Touchstone Mid Cap Value Fund (TCVAX) N-CSRS Certified semi-annual shareholder report (management investment company)

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 811-08104

Touchstone Funds Group Trust 

(Exact name of registrant as specified in charter)

303 Broadway, Suite 1100

Cincinnati, Ohio 45202-4203 

(Address of principal executive offices) (Zip code)

Jill T. McGruder

303 Broadway, Suite 1100

Cincinnati, Ohio 45202-4203 

(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, 2018

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, 450 Fifth Street, NW, Washington, DC 20549-0609. 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, 2018

(Unaudited)

Semi-Annual Report

Touchstone Funds Group Trust

Touchstone Active Bond Fund

Touchstone Arbitrage Fund

Touchstone Emerging Markets Small Cap Fund

Touchstone High Yield 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 Small Cap 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	3 - 7
Portfolio of Investments:
Touchstone Active Bond Fund	8
Touchstone Arbitrage Fund	14
Touchstone Emerging Markets Small Cap Fund	19
Touchstone High Yield Fund	23
Touchstone Merger Arbitrage Fund	30
Touchstone Mid Cap Fund	35
Touchstone Mid Cap Value Fund	36
Touchstone Premium Yield Equity Fund	38
Touchstone Sands Capital Select Growth Fund	40
Touchstone Small Cap Fund	41
Touchstone Small Cap Value Fund	42
Touchstone Total Return Bond Fund	44
Touchstone Ultra Short Duration Fixed Income Fund	50
Statements of Assets and Liabilities	60 - 65
Statements of Operations	66 - 68
Statements of Changes in Net Assets	70 - 75
Statements of Changes in Net Assets - Capital Stock Activity	76 - 82
Financial Highlights	83 - 115
Notes to Financial Statements	116 - 141
Other Items	142 - 154
Privacy Protection Policy	155

This report identifies the Funds' investments on March 31, 2018. These holdings are subject to change. Not all investments in each Fund performed the same, nor is there any guarantee that these investments will perform as well in the future. Market forecasts provided in this report may not occur.

2

Tabular Presentation of Portfolios of Investments (Unaudited)

March 31, 2018

The tables below provide each Fund’s geographic allocation, sector allocation or credit quality. We hope it will be useful to shareholders as it summarizes key information about each Fund’s investments.

Touchstone Active Bond Fund
Credit Quality* (% of Investment Securities)
AAA/Aaa		61.2	%
AA/Aa		4.0
A/A		9.8
BBB/Baa		19.8
BB/Ba		1.3
B/B		0.1
CCC		0.2
Not Rated		3.1
Cash Equivalents		0.5
Total		100.0	%
Touchstone Arbitrage Fund
Sector Allocation**	(% of Net Assets)
Long Positions
Common Stocks
Financials		53.1	%
Information Technology		16.3
Consumer Discretionary		7.2
Industrials		6.1
Materials		5.6
Utilities		5.2
Health Care		3.5
Energy		2.7
Consumer Staples		2.5
Telecommunication Services		1.5
Corporate Bonds		3.1
Warrants		0.8
Exchange-Traded Funds		0.2
Purchased Options		0.1
Rights		0.1
Short-Term Investment Funds		1.0
Cash Collateral for Securities Sold Short and Written Options		2.1
Other Assets/Liabilities (Net)		(1.0	)
		110.1
Short Positions
Common Stocks
Utilities		(3.3	)
Energy		(2.5	)
Consumer Discretionary		(1.8	)
Industrials		(1.0	)
Telecommunication Services		(0.8	)
Information Technology		(0.5	)
Exchange-Traded Funds		(0.1	)
Written Put Options		(0.1	)
Written Call Options		(0.0	)
		(10.1	)
Total		100.0	%

* Credit quality ratings are from Standard & Poor's (“S&P”) and Moody's Investors Service (“Moody's”). If agency ratings differ, the higher rating will be used. Where no rating has been assigned, it may be for reasons unrelated to the creditworthiness of the issuer.

** Sector Classifications are based upon the Global Industry Classification Standard (GICS^®).

3

Tabular Presentation of Portfolios of Investments (Unaudited) (Continued)

Touchstone Emerging Markets Small Cap Fund
Geographic Allocation	(% of Net Assets)
Common Stocks
South Korea		17.9	%
China		16.8
Taiwan		15.8
India		10.3
Brazil		6.5
Thailand		5.3
South Africa		4.2
Hong Kong		3.9
Malaysia		2.8
Indonesia		2.1
Mexico		1.8
Jersey		1.8
Singapore		1.5
Cyprus		1.5
Greece		1.3
Philippines		1.2
Poland		1.0
Trinidad		1.0
Turkey		0.9
United States		0.4
Exchange-Traded Fund		1.0
Short-Term Investment Funds		1.6
Other Assets/Liabilities (Net)		(0.6	)
Total		100.0	%
Touchstone High Yield Fund
Credit Quality* (% of Investment Securities)
BBB/Baa		5.0	%
BB/Ba		55.3
B/B		38.7
CCC		0.3
Not Rated		0.5
Cash equivalents		0.2
Total		100.0	%

* Credit quality ratings are from Standard & Poor's (“S&P”) and Moody's Investors Service (“Moody's”). If agency ratings differ, the higher rating will be used. Where no rating has been assigned, it may be for reasons unrelated to the creditworthiness of the issuer.

4

Tabular Presentation of Portfolios of Investments (Unaudited) (Continued)

Touchstone Merger Arbitrage Fund
Sector Allocation*	(% of Net Assets)
Long Positions
Common Stocks
Financials		58.6	%
Information Technology		10.6
Consumer Discretionary		6.1
Industrials		5.4
Materials		3.8
Utilities		3.5
Health Care		2.4
Consumer Staples		2.3
Energy		2.1
Telecommunication Services		1.0
Corporate Bonds		4.4
Warrants		1.0
Commercial Mortgage-Backed Security		0.7
Exchange-Traded Funds		0.1
Purchased Call Options		0.1
Rights		0.1
Short-Term Investment Fund		11.9
Other Assets/Liabilities (Net)		(6.4	)
		107.7
Short Positions
Common Stocks
Utilities		(2.2	)
Energy		(2.0	)
Consumer Discretionary		(1.6	)
Industrials		(0.7	)
Telecommunication Services		(0.6	)
Information Technology		(0.4	)
Exchange-Traded Funds		(0.1	)
Written Put Options		(0.1	)
Written Call Options		(0.0	)
		(7.7	)
Total		100.0	%
Touchstone Mid Cap Fund
Sector Allocation*	(% of Net Assets)
Industrials		22.5	%
Consumer Discretionary		19.5
Financials		18.6
Information Technology		13.1
Consumer Staples		11.6
Materials		10.4
Real Estate		3.0
Short-Term Investment Fund		0.6
Other Assets/Liabilities (Net)		0.7
Total		100.0	%
Touchstone Mid Cap Value Fund
Sector Allocation*	(% of Net Assets)
Financials		21.2	%
Industrials		13.2
Materials		11.6
Consumer Discretionary		10.7
Information Technology		8.8
Real Estate		7.9
Utilities		7.8
Energy		7.3
Health Care		6.1
Consumer Staples		4.1
Exchange-Traded Fund		0.3
Short-Term Investment Funds		5.6
Other Assets/Liabilities (Net)		(4.6	)
Total		100.0	%

* Sector Classifications are based upon the Global Industry Classification Standard (GICS^®).

5

Tabular Presentation of Portfolios of Investments (Unaudited) (Continued)

Touchstone Premium Yield Equity Fund
Sector Allocation*	(% of Net Assets)
Information Technology		24.2	%
Financials		22.8
Energy		10.2
Telecommunication Services		8.5
Health Care		8.0
Real Estate		5.6
Consumer Discretionary		4.8
Industrials		4.3
Utilities		4.2
Materials		3.1
Consumer Staples		2.0
Short-Term Investment Funds		7.0
Other Assets/Liabilities (Net)		(4.7	)
Total		100.0	%
Touchstone Small Cap Fund
Sector Allocation*	(% of Net Assets)
Industrials		30.4	%
Consumer Discretionary		17.5
Materials		14.3
Real Estate		8.8
Information Technology		7.9
Consumer Staples		7.9
Financials		7.5
Energy		2.0
Health Care		1.6
Short-Term Investment Funds		5.2
Other Assets/Liabilities (Net)		(3.1	)
Total		100.0	%
Touchstone Sands Capital Select Growth Fund
Sector Allocation*	(% of Net Assets)
Information Technology		54.5	%
Consumer Discretionary		21.0
Health Care		16.6
Consumer Staples		3.2
Financials		3.1
Short-Term Investment Fund		1.8
Other Assets/Liabilities (Net)		(0.2	)
Total		100.0	%
Touchstone Small Cap Value Fund
Sector Allocation*	(% of Net Assets)
Financials		26.2	%
Industrials		20.7
Consumer Discretionary		9.6
Materials		8.3
Health Care		7.3
Information Technology		6.4
Consumer Staples		5.8
Utilities		3.8
Real Estate		3.8
Energy		3.5
Telecommunication Services		0.6
Short-Term Investment Funds		10.7
Other Assets/Liabilities (Net)		(6.7	)
Total		100.0	%

* Sector Classifications are based upon the Global Industry Classification Standard (GICS^®).

6

Tabular Presentation of Portfolios of Investments (Unaudited) (Continued)

Touchstone Total Return Bond Fund
Credit Quality*	(% of Investment Securities)
AAA/Aaa	67.6	%
AA/Aa	5.7
A/A	11.0
BBB/Baa	11.4
BB/Ba	1.6
CCC	0.7
Cash Equivalents	2.0
Total	100.0	%
Touchstone Ultra Short Duration Fixed Income Fund
Credit Quality*	(% of Investment Securities)
AAA/Aaa	43.1	%
AA/Aa	10.6
A/A	13.6
BBB/Baa	20.4
CCC	0.2
Not Rated	7.6
Cash Equivalents	4.5
Total	100.0	%

* Credit quality ratings are from Standard & Poor's (“S&P”) and Moody's Investors Service (“Moody's”). If agency ratings differ, the higher rating will be used. Where no rating has been assigned, it may be for reasons unrelated to the creditworthiness of the issuer.

7

Portfolio of Investments

Touchstone Active Bond Fund – March 31, 2018 (Unaudited)

Principal			Market
Amount			Value
		Corporate Bonds — 28.4%
		Financials — 8.9%
$	1,388,000	American Express Co.,
		3.000%, 10/30/24	$	1,332,697
	1,188,000	AvalonBay Communities, Inc. MTN,
		3.200%, 1/15/28		1,124,632
	1,094,000	Bank of America Corp.,
		3.705%, 4/24/28		1,075,741
	1,660,000	Bank of America Corp. MTN,
		4.000%, 1/22/25		1,656,734
	1,470,000	Bank of Montreal (Canada),
		3.803%, 12/15/32		1,392,634
	1,498,000	Bank of New York Mellon Corp. (The)
		MTN, 2.950%, 1/29/23		1,479,178
	535,000	Bank of Nova Scotia (The) (Canada),
		(3M LIBOR +0.620%),
		2.798%, 9/19/22(A)		535,962
	945,000	Barclays PLC (United Kingdom),
		3.250%, 1/12/21		938,198
	370,000	Barclays PLC (United Kingdom),
		3.250%, 1/12/21		367,337
	1,540,000	Boston Properties LP, 3.200%, 1/15/25		1,486,573
	710,000	Chubb INA Holdings, Inc.,
		4.350%, 11/3/45		755,996
	1,015,000	Citigroup, Inc., 3.300%, 4/27/25		985,279
	617,000	Citigroup, Inc., 4.750%, 5/18/46		626,960
	865,000	Credit Suisse AG (Switzerland) MTN,
		3.625%, 9/9/24		862,281
	1,065,000	Fifth Third Bancorp, 2.875%, 7/27/20		1,062,930
	1,547,000	GE Capital International Funding Co.
		Unlimited Co. (Ireland),
		4.418%, 11/15/35		1,512,271
	1,200,000	General Motors Financial Co., Inc.,
		3.200%, 7/13/20		1,196,784
	925,000	General Motors Financial Co., Inc.,
		3.200%, 7/6/21		916,994
	790,000	Goldman Sachs Group, Inc. (The),
		3.691%, 6/5/28		765,884
	1,040,000	Goldman Sachs Group, Inc. (The),
		5.250%, 7/27/21		1,101,499
	1,080,000	HSBC Holdings PLC (United Kingdom),
		3.900%, 5/25/26		1,077,792
	950,000	Huntington National Bank (The),
		2.200%, 11/6/18		947,335
	805,000	JPMorgan Chase & Co.,
		3.250%, 9/23/22		802,617
	1,575,000	JPMorgan Chase & Co.,
		3.509%, 1/23/29		1,528,855
	1,455,000	Morgan Stanley, 3.950%, 4/23/27		1,416,698
	1,800,000	New York Life Global Funding, 144a,
		3.000%, 1/10/28		1,714,590
	1,100,000	Northwestern Mutual Life Insurance
		Co. (The), 144a, 3.850%, 9/30/47		1,036,564
	1,130,000	PNC Bank NA, 2.700%, 11/1/22		1,093,998
	1,380,000	SL Green Operating Partnership LP,
		3.250%, 10/15/22		1,345,875
	1,428,000	VEREIT Operating Partnership LP,
		4.600%, 2/6/24		1,446,436
	800,000	Wells Fargo & Co., 2.100%, 7/26/21		772,572
	785,000	Wells Fargo & Co., 4.125%, 8/15/23		796,140
				35,156,036
		Energy — 2.8%
	882,000	Boardwalk Pipelines LP,
		4.450%, 7/15/27		857,498
	993,000	Cenovus Energy, Inc. (Canada),
		4.250%, 4/15/27		967,921
	836,000	Concho Resources, Inc.,
		3.750%, 10/1/27		817,432
	795,000	EOG Resources, Inc., 3.900%, 4/1/35		780,015
	1,292,000	Midcontinent Express Pipeline LLC,
		144a, 6.700%, 9/15/19		1,311,380
	955,000	Petroleos Mexicanos (Mexico),
		4.500%, 1/23/26		925,872
	1,045,000	Rockies Express Pipeline LLC, 144a,
		6.875%, 4/15/40		1,205,282
	1,082,000	Sabine Pass Liquefaction LLC,
		5.000%, 3/15/27		1,124,101
	1,230,000	Shell International Finance BV
		(Netherlands), 1.875%, 5/10/21		1,189,759
	2,475	Transocean Phoenix 2 Ltd. (Cayman
		Islands), 144a, 7.750%, 10/15/24		2,630
	1,863,000	Williams Cos., Inc. (The),
		3.700%, 1/15/23		1,811,768
				10,993,658
		Information Technology — 2.6%
	1,289,000	Activision Blizzard, Inc., 144a,
		6.125%, 9/15/23		1,348,304
	1,750,000	Apple, Inc., 2.750%, 1/13/25		1,684,291
	1,303,000	Apple, Inc., 4.650%, 2/23/46		1,434,858
	796,000	Dell International LLC / EMC Corp.,
		144a, 6.020%, 6/15/26		857,229
	650,000	Microsoft Corp., 3.500%, 2/12/35		642,008
	1,073,000	Oracle Corp., 2.650%, 7/15/26		1,003,262
	1,185,000	Oracle Corp., 3.250%, 11/15/27		1,155,893
	1,400,000	QUALCOMM, Inc., 3.450%, 5/20/25		1,367,019
	935,000	Visa, Inc., 4.150%, 12/14/35		995,697
				10,488,561
		Telecommunication Services — 2.5%
	691,000	AT&T, Inc., 3.900%, 8/14/27		695,757
	460,000	AT&T, Inc., 3.950%, 1/15/25		459,714
	275,000	AT&T, Inc., 4.350%, 6/15/45		251,303
	865,000	AT&T, Inc., 4.500%, 5/15/35		849,563
	1,159,000	Charter Communications Operating
		LLC / Charter Communications
		Operating Capital,
		6.484%, 10/23/45		1,272,218
	1,137,000	Comcast Corp., 2.850%, 1/15/23		1,112,832
	814,000	Comcast Corp., 4.000%, 3/1/48		770,389

8

Touchstone Active Bond Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Corporate Bonds — 28.4% (Continued)
		Telecommunication Services — (Continued)
$	1,385,000	Qwest Corp., 6.750%, 12/1/21	$	1,484,842
	1,479,000	Telecom Italia SpA/Milano (Italy),
		144a, 5.303%, 5/30/24		1,504,882
	550,000	Verizon Communications, Inc.,
		4.672%, 3/15/55		523,148
	886,000	Verizon Communications, Inc.,
		5.012%, 4/15/49		912,077
				9,836,725
		Consumer Discretionary — 2.3%
	1,030,000	Allergan Sales LLC, 144a,
		5.000%, 12/15/21		1,075,172
	1,114,000	Amazon.com, Inc., 144a,
		2.800%, 8/22/24		1,080,919
	1,391,000	Anheuser-Busch InBev Finance, Inc.,
		4.900%, 2/1/46		1,500,209
	1,286,000	Aptiv PLC (Jersey), 3.150%, 11/19/20		1,283,648
	1,110,000	AutoNation, Inc., 5.500%, 2/1/20		1,155,430
	711,000	Ford Motor Co., 4.750%, 1/15/43		648,376
	960,000	Home Depot, Inc. (The),
		5.950%, 4/1/41		1,228,475
	1,303,000	Time Warner, Inc., 3.800%, 2/15/27		1,259,780
				9,232,009
		Consumer Staples — 2.3%
	1,630,000	CVS Health Corp., 4.300%, 3/25/28		1,636,945
	735,000	CVS Health Corp., 5.125%, 7/20/45		779,595
	1,525,000	Imperial Brands Finance PLC (United
		Kingdom), 144a, 4.250%, 7/21/25		1,548,001
	810,000	Kraft Heinz Foods Co., 6.875%, 1/26/39		999,967
	435,000	Kroger Co. (The), 5.000%, 4/15/42		439,536
	688,000	Mead Johnson Nutrition Co.,
		4.125%, 11/15/25		706,085
	591,000	Moody’s Corp., 2.750%, 12/15/21		580,269
	1,114,000	Reynolds American, Inc.,
		4.450%, 6/12/25		1,145,940
	1,330,000	Walmart, Inc., 2.350%, 12/15/22		1,294,659
				9,130,997
		Health Care — 2.1%
	715,000	Abbott Laboratories,
		3.750%, 11/30/26		711,173
	1,162,000	AbbVie, Inc., 4.450%, 5/14/46		1,155,576
	795,000	Allergan Funding SCS (Luxembourg),
		3.800%, 3/15/25		780,995
	380,000	Catholic Health Initiatives,
		4.200%, 8/1/23		391,351
	952,000	Celgene Corp., 5.000%, 8/15/45		991,803
	1,016,000	Express Scripts Holding Co.,
		3.300%, 2/25/21		1,014,152
	1,600,000	Johnson & Johnson, 2.900%, 1/15/28		1,537,778
	200,000	Medtronic Global Holdings SCA
		(Luxembourg), 3.350%, 4/1/27		197,377
	180,000	Mylan NV (Netherlands),
		3.000%, 12/15/18		179,997
	426,000	Shire Acquisitions Investments Ireland
		DAC (Ireland), 2.400%, 9/23/21		411,312
	860,000	Zimmer Biomet Holdings, Inc.,
		3.150%, 4/1/22		847,675
	320,000	Zimmer Biomet Holdings, Inc.,
		3.375%, 11/30/21		318,310
				8,537,499
		Industrials — 1.4%
	1,290,000	Burlington Northern Santa Fe LLC,
		5.750%, 5/1/40		1,586,355
	1,420,000	Eagle Materials, Inc., 4.500%, 8/1/26		1,435,620
	930,000	FedEx Corp., 5.100%, 1/15/44		1,020,924
	920,000	Roper Technologies, Inc.,
		3.000%, 12/15/20		916,802
	334,000	SBA Tower Trust, 144a,
		2.898%, 10/8/19		332,297
	280,000	Vulcan Materials Co., 4.500%, 4/1/25		290,774
				5,582,772
		Utilities — 1.4%
	1,225,000	Dominion Energy, Inc.,
		2.000%, 8/15/21		1,169,840
	700,000	Duke Energy Progress LLC,
		4.150%, 12/1/44		718,681
	1,004,000	Fortis, Inc., (Canada), 3.055%, 10/4/26		930,456
	945,000	Oncor Electric Delivery Co. LLC, 144a,
		3.800%, 9/30/47		924,540
	1,422,000	PacifiCorp., 5.750%, 4/1/37		1,760,177
				5,503,694
		Real Estate — 1.2%
	1,296,000	Crown Castle International Corp.,
		3.650%, 9/1/27		1,234,866
	832,000	Digital Realty Trust LP, 2.750%, 2/1/23		798,808
	853,000	Mid-America Apartments LP REIT,
		3.750%, 6/15/24		846,741
	803,000	Sabra Health Care LP. REIT,
		5.125%, 8/15/26		774,121
	983,000	Ventas Realty LP, 3.500%, 2/1/25		957,151
				4,611,687
		Materials — 0.9%
	785,000	Braskem America Finance Co., 144a,
		7.125%, 7/22/41		913,779
	225,000	Newcrest Finance Pty Ltd. (Australia),
		144a, 4.200%, 10/1/22		228,117
	416,000	Newcrest Finance Pty Ltd. (Australia),
		144a, 4.450%, 11/15/21		427,308
	535,000	Petroleos Mexicanos (Mexico), 144a,
		5.350%, 2/12/28		527,724
	1,481,000	Suzano Austria GmbH (Austria), 144a,
		5.750%, 7/14/26		1,555,198
				3,652,126
		Total Corporate Bonds	$	112,725,764

9

Touchstone Active Bond Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		U.S. Treasury Obligations — 26.7%
$	2,630,000	U.S. Treasury Bond, 2.750%, 8/15/47	$	2,513,602
	10,745,000	U.S. Treasury Bond, 3.000%, 2/15/48		10,806,280
	1,500,000	U.S. Treasury Note, 1.125%, 7/31/21		1,436,777
	1,500,000	U.S. Treasury Note, 1.375%, 4/30/21		1,454,004
	1,540,000	U.S. Treasury Note, 1.750%, 6/30/22		1,492,537
	3,350,000	U.S. Treasury Note, 1.875%, 4/30/22		3,267,166
	53,995,000	U.S. Treasury Note, 2.000%, 1/31/20		53,737,680
	5,125,000	U.S. Treasury Note, 2.000%, 10/31/22		5,004,883
	26,295,000	U.S. Treasury Note, 2.750%, 2/15/28		26,308,353
		Total U.S. Treasury Obligations	$	106,021,282
		U.S. Government Mortgage-Backed
		Obligations — 23.3%
	19,992	FHLMC, Pool #1B3366, (12M LIBOR
		+1.783%), 3.783%, 3/1/37(A)		20,794
	125,868	FHLMC, Pool #1H1348, (1 Year CMT
		Rate +2.140%), 3.283%, 10/1/36(A)		131,719
	318,194	FHLMC, Pool #1Q0339, (12M LIBOR
		+1.916%), 3.769%, 4/1/37(A)		334,722
	20,192	FHLMC, Pool #A12886, 5.000%, 8/1/33		21,834
	59,407	FHLMC, Pool #A13842, 6.000%, 9/1/33		65,983
	12,646	FHLMC, Pool #A21415, 5.000%, 5/1/34		13,592
	28,352	FHLMC, Pool #A35682, 5.000%, 7/1/35		30,500
	14,601	FHLMC, Pool #A36523, 5.000%, 8/1/35		15,705
	82,673	FHLMC, Pool #A46590, 5.000%, 8/1/35		88,320
	22,573	FHLMC, Pool #A56988, 5.500%, 2/1/37		24,759
	6,795	FHLMC, Pool #A64971, 5.500%, 8/1/37		7,499
	3,961,550	FHLMC, Pool #A89148,
		4.000%, 10/1/39		4,098,751
	139,134	FHLMC, Pool #A96485, 4.500%, 1/1/41		147,191
	711,750	FHLMC, Pool #A97897, 4.500%, 4/1/41		755,976
	19,634	FHLMC, Pool #C62740, 7.000%, 1/1/32		21,479
	25,271	FHLMC, Pool #C72254, 6.500%, 7/1/32		28,503
	80,755	FHLMC, Pool #C90986, 7.000%, 6/1/26		85,931
	23,657	FHLMC, Pool #G02184, 5.000%, 4/1/36		25,518
	3,366,446	FHLMC, Pool #G05483, 4.500%, 6/1/39		3,550,609
	3,899,574	FHLMC, Pool #G05624, 4.500%, 9/1/39		4,115,612
	379,102	FHLMC, Pool #G05733,
		5.000%, 11/1/39		410,287
	215,636	FHLMC, Pool #J13584,
		3.500%, 11/1/25		220,232
	2,830,395	FHLMC, Pool #Q29056,
		4.000%, 10/1/44		2,912,284
	6,328,072	FHLMC, Pool #Q32917, 3.000%, 4/1/45		6,200,740
	6,836,818	FHLMC, Pool #Q33006, 3.500%, 4/1/45		6,864,861
	80,563	FNMA, Pool #255628, 5.500%, 2/1/25		87,457
	15,182	FNMA, Pool #426830, 8.000%, 11/1/24		15,626
	2,492	FNMA, Pool #432269, 6.500%, 8/1/28		2,781
	1	FNMA, Pool #535290, 8.000%, 5/1/30		1
	9,613	FNMA, Pool #540040, 7.500%, 6/1/28		9,627
	20,119	FNMA, Pool #561741, 7.500%, 1/1/31		22,703
	36,317	FNMA, Pool #640291, 7.000%, 8/1/32		37,048
	31,756	FNMA, Pool #653301, 6.500%, 7/1/32		35,439
	67,386	FNMA, Pool #653502, 6.500%, 7/1/32		75,202
	37,290	FNMA, Pool #670402, 6.500%, 6/1/32		41,615
	5,224	FNMA, Pool #725906, (12M LIBOR
		+1.617%), 3.367%, 8/1/34(A)		5,478
	111,432	FNMA, Pool #738887, 5.500%, 10/1/33		121,019
	200,646	FNMA, Pool #745257, 6.000%, 1/1/36		223,949
	1,838	FNMA, Pool #745974, (12M LIBOR
		+1.853%), 3.607%, 10/1/36(A)		1,934
	92,386	FNMA, Pool #748895, 6.000%, 12/1/33		98,111
	157,990	FNMA, Pool #758564, 6.000%, 9/1/24		175,559
	104,352	FNMA, Pool #810049, 5.500%, 3/1/35		113,780
	143,908	FNMA, Pool #819297, 6.000%, 9/1/35		161,672
	829,552	FNMA, Pool #881279, 5.000%, 11/1/36		897,422
	45,228	FNMA, Pool #889060, 6.000%, 1/1/38		50,501
	98,320	FNMA, Pool #889061, 6.000%, 1/1/38		111,378
	3,071,440	FNMA, Pool #890310, 4.500%, 12/1/40		3,248,694
	36,946	FNMA, Pool #893003, 7.000%, 9/1/36		38,416
	12,162	FNMA, Pool #895657, 6.500%, 8/1/36		13,251
	181,563	FNMA, Pool #905049, 5.500%, 11/1/36		197,101
	88,549	FNMA, Pool #908944, 5.500%, 1/1/37		96,127
	535,825	FNMA, Pool #928553, 5.500%, 8/1/37		599,645
	1,338,206	FNMA, Pool #931535, 5.500%, 7/1/39		1,446,435
	275,457	FNMA, Pool #AA3467, 4.500%, 4/1/39		291,598
	434,095	FNMA, Pool #AA4584, 4.500%, 4/1/39		459,424
	101,171	FNMA, Pool #AB1800, 4.000%, 11/1/40		104,687
	344,052	FNMA, Pool #AB2452, 4.000%, 3/1/26		358,368
	3,724,794	FNMA, Pool #AB7845, 3.000%, 2/1/43		3,667,398
	106,610	FNMA, Pool #AD3775, 4.500%, 3/1/25		111,162
	134,576	FNMA, Pool #AD6193, 5.000%, 6/1/40		144,974
	5,236,882	FNMA, Pool #AD9193, 5.000%, 9/1/40		5,661,244
	3,845,670	FNMA, Pool #AE0215, 4.000%, 12/1/39		3,974,438
	357,442	FNMA, Pool #AE0996, 4.000%, 2/1/41		369,878
	203,139	FNMA, Pool #AE1568, 4.000%, 9/1/40		209,994
	630,251	FNMA, Pool #AE2497, 4.500%, 9/1/40		669,263
	88,725	FNMA, Pool #AE5441, 5.000%, 10/1/40		95,349
	333,162	FNMA, Pool #AH1135, 5.000%, 1/1/41		360,184
	484,701	FNMA, Pool #AH3483, 3.500%, 2/1/26		494,917
	186,541	FNMA, Pool #AH3671, 4.000%, 2/1/26		194,455
	552,478	FNMA, Pool #AH6622, 4.000%, 3/1/41		573,475
	713,818	FNMA, Pool #AL0150, 4.000%, 2/1/41		738,596
	155,351	FNMA, Pool #AL0211, 5.000%, 4/1/41		167,799
	4,142,375	FNMA, Pool #AL2860, 3.000%, 12/1/42		4,078,458
	5,765,494	FNMA, Pool #AL5718, 3.500%, 9/1/44		5,808,229
	2,873,665	FNMA, Pool #AS0779, 4.000%, 10/1/43		2,974,674
	73,637	FNMA, Pool #AS7813, 4.000%, 8/1/46		75,620
	4,467,628	FNMA, Pool #AS8703, 2.500%, 2/1/32		4,379,909
	1,076,212	FNMA, Pool #AS8855, 3.500%, 2/1/37		1,094,230
	9,316,255	FNMA, Pool #BC1809, 3.500%, 5/1/46		9,346,348
	1,091,398	FNMA, Pool #BH6180, 4.000%, 7/1/47		1,121,395
	1,890,670	GNMA, Pool #4424, 5.000%, 4/20/39		2,028,946
	32,471	GNMA, Pool #5305, 4.000%, 2/20/42		33,944
	2,750,000	GNMA, Ser 2010-169, Class AW,
		4.500%, 12/20/40		2,873,168
	8,149,822	GNMA, Ser 2012-147, Class IO,
		0.567%, 4/16/54(A)(B)(C)		277,682
	4,425,381	GNMA, Ser 2016-113, Class IO,
		1.193%, 2/16/58(A)(B)(C)		387,077

