finance
BV
10/19/21
550,000
100.00
550
542
Madison
Park
Euro
Funding
IX
DAC
06/09/21
EUR
1,123,000
121.77
1,367
1,276
Madison
Park
Funding
XLVIII,
Ltd.
01/15/21
1,158,000
100.00
1,158
1,158
Mars,
Inc.
04/09/21
240,000
93.54
224
228
Massachusetts
Mutual
Life
Insurance
Co.
04/09/21
70,000
100.36
70
74
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
105
Restricted
Securities
Amounts
in
thousands
(except
share
and
cost
per
unit
amounts)
%
of
Net
Assets
Acquisition
Principal
Amount
($)
Cost
per
Unit
Cost
(000)
Fair
Value
(000)
Securities
Date
or
shares
$
$
$
MEG
Energy
Corp.
01/19/21
80,000
101.20
81
84
MEG
Energy
Corp.
04/12/21
140,000
105.01
147
149
MEG
Energy
Corp.
04/29/21
72,000
102.97
74
73
Melco
Resorts
Finance,
Ltd.
04/12/21
240,000
105.33
253
233
Mello
Mortgage
Capital
Acceptance
06/14/21
1,374,594
102.63
1,411
1,389
MHC
Commercial
Mortgage
Trust
04/06/21
2,275,000
99.77
2,270
2,270
Microchip
Technology,
Inc.
05/18/21
160,000
100.00
160
157
Mileage
Plus
Holdings
LLC
/
Mileage
Plus
Intellectual
Property
Assets,
Ltd.
06/25/20
340,000
104.96
357
363
Mondelez
International,
Inc.
08/09/21
690,000
103.88
717
705
Morgan
Stanley
Mortgage
Capital
Holdings
LLC
Trust
08/11/17
5,418,000
0.50
27
27
Morgan
Stanley
Mortgage
Capital
Holdings
LLC
Trust
08/11/17
8,761,000
1.88
165
165
Morgan
Stanley
Mortgage
Capital
Holdings
LLC
Trust
08/11/17
1,500,000
97.46
1,462
1,510
NBK
SPC,
Ltd.
09/30/19
714,000
100.12
715
719
Nestle
Holdings,
Inc.
01/03/20
698,000
102.29
714
727
Netflix,
Inc.
04/12/21
110,000
114.89
126
128
Netflix,
Inc.
04/12/21
50,000
118.04
59
59
Neuberger
Berman
CLO
XV,
Ltd.
08/31/21
2,766,000
100.00
2,766
2,768
Neuberger
Berman
Loan
Advisers
CLO
24,
Ltd.
08/24/21
589,000
100.14
590
589
New
York
Life
Insurance
Co.
04/09/21
180,000
107.85
194
205
New
York
Life
Insurance
Co.
04/09/21
50,000
120.93
60
64
NGPL
PipeCo
LLC
09/26/19
553,000
127.68
706
774
Nippon
Life
Insurance
Co.
04/09/21
250,000
96.18
240
245
Nissan
Motor
Acceptance
Corp.
09/10/20
300,000
100.00
300
324
Nissan
Motor
Acceptance
Corp.
09/10/20
280,000
100.00
280
293
Nissan
Motor
Acceptance
Corp.
04/14/21
440,000
103.47
455
451
Nordea
Bank
Abp
04/16/21
913,000
110.95
1,013
1,013
Northern
Oil
and
Gas,
Inc.
04/12/21
190,000
100.14
190
200
Northwestern
Mutual
Life
Insurance
Co.
(The)
04/09/21
480,000
101.70
488
513
Northwestern
Mutual
Life
Insurance
Co.
(The)
04/09/21
80,000
104.02
83
88
NRG
Energy,
Inc.
04/12/21
390,000
99.95
390
386
NTT
Finance
Corp.
04/12/21
200,000
99.63
199
200
NXP
BV
/
NXP
Funding
LLC
04/12/21
80,000
105.69
85
85
NYACK
Park
CLO,
Ltd.
09/02/21
5,290,000
100.00
5,291
5,283
Oaktown
Re
III,
Ltd.
01/26/21
1,355,000
100.46
1,361
1,355
Oaktown
Re
VI,
Ltd.
04/14/21
1,465,000
100.00
1,465
1,473
Oaktown
Re
VII,
Ltd.
10/15/21
821,000
100.00
821
821
Oaktown
Re,
Ltd.
09/28/21
1,475,000
101.93
1,503
1,466
OCP
CLO,
Ltd.
10/28/21
3,087,000
100.00
3,087
3,084
OCP
SA
06/10/21
200,000
99.39
199
194
OCP
SA
06/11/21
200,000
100.42
201
189
Octane
Receivables
Trust
10/26/21
1,823,364
99.99
1,823
1,813
OneMain
Financial
Issuance
Trust
10/21/20
1,242,000
104.67
1,300
1,270
OneMain
Financial
Issuance
Trust
10/21/20
500,000
106.34
532
526
Panasonic
Corp.
09/13/21
912,000
104.56
954
941
Paraguay
Government
International
Bond
04/09/21
200,000
113.97
228
228
Park
Aerospace
Holdings,
Ltd.
03/06/19
4,000
100.43
4
4
Parsley
Energy
LLC
/
Parsley
Finance
Corp.
09/25/20
10,000
93.36
9
10
Petroleos
del
Peru
SA
04/09/21
200,000
106.12
212
198
POSCO
07/12/21
850,000
105.02
893
885
Preston
Ridge
Partners
Mortgage
LLC
12/01/20
526,574
100.00
527
525
Preston
Ridge
Partners
Mortgage
LLC
04/28/21
1,091,777
100.00
1,092
1,085
Prosus
NV
02/03/21
909,000
100.69
915
873
Provincia
de
Buenos
Aires
08/27/21
151,811
46.76
71
65
Provincia
de
Cordoba
04/12/21
230,000
62.60
144
145
Provincia
de
Cordoba
04/12/21
200,000
69.50
139
150
Qatar
Government
International
Bond
04/07/20
360,000
100.00
360
447
Qatar
Petroleum
06/30/21
670,000
98.98
663
664
Radnor
RE,
Ltd.
01/21/20
567,000
100.00
567
563
Radnor
RE,
Ltd.
06/15/21
1,414,665
100.54
1,422
1,415
Radnor
RE,
Ltd.
11/05/21
1,014,000
100.00
1,014
1,015
RCKT
Mortgage
Trust
06/22/21
2,711,230
102.06
2,767
2,739
Renesas
Electronics
Corp.
11/18/21
200,000
100.00
200
199
Renesas
Electronics
Corp.
11/18/21
410,000
100.00
410
409
Resorts
World
Las
Vegas
LLC
/
RWLV
Capital,
Inc.
07/07/20
809,000
98.70
799
814
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
106
Strategic
Bond
Fund
Restricted
Securities
Amounts
in
thousands
(except
share
and
cost
per
unit
amounts)
%
of
Net
Assets
Acquisition
Principal
Amount
($)
Cost
per
Unit
Cost
(000)
Fair
Value
(000)
Securities
Date
or
shares
$
$
$
Riserva
CLO,
Ltd.
03/01/21
940,000
100.00
940
935
Roche
Holdings,
Inc.
08/06/21
422,000
99.95
422
417
Rocket
Mortgage
LLC
/
Rocket
Mortgage
Co-Issuer,
Inc.
09/21/21
140,000
100.00
140
142
Rocket
Mortgage
LLC
/
Rocket
Mortgage
Co-Issuer,
Inc.
09/21/21
160,000
100.00
160
159
Rockfield
Park
CLO
DAC
06/30/21
EUR
1,391,000
118.58
1,649
1,567
SABIC
Capital
II
BV
07/07/20
737,000
103.85
765
773
Sands
China,
Ltd.
09/09/21
200,000
99.76
200
188
Sands
China,
Ltd.
09/09/21
200,000
99.79
200
188
Sands
China,
Ltd.
11/23/21
200,000
100.00
200
210
Santander
UK
Group
Holdings
PLC
03/05/19
701,000
101.65
713
765
Santander
UK
Group
Holdings
PLC
05/14/19
909,000
105.96
963
967
Saudi
Arabian
Oil
Co.
04/07/20
768,000
99.18
762
793
Schlumberger
Holdings
Corp.
12/10/15
40,000
99.97
40
43
Sequoia
Mortgage
Trust
10/21/16
95,374
102.81
98
96
Sequoia
Mortgage
Trust
05/06/21
2,471,222
102.74
2,539
2,492
Shackleton
CLO,
Ltd.
04/04/18
930,000
100.00
930
926
Siemens
Financieringsmaatschappij
NV
01/04/21
891,000
102.86
916
909
SK
Hynix,
Inc.
10/07/21
952,000
99.71
949
941
Sky,
Ltd.
06/18/21
941,000
107.81
1,015
1,002
Sociedad
Quimica
y
Minera
de
Chile
SA
09/13/21
470,000
99.19
466
455
Societe
Generale
SA
12/11/19
700,000
104.01
728
745
Sovereign
Wealth
Fund
Samruk-Kazyna
JSC
10/26/21
727,000
98.92
719
716
SpringCastle
America
Funding
LLC
09/16/20
3,762,270
100.39
3,778
3,743
Standard
Chartered
PLC
04/12/21
754,000
125.39
945
964
State
Bank
of
India
10/05/21
883,000
106.39
939
930
SURA
Asset
Management
SA
07/08/21
877,000
106.74
936
925
Suzano
Austria
GmbH
04/09/21
200,000
129.70
259
253
SYNNEX
Corp.
07/29/21
510,000
99.94
510
504
TAL
Advantage
VII
LLC
09/09/20
1,962,506
100.03
1,963
1,948
Targa
Resources
Partners,
LP
/
Targa
Resources
Partners
Finance
Corp.
01/19/21
380,000
98.15
373
397
Taurus
UK
Designated
Activity
Co.
02/22/21
GBP
496,354
140.62
698
672
Taurus
UK
Designated
Activity
Co.
02/22/21
GBP
496,354
140.62
698
672
Teachers
Insurance
&
Annuity
Association
of
America
06/14/16
340,000
114.60
390
436
Tencent
Holdings,
Ltd.
04/12/21
891,000
105.15
937
930
Tennessee
Gas
Pipeline
Co.
LLC
02/19/20
460,000
100.86
464
467
Tesco
PLC
09/03/20
623,000
129.26
805
809
Textainer
Marine
Containers,
Ltd.
08/03/21
2,762,320
99.98
2,762
2,708
T-Mobile
USA,
Inc.
12/01/21
460,000
99.69
459
463
Towd
Point
Mortgage
Trust
08/17/20
2,304,602
101.79
2,346
2,305
UBS
Group
AG
01/28/19
460,000
100.22
461
496
UBS
Group
AG
04/14/20
220,000
99.98
220
221
UBS
Group
AG
04/09/21
200,000
124.51
249
261
UniCredit
SpA
01/08/19
720,000
100.10
721
721
United
Airlines,
Inc.
04/14/21
30,000
101.39
30
31
UWM
Mortgage
Trust
05/27/21
2,482,291
102.24
2,538
2,497
Venture
XXVIII
CLO,
Ltd.
09/01/21
1,815,000
100.00
1,815
1,814
Videotron,
Ltd.
06/03/21
60,000
100.00
60
60
Volkswagen
Group
of
America
Finance
LLC
07/12/21
911,000
103.30
941
937
Vontier
Corp.
04/12/21
350,000
98.90
346
338
Vontier
Corp.
04/13/21
170,000
99.95
170
167
Warwick
Finance
Residential
Mortgages
Number
Three
PLC
02/10/21
GBP
920,206
138.65
1,276
1,247
WEA
Finance
LLC
/
Westfield
UK
&
Europe
Finance
PLC
04/09/21
200,000
103.50
207
215
WEA
Finance
LLC
/
Westfield
UK
&
Europe
Finance
PLC
05/06/21
200,000
105.24
210
210
Wells
Fargo
Mortgage
Backed
Securities
Trust
04/23/21
1,194,681
102.45
1,224
1,215
WinWater
Mortgage
Loan
Trust
03/29/17
138,924
102.26
142
139
Woori
Bank
04/22/20
734,000
103.75
762
786
Wynn
Macau,
Ltd.
12/15/20
510,000
103.95
530
472
Wynn
Resorts
Finance
LLC
/
Wynn
Resorts
Capital
Corp.
04/12/21
210,000
107.10
225
220
Yamana
Gold,
Inc.
08/04/21
30,000
100.00
30
29
253,877
For
a
description
of
restricted
securities
see
note
7
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
107
Futures
Contracts
Amounts
in
thousands
(except
contract
amounts
)
Number
of
Contracts
Notional
Amount
Expiration
Date
Value
and
Unrealized
Appreciation
(Depreciation)
$
Long
Positions
Australia
10
Year
Government
Bond
Futures
394
AUD
54,833
03/22
(36)
Canadian
10
Year
Government
Bond
Futures
179
CAD
25,529
03/22
446
United
States
2
Year
Treasury
Note
Futures
391
USD
85,305
03/22
(76)
United
States
5
Year
Treasury
Note
Futures
1,372
USD
165,979
03/22
512
United
States
10
Year
Treasury
Note
Futures
1,410
USD
183,962
03/22
1,444
United
States
10
Year
Ultra
Treasury
Note
Futures
97
USD
14,204
03/22
211
United
States
Treasury
Long
Bond
Futures
7
USD
1,123
03/22
(10)
United
States
Treasury
Ultra
Bond
Futures
313
USD
61,699
03/22
941
Short
Positions
Australia
10
Year
Government
Bond
Futures
6
AUD
835
03/22
1
Canadian
10
Year
Government
Bond
Futures
63
CAD
8,985
03/22
(211)
Euro-
Btp
Futures
26
EUR
3,822
03/22
71
Euro-Bund
Futures
190
EUR
32,561
03/22
712
Japanese
10
Year
Government
Bond
Futures
1
JPY
151,589
03/22
4
Long
Gilt
Futures
184
GBP
22,982
03/22
29
United
States
2
Year
Treasury
Note
Futures
161
USD
35,126
03/22
28
United
States
5
Year
Treasury
Note
Futures
23
USD
2,782
03/22
(11)
United
States
10
Year
Treasury
Note
Futures
21
USD
2,740
03/22
(6)
United
States
10
Year
Ultra
Treasury
Note
Futures
26
USD
3,808
03/22
(33)
United
States
Treasury
Long
Bond
Futures
65
USD
10,428
03/22
(43)
United
States
Treasury
Ultra
Bond
Futures
12
USD
2,365
03/22
(59)
Total
Value
and
Unrealized
Appreciation
(Depreciation)
on
Open
Futures
Contracts
(å)
3,914
Foreign
Currency
Exchange
Contracts
Amounts
in
thousands
Counterparty
Amount
Sold
Amount
Bought
Settlement
Date
Unrealized
Appreciation
(Depreciation)
$
Bank
of
America
USD
67
AUD
93
03/10/22
—
Bank
of
America
USD
684
GBP
516
01/25/22
15
Bank
of
America
USD
118
NOK
1,044
03/10/22
—
Bank
of
America
AUD
23,731
USD
16,852
03/10/22
(416)
Bank
of
America
NOK
76,437
USD
8,397
03/10/22
(272)
Bank
of
Montreal
USD
4,019
JPY
456,880
03/16/22
(45)
Bank
of
Montreal
USD
3,511
NOK
31,200
03/16/22
28
Bank
of
Montreal
SEK
33,800
USD
3,744
03/16/22
2
BNP
Paribas
USD
1,396
EUR
1,205
01/18/22
(23)
Citigroup
USD
1,760
AUD
2,387
01/25/22
(23)
Citigroup
USD
1,760
CAD
2,245
01/25/22
15
Citigroup
USD
1,770
CAD
2,196
01/25/22
(34)
Citigroup
USD
18
CLP
14,959
01/25/22
—
Citigroup
USD
34
CLP
28,688
01/25/22
(1)
Citigroup
USD
71
CLP
57,998
01/25/22
(4)
Citigroup
USD
82
CLP
67,064
01/25/22
(4)
Citigroup
USD
82
CLP
67,039
01/25/22
(4)
Citigroup
USD
82
CLP
67,140
01/25/22
(4)
Citigroup
USD
82
CLP
66,990
01/25/22
(4)
Citigroup
USD
121
CLP
98,355
01/25/22
(6)
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
108
Strategic
Bond
Fund
Foreign
Currency
Exchange
Contracts
Amounts
in
thousands
Counterparty
Amount
Sold
Amount
Bought
Settlement
Date
Unrealized
Appreciation
(Depreciation)
$
Citigroup
USD
150
CLP
121,680
01/25/22
(8)
Citigroup
USD
263
CLP
211,570
01/25/22
(16)
Citigroup
USD
300
CLP
257,400
01/25/22
1
Citigroup
USD
1,129
CLP
933,654
01/25/22
(36)
Citigroup
USD
1,159
CNY
7,456
01/25/22
12
Citigroup
USD
1,241
CNY
7,979
01/25/22
13
Citigroup
USD
287
COP
1,115,697
01/25/22
(13)
Citigroup
USD
291
COP
1,134,900
01/25/22
(13)
Citigroup
USD
583
COP
2,271,189
01/25/22
(26)
Citigroup
USD
263
EUR
233
01/25/22
2
Citigroup
USD
317
EUR
272
01/25/22
(7)
Citigroup
USD
387
EUR
342
01/25/22
3
Citigroup
USD
409
EUR
350
01/25/22
(10)
Citigroup
USD
174
GBP
131
01/25/22
3
Citigroup
USD
12,789
GBP
9,606
03/10/22
210
Citigroup
USD
128
ILS
402
01/25/22
2
Citigroup
USD
143
ILS
451
01/25/22
2
Citigroup
USD
199
ILS
629
01/25/22
4
Citigroup
USD
200
ILS
627
01/25/22
2
Citigroup
USD
286
ILS
899
01/25/22
3
Citigroup
USD
824
ILS
2,590
01/25/22
9
Citigroup
USD
341
INR
25,668
01/25/22
3
Citigroup
USD
425
INR
31,992
01/25/22
4
Citigroup
USD
425
INR
31,980
01/25/22
4
Citigroup
USD
667
INR
50,350
01/25/22
7
Citigroup
USD
1,093
INR
82,449
01/25/22
11
Citigroup
USD
13,081
JPY
1,476,095
03/10/22
(242)
Citigroup
USD
4,016
JPY
456,880
03/16/22
(42)
Citigroup
USD
1,158
KRW
1,375,145
01/25/22
(2)
Citigroup
USD
310
MXN
6,438
01/18/22
4
Citigroup
USD
87
MXN
1,850
01/25/22
3
Citigroup
USD
92
MXN
1,937
01/25/22
2
Citigroup
USD
189
MXN
3,971
01/25/22
4
Citigroup
USD
3,505
NOK
31,200
03/16/22
33
Citigroup
USD
93
NZD
137
03/10/22
—
Citigroup
USD
8,466
NZD
12,440
03/10/22
45
Citigroup
USD
193
ZAR
3,111
01/25/22
1
Citigroup
USD
223
ZAR
3,570
01/25/22
1
Citigroup
USD
223
ZAR
3,567
01/25/22
—
Citigroup
USD
290
ZAR
4,634
01/25/22
—
Citigroup
USD
447
ZAR
7,082
01/25/22
(4)
Citigroup
USD
541
ZAR
8,682
01/25/22
2
Citigroup
AUD
10
USD
7
01/25/22
—
Citigroup
AUD
503
USD
373
01/25/22
7
Citigroup
AUD
1,116
USD
825
01/25/22
13
Citigroup
AUD
2,377
USD
1,770
01/25/22
40
Citigroup
BRL
2,353
USD
427
02/02/22
7
Citigroup
BRL
2,441
USD
444
02/02/22
9
Citigroup
CAD
4,452
USD
3,520
01/25/22
—
Citigroup
CLP
68,695
USD
84
01/25/22
3
Citigroup
CLP
69,249
USD
84
01/25/22
3
Citigroup
CLP
152,852
USD
184
01/25/22
5
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
109
Foreign
Currency
Exchange
Contracts
Amounts
in
thousands
Counterparty
Amount
Sold
Amount
Bought
Settlement
Date
Unrealized
Appreciation
(Depreciation)
$
Citigroup
CLP
470,643
USD
590
01/25/22
39
Citigroup
CNY
15,467
USD
2,383
01/25/22
(47)
Citigroup
COP
273,471
USD
70
01/25/22
3
Citigroup
COP
404,797
USD
103
01/25/22
4
Citigroup
COP
547,409
USD
139
01/25/22
5
Citigroup
COP
1,090,455
USD
278
01/25/22
10
Citigroup
EUR
144
GBP
123
01/25/22
3
Citigroup
EUR
1,620
GBP
1,382
01/25/22
25
Citigroup
EUR
255
HUF
93,298
01/25/22
(3)
Citigroup
EUR
255
HUF
93,132
01/25/22
(4)
Citigroup
EUR
1,526
HUF
551,437
01/25/22
(42)
Citigroup
EUR
260
NOK
2,656
01/25/22
5
Citigroup
EUR
80
USD
90
01/25/22
(1)
Citigroup
EUR
148
USD
173
01/25/22
4
Citigroup
EUR
199
USD
231
01/25/22
4
Citigroup
EUR
279
USD
317
01/25/22
(1)
Citigroup
EUR
475
USD
550
01/25/22
9
Citigroup
EUR
675
USD
783
01/25/22
15
Citigroup
EUR
950
USD
1,074
01/25/22
(8)
Citigroup
EUR
1,100
USD
1,247
01/25/22
(6)
Citigroup
EUR
1,353
USD
1,530
01/25/22
(11)
Citigroup
EUR
1,500
USD
1,692
01/25/22
(16)
Citigroup
EUR
1,538
USD
1,780
01/25/22
28
Citigroup
EUR
2,050
USD
2,351
01/25/22
16
Citigroup
EUR
14,475
USD
16,822
01/25/22
337
Citigroup
GBP
864
EUR
1,020
01/25/22
(7)
Citigroup
GBP
1,880
EUR
2,217
01/25/22
(19)
Citigroup
GBP
74
USD
102
01/25/22
2
Citigroup
GBP
242
USD
333
01/25/22
5
Citigroup
GBP
56
USD
76
03/10/22
—
Citigroup
HUF
57,796
EUR
159
01/25/22
4
Citigroup
HUF
108,348
EUR
299
01/25/22
7
Citigroup
HUF
120,193
EUR
330
01/25/22
6
Citigroup
HUF
142,647
EUR
394
01/25/22
10
Citigroup
HUF
314,353
EUR
868
01/25/22
21
Citigroup
IDR
2,169,764
USD
150
01/18/22
(2)
Citigroup
ILS
1,317
USD
420
01/25/22
(3)
Citigroup
ILS
1,586
USD
506
01/25/22
(4)
Citigroup
ILS
2,641
USD
844
01/25/22
(6)
Citigroup
INR
7,650
USD
102
01/25/22
(1)
Citigroup
INR
7,753
USD
103
01/25/22
(1)
Citigroup
INR
16,084
USD
214
01/25/22
(1)
Citigroup
INR
31,025
USD
412
01/25/22
(3)
Citigroup
INR
70,661
USD
939
01/25/22
(8)
Citigroup
INR
89,684
USD
1,178
01/25/22
(23)
Citigroup
JPY
58,020
USD
512
01/25/22
7
Citigroup
JPY
175,700
USD
1,544
01/25/22
17
Citigroup
JPY
1,738,646
USD
15,261
01/25/22
144
Citigroup
JPY
495,204
USD
4,302
03/10/22
(5)
Citigroup
MXN
1,900
USD
90
01/25/22
(2)
Citigroup
MXN
4,463
USD
217
01/25/22
—
Citigroup
MXN
4,800
USD
229
01/25/22
(5)
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
110
Strategic
Bond
Fund
Foreign
Currency
Exchange
Contracts
Amounts
in
thousands
Counterparty
Amount
Sold
Amount
Bought
Settlement
Date
Unrealized
Appreciation
(Depreciation)
$
Citigroup
MXN
49,563
USD
2,387
01/25/22
(25)
Citigroup
MXN
60,577
USD
2,916
01/25/22
(32)
Citigroup
PHP
2,382
USD
47
01/25/22
—
Citigroup
PHP
6,892
USD
135
01/25/22
1
Citigroup
PHP
10,319
USD
203
01/25/22
2
Citigroup
PHP
10,438
USD
205
01/25/22
2
Citigroup
PHP
17,207
USD
337
01/25/22
2
Citigroup
PHP
34,408
USD
674
01/25/22
4
Citigroup
PHP
69,444
USD
1,360
01/25/22
8
Citigroup
SEK
33,800
USD
3,740
03/16/22
(3)
Citigroup
ZAR
518
USD
34
01/25/22
2
Citigroup
ZAR
2,785
USD
184
01/25/22
10
Citigroup
ZAR
11,638
USD
754
01/25/22
26
Citigroup
ZAR
35,932
USD
2,406
01/25/22
159
Goldman
Sachs
USD
75
RUB
5,535
01/18/22
(1)
Goldman
Sachs
USD
147
RUB
10,880
01/18/22
(2)
Goldman
Sachs
EUR
18,069
USD
20,488
01/25/22
(93)
JPMorgan
Chase
USD
106
AUD
145
01/18/22
—
JPMorgan
Chase
USD
4,015
JPY
456,880
03/16/22
(41)
JPMorgan
Chase
USD
3,499
NOK
31,200
03/16/22
39
JPMorgan
Chase
GBP
14,572
USD
19,637
01/25/22
(86)
JPMorgan
Chase
SEK
33,800
USD
3,736
03/16/22
(7)
Morgan
Stanley
USD
208
BRL
1,155
01/18/22
(2)
Royal
Bank
of
Canada
USD
8,417
CAD
10,792
03/10/22
113
Royal
Bank
of
Canada
USD
4,017
JPY
456,880
03/16/22
(43)
Royal
Bank
of
Canada
USD
3,491
NOK
31,200
03/16/22
47
Royal
Bank
of
Canada
CAD
10,792
USD
8,438
03/10/22
(92)
Royal
Bank
of
Canada
SEK
33,800
USD
3,738
03/16/22
(4)
Standard
Chartered
USD
4,015
JPY
456,880
03/16/22
(41)
Standard
Chartered
USD
3,504
NOK
31,200
03/16/22
34
Standard
Chartered
SEK
33,800
USD
3,740
03/16/22
(3)
State
Street
USD
4,342
EUR
3,826
03/10/22
20
State
Street
EUR
7,609
USD
8,648
03/10/22
(26)
State
Street
SEK
116
USD
13
03/10/22
—
State
Street
SEK
77,312
USD
8,578
03/10/22
17
UBS
USD
436
CHF
397
03/10/22
1
UBS
CHF
23,946
USD
26,126
03/10/22
(198)
Total
Unrealized
Appreciation
(Depreciation)
on
Open
Foreign
Currency
Exchange
Contracts
(433)
Interest
Rate
Swap
Contracts
Amounts
in
thousands
Counterparty
Notional
Amount
Fund
Receives
Fund
Pays
Termination
Date
Premiums
Paid
(Received)
$
Unrealized
Appreciation
(Depreciation)
$
Fair
Value
$
Credit
Suisse
NZD
16,900
2.019%
(2)
3
Month
NZD-BBR-Telerate
(3)
01/25/23
—
24
24
Credit
Suisse
USD
9,400
3
Month
LIBOR
(3)
0.587%
(2)
04/25/23
—
12
12
Credit
Suisse
EUR
2,500
0.476%
(4)
6
Month
EURIBOR
(4)
10/27/23
—
—
—
Credit
Suisse
EUR
2,500
6
Month
EURIBOR
(3)
-0.339%
(3)
01/25/24
—
3
3
Credit
Suisse
USD
5,900
3
Month
LIBOR
(3)
0.910%
(2)
01/25/24
—
8
8
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
111
Interest
Rate
Swap
Contracts
Amounts
in
thousands
Counterparty
Notional
Amount
Fund
Receives
Fund
Pays
Termination
Date
Premiums
Paid
(Received)
$
Unrealized
Appreciation
(Depreciation)
$
Fair
Value
$
Credit
Suisse
CZK
6,923
3.950%
(3)
6
Month
PRIBOR
(4)
01/25/24
—
(4)
(4)
Credit
Suisse
CZK
7,364
3.950%
(2)
6
Month
PRIBOR
(2)
01/25/24
—
(4)
(4)
Credit
Suisse
USD
9,100
3
Month
LIBOR
(2)
0.710%
(2)
01/25/24
—
48
48
Credit
Suisse
CZK
9,499
3.850%
(3)
6
Month
PRIBOR
(4)
01/25/24
—
—
—
Credit
Suisse
CZK
14,287
6
Month
PRIBOR
(4)
3.950%
(3)
01/25/24
—
8
8
Credit
Suisse
CZK
17,200
6
Month
PRIBOR
(4)
3.850%
(3)
01/25/24
—
10
10
Credit
Suisse
ZAR
18,400
3
Month
JIBAR
(2)
5.650%
(2)
01/25/24
—
(4)
(4)
Credit
Suisse
CZK
23,900
6
Month
PRIBOR
(4)
3.743%
(3)
01/25/24
—
16
16
Credit
Suisse
ZAR
55,700
3
Month
JIBAR
(2)
5.630%
(2)
01/25/24
—
(10)
(10)
Credit
Suisse
ZAR
86,299
3
Month
JIBAR
(2)
5.663%
(2)
01/25/24
—
(15)
(15)
Credit
Suisse
EUR
900
0.336%
(4)
6
Month
EURIBOR
(4)
10/27/26
—
—
—
Credit
Suisse
EUR
20,200
6
Month
EURIBOR
(3)
0.273%
(3)
10/27/26
—
—
—
Credit
Suisse
USD
2,400
3
Month
LIBOR
(3)
1.372%
(2)
01/25/27
—
1
1
Credit
Suisse
EUR
5,200
-0.08
0%
(3)
6
Month
EURIBOR
(4)
01/25/27
—
(32)
(32)
Credit
Suisse
EUR
7,200
-0.078%
(4)
6
Month
EURIBOR
(4)
01/25/27
—
(19)
(19)
Credit
Suisse
ILS
7,600
0.825%
(2)
3
Month
TELBOR
(4)
01/25/27
—
7
7
Credit
Suisse
SEK
54,100
3
Month
STIBOR
(4)
0.714%
(2)
01/25/27
—
—
—
Credit
Suisse
EUR
1,000
0.040%
(4)
6
Month
EURIBOR
(4)
10/27/31
—
—
—
Credit
Suisse
EUR
6,814
0.035%
(4)
6
Month
EURIBOR
(4)
10/27/31
—
—
—
Credit
Suisse
MXN
7,359
7.477%
(1)
Mexico
Interbank
28
Day
Deposit
Rate
(1)
01/13/32
—
(2)
(2)
Credit
Suisse
MXN
7,516
7.492%
(1)
Mexico
Interbank
28
Day
Deposit
Rate
(1)
01/13/32
—
(1)
(1)
Credit
Suisse
MXN
27,700
7.641%
(1)
Mexico
Interbank
28
Day
Deposit
Rate
(1)
01/13/32
—
9
9
Credit
Suisse
MXN
30,900
7.716%
(1)
Mexico
Interbank
28
Day
Deposit
Rate
(1)
01/13/32
—
19
19
Credit
Suisse
USD
1,700
3
Month
LIBOR
(2)
1.703%
(2)
01/25/32
—
(19)
(19)
Credit
Suisse
USD
6,500
3
Month
LIBOR
(2)
1.687%
(2)
01/25/32
—
(61)
(61)
Credit
Suisse
EUR
7,814
6
Month
EURIBOR
(3)
0.250%
(3)
01/25/32
—
(95)
(95)
Credit
Suisse
CAD
8,000
2.081%
(3)
6
Month
Canadian
Dealer
Offer
Rate
(3)
01/25/32
—
64
64
Credit
Suisse
USD
9,206
3
Month
LIBOR
(2)
1.701%
(2)
01/25/32
—
(98)
(98)
Credit
Suisse
EUR
2,350
6
Month
EURIBOR
(3)
0.517%
(3)
01/25/52
—
(30)
(30)
Credit
Suisse
EUR
213
6
Month
EURIBOR
(3)
0.428%
(3)
06/10/71
—
(9)
(9)
Credit
Suisse
EUR
232
6
Month
EURIBOR
(3)
0.420%
(3)
06/10/71
—
(9)
(9)
Credit
Suisse
EUR
454
6
Month
EURIBOR
(3)
0.340%
(3)
06/10/71
—
—
—
Total
Open
Interest
Rate
Swap
Contracts
(å)
—
(183)
(183)
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
112
Strategic
Bond
Fund
Credit
Default
Swap
Contracts
Amounts
in
thousands
Credit
Indices
Reference
Entity
Counterparty
Purchase/Sell
Protection
Notional
Amount
Fund
(Pays)/
Receives
Fixed
Rate
Termination
Date
Premiums
Paid/
(Received)
$
Unrealized
Appreciation
(Depreciation)
$
Fair
Value
$
CDX
NA
Emerging
Markets
Index
Goldman
Sachs
Purchase
USD
20,300
(1.000%)
(2)
12/20/26
704
105
809
CDX
NA
Investment
Grade
Index
Bank
of
America
Sell
USD
5,170
1.000%
(2)
12/20/26
108
19
127
CDX
NA
Investment
Grade
Index
Goldman
Sachs
Purchase
USD
102,000
(1.000%)
(2)
12/20/26
(2,410)
(94)
(2,504)
Total
Open
Credit
Indices
Contracts
(å)
(1,598)
30
(1,568)
Presentation
of
Portfolio
Holdings
Amounts
in
thousands
Fair
Value
Portfolio
Summary
Level
1
Level
2
Level
3
Practical
Expedient
(a)
Total
%
of
Net
Assets
Long-Term
Investments
Asset-Backed
Securities
$
—
$
24,934
$
632
$
—
$
25,566
2.5
Corporate
Bonds
and
Notes
—
203,442
—
—
203,442
19.8
International
Debt
—
201,240
—
—
201,240
19.6
Loan
Agreements
—
3,
77
2
—
—
3,772
0.4
Mortgage-Backed
Securities
—
159,926
—
—
159,926
15.6
Municipal
Bonds
—
537
—
—
537
0.1
Non-US
Bonds
—
91,100
—
—
91,100
8.9
United
States
Government
Treasuries
—
184,919
—
—
184,919
18.0
Common
Stocks
—
—
—
—
—
—
Short-Term
Investments
—
40,56
2
—
93,16
6
133,728
13.0
Total
Investments
—
910,
432
632
93,16
6
1,004,230
97.9
Other
Assets
and
Liabilities,
Net
2.1
100.0
Other
Financial
Instruments
Assets
Futures
Contracts
4,399
—
—
—
4,399
0.4
Foreign
Currency
Exchange
Contracts
—
1,754
—
—
1,754
0.2
Interest
Rate
Swap
Contracts
—
229
—
—
229
—
*
Credit
Default
Swap
Contracts
—
936
—
—
936
0.1
A
Liabilities
Futures
Contracts
(485)
—
—
—
(485)
(—)
*
Foreign
Currency
Exchange
Contracts
—
(2,187)
—
—
(2,187)
(0.2)
Interest
Rate
Swap
Contracts
—
(412)
—
—
(412)
(—)
*
Credit
Default
Swap
Contracts
—
(2,504)
—
—
(2,504)
(0.2)
Total
Other
Financial
Instruments
**
$
3,914
$
(2,184)
$
—
$
—
$
1,730
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
113
*
Less
than
0.05%
of
net
assets.
**
Futures
and
foreign
currency
exchange
contract
values
reflect
the
unrealized
appreciation
(depreciation)
on
the
investments.
(a)
Certain
investments
that
are
measured
at
fair
value
using
the
net
asset
value
per
share
(or
its
equivalent)
practical
expedient
have
not
been
classified
in
the
fair
value
levels.
The
fair
value
amounts
presented
in
the
table
are
intended
to
permit
reconciliation
to
the
amounts
presented
in
the
Schedule
of
Investments.
For
a
description
of
the
Levels,
see
note
2
in
the
Notes
to
Financial
Statements.
For
a
disclosure
on
transfers
into
and
out
of
Level
3
during
the
period
ended
December
31,
2021,
see
note
2
in
the
Notes
to
Financial
Statements.
Investments
in
which
significant
unobservable
inputs
(Level
3)
were
used
in
determining
a
fair
value
for
the
period
ended
December
31,
2021,
were
less
than
1%
of
net
assets.
Amounts
in
thousands
Country
Exposure
Fair
Value
$
Albania
...................................................................................
1,073
Andorra
...................................................................................
4,011
Argentina
................................................................................
1,050
Australia
.................................................................................
6,367
Belgium
..................................................................................
4,625
Bermuda
.................................................................................
23,620
Brazil
......................................................................................
3,074
Canada
....................................................................................
15,227
Cayman
Islands
.......................................................................
48,802
Chile
.......................................................................................
1,779
China
......................................................................................
8,688
Colombia
.................................................................................
2,289
Czech
Republic
.......................................................................
972
Denmark
.................................................................................
1,331
Egypt
......................................................................................
1,836
Finland
...................................................................................
1,013
France
.....................................................................................
8,941
Germany
.................................................................................
8,386
Hong
Kong
..............................................................................
233
India
.......................................................................................
3,945
Indonesia
................................................................................
529
Ireland
....................................................................................
24,301
Israel
.......................................................................................
518
Italy
........................................................................................
6,944
Japan
......................................................................................
21,071
Kazakhstan
.............................................................................
949
Kuwait
....................................................................................
719
Luxembourg
............................................................................
392
Macao
.....................................................................................
1,885
Malaysia
..................................................................................
814
Mexico
....................................................................................
12,702
Morocco
..................................................................................
383
Netherlands
............................................................................
6,898
Nigeria
....................................................................................
623
Norway
....................................................................................
952
Oman
......................................................................................
836
Panama
...................................................................................
375
Paraguay
.................................................................................
228
Peru
........................................................................................
3,954
Qatar
.......................................................................................
1,111
Russell
Investment
Funds
Strategic
Bond
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
114
Strategic
Bond
Fund
Amounts
in
thousands
Country
Exposure
Fair
Value
$
Romania
..................................................................................
3,983
Russia
.....................................................................................
1,640
Saudi
Arabia
...........................................................................
1,566
Singapore
................................................................................
200
South
Africa
............................................................................
2,964
South
Korea
............................................................................
3,563
Spain
.......................................................................................
1,834
Switzerland
.............................................................................
5,360
Togo
........................................................................................
503
Tunisia
....................................................................................
2,921
United
Arab
Emirates
.............................................................
1,881
United
Kingdom
......................................................................
33,651
United
States
...........................................................................
709,995
Zambia
....................................................................................
723
Total
Investments
....................................................................
1,004,230
Russell
Investment
Funds
Strategic
Bond
Fund
Fair
Value
of
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
115
Amounts
in
thousands
Derivatives
not
accounted
for
as
hedging
instruments
Credit
Contracts
Foreign
Currency
Contracts
Interest
Rate
Contracts
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Unrealized
appreciation
on
foreign
currency
exchange
contracts
$
—
$
1,754
$
—
Variation
margin
on
futures
contracts*
—
—
4,399
Interest
rate
swap
contracts,
at
fair
value
—
—
229
Credit
default
swap
contracts,
at
fair
value
936
—
—
Total
$
936
$
1,754
$
4,628
Location:
Statement
of
Assets
and
Liabilities
-
Liabilities
Variation
margin
on
futures
contracts*
$
—
$
—
$
485
Unrealized
depreciation
on
foreign
currency
exchange
contracts
—
2,187
—
Interest
rate
swap
contracts,
at
fair
value
—
—
412
Credit
default
swap
contracts,
at
fair
value
2,504
—
—
Total
$
2,504
$
2,187
$
897
Derivatives
not
accounted
for
as
hedging
instruments
Credit
Contracts
Foreign
Currency
Contracts
Interest
Rate
Contracts
Location:
Statement
of
Operations
-
Net
realized
gain
(loss)
Investments**
$
—
$
—
$
(36)
Futures
contracts
—
—
(14,455)
Options
written
—
—
212
Interest
rate
swap
contracts
—
—
2,942
Credit
default
swap
contracts
(1,367)
—
—
Foreign
currency
exchange
contracts
—
4,770
—
Total
$
(1,367)
$
4,770
$
(11,337)
Location:
Statement
of
Operations
-
Net
change
in
unrealized
appreciation
(depreciation)
Futures
contracts
$
—
$
—
$
4,935
Options
written
—
—
(11)
Interest
rate
swap
contracts
—
—
(1,419)
Credit
default
swap
contracts
224
—
—
Foreign
currency
exchange
contracts
—
282
—
Total
$
224
$
282
$
3,505
*
Includes
cumulative
appreciation
(depreciation)
of
futures
contracts
as
reported
in
the
Schedule
of
Investments.
Only
variation
margin
is
reported
within
the
Statement
of
Assets
and
Liabilities.
**
Includes
net
realized
gain
(loss)
on
purchased
options
as
reported
in
the
Statement
of
Operations
.
For
further
disclosure
on
derivatives
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
Strategic
Bond
Fund
Balance
Sheet
Offsetting
of
Financial
and
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
116
Strategic
Bond
Fund
Amounts
in
thousands
Offsetting
of
Financial
Assets
and
Derivative
Assets
Description
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Gross
Amounts
of
Recognized
Assets
Gross
Amounts
Offset
in
the
Statement
of
Assets
and
Liabilities
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Foreign
Currency
Exchange
Contracts
Unrealized
appreciation
on
foreign
currency
exchange
contracts
$
1,754
$
—
$
1,754
Interest
Rate
Swap
Contracts
Interest
rate
swap
contracts,
at
fair
value
229
—
229
Credit
Default
Swap
Contracts
Credit
default
swap
contracts,
at
fair
value
93
6
—
93
6
Total
Financial
and
Derivative
Assets
2,9
19
—
2,9
19
Financial
and
Derivative
Assets
not
subject
to
a
netting
agreement
(1,03
8
)
—
(1,03
8
)
Total
Financial
and
Derivative
Assets
subject
to
a
netting
agreement
$
1,881
$
—
$
1,881
Financial
Assets,
Derivative
Assets,
and
Collateral
Held
by
Counterparty
Gross
Amounts
Not
Offset
in
the
Statement
of
Assets
and
Liabilities
Counterparty
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Financial
and
Derivative
Instruments
Collateral
Received^
Net
Amount
Bank
of
America
$
142
$
—
$
—
$
142
Bank
of
Montreal
29
29
—
—
Citigroup
1,438
781
—
657
JPMorgan
Chase
39
39
—
—
Royal
Bank
of
Canada
160
139
—
21
Standard
Chartered
34
34
—
—
State
Street
38
26
11
1
UBS
1
1
—
—
Total
$
1,881
$
1,049
$
11
$
821
Russell
Investment
Funds
Strategic
Bond
Fund
Balance
Sheet
Offsetting
of
Financial
and
Derivative
Instruments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
117
Amounts
in
thousands
Offsetting
of
Financial
Liabilities
and
Derivative
Liabilities
Description
Location:
Statement
of
Assets
and
Liabilities
-
Liabilities
Gross
Amounts
of
Recognized
Liabilities
Gross
Amounts
Offset
in
the
Statement
of
Assets
and
Liabilities
Net
Amounts
of
Liabilities
Presented
in
the
Statement
of
Assets
and
Liabilities
Foreign
Currency
Exchange
Contracts
Unrealized
depreciation
on
foreign
currency
exchange
contracts
$
2,187
$
—
$
2,187
Interest
Rate
Swap
Contracts
Interest
rate
swap
contracts,
at
fair
value
41
2
—
41
2
Credit
Default
Swap
Contracts
Credit
default
swap
contracts,
at
fair
value
2,504
—
2,504
Total
Financial
and
Derivative
Liabilities
5,10
3
—
5,10
3
Financial
and
Derivative
Liabilities
not
subject
to
a
netting
agreement
(2,91
5
)
—
(2,91
5
)
Total
Financial
and
Derivative
Liabilities
subject
to
a
netting
agreement
$
2,188
$
—
$
2,188
Financial
Liabilities,
Derivative
Liabilities,
and
Collateral
Pledged
by
Counterparty
Gross
Amounts
Not
Offset
in
the
Statement
of
Assets
and
Liabilities
Counterparty
Net
Amounts
of
Liabilities
Presented
in
the
Statement
of
Assets
and
Liabilities
Financial
and
Derivative
Instruments
Collateral
Pledged^
Net
Amount
Bank
of
America
$
688
$
—
$
26
$
662
Bank
of
Montreal
45
29
—
16
BNP
Paribas
23
—
—
23
Citigroup
792
781
11
—
Goldman
Sachs
96
—
96
—
JPMorgan
Chase
134
39
—
95
Morgan
Stanley
2
—
—
2
Royal
Bank
of
Canada
140
139
—
1
Standard
Chartered
44
34
—
10
State
Street
26
26
—
—
UBS
198
1
—
197
Total
$
2,188
$
1,049
$
133
$
1,006
^ Collateral
received
or
pledged
amounts
may
not
reconcile
to
those
disclosed
in
the
Statement
of
Assets
and
Liabilities
due
to
the
inclusion
of
off-Balance
Sheet
collateral
and
adjustments
made
to
exclude
overcollateralization.
For
further
disclosure
on
derivatives
and
counterparty
risk
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
Strategic
Bond
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
118
Strategic
Bond
Fund
Statement
of
Assets
and
Liabilities
—
December
31,
2021
Amounts
in
thousands
Assets
Investments,
at
identified
cost
........................................................................................................................................................
$
1,005,186
Investments,
at
fair
value(>)
...........................................................................................................................................................
1,004,230
Cash
...............................................................................................................................................................................................
1,342
Foreign
currency
holdings(^)
.........................................................................................................................................................
748
Unrealized
appreciation
on
foreign
currency
exchange
contracts
...................................................................................................
1,754
Receivables:
Dividends
and
interest
.......................................................................................................................................................
5,031
Dividends
from
affiliated
funds
..........................................................................................................................................
5
Investments
sold
................................................................................................................................................................
10
Fund
shares
sold
................................................................................................................................................................
150
From
broker(a)(b)
...............................................................................................................................................................
13,6
02
Variation
margin
on
futures
contracts
.................................................................................................................................
4,121
Interest
rate
swap
contracts,
at
fair
value(•)
...................................................................................................................................
229
Credit
default
swap
contracts,
at
fair
value(+)
................................................................................................................................
936
Total
assets
.................................................................................................................................................
1,032,1
58
Liabilities
Payables:
Due
to
broker
(c)
................................................................................................................................................................
30
Investments
purchased
......................................................................................................................................................
179
Fund
shares
redeemed
.......................................................................................................................................................
25
Accrued
fees
to
affiliates
....................................................................................................................................................
532
Other
accrued
expenses
.....................................................................................................................................................
279
Variation
margin
on
futures
contracts
.................................................................................................................................
197
Deferred
capital
gains
tax
liability
.....................................................................................................................................
1
Unrealized
depreciation
on
foreign
currency
exchange
contracts
...................................................................................................
2,187
Interest
rate
swap
contracts,
at
fair
value(•)
...................................................................................................................................
412
Credit
default
swap
contracts,
at
fair
value(+)
................................................................................................................................
2,504
Total
liabilities
.............................................................................................................................................
6,3
46
Net
Assets
............................................................................................................................................................
$
1,025,812
Russell
Investment
Funds
Strategic
Bond
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
119
Statement
of
Assets
and
Liabilities,
continued
—
December
31,
2021
Amounts
in
thousands
Net
Assets
Consist
of:
Total
distributable
earnings
(losses)
...............................................................................................................................................
$
(2,889)
Shares
of
beneficial
interest
...........................................................................................................................................................
981
Additional
paid-in
capital
..............................................................................................................................................................
1,027,720
Net
Assets
............................................................................................................................................................
$
1,025,812
Net
Asset
Value
,
offering
and
redemption
price
per
share:
Net
asset
value
per
share:
(#)
.........................................................................................................................................................
$
10.46
Net
assets
...............................................................................................................................................................................
$
1,025,812,257
Shares
outstanding
($.01
par
value)
.......................................................................................................................................
98,076,159
Amounts
in
thousands
(^)
Foreign
currency
holdings
-
cost
$
729
(•)
Interest
rate
swap
contracts
-
premiums
paid
(received)
$
—
(+)
Credit
default
swap
contracts
-
premiums
paid
(received)
$
(1,598)
(>)
Investments
in
affiliates,
U.S.
Cash
Management
Fund
$
93,166
(a)
Receivable
from
Broker
for
Futures
$
5,683
(b)
Receivable
from
Broker
for
Swaps
$
7
,
9
19
(c)
Due
to
Broker
for
Swaps
$
30
(#)
Net
asset
value
per
share
equals
net
assets
divided
by
shares
of
beneficial
interest
outstanding.
Russell
Investment
Funds
Strategic
Bond
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
120
Strategic
Bond
Fund
Statement
of
Operations
—
For
the
Period
Ended
December
31,
2021
Amounts
in
thousands
Investment
Income
Dividends
from
affiliated
funds
.........................................................................................................................................
$
57
Interest
..............................................................................................................................................................................
17,607
Total
investment
income
...............................................................................................................................................................
17,664
Expenses
Advisory
fees
....................................................................................................................................................................
5,461
Administrative
fees
...........................................................................................................................................................
496
Custodian
fees
...................................................................................................................................................................
216
Transfer
agent
fees
............................................................................................................................................................
44
Professional
fees
...............................................................................................................................................................
154
Trustees’
fees
....................................................................................................................................................................
38
Printing
fees
......................................................................................................................................................................
113
Proxy
fees
.........................................................................................................................................................................
45
Miscellaneous
...................................................................................................................................................................
13
Total
expenses
...............................................................................................................................................................................
6,580
Net
investment
income
(loss)
........................................................................................................................................................
11,084
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
on:
Investments
(net
of
deferred
tax
liability
for
foreign
capital
gains
taxes)
...........................................................................
12,368
Investments
in
affiliated
funds
..........................................................................................................................................
(10)
Futures
contracts
..............................................................................................................................................................
(14,455)
Options
written
.................................................................................................................................................................
212
Foreign
currency
exchange
contracts
................................................................................................................................
4,770
Interest
rate
swap
contracts
...............................................................................................................................................
2,942
Credit
default
swap
contracts
............................................................................................................................................
(1,367)
Foreign
currency-related
transactions
...............................................................................................................................
492
Net
realized
gain
(loss)
..................................................................................................................................................................
4,952
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
(net
of
deferred
tax
liability
for
foreign
capital
gains
taxes)
...........................................................................
(35,948)
Investments
in
affiliated
funds
..........................................................................................................................................
(1)
Futures
contracts
..............................................................................................................................................................
4,935
Options
written
.................................................................................................................................................................
(11)
Foreign
currency
exchange
contracts
................................................................................................................................
282
Interest
rate
swap
contracts
...............................................................................................................................................
(1,419)
Credit
default
swap
contracts
............................................................................................................................................
224
Foreign
currency-related
transactions
...............................................................................................................................
(222)
Net
change
in
unrealized
appreciation
(depreciation)
...................................................................................................................
(32,160)
Net
realized
and
unrealized
gain
(loss)
.........................................................................................................................................
(27,208)
Net
Increase
(Decrease)
in
Net
Assets
from
Operations
..........................................................................................
$
(16,124)
Russell
Investment
Funds
Strategic
Bond
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
121
Statements
of
Changes
in
Net
Assets
For
the
Periods
Ended
December
31,
Amounts
in
thousands
2021
2020
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
(loss)
............................................................................................................
$
11,084
$
16,317
Net
realized
gain
(loss)
......................................................................................................................
4,952
36,454
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
(32,160)
17,695
Net
increase
(decrease)
in
net
assets
from
operations
.............................................................................
(16,124)
70,466
Distributions
To
shareholders
.................................................................................................................................
(20,547)
(45,663)
Net
decrease
in
net
assets
from
distributions
..........................................................................................
(20,547)
(45,663)
Share
Transactions*
Net
increase
(decrease)
in
net
assets
from
share
transactions
.................................................................
145,314
(25,404)
Total
Net
Increase
(Decrease)
in
Net
Assets
..........................................................................
108,643
(601)
Net
Assets
Beginning
of
period
.................................................................................................................................
917,169
917,770
End
of
period
..........................................................................................................................................
$
1,025,812
$
917,169
*
Share
transaction
amounts
(in
thousands)
for
the
periods
ended
December
31,
2021
and
December
31,
2020
were
as
follows:
2021
2020
Shares
Dollars
Shares
Dollars
Proceeds
from
shares
sold
15,592
$
164,544
4,785
$
52,480
Proceeds
from
reinvestment
of
distributions
1,950
20,54
7
4,221
45,663
Payments
for
shares
redeemed
(3,751)
(39,777
)
(11,662)
(123,547)
Total
increase
(decrease)
13,791
$
145,314
(2,656)
$
(25,404)
Russell
Investment
Funds
Strategic
Bond
Fund
Financial
Highlights
—
For
the
Periods
Ended
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
122
Strategic
Bond
Fund
For
a
Share
Outstanding
Throughout
Each
Period.
$
Net
Asset
Value,
Beginning
of
Period
$
Net
Investment
Income
(Loss)
(a)(b)
$
Net
Realized
and
Unrealized
Gain
(Loss)
$
Total
from
Investment
Operations
$
Distributions
from
Net
Investment
Income
$
Distributions
from
Net
Realized
Gain
December
31,
2021
10.88
.12
(.32)
(.20)
(.09)
(.13)
December
31,
2020
10.56
.20
.68
.88
(.20)
(.36)
December
31,
2019
10.07
.27
.65
.92
(.29)
(.14)
December
31,
2018
10.37
.25
(.34)
(.09)
(.21)
—
December
31,
2017
10.12
.20
.19
.39
(.14)
—
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Strategic
Bond
Fund
123
$
Total
Distributions
$
Net
Asset
Value,
End
of
Period
%
Total
Return
(d)
$
Net
Assets,
End
of
Period
(000)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Gross
%
Ratio
of
Expenses
to
Average
Net
Assets,
Net
(b)
%
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
(b)
%
Portfolio
Turnover
Rate
(.22)
10.46
(1.82)
1,025,812
.66
.66
1.12
93
(.56)
10.88
8.43
917,169
.69
.69
1.82
92
(.43)
10.56
9.19
917,770
.68
.68
2.52
116
(.21)
10.07
(.81)
878,661
.67
.67
2.44
96
(.14)
10.37
3.86
907,367
.67
.66
1.89
143
Russell
Investment
Funds
Strategic
Bond
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
124
Strategic
Bond
Fund
Related
Party
Transactions,
Fees
and
Expenses
Accrued
fees
payable
to
affiliates
for
the
period
ended
December
31,
2021
were
as
follows:
Transactions
(amounts
in
thousands)
during
the
period
ended
December
31,
2021
with
Underlying
Funds
which
are,
or
were,
an
affiliated
company
are
as
follows:
Federal
Income
Taxes
At
December
31,
2021
,
the
cost
of
investments
and
net
unrealized
appreciation
(depreciation),
undistributed
ordinary
income
and
undistributed
long-term
capital
gains
for
income
tax
purposes
were
as
follows:
For
the
fiscal
years
ended
December
31,
2021
and
December
31,
2020
respectively,
the
Fund
made
the
following
tax
basis
distributions:
Net
investment
income
and
net
realized
gains
(losses)
in
the
financial
statements
may
differ
from
taxable
net
investment
income
and
net
realized
gains
(losses).
Capital
accounts
within
the
financial
statements
are
adjusted
for
permanent
book-tax
differences.
Book-tax
differences
are
primarily
due
to
foreign
currency
gains
and
losses,
reclassifications
of
dividends,
differences
in
treatment
of
income
from
swaps,
net
operating
losses,
investments
in
partnerships,
investments
in
passive
foreign
investment
companies
(PFICs),
tax
straddle
transaction,
use
of
tax
equalization
and
foreign
capital
gains
taxes.
These
adjustments
have
no
impact
on
the
net
assets.
Advisory
fees
$
479,796
Administration
fees
43,618
Transfer
agent
fees
3,839
Trustee
fees
4,408
$
531,661
Fair
Value,
Beginning
of
Period
Purchases
Sales
Realized
Gain
(Loss)
Change
in
Unrealized
Gain
(Loss)
Fair
Value,
End
of
Period
Income
Distributions
Capital
Gains
Distributions
U.S.
Cash
Management
Fund
$
83,168
$
924,780
$
914,771
$
(10
)
$
(1
)
$
93,166
$
57
$
—
Cost
of
Investments
Unrealized
Appreciation
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
(Capital
Loss
Carryforward)
$
1,007,392,401
$
60,434,515
$
(64,968,670)
$
(4,534,155)
$
1,587,662
$
—
December
31,
2021
December
31,
2020
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
$
12,405,470
$
8,141,211
$
—
$
30,702,077
$
14,960,631
$
—
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Portfolio
Management
Discussion
and
Analysis
—
December
31,
2021
(Unaudited)
Global
Real
Estate
Securities
Fund
125
Global
Real
Estate
Securities
Fund
Total
Return
1
Year
27
.19%
5
Years
9
.11%§
10
Years
9
.25%§
FTSE
EPRA/NAREIT
Developed
Real
Estate
Index
(Net)**
Total
Return
1
Year
26
.09%
5
Years
7
.81%§
10
Years
8
.64%§
MSCI
World
Index
(Net)***
Total
Return
1
Year
21
.82%
5
Years
15
.03%§
10
Years
12
.70%§
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
126
Global
Real
Estate
Securities
Fund
The
Global
Real
Estate
Securities
Fund
(the
“Fund”)
employs
a
multi-manager
approach
whereby
Russell
Investment
Management,
LLC
(“RIM”)
manages
a
portion
of
the
Fund’s
assets
based
upon
model
portfolios
provided
by
multiple
non-
discretionary
money
managers.
The
Fund’s
money
managers
have
non-discretionary
assignments
pursuant
to
which
they
provide
a
model
portfolio
to
RIM
representing
their
investment
recommendations,
based
upon
which
RIM
purchases
and
sells
securities
for
the
Fund.
RIM
also
manages
the
portion
of
the
Fund’s
assets
that
RIM
determines
not
to
manage
based
upon
model
portfolios
provided
by
the
Fund’s
money
managers.
RIM
may
change
the
allocation
of
the
Fund’s
assets
at
any
time.
An
exemptive
order
from
the
Securities
and
Exchange
Commission
permits
RIM
to
engage
or
terminate
a
money
manager
at
any
time,
subject
to
approval
by
the
Fund’s
Board,
without
a
shareholder
vote.
Pursuant
to
the
terms
of
the
exemptive
order,
the
Fund
is
required
to
notify
its
shareholders
within
90
days
of
when
a
money
manager
begins
providing
services.
As
of
December
31,
2021,
the
Fund
had
two
money
managers.
What
is
the
Fund’s
investment
objective?
The
Fund
seeks
to
provide
current
income
and
long
term
capital
growth.
How
did
the
Fund
perform
relative
to
its
benchmark
for
the
fiscal
year
ended
December
31,
2021?
For
the
fiscal
year
ended
December
31,
2021
(the
“fiscal
year”),
the
Fund
gained
27.19%.
This
is
compared
to
the
Fund’s
benchmark,
the
FTSE
EPRA/NAREIT
Developed
Real
Estate
Index
(Net),
which
gained
26.09%
during
the
same
fiscal
year.
The
Fund’s
performance
includes
operating
expenses,
whereas
index
returns
are
unmanaged
and
do
not
include
expenses
of
any
kind.
For
the
fiscal
year,
the
Morningstar
®
Insurance
Global
Real
Estate
Category,
a
group
of
funds
that
Morningstar
considers
to
have
investment
strategies
similar
to
those
of
the
Fund,
gained
26.86%.
This
result
serves
as
a
peer
comparison
and
is
expressed
net
of
operating
expenses.
How
did
market
conditions
affect
the
Fund’s
performance?
For
the
fiscal
year,
the
global
listed
property
market,
as
measured
by
the
FTSE
EPRA/NAREIT
Developed
Real
Estate
Index
(Net),
outperformed
global
equities.
Regionally,
North
America
led
the
index,
followed
by
the
United
Kingdom.
