N-CSRS
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: 811-07322
THE INTEGRITY FUNDS
(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 31st
Date of reporting period: January 31, 2024
THE INTEGRITY FUNDS
Integrity Dividend Harvest Fund
Integrity Dividend Summit Fund
Integrity Growth & Income Fund
Integrity High Income Fund
Integrity Mid-North American Resources Fund
Integrity Short Term Government Fund
Semi-Annual Report | January 31, 2024
Investment Adviser
Viking Fund Management, LLC
PO Box 500
Minot, ND 58702 | Principal Underwriter
Integrity Funds Distributor, LLC*
PO Box 500
Minot, ND 58702 |
Transfer Agent
Integrity Fund Services, LLC
PO Box 759
Minot, ND 58702 | Custodian
UMB Bank
928 Grand Blvd.
Kansas City, MO 64106
|
Independent Registered Public Accounting Firm
Cohen & Company, Ltd.
1350 Euclid Avenue, Suite 800 Cleveland, OH 44115 |
*The Funds are distributed through Integrity Funds Distributor, LLC. Member FINRA
INTEGRITY DIVIDEND HARVEST FUND
Enclosed is the report of the operations for the Integrity Dividend Harvest Fund (the “Fund”) for the six-month period ended January 31, 2024 (the “period”). The Fund’s portfolio and related financial statements are presented within for your review.
The period saw the S&P 500 TR Index (“S&P 500”) return 6.43%. The market rallied as the Federal Reserve’s tone became much more dovish during the period. The Fed began signaling the possibility for rate cuts in 2024 and the market showed continued resiliency on the growing likelihood of the elusive economic soft landing. The U.S. Bureau of Labor Statistics reported that the unemployment rate was 3.7% as of January 2024, up slightly over the period from 3.5%. Inflation as measured by the consumer price index (CPI) stood at 3.1% in January, down slightly during the period, and down considerably from 6.4% in January of 2023. The Federal Reserve’s Federal Open Market Committee (“FOMC” or “Committee”) maintained the target range for the federal funds rate at 5-1/4 to 5-1/2% throughout the period. The Committee noted it does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2%.
During the period, six of the eleven sectors had a positive return. The Communication Services and Financials sectors performed best, while the Utilities and Consumer Staples sectors lagged.
The Fund’s total returns for Class A, C, and I shares were 2.39%*, 2.09%*, and 2.58%*, respectively, for the six-months ended January 31, 2024 while the S&P 500 returned 6.43%. The Fund is in the Morningstar Large Value category which returned 3.47% over the same period. The Fund underperformed its Morningstar category and the S&P 500. The Fund’s underperformance relative to its Morningstar category was primarily driven by an overweight allocation to Consumer Staples and stock selection in Financials. Aiding relative performance was stock selection in Technology.
The Fund seeks to maximize total return by emphasizing high current income with long term appreciation as a secondary objective, consistent with preservation of capital. The Portfolio Management Team (the “Team”) considers dividend yield, dividend growth rate, earnings growth, price-to-earnings multiples, and balance sheet strength. The Team emphasizes dividend yield in selecting stocks for the Fund because the Team believes that, over time, dividend income can contribute significantly to total return and is a more consistent source of investment return than appreciation. If you would like more frequent updates, visit our website at www.integrityvikingfunds.com for daily prices along with pertinent Fund information.
Sincerely,
The Portfolio Management Team
The views expressed are those of The Portfolio Management Team of Viking Fund Management. 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.
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.
INTEGRITY DIVIDEND HARVEST FUND
Comparison of change in value of a $10,000 investment
# In January, 2024, the secondary benchmark was changed from the Russell 1000 Value Index to the S&P High Yield Dividend Aristocrats Index. The S&P High Yield Dividend Aristocrats Index is more representative of the Fund’s investment strategy. The change in value of a $10,000 investment is $24,325 for the Russell 1000 Index and $26,906, as noted above, for the S&P High Yield Dividend Aristocrats Index for the 10 year period ended January 31, 2024.
Average Annual Total Returns for the periods ended January 31, 2024
| 1 year | 3 year | 5 year | 10 year | Since Inception* |
Class A Without sales charge | 3.03% | 11.08% | 9.26% | 9.26% | 9.75% |
Class A With sales charge (5.00%) | -2.09% | 9.20% | 8.14% | 8.71% | 9.27% |
Class C Without CDSC | 2.29% | 10.25% | 8.45% | N/A | 8.24% |
Class C With CDSC (1.00%) | 1.29% | 10.25% | 8.45% | N/A | 8.24% |
Class I Without sales charge | 3.30% | 11.35% | 9.54% | N/A | 8.41% |
* May 1, 2012 for Class A; August 3, 2015 for Class C; August 1, 2016 for Class I |
The total annual fund operating expense ratio (before expense waivers and reimbursements and including acquired fund fees and expenses) as of the most recent six month period ended January 31, 2024 was 1.47%, 2.22%, and 1.22% for Class A, C, and I, 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 six month period ended January 31, 2024 was 0.95%, 1.70%, and 0.70% for Class A, C, and I, respectively. The Fund’s investment adviser has contractually agreed to waive fees and reimburse expenses through November 29, 2024 so that total annual fund operating expenses after fee waivers and expense reimbursements (excluding taxes, brokerage fees, commissions, extraordinary and non-recurring expenses, and acquired fund fees and expenses) do not exceed 0.95%, 1.70%, and 0.70% for Class A, C, and I, respectively. This expense limitation agreement may only be terminated or modified prior to November 29, 2024 with the approval of the Fund’s Board of Trustees.
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.
INTEGRITY DIVIDEND SUMMIT FUND
Enclosed is the report of the operations for the Integrity Dividend Summit Fund (the “Fund”) for the six-month period ended January 31, 2024 (the “period”). The Fund’s portfolio and related financial statements are presented within for your review.
The period saw the S&P 500 TR Index (“S&P 500”) return 6.43%. The market rallied as the Federal Reserve’s tone became much more dovish during the period. The Fed began signaling the possibility for rate cuts in 2024 and the market showed continued resiliency on the growing likelihood of the elusive economic soft landing. The U.S. Bureau of Labor Statistics reported that the unemployment rate was 3.7% as of January 2024, up slightly over the period from 3.5%. Inflation as measured by the consumer price index (CPI) stood at 3.1% in January 2024, down slightly during the period, and down considerably from 6.4% in January of 2023. The Federal Reserve’s Federal Open Market Committee (“FOMC” or “Committee”) maintained the target range for the federal funds rate at 5-1/4 to 5-1/2% throughout the period. The Committee noted it does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2%.
During the period, six of the eleven sectors had a positive return. The Communication Services and Financials sectors performed best, while the Utilities and Consumer Staples sectors lagged.
The Fund’s total returns for Class A, C, and I shares were 1.54%*, 1.54%*, and 1.46%*, respectively, for the six-months ended January 31, 2024 while the S&P 500 returned 6.43%. The Fund is in the Morningstar Large Value category which returned 3.47% over the same time period. The Fund underperformed its Morningstar category and the S&P 500. The Fund’s underperformance relative to its Morningstar category was primarily driven by stock selection in Healthcare and an overweight allocation to Basic Materials. Aiding relative performance was stock selection in Communication Services.
The Fund seeks to maximize total return by emphasizing high current income with long term appreciation as a secondary objective, consistent with preservation of capital. The Portfolio Management Team (“Team”) considers dividend yield, dividend growth rate, earnings growth, price-to-earnings multiples, and balance sheet strength. The Team emphasizes dividend yield in selecting stocks for the Fund because the Team believes that, over time, dividend income can contribute significantly to total return and is a more consistent source of investment return than appreciation. If you would like more frequent updates, visit our website at www.integrityvikingfunds.com for daily prices along with pertinent Fund information.
Sincerely,
The Portfolio Management Team
The views expressed are those of The Portfolio Management Team of Viking Fund Management. 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.
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.
INTEGRITY DIVIDEND SUMMIT FUND
Comparison of change in value of a $10,000 investment
# In January, 2024, the secondary benchmark was changed from the Russell 1000 Value Index to the Dow Jones Select Dividend Index. The Dow Jones Select Dividend Index is more representative of the Fund’s investment strategy. The change in value of a $10,000 investment is $10,888 for the Russell 1000 Index and $10,176, as noted above, for the Dow Jones Select Dividend Index for the period of May 1, 2023 (commencement of operations) to January 31, 2024.
Average Annual Total Returns for the periods ended January 31, 2024
| 1 year | 3 year | 5 year | 10 year | Since Inception* |
Class A Without sales charge | N/A | N/A | N/A | N/A | 6.45% |
Class A With sales charge (5.00%) | N/A | N/A | N/A | N/A | -0.58% |
Class C Without CDSC | N/A | N/A | N/A | N/A | 6.45% |
Class C With CDSC (1.00%) | N/A | N/A | N/A | N/A | 5.11% |
Class I Without sales charge | N/A | N/A | N/A | N/A | 6.43% |
* May 1, 2023 for Class A, C and I |
The total annual fund operating expense ratio (before expense waivers and reimbursements and including acquired fund fees and expenses) as of the most recent six month period ended January 31, 2024 was 10.17%, 11.07%, and 10.04% for Class A, C, and I, respectively. Management has voluntarily waived all expenses for the period of August 1, 2023 through January 31, 2024. The net annual fund operating expense ratio (after expense waivers and reimbursements and excluding acquired fund fees and expenses) as of the most recent six month period ended January 31, 2024 was 0.00%, 0.00%, and 0.00% for Class A, C, and I, respectively. The Fund’s investment adviser has contractually agreed to waive fees and reimburse expenses through November 29, 2024 so that total annual fund operating expenses after fee waivers and expense reimbursements (excluding taxes, brokerage fees, commissions, extraordinary and non-recurring expenses, and acquired fund fees and expenses) do not exceed 0.99%, 1.74%, and .74% for Class A, C, and I, respectively. This expense limitation agreement may only be terminated or modified prior to November 29, 2024 with the approval of the Fund’s Board of Trustees.
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.
INTEGRITY GROWTH & INCOME FUND
Enclosed is the report of the operations for the Integrity Growth & Income Fund (the “Fund”) “) for the six-month period ended January 31, 2024 (the “period”). The Fund’s portfolio and related financial statements are presented within for your review.
The period saw the S&P 500 TR Index (“S&P 500”) return 6.43%. The market rallied as the Federal Reserve’s tone became much more dovish during the period. The Fed began signaling the possibility for rate cuts in 2024 and the market showed continued resiliency on the growing likelihood of the elusive economic soft landing. The U.S. Bureau of Labor Statistics reported that the unemployment rate was 3.7% as of January 2024, up slightly over the period from 3.5%. Inflation as measured by the consumer price index (CPI) stood at 3.1% in January, down slightly during the period, and down considerably from 6.4% in January of 2023. The Federal Reserve’s Federal Open Market Committee (“FOMC” or “Committee”) maintained the target range for the federal funds rate at 5-1/4 to 5-1/2% throughout the period. The Committee noted it does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2%.
During the period, seven of the eleven sectors had a positive return. The Information Technology and Financials sectors performed best, while the Utilities, Energy, and Materials sectors lagged.
The Fund’s total returns for Class A, C, and I shares were 6.71%*, 6.30%*, and 6.82%*, respectively, for the six-months ended January 31, 2024 while the S&P 500 returned 6.43%. The Fund is in the Morningstar Large Blend category which returned 5.62% over the same period. The Fund outperformed its Morningstar category and the S&P 500. The Fund’s outperformance relative to its Morningstar category was primarily driven by stock selection in Information Technology and Industrials. Detracting from relative performance was stock selection in Consumer Discretionary.
The Fund is managed using a blended growth and income investment strategy. The Portfolio Management Team (“Team”) seeks to invest primarily in domestic common stocks, balancing investments between growth & dividend paying stocks, depending on where we see the best value. The Team also tries to emphasize companies we believe offer both attractive investment opportunities and demonstrate a positive awareness of their impact on the society in which they operate. If you would like more frequent updates, visit our website at www.integrityvikingfunds.com for daily prices along with pertinent Fund information.
Sincerely,
The Portfolio Management Team
The views expressed are those of The Portfolio Management Team of Viking Fund Management. 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.
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.
INTEGRITY GROWTH & INCOME FUND
Comparison of change in value of a $10,000 investment
Average Annual Total Returns for the periods ended January 31, 2024
| 1 year | 3 year | 5 year | 10 year | Since Inception* |
Class A Without sales charge | 18.52% | 9.11% | 13.44% | 10.64% | 9.31% |
Class A With sales charge (5.00%) | 12.59% | 7.27% | 12.29% | 10.07% | 9.12% |
Class C Without CDSC | 17.63% | 8.30% | 12.77% | N/A | 10.06% |
Class C With CDSC (1.00%) | 16.63% | 8.30% | 12.77% | N/A | 10.06% |
Class I Without sales charge | 18.82% | 9.39% | 13.73% | N/A | 12.62% |
* January 3, 1995 for Class A; August 3, 2015 for Class C; August 1, 2016 for Class I |
The total annual fund operating expense ratio (before expense waivers and reimbursements and including acquired fund fees and expenses) as of the most recent six month period ended January 31, 2024 was 1.72%, 2.47%, and 1.47% for Class A, C, and I, 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 six month period ended January 31, 2024 was 1.24%, 1.99%, and .99% for Class A, C, and I, respectively. The Fund’s investment adviser has contractually agreed to waive fees and reimburse expenses through November 29, 2024 so that total annual fund operating expenses after fee waivers and expense reimbursements (excluding taxes, brokerage fees, commissions, extraordinary and non-recurring expenses, and acquired fund fees and expenses) do not exceed 1.24%, 1.99%, and .99% for Class A, C, and I, respectively. This expense limitation agreement may only be terminated or modified prior to November 29, 2024 with the approval of the Fund’s Board of Trustees.
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.
INTEGRITY HIGH INCOME FUND
Enclosed is the report of the operations for the Integrity High Income Fund (the “High Income Fund” or the “Fund”) for the six-month period ended January 31, 2024 (the “period”). The Fund’s portfolio and related financial statements are presented within for your review.
Market Environment
Despite the move higher in rates, high yield muscled out a positive return in the third quarter of 2023 where equities and higher quality fixed income were both negative. We saw a shift in market sentiment in October as risk assets sold off broadly amid renewed fears of higher-for-longer interest rates and heightened geopolitical uncertainty. The risk-off environment in October was short-lived as almost all asset classes reported strong returns in November. This was a result of favorable GDP numbers, cooling inflation and quarterly earnings data (3Q23) that was broadly in consonance with the market expectations. The risk on rally that began in November carried through December as risk assets responded positively to Powell’s pivot at the Fed meeting in mid-December, with the Fed seemingly taking further rate hikes off the table.
The high yield market returned +6.15% for the trailing six-month period ended January 31st (as measured by the ICE BofA US High Yield Constrained Index, HUC0) as spreads tightened 23 bps to 379 bps while yields decreased 0.54% to 7.84%; spreads and yields are 65 bps tighter and 0.35% lower than they were one year ago, respectively. For the trailing six-month period, lower quality led the returns with CCCs returning +6.80%, single B’s, +6.31%, and BBs, +5.88%. Banking, Retail and Financial Services led the contributors to performance while the Transportation, Capital Goods and Technology sectors led the detractors.
2023’s gross issuances of $176.1bn and net of $59.5bn improved noticeably from $106.5bn (gross) and $56bn (net) for 2022. For the month of January 2024, gross issuances stood at $31.6bn while the net issuances stood at $5.9bn. For the trailing six-months ended January 31st, high yield mutual fund flows were $1.1bn, evenly split across three months of outflows followed by three months of inflows. Fund outflows of -$7.0bn in 2023 were significantly lower than the largest annual outflow of -$48.9bn in 2022. Similar to the year 2022, the rising stars outpaced fallen angels $124.7bn to $14.2bn in 2023, marking the largest rising star volume on record following 2022. Rising stars and fallen angels expected to be balanced in 2024. Fundamentals remain supportive as vast majority of high yield issuers continue to perform well with stable leverage.
There was one high yield default totaling $0.75bn in January 2024 following twenty-two defaults totaling $27.5bn in full year 2023 and only seven high yield defaults totaling $12.2bn for the full year 2022. The trailing twelve-month par-weighted default rate increased to 2.04% as of January 31st, 2024, though it is still below its long-term average of approximately 3%.
As compared to other major fixed income asset classes, high yield’s return of +6.15% (HUC0) for the trailing six-month period ended January 31st led the performance, followed by high-grade credit (C0A0), +4.71%, emerging markets (EMCB), +4.24%, 5-year Treasuries (GA05), +3.27% and U.S. Aggregate (D0A0), +3.12%.
Fund Performance and Positioning
For the trailing six-month period ended January 31, 2024, Integrity High Income Fund returned 5.26% (A Class shares, net of fees), 4.86% (C Class shares, net of fees) and 5.39% (I Class shares, net of fees) compared to its benchmark, the Bloomberg Barclays U.S. High Yield Index, which returned 6.19%. The Fund underperformed the benchmark for the six-month period, as a result of security selection in the Technology, Wirelines and Chemicals sectors. Specifically, relative weightings in Commscope Holding Company, Ford Motor, Lumen Technologies, Venator Materials and Vici Properties detracted from performance in the period. Alternatively, relative performance benefitted from security selection in the Consumer Cyclical Services and Electric sectors in addition to our underweight to the Airlines sector. The largest contributions to performance resulted from relative weightings in Rite Aid Corporation, Cooper Standard Holdings, Staples, Intelsat and Medical Properties Trust.
Compared to the benchmark on January 31, 2024, Integrity High Income Fund was overweight in Automotive, Cable Satellite and Consumer Products due to our view of the relative value opportunities within those sectors. The Fund was underweight in Finance Companies, Technology and Restaurants because we have not found these sectors attractive due to challenging fundamental outlooks or rich valuations. Relative to the benchmark on January 31, the fund’s yield and duration were lower than those of the benchmark while the fund’s spreads are slightly higher than that of the benchmark.
Market Outlook
Following a 13.5% return in 2023 and a flattish January the asset class now sits at 379bps and 7.84%. Fundamentals have been resilient, with most of the market performing well, and technicals continue to be supportive as issuance, though picking up, is expected to remain low. While yields remain attractive in the scope of the post GFC era, spreads are tight of their median trading level, pricing in a default rate just over 2%. Our forecast for the 2024 year-end default rate is 2-3%, at or below the long-term average. A benign default environment can continue if US Treasury rates continue to trend lower and equity markets continue to climb higher. Lower yields and greater risk appetite should help alleviate 2024 defaults, as levered issuers with near-term maturities would find the capital markets more receptive to riskier issues. If the ‘higher-for-longer’ theme returns, defaults will likely be greater than 2%, and the market will move wider in response. A 7.84% yield provides a cushion for 2024 returns with a breakeven of more than 230bps and a symmetrical return profile uncommon in fixed income. Given the favorable fundamental and technical backdrop, we expect spreads to be rangebound and a carry year of returns.
If you would like more frequent updates, visit our website at www.integrityvikingfunds.com for daily prices along with pertinent Fund information.
Sincerely,
Robert L. Cook Thomas G. Hauser
Managing Director Managing Director
J.P. Morgan Investment Management, Inc. J.P. Morgan Investment Management, Inc.
The views expressed are those of Robert L. Cook, Senior Portfolio Manager and Managing Director, and Thomas G. Hauser, Vice President, J.P. Morgan Investment Management, Inc. (“JPMIM”), sub-adviser to the Fund. 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.
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.
INTEGRITY HIGH INCOME FUND
Comparison of change in value of a $10,000 investment
Average Annual Total Returns for the periods ended January 31, 2024
| 1 year | 3 year | 5 year | 10 year | Since Inception* |
Class A Without sales charge | 6.83% | 1.70% | 4.04% | 4.04% | 4.91% |
Class A With sales charge (4.25%) | 2.29% | 0.25% | 3.13% | 3.58% | 4.68% |
Class C Without CDSC | 6.18% | 0.95% | 3.29% | 3.26% | 4.11% |
Class C With CDSC (1.00%) | 5.18% | 0.95% | 3.29% | 3.26% | 4.11% |
Class I Without sales charge | 7.09% | 1.95% | 4.29% | N/A | 4.70% |
* April 30, 2004 for Class A and C; August 1, 2016 for Class I |
The total annual fund operating expense ratio (before expense waivers and reimbursements and including acquired fund fees and expenses) as of the most recent six month period ended January 31, 2024 was 1.64%, 2.39%, and 1.39% for Class A, C, and I, 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 six month period ended January 31, 2024 was 0.99%, 1.74%, and 0.74% for Class A, C, and I, respectively. The Fund’s investment adviser has contractually agreed to waive fees and reimburse expenses through November 29, 2024 so that total annual fund operating expenses after fee waivers and expense reimbursements (excluding taxes, brokerage fees, commissions, extraordinary and non-recurring expenses, and acquired fund fees and expenses) do not exceed 0.99%, 1.74%, and 0.74% for Class A, C, and I, respectively. This expense limitation agreement may only be terminated or modified prior to November 29, 2024 with the approval of the Fund’s Board of Trustees.
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.
INTEGRITY MID-NORTH AMERICAN RESOURCES FUND
Enclosed is the report of the operations for the Integrity Mid-North American Resources Fund (the “Fund”) for the six-month period ended January 31, 2024 (the “period”). The Fund’s portfolio and related financial statements are presented within for your review.
Market Review
The period saw the S&P 500 TR Index (“S&P 500”) return 6.43%. The market rallied as the Federal Reserve’s tone became much more dovish during the period. The Fed began signaling the possibility for rate cuts in 2024 and the market showed continued resiliency on the growing likelihood of the elusive economic soft landing. The U.S. Bureau of Labor Statistics reported that the unemployment rate was 3.7% as of January 2024, up slightly over the period from 3.5%. Inflation as measured by the consumer price index (CPI) stood at 3.1% in January, down slightly during the period, and down considerably from 6.4% in January of 2023. The Federal Reserve’s Federal Open Market Committee (“FOMC” or “Committee”) maintained the target range for the federal funds rate at 5-1/4 to 5-1/2% throughout the period. The Committee noted it does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2%.
During the period, seven of the eleven S&P 500 sectors had a positive return. The Information Technology and Financials sectors performed best, while the Utilities, Energy, and Materials sectors lagged.
Energy Review
WTI crude oil soared over the beginning quarter of the period and traded above $90/barrel at the end of the third quarter 2023. Resilient demand and OPEC production curtailments further tightened global oil markets and continued to deplete global petroleum inventories. On the bullish front, low global inventories combined with strong emerging market demand growth had the world in an undersupplied environment over the quarter. On the bearish front, barrels were being held back by OPEC, creating an artificially tight market and recession fears continued to loom as the effects of higher rates were just beginning to take effect.
For the third quarter of 2023, the Fund (Class A shares) returned 7.76% compared to a gain of 12.64% for the S&P Composite 1500 Energy TR Index and a gain of 10.20% for the Morningstar Equity Energy category. WTI crude oil increased 28.63% to end the quarter at $90.79 and Brent crude oil increased 23.21% to end the quarter at $92.20. At the end of the third quarter, the Brent-WTI differential was $1.41.
WTI crude oil reversed course over the fourth quarter of 2023, giving back all of its gains made in the previous quarter. The downturn was driven by weaker than expected demand and increased non-OPEC supply. In South America, Guyana and Brazil posted robust oil production growth. The United States also beat expectations and achieved a record level of oil production despite a lower rig count and continued capital discipline from producers. OPEC continued to support oil prices from falling further by expanding production cuts.
For the fourth quarter of 2023, the Fund (Class A shares) returned -2.49% compared to a loss of -6.82% for the S&P Composite 1500 Energy TR Index and a loss of -3.65% for the Morningstar Equity Energy category. WTI crude oil declined 15.97% to end the quarter at $71.65 and Brent crude oil declined 12.13% to end the quarter at $77.04. At the end of the fourth quarter, the Brent-WTI differential was $5.39.
In the month of January, WTI crude prices traded up 5% to close the month at $75.71. The Fund (Class A shares) declined -3.95% in January compared to returns of -0.61% and -3.05% for the S&P Composite 1500 Energy TR Index and the Morningstar Equity Energy category, respectively.
The Fund’s total returns for Class A, C, and I shares were -7.65%*, -7.76%*, and -7.30%*, respectively, for the six- months ended January 31, 2024, compared to returns of -3.36%, and 5.95%, and -6.47% for the S&P Composite 1500 Energy TR Index, the S&P Composite 1500 TR Index, and the Morningstar Equity Energy Category, respectively. Detracting from the Fund’s performance relative to its Morningstar category was an overweight allocation to renewable energy. Aiding relative performance was an overweight allocation to midstream.
If you would like more frequent updates, please visit our website at www.integrityvikingfunds.com for daily prices along with pertinent Fund information
Sincerely,
The Portfolio Management Team
The views expressed are those of The Portfolio Management Team of 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.
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.
INTEGRITY MID-NORTH AMERICAN RESOURCES FUND
Comparison of change in value of a $10,000 investment
Average Annual Total Returns for the periods ended January 31, 2024
| 1 year | 3 year | 5 year | 10 year | Since Inception* |
Class A Without sales charge | -9.12% | 15.56% | 3.96% | -1.62% | 4.83% |
Class A With sales charge (5.00%) | -13.73% | 13.63% | 2.89% | -2.13% | 4.61% |
Class C Without CDSC | -9.48% | 15.06% | 3.45% | N/A | -3.34% |
Class C With CDSC (1.00%) | -10.38% | 15.06% | 3.45% | N/A | -3.34% |
Class I Without sales charge | -8.54% | 16.22% | 4.48% | N/A | 2.11% |
* April 5, 1999 for Class A; May 1, 2014 for Class C; August 1, 2016 for Class I |
The total annual fund operating expense ratio (before expense waivers and reimbursements and including acquired fund fees and expenses) as of the most recent six month period ended January 31, 2024 was 1.63%, 2.13%, and 1.13% for Class A, C, and I, 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 six month period ended January 31, 2024 was 1.50%, 2.00%, and 1.00% for Class A, C, and I, respectively. The Fund’s investment adviser has contractually agreed to waive fees and reimburse expenses through November 29, 2024 so that total annual fund operating expenses after fee waivers and expense reimbursements (excluding taxes, brokerage fees, commissions, extraordinary and non-recurring expenses, and acquired fund fees and expenses) do not exceed 1.50%, 2.00%, and 1.00% for Class A, C, and I, respectively. This expense limitation agreement may only be terminated or modified prior to November 29, 2024 with the approval of the Fund’s Board of Trustees.
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. The Fund’s performance prior to November 10, 2008 was achieved under the previous investment strategy, which may have produced different results than the current investment strategy.
INTEGRITY SHORT TERM GOVERNMENT FUND
Enclosed is the report of the operations for the Integrity Short Term Government Fund (the “Fund”) for the six-months ended January 31, 2024 (the “period”). The Fund’s portfolio and related financial statements are presented within for your review.
Market Environment
During the six-month period, Treasury yields declined significantly across the entire yield curve, as the Federal Open Market Committee (“FOMC” or “Committee”) signaled that it had finished the current rate hiking cycle given the progress made in bringing inflation down to target levels. The Treasury yield curve steepened significantly between the 2-year and 10-year maturities, with the 2-year Treasury yield lower by -0.67% and the 10-year yield lower by -0.05%, reflecting the market’s dramatic pricing in of swift monetary policy normalization by the Federal Reserve. The yield curve steepening benefits short duration fixed income securities. As a result, the ICE BofA 1-3 Year US Treasury Index returned 3.28%; whereas the Bloomberg U.S. Aggregate Bond Index, a broad market fixed income measure, returned 3.15% during the same period.
Within the period, in the third quarter, the market became concerned that further rate hikes this year might be possible given robust US economic data. In August, 10-year Treasury yield spiked after Fitch downgraded the US’s AAA rating to AA citing “expected fiscal deterioration”, and the US Treasury announced a larger than expected quarterly bond sale which would likely stretch into 2024. In September, even though the Fed did not raise rates at its September meeting and left the policy rate unchanged at 5.25% to 5.5%, the September “dot plot” of Fed Funds projections by the Committee was more hawkish than market expectation.
Market expectations changed again in the fourth quarter as October CPI came in at 3.2% year-on-year, and the November FOMC statement indicated that the Central Bank was taking additional time to assess the economic impact from prior hikes. Chair Powell noted during the December press conference that the FOMC was “very focused” on the risk of keeping the funds rate too high for too long. The Fed’s December dot plot indicated the Fed Funds rate would end 2024 at 4.5% to 4.75% down 75 basis points from the current range of 5.25% to 5.5%. The FOMC meeting proved dovish as Chair Powell shifted monetary policy from a “higher for longer” regime to prospective rate cuts. In January, the markets continued to advance, given robust economic condition and market expectation of near term rate cuts, although Chair Powell pushed back against a March meeting rate cut during the January FOMC meeting.
Portfolio Performance and Positioning
The Fund’s total return for Class A and Class I shares were 3.03%* and 3.17%*, respectively, for the six-month period ended January 31, 2024, compared to a return of 3.28% for the ICE BofA 1-3 Year US Treasury Index. The Fund’s performance was driven by interest income and spread tightening of the overall Agency MBS market. Lower interest rates also contributed to price outperformance.
In our view, the portfolio’s weighting in short duration Agency residential MBS offers a substantial yield premium over similar duration Treasuries. This yield should drive returns going forward and help buffer continuing market volatility. In addition, Agency MBS should perform better relative to credit sectors in a slowing economy. This combination of income advantage and Agency credit quality offer attractive risk-adjusted return over other short duration alternatives in our view.
Historically, the Treasury yield curve steepens with longer maturity yields increasing more (or decreasing less) relative to shorter maturity yields as the Fed approaches the end of a hiking cycle. This technical dynamic further supports shorter duration fixed income securities such as Agency MBS.
Within short duration Agency MBS, we continue to closely monitor and adjust portfolio weightings as a function of year of origination (i.e. seasoned vs. new origination), loan term (15-years vs. 30-years), and borrower profiles, seeking to mitigate the risk of duration drift under different market conditions. In addition, we believe Agency Commercial Mortgage-Backed Securities backed by Multi-Family Residential loans offer good relative value given the bullet cash flow structure of underlying mortgage loans.
If you would like more frequent updates, visit our website at www.integrityvikingfunds.com for daily prices along with pertinent Fund information.
Sincerely,
The Portfolio Management Team
M.D. Sass, Inc.
The views expressed are those of M.D. Sass Investor Services, Inc., sub-adviser to the Fund. 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.
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.
INTEGRITY SHORT TERM GOVERNMENT FUND
Comparison of change in value of a $10,000 investment
Average Annual Total Returns for the periods ended January 31, 2024
| 1 year | 3 year | 5 year | 10 year | Since Inception* |
Class A Without sales charge | 3.06% | -1.35% | N/A | N/A | -0.40% |
Class A With sales charge (2.00%) | 0.98% | -2.03% | N/A | N/A | -0.90% |
Class I Without sales charge | 3.25% | -1.11% | 0.51% | 0.78% | 0.90% |
* January 21, 2020 for Class A; June 30, 2011 for Class I |
The total annual fund operating expense ratio (before expense waivers and reimbursements and including acquired fund fees and expenses) for the six month period ended January 31, 2024 was 1.13% and 0.88% for Class A and I, respectively. The net annual fund operating expense ratio (after expense waivers and reimbursements and excluding acquired fund fees and expenses) for the six month period ended January 31, 2024 was 0.80% and 0.55% (annualized) for Class A and I, respectively. The Fund’s investment adviser has contractually agreed to waive fees and reimburse expenses through November 29, 2024 so that total annual fund operating expenses after fee waivers and expense reimbursements (excluding taxes, brokerage fees, commissions, extraordinary and non-recurring expenses, and acquired fund fees and expenses) do not exceed 0.80% and 0.55% for Class A and I, respectively. This expense limitation agreement may only be terminated or modified prior to November 29, 2024 with the approval of the Fund’s Board of Trustees.
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.
INTEGRITY DIVIDEND HARVEST FUND
PORTFOLIO MARKET SECTORS January 31, 2024 (unaudited)
Financials | 16.4% |
Information Technology | 16.4% |
Health Care | 15.3% |
Consumer Staples | 14.6% |
Energy | 10.0% |
Utilities | 13.5% |
Consumer Discretionary | 4.3% |
Industrials | 3.2% |
Communication Services | 3.8% |
Materials | 1.0% |
Cash Equivalents and Other | 1.5% |
| 100.0% |
Market sectors are breakdowns of the Fund’s portfolio holdings into specific investment classes.
These percentages are based on net assets.
