Sterling
Capital
Equity
Income
Fund
1
Schedule
of
Portfolio
Investments
June
30,
2024
(Unaudited)
See
accompanying
Notes
to
the
Schedule
of
Portfolio
Investments.
Shares
Fair
Value
COMMON
STOCKS
—
98
.1
%
Air
Freight
&
Logistics
—
0
.8
%
103,692
United
Parcel
Service,
Inc.
,
Class
B
.....
$
14,190,250
Beverages
—
3
.8
%
425,974
PepsiCo,
Inc.
.....................
70,255,892
Biotechnology
—
3
.8
%
404,410
AbbVie,
Inc.
.....................
69,364,403
Capital
Markets
—
20
.3
%
186,582
Ameriprise
Financial,
Inc.
............
79,705,965
1,078,697
Charles
Schwab
Corp.
(The)
..........
79,489,182
165,080
Goldman
Sachs
Group,
Inc.
(The)
......
74,668,986
1,162,698
Nasdaq,
Inc.
.....................
70,064,181
545,930
Raymond
James
Financial,
Inc.
........
67,482,407
371,410,721
Containers
&
Packaging
—
4
.5
%
377,345
Avery
Dennison
Corp.
..............
82,506,484
Food
Products
—
4
.2
%
417,382
Hershey
Co.
(The)
.................
76,727,333
Health
Care
Equipment
&
Supplies
—
1
.6
%
288,714
Abbott
Laboratories
................
30,000,272
Health
Care
Providers
&
Services
—
9
.3
%
172,983
Elevance
Health,
Inc.
...............
93,732,568
150,996
UnitedHealth
Group,
Inc.
............
76,896,223
170,628,791
Insurance
—
8
.1
%
695,079
Aflac,
Inc.
.......................
62,077,505
207,365
Marsh
&
McLennan
Cos.,
Inc.
........
43,695,953
610,346
MetLife,
Inc.
.....................
42,840,186
148,613,644
IT
Services
—
0
.5
%
33,227
Accenture
PLC
,
Class
A
.............
10,081,404
Oil,
Gas
&
Consumable
Fuels
—
1
.6
%
193,054
Valero
Energy
Corp.
................
30,263,145
Pharmaceuticals
—
3
.1
%
216,386
Johnson
&
Johnson
................
31,626,978
203,737
Merck
&
Co.,
Inc.
.................
25,222,641
56,849,619
Professional
Services
—
7
.0
%
289,244
Automatic
Data
Processing,
Inc.
.......
69,039,650
379,752
Booz
Allen
Hamilton
Holding
Corp.
....
58,443,833
127,483,483
Semiconductors
&
Semiconductor
Equipment
—
8
.8
%
379,498
Analog
Devices,
Inc.
...............
86,624,213
806,773
Microchip
Technology,
Inc.
...........
73,819,730
160,443,943
Shares
Fair
Value
COMMON
STOCKS
—
(continued)
Software
—
6
.1
%
251,158
Microsoft
Corp.
...................
$
112,255,068
Specialized
REITs
—
2
.5
%
1,032,675
CubeSmart
......................
46,645,930
Specialty
Retail
—
3
.3
%
173,800
Home
Depot,
Inc.
(The)
.............
59,828,912
Textiles,
Apparel
&
Luxury
Goods
—
1
.4
%
347,233
NIKE,
Inc.
,
Class
B
................
26,170,951
Tobacco
—
3
.2
%
1,292,245
Altria
Group,
Inc.
..................
58,861,760
Trading
Companies
&
Distributors
—
4
.2
%
395,143
Ferguson
PLC
....................
76,519,442
Total
Common
Stocks
(Cost
$
1,208,020,380
)
.............
1,799,101,447
MONEY
MARKET
FUND
—
1
.9
%
33,976,114
Federated
Treasury
Obligations
Fund
,
Institutional
Shares
,
5.17
%
(a)
.......
33,976,114
Total
Money
Market
Fund
(Cost
$
33,976,114
)
...............
33,976,114
Total
Investments
—
100
.0
%
(Cost
$
1,241,996,494
)
..........................
1,833,077,561
Net
Other
Assets
(Liabilities)
—
0
.0
%
...............