10

Touchstone Active Bond Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		U.S. Government Mortgage-Backed
		Obligations — 23.3% (Continued)
$	17,437,373	GNMA, Ser 2016-140, Class IO,
		0.936%, 5/16/58(A)(B)(C)	$	1,333,241
	139,561	GNMA, Ser 2017-120, Class UZ,
		4.000%, 8/20/47		135,227
		Total U.S. Government
		Mortgage-Backed Obligations	$	92,716,723

Shares
		Exchange-Traded Fund — 8.7%
	295,918	iShares iBoxx $ Investment Grade
		Corporate Bond ETF	$	34,737,814

Principal
Amount
		Non-Agency Collateralized Mortgage
		Obligations — 3.1%
$	3,649	Adjustable Rate Mortgage Trust, Ser
		2004-4, Class 3A1,
		3.527%, 3/25/35(A)(C)		3,585
	2,181,504	Agate Bay Mortgage Trust, Ser 2015-7,
		Class B1, 144a,
		3.763%, 10/25/45(A)(C)		2,191,890
	179,666	Alternative Loan Trust, Ser 2004-30CB,
		Class 3A1, 5.000%, 2/25/20		176,080
	7,391	Alternative Loan Trust, Ser 2005-J3,
		Class 3A1, 6.500%, 9/25/34		7,467
	37,350	CSFB Mortgage-Backed Trust, Ser
		2004-7, Class 6A1, 5.250%, 10/25/19		37,641
	2,180,427	CSMC Trust, Ser 2015-1, Class B3, 144a,
		3.944%, 1/25/45(A)(C)		2,118,886
	2,220,529	CSMC Trust, Ser 2015-WIN1, Class B3,
		144a, 3.865%, 12/25/44(A)(C)		2,201,653
	88,281	JP Morgan Mortgage Trust, Ser
		2005-A1, Class 2A1,
		3.494%, 2/25/35(A)(C)		89,794
	219,022	JP Morgan Mortgage Trust, Ser
		2005-A2, Class 7CB1,
		3.681%, 4/25/35(A)(C)		221,578
	50,908	JP Morgan Mortgage Trust, Ser
		2006-A4, Class 2A2,
		3.430%, 6/25/36(A)(C)		48,263
	33,850	MASTR Alternative Loans Trust, Ser
		2004-7, Class 10A1, 6.000%, 6/25/34		34,034
	2,225,307	PMT Loan Trust, Ser 2013-J1, Class A11,
		144a, 3.500%, 9/25/43(A)(C)		2,212,528
	190,166	Residential Asset Securitization Trust,
		Ser 2006-A1, Class 1A3,
		6.000%, 4/25/36		148,968
	329,075	Sequoia Mortgage Trust, Ser 2013-1,
		Class B1, 3.637%, 2/25/43(A)(C)		329,144
	385,841	Sequoia Mortgage Trust, Ser 2013-1,
		Class B2, 3.638%, 2/25/43(A)(C)		384,960
	578,371	Sequoia Mortgage Trust, Ser 2013-10,
		Class B2, 144a, 3.561%, 8/25/43(A)(C)		574,124
	572,101	Sequoia Mortgage Trust, Ser 2013-5,
		Class B1, 144a, 3.515%, 5/25/43(A)(C)		572,628
	723	Structured Asset Securities Corp.
		Mortgage Pass-Through
		Certificates, Ser 2004-21XS, Class
		2A6B, 5.650%, 12/25/34(D)		719
	116,526	Structured Asset Securities Corp. Trust,
		Ser 2005-17, Class 5A1,
		5.500%, 10/25/35		94,366
	700,000	Towd Point Mortgage Trust, Ser
		2015-3, Class A2, 144a,
		4.000%, 3/25/54(A)(C)		715,739
	102,407	Washington Mutual Alternative
		Mortgage Pass-Through
		Certificates, Ser 2005-9, Class 2A4,
		5.500%, 11/25/35		94,865
	99,258	Wells Fargo Mortgage Backed
		Securities Trust, Ser 2003-G, Class
		A1, 3.365%, 6/25/33(A)(C)		100,328
		Total Non-Agency Collateralized
		Mortgage Obligations	$	12,359,240
		Asset-Backed Securities — 2.8%
	475,000	Ascentium Equipment Receivables
		Trust, Ser 2016-1A, Class B, 144a,
		2.850%, 7/10/20		475,348
	3,191	CIT Home Equity Loan Trust, Ser
		2002-1, Class AF5,
		7.210%, 2/25/33(D)		3,289
	363,711	CWHEQ Home Equity Loan Trust, Ser
		2007-S1, Class A5,
		6.018%, 11/25/36(A)(C)		362,958
	499,976	Elara HGV Timeshare Issuer LLC, Ser
		2017-A, Class A, 144a,
		2.690%, 3/25/30		491,580
	300,011	FFMLT Trust, Ser 2005-FFA, Class M3,
		6.017%, 3/25/25(D)		317,536
	3,350,000	Hertz Vehicle Financing II LP, Ser
		2016-4A, Class A, 144a,
		2.650%, 7/25/22		3,272,290
	1,376,556	Mid-State Capital Corp. Trust, Ser
		2005-1, Class M2, 7.079%, 1/15/40		1,500,591
	330,594	Orange Lake Timeshare Trust, Ser
		2016-A, Class A, 144a,
		2.610%, 3/8/29		324,034
	1,440	RASC Trust, Ser 2001-KS3, Class AI6,
		5.960%, 9/25/31(A)(C)		1,502
	297,979	Sonic Capital LLC, Ser 2016-1A, Class
		A2, 144a, 4.472%, 5/20/46		303,695
	310,128	SpringCastle America Funding LLC,
		Ser 2016-AA, Class A, 144a,
		3.050%, 4/25/29		309,686

11

Touchstone Active Bond Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Asset-Backed Securities — 2.8% (Continued)
$	600,000	Voya Clo Ltd. (Cayman Islands), Ser
		2017-4A, Class A1, 144a, (3M LIBOR
		+1.130%), 2.514%, 10/15/30(A)	$	603,473
	3,316,688	Wendys Funding LLC, Ser 2018-1A,
		Class A2I, 144a, 3.573%, 3/15/48		3,276,357
		Total Asset-Backed Securities	$	11,242,339
		Agency Collateralized Mortgage
		Obligations — 2.5%
	5,748,858	FHLMC REMIC, Ser 3331 Class PE,
		6.000%, 6/15/37		6,244,626
	1,645,721	FHLMC REMIC, Ser 3859 Class JB,
		5.000%, 5/15/41		1,757,577
	190,490	FHLMC Structured Pass Through
		Securities, Ser T-20, Class A5,
		6.634%, 12/25/29(D)		218,655
	303,031	FNMA REMIC, Ser 2003-32, Class BZ,
		6.000%, 11/25/32		332,884
	2,723,598	FNMA REMIC, Ser 2012-47, Class AI,
		3.000%, 5/25/22		123,802
	109,863	FNMA REMIC, Ser 2015-51, Class KC,
		3.000%, 6/25/45		108,571
	1,055,614	FNMA REMIC, Ser 2017-90, Class KA,
		3.000%, 11/25/47		1,048,145
	37,260	FNMA REMIC Trust, Ser 2001-W2, Class
		AF6, 6.589%, 10/25/31(D)		39,438
	115,245	FNMA Trust, Ser 2004-W15, Class 2AF,
		(1M LIBOR +0.250%),
		2.122%, 8/25/44(A)		114,474
		Total Agency Collateralized
		Mortgage Obligations	$	9,988,172
		Commercial Mortgage-Backed Securities — 1.5%
	472,000	280 Park Avenue 2017-280P Mortgage
		Trust, Ser 2017-280P, Class A, 144a,
		(1M LIBOR +0.880%),
		2.657%, 9/15/34(A)		473,850
	580,000	DBUBS Mortgage Trust, Ser
		2017-BRBK, Class B, 144a,
		3.530%, 10/10/34(A)(C)		573,951
	550,000	Eleven Madison Trust Mortgage Trust,
		Ser 2015-11MD, Class C, 144a,
		3.555%, 9/10/35(A)(C)		537,852
	595,000	GS Mortgage Securities Corp. II, Ser
		2017-SLP, Class B, 144a,
		3.772%, 10/10/32		598,218
	3,400,000	GS Mortgage Securities Trust, Ser
		2017-FARM, Class B, 144a,
		3.541%, 1/10/43(A)(C)		3,300,461
	528,000	J.P. Morgan Chase Commercial
		Mortgage Securities Trust, Ser
		2016-NINE, Class B, 144a,
		2.854%, 10/6/38(A)(C)		492,532
		Total Commercial
		Mortgage-Backed Securities	$	5,976,864
		Sovereign Government Obligations — 1.3%
	253,000	Bermuda Government International
		Bond, 144a, 3.717%, 1/25/27		246,675
	844,000	Colombia Government International
		Bond, 5.000%, 6/15/45		855,605
	1,110,000	Mexico Government International
		Bond, 4.350%, 1/15/47		1,014,407
	432,000	Portugal Government International
		Bond, 144a, 5.125%, 10/15/24		459,467
	1,135,000	Province of Alberta Canada, 2.200%,
		7/26/22		1,101,378
	1,333,000	Province of Ontario Canada, 1.875%,
		5/21/20		1,311,773
		Total Sovereign Government
		Obligations	$	4,989,305

Shares
		Preferred Stocks — 0.4%
		Utilities — 0.4%
	6,871	Entergy Louisiana LLC, 4.875%		165,591
	55,359	Integrys Holding, Inc, 6.000%		1,453,174
		Total Preferred Stocks	$	1,618,765

Principal
Amount
		Bank Loan — 0.4%
		Information Technology — 0.4%
$	1,404,975	Micron Technology Inc., Term Loan,
		(LIBOR +2.000%),
		3.880%, 4/26/22(A)(E)	$	1,413,321

Shares
		Short-Term Investment Fund — 0.3%
	1,117,479	Dreyfus Government Cash
		Management, Institutional Shares,
		1.54%∞Ω	$	1,117,479
		Total Investment Securities —99.4%
		(Cost $397,778,911)	$	394,907,068
		Other Assets in
		Excess of Liabilities — 0.6%		2,235,078
		Net Assets — 100.0%	$	397,142,146

12

Touchstone Active Bond Fund (Unaudited) (Continued)

^(A) Variable rate security - Rate reflected is the rate in effect as of March 31, 2018.

^(B) Interest only security - This type of security represents the right to receive the monthly interest payments on an underlying pool of mortgages. Payments of principal on the pool reduce the value of the “interest only” holding.

^(C) Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions. These securities do not indicate a reference rate and spread in their description.

^(D) Step Bond - A bond that pays an initial interest rate for the first period and then a higher interest rate for the following periods until maturity. The interest rate shown reflects the rate in effect as of March 31, 2018.

^(E) Bank loans pay interest at rates which adjust periodically unless otherwise indicated. The interest rates shown are the current interest rates as of March 31, 2018.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviations:

CMT - Constant Maturity Treasury

DAC - Designated Activity Company

ETF - Exchange-Traded Fund

FHLMC - Federal Home Loan Mortgage Corporation

FNMA - Federal National Mortgage Association

GNMA - Government National Mortgage Association

LIBOR - London Inter Bank Offered Rate

LLC - Limited Liability Company

LP - Limited Partnership

MTN - Medium Term Note

PLC - Public Limited Company

REIT - Real Estate Investment Trust

REMIC - Real Estate Mortgage Investment Conduit

144a - This is a restricted security that was sold in a transaction qualifying for the exemption under 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, 2018, these securities were valued at $43,920,833 or 11.1% 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:
Description	Level 1		Level 2		Level 3		Total
Assets:
Corporate Bonds	$	—	$	112,725,764	$	—	$	112,725,764
U.S. Treasury Obligations		—		106,021,282		—		106,021,282
U.S. Government Mortgage-Backed Obligations		—		92,716,723		—		92,716,723
Exchanged-Traded Fund		34,737,814		—		—		34,737,814
Non-Agency Collateralized Mortgage Obligations		—		12,359,240		—		12,359,240
Asset-Backed Securities		—		11,242,339		—		11,242,339
Agency Collateralized Mortgage Obligations		—		9,988,172		—		9,988,172
Commercial Mortgage-Backed Securities		—		5,976,864		—		5,976,864
Sovereign Government Obligations		—		4,989,305		—		4,989,305
Preferred Stocks		1,618,765		—		—		1,618,765
Bank Loan		—		1,413,321		—		1,413,321
Short-Term Investment Fund		1,117,479		—		—		1,117,479
Total Assets	$	37,474,058	$	357,433,010	$	—	$	394,907,068

See accompanying Notes to Financial Statements.

13

Portfolio of Investments

Touchstone Arbitrage Fund – March 31, 2018 (Unaudited)

			Market
	Shares		Value
Common Stocks — 103.7%
Financials — 53.1%
Avista Healthcare Public Acquisition Corp. - Class A (Cayman Islands)*		157,745	$	1,575,873
Black Ridge Acquisition Corp.*		209,176		2,026,915
Blackhawk Network Holdings, Inc.*		85,830		3,836,601
Capitol Investment Corp. IV - Class A (Cayman Islands)*		276,708		2,678,533
Capitol Investment Corp. IV (Cayman Islands)*		265,056		2,677,066
DFB Healthcare Acquisitions Corp.*		117,500		1,180,875
Federal Street Acquisition Corp. - Class A*		616,904		5,965,462
GigCapital, Inc.*		214,153		2,222,908
Gores Holdings II, Inc., Class A*		436,451		4,364,510
GTY Technology Holdings, Inc., Class A (Cayman Islands)*		394,646		3,910,942
Haymaker Acquisition Corp.*		650,000		6,467,500
Hennessy Capital Acquisition Corp. III*		129,032		1,277,417
Industrea Acquisition Corp.*		16,602		169,174
Industrea Acquisition Corp., Class A*		124,630		1,222,620
Kayne Anderson Acquisition Corp., Class A*†		684,928		6,705,445
Landcadia Holdings, Inc.*†		439,709		4,414,678
Legacy Acquisition Corp.*		510,000		5,074,500
Leisure Acquisition Corp.*		303,000		2,990,610
Leo Holdings Corp. (Cayman Islands)*		230,000		2,300,000
Matlin and Partners Acquisition Corp. - Class A*†		497,003		4,870,629
Mosaic Acquisition Corp. (Cayman Islands)*		617,263		6,209,666
Mudrick Capital Acquisition Corp.*		203,704		2,067,596
Nebula Acquisition Corp.*		190,000		1,922,800
One Madison Corp. (Cayman Islands)*		330,000		3,300,000
Pensare Acquisition Corp.*		423,360		4,115,059
Platinum Eagle Acquisition Corp. (Cayman Islands)*		180,747		1,834,582
Regalwood Global Energy Ltd. (Cayman Islands)*		299,930		3,023,294
Saban Capital Acquisition Corp. - Class A (Cayman Islands)*†		403,731		4,013,086
Saban Capital Acquisition Corp. (Cayman Islands)*		102,452		1,073,697
Sentinel Energy Services, Inc. (Cayman Islands)*		253,500		2,514,720
Social Capital Hedosophia Holdings Corp. (Cayman Islands)*		23,600		249,452
Tiberius Acquisition Corp.*		167,680		1,678,477
TPG Pace Energy Holdings Corp., Class A*		493,171		4,985,959
TPG Pace Energy Holdings Corp., Class A*		208,937		386,533
TPG Pace Holdings Corp., Class A (Cayman Islands)*		618,648		6,038,004
Validus Holdings Ltd. (Bermuda)		110,365		7,444,119
Vantage Energy Acquisition Corp., Class A†		573,351		5,613,106
XL Group Ltd. (Bermuda)		134,650		7,440,759
				129,843,167
Information Technology — 16.3%
Callidus Software, Inc.*		27,997		1,006,492
CSRA, Inc.		183,650		7,571,890
DST Systems, Inc.		99,110		8,290,552
Microsemi Corp.*		105,500		6,827,960
MuleSoft, Inc., Class A*		153,300		6,742,134
NXP Semiconductors NV (Netherlands)*		79,700		9,324,900
				39,763,928
Consumer Discretionary — 7.2%
Lennar Corp. - Class A		32,500		1,915,550
Lennar Corp. - Class B††		33,157		1,581,257
Time Warner, Inc.††		70,000		6,620,600
Tribune Media Co., Class A††		183,460		7,431,965
				17,549,372
Industrials — 6.1%
Orbital ATK, Inc.††		40,510		5,372,031
Rockwell Collins, Inc.		51,470		6,940,730
Student Transportation, Inc. (Canada)†		353,943		2,651,033
				14,963,794
Materials — 5.6%
KapStone Paper and Packaging Corp.		178,450		6,122,620
Monsanto Co.††		65,430		7,635,027
				13,757,647
Utilities — 5.2%
Avista Corp.		91,699		4,699,574
Dynegy, Inc.*		586,028		7,923,099
				12,622,673
Health Care — 3.5%
Ablynx NV. ADR*		77,300		4,217,488
Akorn, Inc.*††		230,295		4,308,819
				8,526,307
Energy — 2.7%
Alta Mesa Resources, Inc.*†		289,159		2,313,272
RSP Permian, Inc.*		91,800		4,303,584
				6,616,856
Consumer Staples — 2.5%
Blue Buffalo Pet Products, Inc.*††		126,158		5,022,350
Rite Aid Corp.*†		697,942		1,172,543
				6,194,893
Telecommunication Services — 1.5%
TDC A/S (Denmark)*		432,700		3,579,527
Total Common Stocks			$	253,418,164

14

Touchstone Arbitrage Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Corporate Bonds — 3.1%
		Financials — 1.7%
$	1,000,000	Allstate Corp. (The), (3M LIBOR
		+1.935%), 3.774%, 5/15/37(A)	$	985,000
	800,000	Banco Bilbao Vizcaya Argentaria SA
		(Spain), 9.000%(B)		804,304
	1,000,000	Cooperatieve Rabobank UA
		(Netherlands), 144a, 11.000%(B)		1,093,510
	500,000	Corestates Capital III, 144a, (3M LIBOR
		+0.570%), 2.409%, 2/15/27(A)		468,750
	500,000	JPMorgan Chase & Co., (3M LIBOR
		+0.950%), 2.643%, 9/30/34 (A)		457,500
	375,000	NB Capital Trust III, (3M LIBOR
		+0.550%), 2.270%, 1/15/27(A)		352,030
				4,161,094
		Consumer Discretionary — 0.5%
	1,100,000	Williams Scotsman International, Inc.,
		144a, 7.875%, 12/15/22		1,137,813
		Energy — 0.4%
	1,050,000	Alta Mesa Holdings LP / Alta Mesa
		Finance Services Corp.,
		7.875%, 12/15/24		1,093,312
		Materials — 0.4%
	1,000,000	Silgan Holdings, Inc., 5.500%, 2/1/22		1,017,500
		Telecommunication Services — 0.1%
	250,000	Nexstar Broadcasting, Inc., 144a,
		6.125%, 2/15/22		256,800
		Total Corporate Bonds	$	7,666,519

	Shares
Warrants — 0.8%
Financials — 0.7%
Avista Healthcare Public, Class A (Cayman Islands), Exp 12/2/21, Price $5.75*		344,500		113,685
Black Ridge Acquisition Corp., Exp 10/25/22 Price $11.50*		209,176		73,212
Constellation Alpha Capital Corp., Class R (Cayman Islands), Exp 3/23/24, Price $11.50*		473,050		113,532
Federal Street Acquisition Corp., Class A, Exp 7/24/22 Price $11.50*		260,779		299,896
Gores Holdings II, Inc., Class A, Exp 3/6/22, Price $11.50*		48,125		81,812
GTY Technology Holdings, Inc., Class A (Cayman Islands), Exp 11/14/21, Price $11.50*		55,788		68,619
Kayne Anderson Acquisition Corp., Class A, Exp 6/30/22 Price $11.50*		188,433		175,243
Landcadia Holdings, Inc., Exp 6/1/23 Price $11.50*		67,205		49,396
Matlin and Partners Acquisition Corp., Class A, Exp 5/28/21 Price $11.50*		352,355		186,748
Pensare Acquisition Corp., Exp 8/8/22, Price $11.50*		149,180		74,590
TPG Pace Holdings Corp. - Class A, Exp 8/18/22 Price $11.50*		178,957		277,383
Vantage Energy Acquisition Corp., Class A, Exp 4/12/24, Price $11.50*		117,058		152,175
Williams Scotsman Corp., Exp 11/29/22, Price $11.50		57,839		96,591
Energy — 0.1%
Alta Mesa Resources, Inc., Exp 02/09/23, Price $7.34		182,131		282,303
Total Warrants			$	2,045,185
Exchange-Traded Funds — 0.2%
Consumer Discretionary Select Sector SPDR Fund		857		86,806
Consumer Staples Select Sector SPDR Fund		496		26,104
Financial Select Sector SPDR Fund		3,210		88,500
Health Care Select Sector SPDR Fund		262		21,327
Industrial Select Sector SPDR Fund		957		71,096
Materials Select Sector SPDR Fund		88		5,011
Technology Select Sector SPDR Fund		783		51,224
Total Exchange-Traded Funds			$	350,068

	Number
	of	Notional
	Contracts	Amount
Purchased Options — 0.1%
Purchased Call Options — 0.1%
SPDR S&P 500 ETF Trust.,
Strike @260.00,
Exp 05/18	50	$	1,315,750		21,800
SPDR S&P 500 ETF Trust.,
Strike @264.00,
Exp 04/18	80		2,105,200		34,000
SPDR S&P 500 ETF Trust.,
Strike @267.00,
Exp 04/18	74		1,947,310		47,656
SPDR S&P 500 ETF Trust.,
Strike @270.00,
Exp 04/18	146		3,841,990		123,662
Total Purchased Options				$	227,118

	Number
	of
	Rights
Rights — 0.1%
Black Ridge Acquisition Corp. Exp
7/1/19, Strike Price $11.50*		209,176		62,753
Pensare Acquisition Corp. Exp 2/1/19,
Strike Price $11.50*		298,360		134,262
Media General, Inc. Exp 12/31/23, Strike
Price $10.00(C)		180,000		18,000
Total Rights			$	215,015

15

Touchstone Arbitrage Fund (Unaudited) (Continued)

				Market
	Shares			Value
Short-Term Investment Funds — 1.0%
Dreyfus Government Cash
Management, Institutional Shares,
1.54%∞Ω		15,062		$	15,062
Invesco Government & Agency
Portfolio, Institutional Class,
1.48%**∞Ω		2,409,030			2,409,030
Total Short-Term Investment Funds				$	2,424,092
Total Long Positions
(Cost $273,416,138)				$	266,346,161
Securities Sold Short — (10.0%)
Common Stocks — (9.9%)
Utilities — (3.3%)
Vistra Energy Corp.*		(382,090	)		(7,958,935	)
Energy — (2.5%)
Concho Resources, Inc.*		(29,376	)		(4,416,094	)
SPDR S&P Oil & Gas Exploration &
Production ETF		(50,000	)		(1,761,000	)
					(6,177,094	)
Consumer Discretionary — (1.8%)
Lennar Corp. - Class A		(49,586	)		(2,922,599	)
Lennar Corp. - Class B		(771	)		(36,769	)
Sinclair Broadcast Group, Inc., Class A		(42,195	)		(1,320,704	)
					(4,280,072	)
Industrials — (1.0%)
United Technologies Corp.		(19,314	)		(2,430,087	)
Telecommunication Services — (0.8%)
AT&T, Inc.		(56,000	)		(1,996,400	)
Information Technology — (0.5%)
salesforce.com, Inc.*		(10,899	)		(1,267,554	)
Total Common Stocks				$	(24,110,142	)
	Shares
Exchange-Traded Funds — (0.1%)
Energy Select Sector SPDR Fund		(312	)		(21,032	)
iShares US Telecommunications ETF		(321	)		(8,673	)
Real Estate Select Sector SPDR Fund		(5,678	)		(176,472	)
Utilities Select Sector SPDR Fund		(3,111	)		(157,199	)
Total Exchange-Traded Funds				$	(363,376	)
Total Securities Sold Short
(Proceeds $23,990,866)				$	(24,473,518	)

	Number
	of	Notional			Market
	Contracts	Amount			Value
Written Options — (0.1%)
Written Put Options — (0.1%)
SPDR S&P 500 ETF Trust.,
Strike @250.00,
Exp 05/18	(50)	$	(1,315,750	)	$	(9,000	)
SPDR S&P 500 ETF Trust.,
Strike @260.00,
Exp 04/18	(74)		(1,947,310	)		(25,160	)
SPDR S&P 500 ETF Trust.,
Strike @260.00,
Exp 04/18	(80)		(2,105,200	)		(21,600	)
SPDR S&P 500 ETF Trust.,
Strike @262.00,
Exp 04/18	(146)		(3,841,990	)		(58,692	)
SPDR S&P 500 ETF Trust.,
Strike @34.00, Exp 04/18	(250)		(4,000	)		(4,000	)
SPDR S&P 500 ETF Trust.,
Strike @34.50, Exp 04/18	(250)		(6,578,750	)		(6,750	)
					$	(125,202	)
Written Call Options — (0.0%)
SPDR S&P 500 ETF Trust.,
Strike @268.00,
Exp 04/18	(80)		(2,105,200	)		(14,400	)
SPDR S&P 500 ETF Trust.,
Strike @270.00,
Exp 04/18	(74)		(1,947,310	)		(12,358	)
SPDR S&P 500 ETF Trust.,
Strike @270.00,
Exp 05/18	(50)		(1,315,750	)		(12,150	)
SPDR S&P 500 ETF Trust.,
Strike @272.00,
Exp 04/18	(146)		(3,841,990	)		(25,112	)
					$	(64,020	)
Total Written Options
(Premiums received $218,581)					$	(189,222	)
Total — 98.9%					$	241,683,421
Cash Collateral for Securities
Sold Short and Written Options — 2.1%						5,166,076
Liabilities in Excess of
Other Assets — (1.0%)						(2,416,263	)
Net Assets — 100.0%					$	244,433,234

^(A) Variable rate security - Rate reflected is the rate in effect as of March 31, 2018.

^(B) Perpetual Bond - A bond with no definite maturity date.

^(C) Level 3-For more information on valuation inputs, and their aggregation into the levels used in the table below, please

16

Touchstone Arbitrage Fund (Unaudited) (Continued)

refer to the security valuation section in the accompanying Notes to Financial Statements.

* Non-income producing security.

** Represents collateral for securities loaned.

† All or a portion of the security is on loan. The total market value of the securities on loan as of March 31, 2018 was $2,297,842.

^†† All or a portion of these securities are pledged as collateral for securities sold short and written options. The total value of the securities pledged as collateral as of March 31, 2018 was $36,352,073.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviations:

ADR - American Depositary Receipt

DKK - Denmark Krone

ETF - Exchange-Traded Fund

EUR - Euro

LIBOR - London Inter Bank Offered Rate

LP - Limited Partnership

SPDR - Standard & Poor's Depositary Receipt

USD - United States Dollar

144a - This is a restricted security that was sold in a transaction qualifying for the exemption under 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, 2018, these securities were valued at $2,956,872 or 1.2% 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
Assets:
Common Stocks	$	253,418,164		$	—	$	—	$	253,418,164
Corporate Bonds		—			7,666,519		—		7,666,519
Warrants		2,045,185			—		—		2,045,185
Exchange-Traded Funds		350,068			—		—		350,068
Purchased Options Equity Contracts		227,118			—		—		227,118
Rights		197,015			—		18,000		215,015
Short-Term Investment Funds		2,424,092			—		—		2,424,092
Other Financial Instruments***
Forward Foreign Currency Contracts		—			49,954		—		49,954
Total Assets	$	258,661,642		$	7,716,473	$	18,000	$	266,396,115
Liabilities:
Securities Sold Short
Common Stocks	$	(24,110,142	)	$	—	$	—	$	(24,110,142	)
Exchange-Traded Funds		(363,376	)		—		—		(363,376	)
Other Financial Instruments***
Written Options Equity Contracts		(189,222	)		—		—		(189,222	)
Total Liabilities	$	(24,662,740	)	$	—	$	—	$	(24,662,740	)
Total	$	233,998,902		$	7,716,473	$	18,000	$	241,733,375

*** Other Financial Instruments are derivative instruments not reflected in total investments. Amounts shown represent market value for written options equity contracts and unrealized appreciation on forward foreign currency contracts.

17

Touchstone Arbitrage Fund (Unaudited) (Continued)

Measurements Using Unobservable Inputs (Level 3)

Assets	Rights
Beginning balance September 30, 2017	$	18,000
Net change in unrealized appreciation/depreciation		—
Realized gain from distributions received		—
Ending balance March 31, 2018	$	18,000
Net Change in Unrealized Appreciation/Depreciation for Investments in Securities still held at March 31, 2018	$	—

			Valuation	Unobservable
Rights	Fair Value		Technique	Input
Media General, Inc. Exp 12/31/23, Strike Price $10.00	$	18,000	Issuer Guidance	New Issuer

Forward Foreign Currency Contracts

		Contract to				Unrealized
Counterparty	Expiration Date	Receive		Deliver		Appreciation
Brown Brothers Harriman	04/30/2018	USD	1,944,326	DKK	11,693,175	$	9,841
Brown Brothers Harriman	04/30/2018	USD	1,674,302	DKK	10,050,000		11,660
Brown Brothers Harriman	05/31/2018	USD	4,328,298	EUR	3,478,500		28,453
						$	49,954

See accompanying Notes to Financial Statements.