SCHEDULE OF INVESTMENTS January 31, 2024 (unaudited)
| | | | | | Fair |
| | | Shares | | | Value |
COMMON STOCKS (98.5%) | | | | | |
| | | | | | |
Communication Services (3.8%) | | | | | |
BCE Inc | | 135,000 | | $ | 5,447,250 |
Verizon Communications Inc | | 156,000 | | | 6,606,600 |
| | | | | | 12,053,850 |
Consumer Discretionary (4.3%) | | | | | |
Genuine Parts Co | | 17,000 | | | 2,383,910 |
Home Depot Inc/The | | 15,000 | | | 5,294,400 |
McDonald’s Corp | | 6,000 | | | 1,756,320 |
Target Corp | | 30,000 | | | 4,172,400 |
| | | | | | 13,607,030 |
Consumer Staples (14.6%) | | | | | |
British American Tobacco PLC ADR | | 175,000 | | | 7,021,000 |
Altria Group Inc | | 176,000 | | | 5,209,600 |
Coca Cola Co/The | | 50,000 | | | 2,974,500 |
Kenvue Inc | | 280,000 | | | 5,812,800 |
Kimberly Clark Corp | | 54,000 | | | 6,532,380 |
PepsiCo Inc | | 44,000 | | | 7,415,320 |
Philip Morris International Inc | | 90,000 | | | 8,176,500 |
Procter & Gamble Co/The | | 21,000 | | | 3,299,940 |
| | | | | | 46,442,040 |
Energy (10.0%) | | | | | |
Chevron Corp | | 20,000 | | | 2,948,600 |
Devon Energy Corp | | 90,000 | | | 3,781,800 |
Diamondback Energy Inc | | 40,000 | | | 6,149,600 |
Enbridge Inc | | 170,000 | | | 6,035,000 |
EOG Resources Inc | | 22,000 | | | 2,503,380 |
Exxon Mobil Corp | | 20,000 | | | 2,056,200 |
Targa Resources Corp | | 30,000 | | | 2,548,800 |
TransCanada Corp | | 145,000 | | | 5,717,350 |
| | | | | | 31,740,730 |
Financials (16.4%) | | | | | |
Allstate Corp/The | | 17,000 | | | 2,639,250 |
Bank of America Corp | | 185,000 | | | 6,291,850 |
BlackRock Inc | | 13,000 | | | 10,066,030 |
JPMorgan Chase & Co | | 55,000 | | | 9,589,800 |
Morgan Stanley | | 130,000 | | | 11,341,200 |
Old Republic International Corp | | 110,000 | | | 3,084,400 |
Prudential Financial Inc | | 88,000 | | | 9,233,840 |
| | | | | | 52,246,370 |
Health Care (15.3%) | | | | | |
AbbVie Inc | | 142,000 | | | 23,344,800 |
AMGEN INC | | 7,000 | | | 2,199,820 |
Bristol Myers Squibb Co | | 100,000 | | | 4,887,000 |
CVS Health Corp | | 35,000 | | | 2,602,950 |
Merck & Co Inc | | 77,000 | | | 9,300,060 |
Pfizer Inc | | 230,000 | | | 6,228,400 |
| | | | | | 48,563,030 |
Industrials (3.2%) | | | | | |
Illinois Tool Works Inc | | 14,000 | | | 3,652,600 |
Lockheed Martin Corp | | 7,000 | | | 3,005,870 |
United Parcel Service Inc | | 24,000 | | | 3,405,600 |
| | | | | | 10,064,070 |
Information Technology (16.4%) | | | | | |
Broadcom Inc | | 21,000 | | | 24,780,000 |
International Business Machines Corp | | 22,000 | | | 4,040,520 |
QUALCOMM Inc | | 78,000 | | | 11,583,780 |
Skyworks Solutions Inc | | 40,000 | | | 4,178,400 |
Texas Instruments Inc | | 47,000 | | | 7,525,640 |
| | | | | | 52,108,340 |
| | | | | | |
Materials (1.0%) | | | | | |
Air Products & Chemicals Inc | | 12,000 | | | 3,068,520 |
| | | | | | |
Utilities (13.5%) | | | | | |
AES Corp/The | | 175,000 | | | 2,919,000 |
American Electric Power Co Inc | | 154,000 | | | 12,033,560 |
Entergy Corp | | 85,000 | | | 8,479,600 |
NextEra Energy Inc | | 218,000 | | | 12,781,340 |
WEC Energy Group Inc | | 84,000 | | | 6,783,840 |
| | | | | | 42,997,340 |
| | | | | | |
TOTAL INVESTMENTS (Cost $282,097,575) | | | | $ | 312,891,320 |
| | | | | | |
OTHER ASSETS LESS LIABILITIES (1.5%) | | | | $ | 4,783,247 |
| | | | | | |
NET ASSETS (100.0%) | | | | $ | 317,674,567 |
| | | | | | |
PLC - Public Limited Company |
ADR - American Depositary Receipt |
|
|
The accompanying notes are an integral part of these financial statements. |
INTEGRITY DIVIDEND SUMMIT FUND
PORTFOLIO MARKET SECTORS January 31, 2024 (unaudited)
Materials | 15.5% |
Energy | 16.7% |
Financials | 14.2% |
Consumer Staples | 15.5% |
Cash Equivalents and Other | 8.0% |
Health Care | 8.9% |
Information Technology | 4.4% |
Utilities | 7.8% |
Communication Services | 6.4% |
Consumer Discretionary | 2.6% |
| 100.0% |
Market sectors are breakdowns of the Fund’s portfolio holdings into specific investment classes.
These percentages are based on net assets.
SCHEDULE OF INVESTMENTS January 31, 2024 (unaudited)
| | | | | | Fair |
| | | Shares | | | Value |
COMMON STOCKS (92.0%) | | | | | |
| | | | | | |
Communication Services (6.4%) | | | | | |
Verizon Communications Inc | | 1,300 | | $ | 55,055 |
| | | | | | |
Consumer Discretionary (2.6%) | | | | | |
Best Buy Co Inc | | 200 | | | 14,498 |
Whirlpool Corp | | 70 | | | 7,666 |
| | | | | | 22,164 |
Consumer Staples (15.5%) | | | | | |
Altria Group Inc | | 1,600 | | | 64,192 |
British American Tobacco PLC ADR | | 800 | | | 23,680 |
Philip Morris International Inc | | 330 | | | 29,981 |
Walgreens Boots Alliance Inc | | 700 | | | 15,799 |
| | | | | | 133,652 |
Energy (16.7%) | | | | | |
Diamondback Energy Inc | | 220 | | | 33,823 |
Enbridge Inc | | 1,000 | | | 35,500 |
Oasis Petroleum Inc | | 350 | | | 53,816 |
Pembina Pipeline Corp | | 600 | | | 20,658 |
| | | | | | 143,797 |
Financials (14.2%) | | | | | |
Morgan Stanley | | 150 | | | 13,086.00 |
PNC Financial Services Group Inc/The | | 200 | | | 30,242.00 |
Prudential Financial Inc | | 330 | | | 34,627.00 |
Regions Financial Corp | | 1,300 | | | 24,271.00 |
T Rowe Price Group Inc | | 90 | | | 9,760.00 |
US Bancorp | | 240 | | | 9,970.00 |
| | | | | | 121,956 |
Health Care (8.9%) | | | | | |
AbbVie Inc | | 250 | | | 41,100 |
Pfizer Inc | | 1,300 | | | 35,204 |
| | | | | | 76,304 |
Information Technology (4.4%) | | | | | |
Broadcom Inc | | 10 | | | 11,800 |
International Business Machines Corp | | 100 | | | 18,366 |
Seagate Technology PLC | | 90 | | | 7,711 |
| | | | | | 37,877 |
Materials (15.5%) | | | | | |
BHP Group Ltd ADR | | 580 | | | 35,508 |
Dow Inc | | 400 | | | 21,440 |
LyondellBasell Industries NV | | 110 | | | 10,353 |
Rio Tinto PLC ADR | | 350 | | | 24,244 |
Sociedad Quimica y Minera de Chile SA ADR | | 300 | | | 12,621 |
Southern Copper Corp | | 360 | | | 29,556 |
| | | | | | 133,722 |
Utilities (7.8%) | | | | | |
Dominion Resources Inc/VA | | 500 | | | 22,860 |
Duke Energy Corp | | 150 | | | 14,375 |
Entergy Corp | | 300 | | | 29,928 |
| | | | | | 67,163 |
| | | | | | |
TOTAL COMMON STOCKS (COST: $783,907) | | | | $ | 791,690 |
| | | | | | |
OTHER ASSETS LESS LIABILITIES (8.0%) | | | | $ | 68,626 |
| | | | | | |
NET ASSETS (100.0%) | | | | $ | 860,316 |
| | | | | | |
PLC - Public Limited Company |
ADR - American Depositary Receipt |
|
|
The accompanying notes are an integral part of these financial statements. |
INTEGRITY GROWTH & INCOME FUND
PORTFOLIO MARKET SECTORS January 31, 2024 (unaudited)
Information Technology | 39.5% |
Industrials | 10.8% |
Consumer Discretionary | 9.7% |
Financials | 10.1% |
Cash Equivalents and Other | 11.3% |
Health Care | 7.0% |
Consumer Staples | 3.9% |
Materials | 2.2% |
Communication Services | 1.3% |
Utilities | 3.3% |
Energy | 0.9% |
| 100.0% |
Market sectors are breakdowns of the Fund’s portfolio holdings into specific investment classes.
These percentages are based on net assets.
SCHEDULE OF INVESTMENTS January 31, 2024 (unaudited)
| | | | | | Fair |
| | | Shares | | | Value |
COMMON STOCKS (88.7%) | | | | | |
| | | | | | |
Communication Services (1.3%) | | | | | |
AT&T Inc | | 65,000 | | $ | 1,149,850 |
| | | | | | |
Consumer Discretionary (9.7%) | | | | | |
Home Depot Inc/The | | 6,000 | | | 2,117,760 |
Lowe’s Cos Inc | | 10,000 | | | 2,128,400 |
Starbucks Corp | | 22,000 | | | 2,046,660 |
Target Corp | | 18,000 | | | 2,503,440 |
| | | | | | 8,796,260 |
Consumer Staples (3.9%) | | | | | |
Kimberly Clark Corp | | 14,000 | | | 1,693,580 |
PepsiCo Inc | | 11,000 | | | 1,853,830 |
| | | | | | 3,547,410 |
Energy (0.9%) | | | | | |
Kinder Morgan Inc/DE | | 50,000 | | | 846,000 |
| | | | | | |
Financials (10.1%) | | | | | |
Bank of America Corp | | 30,000 | | | 1,020,300 |
PNC Financial Services Group Inc/The | | 10,000 | | | 1,512,100 |
BlackRock Inc | | 3,000 | | | 2,322,930 |
JPMorgan Chase & Co | | 12,000 | | | 2,092,320 |
S&P Global Inc | | 5,000 | | | 2,241,750 |
| | | | | | 9,189,400 |
Health Care (7.0%) | | | | | |
Thermo Fisher Scientific Inc | | 5,000 | | | 2,694,900 |
*Edwards Lifesciences Corp | | 20,000 | | | 1,569,400 |
UnitedHealth Group Inc | | 4,000 | | | 2,046,960 |
| | | | | | 6,311,260 |
Industrials (10.8%) | | | | | |
Caterpillar Inc | | 4,500 | | | 1,351,395 |
Deere & Co | | 4,000 | | | 1,574,320 |
FedEx Corp | | 7,000 | | | 1,689,030 |
Waste Management Inc | | 13,000 | | | 2,413,190 |
Trane Technologies PLC | | 11,000 | | | 2,772,550 |
| | | | | | 9,800,485 |
Information Technology (39.5%) | | | | | |
*Advanced Micro Devices Inc | | 17,000 | | | 2,850,730 |
Apple Inc | | 20,000 | | | 3,688,000 |
Intuit Inc | | 5,000 | | | 3,156,650 |
KLA Tencor Corp | | 6,000 | | | 3,564,240 |
Lam Research Corp | | 4,000 | | | 3,300,680 |
Microsoft Corp | | 6,000 | | | 2,385,480 |
QUALCOMM Inc | | 20,000 | | | 2,970,200 |
Cisco Systems Inc | | 35,000 | | | 1,756,300 |
Mastercard Inc | | 7,000 | | | 3,144,610 |
NVIDIA Corp | | 8,000 | | | 4,922,160 |
Visa Inc | | 15,000 | | | 4,098,900 |
| | | | | | 35,837,950 |
Materials (2.2%) | | | | | |
Air Products & Chemicals Inc | | 8,000 | | | 2,045,680 |
| | | | | | |
Utilities (3.3%) | | | | | |
Exelon Corp | | 35,000 | | | 1,218,350 |
NextEra Energy Inc | | 30,000 | | | 1,758,900 |
| | | | | | 2,977,250 |
| | | | | | |
TOTAL INVESTMENTS (Cost $44,433,294) | | | | $ | 80,501,545 |
| | | | | | |
OTHER ASSETS LESS LIABILITIES (11.3%) | | | | $ | 10,284,727 |
| | | | | | |
NET ASSETS (100.0%) | | | | $ | 90,786,272 |
| | | | | | |
*Non-income producing |
PLC - Public Limited Company |
|
|
The accompanying notes are an integral part of these financial statements. |
INTEGRITY HIGH INCOME FUND
PORTFOLIO MARKET SECTORS January 31, 2024 (unaudited)
Consumer Discretionary | 24.4% |
Industrials | 14.7% |
Communication Services | 14.8% |
Energy | 12.6% |
Health Care | 9.6% |
Materials | 6.0% |
Information Technology | 5.3% |
Consumer Staples | 5.4% |
Cash Equivalents and Other | 3.0% |
Financials | 2.1% |
Utilities | 1.4% |
Real Estate | 0.7% |
| 100.0% |
Market sectors are breakdowns of the Fund’s portfolio holdings into specific investment classes.
These percentages are based on net assets.
SCHEDULE OF INVESTMENTS January 31, 2024 (unaudited)
| | | Principal | | | Fair |
| | | Amount | | | Value |
CORPORATE BONDS (95.5%) | | | | | |
| | | | | | |
Communication Services (14.4%) | | | | | |
Altice France SA/France - 144A 5.500% 01/15/2028 Callable @ 100.000 09/15/2024 | | 200,000 | | $ | 158,171 |
Arches Buyer Inc - 144A 4.250% 06/01/2028 Callable @ 101.063 12/01/2024 | | 75,000 | | | 67,483 |
Arches Buyer Inc - 144A 6.125% 12/01/2028 Callable @ 101.531 12/01/2024 | | 17,000 | | | 14,620 |
CCO Holdings LLC / CCO Holdings Capital Corp 4.500% 05/01/2032 Callable @ 102.250 05/01/2026 | | 70,000 | | | 58,464 |
CCO Holdings LLC / CCO Holdings Capital Corp - 144A 4.250% 01/15/2034 Callable @ 102.125 01/15/2028 | | 5,000 | | | 3,982 |
* CCO Holdings LLC / CCO Holdings Capital Corp - 144A 4.250% 02/01/2031 Callable @ 102.125 07/01/2025 | 223,000 | | | 189,574 |
CCO Holdings LLC / CCO Holdings Capital Corp - 144A 4.500% 08/15/2030 Callable @ 102.250 02/15/2025 | | 421,000 | | | 365,852 |
CCO Holdings LLC / CCO Holdings Capital Corp - 144A 4.750% 02/01/2032 Callable @ 102.375 02/01/2027 | | 16,000 | | | 13,659 |
CCO Holdings LLC / CCO Holdings Capital Corp - 144A 4.750% 03/01/2030 Callable @ 102.375 09/01/2024 | | 260,000 | | | 230,788 |
CCO Holdings LLC / CCO Holdings Capital Corp - 144A 5.000% 02/01/2028 Callable @ 100.833 08/01/2024 | | 441,000 | | | 416,348 |
CCO Holdings LLC / CCO Holdings Capital Corp - 144A 5.375% 06/01/2029 Callable @ 102.688 06/01/2024 | | 180,000 | | | 168,197 |
Centerfield Media Parent Inc - 144A 6.625% 08/01/2026 Callable @ 101.656 08/01/2024 | | 30,000 | | | 19,194 |
CenturyLink Inc - 144A 4.000% 02/15/2027 Callable @ 101.000 02/15/2024 | | 330,000 | | | 170,517 |
Cinemark USA Inc - 144A 5.250% 07/15/2028 Callable @ 102.625 07/15/2024 | | 45,000 | | | 41,513 |
Cinemark USA Inc - 144A 8.750% 05/01/2025 Callable @ 100.000 05/01/2024 | | 16,000 | | | 16,100 |
Clear Channel Outdoor Holdings Inc - 144A 9.000% 09/15/2028 Callable @ 104.500 09/15/2025 | | 35,000 | | | 36,435 |
CSC Holdings LLC - 144A 5.750% 01/15/2030 Callable @ 102.875 01/15/2025 | | 200,000 | | | 106,000 |
CSC Holdings LLC - 144A 6.500% 02/01/2029 Callable @ 103.250 02/01/2024 | | 400,000 | | | 341,040 |
DIRECTV Holdings LLC / DIRECTV Financing Co Inc - 144A 5.875% 08/15/2027 Callable @ 102.938 08/15/2024 | 252,000 | | | 240,171 |
DISH Network Corp 2.375% 03/15/2024 | | 115,000 | | | 112,344 |
DISH Network Corp 3.375% 08/15/2026 | | 73,000 | | | 42,340 |
* DISH Network Corp - 144A 11.750% 11/15/2027 Callable @ 100.000 05/15/2025 | | 222,000 | | | 231,255 |
(4) Entercom Media Corp - 144A 6.500% 05/01/2027 Callable @ 101.625 05/01/2024 | | 130,000 | | | 4,550 |
FRONTIER COMM HLDGS LLC 5.875% 11/01/2029 Callable @ 102.938 11/01/2024 | | 14,737 | | | 12,506 |
Frontier Communications Corp - 144A 5.000% 05/01/2028 Callable @ 102.500 05/01/2024 | | 195,000 | | | 179,968 |
Frontier Communications Corp - 144A 5.875% 10/15/2027 Callable @ 101.469 10/15/2024 | | 4,000 | | | 3,847 |
Frontier Communications Corp - 144A 6.750% 05/01/2029 Callable @ 103.375 05/01/2024 | | 9,000 | | | 7,965 |
Frontier Communications Holdings LLC - 144A 6.000% 01/15/2030 Callable @ 103.000 10/15/2024 | | 27,000 | | | 22,891 |
Frontier Communications Holdings LLC - 144A 8.750% 05/15/2030 Callable @ 140.375 05/15/2025 | | 49,000 | | | 50,204 |
Gannett Holdings LLC - 144A 6.000% 11/01/2026 Callable @ 101.500 11/01/2024 | | 37,000 | | | 33,393 |
Gray Escrow II Inc - 144A 5.375% 11/15/2031 Callable @ 102.688 11/15/2026 | | 44,000 | | | 34,600 |
Gray Escrow Inc - 144A 7.000% 05/15/2027 Callable @ 101.750 05/15/2024 | | 77,000 | | | 75,267 |
Gray Television Inc - 144A 4.750% 10/15/2030 Callable @ 102.375 10/15/2025 | | 163,000 | | | 128,157 |
iHeartCommunications Inc 6.375% 05/01/2026 Callable @ 100.000 05/01/2024 | | 176,189 | | | 151,328 |
iHeartCommunications Inc 8.375% 05/01/2027 Callable @ 100.000 05/01/2024 | | 169,489 | | | 104,992 |
iHeartCommunications Inc - 144A 5.250% 08/15/2027 Callable @ 100.000 08/15/2024 | | 170,000 | | | 131,872 |
Intelsat SA - 144A 6.500% 03/15/2030 Callable @ 100.000 03/15/2025 | | 300,000 | | | 283,424 |
+ Level 3 Financing Inc - 144A 3.625% 01/15/2029 Callable @ 100.906 01/15/2025 | | 39,000 | | | 19,695 |
+ Level 3 Financing Inc - 144A 4.250% 07/01/2028 Callable @ 101.063 07/01/2024 | | 45,000 | | | 24,075 |
+ Level 3 Financing Inc - 144A 4.625% 09/15/2027 Callable @ 100.000 09/15/2024 | | 100,000 | | | 59,000 |
Live Nation Entertainment Inc - 144A 3.750% 01/15/2028 Callable @ 101.875 01/15/2025 | | 37,000 | | | 34,179 |
Live Nation Entertainment Inc - 144A 4.750% 10/15/2027 Callable @ 101.188 10/15/2024 | | 170,000 | | | 162,618 |
Live Nation Entertainment Inc - 144A 5.625% 03/15/2026 Callable @ 100.000 03/15/2024 | | 70,000 | | | 69,273 |
Live Nation Entertainment Inc - 144A 6.500% 05/15/2027 Callable @ 103.250 05/15/2024 | | 283,000 | | | 285,913 |
Lumen Tech Inc - 144A 4.500% 01/15/2029 Callable @ 101.125 01/15/2025 | | 40,000 | | | 9,400 |
Lumen Tech Inc - 144A 5.125% 12/15/2026 Callable @ 100.000 12/15/2024 | | 247,000 | | | 156,228 |
Lumen Technologies Inc - 144A 5.375% 06/15/2029 Callable @ 102.688 06/15/2024 | | 70,000 | | | 16,800 |
Mav Acquisition Corp - 144A 5.750% 08/01/2028 Callable @ 102.875 08/01/2024 | | 80,000 | | | 75,557 |
Midas OpCo Holdings LLC - 144A 5.625% 08/15/2029 Callable @ 102.813 08/15/2024 | | 103,000 | | | 94,760 |
News Corp - 144A 3.875% 05/15/2029 Callable @ 100.000 05/15/2024 | | 92,000 | | | 84,571 |
News Corp - 144A 5.125% 02/15/2032 Callable @ 102.563 02/15/2027 | | 40,000 | | | 37,591 |
Nexstar Broadcasting Inc - 144A 4.750% 11/01/2028 Callable @ 101.188 11/01/2024 | | 251,000 | | | 229,903 |
Nexstar Escrow Inc - 144A 5.625% 07/15/2027 Callable @ 101.406 07/15/2024 | | 269,000 | | | 262,003 |
Outfront Media Capital LLC / Outfront Media Capital Corp - 144A 4.250% 01/15/2029 Callable @ 101.063 01/15/2025 | 5,000 | | | 4,438 |
Outfront Media Capital LLC / Outfront Media Capital Corp - 144A 4.625% 03/15/2030 Callable @ 102.313 03/15/2025 | 20,000 | | | 17,657 |
Outfront Media Capital LLC / Outfront Media Capital Corp - 144A 5.000% 08/15/2027 Callable @ 100.000 08/15/2024 | 20,000 | | | 19,144 |
Outfront Media Capital LLC / Outfront Media Capital Corp - 144A 7.375% 02/15/2031 Callable @ 103.688 11/15/2026 | 32,000 | | | 33,312 |
SBA Communications Corp 3.125% 02/01/2029 Callable @ 101.563 02/01/2024 | | 58,000 | | | 51,693 |
Scripps Escrow Inc - 144A 5.875% 07/15/2027 Callable @ 100.469 07/15/2024 | | 50,000 | | | 45,064 |
Sinclair Television Group Inc - 144A 4.125% 12/01/2030 Callable @ 102.063 12/01/2025 | | 65,000 | | | 50,019 |
Sirius XM Radio Inc - 144A 3.875% 09/01/2031 Callable @ 101.938 09/01/2026 | | 70,000 | | | 58,359 |
Sirius XM Radio Inc - 144A 4.000% 07/15/2028 Callable @ 102.000 07/15/2024 | | 141,000 | | | 128,143 |
Sirius XM Radio Inc - 144A 5.500% 07/01/2029 Callable @ 102.750 07/01/2024 | | 229,000 | | | 218,338 |
TEGNA Inc 5.000% 09/15/2029 Callable @ 102.500 09/15/2024 | | 40,000 | | | 37,066 |
Telecom Italia Capital SA 6.375% 11/15/2033 | | 12,000 | | | 11,632 |
United States Cellular Corp 6.700% 12/15/2033 | | 105,000 | | | 108,150 |
Univision Communications Inc - 144A 6.625% 06/01/2027 Callable @ 101.656 06/01/2024 | | 15,000 | | | 14,840 |
Univision Communications Inc - 144A 7.375% 06/30/2030 Callable @ 103.688 06/30/2025 | | 111,000 | | | 108,974 |
Univision Communications Inc - 144A 8.000% 08/15/2028 Callable @ 104.000 08/15/2025 | | 61,000 | | | 62,042 |
| | | | | $ | 6,859,448 |
Consumer Discretionary (23.5%) | | | | | |
Acushnet Co - 144A 7.375% 10/15/2028 Callable @ 103.688 10/15/2025 | | 19,000 | | | 19,710 |
Adient Global Holdings Ltd - 144A 7.000% 04/15/2028 Callable @ 103.500 04/15/2025 | | 3,000 | | | 3,067 |
Adient Global Holdings Ltd - 144A 8.250% 04/15/2031 Callable @ 104.125 04/16/2026 | | 77,000 | | | 81,329 |
Allied Universal Holdco LLC / Allied Universal Finance Corp - 144A 6.625% 07/15/2026 Callable @ 100.000 07/15/2024 | 51,000 | | | 50,238 |
Allison Transmission Inc - 144A 5.875% 06/01/2029 Callable @ 102.938 06/01/2024 | | 109,000 | | | 108,325 |
American Axle & Manufacturing Inc 5.000% 10/01/2029 Callable @ 102.500 10/01/2024 | | 16,000 | | | 14,079 |
American Axle & Manufacturing Inc 6.250% 03/15/2026 | | 12,000 | | | 11,779 |
American Axle & Manufacturing Inc 6.500% 04/01/2027 Callable @ 101.083 04/01/2024 | | 83,000 | | | 82,739 |
American Axle & Manufacturing Inc 6.875% 07/01/2028 | | 167,000 | | | 162,420 |
Aramark Services Inc - 144A 5.000% 02/01/2028 Callable @ 101.666 02/01/2024 | | 140,000 | | | 135,300 |
Asbury Automotive Group Inc 4.500% 03/01/2028 Callable @ 101.250 03/01/2024 | | 77,000 | | | 72,392 |
Asbury Automotive Group Inc 4.750% 03/01/2030 Callable @ 102.375 03/01/2025 | | 11,000 | | | 10,189 |
Asbury Automotive Group Inc - 144A 4.625% 11/15/2029 Callable @ 102.313 11/15/2024 | | 163,000 | | | 150,427 |
Bath & Body Works Inc - 144A 6.625% 10/01/2030 Callable @ 103.313 10/01/2025 | | 30,000 | | | 30,398 |
Boyne USA Inc - 144A 4.750% 05/15/2029 Callable @ 102.375 05/15/2024 | | 86,000 | | | 78,419 |
Caesars Entertainment Inc - 144A 4.625% 10/15/2029 Callable @ 102.313 10/15/2024 | | 84,000 | | | 76,686 |
Caesars Entertainment Inc - 144A 6.250% 07/01/2025 Callable @ 100.000 07/01/2024 | | 50,000 | | | 50,243 |
Caesars Entertainment Inc - 144A 6.500% 02/15/2032 Callable @ 103.250 02/15/2027 | | 54,000 | | | 54,639 |
Caesars Entertainment Inc - 144A 8.125% 07/01/2027 Callable @ 102.031 07/01/2024 | | 130,000 | | | 133,284 |
Carnival Corp - 144A 4.000% 08/01/2028 Callable @ 100.000 05/01/2028 | | 64,000 | | | 59,301 |
Carnival Corp - 144A 5.750% 03/01/2027 Callable @ 100.000 12/01/2026 | | 76,000 | | | 74,972 |
Carnival Corp - 144A 6.000% 05/01/2029 Callable @ 103.000 11/01/2024 | | 29,000 | | | 28,097 |
Carnival Corp - 144A 7.000% 08/15/2029 Callable @ 103.500 08/15/2026 | | 29,000 | | | 30,159 |
Carnival Corp - 144A 9.875% 08/01/2027 Callable @ 104.938 02/01/2024 | | 45,000 | | | 47,222 |
Carnival Holdings Bermuda Ltd - 144A 10.375% 05/01/2028 Callable @ 105.188 05/01/2025 | | 59,000 | | | 64,680 |
CCO Holdings LLC / CCO Holdings Capital Corp - 144A 5.125% 05/01/2027 | | 354,000 | | | 341,255 |
CD&R Smokey Buyer Inc - 144A 6.750% 07/15/2025 Callable @ 100.000 07/15/2024 | | 126,000 | | | 124,336 |
Cedar Fair LP 5.250% 07/15/2029 Callable @ 102.625 07/15/2024 | | 40,000 | | | 38,238 |
Cedar Fair LP / Canada’s Wonderland Co / Magnum Management Corp / Millennium Op 5.375% 04/15/2027 Callable @ 100.896 04/15/2024 | 40,000 | | | 39,596 |
Cedar Fair LP / Canada’s Wonderland Co / Magnum Management Corp / Millennium Op - 144A 5.500% 05/01/2025 | 128,000 | | | 127,752 |
Clarios Global LP - 144A 6.750% 05/15/2025 | | 60,000 | | | 59,973 |
Clarios Global LP / Clarios US Finance Co - 144A 6.750% 05/15/2028 Callable @ 103.375 05/15/2025 | | 57,000 | | | 57,756 |
* Panther BF Aggregator 2 - 144A 8.500% 05/15/2027 Callable @ 100.000 05/15/2024 | | 144,000 | | | 144,558 |
Clear Channel Outdoor Holdings Inc - 144A 7.500% 06/01/2029 Callable @ 103.750 06/01/2024 | | 93,000 | | | 77,244 |
Clear Channel Outdoor Holdings Inc - 144A 7.750% 04/15/2028 Callable @ 103.875 04/15/2024 | | 189,000 | | | 164,062 |
Clear Channel Worldwide Holdings Inc - 144A 5.125% 08/15/2027 Callable @ 100.000 08/15/2024 | | 216,000 | | | 203,426 |
(5) Cooper- 144A Standard Automotive Inc - 5.625%(10.625%) 05/15/2027 Callable @ 102.810 01/31/2025 | | 180,842 | | | 134,433 |
(5) Cooper- 144A Standard Automotive Inc - 13.500% (4.5%) 03/31/2027 Callable @ 104.500 01/31/2025 | | 294,098 | | | 314,145 |
Dana Inc 5.625% 06/15/2028 Callable @ 101.406 06/15/2024 | | 67,000 | | | 64,831 |
* DISH DBS Corp 5.875% 11/15/2024 | | 536,000 | | | 497,612 |
DISH DBS Corp 7.750% 07/01/2026 | | 193,000 | | | 113,720 |
DISH DBS Corp - 144A 5.250% 12/01/2026 Callable @ 100.000 06/01/2026 | | 345,000 | | | 272,107 |
DISH DBS Corp - 144A 5.750% 12/01/2028 Callable @ 100.000 12/01/2027 | | 65,000 | | | 43,948 |
Dornoch Debt Merger Sub Inc - 144A 6.625% 10/15/2029 Callable @ 103.313 10/15/2024 | | 110,000 | | | 100,469 |
* Ford Motor Credit Co LLC 3.375% 11/13/2025 Callable @ 100.000 10/13/2025 | | 200,000 | | | 191,941 |
* Ford Motor Credit Co LLC 4.687% 06/09/2025 Callable @ 100.000 04/09/2025 | | 670,000 | | | 660,452 |
* Ford Motor Credit Co LLC 5.125% 06/16/2025 Callable @ 100.000 05/16/2025 | | 600,000 | | | 594,858 |
Gap Inc/The - 144A 3.625% 10/01/2029 Callable @ 101.813 10/01/2024 | | 103,000 | | | 88,220 |
Garda World Security Corp - 144A 4.625% 02/15/2027 Callable @ 101.156 02/15/2024 | | 30,000 | | | 28,349 |
Garda World Security Corp - 144A 6.000% 06/01/2029 Callable @ 103.000 06/01/2024 | | 59,000 | | | 51,814 |
Garda World Security Corp - 144A 9.500% 11/01/2027 Callable @ 100.000 11/01/2024 | | 85,000 | | | 85,221 |
GLP Capital LP / GLP Financing II Inc 5.250% 06/01/2025 | | 17,000 | | | 16,930 |
Goodyear Tire & Rubber Co/The 5.000% 07/15/2029 Callable @ 100.000 04/15/2029 | | 121,000 | | | 113,180 |
Goodyear Tire & Rubber Co/The 5.250% 04/30/2031 Callable @ 100.000 01/30/2031 | | 31,000 | | | 28,212 |
Goodyear Tire & Rubber Co/The 5.250% 07/15/2031 Callable @ 100.000 04/15/2031 | | 70,000 | | | 63,541 |
Hanesbrands Inc - 144A 4.875% 05/15/2026 | | 35,000 | | | 33,774 |
Hanesbrands Inc - 144A 9.000% 02/15/2031 Callable @ 104.500 02/15/2026 | | 25,000 | | | 25,205 |
Hilton Domestic Operating Co Inc - 144A 5.750% 05/01/2028 | | 38,000 | | | 38,047 |
Hilton Worldwide Finance LLC / Hilton Worldwide Finance Corp 4.875% 04/01/2027 Callable @ 100.609 04/01/2024 | 73,000 | | | 71,783 |
Hughes Satellite Systems Corp 6.625% 08/01/2026 | | 20,000 | | | 13,775 |
L Brands Inc 6.750% 07/01/2036 | | 35,000 | | | 34,523 |
Marriott Ownership Resorts Inc - 144A 4.500% 06/15/2029 Callable @ 102.250 06/15/2024 | | 21,000 | | | 18,879 |
Mattel Inc - 144A 5.875% 12/15/2027 Callable @ 101.469 12/15/2024 | | 68,000 | | | 68,240 |
MGM Growth Properties Operating Partnership LP / MGP Finance Co- 144A Issuer Inc - 3.875% 02/15/2029 | | 40,000 | | | 36,829 |
MGM Growth Properties Operating Partnership LP / MGP Finance Co- 144A Issuer Inc - 4.500% 01/15/2028 Callable @ 100.000 10/15/2027 | 10,000 | | | 9,544 |
MGM Growth Properties Operating Partnership LP / MGP Finance Co- 144A Issuer Inc - 4.500% 09/01/2026 Callable @ 100.000 06/01/2026 | 15,000 | | | 14,592 |
MGM Growth Properties Operating Partnership LP / MGP Finance Co- 144A Issuer Inc - 4.625% 06/15/2025 Callable @ 100.000 03/15/2025 | 42,000 | | | 41,367 |
MGM Growth Properties Operating Partnership LP / MGP Finance Co- 144A Issuer Inc - 5.625% 05/01/2024 Callable @ 100.000 02/01/2024 | 30,000 | | | 29,965 |
MGM Resorts International 5.500% 04/15/2027 Callable @ 100.000 01/15/2027 | | 85,000 | | | 84,097 |
* MGM Resorts International 5.750% 06/15/2025 Callable @ 100.000 03/15/2025 | | 195,000 | | | 195,113 |
MGM Resorts International 6.750% 05/01/2025 Callable @ 100.000 05/01/2024 | | 25,000 | | | 25,062 |
Newell Brands Inc 4.200% 04/01/2026 Callable @ 100.000 01/01/2026 | | 117,000 | | | 114,077 |
Newell Brands Inc 5.625% 04/01/2036 Callable @ 100.000 10/01/2035 | | 65,000 | | | 57,979 |
Newell Brands Inc 6.375% 09/15/2027 Callable @ 100.000 06/15/2027 | | 35,000 | | | 34,385 |
Newell Brands Inc 6.625% 09/15/2029 Callable @ 100.000 06/15/2029 | | 25,000 | | | 24,314 |
NMG Holding Co Inc / Neiman Marcus Group LLC - 144A 7.125% 04/01/2026 Callable @ 101.781 04/01/2024 | 180,000 | | | 175,497 |
Nordstrom Inc 4.375% 04/01/2030 Callable @ 100.000 01/01/2030 | | 2,000 | | | 1,735 |
Panther BF Aggregator 2 LP / Panther Finance Co Inc - 144A 6.250% 05/15/2026 Callable @ 100.000 05/15/2024 | 132,000 | | | 131,761 |