(
327,333
)
NET
ASSETS
—
100.0%
.......................
$
1,832,750,228
(a)
Represents
the
current
yield
as
of
report
date.
2
Sterling
Capital
Funds
Notes
to
Schedule
of
Portfolio
Investments
-
Sterling
Capital
Equity
Income
Fund
June
30,
2024
(Unaudited)
1.
Organization:
Sterling
Capital
Funds
(the
“Trust”)
commenced
operations
on
October
5,
1992
and
is
registered
under
the
Investment
Company
Act
of
1940,
as
amended
(“the
1940
Act”),
as
an
open-end
investment
company
established
as
a
Massachusetts
business
trust.
The
Trust
offers
shares
of
Sterling
Capital
Equity
Income
Fund
(referred
to
as
a
“Fund”).
The
Fund
is
a
“diversified”
fund
as
defined
in
the
1940
Act.
2.
Significant
Accounting
Policies:
The
Fund
is
an
investment
company
and
accordingly
follows
the
investment
company
accounting
and
reporting
guidance
of
the
Financial
Accounting
Standards
Board
(“FASB”)
Accounting
Standard
Codification
Topic
946
Financial
Services-
Investment
Companies.
The
following
is
a
summary
of
significant
accounting
policies
followed
by
the
Fund.
The
policies
are
in
conformity
with
United
States
generally
accepted
accounting
principles
(“U.S.
GAAP”).
The
preparation
of
this
schedule
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
schedule
and
the
reported
amount
of
income
and
expense
for
the
reporting
period.
Actual
result
could
differ
from
those
estimates.
Securities
Valuation
—
Investments
of
the
Fund
in
securities
traded
on
a
national
securities
exchange
or
in
the
over-the-
counter
market
are
valued
at
the
closing
price
on
the
principal
exchange
or
market
(including
the
NASDAQ
Closing
Price
for
securities
traded
on
NASDAQ),
typically
4:00
PM
ET
or,
absent
such
a
price,
by
reference
to
the
latest
available
bid
prices
in
the
principal
market
in
which
such
securities
are
normally
traded.
The
Fund
may
also
use
an
independent
pricing
service
approved
by
the
Board
of
Trustees
(the
“Board”)
to
value
certain
securities,
including
the
use
of
electronic
and
matrix
techniques.
Investments
in
open-end
investment
companies
are
valued
at
their
respective
net
asset
values
as
reported
by
such
companies.
Investments
in
closed-end
investment
companies
and
exchange-traded
funds
are
valued
at
their
market
values
based
upon
the
latest
available
sale
price
or,
absent
such
a
price,
by
reference
to
the
latest
available
bid
prices
in
the
principal
market
in
which
such
securities
are
normally
traded.
The
differences
between
cost
and
fair
value
of
investments
are
reflected
as
either
unrealized
appreciation
or
depreciation.
Securities
for
which
market
quotations
are
not
readily
available
or
deemed
unreliable
(e.g.,
an
approved
pricing
service
does
not
provide
a
price,
a
furnished
price
is
in
error,
certain
stale
prices,
or
an
event
occurs
that
materially
affects
the
furnished
price)
will
be
fair
valued
in
accordance
with
procedures
established
in
good
faith
under
the
general
supervision
of
the
Board.
Fair
Value
Measurements
—
The
objective
of
a
fair
value
measurement
is
to
determine
the
price
that
would
be
received
to
sell
an
asset
or
paid
to
transfer
a
liability
in
an
orderly
transaction
between
market
participants
at
the
measurement
date
(an
exit
price).
Accordingly,
the
fair
value
hierarchy
gives
the
highest
priority
to
quoted
prices
(unadjusted)
in
active
markets
for
identical
assets
or
liabilities
(Level
1)
and
the
lowest
priority
to
unobservable
inputs
(Level
3).
The
three
levels
of
the
fair
value
hierarchy
are
described
as
follows:
Level
1
–
quoted
prices
in
active
markets
for
identical
securities
Level
2
–
based
on
other
significant
observable
inputs
(including
quoted
prices
for
similar
securities,
interest
rates,
prepayment
speeds,
credit
risk,
etc.)