Continental
Europe
and
Asia
Pacific
lagged,
underperforming
the
index.
With
respect
to
property
sectors,
retail
securities
were
top
performers
driven
by
reopening
optimism
and
increased
consumer
spending.
Storage
also
outperformed.
The
sector
continued
to
benefit
from
solid
fundamentals
and
experienced
high
occupancy
during
the
fiscal
year.
Industrial
stocks
ended
strong.
COVID-19
and
emerging
variants
weighed
on
performance
across
the
office
and
lodging
sectors.
Office
underperformed
as
companies
delayed
return
to
office
plans.
Lodging
also
lagged,
impacted
by
limited
business
travel.
The
health
care
sector
finished
at
the
bottom
of
the
index
as
rising
interest
rates
weighed
on
the
longer
duration
sector.
How
did
the
investment
strategies
and
techniques
employed
by
the
Fund
and
its
money
managers
affect
its
benchmark
relative
performance?
The
Fund
outperformed
its
benchmark
for
the
fiscal
year.
The
overweight
and
positive
security
selection
within
the
storage
sector
was
a
key
performance
driver.
Overweight
positioning
in
malls
and
favorable
stock
selection
within
the
specialty
and
lodging
sectors
further
contributed
to
excess
returns.
The
underweight
to
Continental
Europe
was
also
rewarded.
Unfavorable
security
selection
within
Hong
Kong
and
the
residential
sector
detracted
from
performance.
With
respect
to
the
Fund’s
money
managers,
Cohen
&
Steers
Capital
Management,
Inc.,
Cohen
&
Steers
UK
Limited
and
Cohen
&
Steers
Asia
Limited
(together,
“Cohen
&
Steers”)
outperformed
the
Fund’s
benchmark
for
the
fiscal
year.
Cohen
&
Steers
seeks
to
generate
excess
returns
through
a
combination
of
fundamental
bottom-up
stock
selection
and
top-down
regional
and
property
type
allocation
decisions.
The
overweight
to
storage
and
positive
stock
selection
within
the
net
lease
sector
drove
performance.
Favorable
stock
selection
with
Europe
ex-UK
also
benefitted
performance.
Unfavorable
stock
selection
within
Hong
Kong
detracted
from
performance.
RREEF
America
L.L.C.,
DWS
Investments
Australia
Limited
and
DWS
Alternatives
Global
Limited
(operating
under
the
brand
name
DWS)
outperformed
the
Fund’s
benchmark
for
the
fiscal
year.
Favorable
security
selection
among
storage
and
health
care
was
a
bright
spot
in
the
portfolio.
Overweight
positioning
within
industrial
and
malls
was
also
rewarded.
Unfavorable
stock
selection
within
the
United
Kingdom
held
back
performance.
RIM
manages
assets
not
allocated
to
money
manager
strategies
and
the
Fund’s
cash
balances.
During
the
fiscal
year,
RIM
continued
to
utilize
a
strategy
to
implement
regional
and
property
sector
tilting
through
the
direct
purchase
of
real
estate
stocks.
Using
quantitative
and/or
rules-
based
processes
and
qualitative
analysis,
the
strategy
seeks
to
position
the
portfolio
to
meet
RIM’s
overall
preferred
positioning
with
respect
to
regional
and
property
type
exposures.
The
strategy
underperformed
relative
to
the
Fund’s
benchmark
for
the
fiscal
year.
The
overweight
to
Japan
developers
and
office
were
significant
detractors
during
the
year.
Underweight
positioning
in
lodging
partially
offset
negative
performance.
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
Global
Real
Estate
Securities
Fund
127
During
the
fiscal
year,
the
Fund
used
index
futures
to
equitize
the
Fund’s
cash
and
this
strategy
performed
as
intended.
Describe
any
changes
to
the
Fund’s
structure
or
the
money
manager
line-up.
There
were
no
changes
to
the
Fund’s
structure
or
money
manager
line-up
during
the
fiscal
year.
The
views
expressed
in
this
report
reflect
those
of
the
portfolio
managers
only
through
the
end
of
the
fiscal
year
covered
by
the
report.
These
views
do
not
necessarily
represent
the
views
of
RIM
or
any
other
person
in
RIM
or
any
other
affiliated
organization.
These
views
are
subject
to
change
at
any
time
based
upon
market
conditions
or
other
events,
and
RIM
disclaims
any
responsibility
to
update
the
views
contained
herein.
These
views
should
not
be
relied
on
as
investment
advice
and,
because
investment
decisions
for
a
Russell
Investment
Funds
(“RIF”)
Fund
are
based
on
numerous
factors,
should
not
be
relied
on
as
an
indication
of
investment
decisions
of
any
RIF
Fund.
Money
Managers
as
of
December
31,
2021
Styles
Cohen
&
Steers
Capital
Management,
Inc.,
Cohen
&
Steers
UK
Limited
and
Cohen
&
Steers
Asia
Limited
Market-Oriented
RREEF
America
L.L.C.,
DWS
Investments
Australia
Limited
and
DWS
Alternatives
Global
Limited
(operating
under
the
brand
name
DWS)
Market-Oriented
*
Assumes
initial
investment
on
January
1,
2012.
**
The
FTSE
EPRA/NAREIT
Developed
Real
Estate
Index
(Net)
is
an
unmanaged
market-weighted
total
return
index,
which
consists
of
publicly
traded
equity
REITs
and
listed
property
companies
from
developed
markets
whose
floats
are
larger
than
$100
million
and
derive
more
than
half
of
their
revenue
from
property-
related
activities
and
is
net
of
dividend
withholding
taxes.
***
The
MSCI
World
Index
(Net)
is
a
free
float‐adjusted
market
capitalization
weighted
index
that
is
designed
to
measure
the
equity
market
performance
of
developed
markets.
The
index
consists
of
23
developed
market
country
indexes.
§
Annualized.
The
performance
shown
in
this
section
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Performance
is
historical
and
assumes
reinvestment
of
all
dividends
and
capital
gains. Investment
return
and
principal
value
will
fluctuate
so
that
an
investor’s
shares,
when
redeemed,
may
be
worth
more
or
less
than
when
purchased. Past
performance
is
not
indicative
of
future
results. Additionally,
the
returns
presented
herein
may
differ
from
the
performance
reported
in
the
Financial
Highlights
as
the
returns
herein
are
calculated
in
a
manner
consistent
with
standardized
performance
in
accordance
with
Securities
and
Exchange
Commission
rules,
while
the
performance
in
the
Financial
Highlights
has
been
calculated
in
accordance
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”).
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Shareholder
Expense
Example
—
December
31,
2021
(Unaudited)
128
Global
Real
Estate
Securities
Fund
Fund
Expenses
The
following
disclosure
provides
important
information
regarding
the
Fund’s
Shareholder
Expense
Example
(“Example”).
Example
As
a
shareholder
of
the
Fund,
you
incur
two
types
of
costs:
(1)
transaction
costs,
and
(2)
ongoing
costs,
including
advisory
and
administrative
fees
and
other
Fund
expenses.
The
Example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
Fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
indicated,
which
for
this
Fund
is
from
July
1,
2021
to
December
31,
2021
.
Actual
Expenses
The
information
in
the
table
under
the
heading
“Actual
Performance”
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
column,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
column
in
the
row
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
in
the
table
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
the
Fund’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
Fund’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
the
Fund
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
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.
Therefore,
the
information
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
In
addition,
if
these
transactional
costs
were
included,
your
costs
would
have
been
higher.
The
fees
and
expenses
shown
in
this
section
do
not
reflect
any
Insurance
Company
Separate
Account
Policy
Charges.
Actual
Performance
Hypothetical
Performance
(5%
return
before
expenses)
Beginning
Account
Value
July
1,
2021
$
1,000.00
$
1,000.00
Ending
Account
Value
December
31,
2021
$
1,097.10
$
1,020.
62
Expenses
Paid
During
Period*
$
4.81
$
4.63
*
Expenses
are
equal
to
the
Fund's
annualized
expense
ratio
of
0.91%
(representing
the
six
month
period
annualized),
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(to
reflect
the
one-half
year
period).
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Schedule
of
Investments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Global
Real
Estate
Securities
Fund
129
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Common
Stocks
-
97.4%
Australia
-
4.2%
BGP
Holdings
PLC(Æ)(Š)
926,311
—
Charter
Hall
Group
-
ADR(ö)
660,010
9,903
Dexus
Property
Group(ö)
1,032,195
8,353
Goodman
Group(ö)
150,485
2,906
GPT
Group
(The)(ö)
1,524,193
6,012
Mirvac
Group(ö)
4,849,558
10,283
Scentre
Group(ö)
3,338,485
7,678
Shopping
Centres
Australasia
Property
Group(ö)
1,217,801
2,632
47,767
Belgium
-
1.1%
Aedifica
SA(ö)
44,367
5,805
VGP
NV
15,349
4,472
Warehouses
De
Pauw
CVA(ö)
38,315
1,840
12,117
Canada
-
2.2%
Allied
Properties
Real
Estate
Investment
Trust(ö)
101,212
3,517
Canadian
Apartment
Properties(Ñ)(ö)
176,782
8,380
Granite
Real
Estate
Investment
Trust(ö)
55,240
4,603
RioCan
Real
Estate
Investment
Trust(ö)
208,736
3,785
Tricon
Residential,
Inc.
337,251
5,159
25,444
China
-
0.1%
Longfor
Group
Holdings,
Ltd.(Þ)
172,500
812
France
-
1.3%
ARGAN
SA(ö)
22,143
2,935
Gecina
SA(ö)
19,772
2,766
Icade
SA(ö)
59,534
4,275
Klepierre
SA
-
GDR(ö)
202,507
4,801
14,777
Germany
-
4.2%
Alstria
Office
REIT-AG(ö)
19,127
425
Instone
Real
Estate
Group
SE(Þ)
39,658
751
LEG
Immobilien
SE
38,997
5,448
Sirius
Real
Estate,
Ltd.
1,920,577
3,676
VIB
Vermoegen
AG(Æ)
15,634
809
Vonovia
SE
674,854
37,263
48,372
Hong
Kong
-
4.0%
CK
Asset
Holdings,
Ltd.
1,529,500
9,645
Hongkong
Land
Holdings,
Ltd.
412,500
2,144
Hysan
Development
Co.,
Ltd.
248,000
767
Link
Real
Estate
Investment
Trust(ö)
1,517,500
13,368
New
World
Development
Co.,
Ltd.
131,000
519
Sun
Hung
Kai
Properties,
Ltd.
1,017,500
12,352
Swire
Properties,
Ltd.
502,400
1,259
Wharf
Real
Estate
Investment
Co.,
Ltd.
1,108,000
5,628
45,682
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Japan
-
8.7%
Activia
Properties,
Inc.(ö)
2,191
7,924
Daibiru
Corp.
178,700
3,433
Daiwa
House
REIT
Investment
Corp.(ö)
151
457
Global
One
Real
Estate
Investment
Corp.(ö)
2,610
2,730
GLP
J-REIT(ö)
3,381
5,842
Hulic
Co.,
Ltd.
39,000
370
Hulic
REIT,
Inc.(ö)
2,518
3,788
Invincible
Investment
Corp.(ö)
6,753
2,134
Japan
Excellent,
Inc.(ö)
414
480
Japan
Retail
Fund
Investment
Corp.(ö)
3,557
3,065
Keihanshin
Building
Co.,
Ltd.
103,300
1,399
Kenedix
Retail
REIT
Corp.(ö)
1,827
4,499
LaSalle
Logiport
REIT(ö)
2,221
3,909
Mitsubishi
Estate
Co.,
Ltd.
518,900
7,193
Mitsui
Fudosan
Co.,
Ltd.
775,200
15,355
Mitsui
Fudosan
Logistics
Park,
Inc.(ö)
534
2,994
MORI
Trust
Hotel
REIT,
Inc.(ö)
4,013
4,333
MORI
Trust
Sogo
REIT,
Inc.(ö)
3,053
3,843
Nippon
Accommodations
Fund,
Inc.(ö)
104
600
Nippon
Building
Fund,
Inc.(ö)
846
4,928
Nippon
Prologis
REIT,
Inc.(Æ)(ö)
423
1,496
Nippon
REIT
Investment
Corp.(ö)
41
146
Nomura
Real
Estate
Holdings,
Inc.
30,300
697
Nomura
Real
Estate
Master
Fund,
Inc.(ö)
2,504
3,522
Samty
Residential
Investment
Corp.
(Æ)(ö)
1,785
1,999
Sumitomo
Realty
&
Development
Co.,
Ltd.
103,700
3,050
Tokyu
Fudosan
Holdings
Corp.
1,135,100
6,346
United
Urban
Investment
Corp.(ö)
3,060
3,597
100,129
Macao
-
0.2%
Sands
China,
Ltd.(Æ)
864,000
2,013
Netherlands
-
1.0%
CTP
NV(Þ)
176,294
3,751
Unibail
-
Rodamco
-Westfield(Æ)(ö)
108,581
7,570
11,321
Singapore
-
3.0%
Ascott
Residence
Trust
1,746,200
1,335
Capitaland
Investment,
Ltd.(Æ)
3,321,800
8,407
CapitaLand
Mall
Trust
Class
A(ö)
3,633,798
5,503
City
Developments,
Ltd.
486,700
2,461
Daiwa
House
Logistics
Trust(Æ)(ö)
1,433,700
851
Digital
Core
REIT
Management
Pte
,
Ltd.
(Æ)(ö)
969,700
1,125
Frasers
Logistics
&
Industrial
Trust(ö)
3,028,800
3,417
Keppel
REIT(ö)
3,842,900
3,222
Mapletree
Industrial
Trust(ö)
1,092,465
2,198
Mapletree
Logistics
Trust(Æ)(ö)
1,639,400
2,311
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
130
Global
Real
Estate
Securities
Fund
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Parkway
Life
Real
Estate
Investment
Trust(Æ)(ö)
995,555
3,790
34,620
Spain
-
0.5%
Arima
Real
Estate
Socimi
SA(Æ)(ö)
139,540
1,452
Inmobiliaria
Colonial
Socimi
SA(ö)
302,022
2,838
Neinor
Homes
SA(Æ)(Þ)
152,905
1,823
6,113
Sweden
-
2.5%
Castellum
AB
342,211
9,176
Catena
AB
41,216
2,573
Fabege
AB
409,330
6,829
Fastighets
AB
Balder
Class
B(Æ)
117,321
8,463
Wihlborgs
Fastigheter
AB
85,285
1,934
28,975
United
Kingdom
-
5.8%
Assura
PLC(ö)
3,630,831
3,431
Big
Yellow
Group
PLC(ö)
157,456
3,633
British
Land
Co.
PLC
(The)(ö)
1,392,480
9,985
Derwent
London
PLC(ö)
66,187
3,058
Grainger
PLC
1,720,633
7,337
Life
Science
REIT
PLC(Æ)(ö)
552,397
757
LondonMetric
Property
PLC(ö)
1,705,618
6,537
PRS
REIT
PLC
(The)(ö)
832,870
1,240
Safestore
Holdings
PLC(ö)
238,097
4,536
Segro
PLC(ö)
898,938
17,461
Tritax
EuroBox
PLC(Þ)
1,089,673
1,714
UNITE
Group
PLC
(The)(ö)
309,694
4,648
Workspace
Group
PLC(ö)
199,732
2,187
66,524
United
States
-
58.6%
Agree
Realty
Corp.(ö)
111,277
7,941
Alexandria
Real
Estate
Equities,
Inc.(ö)
30,321
6,760
American
Homes
4
Rent
Class
A(ö)
195,276
8,516
American
Tower
Corp.(ö)
10,607
3,103
Americold
Realty
Trust(ö)
323,454
10,606
Apartment
Income
REIT
Corp.(ö)
308,583
16,870
Apple
Hospitality
REIT,
Inc.(ö)
49,944
807
AvalonBay
Communities,
Inc.(ö)
100,511
25,388
Boston
Properties,
Inc.(ö)
94,440
10,878
Boyd
Gaming
Corp.(Æ)
38,068
2,496
Brixmor
Property
Group,
Inc.(ö)
220,644
5,607
Caesars
Entertainment,
Inc.(Æ)
16,636
1,556
Crown
Castle
International
Corp.(ö)
2,006
419
CyrusOne
,
Inc.(ö)
55,832
5,009
Digital
Realty
Trust,
Inc.(ö)
187,756
33,208
Duke
Realty
Corp.(ö)
209,540
13,754
EastGroup
Properties,
Inc.(ö)
52,049
11,859
Empire
State
Realty
Trust,
Inc.
Class
A(ö)
342,181
3,045
Equinix
,
Inc.(Æ)(ö)
23,334
19,737
Essential
Properties
Realty
Trust,
Inc.(ö)
276,211
7,963
Essex
Property
Trust,
Inc.(ö)
40,510
14,269
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Extra
Space
Storage,
Inc.(ö)
142,636
32,340
First
Industrial
Realty
Trust,
Inc.(ö)
113,845
7,537
Healthcare
Trust
of
America,
Inc.
Class
A(ö)
134,036
4,475
Healthpeak
Properties,
Inc.(ö)
399,763
14,427
Highwoods
Properties,
Inc.(ö)
109,268
4,872
Host
Hotels
&
Resorts,
Inc.(Æ)(ö)
489,957
8,520
Independence
Realty
Trust,
Inc.(ö)
269,528
6,962
Invitation
Homes,
Inc.(ö)
264,140
11,976
Jones
Lang
LaSalle,
Inc.(Æ)
25,019
6,739
Kimco
Realty
Corp.(ö)
860,127
21,202
Kite
Realty
Group
Trust(ö)
328,861
7,163
Lamar
Advertising
Co.
Class
A(ö)
45,382
5,505
Life
Storage,
Inc.(Æ)(ö)
109,764
16,814
Medical
Properties
Trust,
Inc.(ö)
387,516
9,157
Mid-America
Apartment
Communities,
Inc.(ö)
75,597
17,345
NetSTREIT
Corp.(ö)
122,427
2,804
Omega
Healthcare
Investors,
Inc.(ö)
82,557
2,443
Orion
Office
REIT,
Inc.(Æ)(ö)
4,606
86
Park
Hotels
&
Resorts,
Inc.(Æ)(ö)
120,364
2,272
Pebblebrook
Hotel
Trust(ö)
31,660
708
Prologis,
Inc.(ö)
417,548
70,297
Public
Storage(ö)
69,622
26,078
Realty
Income
Corp.(ö)
220,608
15,793
Regency
Centers
Corp.(ö)
103,051
7,765
Ryman
Hospitality
Properties,
Inc.(Æ)(ö)
85,896
7,899
SBA
Communications
Corp.(ö)
19,749
7,683
Simon
Property
Group,
LP(ö)
269,081
42,991
Spirit
Realty
Capital,
Inc.(ö)
37,690
1,816
STAG
Industrial,
Inc.(ö)
164,790
7,903
Sun
Communities,
Inc.(ö)
125,264
26,302
UDR,
Inc.(ö)
305,511
18,328
Ventas,
Inc.(ö)
80,221
4,101
VICI
Properties,
Inc.(Ñ)(ö)
174,384
5,251
Welltower
,
Inc.(ö)
376,902
32,327
Weyerhaeuser
Co.(ö)
76,091
3,133
670,805
Total
Common
Stocks
(cost
$807,429)
1,115,471
Short-Term
Investments
-
2.0%
United
States
-
2.0%
U.S.
Cash
Management
Fund(@)
23,452,466
(∞)
23,445
Total
Short-Term
Investments
(cost
$23,446)
23,445
Other
Securities
-
0.5%
U.S.
Cash
Collateral
Fund(@)(×)
5,413,740
(∞)
5,414
Total
Other
Securities
(cost
$5,414)
5,414
Total
Investments
-
99.9%
(identified
cost
$836,289)
1,144,330
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Global
Real
Estate
Securities
Fund
131
Amounts
in
thousands
(except
share
amounts)
Principal
Amount
($)
or
Shares
Fair
Value
$
Other
Assets
and
Liabilities,
Net
-
0.1%
1,007
Net
Assets
-
100.0%
1,145,337
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
132
Global
Real
Estate
Securities
Fund
Restricted
Securities
Amounts
in
thousands
(except
share
and
cost
per
unit
amounts)
%
of
Net
Assets
Acquisition
Principal
Amount
($)
Cost
per
Unit
Cost
(000)
Fair
Value
(000)
Securities
Date
or
shares
$
$
$
0.8%
CTP
NV
04/06/21
EUR
176,294
20.12
3,547
3,751
Instone
Real
Estate
Group
SE
03/28/19
EUR
39,658
21.84
866
751
Longfor
Group
Holdings,
Ltd.
10/11/21
HKD
172,500
4.45
768
812
Neinor
Homes
SA
05/31/21
EUR
152,905
13.63
2,084
1,823
Tritax
EuroBox
PLC
03/15/21
EUR
1,089,673
1.45
1,575
1,714
8,851
For
a
description
of
restricted
securities
see
note
7
in
the
Notes
to
Financial
Statements.
Futures
Contracts
Amounts
in
thousands
(except
contract
amounts
)
Number
of
Contracts
Notional
Amount
Expiration
Date
Value
and
Unrealized
Appreciation
(Depreciation)
$
Long
Positions
Dow
Jones
U.S.
Real
Estate
Index
Futures
301
USD
13,617
03/22
663
FTSE/EPRA
Europe
Index
Futures
167
EUR
4,136
03/22
116
Hang
Seng
Index
Futures
10
HKD
11,726
01/22
9
MSCI
Singapore
Index
Futures
33
SGD
1,122
01/22
7
S&P/TSX
60
Index
Futures
3
CAD
769
03/22
10
SPI
200
Index
Futures
7
AUD
1,286
03/22
8
TOPIX
Index
Futures
16
JPY
318,719
03/22
9
Total
Value
and
Unrealized
Appreciation
(Depreciation)
on
Open
Futures
Contracts
(å)
822
Foreign
Currency
Exchange
Contracts
Amounts
in
thousands
Counterparty
Amount
Sold
Amount
Bought
Settlement
Date
Unrealized
Appreciation
(Depreciation)
$
Bank
of
America
USD
514
JPY
59,184
01/05/22
—
Bank
of
America
EUR
701
USD
796
03/16/22
(3)
Bank
of
America
HKD
386
USD
50
01/04/22
—
Bank
of
America
JPY
39,572
USD
347
03/16/22
3
JPMorgan
Chase
USD
464
AUD
648
03/16/22
8
JPMorgan
Chase
USD
306
CAD
386
03/16/22
(1)
JPMorgan
Chase
USD
1,947
EUR
1,719
03/16/22
12
JPMorgan
Chase
USD
608
HKD
4,737
03/16/22
—
JPMorgan
Chase
USD
1,088
JPY
123,779
03/16/22
(11)
JPMorgan
Chase
USD
353
SGD
482
03/16/22
4
Royal
Bank
of
Canada
USD
463
AUD
648
03/16/22
8
Royal
Bank
of
Canada
USD
306
CAD
386
03/16/22
(1)
Royal
Bank
of
Canada
USD
89
EUR
79
03/16/22
1
Royal
Bank
of
Canada
USD
349
EUR
309
03/16/22
3
Royal
Bank
of
Canada
USD
445
EUR
391
03/16/22
1
Royal
Bank
of
Canada
USD
996
EUR
880
03/16/22
8
Royal
Bank
of
Canada
USD
1,948
EUR
1,719
03/16/22
11
Royal
Bank
of
Canada
USD
393
HKD
3,063
01/03/22
—
Royal
Bank
of
Canada
USD
307
HKD
2,395
03/16/22
—
Royal
Bank
of
Canada
USD
608
HKD
4,737
03/16/22
—
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Global
Real
Estate
Securities
Fund
133
Foreign
Currency
Exchange
Contracts
Amounts
in
thousands
Counterparty
Amount
Sold
Amount
Bought
Settlement
Date
Unrealized
Appreciation
(Depreciation)
$
Royal
Bank
of
Canada
USD
87
JPY
9,893
03/16/22
(1)
Royal
Bank
of
Canada
USD
330
JPY
37,447
03/16/22
(4)
Royal
Bank
of
Canada
USD
577
JPY
65,403
03/16/22
(8)
Royal
Bank
of
Canada
USD
1,088
JPY
123,779
03/16/22
(13)
Royal
Bank
of
Canada
USD
214
SGD
292
03/16/22
3
Royal
Bank
of
Canada
USD
353
SGD
482
03/16/22
4
Royal
Bank
of
Canada
EUR
295
USD
333
03/16/22
(3)
Royal
Bank
of
Canada
HKD
589
USD
75
01/04/22
—
Royal
Bank
of
Canada
JPY
117,905
USD
1,028
01/04/22
3
Royal
Bank
of
Canada
JPY
24,280
USD
214
03/16/22
3
Total
Unrealized
Appreciation
(Depreciation)
on
Open
Foreign
Currency
Exchange
Contracts
27
Presentation
of
Portfolio
Holdings
Amounts
in
thousands
Fair
Value
Portfolio
Summary
Level
1
Level
2
Level
3
Practical
Expedient
(a)
Total
%
of
Net
Assets
Common
Stocks
Australia
$
—
$
47,767
$
—
$
—
$
47,767
4
.2
Belgium
—
12,117
—
—
12,117
1
.1
Canada
25,444
—
—
—
25,444
2
.2
China
—
812
—
—
812
0
.1
France
—
14,777
—
—
14,777
1
.3
Germany
—
48,372
—
—
48,372
4
.2
Hong
Kong
—
45,682
—
—
45,682
4
.0
Japan
—
100,129
—
—
100,129
8
.7
Macao
—
2,013
—
—
2,013
0
.2
Netherlands
—
11,321
—
—
11,321
1
.0
Singapore
1,976
32,644
—
—
34,620
3
.0
Spain
—
6,113
—
—
6,113
0
.5
Sweden
—
28,975
—
—
28,975
2
.5
United
Kingdom
757
65,767
—
—
66,524
5
.8
United
States
670,805
—
—
—
670,805
58
.6
Short-Term
Investments
—
—
—
23,445
23,445
2
.0
Other
Securities
—
—
—
5,414
5,414
0
.
5
Total
Investments
698,982
416,489
—
28,859
1,144,330
99
.9
Other
Assets
and
Liabilities,
Net
0
.1
100
.0
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Schedule
of
Investments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
134
Global
Real
Estate
Securities
Fund
Presentation
of
Portfolio
Holdings
Amounts
in
thousands
Fair
Value
Portfolio
Summary
Level
1
Level
2
Level
3
Practical
Expedient
(a)
Total
%
of
Net
Assets
Other
Financial
Instruments
Assets
Futures
Contracts
822
—
—
—
822
0
.1
Foreign
Currency
Exchange
Contracts
3
69
—
—
72
—
*
A
Liabilities
Foreign
Currency
Exchange
Contracts
—
(45
)
—
—
(45
)
(—)
*
Total
Other
Financial
Instruments
**
$
825
$
24
$
—
$
—
$
849
*
Less
than
0.05%
of
net
assets.
**
Futures
and
foreign
currency
exchange
contract
values
reflect
the
unrealized
appreciation
(depreciation)
on
the
investments.
(a)
Certain
investments
that
are
measured
at
fair
value
using
the
net
asset
value
per
share
(or
its
equivalent)
practical
expedient
have
not
been
classified
in
the
fair
value
levels.
The
fair
value
amounts
presented
in
the
table
are
intended
to
permit
reconciliation
to
the
amounts
presented
in
the
Schedule
of
Investments.
For
a
description
of
the
Levels,
see
note
2
in
the
Notes
to
Financial
Statements.
For
a
disclosure
on
transfers
into
and
out
of
Level
3
during
the
period
ended
December
31,
2021,
see
note
2
in
the
Notes
to
Financial
Statements.
Investments
in
which
significant
unobservable
inputs
(Level
3)
were
used
in
determining
a
fair
value
for
the
period
ended
December
31,
2021,
were
less
than
1%
of
net
assets.
Amounts
in
thousands
Property
Sector
Exposure
Fair
Value
$
Diversified
..............................................................................
267,778
Healthcare
..............................................................................
74,152
Industrial
................................................................................
175,610
Internet
Services
&
Infrastructure
...........................................
59,079
Lodging/Resorts
......................................................................
35,976
Office
......................................................................................
63,438
Residential
..............................................................................
207,664
Retail
......................................................................................
148,374
Self
Storage
.............................................................................
83,400
Short-Term
Investments
..........................................................
23,445
Other
Securities
......................................................................
5,414
Total
Investments
....................................................................
1,144,330
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Fair
Value
of
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Global
Real
Estate
Securities
Fund
135
Amounts
in
thousands
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Foreign
Currency
Contracts
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Unrealized
appreciation
on
foreign
currency
exchange
contracts
$
—
$
72
Variation
margin
on
futures
contracts*
822
—
Total
$
822
$
72
Location:
Statement
of
Assets
and
Liabilities
-
Liabilities
Unrealized
depreciation
on
foreign
currency
exchange
contracts
$
—
$
45
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Foreign
Currency
Contracts
Location:
Statement
of
Operations
-
Net
realized
gain
(loss)
Futures
contracts
$
5,922
$
—
Foreign
currency
exchange
contracts
—
(870)
Total
$
5,922
$
(870)
Location:
Statement
of
Operations
-
Net
change
in
unrealized
appreciation
(depreciation)
Futures
contracts
$
177
$
—
Foreign
currency
exchange
contracts
—
(65)
Total
$
177
$
(65)
*
Includes
cumulative
appreciation
(depreciation)
of
futures
contracts
as
reported
in
the
Schedule
of
Investments.
Only
variation
margin
is
reported
within
the
Statement
of
Assets
and
Liabilities.
For
further
disclosure
on
derivatives
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Balance
Sheet
Offsetting
of
Financial
and
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
136
Global
Real
Estate
Securities
Fund
Amounts
in
thousands
Offsetting
of
Financial
Assets
and
Derivative
Assets
Description
Location:
Statement
of
Assets
and
Liabilities
-
Assets
Gross
Amounts
of
Recognized
Assets
Gross
Amounts
Offset
in
the
Statement
of
Assets
and
Liabilities
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Securities
on
Loan*
Investments,
at
fair
value
$
5,332
$
—
$
5,332
Foreign
Currency
Exchange
Contracts
Unrealized
appreciation
on
foreign
currency
exchange
contracts
72
—
72
Total
Financial
and
Derivative
Assets
5,404
—
5,404
Financial
and
Derivative
Assets
not
subject
to
a
netting
agreement
(3)
—
(3)
Total
Financial
and
Derivative
Assets
subject
to
a
netting
agreement
$
5,401
$
—
$
5,401
Financial
Assets,
Derivative
Assets,
and
Collateral
Held
by
Counterparty
Gross
Amounts
Not
Offset
in
the
Statement
of
Assets
and
Liabilities
Counterparty
Net
Amounts
of
Assets
Presented
in
the
Statement
of
Assets
and
Liabilities
Financial
and
Derivative
Instruments
Collateral
Received^
Net
Amount
Bank
of
America
$
3
$
3
$
—
$
—
Citigroup
5,141
—
5,141
—
HSBC
190
—
190
—
JPMorgan
Chase
25
12
—
13
Royal
Bank
of
Canada
42
30
—
12
Total
$
5,401
$
45
$
5,331
$
25
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Balance
Sheet
Offsetting
of
Financial
and
Derivative
Instruments,
continued
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Global
Real
Estate
Securities
Fund
137
Amounts
in
thousands
Offsetting
of
Financial
Liabilities
and
Derivative
Liabilities
Description
Location:
Statement
of
Assets
and
Liabilities
-
Liabilities
Gross
Amounts
of
Recognized
Liabilities
Gross
Amounts
Offset
in
the
Statement
of
Assets
and
Liabilities
Net
Amounts
of
Liabilities
Presented
in
the
Statement
of
Assets
and
Liabilities
Foreign
Currency
Exchange
Contracts
Unrealized
depreciation
on
foreign
currency
exchange
contracts
$
45
$
—
$
45
Total
Financial
and
Derivative
Liabilities
45
—
45
Financial
and
Derivative
Liabilities
not
subject
to
a
netting
agreement
—
—
—
Total
Financial
and
Derivative
Liabilities
subject
to
a
netting
agreement
$
45
$
—
$
45
Financial
Liabilities,
Derivative
Liabilities,
and
Collateral
Pledged
by
Counterparty
Gross
Amounts
Not
Offset
in
the
Statement
of
Assets
and
Liabilities
Counterparty
Net
Amounts
of
Liabilities
Presented
in
the
Statement
of
Assets
and
Liabilities
Financial
and
Derivative
Instruments
Collateral
Pledged^
Net
Amount
Bank
of
America
$
3
$
3
$
—
$
—
JPMorgan
Chase
12
12
—
—
Royal
Bank
of
Canada
30
30
—
—
Total
$
45
$
45
$
—
$
—
*
Fair
value
of
securities
on
loan
as
reported
in
the
footnotes
to
the
Statement
of
Assets
and
Liabilities.
^ Collateral
received
or
pledged
amounts
may
not
reconcile
to
those
disclosed
in
the
Statement
of
Assets
and
Liabilities
due
to
the
inclusion
of
off-Balance
Sheet
collateral
and
adjustments
made
to
exclude
overcollateralization.
For
further
disclosure
on
derivatives
and
counterparty
risk
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
138
Global
Real
Estate
Securities
Fund
Statement
of
Assets
and
Liabilities
—
December
31,
2021
Amounts
in
thousands
Assets
Investments,
at
identified
cost
........................................................................................................................................................
$
836,289
Investments,
at
fair
value(*)(>)
......................................................................................................................................................
1,144,330
Foreign
currency
holdings(^)
.........................................................................................................................................................
1,876
Unrealized
appreciation
on
foreign
currency
exchange
contracts
...................................................................................................
72
Receivables:
Dividends
and
interest
.......................................................................................................................................................
2,963
Dividends
from
affiliated
funds
..........................................................................................................................................
1
Investments
sold
................................................................................................................................................................
2,788
Fund
shares
sold
................................................................................................................................................................
82
Foreign
capital
gains
taxes
recoverable
.............................................................................................................................
207
From
broker(a)
...................................................................................................................................................................
710
Variation
margin
on
futures
contracts
.................................................................................................................................
823
Total
assets
.................................................................................................................................................
1,153,852
Liabilities
Payables:
Investments
purchased
......................................................................................................................................................
1,970
Fund
shares
redeemed
.......................................................................................................................................................
63
Accrued
fees
to
affiliates
....................................................................................................................................................
808
Other
accrued
expenses
.....................................................................................................................................................
215
Unrealized
depreciation
on
foreign
currency
exchange
contracts
...................................................................................................
45
Payable
upon
return
of
securities
loaned
.......................................................................................................................................
5,414
Total
liabilities
.............................................................................................................................................
8,515
Net
Assets
............................................................................................................................................................
$
1,145,337
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Global
Real
Estate
Securities
Fund
139
Statement
of
Assets
and
Liabilities,
continued
—
December
31,
2021
Amounts
in
thousands
Net
Assets
Consist
of:
Total
distributable
earnings
(losses)
...............................................................................................................................................
$
258,
449
Shares
of
beneficial
interest
...........................................................................................................................................................
665
Additional
paid-in
capital
..............................................................................................................................................................
886,
223
Net
Assets
............................................................................................................................................................
$
1,145,337
Net
Asset
Value
,
offering
and
redemption
price
per
share:
Net
asset
value
per
share:
(#)
.........................................................................................................................................................
$
17.22
Net
assets
...............................................................................................................................................................................
$
1,145,337,332
Shares
outstanding
($.01
par
value)
.......................................................................................................................................
66,498,157
Amounts
in
thousands
(^)
Foreign
currency
holdings
-
cost
$
1,866
(*)
Securities
on
loan
included
in
investments
$
5,332
(>)
Investments
in
affiliates,
U.S.
Cash
Management
Fund
and
U.S.
Cash
Collateral
Fund
$
28,859
(a)
Receivable
from
Broker
for
Futures
$
710
(#)
Net
asset
value
per
share
equals
net
assets
divided
by
shares
of
beneficial
interest
outstanding.
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
140
Global
Real
Estate
Securities
Fund
Statement
of
Operations
—
For
the
Period
Ended
December
31,
2021
Amounts
in
thousands
Investment
Income
Dividends
..........................................................................................................................................................................
$
33,
846
Dividends
from
affiliated
funds
.........................................................................................................................................
13
Securities
lending
income
(net)
.........................................................................................................................................
26
Less
foreign
taxes
withheld
...............................................................................................................................................
(1,
057
)
Total
investment
income
...............................................................................................................................................................
32,828
Expenses
Advisory
fees
....................................................................................................................................................................
8,421
Administrative
fees
...........................................................................................................................................................
526
Custodian
fees
...................................................................................................................................................................
201
Transfer
agent
fees
...........................................................................................................................................................
46
Professional
fees
...............................................................................................................................................................
124
Trustees’
fees
....................................................................................................................................................................
41
Printing
fees
......................................................................................................................................................................
109
Proxy
fees
.........................................................................................................................................................................
48
Miscellaneous
...................................................................................................................................................................
14
Total
expenses
...............................................................................................................................................................................
9,530
Net
investment
income
(loss)
........................................................................................................................................................
23,298
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
on:
Investments
(net
of
deferred
tax
liability
for
foreign
capital
gains
taxes)
...........................................................................
86,687
Investments
in
affiliated
funds
..........................................................................................................................................
(3)
Futures
contracts
..............................................................................................................................................................
5,922
Foreign
currency
exchange
contracts
................................................................................................................................
(870)
Foreign
currency-related
transactions
...............................................................................................................................
(30)
Net
realized
gain
(loss)
..................................................................................................................................................................
91,706
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
(net
of
deferred
tax
liability
for
foreign
capital
gains
taxes)
...........................................................................
136,865
Investments
in
affiliated
funds
..........................................................................................................................................
1
Futures
contracts
..............................................................................................................................................................
177
Foreign
currency
exchange
contracts
................................................................................................................................
(65)
Foreign
currency-related
transactions
...............................................................................................................................
(94)
Net
change
in
unrealized
appreciation
(depreciation)
...................................................................................................................
136,884
Net
realized
and
unrealized
gain
(loss)
.........................................................................................................................................
228,590
Net
Increase
(Decrease)
in
Net
Assets
from
Operations
..........................................................................................
$
251,888
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Global
Real
Estate
Securities
Fund
141
Statements
of
Changes
in
Net
Assets
For
the
Periods
Ended
December
31,
Amounts
in
thousands
2021
2020
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
(loss)
............................................................................................................
$
23,298
$
16,391
Net
realized
gain
(loss)
......................................................................................................................
91,706
(62,984)
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
136,884
5,324
Net
increase
(decrease)
in
net
assets
from
operations
.............................................................................
251,888
(41,269)
Distributions
To
shareholders
.................................................................................................................................
(61,884)
(12,976)
Net
decrease
in
net
assets
from
distributions
..........................................................................................
(61,884)
(12,976)
Share
Transactions*
Net
increase
(decrease)
in
net
assets
from
share
transactions
.................................................................
22,
692
35,599
Total
Net
Increase
(Decrease)
in
Net
Assets
..........................................................................
212,
696
(18,646)
Net
Assets
Beginning
of
period
.................................................................................................................................
932,641
951,287
End
of
period
..........................................................................................................................................
$
1,145,
337
$
932,641
*
Share
transaction
amounts
(in
thousands)
for
the
periods
ended
December
31,
2021
and
December
31,
2020
were
as
follows:
2021
2020
Shares
Dollars
Shares
Dollars
Proceeds
from
shares
sold
2,218
$
34,704
4,515
$
54,861
Proceeds
from
reinvestment
of
distributions
3,910
61,
884
1,029
12,976
Payments
for
shares
redeemed
(4,541)
(73,
896
)
(2,411)
(32,238)
Total
increase
(decrease)
1,587
$
22,
692
3,133
$
35,599
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
Financial
Highlights
—
For
the
Periods
Ended
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
142
Global
Real
Estate
Securities
Fund
For
a
Share
Outstanding
Throughout
Each
Period.
$
Net
Asset
Value,
Beginning
of
Period
$
Net
Investment
Income
(Loss)
(a)(b)
$
Net
Realized
and
Unrealized
Gain
(Loss)
$
Total
from
Investment
Operations
$
Distributions
from
Net
Investment
Income
$
Distributions
from
Net
Realized
Gain
December
31,
2021
14.37
.36
3.44
3.80
(.78)
(.17)
December
31,
2020
15.40
.26
(1.09)
(.83)
(.20)
—
December
31,
2019
13.32
.26
2.60
2.86
(.78)
—
December
31,
2018
14.81
.43
(1.26)
(.83)
(.64)
(.02)
December
31,
2017
14.00
.29
1.34
1.63
(.54)
(.28)
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Global
Real
Estate
Securities
Fund
143
$
Total
Distributions
$
Net
Asset
Value,
End
of
Period
%
Total
Return
(d)
$
Net
Assets,
End
of
Period
(000)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Gross
%
Ratio
of
Expenses
to
Average
Net
Assets,
Net
(b)
%
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
(b)
%
Portfolio
Turnover
Rate
(.95)
17.22
27.19
1,145,337
.91
.91
2.22
68
(.20)
14.37
(5.18)
932,641
.91
.91
1.94
96
(.78)
15.40
21.64
951,287
.92
.92
1.72
81
(.66)
13.32
(5.72)
822,474
.92
.92
3.03
78
(.82)
14.81
11.80
899,454
.92
.92
2.09
84
Russell
Investment
Funds
Global
Real
Estate
Securities
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
144
Global
Real
Estate
Securities
Fund
Related
Party
Transactions,
Fees
and
Expenses
Accrued
fees
payable
to
affiliates
for
the
period
ended
December
31,
2021
were
as
follows:
Transactions
(amounts
in
thousands)
during
the
period
ended
December
31,
2021
with
Underlying
Funds
which
are,
or
were,
an
affiliated
company
are
as
follows:
Federal
Income
Taxes
At
December
31,
2021,
the
cost
of
investments
and
net
unrealized
appreciation
(depreciation),
undistributed
ordinary
income
and
undistributed
long-term
capital
gains
for
income
tax
purposes
were
as
follows:
For
the
fiscal
years
ended
December
31,
2021
and
December
31,
2020
respectively,
the
Fund
made
the
following
tax
basis
distributions:
Net
investment
income
and
net
realized
gains
(losses)
in
the
financial
statements
may
differ
from
taxable
net
investment
income
and
net
realized
gains
(losses).
Capital
accounts
within
the
financial
statements
are
adjusted
for
permanent
book-tax
differences.
Book-tax
differences
are
primarily
due
to
foreign
currency
gains
and
losses,
reclassifications
of
dividends,
differences
in
treatment
of
income
from
swaps,
net
operating
losses,
investments
in
partnerships,
investments
in
passive
foreign
investment
companies
(PFICs),
tax
straddle
transaction,
use
of
tax
equalization
and
foreign
capital
gains
taxes.
These
adjustments
have
no
impact
on
the
net
assets.
Advisory
fees
$
752,580
Administration
fees
47,036
Transfer
agent
fees
4,140
Trustee
fees
4,329
$
808,085
Fair
Value,
Beginning
of
Period
Purchases
Sales
Realized
Gain
(Loss)
Change
in
Unrealized
Gain
(Loss)
Fair
Value,
End
of
Period
Income
Distributions
Capital
Gains
Distributions
U.S.
Cash
Management
Fund
$
27,522
$
247,419
$
251,493
$
(3
)
$
—
$
23,445
$
13
$
—
U.S.
Cash
Collateral
Fund
—
137,939
132,526
—
1
5,414
1
—
$
27,522
$
385,358
$
384,019
$
(3
)
$
1
$
28,859
$
14
$
—
Cost
of
Investments
Unrealized
Appreciation
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
(Capital
Loss
Carryforward)
$
894,232,059
$
259,118,318
$
(8,849,578)
$
250,268,740
$
—
$
8,219,388
December
31,
2021
December
31,
2020
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
$
50,989,057
$
10,894,483
$
—
$
12,976,175
$
—
$
—
Russell
Investment
Funds
Notes
to
Schedule
of
Investments
—
December
31,
2021
Notes
to
Schedule
of
Investments
145
Footnotes:
Abbreviations:
(Æ)
Non-income
producing
security.
(ö)
Real
Estate
Investment
Trust
(REIT).
(§)
All
or
a
portion
of
the
shares
of
this
security
are
pledged
as
collateral
in
connection
with
futures
contracts
purchased
(sold)
or
swap
contracts
entered
into
by
the
Fund.
(ž)
Rate
noted
is
yield-to-maturity
from
date
of
acquisition.
(ç)
At
amortized
cost,
which
approximates
fair
value.
(Ê)
Variable,
adjustable
or
floating
rate
security.
Rate
shown
reflects
rate
in
effect
at
period
end.
(Ï)
Forward
commitment.
(ƒ)
Perpetual
floating
rate
security.
Rate
shown
reflects
rate
in
effect
at
period
end.
(µ)
Bond
is
insured
by
a
guarantor.
(æ)
Pre-refunded:
These
bonds
are
collateralized
by
U.S.
Treasury
securities,
which
are
held
in
escrow
by
a
trustee
and
used
to
pay
principal
and
interest
in
the
tax-exempt
issue
and
to
retire
the
bonds
in
full
at
the
earliest
refunding
date.
(Ø)
In
default.
(x)
The
security
is
purchased
with
the
cash
collateral
from
the
securities
loaned.
(Ñ)
All
or
a
portion
of
the
shares
of
this
security
are
on
loan.
(~)
Rate
fluctuates
based
on
various
factors
such
as
changes
in
current
rates
and
prepayments
of
the
underlying
assets,
changes
in
the
CPI
or
other
contractual
arrangements.
(ì)
All
or
a
portion
of
the
shares
of
this
security
are
pledged
as
collateral
in
connection
with
options
written
contracts.
(¢)
Date
shown
reflects
next
contractual
call
date.
(Þ)
Restricted
security.
Security
may
have
contractual
restrictions
on
resale,
may
have
been
offered
in
a
private
placement
transaction,
and
may
not
be
registered
under
the
Securities
Act
of
1933.
See
Note
7.
(ÿ)
Notional
Amount
in
thousands.
(Š)
Value
was
determined
using
significant
unobservable
inputs.
(@)
Affiliate.
(Ÿ)
Rate
noted
is
dividend
yield
at
period
end.
(å)
Currency
balances
were
pledged
in
connection
with
futures
contracts
purchased
(sold),
options
written,
foreign
currency
exchange
contracts,
or
swaps
entered
into
by
the
Fund.
See
Statement
of
Assets
and
Liabilities.
(∞)
Unrounded
units.
(v)
Loan
agreement
still
pending.
Rate
not
available
at
period
end.
(
Û
)
All
or
a
portion
of
the
shares
of
this
security
are
pledged
as
collateral
in
connection
with
securities
sold
short
.
(
Ð
)
All
or
a
portion
of
the
shares
of
this
security
are
on
loan
through
the
reciprocal
lending
program
with
State
Street.
See
note
2
in
the
Notes
to
the
Financial
Statements
.
(0)
Weekly
payment
frequency.
(1)
Monthly
payment
frequency.
(2)
Quarterly
payment
frequency.
(3)
Semi-annual
payment
frequency.
(4)
Annual
payment
frequency.
(5)
Payment
at
termination.
ADR
-
American
Depositary
Receipt
ADS
-
American
Depositary
Share
BBR
-
Bank
Bill
Rate
BBSW
-
Bank
Bill
Swap
Reference
Rate
BUBOR
-
Budapest
Interbank
Offered
Rate
CIBOR
-
Copenhagen
Interbank
Offered
Rate
CME
-
Chicago
Mercantile
Exchange
CMO
-
Collateralized
Mortgage
Obligation
CVO
-
Contingent
Value
Obligation
EMU
-
European
Economic
and
Monetary
Union
EURIBOR
-
Euro
Interbank
Offered
Rate
FDIC
-
Federal
Deposit
Insurance
Company
GDR
-
Global
Depositary
Receipt
GDS
-
Global
Depositary
Share
GSCI
-
Goldman
Sachs
Commodity
Index
Russell
Investment
Funds
Notes
to
Schedule
of
Investments,
continued
—
December
31,
2021
146
Notes
to
Schedule
of
Investments
Foreign
Currency
Abbreviations:
HIBOR
-
Hong
Kong
Interbank
Offer
Rate
JIBAR
-
Johannesburg
Interbank
Agreed
Rate
KSDA
-
Korean
Securities
Dealers
Association
LIBOR
-
London
Interbank
Offered
Rate
MIBOR
-
Mumbai
Interbank
Offered
Rate
NIBOR
-
Norwegian
Interbank
Offered
Rate
PIK
-
Payment
in
Kind
PRIBOR
-
Prague
Interbank
Offered
Rate
REMIC
-
Real
Estate
Mortgage
Investment
Conduit
STIBOR
-
Stockholm
Interbank
Offered
Rate
STRIP
-
Separate
Trading
of
Registered
Interest
and
Principal
of
Securities
SFE
-
Sydney
Futures
Exchange
TELBOR
–
Tel
Aviv
Interbank
Offered
Rate
TBA
-
To
Be
Announced
Security
UK
-
United
Kingdom
WTI
-
West
Texas
Intermediate
ARS
-
Argentine
peso
HKD
-
Hong
Kong
dollar
PKR
-
Pakistani
rupee
AUD
-
Australian
dollar
HUF
-
Hungarian
forint
PLN
-
Polish
zloty
BRL
-
Brazilian
real
IDR
-
Indonesian
rupiah
RON
-
Romanian
New
Leu
CAD
-
Canadian
dollar
ILS
-
Israeli
shekel
RUB
-
Russian
ruble
CHF
-
Swiss
franc
INR
-
Indian
rupee
SEK
-
Swedish
krona
CLP
-
Chilean
peso
ISK
-
Icelandic
krona
SGD
-
Singapore
dollar
CNH
-
Chinese
offshore
spot
ITL
-
Italian
lira
SKK
-
Slovakian
koruna
CNY
-
Chinese
renminbi
yuan
JPY
-
Japanese
yen
THB
-
Thai
baht
COP
-
Colombian
peso
KES
-
Kenyan
schilling
TRY
-
Turkish
lira
CRC
-
Costa
Rican
colon
KRW
-
South
Korean
won
TWD
-
Taiwanese
dollar
CZK
-
Czech
koruna
MXN
-
Mexican
peso
USD
-
United
States
dollar
DKK
-
Danish
krone
MYR
-
Malaysian
ringgit
UYU
-
Uruguayan
peso
DOP
-
Dominican
peso
NOK
-
Norwegian
krone
VEB
-
Venezuelan
bolivar
EGP
-
Egyptian
pound
NGN
-
Nigerian
naira
VND
-
Vietnamese
dong
EUR
-
Euro
NZD
-
New
Zealand
dollar
ZAR
-
South
African
rand
GBP
-
British
pound
sterling
PEN
-
Peruvian
nuevo
sol
GHS
-
Ghanaian
Cedi
PHP
-
Philippine
peso
Russell
Investment
Funds
Notes
to
Financial
Highlights
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Notes
to
Financial
Highlights
147
(a)
Average
daily
shares
outstanding
were
used
for
this
calculation.
(b)
May
reflect
amounts
waived
and/or
reimbursed
by
Russell
Investment
Management,
LLC
(“RIM”).
(c)
Less
than
$.01
per
share.
(d)
The
total
return
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Russell
Investment
Funds
Notes
to
Financial
Statements
—
December
31,
2021
148
Notes
to
Financial
Statements
1.
Organization
Russell
Investment
Funds
(the
“Investment
Company”
or
“RIF”)
is
a
series
investment
company
with
nine
different
investment
portfolios
referred
to
as
funds.
These
financial
statements
report
on
five
of
these
funds
(each
a
“Fund”
and
collectively
the
“Funds”).
The
Investment
Company
provides
the
investment
base
for
one
or
more
variable
insurance
products
issued
by
one
or
more
insurance
companies.
These
Funds
are
offered
at
net
asset
value
(“NAV”)
to
qualified
insurance
company
separate
accounts
offering
variable
insurance
products.
The
Investment
Company
is
registered
under
the
Investment
Company
Act
of
1940,
as
amended
(“Investment
Company
Act”),
as
an
open-end
management
investment
company.
It
is
organized
and
operated
as
a
Massachusetts
business
trust
under
a
Third
Amended
and
Restated
Master
Trust
Agreement
dated
December
7,
2020,
as
amended
(“Master
Trust
Agreement”),
and
the
provisions
of
Massachusetts
law
governing
the
operation
of
a
Massachusetts
business
trust.
The
Investment
Company’s
Master
Trust
Agreement
permits
the
Board
of
Trustees
(the
“Board”)
to
issue
an
unlimited
number
of
shares
of
beneficial
interest.
Each
of
the
Funds
is
diversified.
Under
the
Investment
Company
Act,
a
diversified
company
is
defined
as
a
management
company
which
meets
the
following
requirements:
at
least
75%
of
the
value
of
its
total
assets
is
represented
by
cash
and
cash
equivalents
(including
receivables),
government
securities,
securities
of
other
investment
companies,
and
other
securities
for
the
purposes
of
this
calculation
limited
in
respect
of
any
one
issuer
to
an
amount
not
greater
in
value
than
five
percent
of
the
value
of
the
total
assets
of
such
management
company
and
to
not
more
than
10%
of
the
outstanding
voting
securities
of
such
issuer.
Unless
otherwise
specified,
“period”
(as
used
within
the
financial
statements)
refers
to
the
fiscal
year
ended
December
31,
2021.
2.
Significant
Accounting
Policies
The
Funds’
financial
statements
are
prepared
in
accordance
with
U.S.
generally
accepted
accounting
principles
(“U.S.
GAAP”)
which
require
the
use
of
management
estimates
and
assumptions
at
the
date
of
the
financial
statements.
Actual
results
could
differ
from
those
estimates.
The
Funds
are
considered
investment
companies
under
U.S.
GAAP
and
follow
the
accounting
and
reporting
guidance
applicable
to
investment
companies.
The
following
is
a
summary
of
the
significant
accounting
policies
consistently
followed
by
each
Fund
in
the
preparation
of
its
financial
statements.
Security
Valuation
The
Funds
value
portfolio
securities
according
to
Board-approved
securities
valuation
procedures
which
include
market
and
fair
value
procedures.
The
Board
has
delegated
the
responsibility
for
administration
of
the
securities
valuation
procedures
to
Russell
Investments
Fund
Services,
LLC
(“RIFUS”).
U.S.
GAAP
defines
fair
value
as
the
price
that
a
Fund
would
receive
to
sell
an
asset
or
pay
to
transfer
a
liability
in
an
orderly
transaction
between
market
participants
at
the
measurement
date.
It
establishes
a
fair
value
hierarchy
that
prioritizes
inputs
to
valuation
methods,
requires
a
separate
disclosure
of
the
fair
value
hierarchy
for
each
major
category
of
assets
and
liabilities,
and
segregates
fair
value
measurements
into
levels
(Level
1,
2,
and
3).
The
inputs
or
methodology
used
for
valuing
securities
are
not
necessarily
an
indication
of
the
risk
associated
with
investing
in
those
securities.
Levels
1,
2
and
3
of
the
fair
value
hierarchy
are
defined
as
follows:
Level
1
—
Quoted
prices
(unadjusted)
in
active
markets
or
exchanges
for
identical
assets
and
liabilities.
Level
2
—
Inputs
other
than
quoted
prices
included
within
Level
1
that
are
observable,
which
may
include,
but
are
not
limited
to,
quoted
prices
for
similar
assets
or
liabilities
in
markets
that
are
active,
quoted
prices
for
identical
or
similar
assets
or
liabilities
in
markets
that
are
not
active,
and
inputs
such
as
interest
rates,
yield
curves,
implied
volatilities,
credit
spreads
or
other
market
corroborated
inputs.
Level
3
—
Significant
unobservable
inputs
based
on
the
best
information
available
in
the
circumstances,
to
the
extent
observable
inputs
are
not
available,
which
may
include
assumptions
made
by
RIFUS,
acting
at
the
discretion
of
the
Board,
that
are
used
in
determining
the
fair
value
of
investments.
The
availability
of
observable
inputs
can
vary
from
security
to
security
and
is
affected
by
a
wide
variety
of
factors,
including,
for
example,
the
type
of
security,
whether
the
security
is
new
and
not
yet
established
in
the
marketplace,
the
liquidity
of
markets,
and
other
characteristics
particular
to
the
security.
To
the
extent
that
valuation
is
based
on
models
or
inputs
that
are
less
observable
or
unobservable
in
the
market,
the
determination
of
fair
value
requires
more
judgment.
Accordingly,
the
degree
of
judgment
exercised
in
determining
fair
value
is
greatest
for
instruments
categorized
in
Level
3.
The
inputs
or
methodology
used
for
valuing
securities
are
not
necessarily
an
indication
of
the
risk
associated
with
investing
in
those
securities.
The
inputs
used
to
measure
fair
value
may
fall
into
different
levels
of
the
fair
value
hierarchy.
In
such
cases,
for
disclosure
purposes,
the
level
in
the
fair
value
hierarchy
within
which
the
fair
value
measurement
falls
is
determined
based
on
the
lowest
level
input
that
is
significant
to
the
fair
value
measurement
in
its
entirety.
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
149
The
valuation
techniques
and
significant
inputs
used
in
determining
the
fair
market
values
of
financial
instruments
categorized
as
Level
1
and
Level
2
of
the
fair
value
hierarchy
are
as
follows:
Equity
securities,
including
common
and
preferred
stock,
short
securities,
ETFs
and
restricted
securities
that
are
traded
on
a
national
securities
exchange
(or
reported
on
the
NASDAQ
national
market),
are
stated
at
the
last
reported
sales
price
on
the
day
of
valuation
or
official
closing
price,
as
applicable.
To
the
extent
these
securities
are
actively
traded,
and
valuation
adjustments
are
not
applied,
they
are
categorized
as
Level
1
of
the
fair
value
hierarchy.
Preferred
stock
and
other
equities
traded
on
inactive
markets
or
valued
by
reference
to
similar
instruments
are
categorized
as
Level
2
of
the
fair
value
hierarchy.
Certain
foreign
equity
securities
may
be
fair
valued
using
a
pricing
service
that
considers
the
correlation
of
the
trading
patterns
of
the
foreign
security
to
the
intraday
trading
in
the
U.S.
markets
for
investments
such
as
American
Depositary
Receipts,
financial
futures,
exchange-traded
funds,
and
the
movement
of
certain
indexes
of
securities,
based
on
the
statistical
analysis
of
historical
relationships.
Foreign
equity
securities
prices
as
described
above
are
categorized
as
Level
2
of
the
fair
value
hierarchy.
Fixed
income
securities
including
corporate,
convertible,
U.S.
government
agency,
municipal
bonds
and
notes,
U.S.
treasury
obligations,
sovereign
issues,
bank
loans,
bank
notes
and
non-U.S.
bonds
are
normally
valued
by
pricing
service
providers
that
use
broker-dealer
quotations
or
valuation
estimates
from
their
internal
pricing
models.
The
pricing
service
providers’
internal
models
use
inputs
that
are
observable
such
as
issuer
details,
interest
rates,
yield
curves,
prepayment
speeds,
credit
risks/spreads
and
default
rates.
Such
fixed
income
securities
that
use
pricing
service
internal
models
as
described
above
are
categorized
as
Level
2
of
the
fair
value
hierarchy.
Such
fixed
income
securities
that
use
broker-dealer
quotations
are
categorized
as
Level
3
of
the
fair
value
hierarchy.
Fixed
income
securities
purchased
on
a
delayed-delivery
basis
and
marked-to-market
daily
until
settlement
at
the
forward
settlement
date
are
categorized
as
Level
2
of
the
fair
value
hierarchy.
Mortgage
and
asset-backed
securities
are
usually
issued
as
separate
tranches,
or
classes,
of
securities
within
each
deal.
These
securities
are
also
normally
valued
by
pricing
service
providers
that
use
broker-dealer
quotations
or
valuation
estimates
from
their
internal
pricing
models.
The
pricing
models
for
these
securities
usually
consider
tranche-level
attributes,
including
estimated
cash
flows
of
each
tranche,
market-based
yield
spreads
for
each
tranche,
and
current
market
data,
as
well
as
incorporate
deal
collateral
performance,
as
available.