* PetSmart Inc / PetSmart Finance Corp - 144A 4.750% 02/15/2028 Callable @ 102.375 02/15/2024 | | 250,000 | | | 233,559 |
PM General Purchaser LLC - 144A 9.500% 10/01/2028 Callable @ 102.375 10/01/2024 | | 72,000 | | | 72,816 |
Realogy Group LLC / Realogy Co- 144A Issuer Corp - 5.250% 04/15/2030 Callable @ 102.625 04/15/2025 | | 112,000 | | | 78,732 |
Royal Caribbean Cruises Ltd - 144A 7.250% 01/15/2030 Callable @ 103.625 12/15/2025 | | 47,000 | | | 48,984 |
Royal Caribbean Cruises Ltd - 144A 8.250% 01/15/2029 Callable @ 104.125 04/01/2025 | | 63,000 | | | 66,988 |
Royal Caribbean Cruises Ltd - 144A 9.250% 01/15/2029 Callable @ 104.625 04/01/2025 | | 63,000 | | | 67,750 |
Royal Caribbean Cruises Ltd - 144A 11.625% 08/15/2027 Callable @ 105.813 08/15/2024 | | 135,000 | | | 146,933 |
* Ryman Hospitality Properties Inc 4.750% 10/15/2027 Callable @ 101.188 10/15/2024 | | 175,000 | | | 167,997 |
Service Corp International/US 3.375% 08/15/2030 Callable @ 101.688 08/15/2025 | | 72,000 | | | 62,784 |
Service Corp International/US 4.000% 05/15/2031 Callable @ 102.000 05/15/2026 | | 19,000 | | | 16,912 |
Service Corp International/US 5.125% 06/01/2029 Callable @ 102.563 06/01/2024 | | 2,000 | | | 1,953 |
(5) Shutterfly Finance LLC - 144A 8.500% (4.2500%) 10/01/2027 Callable @ 100.000 06/09/2025 | | 174,472 | | | 128,237 |
Shutterfly Finance LLC - 144A 9.750% 10/01/2027 Callable @ 100.000 06/09/2025 | | 20,730 | | | 20,523 |
Sirius XM Radio Inc - 144A 5.000% 08/01/2027 Callable @ 100.833 08/01/2024 | | 161,000 | | | 154,721 |
Six Flags Entertainment Corp - 144A 5.500% 04/15/2027 Callable @ 100.917 04/15/2024 | | 35,000 | | | 34,889 |
Six Flags Entertainment Corp - 144A 7.250% 05/15/2031 Callable @ 103.625 05/15/2026 | | 15,000 | | | 15,300 |
Six Flags Theme Parks Inc - 144A 7.000% 07/01/2025 Callable @ 100.000 07/01/2024 | | 63,000 | | | 63,306 |
Sonic Automotive Inc - 144A 4.625% 11/15/2029 Callable @ 102.313 11/15/2024 | | 69,000 | | | 62,425 |
Staples Inc - 144A 7.500% 04/15/2026 Callable @ 100.000 04/15/2024 | | 240,000 | | | 224,651 |
Staples Inc - 144A 10.750% 04/15/2027 Callable @ 100.000 04/15/2024 | | 100,000 | | | 77,500 |
Station Casinos LLC - 144A 4.500% 02/15/2028 Callable @ 101.125 02/15/2024 | | 145,000 | | | 136,288 |
Superior Plus LP / Superior General Partner Inc - 144A 4.500% 03/15/2029 Callable @ 102.250 03/15/2024 | | 56,000 | | | 50,971 |
Tempur Sealy International Inc - 144A 3.875% 10/15/2031 Callable @ 101.938 10/15/2026 | | 34,000 | | | 28,720 |
Tempur Sealy International Inc - 144A 4.000% 04/15/2029 Callable @ 102.000 04/15/2024 | | 149,000 | | | 134,460 |
US Foods Inc - 144A 4.625% 06/01/2030 Callable @ 102.313 06/01/2025 | | 68,000 | | | 63,317 |
US Foods Inc - 144A 4.750% 02/15/2029 Callable @ 102.375 02/15/2024 | | 15,000 | | | 14,222 |
Vail Resorts Inc - 144A 6.250% 05/15/2025 | | 104,000 | | | 104,150 |
VICI Properties LP / VICI Note Co Inc - 144A 3.750% 02/15/2027 | | 90,000 | | | 85,149 |
VICI Properties LP / VICI Note Co Inc - 144A 4.250% 12/01/2026 Callable @ 100.000 12/01/2024 | | 113,000 | | | 108,943 |
VICI Properties LP / VICI Note Co Inc - 144A 4.625% 12/01/2029 Callable @ 102.313 12/01/2024 | | 118,000 | | | 111,316 |
Videotron Ltd - 144A 5.375% 06/15/2024 Callable @ 100.000 03/15/2024 | | 45,000 | | | 44,865 |
Videotron Ltd / Videotron Ltee - 144A 5.125% 04/15/2027 Callable @ 100.854 04/15/2024 | | 100,000 | | | 98,500 |
Vista Outdoor Inc - 144A 4.500% 03/15/2029 Callable @ 102.250 03/15/2024 | | 144,000 | | | 140,400 |
Wand NewCo 3 Inc - 144A 7.625% 01/30/2032 Callable @ 103.813 01/30/2027 | | 47,000 | | | 48,575 |
Weekley Homes LLC / Weekley Finance Corp - 144A 4.875% 09/15/2028 Callable @ 101.625 09/15/2024 | | 49,000 | | | 45,562 |
William Carter Co/The - 144A 5.625% 03/15/2027 Callable @ 100.000 03/15/2024 | | 85,000 | | | 83,423 |
Wynn Las Vegas LLC / Wynn Las Vegas Capital Corp - 144A 5.250% 05/15/2027 Callable @ 100.000 02/15/2027 | 25,000 | | | 24,432 |
Wynn Las Vegas LLC / Wynn Las Vegas Capital Corp - 144A 5.500% 03/01/2025 Callable @ 100.000 12/01/2024 | 162,000 | | | 161,884 |
Wynn Resorts Finance LLC / Wynn Resorts Capital Corp - 144A 5.125% 10/01/2029 | | 213,000 | | | 201,310 |
| | | | | $ | 11,186,263 |
Consumer Staples (5.4%) | | | | | |
Albertsons Cos Inc / Safeway Inc / New Albertsons LP / Albertsons LLC - 144A 3.250% 03/15/2026 Callable @ 100.000 09/15/2024 | 33,000 | | | 31,343 |
Albertsons Cos Inc / Safeway Inc / New Albertsons LP / Albertsons LLC - 144A 3.500% 03/15/2029 Callable @ 100.875 09/15/2024 | 122,000 | | | 110,227 |
Albertsons Cos Inc / Safeway Inc / New Albertsons LP / Albertsons LLC - 144A 4.625% 01/15/2027 Callable @ 101.156 01/15/2025 | 275,000 | | | 267,150 |
Albertsons Cos Inc / Safeway Inc / New Albertsons LP / Albertsons LLC - 144A 4.875% 02/15/2030 | | 30,000 | | | 28,735 |
Albertsons Cos Inc / Safeway Inc / New Albertsons LP / Albertsons LLC - 144A 5.875% 02/15/2028 Callable @ 101.469 08/15/2024 | 81,000 | | | 80,811 |
Central Garden & Pet Co 4.125% 10/15/2030 Callable @ 102.063 10/15/2025 | | 49,000 | | | 43,937 |
Central Garden & Pet Co 5.125% 02/01/2028 Callable @ 100.854 01/01/2025 | | 183,000 | | | 177,108 |
Central Garden & Pet Co - 144A 4.125% 04/30/2031 Callable @ 102.063 04/30/2026 | | 8,000 | | | 7,069 |
Coty Inc - 144A 5.000% 04/15/2026 Callable @ 101.250 04/15/2024 | | 47,000 | | | 46,090 |
Coty Inc - 144A 6.500% 04/15/2026 Callable @ 100.000 04/15/2024 | | 3,000 | | | 2,996 |
Edgewell Personal Care Co - 144A 4.125% 04/01/2029 Callable @ 102.063 04/01/2024 | | 25,000 | | | 22,719 |
Edgewell Personal Care Co - 144A 5.500% 06/01/2028 Callable @ 101.375 06/01/2024 | | 135,000 | | | 132,042 |
Energizer Holdings Inc - 144A 4.375% 03/31/2029 Callable @ 101.094 09/30/2024 | | 83,000 | | | 75,132 |
Energizer Holdings Inc - 144A 4.750% 06/15/2028 Callable @ 101.188 06/15/2024 | | 249,000 | | | 231,695 |
Energizer Holdings Inc - 144A 6.500% 12/31/2027 Callable @ 103.250 08/31/2024 | | 37,000 | | | 36,832 |
HFC Prestige Products Inc/HFC Prestige International US LLC - 144A 4.750% 01/15/2029 Callable @ 102.375 01/15/2025 | 10,000 | | | 9,545 |
+^(3) ESC CB11A High Ridge DTD 3/22/2017 8.875% 3/15/2025 | | 60,000 | | | 0 |
KeHE Distributors LLC / KeHE Finance Corp / NextWave Distribution Inc - 144A 9.000% 02/15/2029 Callable @ 104.500 02/15/2026 | 27,000 | | | 27,277 |
Lamb Weston Holdings Inc - 144A 4.125% 01/31/2030 Callable @ 102.063 01/31/2025 | | 84,000 | | | 76,653 |
Performance Food Group Inc - 144A 4.250% 08/01/2029 Callable @ 102.125 08/01/2024 | | 85,000 | | | 77,908 |
Performance Food Group Inc - 144A 5.500% 10/15/2027 Callable @ 100.000 10/15/2024 | | 95,000 | | | 93,258 |
Performance Food Group Inc - 144A 6.875% 05/01/2025 | | 90,000 | | | 90,229 |
Post Holdings Inc - 144A 4.625% 04/15/2030 Callable @ 102.313 04/15/2025 | | 70,000 | | | 64,381 |
Post Holdings Inc - 144A 5.500% 12/15/2029 Callable @ 102.750 12/15/2024 | | 39,000 | | | 37,699 |
Post Holdings Inc - 144A 5.625% 01/15/2028 Callable @ 100.938 12/01/2024 | | 122,000 | | | 120,055 |
Post Holdings Inc - 144A 5.750% 03/01/2027 Callable @ 100.958 03/01/2024 | | 45,000 | | | 44,822 |
Reynolds Group Issuer Inc / Reynolds Group Issuer LLC / Reynolds Group Issuer Lu - 144A 4.000% 10/15/2027 Callable @ 101.000 10/15/2024 | 173,000 | | | 161,322 |
(4) Rite Aid Corp - 144A 7.500% 07/01/2025 Callable @ 100.000 07/01/2024 | | 104,000 | | | 79,300 |
*(4) Rite Aid Corp - 144A 8.000% 11/15/2026 Callable @ 100.000 01/15/2025 | | 254,000 | | | 189,982 |
Spectrum Brands Inc - 144A 3.875% 03/15/2031 Callable @ 101.938 03/15/2026 | | 19,000 | | | 17,608 |
Spectrum Brands Inc - 144A 5.000% 10/01/2029 Callable @ 102.500 10/01/2024 | | 138,000 | | | 132,480 |
US Foods Inc - 144A 6.875% 09/15/2028 Callable @ 103.438 09/15/2025 | | 24,000 | | | 24,638 |
| | | | | $ | 2,541,043 |
Energy (12.6%) | | | | | |
Antero Midstream Partners LP - 144A 5.375% 06/15/2029 Callable @ 102.688 06/15/2024 | | 91,000 | | | 87,464 |
Antero Midstream Partners LP / Antero Midstream Finance Corp - 144A 5.750% 01/15/2028 Callable @ 100.958 01/15/2025 | 90,000 | | | 88,369 |
Antero Midstream Partners LP / Antero Midstream Finance Corp - 144A 5.750% 03/01/2027 Callable @ 100.958 03/01/2024 | 5,000 | | | 4,962 |
Antero Midstream Partners LP / Antero Midstream Finance Corp - 144A 7.875% 05/15/2026 Callable @ 101.969 05/15/2024 | 78,000 | | | 79,969 |
Antero Resources Corp - 144A 5.375% 03/01/2030 Callable @ 102.688 03/01/2025 | | 23,000 | | | 21,930 |
Antero Resources Corp - 144A 7.625% 02/01/2029 Callable @ 103.813 02/01/2024 | | 46,000 | | | 47,376 |
Antero Resources Corp - 144A 8.375% 07/15/2026 Callable @ 102.094 01/15/2025 | | 79,000 | | | 81,975 |
Archrock Partners LP / Archrock Partners Finance Corp - 144A 6.875% 04/01/2027 Callable @ 101.719 04/01/2024 | 75,000 | | | 75,188 |
Ascent Resources Utica Holdings LLC / ARU Finance Corp - 144A 7.000% 11/01/2026 Callable @ 100.000 11/01/2024 | 43,000 | | | 42,968 |
Ascent Resources Utica Holdings LLC / ARU Finance Corp - 144A 8.250% 12/31/2028 Callable @ 104.125 02/01/2024 | 15,000 | | | 15,348 |
Baytex Energy Corp - 144A 8.500% 04/30/2030 Callable @ 104.250 04/30/2026 | | 100,000 | | | 103,834 |
Baytex Energy Corp - 144A 8.750% 04/01/2027 Callable @ 104.375 04/01/2024 | | 70,000 | | | 72,847 |
Blue Racer Midstream LLC / Blue Racer Finance Corp - 144A 6.625% 07/15/2026 Callable @ 100.000 07/15/2024 | 25,000 | | | 24,874 |
Blue Racer Midstream LLC / Blue Racer Finance Corp - 144A 7.625% 12/15/2025 Callable @ 100.000 12/15/2024 | 58,000 | | | 58,545 |
Buckeye Partners LP 3.950% 12/01/2026 Callable @ 100.000 09/01/2026 | | 40,000 | | | 37,950 |
Buckeye Partners LP 4.125% 12/01/2027 Callable @ 100.000 09/01/2027 | | 15,000 | | | 14,138 |
Buckeye Partners LP - 144A 4.125% 03/01/2025 Callable @ 100.000 02/01/2025 | | 115,000 | | | 112,308 |
Buckeye Partners LP - 144A 4.500% 03/01/2028 Callable @ 100.000 12/01/2027 | | 40,000 | | | 37,561 |
California Resources Corp - 144A 7.125% 02/01/2026 Callable @ 101.781 02/01/2024 | | 103,000 | | | 104,186 |
(3) ESC CB Chesapeake Energy Corp DTD 10/5/2016 5.500% 9/15/2026 | | 15,000 | | | 263 |
Chesapeake Escrow Issuer LLC - 144A 5.500% 02/01/2026 Callable @ 101.375 02/05/2024 | | 25,000 | | | 24,872 |
Civitas Resources Inc - 144A 8.375% 07/01/2028 Callable @ 104.188 07/01/2025 | | 84,000 | | | 88,405 |
Civitas Resources Inc - 144A 8.625% 11/01/2030 Callable @ 104.313 11/01/2026 | | 59,000 | | | 63,191 |
Civitas Resources Inc - 144A 8.750% 07/01/2031 Callable @ 104.375 07/01/2026 | | 56,000 | | | 59,557 |
CNX Midstream Partners LP - 144A 4.750% 04/15/2030 Callable @ 102.375 04/15/2025 | | 16,000 | | | 13,944 |
CNX Resources Corp - 144A 6.000% 01/15/2029 Callable @ 103.000 01/15/2025 | | 31,000 | | | 29,955 |
CNX Resources Corp - 144A 7.375% 01/15/2031 Callable @ 103.688 01/15/2026 | | 40,000 | | | 40,625 |
Comstock Resources Inc - 144A 5.875% 01/15/2030 Callable @ 102.938 01/15/2025 | | 46,000 | | | 39,937 |
Comstock Resources Inc - 144A 6.750% 03/01/2029 Callable @ 103.375 03/01/2024 | | 161,000 | | | 147,839 |
Crescent Energy Finance LLC - 144A 9.250% 02/15/2028 Callable @ 104.625 02/15/2025 | | 119,000 | | | 123,539 |
Crestwood Midstream Partners LP / Crestwood Midstream Finance Corp - 144A 7.375% 02/01/2031 Callable @ 103.688 02/01/2026 | 25,000 | | | 26,278 |
Diamond Foreign Asset Co / Diamond Finance LLC - 144A 8.500% 10/01/2030 Callable @ 104.250 10/01/2026 | 72,000 | | | 73,949 |
DT Midstream Inc - 144A 4.125% 06/15/2029 Callable @ 102.063 06/15/2024 | | 100,000 | | | 91,628 |
DT Midstream Inc - 144A 4.375% 06/15/2031 Callable @ 102.188 06/15/2026 | | 36,000 | | | 32,411 |
Encino Acquisition Partners Holdings LLC - 144A 8.500% 05/01/2028 Callable @ 104.250 05/01/2024 | | 120,000 | | | 119,100 |
EnLink Midstream LLC 5.375% 06/01/2029 Callable @ 100.000 03/01/2029 | | 16,000 | | | 15,591 |
EnLink Midstream LLC - 144A 6.500% 09/01/2030 Callable @ 100.000 03/01/2030 | | 24,000 | | | 24,521 |
EnLink Midstream Partners LP 4.850% 07/15/2026 Callable @ 100.000 04/15/2026 | | 25,000 | | | 24,464 |
EQM Midstream Partners LP 4.125% 12/01/2026 Callable @ 100.000 09/01/2026 | | 47,000 | | | 45,262 |
EQM Midstream Partners LP 5.500% 07/15/2028 Callable @ 100.000 04/15/2028 | | 5,000 | | | 4,953 |
EQM Midstream Partners LP - 144A 4.500% 01/15/2029 Callable @ 100.000 07/15/2028 | | 44,000 | | | 41,284 |
EQM Midstream Partners LP - 144A 4.750% 01/15/2031 Callable @ 100.000 07/15/2030 | | 54,000 | | | 50,261 |
EQM Midstream Partners LP - 144A 6.000% 07/01/2025 Callable @ 100.000 04/01/2025 | | 15,000 | | | 14,967 |
EQM Midstream Partners LP - 144A 6.500% 07/01/2027 Callable @ 100.000 01/01/2027 | | 25,000 | | | 25,318 |
EQM Midstream Partners LP - 144A 7.500% 06/01/2027 Callable @ 103.750 06/01/2024 | | 65,000 | | | 66,884 |
EQM Midstream Partners LP - 144A 7.500% 06/01/2030 Callable @ 100.000 12/01/2029 | | 36,000 | | | 38,570 |
FMG Resources August 2006 Pty Ltd - 144A 4.375% 04/01/2031 Callable @ 100.000 01/01/2031 | | 28,000 | | | 25,249 |
GCI LLC - 144A 4.750% 10/15/2028 Callable @ 101.188 10/15/2024 | | 168,000 | | | 154,011 |
Genesis Energy LP / Genesis Energy Finance Corp 6.250% 05/15/2026 Callable @ 100.000 02/15/2024 | | 10,000 | | | 9,954 |
Genesis Energy LP / Genesis Energy Finance Corp 7.750% 02/01/2028 Callable @ 103.875 02/01/2024 | | 66,000 | | | 66,176 |
Genesis Energy LP / Genesis Energy Finance Corp 8.000% 01/15/2027 Callable @ 104.000 10/15/2024 | | 38,000 | | | 38,446 |
Genesis Energy LP / Genesis Energy Finance Corp 8.250% 01/15/2029 Callable @ 104.125 01/15/2026 | | 19,000 | | | 19,531 |
Genesis Energy LP / Genesis Energy Finance Corp 8.875% 04/15/2030 Callable @ 104.438 04/15/2026 | | 43,000 | | | 44,987 |
Global Infrastructure Solutions Inc - 144A 5.625% 06/01/2029 Callable @ 102.813 06/01/2024 | | 90,000 | | | 81,398 |
Global Infrastructure Solutions Inc - 144A 7.500% 04/15/2032 Callable @ 103.750 04/15/2027 | | 50,000 | | | 46,050 |
Gulfport Energy Corp 8.000% 05/17/2026 Callable @ 104.000 05/17/2024 | | 25,000 | | | 25,125 |
Gulfport Energy Corp - 144A 8.000% 05/17/2026 Callable @ 104.000 05/17/2024 | | 140,000 | | | 140,700 |
Hess Infrastructure Partners LP / Hess Infrastructure Partners Finance Corp - 144A 5.625% 02/15/2026 Callable @ 100.000 02/15/2024 | 25,000 | | | 24,838 |
Hess Midstream Operations LP - 144A 4.250% 02/15/2030 Callable @ 102.125 02/15/2025 | | 47,000 | | | 43,227 |
Hess Midstream Operations LP - 144A 5.125% 06/15/2028 Callable @ 101.708 06/15/2024 | | 55,000 | | | 53,359 |
Hilcorp Energy I LP / Hilcorp Finance Co - 144A 6.000% 04/15/2030 Callable @ 103.000 04/15/2025 | | 29,000 | | | 28,155 |
Hilcorp Energy I LP / Hilcorp Finance Co - 144A 6.250% 04/15/2032 Callable @ 103.125 05/15/2027 | | 23,000 | | | 22,080 |
Howard Midstream Energy Partners LLC - 144A 8.875% 07/15/2028 Callable @ 100.000 07/15/2025 | | 60,000 | | | 63,016 |
Kinetik Holdings LP - 144A 5.875% 06/15/2030 Callable @ 102.938 06/15/2025 | | 35,000 | | | 34,338 |
Kinetik Holdings LP - 144A 6.625% 12/15/2028 Callable @ 103.313 12/15/2025 | | 13,000 | | | 13,159 |
Kodiak Gas Services LLC - 144A 7.250% 02/15/2029 Callable @ 103.625 02/15/2026 | | 42,000 | | | 42,000 |
NGL Energy Operating LLC / NGL Energy Finance Corp - 144A 7.500% 02/01/2026 Callable @ 101.875 02/01/2024 | 42,000 | | | 42,798 |
NGL Energy Partners LP - 144A 8.125% 02/15/2029 Callable @ 104.063 02/15/2026 | | 44,000 | | | 44,233 |
NGL Energy Partners LP - 144A 8.375% 02/15/2032 Callable @ 104.188 02/15/2027 | | 46,000 | | | 46,354 |
NRG Energy Inc 5.750% 01/15/2028 Callable @ 100.958 01/15/2025 | | 48,000 | | | 47,507 |
NRG Energy Inc - 144A 3.875% 02/15/2032 Callable @ 101.938 02/15/2027 | | 4,000 | | | 3,380 |
NRG Energy Inc - 144A 5.250% 06/15/2029 Callable @ 102.625 06/15/2024 | | 84,000 | | | 80,583 |
NuStar Logistics LP 5.625% 04/28/2027 | | 30,000 | | | 29,749 |
NuStar Logistics LP 5.750% 10/01/2025 Callable @ 100.000 07/01/2025 | | 21,000 | | | 20,947 |
NuStar Logistics LP 6.000% 06/01/2026 Callable @ 100.000 03/01/2026 | | 50,000 | | | 49,885 |
NuStar Logistics LP 6.375% 10/01/2030 Callable @ 100.000 04/01/2030 | | 76,000 | | | 76,553 |
Oasis Midstream Partners LP / OMP Finance Corp - 144A 8.000% 04/01/2029 Callable @ 104.000 04/01/2024 | 159,000 | | | 165,312 |
Oasis Petroleum Inc - 144A 6.375% 06/01/2026 Callable @ 101.594 06/01/2024 | | 106,000 | | | 105,993 |
Permian Resources Operating LLC - 144A 7.000% 01/15/2032 Callable @ 103.500 01/15/2027 | | 54,000 | | | 55,600 |
Precision Drilling Corp - 144A 6.875% 01/15/2029 Callable @ 103.438 01/15/2025 | | 28,000 | | | 27,606 |
Precision Drilling Corp - 144A 7.125% 01/15/2026 | | 77,000 | | | 76,810 |
Range Resources Corp 4.875% 05/15/2025 Callable @ 100.000 02/15/2025 | | 75,000 | | | 74,062 |
Range Resources Corp 8.250% 01/15/2029 Callable @ 102.750 01/15/2025 | | 70,000 | | | 72,606 |
SM Energy Co 5.625% 06/01/2025 | | 40,000 | | | 39,729 |
SM Energy Co 6.500% 07/15/2028 Callable @ 103.250 07/15/2024 | | 31,000 | | | 31,000 |
SM Energy Co 6.750% 09/15/2026 Callable @ 100.000 09/15/2024 | | 60,000 | | | 59,919 |
Southwestern Energy Co 4.750% 02/01/2032 Callable @ 102.375 02/01/2027 | | 17,000 | | | 15,728 |
Southwestern Energy Co 5.375% 02/01/2029 Callable @ 102.688 02/01/2024 | | 6,000 | | | 5,859 |
Southwestern Energy Co 5.375% 03/15/2030 Callable @ 102.688 03/15/2025 | | 87,000 | | | 84,136 |
Southwestern Energy Co 8.375% 09/15/2028 Callable @ 102.792 09/15/2024 | | 25,000 | | | 25,981 |
Sunoco LP / Sunoco Finance Corp 4.500% 04/30/2030 Callable @ 102.250 04/30/2025 | | 65,000 | | | 59,980 |
Sunoco LP / Sunoco Finance Corp 4.500% 05/15/2029 Callable @ 102.250 05/15/2024 | | 114,000 | | | 106,208 |
Tallgrass Energy Partners LP / Tallgrass Energy Finance Corp - 144A 5.500% 01/15/2028 Callable @ 100.917 01/15/2025 | 70,000 | | | 67,387 |
Tallgrass Energy Partners LP / Tallgrass Energy Finance Corp - 144A 6.000% 03/01/2027 Callable @ 101.500 03/01/2024 | 40,000 | | | 39,300 |
Tallgrass Energy Partners LP / Tallgrass Energy Finance Corp - 144A 6.000% 09/01/2031 Callable @ 103.000 09/01/2026 | 70,000 | | | 64,418 |
Tallgrass Energy Partners LP / Tallgrass Energy Finance Corp - 144A 6.000% 12/31/2030 Callable @ 103.000 12/31/2025 | 55,000 | | | 51,076 |
Targa Resources Partners LP / Targa Resources Partners Finance Corp 4.875% 02/01/2031 Callable @ 102.438 02/01/2026 | 70,000 | | | 67,130 |
Targa Resources Partners LP / Targa Resources Partners Finance Corp 5.500% 03/01/2030 Callable @ 102.750 03/01/2025 | 15,000 | | | 14,919 |
Targa Resources Partners LP / Targa Resources Partners Finance Corp 6.500% 07/15/2027 Callable @ 101.625 07/15/2024 | 108,000 | | | 109,917 |
Targa Resources Partners LP / Targa Resources Partners Finance Corp 6.875% 01/15/2029 Callable @ 102.292 01/15/2025 | 38,000 | | | 39,186 |
Transocean Inc - 144A 8.750% 02/15/2030 Callable @ 104.375 02/15/2026 | | 25,650 | | | 26,821 |
Transocean Inc - 144A 11.500% 01/30/2027 Callable @ 102.875 07/30/2024 | | 73,000 | | | 76,285 |
Transocean Titan Financing Ltd - 144A 8.375% 02/01/2028 Callable @ 104.188 02/01/2025 | | 17,000 | | | 17,571 |
Valaris Ltd - 144A 8.375% 04/30/2030 Callable @ 104.188 04/30/2026 | | 35,000 | | | 35,773 |
Venture Global LNG Inc - 144A 8.125% 06/01/2028 Callable @ 104.063 06/01/2025 | | 108,000 | | | 109,732 |
Venture Global LNG Inc - 144A 9.500% 02/01/2029 Callable @ 100.000 11/01/2028 | | 40,000 | | | 42,412 |
Venture Global LNG Inc - 144A 9.875% 02/01/2032 Callable @ 104.938 02/01/2027 | | 40,000 | | | 42,055 |
* Vine Energy Holdings LLC - 144A 6.750% 04/15/2029 Callable @ 103.375 04/15/2024 | | 238,000 | | | 240,673 |
Vital Energy Inc 9.750% 10/15/2030 Callable @ 104.875 10/15/2026 | | 26,000 | | | 27,645 |
Vital Energy Inc 10.125% 01/15/2028 Callable @ 102.531 01/15/2025 | | 62,000 | | | 64,940 |
| | | | | $ | 6,000,917 |
Financials (2.1%) | | | | | |
Adient Global Holdings Ltd - 144A 4.875% 08/15/2026 | | 240,000 | | | 234,104 |
(2)Citigroup Inc Callable @ 100 5/15/2025 | | 10,000 | | | 9,868 |
Coinbase Global Inc - 144A 3.375% 10/01/2028 Callable @ 101.688 10/01/2024 | | 20,000 | | | 16,391 |
Coinbase Global Inc - 144A 3.625% 10/01/2031 Callable @ 101.813 10/01/2026 | | 20,000 | | | 15,022 |
LPL Holdings Inc - 144A 4.000% 03/15/2029 Callable @ 102.000 03/15/2024 | | 55,000 | | | 50,691 |
LPL Holdings Inc - 144A 4.625% 11/15/2027 Callable @ 100.000 11/15/2024 | | 30,000 | | | 28,881 |
Nationstar Mortgage Holdings Inc - 144A 5.125% 12/15/2030 Callable @ 102.563 12/15/2025 | | 26,000 | | | 23,372 |
Nationstar Mortgage Holdings Inc - 144A 5.500% 08/15/2028 Callable @ 101.375 08/15/2024 | | 98,000 | | | 93,010 |
Nationstar Mortgage Holdings Inc - 144A 5.750% 11/15/2031 Callable @ 102.875 11/15/2026 | | 80,000 | | | 73,500 |
Nationstar Mortgage Holdings Inc - 144A 6.000% 01/15/2027 Callable @ 100.000 01/15/2025 | | 10,000 | | | 9,806 |
Nationstar MTG - 144A 7.125% 02/01/2032 Callable @ 103.563 02/01/2027 | | 36,000 | | | 35,705 |
OneMain Finance Corp 3.500% 01/15/2027 Callable @ 100.875 01/15/2025 | | 20,000 | | | 18,299 |
OneMain Finance Corp 4.000% 09/15/2030 Callable @ 102.000 09/15/2025 | | 18,000 | | | 15,245 |
Quicken Loans LLC / Quicken Loans Co- 144A Issuer Inc - 3.625% 03/01/2029 Callable @ 100.906 03/01/2024 | 76,000 | | | 67,872 |
Rocket Mortgage LLC / Rocket Mortgage Co- 144A Issuer Inc - 2.875% 10/15/2026 Callable @ 100.719 10/15/2024 | 54,000 | | | 50,086 |
Rocket Mortgage LLC / Rocket Mortgage Co- 144A Issuer Inc - 4.000% 10/15/2033 Callable @ 102.000 10/15/2027 | 9,000 | | | 7,615 |
Springleaf Finance Corp 5.375% 11/15/2029 Callable @ 100.000 05/15/2029 | | 135,000 | | | 124,914 |
Springleaf Finance Corp 6.625% 01/15/2028 Callable @ 100.000 07/15/2027 | | 24,000 | | | 23,917 |
WMG Acquisition Corp - 144A 3.750% 12/01/2029 Callable @ 101.875 12/01/2024 | | 85,000 | | | 76,589 |
| | | | | $ | 974,887 |
Health Care (9.4%) | | | | | |
Acadia Healthcare Co Inc - 144A 5.000% 04/15/2029 Callable @ 101.250 10/15/2024 | | 45,000 | | | 42,919 |
Acadia Healthcare Co Inc - 144A 5.500% 07/01/2028 Callable @ 101.375 07/01/2024 | | 72,000 | | | 70,389 |
Ardent Health Services Inc - 144A 5.750% 07/15/2029 Callable @ 102.875 07/15/2024 | | 69,000 | | | 61,179 |
Avantor Funding Inc - 144A 4.625% 07/15/2028 Callable @ 101.156 07/15/2024 | | 146,000 | | | 139,275 |
Bausch Health Americas Inc - 144A 9.250% 04/01/2026 Callable @ 100.000 04/01/2024 | | 260,000 | | | 242,472 |
Bausch Health Cos Inc - 144A 4.875% 06/01/2028 Callable @ 102.438 06/01/2024 | | 130,000 | | | 73,566 |
Bausch Health Cos Inc - 144A 5.000% 01/30/2028 Callable @ 100.000 01/30/2025 | | 35,000 | | | 15,235 |
Bausch Health Cos Inc - 144A 5.000% 02/15/2029 Callable @ 102.500 02/15/2024 | | 49,000 | | | 20,531 |
Bausch Health Cos Inc - 144A 5.250% 01/30/2030 Callable @ 102.625 01/30/2025 | | 146,000 | | | 61,107 |
Bausch Health Cos Inc - 144A 5.250% 02/15/2031 Callable @ 102.625 02/15/2026 | | 36,000 | | | 15,120 |
Bausch Health Cos Inc - 144A 6.250% 02/15/2029 Callable @ 103.125 02/15/2024 | | 80,000 | | | 34,229 |
Catalent Pharma Solutions Inc - 144A 3.125% 02/15/2029 Callable @ 101.563 02/15/2024 | | 17,000 | | | 14,947 |
Catalent Pharma Solutions Inc - 144A 5.000% 07/15/2027 Callable @ 100.000 07/15/2024 | | 10,000 | | | 9,621 |
CHS/Community Health Systems Inc - 144A 4.750% 02/15/2031 Callable @ 102.375 02/15/2026 | | 65,000 | | | 51,600 |
CHS/Community Health Systems Inc - 144A 5.250% 05/15/2030 Callable @ 102.625 05/15/2025 | | 135,000 | | | 111,724 |
CHS/Community Health Systems Inc - 144A 5.625% 03/15/2027 Callable @ 101.406 12/15/2024 | | 74,000 | | | 68,369 |
CHS/Community Health Systems Inc - 144A 6.000% 01/15/2029 Callable @ 101.500 01/15/2025 | | 24,000 | | | 21,608 |
CHS/Community Health Systems Inc - 144A 6.125% 04/01/2030 Callable @ 103.063 04/01/2025 | | 58,000 | | | 37,753 |
CHS/Community Health Systems Inc - 144A 8.000% 03/15/2026 Callable @ 100.000 03/15/2024 | | 143,000 | | | 141,988 |
DaVita Inc - 144A 3.750% 02/15/2031 Callable @ 101.875 02/15/2026 | | 110,000 | | | 90,688 |
DaVita Inc - 144A 4.625% 06/01/2030 Callable @ 102.313 06/01/2025 | | 211,000 | | | 186,702 |
Elanco Animal Health Inc 6.400% 08/28/2028 Callable @ 100.000 05/28/2028 | | 60,000 | | | 60,900 |
Emergent BioSolutions Inc - 144A 3.875% 08/15/2028 Callable @ 100.969 08/15/2024 | | 82,000 | | | 30,521 |
Encompass Health Corp 4.500% 02/01/2028 Callable @ 101.125 02/01/2024 | | 159,000 | | | 151,869 |
Encompass Health Corp 4.750% 02/01/2030 Callable @ 102.375 02/01/2025 | | 20,000 | | | 18,865 |
(4) Endo Luxembourg Finance Co I Sarl / Endo US Inc - 144A 6.125% 04/01/2029 Callable @ 104.594 04/01/2024 | 30,000 | | | 19,701 |
Global Medical Response Inc - 144A 6.500% 10/01/2025 | | 50,000 | | | 42,625 |
HealthSouth Corp 5.750% 09/15/2025 | | 55,000 | | | 54,651 |
Hologic Inc - 144A 4.625% 02/01/2028 Callable @ 101.541 02/01/2024 | | 95,000 | | | 91,735 |
* IQVIA Inc - 144A 5.000% 10/15/2026 Callable @ 100.000 10/15/2024 | | 200,000 | | | 195,611 |
Mallinckrodt International Finance SA / Mallinckrodt CB LLC - 144A 14.750% 11/14/2028 Callable @ 100.000 11/14/2025 | 88,882 | | | 96,764 |
* Mozart Debt Merger Sub Inc - 144A 3.875% 04/01/2029 Callable @ 101.938 10/01/2024 | | 213,000 | | | 192,586 |
Mozart Debt Merger Sub Inc - 144A 5.250% 10/01/2029 Callable @ 102.625 10/01/2024 | | 107,000 | | | 99,542 |
Organon Finance 1 LLC - 144A 4.125% 04/30/2028 Callable @ 102.063 04/30/2024 | | 200,000 | | | 183,009 |
Owens & Minor Inc - 144A 4.500% 03/31/2029 Callable @ 102.250 03/31/2024 | | 115,000 | | | 100,921 |
Owens & Minor Inc - 144A 6.625% 04/01/2030 Callable @ 103.313 04/01/2025 | | 52,000 | | | 49,538 |
(4) Par Pharmaceutical Inc - 144A 7.500% 04/01/2027 Callable @ 101.875 04/01/2024 | | 75,000 | | | 49,483 |
Radiology Partners Inc - 144A 9.250% 02/01/2028 Callable @ 102.313 02/01/2024 | | 45,000 | | | 29,475 |
