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 811-8104
Touchstone Funds Group Trust
(Exact name of registrant as specified in charter)
303 Broadway, Suite 1100
Cincinnati, Ohio 45202
(Address of principal executive offices) (Zip code)
Jill T. McGruder
303 Broadway, Suite 1100
Cincinnati, Ohio 45202
(Name and address of agent for service)
Registrant's telephone number, including area code: 800-638-8194
Date of fiscal year end: September 30
Date of reporting period: March 31, 2012
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
Item 1. Reports to Stockholders.
The Report to Shareholders is attached herewith.
March 31, 2012
(Unaudited)
Semi-Annual Report
Touchstone Funds Group Trust |
Touchstone Emerging Markets Equity Fund |
Touchstone Emerging Markets Equity Fund II |
Touchstone Focused Equity Fund |
Touchstone Global Equity Fund |
Touchstone Global Real Estate Fund |
Touchstone Intermediate Fixed Income Fund |
Touchstone International Fixed Income |
Touchstone Large Cap Relative Value Fund |
Touchstone Market Neutral Equity Fund |
Touchstone Merger Arbitrage Fund |
Touchstone Mid Cap Fund |
Touchstone Mid Cap Value Fund |
Touchstone Premium Yield Equity Fund |
Touchstone Sands Capital Select Growth Fund |
Touchstone Short Duration Fixed Income Fund |
Touchstone Small Cap Core Fund |
Touchstone Small Cap Value Fund |
Touchstone Total Return Bond Fund |
Touchstone Ultra Short Duration Fixed Income Fund |
Table of Contents
Page | ||
Tabular Presentation of Portfolios of Investments (Unaudited) | 4 - 9 | |
Portfolio Investments: | ||
Emerging Markets Equity Fund | 10 | |
Emerging Markets Equity Fund II | 13 | |
Touchstone Focused Equity Fund | 16 | |
Global Equity Fund | 17 | |
Global Real Estate Fund | 19 | |
Touchstone Interemediate Fixed Income Fund | 21 | |
Touchstone International Fixed Income Fund | 25 | |
Touchstone Large Cap Relative Value Fund | 28 | |
Touchstone Market Neutral Equity Fund | 30 | |
Touchstone Merger Arbitrage Fund | 35 | |
Touchstone Mid Cap Fund | 38 | |
Touchstone Mid Cap Value Fund | 39 | |
Touchstone Premium Yield Equity Fund | 41 | |
Touchstone Sands Capital Select Growth Fund | 42 | |
Touchstone Short Duration Fixed Income Fund | 43 | |
Touchstone Small Cap Core Fund | 49 | |
Touchstone Small Cap Value Fund | 50 | |
Touchstone Total Return Bond Fund | 52 | |
Touchstone Ultra Short Duration Fixed Income Fund | 56 | |
Statement of Assets and Liabilities | 62 - 69 | |
Statement of Operations | 70 - 73 | |
Statement of Changes in Net Assets | 74 - 85 | |
Financial Highlights | 86 - 126 | |
Notes to Financial Statements | 127 - 156 | |
Other Items (Unaudited) | 157 - 171 | |
Privacy Protection Policy | 172 |
2 |
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3 |
Tabular Presentation of Portfolios of Investments (Unaudited)
March 31, 2012
Touchstone Emerging Markets Equity Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Financials | 18.8 | % | ||
Consumer Discretionary | 16.5 | |||
Materials | 13.0 | |||
Energy | 11.3 | |||
Information Technology | 11.2 | |||
Consumer Staples | 10.4 | |||
Telecommunication Services | 5.7 | |||
Industrials | 5.2 | |||
Utilities | 4.3 | |||
Health Care | 1.3 | |||
Investment Funds | 5.4 | |||
Other Assets/Liabilities (Net) | (3.1 | ) | ||
Total | 100.0 | % |
Touchstone Emerging Markets Equity Fund II | ||||
Sector Allocation* | (% of Net Assets) | |||
Financials | 27.6 | % | ||
Materials | 15.1 | |||
Consumer Discretionary | 10.7 | |||
Information Technology | 10.6 | |||
Energy | 10.5 | |||
Consumer Staples | 8.0 | |||
Telecommunication Services | 4.9 | |||
Utilities | 4.7 | |||
Industrials | 2.5 | |||
Health Care | 1.4 | |||
Investment Funds | 8.8 | |||
Other Assets/Liabilities (Net) | (4.8 | ) | ||
Total | 100.0 | % |
Touchstone Focused Equity Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Information Technology | 20.5 | % | ||
Financials | 20.2 | |||
Consumer Discretionary | 14.6 | |||
Industrials | 12.9 | |||
Energy | 7.3 | |||
Telecommunication Services | 6.4 | |||
Health Care | 6.3 | |||
Consumer Staples | 4.0 | |||
Materials | 1.5 | |||
Investment Funds | 12.8 | |||
Other Assets/Liabilities (Net) | (6.5 | ) | ||
Total | 100.0 | % |
Touchstone Global Equity Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Materials | 16.9 | % | ||
Consumer Staples | 16.7 | |||
Health Care | 14.9 | |||
Energy | 11.2 | |||
Industrials | 10.2 | |||
Information Technology | 8.5 | |||
Telecommunication Services | 5.9 | |||
Financials | 4.5 | |||
Consumer Discretionary | 4.4 | |||
Investment Funds | 6.3 | |||
Other Assets/Liabilities (Net) | 0.5 | |||
Total | 100.0 | % |
* Sector Classifications are based upon the Global Industry Classification Standard (GICS®).
4 |
Tabular Presentation of Portfolios of Investments (Unaudited) (Continued)
Touchstone Global Real Estate Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Retail | 25.8 | % | ||
Diversified Real Estate Activities | 17.4 | |||
Specialized | 14.1 | |||
Office | 9.6 | |||
Residential | 8.8 | |||
Industrials | 6.8 | |||
Diversified REIT | 5.8 | |||
Real Estate Development | 5.1 | |||
Real Estate Operating Companies | 3.2 | |||
Hotels, Resorts & Cruise Lines | 1.0 | |||
Investment Funds | 2.0 | |||
Other Assets/Liabilities (Net) | 0.4 | |||
Total | 100.0 | % |
Touchstone Intermediate Fixed Income Fund | ||||
Credit Quality** | (% of Investment Securities) | |||
AAA | 0.4 | % | ||
AA | 23.5 | |||
A | 54.1 | |||
BBB | 19.6 | |||
NR | 2.4 | |||
Total | 100.0 | % |
Touchstone International Fixed Income Fund | ||||
Credit Quality** | (% of Investment Securities) | |||
AAA | 56.3 | % | ||
AA | 11.8 | |||
A | 8.6 | |||
BAA | 4.9 | |||
BA | 6.3 | |||
B | 2.8 | |||
NR | 9.3 | |||
Total | 100.0 | % |
Touchstone Large Cap Relative Value Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Financials | 23.6 | % | ||
Consumer Discretionary | 16.6 | |||
Energy | 14.7 | |||
Information Technology | 14.3 | |||
Industrials | 13.4 | |||
Health Care | 8.1 | |||
Utilities | 4.4 | |||
Materials | 2.7 | |||
Consumer Staples | 1.6 | |||
Investment Funds | 0.3 | |||
Other Assets/Liabilities (Net) | 0.3 | |||
Total | 100.0 | % |
* Sector Classifications are based upon the Global Industry Classification Standard (GICS®).
** Composite of Standard and Poors, Moody's and Fitch ratings
5 |
Tabular Presentation of Portfolios of Investments (Unaudited) (Continued)
Touchstone Market Neutral Equity Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Long Positions | ||||
Information Technology | 22.3 | % | ||
Consumer Discretionary | 15.1 | |||
Health Care | 13.8 | |||
Financials | 11.9 | |||
Energy | 10.0 | |||
Industrials | 9.6 | |||
Materials | 5.5 | |||
Utilities | 1.9 | |||
Telecommunication Services | 1.5 | |||
Consumer Staples | 1.0 | |||
Investment Funds | 3.8 | |||
Cash Collateral for Securities Sold Short | 96.0 | |||
Other Assets/Liabilities (Net) | (0.6 | ) | ||
191.8 | ||||
Short Positions | ||||
Information Technology | (19.8 | ) | ||
Consumer Discretionary | (14.6 | ) | ||
Health Care | (13.5 | ) | ||
Financials | (12.6 | ) | ||
Industrials | (11.2 | ) | ||
Energy | (10.1 | ) | ||
Materials | (5.1 | ) | ||
Utilities | (2.2 | ) | ||
Consumer Staples | (1.6 | ) | ||
Telecommunication Services | (1.1 | ) | ||
(91.8 | ) | |||
Total | 100.0 | % |
Touchstone Merger Arbitrage Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Long Positions | ||||
Financials | 20.1 | % | ||
Industrials | 12.3 | |||
Health Care | 11.7 | |||
Consumer Discretionary | 10.9 | |||
Information Technology | 10.6 | |||
Utilities | 5.6 | |||
Materials | 5.1 | |||
U.S. Treasury Obligations | 4.3 | |||
Telecommunication Services | 2.0 | |||
Energy | 2.0 | |||
Consumer Staples | 1.9 | |||
Other | 1.4 | |||
Investment Funds | 11.3 | |||
Cash Collateral for Securities Sold Short | 14.9 | |||
Other Assets/Liabilities (Net) | 1.1 | |||
115.2 | ||||
Short Positions | ||||
Information Technology | (2.9 | ) | ||
Utilities | (2.3 | ) | ||
Telecommunication Services | (2.1 | ) | ||
Energy | (2.0 | ) | ||
Materials | (1.7 | ) | ||
Consumer Discretionary | (1.6 | ) | ||
Industrials | (1.3 | ) | ||
Health Care | (1.3 | ) | ||
(15.2 | ) | |||
Total | 100.0 | % |
* Sector Classifications are based upon the Global Industry Classification Standard (GICS®).
6 |
Tabular Presentation of Portfolios of Investments (Unaudited) (Continued)
Touchstone Mid Cap Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Consumer Staples | 19.9 | % | ||
Consumer Discretionary | 19.0 | |||
Financials | 18.9 | |||
Materials | 15.3 | |||
Information Technology | 9.0 | |||
Industrials | 8.7 | |||
Energy | 5.6 | |||
Health Care | 2.1 | |||
Investment Funds | 2.3 | |||
Other Assets/Liabilities (Net) | (0.8 | ) | ||
Total | 100.0 | % |
Touchstone Mid Cap Value Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Financials | 21.9 | % | ||
Consumer Discretionary | 12.0 | |||
Industrials | 11.5 | |||
Information Technology | 10.5 | |||
Health Care | 9.9 | |||
Materials | 9.6 | |||
Utilities | 9.3 | |||
Consumer Staples | 6.5 | |||
Energy | 6.0 | |||
Investment Funds | 6.6 | |||
Other Assets/Liabilities (Net) | (3.8 | ) | ||
Total | 100.0 | % |
Touchstone Premium Yield Equity Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Energy | 23.0 | % | ||
Utilities | 16.3 | |||
Health Care | 16.3 | |||
Financials | 13.0 | |||
Telecommunication Services | 9.2 | |||
Information Technology | 7.8 | |||
Industrials | 4.1 | |||
Materials | 4.0 | |||
Consumer Staples | 1.7 | |||
Investment Funds | 5.3 | |||
Other Assets/Liabilities (Net) | (0.7 | ) | ||
Total | 100.0 | % |
Touchstone Sands Capital Select Growth Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Information Technology | 40.2 | % | ||
Consumer Discretionary | 24.1 | |||
Health Care | 15.5 | |||
Energy | 9.6 | |||
Materials | 3.0 | |||
Industrials | 2.9 | |||
Financials | 2.4 | |||
Investment Funds | 4.4 | |||
Other Assets/Liabilities (Net) | (2.1 | ) | ||
Total | 100.0 | % |
* Sector Classifications are based upon the Global Industry Classification Standard (GICS®).
7 |
Tabular Presentation of Portfolios of Investments (Unaudited) (Continued)
Touchstone Short Duration Fixed Income Fund | ||||
Credit Quality** | (% of Investment Securities) | |||
AAA | 35.3 | % | ||
AA | 5.9 | |||
A | 49.3 | |||
BBB | 9.5 | |||
Total | 100.0 | % |
Touchstone Small Cap Core Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Industrials | 20.7 | % | ||
Financials | 20.5 | |||
Consumer Discretionary | 14.4 | |||
Consumer Staples | 11.1 | |||
Materials | 10.4 | |||
Information Technology | 8.6 | |||
Energy | 7.9 | |||
Health Care | 3.4 | |||
Investment Funds | 9.4 | |||
Other Assets/Liabilities (Net) | (6.4 | ) | ||
Total | 100.0 | % |
Touchstone Small Cap Value Fund | ||||
Sector Allocation* | (% of Net Assets) | |||
Financials | 30.1 | % | ||
Industrials | 20.9 | |||
Consumer Discretionary | 14.7 | |||
Materials | 11.6 | |||
Information Technology | 9.2 | |||
Health Care | 4.0 | |||
Energy | 3.8 | |||
Consumer Staples | 1.4 | |||
Telecommunication Services | 0.5 | |||
Investment Funds | 8.0 | |||
Other Assets/Liabilities (Net) | (4.2 | ) | ||
Total | 100.0 | % |
Touchstone Total Return Bond Fund | ||||
Credit Quality** | (% of Investment Securities) | |||
Aaa | 44.0 | % | ||
Aa | 4.7 | |||
A | 4.1 | |||
Baa | 9.3 | |||
Ba | 4.5 | |||
B | 1.9 | |||
N/A | 31.5 | |||
Total | 100.0 | % |
* Sector Classifications are based upon the Global Industry Classification Standard (GICS®)
** Composite of Standard and Poors, Moody's and Fitch ratings
8 |
Tabular Presentation of Portfolios of Investments (Unaudited) (Continued)
Touchstone Ultra Short Duration Fixed Income Fund | ||||
Credit Quality** | (% of Investment Securities) | |||
AAA | 46.7 | % | ||
AA | 10.4 | |||
A | 1.8 | |||
Baa | 25.5 | |||
N/A | 15.6 | |||
Total | 100.0 | % |
** Composite of Standard and Poors, Moody's and Fitch ratings
9 |
Portfolio of Investments
Touchstone Emerging Markets Equity Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 97.7% | ||||||||
Brazil — 12.7% | ||||||||
All America Latina Logistica SA | 1,165,367 | $ | 5,815,823 | |||||
Banco Bradesco SA (Preference) | 586,774 | 10,221,816 | ||||||
Cia Energetica de Minas Gerais (Preference) | 440,765 | 10,486,414 | ||||||
Gerdau SA (Preference) | 722,590 | 6,911,403 | ||||||
Lojas Americanas SA (Preference) | 1,007,963 | 9,486,321 | ||||||
Lojas Renner SA | 452,132 | 15,457,864 | ||||||
Petroleo Brasileiro SA (Preference) | 890,645 | 11,343,776 | ||||||
Vale SA ADR | 219,760 | 5,127,001 | ||||||
Vale SA (Preference) | 259,853 | 5,879,059 | ||||||
80,729,477 | ||||||||
South Africa — 8.7% | ||||||||
Aveng Ltd. | 1,557,493 | 7,936,697 | ||||||
Foschini Group Ltd. | 773,479 | 12,470,848 | ||||||
Impala Platinum Holdings Ltd. | 263,199 | 5,184,379 | ||||||
JD Group Ltd. | 868,280 | 5,602,902 | ||||||
Massmart Holdings Ltd. | 212,710 | 4,490,451 | ||||||
MTN Group Ltd. | 427,640 | 7,527,044 | ||||||
Woolworths Holdings Ltd. | 1,941,364 | 12,185,722 | ||||||
55,398,043 | ||||||||
India — 8.6% | ||||||||
Bharat Forge Ltd.* | 1,110,538 | 6,976,694 | ||||||
Bharat Heavy Electricals Ltd. | 769,275 | 3,882,993 | ||||||
Bharti Airtel Ltd.* | 1,199,153 | 7,953,554 | ||||||
Infosys Ltd. | 125,950 | 7,086,278 | ||||||
ITC Ltd. | 2,256,561 | 10,050,323 | ||||||
Mahindra & Mahindra Ltd. | 471,002 | 6,473,562 | ||||||
Oil & Natural Gas Corp. Ltd.* | 1,363,622 | 7,182,804 | ||||||
Reliance Industries Ltd. | 337,048 | 4,965,909 | ||||||
54,572,117 | ||||||||
Bermuda — 6.6% | ||||||||
Credicorp Ltd. | 89,693 | 11,823,331 | ||||||
First Pacific Co. Ltd. | 9,790,458 | 10,855,103 | ||||||
Ports Design Ltd. | 3,119,677 | 4,579,755 | ||||||
VTech Holdings Ltd.† | 1,134,465 | 14,543,206 | ||||||
41,801,395 | ||||||||
Cayman Islands — 6.0% | ||||||||
ASM Pacific Technology Ltd. | 948,890 | 13,844,382 | ||||||
Daphne International Holdings Ltd. | 10,157,548 | 13,917,406 | ||||||
Tingyi Cayman Islands Holding Corp. | 3,587,443 | 10,371,203 | ||||||
38,132,991 | ||||||||
Mexico — 6.0% | ||||||||
America Movil SAB de CV, Series L ADR | 283,610 | 7,042,036 | ||||||
Fomento Economico Mexicano SAB de CV ADR | 71,063 | 5,846,352 | ||||||
Grupo Financiero Banorte SAB de CV - Class O | 1,583,985 | 7,041,006 | ||||||
Kimberly-Clark de Mexico SAB de CV - Class A | 3,848,585 | 8,603,349 | ||||||
Wal-Mart de Mexico SAB de CV - Class A | 2,811,417 | 9,433,799 | ||||||
37,966,542 | ||||||||
Thailand — 5.4% | ||||||||
Kasikornbank PCL | 2,191,083 | 11,115,218 | ||||||
PTT Exploration & Production PCL | 1,455,630 | 8,233,628 | ||||||
Siam Cement PCL | 304,300 | 4,103,365 | ||||||
Siam Cement PCL (Non-Voting) | 335,241 | 3,857,717 | ||||||
Thai Oil PCL | 2,973,880 | 6,988,859 | ||||||
34,298,787 | ||||||||
Taiwan — 5.0% | ||||||||
Giant Manufacturing Co. Ltd. | 2,045,578 | 8,975,329 | ||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 4,341,400 | 12,488,264 | ||||||
Tripod Technology Corp. | 3,092,250 | 10,372,283 | ||||||
31,835,876 | ||||||||
China — 4.9% | ||||||||
China BlueChemical Ltd. | 10,411,229 | 7,883,283 | ||||||
Industrial & Commercial Bank of China - Class H | 12,804,806 | 8,261,112 | ||||||
PetroChina Co. Ltd. - Class H | 4,607,075 | 6,514,115 | ||||||
Weichai Power Co. Ltd. - Class H† | 1,748,786 | 8,163,426 | ||||||
30,821,936 | ||||||||
Korea — 4.7% | ||||||||
BS Financial Group, Inc. | 647,370 | 7,598,977 | ||||||
POSCO | 11,409 | 3,826,327 | ||||||
Samsung Electronics Co. Ltd. | 11,537 | 12,982,371 | ||||||
Shinhan Financial Group Co. Ltd. | 146,820 | 5,669,101 | ||||||
30,076,776 | ||||||||
Turkey — 4.4% | ||||||||
Akbank TAS* | 1,250,586 | 4,911,688 | ||||||
Trakya Cam Sanayi AS | 4,627,457 | 7,191,862 | ||||||
Tupras Turkiye Petrol Rafine | 279,269 | 7,129,406 | ||||||
Turkcell Iletisim Hizmetleri AS* | 1,131,231 | 5,788,491 | ||||||
Turkiye Garanti Bankasi AS | 664,940 | 2,633,943 | ||||||
27,655,390 | ||||||||
Hong Kong — 4.1% | ||||||||
China Overseas Land & Investment Ltd. | 4,153,289 | 7,894,167 | ||||||
CNOOC Ltd. | 4,537,949 | 9,326,534 | ||||||
Wharf Holdings Ltd. | 1,589,719 | 8,638,943 | ||||||
25,859,644 | ||||||||
United Kingdom — 2.9% | ||||||||
Fresnillo PLC | 356,791 | 9,119,513 | ||||||
SABMiller PLC | 234,831 | 9,425,917 | ||||||
18,545,430 | ||||||||
Indonesia — 2.6% | ||||||||
Bank Mandiri Tbk PT | 11,463,202 | 8,587,372 | ||||||
Telekomunikasi Indonesia Tbk PT | 9,934,501 | 7,605,152 | ||||||
16,192,524 | ||||||||
Maylasia — 2.4% | ||||||||
British American Tobacco Malaysia Bhd | 431,300 | 7,971,342 | ||||||
CIMB Group Holdings Bhd | 2,775,669 | 6,967,486 | ||||||
14,938,828 |
10 |
Touchstone Emerging Markets Equity Fund (Continued)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 97.7% (Continued) | ||||||||
Canada — 1.9% | ||||||||
Eldorado Gold Corp. | 529,767 | $ | 7,276,363 | |||||
Yamana Gold, Inc. | 326,877 | 5,099,209 | ||||||
12,375,572 | ||||||||
Luxembourg — 1.6% | ||||||||
Tenaris SA ADR† | 261,411 | 9,993,743 | ||||||
Jersey — 1.4% | ||||||||
Randgold Resources Ltd. ADR | 104,336 | 9,179,481 | ||||||
Czech Republic — 1.4% | ||||||||
CEZ AS | 202,146 | 8,684,897 | ||||||
South Korea — 1.3% | ||||||||
Hankook Tire Co. Ltd. | 228,780 | 8,470,342 | ||||||
Chile — 1.3% | ||||||||
Enersis SA | 20,397,788 | 8,270,581 | ||||||
Israel — 1.2% | ||||||||
Teva Pharmaceutical Industries Ltd. ADR | 175,299 | 7,898,973 | ||||||
Peru — 1.2% | ||||||||
Cia de Minas Buenaventura SA ADR | 186,847 | 7,531,803 | ||||||
Singapore — 1.1% | ||||||||
Keppel Land Ltd. | 2,635,792 | 7,275,922 | ||||||
United States — 0.3% | ||||||||
Southern Copper Corp. | 52,489 | 1,664,426 | ||||||
Total Common Stocks | $ | 620,171,496 | ||||||
Investment Funds — 5.4% | ||||||||
Invesco Liquid Assets Portfolio** | 14,355,833 | 14,355,833 | ||||||
Touchstone Institutional Money Market Fund^ | 20,046,888 | 20,046,888 | ||||||
Total Investment Funds | $ | 34,402,721 | ||||||
Total Investment Securities —103.1% | ||||||||
(Cost $642,426,939) | $ | 654,574,217 | ||||||
Liabilities in Excess of Other Assets — (3.1%) | (19,521,374 | ) | ||||||
Net Assets — 100.0% | $ | 635,052,843 |
† | All or a portion of the security is on loan. The total value of the securities on loan as of March 31, 2012 was $13,874,041. |
* | Non-income producing security. |
** | Represents collateral for securities loaned. |
^ | Affiliated Fund,sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
ADR - American Depositary Receipt
PCL - Public Company Limited
PLC - Public Limited Company
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date:
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | ||||||||||||||||
Brazil | $ | 80,729,477 | $ | — | $ | — | $ | 80,729,477 | ||||||||
South Africa | 55,398,043 | — | — | 55,398,043 | ||||||||||||
India | 54,572,117 | — | — | 54,572,117 | ||||||||||||
Bermuda | 37,221,640 | — | 4,579,755 | 41,801,395 | ||||||||||||
Cayman Islands | 38,132,991 | — | — | 38,132,991 | ||||||||||||
Mexico | 37,966,542 | — | — | 37,966,542 | ||||||||||||
Thailand | 26,065,159 | 8,233,628 | — | 34,298,787 | ||||||||||||
Taiwan | 31,835,876 | — | — | 31,835,876 | ||||||||||||
China | 30,821,936 | — | — | 30,821,936 | ||||||||||||
Korea | 30,076,776 | — | — | 30,076,776 | ||||||||||||
Turkey | 27,655,390 | — | — | 27,655,390 | ||||||||||||
Hong Kong | 25,859,644 | — | — | 25,859,644 | ||||||||||||
United Kingdom | 18,545,430 | — | — | 18,545,430 | ||||||||||||
Indonesia | 16,192,524 | — | — | 16,192,524 | ||||||||||||
Maylasia | 14,938,828 | — | — | 14,938,828 | ||||||||||||
Canada | 12,375,572 | — | — | 12,375,572 | ||||||||||||
Luxembourg | 9,993,743 | — | — | 9,993,743 | ||||||||||||
Jersey | 9,179,481 | — | — | 9,179,481 | ||||||||||||
Czech Republic | 8,684,897 | — | — | 8,684,897 | ||||||||||||
South Korea | 8,470,342 | — | — | 8,470,342 | ||||||||||||
Chile | 8,270,581 | — | — | 8,270,581 | ||||||||||||
Israel | 7,898,973 | — | — | 7,898,973 | ||||||||||||
Peru | 7,531,803 | — | — | 7,531,803 | ||||||||||||
Singapore | 7,275,922 | — | — | 7,275,922 | ||||||||||||
United States | 1,664,426 | — | — | 1,664,426 | ||||||||||||
Investment Funds | 34,402,721 | — | — | 34,402,721 | ||||||||||||
$ | 654,574,217 |
11 |
Touchstone Emerging Markets Equity Fund (Continued)
At March 31, 2012 securities valued at $416,041,190 were transferred from Level 2 to Level 1 pursuant to the Fund's fair valuation policy.
Level 3 Rollforward Disclosure
The following is a rollforward of the Fund's investments that were valued using unobservable inputs for the six months ended March 31, 2012:
Measurements Using Unobservable Inputs (Level 3)
Common Stock | ||||||||
Assets | Bermuda | Total | ||||||
Beginning balance | $ | — | $ | — | ||||
Gross transfers into Level 3 | 4,579,755 | (a) | 4,579,755 | |||||
Ending balance | $ | 4,579,755 | $ | 4,579,755 |
The change in unrealized appreciation/depreciation relating to the Level 3 investments held at March 31, 2012 was ($2,704,131).
(a) | Transferred from Level 1 to Level 3 due to lack of observable valuation inputs. |
See accompanying Notes to Financial Statements.
12 |
Portfolio of Investments
Touchstone Emerging Markets Equity Fund II – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 89.4% | ||||||||
Brazil — 14.5% | ||||||||
All America Latina Logistica SA | 68,563 | $ | 342,167 | |||||
Banco Bradesco SA (Preference) | 29,271 | 509,911 | ||||||
Cia Energetica de Minas Gerais (Preference) | 22,230 | 528,883 | ||||||
Gerdau SA (Preference) | 44,165 | 422,428 | ||||||
Lojas Americanas SA (Preference) | 53,058 | 499,349 | ||||||
Lojas Renner SA | 23,274 | 795,711 | ||||||
Petroleo Brasileiro SA (Preference) | 47,570 | 605,879 | ||||||
Vale SA (Preference) | 26,281 | 594,596 | ||||||
4,298,924 | ||||||||
Mexico — 8.2% | ||||||||
America Movil SAB de CV, Series L ADR | 13,814 | 343,002 | ||||||
Fomento Economico Mexicano SAB de CV ADR | 3,342 | 274,946 | ||||||
Fresnillo PLC | 20,802 | 531,695 | ||||||
Grupo Financiero Banorte SAB de CV - Class O | 86,370 | 383,925 | ||||||
Kimberly-Clark de Mexico SAB de CV - Class A | 190,908 | 426,767 | ||||||
Wal-Mart de Mexico SAB de CV - Class A | 145,521 | 488,300 | ||||||
2,448,635 | ||||||||
Bermuda — 7.7% | ||||||||
Credicorp Ltd. | 5,641 | 743,597 | ||||||
First Pacific Co. Ltd. | 511,882 | 567,546 | ||||||
Ports Design Ltd. | 143,474 | 210,623 | ||||||
VTech Holdings Ltd. | 58,673 | 752,155 | ||||||
2,273,921 | ||||||||
South Africa — 7.0% | ||||||||
Foschini Group Ltd. | 38,319 | 617,820 | ||||||
Impala Platinum Holdings Ltd. | 12,875 | 253,606 | ||||||
Massmart Holdings Ltd. | 10,219 | 215,730 | ||||||
MTN Group Ltd. | 22,721 | 399,920 | ||||||
Woolworths Holdings Ltd. | 95,846 | 601,614 | ||||||
2,088,690 | ||||||||
Thailand — 5.3% | ||||||||
Kasikornbank PCL | 111,934 | 567,834 | ||||||
PTT Exploration & Production PCL | 50,028 | 282,978 | ||||||
Siam Cement PCL (Non-Voting) | 34,012 | 391,386 | ||||||
Thai Oil PCL (Non-Voting) | 145,875 | 342,818 | ||||||
1,585,016 | ||||||||
China — 5.2% | ||||||||
China BlueChemical Ltd. | 519,430 | 393,307 | ||||||
Industrial & Commercial Bank of China - | ||||||||
Class H | 648,664 | 418,490 | ||||||
PetroChina Co. Ltd. - Class H | 237,801 | 336,236 | ||||||
Weichai Power Co. Ltd. - Class H | 87,633 | 409,076 | ||||||
1,557,109 | ||||||||
Korea — 5.1% | ||||||||
BS Financial Group, Inc. | 33,387 | 391,904 | ||||||
POSCO | 497 | 166,683 | ||||||
Samsung Electronics Co. Ltd. | 593 | 667,292 | ||||||
Shinhan Financial Group Co. Ltd. | 7,155 | 276,273 | ||||||
1,502,152 | ||||||||
Hong Kong — 4.5% | ||||||||
China Overseas Land & Investment Ltd. | 214,490 | 407,682 | ||||||
CNOOC Ltd. | 229,580 | 471,840 | ||||||
Wharf Holdings Ltd. | 81,576 | 443,305 | ||||||
1,322,827 | ||||||||
Cayman Islands — 4.1% | ||||||||
ASM Pacific Technology Ltd. | 49,472 | 721,800 | ||||||
Tingyi Cayman Islands Holding Corp. | 175,271 | 506,704 | ||||||
1,228,504 | ||||||||
Turkey — 3.5% | ||||||||
Akbank TAS* | 64,704 | 254,126 | ||||||
Tupras Turkiye Petrol Rafine | 13,411 | 342,367 | ||||||
Turkcell Iletisim Hizmetleri AS* | 62,834 | 321,521 | ||||||
Turkiye Garanti Bankasi AS | 32,911 | 130,366 | ||||||
1,048,380 | ||||||||
Indonesia — 2.8% | ||||||||
Bank Mandiri Tbk PT | 567,312 | 424,988 | ||||||
Telekomunikasi Indonesia Tbk PT | 512,555 | 392,376 | ||||||
817,364 | ||||||||
Canada — 2.4% | ||||||||
Eldorado Gold Corp. | 33,059 | 454,066 | ||||||
Yamana Gold, Inc. | 17,303 | 269,923 | ||||||
723,989 | ||||||||
Taiwan — 2.1% | ||||||||
Taiwan Semiconductor Manufacturing Co. Ltd. | 219,014 | 630,005 | ||||||
India — 2.0% | ||||||||
Infosys Ltd. ADR | 6,522 | 371,950 | ||||||
Reliance Industries Ltd. GDR, 144a | 7,893 | 230,081 | ||||||
602,031 | ||||||||
Luxembourg — 1.7% | ||||||||
Tenaris SA ADR | 13,324 | 509,377 | ||||||
Jersey — 1.6% | ||||||||
Randgold Resources Ltd. ADR | 5,548 | 488,113 | ||||||
United Kingdom — 1.6% | ||||||||
SABMiller PLC | 11,957 | 479,944 | ||||||
Peru — 1.6% | ||||||||
Cia de Minas Buenaventura SA ADR | 11,629 | 468,765 | ||||||
South Korea — 1.5% | ||||||||
Hankook Tire Co. Ltd. | 11,976 | 443,399 | ||||||
Czech Republic — 1.5% | ||||||||
CEZ AS | 10,297 | 442,395 |
13 |
Touchstone Emerging Markets Equity Fund II (Continued)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 89.4% (Continued) | ||||||||
Chile — 1.5% | ||||||||
Enersis SA | 1,077,970 | $ | 437,079 | |||||
Israel — 1.4% | ||||||||
Teva Pharmaceutical Industries Ltd. ADR | 9,014 | 406,171 | ||||||
Maylasia — 1.2% | ||||||||
CIMB Group Holdings Bhd | 145,767 | 365,904 | ||||||
Singapore — 1.2% | ||||||||
Keppel Land Ltd. | 129,148 | 356,504 | ||||||
United States — 0.2% | ||||||||
Southern Copper Corp. | 1,490 | 47,248 | ||||||
Total Common Stocks | $ | 26,572,446 |
Number | ||||||||
of | ||||||||
Rights | Fair Value | |||||||
Equity Linked Notes — 6.6% | ||||||||
Bharat Heavy Electricals Maturity 02/16/17 (Issuer JPMorgan)* | 27,780 | $ | 140,222 | |||||
Bharat Heavy Electricals Maturity 11/18/11 (Issuer Credit Suisse)* | 11,731 | 59,213 | ||||||
Bharti Airtel Ltd. Maturity 02/08/17 (Issuer JPMorgan)* | 47,690 | 316,311 | ||||||
Bharti Airtel Ltd. Maturity 09/09/14 (Issuer JPMorgan)* | 18,544 | 122,996 | ||||||
ITC Ltd. Maturity 02/16/17 (Issuer JPMorgan)* | 90,425 | 402,737 | ||||||
ITC Ltd. Maturity 09/15/14 (Issuer Credit Suisse)* | 38,172 | 170,011 | ||||||
Mahindra & Mahindra Ltd. Maturity 02/16/17 (Issuer JPMorgan)* | 19,649 | 270,060 | ||||||
Mahindra & Mahindra Ltd. Maturity 10/15/14 (Issuer JPMorgan)* | 7,642 | 105,033 | ||||||
Oil & Natural Gas Corp. Ltd. Maturity 02/08/17 (Issuer JPMorgan)* | 50,148 | 264,152 | ||||||
Oil & Natural Gas Corp. Ltd. Maturity 08/25/14 (Issuer JPMorgan)* | 19,498 | 102,705 | ||||||
Total Equity Linked Notes | $ | 1,953,440 |
Market | ||||||||
Shares | Value | |||||||
Investment Fund — 8.8% | ||||||||
Touchstone Institutional Money Market Fund^ | 2,630,055 | $ | 2,630,055 | |||||
Total Investment Securities —104.8% | ||||||||
(Cost $31,571,322) | $ | 31,155,941 | ||||||
Liabilities in Excess of Other Assets — (4.8%) | (1,426,815 | ) | ||||||
Net Assets — 100.0% | $ | 29,729,126 |
* | Non-income producing security. |
^ | Affiliated Fund,sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
ADR - American Depositary Receipt
GDR - Global Depositary Receipt
PCL - Public Company Limited
PLC - Public Limited Company
144A - This is a restricted security that was sold in a transaction exempt from Rule 144A of the Securities Act of 1933. This security may be sold in transactions exempt from registration, normally to qualified institutional buyers. At March 31, 2012, these securities were valued at $230,081 or 0.77% of net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Trustees.
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
14 |
Touchstone Emerging Markets Equity Fund II (Continued)
Valuation inputs at Reporting Date:
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | ||||||||||||||||
Brazil | 4,298,924 | — | — | 4,298,924 | ||||||||||||
Mexico | 2,448,635 | — | — | 2,448,635 | ||||||||||||
Bermuda | 2,063,298 | — | 210,623 | 2,273,921 | ||||||||||||
South Africa | 2,088,690 | — | — | 2,088,690 | ||||||||||||
Thailand | 1,302,038 | 282,978 | — | 1,585,016 | ||||||||||||
China | 1,557,109 | — | — | 1,557,109 | ||||||||||||
Korea | 1,502,152 | — | — | 1,502,152 | ||||||||||||
Hong Kong | 1,322,827 | — | — | 1,322,827 | ||||||||||||
Cayman Islands | 1,228,504 | — | — | 1,228,504 | ||||||||||||
Turkey | 1,048,380 | — | — | 1,048,380 | ||||||||||||
Indonesia | 817,364 | — | — | 817,364 | ||||||||||||
Canada | 723,989 | — | — | 723,989 | ||||||||||||
Taiwan | 630,005 | — | — | 630,005 | ||||||||||||
India | 602,031 | — | — | 602,031 | ||||||||||||
Luxembourg | 509,377 | — | — | 509,377 | ||||||||||||
Jersey | 488,113 | — | — | 488,113 | ||||||||||||
United Kingdom | 479,944 | — | — | 479,944 | ||||||||||||
Peru | 468,765 | — | — | 468,765 | ||||||||||||
South Korea | 443,399 | — | — | 443,399 | ||||||||||||
Czech Republic | 442,395 | — | — | 442,395 | ||||||||||||
Chile | 437,079 | — | — | 437,079 | ||||||||||||
Israel | 406,171 | — | — | 406,171 | ||||||||||||
Maylasia | 365,904 | — | — | 365,904 | ||||||||||||
Singapore | 356,504 | — | — | 356,504 | ||||||||||||
United States | 47,248 | — | — | 47,248 | ||||||||||||
Equity Linked Notes | — | 1,953,440 | — | 1,953,440 | ||||||||||||
Investment Fund | 2,630,055 | — | — | 2,630,055 | ||||||||||||
$ | 31,155,941 |
At March 31, 2012 securities valued at $15,666,691 were transferred from Level 2 to Level 1 pursuant to the Fund's fair valuation policy.
Level 3 Rollforward Disclosure
The following is a rollforward of the Fund's investments that were valued using unobservable inputs for the six months ended March 31, 2012:
Measurements Using Unobservable Inputs (Level 3)
Common Stock | ||||||||
Assets | Bermuda | Total | ||||||
Beginning balance | $ | — | $ | — | ||||
Gross transfers into Level 3 | 210,623 | (a) | 210,623 | |||||
Ending balance | $ | 210,623 | $ | 210,623 |
The change in unrealized appreciation/depreciation relating to the Level 3 investments held at March 31, 2012 was ($44,757).
(a) | Transferred from Level 1 to Level 3 due to lack of observable valuation inputs. |
See accompanying Notes to Financial Statements.
15 |
Portfolio of Investments
Touchstone Focused Equity Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 93.7% | ||||||||
Information Technology — 20.5% | ||||||||
Adobe Systems, Inc.* | 66,812 | $ | 2,292,319 | |||||
Arrow Electronics, Inc.* | 53,023 | 2,225,375 | ||||||
Google, Inc. - Class A* | 3,290 | 2,109,680 | ||||||
Hewlett-Packard Co. | 135,854 | 3,237,401 | ||||||
Ingram Micro, Inc. - Class A* | 210,880 | 3,913,933 | ||||||
Insight Enterprises, Inc.* | 103,547 | 2,270,786 | ||||||
Lexmark International, Inc. - Class A | 107,740 | 3,581,278 | ||||||
Nokia OYJ ADR† | 344,746 | 1,892,656 | ||||||
21,523,428 | ||||||||
Financials — 20.2% | ||||||||
Allstate Corp. (The) | 152,586 | 5,023,131 | ||||||
Bank of America Corp. | 588,504 | 5,631,983 | ||||||
Bank of New York Mellon Corp. (The) | 106,281 | 2,564,561 | ||||||
Fidelity National Financial, Inc. - Class A | 173,115 | 3,121,263 | ||||||
Goldman Sachs Group, Inc. (The) | 38,396 | 4,775,311 | ||||||
21,116,249 | ||||||||
Consumer Discretionary — 14.6% | ||||||||
Carnival Corp. | 62,309 | 1,998,873 | ||||||
International Speedway Corp. - Class A | 57,276 | 1,589,408 | ||||||
Lowe's Cos, Inc. | 49,188 | 1,543,519 | ||||||
Skechers U.S.A., Inc. - Class A* | 90,786 | 1,154,798 | ||||||
Speedway Motorsports, Inc. | 105,417 | 1,969,190 | ||||||
Time Warner Cable, Inc. | 62,096 | 5,060,823 | ||||||
WMS Industries, Inc.* | 83,624 | 1,984,398 | ||||||
15,301,009 | ||||||||
Industrials — 12.9% | ||||||||
Alliant Techsystems, Inc. | 76,482 | 3,833,278 | ||||||
Oshkosh Corp.* | 108,521 | 2,514,432 | ||||||
Raytheon Co. | 56,823 | 2,999,118 | ||||||
Universal Forest Products, Inc. | 122,029 | 4,207,560 | ||||||
13,554,388 | ||||||||
Energy — 7.3% | ||||||||
Encana Corp.† | 182,082 | 3,577,911 | ||||||
Exxon Mobil Corp. | 32,180 | 2,790,971 | ||||||
North American Energy Partners, Inc.* | 255,778 | 1,253,312 | ||||||
7,622,194 | ||||||||
Telecommunication Services — 6.4% | ||||||||
France Telecom SA ADR | 157,831 | 2,343,790 | ||||||
KDDI Corp. ADR | 269,735 | 4,380,496 | ||||||
6,724,286 | ||||||||
Health Care — 6.3% | ||||||||
UnitedHealth Group, Inc. | 21,831 | 1,286,719 | ||||||
WellPoint, Inc. | 72,101 | 5,321,054 | ||||||
6,607,773 | ||||||||
Consumer Staples — 4.0% | ||||||||
CVS Caremark Corp. | 69,701 | 3,122,605 | ||||||
TESCO PLC ADR | 67,023 | 1,071,698 | ||||||
4,194,303 | ||||||||
Materials — 1.5% | ||||||||
Cemex SAB de CV ADR†* | 206,549 | 1,602,822 | ||||||
Total Common Stocks | $ | 98,246,452 | ||||||
Investment Funds — 12.8% | ||||||||
Invesco Liquid Assets Portfolio** | 6,746,176 | 6,746,176 | ||||||
Touchstone Institutional Money Market Fund^ | 6,672,127 | 6,672,127 | ||||||
Total Investment Funds | $ | 13,418,303 | ||||||
Total Investment Securities —106.5% | ||||||||
(Cost $117,567,321) | $ | 111,664,755 | ||||||
Liabilities in Excess of Other Assets — (6.5%) | (6,832,727 | ) | ||||||
Net Assets — 100.0% | $ | 104,832,028 |
† | All or a portion of the security is on loan. The total value of the securites on loan as of March 31, 2012 was $6,519,472. |
* | Non-income producing security. |
** | Represents collateral for securities loaned. |
^ | Affiliated Fund,sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
ADR - American Depositary Receipt
PLC - Public Limited Company
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | $ | 98,246,452 | $ | — | $ | — | $ | 98,246,452 | ||||||||
Investment Funds | 13,418,303 | — | — | 13,418,303 | ||||||||||||
$ | 111,664,755 |
See accompanying Notes to Financial Statements.
16 |
Portfolio of Investments
Touchstone Global Equity Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Preferred Stocks — 2.2% | ||||||||
Germany — 2.2% | ||||||||
Henkel AG & Co. KGaA | 1,410 | $ | 103,316 | |||||
Common Stocks — 91.0% | ||||||||
United States — 27.7% | ||||||||
AGCO Corp.* | 1,497 | 70,673 | ||||||
Bristol-Myers Squibb Co. | 2,797 | 94,399 | ||||||
Celgene Corp.* | 1,884 | 146,048 | ||||||
DreamWorks Animation SKG, Inc. - Class A†* | 3,391 | 62,565 | ||||||
Kansas City Southern* | 1,355 | 97,140 | ||||||
Medtronic, Inc. | 2,828 | 110,829 | ||||||
Pfizer, Inc. | 6,950 | 157,487 | ||||||
Sara Lee Corp. | 9,568 | 205,999 | ||||||
Shuffle Master, Inc.* | 4,667 | 82,139 | ||||||
Southwestern Energy Co.* | 2,303 | 70,472 | ||||||
Symantec Corp.* | 5,516 | 103,149 | ||||||
Ultra Petroleum Corp.* | 3,764 | 85,179 | ||||||
1,286,079 | ||||||||
United Kingdom — 10.9% | ||||||||
BG Group PLC | 5,282 | 122,334 | ||||||
Cairn Energy PLC* | 20,356 | 105,199 | ||||||
F&C Asset Management PLC | 39,937 | 42,735 | ||||||
Fresnillo PLC | 4,273 | 109,217 | ||||||
Rexam PLC | 11,932 | 81,703 | ||||||
Smith & Nephew PLC | 4,501 | 45,607 | ||||||
506,795 | ||||||||
Japan — 8.8% | ||||||||
Konami Corp. | 3,400 | 96,368 | ||||||
NGK Insulators Ltd. | 6,000 | 85,611 | ||||||
SBI Holdings, Inc.* | 717 | 67,655 | ||||||
Softbank Corp.* | 2,400 | 70,953 | ||||||
Yahoo! Japan Corp. | 268 | 86,711 | ||||||
407,298 | ||||||||
Canada — 7.5% | ||||||||
Cott Corp.* | 9,276 | 61,129 | ||||||
Goldcorp, Inc. | 3,707 | 167,037 | ||||||
Yamana Gold, Inc. | 7,814 | 122,055 | ||||||
350,221 | ||||||||
Australia — 6.1% | ||||||||
Australian Agricultural Co. Ltd.* | 61,102 | 82,597 | ||||||
Santos Ltd. | 4,605 | 67,926 | ||||||
Treasury Wine Estates Ltd. | 14,981 | 63,624 | ||||||
Woodside Petroleum Ltd. | 1,863 | 67,176 | ||||||
281,323 | ||||||||
Switzerland — 5.8% | ||||||||
Syngenta AG* | 334 | 115,477 | ||||||
Tyco International Ltd. | 2,726 | 153,147 | ||||||
268,624 | ||||||||
France — 4.5% | ||||||||
Saft Groupe SA | 2,114 | 68,513 | ||||||
Sanofi | 1,786 | 138,704 | ||||||
207,217 | ||||||||
Hong Kong — 3.3% | ||||||||
Hutchison Telecommunications Hong Kong Holdings Ltd. | 364,000 | 154,214 | ||||||
Germany — 3.0% | ||||||||
Gerry Weber International AG | 1,570 | 60,242 | ||||||
Symrise AG | 2,716 | 78,605 | ||||||
138,847 | ||||||||
Israel — 2.3% | ||||||||
Check Point Software Technologies Ltd. | 1,713 | 109,358 | ||||||
Norway — 2.3% | ||||||||
Yara International ASA | 2,286 | 109,026 | ||||||
Sweden — 2.1% | ||||||||
Kinnevik Investment AB - Class B | 4,175 | 97,121 | ||||||
Denmark — 2.1% | ||||||||
Carlsberg A/S - Class B | 1,170 | 96,670 | ||||||
Netherlands — 1.9% | ||||||||
Koninklijke Ahold NV | 6,222 | 86,220 | ||||||
Luxembourg — 1.7% | ||||||||
Oriflame Cosmetics SA | 2,038 | 78,522 | ||||||
Russia — 1.0% | ||||||||
Mobile Telesystems OJSC ADR | 2,580 | 47,317 | ||||||
Total Common Stocks | $ | 4,224,852 | ||||||
Investment Funds — 6.3% | ||||||||
Invesco Liquid Assets Portfolio** | 60,000 | 60,000 | ||||||
Touchstone Institutional Money Market Fund^ | 233,857 | 233,857 | ||||||
Total Investment Funds | $ | 293,857 | ||||||
Total Investment Securities —99.5% | ||||||||
(Cost $4,420,350) | $ | 4,622,025 | ||||||
Other Assets in Excess of Liabilities — 0.5% | 20,913 | |||||||
Net Assets — 100.0% | $ | 4,642,938 |
† | All or a portion of the security is on loan. The total value of the securites on loan as of March 31, 2012 was $59,041. |
* | Non-income producing security. |
** | Represents collateral for securities loaned. |
^ | Affiliated Fund,sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
17 |
Touchstone Global Equity Fund (Continued)
Portfolio Abbreviations:
ADR - American Depositary Receipt
PLC - Public Limited Company
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Preferred Stock | $ | 103,316 | $ | — | $ | — | $ | 103,316 | ||||||||
Common Stocks | 4,224,852 | — | — | 4,224,852 | ||||||||||||
Investment Funds | 293,857 | — | — | 293,857 | ||||||||||||
$ | 4,622,025 |
At March 31, 2012 securities valued at $1,838,803 were transferred from Level 2 to Level 1 pursuant to the Fund's fair valuation policy.
See accompanying Notes to Financial Statements.
18 |
Portfolio of Investments
Touchstone Global Real Estate Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 97.6% | ||||||||
United States — 47.5% | ||||||||
AvalonBay Communities, Inc. REIT | 630 | $ | 89,050 | |||||
Boston Properties, Inc. REIT | 875 | 91,866 | ||||||
BRE Properties, Inc. REIT | 730 | 36,902 | ||||||
Camden Property Trust REIT | 690 | 45,368 | ||||||
CBL & Associates Properties, Inc. REIT | 3,270 | 61,868 | ||||||
CubeSmart REIT | 4,790 | 57,001 | ||||||
Douglas Emmett, Inc. REIT | 2,160 | 49,270 | ||||||
Equity Residential REIT | 1,875 | 117,412 | ||||||
Extra Space Storage, Inc. REIT | 2,850 | 82,052 | ||||||
First Industrial Realty Trust, Inc. REIT* | 2,900 | 35,815 | ||||||
Forest City Enterprises, Inc. - Class A* | 2,070 | 32,416 | ||||||
Glimcher Realty Trust REIT | 3,290 | 33,624 | ||||||
HCP, Inc. REIT | 1,820 | 71,817 | ||||||
Health Care REIT, Inc. | 1,050 | 57,708 | ||||||
Home Properties, Inc. REIT | 520 | 31,725 | ||||||
Host Hotels & Resorts, Inc. REIT | 6,433 | 105,630 | ||||||
Kimco Realty Corp. REIT | 3,645 | 70,203 | ||||||
Macerich Co. (The) REIT | 454 | 26,218 | ||||||
ProLogis, Inc. REIT | 4,568 | 164,539 | ||||||
Public Storage REIT | 625 | 86,356 | ||||||
Simon Property Group, Inc. REIT | 1,716 | 249,987 | ||||||
SL Green Realty Corp. REIT | 980 | 75,999 | ||||||
Starwood Hotels & Resorts Worldwide, Inc. | 750 | 42,308 | ||||||
Sunstone Hotel Investors, Inc. REIT* | 3,470 | 33,798 | ||||||
Tanger Factory Outlet Centers REIT | 1,070 | 31,811 | ||||||
Ventas, Inc. REIT | 1,722 | 98,326 | ||||||
Vornado Realty Trust REIT | 950 | 79,990 | ||||||
Weingarten Realty Investors REIT | 2,600 | 68,718 | ||||||
2,027,777 | ||||||||
Hong Kong — 12.3% | ||||||||
Cheung Kong Holdings Ltd. | 3,100 | 40,040 | ||||||
China Overseas Land & Investment Ltd. | 34,600 | 65,764 | ||||||
Hang Lung Properties Ltd. | 23,200 | 84,996 | ||||||
Hongkong Land Holdings Ltd. | 4,065 | 23,618 | ||||||
Kerry Properties Ltd. | 10,530 | 47,392 | ||||||
Link REIT (The) | 6,800 | 25,307 | ||||||
Shimao Property Holdings Ltd. | 23,500 | 25,087 | ||||||
Sino Land Co., Ltd. | 30,300 | 48,383 | ||||||
Sun Hung Kai Properties Ltd. | 11,380 | 141,416 | ||||||
Wharf Holdings Ltd. | 4,199 | 22,818 | ||||||
524,821 | ||||||||
Japan — 8.6% | ||||||||
Heiwa Real Estate REIT, Inc. REIT | 20 | 11,586 | ||||||
Japan Real Estate Investment Corp. REIT | 5 | 44,038 | ||||||
Mitsubishi Estate Co., Ltd. | 5,600 | 99,862 | ||||||
Mitsui Fudosan Co., Ltd. | 5,650 | 108,058 | ||||||
Nippon Building Fund, Inc. REIT | 2 | 18,992 | ||||||
Sumitomo Realty & Development Co., Ltd. | 3,600 | 86,771 | ||||||
369,307 | ||||||||
Singapore — 6.9% | ||||||||
Ascendas Real Estate Investment Trust REIT | 25,800 | 41,459 | ||||||
CapitaLand Ltd. | 27,300 | 67,759 | ||||||
CapitaMall Trust REIT | 38,000 | 54,564 | ||||||
City Developments Ltd. | 2,500 | 22,573 | ||||||
Fortune Real Estate Investment Trust REIT | 49,000 | 24,356 | ||||||
Global Logistic Properties Ltd.* | 25,250 | 44,191 | ||||||
Keppel Land Ltd. | 14,000 | 38,646 | ||||||
293,548 | ||||||||
Australia — 5.4% | ||||||||
Charter Hall Retail REIT | 6,300 | 20,622 | ||||||
Goodman Group REIT | 71,680 | 51,232 | ||||||
GPT Group REIT | 13,138 | 42,460 | ||||||
Westfield Group REIT | 12,620 | 115,430 | ||||||
229,744 | ||||||||
United Kingdom — 5.3% | ||||||||
British Land Co. PLC REIT | 8,202 | 62,958 | ||||||
Derwent London PLC REIT | 1,720 | 48,007 | ||||||
Development Securities PLC | 2,720 | 6,939 | ||||||
Great Portland Estates PLC REIT | 4,280 | 24,638 | ||||||
Hammerson PLC | 4,510 | 29,980 | ||||||
Land Securities Group PLC REIT | 4,800 | 55,470 | ||||||
227,992 | ||||||||
Canada — 4.1% | ||||||||
Canadian Apartment Properties REIT | 2,414 | 54,478 | ||||||
Canadian Real Estate Investment Trust REIT | 1,046 | 38,707 | ||||||
Chartwell Seniors Housing Real Estate Investment Trust REIT | 1,240 | 11,350 | ||||||
Morguard Real Estate Investment Trust REIT | 2,025 | 33,660 | ||||||
RioCan Real Estate Investment Trust REIT | 1,356 | 36,746 | ||||||
174,941 | ||||||||
France — 3.8% | ||||||||
Klepierre REIT | 1,099 | 38,109 | ||||||
Unibail-Rodamco SE REIT | 630 | 125,993 | ||||||
164,102 | ||||||||
Netherlands — 1.7% | ||||||||
Corio NV REIT | 504 | 26,585 | ||||||
Eurocommercial Properties NV REIT | 388 | 14,702 | ||||||
Vastned Retail NV REIT | 237 | 12,447 | ||||||
Wereldhave NV REIT | 238 | 18,890 | ||||||
72,624 | ||||||||
Germany — 1.3% | ||||||||
Alstria Office REIT-AG | 5,043 | 56,692 | ||||||
Sweden — 0.7% | ||||||||
Hufvudstaden AB - Class A | 2,727 | 28,833 | ||||||
Total Common Stocks | $ | 4,170,381 |
19 |
Touchstone Global Real Estate Fund (Continued)
Number | ||||||||
of | Market | |||||||
Rights | Value | |||||||
Rights — 0.0% | ||||||||
United States — 0.0% | ||||||||
Rouse Properties, Inc. REIT* | 134 | $ | — |
Shares | ||||||||
Investment Fund — 2.0% | ||||||||
Touchstone Institutional Money Market Fund^ | 84,914 | 84,914 | ||||||
Total Investment Securities —99.6% | ||||||||
(Cost $4,065,214) | $ | 4,255,295 | ||||||
Other Assets in Excess of Liabilities — 0.4% | 18,858 | |||||||
Net Assets — 100.0% | $ | 4,274,153 |
* | Non-income producing security. |
^ | Affiliated Fund,sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
PLC - Public Limited Company
REIT - Real Estate Investment Trust
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | $ | 4,170,381 | $ | — | $ | — | $ | 4,170,381 | ||||||||
Rights | — | — | — | — | ||||||||||||
Investment Fund | 84,914 | — | — | 84,914 | ||||||||||||
$ | 4,255,295 |
At March 31, 2012 securities valued at $1,789,611 were transferred from Level 2 to Level 1 pursuant to the Fund's fair valuation policy.
See accompanying Notes to Financial Statements.
20 |
Portfolio of Investments
Touchstone Intermediate Fixed Income Fund – March 31, 2012 (Unaudited)
Principal | Market | |||||||
Amount | Value | |||||||
Corporate Bonds — 50.0% | ||||||||
Financials — 21.1% | ||||||||
$ | 75,000 | ACE INA Holdings, Inc., | ||||||
5.700%, 2/15/17 | $ | 87,905 | ||||||
510,000 | Aflac, Inc., 8.500%, 5/15/19 | 665,652 | ||||||
370,000 | Allstate Life Global Funding Trusts | |||||||
MTN, 5.375%, 4/30/13 | 388,612 | |||||||
25,000 | American Express Bank FSB, | |||||||
5.500%, 4/16/13 | 26,170 | |||||||
150,000 | American Express Co., | |||||||
4.875%, 7/15/13 | 157,064 | |||||||
200,000 | American Express Co., | |||||||
7.000%, 3/19/18 | 245,529 | |||||||
210,000 | American International Group, Inc. | |||||||
MTN, 5.450%, 5/18/17 | 225,758 | |||||||
125,000 | Ameriprise Financial, Inc., | |||||||
5.650%, 11/15/15 | 141,969 | |||||||
250,000 | Associates Corp. of North America, | |||||||
6.950%, 11/1/18 | 282,967 | |||||||
400,000 | Bank of America Corp., | |||||||
5.750%, 12/1/17 | 428,997 | |||||||
800,000 | Bank of America NA, 5.300%, 3/15/17 | 834,856 | ||||||
200,000 | Barclays Bank PLC, 2.750%, 2/23/15 | 201,904 | ||||||
40,000 | Barclays Bank PLC, 6.750%, 5/22/19 | 45,995 | ||||||
500,000 | Barclays Bank PLC, Series 1, | |||||||
5.000%, 9/22/16 | 537,781 | |||||||
915,000 | BB&T Corp., 6.850%, 4/30/19 | 1,126,284 | ||||||
45,000 | Bear Stearns Cos LLC (The), | |||||||
5.300%, 10/30/15†† | 49,675 | |||||||
150,000 | Bear Stearns Cos LLC (The), | |||||||
5.700%, 11/15/14†† | 165,747 | |||||||
30,000 | Bear Stearns Cos LLC (The), | |||||||
6.400%, 10/2/17†† | 34,930 | |||||||
500,000 | Berkshire Hathaway Finance Corp., | |||||||
5.000%, 8/15/13 | 529,566 | |||||||
375,000 | Berkshire Hathaway, Inc., | |||||||
3.200%, 2/11/15 | 399,498 | |||||||
1,500,000 | Boston Properties LP, | |||||||
5.875%, 10/15/19 | 1,719,279 | |||||||
345,000 | Capital One Bank USA NA, | |||||||
8.800%, 7/15/19 | 421,828 | |||||||
175,000 | Citigroup, Inc., 4.500%, 1/14/22 | 175,685 | ||||||
175,000 | Citigroup, Inc., 5.850%, 8/2/16 | 190,991 | ||||||
40,000 | CME Group, Inc., 5.750%, 2/15/14 | 43,618 | ||||||
30,000 | Countrywide Financial Corp., | |||||||
6.250%, 5/15/16 | 31,262 | |||||||
180,000 | Fifth Third Bancorp, 3.625%, 1/25/16 | 189,573 | ||||||
110,000 | Genworth Financial, Inc., | |||||||
5.750%, 6/15/14 | 114,361 | |||||||
315,000 | Goldman Sachs Group, Inc. (The), | |||||||
5.350%, 1/15/16 | 334,052 | |||||||
500,000 | Goldman Sachs Group, Inc. (The), | |||||||
5.625%, 1/15/17 | 525,188 | |||||||
35,000 | Goldman Sachs Group, Inc. (The), | |||||||
6.150%, 4/1/18 | 37,752 | |||||||
255,000 | HCP, Inc., 5.650%, 12/15/13 | 270,544 | ||||||
485,000 | HSBC Finance Corp., 5.500%, 1/19/16 | 525,555 | ||||||
250,000 | Jefferies Group, Inc., 8.500%, 7/15/19 | 277,500 | ||||||
385,000 | JPMorgan Chase & Co., | |||||||
5.125%, 9/15/14 | 412,559 | |||||||
275,000 | JPMorgan Chase & Co., | |||||||
5.375%, 10/1/12 | 281,493 | |||||||
100,000 | KeyBank NA, 5.800%, 7/1/14 | 108,429 | ||||||
530,000 | KeyCorp. MTN, 6.500%, 5/14/13 | 559,215 | ||||||
470,000 | KimCo. Realty Corp., 5.700%, 5/1/17 | 514,892 | ||||||
215,000 | Merrill Lynch & Co., Inc., | |||||||
6.400%, 8/28/17 | 234,465 | |||||||
20,000 | MetLife, Inc., 5.000%, 6/15/15 | 22,120 | ||||||
150,000 | Morgan Stanley, 5.500%, 7/28/21 | 146,593 | ||||||
125,000 | Morgan Stanley MTN, 5.500%, 1/26/20 | 121,910 | ||||||
1,200,000 | PNC Funding Corp., 5.625%, 2/1/17 | 1,339,208 | ||||||
125,000 | Principal Life Income Funding Trusts | |||||||
MTN, 5.100%, 4/15/14 | 133,116 | |||||||
535,000 | ProLogis LP, 7.625%, 8/15/14 | 595,208 | ||||||
30,000 | Prudential Financial, Inc. MTN, | |||||||
4.750%, 9/17/15 | 32,565 | |||||||
125,000 | Prudential Financial, Inc. MTN, Ser B, | |||||||
4.750%, 4/1/14 | 132,491 | |||||||
25,000 | Simon Property Group LP, | |||||||
5.750%, 12/1/15 | 28,191 | |||||||
200,000 | SunTrust Banks, Inc., 5.250%, 11/5/12 | 204,907 | ||||||
150,000 | Toyota Motor Credit Corp. MTN, | |||||||
3.200%, 6/17/15 | 159,368 | |||||||
100,000 | Travelers Cos, Inc. (The), | |||||||
5.500%, 12/1/15 | 113,398 | |||||||
1,000,000 | Travelers Cos, Inc. (The), | |||||||
5.900%, 6/2/19 | 1,210,824 | |||||||
185,000 | Wachovia Bank NA, 5.000%, 8/15/15 | 199,480 | ||||||
375,000 | Wachovia Corp., 5.750%, 2/1/18 | 435,988 | ||||||
170,000 | Wells Fargo & Co., 4.950%, 10/16/13 | 179,314 | ||||||
18,599,781 | ||||||||
Consumer Staples — 5.2% | ||||||||
250,000 | Anheuser-Busch InBev Worldwide, | |||||||
Inc., 0.927%, 7/14/14(A) | 250,380 | |||||||
200,000 | Avon Products, Inc., 4.200%, 7/15/18 | 206,433 | ||||||
550,000 | Coca-Cola Enterprises, Inc., | |||||||
2.125%, 9/15/15 | 562,326 | |||||||
25,000 | ConAgra Foods, Inc., 7.000%, 4/15/19 | 29,442 | ||||||
150,000 | CostCo. Wholesale Corp., | |||||||
5.500%, 3/15/17 | 178,331 | |||||||
25,000 | CVS Caremark Corp., 6.600%, 3/15/19 | 30,838 | ||||||
500,000 | General Mills, Inc., 5.200%, 3/17/15 | 556,366 | ||||||
35,000 | General Mills, Inc., 5.650%, 2/15/19 | 41,554 | ||||||
500,000 | Kimberly-Clark Corp., 6.125%, 8/1/17 | 610,118 | ||||||
329,000 | Kraft Foods, Inc., 6.250%, 6/1/12 | 331,833 | ||||||
25,000 | Kraft Foods, Inc., 6.500%, 8/11/17 | 30,158 | ||||||
30,000 | Kroger Co. (The), 6.400%, 8/15/17 | 36,169 | ||||||
40,000 | Procter & Gamble Co. (The), | |||||||
4.700%, 2/15/19 | 46,565 | |||||||
921,000 | Safeway, Inc., 6.250%, 3/15/14 | 1,013,478 | ||||||
20,000 | Safeway, Inc., 6.350%, 8/15/17 | 23,272 |
21 |
Touchstone Intermediate Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Corporate Bonds — 50.0% (Continued) | ||||||||
Consumer Staples — (Continued) | ||||||||
$ | 500,000 | Sara Lee Corp., 3.875%, 6/15/13 | $ | 500,093 | ||||
120,000 | Sysco Corp., 4.200%, 2/12/13 | 123,547 | ||||||
4,570,903 | ||||||||
Industrials — 4.7% | ||||||||
250,000 | Canadian National Railway Co., | |||||||
4.400%, 3/15/13 | 259,050 | |||||||
195,000 | Caterpillar Financial Services Corp. | |||||||
MTN, 7.150%, 2/15/19 | 251,886 | |||||||
130,000 | Dover Corp., 4.875%, 10/15/15 | 145,718 | ||||||
150,000 | Emerson Electric Co., | |||||||
5.000%, 12/15/14 | 166,443 | |||||||
150,000 | General Dynamics Corp., | |||||||
4.250%, 5/15/13 | 156,192 | |||||||
2,000,000 | General Electric Capital Corp. MTN, | |||||||
3.350%, 10/17/16 | 2,121,698 | |||||||
275,000 | General Electric Co., 5.250%, 12/6/17 | 318,028 | ||||||
140,000 | Parker Hannifin Corp. MTN, | |||||||
5.500%, 5/15/18 | 163,050 | |||||||
150,000 | Pitney Bowes, Inc., 3.875%, 6/15/13 | 154,884 | ||||||
250,000 | United Parcel Service, Inc., | |||||||
5.500%, 1/15/18 | 300,681 | |||||||
100,000 | United Technologies Corp., | |||||||
4.875%, 5/1/15 | 111,685 | |||||||
4,149,315 | ||||||||
Utilities — 3.6% | ||||||||
20,000 | Arizona Public Service Co., | |||||||
8.750%, 3/1/19 | 25,939 | |||||||
150,000 | Consolidated Edison Co. of NY, Inc., | |||||||
Ser 08-A, 5.850%, 4/1/18 | 182,060 | |||||||
100,000 | Duke Energy Carolinas LLC, | |||||||
5.300%, 10/1/15 | 114,326 | |||||||
25,000 | Exelon Corp., 4.900%, 6/15/15 | 27,270 | ||||||
520,000 | Exelon Generation Co. LLC, | |||||||
5.200%, 10/1/19 | 577,161 | |||||||
115,000 | Georgia Power Co., Ser Z, | |||||||
5.250%, 12/15/15 | 131,093 | |||||||
360,000 | Metropolitan Edison Co., | |||||||
7.700%, 1/15/19 | 448,860 | |||||||
20,000 | Midamerican Energy Holdings Co., | |||||||
5.750%, 4/1/18 | 23,509 | |||||||
310,000 | Midamerican Energy Holdings Co., | |||||||
Series D, 5.000%, 2/15/14 | 333,269 | |||||||
550,000 | NextEra Energy Capital Holdings, Inc., | |||||||
2.550%, 11/15/13 | 559,806 | |||||||
125,000 | NSTAR Electric Co., 4.875%, 4/15/14 | 134,901 | ||||||
180,000 | Public Service Co. of Colorado, Ser 10, | |||||||
7.875%, 10/1/12 | 186,493 | |||||||
140,000 | Public Service Electric & Gas Co., MTN, | |||||||
Ser C MTN, 5.375%, 9/1/13 | 148,690 | |||||||
130,000 | Southern California Edison Co. Ser | |||||||
05-A, 5.000%, 1/15/16 | 147,059 | |||||||
100,000 | TransCanada PipeLines Ltd., | |||||||
4.875%, 1/15/15 | 110,001 | |||||||
3,150,437 | ||||||||
Energy — 3.6% | ||||||||
800,000 | Boardwalk Pipelines LP, | |||||||
5.750%, 9/15/19 | 869,622 | |||||||
500,000 | ConocoPhillips, 4.400%, 5/15/13 | 521,356 | ||||||
550,000 | Energy Transfer Partners LP, | |||||||
6.700%, 7/1/18 | 630,546 | |||||||
650,000 | Enterprise Products Operating LLC, | |||||||
Ser O, 9.750%, 1/31/14 | 745,909 | |||||||
320,000 | Shell International Finance BV, | |||||||
4.000%, 3/21/14 | 341,418 | |||||||
25,000 | Valero Energy Corp., 9.375%, 3/15/19 | 32,746 | ||||||
3,141,597 | ||||||||
Health Care — 2.8% | ||||||||
150,000 | Abbott Laboratories, | |||||||
5.600%, 11/30/17 | 181,395 | |||||||
205,000 | Abbott Laboratories, 5.875%, 5/15/16 | 241,168 | ||||||
100,000 | Aetna, Inc., 6.000%, 6/15/16 | 115,534 | ||||||
175,000 | AstraZeneca PLC, 5.900%, 9/15/17 | 209,743 | ||||||
120,000 | Baxter International, Inc., | |||||||
5.900%, 9/1/16 | 142,598 | |||||||
500,000 | Express Scripts, Inc., 3.125%, 5/15/16 | 520,652 | ||||||
150,000 | Genentech, Inc., 4.750%, 7/15/15 | 167,457 | ||||||
100,000 | Medtronic, Inc., Ser B, 4.750%, 9/15/15 | 111,931 | ||||||
300,000 | Pfizer, Inc., 6.200%, 3/15/19 | 375,420 | ||||||
115,000 | UnitedHealth Group, Inc., | |||||||
5.000%, 8/15/14 | 125,823 | |||||||
125,000 | Wyeth, 5.450%, 4/1/17 | 149,312 | ||||||
120,000 | Wyeth, 5.500%, 2/1/14 | 130,527 | ||||||
2,471,560 | ||||||||
Consumer Discretionary — 2.7% | ||||||||
250,000 | Board of Trustees of The Leland | |||||||
Stanford Junior University (The), | ||||||||
4.750%, 5/1/19 | 291,375 | |||||||
20,000 | Comcast Corp., 5.875%, 2/15/18 | 23,669 | ||||||
235,000 | Darden Restaurants, Inc., | |||||||
4.500%, 10/15/21 | 241,082 | |||||||
500,000 | Johnson Controls, Inc., | |||||||
5.500%, 1/15/16 | 563,944 | |||||||
100,000 | Lowe's Cos, Inc., 5.400%, 10/15/16 | 116,438 | ||||||
125,000 | OmniCom Group, Inc., | |||||||
5.900%, 4/15/16 | 143,672 | |||||||
185,000 | Target Corp., 5.875%, 7/15/16 | 218,414 | ||||||
30,000 | Time Warner Cable, Inc., | |||||||
6.200%, 7/1/13 | 31,998 | |||||||
20,000 | Time Warner Cable, Inc., | |||||||
8.250%, 4/1/19 | 25,578 | |||||||
350,000 | Wal-Mart Stores, Inc., 4.250%, 4/15/13 | 363,442 | ||||||
150,000 | Wal-Mart Stores, Inc., 4.500%, 7/1/15 | 166,876 | ||||||
25,000 | Wal-Mart Stores, Inc., 5.800%, 2/15/18 | 30,413 | ||||||
180,000 | Walt Disney Co. (The), 5.500%, 3/15/19 | 214,784 | ||||||
2,431,685 | ||||||||
Telecommunication Services — 2.7% | ||||||||
145,000 | AT&T, Inc., 5.500%, 2/1/18 | 170,831 | ||||||
110,000 | AT&T, Inc., 5.625%, 6/15/16 | 127,551 | ||||||
140,000 | BellSouth Corp., 5.200%, 9/15/14 | 154,079 |
22 |
Touchstone Intermediate Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Corporate Bonds — 50.0% (Continued) | ||||||||
Telecommunication Services — (Continued) | ||||||||
$ | 550,000 | Telefonica Emisiones SAU, | ||||||
2.582%, 4/26/13 | $ | 552,314 | ||||||
305,000 | Verizon Communications, Inc., | |||||||
5.500%, 2/15/18 | 357,478 | |||||||
175,000 | Verizon Global Funding Corp., | |||||||
4.375%, 6/1/13 | 182,555 | |||||||
690,000 | Vodafone Group PLC, | |||||||
3.375%, 11/24/15 | 738,784 | |||||||
100,000 | Vodafone Group PLC, 5.625%, 2/27/17 | 116,971 | ||||||
2,400,563 | ||||||||
Information Technology — 2.3% | ||||||||
40,000 | Dell, Inc., 5.875%, 6/15/19 | 47,484 | ||||||
250,000 | Hewlett-Packard Co., | |||||||
0.772%, 5/24/13(A) | 249,435 | |||||||
200,000 | International Business Machines Corp., | |||||||
7.625%, 10/15/18 | 266,785 | |||||||
350,000 | Motorola Solutions, Inc., | |||||||
6.000%, 11/15/17 | 405,197 | |||||||
160,000 | Oracle Corp., 3.750%, 7/8/14 | 171,196 | ||||||
235,000 | Oracle Corp., 4.950%, 4/15/13 | 246,094 | ||||||
550,000 | Xerox Corp., 6.400%, 3/15/16 | 626,983 | ||||||
2,013,174 | ||||||||
Materials — 1.3% | ||||||||
260,000 | Alcoa, Inc., 6.150%, 8/15/20 | 279,884 | ||||||
140,000 | Dow Chemical Co. (The), | |||||||
5.900%, 2/15/15 | 157,597 | |||||||
450,000 | EI du Pont de Nemours & Co., | |||||||
3.625%, 1/15/21 | 483,499 | |||||||
200,000 | Praxair, Inc., 5.375%, 11/1/16 | 233,158 | ||||||
1,154,138 | ||||||||
Total Corporate Bonds | $ | 44,083,153 | ||||||
U.S. Treasury Obligations — 28.9% | ||||||||
900,000 | U. S. Treasury Inflation Indexed Bonds, | |||||||
0.125%, 1/15/22 | 921,100 | |||||||
800,000 | U.S. Treasury Bond, 8.750%, 5/15/17 | 1,106,062 | ||||||
500,000 | U.S. Treasury Bond, 11.250%, 2/15/15 | 652,344 | ||||||
2,600,000 | U.S. Treasury Note, 0.125%, 12/31/13 | 2,591,061 | ||||||
1,600,000 | U.S. Treasury Note, 0.250%, 2/28/14 | 1,597,626 | ||||||
5,200,000 | U.S. Treasury Note, 0.875%, 2/28/17 | 5,163,439 | ||||||
1,500,000 | U.S. Treasury Note, 1.000%, 8/31/16 | 1,506,446 | ||||||
1,150,000 | U.S. Treasury Note, 1.250%, 10/31/15 | 1,172,910 | ||||||
350,000 | U.S. Treasury Note, 1.375%, 1/15/13 | 353,199 | ||||||
100,000 | U.S. Treasury Note, 1.375%, 11/30/18 | 99,055 | ||||||
1,950,000 | U.S. Treasury Note, 1.375%, 2/28/19 | 1,922,273 | ||||||
170,000 | U.S. Treasury Note, 1.750%, 3/31/14 | 174,715 | ||||||
4,500,000 | U.S. Treasury Note, 2.000%, 2/15/22 | 4,413,515 | ||||||
500,000 | U.S. Treasury Note, 2.750%, 10/31/13 | 519,121 | ||||||
3,000,000 | U.S. Treasury Note, 4.250%, 11/15/14 | 3,292,968 | ||||||
Total U.S. Treasury Obligations | $ | 25,485,834 | ||||||
U.S. Government Mortgage-Backed | ||||||||
Obligations — 10.1% | ||||||||
2,513,331 | FHLMC, Pool #C03490, 4.500%, 8/1/40 | 2,666,538 | ||||||
2,047,528 | FHLMC, Pool #G06087, 5.000%, 9/1/40 | 2,206,947 | ||||||
3,801,213 | FNMA, Pool #AE5440, 4.500%, 10/1/40 | 4,048,963 | ||||||
Total U.S. Government | ||||||||
Mortgage-Backed Obligations | $ | 8,922,448 | ||||||
U.S. Government Agency Obligations — 6.0% | ||||||||
2,500,000 | FFCB, 1.750%, 2/21/13 | 2,531,433 | ||||||
340,000 | FFCB, 5.125%, 8/25/16 | 398,718 | ||||||
465,000 | FHLB, 5.000%, 12/21/15 | 538,385 | ||||||
275,000 | FHLB, 5.375%, 5/18/16 | 325,011 | ||||||
400,000 | FHLMC, 4.500%, 1/15/14 | 430,490 | ||||||
400,000 | FHLMC, 5.125%, 10/18/16 | 469,011 | ||||||
250,000 | FNMA, 2.500%, 5/15/14 | 261,177 | ||||||
150,000 | FNMA, 4.125%, 4/15/14 | 161,223 | ||||||
125,000 | FNMA, 4.625%, 10/15/13 | 133,205 | ||||||
Total U.S. Government Agency | ||||||||
Obligations | $ | 5,248,653 | ||||||
Sovereign Government Obligations — 2.6% | ||||||||
100,000 | Asian Development Bank MTN, | |||||||
4.500%, 9/4/12 | 101,665 | |||||||
500,000 | Chile Government International Bond, | |||||||
5.500%, 1/15/13 | 516,750 | |||||||
200,000 | Deutsche Bank AG/London, | |||||||
6.000%, 9/1/17 | 227,049 | |||||||
250,000 | Export-Import Bank of Korea, | |||||||
5.500%, 10/17/12 | 255,144 | |||||||
180,000 | Hydro Quebec, 7.500%, 4/1/16 | 219,013 | ||||||
125,000 | Korea Development Bank, | |||||||
5.500%, 11/13/12 | 127,800 | |||||||
110,000 | Korea Electric Power Corp., | |||||||
7.750%, 4/1/13 | 115,980 | |||||||
250,000 | Province of Ontario Canada, | |||||||
4.750%, 1/19/16 | 282,211 | |||||||
200,000 | Province of Quebec Canada, | |||||||
4.600%, 5/26/15 | 223,081 | |||||||
225,000 | Republic of Korea, 4.875%, 9/22/14 | 241,066 | ||||||
Total Sovereign Government | ||||||||
Obligations | $ | 2,309,759 | ||||||
Commercial Mortgage-Backed Security — 0.6% | ||||||||
450,000 | Citigroup Commercial Mortgage Trust, | |||||||
Ser 2006-C5, Class A4, | ||||||||
5.431%, 10/15/49 | 509,364 |
Shares | ||||||||
Investment Fund — 1.8% | ||||||||
1,619,002 | Touchstone Institutional Money | |||||||
Market Fund^ | $ | 1,619,002 |
23 |
Touchstone Intermediate Fixed Income Fund (Continued)
Market | ||||||||
Value | ||||||||
Total Investment Securities —100.0% | ||||||||
(Cost $84,274,309) | $ | 88,178,213 | ||||||
Liabilities in Excess of | ||||||||
Other Assets — 0.0% | (11,576 | ) | ||||||
Net Assets — 100.0% | $ | 88,166,637 |
(A) | Variable rate security - the rate reflected is the rate in effect as of March 31, 2012. |
^ | Affiliated Fund,sub-advised byFort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
†† | The issuers and/or sponsors of certain asset-backed securities may no longer exist;however,the securities held by the Fund are separate legal entities organized as trusts and publicly traded. The Fund receives principal and interest payments directly from these trusts. |
Portfolio Abbreviations:
FFCB - Federal Farm Credit Bank
FHLB - Federal Home Loan Bank
FHLMC - Federal Home Loan Mortgage Corporation
FNMA - Federal National Mortgage Association
MTN -Medium Term Note
LLC - Limited Liability Company
PLC - Public Limited Company
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Corporate Bonds | $ | — | $ | 44,083,153 | $ | — | $ | 44,083,153 | ||||||||
U.S. Treasury Obligations | — | 25,485,834 | — | 25,485,834 | ||||||||||||
U.S. Government Mortgage-Backed Obligations | — | 8,922,448 | — | 8,922,448 | ||||||||||||
U.S. Government Agency Obligations | — | 5,248,653 | — | 5,248,653 | ||||||||||||
Sovereign Government Obligations | — | 2,309,759 | — | 2,309,759 | ||||||||||||
Commerical Mortgage-Backed Security | — | 509,364 | — | 509,364 | ||||||||||||
Investment Fund | 1,619,002 | — | — | 1,619,002 | ||||||||||||
$ | 88,178,213 |
See accompanying Notes to Financial Statements.