Mortgage
and
asset-backed
securities
that
use
these
and
similar
valuation
techniques
and
inputs
as
described
above
are
categorized
as
Level
2
of
the
fair
value
hierarchy.
Investments
in
investment
funds
that
are
not
traded
on
a
national
securities
exchange
will
be
valued
based
upon
the
NAV
of
such
investments.
The
Funds
have
adopted
the
authoritative
guidance
under
U.S.
GAAP
for
estimating
the
fair
value
of
investments
in
funds
that
have
calculated
NAV
per
share
in
accordance
with
the
specialized
accounting
guidance
for
investment
companies.
Accordingly,
the
Funds
estimate
the
fair
value
of
an
investment
in
a
fund
using
the
NAV
per
share
without
further
adjustment
as
a
practical
expedient,
if
the
NAV
per
share
of
the
investment
is
determined
in
accordance
with
the
specialized
accounting
guidance
for
investment
companies
as
of
the
reporting
entity’s
measurement
date.
Short-term
investments
having
a
maturity
of
60
days
or
less
are
generally
valued
at
amortized
cost,
which
approximates
fair
market
value.
These
investments
are
categorized
as
Level
2
of
the
fair
value
hierarchy.
Derivative
instruments
are
instruments
such
as
foreign
currency
exchange
contracts,
futures
contracts,
options
contracts,
or
swap
agreements
that
derive
their
value
from
underlying
asset
prices,
indices,
reference
rates,
and
other
inputs
or
a
combination
of
these
factors.
Derivatives
may
be
classified
into
two
groups
depending
upon
the
way
that
they
are
traded:
privately
traded
over-
the-counter
(“OTC”)
derivatives
that
do
not
go
through
an
exchange
or
intermediary
and
exchange-traded
derivatives
that
are
traded
through
specialized
derivatives
exchanges
or
other
regulated
exchanges.
OTC
derivatives
are
normally
valued
on
the
basis
of
broker-dealer
quotations
or
pricing
service
providers.
Depending
on
the
product
and
the
terms
of
the
transaction,
the
value
of
the
derivative
instrument
can
be
estimated
by
a
pricing
service
provider
using
a
series
of
techniques,
including
simulation
pricing
models.
The
pricing
models
use
inputs
that
are
observed
from
actively
quoted
markets
such
as
issuer
details,
indices,
spreads,
interest
rates,
yield
curves,
dividends
and
exchange
rates.
OTC
derivatives
that
use
these
and
similar
valuation
techniques
and
inputs
as
described
above
are
categorized
as
Level
2
of
the
fair
value
hierarchy,
with
the
exception
of
foreign
currency
spot
contracts
which
are
categorized
as
Level
1
of
the
fair
value
hierarchy.
OTC
derivatives
that
use
broker-dealer
quotations
are
categorized
as
Level
3
of
the
fair
value
hierarchy.
Exchange-traded
derivatives
are
valued
based
on
the
last
reported
sales
price
on
the
day
of
valuation
and
are
categorized
as
Level
1
of
the
fair
value
hierarchy.
Centrally
cleared
swaps
listed
or
traded
on
a
multilateral
or
trade
facility
platform,
such
as
a
registered
exchange,
are
valued
at
the
daily
settlement
price
determined
by
the
respective
exchange.
For
centrally
cleared
credit
default
swaps,
the
clearing
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
150
Notes
to
Financial
Statements
facility
requires
its
members
to
provide
actionable
levels
across
complete
term
structures.
These
levels
along
with
external
third-
party
prices
are
used
to
produce
daily
settlement
prices.
These
securities
are
categorized
as
Level
2
of
the
fair
value
hierarchy.
Centrally
cleared
interest
rate
swaps
are
valued
using
a
pricing
model
that
references
the
underlying
rates
including
the
Overnight
Index
Swap
(“OIS”)
rate
and
London
Interbank
Offered
Rate
(“LIBOR”)
forward
rate
to
produce
the
daily
settlement
price.
These
securities
are
categorized
as
Level
2
of
the
fair
value
hierarchy.
Events
or
circumstances
affecting
the
values
of
Fund
securities
that
occur
between
the
closing
of
the
principal
markets
on
which
they
trade
and
the
time
the
NAV
of
Fund
shares
is
determined
may
be
reflected
in
the
calculation
of
NAV
for
each
applicable
Fund
when
the
Fund
deems
that
the
particular
event
or
circumstance
would
materially
affect
such
Fund’s
NAV.
Funds
that
invest
primarily
in
frequently
traded
exchange-listed
securities
will
use
fair
value
pricing
in
limited
circumstances
since
reliable
market
quotations
will
often
be
readily
available.
Funds
that
invest
in
foreign
securities
use
fair
value
pricing
daily
as
events
may
occur
between
the
close
of
foreign
markets
and
the
time
of
pricing.
Although
there
are
observable
inputs
assigned
on
a
security
level,
prices
are
derived
from
factors
using
proprietary
models
or
matrix
pricing.
For
this
reason,
fair
value
factors
will
cause
movement
between
Levels
1
and
2.
Examples
of
significant
events
that
generally
trigger
fair
value
pricing
of
one
or
more
securities
are:
any
market
movement
of
the
U.S.
securities
market
(defined
in
the
fair
value
procedures
as
the
movement
of
a
single
major
U.S.
index);
a
company
development
such
as
a
material
business
development;
a
natural
disaster,
a
public
health
emergency
affecting
one
or
more
countries
in
the
global
economy
(including
an
emergency
which
results
in
the
closure
of
financial
markets)
or
other
emergency
situation;
or
an
armed
conflict.
The
NAV
of
a
Fund’s
portfolio
that
includes
foreign
securities
may
change
on
days
when
shareholders
will
not
be
able
to
purchase
or
redeem
Fund
shares,
since
foreign
securities
can
trade
on
non-business
days.
The
U.S.
Strategic
Equity,
U.S.
Small
Cap
Equity,
International
Developed
Markets,
Strategic
Bond
and
Global
Real
Estate
Securities
Funds
had
no
transfers
into
or
out
of
Level
3
for
the
period
ended
December
31,
2021.
Level
3
Fair
Value
Investments
The
valuation
techniques
and
significant
inputs
used
in
determining
the
fair
values
of
financial
instruments
classified
as
Level
3
of
the
fair
value
hierarchy
are
as
follows:
Securities
and
other
assets
for
which
market
quotes
are
not
readily
available,
or
are
not
reliable,
are
valued
at
fair
value
as
determined
in
good
faith
by
RIFUS
and
are
categorized
as
Level
3
of
the
fair
value
hierarchy.
Market
quotes
are
considered
not
readily
available
in
circumstances
where
there
is
an
absence
of
current
or
reliable
market-based
data
(e.g.,
trade
information
or
broker
quotes).
When
RIFUS
applies
fair
valuation
methods
that
use
significant
unobservable
inputs
to
determine
a
Fund’s
NAV,
securities
will
not
be
priced
on
the
basis
of
quotes
from
the
primary
market
in
which
they
are
traded,
but
instead
may
be
priced
by
another
method
that
RIFUS
believes
accurately
reflects
fair
value
and
will
be
categorized
as
Level
3
of
the
fair
value
hierarchy.
Fair
value
pricing
may
require
subjective
determinations
about
the
value
of
a
security.
While
the
securities
valuation
procedures
are
intended
to
result
in
a
calculation
of
a
Fund’s
NAV
that
fairly
reflects
security
values
as
of
the
time
of
pricing,
the
process
cannot
guarantee
that
fair
values
determined
by
RIFUS
would
accurately
reflect
the
price
that
a
Fund
could
obtain
for
a
security
if
it
were
to
dispose
of
that
security
as
of
the
time
of
pricing
(for
instance,
in
a
forced
or
distressed
sale).
The
prices
used
by
a
Fund
may
differ
from
the
value
that
would
be
realized
if
the
security
was
sold.
RIFUS
employs
third-party
pricing
vendors
to
provide
fair
value
measurements.
RIFUS
oversees
third-party
pricing
service
providers
in
order
to
support
the
valuation
process.
The
significant
unobservable
input
used
in
fair
value
measurement
of
certain
of
the
Funds'
preferred
equity
securities
is
the
redemption
value
calculated
on
a
fully-diluted
basis
if
converted
to
common
stock.
Significant
increases
or
decreases
in
the
redemption
value
would
have
a
direct
and
proportional
impact
to
fair
value.
The
significant
unobservable
inputs
used
in
fair
value
measurement
of
certain
of
the
Funds'
private
equity
securities
include
market
data
of
comparable
public
companies,
discount
rates,
EBITDA
multiples,
and
future
projected
cash
flows
for
the
portfolio
company.
These
inputs
are
utilized
in
valuation
models
that
are
based
on
market
analysis
and
discounted
cash
flow
methodologies.
Increases
(decreases)
in
the
discount
rates
would
result
in
a
lower
(higher)
fair
value
measurement,
while
increases
(decreases)
in
EBITDA
multiples
and
projected
cash
flows
would
result
in
a
higher
(lower)
fair
value
measurement.
The
significant
unobservable
input
used
in
the
fair
value
measurement
of
certain
Funds'
debt
securities
is
the
yield
to
worst
ratio.
Significant
increases
(decreases)
in
the
yield
to
worst
ratio
would
result
in
a
lower
(higher)
fair
value
measurement.
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
151
These
significant
unobservable
inputs
are
further
disclosed
in
the
Presentation
of
Portfolio
Holdings
for
each
respective
Fund
as
applicable.
If
third-party
evaluated
vendor
pricing
is
neither
available
nor
deemed
to
be
indicative
of
fair
value,
RIFUS
may
elect
to
obtain
indicative
market
quotations
(“broker
quotes”)
directly
from
the
broker
or
passed
through
from
a
third-party
vendor.
In
the
event
that
the
source
of
fair
value
is
from
a
single
source
broker
quote,
these
securities
are
classified
as
Level
3
per
the
fair
value
hierarchy.
Broker
quotes
are
typically
received
from
established
market
participants.
Although
independently
received
on
a
daily
basis,
RIFUS
does
not
have
the
transparency
to
view
the
underlying
inputs
which
support
the
broker
quotes.
Significant
changes
in
the
broker
quote
would
have
direct
and
proportional
changes
in
the
fair
value
of
the
security.
There
is
a
third-party
pricing
exception
to
the
quantitative
disclosure
requirement
when
prices
are
not
determined
by
the
reporting
entity.
RIFUS
is
exercising
this
exception
and
has
made
a
reasonable
attempt
to
obtain
quantitative
information
from
the
third-party
pricing
vendors
regarding
the
unobservable
inputs
used.
For
fair
valuations
using
significant
unobservable
inputs,
U.S.
GAAP
requires
a
reconciliation
of
the
beginning
to
ending
balances
for
reported
fair
values
that
present
changes
attributable
to
total
realized
and
unrealized
gains
or
losses,
purchases
and
sales,
and
transfers
in/out
of
the
Level
3
category
during
the
period.
Additionally,
U.S.
GAAP
requires
quantitative
information
regarding
the
significant
unobservable
inputs
used
in
the
determination
of
fair
value
of
assets
categorized
as
Level
3
in
the
fair
value
hierarchy.
In
accordance
with
the
requirements
of
U.S.
GAAP,
a
fair
value
hierarchy,
a
Level
3
reconciliation
and
an
additional
disclosure
about
fair
value
measurements,
if
any,
has
been
included
in
the
Presentation
of
Portfolio
Holdings
for
each
respective
Fund.
Investment
Transactions
Investment
transactions
are
reflected
as
of
the
trade
date
for
financial
reporting
purposes.
This
may
cause
the
NAV
stated
in
the
financial
statements
to
be
different
from
the
NAV
at
which
shareholders
may
transact.
Realized
gains
and
losses
from
securities
transactions,
if
applicable,
are
recorded
on
the
basis
of
specific
identified
cost
incurred
within
a
particular
Fund.
Investment
Income
Dividend
income
is
recorded
net
of
applicable
withholding
taxes
on
the
ex-dividend
date,
except
that
certain
dividends
from
foreign
securities
are
recorded
as
soon
as
the
Funds
are
informed
of
the
dividend,
subsequent
to
the
ex-dividend
date.
To
the
extent
the
dividend
represents
a
return
of
capital
or
capital
gain
for
tax
purposes,
reclassifications
are
made
which
may
be
based
on
management's
estimates.
Interest
income
is
recorded
daily
on
the
accrual
basis.
The
Strategic
Bond
Fund
classifies
gains
and
losses
realized
on
prepayments
received
on
mortgage-backed
securities
as
an
adjustment
to
interest
income.
All
premiums
and
discounts,
including
original
issue
discounts,
are
amortized/accreted
using
the
effective
interest
method.
Debt
obligation
securities
may
be
placed
in
a
non-accrual
status
and
related
interest
income
may
be
reduced
by
stopping
current
accruals
and
writing
off
interest
receivable
when
the
collection
of
all
or
a
portion
of
interest
has
become
doubtful.
Federal
Income
Taxes
Since
the
Investment
Company
is
a
Massachusetts
business
trust,
each
Fund
is
a
separate
corporate
taxpayer
and
determines
its
net
investment
income
and
capital
gains
(or
losses)
and
the
amounts
to
be
distributed
to
each
Fund’s
shareholders
without
regard
to
the
income
and
capital
gains
(or
losses)
of
the
other
Funds.
For
each
period,
each
Fund
intends
to
qualify
or
continue
to
qualify
as
a
regulated
investment
company
under
Subchapter
M
of
the
Internal
Revenue
Code
of
1986,
as
amended
(the
“Code”)
and
intends
to
distribute
all
of
its
taxable
income
and
capital
gains.
Therefore,
no
federal
income
tax
provision
is
required
for
the
Funds.
The
Funds
comply
with
the
authoritative
guidance
for
uncertainty
in
income
taxes
which
requires
management
to
determine
whether
a
tax
position
of
the
Funds
is
more
likely
than
not
to
be
sustained
upon
examination,
including
resolution
of
any
related
appeals
or
litigation
processes,
based
on
the
technical
merits
of
the
position.
For
tax
positions
meeting
the
more
likely
than
not
threshold,
the
tax
amount
recognized
in
the
financial
statements
is
reduced
by
the
largest
benefit
that
has
a
greater
than
50%
likelihood
of
being
realized
upon
ultimate
settlement
with
the
relevant
taxing
authority.
Management
determined
that
no
accruals
need
to
be
made
in
the
financial
statements
due
to
uncertain
tax
positions.
Management
continually
reviews
and
adjusts
the
Funds’
liability
for
income
taxes
based
on
analyses
of
tax
laws
and
regulations,
as
well
as
their
interpretations,
and
other
relevant
factors.
Each
Fund
files
a
U.S.
tax
return.
As
of
December
31,
2021,
the
Funds
had
recorded
no
liabilities
for
net
unrecognized
tax
benefits
relating
to
uncertain
income
tax
positions
they
have
taken
or
expect
to
take
in
future
tax
returns.
While
the
statute
of
limitations
remains
open
to
examine
the
Funds’
U.S.
tax
returns
filed
for
the
fiscal
years
ended
December
31,
2018
through
December
31,
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
152
Notes
to
Financial
Statements
2020,
no
examinations
are
in
progress
or
anticipated
at
this
time.
The
Funds
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.
Dividends
and
Distributions
to
Shareholders
Income
dividends,
capital
gain
distributions
and
return
of
capital,
if
any,
are
recorded
on
the
ex-dividend
date.
Income
dividends
are
generally
declared
and
paid
according
to
the
following
schedule:
The
Funds
intend
to
distribute
substantially
all
of
the
distributions
they
receive
from
real
estate
investment
trust
(“REIT”)
investments,
less
expenses,
as
well
as
income
from
other
investments.
Such
distributions
may
be
comprised
of
income,
return
of
capital,
and
capital
gains.
The
Funds
may
also
realize
capital
gains
on
the
sale
of
its
REIT
shares
and
other
investments.
Capital
gain
distributions
are
generally
declared
and
paid
annually.
An
additional
distribution
may
be
paid
by
the
Funds
to
avoid
imposition
of
federal
income
and
excise
tax
on
any
remaining
undistributed
capital
gains
and
net
investment
income.
The
timing
and
characterization
of
certain
income
and
capital
gain
distributions
are
determined
in
accordance
with
federal
tax
regulations
which
may
differ
from
U.S.
GAAP.
As
a
result,
net
investment
income
and
net
realized
gain
(or
loss)
on
investments
and
foreign
currency-related
transactions
for
a
reporting
period
may
differ
significantly
from
distributions
during
such
period.
The
differences
between
tax
regulations
and
U.S.
GAAP
primarily
relate
to
investments
in
options,
futures,
forward
contracts,
swap
contracts,
passive
foreign
investment
companies,
foreign-denominated
investments,
mortgage-backed
securities,
certain
securities
sold
at
a
loss,
wash
sale
deferrals
and
capital
loss
carryforwards.
Accordingly,
the
Funds
may
periodically
make
reclassifications
among
certain
of
their
capital
accounts
without
impacting
their
NAVs.
Expenses
The
Funds
pay
their
own
expenses
other
than
those
expressly
assumed
by
Russell
Investment
Management,
LLC
(“RIM”),
the
Funds’
adviser,
or
RIFUS.
Most
expenses
can
be
directly
attributed
to
the
individual
Funds.
Expenses
which
cannot
be
directly
attributed
to
a
specific
Fund
are
allocated
among
all
Funds
principally
based
on
their
relative
net
assets.
Foreign
Currency
Translations
The
books
and
records
of
the
Funds
are
maintained
in
U.S.
dollars.
Foreign
currency
amounts
and
transactions
of
the
Funds
are
translated
into
U.S.
dollars
on
the
following
basis:
(a)
Fair
value
of
investment
securities,
other
assets
and
liabilities
at
the
closing
rate
of
exchange
on
the
valuation
date.
(b)
Purchases
and
sales
of
investment
securities
and
income
at
the
closing
rate
of
exchange
prevailing
on
the
respective
trade
dates
of
such
transactions.
Net
realized
gains
or
losses
from
foreign
currency-related
transactions
arise
from:
sales
and
maturities
of
short-term
securities;
sales
of
foreign
currencies;
currency
gains
or
losses
realized
between
the
trade
and
settlement
dates
on
securities
transactions;
the
difference
between
the
amounts
of
dividends,
interest,
and
foreign
withholding
taxes
recorded
on
the
Funds’
books
and
the
U.S.
dollar
equivalent
of
the
amounts
actually
received
or
paid.
Net
unrealized
gains
or
losses
from
foreign
currency-related
transactions
arise
from
changes
in
the
value
of
assets
and
liabilities,
other
than
investments
in
securities,
as
a
result
of
changes
in
the
exchange
rates.
The
Funds
do
not
isolate
that
portion
of
the
results
of
operations
of
the
Funds
that
arises
as
a
result
of
changes
in
exchange
rates
from
that
portion
that
arises
from
changes
in
market
prices
of
investments
during
the
period.
Such
fluctuations
are
included
with
the
net
realized
and
unrealized
gain
or
loss
from
investments.
However,
for
federal
income
tax
purposes,
the
Funds
do
isolate
the
effects
of
changes
in
foreign
exchange
rates
from
the
fluctuations
arising
from
changes
in
market
prices
for
realized
gain
(or
loss)
on
debt
obligations.
Capital
Gains
Taxes
The
Funds
may
be
subject
to
capital
gains
taxes
and
repatriation
taxes
imposed
by
certain
countries
in
which
they
invest.
The
International
Developed
Markets,
Strategic
Bond
and
Global
Real
Estate
Securities
Funds
may
record
a
deferred
capital
gains
Declared
Payable
Funds
Quarterly
April,
July,
October
and
mid-December
U.S.
Strategic
Equity,
U.S.
Small
Cap
Equity,
Strategic
Bond
and
Global
Real
Estate
Securities
Funds
Annually
Mid-December
International
Developed
Markets
Fund
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
153
tax
liability
with
respect
to
the
unrealized
appreciation
on
foreign
securities
for
potential
capital
gains
and
repatriation
taxes
as
of
December
31,
2021.
The
accrual
for
capital
gains
and
repatriation
taxes
is
included
in
total
distributable
earnings
(losses)
in
the
Statements
of
Assets
and
Liabilities.
The
amounts
related
to
capital
gains
and
repatriation
taxes
are
included
in
net
realized
gain
(loss)
on
investments
in
the
Statements
of
Operations
for
the
following
Funds:
Derivatives
The
Funds
may
invest
in
derivatives.
Derivatives
are
instruments
or
agreements
whose
value
is
derived
from
an
underlying
security
or
index.
They
include
options,
futures,
swaps
and
forwards.
These
instruments
offer
unique
characteristics
and
risks
that
facilitate
the
Funds'
investment
strategies.
The
Funds
typically
use
derivatives
in
three
ways:
exposing
cash
to
markets,
hedging
and
return
enhancement.
In
addition,
certain
Funds
may
enter
into
foreign
currency
exchange
contracts
for
trade
settlement
purposes.
The
Funds
may
pursue
their
strategy
of
being
fully
invested
by
exposing
cash
to
the
performance
of
appropriate
markets
by
purchasing
securities
and/or
derivatives.
This
is
intended
to
cause
the
Funds
to
perform
as
though
cash
were
actually
invested
in
those
markets.
Hedging
may
be
used
by
certain
Funds
to
limit
or
control
risks,
such
as
adverse
movements
in
exchange
rates
and
interest
rates.
Return
enhancement
can
be
accomplished
through
the
use
of
derivatives
in
a
Fund,
including
using
derivatives
as
a
substitute
for
holding
physical
securities,
and
using
them
to
express
various
macro
views
(e.g.,
interest
rate
movements,
currency
movements,
and
macro
credit
strategies).
By
purchasing
certain
instruments,
the
Funds
may
more
effectively
achieve
the
desired
portfolio
characteristics
that
assist
them
in
meeting
their
investment
objectives.
Depending
on
how
the
derivatives
are
structured
and
utilized,
the
risks
associated
with
them
may
vary
widely.
These
risks
include,
but
are
not
limited
to,
market
risk,
liquidity
risk,
leveraging
risk,
counterparty
risk,
basis
risk,
reinvestment
risk,
political
risk,
prepayment
risk,
extension
risk,
valuation
risk
and
credit
risk.
Futures,
certain
options
and
cleared
swaps
are
traded
or
cleared
on
an
exchange
or
central
exchange
clearing
house.
Exchange-
traded
or
exchange-cleared
transactions
generally
present
less
counterparty
risk
to
a
Fund.
The
exchange’s
clearing
house
stands
between
the
Fund
and
the
broker
to
the
contract
and
therefore,
credit
risk
is
generally
limited
to
the
failure
of
the
clearing
house
and
the
clearing
member.
Cleared
swap
contracts
are
subject
to
clearing
house
rules,
including
initial
and
variation
margin
requirement,
daily
settlement
of
obligations
and
the
clearing
house
guarantee
of
payments
to
the
broker.
There
is,
however,
still
counterparty
risk
due
to
the
insolvency
of
the
broker
with
respect
to
any
margin
held
in
the
broker’s
customer
accounts.
While
clearing
members
are
required
to
segregate
customer
assets
from
their
own
assets,
in
the
event
of
insolvency,
there
may
be
a
shortfall
in
the
amount
of
margin
held
by
the
broker
for
its
clients.
Collateral
and
margin
requirements
for
exchange-traded
or
exchange-cleared
derivatives
are
established
through
regulation,
as
well
as
set
by
the
broker
or
applicable
clearing
house.
Margin
for
exchange-traded
and
exchange-cleared
transactions
are
detailed
in
the
Statements
of
Assets
and
Liabilities
as
receivables
for
variation
margin
on
futures
contracts
and
payables
for
variation
margin
on
futures
contracts.
Securities
and
cash
pledged
as
collateral
are
reflected
as
assets
on
the
Statements
of
Assets
and
Liabilities
as
either
a
component
of
investments
at
fair
value
(securities)
or
receivable
from
broker.
Cash
collateral
received
is
not
typically
held
in
a
segregated
account
and
as
such
is
reflected
as
a
liability
on
the
Statements
of
Assets
and
Liabilities
as
due
to
broker.
Typically,
the
Funds
and
counterparties
are
not
permitted
to
sell,
repledge,
rehypothecate
or
otherwise
use
collateral
pledged
by
the
other
party
unless
explicitly
permitted
by
each
respective
governing
agreement.
In
October
2020,
the
Securities
and
Exchange
Commission
(“SEC”)
adopted
a
final
rule
related
to
the
use
of
derivatives,
reverse
repurchase
agreements
and
certain
other
transactions
by
registered
investment
companies
that
will
rescind
and
withdraw
the
guidance
of
the
SEC
and
its
staff
regarding
asset
segregation
and
cover
transactions.
The
final
rule
requires
funds
to
trade
derivatives
and
other
transactions
that
create
future
payment
or
delivery
obligations
(except
reverse
repurchase
agreements
and
similar
financing
transactions)
subject
to
a
value-at-risk
leverage
limit
and
certain
derivatives
risk
management
program
and
reporting
requirements.
Compliance
with
these
new
requirements
will
be
required
after
an
eighteen-month
transition
period.
Following
the
compliance
date,
these
requirements
may
limit
the
ability
of
a
Fund
to
use
derivatives
and
reverse
repurchase
agreements
and
similar
financing
transactions
as
part
of
its
investment
strategies.
Deferred
Capital
Gains
Tax
Liability
Capital
Gains
Taxes
International
Developed
Markets
Fund
$
10,772
$
1,444
Strategic
Bond
Fund
607
17,066
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
154
Notes
to
Financial
Statements
The
effects
of
derivative
instruments,
categorized
by
risk
exposure,
on
the
Statements
of
Assets
and
Liabilities
and
the
Statements
of
Operations,
for
the
period
ended
December
31,
2021,
if
applicable,
are
disclosed
in
the
Fair
Value
of
Derivative
Instruments
table
following
each
applicable
Fund’s
Schedule
of
Investments.
Foreign
Currency
Exchange
Contracts
Certain
Funds
may
enter
into
foreign
currency
exchange
spot
contracts
and
forward
foreign
currency
exchange
contracts
(“FX
contracts”).
From
time
to
time,
certain
Funds
may
enter
into
FX
contracts
to
hedge
certain
foreign
currency-denominated
assets.
FX
contracts
are
recorded
at
fair
value.
Certain
risks
may
arise
upon
entering
into
these
FX
contracts
from
the
potential
inability
of
counterparties
to
meet
the
terms
of
their
FX
contracts
and
are
generally
limited
to
the
amount
of
unrealized
gain
on
the
FX
contracts,
if
any,
that
are
disclosed
in
the
Statements
of
Assets
and
Liabilities.
For
the
period
ended
December
31,
2021,
the
following
Funds
entered
into
FX
contracts
primarily
for
the
strategies
listed
below:
The
Funds’
FX
contract
notional
dollar
values
outstanding
fluctuate
throughout
the
period
as
required
to
meet
strategic
objectives.
The
following
tables
illustrate
the
quarterly
volume
of
FX
contracts.
For
the
purpose
of
this
disclosure,
volume
is
measured
by
the
amounts
bought
and
sold
in
USD.
Options
Certain
Funds
may
purchase
and
sell
(write)
call
and
put
options
on
securities
and
securities
indices.
Such
options
are
traded
on
a
national
securities
exchange
or
in
an
OTC
market.
The
Funds
may
also
purchase
and
sell
(write)
call
and
put
options
on
foreign
currencies.
When
a
Fund
writes
a
covered
call
or
a
put
option,
an
amount
equal
to
the
premium
received
by
the
Fund
is
included
in
the
Fund’s
Statement
of
Assets
and
Liabilities
as
an
asset
and
as
an
equivalent
liability.
The
amount
of
the
liability
is
subsequently
marked-
to-market
to
reflect
the
current
fair
value
of
the
option
written.
The
Fund
receives
a
premium
on
the
sale
of
a
call
option
but
gives
up
the
opportunity
to
profit
from
any
increase
in
the
value
of
the
underlying
instrument
above
the
exercise
price
of
the
option,
and
when
the
Fund
writes
a
put
option
it
is
exposed
to
a
decline
in
the
price
of
the
underlying
instrument.
When
a
Fund
sells
an
uncovered
call
option,
it
does
not
simultaneously
have
a
long
position
in
the
underlying
security.
When
a
Fund
sells
an
uncovered
put
option,
it
does
not
simultaneously
have
a
short
position
in
the
underlying
security.
Uncovered
options
are
riskier
than
covered
options
because
there
is
no
underlying
security
held
by
the
Fund
that
can
act
as
a
partial
hedge.
Whether
an
option
which
the
Fund
has
written
expires
on
its
stipulated
expiration
date
or
the
Fund
enters
into
a
closing
purchase
transaction,
the
Fund
realizes
a
gain
(or
loss,
if
the
cost
of
a
closing
purchase
transaction
exceeds
the
premium
received
when
the
option
was
sold)
without
regard
to
any
unrealized
gain
or
loss
on
the
underlying
security,
and
the
liability
related
to
such
option
is
extinguished.
If
a
call
option
which
the
Fund
has
written
is
exercised,
the
Fund
realizes
a
capital
gain
or
loss
from
the
sale
of
the
underlying
security,
and
the
proceeds
from
such
sale
are
increased
by
the
premium
originally
received.
When
a
put
option
which
a
Fund
has
written
is
exercised,
the
amount
of
the
premium
originally
received
will
reduce
the
cost
of
the
security
which
a
Fund
purchases
upon
exercise
of
the
option.
The
Funds’
use
of
written
options
involves,
to
varying
degrees,
elements
of
market
risk
in
excess
of
the
amount
recognized
in
the
Statements
of
Assets
and
Liabilities.
The
face
or
contract
amounts
of
these
instruments
reflect
the
extent
of
the
Funds’
exposure
to
Funds
Strategies
International
Developed
Markets
Fund
Return
enhancement,
hedging,
exposing
cash
to
markets
and
trade
settlement
Strategic
Bond
Fund
Return
enhancement
and
hedging
Global
Real
Estate
Securities
Fund
Exposing
cash
to
markets
and
trade
settlement
Outstanding
Contract
Amounts
Sold
Quarter
Ended
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
International
Developed
Markets
Fund
$
100,891,697
$
81,561,866
$
79,131,695
$
80,910,150
Strategic
Bond
Fund
307,787,064
367,377,537
330,401,945
335,342,257
Global
Real
Estate
Securities
Fund
25,351,016
20,265,175
20,917,113
16,673,301
Outstanding
Contract
Amounts
Bought
Quarter
Ended
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
International
Developed
Markets
Fund
$
100,015,944
$
79,844,725
$
78,407,672
$
81,126,354
Strategic
Bond
Fund
309,005,326
368,853,698
333,356,712
334,962,888
Global
Real
Estate
Securities
Fund
25,181,539
19,986,772
20,720,475
16,692,320
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
155
market
risk.
The
risks
may
be
caused
by
an
imperfect
correlation
between
movements
in
the
price
of
the
instrument
and
the
price
of
the
underlying
securities
and
interest
rates.
Certain
Funds
may
enter
into
swaptions
(an
option
on
a
swap).
In
a
swaption,
in
exchange
for
an
option,
the
buyer
gains
the
right
but
not
the
obligation
to
enter
into
a
specified
swap
agreement
with
the
issuer
on
a
specified
future
date.
The
writer
of
the
contract
receives
the
premium
and
bears
the
risk
of
unfavorable
changes
in
the
preset
rate
on
the
underlying
swap.
For
the
period
ended
December
31,
2021,
the
Strategic
Bond
Fund
purchased
or
sold
options
primarily
for
return
enhancement
and
hedging.
The
Strategic
Bond
Fund’s
options
contracts’
notional
amounts
fluctuate
throughout
the
period
as
required
to
meet
strategic
objectives.
The
following
table
illustrates
the
quarterly
volume
of
options
contracts
measured
by
notional
in
USD.
Futures
Contracts
The
Funds
may
invest
in
futures
contracts
(i.e.,
interest
rate,
foreign
currency
and
index
futures
contracts).
The
face
or
contract
value
of
these
instruments
reflect
the
extent
of
the
Funds’
exposure
to
off
balance
sheet
risk.
The
primary
risks
associated
with
the
use
of
futures
contracts
are
an
imperfect
correlation
between
the
change
in
fair
value
of
the
securities
held
by
the
Funds
and
the
prices
of
futures
contracts,
and
the
possibility
of
an
illiquid
market.
Upon
entering
into
a
futures
contract,
the
Funds
are
required
to
deposit
with
a
broker
an
amount,
termed
the
initial
margin,
which
typically
represents
5%
to
10%
of
the
purchase
price
indicated
in
the
futures
contract.
Payments
to
and
from
the
broker,
known
as
variation
margin,
are
typically
required
to
be
made
on
a
daily
basis
as
the
price
of
the
futures
contract
fluctuates.
Changes
in
initial
settlement
value
are
accounted
for
as
unrealized
appreciation
(depreciation)
until
the
contracts
are
terminated,
at
which
time
realized
gains
and
losses
are
recognized.
For
the
period
ended
December
31,
2021,
the
following
Funds
entered
into
futures
contracts
primarily
for
the
strategies
listed
below:
The
Funds’
futures
contracts
notional
amounts
fluctuate
throughout
the
period
as
required
to
meet
strategic
objectives.
The
following
table
illustrates
the
quarterly
volume
of
futures
contracts
measured
by
notional
in
USD.
Swap
Agreements
Certain
Funds
may
enter
into
swap
agreements,
on
either
an
asset-based
or
liability-based
basis,
depending
on
whether
they
are
hedging
their
assets
or
their
liabilities,
and
will
usually
enter
into
swaps
on
a
net
basis
(i.e.,
the
two
payment
streams
are
netted
out,
with
the
Funds
receiving
or
paying
only
the
net
amount
of
the
two
payments).
When
a
Fund
engages
in
a
swap,
it
exchanges
its
obligations
to
pay
or
rights
to
receive
payments
for
the
obligations
to
pay
or
rights
to
receive
payments
of
another
party
(i.e.,
an
exchange
of
floating
rate
payments
for
fixed
rate
payments).
Certain
Funds
may
enter
into
several
different
types
of
swap
agreements,
including
credit
default,
interest
rate,
total
return
(equity
and/or
index)
and
currency
swaps.
Credit
default
swaps
are
counterparty
agreements
which
allow
the
transfer
of
third-party
credit
risk
(the
possibility
that
an
issuer
will
default
on
its
obligation
by
failing
to
pay
principal
or
interest
in
a
timely
manner)
from
one
party
to
another.
The
lender
faces
the
credit
risk
from
a
third-party
and
the
counterparty
in
the
swap
agrees
to
insure
this
risk
in
Notional
of
Options
Contracts
Outstanding
Funds
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
Strategic
Bond
Fund
$
24,055,000
$
—
$
—
$
—
Funds
Strategies
U.S.
Strategic
Equity
Fund
Exposing
cash
to
markets
U.S.
Small
Cap
Equity
Fund
Exposing
cash
to
markets
International
Developed
Markets
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Strategic
Bond
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Global
Real
Estate
Securities
Fund
Exposing
cash
to
markets
Notional
of
Futures
Contracts
Outstanding
Funds
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
U.S.
Strategic
Equity
Fund
$
7,339,690
$
14,581,240
$
4,727,525
$
15,703,050
U.S.
Small
Cap
Equity
Fund
8,223,250
10,962,050
12,104,400
12,111,120
International
Developed
Markets
Fund
131,874,203
121,419,108
114,066,736
126,092,968
Strategic
Bond
Fund
754,026,578
605,427,669
678,740,673
711,154,384
Global
Real
Estate
Securities
Fund
26,446,737
22,720,625
32,847,702
24,976,246
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
156
Notes
to
Financial
Statements
exchange
for
regular
periodic
payments.
Interest
rate
swaps
are
counterparty
agreements,
can
be
customized
to
meet
each
party’s
needs,
and
involve
the
exchange
of
a
fixed
or
variable
payment
per
period
for
a
payment
that
is
not
fixed.
Total
return
swaps
are
counterparty
agreements
where
two
parties
exchange
two
sets
of
cash
flows
on
predetermined
dates
for
an
agreed
upon
amount
of
time.
The
cash
flows
will
typically
be
an
equity
index
value
swapped
with
a
floating
rate
such
as
LIBOR
plus
or
minus
a
pre-defined
spread.
Total
return
swap
agreements
are
counterparty
agreements
intended
to
expose
cash
to
markets
or
to
effect
investment
transactions
consistent
with
the
Fund’s
investment
objectives
and
strategies.
Currency
swaps
are
counterparty
agreements
where
two
parties
exchange
specified
amounts
of
different
currencies
which
are
followed
by
each
paying
the
other
a
series
of
interest
payments
that
are
based
on
the
principal
cash
flow.
At
maturity
the
principal
amounts
are
returned.
The
Funds
generally
expect
to
enter
into
these
transactions
primarily
to
preserve
a
return
or
spread
on
a
particular
investment
or
portion
of
their
portfolios
or
to
protect
against
any
increase
in
the
price
of
securities
they
anticipate
purchasing
at
a
later
date,
or
for
return
enhancement.
Under
most
swap
agreements
entered
into
by
a
Fund,
the
parties'
obligations
are
determined
on
a
“net
basis”.
The
net
amount
of
the
excess,
if
any,
of
the
Funds’
obligations
over
their
entitlements
with
respect
to
each
swap
will
be
accrued
on
a
daily
basis
and
an
amount
of
cash
or
liquid
assets
having
an
aggregate
NAV
at
least
equal
to
the
accrued
excess
will
be
segregated.
To
the
extent
that
the
Funds
enter
into
swaps
on
other
than
a
net
basis,
the
amount
maintained
in
a
segregated
account
will
be
the
full
amount
of
the
Funds’
obligations,
if
any,
with
respect
to
such
swaps,
accrued
on
a
daily
basis.
If
there
is
a
default
by
the
other
party
to
such
a
transaction,
the
Funds
will
have
contractual
remedies
pursuant
to
the
agreement
related
to
the
transaction.
A
Fund
may
not
receive
the
expected
amount
under
a
swap
agreement
if
the
other
party
to
the
agreement
defaults
or
becomes
bankrupt.
Credit
Default
Swaps
The
Strategic
Bond
Fund
may
enter
into
credit
default
swaps.
A
credit
default
swap
can
refer
to
corporate
issues,
government
issues,
asset-backed
securities
or
an
index
of
assets,
each
known
as
the
reference
entity
or
underlying
asset.
The
Fund
may
act
as
either
the
buyer
or
the
seller
of
a
credit
default
swap
involving
one
party
making
a
stream
of
payments
to
another
party
in
exchange
for
the
right
to
receive
a
specified
return
in
the
event
of
a
default
or
other
credit
event.
Depending
upon
the
terms
of
the
contract,
the
credit
default
swap
may
be
closed
via
physical
settlement.
However,
due
to
the
possible
or
potential
instability
in
the
market,
there
is
a
risk
that
one
party
may
be
unable
to
deliver
the
underlying
debt
security
to
the
other
party
to
the
agreement.
Additionally,
one
party
may
not
receive
the
expected
amount
under
the
swap
agreement
if
the
other
party
to
the
agreement
defaults
or
becomes
bankrupt.
In
an
unhedged
credit
default
swap,
the
Fund
enters
into
a
credit
default
swap
without
owning
the
underlying
asset
or
debt
issued
by
the
reference
entity.
Credit
default
swaps
allow
the
Fund
to
acquire
or
reduce
credit
exposure
to
a
particular
issuer,
asset
or
basket
of
instruments.
As
the
seller
of
protection
in
a
credit
default
swap,
the
Fund
would
be
required
to
pay
the
par
or
other
agreed-upon
value
(or
otherwise
perform
according
to
the
swap
contract)
of
a
reference
debt
obligation
to
the
counterparty
in
the
event
of
a
default
(or
other
specified
credit
event)
and
the
counterparty
would
be
required
to
surrender
the
reference
debt
obligation.
In
return,
the
Fund
would
receive
from
the
counterparty
a
periodic
stream
of
payments
over
the
term
of
the
contract
provided
that
no
credit
event
has
occurred.
If
no
credit
event
occurs,
the
Fund
would
keep
the
stream
of
payments
and
would
have
no
payment
obligations.
As
a
seller
of
protection,
the
Fund
would
effectively
add
leverage
to
its
portfolio
because
in
addition
to
its
total
net
assets,
that
Fund
would
be
subject
to
investment
exposure
on
the
notional
amount
of
the
swap.
The
Fund
may
also
purchase
protection
via
credit
default
swap
contracts
in
order
to
offset
the
risk
of
default
of
debt
securities
held
in
their
portfolios
or
to
take
a
short
position
in
a
debt
security,
in
which
case
the
Fund
would
function
as
the
counterparty
referenced
in
the
preceding
paragraph.
If
a
credit
event
occurs
and
cash
settlement
is
not
elected,
a
variety
of
other
deliverable
obligations
may
be
delivered
in
lieu
of
the
specific
referenced
obligation.
The
ability
to
deliver
other
obligations
may
result
in
a
cheapest-to-deliver
option
(the
buyer
of
protection’s
right
to
choose
the
deliverable
obligation
with
the
lowest
value
following
a
credit
event).
The
Fund
may
use
credit
default
swaps
to
provide
a
measure
of
protection
against
defaults
of
the
issuers
(i.e.,
to
reduce
risk
where
the
Fund
owns
or
has
exposure
to
the
referenced
obligation)
or
to
take
an
active
long
or
short
position
with
respect
to
the
likelihood
(as
measured
by
the
credit
default
swap’s
spread)
of
a
particular
issuer’s
default.
Deliverable
obligations
for
credit
default
swaps
on
asset-backed
securities
in
most
instances
are
limited
to
the
specific
referenced
obligation
as
performance
for
asset-backed
securities
can
vary
across
deals.
Prepayments,
principal
paydowns,
and
other
writedown
or
loss
events
on
the
underlying
mortgage
loans
will
reduce
the
outstanding
principal
balance
of
the
referenced
obligation.
These
reductions
may
be
temporary
or
permanent
as
defined
under
the
terms
of
the
swap
agreement
and
the
notional
amount
for
the
swap
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
157
agreement
generally
will
be
adjusted
by
corresponding
amounts.
The
Strategic
Bond
Fund
may
use
credit
default
swaps
on
asset-
backed
securities
to
provide
a
measure
of
protection
against
defaults
(or
other
defined
credit
events)
of
the
referenced
obligation
or
to
take
an
active
long
or
short
position
with
respect
to
the
likelihood
of
a
particular
referenced
obligation’s
default
(or
another
defined
credit
event).
Credit
default
swap
agreements
on
credit
indices
involve
one
party
making
a
stream
of
payments
to
another
party
in
exchange
for
the
right
to
receive
a
specified
return
in
the
event
of
a
write-down,
principal
shortfall,
interest
shortfall
or
default
of
all
or
part
of
the
referenced
entities
comprising
the
credit
index.
A
credit
index
is
a
basket
of
credit
instruments
or
exposures
designed
to
be
representative
of
some
part
of
the
credit
market
as
a
whole.
These
indices
are
made
up
of
reference
credits
that
are
judged
by
a
poll
of
dealers
to
be
the
most
liquid
entities
in
the
credit
default
swap
market
based
on
the
sector
of
the
index.
Components
of
the
indices
may
include,
but
are
not
limited
to,
investment
grade
securities,
high
yield
securities,
asset-backed
securities,
emerging
markets,
and/or
various
credit
ratings
within
each
sector.
Credit
indices
are
traded
using
credit
default
swaps
with
standardized
terms
including
a
fixed
spread
and
standard
maturity
dates.
An
index
credit
default
swap
references
all
the
names
in
the
index,
and
if
there
is
a
default,
the
credit
event
is
settled
based
on
that
name’s
weight
in
the
index.
The
composition
of
the
indices
changes
periodically,
usually
every
six
months,
and,
for
most
indices,
each
name
has
an
equal
weight
in
the
index.
Traders
may
use
credit
default
swaps
on
indices
to
speculate
on
changes
in
credit
quality.
Implied
credit
spreads,
represented
in
absolute
terms,
utilized
in
determining
the
fair
value
of
credit
default
swap
agreements
on
corporate
issues
as
of
period-end
are
disclosed
in
the
Schedules
of
Investments
and
generally
serve
as
an
indicator
of
the
current
status
of
the
payment/performance
risk
and
represent
the
likelihood
or
risk
of
default
(or
other
defined
credit
event)
for
the
credit
derivative.
The
implied
credit
spread
of
a
particular
referenced
entity
reflects
the
cost
of
entering
into
a
credit
default
swap
and
may
include
upfront
payments
required
to
be
made
to
enter
into
the
agreement.
For
credit
default
swap
agreements
on
asset-
backed
securities
and
credit
indices,
the
quoted
market
prices
and
resulting
values
serve
as
the
indicator
of
the
current
status
of
the
payment/performance
risk.
Wider
credit
spreads
and
increasing
fair
values,
in
absolute
terms
when
compared
to
the
notional
amount
of
the
swap,
generally
represent
a
deterioration
of
the
referenced
entity’s
credit
soundness
and
a
greater
likelihood
or
risk
of
default
or
other
credit
event
occurring
as
defined
under
the
terms
of
the
agreement.
The
maximum
potential
amount
of
future
payments
(undiscounted)
that
the
Fund
as
a
seller
of
protection
could
be
required
to
make
under
a
credit
default
swap
agreement
equals
the
notional
amount
of
the
agreement.
Notional
amounts
of
all
credit
default
swap
agreements
outstanding
as
of
December
31,
2021,
for
which
a
Fund
is
the
seller
of
protection
are
disclosed
in
the
Schedules
of
Investments.
These
potential
amounts
would
be
partially
offset
by
any
recovery
values
of
the
respective
referenced
obligations,
upfront
payments
received
upon
entering
into
the
agreement,
or
net
amounts
received
from
the
settlement
of
buy
protection
credit
default
swap
agreements
entered
into
by
the
Fund
for
the
same
referenced
entity
or
entities.
Credit
default
swaps
could
result
in
losses
if
the
Fund
does
not
correctly
evaluate
the
creditworthiness
of
the
company
or
companies
on
which
the
credit
default
swap
is
based.
Credit
default
swap
agreements
may
involve
greater
risks
than
if
the
Fund
had
invested
in
the
reference
obligation
directly
since,
in
addition
to
risks
relating
to
the
reference
obligation,
credit
default
swaps
are
subject
to
illiquidity
and
counterparty
risk.
The
Fund
will
generally
incur
a
greater
degree
of
risk
when
it
sells
a
credit
default
swap
than
when
it
purchases
a
credit
default
swap.
As
a
buyer
of
a
credit
default
swap,
the
Fund
may
lose
its
investment
and
recover
nothing
should
a
credit
event
fail
to
occur
and
the
swap
is
held
to
its
termination
date.
As
seller
of
a
credit
default
swap,
if
a
credit
event
were
to
occur,
the
value
of
any
deliverable
obligation
received
by
the
Fund,
coupled
with
the
upfront
or
periodic
payments
previously
received,
may
be
less
than
what
it
pays
to
the
buyer,
resulting
in
a
loss
of
value
to
the
Fund.
If
the
creditworthiness
of
the
Fund’s
swap
counterparty
declines,
the
risk
that
the
counterparty
may
not
perform
could
increase,
potentially
resulting
in
a
loss
to
the
Fund.
To
limit
the
counterparty
risk
involved
in
swap
agreements,
the
Fund
will
only
enter
into
swap
agreements
with
counterparties
that
meet
certain
standards
of
creditworthiness.
Although
there
can
be
no
assurance
that
the
Fund
will
be
able
to
do
so,
the
Fund
may
be
able
to
reduce
or
eliminate
its
exposure
under
a
swap
agreement
either
by
assignment
or
other
disposition,
or
by
entering
into
an
offsetting
swap
agreement
with
the
same
party
or
another
creditworthy
party.
The
Fund
may
have
limited
ability
to
eliminate
its
exposure
under
a
credit
default
swap
if
the
credit
quality
of
the
reference
entity
or
underlying
asset
has
declined.
For
the
period
ended
December
31,
2021,
the
Strategic
Bond
Fund
entered
into
credit
default
swaps
primarily
for
return
enhancement,
hedging
and
exposing
cash
to
markets.
The
Strategic
Bond
Fund’s
credit
default
swap
contract
notional
amounts
outstanding
fluctuate
throughout
the
period
as
required
to
meet
strategic
objectives.
The
following
table
illustrates
the
quarterly
volume
of
credit
default
swap
contracts.
For
the
purpose
of
this
disclosure,
volume
is
measured
by
notional
amounts
outstanding
in
USD
at
each
quarter
end.
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
158
Notes
to
Financial
Statements
Interest
Rate
Swaps
The
use
of
interest
rate
swaps
is
a
highly
specialized
activity
which
involves
investment
techniques
and
risks
different
from
those
associated
with
ordinary
portfolio
securities
transactions.
If
RIM
or
a
money
manager
using
this
technique
is
incorrect
in
its
forecast
of
fair
values,
interest
rates
and
other
applicable
factors,
the
investment
performance
of
a
Fund
might
diminish
compared
to
what
it
would
have
been
if
this
investment
technique
were
not
used.
Interest
rate
swaps
do
not
involve
the
delivery
of
securities
or
other
underlying
assets
or
principal.
Accordingly,
the
risk
of
loss
with
respect
to
interest
rate
swaps
is
limited
to
the
net
amount
of
interest
payments
that
a
Fund
is
contractually
obligated
to
make.
Interest
rate
swaps
are
traded
on
exchanges
and
are
subject
to
central
clearing.
If
the
clearing
house
or
futures
commission
merchant
defaults,
a
Funds'
risk
of
loss
consists
of
the
net
amount
of
interest
payments
that
a
Fund
is
contractually
entitled
to
receive.
The
counterparty
risk
for
cleared
derivatives
is
generally
lower
than
for
uncleared
derivatives.
However,
clearing
may
subject
a
Fund
to
increased
costs
or
margin
requirements.
For
the
period
ended
December
31,
2021,
the
Strategic
Bond
Fund
entered
into
interest
rate
swaps
primarily
for
return
enhancement,
hedging
and
exposing
cash
to
markets.
The
Strategic
Bond
Fund’s
interest
rate
swap
contract
notional
amounts
outstanding
fluctuate
throughout
the
period
as
required
to
meet
strategic
objectives.
The
following
table
illustrates
the
quarterly
volume
of
the
Fund’s
interest
rate
swap
contracts.
For
the
purpose
of
this
disclosure,
volume
is
measured
by
the
notional
amounts
outstanding
in
USD
at
each
quarter
end.
Total
Return
Swaps
Certain
Funds
may
enter
into
total
return
swap
agreements
to
expose
cash
to
markets
or
to
effect
investment
transactions.
Total
return
swap
agreements
are
two-party
contracts
entered
into
primarily
by
institutional
investors
for
periods
ranging
from
a
few
weeks
to
more
than
one
year.
In
a
standard
total
return
swap
transaction,
the
two
parties
agree
to
exchange
the
returns
(or
differentials
in
rates
of
return)
earned
or
realized
on
particular
investments
or
instruments.
The
returns
to
be
exchanged
between
the
parties
are
calculated
with
respect
to
a
“notional
amount”
(i.e.,
a
specified
dollar
amount
that
is
hypothetically
invested
in
a
“basket”
of
securities
representing
a
particular
index).
For
the
period
ended
December
31,
2021,
there
were
no
total
return
swaps
held
in
the
Funds.
Currency
Swaps
Certain
Funds
may
enter
into
currency
swap
agreements
to
enhance
returns
or
for
hedging
purposes.
Currency
swap
agreements
are
agreements
where
two
parties
exchange
specified
amounts
of
different
currencies
which
are
followed
by
paying
the
other
a
series
of
interest
payments
that
are
based
on
the
principal
cash
flow.
At
maturity,
the
principal
amounts
are
exchanged.
For
the
period
ended
December
31,
2021,
there
were
no
currency
swaps
held
in
the
Funds.
Master
Agreements
Certain
Funds
are
parties
to
International
Swaps
and
Derivatives
Association,
Inc.
Master
Agreements
(“ISDA
Master
Agreements”)
with
counterparties
that
govern
transactions
in
OTC
derivative
and
foreign
exchange
contracts
entered
into
by
the
Funds
and
those
counterparties.
The
ISDA
Master
Agreements
contain
provisions
for,
among
other
things,
general
obligations,
representations,
agreements,
collateral
and
events
of
default
or
termination.
Events
of
termination
and
default
include
conditions
that
may
entitle
either
party
to
elect
to
terminate
early
and
cause
settlement
of
all
outstanding
transactions
under
the
applicable
ISDA
Master
Agreement.
Any
election
to
terminate
early
could
be
material
to
the
financial
statements.
Since
different
types
of
forward
and
OTC
financial
derivative
transactions
have
different
mechanics
and
are
sometimes
traded
out
of
different
legal
entities
of
a
particular
counterparty
organization,
each
type
of
transaction
may
be
covered
by
a
different
ISDA
Master
Agreement,
resulting
in
the
need
for
multiple
agreements
with
a
single
counterparty.
As
the
ISDA
Master
Agreements
are
specific
to
unique
operations
of
different
asset
types,
they
allow
a
Fund
to
net
its
total
exposure
to
a
counterparty
in
the
event
of
a
default
with
respect
to
all
the
transactions
governed
under
a
single
agreement
with
a
counterparty.
Credit
Default
Swap
Notional
Amounts
Outstanding
Quarter
Ended
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
Strategic
Bond
Fund
$
68,763,000
$
129,278,000
$
126,131,000
$
127,170,000
Interest
Rate
Swap
Notional
Amounts
Outstanding
Quarter
Ended
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
Strategic
Bond
Fund
$
115,501,632
$
83,387,166
$
106,777,643
$
117,375,426
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
159
Master
Repurchase
Agreements
(“Master
Repo
Agreements”)
govern
transactions
between
a
Fund
and
select
counterparties.
The
Master
Repo
Agreements
contain
provisions
for,
among
other
things,
initiation,
income
payments,
events
of
default,
and
maintenance
of
collateral
for
repurchase
and
reverse
repurchase
agreements.
Master
Securities
Forward
Transaction
Agreements
(“Master
Forward
Agreements”)
govern
the
considerations
and
factors
surrounding
the
settlement
of
certain
forward
settling
transactions,
such
as
delayed
delivery
by
and
between
a
Fund
and
select
counterparties.
The
Master
Forward
Agreements
contain
provisions
for,
among
other
things,
initiation
and
confirmation,
payment
and
transfer,
events
of
default,
termination,
and
maintenance
of
collateral.
Disclosure
about
Offsetting
Assets
and
Liabilities
Balance
sheet
disclosure
is
based
on
various
netting
agreements
between
brokers
and
counterparties,
such
as
ISDA
Master
Agreements,
Master
Repo
Agreements
and
Master
Forward
Agreements.
Certain
Funds
utilize
multiple
counterparties.
The
quantitative
disclosure
begins
with
disaggregation
of
counterparties
by
legal
entity
and
the
roll
up
of
the
data
to
reflect
a
single
counterparty
in
the
table
within
the
Funds’
financial
statements.
Net
exposure
represents
the
net
receivable
(payable)
that
would
be
due
from/to
the
counterparty
in
the
event
of
default.
Exposure
from
OTC
derivatives
can
only
be
netted
across
transactions
governed
under
the
same
Master
Agreement
with
the
same
legal
entity.
Loan
Agreements
The
Strategic
Bond
Fund
may
invest
in
direct
debt
instruments
which
are
interests
in
amounts
owed
by
corporate,
governmental,
or
other
borrowers
to
lenders
or
lending
syndicates.
The
Fund’s
investments
in
loans
may
be
in
the
form
of
participations
in
loans
or
assignments
of
all
or
a
portion
of
loans
from
third
parties.
A
loan
is
often
administered
by
a
bank
or
other
financial
institution
(the
“agent”)
that
acts
as
agent
for
all
holders.
The
agent
administers
the
terms
of
the
loan,
as
specified
in
the
loan
agreement.
When
investing
in
a
loan
participation,
the
Fund
has
the
right
to
receive
payments
of
principal,
interest
and
any
fees
to
which
it
is
entitled
only
from
the
agent
selling
the
loan
agreement
and
only
upon
receipt
by
the
agent
of
payments
from
the
borrower.
The
Fund
generally
has
no
right
to
enforce
compliance
with
the
terms
of
the
loan
agreement
with
the
borrower.
As
a
result,
the
Fund
may
be
subject
to
the
credit
risk
of
both
the
borrower
and
the
agent
that
is
selling
the
loan
agreement.
When
the
Fund
purchases
assignments
from
agents
it
acquires
direct
rights
against
the
borrower
on
the
loan.
Local
Access
Products
Certain
Funds
may
invest
in
local
access
products,
also
known
as
certificates
of
participation,
participation
notes
or
participation
interest
notes.
Local
access
products
are
issued
by
banks
or
broker-dealers
and
are
designed
to
replicate
the
performance
of
foreign
companies
or
foreign
securities
markets
and
can
be
used
by
the
Fund
as
an
alternative
means
to
access
the
securities
market
of
a
frontier
emerging
market
country.
The
performance
results
of
local
access
products
will
not
replicate
exactly
the
performance
of
the
foreign
companies
or
foreign
securities
markets
that
they
seek
to
replicate
due
to
transaction
and
other
expenses.
Investments
in
local
access
products
involve
certain
risks
in
addition
to
those
associated
with
a
direct
investment
in
the
underlying
foreign
companies
or
foreign
securities
markets
whose
return
they
seek
to
replicate.
There
can
be
no
assurance
that
there
will
be
a
trading
market
or
that
the
trading
price
of
local
access
products
will
equal
the
underlying
value
of
the
foreign
company
or
foreign
securities
market
that
it
seeks
to
replicate.
The
Funds
rely
on
the
creditworthiness
of
the
counterparty
issuing
the
local
access
products
and
have
no
rights
against
the
issuer
of
the
underlying
security.
The
Funds
seek
to
minimize
this
risk
by
entering
into
agreements
only
with
counterparties
that
RIM
deems
creditworthy.
Due
to
liquidity
and
transfer
restrictions,
the
secondary
markets
on
which
the
local
access
products
are
traded
may
be
less
liquid
than
the
markets
for
other
securities,
or
may
be
completely
illiquid.
Credit
Linked
Notes
Certain
Funds
may
invest
in
credit
linked
notes.
Credit
linked
notes
are
obligations
between
two
or
more
parties
where
the
payment
of
principal
and/or
interest
is
based
on
the
performance
of
some
obligation,
basket
of
obligations,
index
or
economic
indicator
(a
“reference
instrument”).
In
addition
to
the
credit
risk
associated
with
the
reference
instrument
and
interest
rate
risk,
the
buyer
and
seller
of
a
credit
linked
note
or
similar
structured
investment
are
subject
to
counterparty
risk.
Short
Sales
The
U.S.
Small
Cap
Equity
Fund
may
enter
into
short
sale
transactions.
In
a
short
sale,
the
seller
sells
a
security
that
it
does
not
own,
typically
a
security
borrowed
from
a
broker
or
dealer.
Because
the
seller
remains
liable
to
return
the
underlying
security
that
it
borrowed
from
the
broker
or
dealer,
the
seller
must
purchase
the
security
prior
to
the
date
on
which
delivery
to
the
broker
or
dealer
is
required.
A
Fund
will
incur
a
loss
as
a
result
of
the
short
sale
if
the
price
of
the
security
increases
between
the
date
of
the
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
160
Notes
to
Financial
Statements
short
sale
and
the
date
on
which
the
Fund
must
return
the
borrowed
security.
A
Fund
will
realize
a
gain
if
the
security
declines
in
price
between
those
dates.
Short
sales
expose
a
Fund
to
the
risk
of
liability
for
the
fair
value
of
the
security
that
is
sold
(the
amount
of
which
increases
as
the
fair
value
of
the
underlying
security
increases),
in
addition
to
the
costs
associated
with
establishing,
maintaining
and
closing
out
the
short
position.
Although
a
Fund's
potential
for
gain
as
a
result
of
a
short
sale
is
limited
to
the
price
at
which
it
sold
the
security
short
less
the
cost
of
borrowing
the
security,
its
potential
for
loss
is
theoretically
unlimited
because
there
is
no
limit
to
the
cost
of
replacing
the
borrowed
security.