RP Escrow Issuer LLC - 144A 5.250% 12/15/2025 Callable @ 100.000 12/15/2024 | | 22,000 | | | 19,800 |
Tenet Healthcare Corp 4.875% 01/01/2026 Callable @ 100.000 03/01/2024 | | 200,000 | | | 198,094 |
Tenet Healthcare Corp 5.125% 11/01/2027 Callable @ 100.000 11/01/2024 | | 306,000 | | | 298,748 |
Tenet Healthcare Corp 6.125% 06/15/2030 Callable @ 103.063 06/15/2025 | | 82,000 | | | 82,071 |
Tenet Healthcare Corp 6.250% 02/01/2027 Callable @ 100.000 02/01/2024 | | 92,000 | | | 91,761 |
Tenet Healthcare Corp - 144A 6.750% 05/15/2031 Callable @ 103.375 05/15/2026 | | 91,000 | | | 93,078 |
* Valeant Pharmaceuticals International Inc - 144A 5.500% 11/01/2025 | | 270,000 | | | 246,627 |
Valeant Pharmaceuticals International Inc - 144A 8.500% 01/31/2027 Callable @ 100.000 07/31/2024 | | 99,000 | | | 54,450 |
* Valeant Pharmaceuticals International Inc - 144A 9.000% 12/15/2025 | | 419,000 | | | 395,458 |
| | | | | $ | 4,458,905 |
Industrials (14.7%) | | | | | |
* ACCO Brands Corp - 144A 4.250% 03/15/2029 Callable @ 102.125 03/15/2024 | | 180,000 | | | 163,572 |
ADT Security Corp/The - 144A 4.125% 08/01/2029 Callable @ 100.000 08/01/2028 | | 103,000 | | | 95,049 |
* ADT Security Corp/The - 144A 4.875% 07/15/2032 | | 173,000 | | | 158,511 |
Advanced Drainage Systems Inc - 144A 5.000% 09/30/2027 Callable @ 100.000 09/30/2024 | | 26,000 | | | 25,072 |
Allison Transmission Inc - 144A 3.750% 01/30/2031 Callable @ 101.875 01/30/2026 | | 95,000 | | | 83,090 |
Allison Transmission Inc - 144A 4.750% 10/01/2027 Callable @ 100.792 10/01/2024 | | 66,000 | | | 63,521 |
American Airlines Inc/AAdvantage Loyalty IP Ltd - 144A 5.500% 04/20/2026 | | 207,813 | | | 205,730 |
American Airlines Inc/AAdvantage Loyalty IP Ltd - 144A 5.750% 04/20/2029 | | 155,000 | | | 152,323 |
APi Escrow Corp - 144A 4.750% 10/15/2029 Callable @ 102.375 10/15/2024 | | 37,000 | | | 34,370 |
APi Group DE Inc - 144A 4.125% 07/15/2029 Callable @ 102.063 07/15/2024 | | 56,000 | | | 50,870 |
ATS Automation Tooling Systems Inc - 144A 4.125% 12/15/2028 Callable @ 101.031 12/15/2024 | | 49,000 | | | 44,485 |
Avis Budget Car Rental LLC / Avis Budget Finance Inc - 144A 4.750% 04/01/2028 Callable @ 102.375 04/01/2024 | 70,000 | | | 64,493 |
Avis Budget Car Rental LLC / Avis Budget Finance Inc - 144A 5.375% 03/01/2029 Callable @ 102.688 03/01/2024 | 127,000 | | | 117,758 |
Avis Budget Car Rental LLC / Avis Budget Finance Inc - 144A 5.750% 07/15/2027 Callable @ 100.000 07/15/2024 | 50,000 | | | 48,049 |
Avis Budget Car Rental LLC / Avis Budget Finance Inc - 144A 8.000% 02/15/2031 Callable @ 104.000 11/15/2026 | 55,000 | | | 54,885 |
Bombardier Inc - 144A 7.875% 04/15/2027 Callable @ 100.000 04/15/2024 | | 92,000 | | | 92,119 |
Bombardier Inc - 144A 8.750% 11/15/2030 Callable @ 104.375 11/15/2026 | | 41,000 | | | 43,358 |
Brink’s Co/The - 144A 5.500% 07/15/2025 Callable @ 100.000 07/15/2024 | | 40,000 | | | 39,783 |
Builders FirstSource Inc - 144A 4.250% 02/01/2032 Callable @ 102.125 08/01/2026 | | 98,000 | | | 88,058 |
Builders FirstSource Inc - 144A 6.375% 06/15/2032 Callable @ 103.188 06/15/2027 | | 69,000 | | | 70,356 |
BWX Technologies Inc - 144A 4.125% 04/15/2029 Callable @ 102.063 04/15/2024 | | 98,000 | | | 90,262 |
BWX Technologies Inc - 144A 4.125% 06/30/2028 Callable @ 101.031 06/30/2024 | | 44,000 | | | 40,901 |
Chart Industries Inc - 144A 7.500% 01/01/2030 Callable @ 103.750 01/01/2026 | | 34,000 | | | 34,992 |
Chart Industries Inc - 144A 9.500% 01/01/2031 Callable @ 104.750 01/01/2026 | | 12,000 | | | 12,874 |
CoreCivic Inc 8.250% 04/15/2026 Callable @ 104.125 04/15/2024 | | 94,000 | | | 96,350 |
CVR Partners LP / CVR Nitrogen Finance Corp - 144A 6.125% 06/15/2028 Callable @ 103.063 06/15/2024 | | 52,000 | | | 49,010 |
Dun & Bradstreet Corp/The - 144A 5.000% 12/15/2029 Callable @ 102.500 12/15/2024 | | 23,000 | | | 21,440 |
Dycom Industries Inc - 144A 4.500% 04/15/2029 Callable @ 102.250 04/15/2024 | | 90,000 | | | 83,549 |
EnPro Industries Inc 5.750% 10/15/2026 Callable @ 100.000 10/15/2024 | | 66,000 | | | 65,456 |
EquipmentShare.com Inc - 144A 9.000% 05/15/2028 Callable @ 106.750 05/15/2025 | | 116,000 | | | 118,140 |
First Student Bidco Inc / First Transit Parent Inc - 144A 4.000% 07/31/2029 Callable @ 102.000 07/31/2024 | | 102,000 | | | 89,784 |
GEO Group Inc/The 10.500% 06/30/2028 Callable @ 101.000 08/19/2024 | | 56,000 | | | 56,979 |
GFL Environmental Inc - 144A 3.750% 08/01/2025 Callable @ 100.000 08/01/2024 | | 34,000 | | | 33,066 |
GFL Environmental Inc - 144A 4.000% 08/01/2028 Callable @ 101.000 08/01/2024 | | 80,000 | | | 73,396 |
GFL Environmental Inc - 144A 4.375% 08/15/2029 Callable @ 102.188 08/15/2024 | | 39,000 | | | 35,768 |
GFL Environmental Inc - 144A 4.750% 06/15/2029 Callable @ 102.375 06/08/2024 | | 45,000 | | | 42,188 |
GFL Environmental Inc - 144A 5.125% 12/15/2026 Callable @ 100.000 12/15/2024 | | 70,000 | | | 68,434 |
GFL Environmental Inc - 144A 6.750% 01/15/2031 Callable @ 103.375 01/15/2027 | | 30,000 | | | 30,674 |
GPC Merger Sub Inc - 144A 7.125% 08/15/2028 Callable @ 101.781 08/15/2024 | | 74,000 | | | 66,048 |
Griffon Corp 5.750% 03/01/2028 Callable @ 101.917 03/01/2024 | | 135,000 | | | 132,300 |
(3) ESC 144A Hertz Corp DTD 11/25/2019 6.000% 1/15/2028 | | 20,000 | | | 1,700 |
(3) ESC 144A Hertz Corp DTD 8/1/2019 7.125% 8/1/2026 | | 80,000 | | | 6,800 |
(3) ESC 144A Hertz Corp DTD 9/22/2016 5.500% 10/15/2024 | | 148,000 | | | 1,480 |
(3) ESC GCB Hertz Corp DTD 3/5/2013 6.250% 10/15/2022 | | 25,000 | | | 250 |
Hertz Corp/The - 144A 4.625% 12/01/2026 Callable @ 101.156 12/01/2024 | | 58,000 | | | 52,236 |
Hertz Corp/The - 144A 5.000% 12/01/2029 Callable @ 102.500 12/01/2024 | | 210,000 | | | 167,441 |
Hillenbrand Inc 5.000% 09/15/2026 Callable @ 100.000 07/15/2026 | | 10,000 | | | 9,802 |
Iron Mountain Inc - 144A 4.500% 02/15/2031 Callable @ 102.250 02/15/2026 | | 42,000 | | | 37,710 |
Iron Mountain Inc - 144A 4.875% 09/15/2027 Callable @ 100.813 09/15/2024 | | 57,000 | | | 55,083 |
Jeld- 144A Wen Inc - 4.625% 12/15/2025 | | 33,000 | | | 31,998 |
Jeld- 144A Wen Inc - 4.875% 12/15/2027 Callable @ 100.813 12/15/2024 | | 70,000 | | | 66,458 |
* Madison IAQ LLC - 144A 4.125% 06/30/2028 Callable @ 102.063 06/30/2024 | | 221,000 | | | 203,087 |
Madison IAQ LLC - 144A 5.875% 06/30/2029 Callable @ 102.938 06/30/2024 | | 140,000 | | | 124,623 |
Masonite International Corp - 144A 5.375% 02/01/2028 Callable @ 101.344 02/01/2024 | | 70,000 | | | 67,930 |
MasTec Inc - 144A 4.500% 08/15/2028 Callable @ 101.125 08/15/2024 | | 124,000 | | | 116,440 |
Mileage Plus Holdings LLC / Mileage Plus Intellectual Property Assets Ltd - 144A 6.500% 06/20/2027 Callable @ 101.625 06/30/2024 | 73,500 | | | 73,618 |
MIWD Holdco II LLC / MIWD Finance Corp - 144A 5.500% 02/01/2030 Callable @ 102.750 02/01/2025 | | 59,000 | | | 53,564 |
NESCO Holdings II Inc - 144A 5.500% 04/15/2029 Callable @ 102.750 04/15/2024 | | 71,000 | | | 66,722 |
PGT Innovations Inc - 144A 4.375% 10/01/2029 Callable @ 102.188 08/01/2024 | | 66,000 | | | 66,326 |
Pike Corp - 144A 5.500% 09/01/2028 Callable @ 101.375 09/01/2024 | | 63,000 | | | 60,143 |
Pike Corp - 144A 8.625% 01/31/2031 Callable @ 104.313 01/31/2027 | | 20,000 | | | 21,157 |
* Prime Security Services Borrower LLC / Prime Finance Inc - 144A 3.375% 08/31/2027 Callable @ 100.000 08/31/2026 | 207,000 | | | 190,693 |
Prime Security Services Borrower LLC / Prime Finance Inc - 144A 5.750% 04/15/2026 | | 5,000 | | | 5,000 |
Regal Rexnord Corp 6.300% 02/15/2030 Callable @ 100.000 12/15/2029 | | 36,000 | | | 36,980 |
Regal Rexnord Corp - 144A 6.050% 02/15/2026 | | 43,000 | | | 43,458 |
Regal Rexnord Corp - 144A 6.050% 04/15/2028 Callable @ 100.000 03/15/2028 | | 85,000 | | | 86,243 |
Regal Rexnord Corp - 144A 6.400% 04/15/2033 Callable @ 100.000 01/15/2033 | | 50,000 | | | 51,913 |
Ritchie Bros Auctioneers Inc - 144A 6.750% 03/15/2028 Callable @ 103.375 03/15/2025 | | 25,000 | | | 25,672 |
Ritchie Bros Auctioneers Inc - 144A 7.750% 03/15/2031 Callable @ 103.875 03/15/2026 | | 17,000 | | | 17,893 |
Sensata Technologies BV - 144A 4.000% 04/15/2029 Callable @ 102.000 04/15/2024 | | 50,000 | | | 45,738 |
Sensata Technologies BV - 144A 5.000% 10/01/2025 | | 2,000 | | | 1,982 |
Sensata Technologies Inc - 144A 3.750% 02/15/2031 Callable @ 101.875 02/15/2026 | | 18,000 | | | 15,660 |
Spirit AeroSystems Inc - 144A 9.375% 11/30/2029 Callable @ 104.688 11/30/2025 | | 49,000 | | | 53,096 |
SRS Distribution Inc - 144A 4.625% 07/01/2028 Callable @ 102.313 07/01/2024 | | 133,000 | | | 124,064 |
SRS Distribution Inc - 144A 6.000% 12/01/2029 Callable @ 103.000 12/01/2024 | | 70,000 | | | 65,450 |
SRS Distribution Inc - 144A 6.125% 07/01/2029 Callable @ 103.063 07/01/2024 | | 47,000 | | | 44,264 |
Standard Industries Inc/NJ - 144A 3.375% 01/15/2031 Callable @ 101.688 07/15/2025 | | 69,000 | | | 58,526 |
Standard Industries Inc/NJ - 144A 4.750% 01/15/2028 Callable @ 100.792 01/15/2025 | | 197,000 | | | 188,410 |
Standard Industries Inc/NJ - 144A 5.000% 02/15/2027 | | 95,000 | | | 92,251 |
Stericycle Inc - 144A 3.875% 01/15/2029 Callable @ 100.969 11/15/2024 | | 120,000 | | | 109,084 |
Terex Corp - 144A 5.000% 05/15/2029 Callable @ 102.500 05/15/2024 | | 88,000 | | | 83,160 |
TransDigm Inc - 144A 6.250% 03/15/2026 Callable @ 100.000 03/15/2024 | | 85,000 | | | 84,883 |
TriMas Corp - 144A 4.125% 04/15/2029 Callable @ 102.063 04/15/2024 | | 63,000 | | | 56,090 |
TriNet Group Inc - 144A 7.125% 08/15/2031 Callable @ 103.563 08/15/2026 | | 48,000 | | | 49,014 |
Trinity Industries Inc - 144A 7.750% 07/15/2028 Callable @ 103.875 07/15/2025 | | 60,000 | | | 62,324 |
Triton Water Holdings Inc - 144A 6.250% 04/01/2029 Callable @ 103.125 04/01/2024 | | 147,000 | | | 126,604 |
Triumph Group Inc 7.750% 08/15/2025 | | 75,000 | | | 75,047 |
Triumph Group Inc - 144A 9.000% 03/15/2028 Callable @ 104.500 03/15/2025 | | 32,000 | | | 33,762 |
Uber Technologies Inc - 144A 4.500% 08/15/2029 Callable @ 102.250 08/15/2024 | | 94,000 | | | 88,975 |
Uber Technologies Inc - 144A 7.500% 09/15/2027 Callable @ 101.875 09/15/2024 | | 85,000 | | | 86,855 |
United Airlines Inc - 144A 4.375% 04/15/2026 Callable @ 100.000 10/15/2025 | | 77,000 | | | 74,363 |
United Rentals North America Inc 4.875% 01/15/2028 Callable @ 100.813 01/15/2025 | | 144,000 | | | 140,534 |
VistaJet Malta Finance PLC / Vista Management Holding Inc - 144A 9.500% 06/01/2028 Callable @ 104.750 06/01/2025 | 36,000 | | | 30,420 |
Wabash National Corp - 144A 4.500% 10/15/2028 Callable @ 102.250 10/15/2024 | | 68,000 | | | 61,771 |
WESCO Distribution Inc - 144A 7.125% 06/15/2025 | | 70,000 | | | 70,409 |
WESCO Distribution Inc - 144A 7.250% 06/15/2028 Callable @ 102.417 06/15/2024 | | 200,000 | | | 205,604 |
White Cap Buyer LLC - 144A 6.875% 10/15/2028 Callable @ 101.719 10/15/2024 | | 19,000 | | | 18,525 |
Williams Scotsman Inc - 144A 7.375% 10/01/2031 Callable @ 103.688 10/01/2026 | | 57,000 | | | 59,304 |
(4) Wolverine Escrow LLC - 144A 8.500% 11/15/2024 | | 5,000 | | | 425 |
(4) Wolverine Escrow LLC - 144A 9.000% 11/15/2026 Callable @ 102.250 11/15/2024 | | 109,000 | | | 11,445 |
(4) Wolverine Escrow LLC - 144A 13.125% 11/15/2027 Callable @ 103.281 11/15/2024 | | 20,000 | | | 600 |
XPO Inc 7.125% 02/01/2032 Callable @ 103.563 02/01/2027 | | 35,000 | | | 35,679 |
XPO Inc - 144A 6.250% 06/01/2028 Callable @ 103.125 06/01/2025 | | 45,000 | | | 45,003 |
| | | | | $ | 6,978,804 |
Information Technology (5.3%) | | | | | |
ACI Worldwide Inc - 144A 5.750% 08/15/2026 Callable @ 100.000 08/15/2024 | | 69,000 | | | 68,201 |
Ahead DB Holdings LLC - 144A 6.625% 05/01/2028 Callable @ 103.313 05/01/2024 | | 72,000 | | | 63,270 |
Clarivate Science Holdings Corp - 144A 3.875% 06/30/2028 Callable @ 101.938 06/30/2024 | | 40,000 | | | 36,862 |
Clarivate Science Holdings Corp - 144A 4.875% 06/30/2029 Callable @ 102.438 06/30/2024 | | 84,000 | | | 78,092 |
CommScope Finance LLC - 144A 6.000% 03/01/2026 Callable @ 100.000 03/01/2024 | | 161,000 | | | 139,455 |
CommScope Finance LLC - 144A 8.250% 03/01/2027 Callable @ 100.000 03/01/2024 | | 200,000 | | | 90,423 |
CommScope Inc - 144A 4.750% 09/01/2029 Callable @ 102.375 09/01/2024 | | 118,000 | | | 78,443 |
CommScope Technologies Finance LLC - 144A 6.000% 06/15/2025 | | 98,000 | | | 77,762 |
CommScope Technologies LLC - 144A 5.000% 03/15/2027 Callable @ 100.833 03/15/2024 | | 5,000 | | | 1,850 |
Conduent Business Services LLC / Conduent State & Local Solutions Inc - 144A 6.000% 11/01/2029 Callable @ 103.000 11/01/2024 | 90,000 | | | 82,399 |
Emerald Debt Merger Sub LLC - 144A 6.625% 12/15/2030 Callable @ 103.313 06/15/2026 | | 180,000 | | | 181,622 |
Entegris Escrow Corp - 144A 4.750% 04/15/2029 Callable @ 100.000 01/15/2029 | | 93,000 | | | 88,828 |
Entegris Escrow Corp - 144A 5.950% 06/15/2030 Callable @ 102.975 06/15/2025 | | 48,000 | | | 47,413 |
Entegris Inc - 144A 3.625% 05/01/2029 Callable @ 102.719 05/01/2024 | | 89,000 | | | 80,279 |
Entegris Inc - 144A 4.375% 04/15/2028 Callable @ 101.094 04/15/2024 | | 56,000 | | | 52,819 |
Gartner Inc - 144A 3.625% 06/15/2029 Callable @ 101.813 06/15/2024 | | 30,000 | | | 27,275 |
II- 144A VI Inc - 5.000% 12/15/2029 Callable @ 102.500 12/14/2024 | | 181,000 | | | 168,331 |
Imola Merger Corp - 144A 4.750% 05/15/2029 Callable @ 102.375 05/15/2024 | | 225,000 | | | 208,849 |
Minerva Merger Sub Inc - 144A 6.500% 02/15/2030 Callable @ 103.250 02/15/2025 | | 45,000 | | | 40,467 |
NCR Atleos Escrow Corp - 144A 9.500% 04/01/2029 Callable @ 104.750 10/01/2026 | | 82,000 | | | 87,953 |
NCR Corp - 144A 5.000% 10/01/2028 Callable @ 101.250 10/01/2024 | | 35,000 | | | 32,997 |
NCR Corp - 144A 5.125% 04/15/2029 Callable @ 102.563 04/15/2024 | | 125,000 | | | 117,650 |
ON Semiconductor Corp - 144A 3.875% 09/01/2028 Callable @ 100.969 09/01/2024 | | 118,000 | | | 108,946 |
Presidio Holdings Inc - 144A 4.875% 02/01/2027 Callable @ 101.219 02/01/2024 | | 40,000 | | | 38,739 |
RingCentral Inc - 144A 8.500% 08/15/2030 Callable @ 104.250 08/15/2026 | | 51,000 | | | 52,020 |
Seagate HDD Cayman - 144A 8.250% 12/15/2029 Callable @ 104.125 07/15/2026 | | 46,000 | | | 49,526 |
Seagate HDD Cayman - 144A 8.500% 07/15/2031 Callable @ 104.250 07/15/2026 | | 12,000 | | | 13,037 |
Sinclair Television Group Inc - 144A 5.125% 02/15/2027 Callable @ 100.000 08/15/2024 | | 20,000 | | | 18,809 |
Square Inc 3.500% 06/01/2031 Callable @ 100.000 03/01/2031 | | 180,000 | | | 155,738 |
SS&C Technologies Inc - 144A 5.500% 09/30/2027 Callable @ 101.375 03/30/2024 | | 220,000 | | | 216,720 |
Synaptics Inc - 144A 4.000% 06/15/2029 Callable @ 102.000 06/15/2024 | | 37,000 | | | 32,883 |
| | | | | $ | 2,537,658 |
Materials (6.0%) | | | | | |
Allegheny Technologies Inc 4.875% 10/01/2029 Callable @ 102.438 10/01/2024 | | 45,000 | | | 41,577 |
Allegheny Technologies Inc 5.125% 10/01/2031 Callable @ 102.563 10/01/2026 | | 23,000 | | | 20,989 |
Allegheny Technologies Inc 5.875% 12/01/2027 Callable @ 100.000 12/01/2024 | | 66,000 | | | 64,693 |
Ardagh Packaging Finance PLC / Ardagh Holdings USA Inc - 144A 5.250% 08/15/2027 Callable @ 100.000 08/15/2024 | 200,000 | | | 149,565 |
ATI Inc 7.250% 08/15/2030 Callable @ 103.625 08/15/2026 | | 43,000 | | | 44,249 |
Avient Corp - 144A 7.125% 08/01/2030 Callable @ 103.563 08/01/2025 | | 19,000 | | | 19,488 |
Axalta Coating Systems LLC / Axalta Coating Systems Dutch Holding B BV - 144A 4.750% 06/15/2027 Callable @ 101.188 06/15/2024 | 150,000 | | | 144,385 |
Berry Global Escrow Corp - 144A 4.875% 07/15/2026 Callable @ 100.000 07/15/2024 | | 7,000 | | | 6,885 |
Berry Global Inc - 144A 4.500% 02/15/2026 | | 15,000 | | | 14,569 |
Big River Steel LLC / BRS Finance Corp - 144A 6.625% 01/31/2029 Callable @ 101.656 09/15/2024 | | 87,000 | | | 87,920 |
Boise Cascade Co - 144A 4.875% 07/01/2030 Callable @ 102.438 07/01/2025 | | 10,000 | | | 9,275 |
Carpenter Technology Corp 6.375% 07/15/2028 Callable @ 101.594 07/15/2024 | | 50,000 | | | 49,940 |
Carpenter Technology Corp 7.625% 03/15/2030 Callable @ 103.813 03/15/2025 | | 17,000 | | | 17,583 |
Chemours Co/The - 144A 4.625% 11/15/2029 Callable @ 102.313 11/15/2024 | | 25,000 | | | 21,893 |
Chemours Co/The - 144A 5.750% 11/15/2028 Callable @ 101.917 11/15/2024 | | 178,000 | | | 167,786 |
Cleveland- 144A Cliffs Inc - 4.625% 03/01/2029 Callable @ 102.313 03/01/2024 | | 40,000 | | | 37,500 |
Cleveland- 144A Cliffs Inc - 4.875% 03/01/2031 Callable @ 102.438 03/01/2026 | | 29,000 | | | 26,104 |
Cleveland- 144A Cliffs Inc - 6.750% 04/15/2030 Callable @ 103.375 04/15/2026 | | 45,000 | | | 45,293 |
Element Solutions Inc - 144A 3.875% 09/01/2028 Callable @ 100.969 09/01/2024 | | 100,000 | | | 91,372 |
Kaiser Aluminum Corp - 144A 4.500% 06/01/2031 Callable @ 102.250 06/01/2026 | | 30,000 | | | 25,616 |
Knife River Holding Co - 144A 7.750% 05/01/2031 Callable @ 103.875 05/01/2026 | | 20,000 | | | 21,009 |
LABL Escrow Issuer LLC - 144A 6.750% 07/15/2026 Callable @ 100.000 07/15/2024 | | 130,000 | | | 126,462 |
LABL Escrow Issuer LLC - 144A 10.500% 07/15/2027 Callable @ 100.000 07/15/2024 | | 65,000 | | | 62,086 |
Mauser Packaging Solutions Holding Co - 144A 7.875% 08/15/2026 Callable @ 103.938 08/15/2024 | | 295,000 | | | 298,441 |
Mauser Packaging Solutions Holding Co - 144A 9.250% 04/15/2027 Callable @ 106.938 10/15/2024 | | 100,000 | | | 96,524 |
NOVA Chemicals Corp - 144A 4.250% 05/15/2029 Callable @ 102.125 05/15/2024 | | 106,000 | | | 89,169 |
NOVA Chemicals Corp - 144A 4.875% 06/01/2024 Callable @ 100.000 03/03/2024 | | 15,000 | | | 14,880 |
NOVA Chemicals Corp - 144A 5.250% 06/01/2027 Callable @ 100.000 03/03/2027 | | 70,000 | | | 64,995 |
NOVA Chemicals Corp - 144A 8.500% 11/15/2028 Callable @ 104.250 11/15/2025 | | 39,000 | | | 40,850 |
Novelis Corp - 144A 4.750% 01/30/2030 Callable @ 102.375 01/30/2025 | | 45,000 | | | 41,753 |
Owens- 144A Brockway Glass Container Inc - 6.625% 05/13/2027 | | 68,000 | | | 67,704 |
Scotts Miracle Gro Co/The 4.000% 04/01/2031 Callable @ 102.000 04/01/2026 | | 101,000 | | | 84,456 |
Scotts Miracle Gro Co/The 4.375% 02/01/2032 Callable @ 102.188 08/01/2026 | | 56,000 | | | 46,625 |
Scotts Miracle Gro Co/The 4.500% 10/15/2029 Callable @ 102.250 10/15/2024 | | 14,000 | | | 12,389 |
Scotts Miracle Gro Co/The 5.250% 12/15/2026 Callable @ 100.000 12/15/2024 | | 135,000 | | | 130,448 |
Summit Materials LLC / Summit Materials Finance Corp - 144A 5.250% 01/15/2029 Callable @ 101.313 07/15/2024 | 54,000 | | | 51,975 |
Summit Materials LLC / Summit Materials Finance Corp - 144A 7.250% 01/15/2031 Callable @ 103.625 01/15/2027 | 24,000 | | | 24,954 |
Summit Midstream Holdings LLC / Summit Midstream Finance Corp - 144A 8.500% 10/15/2026 Callable @ 102.125 10/15/2024 | 37,000 | | | 37,004 |
Trinseo Materials Operating SCA / Trinseo Materials Finance Inc - 144A 5.125% 04/01/2029 Callable @ 102.563 04/01/2024 | 146,000 | | | 56,966 |
Trinseo Materials Operating SCA / Trinseo Materials Finance Inc - 144A 5.375% 09/01/2025 | | 21,000 | | | 17,924 |
Trivium Packaging Finance BV - 144A 5.500% 08/15/2026 Callable @ 100.000 08/15/2024 | | 200,000 | | | 195,151 |
United States Steel Corp 6.875% 03/01/2029 Callable @ 103.438 03/01/2024 | | 7,000 | | | 7,094 |
Valvoline Inc - 144A 4.250% 02/15/2030 Callable @ 102.125 02/15/2025 | | 35,000 | | | 34,774 |
WR Grace & Co- 144A Conn - 4.875% 06/15/2027 Callable @ 101.219 06/15/2024 | | 119,000 | | | 113,550 |
WR Grace Holdings LLC - 144A 5.625% 08/15/2029 Callable @ 102.813 08/15/2024 | | 28,000 | | | 24,687 |
| | | | | $ | 2,848,552 |
Real Estate (0.7%) | | | | | |
Iron Mountain Inc - 144A 5.000% 07/15/2028 Callable @ 101.250 07/15/2024 | | 7,000 | | | 6,697 |
Iron Mountain Inc - 144A 5.250% 07/15/2030 Callable @ 102.625 07/15/2025 | | 95,000 | | | 89,598 |
Kennedy Wilson Inc 4.750% 03/01/2029 Callable @ 102.375 03/01/2024 | | 20,000 | | | 16,744 |
Kennedy Wilson Inc 5.000% 03/01/2031 Callable @ 102.500 03/01/2026 | | 20,000 | | | 15,950 |
MGM Growth Properties Operating Partnership LP / MGP Finance Co- 144A Issuer Inc - 5.750% 02/01/2027 Callable @ 100.000 11/01/2026 | 44,000 | | | 44,172 |
RHP Hotel Properties LP / RHP Finance Corp - 144A 4.500% 02/15/2029 Callable @ 102.250 02/15/2024 | | 158,000 | | | 146,681 |
RHP Hotel Properties LP / RHP Finance Corp - 144A 7.250% 07/15/2028 Callable @ 103.625 07/15/2025 | | 19,000 | | | 19,602 |
| | | | | $ | 339,444 |
Utilities (1.4%) | | | | | |
AmeriGas Partners LP / AmeriGas Finance Corp 5.875% 08/20/2026 Callable @ 100.000 05/20/2026 | | 80,000 | | | 77,534 |
AmeriGas Partners LP / AmeriGas Finance Corp - 144A 9.375% 06/01/2028 Callable @ 104.688 06/01/2025 | | 39,000 | | | 40,096 |
Calpine Corp - 144A 4.625% 02/01/2029 Callable @ 102.313 02/01/2024 | | 69,000 | | | 63,700 |
Calpine Corp - 144A 5.000% 02/01/2031 Callable @ 102.500 02/01/2026 | | 30,000 | | | 27,219 |
Calpine Corp - 144A 5.250% 06/01/2026 Callable @ 100.000 06/01/2024 | | 7,000 | | | 6,888 |
NRG Energy Inc 6.625% 01/15/2027 Callable @ 100.000 07/15/2024 | | 9,000 | | | 9,024 |
NRG Energy Inc - 144A 3.375% 02/15/2029 Callable @ 101.688 02/15/2024 | | 68,000 | | | 60,126 |
NRG Energy Inc - 144A 3.625% 02/15/2031 Callable @ 101.813 02/15/2026 | | 18,000 | | | 15,426 |
NRG Energy Inc - 144A 7.000% 03/15/2033 Callable @ 100.000 12/15/2032 | | 38,000 | | | 40,110 |
PG&E Corp 5.000% 07/01/2028 Callable @ 101.667 07/01/2024 | | 40,000 | | | 38,653 |
PG&E Corp 5.250% 07/01/2030 Callable @ 102.625 07/01/2025 | | 10,000 | | | 9,549 |
(2) VISTRA CORP - 144A 7.000% 12/15/2026 Callable @ 100.000 12/15/2026 | | 70,000 | | | 67,900 |
Vistra Operations Co LLC - 144A 4.375% 05/01/2029 Callable @ 102.188 05/01/2024 | | 22,000 | | | 20,351 |
Vistra Operations Co LLC - 144A 5.000% 07/31/2027 Callable @ 100.000 07/31/2024 | | 85,000 | | | 82,302 |
Vistra Operations Co LLC - 144A 5.625% 02/15/2027 Callable @ 100.000 02/15/2024 | | 42,000 | | | 41,425 |
Vistra Operations Co LLC - 144A 7.750% 10/15/2031 Callable @ 103.875 10/15/2026 | | 75,000 | | | 77,911 |
| | | | | $ | 678,214 |
| | | | | | |
TOTAL CORPORATE BONDS (COST: $49,171,810) | | | | $ | 45,404,135 |
| | | | | | |
COMMON STOCKS (1.2%) | | | | | |
| | | | | | |
Communication Services (0.4%) | | Shares | | | |
(3) Frontier Communications Parent Inc | | 2,688 | | | 66,206 |
(3) iHeartMedia Inc | | 1,902 | | | 5,154 |
+^(3) INTELSAT EMERGENCE SA | | 3,888 | | | 108,864 |
(3) National CineMedia Inc | | 2,371 | | | 9,697 |
| | | | | $ | 189,921 |
Consumer Discretionary (0.6%) | | | | | |
+^(3) CLAIRE’S STORES | | 58 | | | 11,600 |
(3) Clear Channel Outdoor Holdings | | 4,640 | | | 7,981 |
+^(3) MyTheresa Series B Common Shares | | 21,320 | | | 5,330 |
+^(1)(3) NMG Parent LLC | | 240 | | | 26,700 |
VICI Properties, Inc | | 8,709 | | | 262,312 |
| | | | | $ | 313,923 |
Energy (0.0%) | | | | | |
(3) Chesapeake Energy Corp | | 12 | | | 925 |
| | | | | $ | 925 |
Health Care (0.2%) | | | | | |
+^(3) ENVISION HEALTHCARE CORP | | 131 | | | 1,114 |
+^(3) Mallinckrodt Equity | | 1,199 | | | 45,862 |
+^(1)(3) International Oncology Care Inc | | 1,633 | | | 28,822 |
| | | | | $ | 75,798 |
Materials (0.0%) | | | | | |
(3) Venator Finance Sarl/ Venator Materials | | 12 | | | 10,800 |
| | | | | $ | 10,800 |
| | | | | | |
TOTAL COMMON STOCK (COST: $1,200,130) | | | | $ | 591,367 |
| | | | | | |
CONVERTIBLE PREFERRED STOCKS (0.3%) | | | | | |
| | | | | | |
Consumer Discretionary (0.3%) | | Shares | | | |
+^ CLAIRE’S CONVERTIBLE PREFERRED EQUITY | | 47 | | | 91,650 |
+^ MYT HOLDING CO (144A Series A) | | 53,840 | | | 31,496 |
| | | | | | 123,146 |
| | | | | | |
TOTAL CONVERTIBLE PREFERRED STOCK (COST: $75,999) | | | | $ | 123,146 |
| | | | | | |
WARRANTS (0.0%) | | | | | |
| | | | | | |
Consumer Discretionary (0.0%) | | | | | |
+^(3) NMG WARRANTS | | 690 | | $ | 9,488 |
| | | | | | |
TOTAL WARRANTS (COST: $1,797) | | | | $ | 9,488 |
| | | | | | |
TOTAL INVESTMENTS IN SECURITIES (COST: $50,449,736) (97.0%) | | | | $ | 46,128,136 |
| | | | | | |
OTHER ASSETS LESS LIABILITIES (3.0%) | | | | $ | 1,394,619 |
| | | | | | |
NET ASSETS (100%) | | | | $ | 47,522,755 |
(1) All or a portion of the security is considered restricted at January 31, 2024. See Footnote 2. |
(2) Security is perpetual and thus, does not have a predetermined maturity date. The coupon rate for this security is fixed for a period of time and may be structured to adjust thereafter. The date shown, if applicable, reflects the next call date. The coupon rate shown is the rate in effect as of January 31, 2024. |
(3) Non-income producing security. |
(4) Issue is in default. |
(5) Interest or dividend is partial paid-in-kind and partial cash. Rate paid in-kind is shown in parenthesis. |
+ The level 3 assets were a result of unavailable quoted prices from and active market or the unavailability of other significant observable inputs. See Footnote 3. |
* Indicates all or a portion of bonds are segregated by the custodian to cover when-issued or delayed-delivery purchases when they occur. |
^ Deemed by management to be illiquid security. See Footnote 2. Total fair value of illiquid securities amount to $463,696 representing 0.98% of net assets as of January 31, 2024. |
144A - Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities are deemed to be liquid under procedures approved by the Fund’s Board of Trustees and may normally be sold to qualified institutional buyers in transactions exempt from registration. Total fair value of Rule 144A Securities amounts to $36,676,671 representing 77.2% of net assets as of January 31, 2024. |
PLC - Public Limited Company |
|
|
The accompanying notes are an integral part of these financial statements. |
INTEGRITY MID-NORTH AMERICAN RESOURCES FUND
PORTFOLIO MARKET SECTORS January 31, 2024 (unaudited)
Energy | 83.4% |
Cash Equivalents and Other | 3.4% |
Industrials | 4.8% |
Consumer Discretionary | 1.0% |
Information Technologies | 2.5% |
Consumer Staples | 1.4% |
Utilities | 3.5% |
| 100.0% |
Market sectors are breakdowns of the Fund’s portfolio holdings into specific investment classes.