18

Portfolio of Investments

Touchstone Emerging Markets Small Cap Fund – March 31, 2018 (Unaudited)

			Market
	Shares		Value
Common Stocks — 98.0%
South Korea — 17.9%
Consumer Discretionary — 4.9%
Innocean Worldwide, Inc.		2,181	$	130,340
Kakao M Corp.		1,463		150,706
LOTTE Himart Co. Ltd.		2,085		140,839
Modetour Network, Inc.		5,512		203,487
Consumer Staples — 1.6%
Orion Corp.		1,740		208,950
Financials — 1.6%
KIWOOM Securities Co. Ltd.†		1,939		197,375
Health Care — 2.3%
Seegene, Inc.*		4,327		141,473
Value Added Technology Co. Ltd.		4,064		151,556
Information Technology — 5.9%
Douzone Bizon Co. Ltd.		4,015		218,096
HyVision System, Inc.		6,308		110,667
Jusung Engineering Co. Ltd.		13,331		134,448
Koh Young Technology, Inc.		1,874		175,462
Silicon Works Co. Ltd.		3,130		109,531
Materials — 1.6%
Korea Petrochemical Ind Co. Ltd.		720		201,295
Total South Korea				2,274,225
China — 16.8%
Consumer Discretionary — 6.2%
China Yongda Automobiles Services
Holdings Ltd.†		154,500		165,525
Fu Shou Yuan International
Group Ltd.		134,000		133,396
Tarena International, Inc. ADR		9,340		104,795
Tianneng Power International Ltd.		178,000		212,064
Xiabuxiabu Catering Management
China Holdings Co. Ltd., 144a		90,000		171,689
Financials — 0.9%
Yirendai Ltd. ADR		2,936		118,115
Health Care — 1.0%
Livzon Pharmaceutical Group, Inc. -
Class H		15,600		126,580
Industrials — 2.8%
Haitian International Holdings Ltd.		56,000		169,823
Lonking Holdings Ltd.		417,000		179,380
Information Technology — 2.6%
Chinasoft International Ltd.		228,000		206,245
Hollysys Automation Technologies
Ltd.		5,146		127,209
Materials — 1.1%
Maanshan Iron & Steel Co. Ltd. - Class
H*		330,000		143,244
Real Estate — 2.2%
Guangzhou R&F Properties Co. Ltd. -
Class H		65,600		165,912
Yuzhou Properties Co. Ltd.		173,000		118,827
Total China				2,142,804
Taiwan — 15.8%
Consumer Discretionary — 1.3%
Gourmet Master Co. Ltd.		12,470		160,382
Consumer Staples — 3.1%
Grape King Bio Ltd.		22,000		187,502
TCI Co. Ltd.		15,000		209,127
Industrials — 2.4%
Airtac International Group		9,000		152,639
Sunny Friend Environmental Technology Co. Ltd.		19,000		149,553
Information Technology — 7.5%
E Ink Holdings, Inc.		111,000		189,588
Elite Advanced Laser Corp.		29,400		112,429
Inventec Corp.		163,000		129,418
King Yuan Electronics Co. Ltd.		137,000		143,310
Micro-Star International Co. Ltd.		41,000		133,868
Powertech Technology, Inc.		52,000		163,542
Primax Electronics Ltd.		42,000		90,030
Materials — 1.5%
China General Plastics Corp.		174,289		194,272
Total Taiwan				2,015,660
India — 10.3%
Financials — 3.1%
Karnataka Bank Ltd. (The)		17,373		30,932
L&T Finance Holdings Ltd.		58,686		143,124
Reliance Capital Ltd.		19,648		129,041
Srei Infrastructure Finance Ltd.		81,483		93,195
Health Care — 1.6%
Jubilant Life Sciences Ltd.		7,449		96,904
Natco Pharma Ltd.		9,275		107,947
Industrials — 2.2%
Dilip Buildcon Ltd., 144a		11,798		183,062
Jain Irrigation Systems Ltd.		59,376		98,230
Information Technology — 1.1%
Mphasis Ltd.		10,983		141,874
Materials — 1.0%
National Aluminium Co. Ltd.		125,222		129,282
Utilities — 1.3%
Indraprastha Gas Ltd.		36,169		156,287
Total India				1,309,878

19

Touchstone Emerging Markets Small Cap Fund (Unaudited) (Continued)

			Market
	Shares		Value
Common Stocks — 98.0% (Continued)
Brazil — 6.5%
Consumer Discretionary — 1.1%
Magazine Luiza SA		4,500	$	134,532
Financials — 1.0%
IRB Brasil Resseguros SA		10,100		128,581
Industrials — 2.2%
Iochpe Maxion SA		18,200		144,544
Localiza Rent a Car SA		15,465		133,596
Materials — 1.1%
Usinas Siderurgicas de Minas Gerais
SA - Class A*		42,300		139,401
Real Estate — 1.1%
Iguatemi Empresa de Shopping
Centers SA		12,400		147,232
Total Brazil				827,886
Thailand — 5.3%
Energy — 1.3%
Star Petroleum Refining PCL		313,800		160,563
Financials — 3.0%
Krungthai Card PCL		22,700		222,862
Muangthai Leasing PCL		125,600		154,640
Health Care — 1.0%
Mega Lifesciences PCL		99,100		131,521
Total Thailand				669,586
South Africa — 4.2%
Consumer Discretionary — 0.4%
Super Group Ltd.*		17,752		54,161
Consumer Staples — 1.4%
AVI Ltd.		13,153		123,122
Pick n Pay Stores Ltd.		9,736		56,366
Industrials — 0.9%
Barloworld Ltd.		8,157		114,417
Materials — 1.5%
African Rainbow Minerals Ltd.		10,845		92,889
Sappi Ltd.		14,411		92,756
Total South Africa				533,711
Hong Kong — 3.9%
Consumer Discretionary — 1.0%
Xinyi Glass Holdings Ltd.		84,000		127,861
Materials — 1.8%
China Resources Cement
Holdings Ltd.		254,000		222,187
Real Estate — 1.1%
Shenzhen Investment Ltd.		332,000		141,785
Total Hong Kong				491,833
Malaysia — 2.8%
Industrials — 2.8%
AirAsia Bhd		150,800		153,217
Malaysia Airports Holdings Bhd		86,500		197,913
Total Malaysia				351,130
Indonesia — 2.1%
Financials — 1.4%
Bank Tabungan Negara Persero Tbk
PT		628,000		173,895
Industrials — 0.7%
Waskita Karya Persero Tbk PT		494,300		89,173
Total Indonesia				263,068
Mexico — 1.8%
Consumer Discretionary — 1.1%
Alsea SAB de CV		40,900		142,925
Industrials — 0.7%
Promotora y Operadora de
Infraestructura SAB de CV		9,290		92,358
Total Mexico				235,283
Jersey — 1.8%
Materials — 1.8%
West China Cement Ltd.*		1,232,000		235,254
Singapore — 1.5%
Real Estate — 1.5%
Yanlord Land Group Ltd.		150,600		194,983
Cyprus — 1.5%
Financials — 1.5%
TCS Group Holding PLC GDR		8,780		192,721
Greece — 1.3%
Consumer Discretionary — 1.3%
JUMBO SA		9,612		171,964
Philippines — 1.2%
Financials — 0.5%
Metro Pacific Investments Corp.		592,700		59,766
Industrials — 0.7%
International Container Terminal
Services, Inc.		49,580		95,022
Total Philippines				154,788

20

Touchstone Emerging Markets Small Cap Fund (Unaudited) (Continued)

			Market
	Shares		Value
Common Stocks — 98.0% (Continued)
Poland — 1.0%
Consumer Discretionary — 1.0%
CCC SA		1,805	$	123,296
Trinidad — 1.0%
Industrials — 1.0%
Tekfen Holding AS		28,200		121,869
Turkey — 0.9%
Industrials — 0.9%
Turkiye Sise ve Cam Fabrikalari AS		89,873		117,544
United States — 0.4%
Industrials — 0.4%
Bizlink Holding, Inc.		7,031		57,874
Total Common Stocks			$	12,485,357
Exchange-Traded Fund — 1.0%
iShares MSCI Emerging Markets
Small-Cap ETF		2,400	$	128,041
Short-Term Investment Funds — 1.6%
Dreyfus Government Cash
Management, Institutional Shares,
1.54%∞Ω		235		235
Invesco Government & Agency
Portfolio, Institutional Class,
1.48%**∞Ω		198,631		198,631
Total Short-Term Investment Funds			$	198,866
Total Investment Securities —100.6%
(Cost $11,615,381)			$	12,812,264
Liabilities in Excess of Other Assets — (0.6%)				(74,682	)
Net Assets — 100.0%			$	12,737,582

* Non-income producing security.

** Represents collateral for securities loaned.

† All or a portion of the security is on loan. The total market value of the securities on loan as of March 31, 2018 was $192,811.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviations:

ADR - American Depositary Receipt

ETF - Exchange-Traded Fund

GDR - Global Depositary Receipt

PCL - Public Company Limited

PLC - Public Limited Company

144a - This is a restricted security that was sold in a transaction qualifying for the exemption under 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, 2018, these securities were valued at $354,751 or 2.8% of net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Trustees.

21

Touchstone Emerging Markets Small Cap Fund (Unaudited) (Continued)

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
South Korea	$	2,274,225	$	—	$	—	$	2,274,225
China		519,943		1,622,862		—		2,142,804
Taiwan		2,015,660		—		—		2,015,660
India		—		1,309,878		—		1,309,878
Brazil		827,886		—		—		827,886
Thailand		669,586		—		—		669,586
South Africa		533,711		—		—		533,711
Hong Kong		—		491,833		—		491,833
Malaysia		351,129		—		—		351,130
Indonesia		—		263,068		—		263,068
Mexico		235,283		—		—		235,283
Jersey		—		235,254		—		235,254
Singapore		—		194,983		—		194,983
Cyprus		192,721		—		—		192,721
Greece		—		171,964		—		171,964
Philippines		95,022		59,766		—		154,788
Poland		—		123,296		—		123,296
Trinidad		121,869		—		—		121,869
Turkey		117,544		—		—		117,544
United States		57,874		—		—		57,874
Exchange-Traded Fund		128,041		—		—		128,041
Short-Term Investment Funds		198,866		—		—		198,866
Total	$	8,339,360	$	4,472,904	$	—	$	12,812,264

At March 31, 2018, equity securities valued at $427,049 and $2,775,836 were transferred from Level 1 to Level 2 and from Level 2 to Level 1, respectively. Transfers from Level 1 to Level 2 are due to movements of a designated U.S. market index, triggering a systematic valuation model provided by an independent third party, when required confidence levels are achieved to fair value the international equity securities. Transfers from Level 2 to Level 1 occur when there is no longer movement of the designated U.S. market index or required confidence levels were not reached in the systematic model.

See accompanying Notes to Financial Statements.

22

Portfolio of Investments

Touchstone High Yield Fund – March 31, 2018 (Unaudited)

Principal			Market
Amount			Value
		Corporate Bonds — 98.3%
		Consumer Discretionary — 19.1%
$	263,000	1011778 BC ULC / New Red Finance,
		Inc. (Canada), 144a, 4.250%, 5/15/24	$	251,560
	1,000,000	1011778 BC ULC / New Red Finance,
		Inc. (Canada), 144a,
		5.000%, 10/15/25		952,200
	414,000	ACCO Brands Corp., 144a,
		5.250%, 12/15/24		416,070
	381,000	AMC Entertainment Holdings, Inc.,
		5.875%, 11/15/26†		374,333
	265,000	AMC Networks, Inc., 4.750%, 8/1/25		255,362
	492,000	AMC Networks, Inc., 5.000%, 4/1/24		486,180
	245,000	Aramark Services, Inc., 144a,
		5.000%, 2/1/28		239,794
	446,000	Avis Budget Car Rental LLC / Avis
		Budget Finance, Inc.,
		5.500%, 4/1/23		444,885
	598,000	Avis Budget Car Rental LLC / Avis
		Budget Finance, Inc., 144a,
		5.125%, 6/1/22		598,030
	41,000	Avon Products, Inc., 6.600%, 3/15/20		40,795
	985,000	Belo Corp., 7.250%, 9/15/27		1,060,106
	339,000	Block Communications, Inc., 144a,
		6.875%, 2/15/25		340,892
	661,000	Booz Allen Hamilton, Inc., 144a,
		5.125%, 5/1/25		644,475
	555,000	Brinker International, Inc.,
		3.875%, 5/15/23		530,025
	534,000	Brinker International, Inc., 144a,
		5.000%, 10/1/24		523,320
	352,000	Cable One, Inc., 144a, 5.750%, 6/15/22		359,040
	943,000	Cablevision Systems Corp.,
		5.875%, 9/15/22		935,645
	625,000	Cardtronics, Inc., 5.125%, 8/1/22		609,212
	271,000	CCO Holdings LLC / CCO Holdings
		Capital Corp., 5.750%, 1/15/24		275,065
	797,000	CCO Holdings LLC / CCO Holdings
		Capital Corp., 144a, 5.125%, 5/1/27		756,672
	1,325,000	CCO Holdings LLC / CCO Holdings
		Capital Corp., 144a, 5.750%, 2/15/26		1,318,388
	215,000	Cedar Fair LP / Canada's Wonderland
		Co. / Magnum Management Corp. /
		Millennium Op, 144a,
		5.375%, 4/15/27		212,850
	700,000	Century Communities, Inc.,
		5.875%, 7/15/25		666,750
	1,399,000	Cimpress NV (Netherlands), 144a,
		7.000%, 4/1/22		1,458,458
	290,000	Delphi Technologies PLC (Jersey),
		144a, 5.000%, 10/1/25		278,038
	36,000	Dollar Tree, Inc., 5.750%, 3/1/23		37,578
	395,000	Downstream Development Authority
		of the Quapaw Tribe of Oklahoma,
		144a, 10.500%, 2/15/23		404,875
	243,000	GLP Capital LP / GLP Financing II, Inc.,
		5.375%, 11/1/23		251,741
	1,025,000	GLP Capital LP / GLP Financing II, Inc.,
		5.375%, 4/15/26		1,040,375
	481,000	Hanesbrands, Inc., 144a,
		4.625%, 5/15/24		470,779
	474,000	Hertz Corp. (The), 5.875%, 10/15/20		469,852
	540,000	Hertz Corp. (The), 144a,
		7.625%, 6/1/22		548,100
	1,051,000	International Game Technology PLC
		(United Kingdom), 144a,
		6.250%, 2/15/22		1,100,922
	116,000	JC Penney Corp., Inc., 8.125%, 10/1/19		123,105
	638,000	KFC Holding Co./Pizza Hut Holdings
		LLC/Taco Bell of America LLC, 144a,
		5.000%, 6/1/24		634,012
	270,000	Lennar Corp., 4.125%, 1/15/22		265,532
	402,000	Lennar Corp., 4.750%, 5/30/25		395,970
	398,000	Lennar Corp., 4.875%, 12/15/23		399,532
	437,000	Lennar Corp., 144a, 4.750%, 11/29/27		418,428
	620,000	Lennar Corp., 144a, 5.375%, 10/1/22		637,050
	168,000	Lennar Corp., 144a, 5.875%, 11/15/24		173,880
	305,000	Live Nation Entertainment, Inc., 144a,
		4.875%, 11/1/24		297,375
	191,000	Live Nation Entertainment, Inc., 144a,
		5.625%, 3/15/26		193,388
	843,000	LSC Communications, Inc., 144a,
		8.750%, 10/15/23		867,489
	205,000	M/I Homes, Inc., 5.625%, 8/1/25		199,557
	998,000	Mattel, Inc., 144a, 6.750%, 12/31/25		975,545
	1,021,000	MDC Partners, Inc. (Canada), 144a,
		6.500%, 5/1/24		992,922
	531,000	Meritage Homes Corp.,
		7.150%, 4/15/20		560,205
	1,397,000	MGM Resorts International,
		6.000%, 3/15/23		1,466,850
	185,000	Netflix, Inc., 5.750%, 3/1/24		192,400
	546,000	New Home Co., Inc. (The),
		7.250%, 4/1/22		566,475
	493,000	Penske Automotive Group, Inc.,
		5.375%, 12/1/24		495,465
	691,000	Quad/Graphics, Inc., 7.000%, 5/1/22		715,185
	700,000	Quebecor Media, Inc. (Canada),
		5.750%, 1/15/23		717,500
	200,000	QVC, Inc., 5.125%, 7/2/22		206,286
	246,000	Sabre GLBL, Inc., 144a,
		5.250%, 11/15/23		248,534
	343,000	Sabre GLBL, Inc., 144a,
		5.375%, 4/15/23		346,001
	276,000	Scotts Miracle-Gro Co. (The),
		5.250%, 12/15/26		273,585
	253,000	Service Corp. International,
		5.375%, 5/15/24		262,880
	896,000	ServiceMaster Co. LLC (The), 144a,
		5.125%, 11/15/24		866,880
	824,000	SFR Group SA (France), 144a,
		6.250%, 5/15/24		776,620
	284,000	SFR Group SA (France), 144a,
		7.375%, 5/1/26		270,510

23

Touchstone High Yield Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Corporate Bonds — 98.3% (Continued)
		Consumer Discretionary — (Continued)
$	440,000	Sirius XM Radio, Inc., 144a,
		5.375%, 4/15/25	$	436,700
	248,000	Sirius XM Radio, Inc., 144a,
		5.375%, 7/15/26		244,900
	126,000	Sirius XM Radio, Inc., 144a,
		6.000%, 7/15/24		129,543
	243,000	Sonic Automotive, Inc.,
		5.000%, 5/15/23		230,850
	533,000	Sonic Automotive, Inc.,
		6.125%, 3/15/27		514,345
	491,000	Tempur Sealy International, Inc.,
		5.625%, 10/15/23		492,620
	413,000	Toll Brothers Finance Corp.,
		5.875%, 2/15/22		437,780
	228,000	United Rentals North America, Inc.,
		4.625%, 10/15/25		221,730
	317,000	United Rentals North America, Inc.,
		5.875%, 9/15/26		329,680
	490,000	William Lyon Homes, Inc.,
		5.875%, 1/31/25		479,857
	632,000	Wyndham Hotels & Resorts, Inc., 144a,
		5.375%, 4/15/26		638,320
				37,047,853
		Energy — 15.7%
	684,000	Blue Racer Midstream LLC / Blue Racer
		Finance Corp., 144a,
		6.125%, 11/15/22		695,970
	510,000	Carrizo Oil & Gas, Inc.,
		6.250%, 4/15/23†		510,000
	638,000	Cheniere Corpus Christi Holdings LLC,
		5.875%, 3/31/25		667,508
	398,000	Cheniere Corpus Christi Holdings LLC,
		7.000%, 6/30/24		440,288
	725,000	Delek Logistics Partners LP, 144a,
		6.750%, 5/15/25		732,250
	774,000	Endeavor Energy Resources LP / EER
		Finance, Inc., 144a, 5.750%, 1/30/28		771,098
	757,000	Energy Transfer Equity LP,
		5.500%, 6/1/27		758,892
	823,000	Ensco PLC (United Kingdom),
		7.750%, 2/1/26		755,102
	204,000	Exterran Energy Solutions LP / EES
		Finance Corp., 144a, 8.125%, 5/1/25		216,240
	945,000	Extraction Oil & Gas, Inc., 144a,
		5.625%, 2/1/26		893,025
	205,000	Extraction Oil & Gas, Inc., 144a,
		7.375%, 5/15/24		214,225
	251,000	Genesis Energy LP / Genesis Energy
		Finance Corp., 6.000%, 5/15/23		247,235
	636,000	Genesis Energy LP / Genesis Energy
		Finance Corp., 6.250%, 5/15/26		605,790
	1,063,000	Genesis Energy LP / Genesis Energy
		Finance Corp., 6.750%, 8/1/22		1,090,904
	1,493,000	Gulfport Energy Corp.,
		6.375%, 5/15/25		1,429,548
	345,000	Hilcorp Energy I LP / Hilcorp Finance
		Co., 144a, 5.750%, 10/1/25		341,550
	413,000	MEG Energy Corp. (Canada), 144a,
		6.375%, 1/30/23		344,855
	255,000	Moss Creek Resources Holdings, Inc.,
		144a, 7.500%, 1/15/26		257,155
	1,076,000	Murphy Oil USA, Inc., 5.625%, 5/1/27		1,078,690
	1,206,000	Parkland Fuel Corp. (Canada), 144a,
		6.000%, 4/1/26		1,212,030
	1,062,000	PDC Energy, Inc., 6.125%, 9/15/24		1,083,240
	421,000	PDC Energy, Inc., 144a,
		5.750%, 5/15/26		413,632
	574,000	Peabody Energy Corp., 144a,
		6.000%, 3/31/22		585,480
	539,000	Peabody Energy Corp., 144a,
		6.375%, 3/31/25		559,212
	320,000	Precision Drilling Corp. (Canada), 144a,
		7.125%, 1/15/26		316,800
	276,000	QEP Resources, Inc., 5.375%, 10/1/22		275,655
	193,000	QEP Resources, Inc., 5.625%, 3/1/26		182,385
	598,000	QEP Resources, Inc., 6.800%, 3/1/20		624,910
	460,000	Range Resources Corp.,
		4.875%, 5/15/25		426,650
	627,000	Range Resources Corp.,
		5.000%, 8/15/22		606,622
	174,000	Range Resources Corp.,
		5.000%, 3/15/23		166,831
	15,000	Range Resources Corp.,
		5.750%, 6/1/21		15,300
	285,000	Rockies Express Pipeline LLC, 144a,
		6.875%, 4/15/40		328,713
	784,000	Sanchez Energy Corp., 144a,
		7.250%, 2/15/23		787,920
	519,000	SemGroup Corp. / Rose Rock Finance
		Corp., 5.625%, 7/15/22		503,430
	581,000	SemGroup Corp. / Rose Rock Finance
		Corp., 5.625%, 11/15/23		549,045
	1,179,000	Shelf Drilling Holdings Ltd. (Cayman
		Islands), 144a, 8.250%, 2/15/25		1,181,948
	1,171,000	Southwestern Energy Co.,
		6.700%, 1/23/25		1,136,456
	896,000	Southwestern Energy Co.,
		7.500%, 4/1/26		904,960
	159,000	Sunoco LP / Sunoco Finance Corp.,
		144a, 4.875%, 1/15/23		153,236
	247,000	Sunoco LP / Sunoco Finance Corp.,
		144a, 5.500%, 2/15/26		238,355
	1,080,000	Tallgrass Energy Partners LP / Tallgrass
		Energy Finance Corp., 144a,
		5.500%, 9/15/24		1,098,900
	253,000	Tallgrass Energy Partners LP / Tallgrass
		Energy Finance Corp., 144a,
		5.500%, 1/15/28		255,214
	313,000	TerraForm Power Operating LLC, 144a,
		4.250%, 1/31/23		300,871
	313,000	TerraForm Power Operating LLC, 144a,
		5.000%, 1/31/28		296,959

24

Touchstone High Yield Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Corporate Bonds — 98.3% (Continued)
		Energy — (Continued)
$	734,400	Transocean Phoenix 2 Ltd. (Cayman
		Islands), 144a, 7.750%, 10/15/24	$	780,300
	554,000	Tullow Oil PLC (United Kingdom),
		144a, 7.000%, 3/1/25		554,000
	353,000	Ultra Resources, Inc., 144a,
		6.875%, 4/15/22		307,110
	475,000	Ultra Resources, Inc., 144a,
		7.125%, 4/15/25		391,875
	1,484,000	Unit Corp., 6.625%, 5/15/21		1,484,000
	314,000	Williams Cos., Inc. (The),
		5.750%, 6/24/44		332,055
	223,000	Williams Cos., Inc. (The),
		7.500%, 1/15/31		271,363
				30,375,782
		Telecommunication Services — 14.6%
	1,599,000	Altice Financing SA (Luxembourg),
		144a, 6.625%, 2/15/23		1,583,010
	463,000	Altice Financing SA (Luxembourg),
		144a, 7.500%, 5/15/26		453,740
	761,000	Altice US Finance I Corp., 144a,
		5.500%, 5/15/26		743,801
	580,000	CenturyLink, Inc., 5.625%, 4/1/25†		523,450
	1,432,000	CenturyLink, Inc., 5.800%, 3/15/22		1,397,990
	436,000	CenturyLink, Inc., 6.450%, 6/15/21		444,720
	564,000	CenturyLink, Inc., 6.875%, 1/15/28		510,420
	741,000	CommScope Technologies LLC, 144a,
		5.000%, 3/15/27		703,950
	204,000	CommScope Technologies LLC, 144a,
		5.500%, 6/15/24		208,335
	1,920,000	CSC Holdings LLC, 5.250%, 6/1/24		1,826,400
	813,000	CSC Holdings LLC, 144a,
		10.125%, 1/15/23		902,430
	1,413,000	DISH DBS Corp., 5.875%, 7/15/22		1,351,181
	986,000	DISH DBS Corp., 6.750%, 6/1/21		992,162
	509,000	EW Scripps Co. (The), 144a,
		5.125%, 5/15/25		473,370
	100,000	Frontier Communications Corp.,
		7.125%, 1/15/23		67,469
	290,000	Frontier Communications Corp.,
		8.500%, 4/15/20†		291,812
	2,071,000	Frontier Communications Corp.,
		10.500%, 9/15/22†		1,732,039
	595,000	Frontier Communications Corp., 144a,
		8.500%, 4/1/26		575,662
	474,000	Gray Television, Inc., 144a,
		5.125%, 10/15/24		458,595
	741,000	Intelsat Jackson Holdings SA
		(Luxembourg), 5.500%, 8/1/23		596,505
	49,000	Intelsat Jackson Holdings SA
		(Luxembourg), 7.500%, 4/1/21		44,376
	348,000	Lamar Media Corp., 5.375%, 1/15/24		358,440
	378,000	Level 3 Financing, Inc., 5.625%, 2/1/23		378,359
	680,000	Meredith Corp., 144a, 6.875%, 2/1/26		697,850
	113,000	Nexstar Broadcasting, Inc., 144a,
		5.625%, 8/1/24		110,706
	362,000	Nokia OYJ (Finland), 3.375%, 6/12/22		348,896
	362,000	Nokia OYJ (Finland), 4.375%, 6/12/27		339,828
	652,000	Qualitytech LP/QTS Finance Corp.,
		144a, 4.750%, 11/15/25		612,880
	305,000	Qwest Corp., 6.750%, 12/1/21		326,987
	506,000	SFR Group SA (France), 144a,
		6.000%, 5/15/22		494,605
	505,000	Sprint Capital Corp., 6.875%, 11/15/28		470,912
	602,000	Sprint Communications, Inc.,
		6.000%, 11/15/22		590,712
	1,993,000	Sprint Corp., 7.125%, 6/15/24		1,943,175
	223,000	Sprint Corp., 7.625%, 2/15/25		219,098
	293,000	Sprint Corp., 7.625%, 3/1/26		285,880
	865,000	Telecom Italia Capital SA
		(Luxembourg), 6.375%, 11/15/33		938,525
	1,396,000	T-Mobile USA, Inc., 6.000%, 4/15/24		1,454,074
	200,000	T-Mobile USA, Inc., 6.500%, 1/15/26		212,500
	421,000	Univision Communications, Inc., 144a,
		5.125%, 5/15/23		401,045
	263,000	Univision Communications, Inc., 144a,
		5.125%, 2/15/25		245,248
	374,000	UPCB Finance IV Ltd. (Cayman Islands),
		144a, 5.375%, 1/15/25		360,910
	636,000	ViaSat, Inc., 144a, 5.625%, 9/15/25		612,341
	391,000	Videotron Ltd. (Canada),
		5.000%, 7/15/22		396,865
	575,000	Zayo Group LLC / Zayo Capital, Inc.,
		144a, 5.750%, 1/15/27		562,062
				28,243,315
		Financials — 8.7%
	73,000	Aircastle Ltd. (Bermuda),
		5.000%, 4/1/23		75,281
	612,000	Aircastle Ltd. (Bermuda),
		5.500%, 2/15/22		638,010
	555,000	Ally Financial, Inc., 5.750%, 11/20/25		571,816
	926,000	Ally Financial, Inc., 8.000%, 11/1/31		1,130,878
	978,000	Bank of America Corp., 6.100%(A)		1,029,345
	314,000	CIT Group, Inc., 6.125%, 3/9/28		325,775
	616,000	Cooke Omega Investments, Inc. /
		Alpha VesselCo Holdings Inc.
		(Canada), 144a, 8.500%, 12/15/22		614,460
	263,000	Credit Acceptance Corp.,
		6.125%, 2/15/21		264,894
	701,000	Credit Acceptance Corp.,
		7.375%, 3/15/23		729,916
	781,000	CyrusOne LP / CyrusOne Finance
		Corp., 5.000%, 3/15/24		781,976
	277,000	CyrusOne LP / CyrusOne Finance
		Corp., 5.375%, 3/15/27		276,308
	378,000	Dana Financing Luxembourg Sarl
		(Luxembourg), 144a,
		5.750%, 4/15/25		385,088
	667,000	FirstCash, Inc., 144a, 5.375%, 6/1/24		677,639
	322,000	Goldman Sachs Group, Inc. (The)., Ser
		P, 5.000%(A)		313,145