24 |
Portfolio of Investments
Touchstone International Fixed Income Fund – March 31, 2012 (Unaudited)
Principal | Market | |||||||
Amount | Value | |||||||
Sovereign Government Obligations — 46.5% | ||||||||
$ | 150,000 | Austria Government Bond, | ||||||
3.200%, 2/20/17 | $ | 214,080 | ||||||
270,000 | Austria Government Bond, | |||||||
4.150%, 3/15/37 | 399,820 | |||||||
250,000 | Belgium Government Bond, Ser 56, | |||||||
3.500%, 3/28/15 | 351,298 | |||||||
150,000 | Bundesrepublik Deutschland, | |||||||
5.000%, 7/4/12 | 202,501 | |||||||
150,000 | Bundesrepublik Deutschland, Ser 03, | |||||||
4.750%, 7/4/34 | 274,757 | |||||||
270,000 | Canadian Government Bond, | |||||||
5.000%, 6/1/14 | 292,443 | |||||||
10,000,000 | Development Bank of Japan, | |||||||
1.400%, 6/20/12 | 121,140 | |||||||
16,000,000 | Development Bank of Japan, | |||||||
1.700%, 9/20/22 | 205,382 | |||||||
410,000 | Finland Government Bond, | |||||||
1.750%, 4/15/16 | 563,744 | |||||||
250,000 | France Government Bond OAT, | |||||||
5.000%, 10/25/16 | 383,641 | |||||||
172,000 | Italy Buoni Poliennali Del Tesoro, | |||||||
4.750%, 8/1/23 | 219,258 | |||||||
1,400,000 | Italy Buoni Poliennali Del Tesoro | |||||||
Coupon Strip, 0.000%, 5/1/29 | 665,483 | |||||||
1,900,000 | Mexican Bonos, Ser M10, | |||||||
7.750%, 12/14/17 | 164,868 | |||||||
2,000,000 | Mexican Bonos, Ser M20, | |||||||
10.000%, 12/5/24 | 204,325 | |||||||
300,000 | Netherlands Government Bond, | |||||||
1.750%, 1/15/13 | 405,154 | |||||||
200,000 | Netherlands Government Bond, | |||||||
2.500%, 1/15/17 | 281,732 | |||||||
1,500,000 | South Africa Government Bond, Ser | |||||||
R207, 7.250%, 1/15/20 | 189,460 | |||||||
3,000,000 | Sweden Government Bond, Ser 1049, | |||||||
4.500%, 8/12/15 | 499,196 | |||||||
60,000 | United Kingdom Gilt, 8.000%, 12/7/15 | 121,690 | ||||||
Total Sovereign Government Obligations | $ | 5,759,972 | ||||||
Corporate Bonds — 46.8% | ||||||||
Financials — 37.6% | ||||||||
20,000,000 | Asian Development Bank, | |||||||
2.350%, 6/21/27 | 270,052 | |||||||
41,000,000 | Bayerische Landesbank, | |||||||
1.400%, 4/22/13 | 499,249 | |||||||
100,000 | Dexia Credit Local SA, 2.625%, 1/21/14 | 133,597 | ||||||
38,000,000 | Eksportfinans ASA, 1.600%, 3/20/14 | 419,370 | ||||||
200,000 | European Financial Stability Facility, | |||||||
2.750%, 7/18/16 | 278,741 | |||||||
10,000,000 | European Investment Bank, | |||||||
2.150%, 1/18/27 | 127,412 | |||||||
115,000 | European Union, 2.750%, 9/21/21 | 154,428 | ||||||
85,000 | European Union, 3.500%, 6/4/21 | 121,444 | ||||||
300,000 | German Postal Pensions Securitisation | |||||||
PLC, 3.375%, 1/18/16 | 422,838 | |||||||
100,000 | HGI Group Ltd., 6.500%, 5/2/12 | 160,285 | ||||||
100,000 | International Power Finance Jersey III | |||||||
Ltd., 4.750%, 6/5/15 | 145,774 | |||||||
100,000 | Kreditanstalt fuer Wiederaufbau, | |||||||
1.500%, 7/30/14 | 153,176 | |||||||
10,000,000 | Kreditanstalt fuer Wiederaufbau, | |||||||
2.600%, 6/20/37 | 136,781 | |||||||
150,000 | Kreditanstalt fuer Wiederaufbau, | |||||||
3.375%, 1/18/21 | 218,249 | |||||||
1,650,000,000 | Kreditanstalt fuer Wiederaufbau, | |||||||
7.500%, 7/17/12 | 181,484 | |||||||
20,000,000 | Landwirtschaftliche Rentenbank, | |||||||
1.375%, 4/25/13 | 244,489 | |||||||
100,000 | LCR Finance PLC, 4.500%, 12/7/28 | 182,944 | ||||||
400,000 | Merrill Lynch & Co., Inc., | |||||||
1.840%, 5/30/14(A) | 505,920 | |||||||
1,000,000 | Stadshypotek AB, Ser 1576, | |||||||
6.000%, 3/18/15 | 166,671 | |||||||
100,000 | Swedbank Hypotek AB, | |||||||
2.500%, 1/21/13 | 135,209 | |||||||
4,658,113 | ||||||||
Industrials — 7.2% | ||||||||
100,000 | Carnival PLC, 4.250%, 11/27/13 | 136,945 | ||||||
1,300,000 | China Petroleum & Chemical Corp., | |||||||
0.000%, 4/24/14 | 195,447 | |||||||
100,000 | Industrivarden AB, 2.500%, 2/27/15 | 150,642 | ||||||
100,000 | Rexel SA, 7.000%, 12/17/18 | 140,706 | ||||||
200,000 | Xefin Lux SCA, 8.000%, 6/1/18 | 269,409 | ||||||
893,149 | ||||||||
Information Technology — 0.9% | ||||||||
200,000 | Cap Gemini SA, 3.500%, 1/1/14 | 105,523 | ||||||
Telecommunication Services — 0.6% | ||||||||
50,000 | Ziggo Finance BV, 6.125%, 11/15/17 | 70,353 | ||||||
Materials — 0.5% | ||||||||
50,000 | Smurfit Kappa Funding PLC, | |||||||
7.750%, 4/1/15 | 67,792 | |||||||
Total Corporate Bonds | $ | 5,794,930 | ||||||
Shares | ||||||||
Common Stock — 1.9% | ||||||||
Consumer Discretionary — 1.9% | ||||||||
17,007 | WPP PLC | $ | 232,443 | |||||
Investment Fund — 4.5% | ||||||||
564,855 | Touchstone Institutional Money | |||||||
Market Fund^ | 564,855 |
25 |
Touchstone International Fixed Income Fund (Continued)
Market | ||||||||
Value | ||||||||
Total Investment Securities —99.7% | ||||||||
(Cost $12,361,967) | $ | 12,352,200 | ||||||
Other Assets in Excess | ||||||||
of Liabilities — 0.3% | 38,597 | |||||||
Net Assets — 100.0% | $ | 12,390,797 |
(A) | Variable rate security - the rate reflected is the rate in effect as of March 31, 2012. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
AUD - Australian Dollar
CAD - Canadian Dollar
CHF - Swiss Franc
COP - Colombian Peso
EUR - Euro
GBP - British Pound
HKD - Hong Kong Dollar
IDR - Indonesian Rupiah
INR - Indian Rupee
JPY - Japanese Yen
KRW - South Korean Won
MXN - Mexican Peso
NZD - New Zealand Dollar
PLC - Public Limited Company
PLN - Polish Zloty
SEK - Sweden Krona
ZAR - South African Rand
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Sovereign Government Obligations | $ | — | $ | 5,759,972 | $ | — | $ | 5,759,972 | ||||||||
Corporate Bonds | — | 5,794,930 | — | 5,794,930 | ||||||||||||
Common Stock | 232,443 | — | — | 232,443 | ||||||||||||
Investment Fund | 564,855 | — | — | 564,855 | ||||||||||||
$ | 12,352,200 |
Level 1 | Level 2 | Level 3 | Total | |||||||||||||
Other Financial Instruments* | ||||||||||||||||
Assets: | ||||||||||||||||
Forward Currency Contracts | $ | — | $ | 183,314 | $ | — | $ | 183,314 | ||||||||
Liabilities: | ||||||||||||||||
Forward Currency Contracts | $ | — | $ | (288,359 | ) | $ | — | $ | (288,359 | ) |
* Other Financial Instruments are derivative instruments not reflected in total investments. Amounts shown represent unrealized appreciation (depreciation).
26 |
Touchstone International Fixed Income Fund (Continued)
Forward Foreign Currency Exchange Contracts
Unrealized | ||||||||||||||||||||||||
Contract to | Appreciation/ | |||||||||||||||||||||||
Counterparty | Value Date | Receive | Deliver | (Depreciation) | ||||||||||||||||||||
Brown Brothers Harriman | 04/04/2012 | CAD | 1,890 | USD | 1,891 | $ | 361 | |||||||||||||||||
Brown Brothers Harriman | 04/04/2012 | EUR | 7,020 | USD | 9,349 | 1,428 | ||||||||||||||||||
Brown Brothers Harriman | 04/04/2012 | GBP | 3,200 | USD | 5,113 | 541 | ||||||||||||||||||
Brown Brothers Harriman | 04/04/2012 | USD | 1,918 | CAD | 1,890 | 2,292 | ||||||||||||||||||
Brown Brothers Harriman | 04/04/2012 | USD | 9,391 | EUR | 7,020 | 2,868 | ||||||||||||||||||
Brown Brothers Harriman | 04/04/2012 | USD | 5,111 | GBP | 3,200 | (749 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/04/2012 | USD | 1,978 | ZAR | 14,800 | 5,004 | ||||||||||||||||||
Brown Brothers Harriman | 04/04/2012 | ZAR | 14,800 | USD | 1,928 | 89 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | AUD | 2,260 | CAD | 2,342 | (1,006 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | AUD | 2,600 | GBP | 1,706 | (3,982 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | CAD | 2,000 | CHF | 1,860 | (5,643 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | CHF | 1,000 | EUR | 821 | 1,231 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | CHF | 1,700 | JPY | 137,760 | 21,896 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | COP | 4,039,814 | JPY | 164,070 | 27,394 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | EUR | 3,800 | NZD | 6,000 | 15,983 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | GBP | 4,137 | EUR | 5,000 | (5,248 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | GBP | 1,250 | SEK | 13,433 | (3,009 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | HKD | 15,000 | EUR | 1,508 | (7,992 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | HKD | 15,940 | USD | 2,052 | 57 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | IDR | 13,500,000 | USD | 1,457 | 1,723 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | INR | 110,000 | JPY | 177,496 | 785 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | JPY | 379,547 | AUD | 4,860 | (44,074 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | JPY | 164,070 | COP | 3,899,124 | (19,536 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | JPY | 70,277 | GBP | 590 | (9,446 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | JPY | 152,740 | IDR | 17,000,000 | (1,117 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | JPY | 330,000 | SEK | 29,762 | (50,877 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | JPY | 1,362,900 | USD | 17,700 | (123,189 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | KRW | 1,670,000 | USD | 1,440 | 3,275 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | MXN | 50,000 | JPY | 277,875 | 54,562 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | MXN | 2,360 | USD | 170 | 1,425 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | NZD | 3,867 | USD | 3,000 | 16,356 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | PLN | 9,115 | EUR | 2,000 | 26,044 | ||||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | USD | 1,921 | EUR | 1,500 | (7,977 | ) | |||||||||||||||||
Brown Brothers Harriman | 04/12/2012 | USD | 2,938 | IDR | 27,000,000 | (1,099 | ) | |||||||||||||||||
Brown Brothers Harriman | 05/08/2012 | USD | 1,890 | CAD | 1,890 | (366 | ) | |||||||||||||||||
Brown Brothers Harriman | 05/08/2012 | USD | 9,350 | EUR | 7,020 | (1,450 | ) | |||||||||||||||||
Brown Brothers Harriman | 05/08/2012 | USD | 5,112 | GBP | 3,200 | (547 | ) | |||||||||||||||||
Brown Brothers Harriman | 05/08/2012 | USD | 1,919 | ZAR | 14,800 | (1,052 | ) | |||||||||||||||||
$ | (105,045 | ) |
See accompanying Notes to Financial Statements.
27 |
Portfolio of Investments
Touchstone Large Cap Relative Value Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 99.4% | ||||||||
Financials — 23.6% | ||||||||
Aflac, Inc. | 2,700 | $ | 124,173 | |||||
American Tower Corp. REIT | 3,300 | 207,966 | ||||||
Bank of America Corp. | 9,200 | 88,044 | ||||||
Boston Properties, Inc. REIT | 1,500 | 157,485 | ||||||
Chubb Corp. (The) | 2,700 | 186,597 | ||||||
Goldman Sachs Group, Inc. (The) | 1,600 | 198,992 | ||||||
JPMorgan Chase & Co. | 4,400 | 202,312 | ||||||
Morgan Stanley | 9,200 | 180,688 | ||||||
Northern Trust Corp. | 3,700 | 175,565 | ||||||
Travelers Cos, Inc. (The) | 3,100 | 183,520 | ||||||
Wells Fargo & Co. | 6,800 | 232,152 | ||||||
1,937,494 | ||||||||
Consumer Discretionary — 16.6% | ||||||||
Carnival Corp. | 2,600 | 83,408 | ||||||
Comcast Corp. - Class A | 5,500 | 165,055 | ||||||
Darden Restaurants, Inc. | 4,100 | 209,756 | ||||||
Johnson Controls, Inc. | 4,300 | 139,664 | ||||||
Target Corp. | 1,900 | 110,713 | ||||||
TJX Cos, Inc. | 7,300 | 289,883 | ||||||
Walt Disney Co. (The) | 3,800 | 166,364 | ||||||
Yum! Brands, Inc. | 2,800 | 199,304 | ||||||
1,364,147 | ||||||||
Energy — 14.7% | ||||||||
Apache Corp. | 1,300 | 130,572 | ||||||
Chesapeake Energy Corp. | 3,000 | 69,510 | ||||||
Devon Energy Corp. | 2,200 | 156,464 | ||||||
Exxon Mobil Corp. | 2,964 | 257,068 | ||||||
Newfield Exploration Co.* | 1,700 | 58,956 | ||||||
Occidental Petroleum Corp. | 3,100 | 295,213 | ||||||
Schlumberger Ltd. | 2,100 | 146,853 | ||||||
Transocean Ltd. (Switzerland) | 1,600 | 87,520 | ||||||
1,202,156 | ||||||||
Information Technology — 14.3% | ||||||||
Automatic Data Processing, Inc. | 2,800 | 154,532 | ||||||
Corning, Inc. | 8,700 | 122,496 | ||||||
Flextronics International Ltd. | ||||||||
(Singapore)* | 26,000 | 187,980 | ||||||
Intel Corp. | 9,800 | 275,478 | ||||||
International Business Machines Corp. | 1,500 | 312,975 | ||||||
Xerox Corp. | 14,300 | 115,544 | ||||||
1,169,005 | ||||||||
Industrials — 13.4% | ||||||||
Boeing Co. (The) | 2,400 | 178,488 | ||||||
Cummins, Inc. | 3,000 | 360,120 | ||||||
General Dynamics Corp. | 2,700 | 198,126 | ||||||
Norfolk Southern Corp. | 2,500 | 164,575 | ||||||
Union Pacific Corp. | 1,800 | 193,464 | ||||||
1,094,773 |
Health Care — 8.1% | ||||||||
CR Bard, Inc. | 900 | 88,848 | ||||||
Express Scripts, Inc.* | 4,300 | 232,974 | ||||||
UnitedHealth Group, Inc. | 3,100 | 182,714 | ||||||
WellPoint, Inc. | 2,200 | 162,360 | ||||||
666,896 | ||||||||
Utilities — 4.4% | ||||||||
Duke Energy Corp. | 4,300 | 90,343 | ||||||
Exelon Corp. | 2,800 | 109,788 | ||||||
Southern Co. (The) | 3,600 | 161,748 | ||||||
361,879 | ||||||||
Materials — 2.7% | ||||||||
Freeport-McMoRan Copper & Gold, Inc. | 5,900 | 224,436 | ||||||
Consumer Staples — 1.6% | ||||||||
Kimberly-Clark Corp. | 1,800 | 133,002 | ||||||
Total Common Stocks | $ | 8,153,788 | ||||||
Investment Fund — 0.3% | ||||||||
Touchstone Institutional Money Market | ||||||||
Fund^ | 22,116 | 22,116 | ||||||
Total Investment Securities —99.7% | ||||||||
(Cost $7,334,515) | $ | 8,175,904 | ||||||
Other Assets in Excess of Liabilities — 0.3% | 22,621 | |||||||
Net Assets — 100.0% | $ | 8,198,525 |
* | Non-income producing security. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
REIT - Real Estate Investment Trust
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
28 |
Touchstone Large Cap Relative Value Fund (Continued)
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | $ | 8,153,788 | $ | — | $ | — | $ | 8,153,788 | ||||||||
Investment Fund | 22,116 | — | — | 22,116 | ||||||||||||
$ | 8,175,904 |
See accompanying Notes to Financial Statements.
29 |
Portfolio of Investments
Touchstone Market Neutral Equity Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 92.6% | ||||||||
Information Technology — 22.3% | ||||||||
Activision Blizzard, Inc. | 38,900 | $ | 498,697 | |||||
Actuate Corp.* | 30,400 | 190,912 | ||||||
Adobe Systems, Inc.* | 8,000 | 274,480 | ||||||
Amdocs Ltd.* | 17,000 | 536,860 | ||||||
Amtech Systems, Inc.* | 18,700 | 155,771 | ||||||
BMC Software, Inc.* | 9,800 | 393,568 | ||||||
CA, Inc. | 18,500 | 509,860 | ||||||
CACI International, Inc. - Class A* | 8,600 | 535,694 | ||||||
Comtech TeleCommunications Corp. | 4,400 | 143,352 | ||||||
EPIQ Systems, Inc. | 13,000 | 157,300 | ||||||
F5 Networks, Inc.* | 1,500 | 202,440 | ||||||
Fair Isaac Corp. | 4,600 | 201,940 | ||||||
IAC/InterActiveCorp. | 4,600 | 225,814 | ||||||
Intel Corp. | 5,400 | 151,794 | ||||||
Intuit, Inc. | 2,800 | 168,364 | ||||||
LSI Corp.* | 51,900 | 450,492 | ||||||
Monolithic Power Systems, Inc.* | 15,500 | 304,885 | ||||||
NCR Corp.* | 8,600 | 186,706 | ||||||
Net 1 UEPS Technologies, Inc.* | 24,100 | 217,864 | ||||||
NeuStar, Inc. - Class A* | 9,900 | 368,775 | ||||||
Plantronics, Inc. | 8,400 | 338,184 | ||||||
Quest Software, Inc.* | 21,000 | 488,670 | ||||||
SAIC, Inc.* | 21,100 | 278,520 | ||||||
Silicon Laboratories, Inc.* | 4,900 | 210,700 | ||||||
Sycamore Networks, Inc.* | 6,700 | 118,858 | ||||||
Symantec Corp.* | 27,200 | 508,640 | ||||||
Total System Services, Inc. | 16,500 | 380,655 | ||||||
Unisys Corp.* | 16,700 | 329,324 | ||||||
United Online, Inc. | 75,900 | 371,151 | ||||||
VeriSign, Inc. | 5,800 | 222,372 | ||||||
Visa, Inc. - Class A | 1,900 | 224,200 | ||||||
Websense, Inc.* | 23,100 | 487,179 | ||||||
XO Group, Inc.* | 27,100 | 254,469 | ||||||
Xyratex Ltd. | 21,100 | 335,701 | ||||||
10,424,191 | ||||||||
Consumer Discretionary — 15.1% | ||||||||
Aaron's, Inc.* | 6,000 | 155,400 | ||||||
Aeropostale, Inc.* | 11,200 | 242,144 | ||||||
ANN, Inc.* | 6,100 | 174,704 | ||||||
Apollo Group, Inc. - Class A* | 4,400 | 170,016 | ||||||
Arbitron, Inc. | 5,800 | 214,484 | ||||||
Arctic Cat, Inc.* | 4,400 | 188,452 | ||||||
AutoZone, Inc.* | 700 | 260,260 | ||||||
Bally Technologies, Inc.* | 6,500 | 303,875 | ||||||
Bebe Stores, Inc. | 18,300 | 168,909 | ||||||
Capella Education Co.* | 8,900 | 319,955 | ||||||
Coach, Inc. | 6,600 | 510,048 | ||||||
Coinstar, Inc.* | 3,100 | 197,005 | ||||||
DIRECTV - Class A* | 10,200 | 503,268 | ||||||
Discovery Communications, Inc. - Class A* | 3,300 | 166,980 | ||||||
Grand Canyon Education, Inc.* | 8,200 | 145,632 | ||||||
Interval Leisure Group, Inc. | 18,500 | 321,900 | ||||||
ITT Educational Services, Inc.* | 2,600 | 171,964 | ||||||
Kirkland's, Inc.* | 18,900 | 305,802 | ||||||
Men's Wearhouse, Inc. (The) | 4,500 | 174,465 | ||||||
Newell Rubbermaid, Inc. | 13,800 | 245,778 | ||||||
Papa John's International, Inc.* | 7,500 | 282,450 | ||||||
PetMed Express, Inc. | 40,000 | 495,200 | ||||||
Ralph Lauren Corp. | 1,700 | 296,361 | ||||||
Strayer Education, Inc. | 3,700 | 348,836 | ||||||
Sturm Ruger & Co., Inc. | 3,600 | 176,760 | ||||||
Wyndham Worldwide Corp. | 11,000 | 511,610 | ||||||
7,052,258 | ||||||||
Health Care — 13.8% | ||||||||
Aetna, Inc. | 9,300 | 466,488 | ||||||
Allos Therapeutics, Inc.* | 161,100 | 238,428 | ||||||
AMAG Pharmaceuticals, Inc.* | 11,500 | 183,195 | ||||||
Amedisys, Inc.* | 12,900 | 186,534 | ||||||
AmerisourceBergen Corp. | 4,100 | 162,688 | ||||||
Analogic Corp. | 2,700 | 182,358 | ||||||
Auxilium Pharmaceuticals, Inc.* | 7,300 | 135,561 | ||||||
Charles River Laboratories International, Inc.* | 9,500 | 342,855 | ||||||
Community Health Systems, Inc.* | 15,600 | 346,944 | ||||||
Cyberonics, Inc.* | 4,600 | 175,398 | ||||||
Health Net, Inc.* | 11,700 | 464,724 | ||||||
Hill-Rom Holdings, Inc. | 9,400 | 314,054 | ||||||
Immunomedics, Inc.* | 39,600 | 143,748 | ||||||
Intuitive Surgical, Inc.* | 300 | 162,525 | ||||||
Kensey Nash Corp. | 2,600 | 76,076 | ||||||
Magellan Health Services, Inc.* | 9,100 | 444,171 | ||||||
McKesson Corp. | 2,500 | 219,425 | ||||||
MedCo. Health Solutions, Inc.* | 2,300 | 161,690 | ||||||
Myriad Genetics, Inc.* | 15,900 | 376,194 | ||||||
Nordion, Inc. | 24,400 | 237,168 | ||||||
PDL BioPharma, Inc. | 19,000 | 120,650 | ||||||
QLT, Inc.* | 19,800 | 138,600 | ||||||
Tenet Healthcare Corp.* | 26,100 | 138,591 | ||||||
Thoratec Corp.* | 6,200 | 209,002 | ||||||
Triple-S Management Corp. - Class B* | 8,500 | 196,350 | ||||||
Warner Chilcott PLC - Class A* | 13,600 | 228,616 | ||||||
WellPoint, Inc. | 4,300 | 317,340 | ||||||
XenoPort, Inc.* | 18,400 | 82,800 | ||||||
6,452,173 | ||||||||
Financials — 11.9% | ||||||||
Artio Global Investors, Inc. | 19,900 | 94,923 | ||||||
Banco Latinoamericano De Comerico Exterior SA - Class E | 18,700 | 394,757 | ||||||
Boston Private Financial Holdings, Inc. | 16,900 | 167,479 | ||||||
Capitol Federal Financial, Inc. | 9,000 | 106,740 | ||||||
Chemical Financial Corp. | 8,900 | 208,616 | ||||||
City Holding Co. | 6,100 | 211,792 | ||||||
Columbia Banking System, Inc. | 13,000 | 296,140 | ||||||
Erie Indemnity Co. - Class A | 2,400 | 187,056 | ||||||
Fifth Third Bancorp. | 13,500 | 189,675 | ||||||
First Citizens BancShares, Inc. - Class A | 500 | 91,345 | ||||||
Greenhill & Co., Inc. | 3,400 | 148,376 | ||||||
Huntington Bancshares, Inc. | 37,400 | 241,230 | ||||||
Interactive Brokers Group, Inc. - Class A | 9,500 | 161,500 |
30 |
Touchstone Market Neutral Equity Fund (Continued)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 92.6% (Continued) | ||||||||
Financials — (Continued) | ||||||||
International Bancshares Corp. | 12,000 | $ | 253,800 | |||||
Janus Capital Group, Inc. | 17,200 | 153,252 | ||||||
KeyCorp | 39,200 | 333,200 | ||||||
Moody's Corp. | 3,600 | 151,560 | ||||||
National Health Investors, Inc. REIT | 6,900 | 336,582 | ||||||
Oritani Financial Corp. | 18,200 | 267,176 | ||||||
PNC Financial Services Group, Inc. | 2,500 | 161,225 | ||||||
PS Business Parks, Inc. REIT | 3,600 | 235,944 | ||||||
Public Storage REIT | 1,300 | 179,621 | ||||||
Renaissancere Holdings Ltd. | 1,900 | 143,887 | ||||||
T Rowe Price Group, Inc. | 4,300 | 280,790 | ||||||
ViewPoint Financial Group | 12,900 | 198,402 | ||||||
Washington Federal, Inc. | 21,100 | 354,902 | ||||||
5,549,970 | ||||||||
Energy — 10.0% | ||||||||
Chevron Corp. | 1,300 | 139,412 | ||||||
ConocoPhillips | 3,500 | 266,035 | ||||||
Exxon Mobil Corp. | 3,100 | 268,863 | ||||||
Gran Tierra Energy, Inc.* | 43,600 | 274,244 | ||||||
Gulf Island Fabrication, Inc. | 9,000 | 263,430 | ||||||
Hess Corp. | 4,100 | 241,695 | ||||||
Marathon Oil Corp. | 6,300 | 199,710 | ||||||
Marathon Petroleum Corp. | 3,150 | 136,584 | ||||||
Matrix Service Co.* | 11,700 | 163,917 | ||||||
Murphy Oil Corp. | 6,700 | 377,009 | ||||||
Nexen, Inc. | 10,300 | 189,005 | ||||||
Oceaneering International, Inc. | 5,200 | 280,228 | ||||||
Patterson-UTI Energy, Inc. | 15,400 | 266,266 | ||||||
Sunoco, Inc. | 11,300 | 431,095 | ||||||
Tesoro Corp.* | 6,800 | 182,512 | ||||||
Tetra Technologies, Inc.* | 14,900 | 140,358 | ||||||
Unit Corp* | 5,100 | 218,076 | ||||||
VaalCo Energy, Inc.* | 22,400 | 211,680 | ||||||
Valero Energy Corp. | 16,100 | 414,897 | ||||||
4,665,016 | ||||||||
Industrials — 9.6% | ||||||||
Acuity Brands, Inc. | 2,800 | 175,924 | ||||||
Alliant Techsystems, Inc. | 4,100 | 205,492 | ||||||
Amerco, Inc. | 1,300 | 137,163 | ||||||
Apogee Enterprises, Inc. | 28,200 | 365,190 | ||||||
Applied Industrial Technologies, Inc. | 4,700 | 193,311 | ||||||
Copart, Inc.* | 14,600 | 380,622 | ||||||
Corporate Executive Board Co. (The) | 7,700 | 331,177 | ||||||
Delta Air Lines, Inc.* | 15,200 | 150,632 | ||||||
Foster Wheeler AG* | 8,300 | 188,908 | ||||||
JB Hunt Transport Services, Inc. | 4,300 | 233,791 | ||||||
KBR, Inc. | 4,900 | 174,195 | ||||||
Lockheed Martin Corp. | 3,300 | 296,538 | ||||||
Meritor, Inc.* | 26,400 | 213,048 | ||||||
Northrop Grumman Corp. | 2,800 | 171,024 | ||||||
Raytheon Co. | 3,300 | 174,174 | ||||||
Toro Co. | 6,400 | 455,104 | ||||||
URS Corp. | 4,000 | 170,080 | ||||||
Verisk Analytics, Inc. - Class A* | 6,900 | 324,093 | ||||||
Werner Enterprises, Inc. | 6,300 | 156,618 | ||||||
4,497,084 | ||||||||
Materials — 5.5% | ||||||||
A Schulman, Inc. | 9,100 | 245,882 | ||||||
Airgas, Inc. | 2,900 | 258,013 | ||||||
Cytec Industries, Inc. | 3,600 | 218,844 | ||||||
Eastman Chemical Co. | 4,800 | 248,112 | ||||||
Freeport-McMoRan Copper & Gold, Inc. | 7,600 | 289,104 | ||||||
HB Fuller Co. | 5,900 | 193,697 | ||||||
Minerals Technologies, Inc. | 2,600 | 170,066 | ||||||
Myers Industries, Inc. | 21,100 | 311,225 | ||||||
Schweitzer-Mauduit International, Inc. | 2,400 | 165,744 | ||||||
Valspar Corp. | 9,600 | 463,584 | ||||||
2,564,271 | ||||||||
Utilities — 1.9% | ||||||||
Alliant Energy Corp. | 4,200 | 181,944 | ||||||
Edison International | 6,600 | 280,566 | ||||||
Entergy Corp. | 4,000 | 268,800 | ||||||
Public Service Enterprise Group, Inc. | 4,600 | 140,806 | ||||||
872,116 | ||||||||
Telecommunication Services — 1.5% | ||||||||
Cbeyond, Inc.* | 23,600 | 188,800 | ||||||
Neutral Tandem, Inc.* | 22,000 | 268,180 | ||||||
Verizon Communications, Inc. | 7,100 | 271,433 | ||||||
728,413 | ||||||||
Consumer Staples — 1.0% | ||||||||
Cal-Maine Foods, Inc. | 2,800 | 107,128 | ||||||
Casey's General Stores, Inc. | 2,600 | 144,196 | ||||||
Lorillard, Inc. | 1,600 | 207,168 | ||||||
458,492 | ||||||||
Total Common Stocks | $ | 43,263,984 | ||||||
Investment Fund — 3.8% | ||||||||
Touchstone Institutional Money Market Fund^ | 1,739,068 | 1,739,068 | ||||||
Total Long Positions | ||||||||
(Cost $38,827,043) | $ | 45,003,052 | ||||||
Securities Sold Short — (91.8%) | ||||||||
Common Stocks — (91.8%) | ||||||||
Information Technology — (19.8%) | ||||||||
Aruba Networks, Inc.* | (5,500 | ) | (122,540 | ) | ||||
Aspen Technology, Inc.* | (15,100 | ) | (310,003 | ) | ||||
BroadSoft, Inc.* | (12,300 | ) | (470,475 | ) | ||||
Cavium, Inc.* | (14,800 | ) | (457,912 | ) | ||||
Citrix Systems, Inc.* | (1,900 | ) | (149,929 | ) | ||||
Cognizant Technology Solutions Corp.* | (2,700 | ) | (207,765 | ) | ||||
Compuware Corp.* | (25,700 | ) | (236,183 | ) | ||||
comScore, Inc.* | (10,900 | ) | (233,151 | ) | ||||
Concur Technologies, Inc.* | (3,200 | ) | (183,616 | ) | ||||
Constant Contact, Inc.* | (5,200 | ) | (154,908 | ) |
31 |
Touchstone Market Neutral Equity Fund (Continued)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — (91.8%) (Continued) | ||||||||
Information Technology — (Continued) | ||||||||
Cree, Inc.* | (2,000 | ) | $ | (63,260 | ) | |||
EchoStar Corp.* | (7,500 | ) | (211,050 | ) | ||||
Electronic Arts, Inc.* | (15,200 | ) | (250,496 | ) | ||||
Equinix, Inc.* | (1,400 | ) | (220,430 | ) | ||||
Fortinet, Inc.* | (5,400 | ) | (149,310 | ) | ||||
Informatica Corp.* | (5,300 | ) | (280,370 | ) | ||||
Kenexa Corp.* | (5,600 | ) | (174,944 | ) | ||||
Limelight Networks, Inc.* | (88,300 | ) | (290,507 | ) | ||||
LogMeIn, Inc.* | (4,100 | ) | (144,443 | ) | ||||
Microchip Technology, Inc. | (13,600 | ) | (505,920 | ) | ||||
MicroStrategy, Inc. - Class A* | (1,300 | ) | (182,000 | ) | ||||
National Instruments Corp. | (8,600 | ) | (245,272 | ) | ||||
NetSuite, Inc.* | (6,900 | ) | (347,001 | ) | ||||
Opnet Technologies, Inc. | (5,700 | ) | (165,300 | ) | ||||
Pegasystems, Inc. | (9,000 | ) | (343,440 | ) | ||||
Photronics, Inc.* | (25,300 | ) | (168,245 | ) | ||||
Rosetta Stone, Inc.* | (32,700 | ) | (337,464 | ) | ||||
Salesforce.com, Inc.* | (2,900 | ) | (448,079 | ) | ||||
Sina Corp.* | (2,200 | ) | (143,000 | ) | ||||
Sourcefire, Inc.* | (3,500 | ) | (168,455 | ) | ||||
Take-Two Interactive Software, Inc.* | (9,500 | ) | (146,158 | ) | ||||
TiVo, Inc.* | (13,700 | ) | (164,263 | ) | ||||
Ultimate Software Group, Inc.* | (5,000 | ) | (366,400 | ) | ||||
Universal Display Corp.* | (6,000 | ) | (219,180 | ) | ||||
Viasat, Inc.* | (7,300 | ) | (351,933 | ) | ||||
VMware, Inc.* | (1,600 | ) | (179,792 | ) | ||||
WebMD Health Corp.* | (18,300 | ) | (468,114 | ) | ||||
(9,261,308 | ) | |||||||
Consumer Discretionary — (14.6%) | ||||||||
Amazon.com, Inc.* | (1,100 | ) | (222,761 | ) | ||||
American Greetings Corp. - Class A | (16,500 | ) | (253,110 | ) | ||||
Brown Shoe Co., Inc. | (22,000 | ) | (203,060 | ) | ||||
Callaway Golf Co. | (23,000 | ) | (155,480 | ) | ||||
Caribou Coffee Co., Inc.* | (9,400 | ) | (175,216 | ) | ||||
CarMax, Inc.* | (15,000 | ) | (519,750 | ) | ||||
Carnival Corp. | (9,100 | ) | (291,928 | ) | ||||
DreamWorks Animation SKG, Inc.* | (9,300 | ) | (171,585 | ) | ||||
G-III Apparel Group Ltd.* | (5,700 | ) | (161,994 | ) | ||||
Hanesbrands, Inc.* | (12,100 | ) | (357,434 | ) | ||||
Hyatt Hotels Corp. - Class A* | (5,800 | ) | (247,776 | ) | ||||
Iconix Brand Group, Inc.* | (10,500 | ) | (182,490 | ) | ||||
Imax Corp.* | (7,400 | ) | (180,856 | ) | ||||
Johnson Controls, Inc. | (3,800 | ) | (123,424 | ) | ||||
K12, Inc.* | (19,200 | ) | (453,696 | ) | ||||
Lennar Corp. - Class A | (7,600 | ) | (206,568 | ) | ||||
Meritage Homes Corp.* | (9,900 | ) | (267,894 | ) | ||||
Monro Muffler Brake, Inc. | (4,700 | ) | (195,003 | ) | ||||
Perry Ellis International, Inc.* | (15,300 | ) | (285,651 | ) | ||||
Royal Caribbean Cruises Ltd. | (6,300 | ) | (185,409 | ) | ||||
Ruby Tuesday, Inc.* | (31,900 | ) | (291,247 | ) | ||||
Shaw Communications, Inc. - Class B | (17,600 | ) | (372,240 | ) | ||||
Skechers U.S.A., Inc.* | (11,100 | ) | (141,192 | ) | ||||
Standard Pacific Corp.* | (39,400 | ) | (175,724 | ) | ||||
Stein Mart, Inc.* | (25,800 | ) | (170,280 | ) | ||||
Tiffany & Co. | (2,400 | ) | (165,912 | ) | ||||
Vail Resorts, Inc. | (11,700 | ) | (506,025 | ) | ||||
VF Corp. | (1,000 | ) | (145,980 | ) | ||||
(6,809,685 | ) | |||||||
Health Care — (13.5%) | ||||||||
Achillion Pharmaceuticals, Inc.* | (18,500 | ) | (177,230 | ) | ||||
Akorn, Inc.* | (11,300 | ) | (132,210 | ) | ||||
Antares Pharma, Inc.* | (55,400 | ) | (178,942 | ) | ||||
Becton Dickinson and Co. | (2,900 | ) | (225,185 | ) | ||||
Brookdale Senior Living, Inc.* | (17,100 | ) | (320,112 | ) | ||||
Cerner Corp.* | (5,400 | ) | (411,264 | ) | ||||
Computer Programs & Systems, Inc. | (3,100 | ) | (175,212 | ) | ||||
Conceptus, Inc.* | (21,300 | ) | (306,294 | ) | ||||
DENTSPLY International, Inc. | (13,100 | ) | (525,703 | ) | ||||
DexCom, Inc.* | (14,800 | ) | (154,364 | ) | ||||
Edwards Lifesciences Corp.* | (2,500 | ) | (181,825 | ) | ||||
Emeritus Corp.* | (19,000 | ) | (335,540 | ) | ||||
HealthSouth Corp.* | (6,600 | ) | (135,168 | ) | ||||
HeartWare International, Inc.* | (4,000 | ) | (262,760 | ) | ||||
HMS Holdings Corp.* | (9,000 | ) | (280,890 | ) | ||||
Integra LifeSciences Holdings Corp.* | (8,500 | ) | (294,865 | ) | ||||
IPC Hospitalist Co., Inc. (The)* | (14,100 | ) | (520,431 | ) | ||||
Landauer, Inc. | (5,300 | ) | (281,006 | ) | ||||
Medidata Solutions, Inc.* | (19,000 | ) | (506,160 | ) | ||||
NuVasive, Inc.* | (7,900 | ) | (133,036 | ) | ||||
Perrigo Co. | (2,200 | ) | (227,282 | ) | ||||
Quality Systems, Inc. | (5,100 | ) | (223,023 | ) | ||||
Sunrise Senior Living, Inc.* | (18,600 | ) | (117,552 | ) | ||||
Vertex Pharmaceuticals, Inc.* | (4,900 | ) | (200,949 | ) | ||||
(6,307,003 | ) | |||||||
Financials — (12.6%) | ||||||||
Brookfield Asset Management, Inc. | (6,300 | ) | (198,891 | ) | ||||
Cincinnati Financial Corp. | (9,300 | ) | (320,943 | ) | ||||
Community Bank System, Inc. | (8,700 | ) | (250,386 | ) | ||||
Corporate Office Properties Trust, REIT | (5,900 | ) | (136,939 | ) | ||||
Cullen/Frost Bankers, Inc. | (3,300 | ) | (192,027 | ) | ||||
Flagstone Reinsurance Holdings SA | (30,300 | ) | (238,461 | ) | ||||
Iberiabank Corp. | (5,900 | ) | (315,473 | ) | ||||
KBW, Inc. | (12,500 | ) | (231,250 | ) | ||||
Markel Corp.* | (300 | ) | (134,682 | ) | ||||
National Retail Properties, Inc., REIT | (11,100 | ) | (301,809 | ) | ||||
NBT Bancorp, Inc. | (23,400 | ) | (516,672 | ) | ||||
New York Community Bancorp, Inc. | (23,800 | ) | (331,058 | ) | ||||
Old Republic International Corp. | (23,900 | ) | (252,145 | ) | ||||
Piper Jaffray Cos.* | (11,400 | ) | (303,468 | ) | ||||
Plum Creek Timber Co., Inc., REIT | (10,600 | ) | (440,536 | ) | ||||
Signature Bank* | (2,200 | ) | (138,688 | ) | ||||
TCF Financial Corp. | (23,700 | ) | (281,793 | ) | ||||
United Bankshares, Inc. | (17,300 | ) | (499,278 | ) | ||||
Valley National Bancorp | (40,600 | ) | (525,770 | ) | ||||
Westamerica Bancorporation | (5,800 | ) | (278,400 | ) | ||||
(5,888,669 | ) | |||||||
Industrials — (11.2%) | ||||||||
3D Systems Corp.* | (8,000 | ) | (188,319 | ) | ||||
ABM Industries, Inc. | (9,600 | ) | (233,280 | ) |
32 |
Touchstone Market Neutral Equity Fund (Continued)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — (91.8%) (Continued) | ||||||||
Industrials — (Continued) | ||||||||
Advisory Board Co. (The)* | (2,500 | ) | $ | (221,550 | ) | |||
Alexander & Baldwin, Inc. | (4,700 | ) | (227,715 | ) | ||||
Avery Dennison Corp. | (16,800 | ) | (506,184 | ) | ||||
Canadian Pacific Railway Ltd. | (2,100 | ) | (159,495 | ) | ||||
DigitalGlobe, Inc.* | (21,200 | ) | (282,808 | ) | ||||
General Electric Co. | (5,500 | ) | (110,385 | ) | ||||
Geo Group, Inc. (The)* | (12,000 | ) | (228,120 | ) | ||||
IHS, Inc.* | (3,500 | ) | (327,775 | ) | ||||
Interface, Inc. | (16,200 | ) | (225,990 | ) | ||||
Mobile Mini, Inc.* | (20,000 | ) | (422,400 | ) | ||||
Mueller Industries, Inc. | (2,800 | ) | (127,260 | ) | ||||
Pall Corp. | (2,100 | ) | (125,223 | ) | ||||
Precision Castparts Corp. | (2,900 | ) | (501,410 | ) | ||||
Ritchie Bros Auctioneers, Inc. | (8,400 | ) | (199,584 | ) | ||||
SkyWest, Inc. | (10,600 | ) | (117,130 | ) | ||||
Stericycle, Inc.* | (2,900 | ) | (242,556 | ) | ||||
UTi Worldwide, Inc. | (12,300 | ) | (211,929 | ) | ||||
Waste Management, Inc. | (10,200 | ) | (356,592 | ) | ||||
Westport Innovations, Inc.* | (6,000 | ) | (245,520 | ) | ||||
(5,261,225 | ) | |||||||
Energy — (10.1%) | ||||||||
Abraxas Petroleum Corp.* | (27,600 | ) | (86,112 | ) | ||||
Cabot Oil & Gas Corp. | (6,800 | ) | (211,956 | ) | ||||
Carrizo Oil & Gas, Inc.* | (11,900 | ) | (336,294 | ) | ||||
Cheniere Energy, Inc.* | (8,500 | ) | (127,330 | ) | ||||
Cimarex Energy Co. | (3,500 | ) | (264,145 | ) | ||||
Continental Resources, Inc. OK* | (1,900 | ) | (163,058 | ) | ||||
Enbridge, Inc. | (12,900 | ) | (501,165 | ) | ||||
Encana Corp. | (7,700 | ) | (151,305 | ) | ||||
EXCO Resources, Inc. | (24,900 | ) | (165,087 | ) | ||||
Forest Oil Corp.* | (16,700 | ) | (202,404 | ) | ||||
Golar Lng Ltd. | (3,000 | ) | (114,150 | ) | ||||
Gulfport Energy Corp.* | (4,100 | ) | (119,392 | ) | ||||
Magnum Hunter Resources Corp.* | (38,200 | ) | (244,862 | ) | ||||
Northern Oil and Gas, Inc.* | (11,100 | ) | (230,214 | ) | ||||
Pioneer Natural Resources Co. | (1,600 | ) | (178,544 | ) | ||||
Resolute Energy Corp.* | (26,700 | ) | (303,846 | ) | ||||
SandRidge Energy, Inc.* | (16,100 | ) | (126,063 | ) | ||||
Seadrill Ltd. | (11,700 | ) | (438,867 | ) | ||||
Spectra Energy Corp. | (6,800 | ) | (214,540 | ) | ||||
TransCanada Corp. | (12,200 | ) | (524,600 | ) | ||||
(4,703,934 | ) | |||||||
Materials — (5.1%) | ||||||||
Balchem Corp. | (17,200 | ) | (520,300 | ) | ||||
Great Panther Silver Ltd.* | (84,200 | ) | (189,450 | ) | ||||
International Flavors & Fragrances, Inc. | (8,800 | ) | (515,680 | ) | ||||
Martin Marietta Materials, Inc. | (3,900 | ) | (333,957 | ) | ||||
Sigma-Aldrich Corp. | (4,800 | ) | (350,688 | ) | ||||
Texas Industries, Inc. | (5,600 | ) | (196,056 | ) | ||||
Worthington Industries, Inc. | (14,500 | ) | (278,110 | ) | ||||
(2,384,241 | ) | |||||||
Utilities — (2.2%) | ||||||||
Atlantic Power Corp.* | (35,600 | ) | (492,704 | ) | ||||
Southern Co. (The) | (2,900 | ) | (130,297 | ) | ||||
UGI Corp. | (10,100 | ) | (275,225 | ) | ||||
WGL Holdings, Inc. | (3,100 | ) | (126,170 | ) | ||||
(1,024,396 | ) | |||||||
Consumer Staples — (1.6%) | ||||||||
Flowers Foods, Inc. | (6,900 | ) | (140,553 | ) | ||||
Imperial Sugar Co. | (20,400 | ) | (95,676 | ) | ||||
Pricesmart, Inc. | (2,800 | ) | (203,868 | ) | ||||
United Natural Foods, Inc.* | (3,300 | ) | (153,978 | ) | ||||
Wal-Mart Stores, Inc. | (2,300 | ) | (140,761 | ) | ||||
(734,836 | ) | |||||||
Telecommunication Services — (1.1%) | ||||||||
CenturyLink, Inc. | (12,900 | ) | (498,585 | ) | ||||
Total Common Stocks | $ | (42,873,882 | ) | |||||
Total Securities Sold Short | ||||||||
(Proceeds $(38,894,293)) | $ | (42,873,882 | ) | |||||
Total Investment Securities —4.6% | ||||||||
(Cost $(67,250)) | $ | 2,129,170 | ||||||
Cash Collateral for Securities | ||||||||
Sold Short— 96.0% | 44,861,858 | |||||||
Liabilities in Excess of Other Assets — (0.6%) | (276,200 | ) | ||||||
Net Assets — 100.0% | $ | 46,714,828 |
* | Non-income producing security. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
REIT - Real Estate Investment Trust
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
33 |
Touchstone Market Neutral Equity Fund (Continued)
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Assets: | ||||||||||||||||
Common Stocks | $ | 43,263,984 | $ | — | $ | — | $ | 43,263,984 | ||||||||
Investment Fund | 1,739,068 | — | — | 1,739,068 | ||||||||||||
$ | 45,003,052 |
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Liabilities: | ||||||||||||||||
Securities Sold Short | ||||||||||||||||
Common Stocks | $ | (42,873,882 | ) | $ | — | $ | — | $ | (42,873,882 | ) |
See accompanying Notes to Financial Statements.
34 |
Portfolio of Investments
Touchstone Merger Arbitrage Fund – March 31, 2012 (Unaudited)
Principal | Market | |||||||
Amount | Value | |||||||
Corporate Bonds — 3.2% | ||||||||
Financials — 1.6% | ||||||||
$ | 950,000 | Ford Motor Credit Co. LLC, | ||||||
5.000%, 5/15/18 | $ | 984,063 | ||||||
1,150,000 | Leucadia National Corp., | |||||||
8.125%, 9/15/15 | 1,288,000 | |||||||
2,272,063 | ||||||||
Utilities — 0.9% | ||||||||
1,085,000 | AES Corp. (The), 8.000%, 10/15/17 | 1,221,981 | ||||||
Industrials — 0.7% | ||||||||
950,000 | RailAmerica, Inc., 9.250%, 7/1/17 | 1,001,062 | ||||||
Total Corporate Bonds | $ | 4,495,106 | ||||||
U.S. Treasury Obligations — 4.3% | ||||||||
2,000,000 | U.S. Treasury Bill, 0.000%, 5/24/12 | 1,999,856 | ||||||
2,000,000 | U.S. Treasury Bill, 0.000%, 8/16/12 | 1,999,170 | ||||||
2,000,000 | U.S. Treasury Bill, 0.000%, 8/23/12 | 1,999,048 | ||||||
Total U.S. Treasury Obligations | $ | 5,998,074 | ||||||
Commercial Mortgage-Backed Security — 0.7% | ||||||||
950,000 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2007-1, Class AMFX, | ||||||||
5.482%, 1/15/49(A) | 965,295 | |||||||
Asset-Backed Security — 0.7% | ||||||||
975,000 | Sonic Capital LLC, Ser 2011-1A, Class A2, 144a, 5.438%, 5/20/41 | 1,015,883 |
Market | ||||||||
Shares | Value | |||||||
Preferred Stocks — 3.8% | ||||||||
Financials — 3.8% | ||||||||
Countrywide Capital V, 0.04%* | 102,400 | $ | 2,444,288 | |||||
GMAC Capital Trust I, 0.05%(A)* | 66,200 | 1,529,882 | ||||||
Goldman Sachs Group, Inc. (The), 0.04%* | 54,400 | 1,376,320 | ||||||
5,350,490 | ||||||||
Total Preferred Stocks | $ | 5,350,490 | ||||||
Common Stocks — 75.2% | ||||||||
Financials — 14.7% | ||||||||
Advance America Cash Advance | ||||||||
Centers, Inc. | 174,289 | 1,828,292 | ||||||
Brooklyn Federal BanCorp, Inc.* | 134,865 | 6,743 | ||||||
Cogdell Spencer, Inc. | 772,978 | 3,277,427 | ||||||
Delphi Financial Group, Inc. - Class A | 71,000 | 3,178,670 | ||||||
Eaton Vance Senior Income Trust | 366,544 | 2,642,782 | ||||||
Encore Bancshares, Inc.* | 134,900 | 2,747,913 | ||||||
GlobeOp Financial Services SA | 172,500 | 1,363,004 | ||||||
Harleysville Group, Inc. | 42,600 | 2,458,020 | ||||||
Pacific Capital Bancorp NA* | 66,640 | 3,039,450 | ||||||
20,542,301 | ||||||||
Health Care — 11.7% | ||||||||
Access Plans, Inc.* | 487,008 | 1,587,646 | ||||||
American Medical Corp. | 21,600 | — | ||||||
ISTA Pharmaceuticals, Inc.* | 337,200 | 3,038,172 | ||||||
Medco Health Solutions, Inc.* | 40,300 | 2,833,090 | ||||||
SeraCare Life Sciences, Inc.* | 388,000 | 1,544,240 | ||||||
Taro Pharmaceuticals Industries, Ltd.* | 22,323 | 850,730 | ||||||
Transcend Services, Inc.* | 89,700 | 2,632,695 | ||||||
Zoll Medical Corp.* | 42,600 | 3,946,038 | ||||||
16,432,611 | ||||||||
Industrials — 11.6% | ||||||||
Dollar Thrifty Automotive Group, Inc.* | 17,800 | 1,440,198 | ||||||
Exelis, Inc. | 23,650 | 296,098 | ||||||
Flanders Corp.* | 329,200 | 1,445,188 | ||||||
Goodrich Corp. | 35,500 | 4,453,120 | ||||||
ITT Corp.* | 11,875 | 272,412 | ||||||
RSC Holdings, Inc.* | 149,500 | 3,377,205 | ||||||
Thomas & Betts Corp.* | 59,200 | 4,257,072 | ||||||
Xylem, Inc./NY | 23,700 | 657,675 | ||||||
16,198,968 | ||||||||
Consumer Discretionary — 10.9% | ||||||||
Adams Golf, Inc.* | 86,456 | 927,674 | ||||||
Archipelago Learning, Inc.* | 75,200 | 836,224 | ||||||
Great Wolf Resorts, Inc.* | 257,600 | 1,473,472 | ||||||
Kenneth Cole Productions, Inc. - Class A* | 92,300 | 1,486,030 | ||||||
Lowe's Cos, Inc. | 59,100 | 1,854,558 | ||||||
Midas, Inc.* | 278,200 | 3,193,736 | ||||||
O'Charleys, Inc.* | 385,761 | 3,795,888 | ||||||
PEP Boys-Manny Moe & Jack (The) | 92,300 | 1,377,116 | ||||||
Swank, Inc.* | 38,480 | 407,888 | ||||||
15,352,586 | ||||||||
Information Technology — 10.6% | ||||||||
ATS Corp.* | 533,784 | 1,713,447 | ||||||
Motorola Mobility Holdings, Inc.* | 74,400 | 2,919,456 | ||||||
Novellus Systems, Inc.* | 79,900 | 3,987,809 | ||||||
RADVision Ltd.* | 166,000 | 1,943,860 | ||||||
Taleo Corp. - Class A* | 94,800 | 4,354,164 | ||||||
14,918,736 | ||||||||
Materials — 5.1% | ||||||||
Fibrek, Inc.* | 1,283,100 | 1,372,917 | ||||||
Minefinders Corp. Ltd.* | 132,400 | 1,840,360 | ||||||
Solutia, Inc. | 140,000 | 3,911,600 | ||||||
7,124,877 | ||||||||
Utilities — 4.7% | ||||||||
Central Vermont Public Service Corp. | 94,550 | 3,328,160 | ||||||
Progress Energy, Inc. | 60,350 | 3,205,188 | ||||||
XO Holdings, Inc. Class O | 40,500 | — | ||||||
6,533,348 | ||||||||
Telecommunication Services — 2.0% | ||||||||
TELUS Corp. | 50,000 | 2,842,000 |
35 |
Touchstone Merger Arbitrage Fund (Continued)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 75.2% (Continued) | ||||||||
Energy — 2.0% | ||||||||
NAL Energy Corp. | 38,300 | $ | 304,485 | |||||
Provident Energy Ltd. | 57,800 | 693,600 | ||||||
Reliable Energy Ltd.* | 5,292,800 | 1,746,624 | ||||||
2,744,709 | ||||||||
Consumer Staples — 1.9% | ||||||||
Viterra, Inc. | 170,000 | 2,711,615 | ||||||
Total Common Stocks | $ | 105,401,751 | ||||||
Investment Funds — 11.3% | ||||||||
Blackrock Credit Allocation Income Trust III, Inc. | 108,900 | 1,222,947 | ||||||
Touchstone Institutional Money Market Fund^ | 14,666,011 | 14,666,011 | ||||||
Total Investment Funds | $ | 15,888,958 | ||||||
Total Long Positions | ||||||||
(Cost $136,746,767) | $ | 139,115,557 | ||||||
Securities Sold Short — (15.2%) | ||||||||
Common Stocks — (15.2%) | ||||||||
Information Technology — (2.9%) | ||||||||
Lam Research Corp.* | (89,889 | ) | (4,010,847 | ) | ||||
Utilities — (2.3%) | ||||||||
Duke Energy Corp. | (156,764 | ) | (3,293,612 | ) | ||||
Telecommunication Services — (2.1%) | ||||||||
TELUS Corp. | (50,000 | ) | (2,901,399 | ) | ||||
Energy — (2.0%) | ||||||||
Crescent Point Energy Corp. | (42,025 | ) | (1,819,262 | ) | ||||
Pembina Pipeline Corp. | (24,540 | ) | (691,046 | ) | ||||
Pengrowth Energy Corp. | (32,938 | ) | (309,617 | ) | ||||
(2,819,925 | ) | |||||||
Materials — (1.7%) | ||||||||
Eastman Chemical Co. | (16,800 | ) | (868,392 | ) | ||||
Pan American Silver Corp. | (71,800 | ) | (1,583,908 | ) | ||||
(2,452,300 | ) | |||||||
Consumer Discretionary — (1.6%) | ||||||||
Home Depot, Inc. | (44,325 | ) | (2,229,991 | ) | ||||
Industrials — (1.3%) | ||||||||
United Rentals, Inc.* | (41,618 | ) | (1,784,996 | ) | ||||
Health Care — (1.3%) | ||||||||
Express Scripts, Inc.* | (32,643 | ) | (1,768,598 | ) | ||||
Total Common Stocks | $ | (21,261,668 | ) | |||||
Total Securities Sold Short | ||||||||
(Proceeds $(20,292,821)) | $ | (21,261,668 | ) | |||||
Total Investment Securities —84.0% | ||||||||
(Cost $116,453,946) | $ | 117,853,889 | ||||||
Cash Collateral for Securities | ||||||||
Sold Short— 14.9% | 20,843,616 | |||||||
Other Assets in Excess of Liabilities — 1.1% | 1,523,172 | |||||||
Net Assets — 100.0% | $ | 140,220,677 |
(A) | Variable rate security - the rate reflected is the rate in effect as of March 31, 2012. |
* | Non-income producing security. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
144A - This is a restricted security that was sold in a transaction exempt from Rule 144A of the Securities Act of 1933. This security may be sold in transactions exempt from registration, normally to qualified institutional buyers. At March 31, 2012, these securities were valued at $1,015,883 or 0.7% of net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Trustees.
Portfolio Abbreviation:
CAD - Canadian Dollar
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
36 |
Touchstone Merger Arbitrage Fund (Continued)
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Assets: | ||||||||||||||||
Corporate Bonds | $ | — | $ | 4,495,106 | $ | — | $ | 4,495,106 | ||||||||
U.S. Treasury Obligations | — | 5,998,074 | — | 5,998,074 | ||||||||||||
Commerical Mortgage-Backed Security | — | 965,295 | — | 965,295 | ||||||||||||
Asset-Backed Security | — | 1,015,883 | — | 1,015,883 | ||||||||||||
Preferred Stocks | 5,350,490 | — | — | 5,350,490 | ||||||||||||
Common Stocks | 104,032,004 | 1,369,747 | — | 105,401,751 | ||||||||||||
Investment Funds | 15,888,958 | — | — | 15,888,958 | ||||||||||||
$ | 139,115,557 |
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Liabilities: | ||||||||||||||||
Securities Sold Short | ||||||||||||||||
Common Stocks | $ | (18,360,269 | ) | $ | (2,901,399 | ) | $ | — | $ | (21,261,668 | ) | |||||
Other Financial Instruments** | ||||||||||||||||
Foreign Currency Contract | — | (1,093 | ) | — | (1,093 | ) |
** Other Financial Instruments are derivative instruments not reflected in total investments. Amounts shown represent unrealized depreciation.
At March 31, 2012 securities valued at $3,974,170 were transferred from Level 2 to Level 1 pursuant to the Fund's fair valuation policy.
Forward Foreign Currency Exchange Contract |
Unrealized | ||||||||||||||||
Contract to | Appreciation/ | |||||||||||||||
Counterparty | Value Date | Receive | Deliver | (Depreciation) | ||||||||||||
Brown Brothers Harriman | 07/31/2012 | USD | 2,760,981 | CAD | 2,762,500 | $ | (1,093 | ) | ||||||||
$ | (1,093 | ) |
See accompanying Notes to Financial Statements.
37 |
Portfolio of Investments
Touchstone Mid Cap Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 98.5% | ||||||||
Consumer Staples — 19.9% | ||||||||
Brown-Forman Corp. - Class B | 22,195 | $ | 1,850,840 | |||||
Energizer Holdings, Inc.* | 34,815 | 2,582,577 | ||||||
Hershey Co. (The) | 30,363 | 1,862,163 | ||||||
Lorillard, Inc. | 16,370 | 2,119,588 | ||||||
Nu Skin Enterprises, Inc. Class A | 36,460 | 2,111,399 | ||||||
Pricesmart, Inc. | 17,831 | 1,298,275 | ||||||
Smithfield Foods, Inc.* | 73,133 | 1,611,120 | ||||||
13,435,962 | ||||||||
Consumer Discretionary — 19.0% | ||||||||
Cabela's, Inc.* | 47,659 | 1,818,191 | ||||||
CarMax, Inc.* | 95,745 | 3,317,564 | ||||||
Hasbro, Inc. | 64,909 | 2,383,459 | ||||||
Service Corp. International | 117,426 | 1,322,217 | ||||||
Staples, Inc. | 130,627 | 2,113,545 | ||||||
Whirlpool Corp. | 23,963 | 1,841,796 | ||||||
12,796,772 | ||||||||
Financials — 18.9% | ||||||||
Alleghany Corp.* | 4,159 | 1,368,727 | ||||||
Eaton Vance Corp. | 101,684 | 2,906,129 | ||||||
Hatteras Financial Corp. REIT | 44,685 | 1,246,712 | ||||||
M&T Bank Corp. | 32,682 | 2,839,412 | ||||||
MBIA, Inc.†* | 105,676 | 1,035,625 | ||||||
UDR, Inc. REIT | 49,878 | 1,332,241 | ||||||
White Mountains Insurance Group Ltd. | 4,064 | 2,038,989 | ||||||
12,767,835 | ||||||||
Materials — 15.3% | ||||||||
Albemarle Corp. | 52,822 | 3,376,382 | ||||||
MeadWestvaco. Corp. | 100,143 | 3,163,517 | ||||||
NewMarket Corp. | 11,947 | 2,238,868 | ||||||
Vulcan Materials Co. | 35,557 | 1,519,351 | ||||||
10,298,118 | ||||||||
Information Technology — 9.0% | ||||||||
Activision Blizzard, Inc. | 97,467 | 1,249,527 | ||||||
Amphenol Corp. - Class A | 39,795 | 2,378,547 | ||||||
Paychex, Inc. | 79,527 | 2,464,542 | ||||||
6,092,616 | ||||||||
Industrials — 8.7% | ||||||||
Alexander & Baldwin, Inc. | 27,987 | 1,355,970 | ||||||
Cintas Corp | 78,598 | 3,074,754 | ||||||
Old Dominion Freight Line, Inc.* | 29,865 | 1,423,665 | ||||||
5,854,389 | ||||||||
Energy — 5.6% | ||||||||
Atwood Oceanics, Inc.* | 43,017 | 1,931,033 | ||||||
Kinder Morgan Management LLC* | 25,275 | 1,886,247 | ||||||
3,817,280 | ||||||||
Health Care — 2.1% | ||||||||
Tenet Healthcare Corp.* | 268,095 | 1,423,584 | ||||||
Total Common Stocks | $ | 66,486,556 | ||||||
Investment Funds — 2.3% | ||||||||
Invesco Liquid Assets Portfolio** | 1,045,795 | $ | 1,045,795 | |||||
Touchstone Institutional Money Market Fund^ | 494,407 | 494,407 | ||||||
Total Investment Funds | $ | 1,540,202 | ||||||
Total Investment Securities —100.8% | ||||||||
(Cost $60,360,691) | $ | 68,026,758 | ||||||
Liabilities in Excess of Other Assets — (0.8%) | (556,035 | ) | ||||||
Net Assets — 100.0% | $ | 67,470,723 |
† | All or a portion of the security is on loan. The total value of the securites on loan as of March 31, 2012 was $1,030,029. |
* | Non-income producing security. |
** | Represents collateral for securities loaned. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
LLC - Limited Liability Company
REIT - Real Estate Investment Trust
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | $ | 66,486,556 | $ | — | $ | — | $ | 66,486,556 | ||||||||
Investment Funds | 1,540,202 | — | — | 1,540,202 | ||||||||||||
$ | 68,026,758 |
See accompanying Notes to Financial Statements.
38 |
Portfolio of Investments
Touchstone Mid Cap Value Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 97.2% | ||||||||
Financials — 21.9% | ||||||||
Allstate Corp. (The) | 37,832 | $ | 1,245,429 | |||||
Ameriprise Financial, Inc. | 18,047 | 1,031,025 | ||||||
Comerica, Inc. | 31,959 | 1,034,193 | ||||||
Digital Realty Trust, Inc., REIT† | 14,529 | 1,074,710 | ||||||
Endurance Speciality Holdings Ltd | 23,486 | 954,941 | ||||||
Fifth Third BanCorp. | 94,779 | 1,331,645 | ||||||
Host Hotels & Resorts, Inc., REIT | 59,133 | 970,964 | ||||||
Liberty Property Trust, REIT† | 30,543 | 1,090,996 | ||||||
PartnerRe Ltd | 13,903 | 943,875 | ||||||
Reinsurance Group of America, Inc. | 17,931 | 1,066,357 | ||||||
SunTrust Banks, Inc. | 28,786 | 695,758 | ||||||
TCF Financial Corp. | 46,134 | 548,533 | ||||||
Unum Group | 46,989 | 1,150,291 | ||||||
Willis Group Holdings PLC | 27,102 | 948,028 | ||||||
Zions Bancorporation | 53,996 | 1,158,754 | ||||||
15,245,499 | ||||||||
Consumer Discretionary — 12.0% | ||||||||
American Eagle Outfitters, Inc. | 48,271 | 829,778 | ||||||
Harley-Davidson, Inc. | 16,764 | 822,777 | ||||||
Hasbro, Inc. | 27,659 | 1,015,638 | ||||||
International Game Technology | 24,760 | 415,720 | ||||||
Interpublic Group of Cos, Inc. | 69,770 | 796,076 | ||||||
Newell Rubbermaid, Inc. | 70,273 | 1,251,562 | ||||||
Royal Caribbean Cruises Ltd. | 26,214 | 771,478 | ||||||
Scripps Networks Interactive, Inc. - Class A | 17,619 | 857,869 | ||||||
Urban Outfitters, Inc.* | 20,619 | 600,219 | ||||||
WMS Industries, Inc.* | 42,627 | 1,011,539 | ||||||
8,372,656 | ||||||||
Industrials — 11.5% | ||||||||
Cintas Corp | 27,704 | 1,083,780 | ||||||
Dover Corp. | 15,086 | 949,513 | ||||||
Flowserve Corp. | 8,396 | 969,822 | ||||||
Fluor Corp. | 17,073 | 1,025,063 | ||||||
Republic Services, Inc. | 46,184 | 1,411,383 | ||||||
Spirit Aerosystems Holdings, Inc. - Class A* | 31,820 | 778,317 | ||||||
Stanley Black & Decker, Inc. | 12,467 | 959,460 | ||||||
Towers Watson & Co. - Class A | 12,890 | 851,642 | ||||||
8,028,980 | ||||||||
Information Technology — 10.5% | ||||||||
Adobe Systems, Inc.* | 30,898 | 1,060,110 | ||||||
Analog Devices, Inc. | 21,224 | 857,450 | ||||||
Fidelity National Information Services, Inc. | 36,458 | 1,207,489 | ||||||
Juniper Networks, Inc.* | 37,090 | 848,619 | ||||||
Molex, Inc. | 27,803 | 781,820 | ||||||
Symantec Corp.* | 60,519 | 1,131,705 | ||||||
Synopsys, Inc.* | 47,045 | 1,442,400 | ||||||
7,329,593 | ||||||||
Health Care — 9.9% | ||||||||
AmerisourceBergen Corp. | 15,510 | 615,437 | ||||||
CareFusion Corp.* | 43,129 | 1,118,335 | ||||||
HealthSouth Corp.* | 42,144 | 863,109 | ||||||
Hologic, Inc.* | 39,990 | 861,784 | ||||||
Patterson Co., Inc. | 21,743 | 726,216 | ||||||
Quest Diagnostics, Inc. | 14,897 | 910,952 | ||||||
STERIS Corp. | 27,650 | 874,293 | ||||||
Teleflex, Inc. | 14,628 | 894,502 | ||||||
6,864,628 | ||||||||
Materials — 9.6% | ||||||||
Alcoa, Inc. | 47,463 | 475,579 | ||||||
Allegheny Technologies, Inc. | 28,020 | 1,153,583 | ||||||
Compass Minerals International, Inc. | 9,409 | 675,002 | ||||||
Greif, Inc. - Class A | 17,094 | 955,896 | ||||||
Huntsman Corp. | 51,299 | 718,700 | ||||||
Nucor Corp. | 21,059 | 904,484 | ||||||
Owens-Illinois, Inc.* | 35,469 | 827,846 | ||||||
Packaging Corp. of America | 31,993 | 946,673 | ||||||
6,657,763 | ||||||||
Utilities — 9.3% | ||||||||
AGL Resources, Inc. | 27,044 | 1,060,666 | ||||||
Edison International | 15,835 | 673,146 | ||||||
Great Plains Energy, Inc. | 61,562 | 1,247,862 | ||||||
Portland General Electric Co. | 25,173 | 628,822 | ||||||
SCANA Corp | 22,703 | 1,035,484 | ||||||
TECO Energy, Inc. | 47,097 | 826,552 | ||||||
Xcel Energy, Inc. | 36,389 | 963,217 | ||||||
6,435,749 | ||||||||
Consumer Staples — 6.5% | ||||||||
Constellation Brands, Inc.-Class A* | 41,645 | 982,406 | ||||||
JM Smucker Co. (The) | 9,252 | 752,743 | ||||||
Kroger Co. (The) | 39,469 | 956,334 | ||||||
Molson Coors Brewing Co.-Class B | 22,269 | 1,007,672 | ||||||
Sysco Corp. | 27,324 | 815,895 | ||||||
4,515,050 | ||||||||
Energy — 6.0% | ||||||||
EQT Corp. | 10,992 | 529,924 | ||||||
Murphy Oil Corp. | 11,158 | 627,861 | ||||||
Nabors Industries Ltd* | 31,659 | 553,716 | ||||||
Newfield Exploration Co.* | 17,231 | 597,571 | ||||||
Pioneer Natural Resources Co. | 10,586 | 1,181,292 | ||||||
Range Resources Corp. | 12,045 | 700,296 | ||||||
4,190,660 | ||||||||
Total Common Stocks | $ | 67,640,578 | ||||||
Investment Funds — 6.6% | ||||||||
Invesco Liquid Assets Portfolio** | 2,680,102 | 2,680,102 | ||||||
iShares Russell Midcap Value Index Fund† | 11,985 | 576,838 | ||||||
Touchstone Institutional Money Market Fund^ | 1,339,232 | 1,339,232 | ||||||
Total Investment Funds | $ | 4,596,172 |
39 |
Touchstone Mid Cap Value Fund (Continued)
Market | ||||
Value | ||||
Total Investment Securities —103.8% | ||||
(Cost $66,573,319) | $ | 72,236,750 | ||
Liabilities in Excess of Other Assets — (3.8)% | (2,671,252 | ) | ||
Net Assets — 100.0% | $ | 69,565,498 |
Portfolio Abbreviations:
PLC - Public Limited Company
REIT - Real Estate Investment Trust
† | All or a portion of the security is on loan. The total value of the securites on loan as of March 31, 2012 was $2,658,587. |
* | Non-income producing security. |
** | Represents collateral for securities loaned. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | $ | 67,640,578 | $ | — | $ | — | $ | 67,640,578 | ||||||||
Investment Funds | 4,596,172 | — | — | 4,596,172 | ||||||||||||
$ | 72,236,750 |
See accompanying Notes to Financial Statements.