These percentages are based on net assets.
SCHEDULE OF INVESTMENTS January 31, 2024 (unaudited)
| | | | Fair |
| | Shares | | Value |
COMMON STOCKS (96.6%) | | | |
| | | | |
Consumer Discretionary (1.0%) | | | |
*Tesla Inc | 6,000 | $ | 1,123,740 |
| | | | |
Consumer Staples (1.4%) | | | |
*Darling Ingredients Inc | 39,000 | | 1,688,700 |
| | | | |
Energy (83.4%) | | | |
*Antero Resources Corp | 45,000 | | 1,005,300 |
Baker Hughes a GE Co | 30,000 | | 855,000 |
Cactus Inc | 60,000 | | 2,546,400 |
Cheniere Energy Inc | 43,000 | | 7,051,570 |
Coterra EnerCoterra Energy Inc | 55,000 | | 1,368,400 |
Devon Energy Corp | 75,000 | | 3,151,500 |
Diamondback Energy Inc | 34,000 | | 5,227,160 |
Enbridge Inc | 145,000 | | 5,147,500 |
EOG Resources Inc | 18,000 | | 2,048,220 |
Excelerate Energy Inc | 100,000 | | 1,532,000 |
Exxon Mobil Corp | 70,000 | | 7,196,700 |
Halliburton Co | 112,000 | | 3,992,800 |
Marathon Oil Corp | 180,000 | | 4,113,000 |
New Fortress Energy Inc | 40,000 | | 1,329,200 |
Ovintiv Inc | 75,000 | | 3,181,500 |
Patterson UTI Energy Inc | 360,000 | | 3,992,400 |
Pembina Pipeline Corp | 90,000 | | 3,098,700 |
Permian Resources Corp | 340,000 | | 4,583,200 |
Phillips 66 | 36,000 | | 5,195,160 |
Shell PLC ADR | 70,000 | | 4,403,700 |
SM Energy Co | 40,000 | | 1,483,200 |
Solaris Oilfield Infrastructure Inc | 55,000 | | 412,500 |
Targa Resources Corp | 120,000 | | 10,195,200 |
Tenaris SA ADR | 135,000 | | 4,294,350 |
Texas Pacific Land Corp | 2,800 | | 4,091,724 |
Valero Energy Corp | 30,000 | | 4,167,000 |
| | | | 95,663,384 |
Industrials (4.8%) | | | |
*Array Technologies Inc | 170,000 | | 2,250,800 |
*Generac Holdings Inc | 9,000 | | 1,023,030 |
*Plug Power Inc | 28,000 | | 124,600 |
*Shoals Technologies Group Inc | 160,000 | | 2,107,200 |
| | | | 5,505,630 |
Information Technologies (2.5%) | | | |
*Enphase Energy Inc | 22,000 | | 2,290,860 |
*SolarEdge Technologies Inc | 8,000 | | 532,000 |
| | | | 2,822,860 |
Utilities (3.5%) | | | |
Entergy Corp | 40,000 | | 3,990,400 |
| | | | |
TOTAL INVESTMENTS (Cost $106,393,026) | | $ | 110,794,714 |
| | | | |
OTHER ASSETS LESS LIABILITIES (3.4%) | | $ | 3,872,913 |
| | | | |
NET ASSETS (100.0%) | | $ | 114,667,627 |
*Non-income producing |
ADR - American Depositary Receipt |
PLC – Public Limited Company |
|
|
The accompanying notes are an integral part of these financial statements. |
INTEGRITY SHORT TERM GOVERNMENT FUND
PORTFOLIO MARKET SECTORS January 31, 2024 (Unaudited)
Mortgage Backed Securities | 82.0% |
U.S. Government Note/Bonds | 17.0% |
Cash Equivalents and Other | 1.0% |
| 100.0% |
Market sectors are breakdowns of the Fund’s portfolio holdings into specific investment classes.
These percentages are based on net assets.
SCHEDULE OF INVESTMENTS January 31, 2024 (Unaudited)
| | Principal | | Fair |
| | Amount | | Value |
MORTGAGE BACKED SECURITIES (82.0%) | | | |
| | | | |
Fannie Mae Pool (18.8%) | | | |
FN 252284 6.5% 1/1/2029 | 25,435 | $ | 25,720 |
FN 47935 4.907% 5/1/2027 (11th District COFI Replacment Index + 1.254%)(a) | 407 | | 400 |
FN 555326 5.5% 4/1/2033 | 56,219 | | 57,897 |
FN 745751 5.5% 9/1/2035 | 14,003 | | 14,413 |
FN 748375 5.457% 8/1/2033 | 544 | | 539 |
FN 888073 5.5% 2/1/2035 | 9,841 | | 10,128 |
FN AL9858 3% 3/1/2030 | 64,292 | | 62,265 |
FN BM1231 3.5% 11/1/2031 | 87,186 | | 85,163 |
FN BX3957 6% 1/1/2053 | 36,386 | | 37,066 |
FN BY1788 6% 5/1/2053 | 155,238 | | 157,735 |
FN BY3768 6.5% 7/1/2053 | 99,506 | | 101,611 |
FN CA6065 3% 6/1/2050 | 133,091 | | 114,770 |
FN CB5525 6% 1/1/2053 | 413,606 | | 419,970 |
FN CB5542 5.5% 1/1/2053 | 47,492 | | 47,789 |
FN CB6762 6% 7/1/2053 | 93,408 | | 94,915 |
FN DA5011 6.5% 11/1/2053 | 272,989 | | 281,528 |
FN FM2209 3.5% 1/1/2035 | 56,032 | | 54,266 |
FN FS3411 6% 1/1/2053 | 154,100 | | 157,139 |
FN FS4979 5.5% 5/1/2053 | 477,318 | | 479,382 |
FN MA3067 3.5% 7/1/2047 | 102,241 | | 92,755 |
FN MA3725 3.5% 7/1/2049 | 35,092 | | 31,485 |
FN MA4908 6% 1/1/2043 | 409,730 | | 415,658 |
FN MA4935 6% 2/1/2043 | 171,316 | | 173,795 |
FN MA5031 7% 4/1/2053 | 198,690 | | 202,595 |
| | | | 3,118,984 |
Fannie Mae Remics (6.9%) | | | |
FNR 2007-54 EF 5.79912% 6/25/2037 (SOFR 30 Day Average + 0.340%)(a) | 212,024 | | 207,764 |
FNR 2009-46 FB 6.15912% 6/25/2039 (SOFR 30 Day Average + 0.700%)(a) | 365,010 | | 359,681 |
FNR 2018-5 FA 5.80912% 2/25/2048 (SOFR 30 Day Average + 0.350%)(a) | 321,389 | | 310,741 |
FNR 2023-14 E 6% 6/25/2048 | 264,169 | | 267,783 |
| | | | 1,145,969 |
Fannie Mae-Aces (2.2%) | | | |
FNA 2015-M3 X2 0.395091% 10/25/2024 (b)(c) | 22,215,868 | | 12,663 |
FNA 2019-M32 X2 1.22527% 10/25/2029 (b)(c) | 4,159,999 | | 196,839 |
FNA 2020-M10 X6 1.50065% 8/25/2028 (b)(c) | 3,428,435 | | 156,117 |
| | | | 365,619 |
Freddie Mac Pool (13.7%) | | | |
FR QF6560 5.5% 1/1/2053 | 424,650 | | 426,486 |
FR QF8178 6% 2/1/2053 | 143,399 | | 145,597 |
FR QF8450 6% 3/1/2053 | 89,420 | | 90,888 |
FR QG1921 6.5% 5/1/2053 | 182,106 | | 186,865 |
FR QG5777 6.5% 6/1/2053 | 93,528 | | 96,101 |
FR QG6170 6% 7/1/2053 | 146,529 | | 148,806 |
FR QH1757 6.5% 10/1/2053 | 96,965 | | 99,809 |
FR QS0276 6% 2/1/2033 | 267,223 | | 279,683 |
FR RB5221 6% 2/1/2043 | 407,390 | | 413,970 |
FR SD4252 6.5% 10/1/2053 | 385,449 | | 396,191 |
| | | | 2,284,396 |
Freddie Mac Gold Pool (1.5%) | | | |
FG G01584 5% 8/1/2033 | 25,059 | | 25,359 |
FG G16406 3% 1/1/2028 | 39,992 | | 38,928 |
FG H09207 6.5% 8/1/2038 | 8,721 | | 8,870 |
FG NB0014 3.5% 4/1/2049 | 181,756 | | 168,930 |
| | | | 242,087 |
Freddie Mac Multifamily Structured Pass Through Certificates (4.9%) | | | |
FHMS K078 XAM 0.146595% 6/25/2028 (b)(c) | 33,580,000 | | 91,707 |
FHMS K115 X1 1.425952% 6/25/2030 (b)(c) | 1,391,901 | | 92,490 |
FHMS K507 X1 0.261207% 9/25/2028 (b)(c) | 31,980,291 | | 192,982 |
FHMS K736 X1 1.407658% 7/25/2026 (b)(c) | 5,950,747 | | 144,246 |
FHMS K738 X1 1.622042% 1/25/2027 (b)(c) | 1,873,380 | | 65,761 |
FHMS K742 X1 0.865604% 3/25/2028 (b)(c) | 2,488,242 | | 52,032 |
FHMS Q004 A2H 5.341733% 1/25/2046 (b) | 108,268 | | 107,577 |
FHMS Q007 APT1 6.137352% 10/25/2047 (b) | 22,620 | | 22,556 |
FHMS Q016 XPT1 0.981% 5/25/2026 (b)(c) | 3,027,159 | | 53,003 |
| | | | 822,354 |
Freddie Mac REMICS (2.5%) | | | |
FHR 2344 ZD 6.5% 8/15/2031 | 6,962 | | 7,134 |
FHR 2801 FG 5.91048% 7/15/2032 (SOFR 30 Day Average + 0.450%)(a) | 384,792 | | 383,374 |
FHR 3784 PD 4% 1/15/2026 | 542 | | 538 |
FHR 4753 GT 3% 2/15/2045 | 22,143 | | 22,064 |
| | | | 413,110 |
FRESB Mortgage Trust (3.3%) | | | |
FRESB 2015-SB2 A5 6.15855% 7/25/2035 (SOFR 30 Day Average + 0.700%)(a) | 43,126 | | 42,888 |
FRESB 2015-SB3 A5 6.15855% 8/25/2042 (SOFR 30 Day Average + 0.700%)(a) | 3,128 | | 3,099 |
FRESB 2015-SB7 A5 6.15855% 9/25/2035 (SOFR 30 Day Average + 0.700%)(a) | 175,097 | | 174,082 |
FRESB 2016-SB13 A5H 6.15855% 1/25/2036 (SOFR 30 Day Average + 0.700%)(a) | 92,741 | | 92,110 |
FRESB 2016-SB16 A5H 6.15855% 5/25/2036 (SOFR 30 Day Average + 0.700%)(a) | 57,986 | | 57,467 |
FRESB 2019-SB60 A5H 6.15855% 1/25/2039 (b) | 186,803 | | 185,005 |
| | | | 554,651 |
Ginnie Mae I Pool (0.1%) | | | |
GN 741854 4% 5/15/2025 | 8,854 | | 8,718 |
GN 782618 4.5% 4/15/2024 | 1,238 | | 1,234 |
| | | | 9,952 |
Ginnie Mae II Pool (6.4%) | | | |
G2 CR1853 7% 11/20/2052 | 78,009 | | 80,202 |
G2 MA6402 4.5% 1/20/2050 | 15,058 | | 14,526 |
G2 MA9107 6% 8/20/2053 | 197,487 | | 200,824 |
G2 MA9173 6.5% 9/20/2053 | 594,536 | | 608,118 |
G2 MA9243 6.5% 10/20/2053 | 158,778 | | 162,512 |
| | | | 1,066,182 |
Government National Mortgage Association (20.1%) | | | |
GNR 2013-105 IO 0.16784% 6/16/2054 (b)(c) | 4,189,904 | | 5,078 |
GNR 2013-15 IO 0.56229% 8/16/2051 (b)(c) | 1,817,511 | | 39,126 |
GNR 2013-33 IO 0.20949% 4/16/2054 (b)(c) | 5,730,271 | | 16,572 |
GNR 2014-73 IO 0.41791% 4/16/2056 (b)(c) | 2,814,540 | | 31,908 |
GNR 2015-130 IO 0.70194% 7/16/2057 (b)(c) | 1,358,227 | | 37,165 |
GNR 2016-158 IO 0.75453% 6/16/2058 (b)(c) | 2,138,940 | | 70,354 |
GNR 2016-34 IO 0.90992% 1/16/2058 (b)(c) | 2,487,523 | | 95,491 |
GNR 2016-52 IO 0.76278% 3/16/2058 (b)(c) | 4,229,610 | | 139,763 |
GNR 2016-94 IO 0.78956% 12/16/2057 (b)(c) | 2,807,003 | | 65,995 |
GNR 2017-127 IO 0.54601% 2/16/2059 (b)(c) | 4,653,277 | | 150,347 |
GNR 2017-143 IO 0.47256% 1/16/2059 (b)(c) | 2,633,901 | | 60,598 |
GNR 2017-28 IO 0.68507% 2/16/2057 (b)(c) | 2,019,314 | | 68,976 |
GNR 2017-76 IO 0.79066% 12/16/2056 (b)(c) | 1,725,117 | | 70,819 |
GNR 2018-108 IA 0.67318% 8/16/2060 (b)(c) | 882,912 | | 50,403 |
GNR 2018-119 IO 0.67452% 5/16/2060 (b)(c) | 656,084 | | 34,938 |
GNR 2018-2 IO 0.70544% 12/16/2059 (b)(c) | 1,294,569 | | 53,252 |
GNR 2019-75 IO 0.85498% 12/16/2060 (b)(c) | 2,850,154 | | 159,053 |
GNR 2020-121 IO 0.89315% 8/16/2060 (b)(c) | 965,451 | | 57,944 |
GNR 2020-132 IO 0.84941% 9/16/2062 (b)(c) | 1,510,138 | | 91,421 |
GNR 2020-168 IA 0.97812% 12/16/2062 (b)(c) | 1,067,415 | | 74,607 |
GNR 2020-177 IO 0.81756% 6/16/2062 (b)(c) | 1,684,267 | | 97,898 |
GNR 2020-40 IO 0.87509% 1/16/2062 (b)(c) | 1,647,974 | | 92,140 |
GNR 2020-57 JI 1.79433% 1/16/2060 (b)(c) | 2,387,319 | | 261,758 |
GNR 2020-87 AI 1.86685% 5/16/2060 (b)(c) | 877,535 | | 100,536 |
GNR 2020-H19 SI 0% 10/20/2070 (b)(c) | 952,304 | | 22,157 |
GNR 2021-10 IO 0.98628% 5/16/2063 (b)(c) | 1,360,951 | | 92,911 |
GNR 2021-110 IO 0.87306% 11/16/2063 (b)(c) | 2,209,891 | | 143,780 |
GNR 2021-150 IO 1.03207% 11/16/2063 (b)(c) | 1,032,832 | | 67,678 |
GNR 2021-36 IO 1.28865% 3/16/2063 (b)(c) | 1,979,561 | | 164,559 |
GNR 2021-37 IO 0.80469% 1/16/2061 (b)(c) | 1,700,774 | | 99,449 |
GNR 2021-47 IO 0.99222% 3/16/2061 (b)(c) | 1,085,793 | | 74,916 |
GNR 2021-63 IO 0.81525% 4/16/2061 (b)(c) | 4,179,377 | | 248,911 |
GNR 2021-H06 YI 1.04744% 4/20/2071 (b)(c) | 1,695,933 | | 92,773 |
GNR 2021-H08 VF 6.54526% 4/20/2071 (SOFR 30 Day Average + 1.200%)(a) | 215,754 | | 218,320 |
GNR 2021-H11 IY 0.27492% 7/20/2071 (b)(c) | 2,570,907 | | 62,769 |
GNR 2022-H07 IG 1.77673% 2/20/2072 (b)(c) | 1,453,495 | | 57,826 |
GNR 2023-H02 IK 1.17643% 1/20/2073 (b)(c) | 1,058,106 | | 74,953 |
| | | | 3,347,144 |
Seasoned Credit Risk Transfer Trust Series (1.6%) | | | |
SCRT 2018-3 MA 3.5% 8/25/2057 (b) | 48,017 | | 45,375 |
SCRT 2020-3 M5TW 3% 5/25/2060 | 82,057 | | 73,282 |
SCRT 2021-1 TTU 2.5% 9/25/2060 | 157,974 | | 141,965 |
| | | | 260,622 |
| | | | |
TOTAL MORTGAGE BACKED SECURITIES (Cost: $14,638,564) | | $ | 13,631,070 |
| | | | |
U.S. GOVERNMENT TREASURY BILLS (17.0%) | | | |
United States Treasury Bill 5.218% 2/8/2024 | 1,200,000 | | 1,198,795 |
United States Treasury Bill 5.238% 4/2/2024 | 1,500,000 | | 1,486,673 |
United States Treasury Bill 5.258% 3/7/2024 | 150,000 | | 149,232 |
| | | |
TOTAL U.S. GOVERNMENT NOTES/BONDS (Cost $2,834,771) | | $ | 2,834,700 |
| | | | |
TOTAL INVESTMENTS (Cost $17,473,335) (99.0%) | | $ | 16,465,770 |
| | | | |
OTHER ASSETS LESS LIABILITIES (1.0%) | | $ | 164,364 |
| | | | |
NET ASSETS (100.0%) | | $ | 16,630,134 |
(a) | Variable rate security; the rate shown represents the rate at January 31, 2024. Coupon may be fixed for a period of time. |
(b) | Variable rate security; the rate shown represents the rate at January 31, 2024. The coupon is based on an underlying pool of loans. |
(c) | Represents an interest-only security that entitles holders to receive only interest payments on underlying mortgages. |
SOFR - Secured Overnight Financing Rate |
SOFR 30 Day Average - SOFR 30 Day Average, rate disclosed as of January 31, 2024, based on the last reset date of the security. |
ECOFC - Enterprise 11th District COFI Replacement Index |
1 Month ECOFC - 1 Month ECOFC rate disclosed as of January 31, 2024, based on the last reset date of the security. |
11th District COFI Replacement Index rate disclosed as of January 31, 2024, based on the last reset date of the security. |
|
|
The accompanying notes are an integral part of these financial statements. |
Statements of Assets and Liabilities | For the six months ended January 31, 2024
| | Dividend | | Dividend | | Growth |
| | Harvest | | Summit | | & Income |
| | Fund | | Fund | | Fund |
ASSETS | | | | | | | | |
Investments in securities, at cost | $ | 282,097,575 | | $ | 783,907 | | $ | 44,433,294 |
| | | | | | | | |
Investments in securities, at value | $ | 312,891,320 | | $ | 791,690 | | $ | 80,501,545 |
Cash and cash equivalents | | 4,073,844 | | | 65,207 | | | 10,226,034 |
Receivable for Fund shares sold | | 251,225 | | | - | | | 3,212 |
Accrued dividends receivable | | 883,684 | | | 2,792 | | | 89,013 |
Accrued interest receivable | | 24,595 | | | 266 | | | 41,207 |
Receivable from affiliate | | 139,440 | | | 6,688 | | | 36,098 |
Prepaid expenses | | 33,459 | | | 9 | | | 19,749 |
Other assets | | 2,785 | | | - | | | - |
Total assets | $ | 318,300,352 | | $ | 866,652 | | $ | 90,916,858 |
| | | | | | | | |
LIABILITIES | | | | | | | | |
Payable for Fund shares redeemed | $ | 256,732 | | $ | - | | $ | 8,862 |
Trustees’ fees payable | | 2,979 | | | 19 | | | 672 |
Payable to affiliates | | 307,216 | | | 6,317 | | | 121,052 |
Accrued expenses | | 58,858 | | | - | | | - |
Total liabilities | $ | 625,785 | | $ | 6,336 | | $ | 130,586 |
| | | | | | | | |
NET ASSETS | $ | 317,674,567 | | $ | 860,316 | | $ | 90,786,272 |
| | | | | | | | |
NET ASSETS ARE REPRESENTED BY: | | | | | | | | |
Capital stock outstanding, $.001 par value, unlimited shares authorized | $ | 285,675,532 | | $ | 856,012 | | $ | 55,124,191 |
Distributable earnings | | 31,999,035 | | | 4,304 | | | 35,662,081 |
| | | | | | | | |
NET ASSETS | $ | 317,674,567 | | $ | 860,316 | | $ | 90,786,272 |
| | | | | | | | |
Net Assets - Class A | $ | 109,966,569 | | $ | 90,114 | | $ | 55,101,157 |
Net Assets - Class C | $ | 27,255,238 | | $ | 50,438 | | $ | 6,923,275 |
Net Assets - Class I | $ | 180,452,760 | | $ | 719,764 | | $ | 28,761,840 |
Shares outstanding - Class A | | 6,639,655 | | | 8,987 | | | 642,983 |
Shares outstanding - Class C | | 1,660,354 | | | 5,000 | | | 83,405 |
Shares outstanding - Class I | | 10,886,423 | | | 71,899 | | | 335,006 |
Net asset value per share - Class A* | | $16.56 | | | $10.03 | | | $85.70 |
Maximum sales charge - Class A | | 5.00% | | | 5.00% | | | 5.00% |
Public offering price per share - Class A | | $17.43 | | | $10.56 | | | $90.21 |
Net asset value per share - Class C* | | $16.42 | | | $10.09 | | | $83.01 |
Net asset value per share - Class I | | $16.58 | | | $10.01 | | | $85.85 |
|
* 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. |
Statements of Assets and Liabilities | For the six months ended January 31, 2024
| | High | | MNA | | Short Term |
| | Income | | Resources | | Government |
| | Fund | | Fund | | Fund |
ASSETS | | | | | | | | |
Investments in securities, at cost | $ | 50,449,736 | | $ | 106,393,026 | | $ | 17,473,335 |
| | | | | | | | |
Investments in securities, at value | $ | 46,128,136 | | $ | 110,794,714 | | $ | 16,465,770 |
Cash and cash equivalents | | 664,069 | | | 4,062,680 | | | 408,980 |
Security sales receivable | | 270,272 | | | - | | | 237,971 |
Receivable for Fund shares sold | | 18,303 | | | 50,498 | | | - |
Accrued dividends receivable | | - | | | 99,300 | | | - |
Accrued interest receivable | | 774,660 | | | 11,195 | | | 135,839 |
Receivable from affiliate | | 26,151 | | | 15,610 | | | 4,202 |
Prepaid expenses | | 538 | | | 1,113 | | | - |
Other assets | | 2,002 | | | - | | | - |
Total assets | $ | 47,884,131 | | $ | 115,035,110 | | $ | 17,252,762 |
| | | | | | | | |
LIABILITIES | | | | | | | | |
Payable for securities purchased | $ | 258,988 | | $ | - | | $ | 594,689 |
Payable for Fund shares redeemed | | 20,882 | | | 178,967 | | | - |
Trustees’ fees payable | | 472 | | | 1,462 | | | 133 |
Payable to affiliates | | 58,950 | | | 160,765 | | | 15,830 |
Accrued expenses | | 22,084 | | | 26,289 | | | 11,976 |
Total liabilities | $ | 361,376 | | $ | 367,483 | | $ | 622,628 |
| | | | | | | | |
NET ASSETS | $ | 47,522,755 | | $ | 114,667,627 | | $ | 16,630,134 |
| | | | | | | | |
NET ASSETS ARE REPRESENTED BY: | | | | | | | | |
Capital stock outstanding, $.001 par value, unlimited shares authorized | $ | 53,065,859 | | $ | 293,797,923 | | $ | 26,661,519 |
Distributable earnings (accumulated losses) | | (5,543,104) | | | (179,130,296) | | | (10,031,385) |
| | | | | | | | |
NET ASSETS | $ | 47,522,755 | | $ | 114,667,627 | | $ | 16,630,134 |
| | | | | | | | |
Net Assets - Class A | $ | 23,870,550 | | $ | 72,710,402 | | $ | 213,396 |
Net Assets - Class C | $ | 3,372,469 | | $ | 4,926,014 | | $ | N/A |
Net Assets - Class I | $ | 20,279,736 | | $ | 37,031,211 | | $ | 16,416,738 |
Shares outstanding - Class A | | 3,270,084 | | | 14,953,266 | | | 25,613 |
Shares outstanding - Class C | | 460,909 | | | 1,019,810 | | | N/A |
Shares outstanding - Class I | | 2,780,724 | | | 7,682,325 | | | 1,968,118 |
Net asset value per share - Class A* | | $7.30 | | | $4.86 | | | $8.33 |
Maximum sales charge - Class A | | 4.25% | | | 5.00% | | | 2.00% |
Public offering price per share - Class A | | $7.62 | | | $5.12 | | | $8.50 |
Net asset value per share - Class C* | | $7.32 | | | $4.83 | | | N/A |
Net asset value per share - Class I | | $7.29 | | | $4.82 | | | $8.34 |
| | | | | | | | |
* 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. |
Statements of Operations | For the six months ended January 31, 2024
| | Dividend | | Dividend | | Growth |
| | Harvest | | Summit | | & Income |
| | Fund | | Fund | | Fund |
INVESTMENT INCOME | | | | | | | | |
Dividends (net of foreign withholding taxes of $93,587, $530, and $0, respectively) | $ | 6,457,994 | | $ | 21,978 | | $ | 661,500 |
Interest | | 70,412 | | | 1,050 | | | 242,081 |
Total investment income | $ | 6,528,406 | | $ | 23,028 | | $ | 903,581 |
| | | | | | | | |
EXPENSES | | | | | | | | |
Investment advisory fees | $ | 1,178,595 | | $ | 2,896 | | $ | 421,866 |
Distribution (12b-1) fees - Class A | | 133,803 | | | 72 | | | 65,066 |
Distribution (12b-1) fees - Class C | | 131,941 | | | 249 | | | 31,425 |
Transfer agent fees | | 272,015 | | | 6,745 | | | 81,985 |
Administrative service fees | | 238,569 | | | 24,737 | | | 83,258 |
Professional fees | | 53,185 | | | 253 | | | 664 |
Reports to shareholders | | 17,330 | | | 77 | | | 940 |
License, fees, and registrations | | 32,435 | | | 3,176 | | | 12,755 |
Audit fees | | 43,042 | | | 331 | | | 4,804 |
Trustees’ fees | | 16,634 | | | 109 | | | 3,689 |
Transfer agent out-of-pockets | | 18,691 | | | 272 | | | 5,846 |
Custodian fees | | 13,594 | | | 120 | | | 14 |
Legal fees | | 24,116 | | | 90 | | | 4,449 |
Insurance expense | | 3,010 | | | 19 | | | 526 |
Total expenses | $ | 2,176,960 | | $ | 39,146 | | $ | 717,287 |
Less expenses waived or reimbursed (See Note 7) | | (812,135) | | | (39,111) | | | (203,035) |
Total net expenses | $ | 1,364,825 | | $ | 35 | | $ | 514,252 |
| | | | | | | | |
NET INVESTMENT INCOME (LOSS) | $ | 5,163,581 | | $ | 22,993 | | $ | 389,329 |
| | | | | | | | |
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS | | | | | | | | |
Net realized gain (loss) from investment transactions | $ | 8,158,945 | | $ | 3,894 | | $ | 116,488 |
Net change in unrealized appreciation (depreciation) of investments | | (6,865,407) | | | (13,566) | | | 5,252,196 |
Net realized and unrealized gain (loss) on investments | $ | 1,293,538 | | $ | (9,672) | | $ | 5,368,684 |
| | | | | | | | |
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 6,457,119 | | $ | 13,321 | | $ | 5,758,013 |
| | | | | | | | |
The accompanying notes are an integral part of these financial statements. |
Statements of Operations | For the six months ended January 31, 2024
| | High | | MNA | | Short Term |
| | Income | | Resources | | Government |
| | Fund | | Fund | | Fund |
INVESTMENT INCOME | | | | | | | | |
Dividends (net of foreign withholding taxes of $0, $49,733, and $0, respectively) | $ | 15,661 | | $ | 1,650,120 | | $ | - |
Interest | | 1,581,185 | | | 134,236 | | | 309,728 |
Total investment income | $ | 1,596,846 | | $ | 1,784,356 | | $ | 309,728 |
| | | | | | | | |
EXPENSES | | | | | | | | |
Investment advisory fees | $ | 208,523 | | $ | 320,887 | | $ | 21,690 |
Distribution (12b-1) fees - Class A | | 29,360 | | | 202,637 | | | 358 |
Distribution (12b-1) fees - Class C | | 16,326 | | | 29,286 | | | - |
Transfer agent fees | | 35,488 | | | 121,569 | | | 11,693 |
Administrative service fees | | 58,542 | | | 114,045 | | | 28,222 |
Professional fees | | 419 | | | 17,834 | | | 18 |
Reports to shareholders | | 913 | | | 18,405 | | | - |
License, fees, and registrations | | 15,702 | | | 32,090 | | | - |
Audit fees | | 4,323 | | | 19,943 | | | 392 |
Trustees’ fees | | 2,669 | | | 8,450 | | | 747 |
Transfer agent out-of-pockets | | 23 | | | 57,170 | | | - |
Custodian fees | | 9,140 | | | 2,916 | | | 73 |
Legal fees | | 3,499 | | | 12,389 | | | 1,144 |
Insurance expense | | 366 | | | 1,566 | | | 8 |
Total expenses | $ | 385,293 | | $ | 959,187 | | $ | 64,345 |
Less expenses waived or reimbursed (See Note 7) | | (158,115) | | | (86,286) | | | (24,223) |
Total net expenses | $ | 227,178 | | $ | 872,901 | | $ | 40,122 |
| | | | | | | | |
NET INVESTMENT INCOME (LOSS) | $ | 1,369,668 | | $ | 911,455 | | $ | 269,606 |
| | | | | | | | |
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS | | | | | | | | |
Net realized gain (loss) from investment transactions | $ | (356,190) | | $ | 6,575,857 | | $ | (700,289) |
Net change in unrealized appreciation (depreciation) of investments | | 1,513,856 | | | (17,384,032) | | | 883,273 |
Net realized and unrealized gain (loss) on investments | $ | 1,157,666 | | $ | (10,808,175) | | $ | 182,984 |
| | | | | | | | |
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 2,527,334 | | $ | (9,896,720) | | $ | 452,590 |
| | | | | | | | | |
The accompanying notes are an integral part of these financial statements. |
Statements of Changes in Net Assets | For the six months ended January 31, 2024
| | Dividend | | Dividend | | Growth |
| | Harvest | | Summit | | & Income |
| | Fund | | Fund | | Fund |
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS | | | | | | | | |
Net investment income (loss) | $ | 5,163,581 | | $ | 22,993 | | $ | 389,329 |
Net realized gain (loss) from investment transactions | | 8,158,945 | | | 3,894 | | | 116,488 |
Net change in unrealized appreciation (depreciation) of investments | | (6,865,407) | | | (13,566) | | | 5,252,196 |
Net increase (decrease) in net assets resulting from operations | $ | 6,457,119 | | $ | 13,321 | | $ | 5,758,013 |
| | | | | | | | |
DISTRIBUTIONS TO SHAREHOLDERS | | | | | | | | |
Distributions - Class A | $ | (1,725,604) | | $ | (1,757) | | $ | (1,198,404) |
Distributions - Class C | | (330,836) | | | (1,242) | | | (105,476) |
Distributions - Class I | | (3,114,734) | | | (19,979) | | | (668,373) |
Total distributions | $ | (5,171,174) | | $ | (22,978) | | $ | (1,972,253) |
| | | | | | | | |
CAPITAL SHARE TRANSACTIONS | | | | | | | | |
Proceeds from sale of shares - Class A | $ | 5,320,763 | | $ | 40,975 | | $ | 1,956,179 |
Proceeds from sale of shares - Class C | | 1,818,420 | | | - | | | 647,532 |
Proceeds from sale of shares - Class I | | 26,444,321 | | | 218,065 | | | 3,795,242 |
Proceeds from reinvested dividends - Class A | | 1,554,522 | | | 324.69 | | | 1,143,379 |
Proceeds from reinvested dividends - Class C | | 310,726 | | | - | | | 102,058 |
Proceeds from reinvested dividends - Class I | | 2,726,885 | | | 16,055 | | | 573,396 |
Cost of shares redeemed - Class A | | (9,564,172) | | | - | | | (2,575,852) |
Cost of shares redeemed - Class C | | (2,894,026) | | | - | | | (429,716) |
Cost of shares redeemed - Class I | | (47,604,448) | | | (56,715.61) | | | (2,421,363) |
Net increase (decrease) in net assets resulting from capital share transactions | $ | (21,887,009) | | $ | 218,704 | | $ | 2,790,855 |
| | | | | | | | |
TOTAL INCREASE (DECREASE) IN NET ASSETS | $ | (20,601,064) | | $ | 209,047 | | $ | 6,576,615 |
NET ASSETS, BEGINNING OF PERIOD | | 338,275,631 | | | 651,269 | | | 84,209,657 |
NET ASSETS, END OF PERIOD | $ | 317,674,567 | | $ | 860,316 | | $ | 90,786,272 |
| | | | | | | | |
The accompanying notes are an integral part of these financial statements. |
Statements of Changes in Net Assets | For the six months ended January 31, 2024
| | High | | MNA | | Short Term |
| | Income | | Resources | | Government |
| | Fund | | Fund | | Fund |
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS | | | | | | | | |
Net investment income (loss) | $ | 1,369,668 | | $ | 911,455 | | $ | 269,606 |
Net realized gain (loss) from investment transactions | | (356,190) | | | 6,575,857 | | | (700,289) |
Net change in unrealized appreciation (depreciation) of investments | | 1,513,870 | | | (17,384,032) | | | 883,273 |
Net increase (decrease) in net assets resulting from operations | $ | 2,527,348 | | $ | (9,896,720) | | $ | 452,590 |
| | | | | | | | |
DISTRIBUTIONS TO SHAREHOLDERS | | | | | | | | |
Distributions - Class A | $ | (648,301) | | $ | (577,352) | | $ | (4,799) |
Distributions - Class C | | (77,818) | | | (26,319) | | | N/A |
Distributions - Class I | | (642,840) | | | (402,883) | | | (280,724) |
Total distributions | $ | (1,368,959) | | $ | (1,006,554) | | $ | (285,523) |
| | | | | | | | |
CAPITAL SHARE TRANSACTIONS | | | | | | | | |
Proceeds from sale of shares - Class A | $ | 1,205,181 | | $ | 1,376,137 | | $ | - |
Proceeds from sale of shares - Class C | | 162,008 | | | 21,938 | | | N/A |
Proceeds from sale of shares - Class I | | 6,363,511 | | | 1,363,063 | | | 6,457,844 |
Proceeds from reinvested dividends - Class A | | 544,413 | | | 556,277 | | | 4,799 |
Proceeds from reinvested dividends - Class C | | 57,672 | | | 25,445 | | | N/A |
Proceeds from reinvested dividends - Class I | | 448,845 | | | 298,505 | | | 238,914 |
Cost of shares redeemed - Class A | | (1,327,939) | | | (10,044,475) | | | (103,007) |
Cost of shares redeemed - Class C | | (288,319) | | | (1,198,139) | | | N/A |
Cost of shares redeemed - Class I | | (9,632,967) | | | (5,509,635) | | | (5,147,667) |
Net increase (decrease) in net assets resulting from capital share transactions | $ | (2,467,595) | | $ | (13,110,884) | | $ | 1,450,883 |
| | | | | | | | |
TOTAL INCREASE (DECREASE) IN NET ASSETS | $ | (1,309,206) | | $ | (24,014,158) | | $ | 1,617,950 |
NET ASSETS, BEGINNING OF PERIOD | | 48,831,961 | | | 138,681,785 | | | 15,012,184 |
NET ASSETS, END OF PERIOD | $ | 47,522,755 | | $ | 114,667,627 | | $ | 16,630,134 |
| | | | | | | | |
| |
The accompanying notes are an integral part of these financial statements. |
Statements of Changes in Net Assets | For the year/period ended July 31, 2023
| | Dividend | | Dividend | | Growth |
| | Harvest | | Summit | | & Income |
| | Fund | | Fund * | | Fund |