25

Touchstone High Yield Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Corporate Bonds — 98.3% (Continued)
		Financials — (Continued)
$	1,064,000	JPMorgan Chase & Co., Ser Z,
		5.300%(A)	$	1,092,728
	844,000	MetLife, Inc., Ser C, 5.250%(A)		862,771
	47,000	MGIC Investment Corp.,
		5.750%, 8/15/23		49,232
	297,000	Navient Corp., 5.000%, 10/26/20		298,856
	549,000	Navient Corp., 6.500%, 6/15/22		567,529
	637,000	Navient Corp. MTN, 7.250%, 1/25/22		672,831
	504,000	OneMain Financial Holdings LLC,
		144a, 7.250%, 12/15/21		522,270
	932,000	Quicken Loans, Inc., 144a,
		5.250%, 1/15/28		871,420
	675,000	Quicken Loans, Inc., 144a,
		5.750%, 5/1/25		673,312
	430,000	Radian Group, Inc., 4.500%, 10/1/24		420,325
	497,000	Realogy Group LLC / Realogy
		Co.-Issuer Corp., 144a,
		4.875%, 6/1/23		475,878
	1,187,000	Royal Bank of Scotland Group PLC
		(United Kingdom),
		6.125%, 12/15/22		1,257,405
	641,000	Springleaf Finance Corp.,
		5.625%, 3/15/23		629,782
	382,000	Springleaf Finance Corp.,
		6.875%, 3/15/25		383,432
	255,000	Travelport Corporate Finance PLC
		(United Kingdom), 144a,
		6.000%, 3/15/26		255,956
				16,848,258
		Health Care — 8.4%
	337,000	Acadia Healthcare Co., Inc.,
		5.625%, 2/15/23		341,212
	475,000	Acadia Healthcare Co., Inc.,
		6.500%, 3/1/24		494,000
	1,013,000	Centene Corp., 4.750%, 1/15/25		987,675
	196,000	Charles River Laboratories
		International, Inc., 144a,
		5.500%, 4/1/26		198,695
	1,087,000	CHS/Community Health Systems, Inc.,
		6.250%, 3/31/23		1,001,399
	1,050,000	Encompass Health Corp.,
		5.750%, 11/1/24		1,068,375
	488,000	Envision Healthcare Corp.,
		5.625%, 7/15/22		490,196
	156,000	Envision Healthcare Corp., 144a,
		5.125%, 7/1/22		155,220
	470,000	Envision Healthcare Corp., 144a,
		6.250%, 12/1/24		485,275
	1,362,000	HCA, Inc., 5.375%, 2/1/25		1,365,405
	371,000	HCA, Inc., 5.875%, 5/1/23		383,985
	1,602,000	HCA, Inc., 5.875%, 2/15/26		1,630,035
	410,000	Mallinckrodt International Finance SA
		/ Mallinckrodt CB LLC
		(Luxembourg), 144a,
		4.875%, 4/15/20		389,500
	952,000	Mallinckrodt International Finance SA
		/ Mallinckrodt CB LLC
		(Luxembourg), 144a,
		5.500%, 4/15/25		738,990
	684,000	Select Medical Corp., 6.375%, 6/1/21		694,260
	251,000	Teleflex, Inc., 4.625%, 11/15/27		241,590
	134,000	Teleflex, Inc., 4.875%, 6/1/26		132,660
	223,000	Tenet Healthcare Corp.,
		4.500%, 4/1/21		221,049
	250,000	Tenet Healthcare Corp.,
		4.750%, 6/1/20		251,875
	1,613,000	Tenet Healthcare Corp.,
		6.000%, 10/1/20		1,667,439
	705,000	Tenet Healthcare Corp., 144a,
		5.125%, 5/1/25		677,681
	320,000	Tenet Healthcare Corp., 144a,
		7.500%, 1/1/22		337,200
	967,000	Teva Pharmaceutical Finance
		Netherlands III BV (Netherlands),
		144a, 6.750%, 3/1/28		955,520
	947,000	Universal Hospital Services, Inc.,
		7.625%, 8/15/20		954,102
	492,000	Valeant Pharmaceuticals International,
		Inc. (Canada), 144a, 6.125%, 4/15/25		424,596
				16,287,934
		Consumer Staples — 8.2%
	1,123,000	Albertsons Cos. LLC / Safeway, Inc. /
		New Albertson's Inc. / Albertson's
		LLC, 5.750%, 3/15/25		957,694
	303,000	American Woodmark Corp., 144a,
		4.875%, 3/15/26		295,804
	1,020,000	B&G Foods, Inc., 5.250%, 4/1/25		950,181
	521,000	Beacon Escrow Corp., 144a,
		4.875%, 11/1/25		496,252
	525,000	Cardtronics, Inc. / Cardtronics USA
		Inc., 144a, 5.500%, 5/1/25		494,812
	671,000	CDK Global, Inc., 144a, 4.875%, 6/1/27		645,838
	478,000	Central Garden & Pet Co.,
		5.125%, 2/1/28		454,100
	818,000	Cott Holdings, Inc., 144a,
		5.500%, 4/1/25		807,775
	374,000	Cumberland Farms, Inc., 144a,
		6.750%, 5/1/25		388,960
	748,000	First Quality Finance Co., Inc., 144a,
		5.000%, 7/1/25		716,210
	455,000	H&E Equipment Services, Inc.,
		5.625%, 9/1/25		458,981
	310,000	IHS Markit Ltd. (Bermuda), 144a,
		4.000%, 3/1/26		297,600
	321,000	IHS Markit Ltd. (Bermuda), 144a,
		5.000%, 11/1/22		333,038
	775,000	Ingles Markets, Inc., 5.750%, 6/15/23		774,768
	478,000	JBS USA LUX SA / JBS USA Finance,
		Inc., 144a, 6.750%, 2/15/28		458,880
	298,000	JBS USA LUX SA / JBS USA Finance,
		Inc., 144a, 7.250%, 6/1/21		300,235

26

Touchstone High Yield Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Corporate Bonds — 98.3% (Continued)
		Consumer Staples — (Continued)
	160,000	JBS USA LUX SA / JBS USA Finance,
		Inc., 144a, 7.250%, 6/1/21	$	161,200
	384,000	JBS USA LUX SA/ JBS USA Finance,
		Inc., 144a, 5.875%, 7/15/24		374,515
	309,000	Performance Food Group, Inc., 144a,
		5.500%, 6/1/24		310,545
	66,000	Pilgrim's Pride Corp., 144a,
		5.750%, 3/15/25		64,093
	66,000	Pilgrim's Pride Corp., 144a,
		5.875%, 9/30/27		62,192
	816,000	Post Holdings, Inc., 144a,
		5.000%, 8/15/26		775,200
	389,000	Post Holdings, Inc., 144a,
		5.500%, 3/1/25		383,165
	502,000	Post Holdings, Inc., 144a,
		5.625%, 1/15/28		479,410
	2,197,000	Rite Aid Corp., 144a, 6.125%, 4/1/23		2,213,478
	1,402,000	Staples, Inc., 144a, 8.500%, 9/15/25		1,296,850
	1,044,000	TreeHouse Foods, Inc., 144a,
		6.000%, 2/15/24		1,050,525
				16,002,301
		Industrials — 6.8%
	502,000	Adient Global Holdings Ltd. (Jersey),
		144a, 4.875%, 8/15/26		474,390
	720,000	AECOM Global II LLC / URS Fox US LP,
		5.000%, 4/1/22		731,503
	691,071	American Airlines 2013-2 Class B Pass
		Through Trust, 144a,
		5.600%, 7/15/20		708,348
	92,000	Amsted Industries, Inc., 144a,
		5.375%, 9/15/24		92,000
	245,000	Arconic, Inc., 5.870%, 2/23/22		257,250
	510,000	Ardagh Packaging Finance PLC /
		Ardagh Holdings USA, Inc. (Ireland),
		144a, 6.000%, 2/15/25		512,550
	249,000	Berry Global, Inc., 144a,
		4.500%, 2/15/26		235,616
	591,000	Bombardier, Inc. (Canada), 144a,
		6.000%, 10/15/22		585,829
	540,000	Bombardier, Inc. (Canada), 144a,
		7.500%, 3/15/25		554,175
	622,000	Crown Americas LLC / Crown
		Americas Capital Corp. VI, 144a,
		4.750%, 2/1/26		601,785
	514,000	FXI Holdings, Inc., 144a,
		7.875%, 11/1/24		503,398
	287,000	James Hardie International Finance
		DAC. (Ireland), 144a,
		4.750%, 1/15/25		281,260
	464,000	JB Poindexter & Co., Inc., 144a,
		9.000%, 4/1/22		478,500
	191,000	Jeld-Wen, Inc., 144a, 4.625%, 12/15/25		181,928
	400,000	Louisiana-Pacific Corp.,
		4.875%, 9/15/24		401,000
	121,000	Moog, Inc., 144a, 5.250%, 12/1/22		124,025
	804,000	Multi-Color Corp., 144a,
		4.875%, 11/1/25		751,740
	436,000	Multi-Color Corp., 144a,
		6.125%, 12/1/22		449,080
	701,000	New Enterprise Stone & Lime Co., Inc.,
		144a, 6.250%, 3/15/26		701,876
	256,000	Owens-Brockway Glass Container, Inc.,
		144a, 5.875%, 8/15/23		264,960
	353,000	Plastipak Holdings, Inc., 144a,
		6.250%, 10/15/25		352,118
	365,000	Standard Industries, Inc./NJ, 144a,
		5.375%, 11/15/24		369,562
	649,000	Standard Industries, Inc./NJ, 144a,
		6.000%, 10/15/25		665,225
	406,000	Tenneco, Inc., 5.000%, 7/15/26		393,942
	391,000	TransDigm, Inc., 5.500%, 10/15/20		393,444
	239,000	Triumph Group, Inc., 4.875%, 4/1/21		233,622
	570,000	Triumph Group, Inc., 5.250%, 6/1/22		552,900
	499,000	Triumph Group, Inc., 7.750%, 8/15/25		511,475
	165,198	United Airlines 2014-2 Class B Pass
		Through Trust, 4.625%, 9/3/22		167,346
	655,000	Wabash National Corp., 144a,
		5.500%, 10/1/25		638,625
				13,169,472
		Materials — 6.4%
	200,000	Alcoa Nederland Holding BV
		(Netherlands), 144a,
		6.750%, 9/30/24		214,000
	876,000	Alcoa Nederland Holding BV
		(Netherlands), 144a,
		7.000%, 9/30/26		943,890
	315,000	Ball Corp., 4.875%, 3/15/26		315,819
	233,000	Blue Cube Spinco, Inc.,
		9.750%, 10/15/23		267,146
	30,000	Cascades, Inc. (Canada), 144a,
		5.500%, 7/15/22		30,188
	441,000	Cascades, Inc. (Canada), 144a,
		5.750%, 7/15/23		447,615
	761,000	CVR Partners LP / CVR Nitrogen
		Finance Corp., 144a,
		9.250%, 6/15/23		810,237
	1,113,000	Freeport-McMoRan, Inc.,
		3.550%, 3/1/22		1,076,828
	646,000	Freeport-McMoRan, Inc.,
		6.750%, 2/1/22		667,802
	112,000	Freeport-McMoRan, Inc.,
		6.875%, 2/15/23		120,120
	708,000	Hudbay Minerals, Inc. (Canada), 144a,
		7.250%, 1/15/23		734,550
	579,000	Hudbay Minerals, Inc. (Canada), 144a,
		7.625%, 1/15/25		611,569
	111,000	Kaiser Aluminum Corp.,
		5.875%, 5/15/24		114,885
	1,060,000	Kinross Gold Corp. (Canada), 144a,
		4.500%, 7/15/27		1,038,058

27

Touchstone High Yield Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Corporate Bonds — 98.3% (Continued)
		Materials — (Continued)
$	365,000	Lundin Mining Corp. (Canada), 144a,
		7.875%, 11/1/22	$	385,531
	765,000	NOVA Chemicals Corp. (Canada), 144a,
		4.875%, 6/1/24		732,488
	373,000	NOVA Chemicals Corp. (Canada), 144a,
		5.250%, 8/1/23		375,331
	359,000	Olin Corp., 5.000%, 2/1/30		343,742
	144,000	PolyOne Corp., 5.250%, 3/15/23		147,600
	394,000	Steel Dynamics, Inc., 4.125%, 9/15/25		375,285
	376,000	Steel Dynamics, Inc., 5.000%, 12/15/26		376,000
	249,000	Steel Dynamics, Inc., 5.250%, 4/15/23		252,112
	588,000	Teck Resources Ltd. (Canada),
		6.250%, 7/15/41		623,280
	515,000	Trinseo Materials Operating SCA /
		Trinseo Materials Finance, Inc.
		(Luxembourg), 144a,
		5.375%, 9/1/25		505,988
	906,000	Tronox, Inc., 144a, 6.500%, 4/15/26		906,000
				12,416,064
		Information Technology — 4.8%
	849,000	CDW LLC / CDW Finance Corp.,
		5.500%, 12/1/24		885,337
	148,000	Dell International LLC / EMC Corp.,
		144a, 5.875%, 6/15/21		152,070
	1,142,000	Dell International LLC / EMC Corp.,
		144a, 7.125%, 6/15/24		1,221,335
	1,016,000	Diebold Nixdorf, Inc., 8.500%, 4/15/24		1,069,340
	711,000	EMC Corp., 3.375%, 6/1/23		655,811
	896,000	First Data Corp., 144a, 5.000%, 1/15/24		896,000
	578,000	First Data Corp., 144a, 5.375%, 8/15/23		588,115
	336,000	First Data Corp., 144a, 7.000%, 12/1/23		352,699
	211,000	j2 Cloud Services LLC / j2 Global
		Co.-Obligor, Inc., 144a,
		6.000%, 7/15/25		216,011
	249,000	Match Group, Inc., 144a,
		5.000%, 12/15/27		245,265
	652,000	Netflix, Inc., 144a, 4.875%, 4/15/28		626,963
	776,000	Open Text Corp. (Canada), 144a,
		5.875%, 6/1/26		798,077
	238,000	Quintiles IMS, Inc., 144a,
		4.875%, 5/15/23		242,462
	415,000	Sensata Technologies BV
		(Netherlands), 144a,
		5.000%, 10/1/25		408,775
	338,000	Symantec Corp., 144a,
		5.000%, 4/15/25		340,890
	147,000	VeriSign, Inc., 4.750%, 7/15/27		140,752
	605,000	Western Digital Corp., 4.750%, 2/15/26		603,669
				9,443,571
		Utilities — 3.6%
	554,000	AES Corp./VA, 4.875%, 5/15/23		563,695
	699,000	DPL, Inc., 7.250%, 10/15/21		757,541
	302,000	Dynegy, Inc., 5.875%, 6/1/23		309,610
	767,000	Dynegy, Inc., 7.375%, 11/1/22		808,226
	541,000	GenOn Energy, Inc., 10/15/18(B)		438,210
	500,000	GenOn Energy, Inc., 6/15/28(B)		412,500
	462,000	NGL Energy Partners LP / NGL Energy
		Finance Corp., 6.125%, 3/1/25		440,055
	650,000	NGL Energy Partners LP / NGL Energy
		Finance Corp., 6.875%, 10/15/21		648,375
	869,000	NGL Energy Partners LP / NGL Energy
		Finance Corp., 7.500%, 11/1/23		872,259
	595,000	NRG Energy, Inc., 6.250%, 7/15/22		612,672
	446,000	NRG Energy, Inc., 7.250%, 5/15/26		471,779
	198,000	NRG Energy, Inc., 144a,
		5.750%, 1/15/28		193,545
	400,000	Rockpoint Gas Storage Canada Ltd.,
		144a, 7.000%, 3/31/23		399,500
				6,927,967
		Real Estate — 2.0%
	123,000	CoreCivic, Inc. REIT, 4.625%, 5/1/23		122,078
	549,000	CoreCivic, Inc. REIT, 4.750%, 10/15/27		516,060
	263,000	Equinix, Inc. REIT, 5.375%, 5/15/27		266,945
	1,238,000	ESH Hospitality, Inc. REIT, 144a,
		5.250%, 5/1/25		1,204,326
	110,000	GEO Group, Inc. (The) REIT,
		5.125%, 4/1/23		108,625
	523,000	MGM Growth Properties Operating
		Partnership LP / MGP Finance
		Co.-Issuer, Inc. REIT, 5.625%, 5/1/24		538,690
	1,112,000	Sabra Health Care LP. REIT,
		5.125%, 8/15/26		1,072,008
				3,828,732
		Total Corporate Bonds	$	190,591,249

Shares
		Short-Term Investment Funds — 1.9%
	665,737	Dreyfus Government Cash
		Management, Institutional Shares,
		1.54%∞Ω		665,737
	2,972,535	Invesco Government & Agency
		Portfolio, Institutional Class,
		1.48%**∞Ω		2,972,535
		Total Short-Term Investment Funds	$	3,638,272
		Total Investment Securities —100.2%
		(Cost $197,833,339)	$	194,229,521
		Liabilities in Excess of
		Other Assets — (0.2%)		(476,147	)
		Net Assets — 100.0%	$	193,753,374

28

Touchstone High Yield Fund (Unaudited) (Continued)

^(A) Perpetual Bond - A bond with no definite maturity date.

^(B) The issuer is in default of certain debt covenants. Income is not being accrued. The total value of such securities as of March 31, 2018 was 850,710 or 0.4% of net assets.

** Represents collateral for securities loaned.

^† All or a portion of the security is on loan. The total market value of the securities on loan as of March 31, 2018 was $2,866,741.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviations:

DAC - Designated Activity Company

LLC - Limited Liability Company

LP - Limited Partnership

MTN - Medium Term Note

PLC - Public Limited Company

REIT - Real Estate Investment Trust

144a - This is a restricted security that was sold in a transaction qualifying for the exemption under 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, 2018, these securities were valued at $90,845,768 or 46.9% 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
Corporate Bonds	$	—	$	190,591,249		$	—	$	190,591,249
Short-Term Investment Funds		3,638,272		—			—		3,638,272
Total	$	3,638,272	$	190,591,249	$		—	$	194,229,521

See accompanying Notes to Financial Statements.

29

Portfolio of Investments

Touchstone Merger Arbitrage Fund – March 31, 2018 (Unaudited)

			Market
	Shares		Value
Common Stocks — 95.8%
Financials — 57.6%
Avista Healthcare Public Acquisition
Corp. - Class A (Cayman Islands)*††		123,683	$	1,235,593
Big Rock Partners Acquisition Corp.*		127,900		1,321,207
Black Ridge Acquisition Corp.*		195,824		1,897,535
Capitol Investment Corp. IV - Class A
(Cayman Islands)*		176,350		1,707,068
Capitol Investment Corp. IV (Cayman
Islands)*		228,571		2,308,567
Constellation Alpha Capital Corp.
(British Virgin Islands)*		329,230		3,249,500
Constellation Alpha Capital Corp.
(British Virgin Islands)*		329,230		118,523
DFB Healthcare Acquisitions Corp.*		88,256		886,973
Draper Oakwood Technology
Acquisition, Inc.*		74,275		796,971
Draper Oakwood Technology
Acquisition, Inc., Class A*		91,899		908,881
Federal Street Acquisition Corp.
- Class A*		490,614		4,744,237
FinTech Acquisition Corp. II*††		379,413		3,771,365
GigCapital, Inc.*		132,947		1,379,990
Gores Holdings II, Inc., Class A*		342,040		3,420,400
GTY Technology Holdings, Inc.,
Class A (Cayman Islands)*††		377,137		3,737,428
Haymaker Acquisition Corp.*		518,450		5,158,578
Hennessy Capital Acquisition Corp. III*		142,912		1,503,434
Hennessy Capital Acquisition Corp. III*		122,869		1,216,403
Industrea Acquisition Corp.*		12,344		125,785
Industrea Acquisition Corp., Class A*		70,469		691,301
Kayne Anderson Acquisition Corp.,
Class A*		529,589		5,184,676
Landcadia Holdings, Inc.*††		325,932		3,272,357
Legacy Acquisition Corp.*		400,000		3,980,000
Leisure Acquisition Corp.*		160,000		1,579,200
Leo Holdings Corp. (Cayman Islands)*		190,000		1,900,000
Matlin and Partners Acquisition Corp. -
Class A*		467,395		4,580,471
Modern Media Acquisition Corp.*		140,441		1,491,483
Mosaic Acquisition Corp. (Cayman
Islands)*		479,200		4,820,752
Mudrick Capital Acquisition Corp.*		165,296		1,677,754
Nebula Acquisition Corp.*		170,000		1,720,400
One Madison Corp. (Cayman Islands)*		295,000		2,950,000
Pensare Acquisition Corp.*		325,286		3,161,780
Platinum Eagle Acquisition Corp.
(Cayman Islands)*		158,829		1,612,114
Regalwood Global Energy Ltd. (Cayman
Islands)*		162,900		1,642,032
Saban Capital Acquisition Corp. - Class A
(Cayman Islands)*		272,103		2,704,704
Saban Capital Acquisition Corp.
(Cayman Islands)*		72,122		755,839
Sentinel Energy Services, Inc. (Cayman
Islands)*		239,500		2,375,840
Social Capital Hedosophia Holdings
Corp. (Cayman Islands)*		18,520		195,756
Tiberius Acquisition Corp.*		129,113		1,292,421
TPG Pace Energy Holdings Corp.,
Class A*		400,410		4,048,145
TPG Pace Energy Holdings Corp.,
Class A*		170,305		315,064
TPG Pace Holdings Corp., Class A
(Cayman Islands)*		484,819		4,731,833
Validus Holdings Ltd. (Bermuda)††		56,075		3,782,259
Vantage Energy Acquisition Corp.,
Class A		466,814		4,570,109
XL Group Ltd. (Bermuda)		68,795		3,801,612
				108,326,340
Information Technology — 11.6%
Blackhawk Network Holdings, Inc.*		43,620		1,949,814
Callidus Software, Inc.*		15,650		562,618
CSRA, Inc.††		94,180		3,883,041
DST Systems, Inc.		46,909		3,923,938
Microsemi Corp.*		53,110		3,437,279
MuleSoft, Inc., Class A*		77,860		3,424,283
NXP Semiconductors NV (Netherlands)*		40,500		4,738,500
				21,919,473
Consumer Discretionary — 6.1%
Lennar Corp. - Class A		22,400		1,320,256
Lennar Corp. - Class B††		24,339		1,160,727
Time Warner, Inc.††		41,200		3,896,696
Tribune Media Co., Class A††		124,510		5,043,900
				11,421,579
Industrials — 5.4%
Orbital ATK, Inc.††		23,890		3,168,053
Rockwell Collins, Inc.††		27,790		3,747,482
Sparton Corp.*		105,000		1,828,050
Student Transportation, Inc. (Canada)		188,140		1,409,169
				10,152,754
Materials — 3.8%
KapStone Paper and Packaging Corp.††		97,980		3,361,694
Monsanto Co.††		32,540		3,797,093
				7,158,787
Utilities — 3.5%
Avista Corp.††		46,713		2,394,041
Dynegy, Inc.*††		303,723		4,106,335
				6,500,376
Health Care — 2.4%
Ablynx NV. ADR*		39,200		2,138,752
Akorn, Inc.*††		126,138		2,360,042
				4,498,794
Consumer Staples — 2.3%
Blue Buffalo Pet Products, Inc.*		88,307		3,515,502
Rite Aid Corp.*		525,002		882,003
				4,397,505

30

Touchstone Merger Arbitrage Fund (Unaudited) (Continued)

			Market
	Shares		Value
Common Stocks — 95.8% (Continued)
Energy — 2.1%
Alta Mesa Resources, Inc.*††		229,899	$	1,839,192
RSP Permian, Inc.*		46,950		2,201,016
				4,040,208
Telecommunication Services — 1.0%
TDC A/S (Denmark)*		220,000		1,819,958
Total Common Stocks			$	180,235,774

Principal
Amount
		Corporate Bonds — 4.4%
		Financials — 2.4%
$	1,000,000	Allstate Corp. (The), (3M LIBOR
		+1.935%), 3.774%, 5/15/37(A)		985,000
	1,200,000	Banco Bilbao Vizcaya Argentaria SA
		(Spain), 9.000%(B)		1,206,456
	1,000,000	Cooperatieve Rabobank UA
		(Netherlands), 144a, 11.000%(B)		1,093,510
	500,000	Corestates Capital III, 144a, (3M LIBOR
		+0.570%), 2.409%, 2/15/27(A)		468,750
	500,000	JPMorgan Chase & Co., (3M LIBOR
		+0.950%), 2.643%, 9/30/34(A)		457,500
	375,000	NB Capital Trust III, (3M LIBOR
		+0.550%), 2.270%, 1/15/27(A)		352,031
				4,563,247
		Materials — 0.6%
	1,000,000	Silgan Holdings, Inc., 5.500%, 2/1/22		1,017,500
		Energy — 0.5%
	950,000	Alta Mesa Holdings LP / Alta Mesa
		Finance Services Corp.,
		7.875%, 12/15/24		989,188
		Consumer Discretionary — 0.5%
	900,000	Williams Scotsman International, Inc.,
		144a, 7.875%, 12/15/22		930,938
		Telecommunication Services — 0.4%
	750,000	Nexstar Broadcasting, Inc., 144a,
		6.125%, 2/15/22		770,400
		Total Corporate Bonds	$	8,271,273

	Shares
Warrants — 1.0%
Financials — 0.9%
Avista Healthcare Public, Class A
(Cayman Islands), Exp 12/2/21,
Price $5.75*		308,182	$	101,700
Black Ridge Acquisition Corp., Exp
10/25/22 Price $11.50*		195,824		68,538
Constellation Alpha Capital Corp.,
Class R (Cayman Islands), Exp
3/23/24, Price $11.50*		721,730	$	173,215
Federal Street Acquisition Corp.,
Class A, Exp 7/24/22 Price $11.50*		214,101		246,216
Gores Holdings II, Inc., Class A, Exp
3/6/22, Price $11.50*		50,425		85,723
GTY Technology Holdings, Inc., Class
A (Cayman Islands), Exp 11/14/21,
Price $11.50*		59,477		73,157
Kayne Anderson Acquisition Corp.,
Class A, Exp 6/30/22 Price $11.50*		141,229		131,343
Landcadia Holdings, Inc., Exp 6/1/23
Price $11.50*		66,027		48,530
Matlin and Partners Acquisition Corp.,
Class A, Exp 5/28/21 Price $11.50*		376,292		199,435
Pensare Acquisition Corp., Exp 8/8/22,
Price $11.50*		107,893		53,946
TPG Pace Holdings Corp. - Class A,
Exp 8/18/22 Price $11.50*		146,011		226,317
Vantage Energy Acquisition Corp.,
Class A, Exp 4/12/24, Price $11.50*		107,685		139,991
Williams Scotsman Corp., Exp
11/29/22, Price $11.50		54,560		91,115
				1,639,226
Energy — 0.1%
Alta Mesa Resources, Inc., Exp
02/09/23, Price $7.34		164,499		254,974
Information Technology — 0.0%
Rimini Street, Inc. Exp 9/30/22, Price
$11.50		38,187		22,908
Total Warrants			$	1,917,108

Principal
Amount
		Commercial Mortgage-Backed Security — 0.7%
$	1,320,000	GSCCRE Commercial Mortgage Trust,
		Ser 2015-HULA, Class C, 144a, (1M
		LIBOR +2.750%), 4.527%, 8/15/32(A)	$	1,324,975

	Shares
Exchange-Traded Funds — 0.1%
Consumer Discretionary Select Sector
SPDR Fund		629		63,711
Consumer Staples Select Sector SPDR
Fund		364		19,157
Financial Select Sector SPDR Fund		2,354		64,900
Health Care Select Sector SPDR Fund		192		15,629
Industrial Select Sector SPDR Fund		701		52,077
Materials Select Sector SPDR Fund		64		3,644
Technology Select Sector SPDR Fund		574		37,551
Total Exchange-Traded Funds			$	256,669

31

Touchstone Merger Arbitrage Fund (Unaudited) (Continued)

	Number
	of		Notional		Market
	Contracts		Amount		Value
Purchased Options — 0.1%
Purchased Call Options — 0.1%
SPDR S&P 500 ETF Trust.,
Strike @260.00,
Exp 05/18		50	$	1,315,750	$	21,800
SPDR S&P 500 ETF Trust.,
Strike @264.00,
Exp 04/18		70		1,842,050		29,750
SPDR S&P 500 ETF Trust.,
Strike @267.00,
Exp 04/18		102		2,684,130		65,688
SPDR S&P 500 ETF Trust.,
Strike @270.00,
Exp 04/18		78		2,052,570		66,066
					$	183,304

	Number
	of
	Rights
Rights — 0.1%
Black Ridge Acquisition Corp. Exp
7/1/19, Strike Price $11.50*		195,824		58,747
Pensare Acquisition Corp. Exp 2/1/19,
Strike Price $11.50*		215,786		97,104
Media General, Inc. Exp 12/31/23, Strike
Price $10.00(C)		208,090		20,809
Total Rights			$	176,660

	Shares
Short-Term Investment Fund — 11.9%
Dreyfus Government Cash
Management, Institutional Shares,
1.54%∞Ω		22,349,409		$	22,349,409
Total Long Positions
(Cost $219,311,192)				$	214,715,172
Securities Sold Short — (7.6%)
Common Stocks — (7.5%)
Utilities — (2.2%)
Vistra Energy Corp.*		(198,015	)		(4,124,652	)
Energy — (2.0%)
Concho Resources, Inc.*		(15,024	)		(2,258,558	)
SPDR S&P Oil & Gas Exploration &
Production ETF		(42,000	)		(1,479,240	)
					(3,737,798	)
Consumer Discretionary — (1.6%)
Lennar Corp. - Class A		(36,632	)		(2,159,090	)
Lennar Corp. - Class B		(607	)		(28,948	)
Sinclair Broadcast Group, Inc., Class A		(28,639	)		(896,401	)
					(3,084,439	)
Industrials — (0.7%)
United Technologies Corp.		(10,429	)		(1,312,177	)
Telecommunication Services — (0.6%)
AT&T, Inc.		(32,960	)		(1,175,024	)
Information Technology — (0.4%)
salesforce.com, Inc.*		(5,537	)		(643,953	)
Total Common Stocks				$	(14,078,043	)
Exchange-Traded Funds — (0.1%)
Energy Select Sector SPDR Fund		(229	)		(15,437	)
iShares US Telecommunications ETF		(235	)		(6,350	)
Real Estate Select Sector SPDR Fund		(4,164	)		(129,417	)
Utilities Select Sector SPDR Fund		(2,281	)		(115,259	)
Total Exchange-Traded Funds				$	(266,463	)
Total Securities Sold Short
(Proceeds $14,081,089)				$	(14,344,506	)

	Number
	of			Notional
	Contracts			Amount
Written Options — (0.1%)
Written Put Options — (0.1%)
SPDR S&P 500 ETF Trust.,
Strike @250.00,
Exp 05/18		(50	)	$	(1,315,750	)		(9,000	)
SPDR S&P 500 ETF Trust.,
Strike @260.00,
Exp 04/18		(70	)		(1,842,050	)		(18,900	)
SPDR S&P 500 ETF Trust.,
Strike @260.00,
Exp 04/18		(102	)		(2,684,130	)		(34,680	)
SPDR S&P 500 ETF Trust.,
Strike @262.00,
Exp 04/18		(78	)		(2,052,570	)		(31,356	)
SPDR S&P 500 ETF Trust.,
Strike @34.00, Exp 04/18		(210	)		(3,360	)		(3,360	)
SPDR S&P 500 ETF Trust.,
Strike @34.50, Exp 04/18		(210	)		(3,360	)		(5,670	)
							$	(102,966	)
Written Call Options — (0.0%)
SPDR S&P 500 ETF Trust.,
Strike @268.00,
Exp 04/18		(70	)		(1,842,050	)		(12,600	)
SPDR S&P 500 ETF Trust.,
Strike @270.00,
Exp 04/18		(102	)		(2,684,130	)		(17,034	)

32

Touchstone Merger Arbitrage Fund (Unaudited) (Continued)

	Number
	of			Notional			Market
	Contracts			Amount			Value
Written Call Options — (0.0%) (Continued)
SPDR S&P 500 ETF Trust.,
Strike @270.00,
Exp 05/18		(50	)	$	(1,315,750	)	$	(12,150	)
SPDR S&P 500 ETF Trust.,
Strike @272.00,
Exp 04/18		(78	)		(2,052,570	)		(13,416	)
							$	(55,200	)
Total Written Options
(Premiums received $183,789)							$	(158,166	)
Total — 106.4%							$	200,212,500
Liabilities in Excess of Other Assets — (6.4%)								(12,113,462	)
Net Assets — 100.0%							$	188,099,038

^(A) Variable rate security - Rate reflected is the rate in effect as of March 31, 2018.

