N-CSR
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number: 811-06153
Integrity Managed Portfolios
(Exact name of registrant as specified in charter)
1 Main Street North, Minot, ND |
| 58703 |
(Address of principal offices) |
| (Zip code) |
Brent Wheeler and/or Kevin Flagstad, PO Box 500, Minot, ND 58702
(Name and address of agent for service)
Registrant's telephone number, including area code: 701-852-5292
Date of fiscal year end: July 31
Date of reporting period: July 31, 2012
Item 1. REPORTS TO STOCKHOLDERS.
[Logo]
INTEGRITY MANAGED PORTFOLIOS
Kansas Municipal Fund
Kansas Insured Intermediate Fund
Maine Municipal Fund
Nebraska Municipal Fund
New Hampshire Municipal Fund
Oklahoma Municipal Fund
Annual Report
July 31, 2012
|
|
Investment Adviser | Principal Underwriter |
Transfer Agent | Custodian |
Independent Registered Public Accounting Firm | |
| |
*The Funds are distributed through Integrity Funds Distributor, LLC. Member FINRA | |
|
DEAR SHAREHOLDERS:
Enclosed is the report of the operations for the Kansas Municipal Fund, Kansas Insured Intermediate Fund, Nebraska Municipal Fund, Oklahoma Municipal Fund, Maine Municipal Fund, and New Hampshire Municipal Fund (each a "Fund", and collectively the "Funds") for the year ended July 31, 2012. The Funds' portfolios and related financial statements are presented within for your review.
In the U.S., strong corporate earnings have enabled the equity markets to withstand much of the downward pressures coming from weakening job creation, slower economic growth and political uncertainty. The Federal Reserve remains committed to low interest rates but has refrained from predicting another program of quantitative easing unless economic growth were to weaken significantly or the threat of recession appears on the horizon.
As many municipal bond buyers have remained on the sidelines in anticipation of rising interest rates, there is little doubt that this is an extraordinarily challenging period for investors in municipals. Yields have continued to decline and credit spreads have continued to tighten as yields on Treasuries have dropped sharply from already low levels. During the reporting period, domestic and global events affected the municipal bond market. Domestically, the Federal Reserve commitment to maintain an accommodative monetary policy stance with historically low interest rates supported the municipal market. The market was further supported by an extended period of low supply, thus reducing the availability of bonds to meet investor demand. In Europe, several countries struggled with financial challenges that resulted in a flight to quality benefiting the U.S. Treasury market as well as the municipal bond market.
As we prepare to enter the second half of the year, we feel the low interest rate environment will remain for some time. As uncertainty persists domestically and abroad, flight to safety seems to remain an investor's security blanket. It is likely there will be no significant economic policy changes domestically prior to the November elections. We feel municipal bonds continue to be an attractive asset class among fixed income securities and will continue to follow our discipline of investing to maximize income while seeking value in the municipal market.
The Funds use a disciplined strategy to maximize tax-exempt income for our shareholders by seeking high quality, higher coupon securities. By employing a buy and hold strategy and investing in securities we believe will provide relative value in the market, as interest rates fluctuate, the portfolio becomes diversified with a broad range of securities. This diversification helps mitigate interest and credit risk. Our value-oriented philosophy of investing for income led us to favor high quality, high coupon, longer term bonds during the period. This buy and hold strategy can help us achieve high, current, tax-free income for shareholders.
The Kansas Municipal Fund began the period at $10.64 per share and ended the period at $11.12 per share for a total return of 8.07%*. This compares to the Barclays Capital Municipal Bond Index's return of 10.50%. A primary function of the Fund is to search the primary and secondary markets for high quality issues for the portfolio. Some recent purchases during the period include: Kansas Power Pool Electric Rev, 5.00% coupon, due 2031; Kansas State Athletic Rev, 5.00% coupon, due 2032 and; Olathe Medical Center, 4.00% coupon, due 2030.
The Kansas Insured Intermediate Fund began the period at $11.22 per share and ended the period at $11.74 per share for a total return of 7.44%*. This compares to the Barclays Capital Municipal 7-Year Bond Index's return of 7.96%. A primary function of the Fund is to search the primary and secondary markets for high quality issues for the portfolio. Some recent purchases during the period include: Wichita Water & Sewer, 4.00% coupon, due 2018; Junction City General Obligation, 4.10% coupon, due 2020 and; Butler County Public Building, 4.50% coupon, due 2021.
The Nebraska Municipal Fund began the period at $10.20 per share and ended the period at $10.69 per share for a total return of 8.23%*. This compares to the Barclays Capital Municipal Bond Index's return of 10.50%. A primary function of the Fund is to search the primary and secondary markets for high quality issues for the portfolio. Some recent purchases during the period include: Central Plains Energy Project, 5.00% coupon, due 2027; Omaha Special Tax Rev., 5.00% coupon, due 2027 and; Omaha Sanitation & Sewer Rev., 4.25% coupon, due 2038.
The Oklahoma Municipal Fund began the period at $11.24 per share and ended the period at $11.93 per share for a total return of 9.30%*. This compares to the Barclays Capital Municipal Bond Index's return of 10.50%. A primary function of the Fund is to search the primary and secondary markets for high quality issues for the portfolio. Some recent purchases during the period include: Sallisaw Municipal Authority Rev., 4.00% coupon, due 2035; Sapulpa Municipal Authority Rev., 4.25% coupon, due 2037 and; Tulsa Parking Authority, 4.00% coupon, due 2025.
The Maine Municipal Fund began the period at $10.77 per share and ended the period at $11.36 per share for a total return of 8.79%*. This compares to the Barclays Capital Municipal Bond Index's return of 10.50%. A primary function of the Fund is to search the primary and secondary markets for high quality issues for the portfolio. Some recent purchases during the period include: Falmouth General Obligation, 4.25% coupon, due 2031; Maine Health & Higher Ed., 5.00% coupon, due 2039 and; Maine Housing Authority, 4.00% coupon, due 2025.
The New Hampshire Municipal Fund began the period at $10.66 per share and ended the period at $11.07 per share for a total return of 7.04%*. This compares to the Barclays Capital Municipal Bond Index's return of 10.50%. A primary function of the Fund is to search the primary and secondary markets for high quality issues for the portfolio. Some recent purchases during the period include: Dover General Obligation, 4.00% coupon, due 2028; Merrimack County General Obligation, 4.50% coupon, due 2026 and; Southern New Hampshire University, 5.00% coupon, due 2017.
Income exempt from federal income tax and each Fund's respective state tax (interest and dividend tax with respect to New Hampshire) with preservation of capital remains the primary objective of the Funds.
If you would like more frequent updates, please visit the Funds' website at www.integrityvikingfunds.com for daily prices along with pertinent Fund information.
Sincerely,
Monte Avery
Senior Portfolio Manager
The views expressed are those of Monte Avery, Senior Portfolio Manager with Viking Fund Management, LLC ("Viking Fund Management", "VFM", or the "Adviser"). The views are subject to change at any time in response to changing circumstances in the market and are not intended to predict or guarantee the future performance of any individual security, market sector, the markets generally, or any of the funds in the Integrity Viking family of funds.
*Performance does not include applicable front-end or contingent deferred sales charges, which would have reduced the performance. For Kansas Municipal Fund, Kansas Insured Intermediate Fund, Nebraska Municipal Fund, Oklahoma Municipal Fund, Maine Municipal Fund, and New Hampshire Municipal Fund, the total annual fund operating expense ratio (before expense waivers and reimbursements and including acquired fund fees and expenses) as of the most recent fiscal year-end was 1.19%, 1.03%, 1.21%, 1.21%, 1.30%, and 1.79%, respectively. The net annual fund operating expense ratio (after expense waivers and reimbursements and excluding acquired fund fees and expenses) as of the most recent fiscal year-end was 1.07%, 0.75%, 1.07%, 1.07%, 1.07%, and 1.07%, respectively.
Performance data quoted above is historical. Past performance is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than the original cost. You can obtain performance data current to the most recent month end (available within seven business days of the most recent month end) by calling 800-276-1262.
You should consider each Fund's investment objectives, risks, charges, and expenses carefully before investing. For this and other important information, please obtain a Fund prospectus at no cost from your financial adviser and read it carefully before investing.
Bond prices and therefore the value of bond funds decline as interest rates rise. Because each Fund invests in securities of a single state, the Funds are more susceptible to factors adversely impacting the respective state than a municipal bond fund that does not concentrate its securities in a single state.
For investors subject to the alternative minimum tax, a portion of the each Fund's dividends may be taxable. Distributions of capital gains are generally taxable.
KANSAS MUNICIPAL FUND
PERFORMANCE (unaudited)
Comparison of change in value of a $10,000 investment in the Fund and the Barclays Capital Municipal Bond Index
| Kansas Municipal Fund without Sales Charge | Kansas Municipal Fund with Maximum Sales Charge | Barclays Capital Municipal Bond Index |
7/31/02 | $10,000 | $9,624 | $10,000 |
7/31/03 | $9,925 | $9,552 | $10,359 |
7/30/04 | $10,095 | $9,716 | $10,958 |
7/29/05 | $10,117 | $9,737 | $11,656 |
7/31/06 | $10,561 | $10,164 | $11,954 |
7/31/07 | $10,884 | $10,475 | $12,463 |
7/31/08 | $11,199 | $10,778 | $12,818 |
7/31/09 | $11,654 | $11,216 | $13,472 |
7/30/10 | $12,367 | $11,902 | $14,706 |
7/29/11 | $12,740 | $12,261 | $15,182 |
7/31/12 | $13,768 | $13,251 | $16,777 |
Average Annual Total Returns for the periods ended July 31, 2012
| 1 year | 3 year | 5 year | 10 year | Since Inception |
Without sales charge | 8.07% | 5.71% | 4.82% | 3.25% | 4.60% |
With sales charge (4.25%) | 4.06% | 4.37% | 4.02% | 2.86% | 4.41% |
Putting Performance into Perspective
Performance data quoted above is historical. Past performance is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than the original cost. You can obtain performance data current to the most recent month end (available within seven business days of the most recent month end) by calling 800-276-1262.
You should consider the Fund's investment objectives, risks, charges, and expenses carefully before investing. For this and other important information, please obtain a Fund prospectus at no cost from your financial adviser and read it carefully before investing.
The table and graph above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions and redemptions of Fund shares.
The graph comparing the Fund's performance to a benchmark index provides you with a general sense of how the Fund performed. To put this information in context, it may be helpful to understand the special differences between the two. The Fund's total return for the period shown appears with and without sales charges and includes Fund expenses and management fees. A securities index measures the performance of a theoretical portfolio. Unlike a fund, the index is unmanaged; there are no expenses that affect the results. In addition, few investors could purchase all of the securities to match the index. If they could, transaction costs and other expenses would be incurred. All Fund and benchmark returns include reinvested dividends.
The results prior to August 1, 2009 were achieved while the Fund was managed by a different investment adviser. The current investment adviser may produce different investment results than those achieved by the previous investment adviser.
KANSAS INSURED INTERMEDIATE FUND
PERFORMANCE (unaudited)
Comparison of change in value of a $10,000 investment in the Fund and the Barclays Capital Municipal Seven-Year Maturity Bond Index
| Kansas Insured Intermediate Fund without Sales Charge | Kansas Insured Intermediate Fund with Maximum Sales Charge | Barclays Capital Municipal Seven-Year Maturity Bond Index |
7/31/02 | $10,000 | $9,722 | $10,000 |
7/31/03 | $10,126 | $9,845 | $10,385 |
7/30/04 | $10,360 | $10,073 | $10,858 |
7/29/05 | $10,283 | $9,998 | $11,287 |
7/31/06 | $10,701 | $10,404 | $11,530 |
7/31/07 | $11,058 | $10,752 | $11,984 |
7/31/08 | $11,569 | $11,248 | $12,682 |
7/31/09 | $12,173 | $11,835 | $13,698 |
7/30/10 | $12,813 | $12,457 | $14,741 |
7/29/11 | $13,117 | $12,753 | $15,397 |
7/31/12 | $14,093 | $13,702 | $16,624 |
Average Annual Total Returns for the periods ended July 31, 2012
| 1 year | 3 year | 5 year | 10 year | Since Inception |
Without sales charge | 7.44% | 5.00% | 4.97% | 3.49% | 4.14% |
With sales charge (2.75%) | 4.46% | 4.04% | 4.38% | 3.20% | 4.00% |
Putting Performance into Perspective
Performance data quoted above is historical. Past performance is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than the original cost. You can obtain performance data current to the most recent month end (available within seven business days of the most recent month end) by calling 800-276-1262.
You should consider the Fund's investment objectives, risks, charges, and expenses carefully before investing. For this and other important information, please obtain a Fund prospectus at no cost from your financial adviser and read it carefully before investing.
The table and graph above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions and redemptions of Fund shares.
The graph comparing the Fund's performance to a benchmark index provides you with a general sense of how the Fund performed. To put this information in context, it may be helpful to understand the special differences between the two. The Fund's total return for the period shown appears with and without sales charges and includes Fund expenses and management fees. A securities index measures the performance of a theoretical portfolio. Unlike a fund, the index is unmanaged; there are no expenses that affect the results. In addition, few investors could purchase all of the securities to match the index. If they could, transaction costs and other expenses would be incurred. All Fund and benchmark returns include reinvested dividends.
The results prior to August 1, 2009 were achieved while the Fund was managed by a different investment adviser. The current investment adviser may produce different investment results than those achieved by the previous investment adviser.
NEBRASKA MUNICIPAL FUND
PERFORMANCE (unaudited)
Comparison of change in value of a $10,000 investment in the Fund and the Barclays Capital Municipal Bond Index
| Nebraska Municipal Fund without Sales Charge | Nebraska Municipal Fund with Maximum Sales Charge | Barclays Capital Municipal Bond Index |
7/31/02 | $10,000 | $9,621 | $10,000 |
7/31/03 | $9,919 | $9,543 | $10,359 |
7/30/04 | $10,275 | $9,886 | $10,958 |
7/29/05 | $10,256 | $9,867 | $11,656 |
7/31/06 | $10,759 | $10,351 | $11,954 |
7/31/07 | $11,099 | $10,678 | $12,463 |
7/31/08 | $11,408 | $10,976 | $12,818 |
7/31/09 | $11,831 | $11,383 | $13,472 |
7/30/10 | $12,498 | $12,024 | $14,706 |
7/29/11 | $12,909 | $12,420 | $15,182 |
7/31/12 | $13,972 | $13,442 | $16,777 |
Average Annual Total Returns for the periods ended July 31, 2012
| 1 year | 3 year | 5 year | 10 year | Since Inception |
Without sales charge | 8.23% | 5.70% | 4.71% | 3.40% | 4.05% |
With sales charge (4.25%) | 4.15% | 4.36% | 3.92% | 3.00% | 3.84% |
Putting Performance into Perspective
Performance data quoted above is historical. Past performance is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than the original cost. You can obtain performance data current to the most recent month end (available within seven business days of the most recent month end) by calling 800-276-1262.
You should consider the Fund's investment objectives, risks, charges, and expenses carefully before investing. For this and other important information, please obtain a Fund prospectus at no cost from your financial adviser and read it carefully before investing.
The table and graph above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions and redemptions of Fund shares.
The graph comparing the Fund's performance to a benchmark index provides you with a general sense of how the Fund performed. To put this information in context, it may be helpful to understand the special differences between the two. The Fund's total return for the period shown appears with and without sales charges and includes Fund expenses and management fees. A securities index measures the performance of a theoretical portfolio. Unlike a fund, the index is unmanaged; there are no expenses that affect the results. In addition, few investors could purchase all of the securities to match the index. If they could, transaction costs and other expenses would be incurred. All Fund and benchmark returns include reinvested dividends.
The results prior to August 1, 2009 were achieved while the Fund was managed by a different investment adviser. The current investment adviser may produce different investment results than those achieved by the previous investment adviser.
OKLAHOMA MUNICIPAL FUND
PERFORMANCE (unaudited)
Comparison of change in value of a $10,000 investment in the Fund and the Barclays Capital Municipal Bond Index
| Oklahoma Municipal Fund without Sales Charge | Oklahoma Municipal Fund with Maximum Sales Charge | Barclays Capital Municipal Bond Index |
7/31/02 | $10,000 | $9,625 | $10,000 |
7/31/03 | $10,028 | $9,651 | $10,359 |
7/30/04 | $10,396 | $10,005 | $10,958 |
7/29/05 | $10,709 | $10,307 | $11,656 |
7/31/06 | $11,179 | $10,760 | $11,954 |
7/31/07 | $11,526 | $11,094 | $12,463 |
7/31/08 | $11,642 | $11,205 | $12,818 |
7/31/09 | $12,141 | $11,685 | $13,472 |
7/30/10 | $13,065 | $12,575 | $14,706 |
7/29/11 | $13,607 | $13,097 | $15,182 |
7/31/12 | $14,873 | $14,315 | $16,777 |
Average Annual Total Returns for the periods ended July 31, 2012
| 1 year | 3 year | 5 year | 10 year | Since Inception |
Without sales charge | 9.30% | 7.00% | 5.23% | 4.05% | 4.50% |
With sales charge (4.25%) | 5.18% | 5.65% | 4.43% | 3.65% | 4.25% |
Putting Performance into Perspective
Performance data quoted above is historical. Past performance is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than the original cost. You can obtain performance data current to the most recent month end (available within seven business days of the most recent month end) by calling 800-276-1262.
You should consider the Fund's investment objectives, risks, charges, and expenses carefully before investing. For this and other important information, please obtain a Fund prospectus at no cost from your financial adviser and read it carefully before investing.
The table and graph above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions and redemptions of Fund shares.
The graph comparing the Fund's performance to a benchmark index provides you with a general sense of how the Fund performed. To put this information in context, it may be helpful to understand the special differences between the two. The Fund's total return for the period shown appears with and without sales charges and includes Fund expenses and management fees. A securities index measures the performance of a theoretical portfolio. Unlike a fund, the index is unmanaged; there are no expenses that affect the results. In addition, few investors could purchase all of the securities to match the index. If they could, transaction costs and other expenses would be incurred. All Fund and benchmark returns include reinvested dividends.
The results prior to August 1, 2009 were achieved while the Fund was managed by a different investment adviser. The current investment adviser may produce different investment results than those achieved by the previous investment adviser.
MAINE MUNICIPAL FUND
PERFORMANCE (unaudited)
Comparison of change in value of a $10,000 investment in the Fund and the Barclays Capital Municipal Bond Index
| Maine Municipal Fund without Sales Charge | Maine Municipal Fund with Maximum Sales Charge | Barclays Capital Municipal Bond Index |
7/31/02 | $10,000 | $9,624 | $10,000 |
7/31/03 | $10,223 | $9,838 | $10,359 |
7/30/04 | $10,627 | $10,227 | $10,958 |
7/29/05 | $10,548 | $10,151 | $11,656 |
7/31/06 | $10,983 | $10,569 | $11,954 |
7/31/07 | $11,300 | $10,875 | $12,463 |
7/31/08 | $11,687 | $11,247 | $12,818 |
7/31/09 | $12,297 | $11,835 | $13,472 |
7/30/10 | $12,973 | $12,484 | $14,706 |
7/29/11 | $13,296 | $12,796 | $15,182 |
7/31/12 | $14,465 | $13,921 | $16,777 |
Average Annual Total Returns for the periods ended July 31, 2012
| 1 year | 3 year | 5 year | 10 year | Since Inception |
Without sales charge | 8.79% | 5.56% | 5.06% | 3.76% | 4.92% |
With sales charge (4.25%) | 4.71% | 4.24% | 4.26% | 3.36% | 4.72% |
Putting Performance into Perspective
Performance data quoted above is historical. Past performance is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than the original cost. You can obtain performance data current to the most recent month end (available within seven business days of the most recent month end) by calling 800-276-1262.
You should consider the Fund's investment objectives, risks, charges, and expenses carefully before investing. For this and other important information, please obtain a Fund prospectus at no cost from your financial adviser and read it carefully before investing.
The table and graph above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions and redemptions of Fund shares.
The graph comparing the Fund's performance to a benchmark index provides you with a general sense of how the Fund performed. To put this information in context, it may be helpful to understand the special differences between the two. The Fund's total return for the period shown appears with and without sales charges and includes Fund expenses and management fees. A securities index measures the performance of a theoretical portfolio. Unlike a fund, the index is unmanaged; there are no expenses that affect the results. In addition, few investors could purchase all of the securities to match the index. If they could, transaction costs and other expenses would be incurred. All Fund and benchmark returns include reinvested dividends.
The results prior to August 1, 2009 were achieved while the Fund was managed by a different investment adviser. The current investment adviser may produce different investment results than those achieved by the previous investment adviser.