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS | | | | | | | | |
Net investment income (loss) | $ | 9,870,676 | | $ | 9,221 | | $ | 441,805 |
Net realized gain (loss) from investment transactions | | 308,372 | | | (7,387) | | | 795,915 |
Net change in unrealized appreciation (depreciation) of investments | | 6,733,207 | | | 21,348 | | | 7,795,435 |
Net increase (decrease) in net assets resulting from operations | $ | 16,912,255 | | $ | 23,182 | | $ | 9,033,155 |
| | | | | | | | |
DISTRIBUTIONS TO SHAREHOLDERS | | | | | | | | |
Distributions - Class A | $ | (4,929,518) | | $ | (739) | | $ | (624,715) |
Distributions - Class C | | (926,454) | | | (646) | | | (48,221) |
Distributions - Class I | | (7,802,863) | | | (7,835) | | | (255,733) |
Total distributions | $ | (13,658,835) | | $ | (9,220) | | $ | (928,669) |
| | | | | | | | |
CAPITAL SHARE TRANSACTIONS | | | | | | | | |
Proceeds from sale of shares - Class A | $ | 20,446,194 | | $ | 50,000 | | $ | 3,490,627 |
Proceeds from sale of shares - Class C | | 7,866,830 | | | 50,000 | | | 960,177 |
Proceeds from sale of shares - Class I | | 107,819,407 | | | 529,460 | | | 11,023,659 |
Proceeds from reinvested dividends - Class A | | 4,432,110 | | | - | | | 591,724 |
Proceeds from reinvested dividends - Class C | | 865,103 | | | - | | | 46,084 |
Proceeds from reinvested dividends - Class I | | 6,792,274 | | | 7,847 | | | 210,787 |
Cost of shares redeemed - Class A | | (19,553,346) | | | - | | | (6,943,441) |
Cost of shares redeemed - Class C | | (3,533,450) | | | - | | | (972,555) |
Cost of shares redeemed - Class I | | (41,645,833) | | | - | | | (10,600,945) |
Net increase (decrease) in net assets resulting from capital share transactions | $ | 83,489,289 | | $ | 637,307 | | $ | (2,193,883) |
| | | | | | | | |
TOTAL INCREASE (DECREASE) IN NET ASSETS | $ | 86,742,709 | | $ | 651,269 | | $ | 5,910,603 |
NET ASSETS, BEGINNING OF PERIOD | | 251,532,922 | | | - | | | 78,299,054 |
NET ASSETS, END OF PERIOD | $ | 338,275,631 | | $ | 651,269 | | $ | 84,209,657 |
| | | | | | | | |
* For the period May 1, 2023 (commencement of operations) through July 31, 2023 |
|
The accompanying notes are an integral part of these financial statements. |
Statements of Changes in Net Assets | For the year ended July 31, 2023
| | High | | MNA | | Short Term |
| | Income | | Resources | | Government |
| | Fund | | Fund | | Fund |
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS | | | | | | | | |
Net investment income (loss) | $ | 2,554,901 | | $ | 2,402,137 | | $ | 23,598 |
Net realized gain (loss) from investment transactions | | (446,689) | | | 17,924,236 | | | (2,204,207) |
Net change in unrealized appreciation (depreciation) of investments | | (1,030,827) | | | (12,160,937) | | | 1,696,615 |
Net increase (decrease) in net assets resulting from operations | $ | 1,077,385 | | $ | 8,165,436 | | $ | (483,994) |
| | | | | | | | |
DISTRIBUTIONS TO SHAREHOLDERS | | | | | | | | |
Distributions - Class A | $ | (1,212,257) | | $ | (1,354,558) | | $ | (1,769) |
Distributions - Class C | | (144,476) | | | (76,981) | | | N/A |
Distributions - Class I | | (1,198,170) | | | (920,220) | | | (64,633) |
Total distributions | $ | (2,554,903) | | $ | (2,351,759) | | $ | (66,402) |
| | | | | | | | |
CAPITAL SHARE TRANSACTIONS | | | | | | | | |
Proceeds from sale of shares - Class A | $ | 650,085 | | $ | 6,500,987 | | $ | - |
Proceeds from sale of shares - Class C | | 424,468 | | | 690,712 | | | N/A |
Proceeds from sale of shares - Class I | | 7,382,988 | | | 12,221,748 | | | 966,985 |
Proceeds from reinvested dividends - Class A | | 1,013,441 | | | 1,300,020 | | | 1,769 |
Proceeds from reinvested dividends - Class C | | 109,718 | | | 73,332 | | | N/A |
Proceeds from reinvested dividends - Class I | | 926,483 | | | 683,988 | | | 57,097 |
Cost of shares redeemed - Class A | | (3,810,405) | | | (18,933,192) | | | (380,183) |
Cost of shares redeemed - Class C | | (702,044) | | | (3,372,337) | | | N/A |
Cost of shares redeemed - Class I | | (9,340,963) | | | (13,341,019) | | | (5,395,913) |
Net increase (decrease) in net assets resulting from capital share transactions | $ | (3,346,229) | | $ | (14,175,761) | | $ | (4,750,245) |
| | | | | | | | |
TOTAL INCREASE (DECREASE) IN NET ASSETS | $ | (4,823,747) | | $ | (8,362,084) | | $ | (5,300,641) |
NET ASSETS, BEGINNING OF PERIOD | | 53,655,708 | | | 147,043,869 | | | 20,312,825 |
NET ASSETS, END OF PERIOD | $ | 48,831,961 | | $ | 138,681,785 | | $ | 15,012,184 |
| | | | | | | | |
| |
|
The accompanying notes are an integral part of these financial statements. |
NOTES TO FINANCIAL STATEMENTS (unaudited)
NOTE 1: Organization
The Integrity Funds (the “Trust”) was organized as a Delaware statutory trust on October 31, 1997 and commenced operations on October 31, 1997. The Trust is registered under the Investment Company Act of 1940 as an open-end management investment company, consisting of five series (the “Funds”).
Integrity Dividend Harvest Fund (the “Dividend Harvest Fund”), a diversified fund, seeks high current income with long term appreciation as a secondary objective. Integrity Dividend Summit Fund (the “Dividend Summit Fund”), a non-diversified fund commencing operations on May 1, 2023, seeks high current income with long term appreciation as a secondary objective. Integrity Growth & Income Fund (the “Growth & Income Fund”), a diversified fund, seeks to provide long-term growth of capital with dividend income as a secondary objective. Integrity High Income Fund (the “High Income Fund”), a diversified fund, seeks a high level of current income with capital appreciation as a secondary objective. Integrity Mid-North American Resources Fund (the “MNA Resources Fund”), a diversified fund, seeks to provide long-term growth through capital appreciation. Integrity Short Term Government Fund (the “S-T Gov Fund”), a diversified fund, seeks to achieve a high and stable rate of total return, when and as opportunities are available in the context of preserving capital in adverse markets.
Each Fund in the Trust, except for S-T Gov Fund, currently offers Class A, C, and I shares. S-T Gov Fund offers Class A and I shares. The Class A shares of Dividend Harvest Fund, Dividend Summit Fund, Growth & Income Fund, High Income Fund, MNA Resources Fund and S-T Gov Fund are sold with an initial sales charge of 5.00%, 5.00%, 5.00%, 4.25%, 5.00% and 2.00%, respectively, and a distribution fee of up to 0.25% on an annual basis. Class C shares are sold without a sales charge and are subject to a distribution fee of up to 1.00% on an annual basis. Class I shares are sold without a sales charge or distribution fee. The three classes of shares (two classes for S-T Gov Fund) represent interest in each Fund’s same portfolio of investments, have the same rights, and are generally identical in all respects except that each class bears its separate distribution and certain other class expenses and has exclusive voting rights with respect to any matter on which a separate vote of any class is required.
Under the Trust’s organizational documents, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In addition, in the normal course of business, the Funds enter into contracts with their vendors and others that provide for general indemnifications. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds. However, based on experience, the Funds expect that risk of loss to be remote.
Each 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.
NOTE 2: Summary of Significant Accounting Policies
Investment security valuation—The Funds value their investments at fair value. Securities for which market quotations are available are valued as follows: (a) Listed securities are valued at the closing price obtained from the respective primary exchange on which the security is listed or, if there were no sales on that day, at its last reported current bid price; (b) Unlisted securities are valued at the last current bid price obtained from the National Association of Securities Dealers’ Automated Quotation System. The Funds’ administrative services agent, Integrity Fund Services, LLC (“Integrity Fund Services” or “IFS”) obtains all of these prices from services that collect and disseminate such market prices. Prices provided by an independent pricing service may be determined without exclusive reliance on quoted prices and may take into account appropriate factors such as: institutional-size trading in similar groups of securities, yield, quality, coupon rate, maturity, type of issue, trading characteristics, and other market data. In the absence of an ascertainable market value, assets are valued at their fair value as determined by IFS using methods and procedures reviewed and approved by the Board of Trustees. 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 each Fund’s 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—Class A shares of $1 million or more may be subject to a 1.00% contingent deferred sales charge (“CDSC”) if redeemed within 24 months of purchase (excluding shares purchased with reinvested dividends and/or distributions). Investments in Class C shares (in any amount) may be subject to a 1.00% CDSC if redeemed within 12 months of purchase.
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 January 31, 2024, 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 six months ended January 31, 2024, the Funds did not incur any interest or penalties.
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, which include the current and prior three tax years, are open for examination by taxing authorities. Furthermore, management of the Funds is also 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 debt securities are accreted and amortized into interest income using the effective yield method over the lives of the respective securities.
Cash and cash equivalents—The Funds consider investments in an FDIC insured interest bearing savings account to be cash. The Fund maintains balances, which, at times, may exceed federally insured limits. The Fund maintains these balances with a high quality financial institution.
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 specific identification basis. Interest income and estimated expenses are accrued daily. Dividend income is recognized on the ex-dividend date. Gains and losses on principal payments of mortgage-backed securities (paydown gains and losses) are included as an adjustment to interest income in the Statement of Operations. Withholding taxes on foreign dividends have been provided for in accordance with the Funds’ understanding of the applicable countries’ tax rules and regulations. Dividend Harvest Fund, Dividend Summit Fund, and S-T Gov Fund will declare and pay dividends from net investment income monthly. MNA Resources Fund will declare and pay dividends from net investment income quarterly. Growth & Income Fund will declare and pay dividends from net investment income at least annually. The High Income Fund declares dividends from net investment income daily and pays such dividends monthly. Dividends are reinvested in additional shares of the Funds at net asset value or paid in cash. Capital gains, when available, are distributed at least annually. 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 (“GAAP”). These differences are primarily due to differing treatments for capital loss carryforwards and losses due to wash sales. 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 financial statements have been prepared in accordance with GAAP, which 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 increase (decrease) from operations 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.
Multiple class allocations—The High Income Fund simultaneously uses the settled shares method to allocate income and fund-wide expenses and uses the relative net assets method to allocate gains and losses. Dividend Harvest Fund, Dividend Summit Fund, Growth & Income Fund, MNA Resources Fund and S-T Gov Fund use the relative net assets method to allocate income, fund-wide expenses, gains and losses. Class-specific expenses, distribution fees, and any other items that are specifically attributable to a particular class are charged directly to such class.
Illiquid securities—A security may be considered to be illiquid if it has a limited trading market. Securities are generally considered to be liquid if they can be sold or disposed of in the ordinary course of business within seven days at approximately the price at which the security is valued by the Funds. These securities are valued at fair value as described above. Each Fund intends to hold no more than 15% of its net assets in illiquid securities. Of the illiquid securities listed on the Schedules of Investments, the following securities are considered to be restricted as of January 31, 2024:
High Income Fund | Shares/Principal | Dates Acquired | Cost Basis | Fair Value |
International Oncology Care Inc. | 1,633 | 2/22/18 | 66,476 | $ 28,822 |
NMG Equity Shares | 37 | 9/25/20 | 84 | $ 4,116 |
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 Funds’ 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 January 31, 2024:
Dividend Harvest Fund | | Level 1 | | Level 2 | | Level 3 | | Total |
Common Stocks | | $ | 312,891,320 | | $ | 0 | | $ | 0 | | $ | 312,891,320 |
Total | | $ | 312,891,320 | | $ | 0 | | $ | 0 | | $ | 312,891,320 |
| | | | | | | | | | | | |
Dividend Summit Fund | | Level 1 | | Level 2 | | Level 3 | | Total |
Common Stocks | | $ | 791,690 | | $ | 0 | | $ | 0 | | $ | 791,690 |
Total | | $ | 791,690 | | $ | 0 | | $ | 0 | | $ | 791,690 |
| | | | | | | | | | | | | |
Growth & Income Fund | | Level 1 | | Level 2 | | Level 3 | | Total |
Common Stocks | | $ | 80,501,545 | | $ | 0 | | $ | 0 | | $ | 80,501,545 |
Total | | $ | 80,501,545 | | $ | 0 | | $ | 0 | | $ | 80,501,545 |
| | | | | | | | | | | | |
High Income Fund | | Level 1 | | Level 2 | | Level 3 | | Total |
Corporate Bonds* | | $ | 0 | | $ | 45,301,365 | | $ | 102,770 | | $ | 45,404,135 |
Common Stock | | | 363,075 | | | 0 | | | 228,292 | | | 591,367 |
Convertible Preferred Stock | | | 0 | | | 0 | | | 123,146 | | | 123,146 |
Warrants | | | 0 | | | 0 | | | 9,488 | | | 9,488 |
Total | | $ | 363,075 | | $ | 45,301,365 | | $ | 463,696 | | $ | 46,128,136 |
| | | | | | | | |
MNA Resources Fund | | Level 1 | | Level 2 | | Level 3 | | Total |
Common Stocks | | $ | 110,794,714 | | $ | 0 | | $ | 0 | | | 110,794,714 |
Total | | $ | 110,794,714 | | $ | 0 | | $ | 0 | | $ | 110,794,714 |
| | | | | | | | | | | | | |
ST Gov Fund | | Level 1 | | Level 2 | | Level 3 | | Total |
Mortgage Backed Securities | | $ | 0 | | $ | 13,631,070 | | $ | 0 | | $ | 13,631,070 |
U.S Government Notes/Bills | | | 0 | | | 2,834,700 | | | 0 | | | 2,834,700 |
Total | | $ | 0 | | $ | 16,465,770 | | $ | 0 | | $ | 16,465,770 |
| | | | | | | | | | | | |
*Level 3 corporate bonds for High Income Fund includes a corporate bond valued at zero. |
|
Please refer to the Schedules of Investments for sector classification. |
A reconciliation of Level 3 investments, including certain disclosures related to significant inputs used in valuing Level 3 investments, are presented when a Fund has a significant amount of Level 3 investments at the beginning and/or end of the year in relation to net assets.
The changes of the fair value of investments during the six months ended January 31, 2024, for which the Funds have used Level 3 inputs to determine the fair value are as followed:
High Income Fund | Balance as 7/31/2023 | Transfers into Lv 3 | Sales | Realized Gain/ (Loss) | Change in unrealized appreciation/ depreciation | Balance as 1/31/2024 | Net Change in unrealized appreciation/ depreciation for securities held on 7/31/23 |
Common Stock | $186,215 | $226,107* | $0 | $0 | ($184,030) | $228,292 | ($9,346) |
Corporate Bonds | $41 | $172,036# | $0 | $0 | ($69,307) | $102,770 | $0 |
Convertible Preferred Stock | $137,270 | $0 | $0 | $0 | ($14,124) | $123,146 | $14,124 |
Warrants | $15,533 | $0 | $0 | $7,585 | ($13,630) | $9,488 | $6,037 |
|
*Common stock transfers into Level 3 resulted from the unavailability to obtain prices from an independent pricing service for securities that resulted from corporate actions from defaulted securities. |
#Corporate bond transfers into Level 3 resulted from the unavailability to obtain prices from an independent pricing service. |
| | | | | | Impact to | | |
| | Fair Value at | | Unobservable | | Valuation from | Weighted | |
Asset Class | Jan. 31, 2024 | Valuation Technique | Inputs | Range | Input | Average | |
Common Stock | $199,470 | Market Comparable Transaction | Indicative Value | $0.25 - $200.00 | Decrease | $50.65 | |
Common Stock | $28,822 | Market Comparable Companies | EBITDA Multiple | 4.75x | Decrease | N/A | |
Corporate Bonds | $102,770 | Market Comparable Transaction | Indicative Value | $0.00 - $0.59 | Increase | $0.56 | |
Convertible Preferred Stock | $123,146 | Market Comparable Transaction | Indicative Value | $0.585 - $1,950.00 | Decrease | $1,451.41 | |
Warrants | $9,488 | Market Comparable Transaction | Indicative Value | $13.75 | Decrease | $13.75 | |
| | | | | | | | | | | | | | | |
Unobservable inputs used in the fair value measurement of the Funds’ investments are listed above. Significant changes in any of the unobservable inputs may significantly impact the fair value measurement.
NOTE 4: Investment Transactions
Purchases and sales of investment securities (excluding short-term securities) for the six months ended January 31, 2024, were as follows:
| | | Dividend
Harvest
Fund | | Dividend
Summit
Fund | | Growth &
Income
Fund | | High
Income
Fund | | MNA
Resources
Fund | | Short Term
Government
Fund |
Purchases | | $63,345,094 | | $366,155 | | $2,038,832 | | $4,724,109 | | $32,872,117 | | $11,241,517 |
Sales | | $89,771,775 | | $214,912 | | $11,100,674 | | $6,599,074 | | $50,147,874 | | $9,311,589 |
NOTE 5: Capital Share Transactions
Transactions in capital shares were as follows:
Six Months Ended 1/31/2024: | | Dividend | | Dividend | | Growth & | | High | | MNA | | S-T |
| | Harvest | | Summit | | Income | | Income | | Resources | | Gov |
Class A | | Fund | | Fund | | Fund | | Fund | | Fund | | Fund |
Shares sold | | 335,773 | | 3,955 | | 24,351 | | 169,749 | | 269,479 | | - |
Shares issued from reinvestments | | 98,987 | | 32 | | 13,589 | | 76,320 | | 107,013 | | 584 |
Shares redeemed | | (603,231) | | - | | (31,563) | | (186,035) | | (1,972,826) | | (12,392) |
Net increase (decrease) | | (168,471) | | 3,987 | | 6,377 | | 60,034 | | (1,596,334) | | (11,808) |
| | | | | | | | | | | | |
Class C | | | | | | | | | | | | |
Shares sold | | 115,280 | | - | | 8,299 | | 22,557 | | 4,203 | | N/A |
Shares issued from reinvestments | | 19,964 | | - | | 1,251 | | 8,069 | | 4,927 | | N/A |
Shares redeemed | | (187,537) | | - | | (5,585) | | (40,390) | | (237,573) | | N/A |
Net increase (decrease) | | (52,293) | | - | | 3,965 | | (9,764) | | (228,443) | | N/A |
| | | | | | | | | | | | |
Class I | | | | | | | | | | | | |
Shares sold | | 1,673,594 | | 21,763 | | 46,990 | | 897,379 | | 266,042 | | 601,995 |
Shares issued from reinvestments | | 173,506 | | 1,638 | | 6,803 | | 63,131 | | 57,906 | | 28,984 |
Shares redeemed | | (3,024,176) | | (5,534) | | (30,104) | | (1,348,691) | | (1,092,982) | | (447,352) |
Net increase (decrease) | | (1,177,076) | | 17,867 | | 23,689 | | (388,181) | | (769,034) | | 183,627 |
| | | | | | | | | | | | |
Year Ended 7/31/2023: | | Dividend | | Dividend | | Growth & | | High | | MNA | | S-T |
| | Harvest | | Summit | | Income | | Income | | Resources | | Gov |
Class A | | Fund | | Fund | | Fund | | Fund | | Fund | | Fund |
Shares sold | | 1,272,469 | | 5,000 | | 47,723 | | 91,744 | | 1,271,692 | | - |
Shares issued from reinvestments | | 277,570 | | - | | 8,739 | | 143,775 | | 271,802 | | 217 |
Shares redeemed | | (1,220,573) | | - | | (96,887) | | (536,746) | | (3,769,487) | | (46,206) |
Net increase (decrease) | | 329,466 | | 5,000 | | (40,425) | | (301,227) | | (2,225,993) | | (45,989) |
| | | | | | | | | | | | |
Class C | | | | | | | | | | | | |
Shares sold | | 493,935 | | 5,000 | | 13,325 | | 59,494 | | 131,946 | | N/A |
Shares issued from reinvestments | | 54,636 | | - | | 701 | | 15,532 | | 15,490 | | N/A |
Shares redeemed | | (223,047) | | - | | (13,772) | | (99,002) | | (665,300) | | N/A |
Net increase (decrease) | | 325,524 | | 5,000 | | 254 | | (23,976) | | (517,864) | | N/A |
| | | | | | | | | | | | |
Class I | | | | | | | | | | | | |
Shares sold | | 6,694,472 | | 53,230 | | 149,017 | | 1,043,183 | | 2,446,713 | | 118,115 |
Shares issued from reinvestments | | 425,235 | | 802 | | 3,109 | | 131,554 | | 144,134 | | 6,980 |
Shares redeemed | | (2,598,173) | | - | | (148,685) | | (1,322,176) | | (2,675,892) | | (665,156) |
Net increase (decrease) | | 4,521,534 | | 54,032 | | 3,441 | | (147,439) | | (85,045) | | (540,061) |
NOTE 6: Income Tax Information
The tax character of current year distributions paid and the tax basis of the current components of accumulated earnings (deficit) will be determined at the end of the current tax year ending July 31, 2024.
At July 31, 2023, the unrealized appreciation (depreciation) based on the cost of investments for federal income tax purposes was as follows:
| | Dividend | | Dividend | | Growth & | | High | | MNA | | S-T |
| | Harvest | | Summit | | Income | | Income | | Resources | | Gov |
| | Fund | | Fund | | Fund | | Fund | | Fund | | Fund |
Investments at cost | $ | 300,380,881 | | $ | 628,771 | | $ | 53,378,647 | | $ | 52,653,008 | | $ | 117,092,925 | | $ | 16,832,739 |
Unrealized appreciation | $ | 49,157,610 | | $ | 32,860 | | $ | 31,074,920 | | $ | 514,180 | | $ | 26,625,264 | | $ | 40,081 |
Unrealized depreciation | | (11,498,458) | | | 11,512 | | | (258,865) | | | (6,354,988) | | | (4,839,544) | | | (1,930,919) |
Net unrealized appreciation* | $ | 37,659,152 | | $ | 21,348 | | $ | 30,816,055 | | $ | (5,840,808) | | $ | 21,785,720 | | $ | (1,890,838) |
| | | | | | | | | | | | | | | | | |
*Differences between financial reporting-basis and tax-basis unrealized appreciation/ (depreciation) are due to tax deferral of losses on wash sales. |
The tax character of distributions paid was as follows:
Year ended July 31, 2023: | Dividend | | Dividend | | Growth & | | High | | MNA | | S-T | |
Harvest | | Summit* | | Income | | Income | | Resources | | Gov | |
Fund | | Fund | | Fund | | Fund | | Fund | | Fund | |
Ordinary Income | $ | 9,948,645 | | $ | 9,220 | | $ | 355,797 | | $ | 2,530,290 | | $ | 2,351,759 | | $ | 66,402 | |
Return of Capital | | 0 | | | 0 | | | 0 | | | 0 | | | 0 | | | 0 | |
Capital Gain | | 3,710,190 | | | 0 | | | 572,872 | | | 0 | | | 0 | | | 0 | |
| | $ | 13,658,835 | | $ | 9,220 | | $ | 928,669 | | $ | 2,530,290 | | $ | 2,351,759 | | $ | 66,402 | |
| | | | | | | | | | | | | | | | | | | |
Year ended July 31, 2022: | | | | | | | | | | | | | | | | | | |
Ordinary Income | $ | 6,314,760 | | $ | N/A | | $ | 173,028 | | $ | 2,343,467 | | $ | 1,822,960 | | $ | 534,198 | |
Capital Gain | | 429 | | | N/A | | | 505,135 | | | 0 | | | 0 | | | 0 | |
| | $ | 6,315,189 | | $ | N/A | | $ | 678,163 | | $ | 2,343,467 | | $ | 1,822,960 | | $ | 534,198 | |
* For the period May 1, 2023 (commencement of operations) to July 31, 2023. |
As of July 31, 2023, the components of accumulated earnings/(deficit) on a tax basis were as follows:
| | Dividend | | Dividend | | Growth & | | High | | MNA | | S-T |
| | Harvest | | Summit | | Income | | Income | | Resources | | Gov |
| | Fund | | Fund | | Fund | | Fund | | Fund | | Fund |
Undistributed ordinary income | $ | 0 | | $ | 0 | | $ | 264,352 | | $ | 63,637 | | $ | 88,565 | | $ | 17,985 |
Distributions Payable | | 0 | | | 0 | | | 0 | | | (42,940) | | | 0 | | | 0 |
Undistributed capital gain | | 0 | | | 0 | | | 795,914 | | | 0 | | | 0 | | | 0 |
Capital loss carryforward | | (5,630,921) | | | (7,387) | | | 0 | | | (881,365) | | | (190,101,307) | | | (8,325,600) |
Post-October losses deferred ^ | | (1,315,141) | | | 0 | | | 0 | | | 0 | | | 0 | | | 0 |
Unrealized appreciation/ (depreciation)* | | 37,659,152 | | | 21,348 | | | 30,816,055 | | | (5,840,808) | | | 21,785,720 | | | (1,890,838) |
Total accumulated earnings/ (deficit) | $ | 30,713,090 | | $ | 13,961 | | $ | 31,876,321 | | $ | (6,701,476) | | $ | (168,227,022) | | $ | (10,198,453) |
* Differences between financial reporting-basis and tax-basis unrealized appreciation/ (depreciation) are due to tax deferral of losses on wash sales. |
^ Funds can elect to defer incurred capital losses that occur after October 31 within the fiscal year. |
Such losses are deemed to arise on the first business day of the following fiscal year for tax purposes. |
The Funds’ capital loss carryforward amounts as of July 31, 2023 are as follows:
| | Dividend | | Dividend | | Growth & | | High | | MNA | | S-T |
| | Harvest | | Summit | | Income | | Income | | Resources | | Gov |
| | Fund | | Fund | | Fund | | Fund | | Fund | | Fund |
Non-expiring S-T losses | $ | 5,630,921* | | $ | 7,387 | | $ | 0 | | $ | 18,427 | | $ | 105,524,743 | | $ | 4,538,266 |
Non-expiring L-T losses | | 0 | | | 0 | | | 0 | | | 862,938 | | | 84,576,564 | | | 3,787,334 |
Total | $ | 5,630,921 | | $ | 7,387 | | $ | 0 | | $ | 881,365 | | $ | 190,101,307 | | $ | 8,325,600 |
Capital loss carryforward utilized | $ | 368,337 | | $ | 0 | | $ | 0 | | $ | 0 | | $ | 17,924,236 | | $ | 0 |
| | | | | | | | | | | | | | | | | |
*Dividend Harvest Fund’s ability to use the capital loss carryforward of MD Sass Equity Fund may be limited by loss limitation rules under federal tax law. |
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 distributor; and Integrity Fund Services, the Funds’ transfer, accounting, and administrative services agent; are subsidiaries of Corridor Investors, LLC (“Corridor Investors” or “Corridor”), the Funds’ sponsor. For Integrity High Income Fund, JPMIM is the sub-adviser. For S-T Gov Fund, M.D. Sass Investor Services, Inc. is the sub-adviser. 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 each Fund’s average daily net assets. VFM has also contractually agreed to waive its management fee and to reimburse expenses that are not covered by the management fee, other than extraordinary or non-recurring expenses, taxes, brokerage fees, commissions and acquired fund fees and expenses, so that the net annual operating expenses do not exceed a certain rate. After November 29, 2024, the expense limitations may be terminated or revised for the Funds. Expense limitations as of January 31, 2024, are stated below.