^(B) Perpetual Bond - A bond with no definite maturity date.

^(C) Level 3 - 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.

* Non-income producing security.

^†† All or a portion of these securities are pledged as collateral for securities sold short and written options. The total value of the securities pledged as collateral as of March 31, 2018 was $47,901,941.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviations:

ADR - American Depositary Receipt

DKK - Danish Krone

ETF - Exchange-Traded Fund

EUR - Euro

LIBOR - London Interbank Offered Rate

LP - Limited Partnership

SPDR - Standard & Poor's Depositary Receipt

USD - United States Dollar

144a - This is a restricted security that was sold in a transaction qualifying for the exemption under 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, 2018, these securities were valued at $4,588,572 or 2.4% 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
Assets:
Common Stocks	$	180,235,774		$	—	$	—	$	180,235,774
Corporate Bonds		—			8,271,273		—		8,271,273
Warrants		1,917,108			—		—		1,917,108
Commercial Mortgage-Backed Security		—			1,324,975		—		1,324,975
Exchange-Traded Funds		256,669			—		—		256,669
Purchased Options Equity Contracts		183,304			—		—		183,304
Rights		155,851			—		20,809		176,660
Short-Term Investment Fund		22,349,409			—		—		22,349,409
Other Financial Instruments**
Forward Foreign Currency Contracts		—			25,628		—		25,628
Total Assets	$	205,098,115		$	9,621,876	$	20,809	$	214,740,800
Liabilities:
Securities Sold Short
Common Stocks	$	(14,078,043	)	$	—	$	—	$	(14,078,043	)
Exchange-Traded Funds		(266,463	)		—		—		(266,463	)
Other Financial Instruments**
Written Options
Equity Contracts		(158,166	)		—		—		(158,166	)
Total Liabilities	$	(14,502,672	)	$	—	$	—	$	(14,502,672	)
Total	$	190,595,443		$	9,621,876	$	20,809	$	200,238,128

33

Touchstone Merger Arbitrage Fund (Unaudited) (Continued)

** Other Financial Instruments are derivative instruments not reflected in total investments. Amounts shown represent market value for written option equity contracts and unrealized appreciation on forward foreign currency contracts.

At March 31, 2018, equity securities valued at $1,491,483 were transferred from Level 2 to Level 1. Transfers from Level 1 to Level 2 are due to movements of a designated U.S. market index, triggering a systematic valuation model, provided by an independent third party, when required confidence levels are achieved to fair value the international equity securities. Transfers from Level 2 to Level 1 occur when there is no longermovement of the designated U.S. market index or required confidence levels were not reached in the systematicmodel.

Measurements Using Unobservable Inputs (Level 3)
Assets	Rights
Beginning balance September 30, 2017	$	20,809
Net change in unrealized appreciation/depreciation		—
Realized gain from distributions received		—
Ending balance March 31, 2018	$	20,809
Net Change in Unrealized Appreciation/Depreciation for Investments in Securities still held at March 31, 2018	$	—

			Valuation	Unobservable
Rights	Fair Value		Technique	Input
Media General, Inc.
Exp 12/31/23,			Issuer	New
Strike Price $10.00	$	20,809	Guidance	Issuer

Forward Foreign Currency Contracts

		Contract to				Unrealized
Counterparty	Expiration Date	Receive		Deliver		Appreciation
Brown Brothers Harriman	04/30/2018	USD	991,262	DKK	5,950,052	$	6,903
Brown Brothers Harriman	04/30/2018	USD	848,844	DKK	5,104,948		4,296
Brown Brothers Harriman	05/31/2018	USD	2,194,945	EUR	1,764,000		14,429
						$	25,628

See accompanying Notes to Financial Statements.

34

Portfolio of Investments

Touchstone Mid Cap Fund – March 31, 2018 (Unaudited)

			Market
	Shares		Value
Common Stocks — 98.7%
Industrials — 22.5%
Armstrong World Industries, Inc.*		488,200	$	27,485,660
Cintas Corp.		351,110		59,892,344
Copart, Inc.*		664,988		33,867,839
Old Dominion Freight Line, Inc.		268,880		39,517,294
Sensata Technologies Holding PLC
(Great Britain)*		480,710		24,915,199
				185,678,336
Consumer Discretionary — 19.5%
CarMax, Inc.*		430,160		26,644,110
Deckers Outdoor Corp.*		189,500		17,060,685
Dollar Tree, Inc.*		270,310		25,652,419
Hasbro, Inc.		275,780		23,248,254
Penske Automotive Group, Inc.		480,744		21,311,381
Tiffany & Co.		286,960		28,024,514
Whirlpool Corp.		125,070		19,149,468
				161,090,831
Financials — 18.6%
Alleghany Corp.		56,740		34,863,326
M&T Bank Corp.		202,090		37,257,312
Progressive Corp. (The)		557,500		33,968,475
T Rowe Price Group, Inc.		299,170		32,301,385
Voya Financial, Inc.		304,530		15,378,765
				153,769,263
Information Technology — 13.1%
Amphenol Corp. - Class A		400,960		34,534,685
Citrix Systems, Inc.*		303,870		28,199,136
Paychex, Inc.		495,800		30,536,322
Symantec Corp.		556,989		14,398,166
				107,668,309
Consumer Staples — 11.6%
Brown-Forman Corp. - Class B		517,230		28,137,312
Edgewell Personal Care Co.*		211,160		10,308,831
Energizer Holdings, Inc.		340,361		20,278,708
Post Holdings, Inc.*		484,917		36,737,312
				95,462,163
Materials — 10.4%
Ball Corp.		784,110		31,137,008
NewMarket Corp.		73,050		29,342,724
Vulcan Materials Co.		221,660		25,306,922
				85,786,654
Real Estate — 3.0%
STORE Capital Corp. REIT		993,630		24,661,896
Total Common Stocks			$	814,117,452
Short-Term Investment Fund — 0.6%
Dreyfus Government Cash
Management, Institutional Shares,
1.54%∞Ω		4,640,637	$	4,640,637
Total Investment Securities —99.3%
(Cost $689,624,731)			$	818,758,089
Other Assets in Excess of Liabilities — 0.7%				5,987,368
Net Assets — 100.0%			$	824,745,457

* Non-income producing security.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

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	$	814,117,452	$	—	$	—	$	814,117,452
Short-Term Investment Fund		4,640,637		—		—		4,640,637
Total	$	818,758,089	$	—	$	—	$	818,758,089

See accompanying Notes to Financial Statements.

35

Portfolio of Investments

Touchstone Mid Cap Value Fund – March 31, 2018 (Unaudited)

			Market
	Shares		Value
Common Stocks — 98.7%
Financials — 21.2%
Allstate Corp. (The)		130,033	$	12,327,128
Ameriprise Financial, Inc.		82,893		12,263,191
Blackstone Mortgage Trust, Inc. - Class A, REIT†		362,503		11,389,844
E*TRADE Financial Corp.*		227,955		12,630,987
Hanover Insurance Group, Inc. (The)		83,098		9,796,423
Hartford Financial Services Group, Inc. (The)		199,179		10,261,702
M&T Bank Corp.		45,499		8,388,196
PacWest Bancorp		232,931		11,537,073
Pinnacle Financial Partners, Inc.		155,065		9,955,173
Reinsurance Group of America, Inc.		83,098		12,797,092
Signature Bank*		86,176		12,232,683
SVB Financial Group*		46,832		11,240,148
TCF Financial Corp.		370,043		8,440,681
Unum Group		218,466		10,401,166
				153,661,487
Industrials — 13.2%
Aercap Holdings N.V. (Netherlands)*		272,069		13,799,340
Clean Harbors, Inc.*		173,531		8,470,048
Dover Corp.		135,419		13,300,854
Fluor Corp.		141,215		8,080,322
KAR Auction Services, Inc.		255,142		13,828,696
Parker-Hannifin Corp.		40,985		7,009,665
Regal-Beloit Corp.		152,398		11,178,393
Snap-on, Inc.		82,995		12,245,082
Stericycle, Inc.*		130,238		7,622,830
				95,535,230
Materials — 11.6%
Allegheny Technologies, Inc.*		346,139		8,196,572
Bemis Co., Inc.		213,798		9,304,489
Berry Global Group, Inc.*		187,073		10,253,471
FMC Corp.		157,630		12,069,729
Olin Corp.		254,132		7,723,072
PPG Industries, Inc.		89,100		9,943,560
Scotts Miracle-Gro Co. (The)		110,900		9,509,675
Sonoco Products Co.		136,548		6,622,578
Valvoline, Inc.		455,193		10,073,421
				83,696,567
Consumer Discretionary — 10.7%
Aramark		308,591		12,207,860
BorgWarner, Inc.		261,451		13,132,684
Carter's, Inc.		60,682		6,316,996
Dollar General Corp.		42,626		3,987,662
Dollar Tree, Inc.*		130,751		12,408,270
LKQ Corp.*		452,833		17,185,012
Michaels Cos., Inc. (The)*		275,814		5,436,294
Newell Brands, Inc.		280,584		7,149,280
				77,824,058
Information Technology — 8.8%
Diebold Nixdorf, Inc.		291,613		4,490,840
Fidelity National Information Services, Inc.		131,572		12,670,384
MACOM Technology Solutions Holdings, Inc.*†		867,708		14,403,953
PTC, Inc.*		136,291		10,632,061
Qorvo, Inc.*		125,878		8,868,105
Synopsys, Inc.*		150,705		12,544,684
				63,610,027
Real Estate — 7.9%
Alexandria Real Estate Equities, Inc., REIT		102,539		12,806,096
American Campus Communities, Inc., REIT		271,505		10,485,523
Brixmor Property Group, Inc., REIT		516,285		7,873,346
Equinix, Inc., REIT		21,082		8,815,228
Host Hotels & Resorts, Inc., REIT		477,147		8,894,020
Mid-America Apartment Communities, Inc., REIT		92,382		8,428,934
				57,303,147
Utilities — 7.8%
DTE Energy Co.		117,261		12,242,048
Edison International		127,359		8,107,674
Great Plains Energy, Inc.		274,634		8,730,615
Pinnacle West Capital Corp.		155,629		12,419,194
PPL Corp.		229,392		6,489,500
Westar Energy, Inc.		154,963		8,149,504
				56,138,535
Energy — 7.3%
Anadarko Petroleum Corp.		203,436		12,289,569
Cimarex Energy Co.		120,618		11,277,783
EQT Corp.		201,744		9,584,858
Newfield Exploration Co.*		320,441		7,825,169
Noble Energy, Inc.		389,022		11,787,367
				52,764,746
Health Care — 6.1%
AmerisourceBergen Corp.		62,221		5,364,072
Charles River Laboratories International, Inc.*		96,230		10,271,590
DENTSPLY SIRONA, Inc.		203,385		10,232,299
Envision Healthcare Corp.*		321,826		12,367,773
Patterson Cos., Inc.		263,452		5,856,538
				44,092,272
Consumer Staples — 4.1%
Darling Ingredients, Inc.*		418,260		7,235,898
Hain Celestial Group, Inc. (The)*		260,733		8,361,707
Kroger Co. (The)		339,830		8,135,530
TreeHouse Foods, Inc.*		160,656		6,148,305
				29,881,440
Total Common Stocks			$	714,507,509

36

Touchstone Mid Cap Value Fund (Unaudited) (Continued)

			Market
	Shares		Value
Exchange-Traded Fund — 0.3%
iShares Russell Mid-Cap Value ETF		21,441	$	1,853,146
Short-Term Investment Funds — 5.6%
Dreyfus Government Cash
Management, Institutional Shares,
1.54%∞Ω		20,043,047		20,043,047
Invesco Government & Agency
Portfolio, Institutional Class,
1.48%**∞Ω		20,761,501		20,761,501
Total Short-Term Investment Funds			$	40,804,548
Total Investment Securities — 104.6%
(Cost $697,021,090)			$	757,165,203
Liabilities in Excess of Other Assets — (4.6%)				(33,425,751	)
Net Assets — 100.0%			$	723,739,452

* Non-income producing security.

** Represents collateral for securities loaned.

† All or a portion of the security is on loan. The total market value of the securities on loan as of March 31, 2018 was $21,066,580.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviations:

ETF - Exchange-Traded Fund

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	$	714,507,509	$	—	$	—	$	714,507,509
Exchanged-Traded Fund		1,853,146		—		—		1,853,146
Short-Term Investment Funds		40,804,548		—		—		40,804,548
Total	$	757,165,203	$	—	$	—	$	757,165,203

See accompanying Notes to Financial Statements.

37

Portfolio of Investments

Touchstone Premium Yield Equity Fund – March 31, 2018 (Unaudited)

			Market
	Shares		Value
Common Stocks — 97.7%
Information Technology — 24.2%
Canon, Inc., ADR		76,697	$	2,795,606
Cisco Systems, Inc.		70,756		3,034,725
Cypress Semiconductor Corp.		193,628		3,283,931
HP, Inc.		108,640		2,381,389
KLA-Tencor Corp.		21,247		2,316,135
QUALCOMM, Inc.		37,282		2,065,796
Sabre Corp.		114,854		2,463,618
Taiwan Semiconductor Manufacturing Co. Ltd., ADR		64,743		2,833,154
Texas Instruments, Inc.		23,051		2,394,768
Western Digital Corp.		34,476		3,181,100
				26,750,222
Financials — 22.8%
Aegon NV (Netherlands)†		339,550		2,298,753
Bank of Montreal (Canada)		29,866		2,256,974
BB&T Corp.		87,794		4,568,800
CME Group, Inc.		16,637		2,690,868
FNF Group		57,728		2,310,275
HSBC Holdings PLC, ADR†		55,322		2,637,200
Huntington Bancshares, Inc.		211,467		3,193,152
Old Republic International Corp.		88,596		1,900,384
Toronto-Dominion Bank (The) (Canada)		58,529		3,327,374
				25,183,780
Energy — 10.2%
Enbridge, Inc. (Canada)		76,970		2,422,246
ONEOK, Inc.		45,501		2,589,917
Pembina Pipeline Corp. (Canada)		28,062		876,376
TOTAL SA, ADR		48,627		2,805,292
Williams Cos., Inc. (The)		103,428		2,571,220
				11,265,051
Telecommunication Services — 8.5%
BCE, Inc. (Canada)		57,728		2,484,613
Verizon Communications, Inc.		68,351		3,268,545
Vodafone Group PLC, ADR		131,090		3,646,924
				9,400,082
Health Care — 8.0%
AbbVie, Inc.		26,258		2,485,320
Merck & Co., Inc.		54,520		2,969,704
Pfizer, Inc.		94,008		3,336,344
				8,791,368
Real Estate — 5.6%
Crown Castle International Corp., REIT		24,053		2,636,449
Digital Realty Trust, Inc., REIT		11,225		1,182,890
Lamar Advertising Co. - Class A, REIT		37,082		2,360,640
				6,179,979
Consumer Discretionary — 4.8%
Tapestry, Inc.		42,788		2,251,077
Target Corp.		44,298		3,075,610
				5,326,687
Industrials — 4.3%
Eaton Corp. PLC (Ireland)		39,086		3,123,362
United Parcel Service, Inc. - Class B		15,635		1,636,359
				4,759,721
Utilities — 4.2%
AES Corp.		152,537		1,734,346
CenterPoint Energy, Inc.		105,167		2,881,576
				4,615,922
Materials — 3.1%
LyondellBasell Industries NV - Class A
(Netherlands)		32,672		3,452,777
Consumer Staples — 2.0%
Sysco Corp.		37,282		2,235,429
Total Common Stocks			$	107,961,018
Short-Term Investment Funds — 7.0%
Dreyfus Government Cash
Management, Institutional Shares,
1.54%∞Ω		3,105,698		3,105,698
Invesco Government & Agency
Portfolio, Institutional Class,
1.48%**∞Ω		4,684,185		4,684,185
Total Short-Term Investment Funds			$	7,789,883
Total Investment Securities —104.7%
(Cost $101,538,812)			$	115,750,901
Liabilities in Excess of Other Assets — (4.7%)				(5,244,094	)
Net Assets — 100.0%			$	110,506,807

** Represents collateral for securities loaned.

† All or a portion of the security is on loan. The total market value of the securities on loan as of March 31, 2018 was $4,587,097.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviations:

ADR - American Depositary Receipt

PLC - Public Limited Company

REIT - Real Estate Investment Trust

38

Touchstone Premium Yield Equity Fund (Unaudited) (Continued)

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	$	107,961,018	$	—	$	—	$	107,961,018
Short-Term Investment Funds		7,789,883		—		—		7,789,883
Total	$	115,750,901	$	—	$	—	$	115,750,901

See accompanying Notes to Financial Statements.

39

Portfolio of Investments

Touchstone Sands Capital Select Growth Fund – March 31, 2018 (Unaudited)

			Market
	Shares		Value
Common Stocks — 98.4%
Information Technology — 54.5%
Activision Blizzard, Inc.		719,000	$	48,503,740
Adobe Systems, Inc.*		568,134		122,762,395
Alibaba Group Holding Ltd. ADR*		1,033,867		189,755,949
Alphabet, Inc. - Class A*		105,500		109,418,270
Alphabet, Inc. - Class C*		9,000		9,286,110
Baidu, Inc. ADR*		407,480		90,945,461
CoStar Group, Inc.*		159,098		57,701,663
Facebook, Inc. - Class A*		801,880		128,132,405
Palo Alto Networks, Inc.*		452,500		82,137,800
salesforce.com, Inc.*		1,335,612		155,331,676
ServiceNow, Inc.*		831,000		137,488,950
Splunk, Inc.*		698,844		68,759,261
Visa, Inc. - Class A		1,397,699		167,192,754
				1,367,416,434
Consumer Discretionary — 21.0%
Amazon.com, Inc.*		143,500		207,693,290
Booking Holdings, Inc.*		56,600		117,750,074
Netflix, Inc.*		548,500		161,999,475
Starbucks Corp.		692,000		40,059,880
				527,502,719
Health Care — 16.6%
Alexion Pharmaceuticals, Inc.*		425,230		47,396,136
Align Technology, Inc.*		205,000		51,481,650
BioMarin Pharmaceutical, Inc.*		538,681		43,670,869
Edwards Lifesciences Corp.*		431,677		60,227,575
Illumina, Inc.*		324,396		76,693,702
Incyte Corp.*		603,062		50,253,156
Loxo Oncology, Inc.*		262,261		30,257,052
Regeneron Pharmaceuticals, Inc.*		162,000		55,786,320
				415,766,460
Consumer Staples — 3.2%
Monster Beverage Corp.*		1,405,000		80,380,050
Financials — 3.1%
Charles Schwab Corp. (The)		1,468,000		76,658,960
Total Common Stocks			$	2,467,724,623
Short-Term Investment Fund — 1.8%
Dreyfus Government Cash
Management, Institutional Shares,
1.54%∞Ω		44,271,938	$	44,271,938
Total Investment Securities —100.2%
(Cost $1,096,584,451)			$	2,511,996,561
Liabilities in Excess of Other Assets — (0.2%)				(5,405,847	)
Net Assets — 100.0%			$	2,506,590,714

* Non-income producing security.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviation:

ADR - American Depositary Receipt

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	$	2,467,724,623	$	—	$	—	$	2,467,724,623
Short-Term Investment Fund		44,271,938		—		—		44,271,938
Total	$	2,511,996,561	$	—	$	—	$	2,511,996,561

See accompanying Notes to Financial Statements.

40

Portfolio of Investments

Touchstone Small Cap Fund – March 31, 2018 (Unaudited)

			Market
	Shares		Value
Common Stocks — 97.9%
Industrials — 30.4%
Armstrong World Industries, Inc.*		106,263	$	5,982,607
GATX Corp.		122,562		8,394,271
Kaman Corp.		112,540		6,990,985
Landstar System, Inc.		89,519		9,815,758
Matson, Inc.		106,989		3,064,165
Orbital ATK, Inc.		58,977		7,820,940
USG Corp.*		202,992		8,204,937
				50,273,663
Consumer Discretionary — 17.5%
Cooper Tire & Rubber Co.		123,382		3,615,093
Deckers Outdoor Corp.*		29,547		2,660,116
MSG Networks, Inc., Class A*		233,270		5,271,902
Penske Automotive Group, Inc.		141,628		6,278,369
Service Corp. International		111,508		4,208,312
Sturm Ruger & Co., Inc.†		79,613		4,179,683
Tempur Sealy International, Inc.*		60,615		2,745,253
				28,958,728
Materials — 14.3%
GCP Applied Technologies, Inc.*		155,991		4,531,539
Ingevity Corp.*		87,741		6,465,634
NewMarket Corp.		22,961		9,222,974
Olin Corp.		55,794		1,695,580
Tredegar Corp.		95,498		1,714,189
				23,629,916
Real Estate — 8.8%
Alexander & Baldwin, Inc. REIT		278,125		6,433,031
First Industrial Realty Trust, Inc. REIT		217,475		6,356,794
Tejon Ranch Co.*		73,734		1,703,993
				14,493,818
Information Technology — 7.9%
DST Systems, Inc.		95,999		8,030,316
Versum Materials, Inc.		133,171		5,011,225
				13,041,541
Consumer Staples — 7.9%
Energizer Holdings, Inc.		125,437		7,473,536
PriceSmart, Inc.		66,507		5,556,660
				13,030,196
Financials — 7.5%
Eaton Vance Corp.		81,141		4,517,120
MBIA, Inc.*†		321,586		2,977,886
White Mountains Insurance Group Ltd.
(Bermuda)		5,946		4,890,704
				12,385,710
Energy — 2.0%
Dril-Quip, Inc.*		75,976		3,403,725
Health Care — 1.6%
Bruker Corp.		86,911		2,600,377
Total Common Stocks			$	161,817,674
Short-Term Investment Funds — 5.2%
Dreyfus Government Cash
Management, Institutional Shares,
1.54%∞Ω		2,260,371	$	2,260,371
Invesco Government & Agency
Portfolio, Institutional Class,
1.48%**∞Ω		6,324,413		6,324,413
Total Short-Term Investment Funds			$	8,584,784
Total Investment Securities —103.1%
(Cost $116,308,131)			$	170,402,458
Liabilities in Excess of Other Assets — (3.1%)				(5,060,999	)
Net Assets — 100.0%			$	165,341,459

* Non-income producing security.

** Represents collateral for securities loaned.

† All or a portion of the security is on loan. The total market value of the securities on loan as of March 31, 2018 was $6,360,406.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviation:

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	$	161,817,674	$	—	$	—	$	161,817,674
Short-Term Investment Funds		8,584,784		—		—		8,584,784
Total	$	170,402,458	$	—	$	—	$	170,402,458

See accompanying Notes to Financial Statements.

41

Portfolio of Investments

Touchstone Small Cap Value Fund – March 31, 2018 (Unaudited)

			Market
	Shares		Value
Common Stocks — 96.0%
Financials — 26.2%
Banc of California, Inc.†		20,854	$	402,482
Bank of NT Butterfield & Son Ltd. (The)
(Bermuda)		33,721		1,513,398
BankUnited, Inc.		45,232		1,808,375
Blackstone Mortgage Trust, Inc.
- Class A REIT†		55,240		1,735,641
Chemical Financial Corp.		23,499		1,284,925
Eagle Bancorp, Inc.*		18,004		1,077,539
Federated Investors, Inc. - Class B		12,943		432,296
First Horizon National Corp.		78,069		1,470,039
FNB Corp.		140,783		1,893,531
Hanover Insurance Group, Inc. (The)		14,186		1,672,388
Hercules Capital, Inc.		94,425		1,142,543
IBERIABANK Corp.		22,137		1,726,686
MB Financial, Inc.		31,366		1,269,696
National General Holdings Corp.		73,486		1,786,445
Sterling Bancorp.		89,870		2,026,569
TCF Financial Corp.		51,222		1,168,374
Univest Corp. of Pennsylvania		45,346		1,256,084
Validus Holdings Ltd. (Bermuda)		20,127		1,357,566
				25,024,577
Industrials — 20.7%
Actuant Corp. - Class A		29,486		685,550
Altra Industrial Motion Corp.†		15,757		724,034
Clean Harbors, Inc.*		17,425		850,514
EMCOR Group, Inc.		12,339		961,578
EnPro Industries, Inc.		16,015		1,239,241
Generac Holdings, Inc.*		21,341		979,765
Hexcel Corp.		19,059		1,231,021
Huron Consulting Group, Inc.*		25,244		961,796
ITT, Inc.		24,915		1,220,337
Korn/Ferry International		35,410		1,826,802
Masonite International Corp. (Canada)*		10,554		647,488
Matthews International Corp. - Class A		17,967		909,130
Milacron Holdings Corp.*		63,120		1,271,237
Regal Beloit Corp.		16,086		1,179,908
SPX FLOW, Inc.*		9,426		463,665
Standex International Corp.		14,930		1,423,576
Team, Inc.*†		80,255		1,103,506
Tetra Tech, Inc.		10,799		528,611
TriMas Corp.*		41,427		1,087,459
Triumph Group, Inc.		20,144		507,629
				19,802,847
Consumer Discretionary — 9.6%
Callaway Golf Co.		38,287		626,375
Del Frisco's Restaurant Group, Inc.*		21,208		323,422
Express, Inc.*		18,602		133,190
Horizon Global Corp.*		68,222		562,149
Michaels Cos., Inc. (The)*		29,250		576,518
Murphy USA, Inc.*		30,310		2,206,568
Nexstar Media Group, Inc. - Class A		22,163		1,473,840
Oxford Industries, Inc.		8,146		607,366
Steven Madden Ltd.		20,293		890,863
Tailored Brands, Inc.		19,236		482,054
Tenneco, Inc.		13,022		714,517
Vista Outdoor, Inc.*		33,853		552,481
				9,149,343
Materials — 8.3%
Allegheny Technologies, Inc.*		45,343		1,073,722
HB Fuller Co.		17,039		847,349
Ingevity Corp.*		10,092		743,679
Olin Corp.		24,949		758,200
Owens-Illinois, Inc.*		33,617		728,144
Silgan Holdings, Inc.		26,328		733,235
Sonoco Products Co.		13,901		674,199
Valvoline, Inc.		57,434		1,271,014
WR Grace & Co.		17,773		1,088,241
				7,917,783
Health Care — 7.3%
Charles River Laboratories International, Inc.*		12,078		1,289,206
Encompass Health Corp.		30,910		1,767,125
Envision Healthcare Corp.*		41,112		1,579,934
Patterson Cos., Inc.		31,435		698,800
Prestige Brands Holdings, Inc.*		48,800		1,645,536
				6,980,601
Information Technology — 6.4%
Blackhawk Network Holdings, Inc.*		13,004		581,279
CACI International, Inc. - Class A*		6,444		975,299
Diebold Nixdorf, Inc.		41,713		642,380
MACOM Technology Solutions Holdings, Inc.*†		111,946		1,858,304
Semtech Corp.*		17,232		672,910
Viavi Solutions, Inc.*		143,442		1,394,256
				6,124,428
Consumer Staples — 5.8%
B&G Foods, Inc.†		25,776		610,891
Darling Ingredients, Inc.*		61,368		1,061,666
Hain Celestial Group, Inc. (The)*		33,588		1,077,167
Hostess Brands, Inc.*		84,091		1,243,706
Performance Food Group Co.*		22,882		683,028
TreeHouse Foods, Inc.*		22,283		852,770
				5,529,228
Utilities — 3.8%
Black Hills Corp.		12,200		662,460
Hawaiian Electric Industries, Inc.		20,679		710,944
IDACORP, Inc.		10,097		891,262
Portland General Electric Co.		34,050		1,379,366
				3,644,032
Real Estate — 3.8%
Columbia Property Trust, Inc. REIT		54,926		1,123,786
Corporate Office Properties Trust REIT		40,936		1,057,377
Education Realty Trust, Inc. REIT		27,827		911,334
Lexington Realty Trust REIT		68,250		537,128
				3,629,625

42

Touchstone Small Cap Value Fund (Unaudited) (Continued)

			Market
	Shares		Value
Common Stocks — 96.0% (Continued)
Energy — 3.5%
Callon Petroleum Co.*		68,590	$	908,132
Carrizo Oil & Gas, Inc.*		47,120		753,920
Select Energy Services, Inc. - Class A*		29,310		369,892
SRC Energy, Inc.*		97,780		922,065
World Fuel Services Corp.		14,818		363,782
				3,317,791
Telecommunication Services — 0.6%
Cogent Communications Holdings, Inc.		14,485		628,649
Total Common Stocks			$	91,748,904
Short-Term Investment Funds — 10.7%
Dreyfus Government Cash
Management, Institutional Shares,
1.54%∞Ω		3,925,701		3,925,701
Invesco Government & Agency
Portfolio, Institutional Class,
1.48%**∞Ω		6,342,805		6,342,805
Total Short-Term Investment Funds			$	10,268,506
Total Investment Securities —106.7%
(Cost $102,492,179)			$	102,017,410
Liabilities in Excess of Other Assets — (6.7%)				(6,417,713	)
Net Assets — 100.0%			$	95,599,697

* Non-income producing security.