NEW HAMPSHIRE MUNICIPAL FUND
PERFORMANCE (unaudited)
Comparison of change in value of a $10,000 investment in the Fund and the Barclays Capital Municipal Bond Index
| New Hampshire Municipal Fund without Sales Charge | New Hampshire Municipal Fund with Maximum Sales Charge | Barclays Capital Municipal Bond Index |
7/31/02 | $10,000 | $9,628 | $10,000 |
7/31/03 | $10,234 | $9,854 | $10,359 |
7/30/04 | $10,719 | $10,320 | $10,958 |
7/29/05 | $10,525 | $10,134 | $11,656 |
7/31/06 | $10,921 | $10,515 | $11,954 |
7/31/07 | $11,251 | $10,833 | $12,463 |
7/31/08 | $11,669 | $11,236 | $12,818 |
7/31/09 | $12,211 | $11,757 | $13,472 |
7/30/10 | $12,867 | $12,389 | $14,706 |
7/29/11 | $13,207 | $12,716 | $15,182 |
7/31/12 | $14,137 | $13,612 | $16,777 |
Average Annual Total Returns for the periods ended July 31, 2012
| 1 year | 3 year | 5 year | 10 year | Since Inception |
Without sales charge | 7.04% | 5.00% | 4.67% | 3.52% | 4.53% |
With sales charge (4.25%) | 2.99% | 3.67% | 3.87% | 3.13% | 4.32% |
Putting Performance into Perspective
Performance data quoted above is historical. Past performance is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than the original cost. You can obtain performance data current to the most recent month end (available within seven business days of the most recent month end) by calling 800-276-1262.
You should consider the Fund's investment objectives, risks, charges, and expenses carefully before investing. For this and other important information, please obtain a Fund prospectus at no cost from your financial adviser and read it carefully before investing.
The table and graph above do not reflect the deduction of taxes that a shareholder would pay on Fund distributions and redemptions of Fund shares.
The graph comparing the Fund's performance to a benchmark index provides you with a general sense of how the Fund performed. To put this information in context, it may be helpful to understand the special differences between the two. The Fund's total return for the period shown appears with and without sales charges and includes Fund expenses and management fees. A securities index measures the performance of a theoretical portfolio. Unlike a fund, the index is unmanaged; there are no expenses that affect the results. In addition, few investors could purchase all of the securities to match the index. If they could, transaction costs and other expenses would be incurred. All Fund and benchmark returns include reinvested dividends.
The results prior to August 1, 2009 were achieved while the Fund was managed by a different investment adviser. The current investment adviser may produce different investment results than those achieved by the previous investment adviser.
KANSAS MUNICIPAL FUND
PORTFOLIO MARKET SECTORS July 31, 2012
General Obligation | 23.6% |
Health Care | 23.3% |
Utilities | 19.8% |
Other Revenue | 18.2% |
Transportation | 5.8% |
Education | 5.5% |
Cash Equivalents and Other | 3.6% |
Housing | 0.2% |
| 100.0% |
Market sectors are breakdowns of the Fund's portfolio holdings into specific investment classes.
These percentages are based on net assets and are subject to change.
SCHEDULE OF INVESTMENTS July 31, 2012
|
| Principal |
| Fair |
MUNICIPAL BONDS (96.4%) |
|
|
|
|
|
|
|
|
|
Education (5.5%) |
|
|
|
|
Hutchinson KS Cmnty College 5.000% 10/01/25 | $ | 350,000 | $ | 366,628 |
Hutchinson KS Cmnty College 5.250% 10/01/30 |
| 300,000 |
| 312,057 |
Hutchinson KS Cmnty College 5.250% 10/01/33 |
| 450,000 |
| 467,239 |
KS Dev Fin Auth Sales Tax Rev K-St-Olathe Innovation-L1 5.000% 09/01/39 |
| 200,000 |
| 222,504 |
KS Dev Fin Auth Rev (Univ KS Research Cent) 5.000% 02/01/26 |
| 500,000 |
| 542,250 |
Washburn Univ Topeka KS Bldg Ref Rev (Living Learning Ctr Proj) 5.000% 07/01/19 |
| 700,000 |
| 729,351 |
|
|
|
| 2,640,029 |
General Obligation (23.6%) |
|
|
|
|
Cowley Cnty KS USD #465 (Winfield) 5.250% 10/01/14 |
| 240,000 |
| 256,087 |
Cowley Cnty KS USD #465 (Winfield) 5.250% 10/01/14 |
| 10,000 |
| 10,329 |
Dickinson Cnty KS USD #473 5.000% 09/01/27 |
| 325,000 |
| 384,004 |
Douglas Cnty KS Sales Tax Ref 5.000% 08/01/19 |
| 1,000,000 |
| 1,049,580 |
Douglas Cnty KS USD #491 Eudora 5.125% 09/01/29 |
| 250,000 |
| 284,932 |
Harvey Cnty KS USD #373 (Newton) 5.000% 09/01/23 |
| 200,000 |
| 230,606 |
Harvey Cnty KS USD #373 (Newton) 5.000% 09/01/25 |
| 1,000,000 |
| 1,139,180 |
*Johnson Cnty KS USD #231 Gardner-Edgerton 5.000% 10/01/24 |
| 1,135,000 |
| 1,192,839 |
Johnson Cnty KS USD #232 (Desoto) 5.250% 09/01/23 |
| 500,000 |
| 549,015 |
Junction City KS Ref & Impt 5.000% 09/01/25 |
| 250,000 |
| 268,700 |
Junction City KS Unlimited GO 4.100% 09/01/20 |
| 100,000 |
| 114,321 |
Junction City KS Unlimited GO 4.250% 09/01/21 |
| 100,000 |
| 114,208 |
Junction City KS Unlimited GO 4.400% 09/01/22 |
| 100,000 |
| 114,907 |
*Leavenworth Cnty KS USD #453 GO Impt & Ref 5.125% 03/01/29 |
| 1,000,000 |
| 1,160,890 |
Manhattan KS GO 5.000% 11/01/28 |
| 130,000 |
| 150,914 |
Montgomery Cnty KS USD #446 5.000% 09/01/33 |
| 250,000 |
| 275,560 |
Newton KS Unlimited GO 4.750% 09/01/29 |
| 435,000 |
| 498,897 |
Park City KS 6.000% 12/01/29 |
| 500,000 |
| 609,700 |
Park City KS GO Ref & Impr 5.375% 12/01/25 |
| 250,000 |
| 280,587 |
Salina KS GO 4.625% 10/01/27 |
| 200,000 |
| 221,682 |
Sedgwick Cnty KS USD #262 5.000% 09/01/28 |
| 500,000 |
| 570,245 |
Seward Cnty KS Unlimited GO Hosp Ref & Impt 5.000% 08/01/40 |
| 500,000 |
| 556,735 |
Shawnee Cnty KS GO 5.000% 09/01/16 |
| 655,000 |
| 742,718 |
Wyandotte Cnty KS GO 5.000% 08/01/27 |
| 500,000 |
| 562,410 |
|
|
|
| 11,339,046 |
Health Care (23.3%) |
|
|
|
|
KS Dev Fin Auth Lease Rev Univ KS Tenant 5.000% 06/15/39 |
| 1,000,000 |
| 1,099,290 |
KS Dev Fin Auth Rev Adventist Health 5.150% 11/15/23 |
| 250,000 |
| 286,950 |
KS Dev Fin Auth Rev Adventist Health 5.250% 11/15/24 |
| 250,000 |
| 286,990 |
KS Dev Fin Auth Rev Adventist Health 5.500% 11/15/29 |
| 100,000 |
| 117,539 |
KS Dev Fin Auth Rev Adventist Health 5.750% 11/15/34 |
| 250,000 |
| 264,515 |
KS Dev Fin Auth Rev Sisters Leavenworth-Ser A 5.000% 01/01/40 |
| 500,000 |
| 545,390 |
KS Dev Fin Auth Health Fac Rev Hays Med Ctr 5.000% 11/15/22 |
| 500,000 |
| 535,880 |
KS Dev Fin Auth Stormont-Vail Healthcare 5.125% 11/15/32 |
| 410,000 |
| 439,897 |
KS Dev Fin Auth Stormont-Vail Healthcare 5.125% 11/15/36 |
| 500,000 |
| 535,580 |
KS Dev Fin Auth Health Fac Rev Hays Med Ctr 5.000% 05/15/25 |
| 250,000 |
| 271,037 |
KS Dev Fin Auth Health Fac Rev Hays Med Ctr 5.000% 05/15/35 |
| 1,000,000 |
| 1,076,760 |
KS Devl Fin Auth (Univ of KS Hosp Auth) 5.000% 03/01/28 |
| 755,000 |
| 819,832 |
Lawrence KS (Mem Hosp) Rev 5.125% 07/01/26 |
| 500,000 |
| 532,445 |
Lawrence KS (Mem Hosp) Rev 5.125% 07/01/36 |
| 300,000 |
| 315,369 |
Lincoln Cnty KS Pub Bldg (Lincoln Cnty Hosp) 5.500% 03/01/35 |
| 500,000 |
| 567,080 |
Manhattan KS Hosp Rev Mercy Health Ctr 5.500% 08/15/20 |
| 250,000 |
| 250,085 |
Manhattan KS (Mercy Health Ctr) Hosp Rev 5.200% 08/15/26 |
| 250,000 |
| 250,100 |
Olathe KS Health Fac Rev (Med Ctr) 5.000% 09/01/29 |
| 500,000 |
| 536,920 |
Olathe KS (Med Ctr) Health 5.000% 09/01/30 |
| 250,000 |
| 272,763 |
Olathe KS Hlth Facs Rev Olathe Med Ctr - Ser A 4.000% 09/01/28 |
| 250,000 |
| 260,338 |
Olathe KS Hlth Facs Rev Olathe Med Cntr - Ser A 4.000% 09/01/30 |
| 445,000 |
| 458,497 |
Sedgwick Cnty KS Health Care Rev (Catholic Care Ctr) 5.000% 08/01/25 |
| 1,000,000 |
| 1,046,720 |
Univ KS Hosp Auth 5.000% 09/01/26 |
| 100,000 |
| 107,089 |
Wichita KS (Via Christi Health Sys) Rev 5.000% 11/15/29 |
| 300,000 |
| 337,170 |
|
|
|
| 11,214,236 |
Housing (0.2%) |
|
|
|
|
Kansas City KS Mtg Rev Rev 5.900% 11/01/27 |
| 100,000 |
| 100,119 |
|
|
|
|
|
Other Revenue (18.2%) |
|
|
|
|
Coffeyville KS Pub Bldg (Coffeyville Med Ctr) Rev 5.000% 08/01/22 |
| 250,000 |
| 250,000 |
Dodge City KS Sales Tax Rev 5.250% 06/01/31 |
| 1,000,000 |
| 1,147,450 |
KS Dev Fin Auth Lease Rev (Juvenile Justice) 5.250% 05/01/13 |
| 570,000 |
| 570,787 |
KS Dev Fin Auth Rev KS Projs-Ser B 4.125% 05/01/31 |
| 500,000 |
| 538,885 |
KS DFA K-State Athletics Rev 5.000% 07/01/32 |
| 250,000 |
| 276,482 |
KS Dev Fin Auth (KS St Proj) Rev Unrefunded 5.000% 10/01/17 |
| 10,000 |
| 10,015 |
*KS Dev Fin Auth Rev (KS St Proj) 5.000% 05/01/26 |
| 1,335,000 |
| 1,433,149 |
KS Dev Fin Auth Rev St of KS Proj 5.000% 11/01/34 |
| 500,000 |
| 562,700 |
KS Dev Fin Auth Rev (Dept Admin) 5.000% 11/01/25 |
| 250,000 |
| 277,573 |
KS Dev Fin Auth Rev (KS St Proj) 5.250% 11/01/25 |
| 250,000 |
| 287,298 |
KS Dev Fin Auth Rev (Athletic Facs Univ of KS) 5.000% 06/01/33 |
| 250,000 |
| 263,345 |
KS Dev Fin Auth Rev (KS St Proj) 5.000% 05/01/35 |
| 250,000 |
| 278,998 |
Lincoln Cnty KS Pub Bldg (Lincoln Cnty Hosp) 5.000% 03/01/28 |
| 125,000 |
| 143,995 |
Manhattan KS Sales Tax Rev Downtown Redev 5.250% 12/01/26 |
| 175,000 |
| 192,232 |
Manhattan KS Sales Oblig Rev North Proj Area - Downtown A 5.000% 12/01/26 |
| 500,000 |
| 546,450 |
Manhattan KS Sales Tax Rev 4.500% 12/01/25 |
| 500,000 |
| 561,180 |
*Manhattan KS Sales Tax Rev 5.000% 12/01/32 |
| 1,000,000 |
| 1,135,130 |
Topeka KS Pub Bldg Commn Lease Rev Social & Rehab Proj 5.000% 06/01/22 |
| 255,000 |
| 298,875 |
|
|
|
| 8,774,544 |
Transportation (5.8%) |
|
|
|
|
KS Dept Transn Hwy Rev 5.000% 03/01/23 |
| 250,000 |
| 263,573 |
KS Dev Fin Auth Rev (Road Revolving Fund) 4.625% 10/01/26 |
| 250,000 |
| 283,975 |
KS Tpk Auth Rev 5.250% 09/01/21 |
| 500,000 |
| 506,585 |
KS Tpk Auth Rev 5.000% 09/01/24 |
| 330,000 |
| 330,970 |
KS Tpk Auth Rev 5.000% 09/01/25 |
| 750,000 |
| 752,205 |
Overland Park KS Trans Dev Dist Sales Tax Rev Oak Park Mall 5.200% 04/01/20 |
| 430,000 |
| 479,764 |
PR Comwlth Hwy & Transn Auth Hwy Rev 4.950% 07/01/26 |
| 145,000 |
| 157,515 |
|
|
|
| 2,774,587 |
Utilities (19.8%) |
|
|
|
|
*Burlington KS PCR (Gas & Elec) 5.300% 06/01/31 |
| 1,000,000 |
| 1,036,510 |
Burlington KS PCR (Gas & Elec) 4.850% 06/01/31 |
| 250,000 |
| 260,445 |
Kansas Power Pool Elec Util Rev 4.500% 12/01/28 |
| 500,000 |
| 514,920 |
Kansas Power Pool Elec Util Rev 5.000% 12/01/31 |
| 750,000 |
| 799,733 |
KS Dev Fin Auth (Wtr Pollution Control) Rev 5.250% 11/01/22 |
| 1,000,000 |
| 1,012,510 |
KS Dev Fin Auth (Wtr Pollution Control) 5.000% 11/01/23 |
| 1,000,000 |
| 1,011,960 |
KS Dev Fin Auth Rev (Wtr Pollution) 5.000% 11/01/28 |
| 250,000 |
| 258,488 |
*PR Elec Pwr Auth Pwr Rev 5.250% 07/01/26 |
| 750,000 |
| 815,430 |
Wamego KS PCR (KS Gas & Elec Proj) 5.300% 06/01/31 |
| 750,000 |
| 771,713 |
Wichita KS Wtr & Swr Util Rev 5.250% 10/01/18 |
| 1,465,000 |
| 1,547,816 |
Wichita KS Wtr & Swr Util Rev 5.000% 10/01/28 |
| 500,000 |
| 527,840 |
Wichita KS Wtr & Swr Rev 5.000% 10/01/23 |
| 100,000 |
| 113,823 |
Wyandotte Cnty KS Govt Util Sys Rev 5.000% 09/01/29 |
| 500,000 |
| 585,490 |
Wyandotte Cnty KS Util Rev 5.000% 09/01/36 |
| 250,000 |
| 279,557 |
|
|
|
| 9,536,235 |
|
|
|
|
|
TOTAL MUNICIPAL BONDS (COST: $43,165,173) |
|
| $ | 46,378,796 |
|
|
|
|
|
SHORT-TERM SECURITIES (2.4%) |
| Shares |
|
|
^Wells Fargo Advantage National Tax-Free Money Market Fund 0.010% (COST: $1,137,287) |
| 1,137,287 | $ | 1,137,287 |
|
|
|
|
|
TOTAL INVESTMENTS IN SECURITIES (COST: $44,302,460) (98.8%) |
|
| $ | 47,516,083 |
OTHER ASSETS LESS LIABILITIES (1.2%) |
|
|
| 577,232 |
|
|
|
|
|
NET ASSETS (100.0%) |
|
| $ | 48,093,315 |
|
|
|
|
|
* Indicates all or a portion of bonds are segregated by the custodian to cover when-issued or delayed-delivery purchases. | ||||
^ Variable rate security; rate shown represents rate as of July 31, 2012. |
The accompanying notes are an integral part of these financial statements.
KANSAS INSURED INTERMEDIATE FUND
PORTFOLIO MARKET SECTORS July 31, 2012
General Obligation | 67.8% |
Other Revenue | 13.3% |
Utilities | 7.2% |
Cash Equivalents and Other | 3.9% |
Education | 2.9% |
Health Care | 2.4% |
Transportation | 1.4% |
Housing | 1.1% |
| 100.0% |
Market sectors are breakdowns of the Fund's portfolio holdings into specific investment classes.
These percentages are based on net assets and are subject to change.