40 |
Portfolio of Investments
Touchstone Premium Yield Equity Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 95.4% | ||||||||
Energy — 23.0% | ||||||||
Enerplus Corp. | 94,512 | $ | 2,118,959 | |||||
Kinder Morgan Management LLC* | 3 | 196 | ||||||
Kinder Morgan, Inc. | 152,091 | 5,878,317 | ||||||
Provident Energy Ltd. | 81,988 | 983,856 | ||||||
Seadrill Ltd. | 72,186 | 2,707,697 | ||||||
Spectra Energy Corp. | 81,989 | 2,586,753 | ||||||
Statoil ASA, ADR | 84,713 | 2,296,569 | ||||||
Williams Co, Inc. (The) | 93,142 | 2,869,705 | ||||||
19,442,052 | ||||||||
Utilities — 16.3% | ||||||||
American Water Works Co., Inc. | 89,048 | 3,030,303 | ||||||
National Grid PLC ADR | 39,855 | 2,011,880 | ||||||
NiSource, Inc. | 167,985 | 4,090,435 | ||||||
Northeast Utilities | 30,270 | 1,123,622 | ||||||
ONEOK, Inc. | 43,272 | 3,533,592 | ||||||
13,789,832 | ||||||||
Health Care — 16.3% | ||||||||
Abbott Laboratories | 63,313 | 3,880,454 | ||||||
Eli Lilly & Co. | 37,578 | 1,513,266 | ||||||
GlaxoSmithKline PLC ADR | 53,975 | 2,424,017 | ||||||
Johnson & Johnson | 34,160 | 2,253,194 | ||||||
Merck & Co., Inc. | 56,936 | 2,186,342 | ||||||
Pfizer, Inc. | 67,182 | 1,522,344 | ||||||
13,779,617 | ||||||||
Financials — 13.0% | ||||||||
Bank of Montreal | 17,079 | 1,014,834 | ||||||
Cincinnati Financial Corp. | 47,825 | 1,650,441 | ||||||
CME Group, Inc. | 5,692 | 1,646,866 | ||||||
Digital Realty Trust, Inc. REIT | 26,192 | 1,937,422 | ||||||
HCP, Inc. REIT | 39,856 | 1,572,718 | ||||||
Hospitality Properties Trust REIT | 79,717 | 2,110,110 | ||||||
Valley National Bancorp | 81,990 | 1,061,770 | ||||||
10,994,161 | ||||||||
Telecommunication Services — 9.2% | ||||||||
AT&T, Inc. | 59,215 | 1,849,284 | ||||||
BCE, Inc. | 21,635 | 866,698 | ||||||
Telefonica SA ADR | 72,920 | 1,196,617 | ||||||
Vodafone Group PLC ADR | 86,546 | 2,394,728 | ||||||
Windstream Corp. | 124,131 | 1,453,574 | ||||||
7,760,901 | �� | |||||||
Information Technology — 7.8% | ||||||||
Intel Corp. | 102,487 | 2,880,910 | ||||||
Maxim Integrated Products, Inc. | 57,393 | 1,640,866 | ||||||
Microchip Technology, Inc. | 54,659 | 2,033,315 | ||||||
6,555,091 | ||||||||
Industrials — 4.1% | ||||||||
General Electric Co. | 102,485 | 2,056,875 | ||||||
R.R. Donnelley & Sons Co. | 113,863 | 1,410,763 | ||||||
3,467,638 | ||||||||
Materials — 4.0% | ||||||||
International Paper Co. | 52,837 | 1,854,579 | ||||||
MeadWestvaco. Corp. | 49,648 | 1,568,380 | ||||||
3,422,959 | ||||||||
Consumer Staples — 1.7% | ||||||||
H.J. Heinz Co. | 27,556 | 1,475,624 | ||||||
Total Common Stocks | $ | 80,687,875 | ||||||
Investment Fund — 5.3% | ||||||||
Touchstone Institutional Money Market Fund^ | 4,524,706 | 4,524,706 | ||||||
Total Investment Securities —100.7% | ||||||||
(Cost $74,986,984) | $ | 85,212,581 | ||||||
Liabilities in Excess of Other Assets — (0.7)% | (629,616 | ) | ||||||
Net Assets — 100.0% | $ | 84,582,965 |
Portfolio Abbreviations:
ADR - American Depositary Receipt
LLC - Limited Liability Company
PLC - Public Limited Company
REIT - Real Estate Investment Trust
* | Non-income producing security. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | $ | 80,687,875 | $ | — | $ | — | $ | 80,687,875 | ||||||||
Investment Fund | 4,524,706 | — | — | 4,524,706 | ||||||||||||
$ | 85,212,581 |
See accompanying Notes to Financial Statements.
41 |
Portfolio of Investments
Touchstone Sands Capital Select Growth Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 97.7% | ||||||||
Information Technology — 40.2% | ||||||||
Apple, Inc.* | 364,000 | $ | 218,207,080 | |||||
ASML Holding NV (Netherlands) | 1,354,000 | 67,889,560 | ||||||
F5 Networks, Inc.* | 630,000 | 85,024,800 | ||||||
Google, Inc. - Class A* | 253,000 | 162,233,720 | ||||||
Qualcomm, Inc. | 1,899,000 | 129,169,980 | ||||||
Salesforce.com, Inc.* | 1,055,000 | 163,008,050 | ||||||
Visa, Inc. - Class A | 1,580,000 | 186,440,000 | ||||||
1,011,973,190 | ||||||||
Consumer Discretionary — 24.1% | ||||||||
Amazon.Com, Inc.* | 774,000 | 156,742,740 | ||||||
Coach, Inc. | 760,000 | 58,732,800 | ||||||
Las Vegas Sands Corp. | 1,400,000 | 80,598,000 | ||||||
Netflix, Inc.†* | 456,000 | 52,458,240 | ||||||
NIKE, Inc. - Class B | 713,000 | 77,317,720 | ||||||
Priceline.com, Inc.* | 127,000 | 91,122,500 | ||||||
Starbucks Corp. | 1,613,000 | 90,150,570 | ||||||
607,122,570 | ||||||||
Health Care — 15.5% | ||||||||
Alexion Pharmaceuticals, Inc.* | 1,121,000 | 104,096,060 | ||||||
Allergan, Inc./United States | 749,000 | 71,477,070 | ||||||
athenahealth, Inc.†* | 358,000 | 26,534,960 | ||||||
Cerner Corp.* | 490,000 | 37,318,400 | ||||||
Intuitive Surgical, Inc.* | 128,000 | 69,344,000 | ||||||
Regeneron Pharmaceuticals, Inc.* | 711,000 | 82,916,820 | ||||||
391,687,310 | ||||||||
Energy — 9.6% | ||||||||
FMC Technologies, Inc.* | 1,277,000 | 64,386,340 | ||||||
National Oilwell Varco., Inc. | 885,000 | 70,330,950 | ||||||
Schlumberger Ltd. | 987,000 | 69,020,910 | ||||||
Southwestern Energy Co.* | 1,223,000 | 37,423,800 | ||||||
241,162,000 | ||||||||
Materials — 3.0% | ||||||||
Praxair, Inc. | 667,000 | 76,464,880 | ||||||
Industrials — 2.9% | ||||||||
W.W. Grainger, Inc. | 338,000 | 72,605,780 | ||||||
Financials — 2.4% | ||||||||
IntercontinentalExchange, Inc.* | 441,000 | 60,602,220 | ||||||
Total Common Stocks | $ | 2,461,617,950 | ||||||
Investment Funds — 4.4% | ||||||||
Invesco Liquid Assets Portfolio** | 58,586,119 | $ | 58,586,119 | |||||
Touchstone Institutional Money Market Fund^ | 51,563,780 | 51,563,780 | ||||||
Total Investment Funds | $ | 110,149,899 | ||||||
Total Investment Securities —102.1% | ||||||||
(Cost $1,911,035,177) | $ | 2,571,767,849 | ||||||
Liabilities in Excess of Other Assets — (2.1%) | (52,562,687 | ) | ||||||
Net Assets — 100.0% | $ | 2,519,205,162 |
† | All or a portion of the security is on loan. The total value of the securites on loan as of March 31, 2012 was $57,541,084. |
* | Non-income producing security. |
** | Represents collateral for securities loaned. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | $ | 2,461,617,950 | $ | — | $ | — | $ | 2,461,617,950 | ||||||||
Investment Funds | 110,149,899 | — | — | 110,149,899 | ||||||||||||
$ | 2,571,767,849 |
See accompanying Notes to Financial Statements.
42 |
Portfolio of Investments
Touchstone Short Duration Fixed Income Fund – March 31, 2012 (Unaudited)
Principal | Market | |||||||
Amount | Value | |||||||
Corporate Bonds — 20.2% | ||||||||
Financials — 10.4% | ||||||||
$ | 350,000 | American Express Bank FSB, | ||||||
0.392%, 6/12/12(A) | $ | 350,066 | ||||||
290,000 | American International Group, Inc., | |||||||
4.250%, 5/15/13 | 296,410 | |||||||
315,000 | Bank of New York Mellon Corp. MTN, | |||||||
4.950%, 11/1/12 | 323,092 | |||||||
215,000 | Barclays Bank PLC, 2.500%, 1/23/13 | 216,892 | ||||||
296,000 | Citigroup, Inc., 6.500%, 8/19/13 | 313,145 | ||||||
195,000 | CME Group, Inc., 5.750%, 2/15/14 | 212,637 | ||||||
305,000 | Credit Suisse/New York NY MTN, | |||||||
5.000%, 5/15/13 | 316,681 | |||||||
225,000 | FIA Card Services NA MTN, | |||||||
6.625%, 6/15/12 | 226,646 | |||||||
335,000 | FMR LLC, 144a, 4.750%, 3/1/13 | 346,294 | ||||||
225,000 | General Electric Capital Corp., | |||||||
0.727%, 7/27/12(A) | 225,245 | |||||||
275,000 | Hudson United Bank, 7.000%, 5/15/12 | 276,811 | ||||||
285,000 | Manufacturers & Traders Trust Co., | |||||||
2.081%, 4/1/13(A) | 284,861 | |||||||
60,000 | Merrill Lynch & Co., Inc. MTN, | |||||||
6.150%, 4/25/13 | 62,497 | |||||||
205,000 | Morgan Stanley, 5.300%, 3/1/13 | 210,851 | ||||||
215,000 | National Australia Bank Ltd., 144a, | |||||||
1.700%, 12/10/13 | 216,254 | |||||||
120,000 | New York Life Global Funding, 144a, | |||||||
5.250%, 10/16/12 | 123,006 | |||||||
450,000 | PNC Funding Corp., 2.300%, 6/22/12 | 452,109 | ||||||
300,000 | TD Ameritrade Holding Corp., | |||||||
2.950%, 12/1/12 | 304,383 | |||||||
194,473 | WHC-Irs Trust, 6.980%, 5/15/15 | 211,975 | ||||||
4,969,855 | ||||||||
Industrials — 3.8% | ||||||||
225,000 | Cooper US, Inc., 5.250%, 11/15/12 | 231,261 | ||||||
176,081 | CSX Transportation, Inc., | |||||||
8.375%, 10/15/14 | 200,496 | |||||||
300,000 | Equifax, Inc., 4.450%, 12/1/14 | 318,304 | ||||||
95,217 | Federal Express Corp. 1995 Pass | |||||||
Through Trust, 7.110%, 1/2/14 | 101,406 | |||||||
215,000 | Federal Express Corp. 2012 Pass | |||||||
Through Trust, 144a, | ||||||||
2.625%, 1/15/18 | 214,318 | |||||||
268,774 | GATX Corp. 2008-2 Pass Through Trust, | |||||||
9.000%, 11/15/13 | 296,357 | |||||||
101,257 | Petrodrill Five Ltd., 4.390%, 4/15/16 | 107,738 | ||||||
116,676 | Petrodrill Four Ltd., 4.240%, 1/15/16 | 122,418 | ||||||
200,000 | Roper Industries, Inc., 6.625%, 8/15/13 | 212,859 | ||||||
1,805,157 | ||||||||
Energy — 1.3% | ||||||||
224,575 | Maritimes & Northeast Pipeline LLC, | |||||||
144a, 7.500%, 5/31/14 | 240,259 | |||||||
170,000 | Noble Energy, Inc., 5.250%, 4/15/14 | 181,848 | ||||||
180,943 | Rowan Cos, Inc., 2.800%, 10/20/13 | 182,475 | ||||||
604,582 | ||||||||
Consumer Staples — 1.0% | ||||||||
200,000 | Coca-Cola Bottling Co. Consolidated, | |||||||
5.000%, 11/15/12 | 205,160 | |||||||
290,750 | CVS Pass-Through Trust, 144a, | |||||||
6.117%, 1/10/13 | 299,109 | |||||||
504,269 | ||||||||
Information Technology — 0.9% | ||||||||
235,000 | Amphenol Corp., 4.750%, 11/15/14 | 255,273 | ||||||
150,000 | Analog Devices, Inc., 5.000%, 7/1/14 | 163,693 | ||||||
418,966 | ||||||||
Telecommunication Services — 0.8% | ||||||||
154,570 | BellSouth Telecommunications, Inc., | |||||||
6.300%, 12/15/15 | 164,122 | |||||||
200,000 | SBA Tower Trust, 144a, | |||||||
4.254%, 4/15/15 | 208,530 | |||||||
372,652 | ||||||||
Health Care — 0.7% | ||||||||
330,000 | Express Scripts, Inc., 5.250%, 6/15/12 | 332,805 | ||||||
Utilities — 0.5% | ||||||||
198,000 | Monongahela Power Co., Inc., 144a, | |||||||
7.950%, 12/15/13 | 219,749 | |||||||
Materials — 0.4% | ||||||||
185,000 | Dow Chemical Co. (The), | |||||||
7.600%, 5/15/14 | 209,479 | |||||||
Consumer Discretionary — 0.4% | ||||||||
200,000 | Staples, Inc., 7.375%, 10/1/12 | 206,394 | ||||||
Total Corporate Bonds | $ | 9,643,908 | ||||||
U.S. Treasury Obligations — 5.2% | ||||||||
425,000 | U.S. Treasury Bond, 1.500%, 6/30/16 | 436,256 | ||||||
700,000 | U.S. Treasury Bond, 2.625%, 4/30/16 | 750,532 | ||||||
400,000 | U.S. Treasury Bond, 2.750%, 11/30/16 | 432,094 | ||||||
800,000 | U.S. Treasury Bond, 3.250%, 3/31/17 | 885,750 | ||||||
Total U.S. Treasury Obligations | $ | 2,504,632 | ||||||
Commercial Mortgage-Backed Securities — 16.9% | ||||||||
125,000 | American Tower Trust, Ser 2007-1A, | |||||||
Class AFX, 144a, 5.420%, 4/15/37 | 133,074 | |||||||
25,233 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2002-2, Class A3, 5.118%, 7/11/43 | 25,254 | |||||||
375,000 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2005-1, Class A4, | ||||||||
5.075%, 11/10/42(A) | 386,481 | |||||||
13,998 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2005-2, Class A4, 4.783%, 7/10/43(A) | 13,994 | |||||||
325,000 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2005-6, Class A4, 5.193%, 9/10/47(A) | 362,919 |
43 |
Touchstone Short Duration Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Commercial Mortgage-Backed Securities — 16.9% (Continued) | ||||||||
$ | 400,000 | Banc of America Merrill Lynch | ||||||
Commercial Mortgage, Inc., Ser | ||||||||
2006-4, Class A4, 5.634%, 7/10/46 | $ | 451,393 | ||||||
100,000 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2007-1, Class AMFX, | ||||||||
5.482%, 1/15/49(A) | 101,610 | |||||||
415,000 | Bear Stearns Commercial Mortgage | |||||||
Securities, Ser 2005-PWR8, Class A4, | ||||||||
4.674%, 6/11/41 | 451,213 | |||||||
400,000 | Citigroup/Deutsche Bank Commercial | |||||||
Mortgage Trust, Ser 2006-CD3, | ||||||||
Class A4, 5.658%, 10/15/48 | 417,716 | |||||||
158,982 | Commercial Mortgage Asset Trust, Ser | |||||||
1999-C1, Class A4, | ||||||||
6.975%, 1/17/32(A) | 164,970 | |||||||
396,869 | Commercial Mortgage Pass Through | |||||||
Certificates, Ser 2004-LB2A, Class | ||||||||
A4, 4.715%, 3/10/39 | 417,784 | |||||||
350,000 | Commercial Mortgage Pass Through | |||||||
Certificates, Ser 2012-9W57, Class A, | ||||||||
144a, 2.365%, 2/10/29 | 352,432 | |||||||
390,000 | Credit Suisse Mortgage Capital | |||||||
Certificates, Ser 2006-C3, Class A3, | ||||||||
5.815%, 6/15/38(A) | 440,394 | |||||||
151,467 | FDIC Structured Sale Guaranteed | |||||||
Notes, Ser 2010-C1, Class A, 144a, | ||||||||
2.980%, 12/6/20 | 157,614 | |||||||
175,000 | GE Capital Commercial Mortgage | |||||||
Corp., Ser 2003-C2, Class A4, | ||||||||
5.145%, 7/10/37 | 180,914 | |||||||
335,000 | GMAC Commercial Mortgage | |||||||
Securities, Inc., Ser 2003-C1, Class | ||||||||
A2, 4.079%, 5/10/36 | 341,650 | |||||||
235,000 | GMAC Commercial Mortgage | |||||||
Securities, Inc., Ser 2003-C2, Class | ||||||||
A2, 5.454%, 5/10/40(A) | 247,249 | |||||||
210,000 | Greenwich Capital Commercial | |||||||
Funding Corp., Ser 2004-GG1, Class | ||||||||
A7, 5.317%, 6/10/36(A) | 223,851 | |||||||
320,000 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2003-CB6, Class A2, | ||||||||
5.255%, 7/12/37(A) | 334,036 | |||||||
156,254 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2005-LDP3, Class A3, | ||||||||
4.959%, 8/15/42 | 161,895 | |||||||
72,445 | LB-UBS Commercial Mortgage Trust, | |||||||
Ser 2003-C5, Class A3, | ||||||||
4.254%, 7/15/27 | 74,083 | |||||||
313,765 | LB-UBS Commercial Mortgage Trust, | |||||||
Ser 2003-C7, Class A3, | ||||||||
4.559%, 9/15/27(A) | 315,732 | |||||||
380,000 | LB-UBS Commercial Mortgage Trust, | |||||||
Ser 2006-C1, Class A4, | ||||||||
5.156%, 2/15/31 | 422,779 | |||||||
202,931 | Merrill Lynch Mortgage Investors, Inc., | |||||||
Ser 1998-C1, Class A3, | ||||||||
6.720%, 11/15/26(A) | 224,461 | |||||||
335,000 | Morgan Stanley Capital I, Ser | |||||||
2004-IQ7, Class A4, | ||||||||
5.407%, 6/15/38(A) | 358,297 | |||||||
383,122 | Wachovia Bank Commercial Mortgage | |||||||
Trust, Ser 2003-C3, Class A2, | ||||||||
4.867%, 2/15/35 | 391,446 | |||||||
450,000 | Wachovia Bank Commercial Mortgage | |||||||
Trust, Ser 2005-C20, Class A7, | ||||||||
5.118%, 7/15/42(A) | 497,998 | |||||||
365,000 | Wachovia Bank Commercial Mortgage | |||||||
Trust, Ser 2005-C21, Class A4, | ||||||||
5.205%, 10/15/44(A) | 402,889 | |||||||
Total Commercial | ||||||||
Mortgage-Backed Securities | $ | 8,054,128 | ||||||
Non-Agency Collateralized Mortgage Obligations — 1.4% | ||||||||
45,454 | Community Program Loan Trust, Ser | |||||||
1987-A, Class A4, 4.500%, 10/1/18 | 45,455 | |||||||
300,000 | Community Program Loan Trust, Ser | |||||||
1987-A, Class A5, 4.500%, 4/1/29 | 303,542 | |||||||
315,363 | FDIC Structured Sale Guaranteed | |||||||
Notes, Ser 2010-S3, Class A, 144a, | ||||||||
2.740%, 12/3/20 | 317,955 | |||||||
Total Non-Agency Collateralized | ||||||||
Mortgage Obligations | $ | 666,952 | ||||||
U.S. Government Mortgage-Backed Obligations — 4.2% | ||||||||
108,248 | FHLMC, Pool #C66916, 7.000%, 5/1/32 | 125,516 | ||||||
61,847 | FHLMC, Pool #D94598, 6.500%, 4/1/21 | 69,199 | ||||||
2,512 | FHLMC, Pool #E97227, 7.000%, 9/1/14 | 2,518 | ||||||
311,278 | FHLMC, Pool #G01840, 5.000%, 7/1/35 | 336,049 | ||||||
63,153 | FHLMC, Pool #G30085, 7.500%, 10/1/17 | 69,678 | ||||||
6,483 | FNMA, Pool #323441, 7.000%, 12/1/13 | 6,543 | ||||||
89,730 | FNMA, Pool #323832, 7.500%, 7/1/29 | 106,437 | ||||||
5,470 | FNMA, Pool #334593, 7.000%, 5/1/24 | 6,366 | ||||||
60,886 | FNMA, Pool #546474, 7.000%, 1/1/15 | 61,675 | ||||||
1 | FNMA, Pool #6222, 9.000%, 4/1/16 | 1 | ||||||
148,828 | FNMA, Pool #665773, 7.500%, 6/1/31 | 175,282 | ||||||
201,769 | FNMA, Pool #735484, 5.000%, 5/1/35 | 218,180 | ||||||
221,116 | FNMA, Pool #AL0302, 5.000%, 4/1/24 | 239,181 | ||||||
1,264 | GNMA, Pool #2707, 5.500%, 1/20/14 | 1,381 | ||||||
1,180 | GNMA, Pool #2802, 5.500%, 7/20/14 | 1,289 | ||||||
16,307 | GNMA, Pool #2843, 5.500%, 11/20/14 | 17,818 | ||||||
41,556 | GNMA, Pool #344233, 8.000%, 2/15/23 | 48,607 |
44 |
Touchstone Short Duration Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
U.S. Government Mortgage-Backed Obligations — 4.2% (Continued) | ||||||||
$ | 113,536 | GNMA, Pool #345123, | ||||||
8.000%, 12/15/23 | $ | 134,565 | ||||||
2,893 | GNMA, Pool #462486, 6.500%, 1/15/13 | 2,974 | ||||||
22,621 | GNMA, Pool #569337, 6.500%, 4/15/22 | 25,837 | ||||||
44,504 | GNMA, Pool #578189, 6.000%, 2/15/32 | 50,647 | ||||||
48,418 | GNMA, Pool #780322, | |||||||
8.000%, 11/15/22 | 56,292 | |||||||
16,570 | GNMA, Pool #780327, | |||||||
8.000%, 11/15/17 | 18,681 | |||||||
7,352 | GNMA, Pool #780604, 7.000%, 7/15/12 | 7,362 | ||||||
36,270 | GNMA, Pool #814, 8.000%, 8/20/17 | 40,150 | ||||||
8,138 | GNMA, Pool #8426, | |||||||
3.000%, 11/20/18(A) | 8,510 | |||||||
176,416 | GNMA, Pool #894160, | |||||||
2.189%, 6/20/61(A) | 184,492 | |||||||
Total U.S. Government | ||||||||
Mortgage-Backed Obligations | $ | 2,015,230 | ||||||
U.S. Government Agency Obligations — 4.5% | ||||||||
260,000 | FNMA, 5.250%, 8/1/12 | 264,144 | ||||||
141,647 | Small Business Administration | |||||||
Participation Certificates, | ||||||||
5.800%, 12/1/18 | 153,893 | |||||||
128,081 | Small Business Administration | |||||||
Participation Certificates, | ||||||||
6.070%, 3/1/22 | 142,073 | |||||||
152,023 | Small Business Administration | |||||||
Participation Certificates, | ||||||||
6.140%, 1/1/22 | 168,973 | |||||||
154,182 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2008-10B, Class 1, 4.580%, 3/1/18 | 164,371 | |||||||
297,934 | Small Business Administration Pools, | |||||||
503795, 0.750%, 6/25/22(A) | 298,937 | |||||||
196,630 | Small Business Administration Pools, | |||||||
506207, 1.000%, 11/25/14(A) | 196,463 | |||||||
130,835 | Small Business Administration Pools, | |||||||
507442, 3.625%, 5/25/16(A) | 134,503 | |||||||
394,010 | Small Business Administration Pools, | |||||||
507682, 0.650%, 1/25/26(A) | 394,518 | |||||||
242,868 | United States Small Business Administration, | |||||||
4.504%, 2/1/14 | 250,237 | |||||||
Total U.S. Government Agency Obligations | $ | 2,168,112 | ||||||
Agency Collateralized Mortgage Obligations — 7.2% | ||||||||
219,083 | FHLMC REMICS, Ser -2510, Class TA, | |||||||
4.000%, 6/15/32 | 230,478 | |||||||
357,821 | FNMA REMICS, Ser 2003-119, Class PU, | |||||||
4.000%, 11/25/33 | 371,060 | |||||||
187,312 | FNMA REMICS, Ser 2003-19, Class ME, | |||||||
4.000%, 1/25/33 | 194,440 | |||||||
324,660 | FNMA REMICS, Ser 2003-42, Class CA, | |||||||
4.000%, 5/25/33 | 344,643 | |||||||
92,237 | FNMA REMICS, Ser 2003-66, Class AP, | |||||||
3.500%, 11/25/32 | 95,717 | |||||||
429,637 | GNMA, Ser 2002-72, Class AB, | |||||||
4.500%, 10/20/32 | 476,026 | |||||||
41,577 | GNMA, Ser 2003-43, Class B, | |||||||
4.374%, 4/16/33 | 41,891 | |||||||
127,018 | GNMA, Ser 2004-12, Class BA, | |||||||
4.807%, 8/16/32 | 129,920 | |||||||
27,099 | GNMA, Ser 2004-6, Class B, | |||||||
3.949%, 7/16/33 | 27,504 | |||||||
145,516 | GNMA, Ser 2004-78, Class C, | |||||||
4.658%, 4/16/29 | 148,533 | |||||||
72,126 | GNMA, Ser 2004-97, Class AB, | |||||||
3.084%, 4/16/22 | 72,176 | |||||||
124,286 | GNMA, Ser 2005-76, Class A, | |||||||
3.963%, 5/16/30 | 127,259 | |||||||
421,948 | GNMA, Ser 2011-161, Class A, | |||||||
1.738%, 1/16/34 | 425,013 | |||||||
364,351 | GNMA, Ser 2012-27, Class A, | |||||||
1.614%, 7/16/39 | 362,274 | |||||||
364,974 | NCUA Guaranteed Notes, Ser 2010-C1, | |||||||
Class A1, 1.600%, 10/29/20 | 368,921 | |||||||
Total Agency Collateralized | ||||||||
Mortgage Obligations | $ | 3,415,855 | ||||||
Municipal Bonds — 3.5% | ||||||||
California — 0.4% | ||||||||
180,000 | Southern California Public Power | |||||||
Authority, Rev, Ser 2010-B, 3.326%, | ||||||||
7/1/14 | 186,448 | |||||||
Connecticut — 0.9% | ||||||||
425,000 | State of Connecticut, Ser A, UTGO, | |||||||
1.110%, 5/15/18(A) | 424,269 | |||||||
District of Columbia — 0.4% | ||||||||
210,000 | District of Columbia, Ser 2010, UTGO, | |||||||
2.585%, 6/1/13 | 213,700 | |||||||
Louisiana — 0.8% | ||||||||
357,318 | Louisiana Local Government | |||||||
Environmental Facilities & Community Development | ||||||||
Authority, 1.520%, 2/1/18 | 358,294 | |||||||
Maine — 0.4% | ||||||||
200,000 | Maine State Housing Authority Energy | |||||||
Housing & Tax, Ser 2, 1.728%, 6/15/12 | 200,070 | |||||||
Minnesota — 0.6% | ||||||||
300,000 | Michigan State Strategic Fund, Waste | |||||||
Management, Inc. Project, 3.200%, 8/1/27(A) | 308,100 |
45 |
Touchstone Short Duration Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Municipal Bonds — 3.5% (Continued) | ||||||||
Minnesota — 0.6% (Continued) | ||||||||
Total Municipal Bonds | $ | 1,690,881 | ||||||
Asset-Backed Securities — 35.8% | ||||||||
$ | 480,000 | American Express Credit Account | ||||||
Master Trust, Ser 2005-4, Class A, | ||||||||
0.312%, 1/15/15(A) | 480,010 | |||||||
310,000 | American Express Credit Account | |||||||
Master Trust, Ser 2010-1, Class A, | ||||||||
0.492%, 11/16/15(A) | 310,652 | |||||||
400,000 | AmeriCredit Automobile Receivables | |||||||
Trust, Ser 2010-3, Class A3, | ||||||||
1.140%, 4/8/15 | 401,314 | |||||||
385,000 | AmeriCredit Automobile Receivables | |||||||
Trust, Ser 2011-4, Class A3, | ||||||||
1.170%, 5/9/16 | 385,634 | |||||||
285,000 | AmeriCredit Automobile Receivables | |||||||
Trust, Ser 2012-1, Class B, | ||||||||
1.730%, 2/8/17 | 285,235 | |||||||
365,000 | Capital One Multi-Asset Execution | |||||||
Trust, Ser 2007-A7, Class A7, | ||||||||
5.750%, 7/15/20 | 434,065 | |||||||
225,000 | CarMax Auto Owner Trust, Ser 2012-1, | |||||||
Class A3, 0.890%, 9/15/16 | 224,753 | |||||||
58,365 | Chrysler Financial Auto Securitization | |||||||
Trust, Ser 2009-A, Class A3, | ||||||||
2.820%, 1/15/16 | 58,667 | |||||||
200,000 | Citibank Omni Master Trust, Ser | |||||||
2009-A13, Class A13, 144a, | ||||||||
5.350%, 8/15/18 | 219,519 | |||||||
815,000 | Citibank Omni Master Trust, Ser | |||||||
2009-A17, Class A17, 144a, | ||||||||
4.900%, 11/15/18 | 892,354 | |||||||
185,746 | CNH Equipment Trust, Ser 2009-B, | |||||||
Class A4, 5.170%, 10/15/14 | 188,831 | |||||||
215,000 | CNH Equipment Trust, Ser 2010-A, | |||||||
Class A4, 2.490%, 1/15/16 | 219,461 | |||||||
425,000 | CNH Equipment Trust, Ser 2011-C, | |||||||
Class A3, 1.190%, 12/15/16 | 427,978 | |||||||
179,519 | College & University Facility Loan | |||||||
Trust, Ser -2, Class D, 4.000%, 6/1/18 | 179,519 | |||||||
215,000 | Dominos Pizza Master Issuer LLC, Ser | |||||||
2012-1A, Class A2, 144a, | ||||||||
5.216%, 1/25/42 | 220,193 | |||||||
465,000 | Ford Credit Auto Lease Trust, Ser | |||||||
2012-A, Class A3, 0.850%, 1/15/15 | 464,914 | |||||||
140,000 | Ford Credit Auto Owner Trust, Ser | |||||||
2009-B, Class A4, 4.500%, 7/15/14 | 143,972 | |||||||
405,000 | GE Capital Credit Card Master Note | |||||||
Trust, Ser 2010-3, Class A, | ||||||||
2.210%, 6/15/16 | 412,796 | |||||||
430,000 | GE Capital Credit Card Master Note | |||||||
Trust, Ser 2012-1, Class A, | ||||||||
1.030%, 1/15/18 | 431,865 | |||||||
185,554 | GE Equipment Midticket LLC, Ser | |||||||
2010-1, Class A3, 144a, | ||||||||
0.940%, 7/14/14 | 185,638 | |||||||
440,000 | GE Equipment Small Ticket LLC, Ser | |||||||
2011-1A, Class A3, 144a, | ||||||||
1.450%, 1/21/18 | 442,113 | |||||||
275,000 | GE Equipment Small Ticket LLC, Ser | |||||||
2011-2A, Class A3, 144a, | ||||||||
1.370%, 6/22/15 | 275,986 | |||||||
445,000 | GE Equipment Transportation LLC, Ser | |||||||
2012-1, Class A4, 1.230%, 1/22/20 | 445,803 | |||||||
280,000 | Great America Leasing Receivables, | |||||||
Ser 2009-1, Class A4, 144a, | ||||||||
3.190%, 12/15/13 | 284,125 | |||||||
420,000 | Great America Leasing Receivables, | |||||||
Ser 2011-1, Class A3, 144a, | ||||||||
1.690%, 2/15/14 | 421,734 | |||||||
137,584 | Harley-Davidson Motorcycle Trust, Ser | |||||||
2008-1, Class A4, 4.900%, 12/15/13 | 138,734 | |||||||
275,000 | Harley-Davidson Motorcycle Trust, Ser | |||||||
2010-1, Class A4, 1.530%, 9/15/15 | 277,699 | |||||||
360,000 | Harley-Davidson Motorcycle Trust, Ser | |||||||
2011-1, Class A3, 0.960%, 5/16/16 | 360,850 | |||||||
430,000 | Harley-Davidson Motorcycle Trust, Ser | |||||||
2011-1, Class A4, 1.310%, 3/15/17 | 431,365 | |||||||
280,547 | Huntington Auto Trust, Ser 2009-1A, | |||||||
Class A4, 144a, 5.730%, 1/15/14 | 283,504 | |||||||
195,326 | MMAF Equipment Finance LLC, Ser | |||||||
2009-AA, Class A3, 144a, | ||||||||
2.370%, 11/15/13 | 196,009 | |||||||
275,000 | MMAF Equipment Finance LLC, Ser | |||||||
2009-AA, Class A4, 144a, | ||||||||
3.510%, 1/15/30 | 284,185 | |||||||
425,000 | Nissan Auto Lease Trust, Ser 2012-A, | |||||||
Class A3, 0.980%, 5/15/15 | 425,373 | |||||||
24,698 | PG&E Energy Recovery Funding LLC, | |||||||
Ser 2005-1, Class A4, | ||||||||
4.370%, 6/25/14 | 24,922 | |||||||
40,007 | RSB Bondco. LLC, Ser 2007-A, Class A1, | |||||||
5.470%, 10/1/14 | 40,432 | |||||||
550,000 | Santander Consumer Acquired | |||||||
Receivables Trust, Ser 2011-WO, | ||||||||
Class A3, 144a, 1.400%, 10/15/14 | 551,329 | |||||||
420,000 | Santander Drive Auto Receivables | |||||||
Trust, Ser 2010-1, Class A3, | ||||||||
1.840%, 11/17/14 | 423,364 | |||||||
44,191 | Santander Drive Auto Receivables | |||||||
Trust, Ser 2010-3, Class A2, | ||||||||
0.930%, 6/17/13 | 44,196 | |||||||
325,000 | Santander Drive Auto Receivables | |||||||
Trust, Ser 2011-1, Class A3, | ||||||||
1.280%, 1/15/15 | 326,460 |
46 |
Touchstone Short Duration Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Asset-Backed Securities — 35.8% (Continued) | ||||||||
$ | 240,000 | Santander Drive Auto Receivables | ||||||
Trust, Ser 2012-1, Class A3, | ||||||||
1.490%, 10/15/15 | $ | 241,004 | ||||||
290,000 | Santander Drive Auto Receivables | |||||||
Trust, Ser 2012-2, Class B, | ||||||||
2.090%, 8/15/16 | 290,443 | |||||||
173,997 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2003-20E, Class 1, 4.640%, 5/1/23 | 188,912 | |||||||
198,178 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2004-20B, Class 1, 4.720%, 2/1/24 | 216,282 | |||||||
196,568 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2005-20G, Class 1, 4.750%, 7/1/25 | 215,791 | |||||||
155,848 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2007-10E, Class 1, 5.250%, 9/1/17 | 166,698 | |||||||
331,500 | Sonic Capital LLC, Ser 2011-1A, Class | |||||||
A2, 144a, 5.438%, 5/20/41 | 345,400 | |||||||
142,011 | Tax Liens Securitization Trust, Ser | |||||||
2010-1A, Class 1A2, 144a, | ||||||||
2.000%, 4/15/18 | 140,946 | |||||||
67,209 | Tax Liens Securitization Trust, Ser | |||||||
2010-1A, Class 2A2, 144a, | ||||||||
2.000%, 4/15/18 | 66,705 | |||||||
245,125 | Textainer Marine Containers Ltd., Ser | |||||||
2011-1A, Class A, 144a, | ||||||||
4.700%, 6/15/26 | 250,028 | |||||||
80,661 | United States Small Business Adminis- | |||||||
tration, Ser 2005-P10A, Class 1, | ||||||||
4.638%, 2/10/15 | 85,657 | |||||||
135,684 | United States Small Business Adminis- | |||||||
tration, Ser 2006-P10A, Class 1, | ||||||||
5.408%, 2/10/16 | 147,122 | |||||||
237,963 | United States Small Business Adminis- | |||||||
tration, Ser 2007-P10B, Class 1, | ||||||||
5.788%, 8/10/17 | 263,813 | |||||||
215,000 | Volkswagen Auto Lease Trust, Ser | |||||||
2011-A, Class A3, 1.200%, 10/20/14 | 216,701 | |||||||
350,000 | Volvo Financial Equipment LLC, Ser | |||||||
2012-1A, Class A4, 144a, | ||||||||
1.090%, 8/15/17 | 350,538 | |||||||
405,000 | Westlake Automobile Receivables | |||||||
Trust, Ser 2011-1A, Class A3, 144a, | ||||||||
1.490%, 6/16/14 | 405,845 | |||||||
410,000 | World Financial Network Credit Card | |||||||
Master Trust, Ser 2009-B, Class A, | ||||||||
3.790%, 5/15/16 | 413,713 | |||||||
370,000 | World Financial Network Credit Card | |||||||
Master Trust, Ser 2009-D, Class A, | ||||||||
4.660%, 5/15/17 | 387,685 | |||||||
385,000 | World Financial Network Credit Card | |||||||
Master Trust, Ser 2010-A, Class A, | ||||||||
3.960%, 4/15/19 | 415,552 | |||||||
Total Asset-Backed Securities | $ | 17,054,388 |
Market | ||||||||
Shares | Value | |||||||
Investment Fund — 0.7% | ||||||||
313,577 | Touchstone Institutional Money | |||||||
Market Fund^ | $ | 313,577 | ||||||
Total Investment Securities —99.6% | ||||||||
(Cost $46,941,187) | $ | 47,527,663 | ||||||
Other Assets in Excess | ||||||||
of Liabilities — 0.4% | 173,522 | |||||||
Net Assets — 100.0% | $ | 47,701,185 |
(A) | Variable rate security - the rate reflected is the rate in effect as of March 31, 2012. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. |
Portfolio Abbreviations:
FHLMC - Federal Home Loan Mortgage Corporation
FNMA - Federal National Mortgage Association
GNMA - Government National Mortgage Association
MTN -Medium Term Note
NCUA - National Credit Union Administration
PLC - Public Limited Company
REMIC - Real Estate Mortgage Investment Conduit
UTGO - Unlimited Tax General Obligation
144A - This is a restricted security that was sold in a transaction exempt from Rule 144A of the Securities Act of 1933. This security may be sold in transactions exempt from registration, normally to qualified institutional buyers. At March 31, 2012, these securities were valued at $8,644,745 or 18.1% of net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Trustees. |
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
47 |
Touchstone Short Duration Fixed Income Fund (Continued)
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Corporate Bonds | $ | — | $ | 9,643,908 | $ | — | $ | 9,643,908 | ||||||||
U.S. Treasury Obligations | — | 2,504,632 | — | 2,504,632 | ||||||||||||
Commercial Mortgage-Backed Securities | — | 8,054,128 | — | 8,054,128 | ||||||||||||
Non-Agency Collateralized Mortgage Obligations | — | 666,952 | — | 666,952 | ||||||||||||
U.S. Government Mortgage-Backed Obligations | — | 2,015,230 | — | 2,015,230 | ||||||||||||
U.S. Government Agency Obligations | — | 2,168,112 | — | 2,168,112 | ||||||||||||
Agency Collateralized Mortgage Obligations | — | 3,415,855 | — | 3,415,855 | ||||||||||||
Municipal Bonds | — | 1,690,881 | — | 1,690,881 | ||||||||||||
Asset-Backed Securities | — | 17,054,388 | — | 17,054,388 | ||||||||||||
Investment Fund | 313,577 | — | — | 313,577 | ||||||||||||
$ | 47,527,663 |
See accompanying Notes to Financial Statements.
48 |
Portfolio of Investments
Touchstone Small Cap Core Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 97.0% | ||||||||
Industrials — 20.7% | ||||||||
Alexander & Baldwin, Inc. | 292,147 | $ | 14,154,522 | |||||
Corrections Corp. of America* | 386,019 | 10,542,179 | ||||||
First Industrial Realty Trust, Inc. REIT* | 542,763 | 6,703,123 | ||||||
Kaman Corp. | 261,200 | 8,867,740 | ||||||
Knoll, Inc. | 210,258 | 3,498,693 | ||||||
Old Dominion Freight Line, Inc.* | 336,445 | 16,038,333 | ||||||
Tredegar Corp. | 478,620 | 9,376,166 | ||||||
69,180,756 | ||||||||
Financials — 20.5% | ||||||||
Alleghany Corp.* | 16,912 | 5,565,739 | ||||||
Eaton Vance Corp. | 455,387 | 13,014,960 | ||||||
Hatteras Financial Corp. REIT | 267,830 | 7,472,457 | ||||||
MBIA, Inc.†* | 922,494 | 9,040,441 | ||||||
Montpelier Re Holdings Ltd. | 491,341 | 9,492,708 | ||||||
Tejon Ranch Co.* | 260,234 | 7,453,102 | ||||||
UDR, Inc. REIT | 276,506 | 7,385,475 | ||||||
White Mountains Insurance Group Ltd.* | 17,514 | 8,787,124 | ||||||
68,212,006 | ||||||||
Consumer Discretionary — 14.4% | ||||||||
American Eagle Outfitters, Inc. | 350,115 | 6,018,477 | ||||||
Cabela's, Inc.* | 457,039 | 17,436,038 | ||||||
Hasbro, Inc. | 80,559 | 2,958,126 | ||||||
Service Corp. International | 1,052,215 | 11,847,941 | ||||||
Sturm Ruger & Co., Inc. | 197,137 | 9,679,427 | ||||||
47,940,009 | ||||||||
Consumer Staples — 11.1% | ||||||||
Energizer Holdings, Inc.* | 85,573 | 6,347,805 | ||||||
Nu Skin Enterprises, Inc. | 272,559 | 15,783,892 | ||||||
Pricesmart, Inc. | 204,369 | 14,880,107 | ||||||
37,011,804 | ||||||||
Materials — 10.4% | ||||||||
Albemarle Corp. | 238,313 | 15,232,967 | ||||||
Martin Marietta Materials, Inc.† | 66,758 | 5,716,488 | ||||||
NewMarket Corp. | 72,494 | 13,585,376 | ||||||
34,534,831 | ||||||||
Information Technology — 8.6% | ||||||||
Advent Software, Inc.* | 289,020 | 7,398,912 | ||||||
Micrel, Inc. | 831,311 | 8,529,251 | ||||||
ValueClick, Inc.* | 647,901 | 12,789,566 | ||||||
28,717,729 | ||||||||
Energy — 7.9% | ||||||||
Atwood Oceanics, Inc.* | 325,261 | 14,600,966 | ||||||
Kinder Morgan Management LLC†* | 132,378 | 9,879,398 | ||||||
World Fuel Services Corp. | 47,480 | 1,946,680 | ||||||
26,427,044 | ||||||||
Health Care — 3.4% | ||||||||
Owens & Minor, Inc. | 102,784 | 3,125,661 | ||||||
Tenet Healthcare Corp.* | 1,575,894 | 8,367,997 | ||||||
11,493,658 | ||||||||
Total Common Stocks | $ | 323,517,837 | ||||||
Investment Funds — 9.4% | ||||||||
Invesco Liquid Assets Portfolio** | 22,354,628 | 22,354,628 | ||||||
Touchstone Institutional Money Market Fund^ | 8,838,461 | 8,838,461 | ||||||
Total Investment Funds | $ | 31,193,089 | ||||||
Total Investment Securities —106.4% | ||||||||
(Cost $300,544,051) | $ | 354,710,926 | ||||||
Liabilities in Excess of Other Assets — (6.4%) | (21,354,778 | ) | ||||||
Net Assets — 100.0% | $ | 333,356,148 |
† | All or a portion of the security is on loan. The total value of the securites on loan as of March 31, 2012 was $21,723,708. |
* | Non-income producing security. |
** | Represents collateral for securities loaned. |
^ | AffiliatedFund,sub-advisedbyFortWashingtonInvestment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
LLC- Limited Liability Company
REIT - Real Estate Investment Trust
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | $ | 323,517,837 | $ | — | $ | — | $ | 323,517,837 | ||||||||
Investment Funds | 31,193,089 | — | — | 31,193,089 | ||||||||||||
$ | 354,710,926 |
See accompanying Notes to Financial Statements.
49 |
Portfolio of Investments
Touchstone Small Cap Value Fund – March 31, 2012 (Unaudited)
Market | ||||||||
Shares | Value | |||||||
Common Stocks — 96.2% | ||||||||
Financials — 30.1% | ||||||||
American Assets Trust, Inc. REIT | 11,469 | $ | 261,493 | |||||
Astoria Financial Corp. | 13,580 | 133,899 | ||||||
Brookline Bancorp, Inc. | 46,160 | 432,519 | ||||||
Capitol Federal Financial, Inc. | 52,327 | 620,598 | ||||||
Chesapeake Lodging Trust REIT | 21,940 | 394,262 | ||||||
Cohen & Steers, Inc.† | 14,760 | 470,844 | ||||||
Dime Community Bancshares, Inc. | 11,550 | 168,746 | ||||||
Evercore Partners, Inc. - Class A | 19,445 | 565,266 | ||||||
First American Financial Corp. | 35,620 | 592,361 | ||||||
Flagstone Reinsurance Holdings SA | 74,090 | 583,088 | ||||||
Greenhill & Co., Inc. | 18,190 | 793,812 | ||||||
Hanover Insurance Group, Inc. (The) | 9,860 | 405,443 | ||||||
Healthcare Realty Trust, Inc. REIT | 16,814 | 369,908 | ||||||
Hercules Technology Growth Capital, Inc. | 51,729 | 573,157 | ||||||
Iberiabank Corp. | 6,641 | 355,094 | ||||||
Infinity Property & Casualty Corp. | 4,560 | 238,625 | ||||||
KBW, Inc. | 47,000 | 869,500 | ||||||
Manning & Napier, Inc. | 32,080 | 471,576 | ||||||
Medical Properties Trust, Inc. REIT | 46,791 | 434,220 | ||||||
Potlatch Corp. REIT | 27,520 | 862,477 | ||||||
Sterling Bancorp/NY | 30,345 | 291,009 | ||||||
UMB Financial Corp. | 5,720 | 255,884 | ||||||
Washington Federal, Inc. | 24,560 | 413,099 | ||||||
10,556,880 | ||||||||
Industrials — 20.9% | ||||||||
Apogee Enterprises, Inc. | 30,068 | 389,381 | ||||||
Brady Corp. - Class A | 11,565 | 374,128 | ||||||
Briggs & Stratton Corp. | 14,410 | 258,371 | ||||||
Con-way, Inc. | 25,060 | 817,207 | ||||||
G&K Services, Inc. - Class A | 5,825 | 199,215 | ||||||
Harsco Corp. | 27,210 | 638,347 | ||||||
Knight Transportation, Inc. | 49,800 | 879,468 | ||||||
Knoll, Inc. | 25,900 | 430,976 | ||||||
Lennox International, Inc. | 10,310 | 415,493 | ||||||
McGrath Rentcorp | 5,749 | 184,600 | ||||||
Regal-Beloit Corp. | 6,020 | 394,611 | ||||||
Resources Connection, Inc. | 70,105 | 984,975 | ||||||
Steelcase, Inc. - Class A | 52,970 | 508,512 | ||||||
United Stationers, Inc. | 15,130 | 469,485 | ||||||
Universal Forest Products, Inc. | 11,080 | 382,038 | ||||||
7,326,807 | ||||||||
Consumer Discretionary — 14.7% | ||||||||
Chico's FAS, Inc. | 27,260 | 411,626 | ||||||
Columbia Sportswear Co. | 11,750 | 557,538 | ||||||
Cooper Tire & Rubber Co. | 24,250 | 369,085 | ||||||
Fred's, Inc. - Class A | 14,289 | 208,762 | ||||||
Hillenbrand, Inc. | 18,480 | 424,116 | ||||||
Jones Group, Inc. (The) | 78,652 | 987,869 | ||||||
MDC Holdings, Inc. | 19,570 | 504,710 | ||||||
Meredith Corp.† | 19,975 | 648,388 | ||||||
Regis Corp. | 24,750 | 456,142 | ||||||
Sotheby's | 9,230 | 363,108 | ||||||
Stewart Enterprises, Inc. - Class A | 39,080 | 237,216 | ||||||
5,168,560 | ||||||||
Materials — 11.6% | ||||||||
AK Steel Holding Corp.† | 81,530 | 616,367 | ||||||
AMCOL International Corp. | 18,450 | 544,090 | ||||||
Cabot Corp. | 4,390 | 187,365 | ||||||
Commercial Metals Co. | 56,580 | 838,516 | ||||||
Eagle Materials, Inc. | 3,205 | 111,374 | ||||||
Globe Specialty Metals, Inc. | 40,300 | 599,261 | ||||||
HB Fuller Co. | 4,515 | 148,227 | ||||||
Kaiser Aluminum Corp. | 7,685 | 363,193 | ||||||
PolyOne Corp. | 47,200 | 679,680 | ||||||
4,088,073 | ||||||||
Information Technology — 9.2% | ||||||||
ADTRAN, Inc. | 8,820 | 275,097 | ||||||
Brooks Automation, Inc. | 31,450 | 387,778 | ||||||
Cohu, Inc. | 34,566 | 393,015 | ||||||
Intersil Corp. - Class A | 74,430 | 833,616 | ||||||
Methode Electronics, Inc. | 45,720 | 424,282 | ||||||
Micrel, Inc. | 74,935 | 768,833 | ||||||
Tessera Technologies, Inc.* | 7,760 | 133,860 | ||||||
3,216,481 | ||||||||
Health Care — 4.0% | ||||||||
Meridian Bioscience, Inc. | 33,065 | 640,800 | ||||||
STERIS Corp. | 24,340 | 769,631 | ||||||
1,410,431 | ||||||||
Energy — 3.8% | ||||||||
Bristow Group, Inc. | 16,155 | 771,078 | ||||||
Delek US Holdings, Inc. | 9,100 | 141,141 | ||||||
Tsakos Energy Navigation Ltd. | 48,190 | 418,289 | ||||||
1,330,508 | ||||||||
Consumer Staples — 1.4% | ||||||||
Fresh Del Monte Produce, Inc. | 22,270 | 508,647 | ||||||
Telecommunication Services — 0.5% | ||||||||
NTELOS Holdings Corp. | 7,673 | 158,831 | ||||||
Total Common Stocks | $ | 33,765,218 | ||||||
Investment Funds — 8.0% | ||||||||
Invesco Liquid Assets Portfolio** | 1,586,167 | 1,586,167 | ||||||
Touchstone Institutional Money Market Fund^ | 1,203,896 | 1,203,896 | ||||||
Total Investment Funds | $ | 2,790,063 | ||||||
Total Investment Securities —104.2% | ||||||||
(Cost $33,805,442) | $ | 36,555,281 | ||||||
Liabilities in Excess of Other Assets — (4.2%) | (1,466,167 | ) | ||||||
Net Assets — 100.0% | $ | 35,089,114 |
50 |
Touchstone Small Cap Value Fund (Continued)
† | All or a portion of the security is on loan. The total value of the securites on loan as of March 31, 2012 was $1,562,351. |
* | Non-income producing security. |
** | Represents collateral for securities loaned. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
REIT - Real Estate Investment Trust
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Common Stocks | $ | 33,765,218 | $ | — | $ | — | $ | 33,765,218 | ||||||||
Investment Funds | 2,790,063 | — | — | 2,790,063 | ||||||||||||
$ | 36,555,281 |
See accompanying Notes to Financial Statements.
51 |
Portfolio of Investments
Touchstone Total Return Bond Fund – March 31, 2012 (Unaudited)
Principal | Market | |||||||
Amount | Value | |||||||
U.S. Government Agency Obligations — 1.6% | ||||||||
$ | 5,787 | FHA Reilly, 6.840%, 6/1/14 | $ | 5,413 | ||||
29,084 | FHA USGI, 7.430%, 8/1/23 | 29,084 | ||||||
265,441 | Small Business Administration | |||||||
Participation Certificates, | ||||||||
5.340%, 11/1/21 | 289,939 | |||||||
78,061 | Small Business Administration | |||||||
Participation Certificates, | ||||||||
6.150%, 2/1/18 | 84,949 | |||||||
5,758 | Small Business Administration | |||||||
Participation Certificates, | ||||||||
7.400%, 8/1/12 | 5,894 | |||||||
550,000 | Tennessee Valley Authority, | |||||||
4.650%, 6/15/12 | 613,192 | |||||||
Total U.S. Government Agency | ||||||||
Obligations | $ | 1,028,471 | ||||||
U.S. Treasury Obligations — 10.5% | ||||||||
1,900,000 | U.S. Treasury Note, 0.750%, 3/31/13 | 1,909,796 | ||||||
2,600,000 | U.S. Treasury Note, 3.625%, 2/15/21 | 2,943,281 | ||||||
1,000,000 | U.S. Treasury Strip, Principal, | |||||||
0.000%, 8/15/25# | 669,384 | |||||||
1,150,000 | U.S. Treasury Strip, Principal, | |||||||
0.000%, 8/15/30# | 622,707 | |||||||
1,330,000 | U.S. Treasury Strip, Principal, | |||||||
0.000%, 8/15/35# | 585,278 | |||||||
Total U.S. Treasury Obligations | $ | 6,730,446 | ||||||
Corporate Bonds — 27.0% | ||||||||
Financials — 7.8% | ||||||||
350,000 | Ally Financial, Inc., 6.875%, 8/28/12 | 355,370 | ||||||
270,000 | Delphi Financial Group, Inc., | |||||||
7.875%, 1/31/20 | 315,564 | |||||||
881,035 | EJM Airport LLC, 6.271%, 5/15/20 | 1,020,776 | ||||||
550,000 | Ford Motor Credit Co. LLC, | |||||||
5.625%, 9/15/15 | 584,898 | |||||||
495,000 | General Electric Capital Corp. MTN, | |||||||
5.625%, 5/1/18 | 573,748 | |||||||
440,000 | National Rural Utilities Cooperative | |||||||
Finance Corp., 10.375%, 11/1/18 | 638,144 | |||||||
150,000 | Private Export Funding Corp., | |||||||
4.300%, 12/15/21 | 172,062 | |||||||
500,000 | Provident Cos, Inc., 7.000%, 7/15/18 | 532,824 | ||||||
475,000 | USB Capital IX, 3.500%, 12/31/49(A) | 366,168 | ||||||
475,000 | Wachovia Capital Trust III, | |||||||
5.570%, 12/31/49(A) | 448,875 | |||||||
5,008,429 | ||||||||
Industrials — 7.7% | ||||||||
71,833 | Astro Offshore Corp., | |||||||
6.000%, 12/20/19 | 81,068 | |||||||
122,000 | Canal Barge Co., Inc., 4.500%, 11/12/34 | 141,760 | ||||||
402,687 | Continental Airlines 2000-2 Class A-1 | |||||||
Pass Through Trust, 7.707%, 4/2/21 | 435,385 | |||||||
300,000 | CSX Transportation, Inc., | |||||||
6.550%, 6/15/13 | 319,655 | |||||||
643,422 | Delta Air Lines 2010-2 Class A Pass | |||||||
Through Trust, 4.950%, 5/23/19 | 678,810 | |||||||
350,250 | Federal Express Corp. 1998 Pass | |||||||
Through Trust, 6.845%, 1/15/19 | 395,783 | |||||||
95,741 | Federal Express Corp. 1999 Pass | |||||||
Through Trust, 7.650%, 1/15/22 | 115,847 | |||||||
354,000 | Kansas City Southern Railway, | |||||||
8.000%, 6/1/15 | 371,700 | |||||||
208,000 | Matson Navigation Co., Inc., | |||||||
5.337%, 9/4/28 | 237,923 | |||||||
495,942 | Southwest Airlines Co. 2007-1 Pass | |||||||
Through Trust, 6.150%, 8/1/22 | 562,894 | |||||||
184,301 | Sterling Equipment, 6.125%, 9/28/19 | 202,407 | ||||||
151,960 | Union Pacific Railroad Co. 2001 Pass | |||||||
Through Trust, 6.630%, 1/27/22 | 172,566 | |||||||
599,295 | Union Pacific Railroad Co. 2006 Pass | |||||||
Through Trust, 5.866%, 7/2/30 | 690,957 | |||||||
489,000 | Vessel Management Services, Inc., | |||||||
5.125%, 4/16/35 | 573,510 | |||||||
4,980,265 | ||||||||
Utilities — 5.6% | ||||||||
266,667 | Bruce Mansfield Unit, 6.850%, 6/1/34 | 285,001 | ||||||
450,000 | California Water Service Co., | |||||||
5.500%, 12/1/40 | 505,337 | |||||||
600,000 | Commonwealth Edison Co., | |||||||
5.900%, 3/15/36 | 728,047 | |||||||
650,000 | Dominion Resources, Inc./VA, | |||||||
2.770%, 9/30/66(A) | 567,713 | |||||||
280,000 | Entergy Louisiana LLC, | |||||||
4.440%, 1/15/26 | 295,435 | |||||||
375,000 | Nevada Power Co., 5.875%, 1/15/15 | 421,629 | ||||||
190,000 | Nevada Power Co., 6.500%, 8/1/18 | 233,924 | ||||||
550,000 | NextEra Energy Capital Holdings, Inc., | |||||||
6.350%, 10/1/66(A) | 561,000 | |||||||
3,598,086 | ||||||||
Consumer Staples — 2.0% | ||||||||
558,199 | American Airlines 2011-1 Class B Pass | |||||||
Through Trust, 144a, | ||||||||
7.000%, 1/31/18 | 547,035 | |||||||
514,339 | CVS Pass-Through Trust, | |||||||
6.036%, 12/10/28 | 563,916 | |||||||
124,622 | CVS Pass-Through Trust, 144a, | |||||||
7.507%, 1/10/32 | 149,271 | |||||||
1,260,222 | ||||||||
Consumer Discretionary — 1.5% | ||||||||
325,000 | PulteGroup, Inc., 5.250%, 1/15/14 | 334,750 | ||||||
625,000 | Royal Caribbean Cruises Ltd., | |||||||
7.000%, 6/15/13 | 653,125 | |||||||
987,875 | ||||||||
Energy — 1.0% | ||||||||
103,000 | Chesapeake Energy Corp., | |||||||
6.625%, 8/15/20 | 104,802 |
52 |
Touchstone Total Return Bond Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Corporate Bonds — 27.0% (Continued) | ||||||||
Energy — (Continued) | ||||||||
$ | 400,000 | Chesapeake Energy Corp., | ||||||
6.875%, 11/15/20 | $ | 413,000 | ||||||
157,135 | Rowan Cos, Inc., 2.800%, 10/20/13 | 158,466 | ||||||
676,268 | ||||||||
Health Care — 0.7% | ||||||||
425,000 | HCA, Inc., 7.250%, 9/15/20 | 462,719 | ||||||
Transportation — 0.7% | ||||||||
335,000 | Totem Ocean Trailer Express, Inc., | |||||||
6.365%, 4/15/28 | 431,751 | |||||||
Total Corporate Bonds | $ | 17,405,615 | ||||||
U.S. Government Mortgage-Backed | ||||||||
Obligations — 23.1% | ||||||||
500,000 | FHLMC, 3.750%, 3/27/12 | 561,040 | ||||||
237,775 | FNMA, Pool #465711, 4.680%, 8/1/28 | 256,563 | ||||||
769,580 | FNMA, Pool #745275, 5.000%, 2/1/36 | 832,174 | ||||||
711,427 | FNMA, Pool #745418, 5.500%, 4/1/36 | 778,707 | ||||||
121,478 | FNMA, Pool #874210, 5.260%, 1/1/25 | 138,603 | ||||||
56,443 | FNMA, Pool #888829, 5.832%, 6/1/37 | 64,481 | ||||||
235,175 | FNMA, Pool #889507, 6.000%, 5/1/38 | 259,348 | ||||||
50,193 | FNMA, Pool #926050, 5.000%, 4/1/38 | 54,259 | ||||||
167,660 | FNMA, Pool #929317, 5.500%, 3/1/38 | 183,621 | ||||||
104,055 | FNMA, Pool #931293, 6.000%, 6/1/39 | 117,463 | ||||||
151,643 | FNMA, Pool #958736, 4.940%, 5/1/19 | 169,805 | ||||||
8,439 | FNMA, Pool #995196, 6.000%, 7/1/38 | 9,323 | ||||||
201,547 | FNMA, Pool #AA3414, 4.500%, 3/1/39 | 214,431 | ||||||
749,806 | FNMA, Pool #AB1152, 4.000%, 6/1/25 | 794,897 | ||||||
435,887 | FNMA, Pool #AD0101, 4.879%, 7/1/19 | 490,482 | ||||||
523,008 | FNMA, Pool #AD0166, 4.876%, 8/1/19 | 588,602 | ||||||
169,687 | FNMA, Pool #AD0342, 4.639%, 10/1/19 | 190,225 | ||||||
195,808 | FNMA, Pool #AD0786, 4.501%, 1/1/20 | 218,613 | ||||||
171,410 | FNMA, Pool #AD0910, 4.601%, 4/1/20 | 188,512 | ||||||
235,758 | FNMA, Pool #AD1608, 4.000%, 2/1/25 | 249,936 | ||||||
235,556 | FNMA, Pool #AD1656, 4.500%, 3/1/40 | 250,909 | ||||||
563,089 | FNMA, Pool #AE0209, 4.331%, 6/1/20 | 625,574 | ||||||
869,679 | FNMA, Pool #AE0446, 4.086%, 9/1/20 | 953,717 | ||||||
909,165 | FNMA, Pool #AE2771, 3.500%, 8/1/26 | 961,279 | ||||||
94,546 | FNMA, Pool #AE8073, 4.000%, 12/1/40 | 100,153 | ||||||
1,199,934 | FNMA, Pool #AE8886, 3.500%, 12/1/25 | 1,259,715 | ||||||
614,345 | FNMA, Pool #AH1519, 3.500%, 12/1/25 | 644,952 | ||||||
88,945 | FNMA, Pool #AH6574, 4.000%, 3/1/41 | 94,387 | ||||||
248,940 | GNMA, Pool #3665, 5.500%, 1/20/35 | 278,273 | ||||||
102,815 | GNMA, Pool #4441, 5.000%, 5/20/39 | 110,720 | ||||||
989,515 | GNMA, Pool #5276, 3.000%, 1/20/27 | 1,048,534 | ||||||
293,237 | GNMA, Pool #751408, 4.826%, 6/20/61 | 328,013 | ||||||
763,699 | GNMA, Pool #751409, 4.626%, 7/20/61 | 840,519 | ||||||
331,441 | GNMA, Pool #756686, 4.697%, 9/20/61 | 370,357 | ||||||
561,498 | GNMA, Pool #757327, 4.295%, 7/20/61 | 620,945 | ||||||
Total U.S. Government | ||||||||
Mortgage-Backed Obligations | $ | 14,849,132 | ||||||
Commercial Mortgage-Backed Securities — 5.0% | ||||||||
525,000 | Citigroup Commercial Mortgage Trust, | |||||||
Ser 2007-C6, Class A4, | ||||||||
5.696%, 12/10/49(A) | 598,736 | |||||||
505,000 | Citigroup/Deutsche Bank Commercial | |||||||
Mortgage Trust, Ser 2006-CD3, | ||||||||
Class AJ, 5.688%, 10/15/48 | 332,614 | |||||||
550,000 | Greenwich Capital Commercial | |||||||
Funding Corp., Ser 2005-GG5, Class | ||||||||
A5, 5.224%, 4/10/37(A) | 599,323 | |||||||
200,000 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2005-LDP4, Class AM, | ||||||||
4.999%, 10/15/42(A) | 213,502 | |||||||
506,615 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2006-CB17, Class A3, | ||||||||
5.450%, 12/12/43 | 521,920 | |||||||
380,000 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2007-LDPX, Class A3S, | ||||||||
5.317%, 1/15/49 | 395,193 | |||||||
550,000 | Merrill Lynch/Countrywide | |||||||
Commercial Mortgage Trust, Ser | ||||||||
2006-3, Class AM, | ||||||||
5.456%, 7/12/46(A) | 562,888 | |||||||
Total Commercial | ||||||||
Mortgage-Backed Securities | $ | 3,224,176 | ||||||
Agency Collateralized Mortgage | ||||||||
Obligations — 9.1% | ||||||||
226,505 | Federal Agricultural Mortgage Corp., | |||||||
Ser AM-1003, Class 1, | ||||||||
6.773%, 4/25/13(A) | 234,213 | |||||||
685,000 | GNMA, Ser 2008-39, Class B, | |||||||
4.549%, 6/16/28 | 714,946 | |||||||
282,743 | GNMA, Ser 2009-114, Class A, | |||||||
3.103%, 12/16/38 | 292,187 | |||||||
475,000 | GNMA, Ser 2009-27, Class B, | |||||||
4.353%, 2/16/41 | 513,188 | |||||||
148,975 | GNMA, Ser 2009-4, Class A, | |||||||
3.813%, 11/16/37 | 154,950 | |||||||
505,029 | GNMA, Ser 2009-86, Class A, | |||||||
3.536%, 9/16/35 | 528,900 | |||||||
353,798 | GNMA, Ser 2010-49, Class A, | |||||||
2.870%, 3/16/51 | 365,784 | |||||||
744,504 | GNMA, Ser 2011-147, Class A, | |||||||
2.174%, 7/16/38 | 757,533 | |||||||
1,272,989 | GNMA, Ser 2011-31, Class A, | |||||||
2.210%, 12/16/35 | 1,296,753 | |||||||
979,399 | GNMA, Ser 2011-47, Class A, | |||||||
2.070%, 4/16/32 | 993,927 | |||||||
Total Agency Collateralized | ||||||||
Mortgage Obligations | $ | 5,852,381 |
53 |
Touchstone Total Return Bond Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Asset-Backed Securities — 21.4% | ||||||||
$ | 151,253 | Burlington Northern and Santa Fe | ||||||
Railway Co. 1998-C Pass Through | ||||||||
Trust, 6.230%, 7/2/18 | $ | 169,036 | ||||||
118,290 | Burlington Northern and Santa Fe | |||||||
Railway Co. 2004-1 Pass Through | ||||||||
Trust, 4.575%, 1/15/21 | 128,087 | |||||||
650,499 | CenterPoint Energy Transition Bond | |||||||
Co. LLC, Ser 2009-1, Class A1, | ||||||||
1.833%, 2/15/16 | 663,311 | |||||||
575,000 | FPL Recovery Funding LLC, Ser | |||||||
2007-A, Class A4, 5.256%, 8/1/21 | 672,379 | |||||||
117,903 | Oncor Electric Delivery Transition | |||||||
Bond Co. LLC, Ser 2003-1, Class A3, | ||||||||
4.950%, 2/15/15 | 120,690 | |||||||
181,899 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2000-20K, Class 1, 7.220%, 11/1/20 | 202,876 | |||||||
131,054 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2001-20A, Class 1, 6.290%, 1/1/21 | 144,869 | |||||||
271,760 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2002-20H, Class 1, 5.310%, 8/1/22 | 298,116 | |||||||
21,525 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2003-10B, Class 1, 3.390%, 3/1/13 | 21,750 | |||||||
434,428 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2003-20B, Class 1, 4.840%, 2/1/23 | 473,457 | |||||||
167,910 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2003-20D, Class 1, 4.760%, 4/1/23 | 182,603 | |||||||
114,458 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2004-20D, Class 1, 4.770%, 4/1/24 | 124,999 | |||||||
808,635 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2004-20K, Class 1, 4.880%, 11/1/24 | 887,217 | |||||||
132,001 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2005-10E, Class 1, 4.540%, 9/1/15 | 137,583 | |||||||
380,884 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2005-20B, Class 1, 4.625%, 2/1/25 | 414,524 | |||||||
506,349 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2005-20H, Class 1, 5.110%, 8/1/25 | 560,524 | |||||||
426,418 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2006-20B, Class 1, 5.350%, 2/1/26 | 477,047 | |||||||
243,583 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2006-20H, Class 1, 5.700%, 8/1/26 | 274,481 | |||||||
361,298 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2006-20K, Class 1, 5.360%, 11/1/26 | 403,619 | |||||||
187,289 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2006-20L, Class 1, 5.120%, 12/1/26 | 208,484 | |||||||
675,657 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2007-20A, Class 1, 5.320%, 1/1/27 | 756,497 | |||||||
206,128 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2007-20E, Class 1, 5.310%, 5/1/27 | 230,578 | |||||||
443,208 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2007-20F, Class 1, 5.710%, 6/1/27 | 501,162 | |||||||
117,189 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2007-20I, Class 1, 5.560%, 9/1/27 | 132,099 | |||||||
440,187 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2007-20L, Class 1, 5.290%, 12/1/27 | 492,672 | |||||||
926,001 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2008-20A, Class 1, 5.170%, 1/1/28 | 1,043,703 | |||||||
956,035 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2009-20B, Class 1, 4.760%, 2/1/29 | 1,062,875 | |||||||
1,000,391 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2009-20C, Class 1, 4.660%, 3/1/29 | 1,100,482 | |||||||
215,889 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2009-20D, Class 1, 4.310%, 4/1/29 | 232,016 | |||||||
236,897 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2009-20E, Class 1, 4.430%, 5/1/29 | 261,711 | |||||||
115,749 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2009-20F, Class 1, 4.950%, 6/1/29 | 128,824 | |||||||
436,834 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2009-20J, Class 1, 3.920%, 10/1/29 | 472,598 | |||||||
775,405 | Small Business Administration | |||||||
Participation Certificates, Ser | ||||||||
2010-20I, Class 1, 3.210%, 9/1/30 | 815,860 | |||||||
Total Asset-Backed Securities | $ | 13,796,729 | ||||||
Sovereign Government Obligations — 0.9% | ||||||||
17,073 | Ecuador Government AID Bond, | |||||||
7.050%, 5/1/15 | 18,946 | |||||||
475,000 | Israel Government AID Bond, | |||||||
5.500%, 9/18/33 | 590,414 | |||||||
Total Sovereign Government | ||||||||
Obligations | $ | 609,360 |
54 |
Touchstone Total Return Bond Fund (Continued)
Market | ||||||||
Shares | Value | |||||||
Investment Fund — 2.1% | ||||||||
1,341,808 | Touchstone Institutional Money | |||||||
Market Fund^ | $ | 1,341,808 | ||||||
Total Investment Securities —100.7% | ||||||||
(Cost $63,302,423) | 64,838,118 | |||||||
Liabilities in Excess of | ||||||||
Other Assets — (0.7%) | (420,749 | ) | ||||||
Net Assets — 100.0% | $ | 64,417,369 |
# | Strips Security - Zero Coupon Bond. |
(A) | Variable rate security - the rate reflected is the rate in effect as of March 31, 2012. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. See Note 4 in Notes to Financial Statements. |
Portfolio Abbreviations:
FHA - Federal Housing Authority
FHLMC - Federal Home Loan Mortgage Corporation
FNMA - Federal National Mortgage Association
GNMA - Government National Mortgage Association
MTN -Medium Term Note
144A - This is a restricted security that was sold in a transaction exempt from Rule 144A of the Securities Act of 1933. This security may be sold in transactions exempt from registration, normally to qualified institutional buyers. At March 31, 2012, these securities were valued at $696,306 or 1.1% of net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Trustees.
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date:
Level | ||||||||||||||||
Description | 1 | Level 2 | Level 3 | Total | ||||||||||||
U.S. Government Agency Obligations | $ | — | $ | 1,028,471 | $ | — | $ | 1,028,471 | ||||||||
U.S. Treasury Obligations | — | 6,730,446 | — | 6,730,446 | ||||||||||||
Corporate Bonds | — | 17,405,615 | — | 17,405,615 | ||||||||||||
U.S. Government Mortgage-Backed Obligations | — | 14,849,132 | — | 14,849,132 | ||||||||||||
Commercial Mortgage-Backed Securities | — | 3,224,176 | — | 3,224,176 | ||||||||||||
Agency Collateralized Mortgage Obligations | — | 5,852,381 | — | 5,852,381 | ||||||||||||
Asset-Backed Securities | — | 13,796,729 | — | 13,796,729 | ||||||||||||
Sovereign Government Obligations | — | 609,360 | — | 609,360 | ||||||||||||
Investment Fund | 1,341,808 | — | — | 1,341,808 | ||||||||||||
$ | 64,838,118 |
See accompanying Notes to Financial Statements.