** Represents collateral for securities loaned.

† All or a portion of the security is on loan. The total market value of the securities on loan as of March 31, 2018 was $6,350,204.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviation:

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	$	91,748,904	$	—	$	—	$	91,748,904
Short-Term Investment Funds		10,268,506		—		—		10,268,506
Total	$	102,017,410	$	—	$	—	$	102,017,410

See accompanying Notes to Financial Statements.

43

Portfolio of Investments

Touchstone Total Return Bond Fund – March 31, 2018 (Unaudited)

Principal			Market
Amount			Value
		Corporate Bonds — 28.8%
		Industrials — 9.3%
$	2,983,281	American Airlines 2016-3 Class AA
		Pass Through Trust,
		3.000%, 10/15/28	$	2,816,039
	7,537	Burlington Northern and Santa Fe
		Railway Co. 1998-C Pass Through
		Trust, 6.230%, 7/2/18		7,596
	35,573	Burlington Northern and Santa Fe
		Railway Co. 2004-1 Pass Through
		Trust, 4.575%, 1/15/21		36,290
	218,639	Burlington Northern and Santa Fe
		Railway Co. 2005-3 Pass Through
		Trust, 4.830%, 1/15/23		225,676
	1,292,291	Burlington Northern and Santa Fe
		Railway Co. 2005-4 Pass Through
		Trust, 4.967%, 4/1/23		1,361,546
	896,726	Continental Airlines 2000-2 Class A-1
		Pass Through Trust, 7.707%, 4/2/21		962,187
	1,059,006	Continental Airlines 2007-1 Class A
		Pass Through Trust, 5.983%, 4/19/22		1,133,359
	667,453	Continental Airlines 2012-2 Class A
		Pass Through Trust,
		4.000%, 10/29/24		679,133
	1,558,226	CSX Transportation, Inc.,
		6.251%, 1/15/23		1,709,660
	653,219	Delta Air Lines 2007-1 Class B Pass
		Through Trust, 8.021%, 8/10/22		727,359
	1,094,864	Delta Air Lines 2010-2 Class A Pass
		Through Trust, 4.950%, 5/23/19		1,108,769
	389,181	Federal Express Corp. 1998 Pass
		Through Trust, 6.845%, 1/15/19		403,775
	765,154	Federal Express Corp. 1999 Pass
		Through Trust, 7.650%, 1/15/23		843,582
	2,583,000	GATX Corp., 3.250%, 3/30/25		2,454,707
	1,180,000	Kansas City Southern, 3.000%, 5/15/23		1,144,021
	1,475,000	Kansas City Southern, 3.125%, 6/1/26		1,400,280
	1,941,000	Norfolk Southern Corp.,
		2.903%, 2/15/23		1,905,880
	1,408,000	Republic Services, Inc.,
		5.250%, 11/15/21		1,502,032
	1,330,000	SBA Tower Trust, 144a,
		3.168%, 4/11/22		1,311,143
	1,395,176	Southwest Airlines Co. 2007-1 Pass
		Through Trust, 6.150%, 8/1/22		1,498,835
	23,121	Union Pacific Railroad Co. 2001 Pass
		Through Trust, 6.630%, 1/27/22		25,799
	1,149,454	Union Pacific Railroad Co. 2003 Pass
		Through Trust, 4.698%, 1/2/24		1,207,081
	514,707	Union Pacific Railroad Co. 2006 Pass
		Through Trust, 5.866%, 7/2/30		567,485
	1,644,000	United Rentals North America, Inc.,
		5.750%, 11/15/24		1,711,486
	1,616,000	Waste Management, Inc.,
		2.400%, 5/15/23		1,541,520
				28,285,240
		Financials — 8.1%
	2,444,000	Aflac, Inc., 3.250%, 3/17/25		2,400,291
	2,443,000	American Express Co.,
		2.650%, 12/2/22		2,363,455
	2,713,000	Delphi Financial Group, Inc.,
		7.875%, 1/31/20		2,933,168
	1,910,136	Fishers Lane Associates LLC, 144a,
		3.666%, 8/5/30		1,919,979
	2,347,000	Ford Motor Credit Co. LLC,
		4.375%, 8/6/23		2,381,001
	2,729,000	GE Capital International Funding Co.
		(Ireland), 3.373%, 11/15/25		2,637,836
	2,106,000	National Rural Utilities Cooperative
		Finance Corp., 3.400%, 11/15/23		2,129,861
	708,000	Nationwide Mutual Insurance Co.,
		144a, 9.375%, 8/15/39		1,145,101
	1,512,000	Provident Cos., Inc., 7.000%, 7/15/18		1,531,797
	1,398,000	Torchmark Corp., 3.800%, 9/15/22		1,420,464
	2,000,000	USB Capital IX, 3.500%(A)		1,806,100
	2,000,000	Wachovia Capital Trust III, 5.570%(A)		1,992,600
				24,661,653
		Utilities — 5.5%
	1,314,409	Bruce Mansfield Unit 1 2007 Pass
		Through Trust, 6/1/34(B)		410,753
	610,000	California Water Service Co.,
		5.500%, 12/1/40		735,622
	1,598,000	Commonwealth Edison Co.,
		5.900%, 3/15/36		1,966,806
	1,780,000	Dominion Energy, Inc., (3M LIBOR
		+2.300%), 4.602%, 9/30/66(C)		1,713,250
	275,000	Duke Energy Progress LLC,
		6.300%, 4/1/38		367,225
	1,904,000	Entergy Louisiana LLC,
		4.440%, 1/15/26		2,005,908
	1,642,000	Georgia Power Co., 4.750%, 9/1/40		1,773,404
	480,231	Kiowa Power Partners LLC, 144a,
		5.737%, 3/30/21		486,943
	2,000,000	NextEra Energy Capital Holdings, Inc.,
		(3M LIBOR +2.068%),
		4.376%, 10/1/66(C)		1,955,000
	2,926,000	PacifiCorp., 8.050%, 9/1/22		3,465,766
	1,983,000	South Carolina Electric & Gas Co.,
		4.600%, 6/15/43		2,019,842
				16,900,519
		Energy — 2.4%
	1,000,000	Apache Corp., 3.250%, 4/15/22		988,579
	1,253,000	Chesapeake Energy Corp.,
		6.625%, 8/15/20†		1,290,590
	1,530,000	Newfield Exploration Co.,
		5.750%, 1/30/22		1,598,850
	400,000	Spectra Energy Partners LP,
		3.500%, 3/15/25		385,281
	1,914,000	Tennessee Valley Authority,
		4.650%, 6/15/35		2,282,883

44

Touchstone Total Return Bond Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Corporate Bonds — 28.8% (Continued)
		Energy — (Continued)
$	500,000	Texas Eastern Transmission LP,
		7.000%, 7/15/32	$	634,508
				7,180,691
		Consumer Staples — 1.5%
	2,757,320	CVS Pass-Through Trust,
		6.036%, 12/10/28		2,977,457
	1,500,000	Kroger Co. (The), 3.850%, 8/1/23		1,523,646
				4,501,103
		Consumer Discretionary — 1.0%
	990,000	PulteGroup, Inc., 7.875%, 6/15/32		1,183,050
	1,300,000	Royal Caribbean Cruises Ltd. (Liberia),
		5.250%, 11/15/22		1,401,605
	466,000	Service Corp. International,
		5.375%, 5/15/24		484,197
				3,068,852
		Health Care — 0.5%
	1,650,000	HCA, Inc., 4.250%, 10/15/19		1,662,375
		Telecommunication Services — 0.5%
	1,422,000	Verizon Communications, Inc.,
		5.012%, 4/15/49		1,463,853
		Total Corporate Bonds	$	87,724,286
		U.S. Government Agency Obligations — 28.7%
	17,749	Astro Offshore Corp., (Bahamas),
		6.000%, 12/20/19		17,971
	1,332,000	Canal Barge Co., Inc., 4.500%, 11/12/34		1,385,467
	1,646,671	Helios Leasing I LLC, 1.734%, 7/24/24		1,592,746
	1,344,000	Matson Navigation Co., Inc.,
		5.337%, 9/4/28		1,467,351
	1,314,000	Petroleos Mexicanos (Mexico),
		2.290%, 2/15/24		1,295,228
	2,392,000	Private Export Funding Corp.,
		2.450%, 7/15/24		2,334,482
	1,914,947	Reliance Industries Ltd. (India),
		1.870%, 1/15/26		1,849,594
	143,449	Small Business Administration
		Participation Certificates, Ser
		2001-20A, Class 1, 6.290%, 1/1/21		148,416
	33,055	Small Business Administration
		Participation Certificates, Ser
		2001-20K, Class 1, 5.340%, 11/1/21		33,868
	91,700	Small Business Administration
		Participation Certificates, Ser
		2002-20H, Class 1, 5.310%, 8/1/22		94,713
	81,149	Small Business Administration
		Participation Certificates, Ser
		2003-20B, Class 1, 4.840%, 2/1/23		83,908
	29,072	Small Business Administration
		Participation Certificates, Ser
		2003-20D, Class 1, 4.760%, 4/1/23		30,010
	24,168	Small Business Administration
		Participation Certificates, Ser
		2004-20D, Class 1, 4.770%, 4/1/24		24,890
	217,756	Small Business Administration
		Participation Certificates, Ser
		2004-20K, Class 1, 4.880%, 11/1/24		225,171
	116,186	Small Business Administration
		Participation Certificates, Ser
		2005-20B, Class 1, 4.625%, 2/1/25		119,375
	88,819	Small Business Administration
		Participation Certificates, Ser
		2005-20H, Class 1, 5.110%, 8/1/25		92,460
	634,206	Small Business Administration
		Participation Certificates, Ser
		2006-20B, Class 1, 5.350%, 2/1/26		664,361
	313,075	Small Business Administration
		Participation Certificates, Ser
		2006-20H, Class 1, 5.700%, 8/1/26		328,812
	438,410	Small Business Administration
		Participation Certificates, Ser
		2006-20K, Class 1, 5.360%, 11/1/26		458,704
	553,151	Small Business Administration
		Participation Certificates, Ser
		2006-20L, Class 1, 5.120%, 12/1/26		576,450
	489,223	Small Business Administration
		Participation Certificates, Ser
		2007-20A, Class 1, 5.320%, 1/1/27		511,455
	702,440	Small Business Administration
		Participation Certificates, Ser
		2007-20E, Class 1, 5.310%, 5/1/27		732,638
	207,404	Small Business Administration
		Participation Certificates, Ser
		2007-20F, Class 1, 5.710%, 6/1/27		217,817
	594,900	Small Business Administration
		Participation Certificates, Ser
		2007-20L, Class 1, 5.290%, 12/1/27		620,599
	362,961	Small Business Administration
		Participation Certificates, Ser
		2008-20A, Class 1, 5.170%, 1/1/28		382,437
	1,034,200	Small Business Administration
		Participation Certificates, Ser
		2008-20K, Class 1, 6.770%, 11/1/28		1,128,039
	993,056	Small Business Administration
		Participation Certificates, Ser
		2009-20B, Class 1, 4.760%, 2/1/29		1,045,669
	1,488,976	Small Business Administration
		Participation Certificates, Ser
		2009-20C, Class 1, 4.660%, 3/1/29		1,559,945
	465,456	Small Business Administration
		Participation Certificates, Ser
		2009-20D, Class 1, 4.310%, 4/1/29		484,783

45

Touchstone Total Return Bond Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		U.S. Government Agency Obligations — 28.7%
		(Continued)
$	1,004,821	Small Business Administration
		Participation Certificates, Ser
		2009-20E, Class 1, 4.430%, 5/1/29	$	1,049,824
	548,046	Small Business Administration
		Participation Certificates, Ser
		2009-20F, Class 1, 4.950%, 6/1/29		581,974
	850,588	Small Business Administration
		Participation Certificates, Ser
		2009-20J, Class 1, 3.920%, 10/1/29		877,767
	1,574,922	Small Business Administration
		Participation Certificates, Ser
		2010-20F, Class 1, 3.880%, 6/1/30		1,625,389
	1,379,318	Small Business Administration
		Participation Certificates, Ser
		2010-20I, Class 1, 3.210%, 9/1/30		1,389,398
	736,534	Small Business Administration
		Participation Certificates, Ser
		2012-10C, Class 1, 1.240%, 5/1/22		718,921
	3,687,566	Small Business Administration
		Participation Certificates, Ser
		2013-20C, Class 1, 2.220%, 3/1/33		3,589,410
	2,959,871	Small Business Administration
		Participation Certificates, Ser
		2013-20E, Class 1, 2.070%, 5/1/33		2,868,659
	2,636,177	Small Business Administration
		Participation Certificates, Ser
		2013-20G, Class 1, 3.150%, 7/1/33		2,663,559
	2,179,174	Small Business Administration
		Participation Certificates, Ser
		2014-20H, Class 1, 2.880%, 8/1/34		2,170,612
	1,768,405	Small Business Administration
		Participation Certificates, Ser
		2014-20K, Class 1, 2.800%, 11/1/34		1,752,580
	4,044,364	Small Business Administration
		Participation Certificates, Ser
		2015-20E, Class 1, 2.770%, 5/1/35		4,001,567
	2,829,876	Small Business Administration
		Participation Certificates, Ser
		2015-20I, Class 1, 2.820%, 9/1/35		2,803,843
	4,044,159	Small Business Administration
		Participation Certificates, Ser
		2016-20A, Class 1, 2.780%, 1/1/36		3,995,378
	2,164,549	Small Business Administration
		Participation Certificates, Ser
		2017-10A, Class 1, 2.845%, 3/10/27		2,178,893
	2,710,280	Small Business Administration
		Participation Certificates, Ser
		2017-10B, Class 1, 2.518%, 9/10/27		2,666,588
	4,509,929	Small Business Administration
		Participation Certificates, Ser
		2017-20D, Class 1, 2.840%, 4/1/37		4,408,892
	3,419,439	Small Business Administration
		Participation Certificates, Ser
		2017-20E, Class 1, 2.880%, 5/1/37		3,355,383
	3,205,312	Small Business Administration
		Participation Certificates, Ser
		2017-20F, Class 1, 2.810%, 6/1/37		3,129,375
	3,319,000	Small Business Administration
		Participation Certificates, Ser
		2017-20K, Class 1, 2.790%, 11/1/37		3,238,519
	3,000,000	Small Business Administration
		Participation Certificates, Ser
		2017-20L, Class 1, 2.780%, 12/1/37		2,925,412
	3,165,000	Small Business Administration
		Participation Certificates, Ser
		2018-10A, Class 1, 3.187%, 3/10/28		3,158,437
	6,055,000	Small Business Administration
		Participation Certificates, Ser
		2018-20B, Class 1, 3.220%, 2/1/38		6,058,638
	2,898,000	Small Business Administration
		Participation Certificates, Ser
		2018-20C, Class 1, 3.200%, 3/1/38		2,888,903
	54,310	Sterling Equipment, 6.125%, 9/28/19		55,753
	1,206,563	Tagua Leasing LLC, 1.581%, 11/16/24		1,158,222
	910,000	Totem Ocean Trailer Express, Inc.,
		6.365%, 4/15/28		1,007,686
	1,322,000	Vessel Management Services, Inc.,
		5.125%, 4/16/35		1,479,758
		Total U.S. Government Agency
		Obligations	$	87,306,699
		Agency Collateralized Mortgage
		Obligations — 13.8%
	2,931,958	FHLMC Multifamily Structured Pass
		Through Certificates, Ser KW03
		Class A1, 2.617%, 12/25/26		2,865,340
	1,020,037	FREMF Mortgage Trust, Ser 2012-K19,
		Class B, 144a, 4.034%, 5/25/45(C)(D)		1,030,397
	925,000	FREMF Mortgage Trust, Ser 2012-K706,
		Class B, 144a, 4.030%, 11/25/44(C)(D)		927,769
	1,200,000	FREMF Mortgage Trust, Ser 2012-K710,
		Class B, 144a, 3.813%, 6/25/47(C)(D)		1,211,989
	750,000	FREMF Mortgage Trust, Ser 2013-K30,
		Class B, 144a, 3.558%, 6/25/45(C)(D)		748,978
	1,528,000	FREMF Mortgage Trust, Ser 2014-K716,
		Class B, 144a, 3.951%, 8/25/47(C)(D)		1,561,414
	2,229,668	FRESB Mortgage Trust, Ser 2015-SB9,
		Class A5, (1M LIBOR +0.700%),
		2.535%, 11/25/35(C)		2,206,015
	1,642,683	FRESB Mortgage Trust, Ser 2016-SB17,
		Class A5H, (1M LIBOR +2.160%),
		2.160%, 5/25/36(C)		1,609,161
	2,405,996	FRESB Mortgage Trust, Ser 2017-SB27,
		Class A10F, 3.090%, 1/25/27(C)(D)		2,383,059
	2,421,330	FRESB Mortgage Trust, Ser 2018-SB46,
		Class A10F, 3.300%, 12/25/27(C)(D)		2,427,579
	2,600,000	GNMA, Ser 2011-142, Class B,
		3.485%, 2/16/44(C)(D)		2,593,001

46

Touchstone Total Return Bond Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Agency Collateralized Mortgage
		Obligations — 13.8% (Continued)
$	165,621	GNMA, Ser 2011-147, Class A,
		2.174%, 7/16/38	$	165,095
	2,818,000	GNMA, Ser 2012-1, Class C,
		3.310%, 11/16/49		2,801,700
	2,975,000	GNMA, Ser 2012-46, Class C,
		3.176%, 5/16/50(C)(D)		2,923,249
	1,902,085	GNMA, Ser 2012-53, Class AC,
		2.381%, 12/16/43		1,847,659
	1,120,649	GNMA, Ser 2013-40, Class AC,
		1.584%, 1/16/46		1,077,942
	2,540,000	GNMA, Ser 2015-32, Class HG,
		3.000%, 9/16/49(C)(D)		2,231,784
	3,783,599	GNMA, Ser 2015-37, Class AD,
		2.600%, 11/16/55		3,676,147
	3,512,000	GNMA, Ser 2015-73, Class B,
		2.700%, 10/16/55(C)(D)		3,237,516
	2,629,338	GNMA, Ser 2017-46, Class AB,
		2.600%, 1/16/52		2,526,374
	2,099,244	GNMA, Ser 2017-H11, Class FV, (1M
		LIBOR +0.500%), 2.075%, 5/20/67(C)		2,106,711
		Total Agency Collateralized
		Mortgage Obligations	$	42,158,879
		U.S. Government Mortgage-Backed
		Obligations — 13.7%
	1,750,661	FHLMC, Pool #W30008,
		7.645%, 5/1/25		1,969,723
	203,829	FNMA, Pool #465711, 4.680%, 8/1/28		216,848
	1,505,714	FNMA, Pool #469616, 3.500%, 11/1/21		1,537,291
	107,046	FNMA, Pool #874210, 5.260%, 1/1/25		111,617
	464,130	FNMA, Pool #888829, 5.832%, 6/1/37		500,890
	272,005	FNMA, Pool #958736, 4.940%, 5/1/19		277,373
	286,514	FNMA, Pool #AD0101, 4.821%, 7/1/19		293,001
	276,391	FNMA, Pool #AD0166, 4.783%, 8/1/19		283,607
	790,813	FNMA, Pool #AD0342, 4.650%, 10/1/19		810,355
	791,315	FNMA, Pool #AD0786, 4.501%, 1/1/20		810,762
	401,786	FNMA, Pool #AD0910, 4.629%, 4/1/20		412,211
	343,429	FNMA, Pool #AE0209, 4.380%, 6/1/20		352,350
	1,004,353	FNMA, Pool #AE0446, 4.041%, 9/1/20		1,026,935
	1,748,991	FNMA, Pool #AH8854, 4.500%, 4/1/41		1,848,515
	1,740,600	FNMA, Pool #AM0157, 2.680%, 2/1/22		1,729,116
	1,815,016	FNMA, Pool #AM0566, 1.940%, 9/1/19		1,811,959
	3,359,000	FNMA, Pool #AN3613, 2.680%, 12/1/26		3,213,469
	2,199,381	FNMA, Pool #AP7488, 3.500%, 9/1/42		2,219,209
	1,058,595	FNMA, Pool #AT0924, 2.000%, 3/1/28		1,003,396
	3,837,873	FNMA, Pool #AU1628, 3.000%, 7/1/43		3,778,672
	2,952,704	FNMA, Pool #AX7699, 3.500%, 2/1/45		2,967,699
	2,128,069	FNMA, Pool #BC0153, 4.000%, 1/1/46		2,185,348
	4,538,041	FNMA, Pool #BD7165, 4.000%, 4/1/47		4,661,609
	1,965,153	FNMA, Pool #BH5752, 3.500%, 11/1/47		1,971,327
	3,361,441	FNMA, Pool #MA3149,
		4.000%, 10/1/47		3,454,175
	728,524	GNMA, Pool #5276, 3.000%, 1/20/27		733,086
	599,453	GNMA, Pool #710077,
		4.700%, 5/20/61(C)(D)		603,851
	318,500	GNMA, Pool #751408,
		4.853%, 6/20/61(C)(D)		330,112
	295,518	GNMA, Pool #751409,
		4.592%, 7/20/61(C)(D)		298,733
	304,090	GNMA, Pool #756686,
		4.708%, 9/20/61(C)(D)		308,023
	152,467	GNMA, Pool #757327,
		4.283%, 7/20/61(C)(D)		153,768
		Total U.S. Government
		Mortgage-Backed Obligations	$	41,875,030
		Municipal Bonds — 5.9%
		California — 1.6%
	862,853	California HFA Residential Mortgage
		Revenue, Ser A, 2.900%, 2/1/42		839,366
	1,225,000	City of San Francisco Public Utilities
		Commission Water Revenue, Build
		America Bonds, 6.950%, 11/1/50		1,783,245
	1,710,000	East Bay Municipal Utility District
		Water System Revenue, Build
		America Bonds Sub, 5.874%, 6/1/40		2,223,017
				4,845,628
		Florida — 0.4%
	1,219,855	Florida State HFC Revenue,
		Homeownership Mortgage Special
		Project, 2.800%, 7/1/41		1,183,016
		Louisiana — 0.6%
	2,020,839	Louisiana State Housing Corp.,
		Revenue, 2.875%, 11/1/38		1,966,984
		Missouri — 0.2%
	755,000	Missouri State Housing Development
		Commission, Special
		Homeownership Loan Program, Ser
		C, 2.650%, 11/1/40		730,138
		New York — 0.5%
	1,400,000	Port Authority of New York and New
		Jersey, Cons One Hundred Sixty
		Eight, 4.926%, 10/1/51		1,635,312
		Ohio — 0.6%
	1,765,000	Ohio HFA, Revenue, Ser 1,
		2.650%, 11/1/41		1,711,803
		Texas — 1.0%
	1,770,000	Dallas Area Rapid Transit, Revenue,
		Build America Bonds,
		5.999%, 12/1/44		2,362,437
	685,000	Texas Department of Housing &
		Community Affairs, Revenue, Ser A,
		2.800%, 3/1/36		670,046
				3,032,483

47

Touchstone Total Return Bond Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Municipal Bonds — 5.9% (Continued)
		Virginia — 0.4%
$	1,097,822	Virginia Housing Development
		Authority, Pass Thru Ser B,
		2.750%, 4/25/42	$	1,075,910
		Washington — 0.6%
	1,515,000	State of Washington, Build America
		Bonds Ser D, UTGO, 5.481%, 8/1/39		1,859,375
		Total Municipal Bonds	$	18,040,649
		U.S. Treasury Obligations — 3.1%
	3,695,000	U.S. Treasury Strip, Principal,
		0.000%, 5/15/40(E)		1,943,749
	10,429,000	U.S. Treasury Strip, Principal,
		0.000%, 5/15/43(E)		4,945,057
	5,379,000	U.S. Treasury Strip, Principal,
		0.000%, 5/15/45(E)		2,392,608
		Total U.S. Treasury Obligations	$	9,281,414
		Asset-Backed Securities — 1.9%
	1,391,222	321 Henderson Receivables I LLC, Ser
		2012-1A, Class A, 144a,
		4.210%, 2/16/65		1,455,846
	1,244,023	321 Henderson Receivables I LLC, Ser
		2012-2A, Class A, 144a,
		3.840%, 10/15/59		1,236,117
	1,535,035	321 Henderson Receivables I LLC, Ser
		2015-2A, Class A, 144a,
		3.870%, 3/15/58		1,551,400
	215,024	FPL Recovery Funding LLC, Ser
		2007-A, Class A4, 5.256%, 8/1/21		218,896
	1,325,000	JCP&L Transition Funding LLC, Ser
		2006-A, Class A4, 5.610%, 6/5/23		1,391,020
		Total Asset-Backed Securities	$	5,853,279
		Sovereign Government Obligations — 1.7%
	3,836,000	Hashemite Kingdom of Jordan
		Government AID Bond,
		3.000%, 6/30/25		3,860,791
	1,077,000	Israel Government AID Bond,
		5.500%, 9/18/33		1,393,914
		Total Sovereign Government
		Obligations	$	5,254,705
		Commercial Mortgage-Backed Security — 0.1%
	505,000	Citigroup/Deutsche Bank Commercial
		Mortgage Trust, Ser 2006-CD3,
		Class AJ, 5.688%, 10/15/48	$	244,611
		Short-Term Investment Funds — 2.2%
	5,464,274	Dreyfus Government Cash
		Management, Institutional Shares,
		1.54%∞Ω	$	5,464,274
	1,272,000	Invesco Government & Agency
		Portfolio, Institutional Class,
		1.48%**∞Ω		1,272,000
		Total Short-Term Investment Funds	$	6,736,274
		Total Investment Securities — 99.9%
		(Cost $309,143,658)	$	304,475,826
		Other Assets in Excess of
		Liabilities — 0.1%		287,027
		Net Assets — 100.0%	$	304,762,853

^(A) Perpetual Bond - A bond with no definite maturity date.

^(B) The issuer is in default of certain debt covenants. Income is not being accrued. The total value of such securities as of March 31, 2018 was $410,753 or 0.1% of net assets.

^(C) Variable rate security - Rate reflected is the rate in effect as of March 31, 2018.

^(D) Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions. These securities do not indicate a reference rate and spread in their description.

^(E) Strip Security - Separate trading of Registered Interest and Principal. Holders of a principal strip security are entitled to the portion of the payment representing principal only.

** Represents collateral for securities loaned.

† All or a portion of the security is on loan. The total market value of the securities on loan as of March 31, 2018 was $1,236,000.

^∞ Open-End Fund.

^Ω Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviations:

FHLMC - Federal Home Loan Mortgage Corporation

FNMA - Federal National Mortgage Association

FREMF - Finnish Real Estate Management Federation

FRESB - Freddie Mac Multifamily Securitization Small Balance Loan

48

Touchstone Total Return Bond Fund (Unaudited) (Continued)

GNMA - Government National Mortgage Association

HFA - Housing Finance Authority/Agency

HFC - Housing Finance Corporation

LIBOR - London Interbank Offered Rate

LLC - Limited Liability Company

LP - Limited Partnership

UTGO - Unlimited Tax General Obligation

144a - This is a restricted security that was sold in a transaction qualifying for the exemption under 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, 2018, these securities were valued at $14,587,076 or 4.8% 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
Corporate Bonds	$	—	$	87,724,286	$	—	$	87,724,286
U.S. Government Agency Obligations		—		87,306,699		—		87,306,699
Agency Collateralized Mortgage Obligations		—		42,158,879		—		42,158,879
U.S. Government Mortgage-Backed Obligations		—		41,875,030		—		41,875,030
Municipal Bonds		—		18,040,649		—		18,040,649
U.S. Treasury Obligations		—		9,281,414		—		9,281,414
Asset-Backed Securities		—		5,853,279		—		5,853,279
Sovereign Government Obligations		—		5,254,705		—		5,254,705
Commercial Mortgage-Backed Security		—		244,611		—		244,611
Short-Term Investment Funds		6,736,274		—		—		6,736,274
Total	$	6,736,274	$	297,739,552	$	—	$	304,475,826

See accompanying Notes to Financial Statements.