SCHEDULE OF INVESTMENTS July 31, 2012
|
| Principal |
| Fair |
MUNICIPAL BONDS (96.1%) |
|
|
|
|
|
|
|
|
|
Education (2.9%) |
|
|
|
|
Johnson Cnty KS Cmnty College Student Commons & Pkg 5.000% 11/15/19 | $ | 235,000 | $ | 237,418 |
KS Dev Fin Auth Rev (KS St Proj) 4.375% 11/01/18 |
| 100,000 |
| 116,144 |
Washburn Univ Topeka KS Bldg Ref Rev (Living Learning Ctr Proj) 5.000% 07/01/19 |
| 255,000 |
| 265,692 |
|
|
|
| 619,254 |
General Obligation (67.8%) |
|
|
|
|
*Butler Cnty KS USD #402 5.250% 09/01/21 |
| 560,000 |
| 657,020 |
*Butler Cnty KS USD #385 5.000% 09/01/18 |
| 500,000 |
| 597,795 |
Butler Cnty KS USD #394 5.000% 09/01/23 |
| 175,000 |
| 192,337 |
Cowley Cnty KS USD #470 5.500% 09/01/21 |
| 100,000 |
| 119,244 |
Cowley Cnty KS USD #470 4.750% 09/01/23 |
| 100,000 |
| 114,273 |
Cowley Cnty KS USD #470 4.750% 09/01/27 |
| 490,000 |
| 547,570 |
Cowley Cnty KS USD #465 (Winfield) 5.250% 10/01/14 |
| 135,000 |
| 144,049 |
Dickinson Cnty KS USD #473 4.500% 09/01/22 |
| 215,000 |
| 252,158 |
Dickinson Cnty KS USD #473 4.400% 09/01/29 |
| 100,000 |
| 111,260 |
Dodge KS Sch Dist #443 4.000% 09/01/16 |
| 120,000 |
| 131,252 |
Douglas Cnty KS USD #491 Eudora 5.500% 09/01/24 |
| 250,000 |
| 292,880 |
Douglas Cnty KS USD #491 Eudora 5.000% 09/01/23 |
| 375,000 |
| 437,419 |
Douglas Cnty KS USD #491 Eudora 4.000% 09/01/22 |
| 250,000 |
| 278,798 |
*Ford Cnty KS Sales Tax - Ser A 4.500% 09/01/24 |
| 500,000 |
| 549,025 |
Franklin Cnty KS USD# 290 4.000% 09/01/16 |
| 100,000 |
| 106,017 |
Geary Cnty KS USD #475 4.500% 09/01/23 |
| 650,000 |
| 695,955 |
Harvey Cnty KS USD #373 (Newton) 4.000% 09/01/18 |
| 250,000 |
| 285,475 |
Johnson Cnty KS USD #232 (Desoto) 5.000% 09/01/15 |
| 100,000 |
| 114,111 |
Johnson Cnty KS USD #233 4.000% 09/01/18 |
| 150,000 |
| 174,840 |
Junction City KS Unlimited GO 3.500% 09/01/16 |
| 120,000 |
| 133,046 |
*Junction City KS Unlimited GO 4.100% 09/01/20 |
| 650,000 |
| 743,087 |
Junction City KS Unlimited GO 4.500% 09/01/23 |
| 100,000 |
| 113,618 |
Junction City KS Unlimited GO 3.000% 09/01/16 |
| 315,000 |
| 339,239 |
Leavenworth Cnty KS USD #449 3.330% 09/01/28 |
| 250,000 |
| 267,085 |
Leavenworth Cnty KS USD #453 GO Impt & Ref 5.250% 03/01/24 |
| 200,000 |
| 237,456 |
Leavenworth Cnty KS USD #453 4.750% 09/01/25 |
| 300,000 |
| 344,661 |
Wichita Cnty KS USD #467 (Leoti) 5.000% 10/01/18 |
| 100,000 |
| 120,786 |
Miami Cnty USD #416 Louisburg 5.000% 09/01/20 |
| 275,000 |
| 304,807 |
Montgomery Cnty KS USD #446 4.000% 09/01/19 |
| 150,000 |
| 167,354 |
Neosho Cnty KS USD #413 5.000% 09/01/20 |
| 345,000 |
| 376,982 |
Newton, KS Unlimited GO 5.000% 09/01/21 |
| 100,000 |
| 121,993 |
Olathe KS GO 4.000% 10/01/19 |
| 100,000 |
| 110,790 |
Park City KS 5.100% 12/01/20 |
| 200,000 |
| 241,072 |
Park City KS 5.500% 12/01/24 |
| 100,000 |
| 120,876 |
PR Comwlth Pub Impt 5.500% 07/01/19 |
| 100,000 |
| 115,780 |
PR Comwlth Pub Impt 5.250% 07/01/20 |
| 140,000 |
| 159,702 |
PR Comwlth Pub Impt Ref 5.500% 07/01/18 |
| 200,000 |
| 231,278 |
PR Comwlth Pub Impt Ref 5.500% 07/01/20 |
| 250,000 |
| 280,043 |
Sedgwick Cnty KS USD #261 5.000% 11/01/21 |
| 250,000 |
| 282,067 |
Sedgwick Cnty KS USD #262 5.000% 09/01/24 |
| 250,000 |
| 289,375 |
Sedgwick Cnty KS USD #262 5.000% 09/01/18 |
| 100,000 |
| 122,547 |
*Sedgwick Cnty KS USD #265 (Goddard) 4.250% 10/01/20 |
| 750,000 |
| 843,540 |
Sedgwick Cnty KS USD #265 (Goddard) 4.500% 10/01/26 |
| 250,000 |
| 280,347 |
Sedgwick Cnty KS USD #266 Maize Sch 5.250% 09/01/19 |
| 515,000 |
| 625,215 |
Sedgwick Cnty KS USD #266 Maize Sch 5.250% 09/01/20 |
| 360,000 |
| 430,175 |
Wichita KS GO 4.500% 09/01/22 |
| 150,000 |
| 168,834 |
Wichita KS GO 4.750% 09/01/27 |
| 180,000 |
| 204,071 |
Wyandotte Cnty KS Gov Unltd GO 5.000% 08/01/19 |
| 150,000 |
| 169,494 |
Wyandotte Cnty KS GO 5.000% 08/01/25 |
| 250,000 |
| 284,748 |
Wyandotte Cnty KS USD # 202 5.250% 09/01/18 |
| 100,000 |
| 121,291 |
Wyandotte Cnty KS USD #500 GO 5.250% 09/01/13 |
| 250,000 |
| 263,770 |
|
|
|
| 14,416,607 |
Health Care (2.4%) |
|
|
|
|
Manhattan KS Hosp Rev Mercy Health Ctr 5.500% 08/15/20 |
| 500,000 |
| 500,170 |
|
|
|
|
|
Housing (1.1%) |
|
|
|
|
KS Dev Fin Auth Rev (Sec. 8) Rev Ref. 6.400% 01/01/24 |
| 235,000 |
| 235,710 |
|
|
|
|
|
Other Revenue (13.3%) |
|
|
|
|
Butler Cnty KS Pub Bldg Impt Rev 4.500% 10/1/21 |
| 160,000 |
| 170,886 |
Dodge City KS Sales Tax Rev 5.000% 06/01/21 |
| 310,000 |
| 365,921 |
Dodge City KS Sales Tax Rev 4.400% 06/01/25 |
| 350,000 |
| 394,919 |
Dodge City KS Sales Tax Rev 4.500% 06/01/28 |
| 100,000 |
| 110,382 |
KS Dev Fin Auth KS Proj 5.250% 10/01/22 |
| 100,000 |
| 100,721 |
KS Dev Fin Auth (KS St Proj) Rev Unrefunded 5.000% 10/01/17 |
| 10,000 |
| 10,015 |
KS Dev Fin Auth Rev (KS St Proj) 4.100% 05/01/19 |
| 250,000 |
| 273,820 |
KS Dev Fin Auth (KS St Proj) Rev Unrefunded 4.500% 11/01/17 |
| 125,000 |
| 145,730 |
KS Dev Fin Auth Rev (KS St Proj) 5.250% 11/01/25 |
| 100,000 |
| 114,919 |
Lincoln Cnty KS Pub Bldg (Lincoln Cnty Hosp) 5.000% 03/01/28 |
| 125,000 |
| 143,995 |
*Neosho Cnty KS Sales Tax Rev 4.000% 10/01/23 |
| 500,000 |
| 553,580 |
Sumner Cnty KS Sales Tax Rev 5.000% 10/01/14 |
| 400,000 |
| 439,376 |
|
|
|
| 2,824,264 |
Transportation (1.4%) |
|
|
|
|
KS Tpk Auth Rev 4.875% 09/01/27 |
| 100,000 |
| 100,378 |
KS Tpk Auth Rev 5.000% 09/01/24 |
| 200,000 |
| 200,588 |
|
|
|
| 300,966 |
Utilities (7.2%) |
|
|
|
|
PR Elec Pwr Auth Pwr Rev 5.000% 07/01/16 |
| 155,000 |
| 174,115 |
PR Elec Pwr Auth Pwr Rev 5.250% 07/01/25 |
| 250,000 |
| 283,365 |
Wichita KS Wtr & Swr Rev 5.000% 10/01/17 |
| 245,000 |
| 288,946 |
Wichita KS Wtr & Swr Rev 5.000% 10/01/23 |
| 200,000 |
| 227,646 |
Wichita KS Wtr & Swr Rev 4.000% 10/01/18 |
| 200,000 |
| 227,126 |
Wyandotte Cnty KS Util Rev 5.000% 09/01/27 |
| 100,000 |
| 105,930 |
Wyandotte Cnty KS Govt Util Sys Rev 5.000% 09/01/24 |
| 200,000 |
| 233,506 |
|
|
|
| 1,540,634 |
|
|
|
|
|
TOTAL MUNICIPAL BONDS (COST: $19,067,750) |
|
| $ | 20,437,605 |
|
|
|
|
|
SHORT-TERM SECURITIES (2.6%) |
| Shares |
|
|
^Wells Fargo Advantage National Tax-Free Money Market Fund 0.010% (COST: $552,756) |
| 552,756 | $ | 552,756 |
|
|
|
|
|
TOTAL INVESTMENTS IN SECURITIES (COST: $19,620,506) (98.7%) |
|
| $ | 20,990,361 |
OTHER ASSETS LESS LIABILITIES (1.3%) |
|
|
| 271,812 |
|
|
|
|
|
NET ASSETS (100.0%) |
|
| $ | 21,262,173 |
|
|
|
|
|
* Indicates all or a portion of bonds are segregated by the custodian to cover when-issued or delayed-delivery purchases. | ||||
^ Variable rate security; rate shown represents rate as of July 31, 2012. |
The accompanying notes are an integral part of these financial statements.
NEBRASKA MUNICIPAL FUND
PORTFOLIO MARKET SECTORS July 31, 2012
Utilities | 32.7% |
Education | 23.5% |
General Obligation | 16.0% |
Health Care | 10.8% |
Other Revenue | 7.7% |
Cash Equivalents and Other | 5.5% |
Housing | 2.1% |
Transportation | 1.7% |
| 100.0% |
Market sectors are breakdowns of the Fund's portfolio holdings into specific investment classes.
These percentages are based on net assets and are subject to change.
SCHEDULE OF INVESTMENTS July 31, 2012
|
| Principal |
| Fair |
MUNICIPAL BONDS (94.5%) |
|
|
|
|
|
|
|
|
|
Education (23.5%) |
|
|
|
|
Douglas Cnty Ed Fac Rev Creighton Univ 5.500% 07/01/30 | $ | 350,000 | $ | 396,084 |
*Douglas Cnty Ed Fac Rev Creighton Univ 5.875% 07/01/40 |
| 1,500,000 |
| 1,722,165 |
Lincoln NE Ed & Fac Rev (Wesleyan Univ) 4.000% 04/01/32 |
| 1,000,000 |
| 1,028,240 |
NE St Colleges Student Fees (Wayne St College) 4.000% 07/01/30 |
| 200,000 |
| 208,860 |
Metropolitan Cmnty College South Omaha Bldg Proj 4.500% 03/01/26 |
| 1,000,000 |
| 1,068,030 |
NE Edl Fin Auth Rev Ref - Clarkson College Proj 5.050% 09/01/30 |
| 250,000 |
| 279,767 |
Polk Cnty Sch Dist #15 4.000% 12/15/31 |
| 400,000 |
| 413,736 |
Univ of NE Fac Corp Deferred Maintenance 5.000% 07/15/20 |
| 500,000 |
| 569,845 |
Univ of NE Univ Rev Kearney Student Fees & Facs 5.000% 07/01/35 |
| 600,000 |
| 648,318 |
Univ of NE Brd of Regt Student Facs 5.000% 05/15/32 |
| 250,000 |
| 278,302 |
Univ of NE Brd of Regt (Health & Rec Proj) 5.000% 05/15/33 |
| 600,000 |
| 671,244 |
Univ of NE Rev Lincoln Student Fee 4.000% 07/01/24 |
| 250,000 |
| 276,815 |
Univ of NE Omaha Student Hsg Proj 4.500% 05/15/30 |
| 250,000 |
| 280,750 |
Univ of NE Omaha Student Hsg Proj 5.000% 05/15/35 |
| 275,000 |
| 311,195 |
Univ of NE (Univ of NE - Lincoln Student Fees) Rev 5.125% 07/01/32 |
| 250,000 |
| 255,285 |
Univ of NE (Univ of NE - Lincoln Student Fees) Rev 5.000% 07/01/42 |
| 1,000,000 |
| 1,152,420 |
Univ of NE Rev Lincoln Student Facs 5.000% 07/01/28 |
| 250,000 |
| 263,755 |
Univ of NE Lincoln Student Facs 5.000% 7/1/38 |
| 250,000 |
| 292,392 |
*Univ of PR 5.000% 06/01/17 |
| 650,000 |
| 692,815 |
|
|
|
| 10,810,018 |
General Obligation (16.0%) |
|
|
|
|
Douglas Cnty NE Sch Dist #59 4.550% 12/15/32 |
| 635,000 |
| 636,683 |
Douglas Cnty Sch Dist #59 Bennington Pub Schools 4.000% 12/15/28 |
| 250,000 |
| 257,087 |
Hall Cnty NE Ref GO 4.000% 12/15/29 |
| 250,000 |
| 268,155 |
Hall Cnty NE Sch Dist #2 Grand Island 5.000% 12/15/23 |
| 500,000 |
| 577,895 |
Knox Cnty Sch Dist #0583 Verdigre Schools 4.500% 12/15/29 |
| 250,000 |
| 261,767 |
Lancaster Cnty Sch Dist #160 Norris Schools 4.250% 12/15/25 |
| 400,000 |
| 413,548 |
Lincoln-Lancaster Cnty Neb Pub Bldg Lease Rev 4.000% 10/15/30 |
| 100,000 |
| 107,194 |
Madison Cnty Sch Dist #2 (Norfolk) 5.000% 12/15/25 |
| 1,545,000 |
| 1,672,648 |
Omaha NE Various Purpose 5.000% 05/01/22 |
| 250,000 |
| 255,190 |
Omaha NE Various Purpose 4.250% 10/15/26 |
| 500,000 |
| 541,895 |
Omaha NE Unlimited GO 5.000% 10/15/25 |
| 250,000 |
| 299,925 |
Sarpy Cnty Sch Dist #27 Papillion-LA Vista GO 5.000% 12/01/28 |
| 250,000 |
| 285,392 |
PR Comwlth Pub Impt 5.500% 07/01/21 |
| 500,000 |
| 564,075 |
Ralston NE Arena GO 4.500% 09/15/31 |
| 500,000 |
| 521,610 |
Saunders Cnty NE GO 5.000% 11/01/30 |
| 250,000 |
| 250,388 |
Scotts Bluff Cnty NE Sch Dist #32 GO Bldg Bonds 4.300% 12/15/29 |
| 440,000 |
| 458,264 |
|
|
|
| 7,371,716 |
Health Care (10.8%) |
|
|
|
|
Adams Cnty NE Hosp Auth #1 Hosp Rev (Mary Lanning Mem Hosp) 5.300% 12/15/18 |
| 250,000 |
| 250,543 |
Adams Cnty NE Hosp Auth #1 Hosp Rev (Mary Lanning Mem Hosp) 5.250% 12/15/33 |
| 250,000 |
| 271,253 |
Douglas Cnty NE Hosp Auth #001 (Alegent Hlth - Immanuel Med Ctr) Rev 5.250% 09/01/21 |
| 250,000 |
| 250,068 |
Douglas Cnty NE Hosp Auth #002 (NE Med Ctr) 5.000% 11/15/16 |
| 250,000 |
| 282,825 |
Douglas Cnty NE Hosp Auth #002 Immanuel Group 5.500% 01/01/30 |
| 500,000 |
| 564,630 |
Douglas Cnty NE Hosp Methodist Health 5.500% 11/01/38 |
| 795,000 |
| 836,730 |
Douglas Cnty NE Hosp Methodist Health 5.500% 11/01/38 |
| 415,000 |
| 455,770 |
*Lancaster Cnty NE Hosp Auth #1 (BryanLGH Med Ctr Proj) 4.750% 06/01/21 |
| 1,000,000 |
| 1,056,050 |
NE Invmt Fin Auth (Great Plains Regl Med Ctr) Rev 5.450% 11/15/22 |
| 750,000 |
| 750,548 |
NE Elem & Secondary Sch Auth Ed Facs Rev 4.750% 09/01/28 |
| 250,000 |
| 276,853 |
|
|
|
| 4,995,270 |
Housing (2.1%) |
|
|
|
|
Lancaster Cnty NE Hosp Auth #1 Immanuel Oblig Group 5.500% 01/01/30 |
| 250,000 |
| 276,808 |
NE Invmt Fin Auth Multifamily Hsg Rev 6.200% 06/01/28 |
| 135,000 |
| 135,558 |
Sarpy Cnty NE Hosp Auth #1 Immanuel Oblig Group 5.500% 01/01/30 |
| 500,000 |
| 553,955 |
|
|
|
| 966,321 |
Other Revenue (7.7%) |
|
|
|
|
Lincoln NE West Haymarket Joint Pub Agy GO Fac 5.000% 12/15/42 |
| 750,000 |
| 855,938 |
Omaha Convention Hotel Corp 5.000% 02/01/35 |
| 500,000 |
| 533,225 |
Omaha Pub Fac Corp Lease Rev Omaha Tech & Forestry Equip 4.000% 11/15/31 |
| 115,000 |
| 121,337 |
Omaha NE Special Tax Rev 5.000% 02/01/27 |
| 1,000,000 |
| 1,208,810 |
Omaha NE Special Tax Rev 4.000% 02/01/32 |
| 500,000 |
| 537,205 |
PR Sales Tax Fin Corp Sales Tax Rev First Sub-Ser A 5.000% 08/01/24 |
| 250,000 |
| 281,523 |
|
|
|
| 3,538,038 |
Transportation (1.7%) |
|
|
|
|
Lincoln NE Pkg Rev 5.500% 08/15/31 |
| 500,000 |
| 600,105 |
PR Comwlth Hwy & Transn Auth Hwy Rev 4.950% 07/01/26 |
| 150,000 |
| 162,947 |
|
|
|
| 763,052 |
Utilities (32.7%) |
|
|
|
|
Central Plains Energy Project 5.000% 9/01/27 |
| 1,000,000 |
| 1,064,670 |
Central Plains Energy Proj Rev 5.250% 9/1/37 |
| 500,000 |
| 530,075 |
Central Plains Energy Proj Rev 5.000% 9/1/42 |
| 500,000 |
| 512,320 |
NE Cornhusker Pub Pwr Dist Elec Sys Rev Ref 4.650% 07/01/29 |
| 250,000 |
| 261,060 |
NE Cornhusker Pub Pwr Dist Elec Sys Rev Ref 4.100% 07/01/30 |
| 250,000 |
| 260,893 |
Dawson NE Pub Pwr Elec Sys Rev 4.750% 12/01/32 |
| 250,000 |
| 254,087 |
*Lincoln NE Elec Syst Rev 5.000% 09/01/21 |
| 1,000,000 |
| 1,003,190 |
Lincoln NE Elec Syst Rev 5.000% 09/01/31 |
| 250,000 |
| 287,610 |
#Lincoln NE Elec Sys Rev 3.625% 9/1/37 |
| 1,000,000 |
| 1,002,840 |
Lincoln NE San Swr Rev 4.500% 06/15/29 |
| 250,000 |
| 269,445 |
Lincoln NE Wtr Rev 5.000% 08/15/22 |
| 575,000 |
| 576,064 |
Lincoln NE Wtr Rev 4.000% 08/15/25 |
| 250,000 |
| 281,385 |
Lincoln NE Wtr Rev 4.500% 08/15/34 |
| 250,000 |
| 276,760 |
Mun Energy Agy of NE Pwr Supply Rev 5.125% 04/01/24 |
| 195,000 |
| 227,286 |
Mun Energy Agy of NE Rev 5.000% 04/01/32 |
| 100,000 |
| 115,218 |
NE Pub Pwr Dist Rev 4.000% 01/01/31 |
| 250,000 |
| 268,947 |
Omaha NE Metropolitan Util Wtr Dist Rev 4.375% 12/01/26 |
| 400,000 |
| 431,404 |
Omaha Pub Pwr Rev Elec Rev 5.250% 02/01/23 |
| 250,000 |
| 289,150 |
Omaha Pub Pwr Rev 5.500% 02/01/33 |
| 100,000 |
| 113,319 |
Omaha NE Pub Pwr Elec Rev 5.000% 02/01/34 |
| 1,000,000 |
| 1,042,070 |
Omaha NE Pub Pwr Dist Elec Syst Rev 6.200% 02/01/17 |
| 650,000 |
| 747,857 |
Omaha Sanitation & Sewer 4.000% 11/15/31 |
| 250,000 |
| 271,025 |
Omaha NE Santn Swr Revenue Sys 4.250% 11/15/38 |
| 1,500,000 |
| 1,614,030 |
Omaha NE Pub Pwr Dist (Elec Rev) 4.750% 02/01/25 |
| 250,000 |
| 271,632 |
Omaha NE Pub Pwr Dist (Elec Rev) 4.300% 02/01/31 |
| 100,000 |
| 104,918 |
NE Pub Pwr Generation Agy Whelan Energy 5.000% 01/01/24 |
| 250,000 |
| 273,235 |
NE Pub Pwr Generation Agy Whelan Energy 5.000% 01/01/32 |
| 1,000,000 |
| 1,076,760 |
NE Pub Pwr Generation Agy Whelan Energy 5.000% 01/01/27 |
| 250,000 |
| 274,337 |
PR Elec Pwr Auth Pwr Rev 5.250% 07/01/25 |
| 250,000 |
| 283,365 |
Southern Pub Pwr Dist 5.000% 12/15/23 |
| 250,000 |
| 289,247 |
*Washington Cnty NE Wastewater Facs Rev (Cargill Proj) 4.850% 04/01/35 |
| 800,000 |
| 801,120 |
|
|
|
| 15,075,319 |
|
|
|
|
|
TOTAL MUNICIPAL BONDS (COST: $40,968,566) |
|
| $ | 43,519,734 |
|
|
|
|
|
SHORT-TERM SECURITIES (2.3%) |
| Shares |
|
|
^Wells Fargo Advantage National Tax-Free Money Market 0.010% (COST: $1,058,750) |
| 1,058,750 | $ | 1,058,750 |
|
|
|
|
|
TOTAL INVESTMENTS IN SECURITIES (COST: $42,027,316) (96.8%) |
|
| $ | 44,578,484 |
OTHER ASSETS LESS LIABILITIES (3.2%) |
|
|
| 1,459,900 |
|
|
|
|
|
NET ASSETS (100.0%) |
|
| $ | 46,038,384 |
|
|
|
|
|
* Indicates all or a portion of bonds are segregated by the custodian to cover when-issued or delayed-delivery purchases. | ||||
^ Variable rate security; rate shown represents rate as of July 31, 2012. | ||||
# When-issued purchase as of July 31, 2012. |
The accompanying notes are an integral part of these financial statements.
OKLAHOMA MUNICIPAL FUND
PORTFOLIO MARKET SECTORS July 31, 2012
Utilities | 33.1% |
Education | 25.3% |
Other Revenue | 15.5% |
Transportation | 12.3% |
General Obligation | 5.5% |
Cash Equivalents and Other | 4.1% |
Housing | 2.9% |
Health Care | 1.3% |
| 100.0% |
Market sectors are breakdowns of the Fund's portfolio holdings into specific investment classes.
These percentages are based on net assets and are subject to change.