55 |
Portfolio of Investments
Touchstone Ultra Short Duration Fixed Income Fund – March 31, 2012 (Unaudited)
Principal | Market | |||||||
Amount | Value | |||||||
Commercial Mortgage-Backed Securities — 19.7% | ||||||||
$ | 2,300,000 | Banc of America Merrill Lynch | ||||||
Commercial Mortgage, Inc., Ser | ||||||||
2002-2, Class C, 5.315%, 7/11/43 | $ | 2,320,801 | ||||||
1,324,579 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2004-6, Class A3, 4.512%, 12/10/42 | 1,351,134 | |||||||
79,323 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2005-2, Class A4, 4.783%, 7/10/43(A) | 79,302 | |||||||
362,027 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2005-3, Class ASB, 4.589%, 7/10/43 | 377,159 | |||||||
170,805 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2005-4, Class A2, 4.764%, 7/10/45 | 170,766 | |||||||
3,353,707 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2006-2, Class A2, 5.713%, 5/10/45 | 3,352,929 | |||||||
571,830 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2007-1, Class A2, 5.381%, 1/15/49 | 571,219 | |||||||
1,156,113 | Banc of America Merrill Lynch | |||||||
Commercial Mortgage, Inc., Ser | ||||||||
2007-5, Class A2, 5.434%, 2/10/51 | 1,165,440 | |||||||
1,549,385 | Bear Stearns Commercial Mortgage | |||||||
Securities, Ser 2002-PBW1, Class A2, | ||||||||
4.720%, 11/11/35(A) | 1,559,865 | |||||||
1,002,300 | Bear Stearns Commercial Mortgage | |||||||
Securities, Ser 2004-PWR4, Class A2, | ||||||||
5.286%, 6/11/41(A) | 1,039,709 | |||||||
515,981 | Bear Stearns Commercial Mortgage | |||||||
Securities, Ser 2007-T26, Class A2, | ||||||||
5.330%, 1/12/45 | 515,726 | |||||||
2,200,000 | CDC Commercial Mortgage Trust, Ser | |||||||
2002-FX1, Class D, 6.005%, 5/15/35 | 2,205,117 | |||||||
2,758,803 | Commercial Mortgage Asset Trust, Ser | |||||||
1999-C1, Class A4, | ||||||||
6.975%, 1/17/32(A) | 2,862,718 | |||||||
3,400,000 | Commercial Mortgage Pass Through | |||||||
Certificates, Ser 2001-J2A, Class B, | ||||||||
144a, 6.304%, 7/16/34 | 3,410,288 | |||||||
970,668 | Credit Suisse First Boston Mortgage | |||||||
Securities Corp., Ser 1998-C2, Class | ||||||||
D, 7.130%, 11/15/30 | 994,383 | |||||||
2,272,572 | Credit Suisse First Boston Mortgage | |||||||
Securities Corp., Ser 2002-CP5, Class | ||||||||
A2, 4.940%, 12/15/35 | 2,303,449 | |||||||
3,075,555 | Credit Suisse First Boston Mortgage | |||||||
Securities Corp., Ser 2005-C5, Class | ||||||||
A3, 5.100%, 8/15/38(A) | 3,125,923 | |||||||
993,501 | Credit Suisse Mortgage Capital | |||||||
Certificates, Ser 2006-C3, Class A2, | ||||||||
5.815%, 6/15/38(A) | 999,565 | |||||||
1,313,404 | Credit Suisse Mortgage Capital | |||||||
Certificates, Ser 2007-C2, Class A2, | ||||||||
5.448%, 1/15/49(A) | 1,334,337 | |||||||
3,082,599 | Credit Suisse Mortgage Capital | |||||||
Certificates, Ser 2007-C5, Class A2, | ||||||||
5.589%, 9/15/40 | 3,107,507 | |||||||
1,672,180 | DLJ Commercial Mortgage Corp., Ser | |||||||
2000-CF1, Class B1, | ||||||||
8.486%, 6/10/33(A) | 1,682,631 | |||||||
5,952 | GMAC Commercial Mortgage | |||||||
Securities, Inc., Ser 2001-C2, Class | ||||||||
A2, 6.700%, 4/15/34 | 5,945 | |||||||
133,702 | GMAC Commercial Mortgage | |||||||
Securities, Inc., Ser 2004-C2, Class | ||||||||
A2, 4.760%, 8/10/38 | 133,640 | |||||||
1,108,363 | Greenwich Capital Commercial | |||||||
Funding Corp., Ser 2003-C2, Class | ||||||||
A3, 4.533%, 1/5/36 | 1,112,606 | |||||||
2,750,000 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2002-C3, Class B, 5.146%, 7/12/35(A) | 2,773,664 | |||||||
2,750,000 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2002-CIB5, Class B, | ||||||||
5.308%, 10/12/37 | 2,789,339 | |||||||
793,571 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2003-PM1A, Class A3, | ||||||||
5.169%, 8/12/40(A) | 808,860 | |||||||
367,714 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2004-CBX, Class A4, | ||||||||
4.529%, 1/12/37 | 367,672 | |||||||
494,506 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2004-LN2, Class A1, | ||||||||
4.475%, 7/15/41 | 498,970 | |||||||
2,183,200 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2005-CB12, Class A3A2, | ||||||||
4.928%, 9/12/37 | 2,234,595 | |||||||
2,475,000 | JP Morgan Chase Commercial | |||||||
Mortgage Securities Corp., Ser | ||||||||
2005-LDP4, Class A3A2, | ||||||||
4.903%, 10/15/42 | 2,486,167 | |||||||
1,862,326 | LB Commercial Conduit Mortgage | |||||||
Trust, Ser 2007-C3, Class A2, | ||||||||
5.840%, 7/15/44(A) | 1,873,639 | |||||||
1,012,798 | LB-UBS Commercial Mortgage Trust, | |||||||
Ser 2003-C8, Class A3, | ||||||||
4.830%, 6/15/13 | 1,029,014 | |||||||
1,733,789 | LB-UBS Commercial Mortgage Trust, | |||||||
Ser 2005-C7, Class A2, | ||||||||
5.103%, 11/15/30 | 1,733,827 | |||||||
513,096 | LB-UBS Commercial Mortgage Trust, | |||||||
Ser 2006-C4, Class A2, | ||||||||
5.868%, 6/15/32(A) | 516,714 |
56 |
Touchstone Ultra Short Duration Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Commercial Mortgage-Backed Securities — 19.7% (Continued) | ||||||||
$ | 137,288 | Merrill Lynch Mortgage Trust, Ser | ||||||
2003-KEY1, Class A3, | ||||||||
4.893%, 11/12/35 | $ | 140,007 | ||||||
419,805 | Merrill Lynch/Countrywide | |||||||
Commercial Mortgage Trust, Ser | ||||||||
2006-2, Class A2, 5.878%, 6/12/46(A) | 431,287 | |||||||
3,650,000 | Morgan Stanley Capital I, Ser | |||||||
2007-IQ15, Class A2, | ||||||||
5.842%, 6/11/49(A) | 3,673,396 | |||||||
159,055 | Morgan Stanley Dean Witter Capital I, | |||||||
Ser 2001-TOP3, Class A4, | ||||||||
6.390%, 7/15/33 | 158,967 | |||||||
4,160,000 | Morgan Stanley Dean Witter Capital I, | |||||||
Ser 2003-HQ2, Class B, | ||||||||
5.040%, 3/12/35 | 4,248,171 | |||||||
1,511,938 | Salomon Brothers Mortgage | |||||||
Securities VII, Inc., Ser 2001-C2, | ||||||||
Class G, 7.222%, 11/13/36(A) | 1,548,194 | |||||||
103,392 | Wachovia Bank Commercial Mortgage | |||||||
Trust, Ser 2003-C9, Class A3, | ||||||||
4.608%, 12/15/35 | 104,671 | |||||||
1,592,325 | Wachovia Bank Commercial Mortgage | |||||||
Trust, Ser 2004-C11, Class A4, | ||||||||
5.030%, 1/15/41 | 1,615,594 | |||||||
2,481,849 | Wachovia Bank Commercial Mortgage | |||||||
Trust, Ser 2005-C17, Class APB, | ||||||||
5.037%, 3/15/42 | 2,569,701 | |||||||
1,845,724 | Wachovia Bank Commercial Mortgage | |||||||
Trust, Ser 2007-C33, Class A2, | ||||||||
5.853%, 2/15/51(A) | 1,853,330 | |||||||
Total Commercial | ||||||||
Mortgage-Backed Securities | $ | 69,237,938 | ||||||
U.S. Government Mortgage-Backed Obligations — 20.0% | ||||||||
345,690 | FHLMC, Pool #1B2629, | |||||||
2.566%, 11/1/34(A) | 368,168 | |||||||
1,248,388 | FHLMC, Pool #1B7189, | |||||||
3.256%, 3/1/36(A) | 1,326,332 | |||||||
517,593 | FHLMC, Pool #1G1471, | |||||||
2.527%, 1/1/37(A) | 553,036 | |||||||
3,057,490 | FHLMC, Pool #1H1354, | |||||||
5.853%, 11/1/36(A) | 3,260,353 | |||||||
278,828 | FHLMC, Pool #1H2524, | |||||||
2.452%, 8/1/35(A) | 296,003 | |||||||
842,887 | FHLMC, Pool #1J1813, | |||||||
5.692%, 8/1/37(A) | 900,826 | |||||||
716,928 | FHLMC, Pool #1K1238, | |||||||
2.498%, 7/1/36(A) | 756,953 | |||||||
649,390 | FHLMC, Pool #1L0087, | |||||||
5.068%, 6/1/35(A) | 687,162 | |||||||
686,504 | FHLMC, Pool #1L1288, | |||||||
2.489%, 5/1/36(A) | 726,852 | |||||||
648,295 | FHLMC, Pool #1Q0080, | |||||||
2.447%, 1/1/36(A) | 691,302 | |||||||
1,280,446 | FHLMC, Pool #1Q0119, | |||||||
2.604%, 9/1/36(A) | 1,373,251 | |||||||
1,904,403 | FHLMC, Pool #1Q0187, | |||||||
2.538%, 12/1/36(A) | 2,041,919 | |||||||
553,065 | FHLMC, Pool #1Q0669, | |||||||
3.197%, 11/1/37(A) | 587,839 | |||||||
3,078,143 | FHLMC, Pool #1Q1303, | |||||||
5.582%, 11/1/36(A) | 3,300,651 | |||||||
1,969,356 | FHLMC, Pool #781515, | |||||||
2.499%, 4/1/34(A) | 2,052,487 | |||||||
1,484,673 | FHLMC, Pool #782760, | |||||||
6.006%, 11/1/36(A) | 1,576,951 | |||||||
582,642 | FHLMC, Pool #847795, | |||||||
2.447%, 4/1/35(A) | 616,337 | |||||||
442,115 | FHLMC, Pool #848088, | |||||||
2.422%, 4/1/35(A) | 468,765 | |||||||
3,027,195 | FHLMC, Pool #848539, | |||||||
5.247%, 4/1/37(A) | 3,252,312 | |||||||
3,256,746 | FHLMC, Pool #848583, | |||||||
2.492%, 1/1/36(A) | 3,442,747 | |||||||
73,866 | FHLMC, Pool #G11072, | |||||||
7.500%, 12/1/15 | 78,982 | |||||||
1,305,636 | FHLMC, Pool #J10895, | |||||||
4.000%, 10/1/19 | 1,392,110 | |||||||
27,791 | FNMA, Pool #519992, 7.000%, 10/1/14 | 29,305 | ||||||
19,294 | FNMA, Pool #534851, 7.500%, 4/1/15 | 20,487 | ||||||
29,292 | FNMA, Pool #535219, 7.500%, 3/1/15 | 30,897 | ||||||
143,688 | FNMA, Pool #555646, 7.500%, 9/1/16 | 153,069 | ||||||
606,010 | FNMA, Pool #679742, | |||||||
2.954%, 1/1/40(A) | 640,641 | |||||||
168,995 | FNMA, Pool #681842, | |||||||
2.250%, 2/1/33(A) | 177,044 | |||||||
533,707 | FNMA, Pool #681898, | |||||||
2.356%, 4/1/33(A) | 562,942 | |||||||
584,699 | FNMA, Pool #725245, | |||||||
2.302%, 2/1/34(A) | 616,830 | |||||||
2,967,645 | FNMA, Pool #725490, | |||||||
2.431%, 4/1/34(A) | 3,121,766 | |||||||
1,176,464 | FNMA, Pool #735439, 6.000%, 9/1/19 | 1,272,587 | ||||||
338,672 | FNMA, Pool #735539, | |||||||
2.405%, 4/1/35(A) | 357,718 | |||||||
248,750 | FNMA, Pool #743207, | |||||||
2.315%, 10/1/33(A) | 264,138 | |||||||
283,774 | FNMA, Pool #745467, | |||||||
5.568%, 4/1/36(A) | 303,595 | |||||||
579,785 | FNMA, Pool #745790, | |||||||
4.465%, 8/1/36(A) | 614,034 | |||||||
3,069,891 | FNMA, Pool #761411, 4.500%, 5/1/19 | 3,299,115 | ||||||
312,368 | FNMA, Pool #784365, | |||||||
2.048%, 5/1/34(A) | 328,560 | |||||||
219,116 | FNMA, Pool #804001, | |||||||
2.310%, 10/1/34(A) | 231,124 |
57 |
Touchstone Ultra Short Duration Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
U.S. Government Mortgage-Backed Obligations — 20.0% (Continued) | ||||||||
$ | 443,567 | FNMA, Pool #806765, | ||||||
2.054%, 11/1/34(A) | $ | 469,030 | ||||||
198,027 | FNMA, Pool #809897, | |||||||
2.679%, 3/1/35(A) | 211,602 | |||||||
862,619 | FNMA, Pool #810896, | |||||||
2.055%, 1/1/35(A) | 912,995 | |||||||
439,907 | FNMA, Pool #813170, | |||||||
2.575%, 1/1/35(A) | 467,890 | |||||||
783,272 | FNMA, Pool #813714, | |||||||
2.079%, 1/1/35(A) | 826,167 | |||||||
3,761,054 | FNMA, Pool #813844, | |||||||
2.194%, 1/1/35(A) | 3,968,754 | |||||||
2,456,287 | FNMA, Pool #825395, | |||||||
2.468%, 7/1/35(A) | 2,591,187 | |||||||
1,692,041 | FNMA, Pool #827787, | |||||||
2.050%, 5/1/35(A) | 1,783,228 | |||||||
258,331 | FNMA, Pool #828480, | |||||||
2.605%, 6/1/35(A) | 276,701 | |||||||
1,225,908 | FNMA, Pool #839239, | |||||||
4.956%, 9/1/35(A) | 1,301,167 | |||||||
294,050 | FNMA, Pool #888179, | |||||||
2.771%, 2/1/37(A) | 315,022 | |||||||
175,022 | FNMA, Pool #888548, | |||||||
2.644%, 5/1/35(A) | 185,137 | |||||||
1,652,207 | FNMA, Pool #922674, | |||||||
2.772%, 4/1/36(A) | 1,768,410 | |||||||
343,434 | FNMA, Pool #950385, | |||||||
5.782%, 8/1/37(A) | 367,838 | |||||||
694,669 | FNMA, Pool #995284, 5.500%, 3/1/20 | 757,499 | ||||||
2,927,326 | FNMA, Pool #AA1150, 4.000%, 4/1/23 | 3,125,360 | ||||||
2,601,087 | FNMA, Pool #AE0727, 4.000%, 10/1/20 | 2,773,588 | ||||||
3,099,320 | FNMA, Pool #AL0478, | |||||||
2.609%, 4/1/36(A) | 3,307,113 | |||||||
1,100,708 | GNMA, Pool #80826, | |||||||
2.500%, 2/20/34(A) | 1,147,314 | |||||||
701,199 | GNMA, Pool #80889, | |||||||
1.750%, 4/20/34(A) | 727,383 | |||||||
981,119 | GNMA, Pool #81016, | |||||||
1.625%, 8/20/34(A) | 1,014,076 | |||||||
11,409 | GNMA, Pool #8103, 4.000%, 2/20/16(A) | 12,023 | ||||||
22,989 | GNMA, Pool #8287, | |||||||
4.000%, 11/20/17(A) | 24,139 | |||||||
24,559 | GNMA, Pool #8297, | |||||||
4.000%, 12/20/17(A) | 25,787 | |||||||
44,423 | GNMA, Pool #8333, 4.000%, 3/20/18(A) | 46,815 | ||||||
28,082 | GNMA, Pool #8345, 4.000%, 4/20/18(A) | 29,501 | ||||||
40,036 | GNMA, Pool #8366, 3.000%, 6/20/18(A) | 41,878 | ||||||
16,824 | GNMA, Pool #8405, 4.000%, 9/20/18(A) | 17,612 | ||||||
2,700 | GNMA, Pool #8462, 3.000%, 2/20/19(A) | 2,828 | ||||||
16,854 | GNMA, Pool #8489, 4.000%, 4/20/19(A) | 17,706 | ||||||
Total U.S. Government | ||||||||
Mortgage-Backed Obligations | $ | 70,290,940 | ||||||
Agency Collateralized Mortgage | ||||||||
Obligations — 3.5% | ||||||||
782,505 | FHLMC REMIC, Ser -2571, Class FN, | |||||||
0.899%, 8/15/32(A) | 783,716 | |||||||
144,299 | FHLMC REMIC, Ser -2575, Class LM, | |||||||
4.500%, 5/15/32 | 146,916 | |||||||
339,626 | FHLMC REMIC, Ser -2586, Class WA, | |||||||
4.000%, 12/15/32 | 348,108 | |||||||
539,973 | FHLMC REMIC, Ser -2590, Class UL, | |||||||
3.750%, 3/15/32 | 571,763 | |||||||
539,614 | FHLMC REMIC, Ser -2594, Class YA, | |||||||
4.000%, 4/15/23 | 574,144 | |||||||
14,502 | FHLMC REMIC, Ser -2682, Class HG, | |||||||
4.000%, 4/15/17 | 14,511 | |||||||
1,560,083 | FHLMC REMIC, Ser -2770, Class FH, | |||||||
0.642%, 3/15/34(A) | 1,559,566 | |||||||
411,070 | FHLMC REMIC, Ser -2904, Class CA, | |||||||
5.000%, 4/15/19 | 425,189 | |||||||
815,434 | FHLMC REMIC, Ser -2977, Class NY, | |||||||
5.500%, 5/15/33 | 850,445 | |||||||
440,614 | FHLMC REMIC, Ser -3104, Class BA, | |||||||
5.500%, 6/15/24 | 457,072 | |||||||
7,125 | FHLMC REMIC, Ser -3197, Class AB, | |||||||
5.500%, 8/15/13 | 7,134 | |||||||
678,427 | FNMA REMICS, Ser 2003-119, Class PU, | |||||||
4.000%, 11/25/33 | 703,527 | |||||||
125,848 | FNMA REMICS, Ser 2003-129, Class | |||||||
PW, 4.500%, 7/25/33 | 126,899 | |||||||
214,481 | FNMA REMICS, Ser 2003-19, Class ME, | |||||||
4.000%, 1/25/33 | 222,643 | |||||||
320,020 | FNMA REMICS, Ser 2003-33, Class AM, | |||||||
4.250%, 5/25/33 | 346,194 | |||||||
389,113 | FNMA REMICS, Ser 2003-33, Class AU, | |||||||
4.000%, 3/25/33 | 405,801 | |||||||
1,110,292 | FNMA REMICS, Ser 2003-51, Class PH, | |||||||
5.500%, 10/25/31 | 1,117,272 | |||||||
1,872,513 | FNMA REMICS, Ser 2003-81, Class FE, | |||||||
0.718%, 9/25/33(A) | 1,878,143 | |||||||
742,101 | FNMA REMICS, Ser 2004-96, Class LF, | |||||||
1.244%, 12/25/34(A) | 743,567 | |||||||
200,599 | FNMA REMICS, Ser 2007-9, Class YA, | |||||||
5.500%, 3/25/37 | 203,229 | |||||||
1,306,797 | FNMA REMICS, Ser 2008-35, Class IO, | |||||||
4.500%, 4/25/23 | 86,081 | |||||||
458,165 | FNMA REMICS, Ser 2008-95, Class AD, | |||||||
4.500%, 12/25/23 | 486,429 | |||||||
Total Agency Collateralized | ||||||||
Mortgage Obligations | $ | 12,058,349 | ||||||
Corporate Bonds — 26.2% | ||||||||
Energy — 13.2% | ||||||||
1,700,000 | Enbridge Energy Partners LP, | |||||||
4.750%, 6/1/13 | 1,771,240 | |||||||
796,000 | Energy Transfer Partners LP, | |||||||
6.000%, 7/1/13 | 835,954 | |||||||
2,406,000 | Energy Transfer Partners LP, | |||||||
8.500%, 4/15/14 | 2,718,850 |
58 |
Touchstone Ultra Short Duration Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Corporate Bonds — 26.2% (Continued) | ||||||||
Energy — (Continued) | ||||||||
$ | 3,700,000 | Enterprise Products Operating LLC, | ||||||
5.900%, 4/15/13 | $ | 3,880,064 | ||||||
2,275,000 | Enterprise Products Operating LLC, | |||||||
6.125%, 2/1/13 | 2,362,260 | |||||||
4,300,000 | NuStar Logistics LP, 6.050%, 3/15/13 | 4,465,447 | ||||||
2,200,000 | NuStar Logistics LP, 6.875%, 7/15/12 | 2,225,276 | ||||||
3,600,000 | Petrohawk Energy Corp., | |||||||
7.875%, 6/1/15 | 3,780,000 | |||||||
5,385,000 | Plains All American Pipeline LP / PAA | |||||||
Finance Corp., 4.250%, 9/1/12 | 5,450,385 | |||||||
2,000,000 | Ras Laffan Liquefied Natural Gas Co. | |||||||
Ltd. III, 144a, 5.500%, 9/30/14 | 2,155,000 | |||||||
3,500,000 | Southeast Supply Header LLC, 144a, | |||||||
4.850%, 8/15/14 | 3,704,274 | |||||||
2,370,000 | Spectra Energy Capital LLC, | |||||||
5.900%, 9/15/13 | 2,516,670 | |||||||
5,029,000 | TransContinental Gas Pipe Line Co. | |||||||
LLC, Ser B, 8.875%, 7/15/12 | 5,140,669 | |||||||
257,000 | Valero Energy Corp., 6.875%, 4/15/12 | 257,450 | ||||||
4,900,000 | Weatherford International | |||||||
Ltd/Bermuda, 5.150%, 3/15/13 | 5,055,492 | |||||||
46,319,031 | ||||||||
Utilities — 4.8% | ||||||||
2,075,000 | Allegheny Energy Supply Co. LLC, | |||||||
144a, 8.250%, 4/15/12 | 2,079,057 | |||||||
2,000,000 | Dominion Resources, Inc. VA, | |||||||
5.700%, 9/17/12 | 2,045,396 | |||||||
4,075,000 | Great Plains Energy, Inc., | |||||||
2.750%, 8/15/13 | 4,144,691 | |||||||
1,200,000 | Hawaiian Electric Industries, Inc., | |||||||
6.510%, 5/5/14 | 1,309,333 | |||||||
1,815,000 | KCP&L Greater Missouri Operations | |||||||
Co., 11.875%, 7/1/12 | 1,861,970 | |||||||
3,400,000 | Monongahela Power Co., Inc., 144a, | |||||||
7.950%, 12/15/13 | 3,773,459 | |||||||
1,200,000 | National Fuel Gas Co., 5.250%, 3/1/13 | 1,242,804 | ||||||
378,000 | Oncor Electric Delivery Co. LLC, | |||||||
6.375%, 5/1/12 | 379,448 | |||||||
16,836,158 | ||||||||
Financials — 3.5% | ||||||||
200,000 | American Honda Finance Corp., 144a, | |||||||
2.375%, 3/18/13 | 203,462 | |||||||
4,090,000 | Duke Realty LP, 6.250%, 5/15/13 | 4,289,817 | ||||||
2,350,000 | ERP Operating LP, 5.500%, 10/1/12 | 2,402,428 | ||||||
600,000 | Jackson National Life Global Funding, | |||||||
144a, 5.375%, 5/8/13 | 626,288 | |||||||
3,100,000 | Liberty Property LP, 6.375%, 8/15/12 | 3,153,838 | ||||||
1,100,000 | Nationwide Health Properties, Inc., | |||||||
6.250%, 2/1/13 | 1,138,919 | |||||||
325,000 | Royal Bank of Canada MTN, | |||||||
2.100%, 7/29/13 | 331,534 | |||||||
12,146,286 | ||||||||
Materials — 1.8% | ||||||||
3,000,000 | Bemis Co., Inc., 5.650%, 8/1/14 | 3,284,949 | ||||||
2,750,000 | Teck Resources Ltd., 10.250%, 5/15/16 | 3,149,025 | ||||||
6,433,974 | ||||||||
Consumer Discretionary — 1.7% | ||||||||
2,550,000 | DIRECTV Holdings LLC / DIRECTV | |||||||
Financing Co., Inc., 7.625%, 5/15/16 | 2,671,125 | |||||||
350,000 | Marriott International, Inc. DE, | |||||||
4.625%, 6/15/12 | 352,109 | |||||||
3,100,000 | Time Warner Entertainment Co. LP, | |||||||
10.150%, 5/1/12 | 3,121,700 | |||||||
6,144,934 | ||||||||
Industrials — 1.1% | ||||||||
2,900,000 | Allied Waste North America, Inc., | |||||||
6.875%, 6/1/17 | 3,026,875 | |||||||
750,000 | Crane Co., 5.500%, 9/15/13 | 793,028 | ||||||
3,819,903 | ||||||||
Consumer Staples — 0.1% | ||||||||
400,000 | Kroger Co. (The), 6.200%, 6/15/12 | 404,251 | ||||||
Total Corporate Bonds | $ | 92,104,537 | ||||||
Asset-Backed Securities — 14.0% | ||||||||
704,717 | American Credit Acceptance | |||||||
Receivables Trust, Ser 2012-1, Class | ||||||||
A1, 144a, 1.960%, 1/15/14 | 704,685 | |||||||
3,621,837 | AmeriCredit Automobile Receivables | |||||||
Trust, Ser 2007-CM, Class A4B, | ||||||||
0.343%, 4/7/14(A) | 3,621,578 | |||||||
2,500,000 | AmeriCredit Automobile Receivables | |||||||
Trust, Ser 2009-1, Class B, | ||||||||
9.790%, 4/15/14 | 2,664,740 | |||||||
3,505,000 | AmeriCredit Automobile Receivables | |||||||
Trust, Ser 2010-1, Class B, | ||||||||
3.720%, 11/17/14 | 3,569,241 | |||||||
614,905 | Americredit Prime Automobile | |||||||
Receivable, Ser 2007-2M, Class A4A, | ||||||||
5.350%, 3/8/16 | 619,379 | |||||||
297,064 | Bank of America Auto Trust, Ser | |||||||
2010-1A, Class A3, 144a, | ||||||||
1.390%, 3/15/14 | 297,727 | |||||||
3,700,000 | Capital Auto Receivables Asset Trust, | |||||||
Ser 2007-2, Class C, 144a, | ||||||||
6.510%, 2/18/14 | 3,739,398 | |||||||
2,520,000 | Capital Auto Receivables Asset Trust, | |||||||
Ser 2008-A, Class B, 144a, | ||||||||
6.890%, 1/15/15 | 2,641,062 | |||||||
404,063 | Chrysler Financial Auto Securitization | |||||||
Trust, Ser 2009-A, Class A3, | ||||||||
2.820%, 1/15/16 | 406,158 | |||||||
1,273,588 | Citigroup Mortgage Loan Trust, Inc., | |||||||
Ser 2005-WF1, Class A3, | ||||||||
5.000%, 11/25/34(A) | 1,287,737 | |||||||
1,592,125 | CPS Auto Trust, Ser 2010-A, Class A, | |||||||
144a, 2.890%, 3/15/16 | 1,594,128 |
59 |
Touchstone Ultra Short Duration Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
Asset-Backed Securities — 14.0% (Continued) | ||||||||
$ | 1,066,677 | DT Auto Owner Trust, Ser 2009-1, | ||||||
Class A1, 144a, 2.980%, 10/15/15 | $ | 1,070,268 | ||||||
2,756,510 | Ford Credit Auto Owner Trust, Ser | |||||||
2009-A, Class A4, 6.070%, 5/15/14 | 2,826,850 | |||||||
1,082,587 | Great America Leasing Receivables, | |||||||
Ser 2009-1, Class A3, 144a, | ||||||||
2.540%, 3/15/13 | 1,085,792 | |||||||
882,000 | Harley-Davidson Motorcycle Trust, Ser | |||||||
2007-3, Class B, 6.040%, 8/15/14 | 887,099 | |||||||
203,590 | Harley-Davidson Motorcycle Trust, Ser | |||||||
2009-3, Class A3, 1.740%, 9/15/13 | 203,812 | |||||||
1,726,697 | LAI Vehicle Lease Securitization Trust, | |||||||
Ser 2010-A, Class A, 144a, | ||||||||
2.550%, 9/15/16 | 1,725,301 | |||||||
2,195,008 | Merrill Auto Trust Securitization, Ser | |||||||
2008-1, Class B, 6.750%, 4/15/15 | 2,209,770 | |||||||
186,292 | Popular ABS Mortgage Pass-Through | |||||||
Trust, Ser 2006-E, Class A1, | ||||||||
0.366%, 1/25/37(A) | 185,608 | |||||||
1,534,553 | Residential Asset Mortgage Products, | |||||||
Inc., Ser 2003-RZ3, Class A6, | ||||||||
3.900%, 3/25/33 | 1,512,417 | |||||||
2,710,375 | Santander Consumer Acquired | |||||||
Receivables Trust, Ser 2011-S1A, | ||||||||
Class B, 144a, 1.660%, 8/15/16 | 2,687,848 | |||||||
905,436 | Santander Consumer Acquired | |||||||
Receivables Trust, Ser 2011-WO, | ||||||||
Class A2, 144a, 0.910%, 11/15/13 | 905,514 | |||||||
83,632 | Santander Drive Auto Receivables | |||||||
Trust, Ser 2010-1, Class A2, | ||||||||
1.360%, 3/15/13 | 83,652 | |||||||
3,250,000 | Santander Drive Auto Receivables | |||||||
Trust, Ser 2010-2, Class B, | ||||||||
2.240%, 12/15/14 | 3,262,472 | |||||||
3,340,000 | Santander Drive Auto Receivables | |||||||
Trust, Ser 2010-B, Class A3, 144a, | ||||||||
1.310%, 2/17/14 | 3,344,108 | |||||||
2,237,774 | Santander Drive Auto Receivables | |||||||
Trust, Ser 2011-2, Class A2, | ||||||||
1.040%, 4/15/14 | 2,239,865 | |||||||
2,851,533 | Santander Drive Auto Receivables | |||||||
Trust, Ser 2011-S1A, Class B, 144a, | ||||||||
1.480%, 5/15/17 | 2,844,710 | |||||||
191,154 | Structured Asset Investment Loan | |||||||
Trust, Ser 2005-1, Class A5, 144a, | ||||||||
0.594%, 2/25/35(A) | 189,577 | |||||||
460,202 | Vanderbilt Mortgage Finance, Ser | |||||||
2001-C, Class A4, 5.960%, 1/7/27 | 478,728 | |||||||
172,755 | Wells Fargo Home Equity Trust, Ser | |||||||
2006-1, Class A3, 0.392%, 5/25/36(A) | 169,313 | |||||||
Total Asset-Backed Securities | $ | 49,058,537 | ||||||
Non-Agency Collateralized Mortgage Obligations — 2.2% | ||||||||
772,976 | American Home Mortgage | |||||||
Investment Trust, Ser 2005-2, Class | ||||||||
5A3, 5.077%, 9/25/35 | 785,822 | |||||||
59,871 | Cendant Mortgage Corp., Ser 2003-7P, | |||||||
Class A2, 144a, 4.825%, 6/25/17(A) | 59,784 | |||||||
213,880 | CitiCorp Mortgage Securities, Inc., Ser | |||||||
2003-10, Class A2, 4.500%, 11/25/18 | 214,665 | |||||||
95,014 | CitiCorp Mortgage Securities, Inc., Ser | |||||||
2005-1, Class 1A10, 5.750%, 2/25/35 | 94,821 | |||||||
131,370 | Countrywide Home Loan Mortgage | |||||||
Pass Through Trust, Ser 2003-34, | ||||||||
Class A5, 4.500%, 9/25/33 | 131,460 | |||||||
108,122 | Countrywide Home Loan Mortgage | |||||||
Pass Through Trust, Ser 2003-J4, | ||||||||
Class 1A2, 4.750%, 6/25/33 | 108,491 | |||||||
223,299 | Credit Suisse First Boston Mortgage | |||||||
Securities Corp., Ser 2004-4, Class | ||||||||
3A9, 5.250%, 8/25/34 | 224,139 | |||||||
824,803 | JP Morgan Mortgage Trust, Ser | |||||||
2005-A3, Class 11A1, | ||||||||
4.460%, 6/25/35(A) | 835,599 | |||||||
69,363 | PHH Mortgage Capital LLC, Ser | |||||||
2006-2, Class A2, 5.981%, 7/18/36(A) | 69,202 | |||||||
602,959 | Residential Accredit Loans, Inc., Ser | |||||||
2003-QS10, Class A7, | ||||||||
5.500%, 5/25/33 | 623,054 | |||||||
1,485,709 | Residential Asset Securitization Trust, | |||||||
Ser 2003-A8, Class A1, | ||||||||
3.750%, 10/25/18 | 1,507,555 | |||||||
222,077 | Residential Funding Mortgage | |||||||
Securities I, Ser 2004-S9, Class 1A6, | ||||||||
5.500%, 12/25/34 | 222,521 | |||||||
253,382 | Wells Fargo Mortgage Backed | |||||||
Securities Trust, Ser 2003-11, Class | ||||||||
1A11, 4.750%, 10/25/18 | 252,899 | |||||||
494,994 | Wells Fargo Mortgage Backed | |||||||
Securities Trust, Ser 2003-13, Class | ||||||||
A5, 4.500%, 11/25/18 | 498,517 | |||||||
2,031,879 | Wells Fargo Mortgage Backed | |||||||
Securities Trust, Ser 2003-M, Class | ||||||||
A1, 4.694%, 12/25/33(A) | 2,065,798 | |||||||
Total Non-Agency Collateralized | ||||||||
Mortgage Obligations | $ | 7,694,327 | ||||||
Municipal Bonds — 1.5% | ||||||||
New Mexico — 0.4% | ||||||||
1,300,000 | NM Edl Asst Foundation Rev (Gtd St | |||||||
Lns), 1.219%, 12/1/28(A) | 1,298,895 | |||||||
Ohio — 0.5% | ||||||||
1,750,000 | Medina Co OH IDR (Mack Inds), (LOC: | |||||||
JP Morgan Chase Bank), 0.350%, | ||||||||
7/1/16(A) | 1,750,000 | |||||||
Texas — 0.6% | ||||||||
2,250,000 | North Texas Tollway Auth Rev, 2.441%, | |||||||
9/1/13 | 2,303,032 | |||||||
Total Municipal Bonds | $ | 5,351,927 |
60 |
Touchstone Ultra Short Duration Fixed Income Fund (Continued)
Principal | Market | |||||||
Amount | Value | |||||||
U.S. Government Agency Obligation — 1.0% | ||||||||
$ | 3,500,000 | Overseas Private Investment Corp., | ||||||
0.120%, 4/9/12(A) | $ | 3,500,000 | ||||||
Shares | ||||||||
Investment Fund — 13.4% | ||||||||
47,074,227 | Touchstone Institutional Money | |||||||
Market Fund^ | $ | 47,074,227 | ||||||
Total Investment Securities —101.5% | ||||||||
(Cost $355,744,536) | $ | 356,370,782 | ||||||
Liabilities in Excess of | ||||||||
Other Assets — (1.5%) | (5,179,676 | ) | ||||||
Net Assets — 100.0% | $ | 351,191,106 |
(A) | Variable rate security - the rate reflected is the rate in effect as of March 31, 2012. |
^ | Affiliated Fund, sub-advised by Fort Washington Investment Advisors, Inc. |
Portfolio Abbreviations:
FHLMC - Federal Home Loan Mortgage Corporation
FNMA - Federal National Mortgage Association
GNMA - Government National Mortgage Association
IDR - Industrial Development Revenue
MTN -Medium Term Note
REMIC - Real Estate Mortgage Investment Conduit
144A - This is a restricted security that was sold in a transaction exempt from Rule 144A of the Securities Act of 1933. This security may be sold in transactions exempt from registration, normally to qualified institutional buyers. At March 31, 2012, these securities were valued at $38,841,730 or 11.06% of net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Trustees.
Other Information:
The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the table below, please refer to the security valuation section in the accompanying Notes to Financial Statements.
Valuation inputs at Reporting Date: | ||||||||||||||||
Description | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Commercial Mortgage-Backed Securities | $ | — | $ | 69,237,938 | $ | — | $ | 69,237,938 | ||||||||
U.S. Government Mortgage-Backed Obligations | — | 70,290,940 | — | 70,290,940 | ||||||||||||
Agency Collateralized Mortgage Obligations | — | 12,058,349 | — | 12,058,349 | ||||||||||||
Corporate Bonds | — | 92,104,537 | — | 92,104,537 | ||||||||||||
Asset-Backed Securities | — | 49,058,537 | — | 49,058,537 | ||||||||||||
Non-Agency Collateralized Mortgage Obligations | — | 7,694,327 | — | 7,694,327 | ||||||||||||
Municipal Bonds | — | 5,351,927 | — | 5,351,927 | ||||||||||||
U.S. Government Agency Obligation | — | 3,500,000 | — | 3,500,000 | ||||||||||||
Investment Fund | 47,074,227 | — | — | 47,074,227 | ||||||||||||
$ | 356,370,782 |
See accompanying Notes to Financial Statements.
61 |
Statements of Assets and Liabilities
March 31, 2012 (Unaudited)
Touchstone | Touchstone | |||||||||||||||
Emerging | Emerging | Touchstone | Touchstone | |||||||||||||
Markets | Markets | Focused | Global | |||||||||||||
Equity | Equity | Equity | Equity | |||||||||||||
Fund | Fund II | Fund | Fund | |||||||||||||
Assets | ||||||||||||||||
Investments, at cost | $ | 642,426,939 | $ | 31,571,322 | $ | 117,567,321 | $ | 4,420,350 | ||||||||
Affiliated securities, at market value | $ | 20,046,888 | $ | 2,630,055 | $ | 6,672,127 | $ | 233,857 | ||||||||
Non-affiliated securities, at market value | 634,527,329 | 28,525,886 | 104,992,628 | 4,388,168 | ||||||||||||
Investments, at value (A) | $ | 654,574,217 | $ | 31,155,941 | $ | 111,664,755 | $ | 4,622,025 | ||||||||
Cash | — | — | 79,560 | — | ||||||||||||
Foreign Currency (B) | 1,246,153 | 447,229 | — | 469 | ||||||||||||
Cash collateral for securities sold short | — | — | — | — | ||||||||||||
Unrealized appreciation on forward foreign currency contracts | — | — | — | — | ||||||||||||
Dividends and interest receivable | 1,365,812 | 31,736 | 47,418 | 11,769 | ||||||||||||
Receivable for capital shares sold | 873,679 | 309,408 | 188,954 | 25,000 | ||||||||||||
Receivable for investments sold | 436,023 | 12,384 | 766,591 | 60,472 | ||||||||||||
Securities lending income receivable | 17,289 | — | 4,557 | — | ||||||||||||
Receivable from other affiliates | — | 4,759 | — | 2,932 | ||||||||||||
Receivable from Investment Advisor | — | — | — | 2,676 | ||||||||||||
Tax reclaim receivable | 2,695 | — | — | 3,192 | ||||||||||||
Other assets | 74,169 | 14,304 | 85,414 | 6,402 | ||||||||||||
Total Assets | 658,590,037 | 31,975,761 | 112,837,249 | 4,734,937 | ||||||||||||
Liabilities | ||||||||||||||||
Short positions (C) | — | — | — | — | ||||||||||||
Dividends for securities sold short payable | — | — | — | — | ||||||||||||
Dividends payable | — | — | 7 | — | ||||||||||||
Unrealized depreciation on forward foreign currency contracts | — | — | — | — | ||||||||||||
Payable for return of collateral for securities on loan | 14,355,833 | — | 6,746,176 | 60,000 | ||||||||||||
Payable for capital shares redeemed | 666,213 | — | 143,509 | 29 | ||||||||||||
Payable for investments purchased | 6,955,380 | 2,193,395 | 799,482 | — | ||||||||||||
Payable for foreign capital gains tax | 763,279 | 9,932 | — | — | ||||||||||||
Payable to Investment Advisor | 565,844 | 15,438 | 126,480 | — | ||||||||||||
Payable to other affiliates | 100,178 | — | — | — | ||||||||||||
Payable to Trustees | 2,148 | 2,142 | 2,116 | 2,108 | ||||||||||||
Payable for professional services | 20,066 | 15,864 | 8,443 | 13,358 | ||||||||||||
Other accrued expenses and liabilities | 108,253 | 9,864 | 179,008 | 16,504 | ||||||||||||
Total Liabilities | 23,537,194 | 2,246,635 | 8,005,221 | 91,999 | ||||||||||||
Net Assets | $ | 635,052,843 | $ | 29,729,126 | $ | 104,832,028 | $ | 4,642,938 | ||||||||
Net assets consist of: | ||||||||||||||||
Paid-in capital | $ | 623,263,018 | $ | 30,218,960 | $ | 116,091,609 | $ | 4,383,140 | ||||||||
Accumulated net investment income (loss) | 115,498 | 708 | 10,428 | 45,019 | ||||||||||||
Accumulated net realized gains (losses) on investments, foreign currency and short positions | (446,088 | ) | (82,791 | ) | (5,367,443 | ) | 9,220 | |||||||||
Net unrealized appreciation (depreciation) on investments, foreign currency transactions and short positions | 12,120,415 | (407,751 | ) | (5,902,566 | ) | 205,559 | ||||||||||
Net Assets | $ | 635,052,843 | $ | 29,729,126 | $ | 104,832,028 | $ | 4,642,938 | ||||||||
(A) Includes market value of securities on loan of: | $ | 13,874,041 | $ | — | $ | 6,519,472 | $ | 59,041 | ||||||||
(B) Cost of foreign currency: | $ | 1,243,928 | $ | 447,232 | $ | — | $ | 440 | ||||||||
(C) Proceeds received for short sales: | $ | — | $ | — | $ | — | $ | — |
See accompanying Notes to Financial Statements.
62 |
Statements of Assets and Liabilities (Continued)
Touchstone | Touchstone | Touchstone | Touchstone | Touchstone | Touchstone | |||||||||||||||||
Global | Intermediate | International | Large Cap | Market | Merger | |||||||||||||||||
Real Estate | Fixed Income | Fixed Income | Relative Value | Neutral Equity | Arbitrage | |||||||||||||||||
Fund | Fund | Fund | Fund | Fund | Fund | |||||||||||||||||
$ | 4,065,214 | $ | 84,274,309 | $ | 12,361,967 | $ | 7,334,515 | $ | 38,827,043 | $ | 136,746,767 | |||||||||||
$ | 84,914 | $ | 1,619,002 | $ | 564,855 | $ | 22,116 | $ | 1,739,068 | $ | 14,666,011 | |||||||||||
4,170,381 | 86,559,211 | 11,787,345 | 8,153,788 | 43,263,984 | 124,449,546 | |||||||||||||||||
$ | 4,255,295 | $ | 88,178,213 | $ | 12,352,200 | $ | 8,175,904 | $ | 45,003,052 | $ | 139,115,557 | |||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | — | 35,955 | — | — | — | |||||||||||||||||
— | — | — | — | 44,861,858 | 20,843,616 | |||||||||||||||||
— | — | 183,314 | — | — | — | |||||||||||||||||
11,609 | 771,264 | 135,775 | 10,418 | 36,128 | 139,717 | |||||||||||||||||
157 | 184 | — | 4,708 | 24,173 | 9,145,692 | |||||||||||||||||
113,762 | 2,779,411 | — | 26,064 | — | 1,715,662 | |||||||||||||||||
8 | — | — | — | — | — | |||||||||||||||||
3,811 | — | 8,933 | 5,329 | 36,525 | ||||||||||||||||||
1,821 | — | — | — | — | — | |||||||||||||||||
662 | — | 3,291 | — | — | — | |||||||||||||||||
993 | 5,977 | 18,514 | 5,547 | 11,760 | 24,484 | |||||||||||||||||
4,388,118 | 91,735,049 | 12,737,982 | 8,227,970 | 89,973,496 | 170,984,728 | |||||||||||||||||
— | — | — | — | 42,873,882 | 21,261,668 | |||||||||||||||||
— | — | — | — | 55,950 | 52,499 | |||||||||||||||||
— | 217,122 | — | — | — | — | |||||||||||||||||
— | — | 288,359 | — | — | 1,093 | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | 935,900 | 15,016 | 3,980 | 188,397 | 140,223 | |||||||||||||||||
93,799 | 2,364,696 | — | — | — | 9,152,929 | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | 19,318 | 9,167 | 6,205 | 97,539 | 118,799 | |||||||||||||||||
— | 4,807 | — | — | — | 23,477 | |||||||||||||||||
2,108 | 2,116 | 2,109 | 2,108 | 2,111 | 1,120 | |||||||||||||||||
14,192 | 10,860 | 12,808 | 8,846 | 11,154 | 7,195 | |||||||||||||||||
3,866 | 13,593 | 19,726 | 8,306 | 29,635 | 5,048 | |||||||||||||||||
113,965 | 3,568,412 | 347,185 | 29,445 | 43,258,668 | 30,764,051 | |||||||||||||||||
$ | 4,274,153 | $ | 88,166,637 | $ | 12,390,797 | $ | 8,198,525 | $ | 46,714,828 | $ | 140,220,677 | |||||||||||
$ | 4,062,824 | $ | 83,048,357 | $ | 12,410,242 | $ | 7,350,741 | $ | 46,579,133 | $ | 138,139,209 | |||||||||||
8,521 | (39,530 | ) | (285,985 | ) | 48 | (453,279 | ) | (342,847 | ) | |||||||||||||
12,702 | 1,253,906 | 381,078 | 6,347 | (1,607,448 | ) | 1,025,465 | ||||||||||||||||
190,106 | 3,903,904 | (114,538 | ) | 841,389 | 2,196,422 | 1,398,850 | ||||||||||||||||
$ | 4,274,153 | $ | 88,166,637 | $ | 12,390,797 | $ | 8,198,525 | $ | 46,714,828 | $ | 140,220,677 | |||||||||||
$ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||
$ | — | $ | — | $ | 35,698 | $ | — | $ | — | $ | — | |||||||||||
$ | — | $ | — | $ | — | $ | — | $ | 38,894,293 | $ | 20,292,821 |
63 |
Statements of Assets and Liabilities (Continued)
Touchstone | Touchstone | |||||||||||||||
Emerging | Emerging | Touchstone | Touchstone | |||||||||||||
Markets | Markets | Focused | Global | |||||||||||||
Equity | Equity | Equity | Equity | |||||||||||||
Fund | Fund II | Fund | Fund | |||||||||||||
Pricing of Class A Shares | ||||||||||||||||
Net assets applicable to Class A shares | $ | 36,865,046 | $ | 2,800,699 | $ | 91,996,897 | $ | 708,910 | ||||||||
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 2,953,484 | 304,614 | 8,014,471 | 69,434 | ||||||||||||
Net asset value price per share* | $ | 12.48 | $ | 9.19 | $ | 11.48 | $ | 10.21 | ||||||||
Maximum offering price per share | $ | 13.24 | $ | 9.75 | $ | 12.18 | $ | 10.83 | ||||||||
Pricing of Class C Shares | ||||||||||||||||
Net assets applicable to Class C shares | $ | 5,673,624 | $ | 102,606 | $ | 295,563 | $ | 113,495 | ||||||||
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 459,808 | 11,267 | 26,012 | 11,195 | ||||||||||||
Net asset value, offering price per share** | $ | 12.34 | $ | 9.11 | $ | 11.36 | $ | 10.14 | ||||||||
Pricing of Class Y Shares | ||||||||||||||||
Net assets applicable to Class Y shares | $ | 208,645,759 | $ | 7,308,768 | $ | 7,505,466 | $ | 226,495 | ||||||||
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 16,647,740 | 797,005 | 648,478 | 22,020 | ||||||||||||
Net asset value, offering price and redemption price per share | $ | 12.53 | $ | 9.17 | $ | 11.57 | $ | 10.29 | ||||||||
Pricing of Institutional Class Shares | ||||||||||||||||
Net assets applicable to Institutional Class Shares | $ | 383,868,414 | $ | 19,517,053 | $ | 5,034,102 | $ | 3,594,038 | ||||||||
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 30,583,234 | 2,114,820 | 451,135 | 350,124 | ||||||||||||
Net asset value, offering price and redemption price per share | $ | 12.55 | $ | 9.23 | $ | 11.16 | $ | 10.27 |
* Purchased of $1 million or more are subject to a contingent deferred sales load.
** Redemption price per share varies by length of time shares are held.
See accompanying Notes to Financial Statements.
64 |
Statements of Assets and Liabilities (Continued)
Touchstone | Touchstone | Touchstone | Touchstone | Touchstone | Touchstone | |||||||||||||||||
Global | Intermediate | International | Large Cap | Market | Merger | |||||||||||||||||
Real Estate | Fixed Income | Fixed Income | Relative Value | Neutral Equity | Arbitrage | |||||||||||||||||
Fund | Fund | Fund | Fund | Fund | Fund | |||||||||||||||||
$ | 365,552 | $ | — | $ | 2,858,613 | $ | 906,555 | $ | 5,324,382 | $ | 68,172,432 | |||||||||||
32,702 | — | 276,216 | 71,867 | 549,772 | 6,479,358 | |||||||||||||||||
$ | 11.18 | $ | — | $ | 10.35 | $ | 12.61 | $ | 9.68 | $ | 10.52 | |||||||||||
$ | 11.86 | $ | — | $ | 10.87 | $ | 13.38 | $ | 10.27 | $ | 11.16 | |||||||||||
$ | 140,120 | $ | — | $ | 422,997 | $ | 328,475 | $ | 167,544 | $ | 11,267,272 | |||||||||||
12,502 | — | 40,923 | 26,254 | 17,610 | 1,077,387 | |||||||||||||||||
$ | 11.21 | $ | — | $ | 10.34 | $ | 12.51 | $ | 9.51 | $ | 10.46 | |||||||||||
$ | 140,538 | $ | — | $ | 636,236 | $ | 3,073,101 | $ | 41,222,902 | $ | 46,686,871 | |||||||||||
12,451 | — | 61,573 | 244,749 | 4,224,685 | 4,432,015 | |||||||||||||||||
$ | 11.29 | $ | — | $ | 10.33 | $ | 12.56 | $ | 9.76 | $ | 10.53 | |||||||||||
$ | 3,627,943 | $ | 88,166,637 | $ | 8,472,951 | $ | 3,890,394 | $ | — | $ | 14,094,102 | |||||||||||
318,414 | 9,690,701 | 819,480 | 309,790 | — | 1,337,128 | |||||||||||||||||
$ | 11.39 | $ | 9.10 | $ | 10.34 | $ | 12.56 | $ | — | $ | 10.54 |
65 |
Statements of Assets and Liabilities (Continued)
Touchstone | Touchstone | Touchstone | Touchstone | |||||||||||||
Mid | Mid Cap | Premium | Sands Capital | |||||||||||||
Cap | Value | Yield Equity | Select Growth | |||||||||||||
Fund | Fund | Fund | Fund | |||||||||||||
Assets | ||||||||||||||||
Investments, at cost | $ | 60,360,691 | $ | 66,573,319 | $ | 74,986,984 | $ | 1,911,035,177 | ||||||||
Affiliated securities, at market value | $ | 494,407 | $ | 1,339,232 | $ | 4,524,706 | $ | 51,563,780 | ||||||||
Non-affiliated securities, at market value | 67,532,351 | 70,897,518 | 80,687,875 | 2,520,204,069 | ||||||||||||
Investments, at value (A) | $ | 68,026,758 | $ | 72,236,750 | $ | 85,212,581 | $ | 2,571,767,849 | ||||||||
Cash | 41 | 135 | — | — | ||||||||||||
Dividends and interest receivable | 112,433 | 134,557 | 162,287 | 590,500 | ||||||||||||
Receivable for capital shares sold | — | 75,029 | 1,068,159 | 32,265,897 | ||||||||||||
Receivable for investments sold | 1,027,190 | 675,793 | — | 10,125,936 | ||||||||||||
Securities lending income receivable | 1,983 | 556 | — | 10,915 | ||||||||||||
Receivable from other affiliates | 50,887 | 47,240 | — | — | ||||||||||||
Tax reclaim receivable | — | — | 4,366 | — | ||||||||||||
Other assets | 15,159 | 18,939 | 20,391 | 161,707 | ||||||||||||
Total Assets | 69,234,451 | 73,188,999 | 86,467,784 | 2,614,922,804 | ||||||||||||
Liabilities | ||||||||||||||||
Dividends payable | — | 110 | 452 | — | ||||||||||||
Payable for return of collateral for securities on loan | 1,045,795 | 2,680,102 | — | 58,586,119 | ||||||||||||
Payable for capital shares redeemed | 593,441 | 5,079 | 180,492 | 5,643,303 | ||||||||||||
Payable for investments purchased | — | 829,918 | 1,609,378 | 28,674,485 | ||||||||||||
Payable to Investment Advisor | 96,857 | 93,883 | 44,190 | 1,627,944 | ||||||||||||
Payable to other affiliates | — | — | 28,819 | 1,088,986 | ||||||||||||
Payable to Trustees | 2,115 | 2,112 | 2,110 | 2,239 | ||||||||||||
Payable for professional services | 15,432 | 10,608 | 9,673 | 7,937 | ||||||||||||
Other accrued expenses and liabilities | 10,088 | 1,689 | 9,705 | 86,629 | ||||||||||||
Total Liabilities | 1,763,728 | 3,623,501 | 1,884,819 | 95,717,642 | ||||||||||||
Net Assets | $ | 67,470,723 | $ | 69,565,498 | $ | 84,582,965 | $ | 2,519,205,162 | ||||||||
Net assets consist of: | ||||||||||||||||
Paid-in capital | $ | 215,654,307 | $ | 64,187,581 | $ | 80,447,001 | $ | 1,960,415,790 | ||||||||
Accumulated net investment income (loss) | 238,804 | 10,785 | 91,244 | (6,233,939 | ) | |||||||||||
Accumulated net realized losses on investments, foreign | ||||||||||||||||
currency and short positions | (156,088,455 | ) | (296,299 | ) | (6,180,877 | ) | (95,709,361 | ) | ||||||||
Net unrealized appreciation on investments, foreign currency | ||||||||||||||||
transactions and short positions | 7,666,067 | 5,663,431 | 10,225,597 | 660,732,672 | ||||||||||||
Net Assets | $ | 67,470,723 | $ | 69,565,498 | $ | 84,582,965 | $ | 2,519,205,162 | ||||||||
(A) Includes market value of securities on loan of: | $ | 1,030,029 | $ | 2,658,587 | $ | — | $ | 57,541,084 |
See accompanying Notes to Financial Statements.
66 |
Statements of Assets and Liabilities (Continued)
Touchstone | Touchstone | Touchstone | Touchstone | |||||||||||||||
Short Duration | Small | Small | Touchstone | Ultra Short | ||||||||||||||
Fixed Income | Cap Core | Cap Value | Total Return | Duration Fixed | ||||||||||||||
Fund | Fund | Fund | Bond Fund | Income Fund | ||||||||||||||
$ | 46,941,187 | $ | 300,544,051 | $ | 33,805,442 | $ | 63,302,423 | $ | 355,744,536 | |||||||||
$ | 313,577 | $ | 8,838,461 | $ | 1,203,896 | $ | 1,341,808 | $ | 47,074,227 | |||||||||
47,214,086 | 345,872,465 | 35,351,385 | 63,496,310 | 309,296,555 | ||||||||||||||
$ | 47,527,663 | $ | 354,710,926 | $ | 36,555,281 | $ | 64,838,118 | $ | 356,370,782 | |||||||||
— | — | — | — | 9 | ||||||||||||||
281,788 | 493,592 | 45,784 | 507,860 | 2,239,401 | ||||||||||||||
98,559 | 6,877,875 | 62,018 | 130,181 | 2,445,985 | ||||||||||||||
— | — | 262,373 | 224 | 3,915,122 | ||||||||||||||
— | 10,018 | 2,513 | — | — | ||||||||||||||
— | 85,530 | 21,937 | 30,684 | — | ||||||||||||||
— | — | — | — | — | ||||||||||||||
12,795 | 46,551 | 24,865 | 25,112 | 37,907 | ||||||||||||||
47,920,805 | 362,224,492 | 36,974,771 | 65,532,179 | 365,009,206 | ||||||||||||||
4,407 | — | — | — | 86,148 | ||||||||||||||
— | 22,354,628 | 1,586,167 | — | — | ||||||||||||||
140,125 | 286,190 | 33,422 | 4,112 | 1,307,346 | ||||||||||||||
235 | 5,804,088 | 180,712 | 1,043,714 | 12,052,145 | ||||||||||||||
18,459 | 350,397 | 51,691 | 50,057 | 97,498 | ||||||||||||||
12,463 | — | — | — | 225,158 | ||||||||||||||
2,111 | 2,121 | 2,111 | 3,781 | 2,141 | ||||||||||||||
12,598 | 6,923 | 11,358 | 938 | 7,738 | ||||||||||||||
29,222 | 63,997 | 20,196 | 12,208 | 39,926 | ||||||||||||||
219,620 | 28,868,344 | 1,885,657 | 1,114,810 | 13,818,100 | ||||||||||||||
$ | 47,701,185 | $ | 333,356,148 | $ | 35,089,114 | $ | 64,417,369 | $ | 351,191,106 | |||||||||
$ | 52,783,651 | $ | 280,580,322 | $ | 62,663,285 | $ | 65,943,352 | $ | 367,860,479 | |||||||||
(49,454 | ) | 251,130 | 47,682 | 210,360 | (1,259,074 | ) | ||||||||||||
(5,619,488 | ) | (1,642,179 | ) | (30,371,692 | ) | (3,272,038 | ) | (16,036,545 | ) | |||||||||
586,476 | 54,166,875 | 2,749,839 | 1,535,695 | 626,246 | ||||||||||||||
$ | 47,701,185 | $ | 333,356,148 | $ | 35,089,114 | $ | 64,417,369 | $ | 351,191,106 | |||||||||
$ | — | $ | 21,723,708 | $ | 1,562,351 | $ | — | $ | — |
67 |
Statements of Assets and Liabilities (Continued)
Touchstone | Touchstone | Touchstone | Touchstone | |||||||||||||
Mid | Mid Cap | Premium | Sands Capital | |||||||||||||
Cap | Value | Yield Equity | Select Growth | |||||||||||||
Fund | Fund | Fund | Fund | |||||||||||||
Pricing of Class A Shares | ||||||||||||||||
Net assets applicable to Class A shares | $ | 678,372 | $ | 3,468,996 | $ | 47,409,341 | $ | 76,965,867 | ||||||||
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 42,114 | 269,172 | 5,942,576 | 6,104,518 | ||||||||||||
Net asset value price per share* | $ | 16.11 | $ | 12.89 | $ | 7.98 | $ | 12.61 | ||||||||
Maximum offering price per share | $ | 17.09 | $ | 13.68 | $ | 8.47 | $ | 13.38 | ||||||||
Pricing of Class C Shares | ||||||||||||||||
Net assets applicable to Class C shares | $ | 550,066 | $ | 269,048 | $ | 13,503,392 | $ | 33,925,192 | ||||||||
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 34,743 | 20,970 | 1,694,908 | 2,719,230 | ||||||||||||
Net asset value, offering price per share** | $ | 15.83 | $ | 12.83 | $ | 7.97 | $ | 12.48 | ||||||||
Pricing of Class Y Shares | ||||||||||||||||
Net assets applicable to Class Y shares | $ | 65,820,228 | $ | 12,801,244 | $ | 23,670,232 | $ | 948,982,349 | ||||||||
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 4,079,740 | 989,932 | 2,972,046 | 73,889,231 | ||||||||||||
Net asset value, offering price and redemption price per share | $ | 16.13 | $ | 12.93 | $ | 7.96 | $ | 12.84 | ||||||||
Pricing of Class Z Shares | ||||||||||||||||
Net assets applicable to Class Z shares | $ | 419,431 | $ | — | $ | — | $ | 1,459,331,754 | ||||||||
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 26,196 | — | — | 115,760,311 | ||||||||||||
Net asset value, offering price and redemption price per share | $ | 16.01 | $ | — | $ | — | $ | 12.61 | ||||||||
Pricing of Institutional Class Shares | ||||||||||||||||
Net assets applicable to Institutional Class Shares | $ | 2,626 | $ | 53,026,210 | $ | — | $ | — | ||||||||
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 163 | 4,087,774 | — | |||||||||||||
Net asset value, offering price and redemption price per share | $ | 16.14 | $ | 12.97 | $ | — | $ | — |
* Purchases of $1 million or more are subject to a contingent deferred sales load.
** Redemption price per share varies by length of time shares are held.
See accompanying Notes to Financial Statements.
68 |
Statements of Assets and Liabilities (Continued)
Touchstone | Touchstone | Touchstone | Touchstone | |||||||||||||||
Short Duration | Small | Small | Touchstone | Ultra Short | ||||||||||||||
Fixed Income | Cap Core | Cap Value | Total Return | Duration Fixed | ||||||||||||||
Fund | Fund | Fund | Fund | Income Fund | ||||||||||||||
$ | — | $ | 61,221,985 | $ | 34,065,131 | $ | 6,123,427 | $ | — | |||||||||
— | 3,948,724 | 1,875,078 | 597,701 | — | ||||||||||||||
$ | — | $ | 15.50 | $ | 18.17 | $ | 10.24 | $ | — | |||||||||
$ | — | $ | 16.45 | $ | 19.28 | $ | 10.75 | $ | — | |||||||||
$ | — | $ | 18,023,364 | $ | 28,194 | $ | 3,043,049 | $ | — | |||||||||
— | 1,182,404 | 1,559 | 297,490 | — | ||||||||||||||
$ | — | $ | 15.24 | $ | 18.09 | $ | 10.23 | $ | — | |||||||||
$ | 7,960,375 | $ | 126,365,885 | $ | 11,175 | $ | 14,832,621 | $ | — | |||||||||
813,047 | 8,106,422 | 614 | 1,445,556 | — | ||||||||||||||
$ | 9.79 | $ | 15.59 | $ | 18.21 | $ | 10.26 | $ | — | |||||||||
$ | 39,740,810 | $ | — | $ | — | $ | — | $ | 351,191,106 | |||||||||
4,058,121 | — | — | — | 36,684,267 | ||||||||||||||
$ | 9.79 | $ | — | $ | — | $ | — | $ | 9.57 | |||||||||
$ | — | $ | 127,744,914 | $ | 984,614 | $ | 40,418,272 | $ | — | |||||||||
8,207,667 | 54,169 | 3,941,602 | — | |||||||||||||||
$ | — | $ | 15.56 | $ | 18.18 | $ | 10.25 | $ | — |
69 |
Statements of Operations
For the Period Ended March 31, 2012 (Unaudited)
Touchstone | Touchstone | Touchstone | ||||||||||||||
Emerging | Emerging | Touchstone | Global | |||||||||||||
Markets Equity | Markets Equity | Focused Equity | Equity | |||||||||||||
Fund | Fund II | Fund | Fund | |||||||||||||
Investment Income | ||||||||||||||||
Dividends from affiliated securities | $ | 9,104 | $ | 519 | $ | 1,531 | $ | 111 | ||||||||
Dividends from non-affiliated securities(A) | 4,281,134 | 63,488 | 732,231 | 72,162 | ||||||||||||
Interest(B) | — | — | — | — | ||||||||||||
Income from securities loaned | 98,704 | — | 11,837 | 5 | ||||||||||||
Total Investment Income | 4,388,942 | 64,007 | 745,599 | 72,278 | ||||||||||||
Expenses | ||||||||||||||||
Investment advisory fees | 2,797,564 | 48,284 | 332,054 | 17,693 | ||||||||||||
Administration fees | 533,067 | 8,691 | 94,377 | 4,141 | ||||||||||||
Compliance fees and expenses | 687 | 716 | 611 | 687 | ||||||||||||
Custody fees | 210,141 | 9,356 | 1,117 | 1,687 | ||||||||||||
Professional fees | 38,725 | 24,953 | 10,809 | 11,078 | ||||||||||||
Transfer Agent fees, Class A | 32,196 | 354 | 225,392 | 474 | ||||||||||||
Transfer Agent fees, Class C | 3,843 | — | 243 | 1 | ||||||||||||
Transfer Agent fees, Class Y | 33,601 | 109 | 1,819 | 72 | ||||||||||||
Transfer Agent fees, Institutional Class | 7,535 | 26 | 28 | 24 | ||||||||||||
Registration Fees, Class A | 9,509 | 801 | 15,078 | 2,479 | ||||||||||||
Registration Fees, Class C | 6,026 | 625 | 2,490 | 1,533 | ||||||||||||
Registration Fees, Class Y | 16,471 | 870 | 4,805 | 1,568 | ||||||||||||
Registration Fees, Institutional Class | 15,019 | 562 | 2,508 | 1,532 | ||||||||||||
Dividend expense on securities sold short | — | — | — | — | ||||||||||||
Reports to Shareholders, Class A | 4,133 | 3,238 | 16,037 | 2,709 | ||||||||||||
Reports to Shareholders, Class C | 2,612 | 3,139 | 2,608 | 2,657 | ||||||||||||
Reports to Shareholders, Class Y | 6,177 | 3,186 | 2,990 | 2,698 | ||||||||||||
Reports to Shareholders, Institutional Class | 4,705 | 3,646 | 2,597 | 3,371 | ||||||||||||
Distribution expenses, Class A | 38,740 | 1,699 | 105,509 | 828 | ||||||||||||
Distribution expenses, Class C | 28,183 | 213 | 1,092 | 545 | ||||||||||||
Distribution expenses, Class Y | — | — | — | — | ||||||||||||
Trustee fees | 4,458 | 4,487 | 4,277 | 4,236 | ||||||||||||
Other expenses | 24,461 | 130 | 31,449 | 2,795 | ||||||||||||
Total Expenses | 3,817,853 | 115,085 | 857,890 | 62,808 | ||||||||||||
Fees waived and/or reimbursed by the Advisor and/or Affiliates(C) | (75,303 | ) | (52,351 | ) | (301,901 | ) | (41,138 | ) | ||||||||
Net Expenses | 3,742,550 | 62,734 | 555,989 | 21,670 | ||||||||||||
Net Investment Income (Loss) | 646,392 | 1,273 | 189,610 | 50,608 | ||||||||||||
Realized and Unrealized Gain (Loss) on Investments | ||||||||||||||||
Net realized gain (loss) on investments | (397,318 | ) | (2,112 | ) | (5,359,750 | ) | 23,571 | |||||||||
Net realized gain (loss) on foreign currency | (24,785 | ) | (10,723 | ) | — | (1,903 | ) | |||||||||
Net realized on short positions | — | — | — | — | ||||||||||||
Net change in unrealized appreciation (depreciation) on investments | 85,250,962 | 719,712 | 25,893,608 | 515,283 | ||||||||||||
Net change in unrealized appreciation (depreciation) on foreign currency transactions | 3,697 | 9,545 | — | 3,775 | ||||||||||||
Net change in unrealized on short positions | — | — | — | — | ||||||||||||
Net Realized and Unrealized Gain (Loss) on Investments | 84,832,556 | 716,422 | 20,533,858 | 540,726 | ||||||||||||
Change in Net Assets Resulting from Operations | $ | 85,478,948 | $ | 717,695 | $ | 20,723,468 | $ | 591,334 | ||||||||
(A) Net of foreign tax withholding of: | $ | 146,671 | $ | 2,249 | $ | 14,298 | $ | 350 | ||||||||
(B) Net of foreign tax withholding of: | $ | — | $ | — | $ | — | $ | — | ||||||||
(C)See Note 4 in Notes to Financial Statements. |
See accompanying Notes to Financial Statements.
70 |
Statements of Operations (Continued)
Touchstone | Touchstone | Touchstone | Touchstone | Touchstone | Touchstone | |||||||||||||||||
Global | Intermediate | International | Large Cap | Market | Merger | |||||||||||||||||
Real Estate | Fixed Income | Fixed Income | Relative Value | Neutral Equity | Arbitrage | |||||||||||||||||
Fund | Fund | Fund | Fund | Fund | Fund | |||||||||||||||||
$ | 64 | $ | 1,391 | $ | 203 | $ | 85 | $ | 601 | $ | 7,705 | |||||||||||
84,848 | — | 2,804 | 79,681 | 315,979 | 222,356 | |||||||||||||||||
— | 1,552,438 | 179,867 | — | — | 40,174 | |||||||||||||||||
83 | — | — | — | — | — | |||||||||||||||||
84,995 | 1,553,829 | 182,874 | 79,766 | 316,580 | 270,235 | |||||||||||||||||
19,845 | 196,271 | 33,669 | 25,677 | 297,939 | 295,406 | |||||||||||||||||
4,939 | 97,745 | 12,181 | 7,295 | 45,599 | 55,699 | |||||||||||||||||
687 | 687 | 687 | 611 | 611 | 690 | |||||||||||||||||
8,141 | — | 2,087 | 28 | — | 1,020 | |||||||||||||||||
10,716 | 12,877 | 7,885 | 2,244 | 10,332 | 13,910 | |||||||||||||||||
527 | — | 1,046 | 1,126 | 2,094 | 1,874 | |||||||||||||||||
40 | — | 177 | — | 140 | 277 | |||||||||||||||||
27 | — | 182 | 185 | 377 | 298 | |||||||||||||||||
12 | 895 | 16 | — | — | 66 | |||||||||||||||||
2,033 | — | 4,088 | 3,903 | 3,913 | 1,011 | |||||||||||||||||
1,584 | — | 3,148 | 1,369 | 2,891 | 665 | |||||||||||||||||
1,602 | — | 2,806 | 1,372 | 2,748 | 1,614 | |||||||||||||||||
1,547 | 3,839 | 2,044 | 1,370 | — | 405 | |||||||||||||||||
— | — | — | — | 469,480 | 179,403 | |||||||||||||||||
1,625 | — | 1,931 | 1,725 | 2,235 | 4,081 | |||||||||||||||||
1,837 | — | 1,749 | 1,626 | 1,942 | 3,101 | |||||||||||||||||
1,843 | — | 1,748 | 1,348 | 2,383 | 3,495 | |||||||||||||||||
1,678 | 2,509 | 1,770 | 1,695 | — | 3,699 | |||||||||||||||||
1,687 | — | 3,803 | 989 | 4,825 | 34,123 | |||||||||||||||||
649 | — | 2,877 | 1,524 | 851 | 15,557 | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
4,237 | 4,280 | 4,240 | 4,238 | 4,255 | 2,237 | |||||||||||||||||
5,891 | 3,694 | 1,635 | 2,495 | 10,314 | 8,543 | |||||||||||||||||
71,147 | 322,797 | 89,769 | 60,820 | 862,929 | 627,174 | |||||||||||||||||
(43,095 | ) | (126,721 | ) | (37,743 | ) | (26,391 | ) | (101,458 | ) | (22,545 | ) | |||||||||||
28,052 | 196,076 | 52,026 | 34,429 | 761,471 | 604,629 | |||||||||||||||||
56,943 | 1,357,753 | 130,848 | 45,337 | (444,891 | ) | (334,394 | ) | |||||||||||||||
23,471 | 827,865 | 183,440 | 18,468 | 2,014,848 | 1,243,422 | |||||||||||||||||
826 | — | 257,950 | — | — | — | |||||||||||||||||
— | — | — | — | (2,578,192 | ) | (166,374 | ) | |||||||||||||||
825,266 | (155,511 | ) | 8,245 | 1,561,791 | 9,002,431 | 2,361,277 | ||||||||||||||||
82 | — | (317,773 | ) | — | — | (1,093 | ) | |||||||||||||||
— | — | — | — | (8,959,076 | ) | (968,847 | ) | |||||||||||||||
849,645 | 672,354 | 131,862 | 1,580,259 | (519,989 | ) | 2,468,385 | ||||||||||||||||
$ | 906,588 | $ | 2,030,107 | $ | 262,710 | $ | 1,625,596 | $ | (964,880 | ) | $ | 2,133,991 | ||||||||||
$ | 2,053 | $ | — | $ | — | $ | — | $ | 943 | $ | 4,762 | |||||||||||
$ | — | $ | 861 | $ | 303 | $ | — | $ | — | $ | — |
71 |
Statements of Operations (Continued)
Touchstone | Touchstone | Touchstone | Touchstone | |||||||||||||
Mid | Mid Cap | Premium Yield | Sands Capital | |||||||||||||
Cap | Value | Equity | Select Growth | |||||||||||||
Fund | Fund | Fund | Fund | |||||||||||||
Investment Income | ||||||||||||||||
Dividends from affiliated securities | $ | 205 | $ | 735 | $ | 1,613 | $ | 23,484 | ||||||||
Dividends from non-affiliated securities(A) | 677,221 | 636,243 | 1,319,821 | 4,635,732 | ||||||||||||
Interest | — | — | — | — | ||||||||||||
Income from securities loaned | 14,840 | 3,655 | — | 202,326 | ||||||||||||
Total Investment Income | 692,266 | 640,633 | 1,321,434 | 4,861,542 | ||||||||||||
Expenses | ||||||||||||||||
Investment advisory fees | 302,609 | 255,205 | 202,488 | 7,178,922 | ||||||||||||
Administration fees | 75,291 | 59,700 | 57,456 | 1,737,751 | ||||||||||||
Compliance fees and expenses | 611 | 611 | 611 | 611 | ||||||||||||
Custody fees | 225 | — | — | 5,200 | ||||||||||||
Professional fees | 11,526 | 8,687 | 11,157 | 62,491 | ||||||||||||
Transfer Agent fees, Class A | 731 | 1,467 | 4,420 | 10,574 | ||||||||||||
Transfer Agent fees, Class C | 248 | 77 | 2,138 | 4,870 | ||||||||||||
Transfer Agent fees, Class Y | 1,815 | 2,518 | 2,398 | 106,745 | ||||||||||||
Transfer Agent fees, Class Z | — | — | — | 529,303 | ||||||||||||
Transfer Agent fees, Institutional Class | 45 | 444 | — | — | ||||||||||||
Registration Fees, Class A | 3,644 | 5,521 | 7,852 | 7,990 | ||||||||||||
Registration Fees, Class C | 4,765 | 3,610 | 4,290 | 5,231 | ||||||||||||
Registration Fees, Class Y | 3,008 | 4,185 | 10,619 | 26,793 | ||||||||||||
Registration Fees, Class Z | 4,788 | — | — | 55,400 | ||||||||||||
Registration Fees, Institutional Class | 257 | 4,113 | — | — | ||||||||||||
Reports to Shareholders, Class A | 2,031 | 743 | 2,386 | 7,153 | ||||||||||||
Reports to Shareholders, Class C | 2,022 | 500 | 2,095 | 5,638 | ||||||||||||
Reports to Shareholders, Class Y | 3,264 | 1,974 | 2,002 | 27,408 | ||||||||||||
Reports to Shareholders, Class Z | 702 | — | — | 82,766 | ||||||||||||
Reports to Shareholders, Institutional Class | 594 | 2,504 | — | — | ||||||||||||
Shareholder servicing fees | 689 | — | — | 1,265,328 | ||||||||||||
Distribution expenses, Class A | 968 | 3,766 | 47,177 | 55,451 | ||||||||||||
Distribution expenses, Class C | 2,649 | 1,193 | 49,678 | 83,066 | ||||||||||||
Trustee fees | 4,271 | 4,260 | 4,256 | 4,951 | ||||||||||||
Other expenses | 4,709 | 2,515 | 5,899 | 366,443 | ||||||||||||
Total Expenses | 431,462 | 363,593 | 416,922 | 11,630,085 | ||||||||||||
Fees waived and/or reimbursed by the Advisor and/or Affiliates(B) | (82,678 | ) | (81,756 | ) | (46,481 | ) | (534,604 | ) | ||||||||
Net Expenses | 348,784 | 281,837 | 370,441 | 11,095,481 | ||||||||||||
Net Investment Income (Loss) | 343,482 | 358,796 | 950,993 | (6,233,939 | ) | |||||||||||
Realized and Unrealized Gain (Loss) on Investments | ||||||||||||||||
Net realized gain (loss) on investments | 11,113,380 | (137,175 | ) | 250,254 | 2,239,925 | |||||||||||
Net change in unrealized appreciation on investments | 4,082,663 | 13,057,341 | 8,357,051 | 515,523,559 | ||||||||||||
Net Realized and Unrealized Gain on Investments | 15,196,043 | 12,920,166 | 8,607,305 | 517,763,484 | ||||||||||||
Change in Net Assets Resulting from Operations | $ | 15,539,525 | $ | 13,278,962 | $ | 9,558,298 | $ | 511,529,545 | ||||||||
(A) Net of foreign tax withholding of: | $ | 739 | $ | — | $ | 17,905 | $ | — | ||||||||
(B) See Note 4 in Notes to Financial Statements. |
See accompanying Notes to Financial Statements.