When
a
Fund
makes
a
short
sale,
the
Fund
may
use
all
or
a
portion
of
the
cash
proceeds
of
short
sales
to
purchase
other
securities
or
for
any
other
permissible
Fund
purpose.
The
U.S.
Small
Cap
Equity
Fund
currently
engages
in
short
sale
transactions
that
are
effected
through
State
Street
Bank
and
Trust
Company
(“State
Street”)
but
reserves
the
right
to
engage
in
short
sale
transactions
through
one
or
more
other
counterparties.
For
short
sale
transactions
effected
through
State
Street,
the
Fund
typically
expects
to
collateralize
short
sale
transactions
through
the
Fund's
respective
reciprocal
lending
activity
with
State
Street
(i.e.,
short
sale
transactions
are
collateralized
by
securities
loaned
to
State
Street
for
purposes
of
securities
lending
activities).
The
Fund
may
also
deliver
cash
to
State
Street
for
the
purposes
of
collateralizing
its
short
sales
transactions
or
“memo
pledge”
securities
as
collateral,
whereby
assets
are
designated
as
collateral
by
State
Street
on
State
Street's
books
but
remain
in
the
Fund's
custody
account.
Similar
to
the
risks
generally
applicable
to
securities
lending
arrangements,
participation
in
the
reciprocal
lending
program
subjects
the
Fund
to
the
risk
that
State
Street
could
fail
to
return
a
security
lent
to
it
by
the
Fund,
or
fail
to
return
the
Fund's
cash
collateral,
a
risk
which
would
increase
with
any
decline
in
State
Street's
credit
profile.
However,
the
impact
of
State
Street's
failure
to
return
a
security
lent
to
it
by
a
Fund,
or
failure
to
return
a
Fund's
cash
collateral,
would
be
mitigated
by
the
Fund's
right
under
such
circumstances
to
decline
to
return
the
securities
the
Fund
initially
borrowed
from
State
Street
with
respect
to
its
short
sale
transactions.
This
risk
may
be
heightened
during
periods
of
market
stress
and
volatility,
particularly
if
the
type
of
collateral
provided
is
different
than
the
type
of
security
borrowed
(e.g.,
cash
is
provided
as
collateral
for
a
loan
of
an
equity
security).
To
the
extent
necessary
to
meet
collateral
requirements
associated
with
a
short
sale
transaction
involving
a
counterparty
other
than
State
Street,
the
Funds
are
required
to
pledge
assets
in
a
segregated
account
maintained
by
the
Funds'
custodian
for
the
benefit
of
the
broker.
The
Fund
may
also
use
securities
it
owns
to
meet
any
such
collateral
obligations.
Until
the
Fund
replaces
a
borrowed
security
in
connection
with
a
short
sale,
the
Fund
will:
(a)
maintain
daily
a
segregated
account,
containing
liquid
assets
at
such
a
level
that
the
amount
deposited
in
the
segregated
account
will
equal
the
current
requirement
under
Regulation
T
promulgated
by
the
Board
of
Governors
of
the
Federal
Reserve
System
under
the
authority
of
Sections
7
and
8
of
the
Securities
Exchange
Act
of
1934,
as
amended;
or
(b)
otherwise
cover
its
short
positions
in
accordance
with
positions
taken
by
the
staff
of
the
SEC
(e.g.,
taking
an
offsetting
long
position
in
the
security
sold
short).
These
requirements
may
result
in
the
Fund
being
unable
to
purchase
or
sell
securities
or
instruments
when
it
would
otherwise
be
favorable
to
do
so,
or
in
the
Fund
needing
to
sell
holdings
at
a
disadvantageous
time
to
satisfy
its
obligations
or
to
meet
segregation
requirements.
If
the
Fund's
prime
broker
fails
to
make
or
take
delivery
of
a
security
as
part
of
a
short
sale
transaction,
or
fails
to
make
a
cash
settlement
payment,
the
settlement
of
the
transaction
may
be
delayed
and
the
Fund
may
lose
money.
As
of
December
31,
2021,
the
market
value
of
the
securities
on
loan
through
the
reciprocal
lending
program
for
U.S.
Small
Cap
Equity
Fund
was
$7,579,070.
As
of
December
31,
2021,
the
U.S.
Small
Cap
Equity
Fund
held
$13,116,852
as
collateral
for
short
sales.
Securities
Lending
The
Investment
Company
has
a
securities
lending
program
whereby
each
Fund
can
loan
securities
with
a
value
up
to
33
1/3%
of
each
Fund's
total
assets.
The
maturity
associated
with
these
securities
is
considered
continuous.
The
Fund
receives
cash
(U.S.
currency),
U.S.
government
or
U.S.
government
agency
obligations
as
collateral
against
the
loaned
securities.
The
collateral
cannot
be
resold,
repledged
or
rehypothecated.
As
of
December
31,
2021,
to
the
extent
that
a
loan
was
collateralized
by
cash,
such
collateral
was
invested
by
the
securities
lending
agent,
Goldman
Sachs
Agency
Lending
(“GSAL”),
in
the
U.S.
Cash
Collateral
Fund,
an
unregistered
fund
advised
by
RIM.
The
collateral
received
is
recorded
on
a
lending
Fund's
Statement
of
Assets
and
Liabilities
along
with
the
related
obligation
to
return
the
collateral.
Income
generated
from
the
investment
of
cash
collateral,
less
negotiated
rebate
fees
paid
to
participating
brokers,
is
divided
between
the
Fund
and
the
securities
lending
agent
and
is
reported
as
securities
lending
income
on
the
Fund's
Statement
of
Operations.
To
the
extent
that
a
loan
is
secured
by
non-cash
collateral,
brokers
pay
the
Fund
negotiated
lenders'
fees,
which
are
divided
between
the
Fund
and
the
securities
lending
agent
and
are
recorded
as
securities
lending
income
for
the
Fund.
All
collateral
received
will
be
in
an
amount
at
least
equal
to
102%
(for
loans
of
U.S.
securities)
or
105%
(for
loans
of
non-U.S.
securities)
of
the
fair
value
of
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
161
the
loaned
securities
at
the
inception
of
each
loan.
The
fair
value
of
the
loaned
securities
is
determined
at
the
close
of
business
of
the
Fund
and
any
additional
required
collateral
is
delivered
to
the
Fund
the
next
day.
Should
the
borrower
of
the
securities
fail
financially,
there
is
a
risk
of
delay
in
recovery
of
the
securities
or
loss
of
rights
in
the
collateral.
Emerging
Markets
Securities
Certain
Funds
may
invest
in
emerging
markets
securities.
Investing
in
emerging
markets
securities
can
pose
some
risks
different
from,
and
greater
than,
risks
of
investing
in
U.S.
or
developed
markets
securities.
These
risks
include:
a
risk
of
loss
due
to
exposure
to
economic
structures
that
are
generally
less
diverse
and
mature,
and
to
political
systems
which
may
have
less
stability,
than
those
of
more
developed
countries;
smaller
market
capitalization
of
securities
markets,
which
may
suffer
periods
of
relative
illiquidity
(including
as
a
result
of
a
significant
reduction
in
the
number
of
market
participants
or
transactions);
significant
price
volatility;
restrictions
on
foreign
investment;
possible
difficulties
in
the
repatriation
of
investment
income
and
capital
including
as
a
result
of
the
closure
of
securities
markets
in
an
emerging
market
country;
and
generally,
less
stringent
investor
protection
standards
as
compared
with
investments
in
U.S.
or
other
developed
market
equity
securities.
In
addition,
foreign
investors
may
be
required
to
register
the
proceeds
of
sales
and
future
economic
or
political
crises
could
lead
to
price
controls,
forced
mergers,
expropriation
or
confiscatory
taxation,
seizure,
nationalization,
or
creation
of
government
monopolies.
The
currencies
of
emerging
market
countries
may
experience
significant
declines
against
the
U.S.
dollar,
and
devaluation
may
occur
subsequent
to
investments
in
these
currencies
by
the
Funds.
Emerging
market
securities
may
be
subject
to
currency
transfer
restrictions
and
may
experience
delays
and
disruptions
in
settlement
procedures
for
such
securities.
Inflation
and
rapid
fluctuations
in
inflation
rates
have
had,
and
may
continue
to
have,
negative
effects
on
the
economies
and
securities
markets
of
certain
emerging
market
countries.
Emerging
market
countries
may
be
more
likely
to
experience
the
imposition
of
economic
sanctions
by
foreign
governments.
In
addition,
emerging
market
countries
may
be
subject
to
less
stringent
requirements
regarding
accounting,
auditing,
financial
reporting
and
record
keeping
and
therefore,
all
material
information
may
not
be
available
or
reliable.
U.S.
regulatory
authorities'
ability
to
enforce
legal
and/or
regulatory
obligations
against
individuals
or
entities,
and
shareholders'
ability
to
bring
derivative
litigation
or
otherwise
enforce
their
legal
rights,
in
emerging
market
countries
may
be
limited.
Emerging
Markets
Debt
The
Strategic
Bond
Fund
may
invest
in
emerging
markets
debt.
The
Fund's
emerging
markets
debt
securities
may
include
obligations
of
governments
and
corporations.
As
with
any
fixed
income
securities,
emerging
markets
debt
securities
are
subject
to
the
risk
of
being
downgraded
in
credit
rating
due
to
the
risk
of
default.
In
the
event
of
a
default
on
any
investments
in
foreign
debt
obligations,
it
may
be
more
difficult
for
the
Fund
to
obtain
or
to
enforce
a
judgment
against
the
issuers
of
such
securities.
With
respect
to
debt
issued
by
emerging
market
governments,
such
issuers
may
be
unwilling
to
pay
interest
and
repay
principal
when
due,
potentially
due
either
to
an
inability
to
pay
or
submission
to
political
pressure
not
to
pay,
and
as
a
result
may
default,
declare
temporary
suspensions
of
interest
payments
or
require
that
the
conditions
for
payment
be
renegotiated.
Repurchase
Agreements
The
Strategic
Bond
Fund
may
enter
into
repurchase
agreements.
A
repurchase
agreement
is
an
agreement
under
which
a
Fund
acquires
a
fixed
income
security
from
a
commercial
bank,
broker
or
dealer
and
simultaneously
agrees
to
resell
such
security
to
the
seller
at
an
agreed
upon
price
and
date
(normally
within
a
few
days
or
weeks).
The
resale
price
reflects
an
agreed
upon
interest
rate
effective
for
the
period
the
security
is
held
by
a
Fund
and
is
unrelated
to
the
interest
rate
on
the
security.
The
securities
acquired
by
a
Fund
constitute
collateral
for
the
repurchase
obligation.
In
these
transactions,
the
securities
acquired
by
a
Fund
(including
accrued
interest
earned
thereon)
must
have
a
total
value
in
excess
of
the
value
of
the
repurchase
agreement
and
must
be
held
by
the
custodian
bank
until
repurchased.
A
Fund
will
not
invest
more
than
15%
of
its
net
assets
(taken
at
current
fair
value)
in
repurchase
agreements
maturing
in
more
than
seven
days.
Mortgage-Related
and
Other
Asset-Backed
Securities
The
Strategic
Bond
Fund
may
invest
in
mortgage
or
other
asset-backed
securities
(“ABS”).
These
securities
may
include
mortgage
instruments
issued
by
U.S.
government
agencies
(“agency
mortgages”)
or
those
issued
by
private
entities
(“non-agency
mortgages”).
Specific
types
of
instruments
may
include
reverse
mortgages,
mortgage
pass-through
securities,
collateralized
mortgage
obligations
(“CMO”),
commercial
mortgage-backed
securities,
mortgage
dollar
rolls,
CMO
residuals,
stripped
mortgage-backed
securities
and
other
securities
that
directly
or
indirectly
represent
a
participation
in,
or
are
secured
by
a
payable
from,
mortgage
loans
on
real
property.
The
value
of
a
Fund’s
mortgage-backed
securities
(“MBS”)
may
be
affected
by,
among
other
things,
changes
or
perceived
changes
in
interest
rates,
factors
concerning
the
interests
in
and
structure
of
the
issuer
or
the
originator
of
the
mortgage,
or
the
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
162
Notes
to
Financial
Statements
quality
of
the
underlying
assets.
The
mortgages
underlying
the
securities
may
default
or
decline
in
quality
or
value.
Through
its
investments
in
MBS,
a
Fund
has
exposure
to
subprime
loans,
Alt-A
loans
and
non-conforming
loans
as
well
as
to
the
mortgage
and
credit
markets
generally.
Underlying
collateral
related
to
subprime,
Alt-A
and
non-conforming
mortgage
loans
has
become
increasingly
susceptible
to
defaults
and
declines
in
quality
or
value,
especially
in
a
declining
residential
real
estate
market.
In
addition,
regulatory
or
tax
changes
may
adversely
affect
the
mortgage
securities
markets
as
a
whole.
Mortgage-Backed
Securities
MBS
often
have
stated
maturities
of
up
to
thirty
years
when
they
are
issued,
depending
upon
the
length
of
the
mortgages
underlying
the
securities.
In
practice,
however,
unscheduled
or
early
payments
of
principal
and
interest
on
the
underlying
mortgages
may
make
the
securities’
effective
maturity
shorter
than
this,
and
the
prevailing
interest
rates
may
be
higher
or
lower
than
the
current
yield
of
a
Fund’s
portfolio
at
the
time
resulting
in
reinvestment
risk.
Rising
or
high
interest
rates
may
result
in
slower
than
expected
principal
payments
which
may
tend
to
extend
the
duration
of
MBS,
making
them
more
volatile
and
more
sensitive
to
changes
in
interest
rates.
This
is
known
as
extension
risk.
MBS
may
have
less
potential
for
capital
appreciation
than
comparable
fixed
income
securities
due
to
the
likelihood
of
increased
prepayments
of
mortgages
resulting
from
foreclosures
or
declining
interest
rates.
These
foreclosed
or
refinanced
mortgages
are
paid
off
at
face
value
(par)
or
less,
causing
a
loss,
particularly
for
any
investor
who
may
have
purchased
the
security
at
a
premium
or
a
price
above
par.
In
such
an
environment,
this
risk
limits
the
potential
price
appreciation
of
these
securities.
Agency
Mortgage-Backed
Securities
Certain
MBS
may
be
issued
or
guaranteed
by
the
U.S.
government
or
a
government
sponsored
entity,
such
as
Fannie
Mae
(the
Federal
National
Mortgage
Association)
or
Freddie
Mac
(the
Federal
Home
Loan
Mortgage
Corporation).
Although
these
instruments
may
be
guaranteed
by
the
U.S.
government
or
a
government
sponsored
entity,
many
such
MBS
are
not
backed
by
the
full
faith
and
credit
of
the
United
States
and
are
still
exposed
to
the
risk
of
non-payment.
Privately
Issued
Mortgage-Backed
Securities
MBS
held
by
a
Fund
may
be
issued
by
private
issuers
including
commercial
banks,
savings
associations,
mortgage
companies,
investment
banking
firms,
finance
companies
and
special
purpose
finance
entities
(called
special
purpose
vehicles
or
SPVs)
and
other
entities
that
acquire
and
package
mortgage
loans
for
resale
as
MBS.
These
privately
issued
non-agency
MBS
may
offer
higher
yields
than
those
issued
by
government
agencies,
but
also
may
be
subject
to
greater
price
changes
than
governmental
issues.
Subprime
loans
refer
to
loans
made
to
borrowers
with
weakened
credit
histories
or
with
a
lower
capacity
to
make
timely
payments
on
their
loans.
Alt-A
loans
refer
to
loans
extended
to
borrowers
who
have
incomplete
documentation
of
income,
assets,
or
other
variables
that
are
important
to
the
credit
underwriting
processes.
Non-conforming
mortgages
are
loans
that
do
not
meet
the
standards
that
allow
purchase
by
government-sponsored
enterprises.
MBS
with
exposure
to
subprime
loans,
Alt-A
loans
or
nonconforming
loans
have
had
in
many
cases
higher
default
rates
than
those
loans
that
meet
government
underwriting
requirements.
The
risk
of
non-payment
is
greater
for
MBS
that
are
backed
by
mortgage
pools
that
contain
subprime,
Alt-A
and
non-conforming
loans,
but
a
level
of
risk
exists
for
all
loans.
Unlike
agency
MBS
issued
or
guaranteed
by
the
U.S.
government
or
a
government-sponsored
entity
(e.g.,
Fannie
Mae
and
Freddie
Mac),
MBS
issued
by
private
issuers
do
not
have
a
government
or
government-sponsored
entity
guarantee,
but
may
have
credit
enhancements
provided
by
external
entities
such
as
banks
or
financial
institutions
or
achieved
through
the
structuring
of
the
transaction
itself.
Examples
of
such
credit
support
arising
out
of
the
structure
of
the
transaction
include
the
issue
of
senior
and
subordinated
securities
(e.g.,
the
issuance
of
securities
by
an
SPV
in
multiple
classes
or
tranches,
with
one
or
more
classes
being
senior
to
other
subordinated
classes
as
to
the
payment
of
principal
and
interest,
with
the
result
that
defaults
on
the
underlying
mortgage
loans
are
borne
first
by
the
holders
of
the
subordinated
class);
creation
of
reserve
funds
(in
which
case
cash
or
investments,
sometimes
funded
from
a
portion
of
the
payments
on
the
underlying
mortgage
loans,
are
held
in
reserve
against
future
losses);
and
overcollateralization
(in
which
case
the
scheduled
payments
on,
or
the
principal
amount
of,
the
underlying
mortgage
loans
exceeds
that
required
to
make
payment
on
the
securities
and
pay
any
servicing
or
other
fees).
However,
there
can
be
no
guarantee
that
credit
enhancements,
if
any,
will
be
sufficient
to
prevent
losses
in
the
event
of
defaults
on
the
underlying
mortgage
loans.
In
addition,
MBS
that
are
issued
by
private
issuers
are
not
subject
to
the
underwriting
requirements
for
the
underlying
mortgages
that
are
applicable
to
those
MBS
that
have
a
government
or
government-sponsored
entity
guarantee.
As
a
result,
the
mortgage
loans
underlying
private
MBS
may,
and
frequently
do,
have
less
favorable
collateral,
credit
risk
or
other
underwriting
characteristics
than
government
or
government-sponsored
MBS
and
have
wider
variances
in
a
number
of
terms
including
interest
rate,
term,
size,
purpose
and
borrower
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
163
characteristics.
Privately
issued
pools
more
frequently
include
second
mortgages,
high
loan-to-value
mortgages
and
manufactured
housing
loans.
The
coupon
rates
and
maturities
of
the
underlying
mortgage
loans
in
a
private-label
MBS
pool
may
vary
to
a
greater
extent
than
those
included
in
a
government
guaranteed
pool,
and
the
pool
may
include
subprime
mortgage
loans.
Privately
issued
MBS
are
not
traded
on
an
exchange
and
there
may
be
a
limited
market
for
the
securities,
especially
when
there
is
a
perceived
weakness
in
the
mortgage
and
real
estate
market
sectors.
Without
an
active
trading
market,
MBS
held
in
a
Fund's
portfolio
may
be
particularly
difficult
to
value
because
of
the
complexities
involved
in
assessing
the
value
of
the
underlying
mortgage
loans.
Asset-Backed
Securities
ABS
may
include
MBS,
loans,
receivables
or
other
assets.
The
value
of
the
Funds’
ABS
may
be
affected
by,
among
other
things,
actual
or
perceived
changes
in
interest
rates,
factors
concerning
the
interests
in
and
structure
of
the
issuer
or
the
originator
of
the
receivables,
the
market’s
assessment
of
the
quality
of
underlying
assets
or
actual
or
perceived
changes
in
the
credit
worthiness
of
the
individual
borrowers,
the
originator,
the
servicing
agent
or
the
financial
institution
providing
the
credit
support.
Payment
of
principal
and
interest
may
be
largely
dependent
upon
the
cash
flows
generated
by
the
assets
backing
the
securities.
Rising
or
high
interest
rates
tend
to
extend
the
duration
of
ABS,
making
them
more
volatile
and
more
sensitive
to
changes
in
interest
rates.
The
underlying
assets
are
sometimes
subject
to
prepayments
which
can
shorten
the
security’s
weighted
average
life
and
may
lower
its
return.
Defaults
on
loans
underlying
ABS
have
become
an
increasing
risk
for
ABS
that
are
secured
by
home
equity
loans
related
to
sub-prime,
Alt-A
or
non-conforming
mortgage
loans,
especially
in
a
declining
residential
real
estate
market.
ABS
(other
than
MBS)
present
certain
risks
that
are
not
presented
by
MBS.
Primarily,
these
securities
may
not
have
the
benefit
of
any
security
interest
in
the
related
assets.
Credit
card
receivables
are
generally
unsecured
and
the
debtors
are
entitled
to
the
protection
of
a
number
of
state
and
federal
consumer
credit
laws,
many
of
which
give
such
debtors
the
right
to
set
off
certain
amounts
owed
on
the
credit
cards,
thereby
reducing
the
balance
due.
There
is
the
possibility
that
recoveries
on
repossessed
collateral
may
not,
in
some
cases,
be
available
to
support
payments
on
these
securities.
ABS
are
often
backed
by
a
pool
of
assets
representing
the
obligations
of
a
number
of
different
parties.
To
lessen
the
effect
of
failures
by
obligors
on
underlying
assets
to
make
payments,
the
securities
may
contain
elements
of
credit
support
which
fall
into
two
categories:
(i)
liquidity
protection,
and
(ii)
protection
against
losses
resulting
from
ultimate
default
by
an
obligor
on
the
underlying
assets.
Liquidity
protection
refers
to
the
provision
of
advances,
generally
by
the
entity
administering
the
pool
of
assets,
to
ensure
that
the
receipt
of
payments
on
the
underlying
pool
occurs
in
a
timely
fashion.
Protection
against
losses
results
from
payment
of
the
insurance
obligations
on
at
least
a
portion
of
the
assets
in
the
pool.
This
protection
may
be
provided
through
guarantees,
policies
or
letters
of
credit
obtained
by
the
issuer
or
sponsor
from
third
parties,
through
various
means
of
structuring
the
transaction
or
through
a
combination
of
such
approaches.
The
Fund
will
not
pay
any
additional
or
separate
fees
for
credit
support.
The
degree
of
credit
support
provided
for
each
issue
is
generally
based
on
historical
information
respecting
the
level
of
credit
risk
associated
with
the
underlying
assets.
Delinquency
or
loss
in
excess
of
that
anticipated
or
failure
of
the
credit
support
could
adversely
affect
the
return
on
an
investment
in
such
a
security.
The
availability
of
ABS
may
be
affected
by
legislative
or
regulatory
developments.
It
is
possible
that
such
developments
may
require
the
Funds
to
dispose
of
any
then-existing
holdings
of
such
securities.
Forward
Commitments
The
Strategic
Bond
Fund
may
contract
to
purchase
securities
for
a
fixed
price
at
a
future
date
beyond
customary
settlement
time.
The
price
of
the
underlying
securities
and
the
date
when
the
securities
will
be
delivered
and
paid
for
are
fixed
at
the
time
the
transaction
is
negotiated.
The
Fund
may
dispose
of
a
forward
commitment
transaction
prior
to
settlement
if
it
is
appropriate
to
do
so
and
may
realize
short-term
gains
(or
losses)
upon
such
sale.
When
effecting
such
transactions,
liquid
assets
of
the
Fund
in
a
dollar
amount
sufficient
to
make
payment
for
the
portfolio
securities
to
be
purchased,
will
be
earmarked
on
the
Fund’s
records
at
the
trade
date
and
until
the
transaction
is
settled.
A
forward
commitment
transaction
involves
a
risk
of
loss
if
the
value
of
the
security
to
be
purchased
declines
prior
to
the
settlement
date
or
the
other
party
to
the
transaction
fails
to
complete
the
transaction.
The
Strategic
Bond
Fund
may
invest
in
to-be-announced
(“TBA”)
mortgage-backed
securities.
A
TBA
security
is
a
forward
mortgage-backed
securities
trade
in
which
a
seller
agrees
to
issue
a
TBA
mortgage-backed
security
at
a
future
date.
The
securities
are
purchased
and
sold
on
a
forward
commitment
basis
with
an
approximate
principal
amount
and
maturity
date.
The
actual
principal
amount
and
maturity
date
will
be
determined
upon
settlement
when
the
specific
mortgage
pools
are
assigned.
These
securities
are
within
the
parameters
of
industry
“good
delivery”
standards.
As
of
December
31,
2021,
the
Strategic
Bond
Fund
had
no
cash
collateral
balances
in
connection
with
TBAs.
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
164
Notes
to
Financial
Statements
Inflation-Indexed
Bonds
The
Strategic
Bond
Fund
may
invest
in
inflation-indexed
securities,
which
are
typically
bonds
or
notes
designed
to
provide
a
return
higher
than
the
rate
of
inflation
(based
on
a
designated
index)
if
held
to
maturity.
A
common
type
of
inflation-indexed
security
is
a
U.S.
Treasury
Inflation-Protected
Security
(“TIPS”).
The
principal
of
a
TIPS
increases
with
inflation
and
decreases
with
deflation,
as
measured
by
the
Consumer
Price
Index.
When
a
TIPS
matures,
the
adjusted
principal
or
original
principal
is
paid,
whichever
is
greater.
TIPS
pay
interest
twice
a
year,
at
a
fixed
rate.
The
rate
is
applied
to
the
adjusted
principal;
so,
like
the
principal,
interest
payments
rise
with
inflation
and
fall
with
deflation.
Guarantees
In
the
normal
course
of
business,
the
Funds
may
enter
into
contracts
that
contain
a
variety
of
representations
which
provide
general
indemnifications.
The
Funds’
maximum
exposure
under
these
arrangements
is
unknown
as
this
would
involve
future
claims
that
may
be
made
against
the
Funds
that
have
not
yet
occurred.
However,
the
Funds
expect
the
risk
of
loss
to
be
remote.
LIBOR
The
Funds
may
invest
in
certain
instruments
including,
but
not
limited
to,
repurchase
agreements,
collateralized
loan
obligations
and
mortgage-backed
securities,
that
rely
in
some
fashion
upon
LIBOR.
LIBOR
is
an
average
interest
rate,
determined
by
the
ICE
Benchmark
Administration,
that
banks
charge
one
another
for
the
use
of
short-term
money.
The
United
Kingdom’s
Financial
Conduct
Authority
(“FCA”),
which
regulates
LIBOR,
has
announced
plans
to
phase
out
the
use
of
LIBOR
by
the
end
of
2021.
However,
subsequent
announcements
by
the
FCA,
the
LIBOR
administrator
and
other
regulators
indicate
that
it
is
possible
that
certain
LIBORs
may
continue
beyond
2021
and
certain
of
the
most
widely
used
LIBORs
may
continue
until
mid-2023.
There
remains
uncertainty
regarding
the
future
utilization
of
LIBOR
and
the
nature
of
any
replacement
rate
(e.g.,
the
Secured
Overnight
Financing
Rate,
which
is
intended
to
replace
U.S.
dollar
LIBOR
and
measures
the
cost
of
overnight
borrowings
through
repurchase
agreement
transactions
collateralized
with
U.S.
Treasury
securities).
Any
potential
effects
of
the
transition
away
from
LIBOR
on
the
Funds
or
on
certain
instruments
in
which
a
Fund
invests
can
be
difficult
to
ascertain,
and
they
may
vary
depending
on
factors
that
include,
but
are
not
limited
to:
(i)
existing
fallback
or
termination
provisions
in
individual
contracts
and
(ii)
whether,
how,
and
when
industry
participants
develop
and
adopt
new
reference
rates
and
fallbacks
for
both
legacy
and
new
products
and
instruments.
For
example,
certain
of
the
Funds'
investments
may
involve
individual
contracts
that
have
no
existing
fallback
provision
or
language
that
contemplates
the
discontinuation
of
LIBOR,
and
those
investments
could
experience
increased
volatility
or
illiquidity
as
a
result
of
the
transition
process.
In
addition,
interest
rate
provisions
included
in
such
contracts
may
need
to
be
renegotiated
in
contemplation
of
the
transition
away
from
LIBOR.
The
transition
may
also
result
in
a
reduction
in
the
value
of
certain
instruments
held
by
a
Fund,
including
those
described
in
this
paragraph,
or
a
reduction
in
the
effectiveness
of
related
Fund
transactions
such
as
hedges.
Any
such
effects
of
the
transition
away
from
LIBOR,
as
well
as
other
unforeseen
effects,
could
result
in
losses
to
a
Fund.
Market,
Credit
and
Counterparty
Risk
In
the
normal
course
of
business,
the
Funds
trade
financial
instruments
and
enter
into
financial
transactions
where
risk
of
potential
loss
exists
due
to
changes
in
the
market
(market
risk)
or
failure
of
the
other
party
to
a
transaction
to
perform
(credit
risk).
Similar
to
credit
risk,
the
Funds
may
also
be
exposed
to
counterparty
risk
or
risk
that
an
institution
or
other
entity
with
which
the
Funds
have
unsettled
or
open
transactions
will
default.
The
potential
loss
could
exceed
the
value
of
the
relevant
assets
recorded
in
the
Funds'
financial
statements
(the
“Assets”).
The
Assets
consist
principally
of
cash
due
from
counterparties
and
investments.
The
extent
of
the
Funds’
exposure
to
market,
credit
and
counterparty
risks
with
respect
to
the
Assets
approximates
their
carrying
value
as
recorded
in
the
Funds’
Statements
of
Assets
and
Liabilities.
Global
economies
and
financial
markets
are
becoming
increasingly
interconnected
and
political
and
economic
conditions
(including
recent
instability
and
volatility
due
to
international
trade
disputes)
and
events
(including
natural
disasters,
pandemics,
epidemics,
social
unrest
and
government
shutdowns)
in
one
country,
region
or
financial
market
may
adversely
impact
issuers
in
a
different
country,
region
or
financial
market.
As
a
result,
issuers
of
securities
held
by
a
Fund
may
experience
significant
declines
in
the
value
of
their
assets
and
even
cease
operations.
Such
conditions
and/or
events
may
not
have
the
same
impact
on
all
types
of
securities
and
may
expose
a
Fund
to
greater
market
and
liquidity
risk
and
potential
difficulty
in
valuing
portfolio
instruments
held.
This
could
cause
a
Fund
to
underperform
other
types
of
investments.
From
time
to
time,
as
occurred
in
early
2020,
outbreaks
of
infectious
illness,
public
health
emergencies
and
other
similar
issues
(“public
health
events”)
may
occur
in
one
or
more
countries
around
the
globe.
Such
public
health
events
have
had
significant
impacts
on
both
the
country
in
which
the
event
is
first
identified
as
well
as
other
countries
in
the
global
economy.
Public
health
events
have
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
165
reduced
consumer
demand
and
economic
output
in
one
or
more
countries
subject
to
the
public
health
event,
resulted
in
restrictions
on
trading
and
market
closures
(including
for
extended
periods
of
time),
increased
substantially
the
volatility
of
financial
markets,
and,
more
generally,
have
had
a
significant
negative
impact
on
the
economy
of
the
country
or
countries
subject
to
the
public
health
event.
Public
health
events
have
also
adversely
affected
the
global
economy,
global
supply
chains
and
the
securities
in
which
the
Funds
invest
across
a
number
of
industries,
sectors
and
asset
classes.
The
extent
of
the
impact
depends
on,
among
other
factors,
the
scale
and
duration
of
any
such
public
health
event.
Public
health
events
have
resulted
in
the
governments
of
affected
countries
taking
potentially
significant
measures
to
seek
to
mitigate
the
transmission
of
the
infectious
illness
or
other
public
health
issue
including,
among
other
measures,
imposing
travel
restrictions
and/or
quarantines
and
limiting
the
operations
of
non-essential
businesses.
Any
of
these
events
could
adversely
affect
a
Fund’s
investments
and
performance,
including
by
exacerbating
other
pre-
existing
political,
social
and
economic
risks.
Governmental
authorities
and
other
entities
may
respond
to
such
events
with
fiscal
and/or
monetary
policy
changes.
It
is
not
guaranteed
that
these
policy
changes
will
have
their
intended
effect
and
it
is
possible
that
the
implementation
of
or
subsequent
reversal
of
such
policy
changes
could
increase
volatility
in
financial
markets,
which
could
adversely
affect
a
Fund’s
investments
and
performance.
3.
Investment
Transactions
Securities
During
the
period
ended
December
31,
2021,
the
Funds'
purchases
and
sales
of
investment
securities
(excluding
U.S.
government
and
agency
obligations,
short-term
investments,
options
and
repurchase
agreements)
were
as
follows:
During
the
period
ended
December
31,
2021,
the
Funds'
purchases
and
sales
of
U.S.
government
and
agency
obligations
(excluding
short-term
investments,
options,
futures
and
repurchase
agreements)
were
as
follows:
4.
Related
Party
Transactions,
Fees
and
Expenses
Adviser,
Administrator,
Transfer
and
Dividend
Disbursing
Agent
RIM
provides
or
oversees
the
provision
of
all
investment
advisory
and
portfolio
management
services
for
the
Funds.
From
its
advisory
fees
received
from
the
Funds,
RIM,
as
agent
for
RIF,
pays
all
fees
to
the
money
managers
for
their
investment
advisory
services.
Each
money
manager
has
agreed
that
it
will
look
only
to
RIM
for
the
payment
of
the
money
manager’s
fee,
after
RIF
has
paid
RIM.
Fees
paid
to
the
money
managers
are
not
affected
by
any
voluntary
or
statutory
expense
limitations.
RIFUS
is
the
Funds'
administrator
and
transfer
agent.
RIFUS,
in
its
capacity
as
the
Funds'
administrator,
provides
or
oversees
the
provision
of
all
administrative
services
for
the
Funds.
RIFUS,
in
its
capacity
as
the
Funds'
transfer
agent
and
dividend
disbursing
agent,
is
responsible
for
providing
transfer
agency
and
dividend
disbursing
services
to
the
Funds.
RIFUS
is
a
wholly-owned
subsidiary
of
RIM.
RIM
is
an
indirect,
wholly-owned
subsidiary
of
Russell
Investments
Group,
Ltd.
The
Funds
are
permitted
to
invest
their
cash
(i.e.,
cash
awaiting
investment
or
cash
held
to
meet
redemption
requests
or
to
pay
expenses)
in
the
U.S.
Cash
Management
Fund,
an
unregistered
fund
advised
by
RIM.
Each
Fund's
investment
in
the
U.S.
Cash
Management
Fund
is
disclosed
within
the
Fund's
Schedule
of
Investments.
In
addition,
all
or
a
portion
of
the
collateral
received
from
the
Investment
Company’s
securities
lending
program
is
invested
in
the
U.S.
Cash
Collateral
Fund,
an
unregistered
fund
advised
by
RIM.
Each
Fund's
investment
in
the
U.S.
Cash
Collateral
Fund
is
disclosed
within
the
Fund's
Schedule
of
Investments.
An
affiliated
company
is
a
company
in
which
a
Fund
has
ownership
of
at
least
5%
of
the
voting
securities
or
which
the
Fund
controls,
is
controlled
by
or
is
under
common
control
with.
See
each
Fund’s
Related
Party
Transactions,
Fees
and
Expenses
for
disclosure
of
transactions
with
affiliated
companies.
Purchases
Sales
U.S.
Strategic
Equity
Fund
$
187,272,777
$
239,882,655
U.S.
Small
Cap
Equity
Fund
274,650,188
310,607,747
International
Developed
Markets
Fund
114,428,744
172,200,768
Strategic
Bond
Fund
664,879,744
527,7
02,790
Global
Real
Estate
Securities
Fund
689,130,502
691,469,524
Purchases
Sales
Strategic
Bond
Fund
$
358,023,885
$
284,538,094
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
166
Notes
to
Financial
Statements
The
advisory
fee
is
based
upon
the
average
daily
net
assets
of
each
Fund
and
the
administration
fee
of
up
to
0.05%
is
based
on
the
combined
average
daily
net
assets
of
the
Funds.
Advisory
and
administration
fees
are
paid
monthly.
The
following
table
shows
the
total
amount
of
each
of
these
fees
paid
by
the
Funds
for
the
period
ended
December
31,
2021:
There
were
no
contractual
waivers
for
the
Funds
during
the
period.
RIM
does
not
have
the
ability
to
recover
amounts
waived
or
reimbursed
from
previous
periods.
Transfer
and
Dividend
Disbursing
Agent
RIFUS
serves
as
transfer
agent
and
provides
dividend
disbursing
services
to
the
Funds.
For
this
service,
RIFUS
is
paid
a
fee
based
upon
the
average
daily
net
assets
of
the
Funds
for
transfer
agency
and
dividend
disbursing
services.
RIFUS
retains
a
portion
of
this
fee
for
services
it
provides
to
the
Funds
and
pays
the
balance
to
unaffiliated
agents
who
assist
in
providing
these
services.
Transfer
agency
fees
paid
by
the
Funds
presented
herein
for
the
period
ended
December
31,
2021
were
as
follows:
Distributor
Russell
Investments
Financial
Services,
LLC
(the
“Distributor”),
a
wholly-owned
subsidiary
of
RIM,
serves
as
the
distributor
for
the
Investment
Company,
pursuant
to
a
distribution
agreement
with
the
Investment
Company.
The
Distributor
receives
no
compensation
from
the
Investment
Company
for
its
services.
Affiliated
Brokerage
Transactions
The
Funds
effect
certain
transactions
through
Russell
Investments
Implementation
Services,
LLC
(“RIIS”).
RIIS
is
a
registered
broker-dealer
and
investment
adviser
and
an
affiliate
of
RIM.
RIIS
uses
a
multi-venue
trade
management
approach
whereby
RIIS
allocates
trades
among
RIIS’
network
of
independent
brokers
for
execution,
clearing
and
other
services.
Trades
placed
through
RIIS
and
its
independent
brokers
are
made
(i)
to
manage
trading
associated
with
changes
in
money
managers,
rebalancing
across
existing
money
managers,
cash
flows
and
other
portfolio
transitions,
(ii)
to
execute
portfolio
securities
transactions
for
the
portion
of
each
Fund’s
assets
that
RIM
determines
not
to
allocate
to
money
managers,
(iii)
to
execute
portfolio
securities
transactions
for
the
portion
of
a
Fund’s
assets
that
RIM
manages
based
upon
model
portfolios
provided
by
the
Fund’s
non-discretionary
managers
or
(iv)
to
execute
money
manager’s
portfolio
securities
transactions
for
the
segment
of
a
Fund’s
portfolio
assigned
to
the
money
manager.
RIM
has
authorized
RIIS
to
effect
certain
futures,
swaps,
OTC
derivative
transactions,
and
cleared
swaps,
including
foreign
currency
spots,
forwards
and
options
trading
on
behalf
of
the
Funds.
The
Funds
are
permitted
to
purchase
or
sell
securities
from
or
to
certain
affiliated
funds
under
specified
conditions
outlined
in
procedures
adopted
by
the
Board.
The
procedures
have
been
designed
to
ensure
that
any
purchase
or
sale
of
securities
by
the
Funds
Annual
Rate
Funds
Advisory
(%)
Administration
(%)
U.S.
Strategic
Equity
Fund
0.73
Up
to
0.05
U.S.
Small
Cap
Equity
Fund
0.90
Up
to
0.05
International
Developed
Markets
Fund
0.90
Up
to
0.05
Strategic
Bond
Fund
0.55
Up
to
0.05
Global
Real
Estate
Securities
Fund
0.80
Up
to
0.05
Advisory
Administrative
U.S.
Strategic
Equity
Fund
$
4,394,541
$
300,996
U.S.
Small
Cap
Equity
Fund
2,298,702
127,706
International
Developed
Markets
Fund
3,506,993
194,833
Strategic
Bond
Fund
5,461,044
496,458
Global
Real
Estate
Securities
Fund
8,420,570
526,286
Amount
U.S.
Strategic
Equity
Fund
$
26,488
U.S.
Small
Cap
Equity
Fund
11,238
International
Developed
Markets
Fund
17,145
Strategic
Bond
Fund
43,688
Global
Real
Estate
Securities
Fund
46,313
Russell
Investment
Funds
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
167
from
or
to
another
fund
or
portfolio
that
are,
or
could
be,
considered
an
affiliate
by
virtue
of
having
a
common
investment
adviser
(or
affiliated
investment
advisers),
common
Trustees
and/or
common
officers
complies
with
Rule
17a
-7
of
the
Investment
Company
Act.
Further,
as
defined
under
the
procedures,
each
transaction
is
effected
at
the
current
market
value.
During
the
period
ended
December
31,
2021,
the
Funds
did
not
engage
in
purchases
and
sales
of
securities
pursuant
to
Rule
17a
-7
of
the
Investment
Company
Act.
Board
of
Trustees
The
Russell
Investments
fund
complex
consists
of
Russell
Investment
Company
(“RIC”),
which
has
31
funds
and
RIF,
which
has
nine
funds.
Each
of
the
Trustees
on
the
Board
is
a
Trustee
of
RIC
and
RIF.
The
Russell
Investments
fund
complex
compensates
each
Trustee
who
is
not
an
employee
of
RIM
or
its
affiliates.
Trustee
compensation
and
expenses
are
allocated
to
each
Fund
based
on
its
net
assets
relative
to
other
funds
in
the
Russell
Investments
fund
complex.
For
the
period
ended
December
31,
2021,
the
regular
compensation
paid
to
the
Trustees
by
the
Russell
Investments
fund
complex
was
$1,710,850.
5.
Federal
Income
Taxes
At
December
31,
2021,
the
Funds
did
not
have
any
capital
loss
carryforwards.
6.
Record
Ownership
As
of
December
31,
2021,
the
following
table
includes
shareholders
of
record
with
greater
than
10%
of
the
total
outstanding
shares
of
each
respective
Fund:
7.
Restricted
Securities
Restricted
securities
are
subject
to
contractual
restrictions
on
resale,
are
often
issued
in
private
placement
transactions,
and
are
not
registered
under
the
Securities
Act
of
1933,
as
amended
(“the
Act”).
The
most
common
types
of
restricted
securities
are
those
sold
under
Rule
144A
of
the
Act
and
commercial
paper
sold
under
Section
4(2)
of
the
Act.
See
each
Fund’s
Schedule
of
Investments
for
a
list
of
securities
that
have
been
footnoted
as
restricted.
8.
Commitments
and
Contingencies
The
Strategic
Bond
Fund
may
enter
into
certain
credit
agreements,
all
or
a
portion
of
which
may
be
unfunded.
The
Fund
is
obligated
to
fund
these
loan
commitments
at
the
borrowers'
discretion.
Unfunded
loan
commitments
and
funded
portions
of
credit
agreements
are
marked
to
market
daily
and
any
unrealized
appreciation
or
depreciation
is
included
in
the
Statements
of
Assets
and
Liabilities
and
the
Statements
of
Operations.
Funded
portions
of
credit
agreements
are
presented
in
the
Schedules
of
Investments.
For
the
period
ended
December
31,
2021,
the
Funds
had
no
unfunded
loan
commitments.
9.
Subsequent
Events
Management
has
evaluated
the
events
and/or
transactions
that
have
occurred
through
the
date
the
financial
statements
were
issued
and
noted
no
events
have
occurred
that
require
disclosure.
#
of
Shareholders
%
U.S.
Strategic
Equity
Fund
2
78.2
U.S.
Small
Cap
Equity
Fund
2
83.8
International
Developed
Markets
Fund
2
80.4
Strategic
Bond
Fund
1
69.3
Global
Real
Estate
Securities
Fund
2
88.1
Report
of
Independent
Registered
Public
Accounting
Firm
168
Report
of
Independent
Registered
Public
Accounting
Firm
To
the
Board
of
Trustees
of
Russell
Investment
Funds
and
Shareholders
of
U.S.
Strategic
Equity
Fund,
U.S.
Small
Cap
Equity
Fund,
International
Developed
Markets
Fund,
Strategic
Bond
Fund
and
Global
Real
Estate
Securities
Fund
Opinions
on
the
Financial
Statements
We
have
audited
the
accompanying
statements
of
assets
and
liabilities,
including
the
schedules
of
investments,
of
U.S.
Strategic
Equity
Fund,
U.S.
Small
Cap
Equity
Fund,
International
Developed
Markets
Fund,
Strategic
Bond
Fund
and
Global
Real
Estate
Securities
Fund
(five
of
the
funds
constituting
Russell
Investment
Funds,
hereafter
collectively
referred
to
as
the
“Funds”)
as
of
December
31,
2021,
the
related
statements
of
operations
for
the
year
ended
December
31,
2021,
the
statements
of
changes
in
net
assets
for
each
of
the
two
years
in
the
period
ended
December
31,
2021,
including
the
related
notes,
and
the
financial
highlights
for
each
of
the
five
years
in
the
period
ended
December
31,
2021
(collectively
referred
to
as
the
“financial
statements”).
In
our
opinion,
the
financial
statements
present
fairly,
in
all
material
respects,
the
financial
position
of
each
of
the
Funds
as
of
December
31,
2021,
the
results
of
each
of
their
operations
for
the
year
then
ended,
the
changes
in
each
of
their
net
assets
for
each
of
the
two
years
in
the
period
ended
December
31,
2021
and
each
of
the
financial
highlights
for
each
of
the
five
years
in
the
period
ended
December
31,
2021
in
conformity
with
accounting
principles
generally
accepted
in
the
United
States
of
America.
Basis
for
Opinions
These
financial
statements
are
the
responsibility
of
the
Funds’
management.
Our
responsibility
is
to
express
an
opinion
on
the
Funds’
financial
statements
based
on
our
audits.
We
are
a
public
accounting
firm
registered
with
the
Public
Company
Accounting
Oversight
Board
(United
States)
(PCAOB)
and
are
required
to
be
independent
with
respect
to
the
Funds
in
accordance
with
the
U.S.
federal
securities
laws
and
the
applicable
rules
and
regulations
of
the
Securities
and
Exchange
Commission
and
the
PCAOB.
We
conducted
our
audits
of
these
financial
statements
in
accordance
with
the
standards
of
the
PCAOB.
Those
standards
require
that
we
plan
and
perform
the
audit
to
obtain
reasonable
assurance
about
whether
the
financial
statements
are
free
of
material
misstatement,
whether
due
to
error
or
fraud.
Our
audits
included
performing
procedures
to
assess
the
risks
of
material
misstatement
of
the
financial
statements,
whether
due
to
error
or
fraud,
and
performing
procedures
that
respond
to
those
risks.
Such
procedures
included
examining,
on
a
test
basis,
evidence
regarding
the
amounts
and
disclosures
in
the
financial
statements.
Our
audits
also
included
evaluating
the
accounting
principles
used
and
significant
estimates
made
by
management,
as
well
as
evaluating
the
overall
presentation
of
the
financial
statements.
Our
procedures
included
confirmation
of
securities
owned
as
of
December
31,
2021
by
correspondence
with
the
custodian,
transfer
agent
and
brokers;
when
replies
were
not
received
from
brokers,
we
performed
other
auditing
procedures.
We
believe
that
our
audits
provide
a
reasonable
basis
for
our
opinions.
February
11,
2022
We
have
served
as
the
auditor
of
one
or
more
investment
companies
in
the
Russell
Investments
family
of
funds
since
1981.
PricewaterhouseCoopers
LLP,
1420
Fifth
Avenue,
Suite
2800,
Seattle,
WA
98101
T:
(206)
398
3000,
www.pwc.com/us
Russell
Investment
Funds
Tax
Information
—
December
31,
2021
(Unaudited)
Tax
Information
169
For
the
tax
year
ended
December
31,
2021,
the
Funds
hereby
designate
100%
or
the
maximum
amount
allowable,
of
its
net
taxable
income
as
qualified
dividends
taxed
at
individual
net
capital
gain
rates.
The
Form
1099
you
receive
in
January
2022
will
show
the
tax
status
of
all
distributions
paid
to
your
account
in
calendar
year
2021.
The
Funds
designate
dividends
distributed
during
the
fiscal
year
as
qualifying
for
the
dividends
received
deduction
for
corporate
shareholders
as
follows:
Pursuant
to
Section
852
of
the
Internal
Revenue
Code,
the
Funds
designate
the
following
amounts
as
long-term
capital
gain
dividends
for
their
taxable
year
ended
December
31,
2021:
The
Funds
listed
below
paid
foreign
taxes
and
recognized
foreign
source
income
during
the
taxable
year
ended
December
31,
2021.
Pursuant
to
Section
853
of
the
Internal
Revenue
Code,
the
Funds
designate
the
following
per
share
amounts
of
foreign
taxes
paid
and
income
earned
from
foreign
sources:
Please
consult
a
tax
adviser
for
any
questions
about
federal
or
state
income
tax
laws.
U.S.
Strategic
Equity
88.4%
U.S.
Small
Cap
Equity
7.4%
International
Developed
Markets
0.0%
Global
Real
Estate
Securities
0.0%
Strategic
Bond
0.0%
U.S.
Strategic
Equity
$
47,888,459
U.S.
Small
Cap
Equity
27,569,711
International
Developed
Markets
7,911,279
Global
Real
Estate
Securities
10,894,483
Strategic
Bond
8,141,211
Fund
Name
Foreign
Taxes
Paid
Foreign
Taxes
Paid
Per
Share
Foreign
Source
Income
Foreign
Source
Income
Per
Share
International
Developed
Markets
$
1,148,098
$
0.0376
$
12,041,165
$
0.3941
Russell
Investment
Funds
Affiliated
Brokerage
Transactions
—
December
31,
2021
(Unaudited)
170
Affiliated
Brokerage
Transactions
As
discussed
in
the
Note
4
in
the
Notes
to
Financial
Statements
contained
in
this
annual
report,
the
Funds
utilize
RIIS
and
its
independent
brokers.
RIIS
is
a
registered
broker
dealer
and
investment
adviser
and
an
affiliate
of
RIM.
RIIS
uses
a
multi-venue
trade
management
approach
whereby
RIIS
allocates
trades
among
RIIS’
network
of
independent
brokers
for
execution,
clearing,
and
other
services.
Trades
placed
through
RIIS
and
its
independent
brokers
are
made
(i)
to
manage
trading
associated
with
changes
in
money
managers,
rebalancing
across
existing
money
managers,
cash
flows
and
other
portfolio
transitions,
(ii)
to
execute
portfolio
securities
transactions
for
the
portion
of
each
Fund’s
assets
that
RIM
determines
not
to
allocate
to
money
managers,
(iii)
to
execute
portfolio
securities
transactions
for
the
portion
of
a
Fund’s
assets
that
RIM
manages
based
upon
model
portfolios
provided
by
the
Funds’
non-
discretionary
managers,
(iv)
to
execute
money
manager
portfolio
securities
transactions
for
the
segment
of
a
Fund’s
portfolio
assigned
to
the
money
manager,
or
(v)
to
execute
foreign
currency
transactions
on
behalf
of
the
Funds.
RIM
has
authorized
RIIS
to
effect
certain
futures,
swaps,
OTC
derivative
transactions,
and
cleared
swaps,
including
foreign
currency
spots,
forwards
and
options
trading
on
behalf
of
the
Funds.
Amounts
retained
by
RIIS
for
the
period
ended
December
31,
2021
were
as
follows:
Fund
Name
U.S.
Strategic
Equity
Fund
$
14,055
U.S.
Small
Cap
Equity
Fund
51,777
International
Developed
Markets
Fund
50,387
Strategic
Bond
Fund
—
Global
Real
Estate
Securities
Fund
137,552
Russell
Investment
Funds
Basis
for
Approval
of
Investment
Advisory
Contracts
—
(Unaudited)
Basis
for
Approval
of
Investment
Advisory
Contracts
171
Quarterly
Approval
of
Money
Manager
Contracts
The
Board
received
a
proposal
from
RIM
at
a
meeting
held
on
September
29,
2021
to
approve
a
new
portfolio
management
contract
for
the
U.S.
Small
Cap
Equity
Fund
resulting
from
a
pending
change
of
control
for
an
existing
Money
Manager.
The
Trustees
approved
the
terms
of
the
proposed
new
portfolio
management
contract
based
upon
RIM’s
recommendation
to
enter
into
a
new
portfolio
management
contract
with
the
Money
Manager
at
the
proposed
fee
rate,
which
was
the
same
rate
as
under
the
prior
portfolio
management
contract;
information
provided
by
RIM
that
there
are
no
expected
changes
to
the
Money
Manager’s
investment
process,
personnel,
day-to-day
operations
or
services
provided
to
the
Funds
as
a
result
of
the
change
of
control;
information
as
to
any
significant
business
relationships
between
the
Money
Manager
and
RIM
or
RIFIS;
a
statement
from
RIM
that
there
will
be
no
changes
to
the
Money
Manager’s
compliance
policies
and
procedures
or
code
of
ethics
as
a
result
of
the
change
of
control;
and
information
provided
by
RIM
that
the
change
in
control
of
the
Money
Manager
would
have
no
impact
on
the
aggregate
Money
Manager
fees
to
be
paid
by
RIM
from
its
advisory
fee.
The
Trustees
considered
RIM’s
prior
explanations,
including
in
connection
with
the
Board’s
most
recent
evaluation
and
approval
of
the
Funds’
existing
investment
advisory
agreement
with
RIM
and
portfolio
management
contracts
with
then-current
Money
Managers
for
the
Funds,
as
to
the
lack
of
relevance
of
Money
Manager
profitability
to
the
evaluation
of
portfolio
management
contracts
with
Money
Managers
because
the
willingness
of
Money
Managers
to
serve
in
such
capacity
depends
upon
arm’s-length
negotiations
with
RIM;
RIM’s
awareness
of
the
standard
fee
rates
charged
by
the
Money
Manager
to
other
clients;
and
RIM’s
belief
that
the
proposed
Money
Manager
fees
would
be
reasonable
in
light
of
the
anticipated
quality
of
investment
advisory
services
to
be
rendered.
The
Trustees’
approval
also
reflected
their
findings
at
prior
meetings,
including
their
May
21,
2021
meeting,
in
connection
with
their
evaluation
and
approval
of
the
Fund’s
existing
investment
advisory
agreement
with
RIM
and
portfolio
management
contracts
with
then-current
Money
Managers
for
the
Fund,
as
well
as
information
received
throughout
the
course
of
the
year
regarding,
among
other
things,
the
quality
of
services
provided
to
the
Fund
in
the
case
of
the
existing
Money
Managers
and
the
reasonableness
of
the
aggregate
investment
advisory
fees
paid
by
the
Fund,
as
well
as
the
fact
that
the
aggregate
investment
advisory
fees
paid
by
the
Fund
would
not
increase
or
decrease
as
a
result
of
the
implementation
of
the
proposed
new
portfolio
management
contract
because
the
Money
Managers’
investment
advisory
fees
are
paid
by
RIM.
Russell
Investment
Funds
Shareholder
Requests
for
Additional
Information
—
December
31,
2021
(Unaudited)
172
Shareholder
Requests
for
Additional
Information
Each
Fund
files
portfolio
holdings
information
within
60
days
after
the
end
of
each
fiscal
quarter
as
an
exhibit
on
Form
N-PORT.
Portfolio
holdings
information
for
the
third
month
of
each
fiscal
quarter
is
publicly
available
on
the
SEC’s
website
at
http://www.sec.
gov.
Each
Fund’s
complete
schedule
of
portfolio
holdings
for
the
second
and
fourth
quarters
of
each
fiscal
year
is
included
in
the
semi-
annual
and
annual
reports
to
Fund
shareholders.
The
Board
has
delegated
to
RIM,
as
RIF’s
investment
adviser,
the
primary
responsibility
for
monitoring,
evaluating
and
voting
proxies
solicited
by
or
with
respect
to
issuers
of
securities
in
which
assets
of
the
Funds
may
be
invested.
RIM
has
established
a
proxy
voting
committee
and
has
adopted
written
proxy
voting
policies
and
procedures
(“P&P”)
and
proxy
voting
guidelines
(“Guidelines”).
The
Funds
maintain
a
Portfolio
Holdings
Disclosure
Policy
that
governs
the
timing
and
circumstances
of
disclosure
to
shareholders
and
third
parties
of
information
regarding
the
portfolio
investments
held
by
the
Funds.
A
description
of
the
P&P,
Guidelines,
Portfolio
Holdings
Disclosure
Policy
and
additional
information
about
Fund
Trustees
are
contained
in
the
Funds’
Statement
of
Additional
Information
(“SAI”).
The
SAI
and
information
regarding
how
the
Funds
voted
proxies
relating
to
portfolio
securities
during
the
most
recent
12-month
period
ended
June
30,
2021
are
available
(i)
free
of
charge,
upon
request,
by
calling
the
Funds
at
(800)
787-7354,
and
(ii)
on
the
Securities
and
Exchange
Commission’s
website
at
www.sec.gov.
If
possible,
depending
on
contract
owner
registration
and
address
information,
and
unless
you
have
otherwise
opted
out,
only
one
copy
of
the
RIF
prospectus
will
be
sent
to
contract
owners
at
the
same
address.
Unless
you
specifically
request
paper
copies
of
the
annual
and
semi-annual
reports
from
your
Insurance
Company,
you
will
be
notified
by
mail
each
time
the
annual
and
semi-annual
reports
are
posted
and
provided
with
a
website
link
to
access
the
reports.
If
you
would
like
to
receive
a
separate
copy
of
these
documents,
please
contact
your
Insurance
Company.
If
you
currently
receive
multiple
copies
of
the
prospectus,
annual
report
and
semi-annual
report
and
would
like
to
request
to
receive
a
single
copy
of
these
documents
in
the
future,
please
call
your
insurance
company.
Some
insurance
companies
may
offer
electronic
delivery
of
the
Funds’
prospectuses
and
annual
and
semi-annual
reports.
Please
contact
your
insurance
company
for
further
details.
Russell
Investment
Funds
Disclosure
of
Information
about
Fund
Trustees
and
Officers
—
December
31,
2021
(Unaudited)
Disclosure
of
Information
about
Fund
Trustees
and
Officers
173
The
following
tables
provide
information
for
each
officer
and
trustee
of
the
Russell
Investments
fund
complex.
The
Russell
Investments
fund
complex
consists
of
Russell
Investment
Company
(“RIC”),
which
has
31
funds
and
Russell
Investment
Funds
(“RIF”),
which
has
nine
funds.
Each
of
the
Trustees
is
a
trustee
of
RIC
and
RIF.
The
first
table
provides
information
for
the
Interested
Trustee.
The
second
table
provides
information
for
the
Independent
Trustees.
The
third
table
provides
information
for
the
officers.
Furthermore,
each
Trustee
possesses
the
following
specific
attributes:
Ms.
Blake
has
had
experience
as
a
certified
public
accountant
and
has
had
experience
as
a
member
of
boards
of
directors/trustees
of
other
investment
companies;
Ms.
Cahoon
has
had
experience
as
the
senior
financial
executive
of
other
investment
companies
and
their
investment
adviser
and
distributor,
as
well
as
a
certified
public
accountant
who
previously
provided
audit
services
in
the
financial
sector
at
a
multi-national
accounting
firm
and
has
been
determined
by
the
Board
to
be
an
“audit
committee
financial
expert”;
Mr.
Day
has
had
experience
as
an
executive-level
leader
in
corporate
finance
and
accounting,
as
a
member
of
the
boards
of
other
companies
and
non-profit
organizations,
and
as
a
certified
public
accountant;
Ms.
Krysty
has
had
business,
financial
and
investment
experience
as
the
founder
and
senior
executive
of
a
registered
investment
adviser
focusing
on
high
net
worth
individuals
as
well
as
a
certified
public
accountant
and
a
member
of
the
boards
of
other
corporations
and
non-profit
organizations;
Ms.
Ledoux
has
had
investment
experience
as
a
portfolio
manager
and
has
had
experience
as
a
member
of
the
board
of
trustees
of
other
investment
companies;
Mr.
May
has
had
business,
financial
services,
accounting
and
investment
management
experience
as
a
senior
executive
and
board
member
of
financial
services,
investment
management
and
other
organizations,
as
well
as
experience
as
a
board
member
of
other
investment
companies
and
as
a
certified
public
accountant;
Ms.