Level
3
–
based
on
significant
unobservable
inputs
(including
a
Fund’s
own
assumptions
in
determining
the
fair
value
of
investments)
The
inputs
or
methodology
used
for
valuing
securities
are
not
necessarily
an
indication
of
the
risk
associated
with
investing
in
those
securities.
During
the
period
ended
June
30,
2024
,
there
were
no
significant
changes
to
the
valuation
policies
and
procedures.
3
Sterling
Capital
Funds
Notes
to
Schedule
of
Portfolio
Investments
-
Sterling
Capital
Equity
Income
Fund
—
(continued)
June
30,
2024
(Unaudited)
The
summary
of
inputs
used
to
determine
the
fair
value
of
the
Fund’s
investments
as
of
June
30,
2024
is
as
follows:
Cash
and
Cash
Equivalents
—
The
Fund
considers
liquid
assets
deposited
with
a
bank,
and
certain
short
term
debt
instruments
with
original
maturities
of
three
months
or
less
to
be
cash
equivalents.
These
investments
represent
amounts
held
with
financial
institutions
that
are
readily
accessible
to
pay
Fund
expenses
or
investments.
The
Fund
may
invest
its
excess
cash
in
the
Federated
Treasury
Obligations
Fund
or
a
similar
money
market
fund
or
other
short-term
investment.
Forward
Foreign
Currency
Exchange
Contracts
—
The
Fund
may
enter
into
forward
foreign
currency
exchange
contracts
(foreign
currency
exchange
risk)
in
connection
with
planned
purchases
or
sales
of
securities
or
to
hedge
the
U.S.
dollar
value
of
Funds
securities
denominated
in
a
particular
currency.
A
foreign
currency
exchange
contract
is
an
agreement
between
two
parties
to
buy
and
sell
a
currency
at
a
set
exchange
rate
on
a
future
date.
The
Fund
can
be
exposed
to
risks
if
the
counterparties
to
the
contracts
are
unable
to
meet
the
terms
of
their
contracts
and
from
unanticipated
movements
in
the
value
of
a
foreign
currency
relative
to
the
U.S.
dollar.
In
the
event
of
default
by
the
counterparty
to
the
transaction,
the
Fund’s
maximum
amount
of
loss,
as
either
the
buyer
or
seller,
is
the
unrealized
gain
of
the
contract.
The
forward
foreign
currency
exchange
contracts
are
adjusted
by
the
daily
exchange
rate
of
the
underlying
currency
and
any
gains
or
losses
are
recorded
for
purposes
of
this
schedule
as
unrealized
gains
or
losses
until
the
contract
settlement
date.
When
the
contract
is
closed,
the
Fund
records
a
realized
gain
(loss)
equal
to
the
difference
between
the
value
at
the
time
it
was
opened
and
the
value
at
the
time
it
was
closed.
Mortgage
Dollar
Rolls
—
The
Fund
may
sell
mortgage-backed
securities
for
delivery
in
the
current
month
and
simultaneously
contract
to
repurchase
substantially
similar
(same
type,
coupon
and
maturity)
securities
on
a
specific
future
date
at
an
agreed-upon
price.
The
market
value
of
the
securities
that
a
Fund
is
required
to
purchase
may
decline
below
the
agreed
upon
repurchase
price
of
those
securities.
Pools
of
mortgages
collateralizing
those
securities
may
have
different
prepayment
histories
than
those
sold.
During
the
period
between
the
sale
and
repurchase,
a
Fund
will
not
be
entitled
to
receive
interest
and
principal
payments
on
the
securities
sold.
Proceeds
of
the
sale
will
be
invested
in
additional
instruments
for
a
Fund,
and
the
income
from
these
investments
will
generate
income
for
a
Fund.
If
such
income
does
not
exceed
the
income,
capital
appreciation
and
gain
or
loss
that
would
have
been
realized
on
the
securities
sold
as
part
of
the
dollar
roll,
the
use
of
this
technique
will
diminish
the
investment
performance
of
a
Fund
compared
with
what
the
performance
would
have
been
without
the
use
of
dollar
rolls.