| | | Contractual Waiver % |
| Advisory Fee % | | Class A | | Class C | | Class I |
Dividend Harvest Fund | 0.75% | | 0.95% | | 1.70% | | 0.70% |
Dividend Summit Fund | 0.75% | | 0.99% | | 1.74% | | 0.74% |
Growth & Income Fund | 1.00% | | 1.24% | | 1.99% | | 0.99% |
High Income Fund | 0.85% | | 0.99% | | 1.74% | | 0.74% |
MNA Resources Fund | 0.50% | | 1.50% | | 2.00% | | 1.00% |
S-T Gov Fund | 0.30% | | 0.80% | | N/A | | 0.55% |
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. There were voluntary waivers for the six month period ended January 31, 2024 for Dividend Summit Fund beyond the expense limitation agreement to maintain a 0.00% expense ratio in the initial months of operation for each class of shares. An expense limitation lowers expense ratios and increases returns to investors. Certain Officers of the Funds are also Officers and Governors of VFM.
| | Six Months Ended 1/31/2024 | | Payable 1/31/2024 |
| | Advisory | | Waived | | Reimb. | | Advisory | | Waived | | Reimb. |
Dividend Harvest Fund | $ | 1,178,595 | | $ | 812,135 | | $ | 0 | | $ | 204,715 | | $ | 139,440 | | $ | 0 |
Dividend Summit Fund | $ | 2,896 | | $ | 2,896 | | $ | 36,215 | | $ | 555 | | $ | 555 | | $ | 6,133 |
Growth & Income Fund | $ | 421,866 | | $ | 203,035 | | $ | 0 | | $ | 75,912 | | $ | 36,098 | | $ | 0 |
High Income Fund | $ | 208,523 | | $ | 158,115 | | $ | 0 | | $ | 34,035 | | $ | 26,151 | | $ | 0 |
MNA Resources Fund | $ | 320,887 | | $ | 86,286 | | $ | 0 | | $ | 49,534 | | $ | 15,610 | | $ | 0 |
S-T Gov Fund | $ | 21,690 | | $ | 21,690 | | $ | 2,533 | | $ | 4,209 | | $ | 4,202 | | $ | 0 |
VFM is entitled to recoup such amounts waived or reimbursed for a period of up to three years from the date on which VFM waived fees or reimbursed expenses for each Fund. Each Fund will make repayments to the VFM only if such repayment does not cause the annual Fund operating expenses (after the repayment is taken into account) to exceed both (1) the expense limitation in place when such amounts were waived and (2) the Fund’s current expense limitation. Amounts subject to recoupment and expiration dates are as follow:
| | 7/31/2024 | | 7/31/2025 | | 7/31/2026 |
Dividend Harvest Fund | $ | 833,118 | | $ | 980,581 | | $ | 1,443,402 |
Dividend Summit Fund | $ | N/A | | $ | N/A | | $ | 18,895 |
Growth & Income Fund | $ | 349,463 | | $ | 478,641 | | $ | 429,172 |
High Income Fund | $ | 285,771 | | $ | 367,256 | | $ | 340,855 |
MNA Resources Fund | $ | 110,668 | | $ | 2,135 | | $ | 89,643 |
S-T Gov Fund | $ | 124,077 | | $ | 102,559 | | $ | 86,774 |
IFD serves as the principal underwriter and distributor for the Funds and receives sales charges deducted from Fund share sales proceeds and CDSC from applicable Fund share redemptions. Also, the Funds 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 its 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 currently pay an annual distribution fee and/or service fee of up to 0.25% (0.50% for MNA Resources Fund) for Class A and 1.00% for Class C of the average daily net assets. Class I shares do not have a 12b-1 plan in place. Certain Officers of the Funds are also Officers and Governors of IFD.
| | Six Months Ended 1/31/2024 | | Payable 1/31/2024 |
| | Sales Charges | | CDSC | | Distribution Fees | | Distribution Fees |
Dividend Harvest Fund - A | $ | 128,173 | | $ | 0 | | $ | 133,803 | | $ | 23,477 |
Dividend Harvest Fund - C | $ | 0 | | $ | 2,726 | | $ | 131,941 | | $ | 23,113 |
Dividend Summit Fund - A | $ | 2,175 | | $ | 0 | | $ | 72 | | $ | 19 |
Dividend Summit Fund - C | $ | 0 | | $ | 0 | | $ | 249 | | $ | 43 |
Growth & Income Fund - A | $ | 31,199 | | $ | 0 | | $ | 65,066 | | $ | 11,603 |
Growth & Income Fund - C | $ | 0 | | $ | 350 | | $ | 31,425 | | $ | 5,759 |
High Income Fund - A | $ | 5,374 | | $ | 0 | | $ | 29,360 | | $ | 5,102 |
High Income Fund - C | $ | 0 | | $ | 384 | | $ | 16,326 | | $ | 2,811 |
MNA Resources Fund - A | $ | 13,985 | | $ | 100 | | $ | 202,637 | | $ | 31,386 |
MNA Resources Fund - C | $ | 0 | | $ | 82 | | $ | 29,286 | | $ | 4,314 |
S-T Gov Fund - A | $ | 0 | | $ | 0 | | $ | 358 | | $ | 43 |
IFS acts as the transfer agent for High Income Fund and S-T Gov Fund at a monthly variable fee equal to 0.12% on the first $0 to $200 million and at a lower rate in excess of $200 million of the Funds’ average daily net assets on an annual basis and an additional fee of $500 per month for each additional share class plus reimbursement of out-of-pocket expenses and sub-transfer agent out-of-pocket expenses. IFS acts as the transfer agent for Dividend Harvest Fund, Dividend Summit Fund, Growth & Income Fund, and MNA Resources Fund at a monthly variable fee equal to 0.18% on the first $0 to $200 million, 0.15% on the next $200 to $700 million and at a lower rate in excess of $700 million of the Funds’ average daily net assets on an annual basis and an additional fee of $500 per month for each additional share class plus reimbursement of out-of-pocket expenses and sub-transfer agent out-of-pocket expenses. Sub-transfer agent out-of-pocket expenses are included in the transfer agent fees below and in the transfer agent out-of-pocket balance on the Statements of Operations.
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% on the first $0 to $200 million, 0.13% on the next $200 to $700 million and at a lower rate in excess of $700 million of the Funds’ average daily net assets on an annual basis and an additional fee of $1,000 per month for each additional share class plus reimbursement of out-of-pocket expenses. Certain Officers of the Funds are also Officers and Governors of IFS.
| | Six Months Ended 1/31/2024 | | Payable 1/31/2024 |
| | Transfer | | Admin. | | Transfer | | Admin. |
| | Agency Fees | | Service Fees | | Agency Fees | | Service Fees |
Dividend Harvest Fund | $ | 290,706 | | $ | 238,569 | | $ | 14,652 | | $ | 41,259 |
Dividend Summit Fund | $ | 7,017 | | $ | 24,737 | | $ | 1,519 | | $ | 4,181 |
Growth & Income Fund | $ | 87,831 | | $ | 83,258 | | $ | 13,073 | | $ | 14,705 |
High Income Fund | $ | 35,511 | | $ | 58,542 | | $ | 7,320 | | $ | 9,682 |
MNA Resources Fund | $ | 178,739 | | $ | 114,045 | | $ | 57,585 | | $ | 17,946 |
S-T Gov Fund | $ | 11,693 | | $ | 28,222 | | $ | 6,564 | | $ | 5,014 |
NOTE 8: Principal Risks
The High Income Fund may be invested in lower-rated debt securities that have a higher risk of default or loss of value since these securities may be sensitive to economic changes, political changes or adverse developments specific to the issuer.
The MNA Resources Fund invests significantly in relatively few sectors, primarily the energy sector, and has more exposure to the price movement of this sector than funds that diversify their investments among many sectors.
NOTE 9: Beneficial Ownership
The beneficial ownership, either directly or indirectly, of more than 25% of the voting securities of a fund creates a presumption of control of the fund, under Section 2(a)(9) of the 1940 Act. At January 31, 2024, the following shareholders held over 25% of S-T Gov Class I’s shares outstanding:
| | | |
| Marc Brownstein | 32.69% | |
| Northern California Bakery Drivers Fund | 30.80% | |
NOTE 10: Subsequent Events
The Funds are required to recognize in the financial statements the effects of all subsequent events that provide additional evidence about conditions that existed at the date of the Statements of Assets and Liabilities. For non-recognized subsequent events that must be disclosed to keep the financial statements from being misleading, the Funds are required to disclose the nature of the event as well as an estimate of its financial effect, or a statement that such an estimate cannot be made. Management has evaluated the impact of all subsequent events on the Funds through the issuance date of these financial statements and has noted no such events requiring disclosure.
INTEGRITY DIVIDEND HARVEST FUND - CLASS A
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 16.44 | | $ | 16.33 | | $ | 15.12 | | $ | 12.71 | | $ | 14.06 | | $ | 14.24 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.26 | | $ | 0.52 | | $ | 0.50 | | $ | 0.47 | | $ | 0.48 | | $ | 0.44 |
Net realized and unrealized gain (loss) on investments(2) | | 0.12 | | | 0.31 | | | 1.21 | | | 2.41 | | | (0.74) | | | 0.66 |
Total from investment operations | $ | 0.38 | | $ | 0.83 | | $ | 1.71 | | $ | 2.88 | | $ | (0.26) | | $ | 1.10 |
| | | | | | | | | | | | | | | | | | |
Less Distributions: | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.26) | | $ | (0.51) | | $ | (0.50) | | $ | (0.47) | | $ | (0.49) | | $ | (0.43) |
Distributions from return of capital | | 0.00 | | | 0.00 | | | 0.00 | | | 0.00 | | | (0.01) | | | 0.00 |
Distributions from net realized gains | | 0.00 | | | (0.21) | | | 0.00 | | | 0.00 | | | (0.59) | | | (0.85) |
Total distributions | $ | (0.26) | | $ | (0.72) | | $ | (0.50) | | $ | (0.47) | | $ | (1.09) | | $ | (1.28) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 16.56 | | $ | 16.44 | | $ | 16.33 | | $ | 15.12 | | $ | 12.71 | | $ | 14.06 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 2.39% | | 5.31% | | 11.41% | | 23.09% | | (2.39%) | | 8.75% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $109,967 | | $111,909 | | $105,799 | | $88,405 | | $80,762 | | $91,602 |
Ratio of expenses to average net assets after waivers^(3) | 0.95% | | 0.95% | | 0.95% | | 0.95% | | 0.95% | | 0.95% |
Ratio of expenses to average net assets before waivers ^ | 1.47% | | 1.43% | | 1.44% | | 1.48% | | 1.50% | | 1.51% |
Ratio of net investment income to average net assets ^ (3) | 3.22% | | 3.23% | | 3.13% | | 3.39% | | 3.58% | | 3.17% |
Portfolio turnover rate # | 20.41% | | 22.79% | | 14.84% | | 42.14% | | 51.62% | | 47.71% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY DIVIDEND HARVEST FUND - CLASS C
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 16.29 | | $ | 16.19 | | $ | 15.00 | | $ | 12.61 | | $ | 13.96 | | $ | 14.15 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.20 | | $ | 0.39 | | $ | 0.38 | | $ | 0.37 | | $ | 0.38 | | $ | 0.34 |
Net realized and unrealized gain (loss) on investments(2) | | 0.13 | | | 0.31 | | | 1.19 | | | 2.39 | | | (0.74) | | | 0.65 |
Total from investment operations | $ | 0.33 | | $ | 0.70 | | $ | 1.57 | | $ | 2.76 | | $ | (0.36) | | $ | 0.99 |
| | | | | | | | | | | | | | | | | | |
Less Distributions: | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.20) | | $ | (0.39) | | $ | (0.38) | | $ | (0.37) | | $ | (0.39) | | $ | (0.33) |
Distributions from return of capital | | 0.00 | | | 0.00 | | | 0.00 | | | 0.00 | | | (0.01) | | | 0.00 |
Distributions from net realized gains | | 0.00 | | | (0.21) | | | 0.00 | | | 0.00 | | | (0.59) | | | (0.85) |
Total distributions | $ | (0.20) | | $ | (0.60) | | $ | (0.38) | | $ | (0.37) | | $ | (0.99) | | $ | (1.18) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 16.42 | | $ | 16.29 | | $ | 16.19 | | $ | 15.00 | | $ | 12.61 | | $ | 13.96 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 2.09% | | 4.50% | | 10.54% | | 22.19% | | (3.13%) | | 7.92% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $27,255 | | $27,906 | | $22,463 | | $15,762 | | $14,194 | | $13,637 |
Ratio of expenses to average net assets after waivers^(3) | 1.70% | | 1.70% | | 1.70% | | 1.70% | | 1.70% | | 1.70% |
Ratio of expenses to average net assets before waivers ^ | 2.22% | | 2.18% | | 2.19% | | 2.23% | | 2.25% | | 2.26% |
Ratio of net investment income to average net assets ^ (3) | 2.46% | | 2.48% | | 2.38% | | 2.64% | | 2.83% | | 2.42% |
Portfolio turnover rate # | 20.41% | | 22.79% | | 14.84% | | 42.14% | | 51.62% | | 47.71% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY DIVIDEND HARVEST FUND - CLASS I
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 16.45 | | $ | 16.34 | | $ | 15.13 | | $ | 12.72 | | $ | 14.07 | | $ | 14.25 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.28 | | $ | 0.56 | | $ | 0.55 | | $ | 0.51 | | $ | 0.51 | | $ | 0.48 |
Net realized and unrealized gain (loss) on investments(2) | | 0.13 | | | 0.31 | | | 1.20 | | | 2.41 | | | (0.74) | | | 0.66 |
Total from investment operations | $ | 0.41 | | $ | 0.87 | | $ | 1.75 | | $ | 2.92 | | $ | (0.23) | | $ | 1.14 |
| | | | | | | | | | | | | | | | | | |
Less Distributions: | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.28) | | $ | (0.55) | | $ | (0.54) | | $ | (0.51) | | $ | (0.52) | | $ | (0.47) |
Distributions from return of capital | | 0.00 | | | 0.00 | | | 0.00 | | | 0.00 | | | (0.01) | | | 0.00 |
Distributions from net realized gains | | 0.00 | | | (0.21) | | | 0.00 | | | 0.00 | | | (0.59) | | | (0.85) |
Total distributions | $ | (0.28) | | $ | (0.76) | | $ | (0.54) | | $ | (0.51) | | $ | (1.12) | | $ | (1.32) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 16.58 | | $ | 16.45 | | $ | 16.34 | | $ | 15.13 | | $ | 12.72 | | $ | 14.07 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 2.58% | | 5.58% | | 11.68% | | 23.38% | | (2.14%) | | 9.01% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $180,453 | | $198,461 | | $123,271 | | $64,062 | | $52,298 | | $30,794 |
Ratio of expenses to average net assets after waivers^(3) | 0.70% | | 0.70% | | 0.70% | | 0.70% | | 0.70% | | 0.70% |
Ratio of expenses to average net assets before waivers ^ | 1.22% | | 1.18% | | 1.19% | | 1.23% | | 1.25% | | 1.26% |
Ratio of net investment income to average net assets ^ (3) | 3.47% | | 3.48% | | 3.38% | | 3.64% | | 3.83% | | 3.42% |
Portfolio turnover rate # | 20.41% | | 22.79% | | 14.84% | | 42.14% | | 51.62% | | 47.71% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY DIVIDEND SUMMIT FUND - CLASS A
Selected per share data and ratios for the periods indicated
| | Six Months | | Period from |
| Ended | | 5/1/23* to |
| | 1/31/24+ | | 7/31/23 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 10.17 | | $ | 10.00 |
| | | | | |
Income (loss) from investment operations: | | | | | |
Net investment income (loss)(1) | $ | 0.29 | | $ | 0.15 |
Net realized and unrealized gain (loss) on investments(2) | | (0.14) | | | 0.17 |
Total from investment operations | $ | 0.15 | | $ | 0.32 |
| | | | | | |
Dividends from net investment income | $ | (0.29) | | $ | (0.15) |
| | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 10.03 | | $ | 10.17 |
| | | | | | |
|
Total Return (excludes any applicable sales charge)# | 1.54% | | 3.25% |
RATIOS/SUPPLEMENTAL DATA Net assets, end of period (in thousands) | $90 | | $51 |
Ratio of expenses to average net assets after waivers^(3)(4) | 0.00% | | 0.00% |
Ratio of expenses to average net assets before waivers ^ | 10.17% | | 12.71% |
Ratio of net investment income to average net assets ^ (3)(4) | 5.79% | | 5.95% |
Portfolio turnover rate # | 29.98% | | 11.50% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
(4) | The voluntary waiver, based on average net assets, amounted to 0.99% for the six months ended January 31, 2024 and for the period May 1, 2023 (commencement of operations) through July 31, 2023. |
+ | Unaudited. |
* | Commencement of operations. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY DIVIDEND SUMMIT FUND - CLASS C
Selected per share data and ratios for the periods indicated
| | Six Months | | Period from |
| Ended | | 5/1/23* to |
| | 1/31/24+ | | 7/31/23 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 10.19 | | $ | 10.00 |
| | | | | |
Income (loss) from investment operations: | | | | | |
Net investment income (loss)(1) | $ | 0.25 | | $ | 0.13 |
Net realized and unrealized gain (loss) on investments(2) | | (0.10) | | | 0.19 |
Total from investment operations | $ | 0.15 | | $ | 0.32 |
| | | | | | |
Dividends from net investment income | $ | (0.25) | | $ | (0.13) |
| | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 10.09 | | $ | 10.19 |
| | | | | | |
Total Return (excludes any applicable sales charge)# | 1.54% | | 3.25% |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $50 | | $51 |
Ratio of expenses to average net assets after waivers^(3)(4) | 0.00% | | 0.00% |
Ratio of expenses to average net assets before waivers ^ | 11.07% | | 13.45% |
Ratio of net investment income to average net assets ^ (3)(4) | 5.04% | | 5.21% |
Portfolio turnover rate # | 29.98% | | 11.50% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
(4) | The voluntary waiver, based on average net assets, amounted to 1.74% for the six months ended January 31, 2024 and for the period May 1, 2023 (commencement of operations) through July 31, 2023. |
+ | Unaudited. |
* | Commencement of operations. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY DIVIDEND SUMMIT FUND - CLASS I
Selected per share data and ratios for the periods indicated
| | Six Months | | Period from |
| Ended | | 5/1/23* to |
| | 1/31/24+ | | 7/31/23 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 10.17 | | $ | 10.00 |
| | | | | |
Income (loss) from investment operations: | | | | | |
Net investment income (loss)(1) | $ | 0.30 | | $ | 0.15 |
Net realized and unrealized gain (loss) on investments(2) | | (0.16) | | | 0.17 |
Total from investment operations | $ | 0.14 | | $ | 0.32 |
| | | | | | |
Dividends from net investment income | $ | (0.30) | | $ | (0.15) |
| | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 10.01 | | $ | 10.17 |
| | | | | | |
|
Total Return (excludes any applicable sales charge)# | 1.46% | | 3.31% |
| | | |
RATIOS/SUPPLEMENTAL DATA Net assets, end of period (in thousands) | $720 | | $549 |
Ratio of expenses to average net assets after waivers^(3)(4) | 0.00% | | 0.00% |
Ratio of expenses to average net assets before waivers ^ | 10.04% | | 12.42% |
Ratio of net investment income to average net assets ^(3)(4) | 6.04% | | 6.20% |
Portfolio turnover rate # | 29.98% | | 11.50% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
(4) | The voluntary waiver, based on average net assets, amounted to 0.74% for the six months ended January 31, 2024 and for the period May 1, 2023 (commencement of operations) through July 31, 2023. |
+ | Unaudited. |
* | Commencement of operations. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY GROWTH & INCOME FUND - CLASS A
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 82.11 | | $ | 73.72 | | $ | 80.95 | | $ | 60.74 | | $ | 59.55 | | $ | 56.62 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.37 | | $ | 0.44 | | $ | 0.16 | | $ | 0.29 | | $ | 0.57 | | $ | 0.62 |
Net realized and unrealized gain (loss) on investments(2) | | 5.10 | | | 8.92 | | | (6.83) | | | 20.35 | | | 6.17 | | | 5.57 |
Total from investment operations | $ | 5.47 | | $ | 9.36 | | $ | (6.67) | | $ | 20.64 | | $ | 6.74 | | $ | 6.19 |
| | | | | | | | | | | | | | | | | | |
Less Distributions: | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.57) | | $ | (0.38) | | $ | (0.08) | | $ | (0.41) | | $ | (0.83) | | $ | (0.32) |
Distributions from net realized gains | | (1.31) | | | (0.59) | | | (0.48) | | | (0.02) | | | (4.72) | | | (2.94) |
Total distributions | $ | (1.88) | | $ | (0.97) | | $ | (0.56) | | $ | (0.43) | | $ | (5.55) | | $ | (3.26) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 85.70 | | $ | 82.11 | | $ | 73.72 | | $ | 80.95 | | $ | 60.74 | | $ | 59.55 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 6.71% | | 12.98% | | (8.37%) | | 34.11% | | 11.42% | | 12.21% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $55,101 | | $52,272 | | $49,909 | | $52,676 | | $39,422 | | $37,464 |
Ratio of expenses to average net assets after waivers^(3) | 1.24% | | 1.24% | | 1.24% | | 1.24% | | 1.24% | | 1.25% |
Ratio of expenses to average net assets before waivers ^ | 1.72% | | 1.83% | | 1.80% | | 1.80% | | 1.87% | | 1.93% |
Ratio of net investment income to average net assets ^ (3) | 0.90% | | 0.60% | | 0.20% | | 0.41% | | 0.98% | | 1.11% |
Portfolio turnover rate # | 2.74% | | 4.29% | | 3.78% | | 11.22% | | 11.44% | | 14.11% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY GROWTH & INCOME FUND - CLASS C
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 79.36 | | $ | 71.41 | | $ | 78.94 | | $ | 59.67 | | $ | 58.95 | | $ | 56.45 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.06 | | $ | (0.11) | | $ | (0.42) | | $ | 0.00 | | $ | 0.70 | | $ | 0.75 |
Net realized and unrealized gain (loss) on investments(2) | | 4.91 | | | 8.65 | | | (6.63) | | | 19.86 | | | 5.73 | | | 5.14 |
Total from investment operations | $ | 4.97 | | $ | 8.54 | | $ | (7.05) | | $ | 19.86 | | $ | 6.43 | | $ | 5.89 |
| | | | | | | | | | | | | | | | | | |
Less Distributions: | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.01) | | $ | 0.00 | | $ | 0.00 | | $ | (0.57) | | $ | (0.99) | | $ | (0.45) |
Distributions from net realized gains | | (1.31) | | | (0.59) | | | (0.48) | | | (0.02) | | | (4.72) | | | (2.94) |
Total distributions | $ | (1.32) | | $ | (0.59) | | $ | (0.48) | | $ | (0.59) | | $ | (5.71) | | $ | (3.39) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 83.01 | | $ | 79.36 | | $ | 71.41 | | $ | 78.94 | | $ | 59.67 | | $ | 58.95 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 6.30% | | 12.14% | | (9.05%) | | 33.44% | | 10.97% | | 11.74% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $6,923 | | $6,304 | | $5,655 | | $5,041 | | $1,092 | | $248 |
Ratio of expenses to average net assets after waivers^(3) | 1.99% | | 1.99% | | 1.99% | | 1.85% | | 1.62% | | 1.68% |
Ratio of expenses to average net assets before waivers ^ | 2.47% | | 2.58% | | 2.55% | | 2.20% | | 1.62% | | 1.68% |
Ratio of net investment income to average net assets ^ (3) | 0.15% | | (0.15%) | | (0.55%) | | 0.00% | | 1.23% | | 1.36% |
Portfolio turnover rate # | 2.74% | | 4.29% | | 3.78% | | 11.22% | | 11.44% | | 14.11% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY GROWTH & INCOME FUND - CLASS I
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 82.34 | | $ | 73.85 | | $ | 81.06 | | $ | 60.80 | | $ | 59.61 | | $ | 56.68 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.47 | | $ | 0.62 | | $ | 0.35 | | $ | 0.48 | | $ | 0.71 | | $ | 0.76 |
Net realized and unrealized gain (loss) on investments(2) | | 5.11 | | | 8.94 | | | (6.81) | | | 20.37 | | | 6.19 | | | 5.58 |
Total from investment operations | $ | 5.58 | | $ | 9.56 | | $ | (6.46) | | $ | 20.85 | | $ | 6.90 | | $ | 6.34 |
| | | | | | | | | | | | | | | | | | |
Less Distributions: | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.76) | | $ | (0.48) | | $ | (0.27) | | $ | (0.57) | | $ | (0.99) | | $ | (0.47) |
Distributions from net realized gains | | (1.31) | | | (0.59) | | | (0.48) | | | (0.02) | | | (4.72) | | | (2.94) |
Total distributions | $ | (2.07) | | $ | (1.07) | | $ | (0.75) | | $ | (0.59) | | $ | (5.71) | | $ | (3.41) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 85.85 | | $ | 82.34 | | $ | 73.85 | | $ | 81.06 | | $ | 60.80 | | $ | 59.61 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 6.82% | | 13.25% | | (8.12%) | | 34.45% | | 11.68% | | 12.51% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $28,762 | | $25,634 | | $22,735 | | $24,784 | | $9,367 | | $1,544 |
Ratio of expenses to average net assets after waivers^(3) | 0.99% | | 0.99% | | 0.99% | | 0.99% | | 0.99% | | 1.00% |
Ratio of expenses to average net assets before waivers ^ | 1.47% | | 1.58% | | 1.54% | | 1.55% | | 1.62% | | 1.68% |
Ratio of net investment income to average net assets ^ (3) | 1.15% | | 0.85% | | 0.45% | | 0.66% | | 1.23% | | 1.36% |
Portfolio turnover rate # | 2.74% | | 4.29% | | 3.78% | | 11.22% | | 11.44% | | 14.11% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY HIGH INCOME FUND - CLASS A
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 7.13 | | $ | 7.33 | | $ | 8.13 | | $ | 7.65 | | $ | 7.77 | | $ | 7.66 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.20 | | $ | 0.36 | | $ | 0.31 | | $ | 0.32 | | $ | 0.37 | | $ | 0.39 |
Net realized and unrealized gain (loss) on investments(2) | | 0.17 | | | (0.20) | | | (0.80) | | | 0.48 | | | (0.12) | | | 0.11 |
Total from investment operations | $ | 0.37 | | $ | 0.16 | | $ | (0.49) | | $ | 0.80 | | $ | 0.25 | | $ | 0.50 |
| | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.20) | | $ | (0.36) | | $ | (0.31) | | $ | (0.32) | | $ | (0.37) | | $ | (0.39) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 7.30 | | $ | 7.13 | | $ | 7.33 | | $ | 8.13 | | $ | 7.65 | | $ | 7.77 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 5.26% | | 2.41% | | (6.14%) | | 10.62% | | 3.37% | | 6.74% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $23,871 | | $22,891 | | $25,736 | | $26,725 | | $25,309 | | $24,704 |
Ratio of expenses to average net assets after waivers^(3) | 0.99% | | 0.99% | | 0.99% | | 0.99% | | 0.95% | | 0.89% |
Ratio of expenses to average net assets before waivers ^ | 1.64% | | 1.68% | | 1.63% | | 1.63% | | 1.69% | | 1.74% |
Ratio of net investment income to average net assets ^ (3) | 5.54% | | 5.14% | | 3.99% | | 3.99% | | 4.86% | | 5.10% |
Portfolio turnover rate # | 10.05% | | 15.41% | | 21.04% | | 35.74% | | 35.02% | | 28.24% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY HIGH INCOME FUND - CLASS C
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 7.15 | | $ | 7.35 | | $ | 8.15 | | $ | 7.67 | | $ | 7.78 | | $ | 7.68 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.17 | | $ | 0.31 | | $ | 0.25 | | $ | 0.26 | | $ | 0.31 | | $ | 0.33 |
Net realized and unrealized gain (loss) on investments(2) | | 0.17 | | | (0.20) | | | (0.80) | | | 0.48 | | | (0.11) | | | 0.10 |
Total from investment operations | $ | 0.34 | | $ | 0.11 | | $ | (0.55) | | $ | 0.74 | | $ | 0.20 | | $ | 0.43 |
| | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.17) | | $ | (0.31) | | $ | (0.25) | | $ | (0.26) | | $ | (0.31) | | $ | (0.33) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 7.32 | | $ | 7.15 | | $ | 7.35 | | $ | 8.15 | | $ | 7.67 | | $ | 7.78 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 4.86% | | 1.65% | | (6.82%) | | 9.78% | | 2.74% | | 5.81% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $3,372 | | $3,364 | | $3,364 | | $3,776 | | $2,753 | | $4,329 |
Ratio of expenses to average net assets after waivers^(3) | 1.74% | | 1.74% | | 1.74% | | 1.74% | | 1.70% | | 1.64% |
Ratio of expenses to average net assets before waivers ^ | 2.39% | | 2.43% | | 2.38% | | 2.38% | | 2.44% | | 2.49% |
Ratio of net investment income to average net assets ^ (3) | 4.78% | | 4.39% | | 3.24% | | 3.24% | | 4.11% | | 4.35% |
Portfolio turnover rate # | 10.05% | | 15.41% | | 21.04% | | 35.74% | | 35.02% | | 28.24% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY HIGH INCOME FUND - CLASS I
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 7.12 | | $ | 7.32 | | $ | 8.13 | | $ | 7.64 | | $ | 7.76 | | $ | 7.66 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.21 | | $ | 0.38 | | $ | 0.33 | | $ | 0.34 | | $ | 0.39 | | $ | 0.41 |
Net realized and unrealized gain (loss) on investments(2) | | 0.17 | | | (0.20) | | | (0.81) | | | 0.49 | | | (0.12) | | | 0.10 |
Total from investment operations | $ | 0.38 | | $ | 0.18 | | $ | (0.48) | | $ | 0.83 | | $ | 0.27 | | $ | 0.51 |
| | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.21) | | $ | (0.38) | | $ | (0.33) | | $ | (0.34) | | $ | (0.39) | | $ | (0.41) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 7.29 | | $ | 7.12 | | $ | 7.32 | | $ | 8.13 | | $ | 7.64 | | $ | 7.76 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 5.39% | | 2.66% | | (6.04%) | | 11.04% | | 3.63% | | 6.87% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $20,280 | | $22,577 | | $24,286 | | $26,652 | | $9,163 | | $9,023 |
Ratio of expenses to average net assets after waivers^(3) | 0.74% | | 0.74% | | 0.74% | | 0.74% | | 0.70% | | 0.64% |
Ratio of expenses to average net assets before waivers ^ | 1.39% | | 1.43% | | 1.38% | | 1.37% | | 1.44% | | 1.49% |
Ratio of net investment income to average net assets ^ (3) | 5.79% | | 5.39% | | 4.24% | | 4.24% | | 5.11% | | 5.35% |
Portfolio turnover rate # | 10.05% | | 15.41% | | 21.04% | | 35.74% | | 35.02% | | 28.24% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
INTEGRITY MID-NORTH AMERICAN RESOURCES FUND - CLASS A
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 5.30 | | $ | 5.07 | | $ | 3.74 | | $ | 2.59 | | $ | 4.28 | | $ | 5.60 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.03 | | $ | 0.08 | | $ | 0.06 | | $ | 0.04 | | $ | 0.07 | | $ | 0.04 |
Net realized and unrealized gain (loss) on investments(2) | | (0.44) | | | 0.23 | | | 1.33 | | | 1.15 | | | (1.66) | | | (1.34) |
Total from investment operations | $ | (0.41) | | $ | 0.31 | | $ | 1.39 | | $ | 1.19 | | $ | (1.59) | | $ | (1.30) |
| | | | | | | | | | | | | | | | | | |
Less Distributions: | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.03) | | $ | (0.08) | | $ | (0.06) | | $ | (0.04) | | $ | (0.10) | | $ | (0.02) |
Distributions from return of capital | | 0.00 | | | 0.00 | | | 0.00 | | | 0.00 | ** | | 0.00 | | | 0.00 |
Total distributions | $ | (0.03) | | $ | (0.08) | | $ | (0.06) | | $ | (0.04) | | $ | (0.10) | | $ | (0.02) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 4.86 | | $ | 5.30 | | $ | 5.07 | | $ | 3.74 | | $ | 2.59 | | $ | 4.28 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | (7.65%) | | 6.23% | | 37.38% | | 46.40% | | (37.47%) | | (23.11%) |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $72,710 | | $87,706 | | $95,211 | | $80,091 | | $69,684 | | $158,438 |
Ratio of expenses to average net assets after waivers^(3) | 1.50% | | 1.50% | | 1.50% | | 1.50% | | 1.50% | | 1.50% |
Ratio of expenses to average net assets before waivers ^ | 1.63% | | 1.56% | | 1.50% | | 1.60% | | 1.59% | | 1.53% |
Ratio of net investment income to average net assets ^ (3) | 1.29% | | 1.57% | | 1.36% | | 1.18% | | 2.09% | | 0.79% |
Portfolio turnover rate # | 26.85% | | 41.75% | | 51.12% | | 71.19% | | 79.67% | | 70.73% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
** | Amount is less than $0.005. |
| |
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. |
INTEGRITY MID-NORTH AMERICAN RESOURCES FUND - CLASS C
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 5.26 | | $ | 5.04 | | $ | 3.71 | | $ | 2.57 | | $ | 4.23 | | $ | 5.53 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.02 | | $ | 0.05 | | $ | 0.04 | | $ | 0.02 | | $ | 0.05 | | $ | 0.01 |
Net realized and unrealized gain (loss) on investments(2) | | (0.43) | | | 0.22 | | | 1.32 | | | 1.14 | | | (1.64) | | | (1.31) |
Total from investment operations | $ | (0.41) | | $ | 0.27 | | $ | 1.36 | | $ | 1.16 | | $ | (1.59) | | $ | (1.30) |
| | | | | | | | | | | | | | | | | | |
Less Distributions: | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.02) | | $ | (0.05) | | $ | (0.03) | | $ | (0.02) | | $ | (0.07) | | $ | 0.00 |
Distributions from return of capital | | 0.00 | | | 0.00 | | | 0.00 | | | 0.00 | ** | | 0.00 | | | 0.00 |
Total distributions | $ | (0.02) | | $ | (0.05) | | $ | (0.03) | | $ | (0.02) | | $ | (0.07) | | $ | 0.00 |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 4.83 | | $ | 5.26 | | $ | 5.04 | | $ | 3.71 | | $ | 2.57 | | $ | 4.23 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | (7.76%) | | 5.50% | | 36.90% | | 45.65% | | (37.78%) | | (23.51%) |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $4,926 | | $6,571 | | $8,893 | | $9,451 | | $9,730 | | $17,463 |
Ratio of expenses to average net assets after waivers^(3) | 2.00% | | 2.00% | | 2.00% | | 2.00% | | 2.00% | | 2.00% |
Ratio of expenses to average net assets before waivers ^ | 2.13% | | 2.06% | | 2.00% | | 2.10% | | 2.09% | | 2.03% |
Ratio of net investment income to average net assets ^ (3) | 0.78% | | 1.07% | | 0.85% | | 0.68% | | 1.58% | | 0.29% |
Portfolio turnover rate # | 26.85% | | 41.75% | | 51.12% | | 71.19% | | 79.67% | | 70.73% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
** | Amount is less than $0.005. |
| |
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. |
INTEGRITY MID-NORTH AMERICAN RESOURCES FUND - CLASS I
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Year | | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 7/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 5.25 | | $ | 5.03 | | $ | 3.71 | | $ | 2.57 | | $ | 4.26 | | $ | 5.60 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.05 | | $ | 0.10 | | $ | 0.08 | | $ | 0.06 | | $ | 0.09 | | $ | 0.06 |
Net realized and unrealized gain (loss) on investments(2) | | (0.43) | | | 0.22 | | | 1.32 | | | 1.14 | | | (1.64) | | | (1.35) |
Total from investment operations | $ | (0.38) | | $ | 0.32 | | $ | 1.40 | | $ | 1.20 | | $ | (1.55) | | $ | (1.29) |
| | | | | | | | | | | | | | | | | | |
Less Distributions: | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.05) | | $ | (0.10) | | $ | (0.08) | | $ | (0.06) | | $ | (0.14) | | $ | (0.05) |
Distributions from return of capital | | 0.00 | | | 0.00 | | | 0.00 | | | 0.00 | ** | | 0.00 | | | 0.00 |
Total distributions | $ | (0.05) | | $ | (0.10) | | $ | (0.08) | | $ | (0.06) | | $ | (0.14) | | $ | (0.05) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 4.82 | | $ | 5.25 | | $ | 5.03 | | $ | 3.71 | | $ | 2.57 | | $ | 4.26 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | (7.30%) | | 6.65% | | 38.17% | | 47.12% | | (37.04%) | | (22.84%) |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $37,031 | | $44,404 | | $42,940 | | $19,839 | | $9,069 | | $20,898 |
Ratio of expenses to average net assets after waivers^(3) | 1.00% | | 1.00% | | 1.00% | | 1.00% | | 1.00% | | 1.00% |
Ratio of expenses to average net assets before waivers ^ | 1.13% | | 1.06% | | 1.00% | | 1.08% | | 1.09% | | 1.03% |
Ratio of net investment income to average net assets ^ (3) | 1.79% | | 2.07% | | 1.86% | | 1.68% | | 2.59% | | 1.29% |
Portfolio turnover rate # | 26.85% | | 41.75% | | 51.12% | | 71.19% | | 79.67% | | 70.73% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
** | Amount is less than $0.005. |
| |
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. |
INTEGRITY SHORT TERM GOVERNMENT FUND - CLASS A
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Two Months | | Period From 1/21/20* to |
| Ended | | Ended | | Ended | | Ended | | Ended | |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 5/31/20 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 8.23 | | $ | 8.43 | | $ | 8.98 | | $ | 9.22 | | $ | 9.21 | | $ | 9.26 |
| | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.14 | | $ | 0.00 | ** | $ | 0.07 | | $ | 0.19 | | $ | 0.02 | | $ | 0.09 |
Net realized and unrealized gain (loss) on investments(2) | | 0.11 | | | (0.18) | | | (0.47) | | | (0.14) | | | 0.02 | | | 0.02 |
Total from investment operations | $ | 0.25 | | $ | (0.18) | | $ | (0.40) | | $ | 0.05 | | $ | 0.04 | | $ | 0.11 |
| | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.15) | | $ | (0.02) | | $ | (0.15) | | $ | (0.29) | | $ | (0.03) | | $ | (0.16) |
| | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 8.33 | | $ | 8.23 | | $ | 8.43 | | $ | 8.98 | | $ | 9.22 | | $ | 9.21 |
| | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 3.03% | | (2.08%) | | (4.51%) | | 0.50% | | 0.41% | | 1.22% |
| |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $213 | | $308 | | $703 | | $724 | | $15 | | $15 |
Ratio of expenses to average net assets after waivers^(3) | 0.80% | | 0.80% | | 0.80% | | 0.80% | | 0.80% | | 0.80% |
Ratio of expenses to average net assets before waivers ^ | 1.13% | | 1.33% | | 1.18% | | 1.17% | | 1.33% | | 1.28% |
Ratio of net investment income to average net assets ^ (3) | 3.48% | | (0.10%) | | 0.84% | | 2.14% | | 1.53% | | 2.68% |
Portfolio turnover rate # | 118.39% | | 60.63% | | 51.52% | | 140.79% | | 16.03% | | 65.85% |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
* | Commencement of operations. |
** | Amount is less than ($0.005). |
| |
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. |
INTEGRITY SHORT TERM GOVERNMENT FUND - CLASS I
Selected per share data and ratios for the periods indicated
| | Six Months | | Year | | Year | | Year | | Two Months | | Year | Year |
| Ended | | Ended | | Ended | | Ended | | Ended | | Ended | Ended |
| | 1/31/24+ | | 7/31/23 | | 7/31/22 | | 7/31/21 | | 7/31/20 | | 5/31/20 | 5/31/19 |
NET ASSET VALUE, BEGINNING OF PERIOD | $ | 8.24 | | $ | 8.44 | | $ | 8.98 | | $ | 9.22 | | $ | 9.21 | | $ | 9.30 | $ | 9.36 |
| | | | | | | | | | | | | | | | | | | |
Income (loss) from investment operations: | | | | | | | | | | | | | | | | | | | |
Net investment income (loss)(1) | $ | 0.15 | | $ | 0.01 | | $ | 0.09 | | $ | 0.22 | | $ | 0.03 | | $ | 0.36 | $ | 0.29 |
Net realized and unrealized gain (loss) on investments(2) | | 0.11 | | | (0.18) | | | (0.46) | | | (0.15) | | | 0.01 | | | (0.05) | | (0.05) |
Total from investment operations | $ | 0.26 | | $ | (0.17) | | $ | (0.37) | | $ | 0.07 | | $ | 0.04 | | $ | 0.31 | $ | 0.24 |
| | | | | | | | | | | | | | | | | | | | |
Dividends from net investment income | $ | (0.16) | | $ | (0.03) | | $ | (0.17) | | $ | (0.31) | | $ | (0.03) | | $ | (0.40) | $ | (0.30) |
| | | | | | | | | | | | | | | | | | | |
NET ASSET VALUE, END OF PERIOD | $ | 8.34 | | $ | 8.24 | | $ | 8.44 | | $ | 8.98 | | $ | 9.22 | | $ | 9.21 | $ | 9.30 |
| | | | | | | | | | | | | | | | | | | |
Total Return (excludes any applicable sales charge)# | 3.17% | | (1.97%) | | (4.18%) | | 0.75% | | 0.46% | | 3.25% | 2.66% |
| | |
RATIOS/SUPPLEMENTAL DATA |
Net assets, end of period (in thousands) | $16,417 | | $14,704 | | $19,609 | | $31,576 | | $34,741 | | $21,038 | $17,418 |
Ratio of expenses to average net assets after waivers^(3) | 0.55% | | 0.55% | | 0.55% | | 0.55% | | 0.55% | | 0.55% | 0.55% |
Ratio of expenses to average net assets before waivers ^ | 0.88% | | 1.08% | | 0.93% | | 0.93% | | 1.08% | | 1.21% | 1.24% |
Ratio of net investment income to average net assets ^ (3) | 3.73% | | 0.15% | | 1.09% | | 2.38% | | 1.78% | | 3.88% | 3.11% |
Portfolio turnover rate # | 118.39% | | 60.63% | | 51.52% | | 140.79% | | 16.03% | | 65.85% | 15.24% |
| | | | | | | | | | | | | | | | | | | | | | |
(1) | Per share net investment income (loss) has been calculated using the average daily shares method. |
(2) | Net realized and unrealized gain/(loss) per share are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the statement of operations due to share transactions for the period. |
(3) | This row reflects the impact, if any, of fee waivers or reimbursements by the Adviser and/or affiliated service providers. |
+ | Unaudited. |
^ | Annualized for periods less than one year. |
# | Not annualized for periods less than one year. |
| |
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. |
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 Funds 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.