SCHEDULE OF INVESTMENTS July 31, 2012
|
| Principal |
| Fair |
|
|
|
|
|
MUNICIPAL BONDS (95.9%) |
|
|
|
|
|
|
|
|
|
Education (25.3%) |
|
|
|
|
McClain Cnty OK Econ Dev Auth Ed Lease Rev (Purcell Schs) 4.250% 09/01/20 | $ | 335,000 | $ | 353,847 |
OK Agric & Mech Colleges OK St Univ 5.000% 07/01/39 |
| 140,000 |
| 156,265 |
OK Agric & Mech Colleges Rev (OK St Univ) 4.500% 08/01/35 |
| 450,000 |
| 492,993 |
OK Agric & Mech Colleges Rev (OK St Univ) 4.400% 08/01/39 |
| 1,380,000 |
| 1,492,015 |
OK Agric & Mech Colleges Rev (OK St Univ) 4.375% 08/01/35 |
| 200,000 |
| 216,176 |
OK Cmnty College Student Fac Rev 4.375% 07/01/30 |
| 750,000 |
| 817,470 |
OK Colleges Brd of Regt (NE St Univ Ctr) Rev 5.100% 03/01/16 |
| 115,000 |
| 115,034 |
OK Colleges Brd of Regt (NE St Univ Ctr) Rev 5.150% 03/01/21 |
| 100,000 |
| 100,070 |
OK Dev Fin Auth Lease Rev Master St Higher Ed 4.400% 12/01/29 |
| 250,000 |
| 275,410 |
OK Dev Fin Auth (OK St Syst Higher Ed) 4.900% 12/01/22 |
| 200,000 |
| 203,090 |
OK Dev Fin Auth OK St Higher Ed (Master Lease) 4.500% 06/01/26 |
| 250,000 |
| 271,450 |
OK Dev Fin Auth (Seminole St College) 5.125% 12/01/27 |
| 150,000 |
| 152,812 |
OK Dev Fin Auth (Langston Univ Stadium) 5.000% 07/01/27 |
| 250,000 |
| 255,405 |
OK Cap Impt Auth (Higher Ed Proj) Rev 5.000% 07/01/22 |
| 500,000 |
| 546,770 |
OK Cap Impt Auth (Higher Ed Proj) 5.000% 07/01/24 |
| 250,000 |
| 271,937 |
*OK Cap Impt Auth (Higher Ed Proj) Rev 5.000% 07/01/30 |
| 1,000,000 |
| 1,083,260 |
Texas Cnty OK Dev Auth (OPSU Student Hsg) 5.250% 11/01/23 |
| 250,000 |
| 247,152 |
OK Colleges Brd of Regt (Research Fac) Rev 4.800% 03/01/28 |
| 670,000 |
| 679,045 |
OK Colleges Brd of Regt (Multi Facs) Rev 4.750% 06/01/29 |
| 250,000 |
| 259,105 |
OK Colleges Brd of Regt (Univ of OK) 4.125% 07/01/26 |
| 250,000 |
| 266,287 |
Brd of Regt (OK Univ Science Ctr) 5.000% 07/01/36 |
| 1,000,000 |
| 1,097,700 |
OK Colleges Brd of Regt Student Hsg Rev 5.000% 11/01/27 |
| 1,000,000 |
| 1,005,760 |
Univ of OK Student Hsg (Cameron Univ) Rev 5.500% 07/01/23 |
| 250,000 |
| 266,185 |
University of Oklahoma Rev 5.000% 7/01/2037 |
| 290,000 |
| 332,671 |
|
|
|
| 10,957,909 |
General Obligation (5.5%) |
|
|
|
|
Broken Arrow GO Series A 4.125% 08/01/31 |
| 180,000 |
| 199,006 |
Broken Arrow Untld GO 4.125% 08/01/31 |
| 250,000 |
| 277,447 |
Oklahoma City OK 4.250% 03/01/22 |
| 110,000 |
| 118,451 |
Oklahoma City OK 5.000% 03/01/27 |
| 400,000 |
| 457,832 |
OK Wtr Resources Brd 5.000% 04/01/28 |
| 500,000 |
| 587,140 |
Tulsa OK GO 4.500% 03/01/23 |
| 700,000 |
| 739,767 |
|
|
|
| 2,379,643 |
Health Care (1.3%) |
|
|
|
|
OK Dev Fin Auth (St John Health Syst) 5.000% 02/15/42 |
| 250,000 |
| 269,960 |
Tulsa Cnty Ind Auth Health Fac 4.600% 02/01/35 |
| 250,000 |
| 273,957 |
|
|
|
| 543,917 |
Housing (2.9%) |
|
|
|
|
OK Hsg Fin 5.050% 09/01/23 |
| 540,000 |
| 556,848 |
OK Hsg Fin 5.150% 09/01/29 |
| 275,000 |
| 281,121 |
OK Hsg Fin 5.200% 09/01/32 |
| 275,000 |
| 282,640 |
OK Hsg Fin Single Family Mtg Rev 5.100% 03/01/17 |
| 55,000 |
| 57,780 |
OK Hsg Fin Single Family Mtg Rev 5.100% 09/01/17 |
| 55,000 |
| 57,463 |
|
|
|
| 1,235,852 |
Other Revenue (15.5%) |
|
|
|
|
Collinsville OK Mun Auth Sales Tax Rev 5.000% 03/01/35 |
| 275,000 |
| 303,619 |
Collinsville OK Mun Auth Sales Tax Rev 5.000% 03/01/40 |
| 250,000 |
| 273,285 |
Delaware Cnty OK Sales Tax Rev 3.750% 09/01/29 |
| 375,000 |
| 375,593 |
Durant OK Cmnty Fac Auth Sales Tax Rev 5.500% 11/01/19 |
| 250,000 |
| 278,300 |
Oklahoma City OK Pub Auth (OK City Fairgrounds Fac) 5.500% 10/01/19 |
| 250,000 |
| 280,623 |
Oklahoma City Pub Property Hotel Tax Rev 4.500% 10/1/31 |
| 155,000 |
| 165,432 |
OK Dev Fin Auth (Lease Rev) Law Enforcement 5.100% 06/01/27 |
| 120,000 |
| 120,222 |
OK Dev Fin Auth OK Dept of Corrections (McLoud Fac) 4.600% 04/01/22 |
| 250,000 |
| 254,288 |
OK Dev Fin Auth OK Dept of Corrections (McLoud Fac) 4.650% 04/01/23 |
| 250,000 |
| 254,053 |
OK Cap Impt Auth (Supreme Court Proj) 4.500% 07/01/26 |
| 500,000 |
| 537,025 |
OK Cap Impt Auth (OK St Bureau of Investigation) 4.375% 07/01/22 |
| 100,000 |
| 108,987 |
OK Cap Impt Auth (OK St Bureau of Investigation) 4.375% 07/01/23 |
| 100,000 |
| 108,397 |
OK Cap Impt Auth (OK St Bureau of Investigation) 4.500% 07/01/24 |
| 200,000 |
| 218,248 |
OK Wtr Resources Brd Revolving Fd Rev Bds 5.000% 04/01/32 |
| 140,000 |
| 167,140 |
Pawnee Cnty OK Pub Programs Auth Sales Tax Rev 4.875% 02/01/30 |
| 250,000 |
| 290,745 |
Rogers Cnty OK Indl Dev Auth Cap Impt Rev 4.900% 04/01/35 |
| 500,000 |
| 561,815 |
Sallisaw OK Mun Auth Rev 4.000% 09/01/35 |
| 500,000 |
| 507,245 |
Tulsa Airport Impt Rev 5.000% 06/01/23 |
| 420,000 |
| 454,696 |
Tulsa Airport Impt Rev 5.000% 06/01/24 |
| 230,000 |
| 247,133 |
Tulsa Airport Impt Rev 5.250% 06/01/25 |
| 245,000 |
| 265,778 |
Tulsa Airport Impt Rev 5.250% 06/01/26 |
| 360,000 |
| 386,942 |
Tulsa OK Pkg Auth Pkg Rev 4.000% 07/01/25 |
| 500,000 |
| 547,760 |
|
|
|
| 6,707,326 |
Transportation (12.3%) |
|
|
|
|
Oklahoma City OK Airport Tr Jr Lien Ref Series B 5.000% 07/01/19 |
| 250,000 |
| 291,643 |
Oklahoma City OK Airport Tr Jr Lien Ref Series B 5.000% 07/01/21 |
| 250,000 |
| 288,850 |
OK Cap Impt Auth (St Hwy) 5.000% 06/01/14 |
| 250,000 |
| 266,103 |
OK St Cap Impt Auth 4.000% 10/01/24 |
| 1,000,000 |
| 1,133,100 |
OK St Cap Impt Auth 4.000% 10/01/25 |
| 1,000,000 |
| 1,128,710 |
OK St Tpk Auth Rev 5.000% 01/01/28 |
| 250,000 |
| 296,140 |
OK State Turnpike Auth Rev 4.000% 01/01/31 |
| 250,000 |
| 270,220 |
OK State Turnpike Auth. Rev. 5.000% 01/01/30 |
| 250,000 |
| 295,725 |
Tulsa OK Arpts Impt Tr Gen Rev Ref 5.000% 06/01/19 |
| 125,000 |
| 135,711 |
Tulsa OK Arpts Impvt Tr 5.375% 06/01/24 |
| 275,000 |
| 297,347 |
Tulsa OK Arpts Impt Tr Gen Rev Ref 5.000% 06/01/19 |
| 125,000 |
| 135,711 |
Tulsa OK Arpts Impt Tr Gen Rev Ref 5.750% 06/01/31 |
| 500,000 |
| 525,375 |
Tulsa OK Arpts Impt Tr Gen Rev Ref 6.000% 06/01/23 |
| 250,000 |
| 262,735 |
|
|
|
| 5,327,370 |
Utilities (33.1%) |
|
|
|
|
Coweta Pub Works Util Rev 5.000% 08/01/34 |
| 100,000 |
| 112,811 |
*Drumright OK Util Sys Rev 4.750% 02/01/36 |
| 450,000 |
| 461,691 |
Edmond OK Pub Wks Auth Util Rev 4.850% 01/01/24 |
| 155,000 |
| 160,960 |
Edmond OK Pub Wks Auth Util Rev 4.750% 07/01/24 |
| 250,000 |
| 267,233 |
Edmond OK Pub Wks Auth Util Rev 4.750% 07/01/23 |
| 200,000 |
| 204,952 |
Glenpool Util Rev 5.100% 12/01/35 |
| 250,000 |
| 284,295 |
Grand River Dam Auth Rev 5.000% 06/01/27 |
| 1,000,000 |
| 1,166,260 |
Grand River Dam Auth Rev 4.800% 06/01/33 |
| 200,000 |
| 222,424 |
*Grand River Dam Auth Rev 5.250% 06/01/40 |
| 2,000,000 |
| 2,312,240 |
Jenks Aquarium Auth Rev 5.250% 07/01/29 |
| 500,000 |
| 530,285 |
McAlester OK Pub Works Auth 5.100% 02/01/30 |
| 100,000 |
| 102,000 |
Midwest City OK Cap Impt 4.125% 09/01/33 |
| 250,000 |
| 263,950 |
*Midwest City Municipal Auth Cap Impt Rev 5.000 % 3/1/25 |
| 2,000,000 |
| 2,366,640 |
Oklahoma City OK Wtr Util Tr Wtr & Swr Sys Rev 5.000% 07/01/29 |
| 425,000 |
| 446,679 |
Oklahoma City OK Wtr Util Tr Wtr & Swr Sys Rev 5.000% 07/01/34 |
| 250,000 |
| 262,800 |
Oklahoma City OK Wtr Util Tr Wtr & Swr Sys Rev 4.000% 07/01/34 |
| 250,000 |
| 264,635 |
Oklahoma City OK Wtr Util Tr Wtr & Swr Sys Rev Ref 5.000% 07/01/31 |
| 250,000 |
| 300,463 |
*OK Mun Pwr Auth Rev 5.750% 01/01/24 |
| 2,230,000 |
| 2,701,088 |
Sallisaw OK Mun Auth Util Sys Rev Ref 4.450% 01/01/28 |
| 100,000 |
| 109,650 |
Sapulpa OK Mun Auth Util Sys Rev 4.250% 07/01/37 |
| 1,000,000 |
| 1,020,400 |
Tulsa Metropolitan Auth Util Rev 4.250% 05/01/26 |
| 100,000 |
| 106,910 |
Tulsa Metropolitan Auth Util Rev 4.500% 05/01/27 |
| 610,000 |
| 647,491 |
|
|
|
| 14,315,857 |
|
|
|
|
|
TOTAL MUNICIPAL BONDS (COST: $38,805,426) |
|
| $ | 41,467,874 |
|
|
|
|
|
SHORT-TERM SECURITIES (2.2%) |
| Shares |
|
|
^Wells Fargo Advantage National Tax-Free Money Market 0.0100% (COST: $970,809) |
| 970,809 | $ | 970,809 |
|
|
|
|
|
TOTAL INVESTMENTS IN SECURITIES (COST: $39,776,235) (98.1%) |
|
| $ | 42,438,683 |
OTHER ASSETS LESS LIABILITIES (1.9%) |
|
|
| 814,750 |
|
|
|
|
|
TOTAL ASSETS (100.0%) |
|
| $ | 43,253,433 |
|
|
|
|
|
* Indicates all or a portion of bonds are segregated by the custodian to cover when-issued or delayed-delivery purchases. | ||||
^ Variable rate security; rate shown represents rate as of July 31, 2012 |
The accompanying notes are an integral part of these financial statements.
MAINE MUNICIPAL FUND
PORTFOLIO MARKET SECTORS July 31, 2012
General Obligation | 25.5% |
Health Care | 17.1% |
Transportation | 16.5% |
Education | 16.1% |
Utilities | 8.2% |
Other Revenue | 7.7% |
Housing | 6.0% |
Cash Equivalents and Other | 2.9% |
| 100.0% |
Market sectors are breakdowns of the Fund's portfolio holdings into specific investment classes.
These percentages are based on net assets and are subject to change.
SCHEDULE OF INVESTMENTS July 31, 2012
|
| Principal |
| Fair |
MUNICIPAL BONDS (97.1%) |
|
|
|
|
|
|
|
|
|
Education (16.1%) |
|
|
|
|
ME Ed Loan Auth Student Loan Rev 5.875% 12/01/39 | $ | 185,000 | $ | 208,691 |
ME Ed Loan Auth 4.450% 12/01/25 |
| 100,000 |
| 110,460 |
ME Health & Higher Ed Facs Auth Rev Ser A-Bowdoin College 5.125% 07/01/39 |
| 715,000 |
| 799,341 |
ME Health & Higher Ed Facs Auth Rev 5.000% 07/01/32 |
| 30,000 |
| 30,444 |
ME Health & Higher Ed Facs Auth Rev Unrefunded Bal 5.000% 07/01/23 |
| 135,000 |
| 149,816 |
ME Hlth & Higher Ed Facs Auth Rev 4.750% 07/01/31 |
| 250,000 |
| 273,850 |
Regl Sch Unit No 1 ME Lower Kennebec Region Sch Unit 5.000% 02/01/26 |
| 100,000 |
| 116,331 |
Univ of ME Sys Rev 4.625% 03/01/29 |
| 100,000 |
| 106,903 |
Univ of ME Sys Rev 4.750% 03/01/37 |
| 550,000 |
| 582,406 |
Univ of PR 5.000% 06/01/17 |
| 500,000 |
| 532,935 |
|
|
|
| 2,911,177 |
General Obligation (25.5%) |
|
|
|
|
Bangor ME 4.000% 09/01/24 |
| 155,000 |
| 173,636 |
Falmouth ME GO 4.250% 11/15/31 |
| 200,000 |
| 222,056 |
Gorham ME Unlimited Tax GO 4.350% 02/01/24 |
| 155,000 |
| 165,893 |
Gray ME Unlimited GO 4.000% 10/15/26 |
| 280,000 |
| 317,506 |
Gray ME Unlimited GO 4.000% 10/15/27 |
| 280,000 |
| 314,507 |
Lewiston ME GO 5.000% 04/01/22 |
| 500,000 |
| 525,605 |
Lewiston ME GO 5.000% 04/01/24 |
| 250,000 |
| 263,155 |
Lewiston ME GO 4.500% 01/15/25 |
| 200,000 |
| 211,668 |
ME St Hsg Auth Energy Recovery Fd 5.000% 06/15/24 |
| 250,000 |
| 289,660 |
Portland ME 4.250% 05/01/29 |
| 150,000 |
| 164,714 |
Portland ME 4.125% 10/01/29 |
| 100,000 |
| 111,489 |
Saco ME GO 4.000% 04/01/28 |
| 100,000 |
| 110,942 |
Scarborough ME GO 4.400% 11/01/31 |
| 250,000 |
| 261,700 |
Scarborough ME GO 4.400% 11/01/32 |
| 480,000 |
| 500,616 |
ME Sch Adminstrative Dist # 51 4.250% 10/15/29 |
| 250,000 |
| 280,525 |
Westbrook ME GO 4.250% 10/15/20 |
| 180,000 |
| 188,154 |
*Yarmouth ME 5.000% 11/15/19 |
| 500,000 |
| 509,340 |
|
|
|
| 4,611,166 |
Health Care (17.1%) |
|
|
|
|
ME Health & Higher Ed Facs Auth Rev 6.000% 10/01/13 |
| 195,000 |
| 205,838 |
ME Health & Higher Ed Facs Auth Rev 5.000% 07/01/22 |
| 250,000 |
| 281,975 |
ME Health & Higher Ed Facs Auth Rev 5.000% 07/01/25 |
| 340,000 |
| 357,551 |
*ME Health & Higher Ed Facs Auth Rev 5.000% 07/01/39 |
| 610,000 |
| 660,728 |
ME Health & Higher Ed Facs Auth Rev 5.000% 07/01/20 |
| 250,000 |
| 297,403 |
ME Health & Higher Ed Facs Auth Rev 5.000% 07/01/40 |
| 250,000 |
| 272,673 |
ME Health & Higher Ed Facs Auth Rev 4.500% 07/01/31 |
| 200,000 |
| 213,646 |
ME Health & Higher Ed Facs Auth Rev 5.250% 07/01/23 |
| 200,000 |
| 236,786 |
ME Health & Higher Gen Med Ctr 6.650% 07/01/32 |
| 500,000 |
| 571,335 |
|
|
|
| 3,097,935 |
Housing (6.0%) |
|
|
|
|
ME St Hsg Auth 4.000% 11/15/24 |
| 100,000 |
| 103,380 |
*ME St Hsg Auth 5.000% 11/15/29 |
| 350,000 |
| 367,434 |
ME St Hsg Auth 4.700% 11/15/27 |
| 250,000 |
| 259,350 |
ME St Hsg Auth 4.375% 11/15/25 |
| 100,000 |
| 101,290 |
ME St Hsg Auth 5.150% 11/15/32 |
| 250,000 |
| 255,300 |
|
|
|
| 1,086,754 |
Other Revenue (7.7%) |
|
|
|
|
ME Governmental Facs Auth Lease Rent Rev 5.000% 10/01/23 |
| 125,000 |
| 129,380 |
Maine Municipal Bond Bank 4.000% 11/01/38 |
| 125,000 |
| 131,855 |
Maine Municipal Bond Bank 5.000% 11/01/25 |
| 125,000 |
| 155,235 |
ME Mun Bd Bk (Swr & Wtr) Rev 4.900% 11/01/24 |
| 95,000 |
| 100,577 |
ME Mun Bd Bk (Swr & Wtr) Rev 4.900% 11/01/24 |
| 5,000 |
| 5,192 |
*PR Pub Fin Corp Comwlth Appropriations 5.375% 06/01/18 |
| 515,000 |
| 641,618 |
PR Sales Tax Fing Corp Sales Tax Rev 5.000% 08/01/26 |
| 200,000 |
| 223,550 |
|
|
|
| 1,387,407 |
Transportation (16.5%) |
|
|
|
|
*ME Mun Bd Bk Transn Infrastructure Rev 5.000% 09/01/24 |
| 1,000,000 |
| 1,187,920 |
ME St Tpk Auth 5.000% 07/01/33 |
| 450,000 |
| 469,386 |
ME St Tpk Auth 5.125% 07/01/30 |
| 500,000 |
| 531,545 |
Portland ME Airport Rev 5.000% 07/01/32 |
| 500,000 |
| 509,030 |
Portland ME Airport Rev 5.250% 01/01/35 |
| 250,000 |
| 275,277 |
|
|
|
| 2,973,158 |
Utilities (8.2%) |
|
|
|
|
*Kennebunk ME Pwr & Light Dist 5.000% 08/01/22 |
| 500,000 |
| 564,165 |
Portland ME Wtr Dist Rev 4.250% 11/01/27 |
| 500,000 |
| 543,615 |
PR Elec Pwr Auth Pwr Rev 5.000% 07/01/23 |
| 100,000 |
| 105,489 |
PR Elec Pwr Auth Pwr Rev 5.250% 07/01/26 |
| 250,000 |
| 271,810 |
|
|
|
| 1,485,079 |
|
|
|
|
|
TOTAL MUNICIPAL BONDS (COST: $16,283,576) |
|
| $ | 17,552,676 |
|
|
|
|
|
SHORT-TERM SECURITIES (1.9%) |
| Shares |
|
|
^Wells Fargo Advantage National Tax-Free Money Market Fund 0.010% (COST: $350,597) |
| 350,597 | $ | 350,597 |
|
|
|
|
|
TOTAL INVESTMENTS IN SECURITIES (COST: $16,634,173) (99.0%) |
|
| $ | 17,903,273 |
OTHER ASSETS LESS LIABILITIES (1.0%) |
|
|
| 180,615 |
|
|
|
|
|
NET ASSETS (100.0%) |
|
| $ | 18,083,888 |
|
|
|
|
|
* Indicates all or a portion of bonds are segregated by the custodian to cover when-issued or delayed-delivery purchases. | ||||
^ Variable rate security; rate shown represents rate as of July 31, 2012. |
The accompanying notes are an integral part of these financial statements.
NEW HAMPSHIRE MUNICIPAL FUND
PORTFOLIO MARKET SECTORS July 31, 2012
General Obligation | 38.9% |
Housing | 15.3% |
Health Care | 14.8% |
Education | 10.2% |
Utilities | 8.9% |
Other Revenue | 6.9% |
Cash Equivalents and Other | 3.8% |
Transportation | 1.2% |
| 100.0% |
Market sectors are breakdowns of the Fund's portfolio holdings into specific investment classes.
These percentages are based on net assets and are subject to change.