72 |
Statements of Operations (Continued)
Touchstone | ||||||||||||||||||
Touchstone | Touchstone | Touchstone | Touchstone | Ultra Short | ||||||||||||||
Short Duration | Small Cap | Small Cap | Total Return | Duration | ||||||||||||||
Fixed Income | Core | Value | Bond | Fixed Income | ||||||||||||||
Fund | Fund | Fund | Fund | Fund | ||||||||||||||
$ | 834 | $ | 3,771 | $ | 878 | $ | 1,316 | $ | 13,203 | |||||||||
— | 1,711,942 | 512,927 | — | — | ||||||||||||||
587,362 | — | — | 930,606 | 3,820,937 | ||||||||||||||
— | 91,798 | 14,188 | — | — | ||||||||||||||
588,196 | 1,807,511 | 527,993 | 931,922 | 3,834,140 | ||||||||||||||
54,394 | 1,013,574 | 166,984 | 84,372 | 435,482 | ||||||||||||||
43,240 | 236,933 | 34,975 | 47,920 | 346,684 | ||||||||||||||
687 | 611 | 611 | 693 | 687 | ||||||||||||||
— | 1,314 | 1,175 | — | 3,282 | ||||||||||||||
7,725 | 13,465 | 6,755 | 16,939 | 18,234 | ||||||||||||||
— | 61,177 | 25,503 | 2,112 | — | ||||||||||||||
— | 9,072 | 9 | 976 | — | ||||||||||||||
816 | 16,177 | 17 | 666 | — | ||||||||||||||
15,607 | — | — | — | 57,680 | ||||||||||||||
— | 487 | 21 | 76 | — | ||||||||||||||
— | 12,212 | 5,214 | 1,654 | — | ||||||||||||||
— | 7,789 | 713 | 909 | — | ||||||||||||||
4,630 | 11,690 | 713 | 1,076 | — | ||||||||||||||
10,613 | — | — | — | 27,784 | ||||||||||||||
— | 8,758 | 713 | 1,111 | — | ||||||||||||||
— | 8,100 | 7,954 | 1,885 | — | ||||||||||||||
— | 2,957 | 2,853 | 1,819 | — | ||||||||||||||
2,289 | 9,617 | 2,830 | 2,154 | — | ||||||||||||||
5,114 | — | — | — | 12,667 | ||||||||||||||
— | 3,685 | 2,563 | 2,139 | — | ||||||||||||||
47,011 | — | — | — | 400,645 | ||||||||||||||
— | 68,868 | 42,824 | 7,046 | — | ||||||||||||||
— | 73,592 | 34 | 14,265 | — | ||||||||||||||
4,254 | 4,328 | 4,251 | 3,963 | 4,397 | ||||||||||||||
15,540 | 17,589 | 7,994 | 11,527 | 21,282 | ||||||||||||||
211,920 | 1,581,995 | 314,706 | 203,302 | 1,328,824 | ||||||||||||||
(56,492 | ) | (227,557 | ) | (65,600 | ) | (50,656 | ) | (127,791 | ) | |||||||||
155,428 | 1,354,438 | 249,106 | 152,646 | 1,201,033 | ||||||||||||||
432,768 | 453,073 | 278,887 | 779,276 | 2,633,107 | ||||||||||||||
(15,391 | ) | (772,258 | ) | (780,141 | ) | 287,354 | 509,615 | |||||||||||
15,416 | 58,920,339 | 10,722,959 | 207,434 | 711,744 | ||||||||||||||
25 | 58,148,081 | 9,942,818 | 494,788 | 1,221,359 | ||||||||||||||
$ | 432,793 | $ | 58,601,154 | $ | 10,221,705 | $ | 1,274,064 | $ | 3,854,466 | |||||||||
$ | — | $ | — | $ | — | $ | — | $ | — |
73 |
Statements of Changes in Net Assets
Touchstone Emerging | Touchstone Emerging | |||||||||||||||
Markets Equity Fund | Markets Equity Fund II | |||||||||||||||
For the | For the | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | For the | Ended | For the | |||||||||||||
March 31, | Year Ended | March 31, | Period Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011(A) | |||||||||||||
From Operations | ||||||||||||||||
Net investment income | $ | 646,392 | $ | 4,816,007 | $ | 1,273 | $ | 39,408 | ||||||||
Net realized gain (loss) on investments and foreign currency transactions | (422,103 | ) | 3,465,919 | (12,835 | ) | (75,342 | ) | |||||||||
Net change in unrealized appreciation (depreciation) on investments and foreign currency transactions | 85,254,659 | (90,128,100 | ) | 729,257 | (1,137,008 | ) | ||||||||||
Change in Net Assets from Operations | 85,478,948 | (81,846,174 | ) | 717,695 | (1,172,942 | ) | ||||||||||
Distributions to Shareholders from: | ||||||||||||||||
Net investment income, Class A | (191,966 | ) | (37,637 | ) | (4,297 | ) | — | |||||||||
Net investment income, Class C | (1,403 | ) | — | (229 | ) | — | ||||||||||
Net investment income, Class Y | (1,593,338 | ) | (105,853 | ) | (4,606 | ) | — | |||||||||
Net investment income, Institutional Class | (3,027,966 | ) | (412,012 | ) | (25,599 | ) | — | |||||||||
Net realized gains, Class A | (210,757 | ) | (43,040 | ) | — | — | ||||||||||
Net realized gains, Class C | (41,102 | ) | (10,387 | ) | — | — | ||||||||||
Net realized gains, Class Y | (1,324,867 | ) | (83,966 | ) | — | — | ||||||||||
Net realized gains, Institutional Class | (2,229,013 | ) | (267,192 | ) | — | — | ||||||||||
Total Distributions | (8,620,412 | ) | (960,087 | ) | (34,731 | ) | — | |||||||||
Class A | ||||||||||||||||
Proceeds from shares sold | 11,726,185 | 45,412,360 | 2,333,217 | 491,662 | ||||||||||||
Reinvestment of distributions | 325,010 | 76,185 | 3,803 | — | ||||||||||||
Cost of shares redeemed | (6,249,007 | ) | (23,746,786 | ) | (77,824 | ) | (6,938 | ) | ||||||||
Change in Net Assets from Class A Share Transactions | 5,802,188 | 21,741,759 | 2,259,196 | 484,724 | ||||||||||||
Class C | ||||||||||||||||
Proceeds from shares sold | 251,894 | 5,128,192 | 83,650 | 20,500 | ||||||||||||
Reinvestment of distributions | 40,201 | 9,846 | 229 | — | ||||||||||||
Cost of shares redeemed | (923,137 | ) | (2,139,533 | ) | — | — | ||||||||||
Change in Net Assets from Class C Share Transactions | (631,042 | ) | 2,998,505 | 83,879 | 20,500 | |||||||||||
Class Y | ||||||||||||||||
Proceeds from shares sold | 58,196,129 | 177,114,328 | 7,365,896 | 506,617 | ||||||||||||
Reinvestment of distributions | 2,915,986 | 185,769 | 4,499 | — | ||||||||||||
Cost of shares redeemed | (30,881,594 | ) | (11,790,779 | ) | (175,677 | ) | (207,739 | ) | ||||||||
Change in Net Assets from Class Y Share Transactions | 30,230,521 | 165,509,318 | 7,194,718 | 298,878 | ||||||||||||
Institutional Class | ||||||||||||||||
Proceeds from shares sold | 101,399,151 | 173,718,140 | 14,926,779 | 4,932,680 | ||||||||||||
Reinvestment of distributions | 4,979,301 | 675,282 | 25,589 | — | ||||||||||||
Cost of shares redeemed | (11,784,076 | ) | (6,582,664 | ) | (7,839 | ) | — | |||||||||
Change in Net Assets from Institutional Class Share Transactions | 94,594,376 | 167,810,758 | 14,944,529 | 4,932,680 | ||||||||||||
Net Increase (Decrease) from Share Transactions | 129,996,043 | 358,060,340 | 24,482,322 | 5,736,782 | ||||||||||||
Total Increase (Decrease) in Net Assets | 206,854,579 | 275,254,079 | 25,165,286 | 4,563,840 | ||||||||||||
Net Assets | ||||||||||||||||
Beginning of period | 428,198,264 | 152,944,185 | 4,563,840 | — | ||||||||||||
End of period | $ | 635,052,843 | $ | 428,198,264 | $ | 29,729,126 | $ | 4,563,840 | ||||||||
Accumulated Net Investment Income | $ | 115,498 | $ | 4,283,779 | $ | 708 | $ | 34,166 |
(A) Represents the period from commencement of operations (April 18, 2011) through September 30, 2011.
See accompanying Notes to Financial Statements.
74 |
Statements of Changes in Net Assets (Continued)
Touchstone Focused | Touchstone Global | Touchstone Global | ||||||||||||||||||||
Equity Fund | Equity Fund | Real Estate Fund | ||||||||||||||||||||
For the | For the | For the | ||||||||||||||||||||
Six Months | Six Months | Six Months | ||||||||||||||||||||
Ended | For the | Ended | For the | Ended | For the | |||||||||||||||||
March 31, | Year Ended | March 31, | Year Ended | March 31, | Year Ended | |||||||||||||||||
2012 | September 30, | 2012 | September 30, | 2012 | September 30, | |||||||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 | (Unaudited) | 2011 | |||||||||||||||||
$ | 189,610 | $ | 446,784 | $ | 50,608 | $ | 33,180 | $ | 56,943 | $ | 123,690 | |||||||||||
(5,359,750 | ) | 2,342,938 | 21,668 | 422,631 | 24,297 | 341,369 | ||||||||||||||||
25,893,608 | (31,882,374 | ) | 519,058 | (627,093 | ) | 825,348 | (953,706 | ) | ||||||||||||||
20,723,468 | (29,092,652 | ) | 591,334 | (171,282 | ) | 906,588 | (488,647 | ) | ||||||||||||||
(539,278 | ) | (6,175 | ) | (3,370 | ) | (6,391 | ) | (16,976 | ) | (43,335 | ) | |||||||||||
— | (682 | ) | — | — | (841 | ) | (4,244 | ) | ||||||||||||||
(57,620 | ) | — | (1,199 | ) | (1,051 | ) | (1,166 | ) | (5,585 | ) | ||||||||||||
(6,578 | ) | (29,812 | ) | (25,870 | ) | (31,387 | ) | (30,532 | ) | (140,094 | ) | |||||||||||
(2,039,845 | ) | (6,831 | ) | (60,768 | ) | (7,311 | ) | (94,294 | ) | (43,479 | ) | |||||||||||
(4,919 | ) | (1,492 | ) | (10,146 | ) | (1,016 | ) | (5,373 | ) | (5,042 | ) | |||||||||||
(257,795 | ) | (44,364 | ) | (19,542 | ) | (1,580 | ) | (5,438 | ) | (5,269 | ) | |||||||||||
(13,398 | ) | (6,070 | ) | (290,353 | ) | (29,420 | ) | (136,561 | ) | (131,564 | ) | |||||||||||
(2,919,433 | ) | (95,426 | ) | (411,248 | ) | (78,156 | ) | (291,181 | ) | (378,612 | ) | |||||||||||
8,985,112 | 120,060,690 | 31,129 | 559,641 | 226,615 | 2,394,721 | |||||||||||||||||
2,323,288 | 12,845 | 64,138 | 13,101 | 23,212 | 39,565 | |||||||||||||||||
(16,186,102 | ) | (14,618,995 | ) | (51,302 | ) | (1,803,215 | ) | (2,034,602 | ) | (958,256 | ) | |||||||||||
(4,877,702 | ) | 105,454,540 | 43,965 | (1,230,473 | ) | (1,784,775 | ) | 1,476,030 | ||||||||||||||
79,418 | 185,089 | — | 2,723 | — | 3,658 | |||||||||||||||||
2,845 | 2,173 | 10,146 | 1,016 | 6,214 | 10,112 | |||||||||||||||||
(5,770 | ) | (173,454 | ) | (2,414 | ) | — | — | — | ||||||||||||||
76,493 | 13,808 | 7,732 | 3,739 | 6,214 | 13,770 | |||||||||||||||||
3,075,732 | 18,934,147 | 32,500 | 72,000 | — | 68,805 | |||||||||||||||||
165,098 | 1,474 | 20,741 | 2,632 | 6,603 | 12,019 | |||||||||||||||||
(9,567,049 | ) | (3,300,545 | ) | (30,408 | ) | (78 | ) | (2,449 | ) | (64,842 | ) | |||||||||||
(6,326,219 | ) | 15,635,076 | 22,833 | 74,554 | 4,154 | 15,982 | ||||||||||||||||
4,410,265 | 1,125,000 | 213,000 | 18,219 | — | — | |||||||||||||||||
19,719 | 35,882 | 316,223 | 60,807 | 167,092 | 282,243 | |||||||||||||||||
(429,158 | ) | (891,605 | ) | — | (9,008 | ) | — | (19,414 | ) | |||||||||||||
4,000,826 | 269,277 | 529,223 | 70,018 | 167,092 | 262,829 | |||||||||||||||||
(7,126,602 | ) | 121,372,701 | 603,753 | (1,082,162 | ) | (1,607,315 | ) | 1,768,611 | ||||||||||||||
10,677,433 | 92,184,623 | 783,839 | (1,331,600 | ) | (991,908 | ) | 901,352 | |||||||||||||||
94,154,595 | 1,969,972 | 3,859,099 | 5,190,699 | 5,266,061 | 4,364,709 | |||||||||||||||||
$ | 104,832,028 | $ | 94,154,595 | $ | 4,642,938 | $ | 3,859,099 | $ | 4,274,153 | $ | 5,266,061 | |||||||||||
$ | 10,428 | $ | 424,294 | $ | 45,019 | $ | 24,850 | $ | 8,521 | $ | 1,093 |
75 |
Statements of Changes in Net Assets (Continued)
Touchstone Intermediate | Touchstone International | |||||||||||||||
Fixed Income Fund | Fixed Income Fund | |||||||||||||||
For the | For the | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | For the | Ended | For the | |||||||||||||
March 31, | Year Ended | March 31, | Year Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 (A) | |||||||||||||
From Operations | ||||||||||||||||
Net investment income (loss) | $ | 1,357,753 | $ | 2,951,688 | $ | 130,848 | $ | 228,414 | ||||||||
Net realized gain (loss) on investments, foreign currency transactions and short positions | 827,865 | 1,209,268 | 441,390 | 107,176 | ||||||||||||
Net change in unrealized appreciation (depreciation) on investments, foreign currency transactions and short positions | (155,511 | ) | (1,697,151 | ) | (309,528 | ) | (213,688 | ) | ||||||||
Change in Net Assets from Operations | 2,030,107 | 2,463,805 | 262,710 | 121,902 | ||||||||||||
Distributions to Shareholders from: | ||||||||||||||||
Net investment income, Class A | — | — | (104,430 | ) | (133,401 | ) | ||||||||||
Net investment income, Class C | — | — | (16,688 | ) | (34,790 | ) | ||||||||||
Net investment income, Class Y | — | — | (20,108 | ) | (46,142 | ) | ||||||||||
Net investment income, Institutional Class | (1,404,251 | ) | (3,044,360 | ) | (269,644 | ) | (743,823 | ) | ||||||||
Net realized gains, Class A | — | — | (14,566 | ) | (7,028 | ) | ||||||||||
Net realized gains, Class C | — | — | (2,575 | ) | (1,865 | ) | ||||||||||
Net realized gains, Class Y | — | — | (2,724 | ) | (2,365 | ) | ||||||||||
Net realized gains, Institutional Class | (859,130 | ) | — | (33,930 | ) | (32,587 | ) | |||||||||
Total Distributions | (2,263,381 | ) | (3,044,360 | ) | (464,665 | ) | (1,002,001 | ) | ||||||||
Class A | ||||||||||||||||
Proceeds from shares sold | — | — | 1,687,227 | 2,912,442 | ||||||||||||
Reinvestment of distributions | — | — | 72,831 | 128,026 | ||||||||||||
Cost of shares redeemed | — | — | (1,371,312 | ) | (1,627,808 | ) | ||||||||||
Change in Net Assets from Class A Share Transactions | — | — | 388,746 | 1,412,660 | ||||||||||||
Class C | ||||||||||||||||
Proceeds from shares sold | — | — | 28,979 | 353,277 | ||||||||||||
Reinvestment of distributions | — | — | 14,087 | 36,366 | ||||||||||||
Cost of shares redeemed | — | — | (192,478 | ) | (176,267 | ) | ||||||||||
Change in Net Assets from Class C Share Transactions | — | — | (149,412 | ) | 213,376 | |||||||||||
Class Y | ||||||||||||||||
Proceeds from shares sold | — | — | 132,875 | 1,754,869 | ||||||||||||
Reinvestment of distributions | — | — | 20,476 | 48,682 | ||||||||||||
Cost of shares redeemed | — | — | (229,649 | ) | (1,225,137 | ) | ||||||||||
Change in Net Assets from Class Y Share Transactions | — | — | (76,298 | ) | 578,414 | |||||||||||
Institutional Class | ||||||||||||||||
Proceeds from shares sold | 3,932,935 | 8,288,109 | 388,679 | 27,361 | ||||||||||||
Reinvestment of distributions | 878,258 | 328,509 | 273,496 | 789,049 | ||||||||||||
Cost of shares redeemed | (15,021,008 | ) | (18,564,746 | ) | (20,085 | ) | (19,439 | ) | ||||||||
Change in Net Assets from Institutional Class Share Transactions | (10,209,815 | ) | (9,948,128 | ) | 642,090 | 796,971 | ||||||||||
Net Increase (Decrease) from Share Transactions | (10,209,815 | ) | (9,948,128 | ) | 805,126 | 3,001,421 | ||||||||||
Total Increase (Decrease) in Net Assets | (10,443,089 | ) | (10,528,683 | ) | 603,171 | 2,121,322 | ||||||||||
Net Assets | ||||||||||||||||
Beginning of period | 98,609,726 | 109,138,409 | 11,787,626 | 9,666,304 | ||||||||||||
End of period | $ | 88,166,637 | $ | 98,609,726 | $ | 12,390,797 | $ | 11,787,626 | ||||||||
Accumulated Net Investment Income (Loss) | $ | (39,530 | ) | $ | 6,968 | $ | (285,985 | ) | $ | (5,963 | ) |
(A) Represents the period from commencement of operations (August 9, 2011) through September 30, 2011.
See accompanying Notes to Financial Statements.
76 |
Statements of Changes in Net Assets (Continued)
Touchstone Large Cap | Touchstone Market Neutral | Touchstone Merger | ||||||||||||||||||||
Relative Value Fund | Equity Fund | Arbitrage Fund | ||||||||||||||||||||
For the | For the | For the | ||||||||||||||||||||
Six Months | Six Months | Six Months | ||||||||||||||||||||
Ended | For the | Ended | For the | Ended | For the | |||||||||||||||||
March 31, | Year Ended | March 31, | Year Ended | March 31, | Period Ended | |||||||||||||||||
2012 | September 30, | 2012 | September 30, | 2012 | September 30, | |||||||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 | (Unaudited) | 2011(A) | |||||||||||||||||
$ | 45,337 | $ | 58,122 | $ | (444,891 | ) | $ | (608,852 | ) | $ | (334,394 | ) | $ | (9,112 | ) | |||||||
18,468 | 245,061 | (563,344 | ) | (596,750 | ) | 1,077,048 | 10,082 | |||||||||||||||
1,561,791 | (1,054,309 | ) | 43,355 | 1,926,946 | 1,391,337 | 7,513 | ||||||||||||||||
1,625,596 | (751,126 | ) | (964,880 | ) | 721,344 | 2,133,991 | 8,483 | |||||||||||||||
(3,935 | ) | (8,077 | ) | — | — | (2,875 | ) | — | ||||||||||||||
(343 | ) | (541 | ) | — | — | (267 | ) | — | ||||||||||||||
(17,298 | ) | (12,074 | ) | — | — | (1,453 | ) | — | ||||||||||||||
(23,713 | ) | (57,889 | ) | — | — | (1,975 | ) | — | ||||||||||||||
(27,239 | ) | (238 | ) | — | — | (24,573 | ) | — | ||||||||||||||
(10,820 | ) | (120 | ) | — | — | (2,094 | ) | — | ||||||||||||||
(98,779 | ) | (51 | ) | — | — | (12,719 | ) | — | ||||||||||||||
(116,608 | ) | (1,372 | ) | — | — | (15,125 | ) | — | ||||||||||||||
(298,735 | ) | (80,362 | ) | — | — | (61,081 | ) | — | ||||||||||||||
100,669 | 1,357,188 | 2,662,754 | 3,389,554 | 68,222,536 | 260,434 | |||||||||||||||||
31,174 | 8,315 | — | — | 21,813 | — | |||||||||||||||||
(29,259 | ) | (1,172,139 | ) | (636,569 | ) | (711,849 | ) | (1,305,295 | ) | — | ||||||||||||
102,584 | 193,364 | 2,026,185 | 2,677,705 | 66,939,054 | 260,434 | |||||||||||||||||
450 | 84,858 | 34,869 | 127,080 | 11,096,543 | 254,776 | |||||||||||||||||
11,163 | 661 | — | — | 2,400 | — | |||||||||||||||||
(4,368 | ) | (31,669 | ) | (47,130 | ) | (112,854 | ) | (162,274 | ) | — | ||||||||||||
7,245 | 53,850 | (12,261 | ) | 14,226 | 10,936,669 | 254,776 | ||||||||||||||||
634,729 | 3,564,715 | 4,355,917 | 7,781,351 | 45,882,536 | 1,163,250 | |||||||||||||||||
116,077 | 12,124 | — | — | 13,535 | — | |||||||||||||||||
(608,334 | ) | (674,355 | ) | (2,591,850 | ) | (476,364 | ) | (848,695 | ) | — | ||||||||||||
142,472 | 2,902,484 | 1,764,067 | 7,304,987 | 45,047,376 | 1,163,250 | |||||||||||||||||
261,089 | — | — | — | 13,854,253 | 5,002,500 | |||||||||||||||||
140,321 | 59,261 | — | — | 14,253 | — | |||||||||||||||||
— | — | — | — | (5,333,281 | ) | — | ||||||||||||||||
401,410 | 59,261 | — | — | 8,535,225 | 5,002,500 | |||||||||||||||||
653,711 | 3,208,959 | 3,777,991 | 9,996,918 | 131,458,324 | 6,680,960 | |||||||||||||||||
1,980,572 | 2,377,471 | 2,813,111 | 10,718,262 | 133,531,234 | 6,689,443 | |||||||||||||||||
6,217,953 | 3,840,482 | 43,901,717 | 33,183,455 | 6,689,443 | — | |||||||||||||||||
$ | 8,198,525 | $ | 6,217,953 | $ | 46,714,828 | $ | 43,901,717 | $ | 140,220,677 | $ | 6,689,443 | |||||||||||
$ | 48 | $ | — | $ | (453,279 | ) | $ | (8,388 | ) | $ | (342,847 | ) | $ | (1,883 | ) |
77 |
Statements of Changes in Net Assets (Continued)
Touchstone Mid Cap | Touchstone Mid Cap | |||||||||||||||
Fund | Value Fund | |||||||||||||||
For the | For the | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | For the | Ended | For the | |||||||||||||
March 31, | Year Ended | March 31, | Year Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 | |||||||||||||
From Operations | ||||||||||||||||
Net investment income (loss) | $ | 343,482 | $ | 282,441 | $ | 358,796 | $ | 605,778 | ||||||||
Net realized gain (loss) on investments and foreign currency transactions | 11,113,380 | 25,256,142 | (137,175 | ) | 3,255,733 | |||||||||||
Net change in unrealized appreciation (depreciation) on investments, foreign currency transactions and short positions | 4,082,663 | (14,842,998 | ) | 13,057,341 | (8,152,352 | ) | ||||||||||
Change in Net Assets from Operations | 15,539,525 | 10,695,585 | 13,278,962 | (4,290,841 | ) | |||||||||||
Distributions to Shareholders from: | ||||||||||||||||
Net investment income, Class A | (1,165 | ) | — | (13,838 | ) | (18,796 | ) | |||||||||
Net investment income, Class C | — | — | (275 | ) | (470 | ) | ||||||||||
Net investment income, Class Y | (141,026 | ) | (273,246 | ) | (61,283 | ) | (28,493 | ) | ||||||||
Net investment income, Class Z | (395 | ) | — | — | — | |||||||||||
Net investment income, Institutional Class | — | — | (307,035 | ) | (555,638 | ) | ||||||||||
Net realized gains, Class A | — | — | (157,428 | ) | (8,176 | ) | ||||||||||
Net realized gains, Class C | — | — | (12,581 | ) | (1,773 | ) | ||||||||||
Net realized gains, Class Y | — | — | (499,702 | ) | (8,159 | ) | ||||||||||
Net realized gains, Institutional Class | — | — | (2,444,064 | ) | (526,560 | ) | ||||||||||
Total Distributions | (142,586 | ) | (273,246 | ) | (3,496,206 | ) | (1,148,065 | ) | ||||||||
Class A | ||||||||||||||||
Proceeds from shares sold | 32,907 | 231,656 | 868,142 | 4,384,562 | ||||||||||||
Reinvestment of distributions | 1,073 | — | 166,895 | 26,888 | ||||||||||||
Cost of shares redeemed | (211,374 | ) | (238,503 | ) | (431,702 | ) | (1,823,276 | ) | ||||||||
Change in Net Assets from Class A Share Transactions | (177,394 | ) | (6,847 | ) | 603,335 | 2,588,174 | ||||||||||
Class C | ||||||||||||||||
Proceeds from shares sold | 14,025 | 309,661 | 19,823 | 112,061 | ||||||||||||
Reinvestment of distributions | — | — | 12,855 | 2,243 | ||||||||||||
Cost of shares redeemed | (45,408 | ) | (58,829 | ) | (7,973 | ) | (11,357 | ) | ||||||||
Change in Net Assets from Class C Share Transactions | (31,383 | ) | 250,832 | 24,705 | 102,947 | |||||||||||
Class Y | ||||||||||||||||
Proceeds from shares sold | 2,693,325 | 16,486,326 | 8,078,308 | 5,312,984 | ||||||||||||
Reinvestment of distributions | 9,990 | 10,151 | 543,850 | 37,124 | ||||||||||||
Cost of shares redeemed | (29,684,458 | ) | (72,682,133 | ) | (1,865,077 | ) | (193,562 | ) | ||||||||
Change in Net Assets from Class Y Share Transactions | (26,981,143 | ) | (56,185,656 | ) | 6,757,081 | 5,156,546 |
(A) Class A and Class C represent the period from commencement of operations (November 15, 2010) through September 30, 2011.
See accompanying Notes to Financial Statements.
78 |
Statements of Changes in Net Assets (Continued)
Touchstone Premium | Touchstone Sands Capital | Touchstone Short Duration | ||||||||||||||||||||
Yield Equity Fund | Select Growth Fund | Fixed Income Fund | ||||||||||||||||||||
For the | For the | For the | ||||||||||||||||||||
Six Months | Six Months | Six Months | ||||||||||||||||||||
Ended | For the | Ended | For the | Ended | For the | |||||||||||||||||
March 31, | Year Ended | March 31, | Year Ended | March 31, | Year Ended | |||||||||||||||||
2012 | September 30, | 2012 | September 30, | 2012 | September 30, | |||||||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011(A) | (Unaudited) | 2011 | |||||||||||||||||
$ | 950,993 | $ | 1,300,240 | $ | (6,233,939 | ) | $ | (9,378,288 | ) | $ | 432,768 | $ | 915,586 | |||||||||
250,254 | 2,415,363 | 2,239,925 | 20,212,078 | (15,391 | ) | 100,015 | ||||||||||||||||
8,357,051 | (120,647 | ) | 515,523,559 | (15,389,448 | ) | 15,416 | (516,088 | ) | ||||||||||||||
9,558,298 | 3,594,956 | 511,529,545 | (4,555,658 | ) | 432,793 | 499,513 | ||||||||||||||||
(626,742 | ) | (783,294 | ) | — | — | — | — | |||||||||||||||
(127,958 | ) | (179,677 | ) | — | — | — | — | |||||||||||||||
(186,912 | ) | (332,573 | ) | — | — | (53,776 | ) | (38,278 | ) | |||||||||||||
— | — | — | — | (461,010 | ) | (1,139,078 | ) | |||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
(941,612 | ) | (1,295,544 | ) | — | — | (514,786 | ) | (1,177,356 | ) | |||||||||||||
16,537,010 | 7,308,051 | 54,745,463 | 27,620,462 | — | — | |||||||||||||||||
561,526 | 781,388 | — | — | — | — | |||||||||||||||||
(4,184,042 | ) | (2,520,094 | ) | (12,379,537 | ) | (3,991,793 | ) | — | — | |||||||||||||
12,914,494 | 5,569,345 | 42,365,926 | 23,628,669 | — | — | |||||||||||||||||
4,826,739 | 1,961,365 | 21,182,745 | 9,740,865 | — | — | |||||||||||||||||
102,988 | 149,469 | — | — | — | — | |||||||||||||||||
(436,852 | ) | (1,763,905 | ) | (956,108 | ) | (155,138 | ) | — | — | |||||||||||||
4,492,875 | 346,929 | 20,226,637 | 9,585,727 | — | — | |||||||||||||||||
20,930,144 | 8,576,183 | 451,489,300 | 353,708,625 | 7,562,565 | 2,313,962 | |||||||||||||||||
120,946 | 274,614 | — | — | 32,729 | 3,293 | |||||||||||||||||
(2,710,945 | ) | (17,699,494 | ) | (64,695,166 | ) | (58,056,051 | ) | (789,564 | ) | (1,903,448 | ) | |||||||||||
18,340,145 | (8,848,697 | ) | 386,794,134 | 295,652,574 | 6,805,730 | 413,807 |
79 |
Statements of Changes in Net Assets (Continued)
Touchstone Mid Cap | Touchstone Mid Cap | |||||||||||||||
Fund | Value Fund | |||||||||||||||
For the | For the | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | For the | Ended | For the | |||||||||||||
March 31, | Year Ended | March 31, | Year Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 | |||||||||||||
Class Z | ||||||||||||||||
Proceeds from shares sold | 127,741 | 2,449,859 | — | — | ||||||||||||
Reinvestment of distributions | 395 | — | — | — | ||||||||||||
Cost of shares redeemed | (760,956 | ) | (2,115,870 | ) | — | — | ||||||||||
Change in Net Assets from Class Z Share Transactions | (632,820 | ) | 333,989 | — | — | |||||||||||
Institutional Class | ||||||||||||||||
Proceeds from shares sold | 2,500 | — | 3,477,715 | 2,992,360 | ||||||||||||
Reinvestment of distributions | — | — | 2,748,051 | 1,115,061 | ||||||||||||
Cost of shares redeemed | — | — | (889,723 | ) | (28,782 | ) | ||||||||||
Change in Net Assets from Institutional Class Share Transactions | 2,500 | — | 5,336,043 | 4,078,639 | ||||||||||||
Net Increase (Decrease) from Share Transactions | (27,820,240 | ) | (55,607,682 | ) | 12,721,164 | 11,926,306 | ||||||||||
Total Increase (Decrease) in Net Assets | (12,423,301 | ) | (45,185,343 | ) | 22,503,920 | 6,487,400 | ||||||||||
Net Assets | ||||||||||||||||
Beginning of period | 79,894,024 | 125,079,367 | 47,061,578 | 40,574,178 | ||||||||||||
End of period | $ | 67,470,723 | $ | 79,894,024 | $ | 69,565,498 | $ | 47,061,578 | ||||||||
Accumulated Net Investment Income (Loss) | $ | 238,804 | $ | 37,908 | $ | 10,785 | $ | 34,420 |
(A) Class A and Class C represent the period from commencement of operations (November 15, 2010) through September 30, 2011.
See accompanying Notes to Financial Statements.
80 |
Statements of Changes in Net Assets (Continued)
Touchstone Premium | Touchstone Sands Capital | Touchstone Short Duration | ||||||||||||||||||||
Yield Equity Fund | Select Growth Fund | Fixed Income Fund | ||||||||||||||||||||
For the | For the | For the | ||||||||||||||||||||
Six Months | Six Months | Six Months | ||||||||||||||||||||
Ended | For the | Ended | For the | Ended | For the | |||||||||||||||||
March 31, | Year Ended | March 31, | Year Ended | March 31, | Year Ended | |||||||||||||||||
2012 | September 30, | 2012 | September 30, | 2012 | September 30, | |||||||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011(A) | (Unaudited) | 2011 | |||||||||||||||||
— | — | 476,826,903 | 680,698,491 | 4,676,920 | 7,952,507 | |||||||||||||||||
— | — | — | — | 298,063 | 1,140,674 | |||||||||||||||||
— | — | (252,721,914 | ) | (331,487,191 | ) | (5,271,630 | ) | (11,733,361 | ) | |||||||||||||
— | — | 224,104,989 | 349,211,300 | (296,647 | ) | (2,640,180 | ) | |||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
— | — | — | — | — | — | |||||||||||||||||
35,747,514 | (2,932,423 | ) | 673,491,686 | 678,078,270 | 6,509,083 | (2,226,373 | ) | |||||||||||||||
44,364,200 | (633,011 | ) | 1,185,021,231 | 673,522,612 | 6,427,090 | (2,904,216 | ) | |||||||||||||||
40,218,765 | 40,851,776 | 1,334,183,931 | 660,661,319 | 41,274,095 | 44,178,311 | |||||||||||||||||
$ | 84,582,965 | $ | 40,218,765 | $ | 2,519,205,162 | $ | 1,334,183,931 | $ | 47,701,185 | $ | 41,274,095 | |||||||||||
$ | 91,244 | $ | 81,863 | $ | (6,233,939 | ) | $ | — | $ | (49,454 | ) | $ | 32,564 |
81 |
Statements of Changes in Net Assets (Continued)
Touchstone Small Cap | Touchstone Small Cap | |||||||||||||||
Core Fund | Value Fund | |||||||||||||||
For the | For the | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | For the | Ended | For the | |||||||||||||
March 31, | Year Ended | March 31, | Year Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011(A) | |||||||||||||
From Operations | ||||||||||||||||
Net investment income | $ | 453,073 | $ | 52,866 | $ | 278,887 | $ | 810,142 | ||||||||
Net realized gain (loss) on investments | (772,258 | ) | 2,090,097 | (780,141 | ) | 19,710,768 | ||||||||||
Net change in unrealized appreciation (depreciation) on investments | 58,920,339 | (9,589,918 | ) | 10,722,959 | (20,021,935 | ) | ||||||||||
Change in Net Assets from Operations | 58,601,154 | (7,446,955 | ) | 10,221,705 | 498,975 | |||||||||||
Distributions to Shareholders from: | ||||||||||||||||
Net investment income, Class A | (2,404 | ) | (41,566 | ) | (431,347 | ) | (127,653 | ) | ||||||||
Net investment income, Class C | (718 | ) | (275 | ) | (88 | ) | (19 | ) | ||||||||
From net investment income, Class Y | (106,602 | ) | (88,965 | ) | (63 | ) | (94 | ) | ||||||||
From net investment income, Class Z | — | — | — | (593,961 | ) | |||||||||||
Net investment income, Institutional Class | (123,223 | ) | (46,227 | ) | (13,589 | ) | (3,526 | ) | ||||||||
Net realized gains, Class A | (674,157 | ) | (1,431 | ) | — | — | ||||||||||
Net realized gains, Class C | (164,641 | ) | (178 | ) | — | — | ||||||||||
Net realized gains, Class Y | (1,166,246 | ) | (925 | ) | — | — | ||||||||||
Net realized gains, Institutional Class | (667,756 | ) | (332 | ) | — | — | ||||||||||
Total Distributions | (2,905,747 | ) | (179,899 | ) | (445,087 | ) | (725,253 | ) | ||||||||
Class A | ||||||||||||||||
Proceeds from shares sold | 24,772,195 | 49,502,790 | 777,165 | 51,383,529 | ||||||||||||
Reinvestment of distributions | 649,407 | 41,411 | 418,126 | 124,666 | ||||||||||||
Proceeds from shares issued in connection with merger(D) | — | — | — | — | ||||||||||||
Cost of shares redeemed | (20,918,647 | ) | (54,781,287 | ) | (14,057,448 | ) | (7,027,740 | ) | ||||||||
Change in Net Assets from Class A Share Transactions | 4,502,955 | (5,237,086 | ) | (12,862,157 | ) | 44,480,455 | ||||||||||
Class C | ||||||||||||||||
Proceeds from shares sold | 4,593,552 | 9,636,367 | 25,000 | 2,500 | ||||||||||||
Reinvestment of distributions | 135,845 | 390 | 89 | 19 | ||||||||||||
Proceeds from shares issued in connection with merger(D) | — | — | — | — | ||||||||||||
Cost of shares redeemed | (1,985,658 | ) | (2,502,825 | ) | — | — | ||||||||||
Change in Net Assets from Class C Share Transactions | 2,743,739 | 7,133,932 | 25,089 | 2,519 | ||||||||||||
Class Y | ||||||||||||||||
Proceeds from shares sold | 53,431,324 | 48,551,714 | 8,371 | 22,500 | ||||||||||||
Reinvestment of distributions | 937,735 | 82,193 | 63 | 94 | ||||||||||||
Proceeds from shares issued in connection with merger(D) | — | — | — | — | ||||||||||||
Cost of shares redeemed | (9,084,665 | ) | (22,803,876 | ) | — | (15,998 | ) | |||||||||
Change in Net Assets from Class Y Share Transactions | 45,284,394 | 25,830,031 | 8,434 | 6,596 |
(A) Class A, Class C, Class Y and Institutional Class represent the period from commencement of operations (March 1, 2011) through September 30, 2011. Effective June 10, 2011, Class Z shares converted to Class A shares.
(B) Touchstone Total Return Bond Fund acquired all of the assets and liabilities of EARNEST Partners Fixed Income Trust (“Predecessor Fund”) in a reorganization on August 1, 2011. The Predecessor Fund's performance and financial history have been adopted by Touchstone Total Return Bond Fund and will be used going forward. As a result, the information prior to August 1, 2011 reflects that of the Predecessor Fund.
(C) Effective August 1, 2011, the Fund changed its fiscal year end from March 31 to September 30 and Investor Class shares and Institutional Class shares were renamed Class A and Class Y shares, respectively. See Note 9 in the Notes to Financial Statements.
(D) See Note 9 in the Notes to Financial Statements.
See accompanying Notes to Financial Statements.
82 |
Statements of Changes in Net Assets (Continued)
Touchstone Total Return | Touchstone Ultra Short Duration | |||||||||||||||||
Bond Fund(B) | Fixed Income Fund | |||||||||||||||||
For the | For the | |||||||||||||||||
Six Months | Six Months | |||||||||||||||||
Ended | For the | For the | Ended | For the | ||||||||||||||
March 31, | Period Ended | Year Ended | March 31, | Year Ended | ||||||||||||||
2012 | September 30, | March 31, | 2012 | September 30, | ||||||||||||||
(Unaudited) | 2011(C) | 2011 | (Unaudited) | 2011 | ||||||||||||||
$ | 779,276 | $ | 465,041 | $ | 760,499 | $ | 2,633,107 | $ | 3,817,830 | |||||||||
287,354 | (32,688 | ) | 124,235 | 509,615 | 198,188 | |||||||||||||
207,434 | 655,036 | 292,070 | 711,744 | (989,421 | ) | |||||||||||||
1,274,064 | 1,087,389 | 1,176,804 | 3,854,466 | 3,026,597 | ||||||||||||||
(79,775 | ) | (32,331 | ) | (204 | ) | — | — | |||||||||||
(29,386 | ) | (17,889 | ) | — | — | — | ||||||||||||
(276,048 | ) | (382,064 | ) | (796,480 | ) | — | — | |||||||||||
— | (56,657 | ) | — | (4,175,855 | ) | (5,857,004 | ) | |||||||||||
(395,357 | ) | — | — | — | — | |||||||||||||
— | — | — | �� | — | — | |||||||||||||
— | — | — | — | — | ||||||||||||||
— | — | — | — | — | ||||||||||||||
— | — | — | — | — | ||||||||||||||
(780,566 | ) | (488,941 | ) | (796,684 | ) | (4,175,855 | ) | (5,857,004 | ) | |||||||||
2,513,963 | 1,404,720 | 7,000 | — | — | ||||||||||||||
48,711 | 26,290 | 204 | — | — | ||||||||||||||
— | 3,333,082 | — | — | — | ||||||||||||||
(1,240,606 | ) | (62,433 | ) | — | — | — | ||||||||||||
1,322,068 | 4,701,659 | 7,204 | — | — | ||||||||||||||
466,324 | 107,577 | — | — | — | ||||||||||||||
18,295 | 15,634 | — | — | — | ||||||||||||||
— | 2,488,799 | — | — | — | ||||||||||||||
(58,991 | ) | (49,260 | ) | — | — | — | ||||||||||||
425,628 | 2,562,750 | — | — | — | ||||||||||||||
5,041,328 | 1,548,765 | 2,061,368 | — | — | ||||||||||||||
181,475 | 379,097 | 768,862 | — | — | ||||||||||||||
— | 617,477 | — | — | — | ||||||||||||||
(8,438,051 | ) | (1,731,835 | ) | (3,575,575 | ) | — | — | |||||||||||
(3,215,248 | ) | 813,504 | (745,345 | ) | — | — |
83 |
Statements of Changes in Net Assets (Continued)
Touchstone Small Cap | Touchstone Small Cap | |||||||||||||||
Core Fund | Value Fund | |||||||||||||||
For the | For the | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | For the | Ended | For the | |||||||||||||
March 31, | Year Ended | March 31, | Year Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011(A) | |||||||||||||
Class Z | ||||||||||||||||
Proceeds from shares sold | — | — | — | 7,143,600 | ||||||||||||
Reinvestment of distributions | — | — | — | 582,090 | ||||||||||||
Cost of shares redeemed | — | — | — | (79,340,060 | ) | |||||||||||
Change in Net Assets from Class Z Share Transactions | — | — | — | (71,614,370 | ) | |||||||||||
Institutional Class | ||||||||||||||||
Proceeds from shares sold | 78,880,706 | 45,250,009 | — | 924,895 | ||||||||||||
Reinvestment of distributions | 621,290 | 46,227 | 13,260 | 3,526 | ||||||||||||
Proceeds from shares issued in connection with merger(D) | — | — | — | — | ||||||||||||
Cost of shares redeemed | (10,384,485 | ) | (8,662,099 | ) | (2,337 | ) | — | |||||||||
Change in Net Assets from Institutional Class Share Transactions | 69,117,511 | 36,634,137 | 10,923 | 928,421 | ||||||||||||
Net Increase (Decrease) from Share Transactions | 121,648,599 | 64,361,014 | (12,817,711 | ) | (26,196,379 | ) | ||||||||||
Total Increase (Decrease) in Net Assets | 177,344,006 | 56,734,160 | (3,041,093 | ) | (26,422,657 | ) | ||||||||||
Net Assets | ||||||||||||||||
Beginning of period | 156,012,142 | 99,277,982 | 38,130,207 | 64,552,864 | ||||||||||||
End of period | $ | 333,356,148 | $ | 156,012,142 | $ | 35,089,114 | $ | 38,130,207 | ||||||||
Accumulated Net Investment Income | $ | 251,130 | $ | 31,004 | $ | 47,682 | $ | 213,882 |
(A) Class A, Class C, Class Y and Institutional Class represent the period from commencement of operations (March 1, 2011) through September 30, 2011. Effective June 10, 2011, Class Z shares converted to Class A shares.
(B) Touchstone Total Return Bond Fund acquired all of the assets and liabilities of EARNEST Partners Fixed Income Trust (“Predecessor Fund”) in a reorganization on August 1, 2011. The Predecessor Fund's performance and financial history have been adopted by Touchstone Total Return Bond Fund and will be used going forward. As a result, the information prior to August 1, 2011 reflects that of the Predecessor Fund.
(C) Effective August 1, 2011, the Fund changed its fiscal year end from March 31 to September 30 and Investor Class shares and Institutional Class shares were renamed Class A and Class Y shares, respectively. See Note 9 in the Notes to Financial Statements.
(D) See Note 9 in the Notes to Financial Statements.
See accompanying Notes to Financial Statements.
84 |
Statements of Changes in Net Assets (Continued)
Touchstone Total Return | Touchstone Ultra Short Duration | |||||||||||||||||
Bond Fund(B) | Fixed Income Fund | |||||||||||||||||
For the | For the | |||||||||||||||||
Six Months | Six Months | |||||||||||||||||
Ended | For the | For the | Ended | For the | ||||||||||||||
March 31, | Period Ended | Year Ended | March 31, | Year Ended | ||||||||||||||
2012 | September 30, | March 31, | 2012 | September 30, | ||||||||||||||
(Unaudited) | 2011(C) | 2011 | (Unaudited) | 2011 | ||||||||||||||
— | — | — | 178,314,385 | 342,321,287 | ||||||||||||||
— | — | — | 2,447,405 | 5,111,991 | ||||||||||||||
— | — | — | (175,380,679 | ) | (235,121,390 | ) | ||||||||||||
— | — | — | 5,381,111 | 112,311,888 | ||||||||||||||
33,729,344 | — | — | — | — | ||||||||||||||
328,980 | 56,657 | — | — | — | ||||||||||||||
— | 6,267,909 | — | — | — | ||||||||||||||
(186,501 | ) | — | — | — | — | |||||||||||||
33,871,823 | 6,324,566 | — | — | — | ||||||||||||||
32,404,271 | 14,402,479 | (738,141 | ) | 5,381,111 | 112,311,888 | |||||||||||||
32,897,769 | 15,000,927 | (358,021 | ) | 5,059,722 | 109,481,481 | |||||||||||||
31,519,600 | 16,518,673 | 16,876,694 | 346,131,384 | 236,649,903 | ||||||||||||||
$ | 64,417,369 | $ | 31,519,600 | $ | 16,518,673 | $ | 351,191,106 | $ | 346,131,384 | |||||||||
$ | 210,360 | $ | 211,650 | $ | — | $ | (1,259,074 | ) | $ | 283,674 |
85 |
Financial Highlights
Touchstone Emerging Markets Equity Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.69 | $ | 12.68 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income (loss) | (0.01 | )(B) | 0.10 | 0.03 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.97 | (2.05 | ) | 2.65 | ||||||||
Total from investment operations | 1.96 | (1.95 | ) | 2.68 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.08 | ) | (0.02 | ) | — | |||||||
Realized capital gains | (0.09 | ) | (0.02 | ) | — | |||||||
Total distributions | (0.17 | ) | (0.04 | ) | — | |||||||
Net asset value at end of period | $ | 12.48 | $ | 10.69 | $ | 12.68 | ||||||
Total return(C) | 18.50 | %(D) | (15.45 | )% | 26.80 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 36,865 | $ | 26,592 | $ | 10,343 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.74 | %(E) | 1.74 | % | 1.74 | % | ||||||
Gross expenses | 1.89 | %(E) | 1.95 | % | 2.25 | % | ||||||
Net investment income (loss) | (0.10 | )%(E) | 0.98 | % | 0.76 | % | ||||||
Portfolio turnover rate | 2 | %(D) | 18 | % | 8 | % |
Touchstone Emerging Markets Equity Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.54 | $ | 12.58 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income (loss) | (0.05 | )(B) | 0.03 | 0.00 | (F) | |||||||
Net realized and unrealized gains (losses) on investments | 1.94 | (2.05 | ) | 2.58 | ||||||||
Total from investment operations | 1.89 | (2.02 | ) | 2.58 | ||||||||
Distributions from: | ||||||||||||
Net investment income | 0.00 | (F) | — | — | ||||||||
Realized capital gains | (0.09 | ) | (0.02 | ) | — | |||||||
Total distributions | (0.09 | ) | (0.02 | ) | — | |||||||
Net asset value at end of period | $ | 12.34 | $ | 10.54 | $ | 12.58 | ||||||
Total return(C) | 18.04 | %(D) | (16.07 | )% | 25.80 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 5,674 | $ | 5,417 | $ | 3,590 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 2.49 | %(E) | 2.49 | % | 2.49 | % | ||||||
Gross expenses | 2.79 | %(E) | 2.82 | % | 2.99 | % | ||||||
Net investment income (loss) | (0.85 | )%(E) | 0.21 | % | (0.03 | )% | ||||||
Portfolio turnover rate | 2 | %(D) | 18 | % | 8 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
(F) | Amount rounds to less than $0.005 per share. |
See accompanying Notes to Financial Statements.
86 |
Financial Highlights (Continued)
Touchstone Emerging Markets Equity Fund—Class Y
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.74 | $ | 12.72 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.01 | (B) | 0.11 | 0.01 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.98 | (2.05 | ) | 2.71 | ||||||||
Total from investment operations | 1.99 | (1.94 | ) | 2.72 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.11 | ) | (0.02 | ) | — | |||||||
Realized capital gains | (0.09 | ) | (0.02 | ) | — | |||||||
Total distributions | (0.20 | ) | (0.04 | ) | — | |||||||
Net asset value at end of period | $ | 12.53 | $ | 10.74 | $ | 12.72 | ||||||
Total return | 18.71 | %(C) | (15.21 | )% | 27.10 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 208,646 | $ | 151,532 | $ | 13,597 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.40 | %(D) | 1.48 | % | 1.49 | % | ||||||
Gross expenses | 1.41 | %(D) | 1.48 | % | 2.10 | % | ||||||
Net investment income | 0.24 | %(D) | 1.50 | % | 0.86 | % | ||||||
Portfolio turnover rate | 2 | %(C) | 18 | % | 8 | % |
Touchstone Emerging Markets Equity Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.76 | $ | 12.74 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.02 | (B) | 0.13 | 0.05 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.98 | (2.06 | ) | 2.69 | ||||||||
Total from investment operations | 2.00 | (1.93 | ) | 2.74 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.12 | ) | (0.03 | ) | — | |||||||
Realized capital gains | (0.09 | ) | (0.02 | ) | — | |||||||
Total distributions | (0.21 | ) | (0.05 | ) | — | |||||||
Net asset value at end of period | $ | 12.55 | $ | 10.76 | $ | 12.74 | ||||||
Total return | 18.77 | %(C) | (15.18 | )% | 27.40 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 383,868 | $ | 244,657 | $ | 125,414 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.34 | %(D) | 1.34 | % | 1.34 | % | ||||||
Gross expenses | 1.36 | %(D) | 1.43 | % | 1.74 | % | ||||||
Net investment income | 0.30 | %(D) | 1.51 | % | 1.26 | % | ||||||
Portfolio turnover rate | 2 | %(C) | 18 | % | 8 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Not annualized. |
(D) | Annualized. |
See accompanying Notes to Financial Statements.
87 |
Financial Highlights (Continued)
Touchstone Emerging Markets Equity Fund II—Class A
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||
Ended | Period | |||||||
March 31, | Ended | |||||||
2012 | September 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 7.95 | $ | 10.00 | ||||
Income (loss) from investment operations: | ||||||||
Net investment income (loss) | (0.01 | )(B) | 0.03 | |||||
Net realized and unrealized gains (losses) on investments | 1.29 | (2.08 | ) | |||||
Total from investment operations | 1.28 | (2.05 | ) | |||||
Distributions from: | ||||||||
Net investment income | (0.04 | ) | — | |||||
Net asset value at end of period | $ | 9.19 | $ | 7.95 | ||||
Total return(C) | 16.14 | %(D) | (20.50 | )%(D) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 2,801 | $ | 417 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 1.74 | %(E) | 1.74 | %(E) | ||||
Gross expenses | 3.10 | %(E) | 8.56 | %(E) | ||||
Net investment income (loss) | (0.28 | )%(E) | 1.34 | %(E) | ||||
Portfolio turnover rate | 0 | %(D)(F) | 112 | %(D) |
Touchstone Emerging Markets Equity Fund II—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||
Ended | Period | |||||||
March 31, | Ended | |||||||
2012 | September 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 7.93 | $ | 10.00 | ||||
Income (loss) from investment operations: | ||||||||
Net investment income (loss) | (0.05 | )(B) | 0.02 | |||||
Net realized and unrealized gains (losses) on investments | 1.29 | (2.09 | ) | |||||
Total from investment operations | 1.24 | (2.07 | ) | |||||
Distributions from: | ||||||||
Net investment income | (0.06 | ) | — | |||||
Net asset value at end of period | $ | 9.11 | $ | 7.93 | ||||
Total return(C) | 15.77 | %(D) | (20.70 | )%(D) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 103 | $ | 17 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 2.49 | %(E) | 2.49 | %(E) | ||||
Gross expenses | 20.88 | %(E) | 60.21 | %(E) | ||||
Net investment income (loss) | (1.03 | )%(E) | 0.69 | %(E) | ||||
Portfolio turnover rate | 0 | %(D)(F) | 112 | %(D) |
(A) | The Fund commenced operations on April 18, 2011. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
(F) | Amount rounds to less than $0.005 per share or 0.005%. |
See accompanying Notes to Financial Statements.
88 |
Financial Highlights (Continued)
Touchstone Emerging Markets Equity Fund II—Class Y
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||
Ended | Period | |||||||
March 31, | Ended | |||||||
2012 | September 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 7.96 | $ | 10.00 | ||||
Income (loss) from investment operations: | ||||||||
Net investment income | (0.00 | )(B)(C) | 0.11 | |||||
Net realized and unrealized gains (losses) on investments | 1.29 | (2.15 | ) | |||||
Total from investment operations | 1.29 | (2.04 | ) | |||||
Distributions from: | ||||||||
Net investment income | (0.08 | ) | — | |||||
Net asset value at end of period | $ | 9.17 | $ | 7.96 | ||||
Total return | 16.37 | %(D) | (20.40 | )%(D) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 7,309 | $ | 200 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 1.49 | %(E) | 1.49 | %(E) | ||||
Gross expenses | 2.81 | %(E) | 6.83 | %(E) | ||||
Net investment income (loss) | (0.03 | )%(E) | 1.53 | %(E) | ||||
Portfolio turnover rate | 0 | %(B)(D) | 112 | %(D) |
Touchstone Emerging Markets Equity Fund II—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||
Ended | Period | |||||||
March 31, | Ended | |||||||
2012 | September 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 7.97 | $ | 10.00 | ||||
Income (loss) from investment operations: | ||||||||
Net investment income | 0.01 | (C) | 0.07 | |||||
Net realized and unrealized gains (losses) on investments | 1.29 | (2.10 | ) | |||||
Total from investment operations | 1.30 | (2.03 | ) | |||||
Distributions from: | ||||||||
Net investment income | (0.04 | ) | — | |||||
Net asset value at end of period | $ | 9.23 | $ | 7.97 | ||||
Total return | 16.37 | %(D) | (20.30 | )%(D) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 19,517 | $ | 3,930 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 1.34 | %(E) | 1.34 | %(E) | ||||
Gross expenses | 2.34 | %(E) | 4.16 | %(E) | ||||
Net investment income | 0.12 | %(E) | 1.67 | %(E) | ||||
Portfolio turnover rate | 0 | %(B)(D) | 112 | %(D) |
(A) | The Fund commenced operations on April 18, 2011. |
(B) | Amount rounds to less than $0.005 per share or 0.005%. |
(C) | The net investment income per share is based on average shares outstanding for the period. |
(D) | Not annualized. |
(E) | Annualized. |
See accompanying Notes to Financial Statements.
89 |
Financial Highlights (Continued)
Touchstone Focused Equity Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
Six Months | Year | Period | ||||||||||
Ended | Ended | Ended | ||||||||||
March 31, | September | September | ||||||||||
2012 | 30, | 30, | ||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.50 | $ | 10.95 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.02 | (B) | 0.10 | 0.02 | ||||||||
Net realized and unrealized gains (losses) on investments | 2.29 | (1.38 | ) | 0.93 | ||||||||
Total from investment operations | 2.31 | (1.28 | ) | 0.95 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.07 | ) | (0.08 | ) | — | |||||||
Realized capital gains | (0.26 | ) | (0.09 | ) | — | |||||||
Total distributions | (0.33 | ) | (0.17 | ) | — | |||||||
Net asset value at end of period | $ | 11.48 | $ | 9.50 | $ | 10.95 | ||||||
Total return(C) | 24.94 | %(D) | (11.95 | )% | 9.40 | %(D) | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 91,997 | $ | 80,741 | $ | 814 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.20 | %(E) | 1.20 | % | 1.20 | %(E) | ||||||
Gross expenses | 1.86 | %(E) | 1.70 | % | 4.65 | %(E) | ||||||
Net investment income | 0.37 | %(E) | 0.56 | % | 0.46 | %(E) | ||||||
Portfolio turnover rate | 19 | %(D) | 44 | % | 101 | %(D) |
Touchstone Focused Equity Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | Year | Period | ||||||||||
Ended | Ended | Ended | ||||||||||
March 31, | September | September | ||||||||||
2012 | 30, | 30, | ||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.38 | $ | 10.88 | $ | 10.00 | (B) | |||||
Income (loss) from investment operations: | ||||||||||||
Net investment loss | (0.02 | )(B) | (0.05 | ) | (0.01 | ) | ||||||
Net realized and unrealized gains (losses) on investments | 2.26 | (1.32 | ) | 0.89 | ||||||||
Total from investment operations | 2.24 | (1.37 | ) | 0.88 | ||||||||
Distributions from: | ||||||||||||
Net investment income | — | (0.04 | ) | — | ||||||||
Realized capital gains | (0.26 | ) | (0.09 | ) | — | |||||||
Total distributions | (0.26 | ) | (0.13 | ) | — | |||||||
Net asset value at end of period | $ | 11.36 | $ | 9.38 | $ | 10.88 | ||||||
Total return(C) | 24.15 | %(D) | (12.78 | )% | 8.90 | %(D) | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 296 | $ | 179 | $ | 187 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.95 | %(E) | 1.95 | % | 1.95 | %(E) | ||||||
Gross expenses | 6.90 | %(E) | 5.90 | % | 5.45 | %(E) | ||||||
Net investment income (loss) | (0.38 | )%(E) | (0.52 | )% | (0.24 | )%(E) | ||||||
Portfolio turnover rate | 19 | %(D) | 44 | % | 101 | %(D) |
(A) | Represents the period from commencement of operations (December 31, 2009) through September 30, 2010. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
See accompanying Notes to Financial Statements.
90 |
Financial Highlights (Continued)
Touchstone Focused Equity Fund—Class Y
Selected Data for a Share Outstanding Throughout Each Period
Six Months | Year | Period | ||||||||||
Ended | Ended | Ended | ||||||||||
March 31, | September | September | ||||||||||
2012 | 30, | 30, | ||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.60 | $ | 10.96 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.03 | (B) | 0.02 | 0.04 | ||||||||
Net realized and unrealized gains (losses) on investments | 2.31 | (1.29 | ) | 0.92 | ||||||||
Total from investment operations | 2.34 | �� | (1.27 | ) | 0.96 | |||||||
Distributions from: | ||||||||||||
Net investment income | (0.11 | ) | — | — | ||||||||
Realized capital gains | (0.26 | ) | (0.09 | ) | — | |||||||
Total distributions | (0.37 | ) | (0.09 | ) | — | |||||||
Net asset value at end of period | $ | 11.57 | $ | 9.60 | $ | 10.96 | ||||||
Total return | 25.14 | %(C) | (11.77 | )% | 9.60 | %(C) | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 7,505 | $ | 12,383 | $ | 201 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.95 | %(D) | 0.95 | % | 0.95 | %(D) | ||||||
Gross expenses | 1.21 | %(D) | 1.18 | % | 4.62 | %(D) | ||||||
Net investment income | 0.62 | %(D) | 0.79 | % | 0.81 | %(D) | ||||||
Portfolio turnover rate | 19 | %(C) | 44 | % | 101 | %(C) |
Touchstone Focused Equity Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
Six Months | Year | Period | ||||||||||
Ended | Ended | Ended | ||||||||||
March 31, | September | September | ||||||||||
2012 | 30, | 30, | ||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.28 | $ | 10.97 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.04 | (B) | 0.10 | 0.17 | ||||||||
Net realized and unrealized gains (losses) on investments | 2.22 | (1.28 | ) | 0.80 | ||||||||
Total from investment operations | 2.26 | (1.18 | ) | 0.97 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.12 | ) | (0.42 | ) | — | |||||||
Realized capital gains | (0.26 | ) | (0.09 | ) | — | |||||||
Total distributions | (0.38 | ) | (0.51 | ) | — | |||||||
Net asset value at end of period | $ | 11.16 | $ | 9.28 | $ | 10.97 | ||||||
Total return | 25.14 | %(C) | (11.68 | )% | 9.70 | %(C) | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 5,034 | $ | 852 | $ | 768 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.80 | %(D) | 0.80 | % | 0.80 | %(D) | ||||||
Gross expenses | 1.94 | %(D) | 2.12 | % | 3.66 | %(D) | ||||||
Net investment income | 0.77 | %(D) | 0.50 | % | 0.99 | %(D) | ||||||
Portfolio turnover rate | 19 | %(C) | 44 | % | 101 | %(C) |
(A) | Represents the period from commencement of operations (December 31, 2009) through September 30, 2010. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Not annualized. |
(D) | Annualized. |
See accompanying Notes to Financial Statements.
91 |
Financial Highlights (Continued)
Touchstone Global Equity Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.86 | $ | 10.65 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.11 | (B) | 0.08 | 0.04 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.27 | (0.68 | ) | 0.61 | ||||||||
Total from investment operations | 1.38 | (0.60 | ) | 0.65 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.05 | ) | (0.09 | ) | — | |||||||
Realized capital gains | (0.98 | ) | (0.10 | ) | — | |||||||
Total distributions | (1.03 | ) | (0.19 | ) | — | |||||||
Net asset value at end of period | $ | 10.21 | $ | 9.86 | $ | 10.65 | ||||||
Total return(C) | 15.36 | %(D) | (5.87 | )% | 6.50 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 709 | $ | 636 | $ | 1,857 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.34 | %(E) | 1.34 | % | 1.34 | % | ||||||
Gross expenses | 4.00 | %(E) | 4.13 | % | 3.75 | % | ||||||
Net investment income | 2.13 | %(E) | 0.18 | % | 1.56 | % | ||||||
Portfolio turnover rate | 29 | %(D) | 64 | % | 68 | % |
Touchstone Global Equity Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.79 | $ | 10.57 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income (loss) | 0.07 | (B) | (0.02 | ) | 0.00 | (F) | ||||||
Net realized and unrealized gains (losses) on investments | 1.26 | (0.66 | ) | 0.57 | ||||||||
Total from investment operations | 1.33 | (0.68 | ) | 0.57 | ||||||||
Distributions from: | ||||||||||||
Realized capital gains | (0.98 | ) | (0.10 | ) | — | |||||||
Net asset value at end of period | $ | 10.14 | $ | 9.79 | $ | 10.57 | ||||||
Total return(C) | 14.90 | %(D) | (6.54 | )% | 5.70 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 113 | $ | 101 | $ | 106 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 2.09 | %(E) | 2.09 | % | 2.09 | % | ||||||
Gross expenses | 10.73 | %(E) | 11.43 | % | 4.28 | % | ||||||
Net investment income (loss) | 1.38 | %(E) | (0.23 | )% | 0.02 | % | ||||||
Portfolio turnover rate | 29 | %(D) | 64 | % | 68 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower |
(D) | Not annualized. |
(E) | Annualized. |
(F) | Amount rounds to less than $0.005 per share. |
See accompanying Notes to Financial Statements.
92 |
Financial Highlights (Continued)
Touchstone Global Equity Fund—Class Y
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.93 | $ | 10.68 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.12 | (B) | 0.06 | 0.09 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.28 | (0.64 | ) | 0.59 | ||||||||
Total from investment operations | 1.40 | (0.58 | ) | 0.68 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.06 | ) | (0.07 | ) | — | |||||||
Realized capital gains | (0.98 | ) | (0.10 | ) | — | |||||||
Total distributions | (1.04 | ) | (0.17 | ) | — | |||||||
Net asset value at end of period | $ | 10.29 | $ | 9.93 | $ | 10.68 | ||||||
Total return | 15.43 | %(C) | (5.56 | )% | 6.70 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 226 | $ | 197 | $ | 142 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.09 | %(D) | 1.09 | % | 1.09 | % | ||||||
Gross expenses | 6.42 | %(D) | 7.29 | % | 3.38 | % | ||||||
Net investment income | 2.38 | %(D) | 0.76 | % | 1.05 | % | ||||||
Portfolio turnover rate | 29 | %(C) | 64 | % | 68 | % |
Touchstone Global Equity Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.92 | $ | 10.69 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.13 | (B) | 0.10 | 0.11 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.28 | (0.66 | ) | 0.58 | ||||||||
Total from investment operations | 1.41 | (0.56 | ) | 0.69 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.08 | ) | (0.11 | ) | 0.00 | (E) | ||||||
Realized capital gains | (0.98 | ) | (0.10 | ) | — | |||||||
Total distributions | (1.06 | ) | (0.21 | ) | — | |||||||
Net asset value at end of period | $ | 10.27 | $ | 9.92 | $ | 10.69 | ||||||
Total return | 15.52 | %(C) | (5.51 | )% | 6.93 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 3,594 | $ | 2,926 | $ | 3,086 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.94 | %(D) | 0.94 | % | 0.94 | % | ||||||
Gross expenses | 2.34 | %(D) | 2.60 | % | 3.11 | % | ||||||
Net investment income | 2.53 | %(D) | 0.91 | % | 1.18 | % | ||||||
Portfolio turnover rate | 29 | %(C) | 64 | % | 68 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Not annualized. |
(D) | Annualized. |
(E) | Amount rounds to less than $0.005 per share. |
See accompanying Notes to Financial Statements.
93 |
Financial Highlights (Continued)
Touchstone Global Real Estate Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.76 | $ | 11.46 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.11 | (B) | 0.35 | 0.36 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.85 | (1.10 | ) | 1.45 | ||||||||
Total from investment operations | 1.96 | (0.75 | ) | 1.81 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.09 | ) | (0.48 | ) | (0.35 | ) | ||||||
Realized capital gains | (0.45 | ) | (0.47 | ) | — | |||||||
Total distributions | (0.54 | ) | (0.95 | ) | (0.35 | ) | ||||||
Net asset value at end of period | $ | 11.18 | $ | 9.76 | $ | 11.46 | ||||||
Total return(C) | 20.92 | %(D) | (7.47 | )% | 18.54 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 366 | $ | 2,038 | $ | 881 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.39 | %(E) | 1.39 | % | 1.39 | % | ||||||
Gross expenses | 3.07 | %(E) | 3.55 | % | 4.27 | % | ||||||
Net investment income | 2.04 | %(E) | 2.30 | % | 2.94 | % | ||||||
Portfolio turnover rate | 34 | %(D) | 85 | % | 107 | % |
Touchstone Global Real Estate Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.80 | $ | 11.50 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.07 | (B) | 0.20 | 0.17 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.86 | (1.05 | ) | 1.58 | ||||||||
Total from investment operations | 1.93 | (0.85 | ) | 1.75 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.07 | ) | (0.38 | ) | (0.25 | ) | ||||||
Realized capital gains | (0.45 | ) | (0.47 | ) | — | |||||||
Total distributions | (0.52 | ) | (0.85 | ) | (0.25 | ) | ||||||
Net asset value at end of period | $ | 11.21 | $ | 9.80 | $ | 11.50 | ||||||
Total return(C) | 20.48 | %(D) | (8.20 | )% | 17.75 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 140 | $ | 116 | $ | 123 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 2.14 | %(E) | 2.14 | % | 2.14 | % | ||||||
Gross expenses | 8.41 | %(E) | 11.08 | % | 4.60 | % | ||||||
Net investment income | 1.29 | %(E) | 1.58 | % | 1.60 | % | ||||||
Portfolio turnover rate | 34 | %(D) | 85 | % | 107 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
See accompanying Notes to Financial Statements.
94 |
Financial Highlights (Continued)
Touchstone Global Real Estate Fund—Class Y
Selected Data for a Share Outstanding
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.84 | $ | 11.53 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.12 | (B) | 0.32 | 0.28 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.87 | (1.06 | ) | 1.58 | ||||||||
Total from investment operations | 1.99 | (0.74 | ) | 1.86 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.09 | ) | (0.48 | ) | (0.33 | ) | ||||||
Realized capital gains | (0.45 | ) | (0.47 | ) | — | |||||||
Total distributions | (0.54 | ) | (0.95 | ) | (0.33 | ) | ||||||
Net asset value at end of period | $ | 11.29 | $ | 9.84 | $ | 11.53 | ||||||
Total return | 21.11 | %(C) | (7.27 | )% | 18.90 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 141 | $ | 118 | $ | 129 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.14 | %(D) | 1.14 | % | 1.14 | % | ||||||
Gross expenses | 7.46 | %(D) | 9.49 | % | 3.62 | % | ||||||
Net investment income | 2.29 | %(D) | 2.59 | % | 2.61 | % | ||||||
Portfolio turnover rate | 34 | %(C) | 85 | % | 107 | % |
Touchstone Global Real Estate Fund—Institutional Class
Selected Data for a Share Outstanding
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.92 | $ | 11.61 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.13 | (B) | 0.33 | 0.29 | ||||||||
Net realized and unrealized gains (losses) on investments | 1.89 | (1.07 | ) | 1.59 | ||||||||
Total from investment operations | 2.02 | (0.74 | ) | 1.88 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.10 | ) | (0.48 | ) | (0.27 | ) | ||||||
Realized capital gains | (0.45 | ) | (0.47 | ) | — | |||||||
Total distributions | (0.55 | ) | (0.95 | ) | (0.27 | ) | ||||||
Net asset value at end of period | $ | 11.39 | $ | 9.92 | $ | 11.61 | ||||||
Total return | 21.18 | %(C) | (7.21 | )% | 19.12 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 3,628 | $ | 2,994 | $ | 3,232 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.99 | %(D) | 0.99 | % | 0.99 | % | ||||||
Gross expenses | 2.39 | %(D) | 3.15 | % | 3.34 | % | ||||||
Net investment income | 2.44 | %(D) | 2.73 | % | 2.75 | % | ||||||
Portfolio turnover rate | 34 | %(C) | 85 | % | 107 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Not annualized. |
(D) | Annualized. |
See accompanying Notes to Financial Statements.
95 |
Financial Highlights (Continued)
Touchstone Intermediate Fixed Income Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
March 31, | ||||||||||||||||||||||||
2012 | Year Ended September 30, | |||||||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||
Net asset value at beginning of period | $ | 9.12 | $ | 9.16 | $ | 8.73 | $ | 8.90 | $ | 9.51 | $ | 9.58 | ||||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||||||
Net investment income | 0.13 | 0.26 | 0.25 | 0.30 | 0.44 | 0.45 | ||||||||||||||||||
Net realized and unrealized gains (losses) on | ||||||||||||||||||||||||
investments | 0.06 | (0.03 | ) | 0.43 | (0.17 | ) | (0.60 | ) | (0.07 | ) | ||||||||||||||
Total from investment operations | 0.19 | 0.23 | 0.68 | 0.13 | (0.16 | ) | 0.38 | |||||||||||||||||
Distributions from: | ||||||||||||||||||||||||
Net investment income | (0.13 | ) | (0.27 | ) | (0.25 | ) | (0.30 | ) | (0.45 | ) | (0.45 | ) | ||||||||||||
Realized capital gains | (0.08 | ) | — | — | — | — | — | |||||||||||||||||
Total distributions | (0.21 | ) | (0.27 | ) | (0.25 | ) | (0.30 | ) | (0.45 | ) | (0.45 | ) | ||||||||||||
Net asset value at end of period | $ | 9.10 | $ | 9.12 | $ | 9.16 | $ | 8.73 | $ | 8.90 | $ | 9.51 | ||||||||||||
Total return | 2.11 | %(A) | 2.59 | % | 7.92 | % | 1.44 | % | (1.95 | )% | 4.07 | % | ||||||||||||
Ratios and supplemental data: | ||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 88,167 | $ | 98,610 | $ | 109,138 | $ | 103,725 | $ | 15,377 | $ | 19,485 | ||||||||||||
Ratio to average net assets: | ||||||||||||||||||||||||
Net expenses | 0.40 | %(B) | 0.40 | % | 0.40 | % | 0.52 | % | 0.85 | % | 0.87 | % | ||||||||||||
Gross expenses | 0 66 | %(B) | 0.70 | % | 0.69 | % | 0.83 | % | 1.15 | % | 0.99 | % | ||||||||||||
Net investment income | 2.77 | %(B) | 2.89 | % | 2.84 | % | 3.12 | % | 4.61 | % | 4.72 | % | ||||||||||||
Portfolio turnover rate | 35 | %(A) | 69 | % | 71 | % | 125 | % | 62 | % | 71 | % |
(A) | Not annualized. |
(B) | Annualized. |
See accompanying Notes to Financial Statements.
96 |
Financial Highlights (Continued)
Touchstone International Fixed Income Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.49 | $ | 11.38 | $ | 10.00 | ||||||
Income from investment operations: | ||||||||||||
Net investment income | 0.10 | (B) | 0.14 | 0.12 | ||||||||
Net realized and unrealized gains on investments | 0.13 | 0.02 | 1.38 | |||||||||
Total from investment operations | 0.23 | 0.16 | 1.50 | |||||||||
Distributions from: | ||||||||||||
Net investment income | (0.33 | ) | (1.00 | ) | (0.12 | ) | ||||||
Realized capital gains | (0.04 | ) | (0.05 | ) | — | |||||||
Total distributions | (0.37 | ) | (1.05 | ) | (0.12 | ) | ||||||
Net asset value at end of period | $ | 10.35 | $ | 10.49 | $ | 11.38 | ||||||
Total return(C) | 2.38 | %(D) | 1.67 | % | 15.15 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 2,859 | $ | 2,555 | $ | 1,319 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.09 | %(E) | 1.09 | % | 1.09 | % | ||||||
Gross expenses | 1.73 | %(E) | 2.18 | % | 2.47 | % | ||||||
Net investment income | 1.90 | %(E) | 2.06 | % | 1.39 | % | ||||||
Portfolio turnover rate | 28 | %(D) | 64 | % | 160 | % |
Touchstone International Fixed Income Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.48 | $ | 11.37 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.06 | (B) | 0.13 | 0.05 | ||||||||
Net realized and unrealized gains (losses) on investments | 0.13 | (0.05 | ) | 1.37 | ||||||||
Total from investment operations | 0.19 | 0.08 | 1.42 | |||||||||
Distributions from: | ||||||||||||
Net investment income | (0.29 | ) | (0.92 | ) | (0.05 | ) | ||||||
Realized capital gains | (0.04 | ) | (0.05 | ) | — | |||||||
Total distributions | (0.33 | ) | (0.97 | ) | (0.05 | ) | ||||||
Net asset value at end of period | $ | 10.34 | $ | 10.48 | $ | 11.37 | ||||||
Total return(C) | 1.90 | %(D) | 0.94 | % | 14.29 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 423 | $ | 581 | $ | 407 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.84 | %(E) | 1.84 | % | 1.84 | % | ||||||
Gross expenses | 3.79 | %(E) | 4.53 | % | 3.16 | % | ||||||
Net investment income | 1.15 | %(E) | 1.14 | % | 0.59 | % | ||||||
Portfolio turnover rate | 28 | %(D) | 64 | % | 160 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
See accompanying Notes to Financial Statements.