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.
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 Funds’ actual expense ratios and an assumed rate of return of 5% per year before expenses, which is not the Funds’ actual returns. 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 Funds 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 | | |
| | | Account | Account | Paid | Annualized | |
| | | Value | Value | During | Expense | |
| | 7/31/23 | 1/31/24 | Period* | Ratio | |
Integrity Dividend
Harvest Fund | Actual - Class A | $1,000.00 | $1,023.90 | $4.83 | 0.95% | |
Actual - Class C | $1,000.00 | $1,020.90 | $8.64 | 1.70% | |
Actual - Class I | $1,000.00 | $1,025.80 | $3.56 | 0.70% | |
Hypothetical - Class A | $1,000.00 | $1,020.36 | $4.82 | 0.95% | |
Hypothetical - Class C | $1,000.00 | $1,016.59 | $8.62 | 1.70% | |
Hypothetical - Class I | $1,000.00 | $1,021.62 | $3.56 | 0.70% | |
Integrity Dividend Summit Fund | Actual - Class A | $1,000.00 | $1,032.50 | $7.56 | 0.99% | |
Actual - Class C | $1,000.00 | $1,032.50 | $13.29 | 1.74% | |
Actual - Class I | $1,000.00 | $1,033.10 | $5.65 | 0.74% | |
Hypothetical - Class A | $1,000.00 | $1,030.13 | $7.55 | 0.99% | |
Hypothetical - Class C | $1,000.00 | $1,024.49 | $13.23 | 1.74% | |
Hypothetical - Class I | $1,000.00 | $1,032.01 | $5.65 | 0.74% | |
Integrity Growth &
Income Fund | Actual - Class A | $1,000.00 | $1,067.10 | $6.44 | 1.24% | |
Actual - Class C | $1,000.00 | $1,063.00 | $8.14 | 1.57% | |
Actual - Class I | $1,000.00 | $1,068.20 | $5.15 | 0.99% | |
Hypothetical - Class A | $1,000.00 | $1,018.90 | $6.29 | 1.24% | |
Hypothetical - Class C | $1,000.00 | $1,017.24 | $7.96 | 1.57% | |
Hypothetical - Class I | $1,000.00 | $1,020.16 | $5.03 | 0.99% | |
Integrity High
Income Fund | Actual - Class A | $1,000.00 | $1,052.60 | $5.11 | 0.99% | |
Actual - Class C | $1,000.00 | $1,048.60 | $8.96 | 1.74% | |
Actual - Class I | $1,000.00 | $1,053.90 | $3.82 | 0.74% | |
Hypothetical - Class A | $1,000.00 | $1,020.16 | $5.03 | 0.99% | |
Hypothetical - Class C | $1,000.00 | $1,016.39 | $8.82 | 1.74% | |
Hypothetical - Class I | $1,000.00 | $1,021.42 | $3.76 | 0.74% | |
Integrity Mid-North American Resources
Fund | Actual - Class A | $1,000.00 | $923.50 | $7.25 | 1.50% | |
Actual - Class C | $1,000.00 | $922.40 | $9.66 | 2.00% | |
Actual - Class I | $1,000.00 | $927.00 | $4.84 | 1.00% | |
Hypothetical - Class A | $1,000.00 | $1,017.60 | $7.61 | 1.50% | |
Hypothetical - Class C | $1,000.00 | $1,015.08 | $10.13 | 2.00% | |
Hypothetical - Class I | $1,000.00 | $1,020.11 | $5.08 | 1.00% | |
Integrity Short Term Government Fund | Actual - Class A | $1,000.00 | $1,030.30 | $4.08 | 0.80% | |
Actual - Class I | $1,000.00 | $1,031.70 | $2.81 | 0.55% | |
Hypothetical - Class A | $1,000.00 | $1,021.11 | $4.06 | 0.80% | |
Hypothetical - Class I | $1,000.00 | $1,022.37 | $2.80 | 0.55% | |
*Expenses are equal to the annualized expense ratio, multiplied by the average account value over the period, multiplied 184 days in the one-half year period, and divided by 366 days in the fiscal year (to reflect the one-half year period). | |
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LIQUIDITY RISK MANAGEMENT PROGRAM (unaudited)
The Integrity Viking Funds have adopted and implemented a written liquidity risk management program (the “LRMP”) as required by Rule 22e-4 under the Investment Company Act of 1940, as amended. The LRMP is reasonably designed to assess and manage each Fund’s liquidity risk, taking into consideration each Fund’s investment strategy and the liquidity of its portfolio investments during normal and reasonably foreseeable stressed market conditions; its short- and long-term cash flow projections; and its cash holdings and access to other liquidity management tools such as available funding sources. The Viking Funds’ Board of Trustees approved the appointment of the Funds’ investment adviser, Viking Fund Management Inc. (“Viking”), as the administrator of the LRMP.
Viking manages liquidity risks associated with the Funds’ investments by monitoring, among other things, cash and cash equivalents, any use of derivatives, the concentration of investments, the appropriateness of each Fund’s investment strategy, and by classifying every Fund investment as either highly liquid, moderately liquid, less liquid or illiquid on at least a monthly basis.
At a meeting held on April 28, 2023, Viking provided an oral and written report to the Trustees on the operation and effectiveness of the LRMP during the previous year. The report from Viking concluded that the Funds did not experience any significant liquidity challenges during the covered period, and the Funds’ LRMP is reasonably designed to assess and manage its liquidity risk. The report also concluded that the LRMP continues to operate adequately and effectively to enable Viking to oversee and manage liquidity risk and ensure the Funds are able to meet redemption requests without significant dilution to the remaining investors’ interest in the Funds. During the review period, the Funds’ portfolio consisted primarily of highly liquid investments, which are defined as cash and any investments that the Funds reasonably expects to be converted to cash in current market conditions in three business days or less without significantly changing the market value of the investment. Therefore, the Funds have not adopted a highly liquid investment minimum. The Funds’ investments were below the limitation on illiquid investments during the review period. Additionally, Viking indicated that no events occurred that would require the filing of Form N-LIQUID and recommended no material changes to the LRMP.
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 the Funds’ portfolios are 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 their 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 schedules of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-PORT. The Funds’ Forms N-PORT(s) and N-CSR(s) are available on the SEC’s website at www.sec.gov. The Funds’ Forms N-PORT(s) 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: Integrity Funds Distributor, LLC PO Box 500 Minot, ND 58702 Phone: 800-276-1262 | Direct inquiries regarding account information to: Integrity Fund Services, LLC PO Box 759 Minot, ND 58702 Phone: 800-601-5593 |
To reduce their expenses, the Funds may mail only one copy of their 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.
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.
BOARD APPROVAL OF INVESTMENT ADVISORY AGREEMENT AND SUB-ADVISORY AGREEMENT (unaudited)
At a meeting held on November 3, 2023, the Board of Trustees (the “Board” or the “Trustees”) of the Integrity Funds (the “Trust”), including a majority of the trustees who are not parties to such investment advisory or sub-advisory agreement or “interested persons” of any such party (the “Independent Trustees”), unanimously determined to renew the Investment Advisory Agreement (the “Advisory Agreement”), between the Trust, on behalf of its series (each, a “Fund,” and together, the “Funds”), and Viking Fund Management, LLC (“Viking” or the “Adviser”) and the Investment Sub-Advisory Agreements (the “Sub-Advisory Agreements”), between the Adviser and J.P. Morgan Investment Management Inc. (“JPMIM”) with respect to Integrity High Income Fund, and the Sub-Advisory Agreement between the Adviser and M.D. Sass Investors Services, Inc. (“M.D. Sass”) with respect to Integrity Short Term Government Fund (JPMIM and M.D. Sass, each a “Sub-Adviser”). The Board considered information received and discussions held at the November 3, 2023 Board meeting and, with respect to the Independent Trustees, discussions held at the October 16, 2023 meeting of the Governance Committee.
In determining whether it was appropriate to renew the Advisory Agreement and the Sub-Advisory Agreements with respect to Integrity High Income Fund and Integrity Short Term Government Fund, the Trustees requested and reviewed information provided by the Adviser and the Sub-Advisers of Integrity High Income Fund and Integrity Short Term Government Fund that they believed to be reasonably necessary to reach their conclusion. The Independent Trustees also received advice from their independent counsel on the issues to focus on during contract renewals. In connection with the renewal of the Advisory and Sub-Advisory Agreements for each Fund, the Board reviewed factors set out in judicial decisions and Securities and Exchange Commission disclosure rules relating to the renewal of advisory contracts, which include, but are not limited to, the following:
(a) the nature, extent and quality of services provided by the Adviser to the Fund;
(b) the various personnel furnishing such services and their duties and qualifications;
(c) the Fund’s investment performance as compared to standardized industry performance data;
(d) the Adviser’s costs and profitability of furnishing the investment management services to the Fund;
(e) the extent to which the Adviser realizes economies of scale as the Fund grows larger and whether fee levels reflect these economies of scale for the benefit of Fund shareholders;
(f) an analysis of the rates charged by other investment advisers to similar funds;
(g) the expense ratios of the Fund as compared to data for comparable funds; and
(h) information with respect to all benefits to the Adviser associated with its relationship with the Fund, including an analysis of so-called “fallout” benefits or indirect profits to the Adviser from its relationship to the Fund.
In evaluating the Adviser’s services and fees, among other information, the Trustees reviewed information concerning the performance of each Fund, the recent financial statements of the Adviser, and the advisory fees and other Fund expenses compared to advisory fees and expenses paid by other similar funds. In reviewing the Advisory Agreement with the Trust on behalf of the Funds, the Trustees considered, among other things, the advisory fees, the Funds’ past performance, the nature, extent and quality of the services provided, the profitability of the Adviser and its affiliates that provide services to the Funds (costs and profits from furnishing services to each Fund), and the contractual expense limitations agreed to by the Adviser with respect to Fund expenses. The Trustees also received and considered information regarding distribution and marketing efforts on behalf of the Funds over a five-year period, as well as information regarding the Adviser and its affiliates commitment to the growth of the Funds. The Trustees also considered any ancillary benefits to the Adviser and its affiliates for services provided to each Fund. The Trustees did not identify any single factor discussed above as all-important or controlling. The Trustees also considered the Adviser’s commitment to contractually or voluntarily limit Fund expenses, skills and capabilities of the personnel of the Adviser, and the representations from the Adviser that the Funds’ portfolio managers will continue to manage each Fund in substantially the same way as it had been managed.
The following paragraphs summarize the material information and factors considered by the Trustees, including the Independent Trustees, as well as their conclusions relative to such factors in considering the renewal of the Advisory Agreement:
Nature, extent and quality of services. The Board considered that the Adviser currently provides services to 12 funds with investment strategies ranging from non-diversified sector funds to broad-based equity funds to municipal funds. The Board also considered that the Adviser has a strong culture of compliance and provides quality services. The Board noted that the experience and expertise of the Adviser are attributable to the long-term focus on managing investment companies and have the potential to enhance the Funds’ future performance. Based on the information provided, the Board determined that the overall nature, extent and quality of the services provided by the Adviser have historically been, and continue to be, adequate and appropriate.
Investment performance. The Board considered the total return history and category rankings of each Fund, according to Morningstar data, as well as additional information and commentary of the Adviser regarding the reasons for variances between Fund performance and peer performance. The Board determined that the performance of each Fund was satisfactory and that each Fund has sought to meet its investment objective(s) pursuant to its principal investment strategies. In this regard, the Board made the following observations:
As of July 31, 2023, the Morningstar risk rating for: (1) Class A shares of Integrity Growth & Income Fund was above average for the 3-year period and below average for the 5- and 10-year periods; (2) Class A shares of Integrity Mid-North American Resources Fund was below average for the 3-, 5- and 10-year periods; (3) Class A shares of Integrity High Income Fund was average for the 3-, 5- and 10-year periods; (4) Class A shares of Integrity Dividend Harvest Fund was rated as below average for the 3-, 5- and 10-year periods; and (5) Class I shares of Integrity Short Term Government Fund was high for the 3-year period and above average for the 5- and 10-year periods. Integrity Dividend Summit Fund had no rating due to its limited operating history.
As of July 31, 2023, the Morningstar return rating for: (1) Class A shares of Integrity Growth & Income Fund was below average for the 3-, and 10-year periods, and average for the 5-year period; (2) Class A shares of Integrity Mid-North American Resources Fund was low for the 3-year period, below average for the 5-year period, and average for the 10-year period; (3) Class A shares of Integrity High Income Fund was average for the 3-year period, and above average for the 5- and 10-year periods; (4) Class A shares of Integrity Dividend Harvest Fund was below average for the 3- year period, and average for the 5- and 10-year periods; and (5) Class I shares of Integrity Short Term Government Fund was average for the 3- and 10-year periods, and below average for the 5-year period. Integrity Dividend Summit Fund had no rating due to its limited operating history.
As of July 31, 2023, the Fund performance for: (1) Class A shares of Integrity Growth & Income Fund was below its index for the 1-, 3-, 5- and 10-year periods, and, above its category median for the 1- and 5-year periods, and below the median for the 3- and 10-year periods; (2) Class A shares of Integrity Mid-North American Resources Fund was below its index for the 1-, 3-, 5- and 10-year periods, and below its category median for the 1-, 3- and 5-year periods and above the median for the 10-year period; (3) Class A shares of Integrity High Income Fund was below its index for the 1-, 3- 5- and 10-year periods, and below its category median for the 1- and 3-year periods and above its category median for the 5- and 10-year periods; (4) Class A shares of Integrity Dividend Harvest Fund was below its index for the 1-, 3-, 5- and 10-year periods, and below its category median for the 1- and 3-year periods and above its category median for the 5- and 10-year periods; and (5) Class I shares of Integrity Short Term Government Fund was below its index for the 1-, 5- and 10-year periods and above its index for the 3-year period, and below its category median for the 1-, 3-, and 5-year periods, and above its category median for the 10-year period. Integrity Dividend Summit Fund had no performance information for the covered periods due to its limited operating history.
Profitability. In connection with its review of advisory fees, the Board also considered the profitability to the Adviser and its affiliates of their relationship to the Funds. In this regard, the Board received information regarding the financial condition of the Adviser and the distributor for the calendar year ended December 31, 2022 and the six months ended June 30, 2023. The Board also received Fund-by-Fund profitability information, which included fees and expenses of the Adviser as well as the affiliated distributor and transfer agent. Based on the information provided, the Board concluded that the level of profitability under the Advisory Agreement was not unreasonable in light of the services provided and taking into account fees and expenses of affiliated service providers to the Funds.
Economies of scale. The Board considered whether there were economies of scale with respect to management of the Funds and whether the Adviser would benefit from any economies of scale. In this regard, the Board considered information regarding each Fund’s size and noted that the size of the Fund had not reached an asset level at which the Adviser would benefit from economies of scale. The Board also noted that each Fund’s expenses are managed pursuant to a contractual expense limitation. The Board determined that the advisory fees are structured appropriately based on the size of the Funds.
Analysis of the rates charged by other investment advisers to similar funds. The Board considered that a comparison of the advisory fees charged by the Adviser with respect to the Funds to advisory fees charged by other investment advisers to other funds with a similar investment strategy and size, as compiled by the Adviser, reflected that the fees charged by the Adviser are comparable to those charged by other investment advisers to other similar funds.
Expense ratios of the Fund as compared to data for comparable funds. The Board considered that a comparison of the net annual operating expense for Class A and Class I shares of each Fund to other funds with a similar investment strategy and within fund complexes of similar size, as compiled by the Adviser, reflected that (1) the net operating expense ratio of 0.99% for Class A shares, and 0.74% for Class I shares of Integrity High Income Fund is comparable to that of other similar funds; (2) the net operating expense ratio of 1.24% for Class A shares and 0.99% for Class I shares of Integrity Growth & Income Fund is comparable to that of other similar funds; (3) the net operating expense ratio of 0.95% for Class A shares and 0.70% for Class I shares of Integrity Dividend Harvest Fund is comparable to that of other similar funds; (4) the net operating expense ratio of 1.50% for Class A shares and 1.00% for Class I shares of Integrity Mid-North American Resources Fund is comparable to that of other similar funds; and (5) the net operating expense ratio of 0.81% for Class A shares and 0.56% for Class I shares of Integrity Short Term Government Funds is comparable to that of other similar funds. The Board considered information provided by the Adviser regarding the limitations of certain peer group comparisons.
Information with respect to all benefits to the Adviser associated with the Fund, including an analysis of so-called “fallout” benefits or indirect profits to the Adviser from its relationship to the Fund. The Board noted that the Adviser and its affiliates do not realize material direct benefits from their relationship to the Funds except for fees earned for services provided. The Board considered that the Adviser uses an internal model to provide services to the Funds and that the Adviser or its affiliates provide most services to the Funds including distribution and transfer agency services. In addition, the Board considered the Adviser’s soft dollar arrangements with respect to securities trading in the Funds (other than Integrity High Income Fund), noting that the Adviser obtains research, security data, analytics and portfolio screening through such arrangements. With respect to Integrity High Income Fund and Integrity Short Term Government Fund, the Board noted that the Adviser currently engages an unaffiliated Sub-Adviser, and therefore the Adviser will not benefit from the Sub-Advisers’ use of soft dollars, if any. The Board considered the foregoing in reaching its conclusion that the advisory fees are reasonable.
In voting unanimously to renew the Advisory Agreement, the Board did not identify any single factor as being of paramount importance. The Board unanimously determined that, after considering all relevant factors, the renewal of the Advisory Agreement is in the best interests of each of the Funds and that the advisory fees are reasonable considering the nature, extent and quality of services provided by the Adviser.
Sub-Advisory Agreement with JPMIM
In determining whether it was appropriate to renew the Sub-Advisory Agreement between the Adviser and JPMIM with respect to Integrity High Income Fund, the Trustees requested and reviewed information, provided by JPMIM, that they believed to be reasonably necessary to reach their conclusion. The following paragraphs summarize the material information and factors considered by the Trustees, including the Independent Trustees, as well as their conclusions relative to such factors in considering the renewal of the Sub-Advisory Agreement:
Nature, extent and quality of services. In reviewing the Sub-Advisory Agreement, the Board considered the nature, extent and quality of services provided by JPMIM. In this regard, the Board considered that, under the Sub-Advisory Agreement, JPMIM is responsible for investment decision-making, brokerage and execution, risk management and compliance, while the Adviser is responsible for regulatory filings, proxy voting, marketing and distribution, and risk management and compliance oversight. The Board noted the history and investment experience of JPMIM and reviewed the qualifications, background and responsibilities of its portfolio managers and certain other relevant personnel. The Board considered JPMIM’s significant expertise in managing high yield corporate bond portfolios and investment style. The Board also considered the reputation and resources of JPMIM. In light of the information presented and the considerations made, the Board concluded that the nature, extent and quality of services provided to the Fund by JPMIM are satisfactory.
Analysis of the rates charged by Sub-Adviser to similar funds. The Board considered that a comparison of the sub-advisory fees paid to JPMIM as compared to fees paid by other similar funds and accounts sub-advised by JPMIM reflected that the fees charged by the Sub-Adviser with respect to the Fund are comparable to those charged by the Sub-Adviser to other similar funds and accounts for similar services. Based on the information provided, the Board concluded that the sub-advisory fees are reasonable in light of the nature, extent and quality of services provided by the Sub-Adviser.
Profitability. The Board received and considered financial statements of JPMIM. The Board considered that JPMIM was part of a large global organization and that the revenues from its relationship with the Fund constituted a small portion of its overall revenues. Accordingly, the Board determined that the profitability to JPMIM was not a material factor in its consideration and it evaluated profitability at the overall Fund level.
Economies of scale. The Board considered the extent to which economies of scale would be realized as the Fund grows. The Board considered the current and potential asset size of the Fund and concluded that at this time the potential for economies of scale is limited.
Information with respect to all benefits to the Sub-Adviser associated with the Fund, including an analysis of so-called “fallout” benefits or indirect profits to the Sub-Adviser from its relationship to the Fund. The Board noted that the Sub-Adviser does not realize material direct benefits from its relationship to the Fund except for fees earned for services provided as sub-adviser. The Board also considered that the Sub-Adviser does not participate in soft dollar arrangements from securities trading in the Fund or receive other indirect material benefits from its relationship with the Fund. The Board considered the foregoing in reaching its conclusion that the sub-advisory fees are reasonable.
In voting unanimously to renew the Sub-Advisory Agreement, the Trustees did not identify any single factor as being of paramount importance. The Trustees unanimously determined that, after considering all relevant factors, the renewal of the Sub-Advisory Agreement is in the best interests of the Fund and that the sub-advisory fees are reasonable considering the nature, extent and quality of services provided by the Sub-Adviser.
Sub-Advisory Agreement with M.D. Sass
In determining whether it was appropriate to approve the Sub-Advisory Agreement between the Adviser and M.D. Sass with respect to the Integrity Short Term Government Fund, the Trustees requested and reviewed information, provided by M.D. Sass, that they believed to be reasonably necessary to reach their conclusion. The following paragraphs summarize the material information and factors considered by the Trustees, including the Independent Trustees, as well as their conclusions relative to such factors in considering the approval of the Sub-Advisory Agreement:
Nature, extent and quality of services. In reviewing the Sub-Advisory Agreement, the Board considered the nature, extent and quality of services provided by M.D. Sass. In this regard, the Board considered that, under the Sub-Advisory Agreement, M.D. Sass is responsible for investment decision-making, brokerage and execution, risk management and compliance, while the Adviser is responsible for regulatory filings, proxy voting, marketing and distribution, and risk management and compliance oversight. The Board considered information regarding the history and organizational structure of M.D. Sass, investment experience, qualifications, background and responsibilities of its portfolio managers and certain other relevant personnel, the historical performance of the Integrity Short Term Government Fund’s predecessor fund for which M.D. Sass served as investment adviser, and the investment process of M.D. Sass. The Board considered M.D. Sass’s significant expertise in managing government bond portfolios and its investment style. The Board also considered the reputation and resources of M.D. Sass. In light of the information presented and the considerations made, the Board concluded that the nature, extent and quality of services provided to the Fund by M.D. Sass are satisfactory.
Analysis of the rates charged by Sub-Adviser to similar funds. The Board considered that a comparison of the sub-advisory fees paid to M.D. Sass as compared to fees paid by other similar funds and accounts sub-advised by M.D. Sass reflected that the fees charged by the Sub-Adviser with respect to the Fund are comparable to those charged by the Sub-Adviser to other similar funds and accounts for similar services. Based on the information provided, the Board concluded that the sub-advisory fees are reasonable in light of the nature, extent and quality of services provided by the Sub-Adviser.
Profitability. The Board considered that the revenues from M.D. Sass’s relationship with the Fund constituted a relatively small portion of its overall revenues in light of the relatively small size of the Fund. Accordingly, the Board determined that the profitability to M.D. Sass was not a material factor in its consideration and it evaluated profitability at the overall Fund level.
Economies of scale. The Board considered the extent to which economies of scale would be realized as the Fund grows. The Board considered the current and potential asset size of the Fund and concluded that at this time the potential for economies of scale is limited.
Information with respect to all benefits to the Sub-Adviser associated with the Fund, including an analysis of so-called “fallout” benefits or indirect profits to the Sub-Adviser from its relationship to the Fund. The Board noted that the Sub-Adviser does not realize material direct benefits from its relationship to the Fund except for fees earned for services provided as sub-adviser. The Board also considered that the Sub-Adviser does not participate in soft dollar arrangements from securities trading in the Fund or receive other indirect material benefits from its relationship with the Fund. The Board considered the foregoing in reaching its conclusion that the sub-advisory fees are reasonable.
In voting unanimously to approve the Sub-Advisory Agreement, the Trustees did not identify any single factor as being of paramount importance. The Trustees unanimously determined that, after considering all relevant factors, the renewal of the Sub-Advisory Agreement is in the best interests of the Fund and that the sub-advisory fees are reasonable considering the nature, extent and quality of services provided by the Sub-Adviser.
Equity Funds
Integrity Dividend Harvest Fund
Integrity Dividend Summit Fund
Integrity Growth & Income Fund
Integrity Mid-North American Resources Fund
Corporate Bond Fund
Integrity High Income Fund
State-Specific Tax-Exempt Bond Funds
Viking Tax-Free Fund for North Dakota
Viking Tax-Free Fund for Montana
Kansas Municipal Fund
Maine Municipal Fund
Nebraska Municipal Fund
Oklahoma Municipal Fund
Government Bond Fund
Integrity Short Term Government Fund
Item 2. CODE OF ETHICS.
The information required in this Item is only required in an annual report on Form N-CSR.
Item 3. AUDIT COMMITTEE FINANCIAL EXPERT.
The information required in this Item is only required in an annual report on Form N-CSR.
Item 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
The information required by this Item is only required in an annual report on Form N-CSR.
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) | The registrant’s code of ethics filed pursuant to Item 2 of the N-CSR is filed with the registrant’s annual N-CSR. |
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| | (2) | Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 is filed and attached hereto. |
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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.
The Integrity Funds
By: /s/ Shannon D. Radke
Shannon D. Radke
President
April 4, 2024
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
April 4, 2024
By: /s/ Shelly Nahrstedt
Shelly Nahrstedt
Treasurer
April 4, 2024