SCHEDULE OF INVESTMENTS July 31, 2012
|
| Principal |
| Fair |
MUNICIPAL BONDS (96.2%) |
|
|
|
|
|
|
|
|
|
Education (10.2%) |
|
|
|
|
NH Health & Ed Fac Auth Rev Southern NH Univ 5.000% 01/01/17 | $ | 200,000 | $ | 223,348 |
NH Health & Ed Facs Rev Southern NH Med Ctr 5.000% 01/01/20 |
| 100,000 |
| 113,477 |
Univ of PR 5.000% 06/01/17 |
| 150,000 |
| 159,880 |
|
|
|
| 496,705 |
General Obligation (38.9%) |
|
|
|
|
Concord NH GO 4.600% 10/15/14 |
| 100,000 |
| 100,108 |
Dover New Hampshire GO 4.000% 6/15/28 |
| 100,000 |
| 111,645 |
Gorham NH GO 4.850% 04/01/14 |
| 65,000 |
| 65,029 |
*Hampton NH GO 4.000% 12/15/20 |
| 200,000 |
| 215,860 |
Hillsborough NH GO 4.000% 11/01/20 |
| 100,000 |
| 106,210 |
Hillsborough NH GO 4.000% 11/01/21 |
| 100,000 |
| 107,012 |
Merrimack Cnty NH GO 4.250% 12/01/19 |
| 100,000 |
| 115,445 |
Merrimack Cnty NH GO 4.500% 12/01/26 |
| 100,000 |
| 110,222 |
Merrimack Cnty NH GO 4.500% 12/01/27 |
| 100,000 |
| 111,227 |
*NH Mun Bd Bk 2009 Series D 4.000% 07/15/25 |
| 175,000 |
| 195,018 |
NH St Cap Impt GO 4.750% 03/01/27 |
| 100,000 |
| 113,041 |
Portsmouth NH GO 4.000% 08/01/19 |
| 100,000 |
| 108,255 |
Portsmouth NH GO Cap Impt 4.000% 12/01/30 |
| 100,000 |
| 110,022 |
Rochester NH GO 4.750% 07/15/20 |
| 300,000 |
| 320,970 |
|
|
|
| 1,890,064 |
Health Care (14.8%) |
|
|
|
|
NH Hlth & ED Facs Rev Wentworth Douglas Hosp 5.500% 1/1/26 |
| 100,000 |
| 113,705 |
NH Health & Ed Facs Conway Hosp 5.250% 06/01/16 |
| 100,000 |
| 106,861 |
NH Health & Ed Facs Rev Southern NH Med Ctr 5.250% 10/01/23 |
| 100,000 |
| 108,445 |
*NH Health & Ed Facs Rev Healthcare Sys-Covenant Hlth-B 5.000% 07/01/24 |
| 100,000 |
| 106,682 |
NH Health & Ed Rev Covenant Health 5.000% 07/01/31 |
| 150,000 |
| 157,787 |
NH Health & Ed Facs Auth Rev Dartmouth-Hitchcock 6.000% 08/01/33 |
| 115,000 |
| 122,178 |
|
|
|
| 715,658 |
Housing (15.3%) |
|
|
|
|
NH St Hsg Single Fam Rev 4.900% 07/01/25 |
| 85,000 |
| 85,927 |
NH St Hsg Single Fam Rev 5.000% 07/01/30 |
| 80,000 |
| 81,261 |
NH St Hsg Fin Auth Single Family Mtg Rev 5.350% 07/01/40 |
| 100,000 |
| 102,464 |
*NH St Hsg Fin Auth Single Family Mtg Rev 4.625% 07/01/25 |
| 150,000 |
| 156,740 |
NH State Housing Auth Rev 3.800% 7/1/25 |
| 100,000 |
| 102,771 |
NH St Hsg Fin Auth Single Family Mtg Rev 4.875% 07/01/28 |
| 95,000 |
| 106,105 |
NH St Hsg Fin Auth Multi Family Hsg 5.200% 07/01/31 |
| 100,000 |
| 107,170 |
|
|
|
| 742,438 |
Other Revenue (6.9%) |
|
|
|
|
NH St Business Fin Auth Solid Waste Disp Rev - Waste Mgmt Inc 5.200% 05/01/27 |
| 150,000 |
| 163,794 |
*PR Sales Tax Fin Corp Sales Tax Rev First Sub-Ser A 5.000% 08/01/24 |
| 150,000 |
| 168,913 |
|
|
|
| 332,707 |
Transportation (1.2%) |
|
|
|
|
PR Comwlth Hwy & Transn Auth Hwy Rev 4.950% 07/01/26 |
| 55,000 |
| 59,747 |
|
|
|
|
|
Utilities (8.9%) |
|
|
|
|
Manchester NH Wtr Works Rev 5.000% 12/01/28 |
| 100,000 |
| 106,392 |
*Manchester NH Wtr Works Rev 5.000% 12/01/34 |
| 250,000 |
| 265,562 |
PR Elec Pwr Auth Pwr Rev 5.000% 07/01/23 |
| 55,000 |
| 58,019 |
|
|
|
| 429,973 |
|
|
|
|
|
TOTAL MUNICIPAL BONDS (COST: $4,399,312) |
|
| $ | 4,667,292 |
|
|
|
|
|
SHORT-TERM SECURITIES (3.3%) |
| Shares |
|
|
^Wells Fargo Advantage National Tax-Free Money Market Fund 0.010% (Cost: $162,551) |
| 162,551 | $ | 162,551 |
|
|
|
|
|
TOTAL INVESTMENTS IN SECURITIES (COST: $4,561,863) (99.5%) |
|
| $ | 4,829,843 |
OTHER ASSETS LESS LIABILITIES (0.5%) |
|
|
| 24,061 |
|
|
|
|
|
NET ASSETS (100.0%) |
|
| $ | 4,853,904 |
|
|
|
|
|
* Indicates all or a portion of bonds are segregated by the custodian to cover when-issued or delayed delivery purchases. | ||||
^ Variable rate security; rate shown represents rate as of July 31, 2012. |
The accompanying notes are an integral part of these financial statements.
FINANCIAL STATEMENTS
Statements of Assets and Liabilities July 31, 2012
|
| Kansas |
| Kansas |
| Nebraska | |||
ASSETS |
|
|
|
|
|
|
|
|
|
Investments in securities, at cost |
| $ | 44,302,460 |
| $ | 19,620,506 |
| $ | 42,027,316 |
|
|
|
|
|
|
|
|
|
|
Investments in securities, at fair value |
| $ | 47,516,083 |
| $ | 20,990,361 |
| $ | 44,578,484 |
Cash |
|
| 82,612 |
|
| 19,639 |
|
| 2,204,088 |
Receivable for Fund shares sold |
|
| 17,437 |
|
| 0 |
|
| 0 |
Accrued dividends receivable |
|
| 8 |
|
| 4 |
|
| 19 |
Accrued interest receivable |
|
| 645,895 |
|
| 298,949 |
|
| 456,097 |
Receivable due from broker |
|
| 0 |
|
| 0 |
|
| 1 |
Prepaid expenses |
|
| 1,497 |
|
| 1,052 |
|
| 3,373 |
Total assets |
| $ | 48,263,532 |
| $ | 21,310,005 |
| $ | 47,242,062 |
|
|
|
|
|
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
|
|
Payable for securities purchased |
| $ | 0 |
| $ | 0 |
| $ | 1,005,308 |
Payable for Fund shares redeemed |
|
| 58,751 |
|
| 13,692 |
|
| 100,000 |
Dividends payable |
|
| 46,411 |
|
| 12,211 |
|
| 43,441 |
Trustees' fees payable |
|
| 1,808 |
|
| 809 |
|
| 1,577 |
Payable to affiliates |
|
| 45,998 |
|
| 11,688 |
|
| 37,334 |
Accrued expenses |
|
| 17,249 |
|
| 9,432 |
|
| 16,018 |
Total liabilities |
| $ | 170,217 |
| $ | 47,832 |
| $ | 1,203,678 |
|
|
|
|
|
|
|
|
|
|
NET ASSETS |
| $ | 48,093,315 |
| $ | 21,262,173 |
| $ | 46,038,384 |
|
|
|
|
|
|
|
|
|
|
NET ASSETS ARE REPRESENTED BY: |
|
|
|
|
|
|
|
|
|
Capital stock outstanding, no par value, unlimited shares authorized |
| $ | 48,232,498 |
| $ | 20,435,683 |
| $ | 44,630,878 |
Accumulated net realized gain (loss) on investments |
|
| (3,354,997) |
|
| (544,062) |
|
| (1,149,596) |
Accumulated undistributed net investment income (loss) |
|
| 2,191 |
|
| 697 |
|
| 5,934 |
Unrealized appreciation (depreciation) on investments |
|
| 3,213,623 |
|
| 1,369,855 |
|
| 2,551,168 |
|
|
|
|
|
|
|
|
|
|
NET ASSETS |
| $ | 48,093,315 |
| $ | 21,262,173 |
| $ | 46,038,384 |
|
|
|
|
|
|
|
|
|
|
Shares outstanding |
|
| 4,324,745 |
|
| 1,811,305 |
|
| 4,304,815 |
Net asset value per share* |
| $ | 11.12 |
| $ | 11.74 |
| $ | 10.69 |
Public offering price |
| $ | 11.55 |
| $ | 12.07 |
| $ | 11.11 |
|
|
|
|
|
|
|
|
|
|
* Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge. |
The accompanying notes are an integral part of these financial statements.
FINANCIAL STATEMENTS
Statements of Assets and Liabilities July 31, 2012
|
| Oklahoma |
| Maine |
| New Hampshire | |||
ASSETS |
|
|
|
|
|
|
|
|
|
Investments in securities, at cost |
| $ | 39,776,235 |
| $ | 16,634,173 |
| $ | 4,561,863 |
|
|
|
|
|
|
|
|
|
|
Investments in securities, at fair value |
| $ | 42,438,683 |
| $ | 17,903,273 |
| $ | 4,829,843 |
Cash |
|
| 1,608 |
|
| 0 |
|
| 0 |
Receivable for Fund shares sold |
|
| 480,067 |
|
| 126,730 |
|
| 0 |
Accrued dividends receivable |
|
| 8 |
|
| 2 |
|
| 3 |
Accrued interest receivable |
|
| 454,253 |
|
| 166,818 |
|
| 36,959 |
Prepaid expenses |
|
| 1,956 |
|
| 1,881 |
|
| 724 |
Total assets |
| $ | 43,376,575 |
| $ | 18,198,704 |
| $ | 4,867,529 |
|
|
|
|
|
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
|
|
Payable for Fund shares redeemed |
| $ | 7,605 |
| $ | 35,303 |
| $ | 0 |
Dividends payable |
|
| 47,707 |
|
| 17,605 |
|
| 5,608 |
Trustees' fees payable |
|
| 1,570 |
|
| 676 |
|
| 173 |
Payable to affiliates |
|
| 50,181 |
|
| 19,942 |
|
| 3,688 |
Accrued expenses |
|
| 16,079 |
|
| 8,331 |
|
| 4,156 |
Disbursements in excess of demand deposit cash |
|
| 0 |
|
| 32,959 |
|
| 0 |
Total liabilities |
| $ | 123,142 |
| $ | 114,816 |
| $ | 13,625 |
|
|
|
|
|
|
|
|
|
|
NET ASSETS |
| $ | 43,253,433 |
| $ | 18,083,888 |
| $ | 4,853,904 |
|
|
|
|
|
|
|
|
|
|
NET ASSETS ARE REPRESENTED BY: |
|
|
|
|
|
|
|
|
|
Capital stock outstanding, no par value, unlimited shares authorized |
| $ | 42,024,173 |
| $ | 17,118,978 |
| $ | 4,695,165 |
Accumulated net realized gain (loss) on investments |
|
| (1,433,729) |
|
| (313,066) |
|
| (114,812) |
Accumulated undistributed net investment income (loss) |
|
| 541 |
|
| 8,876 |
|
| 5,571 |
Unrealized appreciation (depreciation) on investments |
|
| 2,662,448 |
|
| 1,269,100 |
|
| 267,980 |
|
|
|
|
|
|
|
|
|
|
NET ASSETS |
| $ | 43,253,433 |
| $ | 18,083,888 |
| $ | 4,853,904 |
|
|
|
|
|
|
|
|
|
|
Shares outstanding |
|
| 3,626,674 |
|
| 1,591,518 |
|
| 438,520 |
Net asset value per share* |
| $ | 11.93 |
| $ | 11.36 |
| $ | 11.07 |
Public offering price |
| $ | 12.39 |
| $ | 11.80 |
| $ | 11.50 |
|
|
|
|
|
|
|
|
|
|
* Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge. |
The accompanying notes are an integral part of these financial statements.
FINANCIAL STATEMENTS
Statements of Operations For the year ended July 31, 2012
|
| Kansas |
| Kansas |
| Nebraska | |||
INVESTMENT INCOME |
|
|
|
|
|
|
|
|
|
Interest |
| $ | 2,055,112 |
| $ | 699,545 |
| $ | 1,688,976 |
Dividends |
|
| 377 |
|
| 137 |
|
| 371 |
Total investment income |
| $ | 2,055,489 |
| $ | 699,682 |
| $ | 1,689,347 |
|
|
|
|
|
|
|
|
|
|
EXPENSES |
|
|
|
|
|
|
|
|
|
Investment advisory fees |
| $ | 232,557 |
| $ | 103,163 |
| $ | 197,337 |
Distribution (12b-1) fees |
|
| 116,278 |
|
| 0 |
|
| 98,669 |
Transfer agent fees |
|
| 65,116 |
|
| 28,886 |
|
| 55,254 |
Administrative service fees |
|
| 89,183 |
|
| 52,953 |
|
| 79,321 |
Professional fees |
|
| 10,819 |
|
| 6,585 |
|
| 10,151 |
Reports to shareholders |
|
| 2,013 |
|
| 726 |
|
| 1,382 |
License, fees, and registrations |
|
| 2,993 |
|
| 4,255 |
|
| 7,904 |
Audit fees |
|
| 12,313 |
|
| 5,505 |
|
| 10,957 |
Trustees' fees |
|
| 3,046 |
|
| 1,351 |
|
| 2,564 |
Transfer agent out-of-pockets |
|
| 2,818 |
|
| 828 |
|
| 1,431 |
Custodian fees |
|
| 6,386 |
|
| 3,604 |
|
| 5,762 |
Legal fees |
|
| 5,086 |
|
| 2,257 |
|
| 4,310 |
Insurance expense |
|
| 1,408 |
|
| 605 |
|
| 1,119 |
Total expenses |
| $ | 550,016 |
| $ | 210,718 |
| $ | 476,161 |
Less expenses waived or reimbursed |
|
| (51,165) |
|
| (55,973) |
|
| (52,800) |
Total net expenses |
| $ | 498,851 |
| $ | 154,745 |
| $ | 423,361 |
|
|
|
|
|
|
|
|
|
|
NET INVESTMENT INCOME (LOSS) |
| $ | 1,556,638 |
| $ | 544,937 |
| $ | 1,265,986 |
|
|
|
|
|
|
|
|
|
|
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS |
|
|
|
|
|
|
|
|
|
Net realized gain (loss) from investment transactions |
| $ | 17,365 |
| $ | 3,273 |
| $ | 3,269 |
Net change in unrealized appreciation (depreciation) on investments |
|
| 2,027,310 |
|
| 908,213 |
|
| 1,827,535 |
Net realized and unrealized gain (loss) on investments |
| $ | 2,044,675 |
| $ | 911,486 |
| $ | 1,830,804 |
|
|
|
|
|
|
|
|
|
|
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS |
| $ | 3,601,313 |
| $ | 1,456,423 |
| $ | 3,096,790 |
The accompanying notes are an integral part of these financial statements.
FINANCIAL STATEMENTS
Statements of Operations For the year ended July 31, 2012
|
| Oklahoma |
| Maine |
| New Hampshire | |||
INVESTMENT INCOME |
|
|
|
|
|
|
|
|
|
Interest |
| $ | 1,557,708 |
| $ | 717,237 |
| $ | 183,216 |
Dividends |
|
| 883 |
|
| 101 |
|
| 70 |
Total investment income |
| $ | 1,558,591 |
| $ | 717,338 |
| $ | 183,286 |
|
|
|
|
|
|
|
|
|
|
EXPENSES |
|
|
|
|
|
|
|
|
|
Investment advisory fees |
| $ | 195,193 |
| $ | 85,988 |
| $ | 22,171 |
Distribution (12b-1) fees |
|
| 97,596 |
|
| 42,994 |
|
| 11,086 |
Transfer agent fees |
|
| 54,654 |
|
| 24,077 |
|
| 6,208 |
Administrative service fees |
|
| 78,721 |
|
| 48,143 |
|
| 30,275 |
Professional fees |
|
| 10,120 |
|
| 5,912 |
|
| 3,399 |
Reports to shareholders |
|
| 833 |
|
| 714 |
|
| 263 |
License, fees, and registrations |
|
| 3,876 |
|
| 2,519 |
|
| 1,241 |
Audit fees |
|
| 11,008 |
|
| 4,554 |
|
| 1,263 |
Trustees' fees |
|
| 2,534 |
|
| 1,125 |
|
| 291 |
Transfer agent out-of-pockets |
|
| 459 |
|
| 857 |
|
| 186 |
Custodian fees |
|
| 5,844 |
|
| 3,091 |
|
| 1,797 |
Legal fees |
|
| 4,277 |
|
| 1,882 |
|
| 488 |
Insurance expense |
|
| 1,022 |
|
| 507 |
|
| 125 |
Total expenses |
| $ | 466,137 |
| $ | 222,363 |
| $ | 78,793 |
Less expenses waived or reimbursed |
|
| (47,374) |
|
| (37,905) |
|
| (31,230) |
Total net expenses |
| $ | 418,763 |
| $ | 184,458 |
| $ | 47,563 |
|
|
|
|
|
|
|
|
|
|
NET INVESTMENT INCOME (LOSS) |
| $ | 1,139,828 |
| $ | 532,880 |
| $ | 135,723 |
|
|
|
|
|
|
|
|
|
|
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS |
|
|
|
|
|
|
|
|
|
Net realized gain (loss) from investment transactions |
| $ | 68,237 |
| $ | 36 |
| $ | 6,064 |
Net change in unrealized appreciation (depreciation) on investments |
|
| 2,173,153 |
|
| 910,865 |
|
| 156,347 |
Net realized and unrealized gain (loss) on investments |
| $ | 2,241,390 |
| $ | 910,901 |
| $ | 162,411 |
|
|
|
|
|
|
|
|
|
|
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS |
| $ | 3,381,218 |
| $ | 1,443,781 |
| $ | 298,134 |
The accompanying notes are an integral part of these financial statements.
FINANCIAL STATEMENTS
Statements of Changes in Net Assets For the year ended July 31, 2012
|
| Kansas |
| Kansas |
| Nebraska | |||
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS |
|
|
|
|
|
|
|
|
|
Net investment income (loss) |
| $ | 1,556,638 |
| $ | 544,937 |
| $ | 1,265,986 |
Net realized gain (loss) from investment transactions |
|
| 17,365 |
|
| 3,273 |
|
| 3,269 |
Net change in unrealized appreciation (depreciation) on investments |
|
| 2,027,310 |
|
| 908,213 |
|
| 1,827,535 |
Net increase (decrease) in net assets resulting from operations |
| $ | 3,601,313 |
| $ | 1,456,423 |
| $ | 3,096,790 |
|
|
|
|
|
|
|
|
|
|
DISTRIBUTIONS TO SHAREHOLDERS FROM |
|
|
|
|
|
|
|
|
|
Net investment income |
| $ | (1,555,982) |
| $ | (544,762) |
| $ | (1,264,817) |
Net realized gain on investments |
|
| 0 |
|
| 0 |
|
| 0 |
Total distributions |
| $ | (1,555,982) |
| $ | (544,762) |
| $ | (1,264,817) |
|
|
|
|
|
|
|
|
|
|
CAPITAL SHARE TRANSACTIONS |
|
|
|
|
|
|
|
|
|
Proceeds from sale of shares |
| $ | 4,096,652 |
| $ | 2,384,792 |
| $ | 10,883,146 |
Proceeds from reinvested dividends |
|
| 1,009,162 |
|
| 412,383 |
|
| 840,395 |
Cost of shares redeemed |
|
| (4,233,034) |
|
| (2,087,856) |
|
| (3,325,086) |
Net increase (decrease) in net assets resulting from capital share transactions |
| $ | 872,780 |
| $ | 709,319 |
| $ | 8,398,455 |
|
|
|
|
|
|
|
|
|
|
TOTAL INCREASE (DECREASE) IN NET ASSETS |
| $ | 2,918,111 |
| $ | 1,620,980 |
| $ | 10,230,428 |
NET ASSETS, BEGINNING OF PERIOD |
| $ | 45,175,204 |
| $ | 19,641,193 |
| $ | 35,807,956 |
NET ASSETS, END OF PERIOD |
| $ | 48,093,315 |
| $ | 21,262,173 |
| $ | 46,038,384 |
|
|
|
|
|
|
|
|
|
|
Accumulated undistributed net investment income |
| $ | 2,191 |
| $ | 697 |
| $ | 5,934 |
The accompanying notes are an integral part of these financial statements.