The
Fund
accounts
for
mortgage
dollar
roll
transactions
as
purchases
and
sales.
The
Fund
did
not
hold
any
mortgage
dollar
rolls
during
the
period.
Options
Contracts
—
The
Fund
writes
(sells)
“covered”
call
options
on
securities
and
purchase
options
on
securities
to
close
out
options
previously
written
by
them.
In
writing
an
option,
a
Fund
contracts
with
a
specified
counterparty
to
purchase
(put
option
written)
or
sell
(call
option
written)
a
specified
quantity
(notional
amount)
of
an
underlying
asset
at
a
specified
price
during
a
specified
period
upon
demand
of
the
counterparty.
The
risk
associated
with
writing
an
option
is
that
the
Fund
bears
the
market
risk
of
an
unfavorable
change
in
the
price
of
an
underlying
asset
and
are
required
to
buy
or
sell
an
underlying
asset
under
the
contractual
terms
of
the
option
at
a
price
different
from
the
current
value.
The
Fund
executes
transactions
in
both
listed
and
over-the-counter
options.
When
purchasing
over-the-counter
options,
a
Fund
bears
the
risk
of
economic
loss
from
counterparty
default,
equal
to
the
market
value
of
the
option.
Listed
options
involve
minimal
counterparty
risk
since
the
listed
options
are
guaranteed
against
default
by
the
exchange
on
which
they
trade.
Transactions
in
over-the-counter
options
expose
the
Funds
to
the
risk
of
default
by
the
counterparty
to
the
transaction.
In
the
event
of
default
by
the
counterparty
to
the
over-the-counter
transaction,
the
Fund’s
maximum
amount
of
loss
is
the
premium
paid
(as
the
purchaser)
or
the
unrealized
depreciation
of
the
contract
(as
the
writer).
Level
1-
Quoted
Prices
Level
2-
Other
Significant
Observable
Inputs
Level
3-
Significant
Unobservable
Inputs
Total
Assets:
Investments
in
Securities
Sterling
Capital
Equity
Income
Fund
..................
$
1,833,077,561
(a)
$
—
$
—
$
1,833,077,561
(a)
Industries,
countries
or
security
types
are
disclosed
in
the
Schedule
of
Portfolio
Investments.
4
Sterling
Capital
Funds
Notes
to
Schedule
of
Portfolio
Investments
-
Sterling
Capital
Equity
Income
Fund
—
(continued)
June
30,
2024
(Unaudited)
The
Fund
invested
in
written
options
to
economically
hedge
the
downside
exposure
by
collecting
a
premium
when
sold
against
the
equity
holding.
Risks
Associated
with
Foreign
Securities
and
Currencies
—
Investments
in
securities
of
foreign
issuers
carry
certain
risks
not
ordinarily
associated
with
investments
in
securities
of
domestic
issuers.
Such
risks
include
future
political
and
economic
developments
and
the
possible
imposition
of
exchange
controls
or
other
foreign
governmental
laws
and
restrictions.
In
addition,
with
respect
to
certain
countries,
there
is
the
possibility
of
expropriation
of
assets,
confiscatory
taxation,
political
or
social
instability
or
diplomatic
developments
which
could
adversely
affect
investments
in
those
countries.
Certain
foreign
investments
may
also
be
subject
to
foreign
withholding
taxes.
When-Issued
and
Forward
Commitments
—
The
Fund
may
purchase
securities
on
a
“when-issued”
basis.
The
Fund
may
also
purchase
or
sell
securities
on
a
forward
commitment
basis.
The
Fund
records
when-issued
securities
on
the
trade
date
and
pledge
assets
with
a
value
at
least
equal
to
the
purchase
commitment
for
payment
of
the
securities
purchased.
The
value
of
the
securities
underlying
when-issued
or
forward
commitments
to
purchase
securities,
and
any
subsequent
fluctuation
in
their
value,
is
taken
into
account
when
determining
the
net
asset
value
of
the
Fund
commencing
with
the
date
the
Fund
agrees
to
purchase
the
securities.
The
Fund
does
not
accrue
interest
or
dividends
on
“when-issued”
securities
until
the
underlying
securities
are
received.