Shanahan
has
had
financial,
risk
management,
governance
and
compliance
experience
in
highly
regulated
industries
as
a
senior
executive
at
large
financial
institutions,
and
as
a
member
of
the
board
of
a
non-profit
organization;
Mr.
Tennison
has
had
business,
financial
and
investment
experience
as
a
senior
executive
of
a
corporation
with
international
activities
and
was
trained
as
an
accountant;
and
Mr.
Thompson
has
had
experience
in
business,
governance,
investment
and
financial
reporting
matters
as
a
senior
executive
of
an
organization
sponsoring
and
managing
other
investment
companies,
and,
subsequently,
has
served
as
a
board
member
of
other
investment
companies.
Mr.
Barback
has
had
experience
as
a
senior
executive
of
other
financial
services
companies
with
responsibility
for
investment,
financial,
and
operational
matters
affecting
asset
managers
and
related
service
providers.
As
a
senior
officer
of
an
affiliate
of
RIM,
Mr.
Barback
is
in
a
position
to
provide
the
Bard
with
such
entity’s
perspectives
on
the
management,
operations
and
distribution
of
the
RIC
and
RIF
Funds.
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
#
Mr.
Barback
is
Chief
Administrative
Officer
of
an
affiliate
of
RIM
and
is
therefore
an
Interested
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
*
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INTERESTED
TRUSTEES
Vernon
Barback#
Born
August
24,
1956
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
Chief
Administrative
Officer,
Russell
Investments
From
2016
–
2019,
President,
Russell
Investments
From
2019
–
2021,
Vice
Chairman,
Russell
Investments
Until
2020,
Director,
NorthStar
Topco,
LLC
(technology
and
services
outsourcing
company)
40
Until
2020,
Director
of
NorthStar
Topco,
LLC
(technology
and
services
outsourcing
company)
Russell
Investment
Funds
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
174
Disclosure
of
Information
about
Fund
Trustees
and
Officers
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
*
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
Kristianne
Blake
Born
January
22,
1954
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Trustee
since
2000
Chairman
of
the
Audit
Committee
since
2021
Until
successor
is
duly
elected
and
qualified
Until
successor
is
duly
elected
and
qualified
Lead
Independent
Director,
Avista
Corp.
(electric
utilities)
Until
May
2017,
Director
and
Chairman
of
the
Audit
Committee,
Avista
Corp.
(electric
utilities)
Until
September
2018,
Regent,
University
of
Washington
President,
Kristianne
Gates
Blake,
P.S.
(accounting
services)
40
Lead
Independent
Director,
Avista
Corp
(electric
utilities)
Until
May
2017,
Director,
Avista
Corp
(electric
utilities)
Michelle
L.
Cahoon
Born
July
5,
1966
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
Retired
From
January
to
March
2019,
Consulting
Chief
Financial
Officer,
Driehaus
Capital
Management
LLC
(investment
adviser)
Until
2018,
Chief
Financial
Officer
and
Treasurer,
Driehaus
Capital
Management
LLC
and
Driehaus
Securities
LLC
(broker
dealer)
Until
2018,
Vice
President
and
Treasurer,
Driehaus
Mutual
Funds
(investment
company)
40
Trustee
and
Audit
Committee
Chair,
Fairway
Private
Equity
and
Venture
Capital
Opportunities
Fund
(investment
company)
Russell
Investment
Funds
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
Disclosure
of
Information
about
Fund
Trustees
and
Officers
175
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
*
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
(continued)
Michael
Day
Born
October
23,
1957
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
President
and
Chief
Executive
Officer,
Topa
Insurance
Company
(insurance
company)
40
Director,
Topa
Insurance
Group
(insurance
company)
Director,
Puppet,
Inc.
(information
technology
company)
Director,
Somos,
Inc.
(information
technology
company)
Until
2019,
Director,
Recology
(waste
management
company)
Katherine
W.
Krysty
Born
December
3,
1951
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2014
Chairman
of
Regulatory
and
Investment
Compliance
Committee
since
2020
Until
successor
is
duly
elected
and
qualified
Until
successor
is
duly
elected
and
qualified
Retired
40
None
Russell
Investment
Funds
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
176
Disclosure
of
Information
about
Fund
Trustees
and
Officers
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
(continued)
Julie
Dien
Ledoux
Born
August
17,
1969
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2019
Until
successor
is
duly
elected
and
qualified
Until
March
2018,
Trustee
of
Avenue
Credit
Strategies
Fund
(investment
company)
Until
November
2017,
Trustee
of
Avenue
Income
Credit
Strategies
Fund
(investment
company)
40
Until
March
2018,
Trustee
of
Avenue
Credit
Strategies
Fund
(investment
company).
Until
November
2017,
Trustee
of
Avenue
Income
Credit
Strategies
Fund
(investment
company)
Russell
Investment
Funds
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
Disclosure
of
Information
about
Fund
Trustees
and
Officers
177
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
(continued)
Jeremy
May
Born
March
30,
1970
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
Founder
and
Chief
Executive
Officer,
Paralel
Technologies
LLC
(information
technology
company)
Until
March
2021,
Chief
Operating
Officer
of
Magnifi
LLC
(information
technology
company)
Until
2019,
President
ALPS
Portfolio
Solutions
and
Executive
Vice
President
of
ALPS
Advisors
and
ALPS
Holdings
(investment
Company)
40
Trustee
and
Chairman
of
Bow
River
Capital
Evergreen
Fund
(investment
company)
Trustee
and
Chairman
of
New
Age
Alpha
ETF
Trust
(investment
company)
Until
March
2021,
Interested
Director
of
Reaves
Utility
Income
Trust
(investment
Company)
Until
February
2021,
Interested
Director
of
ALPS
Series
Trust
(investment
company)
Until
2019,
Interested
Director
of
RiverNorth
Opportunities
Fund
(investment
company)
Russell
Investment
Funds
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
178
Disclosure
of
Information
about
Fund
Trustees
and
Officers
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
(continued)
Jeannie
Shanahan
Born
February
15,
1964
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
Until
2021,
President
of
Twin
Star
Consulting,
LLC
(consulting
company)
Until
November
2018,
Senior
Vice
President
and
Chief
Governance
Officer
–
CCAR
of
Northern
Trust
Company
(financial
services
company)
40
None
Raymond
P.
Tennison,
Jr.
Born
December
21,
1955
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2000
Chairman
since
2021
Until
successor
is
duly
elected
and
qualified
Approved
Annually
Retired
40
None
Jack
R.
Thompson
Born
March
21,
1949
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Trustee
since
2005
Vice
Chairman
since
2021
Chairman
of
the
Nominating
and
Governance
Committee
since
2021
Until
successor
is
duly
elected
and
qualified
Approved
annually
Until
successor
is
duly
elected
and
qualified
Retired
40
None
Russell
Investment
Funds
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
Disclosure
of
Information
about
Fund
Trustees
and
Officers
179
Name,
Age,
Address
Positions(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
Principal
Occupation(s)
During
the
Past
5
Years
OFFICERS
Cheryl
Wichers
Born
December
16,
1966
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Chief
Compliance
Officer
since
2005
Until
removed
by
Independent
Trustees
Chief
Compliance
Officer,
RIC
and
RIF
Chief
Compliance
Officer,
RIFUS
2011
to
2016
Chief
Compliance
Officer,
U.S.
One
,
LLC
Mark
E.
Swanson
Born
November
26,
1963
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
President
and
Chief
Executive
Officer
since
2020
Treasurer,
Chief
Accounting
Officer
and
Chief
Financial
Officer
since
1998
Until
successor
is
chosen
and
qualified
by
Trustees
Global
Head
of
Fund
Services,
Russell
Investments
President,
Chief
Executive
Officer,
Treasurer,
Chief
Accounting
Officer
and
CFO,
RIC
and
RIF
Director
and
President,
RIFUS
Director,
RIM,
Russell
Investments
Trust
Company
(“RITC”)
and
RIFIS
President
and
Chief
Executive
Officer,
RIC
and
RIF,
June
2016
to
June
2017
Kate
El-Hillow
Born
August
17,
1974
1301
Second
Avenue,
18th
Floor,
Seattle
WA
98101
Chief
Investment
Officer
since
2021
Until
removed
by
Trustees
Until
2021,
Deputy
Chief
Investment
Officer,
Senior
Portfolio
Manager,
Head
of
Strategy
Selection
and
Head
of
Portfolio
Management
&
Risk,
Goldman
Sachs
Global
Chief
Investment
Officer,
Russell
Investment
Chief
Investment
Officer,
RIC
and
RIF
President,
RIM
Mary
Beth
Albaneze
Born
April
25,
1969
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Secretary
and
Chief
Legal
Officer
since
2010
Until
successor
is
chosen
and
qualified
by
Trustees
Associate
General
Counsel,
Russell
Investments
Secretary,
RIM,
RIFUS
and
RIFIS
Secretary
and
Chief
Legal
Officer,
RIC
and
RIF
Secretary,
U.S.
One,
LLC
Russell
Investment
Funds
Supplemental
Proxy
Information
—
December
31,
2021
(Unaudited)
180
Supplemental
Proxy
Information
A
joint
special
meeting
of
shareholders
of
the
Funds
was
held
on
September
28,
2021
(the
“Shareholder
Meeting”).
The
Shareholder
Meeting
was
held
for
the
purpose
of
electing
members
of
the
Funds’
Board
of
Trustees.
Shareholders
elected
the
following
six
(6)
Trustees
at
the
Shareholder
Meeting:
Michelle
Cahoon*
Julie
Dien
Ledoux*
Jeannie
Shanahan
Michael
Day
Jeremy
May
Vernon
Barback
*
Ms.
Cahoon
and
Ms.
Ledoux
were
Trustees
prior
to
the
Shareholder
Meeting.
The
results
of
the
shareholders’
election
of
Trustees
were
as
follows:
As
of
the
date
of
the
Shareholder
Meeting,
Kristianne
Blake,
Katherine
W.
Krysty,
Raymond
P.
Tennison,
Jr.
and
Jack
R.
Thompson
had
each
previously
been
elected
as
Trustees
by
the
Funds’
shareholders.
Each
of
these
Trustees
will
continue
to
serve
as
a
Trustee.
Trustee
For
Withheld
Michelle
Cahoon
2,025,718,825
5,058,069
Julie
Dien
Ledoux
2,025,539,354
5,237,539
Jeannie
Shanahan
2,025,673,792
5,103,102
Michael
Day
2,025,606,470
5,170,424
Jeremy
May
2,025,621,556
5,155,337
Vernon
Barback
2,025,227,607
5,549,287
Russell
Investment
Funds
Adviser,
Money
Managers
and
Service
Providers
—
December
31,
2021
(Unaudited)
Adviser,
Money
Managers
and
Service
Providers
181
Interested
Trustee
Vernon
Barback
Independent
Trustees
Kristianne
Blake
Michelle
L.
Cahoon
Michael
Day
Katherine
W.
Krysty
Julie
Dien
Ledoux
Jeremy
May
Jeannie
Shanahan
Raymond
P.
Tennison,
Jr.
Jack
R.
Thompson
Officers
Mark
E.
Swanson,
President,
Chief
Executive
Officer,
Treasurer,
Chief
Accounting
Officer
and
Chief
Financial
Officer
Cheryl
Wichers,
Chief
Compliance
Officer
Kate
El-Hillow,
Chief
Investment
Officer
Mary
Beth
Albaneze,
Secretary
and
Chief
Legal
Officer
Adviser
Russell
Investment
Management,
LLC
1301
Second
Avenue
Seattle, WA
98101
Administrator
and
Transfer
and
Dividend
Disbursing
Agent
Russell
Investments
Fund
Services,
LLC
1301
Second
Avenue
Seattle, WA
98101
Custodian
State
Street
Bank
and
Trust
Company
1
Heritage
Drive
North
Quincy,
MA
02171
Office
of
Shareholder
Inquiries
1301
Second
Avenue
Seattle, WA
98101
(800)
787-7354
Legal
Counsel
Dechert
LLP
One
International
Place,
40th
Floor
100
Oliver
Street
Boston, MA
02110
Distributor
Russell
Investments
Financial
Services,
LLC
1301
Second
Avenue
Seattle, WA
98101
Independent
Registered
Public
Accounting
Firm
PricewaterhouseCoopers
LLP
1420
5th
Avenue,
Suite
2800
Seattle, WA
98101
Money
Managers
U.S.
Strategic
Equity
Fund
Brandywine
Global
Investment
Management,
LLC,
Philadelphia,
PA
HS
Management
Partners,
LLC,
New
York,
NY
Jackson
Square
Partners,
LLC,
San
Francisco,
CA
Jacobs
Levy
Equity
Management,
Inc., Florham
Park, NJ
U.S.
Small
Cap
Equity
Fund
Ancora
Advisors,
LLC,
Mayfield
Heights,
OH
BAMCO,
Inc.,
New
York,
NY
Boston
Partners
Global
Investors,
Inc.,
New
York,
NY
Calamos
Advisors
LLC,
Naperville,
IL
Copeland
Capital
Management,
LLC,
Conshohocken,
PA
DePrince,
Race
&
Zollo,
Inc., Winter
Park, FL
Jacobs
Levy
Equity
Management,
Inc., Florham
Park, NJ
Penn
Capital
Management
Company,
LLC,
Philadelphia, PA
Ranger
Investment
Management,
L.P.,
Dallas,
TX
International
Developed
Markets
Fund
Intermede
Investment
Partners
Limited,
London,
United
Kingdom
and
Intermede
Global
Partners
Inc.,
San
Francisco,
CA
Pzena
Investment
Management
LLC,
New York, NY
Wellington
Management
Company
LLP,
Boston,
MA
Strategic
Bond
Fund
BlueBay
Asset
Management
LLP,
London,
United
Kingdom
Schroder
Investment
Management
North
America
Inc.,
New
York,
NY
Western
Asset
Management
Company,
Pasadena,
CA
and
Western
Asset
Management
Company
Limited,
London,
United
Kingdom
Global
Real
Estate
Securities
Fund
Cohen
&
Steers
Capital
Management,
Inc.,
New York, NY,
Cohen
&
Steers
UK
Limited,
London,
United
Kingdom
and
Cohen
&
Steers
Asia
Limited,
Hong
Kong,
China
RREEF
America
L.L.C.,
Chicago,
IL,
DWS
Investments
Australia
Limited,
Sydney,
Australia
and
DWS
Alternatives
Global
Limited,
London,
United
Kingdom,
operating
under
the
brand
name
DWS
This
report
is
prepared
from
the
books
and
records
of
the
Funds
and
is
submitted
for
the
general
information
of
shareholders
and
is
not
authorized
for
distribution
to
prospective
investors
unless
accompanied
or
preceded
by
an
effective
Prospectus.
Nothing
herein
contained
is
to
be
considered
an
offer
of
sale
or
a
solicitation
of
an
offer
to
buy
shares
of
Russell
Investment
Funds.
Such
offering
is
made
only
by
Prospectus,
which
includes
details
as
to
offering
price
and
other
material
information.
Russell
Investment
Funds
1301
Second
Avenue
Seattle,
Washington
98101
800-787-7354
Fax:
206-505-3495
2021
ANNUAL
REPORT
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
DECEMBER
31,
2021
FUND
Moderate
Strategy
Fund
Balanced
Strategy
Fund
Growth
Strategy
Fund
Equity
Growth
Strategy
Fund
Russell
Investment
Funds
Russell
Investment
Funds
is
a
series
investment
company
with
nine
different
investment
portfolios
referred
to
as
Funds.
These
financial
statements
report
on
four
of
these
Funds.
Page
To
Our
Shareholders
3
Moderate
Strategy
Fund
4
Balanced
Strategy
Fund
19
Growth
Strategy
Fund
33
Equity
Growth
Strategy
Fund
47
Notes
to
Financial
Highlights
61
Notes
to
Financial
Statements
62
Report
of
Independent
Registered
Public
Accounting
Firm
74
Tax
Information
75
Shareholder
Requests
for
Additional
Information
76
Disclosure
of
Information
about
Fund
Trustees
and
Officers
77
Shareholder
Voting
Results
84
Adviser
and
Service
Providers
85
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Annual
Report
December
31,
2021
Table
of
Contents
Russell
Investment
Funds
-
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Copyright
©
Russell
Investments
2022.
All
rights
reserved.
Russell
Investments’
ownership
is
composed
of
a
majority
stake
held
by
funds
managed
by
TA
Associates,
with
a
significant
minority
stake
held
by
funds
managed
by
Reverence
Capital
Partners.
Russell
Investments’
employees
and
Hamilton
Lane
Advisors,
LLC
also
hold
minority,
non-controlling,
ownership
stakes.
Frank
Russell
Company
is
the
owner
of
the
Russell
trademark
contained
in
this
material
and
all
trademark
rights
related
to
the
Russell
trademarks,
which
the
members
of
the
Russell
Investment
group
of
companies
are
permitted
to
use
under
license
from
Frank
Russell
Company.
The
members
of
the
Russell
Investments
group
of
companies
are
not
affiliated
in
any
manner
with
Frank
Russell
Company
or
any
entity
operating
under
the
“FTSE
RUSSELL”
brand.
Fund
objectives,
risks,
charges
and
expenses
should
be
carefully
considered
before
in-
vesting.
A
prospectus
containing
this
and
other
important
information
must
precede
or
accompany
this
material.
Please
read
the
prospectus
carefully
before
investing.
Securities
distributed
through
Russell
Investments
Financial
Services,
LLC,
member
FINRA
and
part
of
Russell
Investments.
Indices
and
benchmarks
are
unmanaged
and
cannot
be
invested
in
directly.
Returns
represent
past
performance,
are
not
a
guarantee
of
future
performance,
and
are
not
indicative
of
any
specific
investment.
Index
return
information
is
provided
by
vendors
and
although
deemed
reliable,
is
not
guaranteed
by
Russell
Investments
or
its
affiliates.
Performance
quoted
represents
past
performance
and
does
not
guarantee
future
results.
The
investment
return
and
principal
value
of
an
investment
will
fluctuate
so
that
shares,
when
redeemed,
may
be
worth
more
or
less
than
their
original
cost.
Current
performance
may
be
lower
or
higher
than
the
performance
data
quoted.
To
Our
Shareholders
To
Our
Shareholders
3
Fellow
Investors,
Our
primary
focus
is
as
clear
as
ever:
It
is
to
improve
the
financial
security
of
our
investors.
We
believe
that
the
combination
of
our
investment
solutions,
a
sound
plan
and
timely
investment
advice
provides
the
best
strategy
for
those
individuals
seeking
to
navigate
the
difficult
world
of
investing.
Your
financial
security
is
the
reason
we
work
hard
to
maintain
a
time-
tested,
disciplined
investment
approach,
focused
on
meeting
our
clients’
financial
needs.
The
year
of
2021,
despite
continued
COVID-19
pressures,
has
seen
strong
performance:
For
the
one-year
period
ended
December
31,
2021,
U.S.
equities
returned
28.71%,
according
to
the
S&P
500.
*
In
comparison,
within
the
same
time
period,
developed
non-U.S.
equities,
as
measured
by
the
MSCI
EAFE
index,
provided
a
return
of
11.26%.
*
With
the
benefit
of
the
strong
market
recovery
continuing
into
2022
and
the
unique
period
we
all
have
just
managed
through,
it
is
critical
to
be
disciplined
when
assessing
your
investment
plan.
It
is
important
to
challenge
prior
thinking
but
have
an
equally
high
bar
to
any
material
changes
to
long-term
strategies.
We
continue
to
emphasize
that
prioritizing
the
long-term
investment
plan
over
short-term
gains
is
most
consistently
rewarded.
As
we
look
forward,
we
maintain
our
focus
and
look
to
position
our
funds
for
the
year
ahead,
not
the
one
that
has
just
passed.
With
this
in
mind,
we
hold
the
following
views
on
markets:
We
continue
to
believe
in
diversifying
globally.
We
have
a
modest
preference
for
non-U.S.
equities
to
U.S.
equities.
The
post-vaccine
economic
recovery
should
favor
undervalued
cyclical
value
stocks
over
expensive
technology
and
growth
stocks.
We
think
inflation
pressures
are
mostly
transitory
but
may
not
peak
until
the
first
half
of
2022.
We
believe
central
banks
will
react
cautiously
and
although
global
growth
likely
will
slow,
we
expect
most
developed
economies
to
achieve
above-trend
growth
in
2022.
The
extent
and
duration
of
the
slowdown
in
China
is
one
of
the
main
risks
to
the
outlook.
We
expect
more
stimulus
early
in
2022,
which,
combined
with
relatively
attractive
valuation,
makes
us
cautiously
optimistic
about
emerging
market
equities.
Let
me
reiterate
that
at
Russell
Investments,
our
stated
purpose
is
to
improve
people’s
financial
security.
We
have
a
long
heritage
of
providing
solutions
to
help
investors
like
you
reach
your
financial
goals,
whether
you’re
saving
for
retirement,
already
depending
on
retirement
income
or
building
a
college
fund.
There
is
nothing
we
value
more
than
the
trust
you
have
placed
in
our
firm.
All
of
us
at
Russell
Investments
appreciate
the
opportunity
to
help
you
achieve
your
own
financial
security.
Best
regards,
Kate
El-Hillow
Global
Chief
Investment
Officer,
Russell
Investments
*
Source:
MarketWatch.
Indexes
are
unmanaged
and
cannot
be
invested
in
directly.
The
S&P
500
Index
is
an
index,
with
dividends
reinvested,
of
500
issues
representative
of
leading
companies
in
the
U.S.
large
cap
securities
market.
The
MSCI
EAFE
(Europe,
Australasia,
Far
East)
index
is
a
free
float-adjusted
market
capitalization
index
that
is
designed
to
measure
the
equity
market
performance
of
developed
markets,
excluding
the
U.S.
and
Canada.
Russell
Investment
Funds
Moderate
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis
—
December
31,
2021
(Unaudited)
4
Moderate
Strategy
Fund
Moderate
Strategy
Fund
Total
Return
1
Year
8
.23%
5
Years
6
.25%§
10
Years
5
.96%§
Bloomberg
U.S.
Aggregate
Bond
Index**
Total
Return
1
Year
(1
.54)%
5
Years
3
.57%§
10
Years
2
.90%§
Russell
1000
®
Index***
Total
Return
1
Year
26
.45%
5
Years
18
.43%§
10
Years
16
.54%§
Russell
Investment
Funds
Moderate
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
Moderate
Strategy
Fund
5
The
Moderate
Strategy
Fund
(the
“Fund”)
is
a
fund
of
funds
that
invests
in
other
Russell
Investment
Funds
(“RIF”)
and
Russell
Investment
Company
(“RIC”)
mutual
funds
(the
“Underlying
Funds”).
Certain
Underlying
Funds
employ
a
multi-manager
approach
whereby
portions
of
the
Underlying
Funds
are
allocated
to
different
money
manager
strategies.
Underlying
Fund
assets
not
allocated
to
money
managers
are
managed
by
Russell
Investment
Management,
LLC
(“RIM”),
the
Fund’s
and
Underlying
Funds’
advisor.
RIM,
as
the
Underlying
Funds’
advisor,
may
change
the
allocation
of
the
Underlying
Funds’
assets
among
money
managers
at
any
time.
An
exemptive
order
from
the
Securities
and
Exchange
Commission
permits
RIM
to
engage
or
terminate
a
money
manager
in
an
Underlying
Fund
at
any
time,
subject
to
approval
by
the
Underlying
Fund’s
Board,
without
a
shareholder
vote.
Pursuant
to
the
terms
of
the
exemptive
order,
an
Underlying
Fund
is
required
to
notify
its
shareholders
within
90
days
of
when
a
money
manager
begins
providing
services.
What
is
the
Fund’s
investment
objective?
The
Fund
seeks
to
provide
current
income
and
moderate
long
term
capital
appreciation.
How
did
the
Fund
perform
relative
to
its
benchmark
for
the
fiscal
year
ended
December
31,
2021?
For
the
fiscal
year
ended
December
31,
2021
(the
“fiscal
year”),
the
Fund
gained
8.23%.
This
is
compared
to
the
Fund’s
primary
benchmark,
the
Bloomberg
U.S.
Aggregate
Bond
Index,
which
lost
1.54%
during
the
same
fiscal
year.
The
Fund’s
performance
includes
operating
expenses,
whereas
index
returns
are
unmanaged
and
do
not
include
expenses
of
any
kind.
For
the
fiscal
year,
the
Morningstar
®
Insurance
Allocation
–
30%
to
50%
Equity
Category,
a
group
of
funds
that
Morningstar
considers
to
have
investment
strategies
similar
to
those
of
the
Fund,
gained
8.18%.
This
result
serves
as
a
peer
comparison
and
is
expressed
net
of
operating
expenses.
How
did
market
conditions
affect
the
Fund’s
performance?
With
respect
to
fixed
income
for
the
fiscal
year,
the
strong
appetite
for
risk
in
the
market
was
demonstrated
by
the
outperformance
of
credit
relative
to
the
Bloomberg
U.S.
Aggregate
Bond
Index,
while
interest
rates
rose,
and
the
yield
curve
flattened.
High
yield
credits
and
loans
were
outperformers,
with
investment
grade
credits
following
behind,
while
asset-backed
and
mortgage-
backed
securities
relatively
underperformed
for
the
fiscal
year.
As
global
interest
rates
rose,
U.S.
Treasuries
declined
in
price,
consistent
with
the
higher
economic
growth
and
higher
inflation
dynamic
seen
throughout
the
year.
Commodities
were
the
highest
returning
asset
class,
consistent
with
reflationary
themes,
with
the
price
per
barrel
of
oil
increasing,
and
sub-asset
classes
such
as
infrastructure
and
listed
real
estate
following
suit.
For
the
fiscal
year,
equity
returns
were
positive,
as
a
strong
risk-
on
appetite
was
fueled
by
post-pandemic
economic
reopening,
stimulative
fiscal
and
monetary
policies,
and
positive
vaccination
progress
related
to
COVID-19.
Equities
were
the
highest
returning
asset
class
outside
of
commodities,
with
U.S.
equities
outperforming
while
European,
U.K.,
and
Canadian
equities,
as
well
as
emerging
market
and
Japanese
equities,
lagged
domestic
shares.
Within
the
U.S.,
the
Russell
3000
®
Index
gained
nearly
26%
during
the
fiscal
year,
with
value
and
growth
stocks
performing
broadly
in-line
with
each
other.
Additionally,
large-
cap
equities
outperformed
small-cap
stocks,
as
index
weight-
heavy
mega-cap
technology
stocks’
outperformance
carried
large
caps’
outperformance
relative
to
their
small
cap
counterparts.
How
did
the
investment
strategies
and
techniques
employed
by
the
Fund
and
the
Underlying
Funds
affect
the
Fund’s
performance?
The
Fund
is
a
fund
of
funds
and
its
performance
is
based
on
RIM’s
strategic
asset
allocations,
the
performance
of
the
Underlying
Funds
in
which
the
Fund
invests,
and
tactical
changes
in
the
Fund’s
asset
allocation
throughout
the
fiscal
year.
In
order
to
seek
to
achieve
the
Fund’s
objective
during
the
fiscal
year,
RIM’s
strategic
asset
allocation
included
investments
in
global
equity,
fixed
income,
multi-asset
and
alternative
Underlying
Funds.
Broadly,
the
Fund’s
asset
allocation
was
a
contributor
to
performance
relative
to
the
Fund’s
benchmark
during
the
fiscal
year.
Equities
and
alternatives
outperformed
the
Fund’s
benchmark
over
the
fiscal
year,
and
as
a
result,
allocations
to
these
asset
classes
were
rewarded.
However,
an
underweight
to
high
yield
credit
was
detractive,
with
high
yield
outperforming
the
Fund’s
benchmark,
consistent
with
the
risk-on
sentiment
over
the
fiscal
year.
Duration
positioning
detracted
from
performance,
with
an
overweight
duration
position
detracting
as
interest
rates
rose
over
the
fiscal
year.
However,
duration
positioning
was
beneficial
from
a
risk-mitigation
perspective,
in
that
it
balanced
the
preference
for
shorter
duration
value
stocks.
The
fixed
income
portion
of
the
Fund’s
portfolio
was
a
headwind
to
Fund
performance,
largely
driven
by
underperformance
by
the
RIF
Strategic
Bond
Fund.
Within
the
RIF
Strategic
Bond
Fund,
a
long
duration
position
relative
to
the
benchmark
was
the
most
significant
driver
of
underperformance,
as
interest
rates
rose,
resulting
in
negative
performance
which
more
than
offset
beneficial
credit
positioning.
The
broader
equity
markets
delivered
positive
absolute
and
relative
performance
over
the
fiscal
year.
In
addition,
the
equity
Underlying
Funds
generally
outperformed
their
respective
equity
benchmarks.
The
RIF
U.S.
Small
Cap
Equity
Fund
outperformed
its
benchmark
over
the
fiscal
year.
Underlying
preferences
for
more
cyclical
areas
of
the
markets
that
experienced
robust
Russell
Investment
Funds
Moderate
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
6
Moderate
Strategy
Fund
earnings
growth
and
other
economic-reopening
tailwinds
was
rewarded,
as
the
most
cyclical
areas
of
the
markets
outperformed
over
the
fiscal
year.
Additionally,
the
RIC
Emerging
Markets
Fund
and
the
RIC
Global
Equity
Fund
outperformed.
The
multi-asset
portion
of
the
Fund’s
portfolio
outperformed
the
Fund’s
benchmark.
The
RIC
Multi-Strategy
Income
Fund’s
global
equity
managers
were
contributors
over
the
fiscal
year,
with
stock
selection
proving
fruitful.
In
addition,
the
Underlying
Fund’s
tactical
positioning,
including
an
overweight
to
equity
risk,
preferences
for
equities
over
credit
risk,
as
well
as
a
preference
for
more
cyclically-sensitive
value
securities
was
rewarded,
while
risk-mitigation
strategies
including
the
use
of
duration
detracted
from
performance
in
the
strong
risk-on
environment.
With
respect
to
the
alternative
assets
portion
of
the
Fund’s
portfolio,
the
RIC
Commodity
Strategies
Fund
was
beneficial,
as
commodity
prices
rallied
led
by
strong
oil
and
energy
returns.
Through
part
of
the
fiscal
year,
RIM
had
the
discretion
to
vary
the
Fund’s
actual
allocation
from
the
target
strategic
asset
allocation
by
up
to
+/-
5%
at
the
equity,
fixed
income,
multi-asset
and
alternative
category
level
based
on
RIM’s
capital
markets
research.
In
addition
to
investing
in
the
Underlying
Funds,
RIM
sought
to
actively
manage
the
Fund’s
overall
exposures
by
investing
in
derivatives.
Through
part
of
the
fiscal
year,
RIM
used
equity
and
fixed-income
derivatives
to
help
maintain
tactical
asset
allocation
preferences,
in
addition
to
implementing
risk-mitigation
strategies.
RIM
used
derivative
contracts,
such
as
equity
index
futures,
as
well
as
treasury
futures
to
help
implement
tactical
asset
allocations.
In
addition,
standardized
call
and
put
options
were
used
to
limit
risk,
including
through
the
purchase
and
sale
of
contracts
to
limit
downside
risk,
generate
income,
and
implement
tactical
spread
views
dependent
on
the
current
and
expected
future
states
of
volatility.
The
use
of
derivatives
was
additive
to
Fund
performance
over
the
fiscal
year,
with
exposure
to
equity
markets
via
the
use
of
optionality
proving
beneficial
as
equity
markets
appreciated
over
the
fiscal
year.
Additionally,
the
use
of
futures
contracts
to
achieve
preferred
duration
positioning
was
beneficial,
with
duration
positioning
serving
as
a
balance
to
total
portfolio
risk
levels
helping
to
partially
mitigate
risk
from
the
equity
positioning.
Describe
any
changes
to
the
Fund’s
structure
or
allocation
to
the
Underlying
Funds.
During
the
fiscal
year,
RIM
made
strategic
asset
allocation
changes
which
resulted
in
an
increase
to
growth-oriented
asset
exposures
and
a
reduction
in
allocation
to
multi-asset
Underlying
Funds.
Specifically,
RIM
modified
the
Fund’s
strategic
asset
allocation
to
38%
to
equity,
49%
to
fixed
income,
10%
to
multi-asset
and
3%
to
alterative
asset
classes.
As
a
result
of
the
strategic
asset
allocation
changes,
RIM
added
an
allocation
to
the
RIF
Global
Real
Estate
Securities
Fund
and
removed
an
allocation
to
RIC
Commodity
Strategies
Fund.
Additionally,
all
Fund
assets
are
now
invested
only
in
the
Underlying
Funds.
As
a
result,
the
Fund
no
longer
invests
in
derivative
instruments
or
holds
cash
other
than
indirectly
through
the
Underlying
Funds.
RIM
also
no
longer
has
the
discretion
to
vary
the
Fund’s
actual
allocation
from
the
target
strategic
asset
allocation
by
up
to
+/-
5%.
The
views
expressed
in
this
report
reflect
those
of
the
portfolio
managers
only
through
the
end
of
the
fiscal
year
covered
by
the
report.
These
views
do
not
necessarily
represent
the
views
of
RIM,
or
any
other
person
in
RIM
or
any
other
affiliated
organization.
These
views
are
subject
to
change
at
any
time
based
upon
market
conditions
or
other
events,
and
RIM
disclaims
any
responsibility
to
update
the
views
contained
herein.
These
views
should
not
be
relied
on
as
investment
advice
and,
because
investment
decisions
for
a
Russell
Investment
Funds
(“RIF”)
Fund
are
based
on
numerous
factors,
should
not
be
relied
on
as
an
indication
of
investment
decisions
of
any
RIF
Fund.
Russell
Investment
Funds
Moderate
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
Moderate
Strategy
Fund
7
*
Assumes
initial
investment
on
January
1,
2012.
**
The
Bloomberg
U.S.
Aggregate
Bond
Index
is
an
index,
with
income
reinvested,
generally
representative
of
intermediate-term
government
bonds,
investment
grade
corporate
debt
securities
and
mortgage-backed
securities.
***
The
Russell
1000
®
Index
includes
the
1,000
largest
companies
in
the
Russell
3000
®
Index.
The
Russell
1000
®
Index
represents
the
universe
of
stocks
from
which
most
active
money
managers
typically
select.
The
Russell
1000
®
Index
return
reflects
adjustments
from
income
dividends
and
capital
gain
distributions
reinvested
as
of
the
ex-dividend
dates.
§
Annualized.
The
performance
shown
in
this
section
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Performance
is
historical
and
assumes
reinvestment
of
all
dividends
and
capital
gains. Investment
return
and
principal
value
will
fluctuate
so
that
an
investor’s
shares,
when
redeemed,
may
be
worth
more
or
less
than
when
purchased. Past
performance
is
not
indicative
of
future
results. Additionally,
the
returns
presented
herein
may
differ
from
the
performance
reported
in
the
Financial
Highlights
as
the
returns
herein
are
calculated
in
a
manner
consistent
with
standardized
performance
in
accordance
with
Securities
and
Exchange
Commission
rules,
while
the
performance
in
the
Financial
Highlights
has
been
calculated
in
accordance
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”).
Russell
Investment
Funds
Moderate
Strategy
Fund
Shareholder
Expense
Example
—
December
31,
2021
(Unaudited)
8
Moderate
Strategy
Fund
Fund
Expenses
The
following
disclosure
provides
important
information
regarding
the
Fund’s
Shareholder
Expense
Example
(“Example”).
Example
As
a
shareholder
of
the
Fund,
you
incur
two
types
of
costs:
(1)
transaction
costs,
and
(2)
ongoing
costs,
including
advisory
and
administrative
fees
and
other
Fund
expenses.
The
Example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
Fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
indicated,
which
for
this
Fund
is
from
July
1,
2021
to
December
31,
2021
.
Actual
Expenses
The
information
in
the
table
under
the
heading
“Actual
Performance”
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
column,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
column
in
the
row
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
in
the
table
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
the
Fund’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
Fund’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
the
Fund
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
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.
Therefore,
the
information
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
In
addition,
if
these
transactional
costs
were
included,
your
costs
would
have
been
higher.
The
fees
and
expenses
shown
in
this
section
do
not
reflect
any
Insurance
Company
Separate
Account
Policy
Charges.
Actual
Performance
Hypothetical
Performance
(5%
return
before
expenses)
Beginning
Account
Value
July
1,
2021
$
1,000.00
$
1,000.00
Ending
Account
Value
December
31,
2021
$
1,
019.80
$
1,024.45
Expenses
Paid
During
Period*
$
0.
76
$
0.77
*
Expenses
are
equal
to
the
Fund's
annualized
expense
ratio
of
0.15%
(representing
the
six
month
period
annualized),
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(to
reflect
the
one-half
year
period).
May
reflect
amounts
waived
and/or
reimbursed.
Without
any
waivers
and/or
reimbursements,
expenses
would
have
been
higher.
Russell
Investment
Funds
Moderate
Strategy
Fund
Schedule
of
Investments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Moderate
Strategy
Fund
9
Amounts
in
thousands
(except
share
amounts)
Shares
Fair
Value
$
Investments
in
Affiliated
Funds
-
100.1%
Alternative
-
3.1%
RIF
Global
Real
Estate
Securities
Fund
173,101
2,981
Domestic
Equities
-
13.6%
RIF
U.S.
Small
Cap
Equity
Fund
254,724
3,890
RIF
U.S.
Strategic
Equity
Fund
431,874
9,268
13,158
Fixed
Income
-
48.7%
RIC
Investment
Grade
Bond
Fund
Class
Y
621,000
13,507
RIC
Unconstrained
Total
Return
Fund
Class
Y
210,190
1,932
RIF
Strategic
Bond
Fund
3,041,418
31,812
47,251
International
Equities
-
24.7%
RIC
Emerging
Markets
Fund
Class
Y
102,514
1,933
RIC
Global
Equity
Fund
Class
Y
1,943,566
18,094
RIF
International
Developed
Markets
Fund
315,610
3,898
23,925
Multi-Asset
-
10.0%
RIC
Multi-Strategy
Income
Fund
Class
Y
919,131
9,734
Total
Investments
in
Affiliated
Funds
(cost
$89,941)
97,049
Total
Investments
-
100.1%
(identified
cost
$89,941)
97,049
Other
Assets
and
Liabilities,
Net
-
(0.1)%
(61)
Net
Assets
-
100.0%
96,988
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
10
Moderate
Strategy
Fund
Russell
Investment
Funds
Moderate
Strategy
Fund
Fair
Value
of
Derivative
Instruments
—
December
31,
2021
Amounts
in
thousands
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Credit
Contracts
Foreign
Currency
Contracts
Interest
Rate
Contracts
Location:
Statement
of
Operations
-
Net
realized
gain
(loss)
Futures
contracts
$
1,165
$
—
$
—
$
(753)
Credit
default
swap
contracts
—
(408)
—
—
Foreign
currency
exchange
contracts
—
—
(26)
—
Total
$
1,165
$
(408)
$
(26)
$
(753)
Location:
Statement
of
Operations
-
Net
change
in
unrealized
appreciation
(depreciation)
Futures
contracts
$
(40)
$
—
$
—
$
81
Credit
default
swap
contracts
—
214
—
—
Foreign
currency
exchange
contracts
—
—
(26)
—
Total
$
(40)
$
214
$
(26)
$
81
For
further
disclosure
on
derivatives
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
Moderate
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Moderate
Strategy
Fund
11
Statement
of
Assets
and
Liabilities
—
December
31,
2021
Amounts
in
thousands
Assets
Investments,
at
identified
cost
........................................................................................................................................................
$
89,941
Investments,
at
fair
value(>)
...........................................................................................................................................................
97,049
Receivables:
Fund
shares
sold
................................................................................................................................................................
62
From
affiliates
....................................................................................................................................................................
1
Total
assets
.................................................................................................................................................
97,112
Liabilities
Payables:
Investments
purchased
......................................................................................................................................................
62
Accrued
fees
to
affiliates
....................................................................................................................................................
4
Other
accrued
expenses
.....................................................................................................................................................
58
Total
liabilities
.............................................................................................................................................
124
Net
Assets
............................................................................................................................................................
$
96,988
Russell
Investment
Funds
Moderate
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
12
Moderate
Strategy
Fund
Statement
of
Assets
and
Liabilities,
continued
—
December
31,
2021
Amounts
in
thousands
Net
Assets
Consist
of:
Total
distributable
earnings
(losses)
...............................................................................................................................................
$
8,412
Shares
of
beneficial
interest
...........................................................................................................................................................
93
Additional
paid-in
capital
..............................................................................................................................................................
88,483
Net
Assets
............................................................................................................................................................
$
96,988
Net
Asset
Value
,
offering
and
redemption
price
per
share:
Net
asset
value
per
share:
(#)
.........................................................................................................................................................
$
10.47
Net
assets
...............................................................................................................................................................................
$
96,987,599
Shares
outstanding
($.01
par
value)
.......................................................................................................................................
9,262,150
Amounts
in
thousands
(>)
Investments
in
affiliated
funds
$
97,049
(#)
Net
asset
value
per
share
equals
net
assets
divided
by
shares
of
beneficial
interest
outstanding.
Russell
Investment
Funds
Moderate
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Moderate
Strategy
Fund
13
Statement
of
Operations
—
For
the
Period
Ended
December
31,
2021
Amounts
in
thousands
Investment
Income
Income
distributions
from
affiliated
funds
.....................................................................................................................................
$
3,371
Expenses
Advisory
fees
....................................................................................................................................................................
192
Administrative
fees
...........................................................................................................................................................
41
Custodian
fees
...................................................................................................................................................................
36
Transfer
agent
fees
............................................................................................................................................................
4
Professional
fees
...............................................................................................................................................................
40
Trustees’
fees
....................................................................................................................................................................
4
Printing
fees
......................................................................................................................................................................
24
Proxy
fees
.........................................................................................................................................................................
4
Miscellaneous
...................................................................................................................................................................
2
Expenses
before
reductions
..............................................................................................................................................
347
Expense
reductions
...........................................................................................................................................................
(208)
Net
expenses
.................................................................................................................................................................................
139
Net
investment
income
(loss)
........................................................................................................................................................
3,232
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
on:
Investments
in
affiliated
funds
..........................................................................................................................................
2,738
Futures
contracts
..............................................................................................................................................................
412
Foreign
currency
exchange
contracts
................................................................................................................................
(26)
Credit
default
swap
contracts
............................................................................................................................................
(408)
Capital
gain
distributions
from
affiliated
funds
.................................................................................................................
2,159
Net
realized
gain
(loss)
..................................................................................................................................................................
4,875
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
in
affiliated
funds
..........................................................................................................................................
(745)
Futures
contracts
..............................................................................................................................................................
41
Foreign
currency
exchange
contracts
................................................................................................................................
(26)
Credit
default
swap
contracts
............................................................................................................................................
214
Foreign
currency-related
transactions
...............................................................................................................................
(29)
Net
change
in
unrealized
appreciation
(depreciation)
...................................................................................................................
(545)
Net
realized
and
unrealized
gain
(loss)
.........................................................................................................................................
4,330
Net
Increase
(Decrease)
in
Net
Assets
from
Operations
..........................................................................................
$
7,562
Russell
Investment
Funds
Moderate
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
14
Moderate
Strategy
Fund
Statements
of
Changes
in
Net
Assets
For
the
Periods
Ended
December
31,
Amounts
in
thousands
2021
2020
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
(loss)
............................................................................................................
$
3,232
$
1,525
Net
realized
gain
(loss)
......................................................................................................................
4,875
916
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
(545)
2,506
Net
increase
(decrease)
in
net
assets
from
operations
.............................................................................
7,562
4,947
Distributions
To
shareholders
.................................................................................................................................
(7,515)
(1,871)
Net
decrease
in
net
assets
from
distributions
..........................................................................................
(7,515)
(1,871)
Share
Transactions*
Net
increase
(decrease)
in
net
assets
from
share
transactions
.................................................................
4,143
(10,623)
Total
Net
Increase
(Decrease)
in
Net
Assets
..........................................................................
4,190
(7,547)
Net
Assets
Beginning
of
period
.................................................................................................................................
92,798
100,345
End
of
period
..........................................................................................................................................
$
96,988
$
92,798
*
Share
transaction
amounts
(in
thousands)
for
the
periods
ended
December
31,
2021
and
December
31,
2020
were
as
follows:
2021
2020
Shares
Dollars
Shares
Dollars
Proceeds
from
shares
sold
919
$
9,
9
37
725
$
6,880
Proceeds
from
reinvestment
of
distributions
719
7,
515
196
1,871
Payments
for
shares
redeemed
(1,235)
(13,309)
(2,046)
(19,374)
Total
increase
(decrease)
403
$
4,143
(1,125)
$
(10,623)
Russell
Investment
Funds
Moderate
Strategy
Fund
Financial
Highlights
—
For
the
Periods
Ended
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
16
Moderate
Strategy
Fund
For
a
Share
Outstanding
Throughout
Each
Period.
$
Net
Asset
Value,
Beginning
of
Period
$
Net
Investment
Income
(Loss)
(a)(b)(d)
$
Net
Realized
and
Unrealized
Gain
(Loss)
$
Total
from
Investment
Operations
$
Distributions
from
Net
Investment
Income
$
Distributions
from
Net
Realized
Gain
December
31,
2021
10.48
.36
.48
.84
(.46)
(.39)
December
31,
2020
10.05
.16
.46
.62
(.19)
—
December
31,
2019
9.26
.29
.85
1.14
(.12)
(.23)
December
31,
2018
10.29
.32
(.82)
(.50)
(.44)
(.09)
December
31,
2017
9.69
.25
.70
.95
(.23)
(.12)
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Moderate
Strategy
Fund
17
$
Total
Distributions
$
Net
Asset
Value,
End
of
Period
%
Total
Return
(e)
$
Net
Assets,
End
of
Period
(000)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Gross
(c)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Net
(c)(d)
%
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
(b)(d)
%
Portfolio
Turnover
Rate
(.85)
10.47
8.23
96,988
.
36
.14
3.
36
53
(.19)
10.48
6.40
92,798
.39
.14
1.69
23
(.35)
10.05
12.54
100,345
.38
.14
2.98
26
(.53)
9.26
(4.92)
101,103
.35
.14
3.20
22
(.35)
10.29
9.88
114,906
.35
.13
2.57
20
Russell
Investment
Funds
Moderate
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
18
Moderate
Strategy
Fund
Related
Party
Transactions,
Fees
and
Expenses
Accrued
fees
payable
to
affiliates
for
the
period
ended
December
31,
2021
were
as
follows:
Transactions
(amounts
in
thousands)
during
the
period
ended
December
31,
2021
with
Underlying
Funds
which
are,
or
were,
an
affiliated
company
are
as
follows:
Federal
Income
Taxes
At
December
31,
2021,
the
cost
of
investments
and
net
unrealized
appreciation
(depreciation),
undistributed
ordinary
income
and
undistributed
long-term
capital
gains
for
income
tax
purposes
were
as
follows:
For
the
fiscal
years
ended
December
31,
2021
and
December
31,
2020,
respectively,
the
Fund
made
the
following
tax
basis
distributions:
Net
investment
income
and
net
realized
gains
(losses)
in
the
financial
statements
may
differ
from
taxable
net
investment
income
and
net
realized
gains
(losses).
Capital
accounts
within
the
financial
statements
are
adjusted
for
permanent
differences
between
book
and
tax
accounting.
Book-tax
differences
may
be
due
to
foreign
currency
gains
and
losses,
reclassifications
of
dividends
and
differences
in
treatment
of
income
from
swaps.
These
adjustments
have
no
impact
on
the
net
assets.
At
December
31,
2021,
there
were
no
adjustments
to
the
Statement
of
Assets
and
Liabilities.
Administration
fees
$
3,475
Transfer
agent
fees
360
Trustee
fees
445
$
4,280
Fair
Value,
Beginning
of
Period
Purchases
Sales
Realized
Gain
(Loss)
Change
in
Unrealized
Gain
(Loss)
Fair
Value,
End
of
Period
Income
Distributions
Capital
Gains
Distributions
RIC
Commodity
Strategies
Fund
$
1,857
$
398
$
2,038
$
(231)
$
14
$
—
$
379
$
—
RIF
Global
Real
Estate
Securities
Fund
—
3,059
381
19
284
2,981
83
28
RIF
U.S.
Small
Cap
Equity
Fund
6,587
1,493
4,738
1,050
(502
)
3,890
459
416
RIF
U.S.
Strategic
Equity
Fund
6,426
3,693
1,483
118
514
9,268
102
711
RIC
Investment
Grade
Bond
Fund
10,677
4,537
1,300
(31
)
(376
)
13,507
276
48
RIC
Unconstrained
Total
Return
Fund
24,994
1,469
24,519
(65
)
53
1,932
112
—
RIF
Strategic
Bond
Fund
10,651
24,495
2,839
(35
)
(460
)
31,812
282
202
RIC
Emerging
Markets
Fund
4,627
765
3,416
830
(873
)
1,933
64
177
RIC
Global
Equity
Fund
6,510
13,316
2,785
64
989
18,094
752
478
RIF
International
Developed
Markets
Fund
5,519
942
2,807
782
(538
)
3,898
326
82
RIC
Multi-Strategy
Income
Fund
10,901
1,854
3,408
237
150
9,734
536
17
U.S.
Cash
Management
Fund
2,086
4,764
6,850
—
—
—
—
—
$
90,835
$
60,785
$
56,564
$
2,738
$
(745
)
$
97,049
$
3,371
$
2,159
Cost
of
Investments
Unrealized
Appreciation
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
(Capital
Loss
Carryforward)
$
90,622,936
$
6,426,534
$
—
$
6,426,534
$
116
,
220
$
2,14
0
,
261
December
31,
2021
December
31,
2020
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
$
4,460,251
$
3,055,1
83
$
—
$
1,870,975
$
—
$
—
Russell
Investment
Funds
Balanced
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis
—
December
31,
2021
(Unaudited)
Balanced
Strategy
Fund
19
Balanced
Strategy
Fund
Total
Return
1
Year
13
.04%
5
Years
8
.15%§
10
Years
7
.67%§
Bloomberg
U.S.
Aggregate
Bond
Index**
Total
Return
1
Year
(1
.54)%
5
Years
3
.57%§
10
Years
2
.90%§
Russell
1000
®
Index***
Total
Return
1
Year
26
.45%
5
Years
18
.43%§
10
Years
16
.54%§
MSCI
World
ex
USA
Index
(Net)****
Total
Return
1
Year
12
.62%
5
Years
9
.63%§
10
Years
7
.84%§
Russell
Investment
Funds
Balanced
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
20
Balanced
Strategy
Fund
The
Balanced
Strategy
Fund
(the
“Fund”)
is
a
fund
of
funds
that
invests
in
other
Russell
Investment
Funds
(“RIF”)
and
Russell
Investment
Company
(“RIC”)
mutual
funds
(the
“Underlying
Funds”).
Certain
Underlying
Funds
employ
a
multi-manager
approach
whereby
portions
of
the
Underlying
Funds
are
allocated
to
different
money
manager
strategies.
Underlying
Fund
assets
not
allocated
to
money
managers
are
managed
by
Russell
Investment
Management,
LLC
(“RIM”),
the
Fund’s
and
Underlying
Funds’
advisor.
RIM,
as
the
Underlying
Funds’
advisor,
may
change
the
allocation
of
the
Underlying
Funds’
assets
among
money
managers
at
any
time.
An
exemptive
order
from
the
Securities
and
Exchange
Commission
permits
RIM
to
engage
or
terminate
a
money
manager
in
an
Underlying
Fund
at
any
time,
subject
to
approval
by
the
Underlying
Fund’s
Board,
without
a
shareholder
vote.
Pursuant
to
the
terms
of
the
exemptive
order,
an
Underlying
Fund
is
required
to
notify
its
shareholders
within
90
days
of
when
a
money
manager
begins
providing
services.
What
is
the
Fund’s
investment
objective?
The
Fund
seeks
to
provide
above
average
long
term
capital
appreciation
and
a
moderate
level
of
current
income.
How
did
the
Fund
perform
relative
to
its
benchmark
for
the
fiscal
year
ended
December
31,
2021?
For
the
fiscal
year
ended
December
31,
2021
(the
“fiscal
year”),
the
Fund
gained
13.04%.
This
is
compared
to
the
Fund’s
primary
benchmark,
the
Bloomberg
U.S.
Aggregate
Bond
Index,
which
lost
1.54%
during
the
same
fiscal
year.
The
Fund’s
performance
includes
operating
expenses,
whereas
index
returns
are
unmanaged
and
do
not
include
expenses
of
any
kind.
For
the
fiscal
year,
the
Morningstar
Insurance
Allocation
–
50%
to
70%
Equity
Category,
a
group
of
funds
that
Morningstar
considers
to
have
investment
strategies
similar
to
those
of
the
Fund,
gained
12.43%.
This
result
serves
as
a
peer
comparison
and
is
expressed
net
of
operating
expenses.
How
did
market
conditions
affect
the
Fund’s
performance?
With
respect
to
fixed
income
for
the
fiscal
year,
the
strong
appetite
for
risk
in
the
market
was
demonstrated
by
the
outperformance
of
credit
relative
to
the
Bloomberg
U.S.
Aggregate
Bond
Index,
while
interest
rates
rose,
and
the
yield
curve
flattened.
High
yield
credits
and
loans
were
outperformers,
with
investment
grade
credits
following
behind,
while
asset-backed
and
mortgage-
backed
securities
relatively
underperformed
for
the
fiscal
year.
As
global
interest
rates
rose,
U.S.
Treasuries
declined
in
price,
consistent
with
the
higher
economic
growth
and
higher
inflation
dynamic
seen
throughout
the
fiscal
year.
Commodities
were
the
highest
returning
asset
class,
consistent
with
reflationary
themes,
with
the
price
per
barrel
of
oil
increasing,
and
sub-asset
classes
such
as
infrastructure
and
listed
real
estate
following
suit.
For
the
fiscal
year,
equity
returns
were
positive,
as
a
strong
risk-
on
appetite
was
fueled
by
post-pandemic
economic
reopening,
stimulative
fiscal
and
monetary
policies,
and
positive
vaccination
progress
related
to
COVID-19.
Equities
were
the
highest
returning
asset
class
outside
of
commodities,
with
U.S.
equities
outperforming
while
European,
U.K.,
and
Canadian
equities,
as
well
as
emerging
market
and
Japanese
equities,
lagged
domestic
shares.
Within
the
U.S.,
the
Russell
3000
®
Index
gained
nearly
26%
during
the
fiscal
year,
with
value
and
growth
stocks
performing
broadly
in-line
with
each
other.
Additionally,
large-
cap
equities
outperformed
small-cap
stocks,
as
index
weight-
heavy
mega-cap
technology
stocks’
outperformance
carried
large
caps’
outperformance
relative
to
their
small
cap
counterparts.
How
did
the
investment
strategies
and
techniques
employed
by
the
Fund
and
the
Underlying
Funds
affect
the
Fund’s
performance?
The
Fund
is
a
fund
of
funds
and
its
performance
is
based
on
RIM’s
strategic
asset
allocations,
the
performance
of
the
Underlying
Funds
in
which
the
Fund
invests,
and
tactical
changes
in
the
Fund’s
asset
allocation
throughout
the
fiscal
year.
In
order
to
seek
to
achieve
the
Fund’s
objective
during
the
fiscal
year,
RIM’s
strategic
asset
allocation
included
investments
in
global
equity,
fixed
income,
multi-asset
and
alternative
Underlying
Funds.
Broadly,
the
Fund’s
asset
allocation
was
a
positive
contributor
to
performance
relative
to
the
Fund’s
benchmark
during
the
fiscal
year.
Equities
and
real
assets
outperformed
the
Fund’s
benchmark
over
the
fiscal
year,
and
as
a
result,
allocations
to
these
asset
classes
were
rewarded.
However,
an
underweight
to
high
yield
credit
was
detractive,
with
high
yield
outperforming
the
Fund’s
benchmark,
consistent
with
the
risk-on
sentiment
over
the
fiscal
year.
Duration
positioning
detracted
from
performance,
with
an
overweight
duration
position
detracting
as
interest
rates
rose
over
the
fiscal
year.
However,
duration
positioning
was
beneficial
from
a
risk-mitigation
perspective,
in
that
it
balanced
the
preference
for
shorter
duration
value
stocks.
The
fixed
income
portion
of
the
Fund’s
portfolio
was
a
headwind
to
Fund
performance,
largely
driven
by
underperformance
by
the
RIF
Strategic
Bond
Fund.
Within
the
RIF
Strategic
Bond
Fund,
a
long
duration
position
relative
to
the
benchmark
was
the
most
significant
driver
of
underperformance,
as
interest
rates
rose,
resulting
in
negative
performance
which
more
than
offset
beneficial
credit
positioning.
The
broader
equity
markets
delivered
positive
absolute
and
relative
performance
over
the
fiscal
year.
In
addition,
the
equity
Underlying
Funds
generally
outperformed
their
respective
equity
benchmarks.
The
RIF
U.S.
Small
Cap
Equity
Fund
outperformed
its
benchmark
over
the
fiscal
year.
Underlying
preferences
for
more
cyclical
areas
of
the
markets
that
experienced
robust
Russell
Investment
Funds
Balanced
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
Balanced
Strategy
Fund
21
earnings
growth
and
other
economic-reopening
tailwinds
were
rewarded,
as
the
most
cyclical
areas
of
the
markets
outperformed
over
the
fiscal
year.
Additionally,
the
RIC
Emerging
Markets
Fund
and
the
RIC
Global
Equity
Fund
outperformed.
The
multi-asset
portion
of
the
Fund’s
portfolio
outperformed
the
Fund’s
benchmark.
The
RIC
Multi-Strategy
Income
Fund’s
global
equity
managers
were
contributors
over
the
fiscal
year,
with
stock
selection
proving
fruitful.
In
addition,
the
Underlying
Fund’s
tactical
positioning,
including
an
overweight
to
equity
risk,
preferences
for
equities
over
credit
risk,
as
well
as
a
preference
for
more
cyclically-sensitive
securities
was
rewarded,
while
risk-
mitigation
strategies
including
the
use
of
duration
detracted
from
performance
in
the
strong
risk-on
environment.
The
alternative
assets
portion
of
the
Fund’s
portfolio
provided
positive
results
compared
to
the
Fund’s
benchmark.
The
RIF
Global
Real
Estate
Securities
Fund
outperformed
the
Fund’s
benchmark,
as
did
the
RIC
Commodity
Strategies
Fund,
as
commodity
prices
rallied
led
by
strong
oil
and
energy
returns.
Through
part
of
the
fiscal
year,
RIM
had
the
discretion
to
vary
the
Fund’s
actual
allocation
from
the
target
strategic
asset
allocation
by
up
to
+/-
5%
at
the
equity,
fixed
income,
multi-asset
and
alternative
category
level
based
on
RIM’s
capital
markets
research.
In
addition
to
investing
in
the
Underlying
Funds,
RIM
sought
to
actively
manage
the
Fund’s
overall
exposures
by
investing
in
derivatives.
Through
part
of
the
fiscal
year,
RIM
used
equity
and
fixed-income
derivatives
to
help
maintain
tactical
asset
allocation
preferences,
in
addition
to
implementing
risk-mitigation
strategies.
RIM
used
derivative
contracts,
such
as
equity
index
futures,
as
well
as
treasury
futures
to
help
implement
tactical
asset
allocations.
In
addition,
standardized
call
and
put
options
were
used
to
limit
risk,
including
through
the
purchase
and
sale
of
contracts
to
limit
downside
risk,
generate
income,
and
implement
tactical
spread
views
dependent
on
the
current
and
expected
future
states
of
volatility.
The
use
of
derivatives
was
additive
to
Fund
performance
over
the
fiscal
year,
with
exposure
to
equity
markets
via
the
use
of
optionality
proving
beneficial
as
equity
markets
appreciated
over
the
fiscal
year.
Additionally,
the
use
of
futures
contracts
to
achieve
preferred
duration
positioning
was
beneficial,
with
duration
positioning
serving
as
a
balance
to
total
portfolio
risk
levels
helping
to
partially
mitigate
risk
from
the
equity
positioning.
Describe
any
changes
to
the
Fund’s
structure
or
allocation
to
the
Underlying
Funds.