97 |
Financial Highlights (Continued)
Touchstone International Fixed Income Fund—Class Y
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.48 | $ | 11.37 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.11 | (B) | 0.20 | (B) | 0.16 | |||||||
Net realized and unrealized gains (losses) on investments | 0.12 | (0.01 | ) | 1.37 | ||||||||
Total from investment operations | 0.23 | 0.19 | 1.53 | |||||||||
Distributions from: | ||||||||||||
Net investment income | (0.34 | ) | (1.03 | ) | (0.16 | ) | ||||||
Realized capital gains | (0.04 | ) | (0.05 | ) | — | |||||||
Total distributions | (0.38 | ) | (1.08 | ) | (0.16 | ) | ||||||
Net asset value at end of period | $ | 10.33 | $ | 10.48 | $ | 11.37 | ||||||
Total return | 2.42 | %(C) | 1.97 | % | 15.41 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 636 | $ | 721 | $ | 193 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.84 | %(D) | 0.84 | % | 0.84 | % | ||||||
Gross expenses | 2.52 | %(D) | 2.91 | % | 2.50 | % | ||||||
Net investment income | 2.15 | %(D) | 1.92 | % | 1.52 | % | ||||||
Portfolio turnover rate | 28 | %(C) | 64 | % | 160 | % |
Touchstone International Fixed Income Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.48 | $ | 11.37 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.12 | (B) | 0.23 | 0.17 | ||||||||
Net realized and unrealized gains (losses) on investments | 0.13 | (0.02 | ) | 1.37 | ||||||||
Total from investment operations | 0.25 | 0.21 | 1.54 | |||||||||
Distributions from: | ||||||||||||
Net investment income | (0.35 | ) | (1.05 | ) | (0.17 | ) | ||||||
Realized capital gains | (0.04 | ) | (0.05 | ) | — | |||||||
Total distributions | (0.39 | ) | (1.10 | ) | (0.17 | ) | ||||||
Net asset value at end of period | $ | 10.34 | $ | 10.48 | $ | 11.37 | ||||||
Total return | 2.60 | %(C) | 2.11 | % | 15.59 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 8,473 | $ | 7,931 | $ | 7,746 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.69 | %(D) | 0.69 | % | 0.69 | % | ||||||
Gross expenses | 1.12 | %(D) | 1.41 | % | 1.64 | % | ||||||
Net investment income | 2.30 | %(D) | 2.25 | % | 1.67 | % | ||||||
Portfolio turnover rate | 28 | %(C) | 64 | % | 160 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Not annualized. |
(D) | Annualized. |
See accompanying Notes to Financial Statements.
98 |
Financial Highlights (Continued)
Touchstone Large Cap Relative Value Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.47 | $ | 11.11 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.06 | 0.04 | 0.05 | |||||||||
Net realized and unrealized gains (losses) on investments | 2.56 | (0.59 | ) | 1.08 | ||||||||
Total from investment operations | 2.62 | (0.55 | ) | 1.13 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.06 | ) | (0.08 | ) | (0.02 | ) | ||||||
Realized capital gains | (0.42 | ) | (0.01 | ) | — | |||||||
Total distributions | (0.48 | ) | (0.09 | ) | (0.02 | ) | ||||||
Net asset value at end of period | $ | 12.61 | $ | 10.47 | $ | 11.11 | ||||||
Total return(B) | 25.66 | %(C) | (5.11 | )% | 11.34 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 907 | $ | 661 | $ | 476 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.19 | %(D) | 1.19 | % | 1.19 | % | ||||||
Gross expenses | 3.12 | %(D) | 3.29 | % | 3.22 | % | ||||||
Net investment income | 0.98 | %(D) | 0.61 | % | 0.52 | % | ||||||
Portfolio turnover rate | 1 | %(C) | 22 | % | 2 | % |
Touchstone Large Cap Relative Value Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.39 | $ | 11.05 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income (loss) | 0.01 | (0.01 | ) | (0.02 | ) | |||||||
Net realized and unrealized gains (losses) on investments | 2.54 | (0.62 | ) | 1.07 | ||||||||
Total from investment operations | 2.55 | (0.63 | ) | 1.05 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.01 | ) | (0.02 | ) | — | |||||||
Realized capital gains | (0.42 | ) | (0.01 | ) | — | |||||||
Total distributions | (0.43 | ) | (0.03 | ) | — | |||||||
Net asset value at end of period | $ | 12.51 | $ | 10.39 | $ | 11.05 | ||||||
Total return(B) | 25.21 | %(C) | (5.78 | )% | 10.50 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 328 | $ | 266 | $ | 235 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.94 | %(D) | 1.94 | % | 1.94 | % | ||||||
Gross expenses | 4.13 | %(D) | 5.31 | % | 3.69 | % | ||||||
Net investment income (loss) | 0.23 | %(D) | (0.08 | )% | (0.24 | )% | ||||||
Portfolio turnover rate | 1 | %(C) | 22 | % | 2 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(C) | Not annualized. |
(D) | Annualized. |
See accompanying Notes to Financial Statements.
99 |
Financial Highlights (Continued)
Touchstone Large Cap Relative Value Fund—Class Y
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.42 | $ | 11.12 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.07 | 0.15 | 0.09 | |||||||||
Net realized and unrealized gains (losses) on investments | 2.56 | (0.66 | ) | 1.07 | ||||||||
Total from investment operations | 2.63 | (0.51 | ) | 1.16 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.07 | ) | (0.18 | ) | (0.04 | ) | ||||||
Realized capital gains | (0.42 | ) | (0.01 | ) | — | |||||||
Total distributions | (0.49 | ) | (0.19 | ) | (0.04 | ) | ||||||
Net asset value at end of period | $ | 12.56 | $ | 10.42 | $ | 11.12 | ||||||
Total return | 25.93 | %(B) | (4.84 | )% | 11.58 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 3,073 | $ | 2,415 | $ | 112 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.94 | %(C) | 0.94 | % | 0.94 | % | ||||||
Gross expenses | 1.37 | %(C) | 2.01 | % | 2.77 | % | ||||||
Net investment income | 1.23 | %(C) | 1.05 | % | 0.78 | % | ||||||
Portfolio turnover rate | 1 | %(B) | 22 | % | 2 | % |
Touchstone Large Cap Relative Value Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.42 | $ | 11.13 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.08 | 0.13 | 0.10 | |||||||||
Net realized and unrealized gains (losses) on investments | 2.56 | (0.62 | ) | 1.08 | ||||||||
Total from investment operations | 2.64 | (0.49 | ) | 1.18 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.08 | ) | (0.21 | ) | (0.05 | ) | ||||||
Realized capital gains | (0.42 | ) | (0.01 | ) | — | |||||||
Total distributions | (0.50 | ) | (0.22 | ) | (0.05 | ) | ||||||
Net asset value at end of period | $ | 12.56 | $ | 10.42 | $ | 11.13 | ||||||
Total return | 26.03 | %(B) | (4.71 | )% | 11.76 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 3,890 | $ | 2,876 | $ | 3,018 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.79 | %(C) | 0.79 | % | 0.79 | % | ||||||
Gross expenses | 1.34 | %(C) | 1.74 | % | 2.48 | % | ||||||
Net investment income | 1.38 | %(C) | 1.08 | % | 0.93 | % | ||||||
Portfolio turnover rate | 1 | %(B) | 22 | % | 2 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | Not annualized. |
(C) | Annualized. |
See accompanying Notes to Financial Statements.
100 |
Financial Highlights (Continued)
Touchstone Market Neutral Equity Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.90 | $ | 9.73 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment loss | (0.01 | )(B) | (0.03 | ) | (0.13 | ) | ||||||
Net realized and unrealized gains (losses) on investments | (0.21 | ) | 0.20 | (0.14 | ) | |||||||
Total from investment operations | (0.22 | ) | 0.17 | (0.27 | ) | |||||||
Net asset value at end of period | $ | 9.68 | $ | 9.90 | $ | 9.73 | ||||||
Total return(C) | (2.22 | )%(D) | 1.75 | % | (2.70 | )% | ||||||
Net assets at end of period (000's) | $ | 5,324 | $ | 3,383 | $ | 610 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses (including dividend expense on securities sold short) | 3.55 | %(E) | 2.80 | % | 2.79 | % | ||||||
Net expenses (excluding dividend expense on securities sold short) | 1.50 | %(E) | 1.50 | % | 1.61 | % | ||||||
Gross expenses (including dividend expense on securities sold short) | 4.34 | %(E) | 4.13 | % | 3.89 | % | ||||||
Gross expenses (excluding dividend expense on securities sold short) | 2.29 | %(E) | 2.83 | % | 2.70 | % | ||||||
Net investment loss | (0.12 | )%(E) | (2.04 | )% | (1.38 | )% | ||||||
Portfolio turnover rate | 39 | %(D) | 125 | % | 377 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
See accompanying Notes to Financial Statements.
101 |
Financial Highlights (Continued)
Touchstone Market Neutral Equity Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.76 | $ | 9.66 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment loss | (0.04 | )(B) | (0.26 | ) | (0.16 | ) | ||||||
Net realized and unrealized gains (losses) on investments | (0.21 | ) | 0.36 | (0.18 | ) | |||||||
Total from investment operations | (0.25 | ) | 0.10 | (0.34 | ) | |||||||
Net asset value at end of period | $ | 9.51 | $ | 9.76 | $ | 9.66 | ||||||
Total return(C) | (2.56 | )%(D) | 1.04 | % | (3.40 | )% | ||||||
Net assets at end of period (000's) | $ | 168 | $ | 184 | $ | 168 | ||||||
Ratio to net average net assets: | ||||||||||||
Net expenses (including dividend expense on securities sold short) | 4.30 | %(E) | 3.57 | % | 3.40 | % | ||||||
Net expenses (excluding dividend expense on securities sold short) | 2.25 | %(E) | 2.25 | % | 2.37 | % | ||||||
Gross expenses (including dividend expense on securities sold short) | 10.51 | %(E) | 9.53 | % | 4.48 | % | ||||||
Gross expenses (excluding dividend expense on securities sold short) | 8.46 | %(E) | 8.21 | % | 3.44 | % | ||||||
Net investment loss | (0.87 | )%(E) | (2.64 | )% | (2.18 | )% | ||||||
Portfolio turnover rate | 39 | %(D) | 125 | % | 377 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
See accompanying Notes to Financial Statements.
102 |
Financial Highlights (Continued)
Touchstone Market Neutral Equity Fund—Class Y
Selected Data for a Share Outstanding Throughtout Each Period
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 9.96 | $ | 9.75 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income (loss) | 0.01 | (B) | (0.14 | ) | (0.04 | ) | ||||||
Net realized and unrealized gains (losses) on investments | (0.21 | ) | 0.35 | (0.21 | ) | |||||||
Total from investment operations | (0.20 | ) | 0.21 | (0.25 | ) | |||||||
Net asset value at end of period | $ | 9.76 | $ | 9.96 | $ | 9.75 | ||||||
Total return | (2.01 | )%(C) | 2.15 | % | (2.50 | )% | ||||||
Net assets at end of period (000's) | $ | 41,223 | $ | 40,335 | $ | 32,406 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses (including dividend expense on securities sold short) | 3.30 | %(D) | 2.57 | % | 2.48 | % | ||||||
Net expenses (excluding dividend expense on securities sold short) | 1.25 | %(D) | 1.25 | % | 1.38 | % | ||||||
Gross expenses (including dividend expense on securities sold short) | 3.69 | %(D) | 3.05 | % | 3.39 | % | ||||||
Gross expenses (excluding dividend expense on securities sold short) | 1.64 | %(D) | 1.73 | % | 2.29 | % | ||||||
Net investment income (loss) | 0.13 | %(D) | (1.64 | )% | (1.15 | )% | ||||||
Portfolio turnover rate | 39 | %(C) | 125 | % | 377 | % |
(A) | The Fund commenced operations on October 1, 2009. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Not annualized. |
(D) | Annualized. |
See accompanying Notes to Financial Statements.
103 |
Financial Highlights (Continued)
Touchstone Merger Arbitrage Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
Six Months | Year | |||||||
Ended | Ended | |||||||
March 31, | September | |||||||
2012 | 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 10.02 | $ | 10.00 | ||||
Income (loss) from investment operations: | ||||||||
Net investment income (loss) | (0.03 | ) | 0.00 | (B) | ||||
Net realized and unrealized gains on investments | 0.54 | 0.02 | ||||||
Total from investment operations | 0.51 | 0.02 | ||||||
Distributions from: | ||||||||
Net investment income | 0.00 | (B) | — | |||||
Realized capital gains | (0.01 | ) | — | |||||
Total distributions | (0.01 | ) | — | |||||
Net asset value at end of period | $ | 10.52 | $ | 10.02 | ||||
Total return(C) | 5.05 | %(D) | 0.30 | %(D) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 68,172 | $ | 260 | ||||
Ratio to average net assets: | ||||||||
Net expenses (including dividend expense on securities sold short) | 2.22 | %(E) | 3.33 | %(E) | ||||
Net expenses (excluding dividend expense on securities sold short) | 1.58 | %(E) | 1.69 | %(E) | ||||
Gross expenses (including dividend expense on securities sold short) | 2.28 | %(E) | 28.67 | %(E) | ||||
Gross expenses (excluding dividend expense on securities sold short) | 1.64 | %(E) | 27.03 | %(E) | ||||
Net investment loss | (1.26 | )%(E) | (1.97 | )%(E) | ||||
Portfolio turnover rate | 138 | %(D) | 311 | %(D) |
(A) | Represents the period from commencement of operations (August 9, 2011) through September 30, 2011. |
(B) | Amount rounds to less than $0.005. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
See accompanying Notes to Financial Statements.
104 |
Financial Highlights (Continued)
Touchstone Merger Arbitrage Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | Year | |||||||
Ended | Ended | |||||||
March 31, | September | |||||||
2012 | 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 10.01 | $ | 10.00 | ||||
Income (loss) from investment operations: | ||||||||
Net investment loss | (0.03 | ) | (0.01 | ) | ||||
Net realized and unrealized gains on investments | 0.49 | 0.02 | ||||||
Total from investment operations | 0.46 | 0.01 | ||||||
Distributions from: | ||||||||
Net investment income | 0.00 | (B) | — | |||||
Realized capital gains | (0.01 | ) | — | |||||
Total distributions | (0.01 | ) | — | |||||
Net asset value at end of period | $ | 10.46 | $ | 10.01 | ||||
Total return(C) | 4.66 | %(D) | 10.00 | %(D) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 11,267 | $ | 254 | ||||
Ratio to average net assets: | ||||||||
Net expenses (including dividend expense on securities sold short) | 3.07 | %(E) | 4.23 | %(E) | ||||
Net expenses (excluding dividend expense on securities sold short) | 2.43 | %(E) | �� | 2.43 | %(E) | |||
Gross expenses (including dividend expense on securities sold short) | 3.23 | %(E) | 29.58 | %(E) | ||||
Gross expenses (excluding dividend expense on securities sold short) | 2.59 | %(E) | 27.78 | %(E) | ||||
Net investment loss | (2.11 | )%(E) | (2.74 | )%(E) | ||||
Portfolio turnover rate | 138 | %(D) | 311 | %(D) |
(A) | Represents the period from commencement of operations (August 9, 2011) through September 30, 2011. |
(B) | Amount rounds to less than $0.005. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
See accompanying Notes to Financial Statements.
105 |
Financial Highlights (Continued)
Touchstone Merger Arbitrage Fund—Class Y | ||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||
Six Months | Year | |||||||
Ended | Ended | |||||||
March 31, | September | |||||||
2012 | 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 10.02 | $ | 10.00 | ||||
Income (loss) from investment operations: | ||||||||
Net investment loss | (0.02 | ) | (0.01 | ) | ||||
Net realized and unrealized gains on investments | 0.54 | 0.03 | ||||||
Total from investment operations | 0.52 | 0.02 | ||||||
Distributions from: | ||||||||
Net investment income | 0.00 | (B) | — | |||||
Realized capital gains | (0.01 | ) | — | |||||
Total distributions | (0.01 | ) | — | |||||
Net asset value at end of period | $ | 10.53 | $ | 10.02 | ||||
Total return | 5.25 | %(C) | 0.20 | %(C) | ||||
Net assets at end of period (000's) | $ | 46,687 | $ | 1,160 | ||||
Ratio to average net assets: | ||||||||
Net expenses (including dividend expense on securities sold short) | 1.99 | %(D) | 2.74 | %(D) | ||||
Net expenses (excluding dividend expense on securities sold short) | 1.35 | %(D) | 1.43 | %(D) | ||||
Gross expenses (including dividend expense on securities sold short) | 2.05 | %(D) | 8.22 | %(D) | ||||
Gross expenses (excluding dividend expense on securities sold short) | 1.41 | %(D) | 6.91 | %(D) | ||||
Net investment loss | (1.04 | )%(D) | (1.65 | )%(D) | ||||
Portfolio turnover rate | 138 | %(C) | 311 | %(C) |
(A) Represents the period from commencement of operations (August 9, 2011) through September 30, 2011.
(B) Amount rounds to less than $0.005.
(C) Not annualized.
(D) Annualized.
See accompanying Notes to Financial Statements.
106 |
Financial Highlights (Continued)
Touchstone Merger Arbitrage Fund—Institutional Class | ||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||
Six Months | Year | |||||||
Ended | Ended | |||||||
March 31, | September | |||||||
2012 | 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 10.03 | $ | 10.00 | ||||
Income (loss) from investment operations: | ||||||||
Net investment loss | (0.04 | )(B) | (0.02 | ) | ||||
Net realized and unrealized gains on investments | 0.56 | 0.05 | ||||||
Total from investment operations | 0.52 | 0.03 | ||||||
Distributions from: | ||||||||
Net investment income | 0.00 | (C) | — | |||||
Realized capital gains | (0.01 | ) | — | |||||
Total distributions | (0.01 | ) | — | |||||
Net asset value at end of period | $ | 10.54 | $ | 10.03 | ||||
Total return | 5.25 | %(D) | 0.30 | %(D) | ||||
Net assets at end of period (000's) | $ | 14,094 | $ | 5,016 | ||||
Ratio to average net assets: | ||||||||
Net expenses (including dividend expense on securities sold short) | 1.92 | %(E) | 1.86 | %(E) | ||||
Net expenses (excluding dividend expense on securities sold short) | 1.28 | %(E) | 1.28 | %(E) | ||||
Gross expenses (including dividend expense on securities sold short) | 2.04 | %(E) | 4.83 | %(E) | ||||
Gross expenses (excluding dividend expense on securities sold short) | 1.40 | %(E) | 4.25 | %(E) | ||||
Net investment loss | (0.96 | )%(E) | (1.13 | )%(E) | ||||
Portfolio turnover rate | 138 | %(D) | 311 | %(D) |
(A) Represents the period from commencement of operations (August 9, 2011) through September 30, 2011.
(B) The net investment income per share is based on average shares outstanding for the period.
(C) Amount rounds to less than $0.005.
(D) Not annualized.
(E) Annualized.
See accompanying Notes to Financial Statements.
107 |
Financial Highlights (Continued)
Touchstone Mid Cap Fund—Class A | ||||||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||||||
Six Months | ||||||||||||||||||||||||
Ended | Period | |||||||||||||||||||||||
March 31, | Ended | |||||||||||||||||||||||
2012 | Year Ended September 30, | Sept. 30, | ||||||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008 | 2007(A) | |||||||||||||||||||
Net asset value at beginning of period | $ | 13.16 | $ | 12.67 | $ | 11.20 | $ | 13.07 | $ | 17.86 | $ | 18.14 | ||||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||||||
Net investment income (loss) | 0.05 | (B) | (0.02 | ) | 0.29 | 0.04 | (0.02 | ) | 0.00 | (C) | ||||||||||||||
Net realized and unrealized gains (losses) on | ||||||||||||||||||||||||
investments | 2.92 | 0.51 | 1.24 | (1.85 | ) | (4.60 | ) | (0.28 | ) | |||||||||||||||
Total from investment operations | 2.97 | 0.49 | 1.53 | (1.81 | ) | (4.62 | ) | (0.28 | ) | |||||||||||||||
Distributions from: | ||||||||||||||||||||||||
Net investment income | (0.02 | ) | — | (0.06 | ) | (0.03 | ) | — | — | |||||||||||||||
Realized capital gains | — | — | — | (0.03 | ) | (0.17 | ) | — | ||||||||||||||||
Total distributions | (0.02 | ) | — | (0.06 | ) | (0.06 | ) | (0.17 | ) | — | ||||||||||||||
Net asset value at end of period | $ | 16.11 | $ | 13.16 | $ | 12.67 | $ | 11.20 | $ | 13.07 | $ | 17.86 | ||||||||||||
Total return(D) | 22.60 | %(E) | 3.87 | % | 13.72 | % | (13.81 | )% | (26.11 | )% | (1.54 | )%(E) | ||||||||||||
Ratios and supplemental data: | ||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 678 | $ | 698 | $ | 685 | $ | 453 | $ | 159 | $ | 210 | ||||||||||||
Ratio to average net assets: | ||||||||||||||||||||||||
Net expenses | 1.21 | %(F) | 1.21 | % | 1.21 | % | 1.15 | % | 1.15 | % | 0.94 | %(F) | ||||||||||||
Gross expenses | 2.96 | %(F) | 3.05 | % | 2.84 | % | 3.84 | % | 4.09 | % | 14.21 | %(F) | ||||||||||||
Net investment income (loss) | 0.62 | %(F) | (0.02 | )% | 0.34 | % | 0.39 | % | (0.16 | )% | (0.09 | )%(F) | ||||||||||||
Portfolio turnover rate | 121 | %(E) | 97 | % | 132 | % | 187 | % | 157 | % | 193 | %(E) |
Touchstone Mid Cap Fund—Class C | ||||||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||||||
Six Months | ||||||||||||||||||||||||
Ended | Period | |||||||||||||||||||||||
March 31, | Ended | |||||||||||||||||||||||
2012 | Year Ended September 30, | Sept. 30, | ||||||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008 | 2007(A) | |||||||||||||||||||
Net asset value at beginning of period | $ | 12.96 | $ | 12.58 | $ | 11.19 | $ | 13.12 | $ | 17.84 | $ | 18.14 | ||||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||||||
Net investment loss | (0.01 | )(B) | (0.07 | ) | (0.04 | ) | (0.03 | ) | (0.15 | ) | (0.02 | ) | ||||||||||||
Net realized and unrealized gains (losses) on | ||||||||||||||||||||||||
investments | 2.88 | 0.45 | 1.43 | (1.87 | ) | (4.40 | ) | (0.28 | ) | |||||||||||||||
Total from investment operations | 2.87 | 0.38 | 1.39 | (1.90 | ) | (4.55 | ) | (0.30 | ) | |||||||||||||||
Distributions from: | ||||||||||||||||||||||||
Realized capital gains | — | — | — | (0.03 | ) | (0.17 | ) | — | ||||||||||||||||
Net asset value at end of period | $ | 15.83 | $ | 12.96 | $ | 12.58 | $ | 11.19 | $ | 13.12 | $ | 17.84 | ||||||||||||
Total return(D) | 22.14 | %(E) | 3.02 | % | 12.42 | % | (14.47 | )% | (25.74 | )% | (1.65 | )%(E) | ||||||||||||
Ratios and supplemental data: | ||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 550 | $ | 476 | $ | 249 | $ | 169 | $ | 30 | $ | 36 | ||||||||||||
Ratio to average net assets: | ||||||||||||||||||||||||
Net expenses | 1.96 | %(F) | 1.96 | % | 1.94 | % | 1.90 | % | 1.90 | % | 1.35 | %(F) | ||||||||||||
Gross expenses | 4.71 | %(F) | 4.95 | % | 4.57 | % | 6.99 | % | 31.40 | % | 28.68 | %(F) | ||||||||||||
Net investment loss | (0.13 | )%(F) | (0.80 | )% | (0.40 | )% | (0.38 | )% | (0.91 | )% | (0.51 | )%(F) | ||||||||||||
Portfolio turnover rate | 121 | %(E) | 97 | % | 132 | % | 187 | % | 157 | % | 193 | %(E) |
(A) Represents the period from commencement of operations (May 14, 2007) through September 30, 2007.
(B) The net investment income per share is based on average shares outstanding for the period.
(C) Amount rounds to less than $0.005 per share.
(D) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower.
(E) Not annualized.
(F) Annualized.
See accompanying Notes to Financial Statements.
108 |
Financial Highlights (Continued)
Touchstone Mid Cap Fund—Class Y | ||||||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||||||
Six Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
March 31, | ||||||||||||||||||||||||
2012 | Year Ended September 30, | |||||||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||
Net asset value at beginning of period | $ | 13.17 | $ | 12.68 | $ | 11.25 | $ | 13.14 | $ | 17.91 | $ | 15.28 | ||||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||||||
Net investment income | 0.07 | (A) | 0.05 | 0.08 | 0.07 | 0.01 | 0.11 | |||||||||||||||||
Net realized and unrealized gains (losses) on | �� | |||||||||||||||||||||||
investments | 2.92 | 0.47 | 1.44 | (1.88 | ) | (4.61 | ) | 2.65 | ||||||||||||||||
Total from investment operations | 2.99 | 0.52 | 1.52 | (1.81 | ) | (4.60 | ) | 2.76 | ||||||||||||||||
Distributions from: | ||||||||||||||||||||||||
Net investment income | (0.03 | ) | (0.03 | ) | (0.09 | ) | (0.05 | ) | — | (0.13 | ) | |||||||||||||
Realized capital gains | — | — | — | (0.03 | ) | (0.17 | ) | — | ||||||||||||||||
Total distributions | (0.03 | ) | (0.03 | ) | (0.09 | ) | (0.08 | ) | (0.17 | ) | (0.13 | ) | ||||||||||||
Net asset value at end of period | $ | 16.13 | $ | 13.17 | $ | 12.68 | $ | 11.25 | $ | 13.14 | $ | 17.91 | ||||||||||||
Total return | 22.72 | %(B) | 4.10% | 13.58 | % | (13.68 | )% | (25.92 | )% | 18.13 | % | |||||||||||||
Ratios and supplemental data: | ||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 65,820 | $ | 77,785 | $ | 123,493 | $ | 168,313 | $ | 422,356 | $ | 482,047 | ||||||||||||
Ratio to average net assets: | ||||||||||||||||||||||||
Net expenses | 0.91 | %(C) | 0.96 | % | 0.94 | % | 0.90 | % | 0.90 | % | 0.90 | % | ||||||||||||
Gross expenses | 1.08 | %(C) | 1.06 | % | 1.07 | % | 1.05 | % | 1.03 | % | 1.06 | % | ||||||||||||
Net investment income | 0.92 | %(C) | 0.26 | % | 0.71 | % | 0.61 | % | 0.09 | % | 0.39 | % | ||||||||||||
Portfolio turnover rate | 121 | %(B) | 97 | % | 132 | % | 187 | % | 157 | % | 193 | % |
Touchstone Mid Cap Fund—Class Z | ||||||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||||||
Six Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
March 31, | ||||||||||||||||||||||||
2012 | Year Ended September 30, | |||||||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||
Net asset value at beginning of period | $ | 13.08 | $ | 12.59 | $ | 11.18 | $ | 13.05 | $ | 17.85 | $ | 15.26 | ||||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||||||
Net investment income (loss) | 0.05 | (A) | (0.00 | )(D) | 0.02 | 0.03 | (0.08 | ) | 0.09 | |||||||||||||||
Net realized and unrealized gains (losses) on | ||||||||||||||||||||||||
investments | 2.89 | 0.49 | 1.45 | (1.84 | ) | (4.55 | ) | 2.62 | ||||||||||||||||
Total from investment operations | 2.94 | 0.49 | 1.47 | (1.81 | ) | (4.63 | ) | 2.71 | ||||||||||||||||
Distributions from: | ||||||||||||||||||||||||
Net investment income | (0.01 | ) | — | (0.06 | ) | (0.03 | ) | — | (0.12 | ) | ||||||||||||||
Realized capital gains | — | — | — | (0.03 | ) | (0.17 | ) | — | ||||||||||||||||
Total distributions | (0.01 | ) | — | (0.06 | ) | (0.06 | ) | (0.17 | ) | (0.12 | ) | |||||||||||||
Net asset value at end of period | $ | 16.01 | $ | 13.08 | $ | 12.59 | $ | 11.18 | $ | 13.05 | $ | 17.85 | ||||||||||||
Total return | 22.52 | %(B) | 3.89 | % | 13.20 | % | (13.83 | )% | (26.18 | )% | 17.84 | % | ||||||||||||
Ratios and supplemental data: | ||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 419 | $ | 934 | $ | 652 | $ | 1,814 | $ | 3,267 | $ | 15,203 | ||||||||||||
Ratio to average net assets: | ||||||||||||||||||||||||
Net expenses | 1.21 | %(C) | 1.21 | % | 1.19 | % | 1.15 | % | 1.15 | % | 1.14 | % | ||||||||||||
Gross expenses | 3.30 | %(C) | 3.68 | % | 2.14 | % | 2.22 | % | 1.48 | % | 1.25 | % | ||||||||||||
Net investment income (loss) | 0.62 | %(C) | (0.09 | )% | 0.45 | % | 0.39 | % | (0.27 | )% | 0.12 | % | ||||||||||||
Portfolio turnover rate | 121 | %(B) | 97 | % | 132 | % | 187 | % | 157 | % | 193 | % |
(A) The net investment income per share is based on average shares outstanding for the period.
(B) Not annualized.
(C) Annualized.
(D) Amount rounds to less than $0.005 per share. See accompanying Notes to Financial Statements.
See accompanying Notes to Financial Statements.
109 |
Financial Highlights (Continued)
Touchstone Mid Cap Fund—Institutional Class | ||||
Selected Data for a Share Outstanding Throughout The Period | ||||
Period | ||||
Ended | ||||
March 31, | ||||
2012(A) | ||||
(Unaudited) | ||||
Net asset value at beginning of period | $ | 15.36 | ||
Income from investment operations: | ||||
Net investment income | 0.02 | (B) | ||
Net realized and unrealized gains on investments | 0.76 | |||
Total from investment operations | 0.78 | |||
Net asset value at end of period | $ | 16.14 | ||
Total return | 5.01 | %(C) | ||
Ratios and supplemental data: | ||||
Net assets at end of period (000's) | $ | 3 | ||
Ratio to average net assets: | ||||
Net expenses | 0.89 | %(D) | ||
Gross expenses | 209.28 | %(D) | ||
Net investment income | 0.88 | %(D) | ||
Portfolio turnover rate | 121 | %(C) |
(A) Represents the period from commencement of operations (January 27, 2012) through March 31, 2012.
(B) The net investment income per share is based on average shares outstanding for the period.
(C) Not annualized.
(D) Annualized.
See accompanying Notes to Financial Statements.
110 |
Financial Highlights (Continued)
Touchstone Mid Cap Value Fund—Class A | ||||||||||||
Selected Data for a Share Outstanding Throughtout Each Period | ||||||||||||
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.86 | $ | 11.76 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.05 | (B) | 0.09 | 0.12 | ||||||||
Net realized and unrealized gains (losses) on investments | 2.69 | (0.72 | ) | 1.74 | ||||||||
Total from investment operations | 2.74 | (0.63 | ) | 1.86 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.05 | ) | (0.11 | ) | (0.10 | ) | ||||||
Realized capital gains | (0.66 | ) | (0.16 | ) | — | |||||||
Total distributions | (0.71 | ) | (0.27 | ) | (0.10 | ) | ||||||
Net asset value at end of period | $ | 12.89 | $ | 10.86 | $ | 11.76 | ||||||
Total return(C) | 26.26 | %(D) | (5.72 | )% | 18.70 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 3,469 | $ | 2,364 | $ | 345 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.29 | %(E) | 1.29 | % | 1.29 | % | ||||||
Gross expenses | 1.87 | %(E) | 2.07 | % | 3.07 | % | ||||||
Net investment income | 0.84 | %(E) | 0.86 | % | 1.07 | % | ||||||
Portfolio turnover rate | 28 | %(D) | 59 | %(D) | 45 | % |
Touchstone Mid Cap Value Fund—Class C | ||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.82 | $ | 11.74 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.01 | (B) | 0.03 | 0.03 | ||||||||
Net realized and unrealized gains (losses) on investments | 2.67 | (0.75 | ) | 1.75 | ||||||||
Total from investment operations | 2.68 | (0.72 | ) | 1.78 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.01 | ) | (0.04 | ) | (0.04 | ) | ||||||
Realized capital gains | (0.66 | ) | (0.16 | ) | — | |||||||
Total distributions | (0.67 | ) | (0.20 | ) | (0.04 | ) | ||||||
Net asset value at end of period | $ | 12.83 | $ | 10.82 | $ | 11.74 | ||||||
Total return(C) | 25.76 | %(D) | (6.45 | )% | 17.88 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 269 | $ | 204 | $ | 132 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 2.04 | %(E) | 2.04 | % | 2.04 | % | ||||||
Gross expenses | 5.61 | %(E) | 7.74 | % | 3.86 | % | ||||||
Net investment income | 0.09 | %(E) | 0.10 | % | 0.27 | % | ||||||
Portfolio turnover rate | 28 | %(D) | 59 | % | 45 | % |
(A) The Fund commenced operations on October 1, 2009.
(B) The net investment income per share is based on average shares outstanding for the period.
(C) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower.
(D) Not annualized.
(E) Annualized.
See accompanying Notes to Financial Statements.
111 |
Financial Highlights (Continued)
Touchstone Mid Cap Value Fund—Class Y | ||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.89 | $ | 11.79 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.07 | (B) | 0.12 | 0.14 | ||||||||
Net realized and unrealized gains (losses) on investments | 2.70 | (0.72 | ) | 1.76 | ||||||||
Total from investment operations | 2.77 | (0.60 | ) | 1.90 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.07 | ) | (0.14 | ) | (0.11 | ) | ||||||
Realized capital gains | (0.66 | ) | (0.16 | ) | — | |||||||
Total distributions | (0.73 | ) | (0.30 | ) | (0.11 | ) | ||||||
Net asset value at end of period | $ | 12.93 | $ | 10.89 | $ | 11.79 | ||||||
Total return | 26.43 | %(C) | (5.51 | )% | 19.07 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 12,801 | $ | 4,685 | $ | 589 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.03 | %(D) | 1.04 | % | 1.04 | % | ||||||
Gross expenses | 1.28 | %(D) | 1.58 | % | 3.19 | % | ||||||
Net investment income | 1.10 | %(D) | 1.20 | % | 1.40 | % | ||||||
Portfolio turnover rate | 28 | %(C) | 59 | % | 45 | % |
Touchstone Mid Cap Value Fund—Institutional Class | ||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 10.92 | $ | 11.83 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.08 | (B) | 0.16 | 0.10 | ||||||||
Net realized and unrealized gains (losses) on investments | 2.71 | (0.75 | ) | 1.82 | ||||||||
Total from investment operations | 2.79 | (0.59 | ) | 1.92 | ||||||||
Distributions from: | ||||||||||||
Net investment income | (0.08 | ) | (0.16 | ) | (0.09 | ) | ||||||
Realized capital gains | (0.66 | ) | (0.16 | ) | — | |||||||
Total distributions | (0.74 | ) | (0.32 | ) | (0.09 | ) | ||||||
Net asset value at end of period | $ | 12.97 | $ | 10.92 | $ | 11.83 | ||||||
Total return | 26.53 | %(C) | (5.41 | )% | 19.25 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 53,026 | $ | 39,808 | $ | 39,509 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.89 | %(D) | 0.89 | % | 0.89 | % | ||||||
Gross expenses | 1.13 | %(D) | 1.15 | % | 1.93 | % | ||||||
Net investment income | 1.24 | %(D) | 1.21 | % | 1.66 | % | ||||||
Portfolio turnover rate | 28 | %(C) | 59.00 | % | 45 | % |
(A) The Fund commenced operations on October 1, 2009.
(B) The net investment income per share is based on average shares outstanding for the period.
(C) Not annualized.
(D) Annualized.
See accompanying Notes to Financial Statements.
112 |
Financial Highlights (Continued)
Touchstone Premium Yield Equity Fund—Class A | ||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||
Six Months | Period | |||||||||||||||||||
Ended | Ended | |||||||||||||||||||
March 31, | September | |||||||||||||||||||
2012 | Year Ended September 30, | 30, | ||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008(A) | ||||||||||||||||
Net asset value at beginning of period | $ | 6.76 | $ | 6.48 | $ | 5.93 | $ | 7.56 | $ | 10.00 | ||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||
Net investment income | 0.12 | 0.21 | 0.21 | 0.22 | 0.33 | |||||||||||||||
Net realized and unrealized gains (losses) on investments | 1.22 | 0.28 | 0.54 | (1.64 | ) | (2.44 | ) | |||||||||||||
Total from investment operations | 1.34 | 0.49 | 0.75 | (1.42 | ) | (2.11 | ) | |||||||||||||
Distributions from: | ||||||||||||||||||||
Net investment income | (0.12 | ) | (0.21 | ) | (0.20 | ) | (0.21 | ) | (0.32 | ) | ||||||||||
Realized capital gains | — | — | — | — | (0.01 | ) | ||||||||||||||
Total distributions | (0.12 | ) | (0.21 | ) | (0.20 | ) | (0.21 | ) | (0.33 | ) | ||||||||||
Net asset value at end of period | $ | 7.98 | $ | 6.76 | $ | 6.48 | $ | 5.93 | $ | 7.56 | ||||||||||
Total return(B) | 20.30 | %(C) | 7.43 | % | 12.82 | % | (18.40 | )% | (21.48 | )%(C) | ||||||||||
Ratios and supplemental data: | ||||||||||||||||||||
Net assets at end of period (000's) | $ | 47,409 | $ | 28,739 | $ | 22,441 | $ | 19,879 | $ | 19,411 | ||||||||||
Ratio to average net assets: | ||||||||||||||||||||
Net expenses | 1.20 | %(D) | 1.20 | % | 1.20 | % | 1.20 | % | 1.20 | %(D) | ||||||||||
Gross expenses | 1.29 | %(D) | 1.35 | % | 1.40 | % | 1.55 | % | 1.53 | %(D) | ||||||||||
Net investment income | 3.27 | %(D) | 3.02 | % | 3.30 | % | 3.97 | % | 4.68 | %(D) | ||||||||||
Portfolio turnover rate | 8 | %(C) | 54 | % | 29 | % | 30 | % | 181 | %(C) |
Touchstone Premium Yield Equity Fund—Class C | ||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||
Six Months | Period | |||||||||||||||||||
Ended | Ended | |||||||||||||||||||
March 31, | September | |||||||||||||||||||
2012 | Year Ended September 30, | 30, | ||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008(A) | ||||||||||||||||
Net asset value at beginning of period | $ | 6.76 | $ | 6.49 | $ | 5.93 | $ | 7.56 | $ | 10.00 | ||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||
Net investment income | 0.10 | 0.16 | 0.16 | 0.10 | 0.29 | |||||||||||||||
Net realized and unrealized gains (losses) on investments | 1.21 | 0.27 | 0.55 | (1.55 | ) | (2.45 | ) | |||||||||||||
Total from investment operations | 1.31 | 0.43 | 0.71 | (1.45 | ) | (2.16 | ) | |||||||||||||
Distributions from: | ||||||||||||||||||||
Net investment income | (0.10 | ) | (0.16 | ) | (0.15 | ) | (0.18 | ) | (0.27 | ) | ||||||||||
Realized capital gains | — | — | — | — | (0.01 | ) | ||||||||||||||
Total distributions | (0.10 | ) | (0.16 | ) | (0.15 | ) | (0.18 | ) | (0.28 | ) | ||||||||||
Net asset value at end of period | $ | 7.97 | $ | 6.76 | $ | 6.49 | $ | 5.93 | $ | 7.56 | ||||||||||
Total return(B) | 19.46 | %(C) | 6.60 | % | 12.11 | % | (18.96 | )% | (21.95 | )%(C) | ||||||||||
Ratios and supplemental data: | ||||||||||||||||||||
Net assets at end of period (000's) | $ | 13,503 | $ | 7,499 | $ | 6,870 | $ | 3,319 | $ | 567 | ||||||||||
Ratio to average net assets: | ||||||||||||||||||||
Net expenses | 1.95 | %(D) | 1.95 | % | 1.95 | % | 1.95 | % | 1.94 | %(D) | ||||||||||
Gross expenses | 2.13 | %(D) | 2.28 | % | 2.23 | % | 3.08 | % | 5.31 | %(D) | ||||||||||
Net investment income | 2.62 | %(D) | 2.27 | % | 2.60 | % | 2.80 | % | 3.93 | %(D) | ||||||||||
Portfolio turnover rate | 8 | %(C) | 54 | % | 29 | % | 30 | % | 181 | %(C) |
(A) Represents the period from commencement of operations (December 3, 2007) through September 30, 2008.
(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower.
(C) Not annualized.
(D) Annualized.
See accompanying Notes to Financial Statements.
113 |
Financial Highlights (Continued)
Touchstone Premium Yield Equity Fund—Class Y | ||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||
Six Months | Period | |||||||||||||||||||
Ended | Ended | |||||||||||||||||||
March 31, | September | |||||||||||||||||||
2012 | Year Ended September 30, | 30, | ||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008(A) | ||||||||||||||||
Net asset value at beginning of period | $ | 6.75 | $ | 6.47 | $ | 5.92 | $ | 7.55 | $ | 8.30 | ||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||
Net investment income | 0.13 | 0.20 | 0.22 | 0.22 | 0.04 | |||||||||||||||
Net realized and unrealized gains (losses) on | ||||||||||||||||||||
investments | 1.21 | 0.30 | 0.54 | (1.62 | ) | (0.73 | ) | |||||||||||||
Total from investment operations | 1.34 | 0.50 | 0.76 | (1.40 | ) | (0.69 | ) | |||||||||||||
Distributions from: | ||||||||||||||||||||
Net investment income | (0.13 | ) | (0.22 | ) | (0.21 | ) | (0.23 | ) | (0.05 | ) | ||||||||||
Realized capital gains | — | — | — | — | (0.01 | ) | ||||||||||||||
Total distributions | (0.13 | ) | (0.22 | ) | (0.21 | ) | (0.23 | ) | (0.06 | ) | ||||||||||
Net asset value at end of period | $ | 7.96 | $ | 6.75 | $ | 6.47 | $ | 5.92 | $ | 7.55 | ||||||||||
Total return | 20.06 | %(B) | 7.67 | % | 13.14 | % | (18.22 | )% | (8.37 | )%(B) | ||||||||||
Ratios and supplemental data: | ||||||||||||||||||||
Net assets at end of period (000's) | $ | 23,670 | $ | 3,980 | $ | 11,540 | $ | 551 | $ | 2 | ||||||||||
Ratio to average net assets: | ||||||||||||||||||||
Net expenses | 0.95 | %(C) | 0.95 | % | 0.95 | % | 0.95 | % | 0.90 | %(C) | ||||||||||
Gross expenses | 1.26 | %(C) | 1.25 | % | 1.53 | % | 13.70 | % | 453.70 | %(C) | ||||||||||
Net investment income | 3.62 | %(C) | 3.16 | % | 3.77 | % | 2.97 | % | 3.16 | %(C) | ||||||||||
Portfolio turnover rate | 8 | %(B) | 54 | % | 29 | % | 30 | % | 181 | %(B) |
(A) Represents the period from commencement of operations (August 12, 2008) through September 30, 2008.
(B) Not annualized.
(C) Annualized.
See accompanying Notes to Financial Statements.
114 |
Financial Highlights (Continued)
Touchstone Sands Capital Select Growth Fund—Class A | ||||||||
Selected Data for a Share Outstanding | ||||||||
Six Months | ||||||||
Ended | Period | |||||||
March 31, | Ended | |||||||
2012 | March 31, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 9.39 | $ | 9.39 | ||||
Income (loss) from investment operations: | ||||||||
Net investment loss | (0.03 | ) | (0.03 | ) | ||||
Net realized and unrealized gains on investments | 3.25 | 0.03 | ||||||
Total from investment operations | 3.22 | — | ||||||
Net asset value at end of period | $ | 12.61 | $ | 9.39 | ||||
Total return(B) | 34.29 | %(C) | 0.00 | %(C) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 76,966 | $ | 21,211 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 1.36 | %(D) | 1.45 | %(D) | ||||
Gross expenses | 1.44 | %(D) | 1.64 | %(D) | ||||
Net investment loss | (0.94 | )%(D) | (0.94 | )%(D) | ||||
Portfolio turnover rate | 13 | %(C) | 19 | %(C) |
Touchstone Sands Capital Select Growth Fund—Class C | ||||||||
Selected Data for a Share Outstanding | ||||||||
Six Months | ||||||||
Ended | Period | |||||||
March 31, | Ended | |||||||
2012 | March 31, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 9.33 | $ | 9.39 | ||||
Income (loss) from investment operations: | ||||||||
Net investment loss | (0.05 | ) | (0.06 | ) | ||||
Net realized and unrealized gains on investments | 3.20 | 0.00 | (E) | |||||
Total from investment operations | 3.15 | (0.06 | ) | |||||
Net asset value at end of period | $ | 12.48 | $ | 9.33 | ||||
Total return(B) | 33.76 | %(C) | (0.64 | )%(C) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 33,925 | $ | 8,660 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 2.11 | %(D) | 2.20 | %(D) | ||||
Gross expenses | 2.26 | %(D) | 2.56 | %(D) | ||||
Net investment loss | (1.73 | )%(D) | (1.69 | )%(D) | ||||
Portfolio turnover rate | 13 | %(C) | 19 | %(C) |
(A) Represents the period from commencement of operations (November 15, 2010) through March 31, 2011.
(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower.
(C) Not annualized.
(D) Annualized.
(E) Amount rounds to less than $0.005 per share. See accompanying Notes to Financial Statements.
See accompanying Notes to Financial Statements.
115 |
Financial Highlights (Continued)
Touchstone Sands Capital Select Growth Fund—Class Y | ||||||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||||||
Six Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
March 31, | ||||||||||||||||||||||||
2012 | Year Ended September 30, | |||||||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||
Net asset value at beginning of period | $ | 9.56 | $ | 8.83 | $ | 7.34 | $ | 6.86 | $ | 9.15 | $ | 7.60 | ||||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||||||
Net investment loss | (0.03 | )(A) | (0.14 | ) | (0.07 | ) | (0.03 | ) | (0.06 | ) | (0.05 | ) | ||||||||||||
Net realized and unrealized gains (losses) on | ||||||||||||||||||||||||
investments | 3.31 | 0.87 | 1.56 | 0.51 | (2.23 | ) | 1.60 | |||||||||||||||||
Total from investment operations | 3.28 | 0.73 | 1.49 | 0.48 | (2.29 | ) | 1.55 | |||||||||||||||||
Net asset value at end of period | $ | 12.84 | $ | 9.56 | $ | 8.83 | $ | 7.34 | $ | 6.86 | $ | 9.15 | ||||||||||||
Total return | 34.31 | %(B) | 8.14 | % | 20.44 | % | 7.00 | % | (25.03 | )% | 20.39 | % | ||||||||||||
Ratios and supplemental data: | ||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 948,982 | $ | 392,464 | $ | 120,333 | $ | 82,918 | $ | 130,920 | $ | 213,672 | ||||||||||||
Ratio to average net assets: | ||||||||||||||||||||||||
Net expenses | 1.11 | %(C) | 1.20 | % | 1.22 | % | 0.98 | % | 1.16 | % | 1.03 | % | ||||||||||||
Gross expenses | 1.12 | %(C) | 1.23 | % | 1.28 | % | 1.05 | % | 1.19 | % | 1.03 | % | ||||||||||||
Net investment loss | (0.70 | )%(C) | (0.68 | )% | (0.52 | )% | (0.48 | )% | (0.59 | )% | (0.67 | )% | ||||||||||||
Portfolio turnover rate | 13 | %(B) | 19 | % | 27 | % | 50 | % | 39 | % | 24 | % |
Touchstone Sands Capital Select Growth Fund—Class Z | ||||||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||||||
Six Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
March 31, | ||||||||||||||||||||||||
2012 | Year Ended September 30, | |||||||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||
Net asset value at beginning of period | $ | 9.39 | $ | 8.70 | $ | 7.24 | $ | 6.79 | $ | 9.08 | $ | 7.57 | ||||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||||||
Net investment loss | (0.03 | )(A) | (0.07 | ) | (0.04 | ) | (0.04 | ) | (0.06 | ) | (0.09 | ) | ||||||||||||
Net realized and unrealized gains (losses) on | ||||||||||||||||||||||||
investments | 3.25 | 0.76 | 1.50 | 0.49 | (2.23 | ) | 1.60 | |||||||||||||||||
Total from investment operations | 3.22 | 0.69 | 1.46 | 0.45 | (2.29 | ) | 1.51 | |||||||||||||||||
Net asset value at end of period | $ | 12.61 | $ | 9.39 | $ | 8.70 | $ | 7.24 | $ | 6.79 | $ | 9.08 | ||||||||||||
Total return | 34.29 | %(B) | 7.93 | % | 20.17 | % | 6.63 | % | (25.22 | )% | 19.95 | % | ||||||||||||
Ratios and supplemental data: | ||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 1,459,332 | $ | 911,849 | $ | 540,329 | $ | 333,200 | $ | 363,955 | $ | 380,025 | ||||||||||||
Ratio to average net assets: | ||||||||||||||||||||||||
Net expenses | 1.34 | %(C) | 1.42 | % | 1.47 | % | 1.23 | % | 1.41 | % | 1.29 | % | ||||||||||||
Gross expenses | 1.42 | %(C) | 1.52 | % | 1.53 | % | 1.32 | % | 1.43 | % | 1.35 | % | ||||||||||||
Net investment loss | (0.69 | )%(C) | (0.93 | )% | (0.79 | )% | (0.74 | )% | (0.85 | )% | (0.92 | )% | ||||||||||||
Portfolio turnover rate | 13 | %(B) | 19 | % | 27 | % | 50 | % | 39 | % | 24 | % |
(A) The net investment income per share is based on average shares outstanding for the period.
(B) Not annualized.
(C) Annualized.
See accompanying Notes to Financial Statements.
116 |
Financial Highlights (Continued)
Touchstone Short Duration Fixed Income Fund—Class Y | ||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||
Six Months | ||||||||||||||||
Ended | Period | |||||||||||||||
March 31, | Year Ended | Ended | ||||||||||||||
2012 | September 30, | Sept. 30, | ||||||||||||||
(Unaudited) | 2011 | 2010 | 2009(A) | |||||||||||||
Net asset value at beginning of period | $ | 9.81 | $ | 9.97 | $ | 9.95 | $ | 9.79 | ||||||||
Income (loss) from investment operations: | ||||||||||||||||
Net investment income | 0.11 | 0.23 | 0.32 | 0.13 | ||||||||||||
Net realized and unrealized gains (losses) on investments | 0.00 | (B) | (0.10 | ) | 0.03 | 0.16 | ||||||||||
Total from investment operations | 0.11 | 0.13 | 0.35 | 0.29 | ||||||||||||
Distributions from: | ||||||||||||||||
Net investment income | (0.13 | ) | (0.29 | ) | (0.33 | ) | (0.13 | ) | ||||||||
Net asset value at end of period | $ | 9.79 | $ | 9.81 | $ | 9.97 | $ | 9.95 | ||||||||
Total return | 1.10 | %(C) | 1.37 | % | 3.61 | % | 3.02 | %(C) | ||||||||
Ratios and supplemental data: | ||||||||||||||||
Net assets at end of period (000's) | $ | 7,960 | $ | 1,164 | $ | 767 | $ | 592 | ||||||||
Ratio to average net assets: | ||||||||||||||||
Net expenses | 0.49 | %(D) | 0.49 | % | 0.49 | % | 0.48 | %(D) | ||||||||
Gross expenses | 0.93 | %(D) | 1.43 | % | 3.98 | % | 1.49 | %(D) | ||||||||
Net investment income | 2.21 | %(D) | 2.31 | % | 3.22 | % | 3.03 | %(D) | ||||||||
Portfolio turnover rate | 19 | %(C) | 48 | % | 45 | % | 79 | %(C) |
Touchstone Short Duration Fixed Income Fund—Class Z | ||||||||||||||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||||||||||||||
Six Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
March 31, | ||||||||||||||||||||||||
2012 | Year Ended September 30, | |||||||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||
Net asset value at beginning of period | $ | 9.81 | $ | 9.96 | $ | 9.94 | $ | 9.59 | $ | 9.81 | $ | 9.76 | ||||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||||||
Net investment income | 0.10 | 0.21 | 0.29 | 0.32 | 0.45 | 0.45 | ||||||||||||||||||
Net realized and unrealized gains (losses) on investments | 0.00 | (B) | (0.09 | ) | 0.04 | 0.35 | (0.22 | ) | 0.05 | |||||||||||||||
Total from investment operations | 0.10 | 0.12 | 0.33 | 0.67 | 0.23 | 0.50 | ||||||||||||||||||
Distributions from: | ||||||||||||||||||||||||
Net investment income | (0.12 | ) | (0.27 | ) | (0.31 | ) | (0.32 | ) | (0.45 | ) | (0.45 | ) | ||||||||||||
Net asset value at end of period | $ | 9.79 | $ | 9.81 | $ | 9.96 | $ | 9.94 | $ | 9.59 | $ | 9.81 | ||||||||||||
Total return | 0.98 | %(C) | 1.22 | % | 3.36 | % | 7.13 | % | 2.36 | % | 5.19 | % | ||||||||||||
Ratios and supplemental data: | ||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 39,741 | $ | 40,111 | $ | 43,411 | $ | 43,749 | $ | 46,989 | $ | 59,192 | ||||||||||||
Ratio to average net assets: | ||||||||||||||||||||||||
Net expenses | 0.74 | %(D) | 0.74 | % | 0.74 | % | 0.74 | % | 0.74 | % | 0.74 | % | ||||||||||||
Gross expenses | 0.98 | %(D) | 0.96 | % | 1.04 | % | 0.96 | % | 0.94 | % | 0.82 | % | ||||||||||||
Net investment income | 1.97 | %(D) | 2.12 | % | 2.94 | % | 3.24 | % | 4.60 | % | 4.62 | % | ||||||||||||
Portfolio turnover rate | 19 | %(C) | 48 | % | 45 | % | 79 | % | 25 | % | 21 | % |
(A) Represents the period from commencement of operations (May 4, 2009) through September 30, 2009.
(B) Amount rounds to less than $0.005 per share.
(C) Not annualized.
(D) Annualized.
See accompanying Notes to Financial Statements.
117 |
Financial Highlights (Continued)
Touchstone Small Cap Core Fund—Class A | ||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 11.94 | $ | 11.62 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income (loss) | 0.01 | (B) | (0.02 | ) | 0.02 | |||||||
Net realized and unrealized gains on investments | 3.72 | 0.35 | 1.60 | |||||||||
Total from investment operations | 3.73 | 0.33 | 1.62 | |||||||||
Distributions from: | ||||||||||||
Net investment income | — | (0.01 | ) | — | ||||||||
Realized capital gains | (0.17 | ) | 0.00 | (C) | — | |||||||
Total distributions | (0.17 | ) | (0.01 | ) | — | |||||||
Net asset value at end of period | $ | 15.50 | $ | 11.94 | $ | 11.62 | ||||||
Total return(D) | 31.45 | %(E) | 2.82 | % | 16.20 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 61,222 | $ | 43,074 | $ | 50,110 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.34 | %(F) | 1.34 | % | 1.34 | % | ||||||
Gross expenses | 1.63 | %(F) | 1.79 | % | 1.55 | % | ||||||
Net investment income (loss) | 0.18 | %(F) | (0.10 | )% | 0.32 | % | ||||||
Portfolio turnover rate | 2 | %(E) | 37 | % | 29 | % |
Touchstone Small Cap Core Fund—Class C | ||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 11.79 | $ | 11.55 | $ | 10.00 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment loss | (0.04 | )(B) | (0.08 | ) | (0.02 | ) | ||||||
Net realized and unrealized gains on investments | 3.66 | 0.32 | 1.57 | |||||||||
Total from investment operations | 3.62 | 0.24 | 1.55 | |||||||||
Distributions from: | ||||||||||||
Net investment income | — | 0.00 | (C) | — | ||||||||
Realized capital gains | (0.17 | ) | 0.00 | (C) | — | |||||||
Total distributions | (0.17 | ) | — | — | ||||||||
Net asset value at end of period | $ | 15.24 | $ | 11.79 | $ | 11.55 | ||||||
Total return(D) | 30.91 | %(E) | 2.08% | 15.50 | % | |||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 18,023 | $ | 11,739 | $ | 5,245 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 2.09 | %(F) | 2.09 | % | 2.09 | % | ||||||
Gross expenses | 2.35 | %(F) | 2.51 | % | 2.57 | % | ||||||
Net investment loss | (0.57 | )%(F) | (0.80 | )% | (0.43 | )% | ||||||
Portfolio turnover rate | 1.85 | %(E) | 37 | % | 29 | % |
(A) The Fund commenced operations on October 1, 2009.
(B) The net investment income per share is based on average shares outstanding for the period.
(C) Amount rounds to less than $0.005 per share.
(D) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower.
(E) Not annualized.
(F) Annualized.
See accompanying Notes to Financial Statements.
118 |
Financial Highlights (Continued)
Touchstone Small Cap Core Fund—Class Y | ||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||
Six Months | ||||||||||||
Ended | ||||||||||||
March 31, | Year Ended | |||||||||||
2012 | September 30, | |||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 12.00 | $ | 11.67 | $ | 10.00 | ||||||
Income from investment operations: | ||||||||||||
Net investment income | 0.04 | (B) | 0.02 | 0.03 | ||||||||
Net realized and unrealized gains on investments | 3.73 | 0.34 | 1.64 | |||||||||
Total from investment operations | 3.77 | 0.36 | 1.67 | |||||||||
Distributions from: | ||||||||||||
Net investment income | (0.01 | ) | (0.03 | ) | — | |||||||
Realized capital gains | (0.17 | ) | 0.00 | (C) | — | |||||||
Total distributions | (0.18 | ) | (0.03 | ) | — | |||||||
Net asset value at end of period | $ | 15.59 | $ | 12.00 | $ | 11.67 | ||||||
Total return | 31.67 | %(D) | 3.05% | 16.70% | ||||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 126,366 | $ | 58,164 | $ | 33,536 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 1.02 | %(E) | 1.09 | % | 1.09 | % | ||||||
Gross expenses | 1.15 | %(E) | 1.21 | % | 1.31 | % | ||||||
Net investment income | 0.50 | %(E) | 0.21 | % | 0.61 | % | ||||||
Portfolio turnover rate | 2 | %(D) | 37 | % | 29 | % |
Touchstone Small Cap Core Fund—Institutional Class | ||||||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||||||
Six Months | ||||||||||||
Ended | Year Ended | |||||||||||
March 31, | September 30, | |||||||||||
2012 | ||||||||||||
(Unaudited) | 2011 | 2010(A) | ||||||||||
Net asset value at beginning of period | $ | 11.99 | $ | 11.65 | $ | 10.00 | ||||||
Income from investment operations: | ||||||||||||
Net investment income | 0.04 | (B) | 0.03 | 0.06 | ||||||||
Net realized and unrealized gains on investments | 3.73 | 0.35 | 1.61 | |||||||||
Total from investment operations | 3.77 | 0.38 | 1.67 | |||||||||
Distributions from: | ||||||||||||
Net investment income | (0.03 | ) | (0.04 | ) | (0.02 | ) | ||||||
Realized capital gains | (0.17 | ) | 0.00 | (C) | — | |||||||
Total distributions | (0.20 | ) | (0.04 | ) | (0.02 | ) | ||||||
Net asset value at end of period | $ | 15.56 | $ | 11.99 | $ | 11.65 | ||||||
Total return | 31.67 | %(D) | 3.24 | % | 16.74 | % | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 127,745 | $ | 43,035 | $ | 10,386 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.94 | %(E) | 0.94 | % | 0.94 | % | ||||||
Gross expenses | 1.12 | %(E) | 1.16 | % | 1.32 | % | ||||||
Net investment income | 0.57 | %(E) | 0.36 | % | 0.66 | % | ||||||
Portfolio turnover rate | 2 | %(D) | 37.00 | % | 29 | % |
(A) The Fund commenced operations on October 1, 2009.
(B) The net investment income per share is based on average shares outstanding for the period.
(C) Amount rounds to less than $0.005 per share.
(D) Not annualized.
(E) Annualized.
See accompanying Notes to Financial Statements.
119 |
Financial Highlights (Continued)
Touchstone Small Cap Value Fund—Class A | ||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||
Six Months | Period | |||||||
Ended | Ended | |||||||
March 31, | September | |||||||
2012 | 30, | |||||||
(Unaudited) | 2011(A)(B) | |||||||
Net asset value at beginning of period | $ | 13.85 | $ | 17.36 | ||||
Income (loss) from investment operations: | ||||||||
Net investment income | 0.13 | 0.22 | ||||||
Net realized and unrealized gains (losses) on investments | 4.41 | (3.57 | ) | |||||
Total from investment operations | 4.54 | (3.35 | ) | |||||
Distributions from: | ||||||||
Net investment income | (0.22 | ) | (0.16 | ) | ||||
Net asset value at end of period | $ | 18.17 | $ | 13.85 | ||||
Total return(C) | 32.85 | %(D) | (19.37 | )%(D) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 34,065 | $ | 37,385 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 1.43 | %(E) | 1.43 | %(E) | ||||
Gross expenses | 1.74 | %(E) | 1.72 | %(E) | ||||
Net investment income | 1.58 | %(E) | 1.97 | %(E) | ||||
Portfolio turnover rate | 51 | %(D) | 206 | %(D) |
Touchstone Small Cap Value Fund—Class C | ||||||||
Selected Data for a Share Outstanding Throughout Each Period | ||||||||
Six Months | Period | |||||||
Ended | Ended | |||||||
March 31, | September | |||||||
2012 | 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 13.82 | $ | 17.36 | ||||
Income (loss) from investment operations: | ||||||||
Net investment income | 0.13 | 0.09 | ||||||
Net realized and unrealized gains (losses) on investments | 4.33 | (3.50 | ) | |||||
Total from investment operations | 4.46 | (3.41 | ) | |||||
Distributions from: | ||||||||
Net investment income | (0.19 | ) | (0.13 | ) | ||||
Net asset value at end of period | $ | 18.09 | $ | 13.82 | ||||
Total return(C) | 32.38 | %(D) | (19.77 | )%(D) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 28 | $ | 2 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 2.18 | %(E) | 2.18 | %(E) | ||||
Gross expenses | 108.17 | %(E) | 342.41 | %(E) | ||||
Net investment income | 0.82 | %(E) | 0.95 | %(E) | ||||
Portfolio turnover rate | 51 | %(D) | 206 | %(D) |
(A) Represents the period from commencement of operations (March 1, 2011) through September 30, 2011.
(B) Effective June 10, 2011, Class Z shares converted to Class A shares.
(C) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower.
(D) Not annualized.
(E) Annualized.
See accompanying Notes to Financial Statements.
120 |
Financial Highlights (Continued)
Touchstone Small Cap Value Fund—Class Y
Selected Data for a Share Outstanding Throughout Each Period
Six Months | Period | |||||||
Ended | Ended | |||||||
March 31, | September | |||||||
2012 | 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 13.89 | $ | 17.36 | ||||
Income (loss) from investment operations: | ||||||||
Net investment income | 0.17 | 0.71 | ||||||
Net realized and unrealized gains (losses) on investments | 4.39 | (4.00 | ) | |||||
Total from investment operations | 4.56 | (3.29 | ) | |||||
Distributions from: | ||||||||
Net investment income | (0.24 | ) | (0.18 | ) | ||||
Net asset value at end of period | $ | 18.21 | $ | 13.89 | ||||
Total return | 33.02 | %(B) | (19.10 | )%(B) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 11 | $ | 2 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 1.18 | %(C) | 1.18 | %(C) | ||||
Gross expenses | 151.98 | %(C) | 70.29 | %(C) | ||||
Net investment income | 1.97 | %(C) | 2.05 | %(C) | ||||
Portfolio turnover rate | 51 | %(B) | 206 | %(B) |
Touchstone Small Cap Value Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
Six Months | Period | |||||||
Ended | Ended | |||||||
March 31, | September | |||||||
2012 | 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 13.86 | $ | 17.36 | ||||
Income (loss) from investment operations: | ||||||||
Net investment income | 0.16 | 0.20 | ||||||
Net realized and unrealized gains (losses) on investments | 4.41 | (3.51 | ) | |||||
Total from investment operations | 4.57 | (3.31 | ) | |||||
Distributions from: | ||||||||
Net investment income | (0.25 | ) | (0.19 | ) | ||||
Net asset value at end of period | $ | 18.18 | $ | 13.86 | ||||
Total return | 33.19 | %(B) | (19.23 | )%(B) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 985 | $ | 741 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 1.03 | %(C) | 1.03 | %(C) | ||||
Gross expenses | 2.01 | %(C) | 3.59 | %(C) | ||||
Net investment income | 1.98 | %(C) | 2.12 | %(C) | ||||
Portfolio turnover rate | 51 | %(B) | 206 | %(B) |
(A) Represents the period from commencement of operations (March 1, 2011) through September 30, 2011.
(B) Not annualized.
(C) Annualized.
See accompanying Notes to Financial Statements.
121 |
Financial Highlights (Continued)
Touchstone Total Return Bond Fund—Class A†
Selected Data for a Share Outstanding Throughout Each Period††
Six Months | Period | |||||||||||
Ended | Ended | Period | ||||||||||
March 31, | September | Ended | ||||||||||
2012 | 30, | March 31, | ||||||||||
(Unaudited) | 2011(A) | 2011(B) | ||||||||||
Net asset value at beginning of period | $ | 10.13 | $ | 9.90 | $ | 10.15 | ||||||
Income (loss) from investment operations: | ||||||||||||
Net investment income | 0.15 | (C) | 0.24 | 0.28 | ||||||||
Net realized and unrealized gains (losses) on investments | 0.10 | 0.24 | (0.14 | )(D) | ||||||||
Total from investment operations | 0.25 | 0.48 | 0.14 | |||||||||
Distributions from: | ||||||||||||
Net investment income | (0.14 | ) | (0.25 | ) | (0.39 | ) | ||||||
Net asset value at end of period | $ | 10.24 | $ | 10.13 | $ | 9.90 | ||||||
Total return(E) | 2.50 | %(F) | 5.02 | %(F) | 1.31 | %(F)(G) | ||||||
Ratios and supplemental data: | ||||||||||||
Net assets at end of period (000's) | $ | 6,123 | $ | 4,737 | $ | 7 | ||||||
Ratio to average net assets: | ||||||||||||
Net expenses | 0.90 | %(H) | 0.90 | %(H) | 0.65 | %(H)(I) | ||||||
Gross expenses | 1.14 | %(H) | 1.69 | %(H) | 1.75 | %(H)(I) | ||||||
Net investment income | 2.96 | %(H) | 4.40 | %(H) | 4.16 | %(H) | ||||||
Portfolio turnover rate | 49 | %(F) | 7 | %(F) | 27 | %(F) |
† | Touchstone Total Return Bond Fund acquired all of the assets and liabilities of EARNEST Partners Fixed Income Trust (“Predecessor Fund”) in a reorganization on August 1, 2011. The Predecessor Fund's performance and financial history have been adopted by Touchstone Total Return Bond and will be used going forward. As a result, the information prior to August 1, 2011 reflects that of the Predecessor Fund. |
†† | Per share data prior to August 1, 2011, reflects a 1.01491:1 stock split. All per share amounts prior to that date have been adjusted to reflect the stock split. |
(A) | Effective August 1, 2011, the Fund changed its fiscal year end from March 31 to September 30 and Investor Class shares were renamed Class A shares. See Note 9 in Notes to Financial Statements. |
(B) | Class A shares commenced operations on August 16, 2010. |
(C) | The net investment income per share is based on average shares outstanding for the period. |
(D) | This amount per share is a loss for the Class A shares because of the short time period since the Commencement of Operations on August 16, 2010 relative to the full fiscal year in which the Class Y shares were in operation. The loss during this period is offset by the gain in the Class Y shares during the full fiscal year to create a gain in the Net Realized and Unrealized Gain on Investments in the other classes. |
(E) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(F) | Not annualized. |
(G) | Includes adjustments in accordance with accounting principles generally accepted in the United States of America, and, consequently, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset values and returns for shareholder transactions. |
(H) | Annualized. |
(I) | The expense ratios listed reflect total expenses prior to any waivers and reimbursements (gross expense ratio) and after any waivers and reimbursements (net expense ratio). |
See accompanying Notes to Financial Statements.
122 |
Financial Highlights (Continued)
Touchstone Total Return Bond Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
Six Months | Period | |||||||
Ended | Ended | |||||||
March 31, | September | |||||||
2012 | 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 10.12 | $ | 10.04 | ||||
Income from investment operations: | ||||||||
Net investment income | 0.11 | (B) | 0.06 | |||||
Net realized and unrealized gains on investments | 0.10 | 0.09 | ||||||
Total from investment operations | 0.21 | 0.15 | ||||||
Distributions from: | ||||||||
Net investment income | (0.10 | ) | (0.07 | ) | ||||
Net asset value at end of period | $ | 10.23 | $ | 10.12 | ||||
Total return(C) | 2.12 | %(D) | 1.51 | %(D) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 3,043 | $ | 2,587 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 1.65 | %(E) | 1.65 | %(E) | ||||
Gross expenses | 1.95 | %(E) | 2.55 | %(E) | ||||
Net investment income | 2.21 | %(E) | 3.75 | %(E) | ||||
Portfolio turnover rate | 49 | %(D) | 7 | %(D) |
(A) | Class C shares commenced operations on August 1, 2011. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) | Not annualized. |
(E) | Annualized. |
See accompanying Notes to Financial Statements.
123 |
Financial Highlights (Continued)
Touchstone Total Return Bond Fund—Class Y†
Selected Data for a Share Outstanding Throughout Each Period††
Six Months | |||||||||||||||||||||||||||
Ended | Period | ||||||||||||||||||||||||||
March 31, | Ended | ||||||||||||||||||||||||||
2012 | September 30, | Year Ended March 31, | |||||||||||||||||||||||||
(Unaudited) | 2011(A) | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||||
Net asset value at beginning of period | $ | 10.15 | $ | 9.86 | $ | 9.66 | $ | 8.48 | $ | 9.20 | $ | 9.29 | $ | 9.12 | |||||||||||||
Income (loss) from investment operations: | |||||||||||||||||||||||||||
Net investment income | 0.17 | (B) | 0.24 | 0.45 | 0.48 | 0.48 | 0.46 | 0.43 | |||||||||||||||||||
Net realized and unrealized gains (losses) on investments | 0.10 | 0.30 | 0.21 | 1.21 | (0.73 | ) | (0.09 | ) | 0.18 | ||||||||||||||||||
Total from investment operations | 0.27 | 0.54 | 0.66 | 1.69 | (0.25 | ) | 0.37 | 0.61 | |||||||||||||||||||
Distributions from: | |||||||||||||||||||||||||||
Net investment income | (0.16 | ) | (0.25 | ) | (0.46 | ) | (0.51 | ) | (0.47 | ) | (0.46 | ) | (0.44 | ) | |||||||||||||
Net asset value at end of period | $ | 10.26 | $ | 10.15 | $ | 9.86 | $ | 9.66 | $ | 8.48 | $ | 9.20 | $ | 9.29 | |||||||||||||
Total return(C) | 2.65 | %(D) | 5.29 | %(D) | 6.97 | %(E) | 20.28 | %(E) | (2.79 | )%(E) | 4.16 | %(E) | 6.84 | %(E) | |||||||||||||
Ratios and supplemental data: | |||||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 14,833 | $ | 17,810 | $ | 16,512 | $ | 16,877 | $ | 13,075 | $ | 34,652 | $ | 44,403 | |||||||||||||
Ratio to average net assets: | |||||||||||||||||||||||||||
Net expenses | 0.54 | %(F) | 0.48 | %(F) | 0.40 | %(G) | 0.40 | %(G) | 0.40 | %(G) | 0.40 | %(G) | 0.40 | %(G) | |||||||||||||
Gross expenses | 0.73 | %(F) | 1.13 | %(F) | 1.62 | %(G) | 1.56 | %(G) | 1.14 | %(G) | 0.94 | %(G) | 0.95 | %(G) | |||||||||||||
Net investment income | 3.13 | %(F) | 4.35 | %(F) | 4.46 | % | 5.10 | % | 5.23 | % | 4.86 | % | 4.66 | % | |||||||||||||
Portfolio turnover rate | 49 | %(D) | 7 | %(D) | 27 | % | 29 | % | 24 | % | 19 | % | 27 | % |
† | Touchstone Total Return Bond Fund acquired all of the assets and liabilities of EARNEST Partners Fixed Income Trust (“Predecessor Fund”) in a reorganization on August 1, 2011. The Predecessor Fund's performance and financial history have been adopted by Touchstone Total Return Bond and will be used going forward. As a result, the information prior to August 1, 2011 reflects that of the Predecessor Fund. |
†† | Per share data prior to August 1, 2011, reflects a 0.87567:1 stock split. All per share amounts prior to that date have been adjusted to reflect the stock split. |
(A) | Effective August 1, 2011, the Fund changed its fiscal year end from March 31 to September 30 and Institutional Class shares were renamed Class Y shares. See Note 9 in the Notes to Financial Statements. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Total returns shown exclude the effect of applicable sales loads. If these charges were included, the return would be lower. |
(D) Not annualized.
(E) | Includes adjustments in accordance with accounting principles generally accepted in the United States of America, and, consequently, the net asset value for financial reporting purposes and the returns based upon those net asset values may differ from the net asset values and returns for shareholder transactions. |
(F) | Annualized. |
(G) | The expense ratios listed reflect total expenses prior to any waivers and reimbursements (gross expense ratio) and after any waivers and reimbursements (net expense ratio). |
See accompanying Notes to Financial Statements.