49

Portfolio of Investments

Touchstone Ultra Short Duration Fixed Income Fund – March 31, 2018 (Unaudited)

Principal			Market
Amount			Value
		Asset-Backed Securities — 41.8%
$	9,420,758	ACE Securities Corp. Home Equity
		Loan Trust, Ser 2005-HE6, Class A2D,
		(1M LIBOR +0.360%),
		2.232%, 10/25/35(A)	$	9,444,310
	2,500,000	Ally Auto Receivables Trust, Ser
		2015-1, Class C, 2.260%, 10/15/20		2,490,501
	1,160,000	American Credit Acceptance
		Receivables Trust, Ser 2014-2, Class
		D, 2.570%, 7/8/20		1,160,586
	2,266,592	American Credit Acceptance
		Receivables Trust, Ser 2014-4, Class
		C, 144a, 4.250%, 10/12/20		2,267,913
	5,200,000	American Credit Acceptance
		Receivables Trust, Ser 2015-1, Class
		D, 144a, 5.450%, 5/12/22		5,260,318
	1,570,000	American Credit Acceptance
		Receivables Trust, Ser 2015-2, Class
		D, 144a, 5.380%, 3/14/22		1,590,380
	1,290,659	American Credit Acceptance
		Receivables Trust, Ser 2017-2, Class
		A, 144a, 1.840%, 7/13/20		1,288,549
	7,855,000	American Credit Acceptance
		Receivables Trust, Ser 2017-2, Class
		B, 144a, 2.460%, 4/12/21		7,835,990
	3,830,000	American Credit Acceptance
		Receivables Trust, Ser 2017-3, Class
		B, 144a, 2.250%, 1/11/21		3,808,522
	8,607,895	American Credit Acceptance
		Receivables Trust, Ser 2017-4, Class
		A, 144a, 2.000%, 7/10/20		8,582,696
	2,294,000	Ascentium Equipment Receivables
		LLC, Ser 2015-2A, Class D, 144a,
		3.440%, 10/12/21		2,299,585
	3,318,772	Ascentium Equipment Receivables
		Trust, Ser 2017-1A, Class A2, 144a,
		1.870%, 7/10/19		3,309,378
	3,820,000	Ascentium Equipment Receivables
		Trust, Ser 2017-2A, Class A2, 144a,
		2.000%, 5/11/20		3,794,527
	5,000,000	Avery Point VII CLO Ltd. (Cayman
		Islands), Ser 2015-7A, Class A1,
		144a, (3M LIBOR +1.500%),
		3.222%, 1/15/28(A)		5,028,540
	7,236,000	Avis Budget Rental Car Funding
		AESOP LLC, Ser 2013-1A, Class A,
		144a, 1.920%, 9/20/19		7,222,634
	3,685,000	Avis Budget Rental Car Funding
		AESOP LLC, Ser 2014-1A, Class A,
		144a, 2.460%, 7/20/20		3,670,746
	8,960,000	Avis Budget Rental Car Funding
		AESOP LLC, Ser 2014-2A, Class B,
		144a, 3.290%, 2/20/21		8,960,366
	1,617,510	BlueVirgo Trust, Ser 2015-1A, 144a,
		3.000%, 12/15/22		1,620,543
	2,985,000	BSPRT Issuer Ltd. (Cayman Islands), Ser
		2017-FL1, Class A, 144a, (1M LIBOR
		+1.350%), 3.127%, 6/15/27(A)		2,995,062
	6,710,000	Capital Auto Receivables Asset Trust,
		Ser 2014-1, Class E, 144a,
		4.090%, 9/22/22		6,716,181
	5,710,000	Capital Auto Receivables Asset Trust,
		Ser 2014-3, Class E, 3.940%, 4/20/23		5,744,407
	5,250,000	Capital Auto Receivables Asset Trust,
		Ser 2015-2, Class E, 4.500%, 1/22/24		5,304,214
	6,822,087	CarFinance Capital Auto Trust, Ser
		2013-2A, Class D, 144a,
		5.930%, 8/15/19		6,823,297
	7,720,000	CarFinance Capital Auto Trust, Ser
		2013-2A, Class E, 144a,
		7.860%, 10/15/20		7,722,144
	240,207	CarFinance Capital Auto Trust, Ser
		2015-1A, Class A, 144a,
		1.750%, 6/15/21		239,633
	2,410,069	Carnow Auto Receivables Trust, Ser
		2017-1A, Class A, 144a,
		2.920%, 9/15/22		2,399,498
	560,497	Cazenovia Creek Funding I LLC, Ser
		2015-1A, Class A, 144a,
		2.000%, 12/10/23		559,797
	4,925,000	CCG Receivables Trust, Ser 2017-1,
		Class A2, 144a, 1.840%, 11/14/23		4,882,302
	4,945,000	Chrysler Capital Auto Receivables
		Trust, Ser 2015-BA, Class C, 144a,
		3.260%, 4/15/21		4,973,085
	213,666	CNH Equipment Trust, Ser 2014-C,
		Class A3, 1.050%, 11/15/19		213,354
	4,423	College & University Facility Loan
		Trust, Ser 2 Class D, 4.000%, 6/1/18		4,423
	4,948,781	Conn Funding II LP, Ser 2017-B, Class
		A, 144a, 2.730%, 7/15/20		4,940,660
	191,007	Dell Equipment Finance Trust, Ser
		2015-2, Class B, 144a,
		2.210%, 9/22/20		190,955
	4,500,000	Dell Equipment Finance Trust, Ser
		2015-2, Class C, 144a,
		2.750%, 9/22/20		4,500,327
	1,000,000	Dell Equipment Finance Trust, Ser
		2016-1, Class C, 144a,
		2.530%, 7/22/21		998,416
	2,900,000	Drive Auto Receivables Trust, Ser
		2017-2, Class B, 2.250%, 6/15/21		2,892,620
	3,665,000	Drive Auto Receivables Trust, Ser
		2017-3, Class A3, 1.850%, 4/15/20		3,654,890
	4,400,000	Drive Auto Receivables Trust, Ser
		2017-3, Class B, 2.300%, 5/17/21		4,380,439
	2,234,285	DT Auto Owner Trust, Ser 2014-2A,
		Class D, 144a, 3.680%, 4/15/21		2,235,692
	8,469,271	DT Auto Owner Trust, Ser 2014-3A,
		Class D, 144a, 4.470%, 11/15/21		8,525,920
	1,315,880	DT Auto Owner Trust, Ser 2017-2A,
		Class A, 144a, 1.720%, 5/15/20		1,313,423

50

Touchstone Ultra Short Duration Fixed Income Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Asset-Backed Securities — 41.8% (Continued)
$	666,529	Elara HGV Timeshare Issuer LLC, Ser
		2014-A, Class A, 144a,
		2.530%, 2/25/27	$	653,610
	1,877,437	Exeter Automobile Receivables Trust,
		Ser 2014-2A, Class C, 144a,
		3.260%, 12/16/19		1,879,494
	8,507,406	Exeter Automobile Receivables Trust,
		Ser 2014-3A, Class C, 144a,
		4.170%, 6/15/20		8,582,304
	3,000,000	Exeter Automobile Receivables Trust,
		Ser 2016-1A, Class B, 144a,
		3.850%, 5/17/21		3,018,091
	1,020,151	Exeter Automobile Receivables Trust,
		Ser 2017-3A, Class A, 144a,
		2.050%, 12/15/21		1,014,533
	3,750,000	First Investors Auto Owner Trust, Ser
		2013-3A, Class D, 144a,
		3.670%, 5/15/20		3,751,356
	649,938	First Investors Auto Owner Trust, Ser
		2016-2A, Class A1, 144a,
		1.530%, 11/16/20		647,954
	167,089	Flagship Credit Auto Trust, Ser 2016-3,
		Class A1, 144a, 1.610%, 12/15/19		167,033
	1,630,000	Flagship Credit Auto Trust, Ser 2016-3,
		Class B, 144a, 2.430%, 6/15/21		1,622,415
	684,373	FNA Trust, Ser 2015-1, Class A, 144a,
		3.240%, 12/10/23		681,633
	863,931	GLS Auto Receivables Trust, Ser
		2016-1A, Class A, 144a,
		2.730%, 10/15/20		863,792
	4,826,741	GLS Auto Receivables Trust, Ser
		2017-1A, Class A2, 144a,
		2.670%, 4/15/21		4,814,352
	8,899,628	GLS Auto Receivables Trust, Ser
		2018-1A, Class A, 144a,
		2.820%, 7/15/22		8,866,164
	1,166,938	GO Financial Auto Securitization Trust,
		Ser 2015-2, Class B, 144a,
		4.800%, 8/17/20		1,169,613
	13,146,653	Grayson CLO Ltd. (Cayman Islands),
		Ser 2006-1A, Class B, 144a, (3M
		LIBOR +0.700%), 2.473%, 11/1/21(A)		13,094,500
	10,230,000	Hertz Vehicle Financing II LP, Ser
		2015-2A, Class A, 144a,
		2.020%, 9/25/19		10,192,590
	7,450,000	Hertz Vehicle Financing II LP, Ser
		2016-1A, Class A, 144a,
		2.320%, 3/25/20		7,410,232
	5,008,333	Hertz Vehicle Financing LLC, Ser
		2013-1A, Class A2, 144a,
		1.830%, 8/25/19		4,998,038
	3,431,000	Kabbage Asset Securitization LLC, Ser
		2017-1, Class A, 144a,
		4.571%, 3/15/22		3,493,106
	345,148	MMAF Equipment Finance LLC, Ser
		2012-AA, Class A5, 144a,
		1.980%, 6/10/32		344,628
	1,415,701	Morgan Stanley ABS Capital I, Inc.
		Trust, Ser 2006-NC1, Class A4, (1M
		LIBOR +0.300%),
		2.172%, 12/25/35(A)		1,417,456
	4,480,909	Navitas Equipment Receivables LLC,
		Ser 2016-1, Class A2, 144a,
		2.200%, 6/15/21		4,458,991
	3,713,005	New Century Home Equity Loan Trust,
		Ser 2005-B, Class A2D, (1M LIBOR
		+0.400%), 2.272%, 10/25/35(A)		3,720,711
	10,070,000	OCP CLO Ltd. (Cayman Islands), Ser
		2016-12A, Class A1, 144a, (3M
		LIBOR +1.570%),
		3.304%, 10/18/28(A)		10,111,982
	437,616	OneMain Direct Auto Receivables
		Trust, Ser 2016-1A, Class A, 144a,
		2.040%, 1/15/21		437,353
	4,900,000	OneMain Direct Auto Receivables
		Trust, Ser 2016-1A, Class B, 144a,
		2.760%, 5/15/21		4,899,771
	1,208,982	Orange Lake Timeshare Trust, Ser
		2012-AA, Class A, 144a,
		3.450%, 3/10/27		1,209,256
	705,052	Orange Lake Timeshare Trust, Ser
		2014-AA, Class A, 144a,
		2.290%, 7/9/29		691,491
	9,000,000	OZLM XIII Ltd. (Cayman Islands), Ser
		2015-13A, Class A1A, 144a, (3M
		LIBOR +1.410%), 3.177%, 7/30/27(A)		9,025,542
	15,322,000	Rockwall CDO II Ltd. (Cayman Islands),
		Ser 2007-1A, Class A3L, 144a, (3M
		LIBOR +1.000%), 2.773%, 8/1/24(A)		15,321,127
	4,300,000	Santander Drive Auto Receivables
		Trust, Ser 2014-1, Class E,
		3.920%, 5/17/21		4,327,144
	6,500,000	Santander Drive Auto Receivables
		Trust, Ser 2014-2, Class E, 144a,
		3.760%, 7/15/21		6,536,447
	6,500,000	Santander Drive Auto Receivables
		Trust, Ser 2014-3, Class E, 144a,
		3.490%, 9/15/21		6,542,314
	700,000	Santander Drive Auto Receivables
		Trust, Ser 2015-2, Class D,
		3.020%, 4/15/21		702,126
	870,251	Santander Drive Auto Receivables
		Trust, Ser 2015-3, Class C,
		2.740%, 1/15/21		870,471
	13,505,000	Santander Drive Auto Receivables
		Trust, Ser 2015-4, Class C,
		2.970%, 3/15/21		13,528,568
	6,010,000	Securitized Equipment Receivables
		Trust, Ser 2017-1A, Class A,
		3.250%, 4/11/24		5,997,477
	12,840,000	Securitized Equipment Receivables
		Trust, Ser 2017-1A, Class A, 144a,
		2.760%, 12/13/22		12,724,437

51

Touchstone Ultra Short Duration Fixed Income Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Asset-Backed Securities — 41.8% (Continued)
$	1,373,428	Sierra Timeshare Receivables Funding
		LLC, Ser 2013-3A, Class A, 144a,
		2.200%, 10/20/30	$	1,368,932
	526,250	Sierra Timeshare Receivables Funding
		LLC, Ser 2014-1A, Class A, 144a,
		2.070%, 3/20/30		524,298
	2,155,579	Sierra Timeshare Receivables Funding
		LLC, Ser 2014-2A, Class A, 144a,
		2.050%, 6/20/31(A)(B)		2,142,850
	1,112,238	Sierra Timeshare Receivables Funding
		LLC, Ser 2014-3A, Class A, 144a,
		2.300%, 10/20/31		1,104,399
	1,030,421	Sierra Timeshare Receivables Funding
		LLC, Ser 2015-1A, Class A, 144a,
		2.400%, 3/22/32		1,022,313
	4,155,981	Symphony CLO II Ltd. (Cayman
		Islands), Ser 2006-2A, Class A3,
		144a, (3M LIBOR +0.420%),
		2.404%, 10/25/20(A)		4,155,383
	13,450,000	TCI-Flatiron CLO Ltd. (Cayman Islands),
		Ser 2016-1A, Class A, 144a, (3M			��
		LIBOR +1.550%), 3.281%, 7/17/28(A)		13,559,214
	5,221,554	TLF National Tax Lien Trust, Ser
		2017-1A, Class A, 144a,
		3.090%, 12/15/29		5,215,423
	9,794,082	Towd Point Mortgage Trust, Ser
		2017-5, Class A1, 144a, (1M LIBOR
		+0.600%), 2.472%, 2/25/57(A)		9,829,273
	2,952,845	United Auto Credit Securitization
		Trust, Ser 2017-1, Class A, 144a,
		1.890%, 5/10/19		2,950,096
	2,865,287	Vibrant CLO II Ltd. (Cayman Islands),
		Ser 2013-2A, Class A1BR, 144a, (3M
		LIBOR +0.900%), 2.641%, 7/24/24(A)		2,865,717
	2,105,794	Welk Resorts LLC, Ser 2013-AA, Class
		A, 144a, 3.100%, 3/15/29		2,090,871
	1,092,780	Westgate Resorts LLC, Ser 2015-1A,
		Class A, 144a, 2.750%, 5/20/27		1,088,155
	4,279,442	Westgate Resorts LLC, Ser 2016-1A,
		Class A, 144a, 3.500%, 12/20/28		4,285,331
		Total Asset-Backed Securities	$	393,837,180
		Corporate Bonds — 28.3%
		Financials — 9.0%
	10,000,000	Ares Capital Corp., 4.875%, 11/30/18		10,097,769
	3,000,000	Bank of America Corp.,
		6.875%, 11/15/18		3,078,205
	3,000,000	Bank of America Corp. MTN,
		5.650%, 5/1/18		3,007,559
	1,000,000	Bank of America NA, 1.750%, 6/5/18		998,671
	700,000	Bank One Corp., 8.530%, 3/1/19(C)		735,266
	605,000	BB&T Corp. MTN, 2.050%, 6/19/18		604,427
	7,000,000	BB&T Corp. MTN, 2.150%, 2/1/21		6,823,013
	3,997,000	Capital One NA/Mclean VA,
		2.350%, 8/17/18		3,992,499
	6,050,000	Citibank NA, (3M LIBOR +0.340%),
		2.542%, 3/20/19(A)		6,057,118
	4,842,000	Citigroup, Inc., 1.700%, 4/27/18		4,839,337
	1,900,000	Citigroup, Inc., 2.150%, 7/30/18		1,896,915
	4,725,000	Citigroup, Inc., 6.125%, 5/15/18		4,743,431
	2,250,000	Credit Agricole SA (France), 144a,
		2.125%, 4/17/18		2,249,634
	2,275,000	Credit Suisse AG/New York NY
		(Switzerland), 1.700%, 4/27/18		2,274,204
	615,000	Discover Bank, 2.600%, 11/13/18		614,805
	1,114,000	Goldman Sachs Group, Inc. (The),
		6.150%, 4/1/18		1,114,000
	8,199,000	Huntington Bancshares, Inc.,
		7.000%, 12/15/20		8,930,584
	825,000	Intercontinental Exchange, Inc.,
		2.500%, 10/15/18		824,799
	4,730,000	KeyCorp. MTN, 2.300%, 12/13/18		4,717,449
	3,000,000	Moody's Corp., (3M LIBOR +0.350%),
		2.375%, 9/4/18(A)		3,000,405
	7,350,000	Mountain Agency, Inc. (The),
		2.130%, 12/1/23(A)(B)		7,350,000
	300,000	National City Bank of Indiana,
		4.250%, 7/1/18		301,182
	390,000	PNC Bank NA, 1.850%, 7/20/18		389,352
	250,000	PNC Bank NA, 2.200%, 1/28/19		248,918
	2,500,000	Principal Life Global Funding II, 144a,
		1.500%, 4/18/19		2,467,509
	989,000	State Street Corp., 1.350%, 5/15/18		987,565
	2,600,000	XLIT Ltd. (Cayman Islands),
		2.300%, 12/15/18		2,590,126
				84,934,742
		Consumer Discretionary — 3.4%
	2,000,000	AutoNation, Inc., 6.750%, 4/15/18		2,002,458
	500,000	Daimler Finance North America LLC,
		144a, 2.375%, 8/1/18		499,720
	4,400,000	Dollar General Corp., 1.875%, 4/15/18		4,398,087
	300,000	Ford Motor Co., 6.500%, 8/1/18		303,615
	2,925,000	Ford Motor Credit Co. LLC,
		5.000%, 5/15/18		2,932,019
	1,600,000	Ford Motor Credit Co. LLC,
		5.875%, 8/2/21		1,707,275
	6,300,000	General Motors Co., (3M LIBOR
		+0.800%), 2.593%, 8/7/20(A)		6,306,002
	1,000,000	General Motors Financial Co., Inc.,
		2.400%, 4/10/18		999,928
	3,000,000	General Motors Financial Co., Inc.,
		3.250%, 5/15/18		3,000,770
	1,700,000	General Motors Financial Co., Inc.,
		6.750%, 6/1/18		1,711,180
	3,808,000	Lear Corp., 5.375%, 3/15/24		3,993,722
	2,273,000	Marriott International, Inc./MD,
		6.750%, 5/15/18		2,283,951
	1,000,000	Newell Brands, Inc., 5.000%, 11/15/23		1,026,395
	1,128,000	Volkswagen Group of America
		Finance LLC, 144a, 1.650%, 5/22/18		1,126,409
				32,291,531

52

Touchstone Ultra Short Duration Fixed Income Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Corporate Bonds — 28.3% (Continued)
		Utilities — 3.1%
$	1,545,000	Consolidated Edison Co., 144a,
		5.850%, 4/1/18	$	1,545,000
	3,000,000	Dominion Energy, Inc., 2.579%, 7/1/20		2,962,111
	825,000	Dominion Energy, Inc., 144a,
		1.500%, 9/30/18		820,222
	4,375,000	Duke Energy Florida LLC,
		2.100%, 12/15/19		4,352,443
	2,975,000	E.ON International Finance BV
		(Netherlands), 144a,
		5.800%, 4/30/18		2,981,628
	5,000,000	Georgia Power Co., 2.000%, 3/30/20		4,920,084
	700,000	ITC Holdings Corp., 144a,
		5.500%, 1/15/20		726,530
	500,000	Ohio Power Co., 6.050%, 5/1/18		501,355
	5,300,000	Sempra Energy, (3M LIBOR +0.250%),
		1.959%, 7/15/19(A)		5,300,191
	451,000	Southern Electric Generating Co.,
		144a, 2.200%, 12/1/18		449,975
	4,981,000	United Utilities PLC (United Kingdom),
		4.550%, 6/19/18		4,998,428
				29,557,967
		Consumer Staples — 2.9%
	1,239,000	Constellation Brands, Inc.,
		3.875%, 11/15/19		1,255,709
	6,800,000	Kraft Heinz Foods Co., (3M LIBOR
		+0.570%), 2.381%, 2/10/21(A)		6,781,430
	2,075,000	Kraft Heinz Foods Co., 6.125%, 8/23/18		2,103,718
	4,020,000	Reckitt Benckiser Treasury Services
		PLC (United Kingdom), 144a,
		2.125%, 9/21/18		4,014,764
	1,540,000	Reckitt Benckiser Treasury Services
		PLC (United Kingdom), 144a, (3M
		LIBOR +0.560%), 2.846%, 6/24/22(A)		1,531,973
	8,263,000	Reynolds American, Inc.,
		2.300%, 6/12/18		8,258,801
	3,200,000	Tyson Foods, Inc., (3M LIBOR
		+0.550%), 2.567%, 6/2/20(A)		3,206,975
				27,153,370
		Information Technology — 2.5%
	3,200,000	Dell International LLC / EMC Corp.,
		144a, 3.480%, 6/1/19		3,214,474
	1,400,000	Fidelity National Information Services,
		Inc., 2.000%, 4/15/18		1,399,603
	10,000,000	Fidelity National Information Services,
		Inc., 2.850%, 10/15/18		10,004,579
	9,300,000	Hewlett Packard Enterprise Co., 144a,
		2.100%, 10/4/19		9,177,440
				23,796,096
		Industrials — 2.4%
	565,000	Canadian National Railway Co.
		(Canada), 5.550%, 5/15/18		566,993
	650,000	General Electric Co. MTN,
		5.625%, 5/1/18		651,495
	6,875,000	Martin Marietta Materials, Inc., (3M
		LIBOR +0.650%), 2.554%, 5/22/20(A)		6,901,884
	3,669,000	Martin Marietta Materials, Inc.,
		6.600%, 4/15/18		3,674,458
	2,112,000	Pentair Finance Sarl (Luxembourg),
		2.900%, 9/15/18		2,112,455
	958,000	SBA Tower Trust, 144a,
		2.898%, 10/8/19(C)		953,116
	7,500,000	Vulcan Materials Co., (3M LIBOR
		+0.650%), 2.570%, 3/1/21(A)		7,502,201
				22,362,602
		Energy — 2.4%
	11,865,000	Columbia Pipeline Group, Inc.,
		2.450%, 6/1/18		11,857,425
	230,000	Enterprise Products Operating LLC,
		1.650%, 5/7/18		229,779
	3,650,000	Phillips 66, 144a, (3M LIBOR +0.650%),
		2.372%, 4/15/19(A)		3,651,007
	1,500,000	Ras Laffan Liquefied Natural Gas Co.
		(Qatar), 6.750%, 9/30/19		1,571,250
	293,130	Ras Laffan Liquefied Natural Gas Co.
		Ltd. II (Qatar), 144a, 5.298%, 9/30/20		300,458
	4,441,000	Spectra Energy Partners LP,
		2.950%, 9/25/18		4,445,418
				22,055,337
		Health Care — 1.3%
	2,100,000	Amgen, Inc., 1.900%, 5/10/19		2,082,266
	2,100,000	Amgen, Inc., 2.200%, 5/11/20		2,070,372
	7,700,000	Dignity Health, 2.637%, 11/1/19		7,667,161
	750,000	Medtronic, Inc., 1.375%, 4/1/18		750,000
				12,569,799
		Real Estate — 0.5%
	2,250,000	Equity Commonwealth,
		5.875%, 9/15/20		2,340,137
	1,790,000	Highwoods Realty LP, 7.500%, 4/15/18		1,792,817
	868,000	SL Green Realty Corp.,
		5.000%, 8/15/18		871,654
				5,004,608
		Materials — 0.4%
	2,700,000	EI du Pont de Nemours & Co.,
		2.200%, 5/1/20		2,662,679
	800,000	Monsanto Co., 1.850%, 11/15/18		795,693
				3,458,372
		Telecommunication Services — 0.4%
	2,040,000	Crown Castle Towers LLC, 144a,
		3.222%, 5/15/22		2,023,415
	1,405,000	Sky PLC (United Kingdom), 144a,
		2.625%, 9/16/19		1,399,083
				3,422,498
		Total Corporate Bonds	$	266,606,922

53

Touchstone Ultra Short Duration Fixed Income Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Commercial Mortgage-Backed Securities — 13.6%
$	5,388,572	A10 Term Asset Financing LLC, Ser
		2017-1A, Class A1FL, 144a, (1M
		LIBOR +0.850%), 2.627%, 3/15/36(A)	$	5,388,565
	10,594,000	AREIT Trust, Ser 2018-CRE1, Class A,
		144a, (1M LIBOR +0.850%),
		2.350%, 2/15/35(A)		10,599,731
	8,358,430	BAMLL Commercial Mortgage
		Securities Trust, Ser 2014-ICTS, Class
		A, 144a, (1M LIBOR +0.800%),
		2.577%, 6/15/28(A)		8,358,420
	5,000,000	BHMS Mortgage Trust, Ser 2014-ATLS,
		Class BFL, 144a, (1M LIBOR
		+1.950%), 3.614%, 7/5/33(A)		5,014,834
	3,898,000	BSPRT Issuer Ltd. (Cayman Islands), Ser
		2017-FL2, Class A, 144a, (1M LIBOR
		+0.820%), 2.597%, 10/15/34(A)		3,900,490
	3,219,000	BSPRT Issuer Ltd. (Cayman Islands), Ser
		2017-FL2, Class AS, 144a, (1M LIBOR
		+1.100%), 2.877%, 10/15/34(A)		3,218,990
	3,822,691	CD Mortgage Trust, Ser 2006-CD3,
		Class AM, 5.648%, 10/15/48		3,952,463
	6,560,000	CGDB Commercial Mortgage Trust,
		Ser 2017-BIO, Class B, 144a, (1M
		LIBOR +0.950%), 2.727%, 5/15/30(A)		6,576,439
	3,991,000	COMM Mortgage Trust, Ser
		2013-CR10, Class A2,
		2.972%, 8/10/46		3,996,114
	44,615,513	COMM Mortgage Trust, Ser
		2014-UBS3, Class XA,
		1.294%, 6/10/47(A)(B)		2,225,159
	3,977,350	COMM Mortgage Trust, Ser
		2016-SAVA, Class A, 144a, (1M
		LIBOR +1.720%),
		3.460%, 10/15/34(A)		3,981,325
	774,691	DBUBS Mortgage Trust, Ser
		2011-LC2A, Class A1FL, 144a, (1M
		LIBOR +1.350%), 3.090%, 7/12/44(A)		783,345
	3,718,901	GS Mortgage Securities Corp. II, Ser
		2015-GC30, Class A1,
		1.439%, 5/10/50		3,675,538
	118,906,000	GS Mortgage Securities Corp. II, Ser
		2017-SLP, Class XA, 144a,
		1.172%, 10/10/32(A)(B)		5,659,081
	143,822,000	GS Mortgage Securities Corp. Trust,
		Ser 2017-GPTX, Class XCP, 144a,
		0.786%, 5/10/34(A)(B)(D)		2,414,340
	8,320,000	Hospitality Mortgage Trust, Ser
		2017-HIT, Class B, 144a, (1M LIBOR
		+1.180%), 2.891%, 5/8/30(A)		8,353,773
	10,422,000	J.P. Morgan Chase Commercial
		Mortgage Securities Trust, Ser
		2017-FL11, Class A, 144a, (1M LIBOR
		+0.850%), 2.627%, 10/15/32(A)		10,430,340
	9,088,853	JPMBB Commercial Mortgage
		Securities Trust, Ser 2013-C12, Class
		A2, 2.424%, 7/15/45		9,079,244
	2,078,622	JPMBB Commercial Mortgage
		Securities Trust, Ser 2014-C24, Class
		A1, 1.539%, 11/15/47		2,066,374
	2,654,091	JPMBB Commercial Mortgage
		Securities Trust, Ser 2015-C29, Class
		A1, 1.626%, 5/15/48		2,628,361
	1,883,000	Merrill Lynch Mortgage Investors
		Trust, Ser 1998-C1, Class E,
		6.750%, 11/15/26(A)(B)		1,972,106
	3,574,629	Morgan Stanley Bank of America
		Merrill Lynch Trust, Ser 2015-C20,
		Class A1, 1.405%, 2/15/48		3,539,605
	765,947	PFP Ltd. (Cayman Islands), Ser 2015-2,
		Class A, 144a, (1M LIBOR +1.450%),
		3.236%, 7/14/34(A)		766,431
	3,752,988	RAIT Trust, Ser 2017-FL7, Class A, 144a,
		(1M LIBOR +0.950%),
		2.727%, 6/15/37(A)		3,756,368
	8,771,000	Tharaldson Hotel Portfolio Trust, Ser
		2018-THL, Class B, 144a, (1M LIBOR
		+1.100%), 2.840%, 11/11/34(A)		8,784,957
	6,280,000	TPG Real Estate Finance Issuer Ltd.
		(Cayman Islands), Ser 2018-FL1,
		Class AS, 144a, (1M LIBOR +0.950%),
		2.736%, 2/15/35(A)		6,283,044
	13,161,707	UBS-Citigroup Commercial Mortgage
		Trust, Ser 2011-C1, Class XA, 144a,
		2.199%, 1/10/45(A)(B)(D)		818,423
		Total Commercial
		Mortgage-Backed Securities	$	128,223,860
		Non-Agency Collateralized Mortgage
		Obligations — 3.9%
	2,336,189	Bear Stearns ARM Trust, Ser 2003-1,
		Class 5A1, 3.401%, 4/25/33(A)(B)††		2,367,804
	270,467	Bear Stearns ARM Trust, Ser 2004-1,
		Class 13A3, 3.920%, 4/25/34(A)(B)††		271,901
	4,805,868	Bear Stearns ARM Trust, Ser 2004-4,
		Class A6, 3.601%, 6/25/34(A)(B)††		4,918,647
	203,276	Bear Stearns Asset Backed Securities
		Trust, Ser 2003-AC7, Class A2,
		5.750%, 1/25/34(C)††		205,487
	65,698	Community Program Loan Trust, Ser
		1987-A, Class A5, 4.500%, 4/1/29		65,502
	183,731	CSMC Trust, Ser 2012-CIM1, Class A1,
		144a, 3.380%, 2/25/42(A)(B)		183,937
	2,317,656	CSMC Trust, Ser 2014-WIN1, Class 2A5,
		144a, 3.000%, 9/25/44(A)(B)		2,317,729
	5,766,001	CSMC Trust, Ser 2014-WIN2, Class A5,
		144a, 3.000%, 10/25/44(A)(B)		5,767,623
	55,108	FDIC Structured Sale Guaranteed
		Notes, Ser 2010-S3, Class A, 144a,
		2.740%, 12/3/20		54,386