During
the
fiscal
year,
RIM
made
strategic
asset
allocation
changes
which
resulted
in
an
increase
to
growth-oriented
asset
exposures
and
a
reduction
in
allocation
to
multi-asset
Underlying
Funds.
Specifically,
RIM
modified
the
Fund’s
strategic
asset
allocation
to
58%
to
equity,
30%
to
fixed
income,
8%
to
multi-
asset
and
4%
to
alterative
asset
classes.
As
a
result
of
the
strategic
asset
allocation
changes,
RIM
removed
an
allocation
to
the
RIC
Commodity
Strategies
Fund.
Additionally,
all
Fund
assets
are
now
invested
only
in
the
Underlying
Funds.
As
a
result,
the
Fund
no
longer
invests
in
derivative
instruments
or
holds
cash
other
than
indirectly
through
the
Underlying
Funds.
RIM
also
no
longer
has
the
discretion
to
vary
the
Fund’s
actual
allocation
from
the
target
strategic
asset
allocation
by
up
to
+/-
5%.
The
views
expressed
in
this
report
reflect
those
of
the
portfolio
managers
only
through
the
end
of
the
fiscal
year
covered
by
the
report.
These
views
do
not
necessarily
represent
the
views
of
RIM,
or
any
other
person
in
RIM
or
any
other
affiliated
organization.
These
views
are
subject
to
change
at
any
time
based
upon
market
conditions
or
other
events,
and
RIM
disclaims
any
responsibility
to
update
the
views
contained
herein.
These
views
should
not
be
relied
on
as
investment
advice
and,
because
investment
decisions
for
a
Russell
Investment
Funds
(“RIF”)
Fund
are
based
on
numerous
factors,
should
not
be
relied
on
as
an
indication
of
investment
decisions
of
any
RIF
Fund.
Russell
Investment
Funds
Balanced
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
22
Balanced
Strategy
Fund
*
Assumes
initial
investment
on
January
1,
2012.
**
The
Bloomberg
U.S.
Aggregate
Bond
Index
is
an
index,
with
income
reinvested,
generally
representative
of
intermediate-term
government
bonds,
investment
grade
corporate
debt
securities
and
mortgage-backed
securities.
***
The
Russell
1000
®
Index
includes
the
1,000
largest
companies
in
the
Russell
3000
®
Index.
The
Russell
1000
®
Index
represents
the
universe
of
stocks
from
which
most
active
money
managers
typically
select.
The
Russell
1000
®
Index
return
reflects
adjustments
from
income
dividends
and
capital
gain
distributions
reinvested
as
of
the
ex-dividend
dates.
****
The
MSCI
World
ex
USA
Index
(Net)
is
a
free
float‐adjusted
market
capitalization
weighted
index
that
is
designed
to
measure
the
equity
market
performance
of
developed
markets.
The
index
consists
of
22
developed
market
country
indexes.
§
Annualized.
The
performance
shown
in
this
section
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Performance
is
historical
and
assumes
reinvestment
of
all
dividends
and
capital
gains. Investment
return
and
principal
value
will
fluctuate
so
that
an
investor’s
shares,
when
redeemed,
may
be
worth
more
or
less
than
when
purchased. Past
performance
is
not
indicative
of
future
results. Additionally,
the
returns
presented
herein
may
differ
from
the
performance
reported
in
the
Financial
Highlights
as
the
returns
herein
are
calculated
in
a
manner
consistent
with
standardized
performance
in
accordance
with
Securities
and
Exchange
Commission
rules,
while
the
performance
in
the
Financial
Highlights
has
been
calculated
in
accordance
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”).
Russell
Investment
Funds
Balanced
Strategy
Fund
Shareholder
Expense
Example
—
December
31,
2021
(Unaudited)
Balanced
Strategy
Fund
23
Fund
Expenses
The
following
disclosure
provides
important
information
regarding
the
Fund’s
Shareholder
Expense
Example
(“Example”).
Example
As
a
shareholder
of
the
Fund,
you
incur
two
types
of
costs:
(1)
transaction
costs,
and
(2)
ongoing
costs,
including
advisory
and
administrative
fees
and
other
Fund
expenses.
The
Example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
Fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
indicated,
which
for
this
Fund
is
from
July
1,
2021
to
December
31,
2021
.
Actual
Expenses
The
information
in
the
table
under
the
heading
“Actual
Performance”
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
column,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
column
in
the
row
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
in
the
table
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
the
Fund’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
Fund’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
the
Fund
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
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.
Therefore,
the
information
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
In
addition,
if
these
transactional
costs
were
included,
your
costs
would
have
been
higher.
The
fees
and
expenses
shown
in
this
section
do
not
reflect
any
Insurance
Company
Separate
Account
Policy
Charges.
Actual
Performance
Hypothetical
Performance
(5%
return
before
expenses)
Beginning
Account
Value
July
1,
2021
$
1,000.00
$
1,000.00
Ending
Account
Value
December
31,
2021
$
1,03
1
.
60
$
1,024.45
Expenses
Paid
During
Period*
$
0.77
$
0.77
*
Expenses
are
equal
to
the
Fund's
annualized
expense
ratio
of
0.15%
(representing
the
six
month
period
annualized),
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(to
reflect
the
one-half
year
period).
May
reflect
amounts
waived
and/or
reimbursed.
Without
any
waivers
and/or
reimbursements,
expenses
would
have
been
higher.
Russell
Investment
Funds
Balanced
Strategy
Fund
Schedule
of
Investments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
24
Balanced
Strategy
Fund
Amounts
in
thousands
(except
share
amounts)
Shares
Fair
Value
$
Investments
in
Affiliated
Funds
-
100.0%
Alternative
-
4.1%
RIF
Global
Real
Estate
Securities
Fund
618,915
10,658
Domestic
Equities
-
18.5%
RIF
U.S.
Small
Cap
Equity
Fund
680,081
10,385
RIF
U.S.
Strategic
Equity
Fund
1,767,445
37,929
48,314
Fixed
Income
-
29.6%
RIC
Unconstrained
Total
Return
Fund
Class
Y
558,964
5,137
RIF
Strategic
Bond
Fund
6,868,080
71,840
76,977
International
Equities
-
39.8%
RIC
Emerging
Markets
Fund
Class
Y
344,105
6,490
RIC
Global
Equity
Fund
Class
Y
9,041,790
84,179
RIF
International
Developed
Markets
Fund
1,058,062
13,067
103,736
Multi-Asset
-
8.0%
RIC
Multi-Strategy
Income
Fund
Class
Y
1,968,970
20,851
Total
Investments
in
Affiliated
Funds
(cost
$231,481)
260,536
Total
Investments
-
100.0%
(identified
cost
$231,481)
260,536
Other
Assets
and
Liabilities,
Net
-
(0.0)%
(121)
Net
Assets
-
100.0%
260,415
Russell
Investment
Funds
Balanced
Strategy
Fund
Fair
Value
of
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Balanced
Strategy
Fund
25
Amounts
in
thousands
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Credit
Contracts
Foreign
Currency
Contracts
Interest
Rate
Contracts
Location:
Statement
of
Operations
-
Net
realized
gain
(loss)
Futures
contracts
$
3,381
$
—
$
—
$
(1,255)
Credit
default
swap
contracts
—
(421)
—
—
Foreign
currency
exchange
contracts
—
—
(115)
—
Total
$
3,381
$
(421)
$
(115)
$
(1,255)
Location:
Statement
of
Operations
-
Net
change
in
unrealized
appreciation
(depreciation)
Futures
contracts
$
99
$
—
$
—
$
133
Credit
default
swap
contracts
—
248
—
—
Foreign
currency
exchange
contracts
—
—
(27)
—
Total
$
99
$
248
$
(27)
$
133
For
further
disclosure
on
derivatives
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
Balanced
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
26
Balanced
Strategy
Fund
Statement
of
Assets
and
Liabilities
—
December
31,
2021
Amounts
in
thousands
Assets
Investments,
at
identified
cost
........................................................................................................................................................
$
231,481
Investments,
at
fair
value(>)
...........................................................................................................................................................
260,536
Receivables:
Investments
sold
................................................................................................................................................................
111
Total
assets
.................................................................................................................................................
260,647
Liabilities
Payables:
Fund
shares
redeemed
.......................................................................................................................................................
111
Accrued
fees
to
affiliates
....................................................................................................................................................
30
Other
accrued
expenses
.....................................................................................................................................................
91
Total
liabilities
.............................................................................................................................................
232
Net
Assets
............................................................................................................................................................
$
260,415
Russell
Investment
Funds
Balanced
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Balanced
Strategy
Fund
27
Statement
of
Assets
and
Liabilities,
continued
—
December
31,
2021
Amounts
in
thousands
Net
Assets
Consist
of:
Total
distributable
earnings
(losses)
...............................................................................................................................................
$
33,425
Shares
of
beneficial
interest
...........................................................................................................................................................
253
Additional
paid-in
capital
..............................................................................................................................................................
226,737
Net
Assets
............................................................................................................................................................
$
260,415
Net
Asset
Value
,
offering
and
redemption
price
per
share:
Net
asset
value
per
share:
(#)
.........................................................................................................................................................
$
10.28
Net
assets
...............................................................................................................................................................................
$
260,415,337
Shares
outstanding
($.01
par
value)
.......................................................................................................................................
25,322,394
Amounts
in
thousands
(>)
Investments
in
affiliated
funds
$
260,536
(#)
Net
asset
value
per
share
equals
net
assets
divided
by
shares
of
beneficial
interest
outstanding.
Russell
Investment
Funds
Balanced
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
28
Balanced
Strategy
Fund
Statement
of
Operations
—
For
the
Period
Ended
December
31,
2021
Amounts
in
thousands
Investment
Income
Income
distributions
from
affiliated
funds
.....................................................................................................................................
$
10,117
Expenses
Advisory
fees
....................................................................................................................................................................
518
Administrative
fees
...........................................................................................................................................................
110
Custodian
fees
...................................................................................................................................................................
33
Transfer
agent
fees
...........................................................................................................................................................
11
Professional
fees
...............................................................................................................................................................
49
Trustees’
fees
....................................................................................................................................................................
10
Printing
fees
......................................................................................................................................................................
48
Proxy
fees
.........................................................................................................................................................................
12
Miscellaneous
...................................................................................................................................................................
4
Expenses
before
reductions
..............................................................................................................................................
795
Expense
reductions
...........................................................................................................................................................
(421)
Net
expenses
.................................................................................................................................................................................
374
Net
investment
income
(loss)
........................................................................................................................................................
9,743
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
on:
Investments
in
affiliated
funds
..........................................................................................................................................
10,961
Futures
contracts
..............................................................................................................................................................
2,126
Foreign
currency
exchange
contracts
................................................................................................................................
(115)
Credit
default
swap
contracts
............................................................................................................................................
(421)
Capital
gain
distributions
from
affiliated
funds
.................................................................................................................
7,728
Net
realized
gain
(loss)
..................................................................................................................................................................
20,279
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
in
affiliated
funds
..........................................................................................................................................
991
Futures
contracts
..............................................................................................................................................................
232
Foreign
currency
exchange
contracts
................................................................................................................................
(27)
Credit
default
swap
contracts
............................................................................................................................................
248
Foreign
currency-related
transactions
...............................................................................................................................
(51)
Net
change
in
unrealized
appreciation
(depreciation)
...................................................................................................................
1,393
Net
realized
and
unrealized
gain
(loss)
.........................................................................................................................................
21,672
Net
Increase
(Decrease)
in
Net
Assets
from
Operations
..........................................................................................
$
31,415
Russell
Investment
Funds
Balanced
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Balanced
Strategy
Fund
29
Statements
of
Changes
in
Net
Assets
For
the
Periods
Ended
December
31,
Amounts
in
thousands
2021
2020
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
(loss)
............................................................................................................
$
9,743
$
3,600
Net
realized
gain
(loss)
......................................................................................................................
20,279
5,376
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
1,393
6,683
Net
increase
(decrease)
in
net
assets
from
operations
.............................................................................
31,415
15,659
Distributions
To
shareholders
.................................................................................................................................
(29,972)
(6,351)
Net
decrease
in
net
assets
from
distributions
..........................................................................................
(29,972)
(6,351)
Share
Transactions*
Net
increase
(decrease)
in
net
assets
from
share
transactions
.................................................................
9,254
(23,263)
Total
Net
Increase
(Decrease)
in
Net
Assets
..........................................................................
10,697
(13,955)
Net
Assets
Beginning
of
period
.................................................................................................................................
249,718
263,673
End
of
period
..........................................................................................................................................
$
260,415
$
249,718
*
Share
transaction
amounts
(in
thousands)
for
the
periods
ended
December
31,
2021
and
December
31,
2020
were
as
follows:
2021
2020
Shares
Dollars
Shares
Dollars
Proceeds
from
shares
sold
1,332
$
14,408
966
$
8,717
Proceeds
from
reinvestment
of
distributions
2,931
29,972
686
6,351
Payments
for
shares
redeemed
(3,275)
(35,126)
(4,289)
(38,331)
Total
increase
(decrease)
988
$
9,254
(2,637)
$
(23,263)
Russell
Investment
Funds
Balanced
Strategy
Fund
Financial
Highlights
—
For
the
Periods
Ended
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
30
Balanced
Strategy
Fund
For
a
Share
Outstanding
Throughout
Each
Period.
$
Net
Asset
Value,
Beginning
of
Period
$
Net
Investment
Income
(Loss)
(a)(b)(d)
$
Net
Realized
and
Unrealized
Gain
(Loss)
$
Total
from
Investment
Operations
$
Distributions
from
Net
Investment
Income
$
Distributions
from
Net
Realized
Gain
December
31,
2021
10.26
.40
.89
1.29
(.51)
(.76)
December
31,
2020
9.78
.14
.58
.72
(.11)
(.13)
December
31,
2019
8.70
.27
1.13
1.40
(.15)
(.17)
December
31,
2018
10.17
.32
(.97)
(.65)
(.54)
(.28)
December
31,
2017
9.74
.28
.87
1.15
(.25)
(.47)
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Balanced
Strategy
Fund
31
$
Total
Distributions
$
Net
Asset
Value,
End
of
Period
%
Total
Return
(e)
$
Net
Assets,
End
of
Period
(000)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Gross
(c)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Net
(c)(d)
%
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
(b)(d
)
%
Portfolio
Turnover
Rate
(1.27)
10.28
13.04
260,415
.31
.14
3.76
47
(.24)
10.26
7.65
249,718
.33
.14
1.55
17
(.32)
9.78
16.32
263,673
.32
.14
2.89
32
(.82)
8.70
(6.69)
253,329
.30
.14
3.25
13
(.72)
10.17
12.00
295,259
.31
.13
2.74
35
Russell
Investment
Funds
Balanced
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
32
Balanced
Strategy
Fund
Related
Party
Transactions,
Fees
and
Expenses
Accrued
fees
payable
to
affiliates
for
the
period
ended
December
31,
2021
were
as
follows:
Transactions
(amounts
in
thousands)
during
the
period
ended
December
31,
2021
with
Underlying
Funds
which
are,
or
were,
an
affiliated
company
are
as
follows:
Federal
Income
Taxes
At
December
31,
2021,
the
cost
of
investments
and
net
unrealized
appreciation
(depreciation),
undistributed
ordinary
income
and
undistributed
long-term
capital
gains
for
income
tax
purposes
were
as
follows:
For
the
fiscal
years
ended
December
31,
2021
and
December
31,
2020,
respectively,
the
Fund
made
the
following
tax
basis
distributions:
Net
investment
income
and
net
realized
gains
(losses)
in
the
financial
statements
may
differ
from
taxable
net
investment
income
and
net
realized
gains
(losses).
Capital
accounts
within
the
financial
statements
are
adjusted
for
permanent
differences
between
book
and
tax
accounting.
Book-tax
differences
may
be
due
to
foreign
currency
gains
and
losses,
reclassifications
of
dividends
and
differences
in
treatment
of
income
from
swaps.
These
adjustments
have
no
impact
on
the
net
assets.
At
December
31,
2021,
there
were
no
adjustments
to
the
Statement
of
Assets
and
Liabilities.
Advisory
fees
$
18,968
Administration
fees
9,271
Transfer
agent
fees
960
Trustee
fees
1,180
$
30,379
Fair
Value,
Beginning
of
Period
Purchases
Sales
Realized
Gain
(Loss)
Change
in
Unrealized
Gain
(Loss)
Fair
Value,
End
of
Period
Income
Distributions
Capital
Gains
Distributions
RIC
Commodity
Strategies
Fund
$
5,013
$
1,033
$
5,454
$
(785
)
$
193
$
—
$
1,033
$
—
RIF
Global
Real
Estate
Securities
Fund
4,902
5,923
1,664
92
1,405
10,658
399
100
RIF
U.S.
Small
Cap
Equity
Fund
15,754
3,296
9,799
2,983
(1,849
)
10,385
1,220
1,109
RIF
U.S.
Strategic
Equity
Fund
29,968
10,473
5,498
505
2,481
37,929
428
2,904
RIC
Unconstrained
Total
Return
Fund
42,222
1,414
38,394
(515
)
410
5,137
245
—
RIF
Strategic
Bond
Fund
34,967
45,386
7,046
(154
)
(1,313
)
71,840
694
491
RIC
Emerging
Markets
Fund
15,171
1,793
10,291
2,414
(2,597
)
6,490
214
594
RIC
Global
Equity
Fund
37,480
52,611
11,797
(43
)
5,928
84,179
3,491
2,220
RIF
International
Developed
Markets
Fund
30,210
2,938
21,983
6,105
(4,203
)
13,067
1,238
273
RIC
Multi-Strategy
Income
Fund
24,303
3,270
7,617
359
536
20,851
1,154
37
U.S.
Cash
Management
Fund
4,215
14,886
19,101
—
—
—
1
—
$
244,205
$
143,023
$
138,644
$
10,961
$
991
$
260,536
$
10,117
$
7,728
Cost
of
Investments
Unrealized
Appreciation
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
(Capital
Loss
Carryforward)
$
233,408,213
$
27,128,049
$
—
$
27,128,049
$
136,574
$
7,744,046
December
31,
2021
December
31,
2020
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
$
12,544,692
$
17,426,848
$
—
$
2,779,294
$
3,571,549
$
—
Russell
Investment
Funds
Growth
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis
—
December
31,
2021
(Unaudited)
Growth
Strategy
Fund
33
Growth
Strategy
Fund
Total
Return
1
Year
17
.44%
5
Years
10
.11%§
10
Years
9
.02%§
Russell
1000
®
Index**
Total
Return
1
Year
26
.45%
5
Years
18
.43%§
10
Years
16
.54%§
Bloomberg
U.S.
Aggregate
Bond
Index***
Total
Return
1
Year
(1
.54)%
5
Years
3
.57%§
10
Years
2
.90%§
MSCI
World
ex
USA
Index
(Net)****
Total
Return
1
Year
12
.62%
5
Years
9
.63%§
10
Years
7
.84%§
Russell
Investment
Funds
Growth
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
34
Growth
Strategy
Fund
The
Growth
Strategy
Fund
(the
“Fund”)
is
a
fund
of
funds
that
invests
in
other
Russell
Investment
Funds
(“RIF”)
and
Russell
Investment
Company
(“RIC”)
mutual
funds
(the
“Underlying
Funds”).
Certain
Underlying
Funds
employ
a
multi-manager
approach
whereby
portions
of
the
Underlying
Funds
are
allocated
to
different
money
manager
strategies.
Underlying
Fund
assets
not
allocated
to
money
managers
are
managed
by
Russell
Investment
Management,
LLC
(“RIM”),
the
Fund’s
and
Underlying
Funds’
advisor.
RIM,
as
the
Underlying
Funds’
advisor,
may
change
the
allocation
of
the
Underlying
Funds’
assets
among
money
managers
at
any
time.
An
exemptive
order
from
the
Securities
and
Exchange
Commission
permits
RIM
to
engage
or
terminate
a
money
manager
in
an
Underlying
Fund
at
any
time,
subject
to
approval
by
the
Underlying
Fund’s
Board,
without
a
shareholder
vote.
Pursuant
to
the
terms
of
the
exemptive
order,
an
Underlying
Fund
is
required
to
notify
its
shareholders
within
90
days
of
when
a
money
manager
begins
providing
services.
What
is
the
Fund’s
investment
objective?
The
Fund
seeks
to
provide
high
long
term
capital
appreciation,
and
as
a
secondary
objective,
current
income.
How
did
the
Fund
perform
relative
to
its
benchmark
for
the
fiscal
year
ended
December
31,
2021?
For
the
fiscal
year
ended
December
31,
2021
(the
“fiscal
year”),
the
Fund
gained
17.44%.
This
is
compared
to
the
Fund’s
primary
benchmark,
the
Russell
1000
®
Index,
which
gained
26.45%
during
the
same
fiscal
year.
The
Fund’s
performance
includes
operating
expenses,
whereas
index
returns
are
unmanaged
and
do
not
include
expenses
of
any
kind.
For
the
fiscal
year,
the
Morningstar
®
Insurance
Allocation
–
70%
to
85%
Equity
Category,
a
group
of
funds
that
Morningstar
considers
to
have
investment
strategies
similar
to
those
of
the
Fund,
gained
15.94%.
This
result
serves
as
a
peer
comparison
and
is
expressed
net
of
operating
expenses.
How
did
market
conditions
affect
the
Fund’s
performance?
For
the
fiscal
year,
equity
returns
were
positive,
as
a
strong
appetite
for
risk
was
fueled
by
post-pandemic
economic
reopening,
stimulative
fiscal
and
monetary
policies,
and
positive
vaccination
progress
related
to
COVID-19.
Equities
were
the
highest
returning
asset
class
outside
of
commodities,
with
U.S.
equities
outperforming
while
European,
U.K.,
and
Canadian
equities,
as
well
as
emerging
market
and
Japanese
equities,
lagged
domestic
shares.
Within
the
U.S.,
the
Russell
3000
®
Index
gained
nearly
26%
during
the
fiscal
year
with
value
and
growth
stocks
performing
broadly
in-line
with
each
other.
Additionally,
large-
cap
equities
outperformed
small-cap
stocks,
as
index
weight-
heavy
mega-cap
technology
stocks’
outperformance
carried
large
caps’
outperformance
relative
to
their
small
cap
counterparts.
With
respect
to
fixed
income
for
the
fiscal
year,
the
strong
appetite
for
risk
in
the
market
was
demonstrated
by
the
outperformance
of
credit
relative
to
the
Bloomberg
U.S.
Aggregate
Bond
Index,
while
interest
rates
rose,
and
the
yield
curve
flattened.
High
yield
credits
and
loans
were
outperformers,
with
investment
grade
credits
following
behind,
while
asset-backed
and
mortgage-
backed
securities
relatively
underperformed
for
the
fiscal
year.
As
global
interest
rates
rose,
U.S.
Treasuries
declined
in
price,
consistent
with
the
higher
economic
growth
and
higher
inflation
dynamic
seen
throughout
the
year.
Commodities
were
the
highest
returning
asset
class,
consistent
with
reflationary
themes,
with
the
price
per
barrel
of
oil
increasing,
and
sub-asset
classes
such
as
infrastructure
and
listed
real
estate
following
suit.
How
did
the
investment
strategies
and
techniques
employed
by
the
Fund
and
the
Underlying
Funds
affect
the
Fund’s
performance?
The
Fund
is
a
fund
of
funds
and
its
performance
is
based
on
RIM’s
strategic
asset
allocations,
the
performance
of
the
Underlying
Funds
in
which
the
Fund
invests,
and
tactical
changes
in
the
Fund’s
asset
allocation
throughout
the
fiscal
year.
In
order
to
seek
to
achieve
the
Fund’s
objective
during
the
fiscal
year,
RIM’s
strategic
asset
allocation
included
investments
in
global
equity,
fixed
income,
multi-asset
and
alternative
Underlying
Funds.
Overall,
the
Fund’s
asset
allocation
was
a
detractor
to
performance
relative
to
the
Fund’s
benchmark
during
the
fiscal
year.
Allocations
away
from
equities
was
a
detractor,
as
equities
led
other
asset
classes
over
the
fiscal
year.
Additionally,
within
equities
regional
preferences
for
non-U.S.
equities
was
a
detractor,
as
large
cap
domestic
equities
such
as
the
Russell
1000
®
Index
outperformed
non-U.S.
regions.
Additionally,
preferences
for
small-cap
equities
was
detractive,
as
large
and
mega-cap
equities
outperformed
their
small
cap
peers.
However,
portfolio
hedges
which
include
duration
positioning
were
a
headwind
compared
to
the
100%
equity
benchmark,
as
the
strong
risk-on
tone
of
the
market
limited
the
effectiveness
of
hedges.
The
fixed
income
portion
of
the
Fund’s
portfolio
underperformed
the
Fund’s
benchmark.
Performance
in
the
fixed
income
portion
of
the
Fund’s
portfolio
relative
to
the
Bloomberg
U.S.
Aggregate
Bond
Index
was
mixed,
with
an
allocation
to
the
RIC
Unconstrained
Total
Return
Fund
detracting
as
markets
continued
to
favor
risky
assets
such
as
equities,
rather
than
safer
assets
such
as
bonds.
The
underlying
fixed
income
exposure
from
the
RIC
Multi-Asset
Growth
Strategy
Fund
underperformed
the
Bloomberg
U.S.
Aggregate
Bond
Index,
as
preferences
for
MBS
over
Agg
bonds
detracted
from
performance.
The
broader
equity
markets
delivered
positive
absolute
and
relative
performance
over
the
fiscal
year.
In
addition,
the
equity
Underlying
Funds
generally
outperformed
their
respective
equity
Russell
Investment
Funds
Growth
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
Growth
Strategy
Fund
35
benchmarks.
The
RIF
U.S.
Small
Cap
Equity
Fund
outperformed
its
benchmark
over
the
fiscal
year.
Underlying
preferences
for
more
cyclical
areas
of
the
markets
that
experienced
robust
earnings
growth
and
other
economic-reopening
tailwinds
were
rewarded,
as
the
most
cyclical
areas
of
the
markets
outperformed
over
the
fiscal
year.
However,
the
RIC
Emerging
Markets
Fund
and
the
RIC
Global
Equity
Fund
underperformed
when
compared
to
the
Fund
benchmark,
as
large
cap
domestic
equities
outperformed
non-U.S.
developed
and
emerging
market
regions.
The
alternative
assets
portion
of
the
Fund’s
portfolio
had
mixed
results
compared
to
the
Fund’s
benchmark.
The
RIF
Global
Real
Estate
Securities
Fund
underperformed
the
Fund’s
benchmark
due
to
the
significant
strength
of
equities
outperforming
listed
real
estate
assets.
However,
the
RIC
Commodity
Strategies
Fund
outperformed
the
Fund’s
benchmark,
as
commodity
prices
rallied
led
by
strong
oil
and
energy
returns.
The
multi-asset
portion
of
the
Fund’s
portfolio
underperformed
the
Fund’s
equity
benchmark.
The
RIC
Multi-Asset
Growth
Strategy
Fund
detracted
when
compared
to
the
Fund’s
benchmark,
as
diversifying
positions
in
other
asset
classes
detracted
when
compared
to
strong
equity
returns.
Through
part
of
the
fiscal
year,
RIM
had
the
discretion
to
vary
the
Fund’s
actual
allocation
from
the
target
strategic
asset
allocation
by
up
to
+/-
5%
at
the
equity,
fixed
income,
multi-asset
and
alternative
category
level
based
on
RIM’s
capital
markets
research.
In
addition
to
investing
in
the
Underlying
Funds,
RIM
sought
to
actively
manage
the
Fund’s
overall
exposures
by
investing
in
derivatives.
Through
part
of
the
fiscal
year,
RIM
used
equity
and
fixed-income
derivatives
to
help
maintain
tactical
asset
allocation
preferences,
in
addition
to
implementing
risk-mitigation
strategies.
RIM
used
derivative
contracts,
such
as
equity
index
futures,
as
well
as
treasury
futures
to
help
implement
tactical
asset
allocations.
In
addition,
standardized
call
and
put
options
were
used
to
limit
risk,
including
through
the
purchase
and
sale
of
contracts
to
limit
downside
risk,
generate
income,
and
implement
tactical
spread
views
dependent
on
the
current
and
expected
future
states
of
volatility.
The
use
of
derivatives
was
additive
to
Fund
performance
over
the
fiscal
year,
with
exposure
to
equity
markets
via
the
use
of
optionality
proving
beneficial
as
equity
markets
appreciated
over
the
year.
Additionally,
the
use
of
futures
contracts
to
achieve
preferred
duration
positioning
was
beneficial,
with
duration
positioning
serving
as
a
balance
to
total
portfolio
risk
levels
helping
to
partially
mitigate
risk
from
the
equity
positioning.
Describe
any
changes
to
the
Fund’s
structure
or
allocation
to
the
Underlying
Funds.
During
the
fiscal
year,
RIM
made
strategic
asset
allocation
changes
which
resulted
in
an
increase
to
growth-oriented
asset
exposures
and
a
reduction
in
allocation
to
multi-asset
Underlying
Funds.
Specifically,
RIM
modified
the
Fund’s
strategic
asset
allocation
to
74%
to
equity,
11%
to
fixed
income,
10%
to
multi-asset
and
5%
to
alterative
asset
classes.
As
a
result
of
the
strategic
asset
allocation,
RIM
added
an
allocation
to
the
RIF
Strategic
Bond
Fund
and
removed
an
allocation
to
the
RIC
Commodity
Strategies
Fund.
Additionally,
all
Fund
assets
are
now
invested
only
in
the
Underlying
Funds.
As
a
result,
the
Fund
no
longer
invests
in
derivative
instruments
or
holds
cash
other
than
indirectly
through
the
Underlying
Funds.
RIM
also
no
longer
has
the
discretion
to
vary
the
Fund’s
actual
allocation
from
the
target
strategic
asset
allocation
by
up
to
+/-
5%.
The
views
expressed
in
this
report
reflect
those
of
the
portfolio
managers
only
through
the
end
of
the
fiscal
year
covered
by
the
report.
These
views
do
not
necessarily
represent
the
views
of
RIM,
or
any
other
person
in
RIM
or
any
other
affiliated
organization.
These
views
are
subject
to
change
at
any
time
based
upon
market
conditions
or
other
events,
and
RIM
disclaims
any
responsibility
to
update
the
views
contained
herein.
These
views
should
not
be
relied
on
as
investment
advice
and,
because
investment
decisions
for
a
Russell
Investment
Funds
(“RIF”)
Fund
are
based
on
numerous
factors,
should
not
be
relied
on
as
an
indication
of
investment
decisions
of
any
RIF
Fund.
Russell
Investment
Funds
Growth
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
36
Growth
Strategy
Fund
*
Assumes
initial
investment
on
January
1,
2012.
**
The
Russell
1000
®
Index
includes
the
1,000
largest
companies
in
the
Russell
3000
®
Index.
The
Russell
1000
®
Index
represents
the
universe
of
stocks
from
which
most
active
money
managers
typically
select.
The
Russell
1000
®
Index
return
reflects
adjustments
from
income
dividends
and
capital
gain
distributions
reinvested
as
of
the
ex-dividend
dates.
***
The
Bloomberg
U.S.
Aggregate
Bond
Index
is
an
index,
with
income
reinvested,
generally
representative
of
intermediate-term
government
bonds,
investment
grade
corporate
debt
securities
and
mortgage-backed
securities.
****
The
MSCI
World
ex
USA
Index
(Net)
is
a
free
float‐adjusted
market
capitalization
weighted
index
that
is
designed
to
measure
the
equity
market
performance
of
developed
markets.
The
index
consists
of
22
developed
market
country
indexes.
§
Annualized.
The
performance
shown
in
this
section
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Performance
is
historical
and
assumes
reinvestment
of
all
dividends
and
capital
gains. Investment
return
and
principal
value
will
fluctuate
so
that
an
investor’s
shares,
when
redeemed,
may
be
worth
more
or
less
than
when
purchased. Past
performance
is
not
indicative
of
future
results. Additionally,
the
returns
presented
herein
may
differ
from
the
performance
reported
in
the
Financial
Highlights
as
the
returns
herein
are
calculated
in
a
manner
consistent
with
standardized
performance
in
accordance
with
Securities
and
Exchange
Commission
rules,
while
the
performance
in
the
Financial
Highlights
has
been
calculated
in
accordance
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”).
Russell
Investment
Funds
Growth
Strategy
Fund
Shareholder
Expense
Example
—
December
31,
2021
(Unaudited)
Growth
Strategy
Fund
37
Fund
Expenses
The
following
disclosure
provides
important
information
regarding
the
Fund’s
Shareholder
Expense
Example
(“Example”).
Example
As
a
shareholder
of
the
Fund,
you
incur
two
types
of
costs:
(1)
transaction
costs,
and
(2)
ongoing
costs,
including
advisory
and
administrative
fees
and
other
Fund
expenses.
The
Example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
Fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
indicated,
which
for
this
Fund
is
from
July
1,
2021
to
December
31,
2021
.
Actual
Expenses
The
information
in
the
table
under
the
heading
“Actual
Performance”
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
column,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
column
in
the
row
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
in
the
table
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
the
Fund’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
Fund’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
the
Fund
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
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.
Therefore,
the
information
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
In
addition,
if
these
transactional
costs
were
included,
your
costs
would
have
been
higher.
The
fees
and
expenses
shown
in
this
section
do
not
reflect
any
Insurance
Company
Separate
Account
Policy
Charges.
Actual
Performance
Hypothetical
Performance
(5%
return
before
expenses)
Beginning
Account
Value
July
1,
2021
$
1,000.00
$
1,000.00
Ending
Account
Value
December
31,
2021
$
1,
0
4
4.
1
0
$
1,024.40
Expenses
Paid
During
Period*
$
0.8
2
$
0.82
*
Expenses
are
equal
to
the
Fund's
annualized
expense
ratio
of
0.16%
(representing
the
six
month
period
annualized),
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(to
reflect
the
one-half
year
period).
May
reflect
amounts
waived
and/or
reimbursed.
Without
any
waivers
and/or
reimbursements,
expenses
would
have
been
higher.
Russell
Investment
Funds
Growth
Strategy
Fund
Schedule
of
Investments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
38
Growth
Strategy
Fund
Amounts
in
thousands
(except
share
amounts)
Shares
Fair
Value
$
Investments
in
Affiliated
Funds
-
100.0%
Alternative
-
5.1%
RIF
Global
Real
Estate
Securities
Fund
621,121
10,696
Domestic
Equities
-
24.6%
RIF
U.S.
Small
Cap
Equity
Fund
548,695
8,379
RIF
U.S.
Strategic
Equity
Fund
2,013,730
43,214
51,593
Fixed
Income
-
10.7%
RIC
Unconstrained
Total
Return
Fund
Class
Y
446,902
4,107
RIF
Strategic
Bond
Fund
1,760,177
18,411
22,518
International
Equities
-
49.7%
RIC
Emerging
Markets
Fund
Class
Y
216,487
4,083
RIC
Global
Equity
Fund
Class
Y
9,290,563
86,495
RIF
International
Developed
Markets
Fund
1,091,714
13,483
104,061
Multi-Asset
-
9.9%
RIC
Multi-Asset
Growth
Strategy
Fund
Class
Y
1,930,182
20,653
Total
Investments
in
Affiliated
Funds
(cost
$180,206)
209,521
Total
Investments
-
100.0%
(identified
cost
$180,206)
209,521
Other
Assets
and
Liabilities,
Net
-
(0.0)%
(95)
Net
Assets
-
100.0%
209,426
Russell
Investment
Funds
Growth
Strategy
Fund
Fair
Value
of
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Growth
Strategy
Fund
39
Amounts
in
thousands
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Credit
Contracts
Foreign
Currency
Contracts
Interest
Rate
Contracts
Location:
Statement
of
Operations
-
Net
realized
gain
(loss)
Futures
contracts
$
3,780
$
—
$
—
$
(948)
Credit
default
swap
contracts
—
(581)
—
—
Foreign
currency
exchange
contracts
—
—
9
—
Total
$
3,780
$
(581)
$
9
$
(948)
Location:
Statement
of
Operations
-
Net
change
in
unrealized
appreciation
(depreciation)
Futures
contracts
$
(114)
$
—
$
—
$
101
Credit
default
swap
contracts
—
373
—
—
Foreign
currency
exchange
contracts
—
—
(9)
—
Total
$
(114)
$
373
$
(9)
$
101
For
further
disclosure
on
derivatives
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
40
Growth
Strategy
Fund
Statement
of
Assets
and
Liabilities
—
December
31,
2021
Amounts
in
thousands
Assets
Investments,
at
identified
cost
........................................................................................................................................................
$
180,206
Investments,
at
fair
value(>)
...........................................................................................................................................................
209,521
Receivables:
Fund
shares
sold
................................................................................................................................................................
31
Total
assets
.................................................................................................................................................
209,552
Liabilities
Payables:
Investments
purchased
......................................................................................................................................................
31
Accrued
fees
to
affiliates
....................................................................................................................................................
19
Other
accrued
expenses
.....................................................................................................................................................
76
Total
liabilities
.............................................................................................................................................
126
Net
Assets
............................................................................................................................................................
$
209,426
Russell
Investment
Funds
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Growth
Strategy
Fund
41
Statement
of
Assets
and
Liabilities,
continued
—
December
31,
2021
Amounts
in
thousands
Net
Assets
Consist
of:
Total
distributable
earnings
(losses)
...............................................................................................................................................
$
34,159
Shares
of
beneficial
interest
...........................................................................................................................................................
201
Additional
paid-in
capital
..............................................................................................................................................................
175,066
Net
Assets
............................................................................................................................................................
$
209,426
Net
Asset
Value
,
offering
and
redemption
price
per
share:
Net
asset
value
per
share:
(#)
.........................................................................................................................................................
$
10.44
Net
assets
...............................................................................................................................................................................
$
209,426,142
Shares
outstanding
($.01
par
value)
.......................................................................................................................................
20,069,328
Amounts
in
thousands
(>)
Investments
in
affiliated
funds
$
209,521
(#)
Net
asset
value
per
share
equals
net
assets
divided
by
shares
of
beneficial
interest
outstanding.
Russell
Investment
Funds
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
42
Growth
Strategy
Fund
Statement
of
Operations
—
For
the
Period
Ended
December
31,
2021
Amounts
in
thousands
Investment
Income
Income
distributions
from
affiliated
funds
.....................................................................................................................................
$
9,055
Expenses
Advisory
fees
....................................................................................................................................................................
416
Administrative
fees
...........................................................................................................................................................
88
Custodian
fees
...................................................................................................................................................................
36
Transfer
agent
fees
............................................................................................................................................................
9
Professional
fees
...............................................................................................................................................................
47
Trustees’
fees
....................................................................................................................................................................
8
Printing
fees
......................................................................................................................................................................
39
Proxy
fees
.........................................................................................................................................................................
9
Miscellaneous
...................................................................................................................................................................
4
Expenses
before
reductions
..............................................................................................................................................
656
Expense
reductions
...........................................................................................................................................................
(335)
Net
expenses
.................................................................................................................................................................................
321
Net
investment
income
(loss)
........................................................................................................................................................
8,734
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
on:
Investments
in
affiliated
funds
..........................................................................................................................................
13,433
Futures
contracts
..............................................................................................................................................................
2,832
Foreign
currency
exchange
contracts
................................................................................................................................
9
Credit
default
swap
contracts
............................................................................................................................................
(581)
Capital
gain
distributions
from
affiliated
funds
.................................................................................................................
7,595
Net
realized
gain
(loss)
..................................................................................................................................................................
23,288
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
in
affiliated
funds
..........................................................................................................................................
782
Futures
contracts
..............................................................................................................................................................
(13)
Foreign
currency
exchange
contracts
................................................................................................................................
(9)
Credit
default
swap
contracts
............................................................................................................................................
373
Foreign
currency-related
transactions
...............................................................................................................................
(13)
Net
change
in
unrealized
appreciation
(depreciation)
...................................................................................................................
1,120
Net
realized
and
unrealized
gain
(loss)
.........................................................................................................................................
24,408
Net
Increase
(Decrease)
in
Net
Assets
from
Operations
..........................................................................................
$
33,142
Russell
Investment
Funds
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Growth
Strategy
Fund
43
Statements
of
Changes
in
Net
Assets
For
the
Periods
Ended
December
31,
Amounts
in
thousands
2021
2020
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
(loss)
............................................................................................................
$
8,734
$
1,768
Net
realized
gain
(loss)
......................................................................................................................
23,288
4,302
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
1,120
10,344
Net
increase
(decrease)
in
net
assets
from
operations
.............................................................................
33,142
16,414
Distributions
To
shareholders
.................................................................................................................................
(29,534)
(6,462)
Net
decrease
in
net
assets
from
distributions
..........................................................................................
(29,534)
(6,462)
Share
Transactions*
Net
increase
(decrease)
in
net
assets
from
share
transactions
.................................................................
7,012
(16,555)
Total
Net
Increase
(Decrease)
in
Net
Assets
..........................................................................
10,620
(6,603)
Net
Assets
Beginning
of
period
.................................................................................................................................
198,806
205,409
End
of
period
..........................................................................................................................................
$
209,426
$
198,806
*
Share
transaction
amounts
(in
thousands)
for
the
periods
ended
December
31,
2021
and
December
31,
2020
were
as
follows:
2021
2020
Shares
Dollars
Shares
Dollars
Proceeds
from
shares
sold
508
$
5,632
529
$
4,519
Proceeds
from
reinvestment
of
distributions
2,856
29,534
697
6,462
Payments
for
shares
redeemed
(2,563)
(28,154)
(3,080)
(27,536)
Total
increase
(decrease)
801
$
7,012
(1,854)
$
(16,555)
Russell
Investment
Funds
Growth
Strategy
Fund
Financial
Highlights
—
For
the
Periods
Ended
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
44
Growth
Strategy
Fund
For
a
Share
Outstanding
Throughout
Each
Period.
$
Net
Asset
Value,
Beginning
of
Period
$
Net
Investment
Income
(Loss)
(a)(b)(d)
$
Net
Realized
and
Unrealized
Gain
(Loss)
$
Total
from
Investment
Operations
$
Distributions
from
Net
Investment
Income
$
Distributions
from
Net
Realized
Gain
December
31,
2021
10.32
.46
1.27
1.73
(.51)
(1.10)
December
31,
2020
9.72
.09
.82
.91
(.15)
(.16)
December
31,
2019
8.76
.23
1.31
1.54
(.07)
(.51)
December
31,
2018
10.46
.37
(1.17)
(.80)
(.51)
(.39)
December
31,
2017
9.53
.34
1.13
1.47
(.32)
(.22)
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Growth
Strategy
Fund
45
$
Total
Distributions
$
Net
Asset
Value,
End
of
Period
%
Total
Return
(e)
$
Net
Assets,
End
of
Period
(000)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Gross
(c)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Net
(c)(d)
%
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
(b)(d)
%
Portfolio
Turnover
Rate
(1.61)
10.44
17.44
209,426
.32
.15
4.20
53
(.31)
10.32
9.75
198,806
.33
.15
.97
16
(.58)
9.72
18.06
205,409
.33
.15
2.48
35
(.90)
8.76
(8.05)
190,042
.31
.15
3.69
18
(.54)
10.46
15.65
220,835
.32
.14
3.37
29
Russell
Investment
Funds
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
46
Growth
Strategy
Fund
Related
Party
Transactions,
Fees
and
Expenses
Accrued
fees
payable
to
affiliates
for
the
period
ended
December
31,
2021
were
as
follows:
Transactions
(amounts
in
thousands)
during
the
period
ended
December
31,
2021
with
Underlying
Funds
which
are,
or
were,
an
affiliated
company
are
as
follows:
Federal
Income
Taxes
At
December
31,
2021,
the
cost
of
investments
and
net
unrealized
appreciation
(depreciation),
undistributed
ordinary
income
and
undistributed
long-term
capital
gains
for
income
tax
purposes
were
as
follows:
For
the
fiscal
years
ended
December
31,
2021
and
December
31,
2020,
respectively,
the
Fund
made
the
following
tax
basis
distributions:
Net
investment
income
and
net
realized
gains
(losses)
in
the
financial
statements
may
differ
from
taxable
net
investment
income
and
net
realized
gains
(losses).
Capital
accounts
within
the
financial
statements
are
adjusted
for
permanent
differences
between
book
and
tax
accounting.
Book-tax
differences
may
be
due
to
foreign
currency
gains
and
losses,
reclassifications
of
dividends
and
differences
in
treatment
of
income
from
swaps.
These
adjustments
have
no
impact
on
the
net
assets.
At
December
31,
2021,
there
were
no
adjustments
to
the
Statement
of
Assets
and
Liabilities.
Advisory
fees
$
9,406
Administration
fees
7,456
Transfer
agent
fees
772
Trustee
fees
947
$
18,581
Fair
Value,
Beginning
of
Period
Purchases
Sales
Realized
Gain
(Loss)
Change
in
Unrealized
Gain
(Loss)
Fair
Value,
End
of
Period
Income
Distributions
Capital
Gains
Distributions
RIC
Commodity
Strategies
Fund
$
3,877
$
816
$
4,226
$
(1,414
)
$
947
$
—
$
816
$
—
RIF
Global
Real
Estate
Securities
Fund
3,859
7,169
1,753
83
1,338
10,696
380
101
RIF
U.S.
Small
Cap
Equity
Fund
18,082
2,786
14,484
4,490
(2,495
)
8,379
997
895
RIF
U.S.
Strategic
Equity
Fund
42,949
10,132
14,154
2,635
1,652
43,214
517
3,331
RIC
Unconstrained
Total
Return
Fund
28,504
1,621
25,918
(66
)
(34
)
4,107
186
—
RIF
Strategic
Bond
Fund
—
20,248
1,781
13
(69
)
18,411
130
96
RIC
Emerging
Markets
Fund
13,819
1,016
10,904
2,704
(2,552
)
4,083
135
373
RIC
Global
Equity
Fund
29,272
63,168
10,801
67
4,789
86,495
3,614
2,298
RIF
International
Developed
Markets
Fund
29,479
2,705
20,539
4,906
(3,068
)
13,483
1,262
281
RIC
Multi-Asset
Growth
Strategy
Fund
18,859
3,403
1,898
15
274
20,653
1,017
220
U.S.
Cash
Management
Fund
4,839
13,577
18,416
—
—
—
1
—
$
193,539
$
126,641
$
124,874
$
13,433
$
782
$
209,521
$
9,055
$
7,595
Cost
of
Investments
Unrealized
Appreciation
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
(Capital
Loss
Carryforward)
$
181,
596
,
729
$
27,
990
,
295
$
(65,8
86
)
$
27,
92
4
,
409
$
11
4
,
407
$
7,667,869
December
31,
2021
December
31,
2020
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
$
10,230,925
$
19,303,478
$
—
$
3,042,608
$
3,419,149
$
—
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis
—
December
31,
2021
(Unaudited)
Equity
Growth
Strategy
Fund
47
Equity
Growth
Strategy
Fund
Total
Return
1
Year
19
.61%
5
Years
10
.60%§
10
Years
9
.72%§
Russell
1000
®
Index**
Total
Return
1
Year
26
.45%
5
Years
18
.43%§
10
Years
16
.54%§
MSCI
World
ex
USA
Index
(Net)***
Total
Return
1
Year
12
.62%
5
Years
9
.63%§
10
Years
7
.84%§
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
48
Equity
Growth
Strategy
Fund
The
Equity
Growth
Strategy
Fund
(the
“Fund”)
is
a
fund
of
funds
that
invests
in
other
Russell
Investment
Funds
(“RIF”)
and
Russell
Investment
Company
(“RIC”)
mutual
funds
(the
“Underlying
Funds”).
Certain
Underlying
Funds
employ
a
multi-
manager
approach
whereby
portions
of
the
Underlying
Funds
are
allocated
to
different
money
manager
strategies.
Underlying
Fund
assets
not
allocated
to
money
managers
are
managed
by
Russell
Investment
Management,
LLC
(“RIM”),
the
Fund’s
and
Underlying
Funds’
advisor.
RIM,
as
the
Underlying
Funds’
advisor,
may
change
the
allocation
of
the
Underlying
Funds’
assets
among
money
managers
at
any
time.
An
exemptive
order
from
the
Securities
and
Exchange
Commission
permits
RIM
to
engage
or
terminate
a
money
manager
in
an
Underlying
Fund
at
any
time,
subject
to
approval
by
the
Underlying
Fund’s
Board,
without
a
shareholder
vote.
Pursuant
to
the
terms
of
the
exemptive
order,
an
Underlying
Fund
is
required
to
notify
its
shareholders
within
90
days
of
when
a
money
manager
begins
providing
services.
What
is
the
Fund’s
investment
objective?
The
Fund
seeks
to
provide
high
long
term
capital
appreciation.
How
did
the
Fund
perform
relative
to
its
benchmark
for
the
fiscal
year
ended
December
31,
2021?
For
the
fiscal
year
ended
December
31,
2021
(the
“fiscal
year”),
the
Fund
gained
19.61%.
This
is
compared
to
the
Fund’s
primary
benchmark,
the
Russell
1000
®
Index,
which
gained
26.45%
during
the
same
fiscal
year.
The
Fund’s
performance
includes
operating
expenses,
whereas
index
returns
are
unmanaged
and
do
not
include
expenses
of
any
kind.
For
the
fiscal
year,
the
Morningstar
®
Insurance
Allocation
–
70%
to
85%
Equity
Category,
a
group
of
funds
that
Morningstar
considers
to
have
investment
strategies
similar
to
those
of
the
Fund,
gained
15.94%.
This
result
serves
as
a
peer
comparison
and
is
expressed
net
of
operating
expenses.
How
did
market
conditions
affect
the
Fund’s
performance?
For
the
fiscal
year,
equity
returns
were
positive,
as
a
strong
appetite
for
risk
was
fueled
by
post-pandemic
economic
reopening,
stimulative
fiscal
and
monetary
policies,
and
positive
vaccination
progress
related
to
COVID-19.
Equities
were
the
highest
returning
asset
class
outside
of
commodities,
with
U.S.
equities
outperforming
while
European,
U.K.,
and
Canadian
equities,
as
well
as
emerging
market
and
Japanese
equities,
lagged
domestic
shares.
Within
the
U.S.
the
Russell
3000
®
Index
gained
nearly
26%
during
the
fiscal
year,
with
value
and
growth
stocks
performing
broadly
in-line
with
each
other.
Additionally,
large-
cap
equities
outperformed
small-cap
stocks,
as
index
weight-
heavy
mega-cap
technology
stocks’
outperformance
carried
large
caps’
outperformance
relative
to
their
small
cap
counterparts.
With
respect
to
fixed
income
for
the
fiscal
year,
the
strong
appetite
for
risk
in
the
market
was
demonstrated
by
the
outperformance
of
credit
relative
to
the
Bloomberg
U.S.
Aggregate
Bond
Index,
while
interest
rates
rose,
and
the
yield
curve
flattened.
High
yield
credits
and
loans
were
outperformers,
with
investment
grade
credits
following
behind,
while
asset-backed
and
mortgage-
backed
securities
relatively
underperformed
for
the
fiscal
year.
As
global
interest
rates
rose,
U.S.
Treasuries
declined
in
price,
consistent
with
the
higher
economic
growth
and
higher
inflation
dynamic
seen
throughout
the
year.
Commodities
were
the
highest
returning
asset
class,
consistent
with
reflationary
themes,
with
the
price
per
barrel
of
oil
increasing,
and
sub-asset
classes
such
as
infrastructure
and
listed
real
estate
following
suit.
How
did
the
investment
strategies
and
techniques
employed
by
the
Fund
and
the
Underlying
Funds
affect
the
Fund’s
performance?
The
Fund
is
a
fund
of
funds
and
its
performance
is
based
on
RIM’s
strategic
asset
allocations,
the
performance
of
the
Underlying
Funds
in
which
the
Fund
invests,
and
tactical
changes
in
the
Fund’s
asset
allocation
throughout
the
fiscal
year.
In
order
to
seek
to
achieve
the
Fund’s
objective
during
the
fiscal
year,
RIM’s
strategic
asset
allocation
included
investments
in
global
equity,
fixed
income,
multi-asset
and
alternative
Underlying
Funds.
Overall,
the
Fund’s
asset
allocation
was
a
detractor
to
performance
relative
to
the
Fund’s
benchmark
during
the
fiscal
year.
Allocations
away
from
equities
was
a
detractor,
as
equities
led
other
asset
classes
over
the
fiscal
year.
Additionally,
within
equities,
regional
preferences
for
non-U.S.
equities
was
a
detractor,
as
large
cap
domestic
equities
such
as
the
Russell
1000
®
Index
outperformed
non-U.S.
regions.
Additionally,
preferences
for
small-cap
equities
detracted,
as
large
and
mega-cap
tech
stocks
outperformed
their
smaller
cap
peers.
Furthermore,
portfolio
hedges
which
include
duration
positioning
were
a
headwind
compared
to
the
100%
equity
benchmark,
as
the
strong
risk-on
tone
of
the
market
limited
the
effectiveness
of
hedges.
The
fixed
income
portion
of
the
Fund’s
portfolio
underperformed
the
Fund’s
benchmark.
Performance
in
the
fixed
income
portion
of
the
Fund’s
portfolio
relative
to
the
Bloomberg
U.S.
Aggregate
Bond
Index
was
mixed,
with
an
allocation
to
the
RIC
Unconstrained
Total
Return
Fund
detracting
as
markets
continued
to
favor
risky
assets
such
as
equities,
rather
than
safer
assets
such
as
bonds.
The
underlying
fixed
income
exposure
from
the
RIC
Multi-Asset
Growth
Strategy
Fund
underperformed
the
Bloomberg
U.S.
Aggregate
Bond
Index,
as
preferences
for
MBS
over
Agg
bonds
detracted
from
performance.
The
broader
equity
markets
delivered
positive
absolute
and
relative
performance
over
the
fiscal
year.
In
addition,
the
equity
Underlying
Funds
generally
outperformed
their
respective
equity
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
Equity
Growth
Strategy
Fund
49
benchmarks.
The
RIF
U.S.
Small
Cap
Equity
Fund
outperformed
its
benchmark
over
the
fiscal
year.
Underlying
preferences
for
more
cyclical
areas
of
the
markets
that
experienced
robust
earnings
growth
and
other
economic-reopening
tailwinds
were
rewarded,
as
the
most
cyclical
areas
of
the
markets
outperformed
over
the
fiscal
year.
However,
the
RIC
Emerging
Markets
Fund
and
the
RIC
Global
Equity
Fund
underperformed
when
compared
to
the
Fund
benchmark,
as
large
cap
domestic
equities
outperformed
non-U.S.
developed
and
emerging
market
regions.
With
respect
to
the
alternative
assets
portion
of
the
Fund’s
portfolio,
the
RIF
Global
Real
Estate
Securities
Fund
underperformed
the
Fund’s
benchmark
due
to
the
significant
strength
of
equities
outperforming
listed
real
estate
assets.
The
multi-asset
portion
of
the
Fund’s
portfolio
underperformed
the
Fund’s
benchmark.
The
RIC
Multi-Asset
Growth
Strategy
Fund
detracted
when
compared
to
the
Fund’s
benchmark,
as
diversifying
positions
in
other
asset
classes
detracted
when
compared
to
strong
equity
returns.
Through
part
of
the
fiscal
year,
RIM
had
the
discretion
to
vary
the
Fund’s
actual
allocation
from
the
target
strategic
asset
allocation
by
up
to
+/-
5%
at
the
equity,
fixed
income,
multi-asset
and
alternative
category
level
based
on
RIM’s
capital
markets
research.
In
addition
to
investing
in
the
Underlying
Funds,
RIM
sought
to
actively
manage
the
Fund’s
overall
exposures
by
investing
in
derivatives.
Through
part
of
the
fiscal
year,
RIM
used
equity
and
fixed-income
derivatives
to
help
maintain
tactical
asset
allocation
preferences,
in
addition
to
implementing
risk-mitigation
strategies.
RIM
used
derivative
contracts,
such
as
equity
index
futures,
as
well
as
treasury
futures
to
help
implement
tactical
asset
allocations.
In
addition,
standardized
call
and
put
options
were
used
to
limit
risk,
including
through
the
purchase
and
sale
of
contracts
to
limit
downside
risk,
generate
income,
and
implement
tactical
spread
views
dependent
on
the
current
and
expected
future
states
of
volatility.
The
use
of
derivatives
was
additive
to
Fund
performance
over
the
fiscal
year,
with
exposure
to
equity
markets
via
the
use
of
optionality
proving
beneficial
as
equity
markets
appreciated
over
the
year.
Additionally,
the
use
of
futures
contracts
to
achieve
preferred
duration
positioning
was
beneficial,
with
duration
positioning
serving
as
a
balance
to
total
portfolio
risk
levels
helping
to
partially
mitigate
risk
from
the
equity
positioning.
Describe
any
changes
to
the
Fund’s
structure
or
allocation
to
the
Underlying
Funds.
During
the
fiscal
year,
RIM
made
strategic
asset
allocation
changes
which
resulted
in
an
increase
to
growth-oriented
asset
exposures
and
a
reduction
in
allocation
to
multi-asset
Underlying
Funds.
Specifically,
RIM
modified
the
Fund’s
strategic
asset
allocation
to
85%
to
equity,
10%
to
multi-asset
and
5%
to
alterative
asset
classes.
As
a
result
of
the
strategic
asset
allocation
changes,
RIM
removed
allocations
to
the
RIC
Commodity
Strategies
Fund
and
RIC
Unconstrained
Total
Return
Fund.
Additionally,
all
Fund
assets
are
now
invested
only
in
the
Underlying
Funds.
As
a
result,
the
Fund
no
longer
invests
in
derivative
instruments
or
holds
cash
other
than
indirectly
through
the
Underlying
Funds.
RIM
also
no
longer
has
the
discretion
to
vary
the
Fund’s
actual
allocation
from
the
target
strategic
asset
allocation
by
up
to
+/-
5%.
The
views
expressed
in
this
report
reflect
those
of
the
portfolio
managers
only
through
the
end
of
the
fiscal
year
covered
by
the
report.
These
views
do
not
necessarily
represent
the
views
of
RIM,
or
any
other
person
in
RIM
or
any
other
affiliated
organization.
These
views
are
subject
to
change
at
any
time
based
upon
market
conditions
or
other
events,
and
RIM
disclaims
any
responsibility
to
update
the
views
contained
herein.
These
views
should
not
be
relied
on
as
investment
advice
and,
because
investment
decisions
for
a
Russell
Investment
Funds
(“RIF”)
Fund
are
based
on
numerous
factors,
should
not
be
relied
on
as
an
indication
of
investment
decisions
of
any
RIF
Fund.
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
Portfolio
Management
Discussion
and
Analysis,
continued
—
December
31,
2021
(Unaudited)
50
Equity
Growth
Strategy
Fund
*
Assumes
initial
investment
on
January
1,
2012.
**
The
Russell
1000
®
Index
includes
the
1,000
largest
companies
in
the
Russell
3000
®
Index.
The
Russell
1000
®
Index
represents
the
universe
of
stocks
from
which
most
active
money
managers
typically
select.
The
Russell
1000
®
Index
return
reflects
adjustments
from
income
dividends
and
capital
gain
distributions
reinvested
as
of
the
ex-dividend
dates.
***
The
MSCI
World
ex
USA
Index
(Net)
is
a
free
float‐adjusted
market
capitalization
weighted
index
that
is
designed
to
measure
the
equity
market
performance
of
developed
markets.
The
index
consists
of
22
developed
market
country
indexes.
§
Annualized.
The
performance
shown
in
this
section
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
Performance
is
historical
and
assumes
reinvestment
of
all
dividends
and
capital
gains. Investment
return
and
principal
value
will
fluctuate
so
that
an
investor’s
shares,
when
redeemed,
may
be
worth
more
or
less
than
when
purchased. Past
performance
is
not
indicative
of
future
results. Additionally,
the
returns
presented
herein
may
differ
from
the
performance
reported
in
the
Financial
Highlights
as
the
returns
herein
are
calculated
in
a
manner
consistent
with
standardized
performance
in
accordance
with
Securities
and
Exchange
Commission
rules,
while
the
performance
in
the
Financial
Highlights
has
been
calculated
in
accordance
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”).