124 |
Financial Highlights (Continued)
Touchstone Total Return Bond Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||
Ended | Period | |||||||
March 31, | Ended | |||||||
2012 | September 30, | |||||||
(Unaudited) | 2011(A) | |||||||
Net asset value at beginning of period | $ | 10.14 | $ | 10.06 | ||||
Income from investment operations: | ||||||||
Net investment income | 0.17 | (B) | 0.08 | |||||
Net realized and unrealized gains on investments | 0.10 | 0.09 | ||||||
Total from investment operations | 0.27 | 0.17 | ||||||
Distributions from: | ||||||||
Net investment income | (0.16 | ) | (0.09 | ) | ||||
Net asset value at end of period | $ | 10.25 | $ | 10.14 | ||||
Total return | 2.68 | %(C) | 1.70 | %(C) | ||||
Ratios and supplemental data: | ||||||||
Net assets at end of period (000's) | $ | 40,418 | $ | 6,386 | ||||
Ratio to average net assets: | ||||||||
Net expenses | 0.50 | %(D) | 0.50 | %(D) | ||||
Gross expenses | 0.72 | %(D) | 1.21 | %(D) | ||||
Net investment income | 3.35 | %(D) | 4.89 | %(D) | ||||
Portfolio turnover rate | 49 | %(C) | 7 | %(C) |
† | Touchstone Total Return Bond Fund acquired all of the assets and liabilities of EARNEST Partners Fixed Income Trust (“Predecessor Fund”) in a reorganization on August 1, 2011. The Predecessor Fund's performance and financial history have been adopted by Touchstone Total Return Bond and will be used going forward. As a result, the information prior to August 1, 2011 reflects that of the Predecessor Fund. |
(A) | Institutional Class shares commenced operations on August 1, 2011. |
(B) | The net investment income per share is based on average shares outstanding for the period. |
(C) | Not annualized. |
(D) | Annualized. |
See accompanying Notes to Financial Statements.
125 |
Financial Highlights (Continued)
Touchstone Ultra Short Duration Fixed Income Fund—Class Z
Selected Data for a Share Outstanding Throughout Each Period
Six Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
March 31, | ||||||||||||||||||||||||
2012 | Year Ended September 30, | |||||||||||||||||||||||
(Unaudited) | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||
Net asset value at beginning of period | $ | 9.58 | $ | 9.68 | $ | 9.66 | $ | 9.74 | $ | 10.08 | $ | 10.06 | ||||||||||||
Income (loss) from investment operations: | ||||||||||||||||||||||||
Net investment income | 0.07 | (A) | 0.15 | 0.18 | 0.32 | 0.47 | 0.53 | |||||||||||||||||
Net realized and unrealized gains (losses) on investments | 0.04 | (0.04 | ) | 0.06 | (0.07 | ) | (0.34 | ) | 0.01 | |||||||||||||||
Total from investment operations | 0.11 | 0.11 | 0.24 | 0.25 | 0.13 | 0.54 | ||||||||||||||||||
Distributions from: | ||||||||||||||||||||||||
Net investment income | (0.12 | ) | (0.21 | ) | (0.22 | ) | (0.33 | ) | (0.47 | ) | (0.52 | ) | ||||||||||||
Net asset value at end of period | $ | 9.57 | $ | 9.58 | $ | 9.68 | $ | 9.66 | $ | 9.74 | $ | 10.08 | ||||||||||||
Total return | 1.10 | %(B) | 1.12 | % | 2.49 | % | 2.60 | % | 1.26 | % | 5.48 | % | ||||||||||||
Ratios and supplemental data: | ||||||||||||||||||||||||
Net assets at end of period (000's) | $ | 351,191 | $ | 346,131 | $ | 236,650 | $ | 108,552 | $ | 143,837 | $ | 146,045 | ||||||||||||
Ratio to average net assets: | ||||||||||||||||||||||||
Net expenses | 0.69 | %(C) | 0.69 | % | 0.69 | % | 0.69 | % | 0.69 | % | 0.69 | % | ||||||||||||
Gross expenses | 0.76 | %(C) | 0.78 | % | 0.81 | % | 0.85 | % | 0.82 | % | 0.75 | % | ||||||||||||
Net investment income | 1.51 | %(C) | 1.39 | % | 1.69 | % | 3.41 | % | 4.72 | % | 5.25 | % | ||||||||||||
Portfolio turnover rate | 84 | %(B) | 144 | % | 119 | % | 15 | % | 56 | % | 26 | % |
(A) | The net investment income per share is based on average shares outstanding for the period. |
(B) | Not annualized. |
(C) | Annualized. |
See accompanying Notes to Financial Statements.
126 |
Notes to Financial Statements
March 31, 2012 (Unaudited)
1. Organization
The Touchstone Funds Group Trust (the “Trust”) is registered under the Investment Company Act of 1940, as amended, (the “1940 Act”) as an open-end management investment company. The Trust was established as a Delaware statutory trust under a Declaration of Trust dated October 25, 1993. The Trust consists of the following nineteen funds, individually, a “Fund,” and collectively, the “Funds”:
Touchstone Emerging Markets Equity Fund (“Emerging Markets Equity Fund”)
Touchstone Emerging Markets Equity Fund II (“Emerging Markets Equity Fund II”)
Touchstone Focused Equity Fund (“Focused Equity Fund”)
Touchstone Global Equity Fund (“Global Equity Fund”)
Touchstone Global Real Estate Fund (“Global Real Estate Fund”)
Touchstone Intermediate Fixed Income Fund (“Intermediate Fixed Income Fund”)
Touchstone International Fixed Income Fund (“International Fixed Income Fund”)
Touchstone Large Cap Relative Value Fund (“Large Cap Relative Value Fund”)
Touchstone Market Neutral Equity Fund (“Market Neutral Equity Fund”)
Touchstone Merger Arbitrage Fund (“Merger Arbitrage Fund”)
Touchstone Mid Cap Fund (“Mid Cap Fund”)
Touchstone Mid Cap Value Fund (“Mid Cap Value Fund”)
Touchstone Premium Yield Equity Fund (“Premium Yield Equity Fund”)
Touchstone Sands Capital Select Growth Fund (“Sands Capital Select Growth Fund”)
Touchstone Short Duration Fixed Income Fund (“Short Duration Fixed Income Fund”)
Touchstone Small Cap Core Fund (“Small Cap Core Fund”)
Touchstone Small Cap Value Fund (“Small Cap Value Fund”)
Touchstone Total Return Bond Fund (“Total Return Bond Fund”)
Touchstone Ultra Short Duration Fixed Income Fund (“Ultra Short Duration Fixed Income Fund”)
Each Fund is an open-end, diversified, management investment company, with the exception of the Focused Equity Fund, Global Real Estate Fund, International Fixed Income Fund, Merger Arbitrage Fund, Sands Capital Select Growth Fund and Small Cap Core Fund, each of which is an open-end, non-diversified management investment company.
The Declaration of Trust permits the Trust to issue an unlimited number of shares of beneficial interest of each Fund. The Funds are registered to offer different classes of shares: Class A shares, Class C shares, Class Y shares, Class Z shares, and Institutional Class shares. The assets of each Fund are segregated, and a shareholder’s interest is limited to the Fund in which shares are held. The Funds’ prospectuses provide a description of each Fund’s investment objectives, policies, and strategies along with information on the classes of shares currently being offered.
Effective April 19, 2011, the Touchstone Core Plus Fixed Income Fund changed its name to the Touchstone Total Return Bond Fund. On August 1, 2011, EARNEST Partners Fixed IncomeTrust (the “Predecessor Fund”), a series of the Nottingham Investment Trust II, was reorganized into the Total Return Bond Fund.
2. Significant Accounting Policies
The following is a summary of the Funds’ significant accounting policies:
Security valuation and fair value measurements — All investments in securities are recorded at their estimated fair value. The Funds use various methods to measure fair value of their portfolio securities on a recurring basis. U.S. GAAP establishes a hierarchy that prioritizes inputs to valuation methods. These inputs are summarized in the three broad levels listed below:
· Level 1 – | quoted prices in active markets for identical securities |
127 |
Notes to Financial Statements (Continued)
· Level 2 – | other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) |
· Level 3 – | significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments) |
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. For example, money market instruments are valued using amortized cost, in accordance with rules under the 1940 Act. Generally, amortized cost approximates the current fair value of a security, but since the value is not obtained from a quoted price in an active market, such securities are reflected as Level 2. Transfers in and out of the levels are recognized at the value at the end of the period. During the six months ended March 31, 2012, there were no significant transfers between Levels 1 and 2 except as shown in the Portfolios of Investments for the Emerging Markets Equity Fund, the Global Equity Fund, and the Global Real Estate Fund.
The aggregate value by input level, as of March 31, 2012, for each Fund’s investments, as well as a reconciliation of assets for which significant unobservable inputs (Level 3) were used in determining value, if applicable, is included in each Fund’s Portfolio of Investments, which also includes a breakdown of the Fund’s investments by geographic/industry concentration.
The Funds’ portfolio securities are valued as of the close of the regular session of trading on the New York Stock Exchange (currently 4:00 p.m., Eastern time). Portfolio securities traded on stock exchanges are valued at the last sale price, and to the extent these securities are actively traded, they are categorized in Level 1 of the fair value hierarchy. Portfolio securities quoted by NASDAQ are valued at the NASDAQ Official Closing Price (“NOCP”). Securities not traded on a particular day, or for which the last sale price is not readily available, are valued at their last broker-quoted bid prices as obtained from one or more of the major market makers for such securities by an independent pricing service and are categorized in Level 2. Debt securities for which market quotations are readily available are valued at their most recent bid prices as obtained from one or more of the major market makers for such securities by an independent pricing service and are categorized in Level 2. Money market instruments and other debt securities with a remaining maturity of less than 60 days are valued at amortized cost, which approximates market value and are categorized in Level 2. Securities for which market quotations or the NOCP are not readily available are valued based on fair value as determined by or under the direction of the Board of Trustees and are categorized in Level 3. Shares of open end mutual funds in which the Funds invest are valued at their respective net asset values as reported by the underlying funds and are categorized in Level 1. The prices for foreign securities are reported in local currency and converted to U.S. dollars using currency exchange rates.
For securities that principally trade on a foreign market or exchange, a significant gap in time can exist between the time of a particular security’s last trade and the time at which a Fund calculates its net asset value. The closing prices of such securities may no longer reflect their market value at the time the Fund calculates its net asset value if an event that could materially affect the value of those securities (a “Significant Event”) has occurred between the time of the security’s last close and the time that the Fund calculates its net asset value.
A Significant Event may relate to a single issuer or to an entire market sector. If the Advisor or Sub-Advisor of a Fund becomes aware of a Significant Event that has occurred with respect to a security or group of securities after the closing of the exchange or market on which the security or securities principally trade, but before the time at which the Fund calculates its net asset value, it may request that a Fair Value Committee Meeting be called. In addition, the Funds’ Administrator or Sub-Administrator monitors price movements among certain selected indices, securities and/or baskets of securities that may be an indicator that the closing prices received earlier from foreign exchanges or markets may not reflect market value at the time the Fund calculates its net asset value. If price movements in a monitored index or security exceed levels established by the Advisor, the
128 |
Notes to Financial Statements (Continued)
Sub-Administrator notifies the Advisor or Sub-Advisor for any Fund holding the relevant securities that such limits have been exceeded. In such event, the Advisor makes the determination whether a Fair Value Committee meeting should be called based on the information provided. These securities are categorized in Level 2.
New accounting pronouncements — In May 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU No. 2011-04”), “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in GAAP and the International Financial Reporting Standards (“IFRS”).” ASU 2011-04 includes common requirements for measurement of and disclosure about fair value between U.S. GAAP and IFRS. ASU 2011-04 will require reporting entities to categorize within Level 3 of the fair value hierarchy: quantitative information about the unobservable inputs used in the fair value measurement; the valuation processes used by the reporting entity; and a narrative description of the sensitivity of the fair value measurement to changes in unobservable inputs and the interrelationships between those unobservable inputs. In addition, ASU 2011-04 will require reporting entities to make disclosures about amounts and reasons for all transfers in and out of Level 1 and Level 2 fair value measurements. The new and revised disclosures are effective for fiscal years beginning after December 15, 2011 and for interim periods within those fiscal years. Management is currently evaluating the implications of ASU 2011-04 and its impact on the financial statements.
In December 2011, FASB issued ASU No. 2011-11, “Disclosures about Offsetting Assets and Liabilities” (“ASU 2011-11”). ASU 2011-11 requires disclosures to make financial statements that are prepared under U.S. GAAP more comparable to those prepared under IFRS. The new disclosure requirements mandate that entities disclose both gross and net information about instruments and transactions eligible for offset in the statement of assets and liabilities as well as instruments and transactions subject to an agreement similar to a master netting arrangement. In addition, ASU 2011-11 requires disclosure of collateral received and posted in connection with master netting agreements or similar arrangements. New disclosures are required for annual reporting periods beginning on or after January 1, 2013, and interim periods within those annual periods. Management is evaluating the impact of ASU 2011-11 on the financial statements and disclosures.
Securities sold short — The Funds periodically engage in selling securities short, which obligates a Fund to replace a security borrowed by purchasing the same security at the current market value. A Fund would incur a loss if the price of the security increases between the date of the short sale and the date on which the Fund replaces the borrowed security. A Fund would realize a gain if the price of the security declines between those dates.
Foreign currency translation — The books and records of the Funds are maintained in U.S. dollars and translated into U.S. dollars on the following basis:
(1) market value of investment securities, assets and liabilities at the current rate of exchange on the valuation date; and
(2) purchases and sales of investment securities, income and expenses at the relevant rates of exchange prevailing on the respective dates of such transactions.
The Funds do not isolate that portion of gains and losses on investments in equity securities that is due to changes in the foreign exchange rates from that which is due to changes in market prices of equity securities.
Forward foreign currency contracts — A forward foreign currency contract is an agreement between two parties to buy and sell a specific currency at a price that is set on the date of the contract. The forward contract calls for delivery of the currency on a future date that is specified in the contract. Risks related to the use of forwards include the possible failure of counterparties to meet the terms of the forward agreement, the failure of the counterparties to timely post collateral, the risk that currency movements will not occur thereby reducing the Fund’s total return, and the potential for losses in excess of the Fund’s initial investment.
129 |
Notes to Financial Statements (Continued)
The market value of a forward foreign currency contract fluctuates with changes in foreign currency exchange rates. Forward foreign currency contracts are marked to market daily and the change in value is recorded by a Fund as an unrealized gain or loss. Realized gains or losses, equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed, are recorded upon delivery or receipt of the currency.
During the six months ended March 31, 2012, the Funds used forward foreign currency contracts to enhance potential gains, hedge against anticipated currency exchange rates, maintain diversity and liquidity of the portfolio and adjust exposure to foreign currencies.
Derivative instruments and hedging activities — The following table sets forth the fair value of the Funds’ derivative financial instruments by primary risk exposure as of March 31, 2012:
Fair Value of Derivative Investments
As of March 31, 2012
Asset | Liability | |||||||||||
Derivatives | Derivatives | |||||||||||
Derivatives not accounted for as hedging | Unrealized | Unrealized | ||||||||||
Fund | instruments under ASC 815 | Appreciation* | Depreciation** | |||||||||
International Fixed Income Fund | Forward foreign currency exchange contracts | $ | 183,314 | $ | (288,359 | ) | ||||||
Merger Arbitrage Fund | Forward foreign currency exchange contracts | — | (1,093 | ) | ||||||||
* Statements of Assets and Liabilities Location: Unrealized appreciation on forward foreign currency contracts
** Statements of Assets and Liabilities Location: Unrealized depreciation on forward foreign currency contracts
For the six months ended March 31, 2012, the average quarterly balance of outstanding derivative financial instruments was as follows:
International | Merger | |||||||
Fixed Income | Arbitrage | |||||||
Fund | Fund | |||||||
Forward foreign currency exchange contracts: | ||||||||
Average number of contracts | 28 | 1 | ||||||
Average U.S. dollar amount purchased | $ | 9,495,942 | $ | 920,327 | ||||
Average U.S. dollar amount sold | 9,085,892 | — |
The Effect of Derivative Investments on the Statement of Operations
for the Six Months Ended March 31, 2012
Change in | ||||||||||||
Unrealized | ||||||||||||
Depreciation | ||||||||||||
Derivatives not accounted for as hedging | Realized Gain | on | ||||||||||
Fund | instruments under ASC 815 | on Derivatives* | Derivatives** | |||||||||
International Fixed Income Fund | Forward foreign currency exchange contracts | $ | 257,950 | $ | (329,415 | ) | ||||||
Merger Arbitrage Fund | Forward foreign currency exchange contracts | — | (1,093 | ) | ||||||||
* Statements of Operations Location: Net realized gains (losses) from foreign currency transactions
** Statements of Operations Location: Net change in unrealized appreciation (depreciation) on foreign currency transactions
Portfolio securities loaned — Each Fund may lend its portfolio securities. Lending portfolio securities exposes a Fund to the risk that the borrower may fail to return the loaned securities or may not be able to provide additional collateral or that the Fund may experience delays in recovery of the loaned securities or loss of rights in the collateral if the borrower fails financially. To minimize these risks, the borrower must agree to maintain cash collateral with the Funds’ custodian in an amount at least equal to the market value of the loaned securities. The cash collateral is reinvested by the Funds’ custodian into an approved investment vehicle.
130 |
Notes to Financial Statements (Continued)
As of March 31, 2012, the following Funds loaned securities and received collateral as follows:
Fair Value of | Value of | |||||||
Securities | Collateral | |||||||
Fund | Loaned | Received | ||||||
Emerging Markets Equity Fund | $ | 13,874,041 | $ | 14,355,833 | ||||
Focused Equity Fund | 6,519,472 | 6,746,176 | ||||||
Global Equity Fund | 59,041 | 60,000 | ||||||
Mid Cap Fund | 1,030,029 | 1,045,795 | ||||||
Mid Cap Value Fund | 2,658,587 | 2,680,102 | ||||||
Sands Capital Select Growth Fund | 57,541,084 | 58,586,119 | ||||||
Small Cap Core Fund | 21,723,708 | 22,354,628 | ||||||
Small Cap Value Fund | 1,562,351 | 1,586,167 |
All collateral received as cash is received, held and administered by the Funds’ custodian for the benefit of the Funds in the applicable custody account or other account established for the purpose of holding collateral.
Funds participating in securities lending receive compensation in the form of fees, or retain a portion of interest or dividends on the investment of any cash received as collateral. The Funds also continue to receive interest or dividends on the securities loaned. The loaned securities are secured by collateral valued at least equal, at all times, to the fair value of the securities loaned plus accrued interest.
Unrealized gain or loss on the fair value of the securities loaned that may occur during the term of the loan is recognized by the Funds. The Funds have the right under the lending agreement to recover the securities from the borrower on demand.
Delayed delivery transactions — Each Fund may purchase or sell securities on a when-issued or delayed delivery basis. These transactions involve a commitment by the Fund to purchase or sell securities for a predetermined price or yield, with payment and delivery taking place beyond the customary settlement period. When delayed delivery purchases are outstanding, the Fund will set aside liquid assets in an amount sufficient to meet the purchase price. When purchasing a security on a delayed delivery basis, the Fund assumes the rights and risks of ownership of the security, including the risk of price and yield fluctuations, and takes such fluctuations into account when determining net asset value.The Fund may dispose of or renegotiate a delayed delivery transaction after it is entered into, and may sell when-issued securities before they are delivered, which may result in a capital gain or loss. When the Fund has sold a security on a delayed delivery basis, the Fund does not participate in future gains and losses with respect to the security.
Share valuation — The net asset value per share of each class of shares of each Fund is calculated daily by dividing the total value of a Fund’s assets attributable to that class, less liabilities attributable to that class, by the number of outstanding shares of that class.
The maximum offering price per share of Class A shares of the Funds (except International Fixed Income Fund and Total Return Bond Fund) is equal to the net asset value per share plus a sales load equal to 6.10% of the net asset value (or 5.75% of the offering price). The maximum offering price per share of Class A shares of the International Fixed Income Fund and Total Return Bond Fund is equal to the net asset value per share plus a sales load equal to 4.99% of the net asset value (or 4.75% of the offering price). The maximum offering price per share of Class C, Class Y, Class Z, and Institutional Class shares of the Funds is equal to the net asset value per share.
The redemption price per share of each class of shares of the Funds is equal to the net asset value per share. However, purchases of $1 million or more of Class A shares, and all purchases of Class C shares of the Funds are subject to a contingent deferred sales load up to 1.00% of the original purchase price if redeemed within a one-year period from the date of purchase.
131 |
Notes to Financial Statements (Continued)
Investment income — Dividend income from securities is recognized on the ex-dividend date, net of foreign withholding taxes, if any, which are reduced by any amounts reclaimable by the Funds, where applicable. Interest income from securities is recorded on the basis of interest accrued, premium amortized and discount accreted. Realized gains and losses resulting from principal paydowns on mortgage-backed and asset-backed securities are included in interest income. Market discounts, original issue discount (“OID”) and market premiums on debt securities are accreted/amortized to interest income over the life of the security with a corresponding adjustment in the cost basis of that security. In addition, it is the Funds’ policy to accrue for foreign capital gains taxes, if applicable, on certain foreign securities held by the Funds. An estimated foreign capital gains tax is recorded daily on net unrealized gains on these securities and is payable upon the sale of such securities when a gain is realized.
Distributions to shareholders — The Emerging Markets Equity Fund, Emerging Markets Equity Fund II, Focused Equity Fund, Global Equity Fund, Market Neutral Equity Fund, Merger Arbitrage Fund, Mid Cap Fund, and Small Cap Core Fund declare and distribute net investment income, if any, annually, as a dividend to shareholders. The Global Real Estate Fund, Large Cap Relative Value Fund, Mid Cap Value Fund, Sands Capital Select Growth Fund, and Small Cap Value Fund declare and distribute net investment income, if any, quarterly, as a dividend to shareholders. Prior to March 31, 2011, the Small Cap Value Fund declared and distributed net investment income annually. The International Fixed Income Fund, Premium Yield Equity Fund and Total Return Bond Fund declare and distribute net investment income, if any, monthly as a dividend to shareholders. The Intermediate Fixed Income Fund, Short Duration Fixed Income Fund, and Ultra Short Duration Fixed Income Fund declare net investment income daily and distribute it monthly, as a dividend to shareholders. Any net realized capital gains on sales of securities for all Funds are distributed to shareholders at least annually. Income distributions and capital gain distributions are determined in accordance with income tax regulations.
Allocations — Investment income earned, realized capital gains and losses, and unrealized appreciation and depreciation for the Funds are allocated daily to each class of shares based upon its proportionate share of total net assets of the Fund. Class specific expenses are charged directly to the class incurring the expense. Common expenses, which are not attributable to a specific class, are allocated daily to each class of shares based upon their proportionate share of total net assets of the Fund. Expenses not directly billed to a Fund are allocated proportionally among all Funds daily in relation to net assets of each Fund or another reasonable measure.
Security transactions — Security transactions are reflected for financial reporting purposes as of the trade date, which may cause the net asset value (“NAV”) as stated in the accompanying financial statements to be different than the NAV applied to Fund share transactions. Realized gains and losses on sales of portfolio securities are calculated using the identified cost basis.
Estimates — The preparation of financial statements in conformity with U.S. GAAP 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 income and expenses during the reporting period. Actual results could differ from those estimates.
132 |
Notes to Financial Statements (Continued)
3. Investment Transactions
Investment transactions (excluding short-term investments and U.S. Government securities) were as follows for the six months ended March 31, 2012:
Emerging | Emerging | Focused | ||||||||||
Markets Equity | Markets Equity | Equity | ||||||||||
Fund | Fund II | Fund | ||||||||||
Purchases of investment securities | $ | 130,789,287 | $ | 23,286,999 | $ | 17,731,446 | ||||||
Proceeds from sales and maturities | $ | 12,862,803 | $ | 41,350 | $ | 30,576,638 |
Global | Global | Intermediate | International | |||||||||||||
Equity | Real Estate | Fixed Income | Fixed Income | |||||||||||||
Fund | Fund | Fund | Fund | |||||||||||||
Purchases of investment securities | $ | 1,251,652 | $ | 1,682,879 | $ | 4,877,139 | $ | 3,697,895 | ||||||||
Proceeds from sales and maturities | $ | 1,181,315 | $ | 3,546,272 | $ | 12,207,016 | $ | 3,260,698 |
Large Cap | Merger | |||||||||||||||
Relative Value | Market Neutral | Arbitrage | Mid Cap | |||||||||||||
Fund | Equity Fund | Fund | Fund | |||||||||||||
Purchases of investment securities | $ | 650,866 | $ | 20,898,319 | $ | 177,967,984 | $ | 90,052,034 | ||||||||
Proceeds from sales and maturities | $ | 78,097 | $ | 26,286,278 | $ | 68,486,239 | $ | 117,457,001 |
Mid Cap | Premium Yield | Sands Capital | Short Duration | |||||||||||||
Value | Equity | Select Growth | Fixed Income | |||||||||||||
Fund | Fund | Fund | Fund | |||||||||||||
Purchases of investment securities | $ | 25,542,027 | $ | 37,238,891 | $ | 870,965,189 | $ | 14,042,415 | ||||||||
Proceeds from sales and maturities | $ | 16,533,148 | $ | 4,824,639 | $ | 230,792,096 | $ | 3,179,861 |
Small Cap | Small Cap | Total Return | Ultra Short | |||||||||||||
Core | Value | Bond | Duration Fixed | |||||||||||||
Fund | Fund | Fund | Income Fund | |||||||||||||
Purchases of investment securities | $ | 115,823,266 | $ | 17,460,996 | $ | 26,692,152 | $ | 257,314,259 | ||||||||
Proceeds from sales and maturities | $ | 4,381,462 | $ | 30,404,754 | $ | 3,649,941 | $ | 250,621,834 |
4. Transactions with Affiliates and Other Related Parties
Certain officers of theTrust are also officers of the Advisor (Touchstone Advisors, Inc.), the Underwriter (Touchstone Securities, Inc.) and/or BNY Mellon Investment Servicing (US) Inc. (“BNY Mellon”) the Sub-Administrator and Transfer Agent to the Funds. The Advisor and Underwriter are each wholly owned, indirect subsidiaries of The Western and Southern Life Insurance Company (“Western-Southern”).
As of March 31, 2012, the following Funds were owned by Western-Southern and subsidiaries:
Emerging Markets Equity Fund II | 45.6 | % | ||
Global Equity Fund | 72.8 | % | ||
Global Real Estate Fund | 93.8 | % | ||
International Fixed Income Fund | 69.3 | % | ||
Large Cap Relative Value Fund | 52.9 | % | ||
Market Neutral Equity Fund | 66.5 | % | ||
Mid Cap Value Fund | 68.7 | % | ||
Premium Yield Equity Fund | 27.6 | % | ||
Total Return Bond Fund | 41.4 | % |
133 |
Notes to Financial Statements (Continued)
MANAGEMENT & EXPENSE LIMITATIONS AGREEMENTS
The Advisor provides general investment supervisory services for the Funds, under terms of an Advisory Agreement. Under the Advisory Agreement, the Funds pay the Advisor a fee, which is computed and accrued daily and paid monthly, at an annual rate based on average daily net assets as shown in the table below.
Emerging Markets Equity Fund | 1.10% on the first $200 million |
1.05% on assets greater than $200 million to $400 million | |
0.95% of such assets in excess of $400 million | |
Emerging Markets Equity Fund II | 1.10% on the first $200 million |
1.05% on assets greater than $200 million to $400 million | |
0.95% of such assets in excess of $400 million | |
Focused Equity Fund | 0.70% on the first $100 million |
0.65% on assets greater than $100 million to $500 million | |
0.60% of such assets in excess of $500 million | |
Global Equity Fund | 0.85% on the first $50 million |
0.80% on assets greater than $50 million to $500 million | |
0.75% of such assets in excess of $500 million | |
Global Real Estate Fund | 0.80% |
Intermediate Fixed Income Fund | 0.40% |
International Fixed Income Fund | 0.55% on the first $100 million |
0.50% on assets greater than $100 million to $250 million | |
0.45% of such assets in excess of $250 million | |
Large Cap Relative Value Fund | 0.70% on the first $100 million |
0.65% of such assets in excess of $100 million | |
Market Neutral Equity Fund | 1.30% |
Merger Arbitrage Fund | 1.05% |
Mid Cap Fund | 0.80% on the first $500 million |
0.75% on assets greater than $500 million to $1 billion | |
0.70% of such assets in excess of $1 billion | |
Mid Cap Value Fund | 0.85% on the first $100 million |
0.80% on assets greater than $100 million to $400 million | |
0.75% of such assets in excess of $400 million | |
Premium Yield Equity Fund | 0.70% on the first $100 million |
0.65% of such assets in excess of $100 million | |
Sands Capital Select Growth Fund | 0.85% on the first $1 billion |
0.80% on assets greater than $1 billion to $1.5 billion | |
0.75% on assets greater than $1.5 billion to $2 billion | |
0.70% of such assets in excess of $2 billion | |
Short Duration Fixed Income Fund | 0.25% |
Small Cap Core Fund | 0.85% |
Small Cap Value Fund | 0.95% on the first $100 million |
0.90% of such assets in excess of $100 million | |
Total Return Bond Fund | 0.35% |
Ultra Short Duration Fixed Income Fund | 0.25% |
134 |
Notes to Financial Statements (Continued)
In addition to the base advisory fee shown above for the Sands Capital Select Growth Fund, a performance fee adjustment will be added to or subtracted from the base advisory fee depending on the performance of the Fund in relation to the investment performance of the Fund’s benchmark index, for the preceding twelve month period, as follows:
Annual | Highest / Lowest | |||||||
Benchmark | Benchmark | Adjustment | Possible Advisory | |||||
Index | Threshold | Rate | Fee | |||||
Russell1000 | ||||||||
Sands Capital Select Growth Fund | Growth Index | +/-2.50% | +/-0.15% | 1.00% / 0.55% |
For the six months ended March 31, 2012, the Advisor’s base fee was increased by $341,907 as a result of the performance fee adjustment.
The Advisor has entered into investment sub-advisory agreements with the following parties (each, a “Sub-Advisor”):
AGF Investments America, Inc. | GAM International Management Limited |
Emerging Markets Equity Fund | International Fixed Income Fund |
Emerging Markets Equity Fund II | |
JKMilne Asset Management | |
Aronson Johnson Oritz | Intermediate Fixed Income Fund |
Market Neutral Equity Fund | |
Lee Munder Capital Group LLC | |
Bedlam Asset Management PLC | Mid Cap Value Fund |
Global Equity Fund | |
The London Company | |
Cornerstone Real Estate Advisers LLC | Small Cap Core Fund |
Global Real Estate Fund | Mid Cap Fund |
DePrince, Race & Zollo, Inc. | Longfellow Investment Management Co. |
Small Cap Value Fund | Merger Arbitrage Fund |
Short Duration Fixed Income Fund | |
EARNEST Partners LLC | |
Large Cap Relative Value Fund | Miller/Howard Investments, Inc. |
Total Return Bond Fund* | Premium Yield Equity Fund |
Fort Washington Investment Advisors, Inc.** | Sands Capital Management, LLC |
Focused Equity Fund | Sands Capital Select Growth Fund |
Ultra Short Duration Fixed Income Fund |
*Effective as of the date of the Fuds’s reorganization, August 1, 2011. See Note 9 in these Notes to Financial Statements.
**Affiliate of the Advisor
The Advisor, not the Funds, pays sub-advisory fees to each Sub-Advisor.
The Advisor entered into an Expense Limitation Agreement to contractually limit operating expenses of the Funds. The maximum operating expense limit in any year with respect to the Funds is based on a percentage of the average daily net assets of the Funds. The Advisor has agreed to waive advisory fees, administration fees and reimburse expenses in order to maintain expense limitations, excluding dividend expense on securities sold short, for the Funds as follows:
135 |
Notes to Financial Statements (Continued)
Institutional | ||||||||||||||||||||
Class A | Class C | Class Y | Class Z | Class | ||||||||||||||||
Emerging Markets Equity Fund | 1.74 | % | 2.49 | % | 1.49 | % | — | 1.34 | % | |||||||||||
Emerging Markets Equity Fund II | 1.74 | % | 2.49 | % | 1.49 | % | — | 1.34 | % | |||||||||||
Focused Equity Fund | 1.20 | % | 1.95 | % | 0.95 | % | — | 0.80 | % | |||||||||||
Global Equity Fund | 1.34 | % | 2.09 | % | 1.09 | % | — | 0.94 | % | |||||||||||
Global Real Estate Fund | 1.39 | % | 2.14 | % | 1.14 | % | — | 0.99 | % | |||||||||||
Intermediate Fixed Income Fund | — | — | — | — | 0.40 | % | ||||||||||||||
International Fixed Income Fund | 1.09 | % | 1.84 | % | 0.84 | % | — | 0.69 | % | |||||||||||
Large Cap Relative Value Fund | 1.19 | % | 1.94 | % | 0.94 | % | — | 0.79 | % | |||||||||||
Market Neutral Equity Fund | 1.50 | % | 2.25 | % | 1.25 | % | — | — | ||||||||||||
Merger Arbitrage Fund | 1.68 | % | 2.43 | % | 1.43 | % | — | 1.28 | % | |||||||||||
Mid Cap Fund | 1.21 | % | 1.96 | % | 0.96 | % | 1.21 | % | 0.89 | % | ||||||||||
Mid Cap Value Fund | 1.29 | % | 2.04 | % | 1.04 | % | — | 0.89 | % | |||||||||||
Premium Yield Equity Fund | 1.20 | % | 1.95 | % | 0.95 | % | — | — | ||||||||||||
Short Duration Fixed Income Fund | — | — | 0.49 | % | 0.74 | % | — | |||||||||||||
Small Cap Core Fund | 1.34 | % | 2.09 | % | 1.09 | % | — | 0.94 | % | |||||||||||
Small Cap Value Fund | 1.43 | % | 2.18 | % | 1.18 | % | — | 1.03 | % | |||||||||||
Total Return Bond Fund | 0.90 | % | 1.65 | % | 0.65 | % | — | 0.50 | % | |||||||||||
Ultra Short Duration Fixed Income Fund | 0.69 | % | 1.19 | % | 0.44 | % | 0.69 | % | 0.39 | % |
These expense limitations will remain in effect until at least January 27, 2013.
The Advisor has agreed to limit certain Funds’ other operating expenses (“Other Expenses”) to the following levels. These expense limitations will remain in effect until at least January 27, 2013.
Class A | Class C | Class Y | Class Z | |||||||||||||
Sands Capital Select Growth Fund | 0.25 | % | 0.25 | % | 0.25 | % | 0.25 | % |
During the six months ended March 31, 2012, the Advisor waived investment advisory fees and administration fees and/or reimbursed expenses of the Funds as follows:
Other | ||||||||||||
Investment | Operating | |||||||||||
Advisory | Administration | Expenses | ||||||||||
Fees Waived | Fees Waived | Reimbursed | ||||||||||
Emerging Markets Equity Fund | $ | — | $ | 17,853 | $ | 57,450 | ||||||
Emerging Markets Equity Fund II | 29,244 | 8,691 | 14,416 | |||||||||
Focused Equity Fund | 1,216 | 94,377 | 206,308 | |||||||||
Global Equity Fund | 18,649 | 4,141 | 18,348 | |||||||||
Global Real Estate Fund | 25,144 | 4,939 | 13,012 | |||||||||
Intermediate Fixed Income Fund | 28,976 | 97,745 | — | |||||||||
International Fixed Income Fund | 8,149 | 12,181 | 17,413 | |||||||||
Large Cap Relative Value Fund | 6,534 | 7,295 | 12,562 | |||||||||
Market Neutral Equity Fund | 37,156 | 45,599 | 18,703 | |||||||||
Merger Arbitrage Fund | — | 16,694 | 5,851 | |||||||||
Mid Cap Fund | — | 63,515 | 19,163 | |||||||||
Mid Cap Value Fund | 3,185 | 59,700 | 18,871 | |||||||||
Premium Yield Equity Fund | — | 8,732 | 37,749 | |||||||||
Sands Capital Select Growth Fund | — | — | 534,604 | |||||||||
Short Duration Fixed Income Fund | — | 19,307 | 37,185 | |||||||||
Small Cap Core Fund | — | 164,785 | 62,772 | |||||||||
Small Cap Value Fund | 6,779 | 34,975 | 23,846 | |||||||||
Total Return Bond Fund | — | 44,321 | 6,335 | |||||||||
Ultra Short Duration Fixed Income Fund | — | 127,791 | — |
136 |
Notes to Financial Statements (Continued)
ADMINISTRATION AGREEMENT
The Advisor entered into an Administration and Accounting Services Agreement with the Trust, whereby the Advisor is responsible for: supplying executive and regulatory compliance services; supervising the preparation of tax returns; coordinating the preparation of reports to shareholders and reports to, and filings with, the Securities and Exchange Commission and state securities authorities, as well as materials for meetings of the Board ofTrustees; calculating the daily net asset value per share; and maintaining the financial books and records of each Fund. For its services, the Advisor receives an annual fee of 0.20% of the aggregate average daily net assets of the Trust, Touchstone Investment Trust (excluding Institutional Money Market Fund), Touchstone Strategic Trust, and Touchstone Tax-Free Trust up to and including $6 billion; 0.16% of the next $4 billion of aggregate average daily net assets; and 0.12% of the aggregate average daily net assets of all such assets in excess of $10 billion. The fee is allocated among the Funds on the basis of relative daily net assets.
Effective November 12, 2011, the Advisor has engaged BNY Mellon as the Sub-Administrator to the Trust. BNY Mellon provides administrative and accounting services to the Trust and is compensated directly by the Advisor, not the Trust. Prior to November 12, 2011, JP Morgan Chase Bank, N.A. (“JP Morgan”) served as the Sub-Administrator and was compensated directly by the Advisor, not the Trust.
TRANSFER AGENT AGREEMENT
Effective December 5, 2011, under the terms of the Transfer Agent Agreement between the Trust and BNY Mellon, BNY Mellon maintains the records of each shareholder’s account, answers shareholders’ inquiries concerning their accounts, processes purchases and redemptions of each Fund’s shares, acts as dividend and distribution disbursing agent and performs other shareholder service functions. For these services, BNY Mellon receives a monthly fee per shareholder account from each Fund. In addition, each Fund pays BNY Mellon out-of-pocket expenses including, but not limited to, postage and supplies.
Prior to December 5, 2011, under the terms of the Transfer Agent Agreement between the Trust and JPMorgan, JPMorgan maintained the records of each shareholder’s account, answered shareholders’ inquiries concerning their accounts, processed purchases and redemptions of each Fund’s shares, acted as dividend and distribution disbursing agent and performed other shareholder service functions. For these services, JPMorgan received a monthly fee per shareholder account from each Fund. In addition, each Fund paid out-of-pocket expenses incurred by JPMorgan, including, but not limited to, postage and supplies.
PLANS OF DISTRIBUTION
The Trust has adopted a Distribution and Shareholder Services Plan for Class A shares of the Emerging Markets Equity Fund, Emerging Markets Equity Fund II, Focused Equity Fund, Global Equity Fund, Global Real Estate Fund, International Fixed Income Fund, Large Cap Relative Value Fund, Market Neutral Equity Fund, Merger Arbitrage Fund, Mid Cap Fund, Mid Cap Value Fund, Premium Yield Equity Fund, Sands Capital Select Growth Fund, Small Cap Core Fund, Small Cap Value Fund and Total Return Bond Fund (Class A Plan) under which each Fund may directly or indirectly bear expenses relating to the distribution of Class A shares of the Trust and for shareholder services provided to Class A shares. The Fund will incur and/or reimburse expenses for distribution and shareholder services of Class A shares at an annual rate not to exceed 0.25% of the average daily net assets of Class A shares.
The Trust has adopted a Distribution and Shareholder Services Plan for Class C shares of the Emerging Markets Equity Fund, Emerging Markets Equity Fund II, Focused Equity Fund, Global Equity Fund, Global Real Estate Fund, International Fixed Income Fund, Large Cap Relative Value Fund, Market Neutral Equity Fund, Merger Arbitrage Fund, Mid Cap Fund, Mid Cap Value Fund, Premium Yield Equity Fund, Sands Capital Select Growth Fund, Small Cap Core Fund, Small Cap Value Fund and Total Return Bond Fund (Class C
137 |
Notes to Financial Statements (Continued)
Plan) under which each Fund may directly or indirectly bear expenses relating to the distribution of Class C shares of the Trust and for shareholder services provided to Class C shares. The Fund will incur and/or reimburse expenses for distribution and shareholder services of Class C shares at an annual rate not to exceed 0.75% and 0.25%, respectively, of the average daily net assets of Class C shares. The combination of these fees is not to exceed 1.00% of the average daily net assets of Class C shares.
The Trust has adopted a Shareholder Services Plan for Class Z shares of the Mid Cap Fund, Sands Capital Select Growth Fund, Short Duration Fixed Income Fund, and Ultra Short Duration Fixed Income Fund (Class Z Plan) under which each Fund may directly or indirectly bear expenses for shareholder services provided. The Fund will incur and/or reimburse expense for shareholder services of Class Z shares at an annual rate not to exceed 0.25% of the average daily net assets of Class Z shares. Prior to June 10, 2011, the Small Cap Value Fund was also included in the Class Z Plan. On June 10, 2011, Class Z shares were converted to Class A shares.
UNDERWRITING AGREEMENT
The Underwriter is the Funds’ principal underwriter and, as such, acts as exclusive agent for distribution of the Funds’ shares. Under the terms of the Underwriting Agreement between the Trust and Underwriter, the Underwriter earned the following from underwriting and broker commissions on the sale of shares of the following Funds during the six months ended March 31, 2012:
Amount | ||||
Emerging Markets Equity Fund | $ | 462 | ||
Emerging Markets Equity Fund II | 570 | |||
Focused Equity Fund | 52 | |||
Global Equity Fund | 129 | |||
Global Real Estate Fund | 113 | |||
International Fixed Income Fund | 1,341 | |||
Large Cap Relative Value Fund | 371 | |||
Market Neutral Equity Fund | 9 | |||
Merger Arbitrage Fund | 53,931 | |||
Mid Cap Fund | 55 | |||
Mid Cap Value Fund | 213 | |||
Premium Yield Equity Fund | 16,126 | |||
Sands Capital Select Growth Fund | 49,569 | |||
Small Cap Core Fund | 12,279 | |||
Small Cap Value Fund | 76 | |||
Total Return Bond Fund | 1,014 |
In addition, the Underwriter collected contingent deferred sales charges on the redemption of Class C shares of the following Funds during the six months ended March 31, 2012:
Amount | ||||
Emerging Markets Equity Fund | $ | 1,328 | ||
Global Equity Fund | 22 | |||
International Fixed Income Fund | 119 | |||
Merger Arbitrage Fund | 843 | |||
Premium Yield Equity Fund | 771 | |||
Sands Capital Select Growth Fund | 2,363 | |||
Small Cap Core Fund | 2,399 | |||
Total Return Bond Fund | 5 |
AFFILIATED INVESTMENTS
Each Fund may invest in the Touchstone Institutional Money Market Fund, subject to compliance with several conditions set forth in an order received by the Trust from the Securities and Exchange Commission. To the
138 |
Notes to Financial Statements (Continued)
extent that the other Touchstone Funds are invested in the Touchstone Institutional Money Market Fund, the Advisor and Administrator will be paid additional fees from the Touchstone Institutional Money Market Fund that will not be waived or reimbursed.
A summary of each Fund’s investment, as applicable, in the Touchstone Institutional Money Market Fund for the six months ended March 31, 2012, is as follows:
Share Activity | ||||||||||||||||||||||||
Balance | Balance | Value | ||||||||||||||||||||||
09/30/11 | Purchases | Sales | 03/31/12 | Dividends | 03/31/12 | |||||||||||||||||||
Emerging Markets Equity Fund | 10,965,632 | 102,844,624 | (93,763,368 | ) | 20,046,888 | $ | 9,104 | $ | 20,046,888 | |||||||||||||||
Emerging Markets Equity Fund II | 4,558 | 19,868,046 | (17,242,549 | ) | 2,630,055 | 519 | 2,630,055 | |||||||||||||||||
Focused Equity Fund | 4,009,511 | 24,390,730 | (21,728,114 | ) | 6,672,127 | 1,531 | 6,672,127 | |||||||||||||||||
Global Equity Fund | 68,887 | 1,250,952 | (1,085,982 | ) | 233,857 | 111 | 233,857 | |||||||||||||||||
Global Real Estate Fund | 100,471 | 1,063,441 | (1,078,998 | ) | 84,914 | 64 | 84,914 | |||||||||||||||||
Intermediate Fixed Income Fund | 1,733,395 | 14,206,760 | (14,321,153 | ) | 1,619,002 | 1,391 | 1,619,002 | |||||||||||||||||
International Fixed Income Fund | — | 4,189,125 | (3,624,270 | ) | 564,855 | 203 | 564,855 | |||||||||||||||||
Large Cap Relative Value Fund | 232,307 | 825,863 | (1,036,054 | ) | 22,116 | 85 | 22,116 | |||||||||||||||||
Market Neutral Equity Fund | 294,473 | 18,505,938 | (17,061,343 | ) | 1,739,068 | 601 | 1,739,068 | |||||||||||||||||
Merger Arbitrage Fund | 1,619,183 | 97,012,055 | (83,965,227 | ) | 14,666,011 | 7,705 | 14,666,011 | |||||||||||||||||
Mid Cap Fund | 900,109 | 16,177,942 | (16,583,644 | ) | 494,407 | 205 | 494,407 | |||||||||||||||||
Mid Cap Value Fund | 978,214 | 12,430,838 | (12,069,820 | ) | 1,339,232 | 735 | 1,339,232 | |||||||||||||||||
Premium Yield Equity Fund | 483,397 | 22,799,447 | (18,758,138 | ) | 4,524,706 | 1,613 | 4,524,706 | |||||||||||||||||
Sands Capital Select Growth Fund | 34,986,163 | 480,044,358 | (463,466,741 | ) | 51,563,780 | 23,484 | 51,563,780 | |||||||||||||||||
Short Duration Fixed Income Fund | 202,113 | 14,300,001 | (14,188,537 | ) | 313,577 | 834 | 313,577 | |||||||||||||||||
Small Cap Core Fund | 3,316,617 | 92,502,423 | (86,980,579 | ) | 8,838,461 | 3,771 | 8,838,461 | |||||||||||||||||
Small Cap Value Fund | 1,778,524 | 11,189,893 | (11,764,521 | ) | 1,203,896 | 878 | 1,203,896 | |||||||||||||||||
Total Return Bond Fund | 1,678,743 | 49,451,745 | (49,788,680 | ) | 1,341,808 | 1,316 | 1,341,808 | |||||||||||||||||
Ultra Short Duration Fixed Income Fund | 45,836,225 | 362,605,891 | (361,367,889 | ) | 47,074,227 | 13,203 | 47,074,227 |
139 |
Notes to Financial Statements (Continued)
5. Capital Share Transactions
Proceeds and payments on capital shares as shown in the Statements of Changes in Net Assets are the result of the following capital share transactions for the periods shown:
Emerging Markets Equity Fund | Emerging Markets Equity Fund II | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | Year | Ended | Period | |||||||||||||
March 31, | Ended | March 31, | Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 (A) | |||||||||||||
Class A | ||||||||||||||||
Shares issued | 968,543 | 3,547,839 | 260,679 | 53,132 | ||||||||||||
Shares reinvested | 29,643 | 5,820 | 461 | — | ||||||||||||
Shares redeemed | (532,881 | ) | (1,881,202 | ) | (8,924 | ) | (734 | ) | ||||||||
Change in shares outstanding | 465,305 | 1,672,457 | 252,216 | 52,398 | ||||||||||||
Shares outstanding, beginning of period | 2,488,179 | 815,722 | 52,398 | — | ||||||||||||
Shares outstanding, end of period | 2,953,484 | 2,488,179 | 304,614 | 52,398 | ||||||||||||
Class C | ||||||||||||||||
Shares issued | 21,877 | 400,532 | 9,149 | 2,090 | ||||||||||||
Shares reinvested | 3,733 | 766 | 28 | — | ||||||||||||
Shares redeemed | (79,972 | ) | (172,503 | ) | — | — | ||||||||||
Change in shares outstanding | (54,362 | ) | 228,795 | 9,177 | 2,090 | |||||||||||
Shares outstanding, beginning of period | 514,170 | 285,375 | 2,090 | — | ||||||||||||
Shares outstanding, end of period | 459,808 | 514,170 | 11,267 | 2,090 | ||||||||||||
Class Y | ||||||||||||||||
Shares issued | 4,938,729 | 13,976,009 | 790,773 | 51,417 | ||||||||||||
Shares reinvested | 264,968 | 14,126 | 547 | — | ||||||||||||
Shares redeemed | (2,663,861 | ) | (951,388 | ) | (19,475 | ) | (26,257 | ) | ||||||||
Change in shares outstanding | 2,539,836 | 13,038,747 | 771,845 | 25,160 | ||||||||||||
Shares outstanding, beginning of period | 14,107,904 | 1,069,157 | 25,160 | — | ||||||||||||
Shares outstanding, end of period | 16,647,740 | 14,107,904 | 797,005 | 25,160 | ||||||||||||
Institutional Class | ||||||||||||||||
Shares issued | 8,415,172 | 13,367,607 | 1,619,408 | 493,268 | ||||||||||||
Shares reinvested | 451,626 | 51,241 | 3,091 | — | ||||||||||||
Shares redeemed | (1,018,498 | ) | (530,487 | ) | (947 | ) | — | |||||||||
Change in shares outstanding | 7,848,300 | 12,888,361 | 1,621,552 | 493,268 | ||||||||||||
Shares outstanding, beginning of period | 22,734,934 | 9,846,573 | 493,268 | — | ||||||||||||
Shares outstanding, end of period | 30,583,234 | 22,734,934 | 2,114,820 | 493,268 |
(A) Represents the period from commencement of operations (April 18, 2011) through September 30, 2011.
140 |
Notes to Financial Statements (Continued)
Focused Equity Fund | Global Equity Fund | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | Year | Ended | Year | |||||||||||||
March 31, | Ended | March 31, | Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 | |||||||||||||
Class A | ||||||||||||||||
Shares issued | 846,382 | 9,710,959 | 3,111 | 48,813 | ||||||||||||
Shares reinvested | 239,234 | 1,085 | 7,042 | 1,145 | ||||||||||||
Shares redeemed | (1,571,284 | ) | (1,286,253 | ) | (5,166 | ) | (159,828 | ) | ||||||||
Change in shares outstanding | (485,668 | ) | 8,425,791 | 4,987 | (109,870 | ) | ||||||||||
Shares outstanding, beginning of period | 8,500,139 | 74,348 | 64,447 | 174,317 | ||||||||||||
Shares outstanding, end of period | 8,014,471 | 8,500,139 | 69,434 | 64,447 | ||||||||||||
Class C | ||||||||||||||||
Shares issued | 7,271 | 15,937 | — | 215 | ||||||||||||
Shares reinvested | 299 | 185 | 1,127 | 91 | ||||||||||||
Shares redeemed | (615 | ) | (14,279 | ) | (238 | ) | — | |||||||||
Change in shares outstanding | 6,955 | 1,843 | 889 | 306 | ||||||||||||
Shares outstanding, beginning of period | 19,057 | 17,214 | 10,306 | 10,000 | ||||||||||||
Shares outstanding, end of period | 26,012 | 19,057 | 11,195 | 10,306 | ||||||||||||
Class Y | ||||||||||||||||
Shares issued | 285,362 | 1,555,186 | 3,178 | 6,328 | ||||||||||||
Shares reinvested | 16,776 | 125 | 2,260 | 230 | ||||||||||||
Shares redeemed | (943,481 | ) | (283,790 | ) | (3,267 | ) | (7 | ) | ||||||||
Change in shares outstanding | (641,343 | ) | 1,271,521 | 2,171 | 6,551 | |||||||||||
Shares outstanding, beginning of period | 1,289,821 | 18,300 | 19,849 | 13,298 | ||||||||||||
Shares outstanding, end of period | 648,478 | 1,289,821 | 22,020 | 19,849 | ||||||||||||
Institutional Class | ||||||||||||||||
Shares issued | 399,416 | 91,822 | 20,720 | 1,629 | ||||||||||||
Shares reinvested | 2,073 | 3,084 | 34,483 | 5,286 | ||||||||||||
Shares redeemed | (42,176 | ) | (73,084 | ) | — | (767 | ) | |||||||||
Change in shares outstanding | 359,313 | 21,822 | 55,203 | 6,148 | ||||||||||||
Shares outstanding, beginning of period | 91,822 | 70,000 | 294,921 | 288,773 | ||||||||||||
Shares outstanding, end of period | 451,135 | 91,822 | 350,124 | 294,921 |
141 |
Notes to Financial Statements (Continued)
Global Real Estate Fund | Intermediate Fixed Income Fund | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | Year | Ended | Year | |||||||||||||
March 31, | Ended | March 31, | Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 | |||||||||||||
Class A | ||||||||||||||||
Shares issued | 22,448 | 212,378 | — | — | ||||||||||||
Shares reinvested | 2,370 | 3,515 | — | — | ||||||||||||
Shares redeemed | (200,997 | ) | (83,869 | ) | — | — | ||||||||||
Change in shares outstanding | (176,179 | ) | 132,024 | — | — | |||||||||||
Shares outstanding, beginning of period | 208,881 | 76,857 | — | — | ||||||||||||
Shares outstanding, end of period | 32,702 | 208,881 | — | — | ||||||||||||
Class C | ||||||||||||||||
Shares issued | — | 302 | — | — | ||||||||||||
Shares reinvested | 632 | 896 | — | — | ||||||||||||
Shares redeemed | — | — | — | — | ||||||||||||
Change in shares outstanding | 632 | 1,198 | — | — | ||||||||||||
Shares outstanding, beginning of period | 11,870 | 10,672 | — | — | ||||||||||||
Shares outstanding, end of period | 12,502 | 11,870 | — | — | ||||||||||||
Class Y | ||||||||||||||||
Shares issued | — | 5,583 | — | — | ||||||||||||
Shares reinvested | 667 | 1,066 | — | — | ||||||||||||
Shares redeemed | (229 | ) | (5,789 | ) | — | — | ||||||||||
Change in shares outstanding | 438 | 860 | — | — | ||||||||||||
Shares outstanding, beginning of period | 12,013 | 11,153 | — | — | ||||||||||||
Shares outstanding, end of period | 12,451 | 12,013 | — | — | ||||||||||||
Institutional Class | ||||||||||||||||
Shares issued | — | — | 432,257 | 912,234 | ||||||||||||
Shares reinvested | 16,710 | 24,853 | 97,029 | 36,161 | ||||||||||||
Shares redeemed | — | (1,633 | ) | (1,648,527 | ) | (2,053,072 | ) | |||||||||
Change in shares outstanding | 16,710 | 23,220 | (1,119,241 | ) | (1,104,677 | ) | ||||||||||
Shares outstanding, beginning of period | 301,704 | 278,484 | 10,809,942 | 11,914,619 | ||||||||||||
Shares outstanding, end of period | 318,414 | 301,704 | 9,690,701 | 10,809,942 |
142 |
Notes to Financial Statements (Continued)
International Fixed | Large Cap Relative | |||||||||||||||
Income Fund | Value Fund | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | Year | Ended | Year | |||||||||||||
March 31, | Ended | March 31, | Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 | |||||||||||||
Class A | ||||||||||||||||
Shares issued | 159,255 | 269,862 | 8,301 | 110,035 | ||||||||||||
Shares reinvested | 7,262 | 12,042 | 2,803 | 664 | ||||||||||||
Shares redeemed | (133,788 | ) | (154,393 | ) | (2,374 | ) | (90,430 | ) | ||||||||
Change in shares outstanding | 32,729 | 127,511 | 8,730 | 20,269 | ||||||||||||
Shares outstanding, beginning of period | 243,487 | 115,976 | 63,137 | 42,868 | ||||||||||||
Shares outstanding, end of period | 276,216 | 243,487 | 71,867 | 63,137 | ||||||||||||
Class C | ||||||||||||||||
Shares issued | 2,760 | 33,150 | 38 | 6,820 | ||||||||||||
Shares reinvested | 1,410 | 3,439 | 1,021 | 53 | ||||||||||||
Shares redeemed | (18,663 | ) | (16,978 | ) | (400 | ) | (2,498 | ) | ||||||||
Change in shares outstanding | (14,493 | ) | 19,611 | 659 | 4,375 | |||||||||||
Shares outstanding, beginning of period | 55,416 | 35,805 | 25,595 | 21,220 | ||||||||||||
Shares outstanding, end of period | 40,923 | 55,416 | 26,254 | 25,595 | ||||||||||||
Class Y | ||||||||||||||||
Shares issued | 12,718 | 162,319 | 52,435 | 275,185 | ||||||||||||
Shares reinvested | 2,042 | 4,664 | 10,460 | 1,065 | ||||||||||||
Shares redeemed | (21,996 | ) | (115,185 | ) | (49,907 | ) | (54,523 | ) | ||||||||
Change in shares outstanding | (7,236 | ) | 51,798 | 12,988 | 221,727 | |||||||||||
Shares outstanding, beginning of period | 68,809 | 17,011 | 231,761 | 10,034 | ||||||||||||
Shares outstanding, end of period | 61,573 | 68,809 | 244,749 | 231,761 | ||||||||||||
Institutional Class | ||||||||||||||||
Shares issued | 37,638 | 2,438 | 21,239 | — | ||||||||||||
Shares reinvested | 27,272 | 74,760 | 12,622 | 4,822 | ||||||||||||
Shares redeemed | (1,941 | ) | (1,808 | ) | — | — | ||||||||||
Change in shares outstanding | 62,969 | 75,390 | 33,861 | 4,822 | ||||||||||||
Shares outstanding, beginning of period | 756,511 | 681,121 | 275,929 | 271,107 | ||||||||||||
Shares outstanding, end of period | 819,480 | 756,511 | 309,790 | 275,929 |
143 |
Notes to Financial Statements (Continued)
Market Neutral Equity Fund | Merger Arbitrage Fund | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | Year | Ended | Period | |||||||||||||
March 31, | Ended | March 31, | Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 (A) | |||||||||||||
Class A | ||||||||||||||||
Shares issued | 272,373 | 351,400 | 6,576,639 | 25,902 | ||||||||||||
Shares reinvested | — | — | 2,124 | — | ||||||||||||
Shares redeemed | (64,378 | ) | (72,321 | ) | (125,307 | ) | — | |||||||||
Change in shares outstanding | 207,995 | 279,079 | 6,453,456 | 25,902 | ||||||||||||
Shares outstanding, beginning of period | 341,777 | 62,698 | 25,902 | — | ||||||||||||
Shares outstanding, end of period | 549,772 | 341,777 | 6,479,358 | 25,902 | ||||||||||||
Class C | ||||||||||||||||
Shares issued | 3,621 | 13,156 | 1,067,437 | 25,415 | ||||||||||||
Shares reinvested | — | — | 234 | — | ||||||||||||
Shares redeemed | (4,843 | ) | (11,687 | ) | (15,699 | ) | — | |||||||||
Change in shares outstanding | (1,222 | ) | 1,469 | 1,051,972 | 25,415 | |||||||||||
Shares outstanding, beginning of period | 18,832 | 17,363 | 25,415 | — | ||||||||||||
Shares outstanding, end of period | 17,610 | 18,832 | 1,077,387 | 25,415 | ||||||||||||
Class Y | ||||||||||||||||
Shares issued | 437,221 | 776,631 | 4,396,112 | 115,733 | ||||||||||||
Shares reinvested | — | — | 1,316 | — | ||||||||||||
Shares redeemed | (262,982 | ) | (48,404 | ) | (81,146 | ) | — | |||||||||
Change in shares outstanding | 174,239 | 728,227 | 4,316,282 | 115,733 | ||||||||||||
Shares outstanding, beginning of period | 4,050,446 | 3,322,219 | 115,733 | — | ||||||||||||
Shares outstanding, end of period | 4,224,685 | 4,050,446 | 4,432,015 | 115,733 | ||||||||||||
Institutional Class | ||||||||||||||||
Shares issued | — | — | 1,341,540 | 500,250 | ||||||||||||
Shares reinvested | — | — | 1,386 | — | ||||||||||||
Shares redeemed | — | — | (506,048 | ) | — | |||||||||||
Change in shares outstanding | — | — | 836,878 | 500,250 | ||||||||||||
Shares outstanding, beginning of period | — | — | 500,250 | — | ||||||||||||
Shares outstanding, end of period | — | — | 1,337,128 | 500,250 |
(A) Represents the period from commencement of operations (August 9, 2011) through September 30, 2011.
144 |
Notes to Financial Statements (Continued)
Mid Cap Fund | Mid Cap Value Fund | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | Year | Ended | Year | |||||||||||||
March 31, | Ended | March 31, | Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited)(B) | 2011 | (Unaudited) | 2011 | |||||||||||||
Class A | ||||||||||||||||
Shares issued | 2,240 | 15,088 | 72,887 | 328,003 | ||||||||||||
Shares reinvested | 74 | — | 14,811 | 2,099 | ||||||||||||
Shares redeemed | (13,252 | ) | (16,080 | ) | (36,233 | ) | (141,699 | ) | ||||||||
Change in shares outstanding | (10,938 | ) | (992 | ) | 51,465 | 188,403 | ||||||||||
Shares outstanding, beginning of period | 53,052 | 54,044 | 217,707 | 29,304 | ||||||||||||
Shares outstanding, end of period | 42,114 | 53,052 | 269,172 | 217,707 | ||||||||||||
Class C | ||||||||||||||||
Shares issued | 998 | 21,061 | 1,597 | 8,338 | ||||||||||||
Shares reinvested | — | — | 1,153 | 175 | ||||||||||||
Shares redeemed | (3,015 | ) | (4,071 | ) | (682 | ) | (862 | ) | ||||||||
Change in shares outstanding | (2,017 | ) | 16,990 | 2,068 | 7,651 | |||||||||||
Shares outstanding, beginning of period | 36,760 | 19,770 | 18,902 | 11,251 | ||||||||||||
Shares outstanding, end of period | 34,743 | 36,760 | 20,970 | 18,902 | ||||||||||||
Class Y (A) | ||||||||||||||||
Shares issued | 176,716 | 1,122,323 | 664,501 | 392,127 | ||||||||||||
Shares reinvested | 686 | 711 | 47,971 | 2,997 | ||||||||||||
Shares redeemed | (2,005,815 | ) | (4,956,532 | ) | (152,711 | ) | (14,916 | ) | ||||||||
Change in shares outstanding | (1,828,413 | ) | (3,833,498 | ) | 559,761 | 380,208 | ||||||||||
Shares outstanding, beginning of period | 5,908,153 | 9,741,651 | 430,171 | 49,963 | ||||||||||||
Shares outstanding, end of period | 4,079,740 | 5,908,153 | 989,932 | 430,171 | ||||||||||||
Class Z | ||||||||||||||||
Shares issued | 8,738 | 161,305 | — | — | ||||||||||||
Shares reinvested | 27 | — | — | — | ||||||||||||
Shares redeemed | (54,024 | ) | (141,655 | ) | — | — | ||||||||||
Change in shares outstanding | (45,259 | ) | 19,650 | — | — | |||||||||||
Shares outstanding, beginning of period | 71,455 | 51,805 | — | — | ||||||||||||
Shares outstanding, end of period | 26,196 | 71,455 | — | — | ||||||||||||
Institutional Class | ||||||||||||||||
Shares issued | 163 | — | 274,738 | 219,249 | ||||||||||||
Shares reinvested | — | — | 241,549 | 86,758 | ||||||||||||
Shares redeemed | — | — | (72,957 | ) | (2,403 | ) | ||||||||||
Change in shares outstanding | 163 | — | 443,330 | 303,604 | ||||||||||||
Shares outstanding, beginning of period | — | — | 3,644,444 | 3,340,840 | ||||||||||||
Shares outstanding, end of period | 163 | — | 4,087,774 | 3,644,444 |
(A) | Effective January 28, 2010, Institutional Class shares of the Mid Cap Fund were changed to Class Y shares. |
(B) | Institutional Class represents the period from commencement of operations (January 27, 2012) through March 31, 2012. |
145 |
Notes to Financial Statements (Continued)
Sands Capital | ||||||||||||||||
Premium Yield Equity Fund | Select Growth Fund | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | Year | Ended | Year | |||||||||||||
March 31, | Ended | March 31, | Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 (A) | |||||||||||||
Class A | ||||||||||||||||
Shares issued | 2,174,159 | 1,028,857 | 4,960,408 | 2,652,990 | ||||||||||||
Shares reinvested | 74,609 | 111,470 | — | — | ||||||||||||
Shares redeemed | (554,531 | ) | (353,042 | ) | (1,114,378 | ) | (394,502 | ) | ||||||||
Change in shares outstanding | 1,694,237 | 787,285 | 3,846,030 | 2,258,488 | ||||||||||||
Shares outstanding, beginning of period | 4,248,339 | 3,461,054 | 2,258,488 | — | ||||||||||||
Shares outstanding, end of period | 5,942,576 | 4,248,339 | 6,104,518 | 2,258,488 | ||||||||||||
Class C | ||||||||||||||||
Shares issued | 629,581 | 282,510 | 1,881,008 | 944,384 | ||||||||||||
Shares reinvested | 13,745 | 21,323 | — | — | ||||||||||||
Shares redeemed | (58,207 | ) | (253,359 | ) | (90,066 | ) | (16,096 | ) | ||||||||
Change in shares outstanding | 585,119 | 50,474 | 1,790,942 | 928,288 | ||||||||||||
Shares outstanding, beginning of period | 1,109,789 | 1,059,315 | 928,288 | — | ||||||||||||
Shares outstanding, end of period | 1,694,908 | 1,109,789 | 2,719,230 | 928,288 | ||||||||||||
Class Y | ||||||||||||||||
Shares issued | 2,720,103 | 1,243,678 | 38,755,255 | 33,079,380 | ||||||||||||
Shares reinvested | 15,754 | 40,162 | — | — | ||||||||||||
Shares redeemed | (353,182 | ) | (2,477,225 | ) | (5,939,896 | ) | (5,630,923 | ) | ||||||||
Change in shares outstanding | 2,382,675 | (1,193,385 | ) | 32,815,359 | 27,448,457 | |||||||||||
Shares outstanding, beginning of period | 589,371 | 1,782,756 | 41,073,872 | 13,625,415 | ||||||||||||
Shares outstanding, end of period | 2,972,046 | 589,371 | 73,889,231 | 41,073,872 | ||||||||||||
Class Z | ||||||||||||||||
Shares issued | — | — | 42,591,601 | 66,676,446 | ||||||||||||
Shares redeemed | — | — | (23,938,612 | ) | (31,679,678 | ) | ||||||||||
Change in shares outstanding | — | — | 18,652,989 | 34,996,768 | ||||||||||||
Shares outstanding, beginning of period | — | — | 97,107,322 | 62,110,554 | ||||||||||||
Shares outstanding, end of period | — | — | 115,760,311 | 97,107,322 |
(A) Class A and Class C represent the period from commencement of operations (November 15, 2010) through September 30, 2011.
146 |
Notes to Financial Statements (Continued)
Short Duration | ||||||||||||||||
Fixed Income Fund | Small Cap Core Fund | |||||||||||||||
Six Months | Six Months | |||||||||||||||
Ended | Year | Ended | Year | |||||||||||||
March 31, | Ended | March 31, | Ended | |||||||||||||
2012 | September 30, | 2012 | September 30, | |||||||||||||
(Unaudited) | 2011 | (Unaudited) | 2011 | |||||||||||||
Class A | ||||||||||||||||
Shares issued | — | — | 1,740,476 | 3,722,461 | ||||||||||||
Shares reinvested | — | — | 48,657 | 3,123 | ||||||||||||
Shares redeemed | — | — | (1,447,185 | ) | (4,431,068 | ) | ||||||||||
Change in shares outstanding | — | — | 341,948 | (705,484 | ) | |||||||||||
Shares outstanding, beginning of period | — | — | 3,606,776 | 4,312,260 | ||||||||||||
Shares outstanding, end of period | — | — | 3,948,724 | 3,606,776 | ||||||||||||
Class C | ||||||||||||||||
Shares issued | — | — | 323,881 | 731,910 | ||||||||||||
Shares reinvested | — | — | 10,332 | 29 | ||||||||||||
Shares redeemed | — | — | (147,655 | ) | (190,244 | ) | ||||||||||
Change in shares outstanding | — | — | 186,558 | 541,695 | ||||||||||||
Shares outstanding, beginning of period | — | — | 995,846 | 454,151 | ||||||||||||
Shares outstanding, end of period | — | — | 1,182,404 | 995,846 | ||||||||||||
Class Y | ||||||||||||||||
Shares issued | 771,721 | 234,596 | 3,824,742 | 3,641,810 | ||||||||||||
Shares reinvested | 3,340 | 334 | 69,684 | 6,188 | ||||||||||||
Shares redeemed | (80,629 | ) | (193,264 | ) | (635,231 | ) | (1,675,553 | ) | ||||||||
Change in shares outstanding | 694,432 | 41,666 | 3,259,195 | 1,972,445 | ||||||||||||
Shares outstanding, beginning of period | 118,615 | 76,949 | 4,847,227 | 2,874,782 | ||||||||||||
Shares outstanding, end of period | 813,047 | 118,615 | 8,106,422 | 4,847,227 | ||||||||||||
Class Z | ||||||||||||||||
Shares issued | 476,871 | 804,768 | — | — | ||||||||||||
Shares reinvested | 30,409 | 115,476 | — | — | ||||||||||||
Shares redeemed | (537,802 | ) | (1,188,710 | ) | — | — | ||||||||||
Change in shares outstanding | (30,522 | ) | (268,466 | ) | — | — | ||||||||||
Shares outstanding, beginning of period | 4,088,643 | 4,357,109 | — | — | ||||||||||||
Shares outstanding, end of period | 4,058,121 | 4,088,643 | — | — | ||||||||||||
Institutional Class | ||||||||||||||||
Shares issued | — | — | 5,307,179 | 3,337,526 | ||||||||||||
Shares reinvested | — | — | 46,086 | 3,485 | ||||||||||||
Shares redeemed | — | — | (735,282 | ) | (642,952 | ) | ||||||||||
Change in shares outstanding | — | — | 4,617,983 | 2,698,059 | ||||||||||||
Shares outstanding, beginning of period | — | — | 3,589,684 | 891,625 | ||||||||||||
Shares outstanding, end of period | — | — | 8,207,667 | 3,589,684 |
147 |
Notes to Financial Statements (Continued)
Small Cap Value Fund | Total Return Bond Fund | |||||||||||||||||||
Six Months | Six Months | |||||||||||||||||||
Ended | Year | Ended | Period | Year | ||||||||||||||||
March 31, | Ended | March 31, | Ended | Ended | ||||||||||||||||
2012 | September 30, | 2012 | September 30, | March 31, | ||||||||||||||||
(Unaudited) | 2011 (A) | (Unaudited) | 2011 | 2011 | ||||||||||||||||
Class A | ||||||||||||||||||||
Shares issued | 47,724 | 3,136,386 | 246,738 | 138,426 | (B) | 693 | ||||||||||||||
Shares reinvested | 25,436 | 8,773 | 4,742 | 2,604 | (B) | 21 | ||||||||||||||
Shares issued in connection with merger (C) | — | — | — | 331,907 | — | |||||||||||||||
Shares redeemed | (896,658 | ) | (446,583 | ) | (121,286 | ) | (6,144 | )(B) | — | |||||||||||
Change in shares outstanding | (823,498 | ) | 2,698,576 | 130,194 | 466,793 | 714 | ||||||||||||||
Shares outstanding, beginning of period | 2,698,576 | — | 467,507 | 714 | — | |||||||||||||||
Shares outstanding, end of period | 1,875,078 | 2,698,576 | 597,701 | 467,507 | 714 | |||||||||||||||
Class C | ||||||||||||||||||||
Shares issued | 1,409 | 144 | 45,856 | 10,620 | — | |||||||||||||||
Shares reinvested | 5 | 1 | 1,783 | 1,550 | — | |||||||||||||||
Shares issued in connection with merger (C) | — | — | 248,384 | — | ||||||||||||||||
Shares redeemed | — | — | (5,823 | ) | (4,880 | ) | — | |||||||||||||
Change in shares outstanding | 1,414 | 145 | 41,816 | 255,674 | — | |||||||||||||||
Shares outstanding, beginning of period | 145 | — | 255,674 | — | — | |||||||||||||||
Shares outstanding, end of period | 1,559 | 145 | 297,490 | 255,674 | — | |||||||||||||||
Class Y | ||||||||||||||||||||
Shares issued | 464 | 1,266 | 493,271 | 153,969 | (D) | 208,057 | ||||||||||||||
Shares reinvested | 4 | 6 | 17,645 | 36,959 | (D) | 77,602 | ||||||||||||||
Shares issued in connection with merger (C) | — | — | — | 61,451 | — | |||||||||||||||
Shares redeemed | — | (1,126 | ) | (820,083 | ) | (171,732 | )(D) | (358,757 | ) | |||||||||||
Change in shares outstanding | 468 | 146 | (309,167 | ) | 80,647 | (73,098 | ) | |||||||||||||
Shares outstanding, beginning of period | 146 | — | 1,754,723 | 1,674,076 | 1,747,174 | |||||||||||||||
Shares outstanding, end of period | 614 | 146 | 1,445,556 | 1,754,723 | 1,674,076 | |||||||||||||||
Class Z | ||||||||||||||||||||
Shares issued | — | 426,387 | — | — | — | |||||||||||||||
Shares reinvested | — | 32,993 | — | — | — | |||||||||||||||
Shares redeemed | — | (4,792,518 | ) | — | — | — | ||||||||||||||
Change in shares outstanding | — | (4,333,138 | ) | — | — | — | ||||||||||||||
Shares outstanding, beginning of period | — | 4,333,138 | — | — | — | |||||||||||||||
Shares outstanding, end of period | — | — | — | — | — |
(A) | Class A, Class C, Class Y and Institutional Class represent the period from commencement of operations (March 1, 2011) through September 30, 2011. Class Z shares were converted to Class A shares on June 10, 2011. |
(B) | Share amounts prior to August 1, 2011 have been adjusted to reflect a 1.01491:1 stock split. |
(C) | See Note 9 in these Notes to Financial Statements. |
(D) | Share amounts prior to August 1, 2011 have been adjusted to reflect a 0.87567:1 stock split. |
148 |
Notes to Financial Statements (Continued)
Small Cap Value Fund | Total Return Bond Fund | |||||||||||||||||||
Six Months | Six Months | |||||||||||||||||||
Ended | Year | Ended | Period | Year | ||||||||||||||||
March 31, | Ended | March 31, | Ended | Ended | ||||||||||||||||
2012 | September 30, | 2012 | September 30, | March 31, | ||||||||||||||||
(Unaudited) | 2011 (A) | (Unaudited) | 2011 | 2011 | ||||||||||||||||
Institutional Class | ||||||||||||||||||||
Shares issued | — | 53,246 | 3,298,047 | — | — | |||||||||||||||
Shares reinvested | 820 | 248 | 32,004 | 5,606 | — | |||||||||||||||
Shares issued in connection with merger (B) | — | — | 624,160 | — | ||||||||||||||||
Shares redeemed | (145 | ) | — | (18,216 | ) | — | — | |||||||||||||
Change in shares outstanding | 675 | 53,494 | 3,311,835 | 629,766 | — | |||||||||||||||
Shares outstanding, beginning of period | 53,494 | — | 629,766 | — | — | |||||||||||||||
Shares outstanding, end of period | 54,169 | 53,494 | 3,941,601 | 629,766 | — |
Ultra Short Duration | ||||||||
Fixed Income Fund | ||||||||
Six Months | ||||||||
Ended | Year | |||||||
March 31, | Ended | |||||||
2012 | September 30, | |||||||
(Unaudited) | 2011 | |||||||
Class Z | ||||||||
Shares issued | 18,621,500 | 35,550,281 | ||||||
Shares reinvested | 255,613 | 530,809 | ||||||
Shares redeemed | (18,316,242 | ) | (24,416,107 | ) | ||||
Change in shares outstanding | 560,871 | 11,664,983 | ||||||
Shares outstanding, beginning of period | 36,123,396 | 24,458,413 | ||||||
Shares outstanding, end of period | 36,684,267 | 36,123,396 |
(A) | Class A, Class C, Class Y and Institutional Class represent the period from commencement of operations (March 1, 2011) through September 30, 2011. Class Z shares were converted to Class A shares on June 10, 2011. |
(B) | See Note 9 in these Notes to Financial Statements. |
149 |
Notes to Financial Statements (Continued)
6. Federal Tax Information
Federal income tax — It is each Fund’s policy to continue to comply with the special provisions of the Internal Revenue Code applicable to regulated investment companies. As provided therein, in any fiscal year in which a Fund so qualifies and distributes at least 90% of its investment company taxable income, the Fund (but not the shareholders) will be relieved of federal income tax on the income distributed. Accordingly, no provision for income taxes has been made.