FINANCIAL STATEMENTS
Statements of Changes in Net Assets For the year ended July 31, 2012
|
| Oklahoma |
| Maine |
| New Hampshire | |||
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS |
|
|
|
|
|
|
|
|
|
Net investment income (loss) |
| $ | 1,139,828 |
| $ | 532,880 |
| $ | 135,723 |
Net realized gain (loss) from investment transactions |
|
| 68,237 |
|
| 36 |
|
| 6,064 |
Net change in unrealized appreciation (depreciation) on investments |
|
| 2,173,153 |
|
| 910,865 |
|
| 156,347 |
Net increase (decrease) in net assets resulting from operations |
| $ | 3,381,218 |
| $ | 1,443,781 |
| $ | 298,134 |
|
|
|
|
|
|
|
|
|
|
DISTRIBUTIONS TO SHAREHOLDERS FROM |
|
|
|
|
|
|
|
|
|
Net investment income |
| $ | (1,139,730) |
| $ | (531,606) |
| $ | (133,979) |
Net realized gain on investments |
|
| 0 |
|
| 0 |
|
| 0 |
Total distributions |
| $ | (1,139,730) |
| $ | (531,606) |
| $ | (133,979) |
|
|
|
|
|
|
|
|
|
|
CAPITAL SHARE TRANSACTIONS |
|
|
|
|
|
|
|
|
|
Proceeds from sale of shares |
| $ | 10,285,216 |
| $ | 1,943,478 |
| $ | 1,044,329 |
Proceeds from reinvested dividends |
|
| 606,757 |
|
| 337,490 |
|
| 70,343 |
Cost of shares redeemed |
|
| (3,035,590) |
|
| (1,285,747) |
|
| (574,542) |
Net increase (decrease) in net assets resulting from capital share transactions |
| $ | 7,856,383 |
| $ | 995,221 |
| $ | 540,130 |
|
|
|
|
|
|
|
|
|
|
TOTAL INCREASE (DECREASE) IN NET ASSETS |
| $ | 10,097,871 |
| $ | 1,907,396 |
| $ | 704,285 |
NET ASSETS, BEGINNING OF PERIOD |
| $ | 33,155,562 |
| $ | 16,176,492 |
| $ | 4,149,619 |
NET ASSETS, END OF PERIOD |
| $ | 43,253,433 |
| $ | 18,083,888 |
| $ | 4,853,904 |
|
|
|
|
|
|
|
|
|
|
Accumulated undistributed net investment income |
| $ | 541 |
| $ | 8,876 |
| $ | 5,571 |
The accompanying notes are an integral part of these financial statements.
FINANCIAL STATEMENTS
Statements of Changes in Net Assets For the year ended July 29, 2011
| Kansas | Kansas | Nebraska | |||
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS |
|
|
|
|
|
|
Net investment income (loss) | $ | 1,621,539 | $ | 598,846 | $ | 1,190,025 |
Net realized gain (loss) from investment transactions |
| (59,397) |
| 44,317 |
| (25,426) |
Net change in unrealized appreciation (depreciation) on investments |
| (263,631) |
| (299,952) |
| (16,736) |
Net increase (decrease) in net assets resulting from operations | $ | 1,298,511 | $ | 343,211 | $ | 1,147,863 |
|
|
|
|
|
|
|
DISTRIBUTIONS TO SHAREHOLDERS FROM |
|
|
|
|
|
|
Net investment income | $ | (1,620,878) | $ | (598,582) | $ | (1,188,996) |
Total distributions | $ | (1,620,878) | $ | (598,582) | $ | (1,188,996) |
|
|
|
|
|
|
|
CAPITAL SHARE TRANSACTIONS |
|
|
|
|
|
|
Proceeds from sale of shares | $ | 2,463,632 | $ | 5,259,075 | $ | 4,642,515 |
Proceeds from reinvested dividends |
| 1,038,233 |
| 458,785 |
| 804,157 |
Cost of shares redeemed |
| (5,468,956) |
| (5,990,154) |
| (3,413,420) |
Net increase (decrease) in net assets resulting from capital share transactions | $ | (1,967,091) | $ | (272,294) | $ | 2,033,252 |
|
|
|
|
|
|
|
TOTAL INCREASE (DECREASE) IN NET ASSETS | $ | (2,289,458) | $ | (527,665) | $ | 1,992,119 |
NET ASSETS, BEGINNING OF PERIOD | $ | 47,464,662 | $ | 20,168,858 | $ | 33,815,837 |
NET ASSETS, END OF PERIOD | $ | 45,175,204 | $ | 19,641,193 | $ | 35,807,956 |
|
|
|
|
|
|
|
Accumulated undistributed net investment income | $ | 1,536 | $ | 522 | $ | 4,765 |
The accompanying notes are an integral part of these financial statements.
FINANCIAL STATEMENTS
Statements of Changes in Net Assets For the year ended July 29, 2011
| Oklahoma | Maine | New | |||
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS |
|
|
|
|
|
|
Net investment income (loss) | $ | 1,241,451 | $ | 520,249 | $ | 130,505 |
Net realized gain (loss) from investment transactions |
| (80,894) |
| 46,055 |
| 10,198 |
Net change in unrealized appreciation (depreciation) on investments |
| 27,718 |
| (217,229) |
| (35,310) |
Net increase (decrease) in net assets resulting from operations | $ | 1,188,275 | $ | 349,075 | $ | 105,393 |
|
|
|
|
|
|
|
DISTRIBUTIONS TO SHAREHOLDERS FROM |
|
|
|
|
|
|
Net investment income | $ | (1,241,211) | $ | (518,313) | $ | (128,976) |
Total distributions | $ | (1,241,211) | $ | (518,313) | $ | (128,976) |
|
|
|
|
|
|
|
CAPITAL SHARE TRANSACTIONS |
|
|
|
|
|
|
Proceeds from sale of shares | $ | 5,632,863 | $ | 1,567,031 | $ | 486,647 |
Proceeds from reinvested dividends |
| 621,775 |
| 321,190 |
| 69,525 |
Cost of shares redeemed |
| (8,551,787) |
| (2,009,232) |
| (241,435) |
Net increase (decrease) in net assets resulting from capital share transactions | $ | (2,297,149) | $ | (121,011) | $ | 314,737 |
|
|
|
|
|
|
|
TOTAL INCREASE (DECREASE) IN NET ASSETS | $ | (2,350,085) | $ | (290,249) | $ | 291,154 |
NET ASSETS, BEGINNING OF PERIOD | $ | 35,505,647 | $ | 16,466,741 | $ | 3,858,465 |
NET ASSETS, END OF PERIOD | $ | 33,155,562 | $ | 16,176,492 | $ | 4,149,619 |
|
|
|
|
|
|
|
Accumulated undistributed net investment income | $ | 453 | $ | 7,602 | $ | 3,877 |
The accompanying notes are an integral part of these financial statements.
NOTES TO FINANCIAL STATEMENTS
NOTE 1: Organization
Integrity Managed Portfolios (the "Trust") was organized as a Massachusetts business trust on August 10, 1990 and commenced operations on November 15, 1990. The Trust is registered under the Investment Company Act of 1940 as an open-end management investment company and consists of six series (the "Funds").
The Kansas Municipal Fund ("KS Muni Fund"), Kansas Insured Intermediate Fund ("KS Insured Fund"), Nebraska Municipal Fund ("NE Muni Fund"), and Oklahoma Municipal Fund ("OK Muni Fund"), each a non-diversified Fund, seek the highest level of current income that is exempt from both federal income tax and each Fund's respective state income tax as is consistent with preservation of capital. The Maine Municipal Fund ("ME Muni Fund") and New Hampshire Municipal Fund ("NH Muni Fund"), each a non-diversified Fund, seek the highest level of current income that is exempt from both federal income tax and each Fund's respective state income tax (interest and dividend tax with respect to New Hampshire) without assuming undue risk.
NOTE 2: Summary of Significant Accounting Policies
Investment security valuation—Securities for which quotations are not readily available are valued using a matrix system at fair value as determined by Integrity Fund Services, LLC ("Integrity Fund Services" or "IFS"). The matrix system has been developed based on procedures approved by the Board of Trustees and includes consideration of the following: yields or prices of municipal bonds of comparable quality; type of issue, coupon, maturity, and rating; indications as to value from dealers; indications as to value from municipal bond market activity; and general market conditions. Because the market value of securities can only be established by agreement between parties in a sales transaction, and because of the uncertainty inherent in the valuation process, the fair values as determined may differ from the values that would have been used had a ready market for the securities existed. Refer to Note 3 for further disclosures related to the inputs used to value the Funds' investments. Shares of a registered investment company, including money market funds, that are not traded on an exchange are valued at the investment company's net asset value per share.
When-issued securities—The Funds may purchase securities on a when-issued basis. Payment and delivery may take place after the customary settlement period for that security. 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 values of the securities purchased on a when-issued basis are identified as such in the Funds' Schedule of Investments. With respect to purchase commitments, the Fund identifies securities as segregated in its custodial records with a value at least equal to the amount of the commitment. Losses may arise due to changes in the value of the underlying securities, if the counterparty does not perform under the contract's terms, or if the issuer does not issue the securities due to political, economic, or other factors.
Contingent deferred sales charge—In the case of investments of $1 million or more (excluding KS Insured Fund), a 1.00% contingent deferred sales charge ("CDSC") may be assessed on shares redeemed within 24 months of purchase (excluding shares purchased with reinvested dividends and/or distributions).
Federal and state income taxes—Each Fund is a separate taxpayer for federal income tax purposes. Each Fund's policy is to comply with the requirements of the Internal Revenue Code that are applicable to regulated investment companies and to distribute substantially all of its net investment income and any net realized gain on investments to its shareholders; therefore, no provision for income taxes is required.
As of and during the year ended July 31, 2012, the Funds did not have a liability for any unrecognized tax benefits. The Funds recognize interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the statement of operations. During the year, the Funds did not incur any interest or penalties. The Funds are not subject to examination by U.S. federal tax authorities for the tax years before 2008.
For all open tax years and all major taxing jurisdictions, management of the Funds has concluded that there are no significant uncertain tax positions that would require recognition in the financial statements. Open tax years are those that are open for examination by taxing authorities. Furthermore, management of the Funds is 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.
Premiums and discounts—Premiums and discounts on municipal securities are accreted and amortized over the lives of the respective securities.
Security transactions, investment income, expenses and distributions—Income and expenses are recorded on the accrual basis. Investment transactions are accounted for on the trade date. Realized gains and losses are reported on the first in, first out basis unless specifically identified. Interest income and estimated expenses are accrued daily. The Funds declare dividends from net investment income daily and pay such dividends monthly. Capital gains, when available, are distributed at least annually. Dividends are reinvested in additional shares of the Funds at net asset value or paid in cash. Distributions to shareholders are recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with federal income tax regulations and may differ from net investment income and realized gains determined in accordance with accounting principles generally accepted in the United States of America. These differences are primarily due to differing treatment for market discount and capital loss carryforwards. In addition, other amounts have been reclassified within the composition of net assets to more appropriately conform financial accounting to tax basis treatment.
Use of estimates—The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Common expenses—Common expenses of the Trust are allocated among the Funds within the Trust based on relative net assets of each Fund or the nature of the services performed and the relative applicability to each Fund.
NOTE 3: Fair Value Measurements
Various inputs are used in determining the value of the Funds' investments. These inputs are summarized in three broad levels: Level 1 inputs are based on quoted prices in active markets for identical securities. Level 2 inputs are based on significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.). Level 3 inputs are based on significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments). The following is a summary of the inputs used to value the Funds' investments as of July 31, 2012:
|
| Level 1 | Level 2 | Level 3 | Total | ||||
KS Muni Fund | Short-Term Securities | $ | 1,137,287 | $ | 0 | $ | 0 | $ | 1,137,287 |
| Municipal Bonds |
| 0 |
| 46,378,796 |
| 0 |
| 46,378,796 |
| Total | $ | 1,137,287 | $ | 46,378,796 | $ | 0 | $ | 47,516,083 |
|
|
|
|
|
|
|
|
|
|
KS Insured Fund | Short-Term Securities | $ | 552,756 | $ | 0 | $ | 0 | $ | 552,756 |
| Municipal Bonds |
| 0 |
| 20,437,605 |
| 0 |
| 20,437,605 |
| Total | $ | 552,756 | $ | 20,437,605 | $ | 0 | $ | 20,990,361 |
|
|
|
|
|
|
|
|
|
|
NE Muni Fund | Short-Term Securities | $ | 1,058,750 | $ | 0 | $ | 0 | $ | 1,058,750 |
| Municipal Bonds |
| 0 |
| 43,519,734 |
| 0 |
| 43,519,734 |
| Total | $ | 1,058,750 | $ | 43,519,734 | $ | 0 | $ | 44,578,484 |
|
|
|
|
|
|
|
|
|
|
OK Muni Fund | Short-Term Securities | $ | 970,809 | $ | 0 | $ | 0 | $ | 970,809 |
| Municipal Bonds |
| 0 |
| 41,467,874 |
| 0 |
| 41,467,874 |
| Total | $ | 970,809 | $ | 41,467,874 | $ | 0 | $ | 42,438,683 |
|
|
|
|
|
|
|
|
|
|
ME Muni Fund | Short-Term Securities | $ | 350,597 | $ | 0 | $ | 0 | $ | 350,597 |
| Municipal Bonds |
| 0 |
| 17,552,676 |
| 0 |
| 17,552,676 |
| Total | $ | 350,597 | $ | 17,552,676 | $ | 0 | $ | 17,903,273 |
|
|
|
|
|
|
|
|
|
|
NH Muni Fund | Short-Term Securities | $ | 162,551 | $ | 0 | $ | 0 | $ | 162,551 |
| Municipal Bonds |
| 0 |
| 4,667,292 |
| 0 |
| 4,667,292 |
| Total | $ | 162,551 | $ | 4,667,292 | $ | 0 | $ | 4,829,843 |
See Schedule of Investments to view by type of obligation. The Funds did not hold any Level 3 assets during the year ended July 31, 2012. There were no transfers into or out of Level 1 or Level 2 during the year ended July 31, 2012. The Funds consider transfers into or out of Level 1 and Level 2 as of the end of the reporting period. The Funds did not hold any derivative instruments at any time during the year ended July 31, 2012.
NOTE 4: Investment Transactions
Purchases and sales of investment securities (excluding short-term securities) for the year ended July 31, 2012, were as follows:
| KS Muni | KS Insured | NE Muni | OK Muni | ME Muni | NH Muni | ||||||
| Fund | Fund | Fund | Fund | Fund | Fund | ||||||
Purchases | $ | 5,354,405 | $ | 2,790,333 | $ | 11,918,688 | $ | 14,324,246 | $ | 1,053,065 | $ | 1,269,059 |
Sales | $ | 5,167,545 | $ | 2,084,269 | $ | 4,755,000 | $ | 6,437,600 | $ | 312,997 | $ | 572,598 |
NOTE 5: Capital Share Transactions
Transactions in capital shares were as follows:
| KS Muni | KS Insured | NE Muni | OK Muni | ME Muni | NH Muni |
Year Ended 7/31/12: | Fund | Fund | Fund | Fund | Fund | Fund |
Shares sold | 374,155 | 206,158 | 1,032,811 | 885,899 | 174,571 | 95,759 |
Shares issued on reinvestment of dividends | 92,288 | 35,664 | 80,111 | 52,047 | 30,308 | 6,447 |
Shares redeemed | (388,881) | (180,888) | (317,048) | (261,426) | (115,924) | (52,953) |
Net increase (decrease) | 77,562 | 60,934 | 795,874 | 676,520 | 88,955 | 49,253 |
|
|
|
|
|
|
|
| KS Muni | KS Insured | NE Muni | OK Muni | ME Muni | NH Muni |
Year Ended 7/29/11: | Fund | Fund | Fund | Fund | Fund | Fund |
Shares sold | 232,909 | 466,590 | 461,449 | 507,427 | 145,938 | 46,271 |
Shares issued on reinvestment of dividends | 98,452 | 41,160 | 79,726 | 56,107 | 30,108 | 6,567 |
Shares redeemed | (521,731) | (543,714) | (340,504) | (785,301) | (190,757) | (23,191) |
Net increase (decrease) | (190,370) | (35,964) | 200,671 | (221,767) | (14,711) | 29,647 |
NOTE 6: Income Tax Information
At July 31, 2012, the net unrealized appreciation (depreciation) based on the cost of investments for federal income tax purposes was as follows:
| KS Muni | KS Insured | NE Muni | OK Muni | ME Muni | NH Muni |
| Fund | Fund | Fund | Fund | Fund | Fund |
Investments at cost | $44,300,269 | $19,619,809 | $42,021,382 | $39,775,694 | $16,625,297 | $4,556,292 |
Unrealized appreciation | $3,215,814 | $1,374,907 | $2,580,125 | $2,665,479 | $1,277,976 | $274,999 |
Unrealized depreciation | 0 | (4,355) | (23,023) | (2,490) | 0 | (1,448) |
Net* | $3,215,814 | $1,370,552 | $2,557,102 | $2,662,989 | $1,277,976 | $273,551 |
*Differences between financial reporting-basis and tax-basis are due to differing treatment of market discount.
Tax-exempt income distributions paid or accrued were as follows:
| KS Muni | KS Insured | NE Muni | OK Muni | ME Muni | NH Muni |
Tax-exempt income: | Fund | Fund | Fund | Fund | Fund | Fund |
Year Ended 7/31/12 | $1,555,982 | $544,762 | $1,264,817 | $1,139,730 | $531,606 | $133,979 |
Year Ended 7/29/11 | $1,620,878 | $598,582 | $1,188,996 | $1,241,211 | $518,313 | $128,976 |
As of July 31, 2012, the components of accumulated earnings/(deficit) on a tax basis were as follows:
| KS Muni | KS Insured | NE Muni | OK Muni | ME Muni | NH Muni |
| Fund | Fund | Fund | Fund | Fund | Fund |
Accumulated capital and other losses | ($3,354,997) | ($544,062) | ($1,149,596) | ($1,433,729) | ($313,066) | ($114,812) |
Unrealized appreciation/(depreciation)* | 3,215,814 | 1,370,552 | 2,557,102 | 2,662,989 | 1,277,976 | 273,551 |
Total accumulated earnings/(deficit) | ($139,183) | $826,490 | $1,407,506 | $1,229,260 | $964,910 | $158,739 |
*Differences between financial reporting-basis and tax-basis are due to differing treatment of market discount.
Under the recently enacted Regulated Investment Company Modernization Act of 2010 ("Act"), funds are permitted to carry forward capital losses incurred in taxable years beginning after December 22, 2010 for an unlimited period of time. The short-term and long-term character of such losses are retained rather than being treated as short-term as under previous law. Pre-enactment losses are eligible to be carried forward for a maximum period of eight years. Pursuant to the Act, post-enactment capital losses must be utilized before pre-enactment capital losses. As a result, pre-enactment capital loss carryforwards may be more likely to expire unused. The Funds' capital loss carryforward amounts as of July 31, 2012 are as follows:
Capital Loss Carryforward |
| KS Muni |
| KS Insured |
| NE Muni |
| OK Muni |
| ME Muni |
| NH Muni |
Expires in 2013 | $ | 2,680,173 | $ | 544,062 | $ | 1,123,208 | $ | 1,147,142 | $ | 313,066 | $ | 114,283 |
Expires in 2014 |
| 388,935 |
| - |
| - |
| - |
| - |
| - |
Expires in 2015 |
| 240,848 |
| - |
| - |
| - |
| - |
| - |
Expires in 2016 |
| - |
| - |
| - |
| - |
| - |
| 529 |
Expires in 2018 |
| - |
| - |
| - |
| 260,308 |
| - |
| - |
Non-expiring S-T losses |
| 34,287 |
| - |
| 26,388 |
| 18,258 |
| - |
| - |
Non-expiring L-T losses |
| 10,754 |
| - |
| - |
| 8,021 |
| - |
| - |
Total | $ | 3,354,997 | $ | 544,062 | $ | 1,149,596 | $ | 1,433,729 | $ | 313,066 | $ | 114,812 |
| During the year ended July 31, 2012 expired | |
KS Muni Fund | $ | 1,399,598 |
KS Insured Fund | $ | 300,269 |
NE Muni Fund | $ | 579,275 |
OK Muni Fund | $ | 547,833 |
NOTE 7: Investment Advisory Fees and Other Transactions with Affiliates
Viking Fund Management ("VFM"), the Funds' investment adviser; Integrity Funds Distributor, LLC ("Integrity Funds Distributor" or "IFD"), the Funds' underwriter; and IFS, the Funds' transfer, accounting, and administrative services agent; are subsidiaries of Corridor Investors, LLC ("Corridor Investors" or "Corridor"), the Funds' sponsor. A Trustee of the Funds is also a Governor of Corridor.