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
Shareholder
Expense
Example
—
December
31,
2021
(Unaudited)
Equity
Growth
Strategy
Fund
51
Fund
Expenses
The
following
disclosure
provides
important
information
regarding
the
Fund’s
Shareholder
Expense
Example
(“Example”).
Example
As
a
shareholder
of
the
Fund,
you
incur
two
types
of
costs:
(1)
transaction
costs,
and
(2)
ongoing
costs,
including
advisory
and
administrative
fees
and
other
Fund
expenses.
The
Example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
Fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
indicated,
which
for
this
Fund
is
from
July
1,
2021
to
December
31,
2021
.
Actual
Expenses
The
information
in
the
table
under
the
heading
“Actual
Performance”
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
column,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
column
in
the
row
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
information
in
the
table
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
the
Fund’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
Fund’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
the
Fund
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
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.
Therefore,
the
information
under
the
heading
“Hypothetical
Performance
(5%
return
before
expenses)”
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
In
addition,
if
these
transactional
costs
were
included,
your
costs
would
have
been
higher.
The
fees
and
expenses
shown
in
this
section
do
not
reflect
any
Insurance
Company
Separate
Account
Policy
Charges.
Actual
Performance
Hypothetical
Performance
(5%
return
before
expenses)
Beginning
Account
Value
July
1,
2021
$
1,000.00
$
1,000.00
Ending
Account
Value
December
31,
2021
$
1,049
.80
$
1,024.40
Expenses
Paid
During
Period*
$
0.83
$
0.82
*
Expenses
are
equal
to
the
Fund's
annualized
expense
ratio
of
0.16%
(representing
the
six
month
period
annualized),
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
184/365
(to
reflect
the
one-half
year
period).
May
reflect
amounts
waived
and/or
reimbursed.
Without
any
waivers
and/or
reimbursements,
expenses
would
have
been
higher.
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
Schedule
of
Investments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
52
Equity
Growth
Strategy
Fund
Amounts
in
thousands
(except
share
amounts)
Shares
Fair
Value
$
Investments
in
Affiliated
Funds
-
100.1%
Alternative
-
5.1%
RIF
Global
Real
Estate
Securities
Fund
152,681
2,629
Domestic
Equities
-
27.5%
RIF
U.S.
Small
Cap
Equity
Fund
170,719
2,607
RIF
U.S.
Strategic
Equity
Fund
546,340
11,724
14,331
International
Equities
-
57.5%
RIC
Emerging
Markets
Fund
Class
Y
68,746
1,297
RIC
Global
Equity
Fund
Class
Y
2,683,252
24,980
RIF
International
Developed
Markets
Fund
295,995
3,656
29,933
Multi-Asset
-
10.0%
RIC
Multi-Asset
Growth
Strategy
Fund
Class
Y
488,558
5,228
Total
Investments
in
Affiliated
Funds
(cost
$45,242)
52,121
Total
Investments
-
100.1%
(identified
cost
$45,242)
52,121
Other
Assets
and
Liabilities,
Net
-
(0.1
)%
(46)
Net
Assets
-
100.0%
52,075
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
Fair
Value
of
Derivative
Instruments
—
December
31,
2021
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Equity
Growth
Strategy
Fund
53
Amounts
in
thousands
Derivatives
not
accounted
for
as
hedging
instruments
Equity
Contracts
Credit
Contracts
Foreign
Currency
Contracts
Interest
Rate
Contracts
Location:
Statement
of
Operations
-
Net
realized
gain
(loss)
Futures
contracts
$
592
$
—
$
—
$
(56)
Credit
default
swap
contracts
—
(43)
—
—
Foreign
currency
exchange
contracts
—
—
1
—
Total
$
592
$
(43)
$
1
$
(56)
Location:
Statement
of
Operations
-
Net
change
in
unrealized
appreciation
(depreciation)
Futures
contracts
$
(2)
$
—
$
—
$
6
Credit
default
swap
contracts
—
30
—
—
Foreign
currency
exchange
contracts
—
—
(1)
—
Total
$
(2)
$
30
$
(1)
$
6
For
further
disclosure
on
derivatives
see
note
2
in
the
Notes
to
Financial
Statements.
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
54
Equity
Growth
Strategy
Fund
Statement
of
Assets
and
Liabilities
—
December
31,
2021
Amounts
in
thousands
Assets
Investments,
at
identified
cost
........................................................................................................................................................
$
45,242
Investments,
at
fair
value(>)
...........................................................................................................................................................
52,121
Receivables:
Fund
shares
sold
................................................................................................................................................................
1
From
affiliates
....................................................................................................................................................................
2
Total
assets
.................................................................................................................................................
52,124
Liabilities
Payables:
Investments
purchased
......................................................................................................................................................
1
Accrued
fees
to
affiliates
....................................................................................................................................................
2
Other
accrued
expenses
.....................................................................................................................................................
46
Total
liabilities
.............................................................................................................................................
49
Net
Assets
............................................................................................................................................................
$
52,075
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Equity
Growth
Strategy
Fund
55
Statement
of
Assets
and
Liabilities,
continued
—
December
31,
2021
Amounts
in
thousands
Net
Assets
Consist
of:
Total
distributable
earnings
(losses)
...............................................................................................................................................
$
7,870
Shares
of
beneficial
interest
...........................................................................................................................................................
52
Additional
paid-in
capital
..............................................................................................................................................................
44,153
Net
Assets
............................................................................................................................................................
$
52,075
Net
Asset
Value
,
offering
and
redemption
price
per
share:
Net
asset
value
per
share:
(#)
.........................................................................................................................................................
$
9.94
Net
assets
...............................................................................................................................................................................
$
52,075,451
Shares
outstanding
($.01
par
value)
.......................................................................................................................................
5,238,198
Amounts
in
thousands
(>)
Investments
in
affiliated
funds
$
52,121
(#)
Net
asset
value
per
share
equals
net
assets
divided
by
shares
of
beneficial
interest
outstanding.
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
56
Equity
Growth
Strategy
Fund
Statement
of
Operations
—
For
the
Period
Ended
December
31,
2021
Amounts
in
thousands
Investment
Income
Income
distributions
from
affiliated
funds
.....................................................................................................................................
$
2,239
Expenses
Advisory
fees
....................................................................................................................................................................
99
Administrative
fees
...........................................................................................................................................................
21
Custodian
fees
...................................................................................................................................................................
34
Transfer
agent
fees
...........................................................................................................................................................
2
Professional
fees
...............................................................................................................................................................
37
Trustees’
fees
....................................................................................................................................................................
2
Printing
fees
......................................................................................................................................................................
15
Proxy
fees
.........................................................................................................................................................................
2
Miscellaneous
...................................................................................................................................................................
1
Expenses
before
reductions
..............................................................................................................................................
213
Expense
reductions
...........................................................................................................................................................
(137)
Net
expenses
.................................................................................................................................................................................
76
Net
investment
income
(loss)
........................................................................................................................................................
2,163
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
on:
Investments
in
affiliated
funds
..........................................................................................................................................
4,655
Futures
contracts
..............................................................................................................................................................
536
Foreign
currency
exchange
contracts
................................................................................................................................
1
Credit
default
swap
contracts
............................................................................................................................................
(43)
Capital
gain
distributions
from
affiliated
funds
.................................................................................................................
2,133
Net
realized
gain
(loss)
..................................................................................................................................................................
7,282
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
in
affiliated
funds
..........................................................................................................................................
(783)
Futures
contracts
..............................................................................................................................................................
4
Foreign
currency
exchange
contracts
................................................................................................................................
(1)
Credit
default
swap
contracts
............................................................................................................................................
30
Foreign
currency-related
transactions
...............................................................................................................................
2
Net
change
in
unrealized
appreciation
(depreciation)
...................................................................................................................
(748)
Net
realized
and
unrealized
gain
(loss)
.........................................................................................................................................
6,534
Net
Increase
(Decrease)
in
Net
Assets
from
Operations
..........................................................................................
$
8,697
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Equity
Growth
Strategy
Fund
57
Statements
of
Changes
in
Net
Assets
For
the
Periods
Ended
December
31,
Amounts
in
thousands
2021
2020
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
(loss)
............................................................................................................
$
2,163
$
397
Net
realized
gain
(loss)
......................................................................................................................
7,282
(397
)
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
(748
)
2,626
Net
increase
(decrease)
in
net
assets
from
operations
.............................................................................
8,697
2,626
Distributions
To
shareholders
.................................................................................................................................
(6,502
)
(2,227
)
Net
decrease
in
net
assets
from
distributions
..........................................................................................
(6,502
)
(2,227
)
Share
Transactions*
Net
increase
(decrease)
in
net
assets
from
share
transactions
.................................................................
4,558
(4,393
)
Total
Net
Increase
(Decrease)
in
Net
Assets
..........................................................................
6,753
(3,994
)
Net
Assets
Beginning
of
period
.................................................................................................................................
45,322
49,316
End
of
period
..........................................................................................................................................
$
52,075
$
45,322
*
Share
transaction
amounts
(in
thousands)
for
the
periods
ended
December
31,
2021
and
December
31,
2020
were
as
follows:
2021
2020
Shares
Dollars
Shares
Dollars
Proceeds
from
shares
sold
345
$
3,689
324
$
2,716
Proceeds
from
reinvestment
of
distributions
666
6,50
2
256
2,227
Payments
for
shares
redeemed
(545)
(5,63
3
)
(1,168)
(9,336)
Total
increase
(decrease)
466
$
4,558
(588)
$
(4,393)
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
Financial
Highlights
—
For
the
Periods
Ended
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
58
Equity
Growth
Strategy
Fund
For
a
Share
Outstanding
Throughout
Each
Period.
$
Net
Asset
Value,
Beginning
of
Period
$
Net
Investment
Income
(Loss)
(a)(b)(d)
$
Net
Realized
and
Unrealized
Gain
(Loss)
$
Total
from
Investment
Operations
$
Distributions
from
Net
Investment
Income
$
Distributions
from
Net
Realized
Gain
December
31,
2021
9.50
.46
1.36
1.82
(.53)
(.85)
December
31,
2020
9.20
.08
.64
.72
(.17)
(.25)
December
31,
2019
8.16
.20
1.39
1.59
(.02)
(.53)
December
31,
2018
9.97
.36
(1.26)
(.90)
(.48)
(.43)
December
31,
2017
8.92
.35
1.21
1.56
(.32)
(.19)
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
Equity
Growth
Strategy
Fund
59
$
Total
Distributions
$
Net
Asset
Value,
End
of
Period
%
Total
Return
(e)
$
Net
Assets,
End
of
Period
(000)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Gross
(c)
%
Ratio
of
Expenses
to
Average
Net
Assets,
Net
(c)(d)
%
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
(b)(d)
%
Portfolio
Turnover
Rate
(1.38)
9.94
19.61
52,075
.43
.15
4.38
48
(.42)
9.50
8.26
45,322
.52
.15
.95
28
(.55)
9.20
20.09
49,316
.48
.15
2.36
38
(.91)
8.16
(9.55)
47,630
.43
.15
3.73
21
(.51)
9.97
17.67
55,946
.43
.14
3.72
35
Russell
Investment
Funds
Equity
Growth
Strategy
Fund
See
accompanying
notes
which
are
an
integral
part
of
the
financial
statements.
60
Equity
Growth
Strategy
Fund
Related
Party
Transactions,
Fees
and
Expenses
Accrued
fees
payable
to
affiliates
for
the
period
ended
December
31,
2021
were
as
follows:
Transactions
(amounts
in
thousands)
during
the
period
ended
December
31,
2021
with
Underlying
Funds
which
are,
or
were,
an
affiliated
company
are
as
follows:
Federal
Income
Taxes
At
December
31,
2021,
the
cost
of
investments
and
net
unrealized
appreciation
(depreciation),
undistributed
ordinary
income
and
undistributed
long-term
capital
gains
for
income
tax
purposes
were
as
follows:
For
the
fiscal
years
ended
December
31,
2021
and
December
31,
2020,
respectively,
the
Fund
made
the
following
tax
basis
distributions:
Net
investment
income
and
net
realized
gains
(losses)
in
the
financial
statements
may
differ
from
taxable
net
investment
income
and
net
realized
gains
(losses).
Capital
accounts
within
the
financial
statements
are
adjusted
for
permanent
differences
between
book
and
tax
accounting.
Book-tax
differences
may
be
due
to
foreign
currency
gains
and
losses,
reclassifications
of
dividends
and
differences
in
treatment
of
income
from
swaps.
These
adjustments
have
no
impact
on
the
net
assets.
At
December
31,
2021,
there
were
no
adjustments
to
the
Statement
of
Assets
and
Liabilities.
Administration
fees
$
1,857
Transfer
agent
fees
193
Trustee
fees
210
$
2,260
Fair
Value,
Beginning
of
Period
Purchases
Sales
Realized
Gain
(Loss)
Change
in
Unrealized
Gain
(Loss)
Fair
Value,
End
of
Period
Income
Distributions
Capital
Gains
Distributions
RIF
Global
Real
Estate
Securities
Fund
$
1,299
$
1,376
$
416
$
10
$
360
$
2,629
$
101
$
25
RIF
U.S.
Small
Cap
Equity
Fund
5,985
988
5,067
1,863
(1,162
)
2,607
311
279
RIF
U.S.
Strategic
Equity
Fund
9,600
2,932
1,744
215
721
11,724
134
908
RIC
Unconstrained
Total
Return
Fund
3,265
426
3,699
(44
)
52
—
8
—
RIC
Emerging
Markets
Fund
4,399
694
3,850
1,095
(1,041
)
1,297
43
118
RIC
Global
Equity
Fund
9,154
16,709
2,318
(102
)
1,537
24,980
1,053
670
RIF
International
Developed
Markets
Fund
7,827
1,140
5,798
1,620
(1,133
)
3,656
344
77
RIC
Multi-Asset
Growth
Strategy
Fund
1,704
3,998
355
(2
)
(117
)
5,228
245
56
U.S.
Cash
Management
Fund
1,289
2,699
3,988
—
—
—
—
—
$
44,522
$
30,962
$
27,235
$
4,655
$
(783
)
$
52,121
$
2,239
$
2,133
Cost
of
Investments
Unrealized
Appreciation
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
(Capital
Loss
Carryforward)
$
45,884,870
$
6,304,131
$
(67,776)
$
6,236,355
$
—
$
2,134,461
December
31,
2021
December
31,
2020
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
Ordinary
Income
Distributions
Long-Term
Capital
Gain
Distributions
Return
of
Capital
$
2,513,157
$
3,988,4
20
$
—
$
906,724
$
1,320,148
$
—
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Highlights
—
December
31,
2021
Notes
to
Financial
Highlights
61
(a)
Average
daily
shares
outstanding
were
used
for
this
calculation.
(b)
Recognition
of
net
investment
income
by
the
Fund
is
affected
by
the
timing
of
the
declaration
of
dividends
by
the
Underlying
Funds
in
which
the
Fund
invests.
(c)
The
calculation
includes
only
those
expenses
charged
directly
to
the
Fund
and
does
not
include
expenses
charged
to
the
Underlying
Funds
in
which
the
Fund
invests.
(d)
May
reflect
amounts
waived
and
reimbursed
by
Russell
Investment
Management,
LLC
(“RIM”).
(e)
The
total
return
does
not
reflect
any
Insurance
Company
Separate
Account
or
Policy
Charges.
(f)
Less
than
$.01
per
share.
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements
—
December
31,
2021
62
Notes
to
Financial
Statements
1.
Organization
Russell
Investment
Funds
(the
“Investment
Company”
or
“RIF”)
is
a
series
investment
company
with
nine
different
investment
portfolios
referred
to
as
funds.
These
financial
statements
report
on
four
of
these
funds
(each
a
“Fund”
and
collectively
the
“Funds”).
The
Investment
Company
provides
the
investment
base
for
one
or
more
variable
insurance
products
issued
by
one
or
more
insurance
companies.
These
Funds
are
offered
at
net
asset
value
(“NAV”)
to
qualified
insurance
company
separate
accounts
offering
variable
insurance
products.
The
Investment
Company
is
registered
under
the
Investment
Company
Act
of
1940,
as
amended
(“Investment
Company
Act”),
as
an
open-end
management
investment
company.
It
is
organized
and
operated
as
a
Massachusetts
business
trust
under
a
Third
Amended
and
Restated
Master
Trust
Agreement
dated
December
7,
2020,
as
amended
(“Master
Trust
Agreement”),
and
the
provisions
of
Massachusetts
law
governing
the
operation
of
a
Massachusetts
business
trust.
The
Investment
Company’s
Master
Trust
Agreement
permits
the
Board
of
Trustees
(the
“Board”)
to
issue
an
unlimited
number
of
shares
of
beneficial
interest.
Each
of
the
Funds
is
diversified.
Under
the
Investment
Company
Act,
a
diversified
company
is
defined
as
a
management
company
which
meets
the
following
requirements:
at
least
75%
of
the
value
of
its
total
assets
is
represented
by
cash
and
cash
equivalents
(including
receivables),
government
securities,
securities
of
other
investment
companies,
and
other
securities
for
the
purposes
of
this
calculation
limited
in
respect
of
any
one
issuer
to
an
amount
not
greater
in
value
than
five
percent
of
the
value
of
the
total
assets
of
such
management
company
and
to
not
more
than
10%
of
the
outstanding
voting
securities
of
such
issuer.
Unless
otherwise
specified,
“period”
(as
used
within
the
financial
statements)
refers
to
the
fiscal
year
ended
December
31,
2021.
Each
of
the
Funds
listed
in
the
table
below
is
a
“fund
of
funds”
and
diversifies
its
assets
by
investing
in
shares
of
several
other
RIF
funds
and
in
certain
Russell
Investment
Company
(“RIC”)
funds
(the
“Underlying
Funds”).
Each
Fund
seeks
to
achieve
its
specific
investment
objective
by
investing
in
different
combinations
of
Underlying
Funds.
For
a
portion
of
the
period,
in
addition
to
investing
in
the
Underlying
Funds,
Russell
Investment
Management,
LLC
(“RIM”),
the
Funds’
investment
adviser,
directly
managed
Fund
assets
and
utilized
quantitative
and/or
rules
based
processes
and
qualitative
analysis
to
assess
Fund
characteristics.
During
the
period,
RIM
ceased
directly
managing
Fund
assets
and
as
a
result,
the
Funds
no
longer
directly
invest
in
derivative
instruments
or
hold
cash.
The
following
table
shows
each
Fund’s
approximate
expected
target
strategic
asset
allocation
to
equity,
fixed
income,
multi-asset,
and
alternative
asset
classes
effective
May
1,
2021.
As
of
December
31,
2021,
the
equity
Underlying
Funds
in
which
the
Funds
may
invest
include
the
RIC
Sustainable
Equity,
RIF
U.S.
Small
Cap
Equity,
RIF
U.S.
Strategic
Equity,
RIC
Emerging
Markets,
RIC
Global
Equity,
and
RIF
International
Developed
Markets
Funds.
The
fixed
income
Underlying
Funds
in
which
the
Funds
may
invest
include
the
RIC
Investment
Grade
Bond,
RIC
Opportunistic
Credit,
RIC
Short
Duration
Bond,
RIC
Unconstrained
Total
Return,
and
RIF
Strategic
Bond
Funds.
The
multi-asset
Underlying
Funds
in
which
the
Funds
may
invest
include
the
RIC
Multi-
Asset
Growth
Strategy
and
RIC
Multi-Strategy
Income
Funds.
The
alternative
Underlying
Funds
in
which
the
Funds
may
invest
include
the
RIC
Global
Infrastructure
and
RIF
Global
Real
Estate
Securities
Funds.
Each
Fund
intends
its
strategy
of
investing
in
combinations
of
equity,
fixed
income,
multi-asset
and
alternative
Underlying
Funds
to
result
in
investment
diversification
that
an
investor
could
otherwise
achieve
only
by
holding
numerous
individual
investments.
A
Fund's
actual
allocation
may
vary
from
the
target
strategic
asset
allocation
at
any
point
in
time
(1)
due
to
market
movements,
(2)
by
up
to
+/-5%
at
the
equity,
fixed
income,
multi-asset
or
alternative
category
level
based
on
RIM's
capital
markets
research
and/or
(3)
due
to
the
implementation
over
a
period
of
time
of
a
change
to
the
target
strategic
asset
allocation
including
the
addition
of
a
new
Underlying
Fund.
There
may
be
no
changes
in
the
asset
allocation
or
to
the
Underlying
Funds
in
a
given
period
or
such
changes
may
be
made
one
or
more
times
in
a
period.
*
As
described
above,
actual
asset
allocation
may
vary.
#
Alternative
Underlying
Funds
pursue
investment
strategies
that
differ
from
those
of
traditional
broad
market
equity
or
fixed
income
funds.
2.
Significant
Accounting
Policies
The
Funds’
financial
statements
are
prepared
in
accordance
with
U.S.
generally
accepted
accounting
principles
(“U.S.
GAAP”)
which
require
the
use
of
management
estimates
and
assumptions
at
the
date
of
the
financial
statements.
Actual
results
could
differ
from
those
estimates.
The
Funds
are
considered
investment
companies
under
U.S.
GAAP
and
follow
the
accounting
and
reporting
Asset
Allocation*
Moderate
Strategy
Fund
Balanced
Strategy
Fund
Growth
Strategy
Fund
Equity
Growth
Strategy
Fund
Equity
38%
58%
74%
85%
Fixed
Income
49%
30%
11%
—%
Multi-Asset
10%
8%
10%
10%
Alternative
#
3%
4%
5%
5%
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
63
guidance
applicable
to
investment
companies.
The
following
is
a
summary
of
the
significant
accounting
policies
consistently
followed
by
each
Fund
in
the
preparation
of
its
financial
statements.
Security
Valuation
The
Funds
value
portfolio
securities
according
to
Board-approved
securities
valuation
procedures
which
include
market
and
fair
value
procedures.
The
Board
has
delegated
the
responsibility
for
administration
of
the
securities
valuation
procedures
to
Russell
Investments
Fund
Services,
LLC
(“RIFUS”).
The
Funds
value
the
shares
of
the
Underlying
Funds
at
the
current
NAV
per
share
of
each
Underlying
Fund.
The
Funds
have
adopted
the
authoritative
guidance
under
U.S.
GAAP
for
estimating
the
fair
value
of
investments
in
funds
that
have
calculated
NAV
per
share
in
accordance
with
the
specialized
accounting
guidance
for
investment
companies.
Accordingly,
the
Funds
estimate
the
fair
value
of
an
investment
in
a
fund
using
the
NAV
per
share
without
further
adjustment
as
a
practical
expedient,
if
the
NAV
per
share
of
the
investment
is
determined
in
accordance
with
the
specialized
accounting
guidance
for
investment
companies
as
of
the
reporting
entity’s
measurement
date.
U.S.
GAAP
defines
fair
value
as
the
price
that
a
Fund
would
receive
to
sell
an
asset
or
pay
to
transfer
a
liability
in
an
orderly
transaction
between
market
participants
at
the
measurement
date.
It
establishes
a
fair
value
hierarchy
that
prioritizes
inputs
to
valuation
methods,
requires
a
separate
disclosure
of
the
fair
value
hierarchy
for
each
major
category
of
assets
and
liabilities,
and
segregates
fair
value
measurements
into
levels
(Level
1,
2,
and
3).
The
inputs
or
methodology
used
for
valuing
securities
are
not
necessarily
an
indication
of
the
risk
associated
with
investing
in
those
securities.
Levels
1,
2
and
3
of
the
fair
value
hierarchy
are
defined
as
follows:
Level
1
—
Quoted
prices
(unadjusted)
in
active
markets
or
exchanges
for
identical
assets
and
liabilities.
Level
2
—
Inputs
other
than
quoted
prices
included
within
Level
1
that
are
observable,
which
may
include,
but
are
not
limited
to,
quoted
prices
for
similar
assets
or
liabilities
in
markets
that
are
active,
quoted
prices
for
identical
or
similar
assets
or
liabilities
in
markets
that
are
not
active,
and
inputs
such
as
interest
rates,
yield
curves,
implied
volatilities,
credit
spreads
or
other
market
corroborated
inputs.
Level
3
—
Significant
unobservable
inputs
based
on
the
best
information
available
in
the
circumstances,
to
the
extent
observable
inputs
are
not
available,
which
may
include
assumptions
made
by
RIFUS,
acting
at
the
discretion
of
the
Board,
that
are
used
in
determining
the
fair
value
of
investments.
The
availability
of
observable
inputs
can
vary
from
security
to
security
and
is
affected
by
a
wide
variety
of
factors,
including,
for
example,
the
type
of
security,
whether
the
security
is
new
and
not
yet
established
in
the
marketplace,
the
liquidity
of
markets,
and
other
characteristics
particular
to
the
security.
To
the
extent
that
valuation
is
based
on
models
or
inputs
that
are
less
observable
or
unobservable
in
the
market,
the
determination
of
fair
value
requires
more
judgment.
Accordingly,
the
degree
of
judgment
exercised
in
determining
fair
value
is
greatest
for
instruments
categorized
in
Level
3.
The
inputs
or
methodology
used
for
valuing
securities
are
not
necessarily
an
indication
of
the
risk
associated
with
investing
in
those
securities.
The
inputs
used
to
measure
fair
value
may
fall
into
different
levels
of
the
fair
value
hierarchy.
In
such
cases,
for
disclosure
purposes,
the
level
in
the
fair
value
hierarchy
within
which
the
fair
value
measurement
falls
is
determined
based
on
the
lowest
level
input
that
is
significant
to
the
fair
value
measurement
in
its
entirety.
The
valuation
techniques
and
significant
inputs
used
in
determining
the
fair
market
values
of
financial
instruments
categorized
as
Level
1
and
Level
2
of
the
fair
value
hierarchy
are
as
follows:
Equity
securities,
including
common
and
preferred
stock,
short
securities,
ETFs
and
restricted
securities
that
are
traded
on
a
national
securities
exchange
(or
reported
on
the
NASDAQ
national
market),
are
stated
at
the
last
reported
sales
price
on
the
day
of
valuation
or
official
closing
price,
as
applicable.
To
the
extent
these
securities
are
actively
traded,
and
valuation
adjustments
are
not
applied,
they
are
categorized
as
Level
1
of
the
fair
value
hierarchy.
Investments
in
investment
funds
that
are
not
traded
on
a
national
securities
exchange
(or
reported
on
the
NASDAQ
national
market)
will
be
valued
based
upon
the
NAV
of
such
investments.
During
the
period
ended
December
31,
2021,
all
investments
held
were
classified
as
Level
1
within
the
fair
value
hierarchy.
Investment
Transactions
Investment
transactions
are
reflected
as
of
the
trade
date
for
financial
reporting
purposes.
This
may
cause
the
NAV
stated
in
the
financial
statements
to
be
different
from
the
NAV
at
which
shareholders
may
transact.
Realized
gains
and
losses
from
securities
transactions,
if
applicable,
are
recorded
on
the
basis
of
specific
identified
cost
incurred.
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
64
Notes
to
Financial
Statements
Investment
Income
Distributions
of
income
and
capital
gains
from
the
Funds
or
Underlying
Funds
are
recorded
on
the
ex-dividend
date.
Federal
Income
Taxes
Since
the
Investment
Company
is
a
Massachusetts
business
trust,
each
Fund
is
a
separate
corporate
taxpayer
and
determines
its
net
investment
income
and
capital
gains
(or
losses)
and
the
amounts
to
be
distributed
to
each
Fund’s
shareholders
without
regard
to
the
income
and
capital
gains
(or
losses)
of
the
other
Funds.
For
each
period,
each
Fund
intends
to
qualify
or
continue
to
qualify
as
a
regulated
investment
company
under
Subchapter
M
of
the
Internal
Revenue
Code
of
1986,
as
amended
(the
“Code”)
and
intends
to
distribute
all
of
its
taxable
income
and
capital
gains.
Therefore,
no
federal
income
tax
provision
is
required
for
the
Funds.
The
Funds
comply
with
the
authoritative
guidance
for
uncertainty
in
income
taxes
which
requires
management
to
determine
whether
a
tax
position
of
the
Funds
is
more
likely
than
not
to
be
sustained
upon
examination,
including
resolution
of
any
related
appeals
or
litigation
processes,
based
on
the
technical
merits
of
the
position.
For
tax
positions
meeting
the
more
likely
than
not
threshold,
the
tax
amount
recognized
in
the
financial
statements
is
reduced
by
the
largest
benefit
that
has
a
greater
than
50%
likelihood
of
being
realized
upon
ultimate
settlement
with
the
relevant
taxing
authority.
Management
determined
that
no
accruals
need
to
be
made
in
the
financial
statements
due
to
uncertain
tax
positions.
Management
continually
reviews
and
adjusts
the
Funds’
liability
for
income
taxes
based
on
analyses
of
tax
laws
and
regulations,
as
well
as
their
interpretations,
and
other
relevant
factors.
Each
Fund
files
a
U.S.
tax
return.
As
of
December
31,
2021,
the
Funds
had
recorded
no
liabilities
for
net
unrecognized
tax
benefits
relating
to
uncertain
income
tax
positions
they
have
taken
or
expect
to
take
in
future
tax
returns.
While
the
statute
of
limitations
remains
open
to
examine
the
Funds'
U.S.
tax
returns
filed
for
the
fiscal
years
ended
December
31,
2018
through
December
31,
2020,
no
examinations
are
in
progress
or
anticipated
at
this
time.
The
Funds
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.
Dividends
and
Distributions
to
Shareholders
Income
dividends,
capital
gain
distributions
and
return
of
capital,
if
any,
are
recorded
on
the
ex-dividend
date.
Income
dividends
are
generally
declared
and
paid
quarterly.
Capital
gain
distributions
are
generally
declared
and
paid
annually.
An
additional
distribution
may
be
paid
by
the
Funds
to
avoid
imposition
of
federal
income
and
excise
tax
on
any
remaining
undistributed
capital
gains
and
net
investment
income.
The
timing
and
characterization
of
certain
income
and
capital
gain
distributions
are
determined
in
accordance
with
federal
tax
regulations
which
may
differ
from
U.S.
GAAP.
As
a
result,
net
investment
income
and
net
realized
gain
(or
loss)
on
investments
and
foreign
currency-related
transactions
for
a
reporting
period
may
differ
significantly
from
distributions
during
such
period.
The
differences
between
tax
regulations
and
U.S.
GAAP
primarily
relate
to
investments
in
options,
futures,
forward
contracts,
swap
contracts,
the
Underlying
Funds
sold
at
a
loss,
wash
sale
deferrals
and
capital
loss
carryforwards.
Accordingly,
the
Funds
may
periodically
make
reclassifications
among
certain
of
their
capital
accounts
without
impacting
their
NAVs.
Expenses
Expenses
included
in
the
accompanying
financial
statements
reflect
the
expenses
of
each
Fund
and
do
not
include
those
expenses
incurred
by
the
Underlying
Funds.
Because
the
Underlying
Funds
have
varied
expense
and
fee
levels
and
the
Funds
may
own
different
proportions
of
the
Underlying
Funds
at
different
times,
the
amount
of
the
Underlying
Funds’
fees
and
expenses
incurred
indirectly
by
the
Funds
will
vary.
The
Funds
pay
their
own
expenses
other
than
those
expressly
assumed
by
RIM,
the
Funds’
adviser,
or
RIFUS.
Most
expenses
can
be
directly
attributed
to
the
individual
Funds.
Expenses
which
cannot
be
directly
attributed
to
a
specific
Fund
are
allocated
among
all
Funds
principally
based
on
their
relative
net
assets.
Derivatives
Until
September
16,
2021,
the
Funds
were
able
to
invest
in
derivatives.
Derivatives
are
instruments
or
agreements
whose
value
is
derived
from
an
underlying
security
or
index.
They
include
options,
futures,
swaps
and
forwards.
These
instruments
offer
unique
characteristics
and
risks
that
facilitated
the
Funds’
investment
strategies.
The
Funds
typically
used
derivatives
in
three
ways:
exposing
cash
to
markets,
hedging
and
return
enhancement.
In
addition,
the
Funds
were
able
to
enter
into
foreign
currency
exchange
contracts
for
trade
settlement
purposes.
The
Funds
were
able
to
pursue
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
65
their
strategy
of
being
fully
invested
by
exposing
cash
to
the
performance
of
segments
of
the
global
equity
market
by
purchasing
index
futures
contracts.
This
was
intended
to
cause
the
Funds
to
perform
as
though
cash
were
actually
invested
in
the
global
equity
market.
Hedging
was
able
to
be
used
by
the
Funds
to
limit
or
control
risks,
such
as
adverse
movements
in
exchange
rates
and
interest
rates.
Return
enhancement
previously
could
be
accomplished
through
the
use
of
derivatives
in
a
Fund,
including
using
derivatives
as
a
substitute
for
holding
physical
securities,
and
using
them
to
express
various
macro
views
(e.g.,
interest
rate
movements,
currency
movements,
and
macro
credit
strategies).
By
purchasing
certain
instruments,
the
Funds
were
able
to
more
effectively
achieve
the
desired
portfolio
characteristics
that
assisted
them
in
meeting
their
investment
objectives.
Depending
on
how
the
derivatives
were
structured
and
utilized,
the
risks
associated
with
them
may
have
varied
widely.
These
risks
include,
but
are
not
limited
to,
market
risk,
liquidity
risk,
leveraging
risk,
counterparty
risk,
basis
risk,
reinvestment
risk,
political
risk,
prepayment
risk,
extension
risk,
valuation
risk
and
credit
risk.
Futures,
certain
options
and
cleared
swaps
are
traded
or
cleared
on
an
exchange
or
central
exchange
clearing
house.
Exchange-
traded
or
exchange-cleared
transactions
generally
present
less
counterparty
risk
to
a
Fund.
The
exchange’s
clearing
house
stands
between
the
Fund
and
the
broker
to
the
contract
and
therefore,
credit
risk
is
generally
limited
to
the
failure
of
the
clearing
house
and
the
clearing
member.
Cleared
swap
contracts
are
subject
to
clearing
house
rules,
including
initial
and
variation
margin
requirement,
daily
settlement
of
obligations
and
the
clearing
house
guarantee
of
payments
to
the
broker.
There
is,
however,
still
counterparty
risk
due
to
the
insolvency
of
the
broker
with
respect
to
any
margin
held
in
the
broker’s
customer
accounts.
While
clearing
members
are
required
to
segregate
customer
assets
from
their
own
assets,
in
the
event
of
insolvency,
there
may
be
a
shortfall
in
the
amount
of
margin
held
by
the
broker
for
its
clients.
Collateral
and
margin
requirements
for
exchange-traded
or
exchange-cleared
derivatives
are
established
through
regulation,
as
well
as
set
by
the
broker
or
applicable
clearing
house.
Typically,
the
Funds
and
counterparties
are
not
permitted
to
sell,
repledge,
rehypothecate
or
otherwise
use
collateral
pledged
by
the
other
party
unless
explicitly
permitted
by
each
respective
governing
agreement.
The
effects
of
derivative
instruments,
categorized
by
risk
exposure,
on
the
Statements
of
Operations,
for
the
period
ended
December
31,
2021,
if
applicable,
are
disclosed
in
the
Fair
Value
of
Derivative
Instruments
table
following
each
applicable
Fund’s
Schedule
of
Investments.
Foreign
Currency
Exchange
Contracts
Until
September
16,
2021,
the
Funds
were
able
to
enter
into
foreign
currency
exchange
spot
contracts
and
forward
foreign
currency
exchange
contracts
(“FX
contracts”).
The
Funds
were
able
to
enter
into
FX
contracts
to
hedge
certain
foreign
currency-denominated
assets.
FX
contracts
are
recorded
at
fair
value.
Certain
risks
were
associated
with
entering
into
these
FX
contracts
from
the
potential
inability
of
counterparties
to
meet
the
terms
of
their
FX
contracts
and
were
generally
limited
to
the
amount
of
unrealized
gain
on
the
FX
contracts,
if
any,
that
are
disclosed
in
the
Statements
of
Assets
and
Liabilities.
For
the
period
ended
December
31,
2021,
the
following
Funds
entered
into
FX
contracts
primarily
for
the
strategies
listed
below:
The
Funds'
FX
contract
notional
dollar
values
outstanding
fluctuate
throughout
the
period
as
required
to
meet
strategic
objectives.
The
following
tables
illustrate
the
quarterly
volume
of
FX
contracts.
For
the
purpose
of
this
disclosure,
volume
is
measured
by
the
amounts
bought
and
sold
in
United
States
dollars
("USD").
Funds
Strategies
Moderate
Strategy
Fund
Return
enhancement
and
hedging
Balanced
Strategy
Fund
Return
enhancement
and
hedging
Outstanding
Contract
Amounts
Sold
Quarter
Ended
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
Moderate
Strategy
Fund
$
2,288,733
$
—
$
—
$
—
Balanced
Strategy
Fund
2,597,322
—
—
—
Outstanding
Contract
Amounts
Bought
Quarter
Ended
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
Moderate
Strategy
Fund
$
2,255,740
$
—
$
—
$
—
Balanced
Strategy
Fund
2,547,464
—
—
—
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
66
Notes
to
Financial
Statements
Options
Until
September
16,
2021,
the
Funds
were
able
to
purchase
and
sell
(write)
call
and
put
options
on
securities
and
securities
indices.
Such
options
are
traded
on
a
national
securities
exchange
or
in
an
OTC
market.
The
Funds
were
also
able
to
purchase
and
sell
(write)
call
and
put
options
on
foreign
currencies.
When
a
Fund
writes
a
covered
call
or
a
put
option,
an
amount
equal
to
the
premium
received
by
the
Fund
is
included
in
the
Fund’s
Statement
of
Assets
and
Liabilities
as
an
asset
and
as
an
equivalent
liability.
The
amount
of
the
liability
is
subsequently
marked-
to-market
to
reflect
the
current
fair
value
of
the
option
written.
The
Fund
receives
a
premium
on
the
sale
of
a
call
option
but
gives
up
the
opportunity
to
profit
from
any
increase
in
the
value
of
the
underlying
instrument
above
the
exercise
price
of
the
option,
and
when
the
Fund
writes
a
put
option
it
is
exposed
to
a
decline
in
the
price
of
the
underlying
instrument.
When
a
Fund
sells
an
uncovered
call
option,
it
does
not
simultaneously
have
a
long
position
in
the
underlying
security.
When
a
Fund
sells
an
uncovered
put
option,
it
does
not
simultaneously
have
a
short
position
in
the
underlying
security.
Uncovered
options
are
riskier
than
covered
options
because
there
is
no
underlying
security
held
by
the
Fund
that
can
act
as
a
partial
hedge.
Whether
an
option
which
the
Fund
has
written
expires
on
its
stipulated
expiration
date
or
the
Fund
enters
into
a
closing
purchase
transaction,
the
Fund
realizes
a
gain
(or
loss,
if
the
cost
of
a
closing
purchase
transaction
exceeds
the
premium
received
when
the
option
was
sold)
without
regard
to
any
unrealized
gain
or
loss
on
the
underlying
security,
and
the
liability
related
to
such
option
is
extinguished.
If
a
call
option
which
the
Fund
has
written
is
exercised,
the
Fund
realizes
a
capital
gain
or
loss
from
the
sale
of
the
underlying
security,
and
the
proceeds
from
such
sale
are
increased
by
the
premium
originally
received.
When
a
put
option
which
a
Fund
has
written
is
exercised,
the
amount
of
the
premium
originally
received
will
reduce
the
cost
of
the
security
which
a
Fund
purchases
upon
exercise
of
the
option.
The
Funds’
use
of
written
options
involved,
to
varying
degrees,
elements
of
market
risk
in
excess
of
the
amount
recognized
in
the
Statements
of
Assets
and
Liabilities.
The
face
or
contract
amounts
of
these
instruments
reflect
the
extent
of
the
Funds’
exposure
to
market
risk.
The
risks
may
be
caused
by
an
imperfect
correlation
between
movements
in
the
price
of
the
instrument
and
the
price
of
the
underlying
securities
and
interest
rates.
Until
September
16,
2021,
the
Funds
were
able
to
enter
into
swaptions
(an
option
on
a
swap).
In
a
swaption,
in
exchange
for
an
option,
the
buyer
gains
the
right
but
not
the
obligation
to
enter
into
a
specified
swap
agreement
with
the
issuer
on
a
specified
future
date.
The
writer
of
the
contract
receives
the
premium
and
bears
the
risk
of
unfavorable
changes
in
the
preset
rate
on
the
underlying
swap.
For
the
period
ended
December
31,
2021,
the
Funds
did
not
enter
into
any
options.
Futures
Contracts
Until
September
16,
2021,
the
Funds
were
able
to
invest
in
futures
contracts
(i.e.,
interest
rate,
foreign
currency
and
index
futures
contracts).
The
face
or
contract
value
of
these
instruments
reflect
the
extent
of
the
Funds’
exposure
to
off
balance
sheet
risk.
The
primary
risks
associated
with
the
use
of
futures
contracts
are
an
imperfect
correlation
between
the
change
in
fair
value
of
the
securities
held
by
the
Funds
and
the
prices
of
futures
contracts,
and
the
possibility
of
an
illiquid
market.
Upon
entering
into
a
futures
contract,
the
Funds
were
required
to
deposit
with
a
broker
an
amount,
termed
the
initial
margin,
which
typically
represents
5%
to
10%
of
the
purchase
price
indicated
in
the
futures
contract.
Payments
to
and
from
the
broker,
known
as
variation
margin,
are
typically
required
to
be
made
on
a
daily
basis
as
the
price
of
the
futures
contract
fluctuates.
Changes
in
initial
settlement
value
are
accounted
for
as
unrealized
appreciation
(depreciation)
until
the
contracts
are
terminated,
at
which
time
realized
gains
and
losses
are
recognized.
For
the
period
ended
December
31,
2021,
the
following
Funds
entered
into
futures
contracts
primarily
for
the
strategies
listed
below:
The
Funds'
futures
contracts
notional
amounts
fluctuate
throughout
the
period
as
required
to
meet
strategic
objectives.
The
following
table
illustrates
the
quarterly
volume
of
futures
contracts
measured
by
notional
in
USD.
Funds
Strategies
Moderate
Strategy
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Balanced
Strategy
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Growth
Strategy
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Equity
Growth
Strategy
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
67
Swap
Agreements
Until
September
16,
2021,
the
Funds
were
able
to
enter
into
swap
agreements,
on
either
an
asset-based
or
liability-based
basis,
depending
on
whether
they
were
hedging
their
assets
or
their
liabilities,
and
would
usually
enter
into
swaps,
if
any,
on
a
net
basis
(i.e.,
the
two
payment
streams
are
netted
out,
with
the
Funds
receiving
or
paying
only
the
net
amount
of
the
two
payments).
When
a
Fund
engaged
in
a
swap,
it
exchanged
its
obligations
to
pay
or
rights
to
receive
payments
for
the
obligations
to
pay
or
rights
to
receive
payments
of
another
party
(i.e.,
an
exchange
of
floating
rate
payments
for
fixed
rate
payments).
The
Funds
were
able
to
enter
into
several
different
types
of
swap
agreements,
including
credit
default,
interest
rate,
total
return
(equity
and/or
index)
and
currency
swaps.
Credit
default
swaps
are
counterparty
agreements
which
allow
the
transfer
of
third-party
credit
risk
(the
possibility
that
an
issuer
will
default
on
its
obligation
by
failing
to
pay
principal
or
interest
in
a
timely
manner)
from
one
party
to
another.
The
lender
faces
the
credit
risk
from
a
third-party
and
the
counterparty
in
the
swap
agrees
to
insure
this
risk
in
exchange
for
regular
periodic
payments.
Interest
rate
swaps
are
counterparty
agreements,
can
be
customized
to
meet
each
party’s
needs,
and
involve
the
exchange
of
a
fixed
or
variable
payment
per
period
for
a
payment
that
is
not
fixed.
Total
return
swaps
are
counterparty
agreements
where
two
parties
exchange
two
sets
of
cash
flows
on
predetermined
dates
for
an
agreed
upon
amount
of
time.
The
cash
flows
will
typically
be
an
equity
index
value
swapped
with
a
floating
rate
such
as
LIBOR
plus
or
minus
a
pre-defined
spread.
Total
return
swap
agreements
are
counterparty
agreements
intended
to
expose
cash
to
markets
or
to
effect
investment
transactions
consistent
with
the
Fund’s
investment
objectives
and
strategies.
Currency
swaps
are
counterparty
agreements
where
two
parties
exchange
specified
amounts
of
different
currencies
which
are
followed
by
each
paying
the
other
a
series
of
interest
payments
that
are
based
on
the
principal
cash
flow.
At
maturity
the
principal
amounts
are
returned.
The
Funds
generally
expected
to
enter
into
these
transactions
primarily
to
preserve
a
return
or
spread
on
a
particular
investment
or
portion
of
their
portfolios
or
to
protect
against
any
increase
in
the
price
of
securities
they
anticipated
purchasing
at
a
later
date,
or
for
return
enhancement.
Under
most
swap
agreements
entered
into
by
a
Fund,
the
parties'
obligations
are
determined
on
a
"net
basis".
The
net
amount
of
the
excess,
if
any,
of
the
Funds’
obligations
over
their
entitlements
with
respect
to
each
swap
will
be
accrued
on
a
daily
basis
and
an
amount
of
cash
or
liquid
assets
having
an
aggregate
NAV
at
least
equal
to
the
accrued
excess
will
be
segregated.
To
the
extent
that
the
Funds
enter
into
swaps
on
other
than
a
net
basis,
the
amount
maintained
in
a
segregated
account
will
be
the
full
amount
of
the
Funds’
obligations,
if
any,
with
respect
to
such
swaps,
accrued
on
a
daily
basis.
If
there
is
a
default
by
the
other
party
to
such
a
transaction,
the
Funds
will
have
contractual
remedies
pursuant
to
the
agreement
related
to
the
transaction.
A
Fund
may
not
receive
the
expected
amount
under
a
swap
agreement
if
the
other
party
to
the
agreement
defaults
or
becomes
bankrupt.
Credit
Default
Swaps
Until
September
16,
2021,
the
Funds
were
able
to
enter
into
credit
default
swaps.
A
credit
default
swap
can
refer
to
corporate
issues,
government
issues,
asset-backed
securities
or
an
index
of
assets,
each
known
as
the
reference
entity
or
underlying
asset.
The
Funds
have
acted
as
either
the
buyer
or
the
seller
of
a
credit
default
swap
involving
one
party
making
a
stream
of
payments
to
another
party
in
exchange
for
the
right
to
receive
a
specified
return
in
the
event
of
a
default
or
other
credit
event.
Depending
upon
the
terms
of
the
contract,
the
credit
default
swap
may
be
closed
via
physical
settlement.
However,
due
to
the
possible
or
potential
instability
in
the
market,
there
was
a
risk
that
one
party
may
be
unable
to
deliver
the
underlying
debt
security
to
the
other
party
to
the
agreement.
Additionally,
one
party
may
not
receive
the
expected
amount
under
the
swap
agreement
if
the
other
party
to
the
agreement
defaults
or
becomes
bankrupt.
In
an
unhedged
credit
default
swap,
the
Funds
would
enter
into
a
credit
default
swap
without
owning
the
underlying
asset
or
debt
issued
by
the
reference
entity.
Credit
default
swaps
allowed
the
Funds
to
acquire
or
reduce
credit
exposure
to
a
particular
issuer,
asset
or
basket
of
instruments.
As
the
seller
of
protection
in
a
credit
default
swap,
a
Fund
would
be
required
to
pay
the
par
or
other
agreed-upon
value
(or
otherwise
perform
according
to
the
swap
contract)
of
a
reference
debt
obligation
to
the
counterparty
in
the
event
of
a
default
(or
other
specified
credit
event)
and
the
counterparty
would
be
required
to
surrender
the
reference
debt
obligation.
In
return,
the
Fund
would
receive
from
the
counterparty
a
periodic
stream
of
payments
over
the
term
of
the
contract
provided
that
no
credit
event
has
occurred.
If
no
Notional
of
Futures
Contracts
Outstanding
Funds
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
Moderate
Strategy
Fund
$
27,951,945
$
—
$
—
$
—
Balanced
Strategy
Fund
93,251,201
—
—
—
Growth
Strategy
Fund
77,233,215
—
—
—
Equity
Growth
Strategy
Fund
16,510,158
—
—
—
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
68
Notes
to
Financial
Statements
credit
event
occurs,
the
Fund
would
keep
the
stream
of
payments
and
would
have
no
payment
obligations.
As
a
seller
of
protection,
the
Fund
would
effectively
add
leverage
to
its
portfolio
because,
in
addition
to
its
total
net
assets,
that
Fund
would
be
subject
to
investment
exposure
on
the
notional
amount
of
the
swap.
The
Funds
were
also
able
to
purchase
protection
via
credit
default
swap
contracts
in
order
to
offset
the
risk
of
default
of
debt
securities
held
in
their
portfolios
or
to
take
a
short
position
in
a
debt
security,
in
which
case
the
Fund
would
function
as
the
counterparty
referenced
in
the
preceding
paragraph.
If
a
credit
event
occurs
and
cash
settlement
is
not
elected,
a
variety
of
other
deliverable
obligations
may
be
delivered
in
lieu
of
the
specific
referenced
obligation.
The
ability
to
deliver
other
obligations
may
result
in
a
cheapest-to-deliver
option
(i.e.,
the
buyer
of
protection’s
right
to
choose
the
deliverable
obligation
with
the
lowest
value
following
a
credit
event).
The
Funds
were
able
to
use
credit
default
swaps
to
provide
a
measure
of
protection
against
defaults
of
the
issuers
(i.e.,
to
reduce
risk
where
Funds
own
or
have
exposure
to
the
referenced
obligation)
or
to
take
an
active
long
or
short
position
with
respect
to
the
likelihood
(as
measured
by
the
credit
default
swap’s
spread)
of
a
particular
issuer’s
default.
Deliverable
obligations
for
credit
default
swaps
on
asset-backed
securities
in
most
instances
are
limited
to
the
specific
referenced
obligation
as
performance
for
asset-backed
securities
can
vary
across
deals.
Prepayments,
principal
paydowns,
and
other
writedown
or
loss
events
on
the
underlying
mortgage
loans
will
reduce
the
outstanding
principal
balance
of
the
referenced
obligation.
These
reductions
may
be
temporary
or
permanent
as
defined
under
the
terms
of
the
swap
agreement
and
the
notional
amount
for
the
swap
agreement
generally
will
be
adjusted
by
corresponding
amounts.
The
Funds
were
able
to
use
credit
default
swaps
on
asset-backed
securities
to
provide
a
measure
of
protection
against
defaults
(or
other
defined
credit
events)
of
the
referenced
obligation
or
to
take
an
active
long
or
short
position
with
respect
to
the
likelihood
of
a
particular
referenced
obligation’s
default
(or
another
defined
credit
event).
Credit
default
swap
agreements
on
credit
indices
involve
one
party
making
a
stream
of
payments
to
another
party
in
exchange
for
the
right
to
receive
a
specified
return
in
the
event
of
a
write-down,
principal
shortfall,
interest
shortfall
or
default
of
all
or
part
of
the
referenced
entities
comprising
the
credit
index.
A
credit
index
is
a
basket
of
credit
instruments
or
exposures
designed
to
be
representative
of
some
part
of
the
credit
market
as
a
whole.
These
indices
are
made
up
of
reference
credits
that
are
judged
by
a
poll
of
dealers
to
be
the
most
liquid
entities
in
the
credit
default
swap
market
based
on
the
sector
of
the
index.
Components
of
the
indices
may
include,
but
are
not
limited
to,
investment
grade
securities,
high
yield
securities,
asset-backed
securities,
emerging
markets,
and/or
various
credit
ratings
within
each
sector.
Credit
indices
are
traded
using
credit
default
swaps
with
standardized
terms
including
a
fixed
spread
and
standard
maturity
dates.
An
index
credit
default
swap
references
all
the
names
in
the
index,
and
if
there
is
a
default,
the
credit
event
is
settled
based
on
that
name’s
weight
in
the
index.
The
composition
of
the
indices
changes
periodically,
usually
every
six
months,
and,
for
most
indices,
each
name
has
an
equal
weight
in
the
index.
Traders
may
use
credit
default
swaps
on
indices
to
speculate
on
changes
in
credit
quality.
Implied
credit
spreads,
represented
in
absolute
terms,
utilized
in
determining
the
fair
value
of
credit
default
swap
agreements
on
corporate
issues
as
of
period-end
are
disclosed
in
the
Schedules
of
Investments
and
generally
serve
as
an
indicator
of
the
current
status
of
the
payment/performance
risk
and
represent
the
likelihood
or
risk
of
default
(or
other
defined
credit
event)
for
the
credit
derivative.
The
implied
credit
spread
of
a
particular
referenced
entity
reflects
the
cost
of
entering
into
a
credit
default
swap
and
may
include
upfront
payments
required
to
be
made
to
enter
into
the
agreement.
For
credit
default
swap
agreements
on
asset-
backed
securities
and
credit
indices,
the
quoted
market
prices
and
resulting
values
serve
as
the
indicator
of
the
current
status
of
the
payment/performance
risk.
Wider
credit
spreads
and
increasing
fair
values,
in
absolute
terms
when
compared
to
the
notional
amount
of
the
swap,
generally
represent
a
deterioration
of
the
referenced
entity’s
credit
soundness
and
a
greater
likelihood
or
risk
of
default
or
other
credit
event
occurring
as
defined
under
the
terms
of
the
agreement.
The
maximum
potential
amount
of
future
payments
(undiscounted)
that
a
seller
of
protection
could
be
required
to
make
under
a
credit
default
swap
agreement
equals
the
notional
amount
of
the
agreement.
Notional
amounts
of
all
credit
default
swap
agreements
outstanding
as
of
December
31,
2021,
for
which
a
Fund
is
the
seller
of
protection,
are
disclosed
in
the
Schedules
of
Investments.
These
potential
amounts
would
be
partially
offset
by
any
recovery
values
of
the
respective
referenced
obligations,
upfront
payments
received
upon
entering
into
the
agreement,
or
net
amounts
received
from
the
settlement
of
buy
protection
credit
default
swap
agreements
entered
into
by
a
Fund
for
the
same
referenced
entity
or
entities.
Credit
default
swaps
could
result
in
losses
if
the
Funds
did
not
correctly
evaluate
the
creditworthiness
of
the
company
or
companies
on
which
the
credit
default
swap
is
based.
Credit
default
swap
agreements
may
involve
greater
risks
than
if
the
Funds
had
invested
in
the
reference
obligation
directly
since,
in
addition
to
risks
relating
to
the
reference
obligation,
credit
default
swaps
are
subject
to
illiquidity
and
counterparty
risk.
A
Fund
generally
incurred
a
greater
degree
of
risk
when
it
sold
a
credit
default
swap
than
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
69
when
it
purchased
a
credit
default
swap.
As
a
buyer
of
a
credit
default
swap,
a
Fund
may
lose
its
investment
and
recover
nothing
should
a
credit
event
fail
to
occur
and
the
swap
is
held
to
its
termination
date.
As
seller
of
a
credit
default
swap,
if
a
credit
event
were
to
occur,
the
value
of
any
deliverable
obligation
received
by
a
Fund,
coupled
with
the
upfront
or
periodic
payments
previously
received,
may
be
less
than
what
it
pays
to
the
buyer,
resulting
in
a
loss
of
value
to
the
Fund.
If
the
creditworthiness
of
a
Fund’s
swap
counterparty
declines,
the
risk
that
the
counterparty
may
not
perform
could
increase,
potentially
resulting
in
a
loss
to
the
Fund.
To
limit
the
counterparty
risk
involved
in
swap
agreements,
the
Funds
only
entered
into
swap
agreements
with
counterparties
that
met
certain
standards
of
creditworthiness.
Although
there
can
be
no
assurance
the
Funds
were
able
to
do
so,
the
Funds
may
have
been
able
to
reduce
or
eliminate
their
exposure
under
a
swap
agreement
either
by
assignment
or
other
disposition,
or
by
entering
into
an
offsetting
swap
agreement
with
the
same
party
or
another
creditworthy
party.
The
Funds
had
limited
ability
to
eliminate
their
exposure
under
a
credit
default
swap
if
the
credit
quality
of
the
reference
entity
or
underlying
asset
had
declined.
For
the
period
ended
December
31,
2021,
the
following
Funds
entered
into
credit
default
swaps
primarily
for
the
strategies
listed
below:
The
Funds'
credit
default
swap
contract
notional
amounts
outstanding
fluctuate
throughout
the
period
as
required
to
meet
strategic
objectives.
The
following
table
illustrates
the
quarterly
volume
of
credit
default
swap
contracts.
For
the
purpose
of
this
disclosure,
volume
is
measured
by
the
notional
amounts
outstanding
in
USD
at
each
quarter
end.
Total
Return
Swaps
Until
September
16,
2021,
the
Funds
were
able
to
enter
into
total
return
swap
agreements
to
expose
cash
to
markets
or
to
effect
investment
transactions.
Total
return
swap
agreements
are
two-party
contracts
entered
into
primarily
by
institutional
investors
for
periods
ranging
from
a
few
weeks
to
more
than
one
year.
In
a
standard
total
return
swap
transaction,
the
two
parties
agree
to
exchange
the
returns
(or
differentials
in
rates
of
return)
earned
or
realized
on
particular
investments
or
instruments.
The
returns
to
be
exchanged
between
the
parties
are
calculated
with
respect
to
a
“notional
amount”
(i.e.,
a
specified
dollar
amount
that
is
hypothetically
invested
in
a
“basket”
of
securities
representing
a
particular
index).
For
the
period
ended
December
31,
2021,
the
Funds
did
not
enter
into
any
total
return
swaps.
Master
Agreements
Certain
Funds
are
parties
to
International
Swaps
and
Derivatives
Association,
Inc.
Master
Agreements
(“ISDA
Master
Agreements”)
with
counterparties
that
govern
transactions
in
OTC
derivative
and
foreign
exchange
contracts
entered
into
by
the
Funds
and
those
counterparties.
The
ISDA
Master
Agreements
contain
provisions
for,
among
other
things,
general
obligations,
representations,
agreements,
collateral
and
events
of
default
or
termination.
Events
of
termination
and
default
include
conditions
that
may
entitle
either
party
to
elect
to
terminate
early
and
cause
settlement
of
all
outstanding
transactions
under
the
applicable
ISDA
Master
Agreement.
Any
election
to
terminate
early
could
be
material
to
the
financial
statements.
Since
different
types
of
forward
and
OTC
financial
derivative
transactions
have
different
mechanics
and
are
sometimes
traded
out
of
different
legal
entities
of
a
particular
counterparty
organization,
each
type
of
transaction
may
be
covered
by
a
different
ISDA
Master
Agreement,
resulting
in
the
need
for
multiple
agreements
with
a
single
counterparty.
As
the
ISDA
Master
Agreements
are
specific
to
unique
operations
of
different
asset
types,
they
allow
a
Fund
to
net
its
total
exposure
to
a
counterparty
in
the
event
of
a
default
with
respect
to
all
the
transactions
governed
under
a
single
agreement
with
a
counterparty.
Funds
Strategies
Moderate
Strategy
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Balanced
Strategy
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Growth
Strategy
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Equity
Growth
Strategy
Fund
Return
enhancement,
hedging
and
exposing
cash
to
markets
Credit
Default
Swap
Notional
Amounts
Outstanding
Quarter
Ended
March
31,
2021
June
30,
2021
September
30,
2021
December
31,
2021
Moderate
Strategy
Fund
$
11,000,000
$
—
$
—
$
—
Balanced
Strategy
Fund
8,430,000
—
—
—
Growth
Strategy
Fund
10,400,000
—
—
—
Equity
Growth
Strategy
Fund
500,000
—
—
—
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
70
Notes
to
Financial
Statements
Master
Securities
Forward
Transaction
Agreements
(“Master
Forward
Agreements”)
govern
the
considerations
and
factors
surrounding
the
settlement
of
certain
forward
settling
transactions,
such
as
delayed
delivery
by
and
between
a
Fund
and
select
counterparties.