In order to avoid imposition of the excise tax applicable to regulated investment companies, it is also each Fund’s intention to declare and pay as dividends in each calendar year at least 98% of its investment company taxable income (earned during the calendar year) and 98.2% of its net realized capital gains (earned during the twelve months ending October 31) plus undistributed amounts from prior years.
The tax character of distributions paid for the years ended September 30, 2011 and 2010 was as follows:
Emerging Markets | ||||||||||||||||||||||||||||
Emerging Markets | Equity Fund | Focused | Global | |||||||||||||||||||||||||
Equity Fund | II | Equity Fund | Equity Fund | |||||||||||||||||||||||||
Period | Period | |||||||||||||||||||||||||||
Year Ended | Year Ended | Ended | Year Ended | Ended | Year Ended | Year Ended | ||||||||||||||||||||||
September | September | September | September | September | September | September | ||||||||||||||||||||||
30, | 30, | 30, | 30, | 30, | 30, | 30, | ||||||||||||||||||||||
2011 | 2010 | 2011* | 2011 | 2010** | 2011 | 2010 | ||||||||||||||||||||||
From ordinary income | $ | 917,181 | $ | — | $ | — | $ | 95,426 | $ | — | $ | 54,811 | $ | 661 | ||||||||||||||
From long-term capital gains | 42,906 | — | — | — | — | 23,345 | — | |||||||||||||||||||||
$ | 960,087 | $ | — | $ | — | $ | 95,426 | $ | — | $ | 78,156 | $ | 661 |
Global Real | Intermediate Fixed | International Fixed | ||||||||||||||||||||||
Estate Fund | Income Fund | Income Fund | ||||||||||||||||||||||
Year Ended | Year Ended | Year Ended | Year Ended | Year Ended | Year Ended | |||||||||||||||||||
September 30, | September 30, | September 30, | September 30, | September 30, | September 30, | |||||||||||||||||||
2011 | 2010 | 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||
From ordinary income | $ | 358,116 | $ | 90,201 | $ | 3,044,360 | $ | 3,085,391 | $ | 994,275 | $ | 122,627 | ||||||||||||
From long-term capital gains | 20,496 | — | — | — | 7,726 | — | ||||||||||||||||||
$ | 378,612 | $ | 90,201 | $ | 3,044,360 | $ | 3,085,391 | $ | 1,002,001 | $ | 122,627 |
Merger | ||||||||||||||||||||||||||||
Large Cap Relative | Market Neutral | Arbitrage | Mid Cap | |||||||||||||||||||||||||
Value Fund | Equity Fund | Fund | Fund | |||||||||||||||||||||||||
Period | ||||||||||||||||||||||||||||
Year Ended | Year Ended | Year Ended | Year Ended | Ended | Year Ended | Year Ended | ||||||||||||||||||||||
September | September | September | September | September | September | September | ||||||||||||||||||||||
30, | 30, | 30, | 30, | 30, | 30, | 30, | ||||||||||||||||||||||
2011 | 2010 | 2011 | 2010 | 2011*** | 2011 | 2010 | ||||||||||||||||||||||
From ordinary income | $ | 78,312 | $ | 13,296 | $ | — | $ | — | $ | — | $ | 242,148 | $ | 1,064,323 | ||||||||||||||
In excess of ordinary income | — | — | — | — | — | 31,098 | 138,568 | |||||||||||||||||||||
From long-term capital gains | 2,050 | — | — | — | — | — | — | |||||||||||||||||||||
$ | 80,362 | $ | 13,296 | $ | — | $ | — | $ | — | $ | 273,246 | $ | 1,202,891 |
Mid Cap | ||||||||||||||||||||||||
Value Fund | Premium Yield Equity Fund | Sands Capital Select Growth Fund | ||||||||||||||||||||||
Year Ended | Year Ended | Year Ended | Year Ended | Year Ended | Year Ended | |||||||||||||||||||
September 30, | September 30, | September 30, | September 30, | September 30, | September 30, | |||||||||||||||||||
2011 | 2010 | 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||
From ordinary income | $ | 1,058,579 | $ | 67,277 | $ | 1,206,945 | $ | 1,013,991 | $ | — | $ | — | ||||||||||||
In excess of ordinary income | — | — | 88,599 | — | — | — | ||||||||||||||||||
From long-term capital gains | 89,486 | — | — | — | — | — | ||||||||||||||||||
$ | 1,148,065 | $ | 67,277 | $ | 1,295,544 | $ | 1,013,991 | $ | — | $ | — |
150 |
Notes to Financial Statements (Continued)
Short Duration Fixed | Small Cap | Small Cap | ||||||||||||||||||||||
Income Fund | Core Fund | Value Fund | ||||||||||||||||||||||
Year Ended | Year Ended | Year Ended | Year Ended | Year Ended | Year Ended | |||||||||||||||||||
September 30, | September 30, | September 30, | September 30, | September 30, | September 30, | |||||||||||||||||||
2011 | 2010 | 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||
From ordinary income | $ | 1,177,356 | $ | 1,328,163 | $ | 179,119 | $ | 9,676 | $ | 725,253 | $ | — | ||||||||||||
From long-term captial gains | — | — | 780 | — | — | — | ||||||||||||||||||
$ | 1,177,356 | $ | 1,328,163 | $ | 179,899 | $ | 9,676 | $ | 725,253 | $ | — |
Total Return | Ultra Short Duration | |||||||||||||||
Bond Fund | Fixed Income Fund | |||||||||||||||
Period Ended | Year Ended | Year Ended | Year Ended | |||||||||||||
September 30, | March 31, | September 30, | September 30, | |||||||||||||
2011**** | 2011***** | 2011 | 2010 | |||||||||||||
From ordinary income | $ | 1,129,969 | $ | 796,684 | $ | 5,857,004 | $ | 3,337,850 | ||||||||
In excess of ordinary income | 78,220 | — | — | — | ||||||||||||
From long-term captial gains | 271,911 | — | — | — | ||||||||||||
From tax return of capital | 29,134 | — | — | — | ||||||||||||
$ | 1,509,234 | $ | 796,684 | $ | 5,857,004 | $ | 3,337,850 |
* Represents the period from commencement of operations (April 18, 2011) through September 30, 2011.
** Represents the period from commencement of operations (December 31, 2009) through September 30, 2010.
*** Represents the period from commencement of operations (August 9, 2011) through September 30, 2011.
**** Represents the period from April 1, 2011 through September 30, 2011.
***** Represents activity of the Predecessor Fund for periods prior to August 1, 2011. See Note 9 in these Notes to Financial Statements.
151 |
Notes to Financial Statements (Continued)
The following information is computed on a tax basis for each item as of September 30, 2011:
Emerging | Emerging | |||||||||||||||
Markets Equity | Markets Equity | Focused Equity | Global Equity | |||||||||||||
Fund | Fund II | Fund | Fund | |||||||||||||
Tax cost of portfolio investments | $ | 519,935,946 | $ | 5,588,253 | $ | 133,817,730 | $ | 4,104,326 | ||||||||
Gross unrealized appreciation | 9,950,821 | 26,153 | 919,780 | 280,422 | ||||||||||||
Gross unrealized depreciation | (83,078,331 | ) | (1,194,296 | ) | (32,723,506 | ) | (596,884 | ) | ||||||||
Net unrealized appreciation (depreciation) | (73,127,510 | ) | (1,168,143 | ) | (31,803,726 | ) | (316,462 | ) | ||||||||
Net unrealized appreciation (depreciation) on foreign currency and translation of other assets and liabilities denominated in foreign currency | (30,560 | ) | (1,915 | ) | — | (1,067 | ) | |||||||||
Accumulated capital and other losses | (366,598 | ) | (36,906 | ) | — | (3,586 | ) | |||||||||
Undistributed ordinary income | 5,369,343 | 34,166 | 2,669,823 | 124,431 | ||||||||||||
Undistributed capital gains | 3,092,612 | — | 78,600 | 276,396 | ||||||||||||
Other temporary differences | (5,998 | ) | — | (8,313 | ) | — | ||||||||||
Accumulated earnings (deficit) | $ | (65,068,711 | ) | $ | (1,172,798 | ) | $ | (29,063,616 | ) | $ | 79,712 |
Global | Intermediate | International | Large Cap | Market | ||||||||||||||||
Real Estate | Fixed Income | Fixed Income | Relative Value | Neutral Equity | ||||||||||||||||
Fund | Fund | Fund | Fund | Fund | ||||||||||||||||
Tax cost of portfolio investments | $ | 6,047,540 | $ | 93,529,109 | $ | 11,124,834 | $ | 6,961,925 | $ | 41,232,128 | ||||||||||
Gross unrealized appreciation | 125,441 | 4,755,164 | 424,253 | 428,917 | 1,354,360 | |||||||||||||||
Gross unrealized depreciation | (771,118 | ) | (192,706 | ) | (442,265 | ) | (1,157,776 | ) | (4,516,591 | ) | ||||||||||
Net unrealized appreciation (depreciation) | (645,677 | ) | 4,562,458 | (18,012 | ) | (728,859 | ) | (3,162,231 | ) | |||||||||||
Net unrealized appreciation (depreciation) on securities sold short | — | — | — | — | 4,979,489 | |||||||||||||||
Net unrealized appreciation (depreciation) on foreign currency and translation of other assets and liabilities denominated in foreign currency | (57 | ) | — | (14,982 | ) | — | — | |||||||||||||
Accumulated capital and other losses | — | — | (6,517 | ) | — | (668,375 | ) | |||||||||||||
Undistributed ordinary income | 141,180 | 248,875 | 280,024 | — | — | |||||||||||||||
Undistributed capital gains | 100,476 | 782,128 | — | 249,782 | — | |||||||||||||||
Other temporary differences | — | (241,907 | ) | (58,003 | ) | — | (48,308 | ) | ||||||||||||
Accumulated earnings (deficit) | $ | (404,078 | ) | $ | 5,351,554 | $ | 182,510 | $ | (479,077 | ) | $ | 1,100,575 |
Premium | Sands Capital | |||||||||||||||||||
Merger | Mid Cap Value | Yield Equity | Select Growth | |||||||||||||||||
Arbitrage Fund | Mid Cap Fund | Fund | Fund | Fund | ||||||||||||||||
Tax cost of portfolio investments | $ | 7,313,685 | $ | 80,103,143 | $ | 56,341,042 | $ | 38,474,885 | $ | 1,251,248,921 | ||||||||||
Gross unrealized appreciation | 144,644 | 11,614,439 | 1,234,770 | 3,763,523 | 246,193,921 | |||||||||||||||
Gross unrealized depreciation | (165,825 | ) | (8,424,659 | ) | (8,740,620 | ) | (2,081,639 | ) | (132,707,118 | ) | ||||||||||
Net unrealized appreciation (depreciation) | (21,181 | ) | 3,189,780 | (7,505,850 | ) | 1,681,884 | 113,486,803 | |||||||||||||
Net unrealized appreciation (depreciation) on securities sold short | 26,811 | — | — | — | — | |||||||||||||||
Accumulated capital and other losses | — | (166,770,303 | ) | — | (6,162,606 | ) | (66,226,976 | ) | ||||||||||||
Undistributed ordinary income | 2,928 | — | 2,637,916 | — | — | |||||||||||||||
Undistributed capital gains | — | — | 463,095 | — | — | |||||||||||||||
Accumulated earnings (deficit) | $ | 8,558 | $ | (163,580,523 | ) | $ | (4,404,839 | ) | $ | (4,480,722 | ) | $ | 47,259,827 |
152 |
Notes to Financial Statements (Continued)
Ultra Short | ||||||||||||||||||||
Short Duration | Small Cap | Total | Duration | |||||||||||||||||
Fixed Income | Small Cap Core | Value | Return Bond | Fixed Income | ||||||||||||||||
Fund | Fund | Fund | Fund | Fund | ||||||||||||||||
Tax cost of portfolio investments | $ | 40,628,180 | $ | 170,920,949 | $ | 49,346,124 | $ | 29,807,502 | $ | 354,029,204 | ||||||||||
Gross unrealized appreciation | 760,409 | 13,155,321 | 241,880 | 1,867,440 | 1,360,471 | |||||||||||||||
Gross unrealized depreciation | (189,349 | ) | (18,778,578 | ) | (8,838,110 | ) | (539,616 | ) | (1,451,323 | ) | ||||||||||
Net unrealized appreciation (depreciation) | 571,060 | (5,623,257 | ) | (8,596,230 | ) | 1,327,824 | (90,852 | ) | ||||||||||||
Accumulated capital and other losses | (5,604,098 | ) | — | (28,942,389 | ) | (1,603,522 | ) | (16,540,805 | ) | |||||||||||
Undistributed ordinary income | 116,286 | 31,004 | 187,830 | — | 877,652 | |||||||||||||||
Undistributed capital gains | — | 2,672,672 | — | — | — | |||||||||||||||
Other temporary differences | (83,721 | ) | — | — | (1,743,783 | ) | (593,979 | ) | ||||||||||||
Accumulated earnings (deficit) | $ | (5,000,473 | ) | $ | (2,919,581 | ) | $ | (37,350,789 | ) | $ | (2,019,481 | ) | $ | (16,347,984 | ) |
The difference between the tax cost of portfolio investments and the financial statement cost is primarily due to wash sale loss deferrals, investments in passive foreign investment companies, regulated investment companies, and real estate investment trusts.
As of September 30, 2011, the Funds had the following capital loss carryforwards for federal income tax purposes.
2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | Total | ||||||||||||||||||||||||||||
Emerging Markets Equity Fund II | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 36,906 | $ | 36,906 | ||||||||||||||||||
Market Neutral Equity Fund | — | — | — | — | — | — | 3,708 | 444,722 | 448,430 | |||||||||||||||||||||||||||
Mid Cap Fund | — | — | — | — | — | 95,969,511 | 70,800,792 | — | 166,770,303 | |||||||||||||||||||||||||||
Premium Yield Equity Fund | — | — | — | — | — | 399,204 | 5,763,402 | — | 6,162,606 | |||||||||||||||||||||||||||
Sands Capital Select Growth Fund | — | — | — | — | — | — | 66,226,976 | — | 66,226,976 | |||||||||||||||||||||||||||
Short Duration Fixed Income Fund | 1,994,293 | 96,050 | 1,027,850 | 852,134 | 295,319 | 1,193,230 | 7,423 | 2,269 | 5,468,568 | |||||||||||||||||||||||||||
Small Cap Value Fund | — | — | — | — | — | 11,088,960 | 17,853,429 | — | 28,942,389 | |||||||||||||||||||||||||||
Total Return Bond Fund* | 419,427 | 323,224 | 3,990 | 421,662 | 368,721 | 38,121 | 28,377 | — | 1,603,522 | |||||||||||||||||||||||||||
Ultra Short Duration Fixed Income Fund | 6,699,046 | — | 371,187 | 164,819 | — | 3,223,694 | 3,334,355 | 933,830 | 14,726,931 |
* Represents activity of the predecessor fund for periods prior to August 1, 2011. See Note 9 in these Notes to Financial Statements.
The capital loss carryforwards may be utilized in future years to offset net realized capital gains, if any, prior to distributing such gains to shareholders.
As of March 31, 2012, the Trust had the following federal tax cost resulting in net unrealized appreciation (depreciation) as follows:
Net | ||||||||||||||||
Gross | Gross | Unrealized | ||||||||||||||
Federal | Unrealized | Unrealized | Appreciation | |||||||||||||
Tax Cost | Appreciation | Depreciation | (Depreciation) | |||||||||||||
Emerging Markets Equity Fund | $ | 642,426,939 | $ | 49,403,020 | $ | (37,255,742 | ) | $ | 12,147,278 | |||||||
Emerging Markets Equity Fund II | 31,571,322 | 639,287 | (1,054,668 | ) | (415,381 | ) | ||||||||||
Focused Equity Fund | 117,567,321 | 7,811,453 | (13,714,019 | ) | (5,902,566 | ) | ||||||||||
Global Equity Fund | 4,420,350 | 569,926 | (368,251 | ) | 201,675 | |||||||||||
Global Real Estate Fund | 4,065,214 | 272,240 | (82,159 | ) | 190,081 | |||||||||||
Intermediate Fixed Income Fund | 84,274,309 | 4,121,190 | (217,286 | ) | 3,903,904 | |||||||||||
International Fixed Income Fund | 12,361,967 | 281,019 | (290,786 | ) | (9,767 | ) | ||||||||||
Large Cap Relative Value Fund | 7,334,515 | 1,229,987 | (388,598 | ) | 841,389 | |||||||||||
Market Neutral Equity Fund | 38,827,043 | 6,786,965 | (610,956 | ) | 6,176,009 | |||||||||||
Merger Arbitrage Fund | 136,746,767 | 2,739,367 | (370,577 | ) | 2,368,790 |
153 |
Notes to Financial Statements (Continued)
Net | ||||||||||||||||
Gross | Gross | Unrealized | ||||||||||||||
Federal | Unrealized | Unrealized | Appreciation | |||||||||||||
Tax Cost | Appreciation | Depreciation | (Depreciation) | |||||||||||||
Mid Cap Fund | $ | 60,360,691 | $ | 8,083,845 | $ | (417,778 | ) | $ | 7,666,067 | |||||||
Mid Cap Value Fund | 66,573,319 | 6,940,473 | (1,277,042 | ) | 5,663,431 | |||||||||||
Premium Yield Equity Fund | 74,986,984 | 11,100,564 | (874,967 | ) | 10,225,597 | |||||||||||
Sands Capital Select Growth Fund | 1,911,035,177 | 685,405,361 | (24,672,689 | ) | 660,732,672 | |||||||||||
Short Duration Fixed Income Fund | 46,941,187 | 695,564 | (109,088 | ) | 586,476 | |||||||||||
Small Cap Core Fund | 300,544,051 | 55,567,800 | (1,400,925 | ) | 54,166,875 | |||||||||||
Small Cap Value Fund | 33,805,442 | 3,122,381 | (372,542 | ) | 2,749,839 | |||||||||||
Total Return Bond Fund | 63,302,423 | 1,840,874 | (305,179 | ) | 1,535,695 | |||||||||||
Ultra Short Duration Fixed Income Fund | 355,744,536 | 1,779,026 | (1,152,780 | ) | 626,246 |
The Funds have analyzed their tax positions taken on Federal income tax returns for all open tax years (tax years ended September 30, 2008 through 2011) and have concluded that no provision for income tax is required in their financial statements.
The Regulated Investment Company Modernization Act of 2010 (the “Act”) was enacted on December 22, 2010. The Act makes changes to several tax rules impacting the Funds. In general, the provisions of the Act will be effective for the Funds’ fiscal year ending September 30, 2012. Although the Act provides several benefits, including the unlimited carryover of future capital losses, there may be a greater likelihood that all or a portion of each fund’s pre-enactment capital loss carryovers may expire without being utilized due to the fact that post-enactment capital losses get utilized before pre-enactment capital loss carryovers. Relevant information regarding the impact of the Act on the Funds, if any, will be contained within the “Federal Tax Information” section of the financial statement notes for the fiscal year ending September 30, 2012.
7. Commitments and Contingencies
The Funds indemnify theTrust’s officers andTrustees for certain liabilities that might arise from their performance of their duties to the Funds. Additionally, in the normal course of business, the Funds enter into contracts that contain a variety of representations and warranties and which provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds that have not yet occurred. However, based on experience, the Funds expect the risk of loss to be remote.
8. Concentrations/Risks
Certain Funds invest a high percentage of their assets in specific sectors of the market in order to achieve a potentially greater investment return. As a result, the Funds may be more susceptible to economic, political, and regulatory developments in a particular sector of the market, positive or negative, and may experience increased volatility on the Fund’s net asset value and magnified effect on the total return.
9. Fund Mergers
On July 27, 2011, a Special Meeting of Shareholders was held to approve or disapprove an Agreement and Plan of Reorganization providing for the transfer of all assets and liabilities of the EARNEST Partners Fixed Income Trust (a series of The Nottingham Investment Trust II) to the Total Return Bond Fund, in exchange for shares of the Total Return Bond Fund and the subsequent liquidation of the EARNEST Partners Fixed Income Trust. The Agreement and Plan of Reorganization was approved and the merger took place on August 1, 2011.
154 |
Notes to Financial Statements (Continued)
The merger was approved as follows:
Number of Votes | ||||||||||||
For | Against | Abstain | ||||||||||
EARNEST Partners Fixed Income Trust | 1,223,066 | 467 | — |
The following is a summary of shares outstanding, net assets, net asset value per share, unrealized appreciation (depreciation) and realized gain (loss) immediately before and after the reorganization:
After | ||||||||||||
Before Reorganization | Reorganization | |||||||||||
EARNEST | ||||||||||||
Partners Fixed | Total Return | Total Return | ||||||||||
Income Trust | Bond Fund | Bond Fund | ||||||||||
Class A | ||||||||||||
Shares | 928 | (A) | 331,907 | 332,835 | ||||||||
Net Assets | $ | 9,313 | $ | 3,333,082 | $ | 3,342,395 | ||||||
Net Asset Value | 10.04 | (A) | 10.04 | 10.04 | ||||||||
Unrealized Appreciation | $ | 370 | $ | 53,560 | $ | 53,930 | ||||||
Accumulated Net Realized Loss | $ | (390 | ) | $ | (29,791 | ) | $ | (29,791 | ) | |||
Class C | ||||||||||||
Shares | — | 248,384 | 248,384 | |||||||||
Net Assets | $ | — | $ | 2,488,799 | $ | 2,488,799 | ||||||
Net Asset Value | — | 10.02 | 10.02 | |||||||||
Unrealized Appreciation | $ | — | $ | 21,852 | $ | 21,852 | ||||||
Accumulated Net Realized Loss | $ | — | $ | (16,910 | ) | $ | (16,910 | ) | ||||
Class Y | ||||||||||||
Shares | 1,648,324 | (B) | 61,451 | 1,709,775 | ||||||||
Net Assets | $ | 16,562,612 | $ | 617,477 | $ | 17,180,089 | ||||||
Net Asset Value | 10.05 | (B) | 10.05 | 10.05 | ||||||||
Unrealized Appreciation | $ | 783,137 | $ | 608 | $ | 783,745 | ||||||
Accumulated Net Realized Loss | $ | (1,712,437 | ) | $ | (1,942 | ) | $ | (1,942 | ) | |||
Institutional Class | ||||||||||||
Shares | — | 624,160 | 624,160 | |||||||||
Net Assets | $ | — | $ | 6,267,909 | $ | 6,267,909 | ||||||
Net Asset Value | — | 10.04 | 10.04 | |||||||||
Unrealized Appreciation | $ | — | $ | 153,082 | $ | 153,082 | ||||||
Accumulated Net Realized Gain | $ | — | $ | 115,563 | $ | 115,563 |
(A) Reflects a 1.01491:1 stock split which occurred on the date of reorganization, August 1, 2011.
(B) Reflects a 0.87567:1 stock split which occurred on the date of reorganization, August 1, 2011.
10. Subsequent Events
Touchstone Investments and Fifth Third Asset Management announced on April 5, 2012 that Touchstone Advisors, Inc., a wholly owned subsidiary of Western & Southern Financial Group, has entered into a definitive agreement with Fifth Third Asset Management, for Touchstone to acquire selected assets of Fifth Third Asset Management’s mutual fund business.
Consummation of the transaction is subject to certain conditions and approvals and is expected to be completed in the third quarter of 2012. Upon the completion of the transaction, sixteen funds sponsored by Fifth Third Asset Management will be reorganized into Touchstone Funds with Fifth Third Asset Management’s affiliated investment managers continuing as sub-advisors for certain Funds.
155 |
Notes to Financial Statements (Continued)
Effective at the opening of business on April 16, 2012, the Old Mutual Barrow Hanley Core Bond Fund was merged into the Touchstone Total Return Bond Fund and the Old Mutual Dwight Short Term Fixed Income Fund was merged into the Touchstone Ultra Short Duration Fixed Income Fund.
There were no other subsequent events that necessitated recognition or disclosure.
156 |
Other Items (Unaudited)
Proxy Voting
The Sub-Advisors are responsible for exercising the voting rights associated with the securities purchased and held by the Funds. A description of the policies and procedures that the Sub-Advisors use in fulfilling this responsibility and information regarding how those proxies were voted during the twelve month period ended June 30 are available without charge upon request by calling toll free 1.800.543.0407. These items are also available on the Securities and Exchange Commission’s (the Commission) website at http://www.sec.gov.
Quarterly Portfolio Disclosure
The Trust files a complete listing of portfolio holdings for each Fund as of the end of the first and third quarters of each fiscal year on Form N-Q. The complete listing (i) is available on the Commission’s website; (ii) may be reviewed and copied at the Commission’s Public Reference Room in Washington, DC; and (iii) will be made available to shareholders upon request by calling 1.800.543.0407. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330.
Schedule of Shareholder Expenses
As a shareholder of the Funds, you incur two types of costs: (1) transaction costs, including reinvested dividends or other distributions; and (2) ongoing costs, including investment advisory fees; distribution (12b-1) fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.
The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (October 1, 2011 through March 31, 2012).
Actual Expenses
The first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During the Six Months Ended March 31, 2012” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line of the table below provides information about hypothetical account values and hypothetical expenses based on the Funds’ actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Funds’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the 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.
157 |
Other Items (Continued)
Schedule of Shareholder Expenses (Continued)
Expenses | ||||||||||||||||||
Net Expense | Beginning | Ending | Paid During | |||||||||||||||
Ratio | Account | Account | the Six Months | |||||||||||||||
Annualized | Value | Value | Ended | |||||||||||||||
March 31, | October 1, | March 31, | March 31, | |||||||||||||||
2012 | 2011 | 2012 | 2012* | |||||||||||||||
Touchstone Emerging Markets Equity Fund | ||||||||||||||||||
Class A | Actual | 1.74 | % | $ | 1,000.00 | $ | 1,185.00 | $ | 9.50 | |||||||||
Class A | Hypothetical | 1.74 | % | $ | 1,000.00 | $ | 1,016.30 | $ | 8.77 | |||||||||
Class C | Actual | 2.49 | % | $ | 1,000.00 | $ | 1,180.40 | $ | 13.57 | |||||||||
Class C | Hypothetical | 2.49 | % | $ | 1,000.00 | $ | 1,012.55 | $ | 12.53 | |||||||||
Class Y | Actual | 1.40 | % | $ | 1,000.00 | $ | 1,187.10 | $ | 7.65 | |||||||||
Class Y | Hypothetical | 1.40 | % | $ | 1,000.00 | $ | 1,018.00 | $ | 7.06 | |||||||||
Institutional Class | Actual | 1.34 | % | $ | 1,000.00 | $ | 1,187.70 | $ | 7.33 | |||||||||
Institutional Class | Hypothetical | 1.34 | % | $ | 1,000.00 | $ | 1,018.30 | $ | 6.76 | |||||||||
Touchstone Emerging Markets Equity Fund II | ||||||||||||||||||
Class A | Actual | 1.74 | % | $ | 1,000.00 | $ | 1,161.40 | $ | 9.40 | |||||||||
Class A | Hypothetical | 1.74 | % | $ | 1,000.00 | $ | 1,016.30 | $ | 8.77 | |||||||||
Class C | Actual | 2.49 | % | $ | 1,000.00 | $ | 1,157.70 | $ | 13.43 | |||||||||
Class C | Hypothetical | 2.49 | % | $ | 1,000.00 | $ | 1,012.55 | $ | 12.53 | |||||||||
Class Y | Actual | 1.49 | % | $ | 1,000.00 | $ | 1,163.70 | $ | 8.06 | |||||||||
Class Y | Hypothetical | 1.49 | % | $ | 1,000.00 | $ | 1,017.55 | $ | 7.52 | |||||||||
Institutional Class | Actual | 1.34 | % | $ | 1,000.00 | $ | 1,163.70 | $ | 7.25 | |||||||||
Institutional Class | Hypothetical | 1.34 | % | $ | 1,000.00 | $ | 1,018.30 | $ | 6.76 | |||||||||
Touchstone Focused Equity Fund | ||||||||||||||||||
Class A | Actual | 1.20 | % | $ | 1,000.00 | $ | 1,249.40 | $ | 6.75 | |||||||||
Class A | Hypothetical | 1.20 | % | $ | 1,000.00 | $ | 1,019.00 | $ | 6.06 | |||||||||
Class C | Actual | 1.95 | % | $ | 1,000.00 | $ | 1,241.50 | $ | 10.93 | |||||||||
Class C | Hypothetical | 1.95 | % | $ | 1,000.00 | $ | 1,015.25 | $ | 9.82 | |||||||||
Class Y | Actual | 0.95 | % | $ | 1,000.00 | $ | 1,251.40 | $ | 5.35 | |||||||||
Class Y | Hypothetical | 0.95 | % | $ | 1,000.00 | $ | 1,020.25 | $ | 4.80 | |||||||||
Institutional Class | Actual | 0.80 | % | $ | 1,000.00 | $ | 1,251.40 | $ | 4.50 | |||||||||
Institutional Class | Hypothetical | 0.80 | % | $ | 1,000.00 | $ | 1,021.00 | $ | 4.04 | |||||||||
Touchstone Global Equity Fund | ||||||||||||||||||
Class A | Actual | 1.34 | % | $ | 1,000.00 | $ | 1,153.60 | $ | 7.21 | |||||||||
Class A | Hypothetical | 1.34 | % | $ | 1,000.00 | $ | 1,018.30 | $ | 6.76 | |||||||||
Class C | Actual | 2.09 | % | $ | 1,000.00 | $ | 1,149.00 | $ | 11.23 | |||||||||
Class C | Hypothetical | 2.09 | % | $ | 1,000.00 | $ | 1,014.55 | $ | 10.53 | |||||||||
Class Y | Actual | 1.09 | % | $ | 1,000.00 | $ | 1,154.30 | $ | 5.87 | |||||||||
Class Y | Hypothetical | 1.09 | % | $ | 1,000.00 | $ | 1,019.55 | $ | 5.50 | |||||||||
Institutional Class | Actual | 0.94 | % | $ | 1,000.00 | $ | 1,155.20 | $ | 5.06 | |||||||||
Institutional Class | Hypothetical | 0.94 | % | $ | 1,000.00 | $ | 1,020.30 | $ | 4.75 |
158 |
Other Items (Continued)
Schedule of Shareholder Expenses (Continued)
Expenses | ||||||||||||||||||
Net Expense | Beginning | Ending | Paid During | |||||||||||||||
Ratio | Account | Account | the Six Months | |||||||||||||||
Annualized | Value | Value | Ended | |||||||||||||||
March 31, | October 1, | March 31, | March 31, | |||||||||||||||
2012 | 2011 | 2012 | 2012* | |||||||||||||||
Touchstone Global Real Estate Fund | ||||||||||||||||||
Class A | Actual | 1.39 | % | $ | 1,000.00 | $ | 1,209.20 | $ | 7.68 | |||||||||
Class A | Hypothetical | 1.39 | % | $ | 1,000.00 | $ | 1,018.05 | $ | 7.01 | |||||||||
Class C | Actual | 2.14 | % | $ | 1,000.00 | $ | 1,204.80 | $ | 11.80 | |||||||||
Class C | Hypothetical | 2.14 | % | $ | 1,000.00 | $ | 1,014.30 | $ | 10.78 | |||||||||
Class Y | Actual | 1.14 | % | $ | 1,000.00 | $ | 1,211.10 | $ | 6.30 | |||||||||
Class Y | Hypothetical | 1.14 | % | $ | 1,000.00 | $ | 1,019.30 | $ | 5.76 | |||||||||
Institutional Class | Actual | 0.99 | % | $ | 1,000.00 | $ | 1,211.80 | $ | 5.47 | |||||||||
Institutional Class | Hypothetical | 0.99 | % | $ | 1,000.00 | $ | 1,020.05 | $ | 5.00 | |||||||||
Touchstone Intermediate Fixed Income Fund | ||||||||||||||||||
Institutional Class | Actual | 0.40 | % | $ | 1,000.00 | $ | 1,021.10 | $ | 2.02 | |||||||||
Institutional Class | Hypothetical | 0.40 | % | $ | 1,000.00 | $ | 1,023.00 | $ | 2.02 | |||||||||
Touchstone International Fixed Income Fund | ||||||||||||||||||
Class A | Actual | 1.09 | % | $ | 1,000.00 | $ | 1,023.80 | $ | 5.51 | |||||||||
Class A | Hypothetical | 1.09 | % | $ | 1,000.00 | $ | 1,019.55 | $ | 5.50 | |||||||||
Class C | Actual | 1.84 | % | $ | 1,000.00 | $ | 1,019.00 | $ | 9.29 | |||||||||
Class C | Hypothetical | 1.84 | % | $ | 1,000.00 | $ | 1,015.80 | $ | 9.27 | |||||||||
Class Y | Actual | 0.84 | % | $ | 1,000.00 | $ | 1,024.20 | $ | 4.25 | |||||||||
Class Y | Hypothetical | 0.84 | % | $ | 1,000.00 | $ | 1,020.80 | $ | 4.24 | |||||||||
Institutional Class | Actual | 0.69 | % | $ | 1,000.00 | $ | 1,026.00 | $ | 3.49 | |||||||||
Institutional Class | Hypothetical | 0.69 | % | $ | 1,000.00 | $ | 1,021.55 | $ | 3.49 | |||||||||
Touchstone Large Cap Relative Value Fund | ||||||||||||||||||
Class A | Actual | 1.19 | % | $ | 1,000.00 | $ | 1,256.60 | $ | 6.71 | |||||||||
Class A | Hypothetical | 1.19 | % | $ | 1,000.00 | $ | 1,019.05 | $ | 6.01 | |||||||||
Class C | Actual | 1.94 | % | $ | 1,000.00 | $ | 1,252.10 | $ | 10.92 | |||||||||
Class C | Hypothetical | 1.94 | % | $ | 1,000.00 | $ | 1,015.30 | $ | 9.77 | |||||||||
Class Y | Actual | 0.94 | % | $ | 1,000.00 | $ | 1,259.30 | $ | 5.31 | |||||||||
Class Y | Hypothetical | 0.94 | % | $ | 1,000.00 | $ | 1,020.30 | $ | 4.75 | |||||||||
Institutional Class | Actual | 0.79 | % | $ | 1,000.00 | $ | 1,260.30 | $ | 4.46 | |||||||||
Institutional Class | Hypothetical | 0.79 | % | $ | 1,000.00 | $ | 1,021.05 | $ | 3.99 | |||||||||
Touchstone Market Neutral Equity Fund | ||||||||||||||||||
Class A | Actual | 3.55 | % | $ | 1,000.00 | $ | 977.80 | $ | 17.55 | |||||||||
Class A | Hypothetical | 3.55 | % | $ | 1,000.00 | $ | 1,007.25 | $ | 17.81 | |||||||||
Class C | Actual | 4.30 | % | $ | 1,000.00 | $ | 974.40 | $ | 21.22 | |||||||||
Class C | Hypothetical | 4.30 | % | $ | 1,000.00 | $ | 1,003.50 | $ | 21.54 | |||||||||
Class Y | Actual | 3.30 | % | $ | 1,000.00 | $ | 979.90 | $ | 16.33 | |||||||||
Class Y | Hypothetical | 3.30 | % | $ | 1,000.00 | $ | 1,008.50 | $ | 16.57 |
159 |
Other Items (Continued)
Schedule of Shareholder Expenses (Continued)
Expenses | ||||||||||||||||||
Net Expense | Beginning | Ending | Paid During | |||||||||||||||
Ratio | Account | Account | the Six Months | |||||||||||||||
Annualized | Value | Value | Ended | |||||||||||||||
March 31, | October 1, | March 31, | March 31, | |||||||||||||||
2012 | 2011 | 2012 | 2012* | |||||||||||||||
Touchstone Merger Arbitrage Fund | ||||||||||||||||||
Class A | Actual | 2.22 | % | $ | 1,000.00 | $ | 1,050.50 | $ | 11.38 | |||||||||
Class A | Hypothetical | 2.22 | % | $ | 1,000.00 | $ | 1,013.90 | $ | 11.18 | |||||||||
Class C | Actual | 3.07 | % | $ | 1,000.00 | $ | 1,046.60 | $ | 15.71 | |||||||||
Class C | Hypothetical | 3.07 | % | $ | 1,000.00 | $ | 1,009.65 | $ | 15.42 | |||||||||
Class Y | Actual | 1.99 | % | $ | 1,000.00 | $ | 1,052.50 | $ | 10.21 | |||||||||
Class Y | Hypothetical | 1.99 | % | $ | 1,000.00 | $ | 1,015.05 | $ | 10.02 | |||||||||
Institutional Class | Actual | 1.92 | % | $ | 1,000.00 | $ | 1,052.50 | $ | 9.85 | |||||||||
Institutional Class | Hypothetical | 1.92 | % | $ | 1,000.00 | $ | 1,015.40 | $ | 9.67 | |||||||||
Touchstone Mid Cap Fund | ||||||||||||||||||
Class A | Actual | 1.21 | % | $ | 1,000.00 | $ | 1,226.00 | $ | 6.73 | |||||||||
Class A | Hypothetical | 1.21 | % | $ | 1,000.00 | $ | 1,018.95 | $ | 6.11 | |||||||||
Class C | Actual | 1.96 | % | $ | 1,000.00 | $ | 1,221.40 | $ | 10.88 | |||||||||
Class C | Hypothetical | 1.96 | % | $ | 1,000.00 | $ | 1,015.20 | $ | 9.87 | |||||||||
Class Y | Actual | 0.91 | % | $ | 1,000.00 | $ | 1,227.20 | $ | 5.07 | |||||||||
Class Y | Hypothetical | 0.91 | % | $ | 1,000.00 | $ | 1,020.45 | $ | 4.60 | |||||||||
Class Z | Actual | 1.21 | % | $ | 1,000.00 | $ | 1,225.20 | $ | 6.73 | |||||||||
Class Z | Hypothetical | 1.21 | % | $ | 1,000.00 | $ | 1,018.95 | $ | 6.11 | |||||||||
Institutional Class** | Actual | 0.89 | % | $ | 1,000.00 | $ | 1,050.10 | $ | 1.62 | |||||||||
Institutional Class** | Hypothetical | 0.89 | % | $ | 1,000.00 | $ | 1,020.55 | $ | 1.60 | |||||||||
Touchstone Mid Cap Value Fund | ||||||||||||||||||
Class A | Actual | 1.29 | % | $ | 1,000.00 | $ | 1,262.60 | $ | 7.30 | |||||||||
Class A | Hypothetical | 1.29 | % | $ | 1,000.00 | $ | 1,018.55 | $ | 6.51 | |||||||||
Class C | Actual | 2.04 | % | $ | 1,000.00 | $ | 1,257.60 | $ | 11.51 | |||||||||
Class C | Hypothetical | 2.04 | % | $ | 1,000.00 | $ | 1,014.80 | $ | 10.28 | |||||||||
Class Y | Actual | 1.03 | % | $ | 1,000.00 | $ | 1,264.30 | $ | 5.83 | |||||||||
Class Y | Hypothetical | 1.03 | % | $ | 1,000.00 | $ | 1,019.85 | $ | 5.20 | |||||||||
Institutional Class | Actual | 0.89 | % | $ | 1,000.00 | $ | 1,265.30 | $ | 5.04 | |||||||||
Institutional Class | Hypothetical | 0.89 | % | $ | 1,000.00 | $ | 1,020.55 | $ | 4.50 | |||||||||
Touchstone Premium Yield Equity Fund | ||||||||||||||||||
Class A | Actual | 1.20 | % | $ | 1,000.00 | $ | 1,200.30 | $ | 6.60 | |||||||||
Class A | Hypothetical | 1.20 | % | $ | 1,000.00 | $ | 1,019.00 | $ | 6.06 | |||||||||
Class C | Actual | 1.95 | % | $ | 1,000.00 | $ | 1,194.60 | $ | 10.70 | |||||||||
Class C | Hypothetical | 1.95 | % | $ | 1,000.00 | $ | 1,015.25 | $ | 9.82 | |||||||||
Class Y | Actual | 0.95 | % | $ | 1,000.00 | $ | 1,200.60 | $ | 5.23 | |||||||||
Class Y | Hypothetical | 0.95 | % | $ | 1,000.00 | $ | 1,020.25 | $ | 4.80 |
160 |
Other Items (Continued)
Schedule of Shareholder Expenses (Continued)
Expenses | ||||||||||||||||||
Net Expense | Beginning | Ending | Paid During | |||||||||||||||
Ratio | Account | Account | the Six Months | |||||||||||||||
Annualized | Value | Value | Ended | |||||||||||||||
March 31, | October 1, | March 31, | March 31, | |||||||||||||||
2012 | 2011 | 2012 | 2012* | |||||||||||||||
Touchstone Sands Capital Select Growth Fund | ||||||||||||||||||
Class A | Actual | 1.36 | % | $ | 1,000.00 | $ | 1,342.90 | $ | 7.97 | |||||||||
Class A | Hypothetical | 1.36 | % | $ | 1,000.00 | $ | 1,018.20 | $ | 6.86 | |||||||||
Class C | Actual | 2.11 | % | $ | 1,000.00 | $ | 1,337.60 | $ | 12.33 | |||||||||
Class C | Hypothetical | 2.11 | % | $ | 1,000.00 | $ | 1,014.45 | $ | 10.63 | |||||||||
Class Y | Actual | 1.11 | % | $ | 1,000.00 | $ | 1,343.10 | $ | 6.50 | |||||||||
Class Y | Hypothetical | 1.11 | % | $ | 1,000.00 | $ | 1,019.45 | $ | 5.60 | |||||||||
Class Z | Actual | 1.34 | % | $ | 1,000.00 | $ | 1,342.90 | $ | 7.85 | |||||||||
Class Z | Hypothetical | 1.34 | % | $ | 1,000.00 | $ | 1,018.30 | $ | 6.76 | |||||||||
Touchstone Short Duration Fixed Income Fund | ||||||||||||||||||
Class Y | Actual | 0.49 | % | $ | 1,000.00 | $ | 1,011.00 | $ | 2.46 | |||||||||
Class Y | Hypothetical | 0.49 | % | $ | 1,000.00 | $ | 1,022.55 | $ | 2.48 | |||||||||
Class Z | Actual | 0.74 | % | $ | 1,000.00 | $ | 1,009.80 | $ | 3.72 | |||||||||
Class Z | Hypothetical | 0.74 | % | $ | 1,000.00 | $ | 1,021.30 | $ | 3.74 | |||||||||
Touchstone Small Cap Core Fund | ||||||||||||||||||
Class A | Actual | 1.34 | % | $ | 1,000.00 | $ | 1,314.50 | $ | 7.75 | |||||||||
Class A | Hypothetical | 1.34 | % | $ | 1,000.00 | $ | 1,018.30 | $ | 6.76 | |||||||||
Class C | Actual | 2.09 | % | $ | 1,000.00 | $ | 1,309.10 | $ | 12.07 | |||||||||
Class C | Hypothetical | 2.09 | % | $ | 1,000.00 | $ | 1,014.55 | $ | 10.53 | |||||||||
Class Y | Actual | 1.02 | % | $ | 1,000.00 | $ | 1,316.70 | $ | 5.91 | |||||||||
Class Y | Hypothetical | 1.02 | % | $ | 1,000.00 | $ | 1,019.90 | $ | 5.15 | |||||||||
Institutional Class | Actual | 0.94 | % | $ | 1,000.00 | $ | 1,316.70 | $ | 5.44 | |||||||||
Institutional Class | Hypothetical | 0.94 | % | $ | 1,000.00 | $ | 1,020.30 | $ | 4.75 | |||||||||
Touchstone Small Cap Value Fund | ||||||||||||||||||
Class A | Actual | 1.43 | % | $ | 1,000.00 | $ | 1,328.50 | $ | 8.32 | |||||||||
Class A | Hypothetical | 1.43 | % | $ | 1,000.00 | $ | 1,017.85 | $ | 7.21 | |||||||||
Class C | Actual | 2.18 | % | $ | 1,000.00 | $ | 1,323.80 | $ | 12.66 | |||||||||
Class C | Hypothetical | 2.18 | % | $ | 1,000.00 | $ | 1,014.10 | $ | 10.98 | |||||||||
Class Y | Actual | 1.18 | % | $ | 1,000.00 | $ | 1,330.20 | $ | 6.87 | |||||||||
Class Y | Hypothetical | 1.18 | % | $ | 1,000.00 | $ | 1,019.10 | $ | 5.96 | |||||||||
Institutional Class | Actual | 1.03 | % | $ | 1,000.00 | $ | 1,331.90 | $ | 6.00 | |||||||||
Institutional Class | Hypothetical | 1.03 | % | $ | 1,000.00 | $ | 1,019.85 | $ | 5.20 | |||||||||
Touchstone Total Return Bond Fund | ||||||||||||||||||
Class A | Actual | 0.90 | % | $ | 1,000.00 | $ | 1,025.00 | $ | 4.56 | |||||||||
Class A | Hypothetical | 0.90 | % | $ | 1,000.00 | $ | 1,020.50 | $ | 4.55 | |||||||||
Class C | Actual | 1.65 | % | $ | 1,000.00 | $ | 1,021.20 | $ | 8.34 | |||||||||
Class C | Hypothetical | 1.65 | % | $ | 1,000.00 | $ | 1,016.75 | $ | 8.32 |
161 |
Other Items (Continued)
Schedule of Shareholder Expenses (Continued)
Expenses | ||||||||||||||||||
Net Expense | Beginning | Ending | Paid During | |||||||||||||||
Ratio | Account | Account | the Six Months | |||||||||||||||
Annualized | Value | Value | Ended | |||||||||||||||
March 31, | October 1, | March 31, | March 31, | |||||||||||||||
2012 | 2011 | 2012 | 2012* | |||||||||||||||
Class Y | Actual | 0.54 | % | $ | 1,000.00 | $ | 1,026.50 | $ | 2.74 | |||||||||
Class Y | Hypothetical | 0.54 | % | $ | 1,000.00 | $ | 1,022.30 | $ | 2.73 | |||||||||
Institutional Class | Actual | 0.50 | % | $ | 1,000.00 | $ | 1,026.80 | $ | 2.53 | |||||||||
Institutional Class | Hypothetical | 0.50 | % | $ | 1,000.00 | $ | 1,022.50 | $ | 2.53 | |||||||||
Touchstone Ultra Short Duration Fixed Income Fund | ||||||||||||||||||
Class Z | Actual | 0.69 | % | $ | 1,000.00 | $ | 1,011.00 | $ | 3.47 | |||||||||
Class Z | Hypothetical | 0.69 | % | $ | 1,000.00 | $ | 1,021.55 | $ | 3.49 |
* | Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by [number of days in most recent fiscal half-year/365 [or 366]] (to reflect one-half year period). |
** | The Mid Cap Fund Class I commenced operations on January 27, 2012. |
162 |
Other Items (Continued)
Advisory Agreement Approval Disclosure
At a meeting held on November 17, 2011, the Board of Trustees (the “Board” or “Trustees”) of the Touchstone Funds Group Trust (the “Trust”), and by a separate vote, the Independent Trustees of the Trust, approved the continuance of the Investment Advisory Agreement between the Trust and the Advisor with respect to each Fund of the Trust, and the continuance of each Sub-Advisory Agreement between the Advisor and each Fund’s respective Sub-Advisor, except with respect to theTouchstone Emerging Markets Equity Fund II and theTouchstone Merger Arbitrage Fund. TheTouchstone Emerging Markets Equity Fund II and theTouchstone Merger Arbitrage Fund recently commenced operations and therefore the Sub-Advisory Agreements with respect to these Funds were not up for renewal.
In determining whether to approve the continuation of the Investment Advisory Agreement and the Sub-Advisory Agreements, the Advisor furnished information necessary for a majority of the Independent Trustees to make the determination that the continuance of the Investment Advisory Agreement and each Sub-Advisory Agreement was in the best interests of the respective Funds and their shareholders. The information provided to the Board included: (1) industry data comparing advisory fees and expense ratios of comparable investment companies; (2) comparative performance information; (3) the Advisor’s and its affiliates’ revenues and costs of providing services to the Funds; and (4) information about the Advisor’s and Sub-Advisors’ personnel. Prior to voting, the Independent Trustees reviewed the proposed continuance of the Investment Advisory Agreement and the Sub-Advisory Agreements with management and with experienced independent legal counsel and received materials from such counsel discussing the legal standards for their consideration of the proposed continuation of the Investment Advisory Agreement and each Sub-Advisory Agreement. The Independent Trustees also reviewed the proposed continuation of the Investment Advisory Agreement and each Sub-Advisory Agreement with independent legal counsel in private sessions at which no representatives of management were present.
In approving the Funds’ Investment Advisory Agreement, the Board considered various factors, among them: (1) the nature, extent and quality of services provided to the Funds, including the personnel providing services; (2) the Advisor’s compensation and profitability; (3) a comparison of fees and performance with other advisers; (4) economies of scale; and (5) the terms of the Investment Advisory Agreement. The Board’s analysis of these factors is set forth below. The Independent Trustees were advised by independent legal counsel throughout the process.
Nature, Extent and Quality of Advisor Services. The Board considered the level and depth of knowledge of the Advisor, including the professional experience and qualifications of senior personnel. In evaluating the quality of services provided by the Advisor, the Board took into account its familiarity with the Advisor’s senior management through Board meetings, discussions and reports during the preceding year. The Board also took into account the Advisor’s compliance policies and procedures. The quality of administrative and other services, including the Advisor’s role in coordinating the activities of the Funds’ other service providers, was also considered. The Board also considered the Advisor’s relationship with its affiliates and the resources available to them, as well as any potential conflicts of interest.
The Board discussed the Advisor’s effectiveness in monitoring the performance of each Sub-Advisor, including those that were affiliates of the Advisor, and the Advisor’s timeliness in responding to performance issues. The Board considered the Advisor’s process for monitoring each of the Sub-Advisors, which includes an examination of both qualitative and quantitative elements of the Sub-Advisor’s organization, personnel, procedures, investment discipline, infrastructure and performance. The Board considered that the Advisor conducts regular on-site compliance visits with each Sub-Advisor, during which the Advisor examines a wide variety of factors, such as the quality of the Sub-Advisor’s systems, the effectiveness of the Sub-Advisor’s disaster recovery programs, trade allocation and execution procedures, compliance with the Sub-Advisor’s policies and procedures, results of regulatory examinations and any other factors that might affect the quality of services that the Sub-Advisor provides to the applicable Fund(s). The Board noted that the Advisor’s compliance monitoring processes also include quarterly reviews of compliance reports, and that any issues arising from such reports and the Advisor’s compliance visits to the Sub-Advisors are reported to the Board.
163 |
Other Items (Continued)
The Trustees concluded that they were satisfied with the nature, extent and quality of services provided to each Fund by the Advisor under the Investment Advisory Agreement.
Advisor’s Compensation and Profitability. The Board took into consideration the financial condition and profitability of the Advisor and its affiliates (including the Sub-Advisor to certain of the Funds) and the direct and indirect benefits derived by the Advisor and its affiliates from the Advisor’s relationship with the Funds. The information considered by the Board included operating profit margin information for the Advisor’s business as a whole. The Board noted that the Advisor waived a portion of the fees and/or reimbursed a portion of the operating expenses of the Funds. The Board also noted that the Advisor pays the Sub-Advisors’ sub-advisory fees out of the advisory fees the Advisor receives from the Funds. The Board reviewed the profitability of the Advisor’s relationship with the Funds both before and after tax expenses, and also considered whether the Advisor has the financial wherewithal to continue to provide a high level of services to the Funds, noting the ongoing commitment of the Advisor’s parent company with respect to providing support and resources as needed. The Board considered that the Funds’ distributor, an affiliate of the Advisor, receives Rule 12b-1 distribution fees from the Funds and receives a portion of the sales charges on sales or redemptions of certain classes of shares. The Board also noted that the Advisor derives benefits to its reputation and other benefits from its association with the Funds.
The Board recognized that the Advisor should be entitled to earn a reasonable level of profits in exchange for the level of services it provides to each Fund and the entrepreneurial risk that it assumes as Advisor. Based upon their review, the Trustees concluded that the Advisor’s and its affiliates’ level of profitability, if any, from their relationship with each Fund was reasonable and not excessive.
Expenses and Performance. The Board compared the respective advisory fees and total expense ratios for each of the Funds with various comparative data, including the median and average advisory fees and total expense ratios of each Fund’s respective peer group. The Board also considered, among other data, the Funds’ respective performance results during the six-month, twelve-month and thirty-six-month periods ended June 30, 2011, as applicable, and noted that the Board reviews on a quarterly basis detailed information about each Fund’s performance results, portfolio composition and investment strategies. The Board also took into account current market conditions and their effect on the Funds’ performance.
The Board also considered the effect of each Fund’s growth and size on its performance and expenses. The Board noted that the Advisor had waived a portion of the fees and/or reimbursed a portion of the operating expenses of the Funds in order to reduce the Funds’ respective operating expenses to targeted levels. The Board noted that the sub-advisory fees under the Sub-Advisory Agreement with respect to each Fund were paid by the Advisor out of the advisory fees it receives from the Fund and considered the impact of such sub-advisory fees on the profitability of the Advisor. In reviewing the respective expense ratios and performance of each of the Funds, the Board also took into account the nature, extent and quality of the services provided to the Funds by the Advisor and its affiliates.
The Board also discussed with management certain factors as set forth in the conditions to the Funds’ exemptive order issued by the Securities and Exchange Commission relating to investments by the non-money market Funds in the Touchstone Institutional Money Market Fund. The Board considered the nature and extent of the services provided by the Advisor and the Sub-Advisors to each Fund and a discussion by management with respect to the costs to the Advisor and Sub-Advisors of the portion of the advisory fee and sub-advisory fee attributable to the portion of the non-money market Funds’ assets to be invested in theTouchstone Institutional Money Market Fund. Based on these factors, the Board concluded that the advisory fee and the sub-advisory fee associated with the management of each non-money market Fund were based on services that were in addition to, rather than duplicative of, services provided under the Investment Advisory and Sub-Advisory Agreements with respect to the Touchstone Institutional Money Market Fund.
164 |
Other Items (Continued)
The Board considered, among other data, the specific factors and related conclusions set forth below with respect to each Fund:
Touchstone Emerging Markets Equity Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers) were above the median and at the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees. The Fund’s performance was in the 4th quintile of the Fund’s peer group for the six-month period ended June 30, 2011, and the Fund’s performance was in the 5th quintile for the twelve-month period ended June 30, 2011. The Board noted management’s discussion of the Fund’s performance, including the Fund’s outperformance for the period since its inception. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Emerging Markets Equity Fund II. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were above the median and below the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Board took into account the impact that the relatively small size of the Fund has upon expenses. The Board considered the Fund’s performance since its inception in April 2011 and management’s continued monitoring of the Fund’s performance and ability to attract assets. Based upon their review, the Trustees concluded that the Fund’s performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Focused Equity Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 5th quintile of the Fund’s peer group for the six-month period ended June 30, 2011, and the Fund’s performance was in the 4th quintile for the twelve-month period ended June 30, 2011. The Board noted management’s explanation for the Fund’s underperformance and management’s continued monitoring of the Fund’s performance and ability to attract assets. Based upon their review, theTrustees concluded that the Fund’s performance was being addressed and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Global Equity Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 5th quintile of the Fund’s peer group for the six- and twelve-month periods ended June 30, 2011. The Board noted management’s explanation for the Fund’s underperformance and management’s continued monitoring of the Fund’s performance and ability to attract assets. Based upon their review, theTrustees concluded that the Fund’s performance was being addressed and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Global Real Estate Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 1st quintile of the Fund’s peer group for the six-month period ended June 30, 2011, and the Fund’s performance was in the 2nd quintile for the twelve-month period ended June 30, 2011. Based upon their review, the Trustees concluded that the Fund’s performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Intermediate Fixed Income Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees. The Fund’s performance was in the 4th quintile of the Fund’s peer group
165 |
Other Items (Continued)
for the six- and twelve-month periods ended June 30, 2011, and the Fund’s performance was in the 5th quintile for the thirty-six-month period ended June 30, 2011. The Board noted management’s explanation for the Fund’s underperformance and management’s continued monitoring of the Fund’s performance. Based upon their review, the Trustees concluded that the Fund’s performance was being addressed and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone International Fixed Income Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 3rd quintile of the Fund’s peer group for the six-month period ended June 30, 2011, and the Fund’s performance was in the 2nd quintile for the twelve-month period ended June 30, 2011. Based upon their review, the Trustees concluded that the Fund’s performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Large Cap Relative Value Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 5th quintile of the Fund’s peer group for the six-month period ended June 30, 2011, and the Fund’s performance was in the 4th quintile for the twelve-month period ended June 30, 2011. The Board noted management’s explanation for the Fund’s recent underperformance and management’s continued monitoring of the Fund’s performance and ability to attract assets. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Market Neutral Equity Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were above the median and below the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s advisory fees as well as reimbursing a portion of the Fund’s operating expenses. The Board took into account the impact that the relatively small size of the Fund has upon expenses. The Fund’s performance was in the 3rd quintile of the Fund’s peer group for the six- and twelve-month periods ended June 30, 2011. Based upon their review, the Trustees concluded that the Fund’s performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Merger Arbitrage Fund. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Board took into account the impact that the relatively small size of the Fund has upon expenses. The Board considered the Fund’s performance since its inception in August 2011 and management’s continued monitoring of the Fund’s performance and ability to attract assets. Based upon their review, the Trustees concluded that the Fund’s performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Mid Cap Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers) were at the median and below the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees. The Fund’s performance was in the 1st quintile of the Fund’s peer group for the six-month period ended June 30, 2011, the Fund’s performance was in the 2nd quintile for the twelve-month period ended June 30, 2011, and the Fund’s performance was in the 4th quintile for the thirty-six-month period ended June 30, 2011. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
166 |
Other Items (Continued)
Touchstone Mid Cap Value Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were above the median and below the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Board took into account the impact that the relatively small size of the Fund has upon expenses. The Fund’s performance was in the 4th quintile of the Fund’s peer group for the six-month period ended June 30, 2011, and the Fund’s performance was in the 3rd quintile for the twelve-month period ended June 30, 2011. The Board noted management’s explanation for the Fund’s recent underperformance and management’s continued monitoring of the Fund’s performance and ability to attract assets. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Premium Yield Equity Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were at the median and below the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 1st quintile of the Fund’s peer group for the six-month period ended June 30, 2011, the Fund’s performance was in the 2nd quintile for the twelve-month period ended June 30, 2011,and the Fund’s performance was in the 5th quintile for the thirty-six-month period ended June 30, 2011. Based upon their review, theTrustees concluded that the Fund’s overall performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Sands Capital Select Growth Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers) were above the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees. The Board took into account management’s discussion of the Fund’s expenses and the recent addition of breakpoints to the Fund’s base advisory fee. The Fund’s performance was in the 1st quintile of the Fund’s peer group for the six-, twelve- and thirty-six-month periods ended June 30, 2011. Based upon their review, the Trustees concluded that the Fund’s performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Short Duration Fixed Income Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 4th quintile of the Fund’s peer group for the six- and twelve-month periods ended June 30, 2011, and the Fund’s performance was in the 3rd quintile for the thirty-six-month period ended June 30, 2011. The Board noted management’s explanation for the Fund’s recent underperformance. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Small Cap Core Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 2nd quintile of the Fund’s peer group for the six- and twelve-month periods ended June 30, 2011. Based upon their review, theTrustees concluded that the Fund’s performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Small Cap Value Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers) were above the median and below the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees. The Board also noted the recent addition of breakpoints to the Fund’s advisory and sub-advisory fees in connection with the recent change in the Fund’s
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sub-advisor. The Fund’s performance was in the 5th quintile of the Fund’s peer group for the six- and thirty-six-month periods ended June 30, 2011, and the Fund’s performance was in the 3rd quintile for the twelve-month period ended June 30, 2011. The Board noted management’s discussion of the Fund’s performance since the sub-advisor change in December 2010. Based upon their review, theTrustees concluded that the Fund’s overall performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Total Return Bond Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees as well as reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 3rd quintile of the Fund’s peer group for the six-month period ended June 30, 2011, and the Fund’s performance was in the 2nd quintile for the twelve-month period ended June 30, 2011. Based upon their review, the Trustees concluded that the Fund’s performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Ultra Short Duration Fixed Income Fund. The Fund’s advisory fee and total expense ratio (net of applicable expense waivers) were below the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees. The Fund’s performance was in the 2nd quintile of the Fund’s peer group for the six-month period ended June 30, 2011, and the Fund’s performance was in the 3rd quintile for the twelve- and thirty-six-month periods ended June 30, 2011. Based upon their review, theTrustees concluded that the Fund’s performance was satisfactory and also found that the advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Economies of Scale. The Board considered the effect of each Fund’s current size and potential growth on its performance and expenses. The Board took into account management’s discussion of the Funds’ advisory fee structure. The Board considered the effective advisory fees under the Investment Advisory Agreement as a percentage of assets at different asset levels and possible economies of scale that might be realized if the assets of each Fund increase. The Board noted that the advisory fee schedules for some of the Funds contain breakpoints that would reduce the respective advisory fee rate on assets above specified levels as the respective Fund’s assets increased and considered the necessity of adding breakpoints with respect to the Funds that did not currently have such breakpoints in their advisory fee schedules. The Board determined that adding breakpoints at specified levels to the advisory fee schedule of each Fund that currently did not have such breakpoints was not appropriate at that time. The Board also noted that if a Fund’s assets increase over time, the Fund might realize other economies of scale if assets increase proportionally more than certain other expenses. The Board also considered the fact that, under the Investment Advisory Agreement, the advisory fee payable to the Advisor by a Fund was reduced by the total sub-advisory fee paid by the Advisor to the Fund’s Sub-Advisor.
Conclusion. In considering the renewal of the Funds’ Investment Advisory Agreement, the Board, including the Independent Trustees, did not identify any single factor as controlling, and each Trustee may have attributed different weights to the various factors. TheTrustees evaluated all information available to them on a Fund-by-Fund basis, and their determinations were made separately with respect to each Fund. The Board reached the following conclusions regarding the Funds’ Investment Advisory Agreement with the Advisor, among others: (a) the Advisor demonstrated that it possesses the capability and resources to perform the duties required of it under the Investment Advisory Agreement; (b) the Advisor maintains an appropriate compliance program; (c) the performance of each Fund is satisfactory relative to the performance of funds with similar investment objectives and relevant indices or, as discussed above, is being addressed; and (d) each Fund’s advisory fee is reasonable relative to those of similar funds and the services to be provided by the Advisor. Based on their conclusions, the Trustees determined with respect to each Fund that continuation of the Investment Advisory Agreement was in the best interests of the Fund and its shareholders.
In approving the Funds’ respective Sub-Advisory Agreements, the Board considered various factors with respect to each Fund and the applicable Sub-Advisory Agreement, among them: (1) the nature, extent and quality
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of services provided to the Fund, including the personnel providing such services; (2) the Sub-Advisor’s compensation; (3) a comparison of the sub-advisory fee and performance with other advisers; and (4) the terms of the Sub-Advisory Agreement. The Board’s analysis of these factors is set forth below. The Independent Trustees were advised by independent legal counsel throughout the process.
Nature, Extent and Quality of Services Provided; Investment Personnel. The Board considered information provided by the Advisor regarding the services provided by each Sub-Advisor, including information presented periodically throughout the previous year. The Board noted the affiliation of the Sub-Advisor to certain of the Funds with the Advisor, noting any potential conflicts of interest. The Board also noted that, on a periodic basis, the Board meets with portfolio managers of the Sub-Advisors to discuss their respective performance and investment processes and strategies. The Board considered each Sub-Advisor’s level of knowledge and investment style. The Board reviewed the experience and credentials of the applicable investment personnel who are responsible for managing the investment of portfolio securities with respect to the Funds. The Board also noted each Sub-Advisor’s brokerage practices.
Sub-Advisor’s Compensation. The Board also took into consideration the financial condition of each Sub-Advisor and any indirect benefits derived by each Sub-Advisor and its affiliates from the Sub-Advisor’s relationship with the Funds. In considering the profitability to each Sub-Advisor of its relationship with the Funds, the Board noted the undertakings of the Advisor to maintain expense limitations for the Funds and also noted that the sub-advisory fees under the Sub-Advisory Agreements were paid by the Advisor out of the advisory fees that it receives under the Investment Advisory Agreement and in addition, with respect to the unaffiliated Sub-Advisors, are negotiated at arm’s length. As a consequence, the profitability to each Sub-Advisor of its relationship with a Fund was not a substantial factor in the Board’s deliberations. For similar reasons, the Board did not consider the potential economies of scale in each Sub-Advisor’s management of the applicable Fund to be a substantial factor in its consideration, although the Board noted that the sub-advisory fee schedule for some of the Funds contained breakpoints that would reduce the sub-advisory fee rate on assets above specified levels as the applicable Fund’s assets increased.
Sub-Advisory Fees and Fund Performance. The Board considered that each Fund pays an advisory fee to the Advisor and that the Advisor pays the sub-advisory fee to the Sub-Advisor out of the advisory fee it receives from the respective Fund. The Board also compared the sub-advisory fees paid by the Advisor to fees charged by the Sub-Advisor to manage comparable institutional separate accounts. The Board considered the amount retained by the Advisor and the sub-advisory fee paid to each Sub-Advisor with respect to the various services provided by the Advisor and the Sub-Advisor. The Board also noted that the Advisor negotiated the sub-advisory fee with each of the unaffiliated Sub-Advisors at arm’s length. The Board reviewed the sub-advisory fee for each Fund in relation to various comparative data, including the median and average sub-advisory fees of each Fund’s peer group, and considered the following information:
Touchstone Emerging Markets Equity Fund. The Fund’s sub-advisory fee was below the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Focused Equity Fund. The Fund’s sub-advisory fee was above the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Global Equity Fund. The Fund’s sub-advisory fee was at the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Global Real Estate Fund. The Fund’s sub-advisory fee was at the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
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Other Items (Continued)
Touchstone Intermediate Fixed Income Fund. The Fund’s sub-advisory fee was below the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone International Fixed Income Fund. The Fund’s sub-advisory fee was above the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Large Cap Relative Value Fund. The Fund’s sub-advisory fee was above the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Market Neutral Equity Fund. The Fund’s sub-advisory fee was below the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Mid Cap Fund. The Fund’s sub-advisory fee was above the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Mid Cap Value Fund. The Fund’s sub-advisory fee was above the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Premium Yield Equity Fund. The Fund’s sub-advisory fee was above the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Sands Capital Select Growth Fund. The Fund’s sub-advisory fee was above the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Short Duration Fixed Income Fund. The Fund’s sub-advisory fee was at the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Small Cap Core Fund. The Fund’s sub-advisory fee was below the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Small Cap Value Fund. The Fund’s sub-advisory fee with the Sub-Advisor was at the median of its peer group. The Board took into account the recent addition of breakpoints to the Fund’s sub-advisory fee in connection with the recent change in the Fund’s sub-advisor. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fees were reasonable in light of the high quality of services received by the Fund and the other factors considered.
Touchstone Ultra Short Duration Fixed Income Fund. The Fund’s sub-advisory fee was below the median of its peer group. Based upon their review, the Trustees concluded that the Fund’s sub-advisory fee was reasonable in light of the high quality of services received by the Fund and the other factors considered.
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Other Items (Continued)
As noted above, the Board considered each Fund’s performance during the six-month, twelve-month and thirty-six-month periods ended June 30, 2011, as applicable, as compared to each Fund’s peer group and noted that the Board reviews on a quarterly basis detailed information about each Fund’s performance results, portfolio composition and investment strategies. The Board noted the Advisor’s expertise and resources in monitoring the performance, investment style and risk-adjusted performance of each Sub-Advisor. The Board was mindful of the Advisor’s focus on each Sub-Advisor’s performance and the Advisor’s ways of addressing underperformance.
Conclusion. In considering the renewal of the Sub-Advisory Agreement with respect to each Fund, the Board, including the Independent Trustees, did not identify any single factor as controlling, and each Trustee may have attributed different weights to the various factors. The Board reached the following conclusions regarding each Sub-Advisory Agreement, among others: (a) the Sub-Advisor is qualified to manage each Fund’s assets in accordance with the Fund’s investment objectives and policies; (b) the Sub-Advisor maintains an appropriate compliance program; (c) the performance of each Fund is satisfactory relative to the performance of funds with similar investment objectives and relevant indices or, as discussed above, is being addressed; (d) each Fund’s advisory fees are reasonable relative to those of similar funds and the services to be provided by the Advisor and the Sub-Advisor; and (e) the Sub-Advisor’s investment strategies are appropriate for pursuing the investment objectives of each Fund. Based on its conclusions, the Board determined that approval of the Sub-Advisory Agreement with respect to each Fund was in the best interests of the Fund and its shareholders.
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PRIVACY PROTECTION POLICY
We Respect Your Privacy
Thank you for your decision to invest with us. Touchstone and its affiliates have always placed a high value on the trust and confidence our clients place in us. We believe that confidence must be earned and validated through time. In today’s world, when technology allows the sharing of information at light speeds, trust must be reinforced by our sincere pledge to take the steps necessary to ensure that the information you share with us is treated with respect and confidentiality.
Our Pledge to Our Clients
· | We collect only the information we need to service your account and administer our business. |
· | We are committed to keeping your information confidential and we place strict limits and controls on the use and sharing of your information. |
· | We make every effort to ensure the accuracy of your information. |
We Collect the Following Nonpublic Personal Information About You:
· | Information we receive from you on or in applications or other forms, correspondence, or conversations, including, but not limited to, your name, address, phone number, social security number, assets, income and date of birth; and |
· | Information about your transactions with us, our affiliates, or others, including, but not limited to, your account number and balance, payment history, parties to transactions, cost basis information, and other financial information. |
Categories of Information We Disclose and Parties to Whom We Disclose
We do not disclose any nonpublic personal information about our current or former clients to nonaffiliated third parties, except as required or permitted by law.
We Place Strict Limits and Controls on the Use and Sharing of Your Information
· | We restrict access to nonpublic personal information about you to authorized employees who need the information to administer your business. |
· | We maintain physical, electronic and procedural safeguards that comply with federal standards to protect this information. |
· | We do not disclose any nonpublic personal information about our current or former clients to anyone, except as required or permitted by law or as described in this document. |
· | We will not sell your personal information to anyone. |
We May Provide Information to Service Your Account
Sometimes it is necessary to provide information about you to various companies such as transfer agents, custodians, broker-dealers and marketing service firms to facilitate the servicing of your account.These organizations have a legitimate business need to see some of your personal information in order for us to provide service to you. We may disclose to these various companies the information that we collect as described above. We require that these companies, including our own subsidiaries and affiliates, strictly maintain the confidentiality of this information and abide by all applicable laws. Companies within our corporate family that may receive this information are financial service providers and insurance companies. We do not permit these associated companies to sell the information for their own purposes, and we never sell our customer information.
This policy is applicable to the following affiliated companies: Touchstone Funds Group Trust, Touchstone Investment Trust, Touchstone Strategic Trust, Touchstone Tax-Free Trust, Touchstone Variable Series Trust, Touchstone Institutional Funds Trust, Touchstone Securities, Inc.,* Capital Analysts Incorporated and W&S Brokerage Services, Inc.
* Touchstone Securities, Inc. serves as the underwriter to the Touchstone Funds.
A Member of Western & Southern Financial Group®
The Privacy Protection Policy is not part of the Semi-Annual Report.
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Cincinnati, OH 45202-4203 |
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Touchstone Investments
Distributor
Touchstone Securities, Inc.*
303 Broadway
Cincinnati, Ohio 45202-4203 800.638.8194
www.touchstoneinvestments.com
Investment Advisor
Touchstone Advisors, Inc.*
303 Broadway
Cincinnati, Ohio 45202-4203
Transfer Agent
BNY Mellon Investment Servicing (US) Inc.
4400 Computer Drive
Westborough, MA 01581
Shareholder Service
800.543.0407
* A Member of Western & Southern Financial Group
TSF-56-TFGT-SAR-1203
Item 2. Code of Ethics.
Not applicable.
Item 3. Audit Committee Financial Expert.
Not applicable.
Item 4. Principal Accountant Fees and Services.
Not applicable.
Item 5. Audit Committee of Listed registrants.
Not applicable.
Item 6. Investments.
(a) | Schedule of Investments in securities of unaffiliated issuers as of the close of the reporting period is included as part of the report to shareholders filed under Item 1 of this form. |
(b) | Not applicable. |
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders.
There have been no material changes to the procedures by which the shareholders may recommend nominees to the registrant’s board of trustees, where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 407(c)(2)(iv) of Regulation S-K (17 CFR 229.407) (as required by Item 22(b)(15) of Schedule 14A (17 CFR 240.14a-101)), or this Item.
Item 11. Controls and Procedures.
(a) | The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)). |
(b) | There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the registrant’s second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting. |
Item 12. Exhibits.
(a)(1) | Not applicable. |
(a)(2) | Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto. |
(a)(3) | Not applicable. |
(b) | Certifications pursuant to Rule 30a-2(b) under the 1940 Act and Section 906 of the Sarbanes-Oxley Act of 2002 are attached hereto. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) | Touchstone Funds Group Trust |
By (Signature and Title)* | /s/ Jill T. McGruder |
Jill T. McGruder, President | |
(principal executive officer) |
Date | 5/29/12 |
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 (Signature and Title)* | /s/ Jill T. McGruder |
Jill T. McGruder, President | |
(principal executive officer) |
Date | 5/29/12 |
By (Signature and Title)* | /s/ Terrie A. Wiedenheft |
Terrie A. Wiedenheft, Controller and Treasurer | |
(principal financial officer) |
Date | 5/29/12 |
* Print the name and title of each signing officer under his or her signature