VFM provides investment advisory and management services to the Funds. The Investment Advisory Agreement (the "Advisory Agreement") provides for fees to be computed at an annual rate of 0.50% of each Funds' average daily net assets. Under the terms of the Advisory Agreement, VFM has contractually agreed to pay all the expenses of the Funds (other than taxes, brokerage fees, commissions and acquired fund fees and expenses) for the periods of May 1, 2012 through November 29, 2013 (November 29, 2012 for KS Insured Fund) and August 1, 2011 through April 30, 2012 so that the net annual operating expenses do not exceed 1.08% and 1.15% (0.75% for KS Insured Fund), respectively. After November 29, 2013 (November 29, 2012 for KS Insured Fund), the expense limitation may be terminated or revised. VFM and affiliated service providers may also voluntarily waive fees or reimburse expenses not required under the advisory or other contracts from time to time. Accordingly, after voluntary fee waivers and reimbursements, the Funds' actual total expenses were 1.07% (0.75% for KS Insured Fund) of average daily net assets for the period of August 1, 2011 through April 30, 2012. There were no voluntary fee waivers and reimbursements for the period of May 1, 2012 through July 31, 2012 for the Funds. VFM and the affiliated service providers have agreed to voluntarily waive the affiliated service provider's fees before waiving VFM's management fee. An expense limitation lowers expense ratios and increases returns to investors. Certain Officers of the Funds are also Officers and Governors of VFM.
| Expense at 7/31/12 |
| Payable at 7/31/12 | ||
| Advisory Fees |
| Advisory Fees | ||
KS Muni Fund | $ | 232,557 |
| $ | 20,458 |
KS Insured Fund | $ | 103,163 |
| $ | 9,106 |
NE Muni Fund | $ | 197,337 |
| $ | 18,699 |
OK Muni Fund | $ | 195,193 |
| $ | 18,273 |
ME Muni Fund | $ | 85,988 |
| $ | 7,668 |
NH Muni Fund | $ | 22,171 |
| $ | 2,053 |
IFD serves as the principal underwriter for the Funds and receives sales charges deducted from sale proceeds and CDSC from applicable redemptions. Also, the Funds (excluding KS Insured Fund) have adopted a distribution plan for each class of shares as allowed by Rule 12b-1 of the 1940 Act. Distribution plans permit the Funds to reimburse their principal underwriter for costs related to selling shares of the Funds and for various other services. These costs, which consist primarily of commissions and service fees to broker-dealers who sell shares of the Funds, are paid by shareholders through expenses called "Distribution Plan expenses." The Funds (excluding KS Insured Fund) currently pay an annual distribution fee of up to 0.25% of the average daily net assets. Certain Officers of the Funds are also Officers and Governors of IFD.
| Expense at 7/31/12 |
| Payable at 7/31/12 | ||||||||||
| Sales |
| Distribution |
| Sales |
| Distribution | ||||||
| Charges | CDSC | Fees |
| Charges | CDSC | Fees | ||||||
KS Muni Fund | $ | 93,038 | $ | 0 | $ | 116,278 |
| $ | 4,599 | $ | 0 | $ | 10,229 |
KS Insured Fund | $ | 27,548 | $ | 0 | $ | 0 |
| $ | 87 | $ | 0 | $ | 0 |
NE Muni Fund | $ | 191,855 | $ | 0 | $ | 98,669 |
| $ | 1,135 | $ | 0 | $ | 9,350 |
OK Muni Fund | $ | 173,935 | $ | 6,061 | $ | 97,596 |
| $ | 14,429 | $ | 0 | $ | 9,137 |
ME Muni Fund | $ | 56,233 | $ | 0 | $ | 42,994 |
| $ | 5,072 | $ | 0 | $ | 3,834 |
NH Muni Fund | $ | 27,177 | $ | 0 | $ | 11,086 |
| $ | 79 | $ | 0 | $ | 1,026 |
IFS acts as the Funds' transfer agent for a monthly variable fee equal to 0.14% of the Funds' average daily net assets on an annual basis for the Funds' first $200 million and at a lower rate on the average daily net assets in excess of $200 million plus reimbursement of out-of-pocket expenses. IFS also acts as the Funds' administrative services agent for a monthly fee equal to the sum of a fixed fee of $2,000 and a variable fee equal to 0.14% of the Funds' average daily net assets on an annual basis for the Funds' first $200 million and at a lower rate on the average daily net assets in excess of $200 million plus reimbursement of out-of-pocket expenses. Certain Officers of the Funds are also Officers and Governors of IFS.
| Expense at 7/31/12 |
| Payable at 7/31/12 | ||||||||||
| Transfer | Transfer | Admin. | Admin. |
| Transfer | Admin. | ||||||
| Agency | Agency | Service | Service |
| Agency | Service | ||||||
| Fees Net* | Fees Waived | Fees Net* | Fees Waived |
| Fees* | Fees* | ||||||
KS Muni Fund | $ | 46,347 | $ | 21,587 | $ | 59,605 | $ | 29,578 |
| $ | 4,744 | $ | 5,968 |
KS Insured Fund | $ | 9,963 | $ | 19,751 | $ | 16,731 | $ | 36,222 |
| $ | 956 | $ | 1,538 |
NE Muni Fund | $ | 35,023 | $ | 21,662 | $ | 48,183 | $ | 31,138 |
| $ | 3,501 | $ | 4,649 |
OK Muni Fund | $ | 35,718 | $ | 19,395 | $ | 50,742 | $ | 27,979 |
| $ | 3,476 | $ | 4,867 |
ME Muni Fund | $ | 12,302 | $ | 12,632 | $ | 22,870 | $ | 25,273 |
| $ | 1,204 | $ | 2,164 |
NH Muni Fund | $ | 1,080 | $ | 5,314 | $ | 4,359 | $ | 25,916 |
| $ | 114 | $ | 416 |
* After waivers. |
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NOTE 8: Principal Risks
Each of the Funds invests primarily in municipal securities from a specific state. Each Fund is therefore more susceptible to political, economic, legislative, or regulatory factors adversely affecting issuers of municipal securities in its respective state.
Interest rate risk is the risk that bond prices will decline in value because of changes in interest rates. There is normally an inverse relationship between the fair value of securities sensitive to prevailing interest rates and actual changes in interest rates. The longer the average maturity of a Fund's portfolio, the greater its interest rate risk.
NOTE 9: Subsequent Event on Merger
On April 27, 2012, the Board of Trustees approved the merger of Kansas Insured Intermediate Fund into Kansas Municipal Fund. The merger was also approved by the Kansas Insured Intermediate Fund shareholders at a special meeting held on September 17, 2012. The merger is expected to occur at the close of business on or about September 28, 2012.
KANSAS MUNICIPAL FUND
FINANCIAL HIGHLIGHTS
Selected per share data and ratios for the periods indicated
| Year | Year | Year | Year | Year | |||||
| Ended | Ended | Ended | Ended | Ended | |||||
| 7/31/12 | 7/29/11 | 7/30/10 | 7/31/09 | 7/31/08 | |||||
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 10.64 | $ | 10.70 | $ | 10.45 | $ | 10.44 | $ | 10.54 |
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Income (loss) from investment operations: |
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|
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Net investment income (loss) | $ | 0.37 | $ | 0.37 | $ | 0.38 | $ | 0.40 | $ | 0.40 |
Net realized and unrealized gain (loss) on investments3 |
| 0.48 |
| (0.06) |
| 0.25 |
| 0.01 |
| (0.10) |
Total from investment operations | $ | 0.85 | $ | 0.31 | $ | 0.63 | $ | 0.41 | $ | 0.30 |
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Distributions from net investment income | $ | (0.37) | $ | (0.37) | $ | (0.38) | $ | (0.40) | $ | (0.40) |
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NET ASSET VALUE, END OF PERIOD | $ | 11.12 | $ | 10.64 | $ | 10.70 | $ | 10.45 | $ | 10.44 |
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Total Return1 | 8.07% | 3.02% | 6.12% | 4.06% | 2.90% | |||||
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RATIOS/SUPPLEMENTAL DATA |
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| |||||
Net assets, end of period (in thousands) | $48,093 | $45,175 | $47,465 | $47,365 | $48,587 | |||||
Ratio of expenses to average net assets after waivers2,4,* | 1.07% | 1.07% | 1.07% | 1.07% | 1.07% | |||||
Ratio of expenses to average net assets before waivers* | 1.18% | 1.30% | 1.33% | 1.35% | 1.36% | |||||
Ratio of net investment income to average net assets2,4,* | 3.36% | 3.54% | 3.58% | 3.88% | 3.81% | |||||
Portfolio turnover rate | 11.46% | 8.31% | 15.34% | 16.73% | 6.52% |
1 | Excludes any applicable sales charge. |
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2 | This row reflects the impact, if any, of fee waivers and reimbursements by the Adviser and/or affiliated service providers. |
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3 | Realized and unrealized gains and losses per share are balancing amounts and may not reconcile with the gains and losses in the Statement of Operations due to share transactions for the period. |
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4 | For the year ended July 31, 2012, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets for the period of August 1, 2011 through April 30, 2012. For the years ended July 29, 2011 and July 30, 2010, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets. |
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* | Average net assets was calculated using a 360-day period. |
Total return represents the rate that an investor would have earned or lost on an investment in the Fund assuming reinvestment of all dividends and distributions.
The accompanying notes are an integral part of these financial statements.
KANSAS INSURED INTERMEDIATE FUND
FINANCIAL HIGHLIGHTS
Selected per share data and ratios for the periods indicated
| Year | Year | Year | Year | Year | |||||
| Ended | Ended | Ended | Ended | Ended | |||||
| 7/31/12 | 7/29/11 | 7/30/10 | 7/31/09 | 7/31/08 | |||||
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 11.22 | $ | 11.29 | $ | 11.09 | $ | 10.94 | $ | 10.87 |
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Income (loss) from investment operations: |
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|
Net investment income (loss) | $ | 0.31 | $ | 0.33 | $ | 0.37 | $ | 0.41 | $ | 0.42 |
Net realized and unrealized gain (loss) on investments3 |
| 0.52 |
| (0.07) |
| 0.20 |
| 0.15 |
| 0.07 |
Total from investment operations | $ | 0.83 | $ | 0.26 | $ | 0.57 | $ | 0.56 | $ | 0.49 |
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Distributions from net investment income | $ | (0.31) | $ | (0.33) | $ | (0.37) | $ | (0.41) | $ | (0.42) |
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NET ASSET VALUE, END OF PERIOD | $ | 11.74 | $ | 11.22 | $ | 11.29 | $ | 11.09 | $ | 10.94 |
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Total Return1 | 7.44% | 2.37% | 5.26% | 5.22% | 4.62% | |||||
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RATIOS/SUPPLEMENTAL DATA |
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Net assets, end of period (in thousands) | $21,262 | $19,641 | $20,169 | $16,180 | $12,360 | |||||
Ratio of expenses to average net assets after waivers2* | 0.75% | 0.75% | 0.75% | 0.75% | 0.75% | |||||
Ratio of expenses to average net assets before waivers* | 1.02% | 1.13% | 1.20% | 1.35% | 1.48% | |||||
Ratio of net investment income to average net assets2* | 2.65% | 2.97% | 3.33% | 3.70% | 3.86% | |||||
Portfolio turnover rate | 10.49% | 24.84% | 22.46% | 14.00% | 21.80% |
1 | Excludes any applicable sales charge. |
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2 | This row reflects the impact, if any, of fee waivers and reimbursements by the Adviser and/or affiliated service providers. |
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3 | Realized and unrealized gains and losses per share are balancing amounts and may not reconcile with the gains and losses in the Statement of Operations due to share transactions for the period. |
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* | Average net assets was calculated using a 360-day period. |
Total return represents the rate that an investor would have earned or lost on an investment in the Fund assuming reinvestment of all dividends and distributions.
The accompanying notes are an integral part of these financial statements.
NEBRASKA MUNICIPAL FUND
FINANCIAL HIGHLIGHTS
Selected per share data and ratios for the periods indicated
| Year | Year | Year | Year | Year | |||||
| Ended | Ended | Ended | Ended | Ended | |||||
| 7/31/12 | 7/29/11 | 7/30/10 | 7/31/09 | 7/31/08 | |||||
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 10.20 | $ | 10.22 | $ | 10.01 | $ | 10.03 | $ | 10.13 |
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Income (loss) from investment operations: |
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Net investment income (loss) | $ | 0.34 | $ | 0.35 | $ | 0.35 | $ | 0.38 | $ | 0.38 |
Net realized and unrealized gain (loss) on investments3 |
| 0.49 |
| (0.02) |
| 0.21 |
| (0.02) |
| (0.10) |
Total from investment operations | $ | 0.83 | $ | 0.33 | $ | 0.56 | $ | 0.36 | $ | 0.28 |
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Distributions from net investment income | $ | (0.34) | $ | (0.35) | $ | (0.35) | $ | (0.38) | $ | (0.38) |
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NET ASSET VALUE, END OF PERIOD | $ | 10.69 | $ | 10.20 | $ | 10.22 | $ | 10.01 | $ | 10.03 |
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Total Return1 | 8.23% | 3.29% | 5.64% | 3.71% | 2.79% | |||||
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RATIOS/SUPPLEMENTAL DATA |
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| |||||
Net assets, end of period (in thousands) | $46,038 | $35,808 | $33,816 | $28,913 | $27,229 | |||||
Ratio of expenses to average net assets after waivers2,4,* | 1.07% | 1.07% | 1.07% | 1.07% | 1.07% | |||||
Ratio of expenses to average net assets before waivers* | 1.21% | 1.33% | 1.37% | 1.41% | 1.43% | |||||
Ratio of net investment income to average net assets2,4,* | 3.22% | 3.44% | 3.41% | 3.84% | 3.74% | |||||
Portfolio turnover rate | 12.38% | 11.01% | 18.92% | 6.71% | 10.42% |
1 | Excludes any applicable sales charge. |
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2 | This row reflects the impact, if any, of fee waivers and reimbursements by the Adviser and/or affiliated service providers. |
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3 | Realized and unrealized gains and losses per share are balancing amounts and may not reconcile with the gains and losses in the Statement of Operations due to share transactions for the period. |
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4 | For the year ended July 31, 2012, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets for the period of August 1, 2011 through April 30, 2012. For the years ended July 29, 2011 and July 30, 2010, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets. |
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* | Average net assets was calculated using a 360-day period. |
Total return represents the rate that an investor would have earned or lost on an investment in the Fund assuming reinvestment of all dividends and distributions.
The accompanying notes are an integral part of these financial statements.
OKLAHOMA MUNICIPAL FUND
FINANCIAL HIGHLIGHTS
Selected per share data and ratios for the periods indicated
| Year | Year | Year | Year | Year | |||||
| Ended | Ended | Ended | Ended | Ended | |||||
| 7/31/12 | 7/29/11 | 7/30/10 | 7/31/09 | 7/31/08 | |||||
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 11.24 | $ | 11.19 | $ | 10.78 | $ | 10.75 | $ | 11.03 |
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Income (loss) from investment operations: |
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Net investment income (loss) | $ | 0.34 | $ | 0.40 | $ | 0.40 | $ | 0.41 | $ | 0.39 |
Net realized and unrealized gain (loss) on investments 3 |
| 0.69 |
| 0.05 |
| 0.41 |
| 0.03 |
| (0.28) |
Total from investment operations | $ | 1.03 | $ | 0.45 | $ | 0.81 | $ | 0.44 | $ | 0.11 |
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Distributions from net investment income | $ | (0.34) | $ | (0.40) | $ | (0.40) | $ | (0.41) | $ | (0.39) |
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NET ASSET VALUE, END OF PERIOD | $ | 11.93 | $ | 11.24 | $ | 11.19 | $ | 10.78 | $ | 10.75 |
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Total Return1 | 9.30% | 4.15% | 7.61% | 4.28% | 1.01% | |||||
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| |||||
RATIOS/SUPPLEMENTAL DATA |
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| |||||
Net assets, end of period (in thousands) | $43,253 | $33,156 | $35,506 | $32,019 | $42,026 | |||||
Ratio of expenses to average net assets after waivers2,4,* | 1.07% | 1.07% | 1.07% | 1.07% | 1.07% | |||||
Ratio of expenses to average net assets before waivers* | 1.19% | 1.32% | 1.35% | 1.36% | 1.35% | |||||
Ratio of net investment income to average net assets2,4,* | 2.93% | 3.62% | 3.61% | 3.91% | 3.55% | |||||
Portfolio turnover rate | 17.72% | 13.35% | 9.36% | 3.48% | 10.37% |
1 | Excludes any applicable sales charge. |
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2 | This row reflects the impact, if any, of fee waivers and reimbursements by the Adviser and/or affiliated service providers. |
|
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3 | Realized and unrealized gains and losses per share are balancing amounts and may not reconcile with the gains and losses in the Statement of Operations due to share transactions for the period. |
|
|
4 | For the year ended July 31, 2012, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets for the period of August 1, 2011 through April 30, 2012. For the years ended July 29, 2011 and July 30, 2010, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets. |
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* | Average net assets was calculated using a 360-day period. |
Total return represents the rate that an investor would have earned or lost on an investment in the Fund assuming reinvestment of all dividends and distributions.
The accompanying notes are an integral part of these financial statements.
MAINE MUNICIPAL FUND
FINANCIAL HIGHLIGHTS
Selected per share data and ratios for the periods indicated
| Year | Year | Year | Year | Year | |||||
| Ended | Ended | Ended | Ended | Ended | |||||
| 7/31/12 | 7/29/11 | 7/30/10 | 7/31/09 | 7/31/08 | |||||
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 10.77 | $ | 10.85 | $ | 10.62 | $ | 10.44 | $ | 10.45 |
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Income (loss) from investment operations: |
|
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|
|
Net investment income (loss) | $ | 0.34 | $ | 0.34 | $ | 0.35 | $ | 0.35 | $ | 0.36 |
Net realized and unrealized gain (loss) on investments3 |
| 0.59 |
| (0.08) |
| 0.23 |
| 0.18 |
| (0.01) |
Total from investment operations | $ | 0.93 | $ | 0.26 | $ | 0.58 | $ | 0.53 | $ | 0.35 |
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Distributions from net investment income | $ | (0.34) | $ | (0.34) | $ | (0.35) | $ | (0.35) | $ | (0.36) |
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NET ASSET VALUE, END OF PERIOD | $ | 11.36 | $ | 10.77 | $ | 10.85 | $ | 10.62 | $ | 10.44 |
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Total Return1 | 8.79% | 2.50% | 5.49% | 5.22% | 3.43% | |||||
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| |||||
RATIOS/SUPPLEMENTAL DATA |
|
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| |||||
Net assets, end of period (in thousands) | $18,084 | $16,176 | $16,467 | $15,413 | $15,880 | |||||
Ratio of expenses to average net assets after waivers2,4,* | 1.07% | 1.07% | 1.07% | 1.07% | 1.07% | |||||
Ratio of expenses to average net assets before waivers* | 1.29% | 1.41% | 1.46% | 1.57% | 1.56% | |||||
Ratio of net investment income to average net assets2,4,* | 3.11% | 3.22% | 3.21% | 3.38% | 3.46% | |||||
Portfolio turnover rate | 1.87% | 8.00% | 38.11% | 15.39% | 4.44% |
1 | Excludes any applicable sales charge. |
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2 | This row reflects the impact, if any, of fee waivers and reimbursements by the Adviser and/or affiliated service providers. |
|
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3 | Realized and unrealized gains and losses per share are balancing amounts and may not reconcile with the gains and losses in the Statement of Operations due to share transactions for the period. |
|
|
4 | For the year ended July 31, 2012, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets for the period of August 1, 2011 through April 30, 2012. For the years ended July 29, 2011 and July 30, 2010, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets. |
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* | Average net assets was calculated using a 360-day period. |
Total return represents the rate that an investor would have earned or lost on an investment in the Fund assuming reinvestment of all dividends and distributions.
The accompanying notes are an integral part of these financial statements.
NEW HAMPSHIRE MUNICIPAL FUND
FINANCIAL HIGHLIGHTS
Selected per share data and ratios for the periods indicated
| Year | Year | Year | Year | Year | |||||
| Ended | Ended | Ended | Ended | Ended | |||||
| 7/31/12 | 7/29/11 | 7/30/10 | 7/31/09 | 7/31/08 | |||||
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 10.66 | $ | 10.73 | $ | 10.50 | $ | 10.32 | $ | 10.24 |
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Income (loss) from investment operations: |
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|
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|
|
Net investment income (loss) | $ | 0.33 | $ | 0.35 | $ | 0.33 | $ | 0.29 | $ | 0.30 |
Net realized and unrealized gain (loss) on investments3 |
| 0.41 |
| (0.07) |
| 0.23 |
| 0.18 |
| 0.08 |
Total from investment operations | $ | 0.74 | $ | 0.28 | $ | 0.56 | $ | 0.47 | $ | 0.38 |
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Distributions from net investment income | $ | (0.33) | $ | (0.35) | $ | (0.33) | $ | (0.29) | $ | (0.30) |
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NET ASSET VALUE, END OF PERIOD | $ | 11.07 | $ | 10.66 | $ | 10.73 | $ | 10.50 | $ | 10.32 |
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Total Return1 | 7.04% | 2.64% | 5.38% | 4.64% | 3.72% | |||||
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RATIOS/SUPPLEMENTAL DATA |
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Net assets, end of period (in thousands) | $4,854 | $4,150 | $3,858 | $3,816 | $3,681 | |||||
Ratio of expenses to average net assets after waivers2,4,* | 1.07% | 1.07% | 1.07% | 1.07% | 1.07% | |||||
Ratio of expenses to average net assets before waivers* | 1.78% | 1.93% | 2.47% | 3.19% | 3.20% | |||||
Ratio of net investment income to average net assets2,4,* | 3.07% | 3.30% | 3.11% | 2.81% | 2.87% | |||||
Portfolio turnover rate | 13.73% | 10.19% | 21.12% | 15.93% | 12.56% |
1 | Excludes any applicable sales charge. |
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2 | This row reflects the impact, if any, of fee waivers and reimbursements by the Adviser and/or affiliated service providers. |
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3 | Realized and unrealized gains and losses per share are balancing amounts and may not reconcile with the gains and losses in the Statement of Operations due to share transactions for the period. |
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4 | For the year ended July 31, 2012, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets for the period of August 1, 2011 through April 30, 2012. For the years ended July 29, 2011 and July 30, 2010, the Adviser and/or affiliated service providers voluntarily waived a portion of their fees equal to 0.08% of average net assets. |
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* | Average net assets was calculated using a 360-day period. |
Total return represents the rate that an investor would have earned or lost on an investment in the Fund assuming reinvestment of all dividends and distributions.