The
Master
Forward
Agreements
contain
provisions
for,
among
other
things,
initiation
and
confirmation,
payment
and
transfer,
events
of
default,
termination,
and
maintenance
of
collateral.
Guarantees
In
the
normal
course
of
business,
the
Funds
may
enter
into
contracts
that
contain
a
variety
of
representations
which
provide
general
indemnifications.
The
Funds’
maximum
exposure
under
these
arrangements
is
unknown
as
this
would
involve
future
claims
that
may
be
made
against
the
Funds
that
have
not
yet
occurred.
However,
the
Funds
expect
the
risk
of
loss
to
be
remote.
LIBOR
The
Underlying
Funds
may
invest
in
certain
instruments
including,
but
not
limited
to,
repurchase
agreements,
collateralized
loan
obligations
and
mortgage-backed
securities,
that
rely
in
some
fashion
upon
LIBOR.
LIBOR
is
an
average
interest
rate,
determined
by
the
ICE
Benchmark
Administration,
that
banks
charge
one
another
for
the
use
of
short-term
money.
The
United
Kingdom’s
Financial
Conduct
Authority
(“FCA”),
which
regulates
LIBOR,
has
announced
plans
to
phase
out
the
use
of
LIBOR
by
the
end
of
2021.
However,
subsequent
announcements
by
the
FCA,
the
LIBOR
administrator
and
other
regulators
indicate
that
it
is
possible
that
certain
LIBORs
may
continue
beyond
2021
and
certain
of
the
most
widely
used
LIBORs
may
continue
until
mid-2023.
There
remains
uncertainty
regarding
the
future
utilization
of
LIBOR
and
the
nature
of
any
replacement
rate
(e.g.,
the
Secured
Overnight
Financing
Rate,
which
is
intended
to
replace
U.S.
dollar
LIBOR
and
measures
the
cost
of
overnight
borrowings
through
repurchase
agreement
transactions
collateralized
with
U.S.
Treasury
securities).
Any
potential
effects
of
the
transition
away
from
LIBOR
on
the
Underlying
Funds
or
on
certain
instruments
in
which
an
Underlying
Fund
invests
can
be
difficult
to
ascertain,
and
they
may
vary
depending
on
factors
that
include,
but
are
not
limited
to:
(i)
existing
fallback
or
termination
provisions
in
individual
contracts
and
(ii)
whether,
how,
and
when
industry
participants
develop
and
adopt
new
reference
rates
and
fallbacks
for
both
legacy
and
new
products
and
instruments.
For
example,
certain
of
the
Underlying
Funds'
investments
may
involve
individual
contracts
that
have
no
existing
fallback
provision
or
language
that
contemplates
the
discontinuation
of
LIBOR,
and
those
investments
could
experience
increased
volatility
or
illiquidity
as
a
result
of
the
transition
process.
In
addition,
interest
rate
provisions
included
in
such
contracts
may
need
to
be
renegotiated
in
contemplation
of
the
transition
away
from
LIBOR.
The
transition
may
also
result
in
a
reduction
in
the
value
of
certain
instruments
held
by
an
Underlying
Fund,
including
those
described
in
this
paragraph,
or
a
reduction
in
the
effectiveness
of
related
Underlying
Fund
transactions
such
as
hedges.
Any
such
effects
of
the
transition
away
from
LIBOR,
as
well
as
other
unforeseen
effects,
could
result
in
losses
to
an
Underlying
Fund.
Market,
Credit
and
Counterparty
Risk
In
the
normal
course
of
business,
the
Underlying
Funds
trade
financial
instruments
and
enter
into
financial
transactions
where
risk
of
potential
loss
exists
due
to
changes
in
the
market
(market
risk)
or
failure
of
the
other
party
to
a
transaction
to
perform
(credit
risk).
Similar
to
credit
risk,
the
Underlying
Funds
may
also
be
exposed
to
counterparty
risk
or
risk
that
an
institution
or
other
entity
with
which
the
Underlying
Funds
have
unsettled
or
open
transactions
will
default.
The
potential
loss
could
exceed
the
value
of
the
relevant
assets
recorded
in
the
Underlying
Funds'
financial
statements
(the
“Assets”).
The
Assets
consist
principally
of
cash
due
from
counterparties
and
investments.
The
extent
of
the
Underlying
Funds'
exposure
to
market,
credit
and
counterparty
risks
with
respect
to
the
Assets
approximates
their
carrying
value
as
recorded
in
the
Underlying
Funds'
Statements
of
Assets
and
Liabilities.
Global
economies
and
financial
markets
are
becoming
increasingly
interconnected
and
political
and
economic
conditions
(including
recent
instability
and
volatility
due
to
international
trade
disputes)
and
events
(including
natural
disasters,
pandemics,
epidemics,
social
unrest
and
government
shutdowns)
in
one
country,
region
or
financial
market
may
adversely
impact
issuers
in
a
different
country,
region
or
financial
market.
As
a
result,
issuers
of
securities
held
by
an
Underlying
Fund
may
experience
significant
declines
in
the
value
of
their
assets
and
even
cease
operations.
Such
conditions
and/or
events
may
not
have
the
same
impact
on
all
types
of
securities
and
may
expose
an
Underlying
Fund
to
greater
market
and
liquidity
risk
and
potential
difficulty
in
valuing
portfolio
instruments
held
by
an
Underlying
Fund.
This
could
cause
an
Underlying
Fund
to
underperform
other
types
of
investments.
From
time
to
time,
as
occurred
in
early
2020,
outbreaks
of
infectious
illness,
public
health
emergencies
and
other
similar
issues
(“public
health
events”)
may
occur
in
one
or
more
countries
around
the
globe.
Such
public
health
events
have
had
significant
impacts
on
both
the
country
in
which
the
event
is
first
identified
as
well
as
other
countries
in
the
global
economy.
Public
health
events
have
reduced
consumer
demand
and
economic
output
in
one
or
more
countries
subject
to
the
public
health
event,
resulted
in
restrictions
on
trading
and
market
closures
(including
for
extended
periods
of
time),
increased
substantially
the
volatility
of
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
71
financial
markets,
and
more
generally,
have
had
a
significant
negative
impact
on
the
economy
of
the
country
or
countries
subject
to
the
public
health
event.
Public
health
events
have
also
adversely
affected
the
global
economy,
global
supply
chains
and
the
securities
in
which
the
Underlying
Fund’s
invest
across
a
number
of
industries,
sectors
and
asset
classes.
The
extent
of
the
impact
depends
on,
among
other
factors,
the
scale
and
duration
of
any
such
public
health
event.
Public
health
events
have
resulted
in
the
governments
of
affected
countries
taking
potentially
significant
measures
to
seek
to
mitigate
the
transmission
of
the
infectious
illness
or
other
public
health
issue
including,
among
other
measures,
imposing
travel
restrictions
and/or
quarantines
and
limiting
the
operations
of
non-essential
businesses.
Any
of
these
events
could
adversely
affect
an
Underlying
Fund’s
investments
and
performance,
including
by
exacerbating
other
pre-existing
political,
social
and
economic
risks.
Governmental
authorities
and
other
entities
may
respond
to
such
events
with
fiscal
and/or
monetary
policy
changes.
It
is
not
guaranteed
that
these
policy
changes
will
have
their
intended
effect
and
it
is
possible
that
the
implementation
of
or
subsequent
reversal
of
such
policy
changes
could
increase
volatility
in
financial
markets,
which
could
adversely
affect
an
Underlying
Fund’s
investments
and
performance.
3.
Investment
Transactions
Securities
During
the
period
ended
December
31,
2021,
the
Funds’
purchases
and
sales
of
investment
securities
(excluding
short-term
investments)
were
as
follows:
4.
Related
Party
Transactions,
Fees
and
Expenses
Adviser,
Administrator,
Transfer
and
Dividend
Disbursing
Agent
RIM
provides
or
oversees
the
provision
of
all
investment
advisory
and
portfolio
management
services
for
the
Funds.
RIFUS
is
the
Funds'
administrator
and
transfer
agent.
RIFUS,
in
its
capacity
as
the
Funds'
administrator,
provides
or
oversees
the
provision
of
all
administrative
services
for
the
Funds.
RIFUS,
in
its
capacity
as
the
Funds'
transfer
agent
and
dividend
disbursing
agent,
is
responsible
for
providing
transfer
agency
and
dividend
disbursing
services
to
the
Funds.
RIFUS
is
a
wholly-owned
subsidiary
of
RIM.
RIM
is
an
indirect,
wholly-owned
subsidiary
of
Russell
Investments
Group,
Ltd.
Prior
to
September
16,
2021,
the
Funds
were
permitted
to
invest
their
cash
(i.e.,
cash
awaiting
investment
or
cash
held
to
meet
redemption
requests
or
to
pay
expenses)
in
the
U.S.
Cash
Management
Fund,
an
unregistered
fund
advised
by
RIM.
An
affiliated
company
is
a
company
in
which
a
Fund
has
ownership
of
at
least
5%
of
the
voting
securities
or
which
the
Fund
controls,
is
controlled
by
or
is
under
common
control
with.
See
each
Fund’s
Related
Party
Transactions,
Fees
and
Expenses
for
disclosure
of
transactions
with
affiliated
companies.
The
advisory
fee
of
0.20%
is
based
upon
the
average
daily
net
assets
of
each
Fund
and
the
administration
fee
of
up
to
0.0425%
is
based
on
the
combined
average
daily
net
assets
of
the
Funds.
Advisory
and
administration
fees
are
paid
monthly.
The
following
table
shows
the
total
amount
of
each
of
these
fees
paid
by
the
Funds
for
the
period
ended
December
31,
2021:
RIM
has
agreed
to
certain
waivers
of
its
advisory
fees
as
follows:
For
the
Moderate
Strategy
Fund,
RIM
has
contractually
agreed,
until
April
30,
2022,
to
waive
up
to
the
full
amount
of
its
0.20%
advisory
fee
and
then
to
reimburse
the
Fund
for
other
direct
Fund-level
expenses
to
the
extent
that
direct
Fund-level
expenses
Purchases
Sales
Moderate
Strategy
Fund
$
56,021,356
$
49,713,948
Balanced
Strategy
Fund
128,136,529
119,542,906
Growth
Strategy
Fund
113,063,547
106,457,151
Equity
Growth
Strategy
Fund
28,262,850
23,246,752
Advisory
Administrative
Moderate
Strategy
Fund
$
192,114
$
40,824
Balanced
Strategy
Fund
517,690
110,009
Growth
Strategy
Fund
415,741
88,345
Equity
Growth
Strategy
Fund
98,733
20,981
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
72
Notes
to
Financial
Statements
exceed
0.14%
of
the
average
daily
net
assets
of
the
Fund
on
an
annual
basis.
Direct
Fund-level
expenses
do
not
include
infrequent
and/or
unusual
expenses
or
the
expenses
of
other
investment
companies
in
which
the
Fund
invests,
including
the
Underlying
Funds,
which
are
borne
indirectly
by
the
Fund.
This
waiver
and
reimbursement
may
not
be
terminated
during
the
relevant
period
except
with
Board
approval.
For
the
Balanced
Strategy
Fund,
RIM
has
contractually
agreed,
until
April
30,
2022,
to
waive
up
to
the
full
amount
of
its
0.20%
advisory
fee
and
then
to
reimburse
the
Fund
for
other
direct
Fund-level
expenses
to
the
extent
that
direct
Fund-level
expenses
exceed
0.14%
of
the
average
daily
net
assets
of
the
Fund
on
an
annual
basis.
Direct
Fund-level
expenses
do
not
include
infrequent
and/or
unusual
expenses
or
the
expenses
of
other
investment
companies
in
which
the
Fund
invests,
including
the
Underlying
Funds,
which
are
borne
indirectly
by
the
Fund.
This
waiver
and
reimbursement
may
not
be
terminated
during
the
relevant
period
except
with
Board
approval.
For
the
Growth
Strategy
Fund,
RIM
has
contractually
agreed,
until
April
30,
2022,
to
waive
up
to
the
full
amount
of
its
0.20%
advisory
fee
and
then
to
reimburse
the
Fund
for
other
direct
Fund-level
expenses
to
the
extent
that
direct
Fund-level
expenses
exceed
0.15%
of
the
average
daily
net
assets
of
the
Fund
on
an
annual
basis.
Direct
Fund-level
expenses
do
not
include
infrequent
and/or
unusual
expenses
or
the
expenses
of
other
investment
companies
in
which
the
Fund
invests,
including
the
Underlying
Funds,
which
are
borne
indirectly
by
the
Fund.
This
waiver
and
reimbursement
may
not
be
terminated
during
the
relevant
period
except
with
Board
approval.
For
the
Equity
Growth
Strategy
Fund,
RIM
has
contractually
agreed,
until
April
30,
2022,
to
waive
up
to
the
full
amount
of
its
0.20%
advisory
fee
and
then
to
reimburse
the
Fund
for
other
direct
Fund-level
expenses
to
the
extent
that
direct
Fund-level
expenses
exceed
0.15%
of
the
average
daily
net
assets
of
the
Fund
on
an
annual
basis.
Direct
Fund-level
expenses
do
not
include
infrequent
and/or
unusual
expenses
or
the
expenses
of
other
investment
companies
in
which
the
Fund
invests,
including
the
Underlying
Funds,
which
are
borne
indirectly
by
the
Fund.
This
waiver
and
reimbursement
may
not
be
terminated
during
the
relevant
period
except
with
Board
approval.
For
the
period
ended
December
31,
2021,
RIM
waived/reimbursed
the
following
expenses:
RIM
does
not
have
the
ability
to
recover
amounts
waived
or
reimbursed
from
previous
periods.
Transfer
and
Dividend
Disbursing
Agent
RIFUS
serves
as
transfer
agent
and
provides
dividend
disbursing
services
to
the
Funds.
For
this
service,
RIFUS
is
paid
a
fee
based
upon
the
average
daily
net
assets
of
the
Funds
for
transfer
agency
and
dividend
disbursing
services.
RIFUS
retains
a
portion
of
this
fee
for
services
it
provides
to
the
Funds
and
pays
the
balance
to
unaffiliated
agents
who
assist
in
providing
these
services.
Transfer
agency
fees
paid
by
the
Funds
presented
herein
for
the
period
ended
December
31,
2021
were
as
follows:
Distributor
Russell
Investments
Financial
Services,
LLC,
(the
“Distributor”),
a
wholly-owned
subsidiary
of
RIM,
serves
as
the
distributor
for
the
Funds
pursuant
to
a
distribution
agreement
with
the
Investment
Company.
The
Distributor
receives
no
compensation
from
the
Funds
for
its
services.
Affiliated
Brokerage
Transactions
The
Funds
effect
certain
transactions
through
Russell
Investments
Implementation
Services,
LLC
(“RIIS”).
RIIS
is
a
registered
broker-dealer
and
investment
adviser
and
an
affiliate
of
RIM.
RIIS
uses
a
multi-venue
trade
management
approach
whereby
RIIS
Waiver
Reimbursement
Total
Moderate
Strategy
Fund
$
192,114
$
15,994
$
208,108
Balanced
Strategy
Fund
420,788
—
420,788
Growth
Strategy
Fund
334,634
—
334,634
Equity
Growth
Strategy
Fund
98,733
37,869
136,602
Amount
Moderate
Strategy
Fund
$
4,227
Balanced
Strategy
Fund
11,389
Growth
Strategy
Fund
9,146
Equity
Growth
Strategy
Fund
2,172
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Notes
to
Financial
Statements,
continued
—
December
31,
2021
Notes
to
Financial
Statements
73
allocates
trades
among
RIIS’
network
of
independent
brokers
for
execution,
clearing
and
other
services.
RIM
has
authorized
RIIS
to
effect
certain
futures,
swaps,
OTC
derivative
transactions,
and
cleared
swaps,
including
foreign
currency
spots,
forwards
and
options
trading
on
behalf
of
the
Funds.
Board
of
Trustees
The
Russell
Investments
fund
complex
consists
of
RIC,
which
has
31
funds
and
RIF,
which
has
nine
funds.
Each
of
the
Trustees
on
the
Board
is
a
Trustee
of
RIC
and
RIF.
The
Russell
Investments
fund
complex
compensates
each
Trustee
who
is
not
an
employee
of
RIM
or
its
affiliates.
Trustee
compensation
and
expenses
are
allocated
to
each
Fund
based
on
its
net
assets
relative
to
other
funds
in
the
Russell
Investments
fund
complex.
For
the
period
ended
December
31,
2021,
the
regular
compensation
paid
to
the
Trustees
by
the
Russell
Investments
fund
complex
was
$1,710,850.
5.
Federal
Income
Taxes
At
December
31,
2021,
the
Funds
did
not
have
any
capital
loss
carryforwards.
6.
Record
Ownership
As
of
December
31,
2021,
the
following
table
includes
shareholders
of
record
with
greater
than
10%
of
the
total
outstanding
shares
of
each
respective
Fund.
7.
Subsequent
Events
Management
has
evaluated
the
events
and/or
transactions
that
have
occurred
through
the
date
the
financial
statements
were
issued
and
noted
no
events
have
occurred
that
require
disclosure.
#
of
Shareholders
%
Moderate
Strategy
Fund
2
95.1
Balanced
Strategy
Fund
2
97.3
Growth
Strategy
Fund
2
97.3
Equity
Growth
Strategy
Fund
2
95.8
Report
of
Independent
Registered
Public
Accounting
Firm
74
Report
of
Independent
Registered
Public
Accounting
Firm
To
the
Board
of
Trustees
of
Russell
Investment
Funds
and
Shareholders
of
Moderate
Strategy
Fund,
Balanced
Strategy
Fund,
Growth
Strategy
Fund
and
Equity
Growth
Strategy
Fund
Opinions
on
the
Financial
Statements
We
have
audited
the
accompanying
statements
of
assets
and
liabilities,
including
the
schedules
of
investments,
of
Moderate
Strategy
Fund,
Balanced
Strategy
Fund,
Growth
Strategy
Fund
and
Equity
Growth
Strategy
Fund
(four
of
the
funds
constituting
Russell
Investment
Funds,
hereafter
collectively
referred
to
as
the
“Funds”)
as
of
December
31,
2021,
the
related
statements
of
operations
for
the
year
ended
December
31,
2021,
the
statements
of
changes
in
net
assets
for
each
of
the
two
years
in
the
period
ended
December
31,
2021,
including
the
related
notes,
and
the
financial
highlights
for
each
of
the
five
years
in
the
period
ended
December
31,
2021
(collectively
referred
to
as
the
“financial
statements”).
In
our
opinion,
the
financial
statements
present
fairly,
in
all
material
respects,
the
financial
position
of
each
of
the
Funds
as
of
December
31,
2021,
the
results
of
each
of
their
operations
for
the
year
then
ended,
the
changes
in
each
of
their
net
assets
for
each
of
the
two
years
in
the
period
ended
December
31,
2021
and
each
of
the
financial
highlights
for
each
of
the
five
years
in
the
period
ended
December
31,
2021
in
conformity
with
accounting
principles
generally
accepted
in
the
United
States
of
America.
Basis
for
Opinions
These
financial
statements
are
the
responsibility
of
the
Funds’
management.
Our
responsibility
is
to
express
an
opinion
on
the
Funds’
financial
statements
based
on
our
audits.
We
are
a
public
accounting
firm
registered
with
the
Public
Company
Accounting
Oversight
Board
(United
States)
(PCAOB)
and
are
required
to
be
independent
with
respect
to
the
Funds
in
accordance
with
the
U.S.
federal
securities
laws
and
the
applicable
rules
and
regulations
of
the
Securities
and
Exchange
Commission
and
the
PCAOB.
We
conducted
our
audits
of
these
financial
statements
in
accordance
with
the
standards
of
the
PCAOB.
Those
standards
require
that
we
plan
and
perform
the
audit
to
obtain
reasonable
assurance
about
whether
the
financial
statements
are
free
of
material
misstatement,
whether
due
to
error
or
fraud.
Our
audits
included
performing
procedures
to
assess
the
risks
of
material
misstatement
of
the
financial
statements,
whether
due
to
error
or
fraud,
and
performing
procedures
that
respond
to
those
risks.
Such
procedures
included
examining,
on
a
test
basis,
evidence
regarding
the
amounts
and
disclosures
in
the
financial
statements.
Our
audits
also
included
evaluating
the
accounting
principles
used
and
significant
estimates
made
by
management,
as
well
as
evaluating
the
overall
presentation
of
the
financial
statements.
Our
procedures
included
confirmation
of
securities
owned
as
of
December
31,
2021
by
correspondence
with
the
transfer
agent.
We
believe
that
our
audits
provide
a
reasonable
basis
for
our
opinions.
February
11,
2022
We
have
served
as
the
auditor
of
one
or
more
investment
companies
in
the
Russell
Investments
family
of
funds
since
1981.
PricewaterhouseCoopers
LLP,
1420
Fifth
Avenue,
Suite
2800,
Seattle,
WA
98101
T:
(206)
398
3000,
www.pwc.com/us
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Tax
Information—
December
31,
2021
(Unaudited)
Tax
Information
75
For
the
tax
year
ended
December
31,
2021,
the
Funds
hereby
designate
100%
or
the
maximum
amount
allowable,
of
its
net
taxable
income
as
qualified
dividends
taxed
at
individual
net
capital
gain
rates.
The
Form
1099
you
receive
in
January
2022
will
show
the
tax
status
of
all
distributions
paid
to
your
account
in
calendar
year
2021.
The
Funds
designate
dividends
distributed
during
the
fiscal
year
as
qualifying
for
the
dividends
received
deduction
for
corporate
shareholders
as
follows:
Pursuant
to
Section
852
of
the
Internal
Revenue
Code,
the
Funds
designate
the
following
amounts
as
long-term
capital
gain
dividends
for
their
taxable
year
ended
December
31,
2021:
Moderate
Strategy
$3,055,183
Balanced
Strategy
$17,426,848
Growth
Strategy
$19,303,478
Equity
Growth
Strategy
$3,988,420
Moderate
Strategy
6.4%
Balanced
Strategy
4.7%
Growth
Strategy
11.4%
Equity
Growth
Strategy
14.9%
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Shareholder
Requests
for
Additional
Information
—
December
31,
2021
(Unaudited)
76
Shareholder
Requests
for
Additional
Information
Each
Fund
files
portfolio
holdings
information
within
60
days
after
the
end
of
each
fiscal
quarter
as
an
exhibit
on
Form
N-PORT.
Portfolio
holdings
information
for
the
third
month
of
each
fiscal
quarter
is
publicly
available
on
the
SEC’s
website
at
http://www.sec.
gov.
Each
Fund’s
complete
schedule
of
portfolio
holdings
for
the
second
and
fourth
quarters
of
each
fiscal
year
is
included
in
the
semi-
annual
and
annual
reports
to
Fund
shareholders.
The
Board
has
delegated
to
RIM,
as
RIF’s
investment
adviser,
the
primary
responsibility
for
monitoring,
evaluating
and
voting
proxies
solicited
by
or
with
respect
to
issuers
of
securities
in
which
assets
of
the
Underlying
Funds
may
be
invested.
RIM
has
established
a
proxy
voting
committee
and
has
adopted
written
proxy
voting
policies
and
procedures
(“P&P”)
and
proxy
voting
guidelines
(“Guidelines”).
The
Funds
maintain
a
Portfolio
Holdings
Disclosure
Policy
that
governs
the
timing
and
circumstances
of
disclosure
to
shareholders
and
third
parties
of
information
regarding
the
portfolio
investments
held
by
the
Funds.
A
description
of
the
P&P,
Guidelines,
Portfolio
Holdings
Disclosure
Policy
and
additional
information
about
Fund
Trustees
are
contained
in
the
Funds’
Statement
of
Additional
Information
(“SAI”).
The
SAI
and
information
regarding
how
the
Underlying
Funds
voted
proxies
relating
to
portfolio
securities
during
the
most
recent
12-month
period
ended
June
30,
2021
are
available
(i)
free
of
charge,
upon
request,
by
calling
the
Funds
at
(800)
787-
7354,
and
(ii)
on
the
Securities
and
Exchange
Commission’s
website
at
www.sec.gov.
If
possible,
depending
on
contract
owner
registration
and
address
information,
and
unless
you
have
otherwise
opted
out,
only
one
copy
of
the
RIF
prospectus
will
be
sent
to
contract
owners
at
the
same
address.
Unless
you
specifically
request
paper
copies
of
the
annual
and
semi-annual
reports
from
your
Insurance
Company,
you
will
be
notified
by
mail
each
time
the
annual
and
semi-annual
reports
are
posted
and
provided
with
a
website
link
to
access
the
reports.
If
you
would
like
to
receive
a
separate
copy
of
these
documents,
please
contact
your
Insurance
Company.
If
you
currently
receive
multiple
copies
of
the
prospectus,
annual
report
and
semi-annual
report
and
would
like
to
request
to
receive
a
single
copy
of
these
documents
in
the
future,
please
call
your
Insurance
Company.
Some
Insurance
Companies
may
offer
electronic
delivery
of
the
Funds’
prospectuses
and
annual
and
semi-annual
reports.
Please
contact
your
Insurance
Company
for
further
details.
Financial
statements
of
the
Underlying
Funds
can
be
obtained
at
no
charge
by
calling
the
Funds
at
(800)
787-7354.
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Disclosure
of
Information
about
Fund
Trustees
and
Officers
—
December
31,
2021
(Unaudited)
Disclosure
of
Information
about
Fund
Trustees
and
Officers
77
The
following
tables
provide
information
for
each
officer
and
trustee
of
the
Russell
Investments
fund
complex.
The
Russell
Investments
fund
complex
consists
of
Russell
Investment
Company
(“RIC”),
which
has
31
funds
and
Russell
Investment
Funds
(“RIF”),
which
has
nine
funds.
Each
of
the
Trustees
is
a
trustee
of
RIC
and
RIF.
The
first
table
provides
information
for
the
Interested
Trustee.
The
second
table
provides
information
for
the
Independent
Trustees.
The
third
table
provides
information
for
the
officers.
Furthermore,
each
Trustee
possesses
the
following
specific
attributes:
Ms.
Blake
has
had
experience
as
a
certified
public
accountant
and
has
had
experience
as
a
member
of
boards
of
directors/trustees
of
other
investment
companies;
Ms.
Cahoon
has
had
experience
as
the
senior
financial
executive
of
other
investment
companies
and
their
investment
adviser
and
distributor,
as
well
as
a
certified
public
accountant
who
previously
provided
audit
services
in
the
financial
sector
at
a
multi-national
accounting
firm
and
has
been
determined
by
the
Board
to
be
an
“audit
committee
financial
expert”;
Mr.
Day
has
had
experience
as
an
executive-level
leader
in
corporate
finance
and
accounting,
as
a
member
of
the
boards
of
other
companies
and
non-profit
organizations,
and
as
a
certified
public
accountant;
Ms.
Krysty
has
had
business,
financial
and
investment
experience
as
the
founder
and
senior
executive
of
a
registered
investment
adviser
focusing
on
high
net
worth
individuals
as
well
as
a
certified
public
accountant
and
a
member
of
the
boards
of
other
corporations
and
non-profit
organizations;
Ms.
Ledoux
has
had
investment
experience
as
a
portfolio
manager
and
has
had
experience
as
a
member
of
the
board
of
trustees
of
other
investment
companies;
Mr.
May
has
had
business,
financial
services,
accounting
and
investment
management
experience
as
a
senior
executive
and
board
member
of
financial
services,
investment
management
and
other
organizations,
as
well
as
experience
as
a
board
member
of
other
investment
companies
and
as
a
certified
public
accountant;
Ms.
Shanahan
has
had
financial,
risk
management,
governance
and
compliance
experience
in
highly
regulated
industries
as
a
senior
executive
at
large
financial
institutions,
and
as
a
member
of
the
board
of
a
non-profit
organization;
Mr.
Tennison
has
had
business,
financial
and
investment
experience
as
a
senior
executive
of
a
corporation
with
international
activities
and
was
trained
as
an
accountant;
and
Mr.
Thompson
has
had
experience
in
business,
governance,
investment
and
financial
reporting
matters
as
a
senior
executive
of
an
organization
sponsoring
and
managing
other
investment
companies,
and,
subsequently,
has
served
as
a
board
member
of
other
investment
companies.
Mr.
Barback
has
had
experience
as
a
senior
executive
of
other
financial
services
companies
with
responsibility
for
investment,
financial,
and
operational
matters
affecting
asset
managers
and
related
service
providers.
As
a
senior
officer
of
an
affiliate
of
RIM,
Mr.
Barback
is
in
a
position
to
provide
the
Bard
with
such
entity’s
perspectives
on
the
management,
operations
and
distribution
of
the
RIC
and
RIF
Funds.
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
#
Mr.
Barback
is
Chief
Administrative
Officer
of
an
affiliate
of
RIM
and
is
therefore
an
Interested
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
*
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INTERESTED
TRUSTEES
Vernon
Barback#
Born
August
24,
1956
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
Chief
Administrative
Officer,
Russell
Investments
From
2016
–
2019,
President,
Russell
Investments
From
2019
–
2021,
Vice
Chairman,
Russell
Investments
Until
2020,
Director,
NorthStar
Topco,
LLC
(technology
and
services
outsourcing
company)
40
Until
2020,
Director
of
NorthStar
Topco,
LLC
(technology
and
services
outsourcing
company)
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
78
Disclosure
of
Information
about
Fund
Trustees
and
Officers
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
*
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
Kristianne
Blake
Born
January
22,
1954
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Trustee
since
2000
Chairman
of
the
Audit
Committee
since
2021
Until
successor
is
duly
elected
and
qualified
Until
successor
is
duly
elected
and
qualified
Lead
Independent
Director,
Avista
Corp.
(electric
utilities)
Until
May
2017,
Director
and
Chairman
of
the
Audit
Committee,
Avista
Corp.
(electric
utilities)
Until
September
2018,
Regent,
University
of
Washington
President,
Kristianne
Gates
Blake,
P.S.
(accounting
services)
40
Lead
Independent
Director,
Avista
Corp
(electric
utilities)
Until
May
2017,
Director,
Avista
Corp
(electric
utilities)
Michelle
L.
Cahoon
Born
July
5,
1966
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
Retired
From
January
to
March
2019,
Consulting
Chief
Financial
Officer,
Driehaus
Capital
Management
LLC
(investment
adviser)
Until
2018,
Chief
Financial
Officer
and
Treasurer,
Driehaus
Capital
Management
LLC
and
Driehaus
Securities
LLC
(broker
dealer)
Until
2018,
Vice
President
and
Treasurer,
Driehaus
Mutual
Funds
(investment
company)
40
Trustee
and
Audit
Committee
Chair,
Fairway
Private
Equity
and
Venture
Capital
Opportunities
Fund
(investment
company)
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
Disclosure
of
Information
about
Fund
Trustees
and
Officers
79
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
*
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
(continued)
Michael
Day
Born
October
23,
1957
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
President
and
Chief
Executive
Officer,
Topa
Insurance
Company
(insurance
company)
40
Director,
Topa
Insurance
Group
(insurance
company)
Director,
Puppet,
Inc.
(information
technology
company)
Director,
Somos,
Inc.
(information
technology
company)
Until
2019,
Director,
Recology
(waste
management
company)
Katherine
W.
Krysty
Born
December
3,
1951
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2014
Chairman
of
Regulatory
and
Investment
Compliance
Committee
since
2020
Until
successor
is
duly
elected
and
qualified
Until
successor
is
duly
elected
and
qualified
Retired
40
None
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
80
Disclosure
of
Information
about
Fund
Trustees
and
Officers
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
(continued)
Julie
Dien
Ledoux
Born
August
17,
1969
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2019
Until
successor
is
duly
elected
and
qualified
Until
March
2018,
Trustee
of
Avenue
Credit
Strategies
Fund
(investment
company)
Until
November
2017,
Trustee
of
Avenue
Income
Credit
Strategies
Fund
(investment
company)
40
Until
March
2018,
Trustee
of
Avenue
Credit
Strategies
Fund
(investment
company).
Until
November
2017,
Trustee
of
Avenue
Income
Credit
Strategies
Fund
(investment
company)
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
Disclosure
of
Information
about
Fund
Trustees
and
Officers
81
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
(continued)
Jeremy
May
Born
March
30,
1970
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
Founder
and
Chief
Executive
Officer,
Paralel
Technologies
LLC
(information
technology
company)
Until
March
2021,
Chief
Operating
Officer
of
Magnifi
LLC
(information
technology
company)
Until
2019,
President
ALPS
Portfolio
Solutions
and
Executive
Vice
President
of
ALPS
Advisors
and
ALPS
Holdings
(investment
Company)
40
Trustee
and
Chairman
of
Bow
River
Capital
Evergreen
Fund
(investment
company)
Trustee
and
Chairman
of
New
Age
Alpha
ETF
Trust
(investment
company)
Until
March
2021,
Interested
Director
of
Reaves
Utility
Income
Trust
(investment
Company)
Until
February
2021,
Interested
Director
of
ALPS
Series
Trust
(investment
company)
Until
2019,
Interested
Director
of
RiverNorth
Opportunities
Fund
(investment
company)
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
82
Disclosure
of
Information
about
Fund
Trustees
and
Officers
*
Each
Trustee
shall
retire
from
service
on
the
Board
of
Trustees
at
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
However,
at
the
discretion
of
the
Board
and
upon
the
request
of
the
Trustee,
a
one-year
waiver
may
be
granted
from
the
application
of
the
policy,
which
will
allow
the
Trustee
to
continue
to
serve
on
the
Board
for
an
additional
one-year
period
following
the
end
of
the
calendar
year
in
which
the
Trustee
reaches
75
years
of
age.
A
maximum
of
five
one-year
waivers
may
be
requested
by
the
Trustee
and
granted
by
the
Board
to
the
Trustee.
Name,
Age,
Address
Position(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
Principal
Occupation(s)
During
the
Past
5
Years
No.
of
Portfolios
in
Russell
Investments
Fund
Complex
Overseen
by
Trustee
Other
Directorships
Held
by
Trustee
During
the
Past
5
Years
INDEPENDENT
TRUSTEES
(continued)
Jeannie
Shanahan
Born
February
15,
1964
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2021
Until
successor
is
duly
elected
and
qualified
Until
2021,
President
of
Twin
Star
Consulting,
LLC
(consulting
company)
Until
November
2018,
Senior
Vice
President
and
Chief
Governance
Officer
–
CCAR
of
Northern
Trust
Company
(financial
services
company)
40
None
Raymond
P.
Tennison,
Jr.
Born
December
21,
1955
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Trustee
since
2000
Chairman
since
2021
Until
successor
is
duly
elected
and
qualified
Approved
Annually
Retired
40
None
Jack
R.
Thompson
Born
March
21,
1949
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Trustee
since
2005
Vice
Chairman
since
2021
Chairman
of
the
Nominating
and
Governance
Committee
since
2021
Until
successor
is
duly
elected
and
qualified
Approved
annually
Until
successor
is
duly
elected
and
qualified
Retired
40
None
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Disclosure
of
Information
about
Fund
Trustees
and
Officers,
continued
—
December
31,
2021
(Unaudited)
Disclosure
of
Information
about
Fund
Trustees
and
Officers
83
Name,
Age,
Address
Positions(s)
Held
With
Fund
and
Length
of
Time
Served
Term
of
Office
Principal
Occupation(s)
During
the
Past
5
Years
OFFICERS
Cheryl
Wichers
Born
December
16,
1966
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
Chief
Compliance
Officer
since
2005
Until
removed
by
Independent
Trustees
Chief
Compliance
Officer,
RIC
and
RIF
Chief
Compliance
Officer,
RIFUS
2011
to
2016
Chief
Compliance
Officer,
U.S.
One
,
LLC
Mark
E.
Swanson
Born
November
26,
1963
1301
Second
Avenue
18th
Floor,
Seattle,
WA
98101
President
and
Chief
Executive
Officer
since
2020
Treasurer,
Chief
Accounting
Officer
and
Chief
Financial
Officer
since
1998
Until
successor
is
chosen
and
qualified
by
Trustees
Global
Head
of
Fund
Services,
Russell
Investments
President,
Chief
Executive
Officer,
Treasurer,
Chief
Accounting
Officer
and
CFO,
RIC
and
RIF
Director
and
President,
RIFUS
Director,
RIM,
Russell
Investments
Trust
Company
(“RITC”)
and
RIFIS
President
and
Chief
Executive
Officer,
RIC
and
RIF,
June
2016
to
June
2017
Kate
El-Hillow
Born
August
17,
1974
1301
Second
Avenue,
18th
Floor,
Seattle
WA
98101
Chief
Investment
Officer
since
2021
Until
removed
by
Trustees
Until
2021,
Deputy
Chief
Investment
Officer,
Senior
Portfolio
Manager,
Head
of
Strategy
Selection
and
Head
of
Portfolio
Management
&
Risk,
Goldman
Sachs
Global
Chief
Investment
Officer,
Russell
Investment
Chief
Investment
Officer,
RIC
and
RIF
President,
RIM
Mary
Beth
Albaneze
Born
April
25,
1969
1301
Second
Avenue,
18th
Floor,
Seattle,
WA
98101
Secretary
and
Chief
Legal
Officer
since
2010
Until
successor
is
chosen
and
qualified
by
Trustees
Associate
General
Counsel,
Russell
Investments
Secretary,
RIM,
RIFUS
and
RIFIS
Secretary
and
Chief
Legal
Officer,
RIC
and
RIF
Secretary,
U.S.
One,
LLC
Russell
Investment
Funds
LifePoints
®
Funds
Supplemental
Proxy
Information
—
December
31,
2021
(Unaudited)
84
Supplemental
Proxy
Information
A
joint
special
meeting
of
shareholders
of
the
Funds
was
held
on
September
28,
2021
(the
“Shareholder
Meeting”).
The
Shareholder
Meeting
was
held
for
the
purpose
of
electing
members
of
the
Funds’
Board
of
Trustees.
Shareholders
elected
the
following
six
(6)
Trustees
at
the
Shareholder
Meeting:
Michelle
Cahoon*
Julie
Dien
Ledoux*
Jeannie
Shanahan
Michael
Day
Jeremy
May
Vernon
Barback
*
Ms.
Cahoon
and
Ms.
Ledoux
were
Trustees
prior
to
the
Shareholder
Meeting.
The
results
of
the
shareholders’
election
of
Trustees
were
as
follows:
As
of
the
date
of
the
Shareholder
Meeting,
Kristianne
Blake,
Katherine
W.
Krysty,
Raymond
P.
Tennison,
Jr.
and
Jack
R.
Thompson
had
each
previously
been
elected
as
Trustees
by
the
Funds’
shareholders.
Each
of
these
Trustees
will
continue
to
serve
as
a
Trustee.
Trustee
For
Withheld
Michelle
Cahoon
2,025,718,825
5,058,069
Julie
Dien
Ledoux
2,025,539,354
5,237,539
Jeannie
Shanahan
2,025,673,792
5,103,102
Michael
Day
2,025,606,470
5,170,424
Jeremy
May
2,025,621,556
5,155,337
Vernon
Barback
2,025,227,607
5,549,287
Russell
Investment
Funds
LifePoints
®
Funds
Variable
Target
Portfolio
Series
Adviser
and
Service
Providers
—
December
31,
2021
(Unaudited)
Adviser
and
Service
Providers
85
Interested
Trustees
Vernon
Barback
Independent
Trustees
Kristianne
Blake
Michelle
L.
Cahoon
Michael
Day
Katherine
W.
Krysty
Julie
Dien
Ledoux
Jeremy
May
Jeannie
Shanahan
Raymond
P.
Tennison,
Jr.
Jack
R.
Thompson
Officers
Mark
E.
Swanson,
President,
Chief
Executive
Officer,
Treasurer,
Chief
Accounting
Officer
and
Chief
Financial
Officer
Cheryl
Wichers,
Chief
Compliance
Officer
Kate
El-Hillow,
Chief
Investment
Officer
Mary
Beth
Albaneze,
Secretary
and
Chief
Legal
Officer
Adviser
Russell
Investment
Management,
LLC
1301
Second
Avenue
Seattle,
WA
98101
Administrator
and
Transfer
and
Dividend
Disbursing
Agent
Russell
Investments
Fund
Services,
LLC
1301
Second
Avenue
Seattle,
WA
98101
Custodian
State
Street
Bank
and
Trust
Company
1
Heritage
Drive
North
Quincy,
MA
02171
Office
of
Shareholder
Inquiries
1301
Second
Avenue
Seattle,
WA
98101
(800)
787-7354
Legal
Counsel
Dechert
LLP
One
International
Place,
40th
Floor
100
Oliver
Street
Boston,
MA
02110
Distributor
Russell
Investments
Financial
Services,
LLC
1301
Second
Avenue
Seattle,
WA
98101
Independent
Registered
Public
Accounting
Firm
PricewaterhouseCoopers
LLP
1420
5th
Avenue,
Suite
2800
Seattle,
WA
98101
This
report
is
prepared
from
the
books
and
records
of
the
Funds
and
is
submitted
for
the
general
information
of
shareholders
and
is
not
authorized
for
distribution
to
prospective
investors
unless
accompanied
or
preceded
by
an
effective
Prospectus.
Nothing
herein
contained
is
to
be
considered
an
offer
of
sale
or
a
solicitation
of
an
offer
to
buy
shares
of
Russell
Investment
Funds.
Such
offering
is
made
only
by
Prospectus,
which
includes
details
as
to
offering
price
and
other
material
information.
Russell
Investment
Funds
1301
Second
Avenue
Seattle,
Washington
98101
800-787-7354
Fax:
206-505-3495
Item 2. Code of Ethics. [Annual Report Only]
(a) As of the end of the period covered by the report, the registrant has adopted a code of ethics that applies to the registrant's principal executive officer and principal financial officer (“Code”).
(b) That Code comprises written standards that are reasonably designed to deter wrongdoing and to promote:
1) honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships;
2) full, fair, accurate, timely and understandable disclosure in reports and documents that a registrant files with, or submits to, the Securities and Exchange Commission (“SEC”) and in other public communications made by each Mutual Fund;
3) compliance with applicable laws and governmental rules and regulations;
4) the prompt internal reporting to an appropriate person or persons identified in the Code of violations of the Code; and
5) accountability for adherence to the Code.
(c) The Code was restated as of August 2020; the restatement did not involve any material change.
(d) As of the end of the period covered by the report, there have been no waivers granted from a provision of the Code that applies to the registrant’s principal executive officer and principal financial officer.
(e) Not applicable.
(f) The registrant has filed with the SEC, pursuant to Item 13(a)(1), a copy of the Code that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, as an exhibit to its annual report on this Form N-CSR.
Item 3. Audit Committee Financial Expert. [Annual Report Only]
Registrant's board of trustees has determined that the Registrant has at least one audit committee financial expert serving on its audit committee. Michelle Cahoon has been determined to be the Audit Committee Financial Expert and is also determined to be “independent” for purposes of Item 3, paragraph (a)(2)(i) and (ii) of Form N-CSR.
Item 4. Principal Accountant Fees and Services. [Annual Report Only]
Audit Fees
(a) The aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the registrant’s annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years were as follows:
2020 $304,678
2021 $290,889
Audit-Related Fees
(b) The aggregate fees billed in each of the last two fiscal years for assurance and related services by the principal accountant that are reasonably related to the performance of the audit of the registrant’s financial statements and are not reported under paragraph (a) of this Item and the nature of the services comprising those fees were as follows:
Fees Nature of Services
2020 $108,763 Tax services performed in connection with the audit
2021 $103,397 Tax services performed in connection with the audit
Tax Fees
(c) The aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance, tax advice, and tax planning and the nature of the services comprising the fees were as follows:
Fees Nature of Services
2020 $92,865 Tax services
2021 $92,865 Tax services
All Other Fees
(d) The aggregate fees billed in each of the last two fiscal years for products and services provided by the principal accountant, other than the services reported in paragraphs (a) through (c) of this Item and the nature of the services comprising those fees were as follows:
Fees Nature of Services
2020 $0
2021 $0
(e) (1) Registrant’s audit committee has adopted the following pre-approval policies and procedures for certain services provided by Registrant’s accountants:
Russell Investment Company
Russell Investment Funds
Audit and Non-Audit Services Pre-Approval Policy
Effective Date: August 25, 2020
I. Statement of Purpose.
This Audit and Non-Audit Services Pre-Approval Policy (“Policy”) has been adopted by the joint Audit Committee (the “Audit Committee”) of Russell Investment Company (“RIC”) and Russell Investment Funds (“RIF”) to apply to any and all engagements of the independent auditor with: (1) RIC and RIF, respectively, for audit and permissible non-audit services and (2) the Funds’ adviser or its control affiliates (collectively, “Adviser Entities”) for permissible non-audit services that relate directly to the Funds’ operations or financial reporting (“fund-related services”). The term “Fund” shall collectively refer to each series of RIC and RIF. The term “Investment Adviser” shall refer to the Funds’ adviser, Russell Investment Management, LLC (“RIM”). This Policy does not delegate to management the responsibilities set forth herein for the pre-approval of services performed by the Funds’ independent auditor.
[1]
II. Statement of Principles.
Under the Sarbanes-Oxley Act of 2002 (the “Act”) and rules adopted by the United States Securities and Exchange Commission (the “SEC”), the Audit Committee of the Funds’ Board of Trustees (the “Audit Committee”) is charged with responsibility for the appointment, compensation and oversight of the work of the independent auditor for the Funds. As part of these responsibilities, the Audit Committee is required to pre-approve: (1) the audit services and permissible non-audit services, such as audit-related, tax and other services (“non-audit services”), to be performed by the independent auditor for the Funds, and (2) the services to be performed by the independent auditor for Adviser Entities that relate directly to the operations and financial reporting of the fund, in each case to assure that the independence of the auditor is not in any way compromised or impaired with respect to the Funds. In determining whether an auditor is independent in light of the services it provides to a Fund or Adviser Entity, there are four guiding principles under the Act and relevant SEC rules that must be considered. In general, the independence of the auditor to the Funds could be deemed impaired if the auditor has a relationship or provides a service that:
·
Creates a mutual or conflicting interest between the auditor and the audit client (including the Funds whose financial statements are being audited, as well as affiliates of the Funds covered by relevant SEC rules);·
Results in the auditor acting as management or an employee of the audit client;·
Places the auditor in the position of auditing its own work; or·
Places the accountant in a position of being an advocate for the audit client.Accordingly, it is the Funds’ policy that the independent auditor for the Funds must not be engaged to perform any service that contravenes the rules adopted by the SEC governing auditor independence, including the four guidelines set forth above, or which in any way could be deemed to impair or compromise the independence of the auditor for the Funds. This Policy is designed to accomplish those requirements and will henceforth be applied to all engagements by the Funds of their independent auditor, whether for audit, audit-related, tax, or other non-audit services, as well as to engagements of the auditor by Adviser Entities for fund-related services.
Rules adopted by the SEC establish two distinct approaches to the pre-approval of auditor services by the Audit Committee. The proposed services either may receive general pre-approval through adoption by the Audit Committee of pre-approval policies and procedures, provided the policies and procedures are detailed as to the particular services (e.g., a list of authorized services for the fund, together with a budget of expected costs for those services), the Audit Committee is informed of each service and such policies and procedures do not include delegation of the Audit Committee’s responsibilities to management (“general pre-approval”), or specific pre-approval by the Audit Committee of all services provided to the Funds or fund-related services provided to Adviser Entities on a case-by-case basis (“specific pre-approval”).
The Funds’ Audit Committee believes that the combination of these two approaches reflected in this Policy will result in an effective and efficient procedure for the pre-approval of permissible services performed by the Funds’ independent auditor. The Funds’ Audit and Non-Audit Pre-Approved Services Schedule lists the audit, audit-related, tax and other services (including fund-related services) that have the general pre-approval of the Audit Committee. As set forth in this Policy, unless a particular service has received general pre-approval, those services will require specific pre-approval by the Audit Committee before any such services can be provided by the independent auditor. Any proposed service to the Funds or Adviser Entities that exceeds the pre-approved budget for those services will also require specific pre-approval by the appropriate Audit Committee.
[2]
In assessing whether a particular audit or non-audit service should be approved, the Audit Committee will take into account the ratio between the total amounts paid for audit, audit-related, tax and other services, based on historical patterns, with a view toward assuring that the level of fees paid for non-audit services as they relate to the fees paid for audit services does not compromise or impair the independence of the auditor. The Audit Committee will review the list of general pre-approved services, including the pre-approved budget for those services, at least annually and more frequently if deemed appropriate by the Audit Committee, and may implement changes thereto from time to time.
III. Delegation.
As provided in the Act and in the SEC’s rules, the Audit Committee from time to time may delegate either general or specific pre-approval authority to one or more of its members. Any member to whom such authority is delegated must report any pre-approval decisions to the Audit Committee at its next scheduled meeting.
IV. Audit Services.
The annual audit services engagement terms and fees for the independent auditor for the Funds require specific pre-approval of the Audit Committee. Audit services include the annual financial statement audit and other procedures required to be performed by the independent auditor in order to be able to form an opinion on the financial statements for the Funds for that year. These other procedures include reviews of information systems, procedural reviews and testing performed in order to understand and rely on the Funds’ systems of internal control, and consultations relating to the audit. Audit services also include the attestation engagement for the independent auditor’s report on the report from management on financial reporting internal controls. The Audit Committee will review the audit services engagement as necessary or appropriate in the sole judgment of the Audit Committee.
In addition to the pre-approval by the Audit Committee of the annual engagement of the independent auditor to perform audit services described above, the Audit Committee may grant general pre-approval to other audit services, which are those services that only the independent auditor reasonably can provide. These services are generally related to the issuance of an audit opinion, and may include statutory audits and services associated with the Funds’ SEC registration statement on Form N-1A, periodic reports and documents filed with or information requested by the SEC or other regulatory or self-regulatory organizations, or other documents issued in connection with the Funds’ securities offerings.
The audit services engagement terms and fees for the independent auditor for the Funds, as described above, must be specifically pre-approved by the Audit Committee or its delegate on an annual basis. The Audit Committee has pre-approved the other audit services set forth in Schedule A of the Audit and Non-Audit Pre-Approved Services Schedule. All other audit services not listed in Schedule A of the Audit and Non-Audit Pre-Approved Services Schedule must be specifically pre-approved by the Audit Committee or its delegate.
V. Audit-Related Services.
Audit-related services are assurance and related services that are reasonably related to the performance of the audit or review of the financial statements for the Funds, or the separate financial statements for a series of the Funds that are traditionally performed by the independent auditor. Because the Audit Committee believes that the provision of audit-related services does not compromise or impair the independence of the auditor and is consistent with the SEC’s rules on auditor independence, the Audit Committee may grant pre-approval to audit related services. “Audit-related services” include, among others, accounting consultations related to accounting, financial reporting or disclosure matters not classified as “audit services;” assistance with understanding and implementing new accounting and financial reporting or disclosure matters not classified as “audit services;” assistance with understanding and implementing new accounting and financial reporting guidance from rulemaking authorities; agreed upon or expanded audit procedures related to accounting and/or billing records required to respond to or comply with financial, accounting or regulatory reporting matters; and assistance with internal reporting requirements, including reports required to be filed with the SEC pursuant to applicable requirements.
The Audit Committee has pre-approved the audit-related services set forth in Schedule B of the Audit and Non-Audit Pre-Approved Services Schedule. All other audit-related services not listed in Schedule B of the Audit and Non-Audit Pre-Approved Services Schedule must be specifically pre-approved by the Audit Committee or its delegate.
VI. Tax Services.
The Audit Committee believes that the independent auditor can provide tax services to the Funds, such as tax compliance, tax planning and tax advice, without impairing the auditor’s independence and the SEC has stated that the independent auditor may provide such services. Consequently, the Audit Committee believes that it may grant general pre-approval to those tax services that have historically been provided by the auditor, that the Audit Committee has reviewed and believes would not impair the independence of the auditor, and that are consistent with the SEC’s rules on auditor independence. However, the Audit Committee will not permit the retention of the independent auditor to provide tax advice in connection with any transaction recommended by the independent auditor, the sole business purpose of which may be tax avoidance and the tax treatment of which may not be supported by the United States Internal Revenue Code and related regulations or the applicable tax statutes and regulations that apply to the Funds’ investments outside the United States. The Audit Committee will consult with the Treasurer of the Funds or outside counsel to determine that the Funds’ tax planning and reporting positions are consistent with this policy.
The Audit Committee has pre-approved the tax services set forth in Schedule C of the Audit and Non-Audit Pre-Approved Services Schedule. All other tax services not listed in Schedule C of the Audit and Non-Audit Pre-Approved Services Schedule must be specifically pre-approved by the Audit Committee or its delegate.
VII. All Other Services.
The Audit Committee believes, based on the SEC’s rules prohibiting the independent auditor from providing specific non-audit services, that other types of non-audit services are permitted. Accordingly, the Audit Committee believes that it may grant general pre-approval to those permissible non-audit services classified as “all other” services that the Audit Committee believes are routine and recurring services, would not impair or compromise the independence of the auditor and are consistent with the SEC’s rules on auditor independence.
The Audit Committee has pre-approved the permissible “all other services” set forth in Schedule D of the Audit and Non-Audit Pre-Approved Services Schedule. Permissible “all other services” not listed in Schedule D of the Audit and Non-Audit Pre-Approved Services Schedule must be specifically pre-approved by the Audit Committee or its delegate.
A list of the SEC’s prohibited non-audit services are as follows:
- Bookkeeping or other services relating to the accounting records or financial statements of the Funds
- Financial information system design and implementation
- Appraisal or valuation services, fairness opinions or contribution-in-kind reports
- Actuarial services
- Internal audit outsourcing services
- Management functions
- Human resources services
- Broker-dealer, investment adviser or investment banking services
- Legal services unrelated to the audit
- Expert services unrelated to the audit
The SEC’s rules and relevant official interpretations and guidance should be consulted to determine the scope of these prohibited services and the applicability of any exceptions to certain of the prohibitions. Under no circumstance may an executive, manager or associate of the Funds, the Investment Adviser or an Adviser Entity authorize the independent auditor for the Funds to provide prohibited non-audit services.
VIII. De Minimis Waiver.
In accordance with the Act and SEC regulations, notwithstanding anything in this Policy to the contrary, the pre-approval requirements of this Policy are waived with respect to the provision of non-audit services that are permissible for an independent auditor to perform, provided:
(a) The aggregate amount of all such services provided constitutes no more than five percent of the total amount of fees paid by RIC or RIF, as applicable, to the independent auditor during the fiscal year in which the services were provided;
(b) Such services were not recognized by the Funds at the time of the engagement to be non-audit services requiring pre-approval by the Audit Committee or its delegate; and
(c) Such services are promptly brought to the attention of the Audit Committee and approved by the Audit Committee or its delegate prior to the completion of the audit, pursuant to the pre-approval provisions of this Policy.
With respect to the provision of fund-related services to Adviser Entities, the aggregate amount of services provided must constitute no more than five percent of the total amount of fees paid by RIC or RIF, as applicable, and the relevant Adviser Entities to the independent auditor during the fiscal year in which the services were provided.
In connection with the approval of any non-audit service pursuant to this de minimis exception, a record shall be made indicating that each of the conditions for this exception has been satisfied.
IX. Pre-Approval Fee Levels or Budgeted Amounts.
Pre-approved fee levels or budgeted amounts for all services to be provided by the independent auditor will be established annually by the Audit Committee and shall be subject to periodic subsequent review during the year if deemed appropriate by the Audit Committee (separate amounts may be specified for the Funds and for other affiliates in the investment company complex subject to pre-approval). Any proposed services exceeding these levels or amounts will require specific pre-approval by the Audit Committee. The Audit Committee will be mindful of the overall relationship of fees for audit and non-audit services in determining whether to pre-approve any such services. For each fiscal year, the Audit Committee may determine the appropriateness of the ratio between the total amount of fees for audit, audit-related, and tax services for the Funds (including any audit-related or tax services fees for affiliates subject to pre-approval), and the total amount of fees for certain permissible non-audit services classified as “all other services” for the Funds (including any such services for affiliates subject to pre-approval by the Audit Committee or its delegate).
X. Procedures.
All requests or applications for services to be provided by the independent auditor that do not require specific pre-approval by the Audit Committee will be submitted to the “RIC & RIF Clearance Committee” (the “Clearance Committee”) (which shall be comprised of not less than three members, including the Treasurer of the Funds who shall serve as its Chairperson) and must include a detailed description of the services to be rendered and the estimated costs of those services. The Clearance Committee will determine whether such services are included within the list of services that have received general pre-approval by the Audit Committee. The Audit Committee will be informed not less frequently than quarterly by the Chairperson of the Clearance Committee of any such services rendered by the independent auditor for the Funds and the fees paid to the independent auditors for such services.
Requests or applications to provide services that require specific pre-approval by the Audit Committee will be submitted to the Audit Committee by both the independent auditor and the Clearance Committee and must include a joint certification by the engagement partner of the independent auditor and the Chairperson of the Clearance Committee that, in their view, the request or application does not involve a prohibited non-audit service and is consistent with the SEC’s rules governing auditor independence.
Russell Investments’ associates and the officers of RIC and RIF will report to the Chairman of the Audit Committee any breach of this Policy that comes to the attention of the Internal Audit Department or an officer of RIC or RIF.
XI. Additional Requirements.
The Audit Committee has determined to take additional measures on an annual basis to meet its responsibility to oversee the work performed by the independent auditor and to assure the independent auditor’s continuing independence from the Funds and their affiliates. Such efforts will include, but not be limited to, reviewing a written annual statement from the independent auditor delineating all relationships between the independent auditor and RIC, RIF, RIM and their subsidiaries and affiliates (including persons in financial reporting oversight roles) that may reasonably be thought to bear on the auditor’s independence, consistent with Public Company Accounting Oversight Board Rule 3526, and discussing with the independent auditor its methods and procedures for ensuring its independence.
(e) (2) The percentage of services described in each of paragraphs (b) through (d) of this Item that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X is as follows:
Audit Fees 0%
Audit-Related Fees 0%
Tax Fees 0%
All Other Fees 0%
(f) For services, 50 percent or more of which were pre-approved, the percentage of hours expended on the principal accountant’s engagement to audit the registrant’s financial statements for the most recent fiscal year that were attributed to work performed by persons other than the principal accountant’s full-time, permanent employees was 0%.
(g) The aggregate non-audit fees billed by registrant’s accountant for services rendered to the registrant, and rendered to the registrant’s investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for each of the last two fiscal years of the registrant were as follows:
2020 $0
2021 $0
(h) The registrant’s audit committee of the board of trustees has considered whether the provision of nonaudit services that were rendered to the registrant’s investment adviser (not including any subadviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant’s independence.
Item 5. Audit Committee of Listed Registrants. [Not Applicable]
Item 6. [Schedules of Investments are included as part of the Report to Shareholders filed under Item 1 of this form]
Items 7-9. [Not Applicable]
Item 10. Submission of Matters to a Vote of Security Holders
There have been no changes to the procedures by which shareholders may recommend nominees to the Registrant’s Board of Trustees that would require disclosure herein.
Item 11. Controls and Procedures
(a) Registrant's principal executive officer and principal financial officer have concluded that Registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “Act”)) are effective, based on their evaluation of these controls and procedures as of a date within 90 days of the date this report is filed with the Securities and Exchange Commission.
(b) There were no significant changes in Registrant's internal control over financial reporting that occurred during the period covered by this report that has materially affected or is likely to materially affect Registrant's internal control over financial reporting.
Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies [Not Applicable]
Item 13. Exhibit List
(a) Code of Ethics required to be disclosed under Item 2 of Form N-CSR attached hereto as codeofethics
(b) Certification for principal executive officer of Registrant as required by Rule 30a-2(a) under the Act and certification for principal financial officer of Registrant as required by Rule 30a-2(a) under the Act. ex99_cert
(c)
Certification for principal executive officer and principal financial officer of Registrant as required by Rule 30a-2(b) under the Act
. ex99_906certSIGNATURES
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.
Russell Investment Funds
By: /s/ Mark E. Swanson
Mark E. Swanson
President & Chief Executive Officer (Principal Executive Officer), Treasurer, Chief Accounting Officer (Principal Accounting Officer) and Chief Financial Officer (Principal Financial Officer), Russell Investment Funds
Date: February 15, 2022
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