The accompanying notes are an integral part of these financial statements.
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Shareholders and Board of Trustees
Integrity Managed Portfolios
We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Integrity Managed Portfolios, comprising Kansas Municipal Fund, Kansas Insured Intermediate Fund, Maine Municipal Fund, Nebraska Municipal Fund, New Hampshire Municipal Fund, and Oklahoma Municipal Fund (the "Funds") as of July 31, 2012, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the three years in the period then ended. These financial statements and financial highlights are the responsibility of the Funds' management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. The financial highlights for the years indicated prior to July 30, 2010, were audited by another independent registered public accounting firm, who expressed unqualified opinions on those financial highlights.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of July 31, 2012, by correspondence with the Funds' custodian and broker. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the funds constituting Integrity Managed Portfolios as of July 31, 2012, the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the three years in the period then ended, in conformity with accounting principles generally accepted in the United States of America.
/s/ Cohen Fund Audit Services, Ltd.
COHEN FUND AUDIT SERVICES, LTD.
Westlake, Ohio
September 24, 2012
EXPENSE EXAMPLE (unaudited)
As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, including sales charges (loads), redemption fees and exchange fees; and (2) ongoing costs, including management fees, distribution (12b-1) fees and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the one-half year period shown below and held for the entire one-half year period.
Actual expenses—The section in the table under the heading "Actual" provides information about actual account values and actual expenses. You may use the information in these columns 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 account value of $8,600 divided by $1,000 equals 8.6), then multiply the result by the number in the appropriate column for your share class in the column entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period.
Hypothetical example for comparison purposes—The section in the table under the heading "Hypothetical (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 the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the section in the table under the heading "Hypothetical (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.
| Beginning | Ending | Expenses |
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| Account | Account | Paid | Annualized |
| Value | Value | During | Expense |
| 1/31/2012 | 7/31/2012 | Period* | Ratio |
Kansas Municipal Fund |
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Actual | $1,000.00 | $1,016.36 | $5.42 | 1.08% |
Hypothetical (5% return before expenses) | $1,000.00 | $1,019.35 | $5.43 | 1.08% |
Kansas Insured Intermediate Fund |
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Actual | $1,000.00 | $1,011.18 | $3.77 | 0.75% |
Hypothetical (5% return before expenses) | $1,000.00 | $1,020.98 | $3.79 | 0.75% |
Nebraska Municipal Fund |
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Actual | $1,000.00 | $1,020.43 | $5.43 | 1.08% |
Hypothetical (5% return before expenses) | $1,000.00 | $1,019.35 | $5.43 | 1.08% |
Oklahoma Municipal Fund |
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Actual | $1,000.00 | $1,017.76 | $5.42 | 1.08% |
Hypothetical (5% return before expenses) | $1,000.00 | $1,019.35 | $5.43 | 1.08% |
Maine Municipal Fund |
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Actual | $1,000.00 | $1,017.06 | $5.42 | 1.08% |
Hypothetical (5% return before expenses) | $1,000.00 | $1,019.35 | $5.43 | 1.08% |
New Hampshire Municipal Fund |
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Actual | $1,000.00 | $1,012.72 | $5.41 | 1.08% |
Hypothetical (5% return before expenses) | $1,000.00 | $1,019.35 | $5.43 | 1.08% |
*Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied by the number of days in one-half year period, and dividend by the total number of days in the fiscal year (to reflect the one-half year period).
BOARD OF DIRECTORS AND OFFICERS (unaudited)
The Board of Trustees ("Board") of the Fund consists of four Trustees (the "Trustees"). These same individuals, unless otherwise noted, also serve as Directors or Trustees for Integrity Fund of Funds, Inc., the six series of Integrity Managed Portfolios, the three series of The Integrity Funds, and the three series of Viking Mutual Funds. Three Trustees are not "interested persons" (75% of the total) as defined under the 1940 Act (the "Independent Trustees"). The remaining Trustee is "interested" (the "Interested Trustees") by virtue of his affiliation with Viking Fund Management, LLC and its affiliates."
For the purposes of this section, the "Fund Complex" consists of Integrity Fund of Funds, Inc., the six series of Integrity Managed Portfolios, the three series of The Integrity Funds, and the three series of Viking Mutual Funds.
Each Trustee serves the Funds until its termination; or until the Trustees' retirement, resignation, or death; or otherwise as specified in the Funds' organizational documents. Each Officer serves an annual term. The tables that follow show information for each Trustee and Officer of the Funds.
INDEPENDENT TRUSTEES | |
Name, Date of Birth, Date Service Began, and Number of Funds Overseen in Fund Complex | Principal Occupations for Past Five Years |
Jerry M. Stai | Principal occupation(s): Minot State University (1999 to present); Non-Profit Specialist: Bremer Bank (2006 to present); Director/Trustee: ND Tax-Free Fund, Inc. and Montana Tax-Free Fund, Inc. (2006 to 2009), Integrity Fund of Funds, Inc., The Integrity Funds, and Integrity Managed Portfolios (2006 to present), and Viking Mutual Funds (2009 to present)
Other Directorships Held: Marycrest Franciscan Development, Inc. |
Orlin W. Backes | Principal occupation(s): Attorney: McGee, Hankla, Backes & Dobrovolny, P.C. (1963 to present); Director/Trustee: ND Tax-Free Fund, Inc. and Montana Tax-Free Fund, Inc. (1995 to 2009), Integrity Fund of Funds, Inc. (1995 to present), Integrity Managed Portfolios (1996 to present), The Integrity Funds (2003 to present), and Viking Mutual Funds (2009 to present)
Other Directorships Held: First Western Bank & Trust |
R. James Maxson | Principal occupation(s): Attorney: Maxson Law Office P.C. (2002 to present); Director/Trustee: ND Tax-Free Fund, Inc. and Montana Tax-Free Fund, Inc. (1999 to 2009), Integrity Fund of Funds, Inc., and Integrity Managed Portfolios (1999 to present), The Integrity Funds (2003 to present), and Viking Mutual Funds (2009 to present)
Other Directorships Held: Vincent United Methodist Foundation, Peoples State Bank of Velva, St. Joseph's Community Health Foundation and St. Joseph's Foundation, Minot Area Development Corporation |
The Statement of Additional Information ("SAI") contains more information about the Funds' Trustees and is available without charge upon request, by calling Integrity Funds Distributor at 800-276-1262.
INTERESTED TRUSTEE | |
Name, Position with Trust, Date of Birth, Date Service Began, and Number of Funds Overseen in Fund Complex | Principal Occupations for Past Five Years |
Robert E. Walstad(1) | Principal occupation(s): Governor (2009 to present): Corridor Investors, LLC; Portfolio Manager (2010 to present): Viking Fund Management, LLC; Director (1987 to 2007) and CEO (2001 to 2007): Integrity Mutual Funds, Inc.; Director, President, and Treasurer (1988 to 2007): Integrity Money Management, Inc.; Director, President, and Treasurer (1989 to 2007): Integrity Fund Services, Inc.; Director, CEO, Chairman (2002 to 2007): Capital Financial Services, Inc.; President and Interim President: ND Tax‑Free Fund, Inc. (1989 to 2007 and 2008 to 2009), Montana Tax‑Free Fund, Inc. (1993 to 2007 and 2008 to 2009), Integrity Managed Portfolios (1996 to 2007 and 2008 to 2009), The Integrity Funds (2003 to 2007 and 2008 to 2009), and Integrity Fund of Funds, Inc. (1995 to 2007 and 2008 to 2009); Director and Chairman: Montana Tax‑Free Fund, Inc. (1993 to 2009), ND Tax‑Free Fund, Inc. (1988 to 2009), and Integrity Fund of Funds, Inc. (1994 to present); Trustee and Chairman (1996 to present): Integrity Managed Portfolios; Trustee and Chairman: The Integrity Funds (2003 to present), and Viking Mutual Funds (2009 to present)
Other Directorships Held: Minot Park Board |
(1) | Trustee who is an "interested person" of the Funds as defined in the Investment Company Act of 1940, as amended (the "1940 Act"). Mr. Walstad is an interested person by virtue of being an Officer of the Funds and ownership in Corridor Investors the parent company of Viking Fund Management, Integrity Fund Services and Integrity Funds Distributor. |
The SAI contains more information about the Fund's Trustees and is available without charge upon request, by calling Integrity Funds Distributor at 800-276-1262.
OTHER OFFICERS | |
Name, Position with Trust, Date of Birth, and Date Service Began | Principal Occupations for Past Five Years |
Shannon D. Radke | Principal occupation(s): Governor, CEO and President (2009 to present): Corridor Investors, LLC; Governor and President (1998 to present): Viking Fund Management, LLC; Governor and President (2009 to present): Integrity Fund Services, LLC and Integrity Funds Distributor, LLC; President (1999 to 2009): Viking Fund Distributors, LLC; Treasurer and Trustee (1999 to 2009) and President (1999 to present): Viking Mutual Funds; President (2009 to present): Integrity Fund of Funds, Inc., The Integrity Funds and Integrity Managed Portfolios
Other Directorships Held: Minot Chamber of Commerce |
Peter A. Quist | Principal occupation(s): Governor (2009 to present): Corridor Investors, LLC; Attorney (inactive); Vice President and Director (1988 to 2009): Integrity Mutual Funds, Inc.; Director, Vice President, and Secretary: Integrity Money Management, Inc. (1988 to 2009), Integrity Fund Services, Inc. (1989 to 2009), and Integrity Funds Distributor, Inc. (1996 to 2009); Director, Vice President, and Secretary: ND Tax-Free Fund, Inc. (1988 to 2009) and Montana Tax‑Free Fund, Inc. (1993 to 2009); Director (1994 to 2009), Secretary (1994 to 2009), and Vice President (1994 to present): Integrity Fund of Funds, Inc.; Secretary (1996 to 2009) and Vice President (1996 to present): Integrity Managed Portfolios; Secretary (2003 to 2009) and Vice President (2003 to present): The Integrity Funds; and Vice President (2009 to present): Viking Mutual Funds
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Adam C. Forthun | Principal occupation(s): Fund Accounting Supervisor (2005 to 2008), Fund Accounting Manager (2008 to present): Integrity Fund Services, LLC; Treasurer: ND Tax-Free Fund, Inc. and Montana Tax-Free Fund, Inc. (2008 to 2009), Integrity Fund of Funds, Inc., Integrity Managed Portfolios and The Integrity Funds (2008 to present), and Viking Mutual Funds (2009 to present)
Other Directorships Held: Not applicable |
Brent M. Wheeler MF CCO: October 2005 | Principal occupation(s): Mutual Fund Chief Compliance Officer: ND Tax-Free Fund, Inc. and Montana Tax-Free Fund, Inc. (2005 to 2009), Integrity Managed Portfolios, The Integrity Funds, and Integrity Fund of Funds, Inc. (2005 to present), and Viking Mutual Funds (2009 to present); Secretary (2009 to present): Integrity Managed Portfolios, The Integrity Funds, Integrity Fund of Funds, Inc., and Viking Mutual Funds
Other Directorships Held: Not applicable |
The SAI contains more information about the Funds' Trustees and is available without charge upon request, by calling Integrity Funds Distributor at 800-276-1262.
PRIVACY POLICY
Rev. 12/2010
FACTS | WHAT DOES INTEGRITY VIKING FUNDS DO WITH YOUR PERSONAL INFORMATION? | ||
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Why? | Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do. | ||
What? | The types of personal information we collect and share depend on the product or service you have with us. This information can include: | ||
| • | Social Security number, name, address | |
| • | Account balance, transaction history, account transactions | |
| • | Investment experience, wire transfer instructions | |
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When you are no longer our customer, we continue to share your information as described in this notice. | |||
How? | All financial companies need to share customers' personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers' personal information; the reasons Integrity Viking Funds chooses to share; and whether you can limit this sharing. |
Reasons we can share your personal information | Does Integrity Viking Funds share? | Can you limit this sharing? |
For our everyday business purposes- such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or report to credit bureaus | Yes | No |
For our marketing purposes- to offer our products and services to you | Yes | No |
For joint marketing with other financial companies | No | We don't share |
For our affiliates' everyday business purposes- information about your transactions and experiences | Yes | No |
For our affiliates' everyday business purposes- information about your creditworthiness | No | We don't share |
For non-affiliates to market to you | No | We don't share |
Questions? | Call 1-800-601-5593 or go to www.integrityvikingfunds.com |
PRIVACY POLICY (Continued)
Page 2 |
Who we are | |
Who is providing this notice? | Integrity Viking Funds (a family of investment companies) |
What we do | |||
How does Integrity Viking Funds protect my personal information? | To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings. We | ||
| • | train employees on privacy, information security and protection of client information. | |
| • | limit access to nonpublic personal information to those employees requiring such information in performing their job functions. | |
How does Integrity Viking Funds collect my personal information? | We collect your personal information, for example, when you: | ||
| • | open an account or seek financial or tax advice | |
| • | provide account information or give us your contact information | |
| • | make a wire transfer | |
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We also collect your personal information from other companies. | |||
Why can't I limit all sharing? | Federal law gives you the right to limit only: | ||
| • | sharing for affiliates' everyday business purposes-information about your creditworthiness | |
| • | affiliates from using your information to market to you | |
| • | sharing for non-affiliates to market to you | |
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State laws and individual companies may give you additional rights to limit sharing. |
Definitions | |||
Affiliates | Companies related by common ownership or control. They can be financial and nonfinancial companies | ||
| • | The Integrity Funds | |
| • | Viking Mutual Funds | |
| • | Integrity Managed Portfolios | |
| • | Integrity Fund of Funds, Inc. | |
| • | Corridor Investors, LLC | |
| • | Viking Fund Management, LLC | |
| • | Integrity Funds Distributor, LLC | |
| • | Integrity Fund Services, LLC | |
Non-affiliates | Companies not related by common ownership or control. They can be financial and nonfinancial companies.
Integrity Viking Funds does not share with non-affiliates so they can market to you. | ||
Joint marketing | A formal agreement between non-affiliated financial companies that together market financial products or services to you.
Integrity Viking Funds doesn't jointly market. |
Integrity Viking Funds includes:
| • | The Integrity Funds |
| • | Viking Mutual Funds |
| • | Integrity Managed Portfolios |
| • | Integrity Fund of Funds, Inc. |
PROXY VOTING OF FUND PORTFOLIO SECURITIES
A description of the policies and procedures that the Funds use to determine how to vote proxies relating to securities held in each Fund's portfolio is available, without charge and upon request, by calling 800-276-1262. A report on Form N-PX of how the Funds voted any such proxies during the most recent 12-month period ended June 30 is available through the Funds' website at www.integrityvikingfunds.com. The information is also available from the Electronic Data Gathering Analysis and Retrieval ("EDGAR") database on the website of the Securities and Exchange Commission ("SEC") at www.sec.gov.
QUARTERLY PORTFOLIO SCHEDULE
Within 60 days of the end of its second and fourth fiscal quarters, the Funds provide a complete schedule of portfolio holdings in their semi-annual and annual reports on the Form N-CSR(S). These reports are filed electronically with the SEC and are delivered to the shareholders of the Funds. The Funds also file their complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The Fund's Forms N-Q and N-CSR(S) are available on the SEC's website at www.sec.gov. The Funds' Forms N-Q and N-CSR(S) may be reviewed and copied at the SEC's Public Reference Room in Washington, D.C. Information on the operation of the Public Reference Room may be obtained by calling 202-551-8090. You may also access this information from the Funds' website at www.integrityvikingfunds.com.
SHAREHOLDER INQUIRIES AND MAILINGS
Direct inquiries regarding the Funds to: | Direct inquiries regarding account information to: |
To reduce their expenses, the Funds may mail only one copy of its prospectus and each annual and semi-annual report to those addresses shared by two or more accounts. If you wish to receive additional copies of these documents, please call Integrity Funds Distributor at 800-276-1262 or contact your financial institution. Integrity Funds Distributor will begin sending you individual copies 30 days after receiving your request.
[Logo]
Equity Funds
Williston Basin/Mid-North America Stock Fund
Integrity Dividend Harvest Fund
Integrity Growth & Income Fund
Corporate Bond Fund
Integrity High Income Fund
Specialty Fund
Integrity Fund of Funds
State-Specific Tax-Exempt Bond Funds
Viking Tax-Free Fund for North Dakota
Viking Tax-Free Fund for Montana
Kansas Municipal Fund
Kansas Insured Intermediate Fund
Maine Municipal Fund
Nebraska Municipal Fund
New Hampshire Municipal Fund
Oklahoma Municipal Fund
Integrity Viking Funds are sold by prospectus only. An investor should consider the investment objectives, risks, and charges and expenses of the investment company carefully before investing. The prospectus contains this and other information about the investment company. You may obtain a prospectus at no cost from your financial adviser or at www.integrityvikingfunds.com. Please read the prospectus carefully before investing.
Item 2. CODE OF ETHICS.
At the end of the period covered by this report, the registrant has adopted a code of ethics as defined in Item 2 of Form N-CSR that applies to the registrant's principal executive officer and principal financial officer (herein referred to as the "Code"). There were no amendments to the Code during the period covered by this report. The registrant did not grant any waivers, including implicit waivers, from any provisions of the Code during the period of this report. The Code is available on the Integrity Viking Funds website at http://www.integrityvikingfunds.com. A copy of the Code is also available, without charge, upon request by calling 800-601-5593. The Code is filed herewith pursuant to Item 12(a)(1) as EX-99.CODE ETH.
Item 3. AUDIT COMMITTEE FINANCIAL EXPERT.
The Board of Trustees has determined that Jerry Stai is an audit committee financial expert, as defined in Item 3 of Form N-CSR. Mr. Stai is "independent" for purposes of Item 3 of Form N-CSR.
Item 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
| (a) | Audit Fees: The aggregate fees billed for each of the last two fiscal years for professional services rendered by Cohen Fund Audit Services, Ltd. ("Cohen"), the principal accountants for the audit of the registrant's annual financial statements, for services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years were $45,600 for the year ended July 31, 2012 and $51,000 for the year ended July 29, 2011. | ||
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| (b) | Audit-Related Fees: The aggregate fees billed in each of the last two fiscal years for assurance and related services by Cohen 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 were $0 for the year ended July 31, 2012 and $0 for the year ended July 29, 2011. | ||
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| (c) | Tax Fees: The aggregate fees billed in each of the last two fiscal years for professional services rendered by Cohen and Brady, Martz & Associates, P.C. ("Brady, Martz")for tax compliance, tax advice, and tax planning were $15,000 for the year ended July 31, 2012 (by Cohen) and $6,180 for the year ended July 29, 2011 (by Brady, Martz). Such services included review of excise distribution calculations (if applicable), preparation of the Trust's federal, state, and excise tax returns, tax services related to mergers, and routine counseling. | ||
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| (d) | All Other Fees: The aggregate fees billed in each of the last two fiscal years for products and services provided by Cohen and Brady, Martz, other than the services reported in paragraphs (a) through (c) of this Item: None. | ||
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| (e) | (1) | Audit Committee Pre-Approval Policies and Procedures | |
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| The registrant's audit committee has adopted policies and procedures that require the audit committee to pre-approve all audit and non-audit services provided to the registrant by the principal accountant. |
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| (2) | Percentage of services referred to in 4(b) through 4(d) that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X | |
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| 0% of the services described in paragraphs (b) through (d) of Item 4 were not pre-approved by the audit committee. |
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| (f) | All services performed on the engagement to audit the registrant's financial statements for the most recent fiscal year-end were performed by Cohen's full-time permanent employees. | ||
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| (g) | Non-Audit Fees: None. | ||
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| (h) | Principal Accountant's Independence: The registrant's auditor did not provide any non-audit services to the registrant's investment adviser or any entity controlling, controlled by, or controlled with the registrant's investment adviser that provides ongoing services to the registrant. |
Item 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable
Item 6. INVESTMENTS.
The Schedule of Investments is included as part of the report to shareholders filed under Item 1 of this Form.
Item 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable
Item 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable
Item 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
Not applicable
Item 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant's board of trustees in the last fiscal half year.
Item 11. CONTROLS AND PROCEDURES.
| (a) | Based on their evaluation of the registrant's disclosure controls and procedures as of a date within 90 days of the filing date of this Form N-CSR (the "Report"), the registrant's principal executive officer and principal financial officer believe that the disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) are effectively designed to ensure that information required to be disclosed by the registrant in the Report is recorded, processed, summarized and reported by the filing date, including ensuring that information required to be disclosed in the Report is accumulated and communicated to the registrant's principal executive officer and principal financial officer who are making certifications in the Report, as appropriate, to allow timely decisions regarding required disclosure. |
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| (b) | There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the registrant's most recent fiscal half-year that have materially affected, or are reasonably likely to materially affect, the registrant's internal control over financial reporting. |
Item 12. EXHIBITS.
| (a) | (1) | Code of ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as EX-99. CODE ETH. |
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| (2) | A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2 under the 1940 Act (17 CFR 270.30a-2) is filed and attached hereto as EX-99. CERT. |
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| (3) | Not applicable. |
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| (b) | Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 is filed and attached hereto. |
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.
Integrity Managed Portfolios
By: /s/ Shannon D. Radke
Shannon D. Radke
President
September 28, 2012
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: /s/ Shannon D. Radke
Shannon D. Radke
President
September 28, 2012
By: /s/ Adam Forthun
Adam Forthun
Treasurer
September 28, 2012