54

Touchstone Ultra Short Duration Fixed Income Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Non-Agency Collateralized Mortgage
		Obligations — 3.9% (Continued)
$	4,265,202	GSR Mortgage Loan Trust, Ser
		2003-13, Class 1A1,
		3.400%, 10/25/33(A)(B)	$	4,387,493
	160,361	JP Morgan Mortgage Trust, Ser
		2006-A4, Class 2A2,
		3.429%, 6/25/36(A)(B)		152,028
	21,041	Merrill Lynch Mortgage Investors
		Trust, Ser 2003-A1, Class 2A, (12M
		LIBOR +1.625%),
		4.106%, 12/25/32(A)		21,034
	151,542	Merrill Lynch Mortgage Investors
		Trust, Ser 2004-1, Class 1A,
		3.281%, 12/25/34(A)(B)		150,709
	12,252,430	Opteum Mortgage Acceptance Corp.
		Asset Backed Pass-Through
		Certificates, Ser 2005-3, Class A1C,
		(1M LIBOR +0.370%),
		2.242%, 7/25/35(A)		12,265,487
	860,798	RFMSI Trust, Ser 2007-SA1, Class 1A1,
		3.553%, 2/25/37(A)(B)		738,776
	2,449,277	Towd Point Mortgage Trust, Ser
		2015-4, Class A1B, 144a,
		2.750%, 4/25/55(A)(B)		2,430,530
	152,610	Wells Fargo Mortgage Backed
		Securities Trust, Ser 2003-G, Class
		A1, 3.365%, 6/25/33(A)(B)		154,254
	396,158	Wells Fargo Mortgage Backed
		Securities Trust, Ser 2003-M, Class
		A1, 3.731%, 12/25/33(A)(B)		405,122
		Total Non-Agency Collateralized
		Mortgage Obligations	$	36,858,449
		Agency Collateralized Mortgage
		Obligations — 3.7%
	116,624,565	FHLMC Multifamily Structured Pass
		Through Certificates, Ser K504 Class
		X1, 0.171%, 9/25/20(A)(B)(D)		316,309
	129,676,119	FHLMC Multifamily Structured Pass
		Through Certificates, Ser KAIV Class
		X1, 1.291%, 6/25/21(A)(B)(D)		4,018,650
	25,745	FHLMC REMIC, Ser 2510 Class TA,
		4.000%, 6/15/32		25,790
	344,743	FHLMC REMIC, Ser 2770 Class FH, (1M
		LIBOR +0.400%), 2.177%, 3/15/34(A)		344,549
	13,277	FHLMC REMIC, Ser 2927 Class ED,
		4.000%, 1/15/35		13,270
	27,773	FHLMC REMIC, Ser 3414 Class MB,
		4.250%, 12/15/19		27,881
	1,467,569	FHLMC REMIC, Ser 3874 Class BD,
		3.000%, 6/15/21		1,469,922
	3,811,992	FHLMC REMIC, Ser 4238 Class TL,
		1.250%, 8/15/27		3,554,675
	550	FHLMC REMIC, Ser 4459 Class NG,
		6.500%, 10/15/24		548
	198,743	FNMA REMIC, Ser 2003-119, Class PU,
		4.000%, 11/25/33		202,682
	72,559	FNMA REMIC, Ser 2003-33, Class AM,
		4.250%, 5/25/33		74,540
	63,571	FNMA REMIC, Ser 2003-42, Class CA,
		4.000%, 5/25/33		64,381
	286,152	FNMA REMIC, Ser 2003-81, Class FE,
		(1M LIBOR +0.500%),
		2.372%, 9/25/33(A)		287,227
	537,379	FNMA REMIC, Ser 2009-32, Class BH,
		5.250%, 5/25/39		557,385
	41,739	FNMA REMIC, Ser 2010-13, Class WD,
		4.250%, 3/25/25		42,098
	7,017,999	FNMA REMIC, Ser 2010-64, Class AD,
		3.000%, 12/25/20		7,030,521
	2,666,310	FNMA REMIC, Ser 2011-15, Class HC,
		2.500%, 3/25/26		2,652,821
	12,253	FNMA REMIC, Ser 2011-52, Class AH,
		2.750%, 10/25/18		12,234
	1,826,003	FNMA REMIC, Ser 2011-67, Class DA,
		4.500%, 7/25/21		1,841,336
	262,340	FNMA REMIC, Ser 2012 102 Class,
		1.500%, 9/25/27		251,055
	2,883,809	FNMA REMIC, Ser 2012-47, Class AI,
		3.000%, 5/25/22		131,084
	142,031	FNMA REMIC Trust, Ser 2001-W4, Class
		AF5, 6.114%, 2/25/32(C)		165,346
	116,945	GNMA, Ser 2002-72, Class AB,
		4.500%, 10/20/32		120,439
	85,556	GNMA, Ser 2011-57, Class BA,
		3.000%, 5/20/40		84,994
	178,442	GNMA, Ser 2012-27, Class A,
		1.614%, 7/16/39		173,704
	6,063,900	GNMA, Ser 2016-40, Class F, (1M LIBOR
		+0.400%), 2.186%, 7/16/57(A)		6,001,043
	4,992,313	GNMA, Ser 2016-95, Class F, (1M LIBOR
		+0.450%), 2.236%, 1/16/58(A)		4,947,764
		Total Agency Collateralized
		Mortgage Obligations	$	34,412,248
		Municipal Bonds — 2.8%
		California — 0.4%
	2,155,000	CA St Enterprise Dev Authority, Txbl
		Variable J Harris Indl Wt, (LOC: City
		National Bank), 144a, 2.120%,
		9/1/41(A)(B)		2,155,000
	1,885,000	CA St Infrastructure & Economic Dev
		Bank, Variable Canyon Plastics Inc P,
		Variable Canyon Plastics Inc P, (LOC:
		Bank Of West (The)), 1.730%,
		12/1/39(A)(B)		1,885,000
				4,040,000
		Connecticut — 0.1%
	425,000	State of Connecticut, Ser A, UTGO,
		2.520%, 5/15/18(A)(B)		425,161

55

Touchstone Ultra Short Duration Fixed Income Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		Municipal Bonds — 2.8% (Continued)
		Florida — 0.5%
$	5,000,000	State Brd of Admin Fin Corp., Txbl Ser
		A, 2.163%, 7/1/19	$	4,987,600
		Hawaii — 0.1%
	1,000,000	State of Hawaii, Txbl Ser Fu, UTGO,
		2.200%, 1/1/19		1,000,050
		Illinois — 0.4%
	3,500,000	IL St Sales Tax Rev, Txbl Sales Tax,
		2.000%, 6/15/18		3,498,670
		Massachusetts — 0.1%
	417,000	MA St Edu Fin Auth, I Ser B 1, 3.633%,
		1/1/31(A)(B)		417,571
		Minnesota — 0.1%
	1,095,000	Saint Paul Mn Hsg & Redev Auth, Txbl
		Ref Healthpartners Oblig, 1.838%,
		7/1/18		1,093,949
		New Mexico — 0.0%
	30,000	New Mexico Educational Assistance
		Foundation, (3M LIBOR + 0.650%),
		2.656%, 12/1/28(A)		30,022
		New York — 0.3%
	3,150,000	Brookhaven NY IDA, Variable
		Intercounty Asso, (LOC: Capital One
		NA), 1.900%, 1/1/25(A)(B)		3,150,000
		Ohio — 0.1%
	1,000,000	West Carrollton Oh Non-Tax Rev, Txbl
		Various Purpose BANS, 1.600%,
		5/1/18		999,310
		Other Territory — 0.7%
	6,900,000	Rib Floater Trust, Txbl Muni Floaters Trs
		Ser 201, (LOC: Barclays Bank
		PLC), 144a, 2.240%, 7/1/22(A)(B)		6,900,000
		South Carolina — 0.0%
	280,000	Spartanburg SC Wtrwks Rev, Txbl Ref
		Sys Ser B, 1.785%, 12/1/18		279,014
		Total Municipal Bonds	$	26,821,347
		U.S. Government Mortgage-Backed
		Obligations — 2.6%
	75,494	FHLMC, Pool #1B1580, (12M LIBOR
		+1.961%), 4.086%, 3/1/34(A)		79,945
	121,745	FHLMC, Pool #1B2629, (12M LIBOR
		+1.750%), 3.500%, 11/1/34(A)		127,482
	342,024	FHLMC, Pool #1B7189, (12M LIBOR
		+2.470%), 4.324%, 3/1/36(A)		368,541
	91,607	FHLMC, Pool #1G1471, (12M LIBOR
		+1.670%), 3.441%, 1/1/37(A)		95,288
	602,528	FHLMC, Pool #1H1354, (1 Year CMT
		Rate +2.250%), 3.429%, 11/1/36(A)		633,792
	58,232	FHLMC, Pool #1H2524, (1 Year CMT
		Rate +2.250%), 3.559%, 8/1/35(A)		61,313
	238,174	FHLMC, Pool #1J1813, (12M LIBOR
		+1.925%), 3.675%, 8/1/37(A)		250,104
	199,265	FHLMC, Pool #1K1238, (1 Year CMT
		Rate +2.250%), 3.232%, 7/1/36(A)		209,888
	130,885	FHLMC, Pool #1L0087, (1 Year CMT
		Rate +2.250%), 3.230%, 6/1/35(A)		138,395
	278,680	FHLMC, Pool #1L0147, (1 Year CMT
		Rate +2.290%), 3.397%, 7/1/35(A)		293,619
	181,278	FHLMC, Pool #1L1288, (1 Year CMT
		Rate +2.250%), 3.514%, 5/1/36(A)		191,489
	162,085	FHLMC, Pool #1Q0080, (12M LIBOR
		+1.686%), 3.443%, 1/1/36(A)		169,708
	392,493	FHLMC, Pool #1Q0119, (12M LIBOR
		+1.843%), 3.633%, 9/1/36(A)		412,742
	488,539	FHLMC, Pool #1Q0187, (12M LIBOR
		+1.800%), 3.547%, 12/1/36(A)		511,229
	285,503	FHLMC, Pool #1Q0339, (12M LIBOR
		+1.944%), 3.769%, 4/1/37(A)		300,333
	112,361	FHLMC, Pool #1Q0669, (12M LIBOR
		+1.723%), 3.504%, 11/1/37(A)		117,423
	454,122	FHLMC, Pool #1Q1303, (1 Year CMT
		Rate +2.250%), 3.396%, 11/1/36(A)		477,953
	585,586	FHLMC, Pool #781515, (1 Year CMT
		Rate +2.250%), 3.650%, 4/1/34(A)		621,049
	258,760	FHLMC, Pool #782760, (1 Year CMT
		Rate +2.250%), 3.416%, 11/1/36(A)		271,930
	219,518	FHLMC, Pool #847795, (1 Year CMT
		Rate +2.273%), 3.509%, 4/1/35(A)		231,028
	124,773	FHLMC, Pool #848088, (1 Year CMT
		Rate +2.245%), 3.567%, 4/1/35(A)		131,297
	445,911	FHLMC, Pool #848539, (1 Year CMT
		Rate +2.263%), 3.575%, 4/1/37(A)		469,718
	1,094,433	FHLMC, Pool #848583, (1 Year CMT
		Rate +2.301%), 3.646%, 1/1/36(A)		1,155,803
	14,119	FHLMC, Pool #A92646, 5.500%, 6/1/40		15,486
	15,626	FHLMC, Pool #C03505, 5.500%, 6/1/40		16,973
	67,565	FHLMC, Pool #C66916, 7.000%, 5/1/32		75,016
	8,666	FHLMC, Pool #D94598, 6.500%, 4/1/21		8,959
	1,959	FHLMC, Pool #G00100, 8.000%, 2/1/23		2,109
	45,630	FHLMC, Pool #G01840, 5.000%, 7/1/35		49,198
	315,038	FHLMC, Pool #G11769,
		5.000%, 10/1/20		320,520
	203,403	FHLMC, Pool #G11773,
		5.000%, 10/1/20		207,467
	105,259	FHLMC, Pool #J05907, 6.000%, 8/1/19		105,990
	81,700	FHLMC, Pool #J10895,
		4.000%, 10/1/19		84,042
	55,099	FNMA, Pool #175123, 7.450%, 8/1/22		56,508
	4,721	FNMA, Pool #207530, 8.250%, 4/1/22		4,730
	143,100	FNMA, Pool #254868, 5.000%, 9/1/33		154,503
	70,358	FNMA, Pool #256272, 5.500%, 6/1/26		76,416
	120,572	FNMA, Pool #256852, 6.000%, 8/1/27		134,067
	27,015	FNMA, Pool #323832, 7.500%, 7/1/29		30,872

56

Touchstone Ultra Short Duration Fixed Income Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		U.S. Government Mortgage-Backed
		Obligations — 2.6% (Continued)
$	2,067	FNMA, Pool #334593, 7.000%, 5/1/24	$	2,208
	99,759	FNMA, Pool #555380, (12M LIBOR
		+1.600%), 3.696%, 4/1/33(A)		104,651
	52,240	FNMA, Pool #665773, 7.500%, 6/1/31		53,475
	107,536	FNMA, Pool #679742, (1 Year CMT Rate
		+2.580%), 3.366%, 1/1/40(A)		110,374
	47,360	FNMA, Pool #681842, (1 Year CMT Rate
		+2.125%), 3.704%, 2/1/33(A)		49,263
	124,713	FNMA, Pool #681898, (1 Year CMT Rate
		+2.125%), 3.650%, 4/1/33(A)		130,575
	155,186	FNMA, Pool #725245, (1 Year CMT Rate
		+2.140%), 3.462%, 2/1/34(A)		162,967
	400	FNMA, Pool #725284, 7.000%, 11/1/18		400
	162,792	FNMA, Pool #725424, 5.500%, 4/1/34		178,845
	941,081	FNMA, Pool #725490, (12M LIBOR
		+1.617%), 3.373%, 4/1/34(A)		987,541
	16,996	FNMA, Pool #735439, 6.000%, 9/1/19		17,213
	28,273	FNMA, Pool #735484, 5.000%, 5/1/35		30,525
	129,998	FNMA, Pool #735539, (1 Year CMT Rate
		+2.203%), 3.675%, 4/1/35(A)		136,768
	54,832	FNMA, Pool #743207, (12M LIBOR
		+1.506%), 3.270%, 10/1/33(A)		57,154
	46,676	FNMA, Pool #745467, (12M LIBOR
		+1.947%), 3.734%, 4/1/36(A)		48,932
	40,363	FNMA, Pool #745790, (1 Year CMT Rate
		+2.062%), 3.371%, 8/1/36(A)		41,992
	136,188	FNMA, Pool #761411, 4.500%, 5/1/19		137,208
	76,822	FNMA, Pool #784365, (6M LIBOR
		+1.550%), 3.050%, 5/1/34(A)		79,582
	183,051	FNMA, Pool #791978, (6M LIBOR
		+1.518%), 3.441%, 9/1/34(A)		189,588
	61,396	FNMA, Pool #804001, (1 Year CMT Rate
		+2.185%), 3.435%, 10/1/34(A)		64,420
	41,231	FNMA, Pool #809897, (12M LIBOR
		+1.697%), 3.845%, 3/1/35(A)		43,103
	178,803	FNMA, Pool #813170, (12M LIBOR
		+1.575%), 3.533%, 1/1/35(A)		186,527
	835,375	FNMA, Pool #815323, (6M LIBOR
		+1.536%), 3.150%, 1/1/35(A)		864,376
	193,628	FNMA, Pool #820364, (12M LIBOR
		+0.969%), 2.719%, 4/1/35(A)		200,569
	366,554	FNMA, Pool #827787, (6M LIBOR
		+1.550%), 3.062%, 5/1/35(A)		379,385
	49,566	FNMA, Pool #828480, (12M LIBOR
		+1.730%), 3.605%, 6/1/35(A)		52,170
	127,779	FNMA, Pool #839239, (12M LIBOR
		+1.760%), 3.510%, 9/1/35(A)		134,343
	81,943	FNMA, Pool #888179, (12M LIBOR
		+1.812%), 3.639%, 2/1/37(A)		85,809
	57,901	FNMA, Pool #888548, (1 Year CMT Rate
		+2.251%), 3.444%, 5/1/35(A)		61,125
	90,457	FNMA, Pool #889060, 6.000%, 1/1/38		101,001
	87,231	FNMA, Pool #889061, 6.000%, 1/1/38		98,817
	5,930	FNMA, Pool #889382, 5.500%, 4/1/38		6,569
	323,815	FNMA, Pool #922674, (12M LIBOR
		+1.905%), 3.780%, 4/1/36(A)		341,892
	43,550	FNMA, Pool #931676, 5.500%, 1/1/19		43,752
	137,163	FNMA, Pool #950385, (6M LIBOR
		+0.964%), 2.734%, 8/1/37(A)		138,672
	43,192	FNMA, Pool #960376, 5.500%, 12/1/37		47,084
	198,296	FNMA, Pool #985670, 6.500%, 10/1/21		203,937
	26	FNMA, Pool #995284, 5.500%, 3/1/20		26
	284,300	FNMA, Pool #AA1150, 4.000%, 4/1/23		292,486
	9,662	FNMA, Pool #AD0941, 5.500%, 4/1/40		10,757
	73,502	FNMA, Pool #AE0363, 5.000%, 7/1/37		79,357
	82,884	FNMA, Pool #AE0727, 4.000%, 10/1/20		85,270
	88,725	FNMA, Pool #AE5441, 5.000%, 10/1/40		95,349
	163,436	FNMA, Pool #AI6588, 4.000%, 7/1/26		168,218
	172,405	FNMA, Pool #AI8506, 4.000%, 8/1/26		177,430
	155,351	FNMA, Pool #AL0211, 5.000%, 4/1/41		167,799
	23,771	FNMA, Pool #AL0302, 5.000%, 4/1/24		24,762
	985,885	FNMA, Pool #AL0478, (12M LIBOR
		+1.794%), 3.576%, 4/1/36(A)		1,038,630
	285,495	FNMA, Pool #AL0543, 5.000%, 7/1/41		308,779
	158,118	FNMA, Pool #AL1105, 4.500%, 12/1/40		167,550
	45,431	FNMA, Pool #AL2591, 5.500%, 5/1/38		47,338
	525,259	FNMA, Pool #AL5275, (6M LIBOR
		+1.492%), 3.121%, 9/1/37(A)		542,909
	2,930,813	FNMA, Pool #AL7396, (6M LIBOR
		+1.537%), 3.139%, 2/1/37(A)		3,031,953
	7,594	GNMA, Pool #344233, 8.000%, 2/15/23		8,032
	35,146	GNMA, Pool #345123,
		8.000%, 12/15/23		37,231
	4,478	GNMA, Pool #569337, 6.500%, 4/15/22		4,663
	14,304	GNMA, Pool #628440, 7.000%, 4/15/24		14,365
	10,027	GNMA, Pool #780322,
		8.000%, 11/15/22		10,651
	494,510	GNMA, Pool #80826, (1 Year CMT Rate
		+1.500%), 2.375%, 2/20/34(A)		513,974
	215,233	GNMA, Pool #80889, (1 Year CMT Rate
		+1.500%), 2.625%, 4/20/34(A)		223,729
	365,486	GNMA, Pool #81016, (1 Year CMT Rate
		+1.500%), 2.750%, 8/20/34(A)		378,957
	763,566	GNMA, Pool #82760, (1 Year CMT Rate
		+1.500%), 2.375%, 3/20/41(A)		785,739
	363	GNMA, Pool #8426, (1 Year CMT Rate
		+1.500%), 3.125%, 11/20/18(A)		362
	476,791	GNMA, Pool #MA2392, (1 Year CMT
		Rate +1.500%), 3.000%, 11/20/44(A)		494,391
	1,952,217	GNMA, Pool #MA2466, (1 Year CMT
		Rate +1.500%), 3.000%, 12/20/44(A)		2,025,745
		Total U.S. Government
		Mortgage-Backed Obligations	$	24,972,189
		U.S. Government Agency Obligations — 0.8%
	2,100,000	Overseas Private Investment Corp.,
		1.705%, 10/15/33(A)(B)		2,100,000

57

Touchstone Ultra Short Duration Fixed Income Fund (Unaudited) (Continued)

Principal			Market
Amount			Value
		U.S. Government Agency Obligations — 0.8%
		(Continued)
$	5,000,000	Overseas Private Investment Corp.,
		1.790%, 7/20/22(A)(B)	$	5,000,000
	15,767	Small Business Administration
		Participation Certificates, Ser
		2002-20A, Class 1, 6.140%, 1/1/22		16,421
	27,766	Small Business Administration
		Participation Certificates, Ser
		2003-20E, Class 1, 4.640%, 5/1/23		28,651
	177,141	Small Business Administration Pools,
		1.900%, 1/25/26(A)		175,870
	149,013	Small Business Administration Pools,
		2.000%, 4/25/28(A)		148,176
		Total U.S. Government Agency
		Obligations	$	7,469,118
		Bank Loan — 0.2%
	1,743,938	Micron Technology Inc., Term Loan,
		(LIBOR +2.000%),
		3.880%, 4/26/22(A)(E)	$	1,754,296
		Commercial Paper — 2.3%
	15,000,000	Avypp, 2.171%, 04/02/2018(F)		14,996,660
	6,400,000	CABOTC, 2.251%, 04/02/2018(F)		6,398,537
		Total Commercial Paper	$	21,395,197
	Shares
		Short-Term Investment Fund — 0.0%
	97,508	Dreyfus Government Cash
		Management, Institutional Shares,
		1.54%∞Ω	$	97,508
		Total Investment Securities —100.0%
		(Cost $945,660,501)	$	942,448,314
		Liabilities in Excess of
		Other Assets — 0.0%		(451,838	)
		Net Assets — 100.0%	$	941,996,476

(A)	Variable rate security - Rate reflected is the rate in effect as of March 31, 2018.
(B)	Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions. These securities do not indicate a reference rate and spread in their description.
(C)	Step Bond - A bond that pays an initial interest rate for the first period and then a higher interest rate for the following periods until maturity. The interest rate shown reflects the rate in effect as of March 31, 2018.
(D)	Interest only security - This type of security represents the right to receive the monthly interest payments on an underlying pool of mortgages. Payments of principal on the pool reduce the value of the “interest only” holding.
(E)	Bank loans pay interest at rates which adjust periodically unless otherwise indicated. The interest rates shown are the current interest rates as of March 31, 2018.
(F)	Rate reflects yield at the time of purchase.
††	The issuers and/or sponsors of certain mortgage-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.
∞	Open-End Fund.
Ω	Represents the 7-day SEC yield as of March 31, 2018.

Portfolio Abbreviations:

ARM - Adjustable Rate Mortgage

BANS - Bond Anticipation Notes

CDO - Collateralized Debt Obligations

CLO - Collateralized Loan Obligations

CMT - Constant Maturity Treasury

FDIC - Federal Deposit Insurance Corporation

FHLMC - Federal Home Loan Mortgage Corporation

FNMA - Federal National Mortgage Association

GNMA - Government National Mortgage Association

IDA - Industrial Development Agency

LIBOR - London Interbank Offered Rate

58

Touchstone Ultra Short Duration Fixed Income Fund (Unaudited) (Continued)

LLC - Limited Liability Company

LOC - Letter of Credit

LP - Limited Partnership

MTN - Medium Term Note

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 qualifying for the exemption under 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, 2018, these securities were valued at $482,013,941 or 51.2% 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
Asset-Backed Securities	$	—	$	393,837,180	$	—	$	393,837,180
Corporate Bonds		—		266,606,922		—		266,606,922
Commercial Mortgage-Backed Securities		—		128,223,860		—		128,223,860
Non-Agency Collateralized Mortgage Obligations		—		36,858,449		—		36,858,449
Agency Collateralized Mortgage Obligations		—		34,412,248		—		34,412,248
Municipal Bonds		—		26,821,347		—		26,821,347
U.S. Government Mortgage-Backed Obligations		—		24,972,189		—		24,972,189
U.S. Government Agency Obligations		—		7,469,118		—		7,469,118
Bank Loan		—		1,754,296		—		1,754,296
Commercial Paper		—		21,395,197		—		21,395,197
Short-Term Investment Fund		97,508		—		—		97,508
Total	$	97,508	$	942,350,806	$	—	$	942,448,314

See accompanying Notes to Financial Statements.

59

Statements of Assets and Liabilities

March 31, 2018 (Unaudited)

							Touchstone
	Touchstone			Touchstone			Emerging			Touchstone
	Active Bond			Arbitrage			Markets Small			High Yield
	Fund			Fund			Cap Fund			Fund
Assets
Investments, at cost	$	397,778,911		$	273,416,138		$	11,615,381		$	197,833,339
Investments, at market value (A)	$	394,907,068		$	266,346,161		$	12,812,264		$	194,229,521
Cash		—			—			—			56
Foreign currency (B)		—			—			254,633			—
Cash collateral for securities sold short and written options		—			5,166,076			—			—
Unrealized appreciation on forward foreign currency contracts		—			49,954			—			—
Dividends and interest receivable		2,126,517			209,040			32,767			3,211,848
Receivable for capital shares sold		105,696			2,148,461			23,062			24,004
Receivable for investments sold		1,300,699			14,925,050			340,099			1,746,484
Receivable for securities lending income		2,503			2,138			521			8,485
Receivable from Investment Advisor		—			—			7,918			—
Tax reclaim receivable		—			—			167			—
Other assets		34,794			41,918			27,334			31,410
Total Assets		398,477,277			288,888,798			13,498,765			199,251,808
Liabilities
Bank overdrafts		—			2,330,347			103,491			—
Foreign currency(B)		—			94			—			—
Due to prime broker		—			—			—			—
Written options, at market value(C)		—			189,222			—			—
Securities sold short(D)		—			24,473,518			—			—
Dividend and interest payable on securities sold short		—			45,603			—			—
Payable for return of collateral for securities on loan		—			2,409,030			198,631			2,972,535
Payable for capital shares redeemed		477,265			182,697			3,000			231,671
Payable for investments purchased		398,234			14,498,274			387,841			2,083,000
Payable to Investment Advisor		106,449			216,556			—			76,852
Payable to other affiliates		61,996			34,978			135			28,771
Payable to Trustees		3,687			3,687			3,687			3,687
Payable for professional services		15,343			15,903			31,546			14,778
Payable to Transfer Agent		214,941			39,741			4,956			53,314
Payable for reports to shareholders		—			9,020			6,373			7,912
Other accrued expenses and liabilities		57,216			6,894			21,523			25,914
Total Liabilities		1,335,131			44,455,564			761,183			5,498,434
Net Assets	$	397,142,146		$	244,433,234		$	12,737,582		$	193,753,374
Net assets consist of:
Par value	$	392,384		$	251,843		$	10,764		$	232,432
Paid-in capital		401,062,342			255,140,072			108,230,115			210,827,836
Accumulated net investment income (loss)		(380,301	)		(1,057,855	)		(97,121	)		667,994
Accumulated net realized gains (losses) on investments, forward foreign currency contracts, foreign currency transactions, futures contracts, written options and securities sold short		(1,060,436	)		(2,427,507	)		(96,604,613	)		(14,371,070	)
Net unrealized appreciation (depreciation) on investments, forward foreign currency contracts, foreign currency transactions, written options and securities sold short		(2,871,843	)		(7,473,319	)		1,198,437			(3,603,818	)
Net Assets	$	397,142,146		$	244,433,234		$	12,737,582		$	193,753,374
(A) Includes market value of securities on loan of:	$	—		$	2,297,842		$	192,811		$	2,866,741
(B) Cost of foreign currency:	$	—		$	(91	)	$	253,729		$	—
(C) Premiums received from written options:	$	—		$	218,581		$	—		$	—
(D) Proceeds received for securities sold short:	$	—		$	23,990,866		$	—		$	—

See accompanying Notes to Financial Statements.

60

Statements of Assets and Liabilities (Unaudited) (Continued)

Touchstone			Touchstone		Touchstone		Touchstone			Touchstone			Touchstone
Merger			Mid		Mid Cap		Premium			Sands Capital			Small
Arbitrage			Cap		Value		Yield Equity			Select Growth			Cap
Fund			Fund		Fund		Fund			Fund			Fund
$	219,311,192		$	689,624,731	$	697,021,090	$	101,538,812		$	1,096,584,451		$	116,308,131
$	214,715,172		$	818,758,089	$	757,165,203	$	115,750,901		$	2,511,996,561		$	170,402,458
	1,283			151,173		75,153		71,256			6			38,042
	—			—		—		—			—			—
	—			—		—		—			—			—
	25,628			—		—		—			—			—
	173,959			1,256,198		1,038,960		249,068			244,460			179,338
	511,607			2,852,715		4,717,831		114,566			2,068,926			38,229
	8,904,901			3,939,595		—		—			—			1,851,612
	—			—		8,099		2,067			—			32,577
	—			—		—		—			—			—
	—			—		—		23,630			—			—
	34,060			47,993		51,537		22,845			60,488			35,618
	224,366,610			827,005,763		763,056,783		116,234,333			2,514,370,441			172,577,874
	—			—		—		—			—			—
	51			—		—		—			—			—
	12,828,367			—		—		—			—			—
	158,166			—		—		—			—			—
	14,344,506			—		—		—			—			—
	51,625			—		—		—			—			—
	—			—		20,761,501		4,684,185			—			6,324,413
	289,092			1,372,247		16,190,921		351,316			4,234,147			676,862
	8,327,386			—		1,648,453		542,786			—			—
	162,561			525,675		513,254		66,262			2,036,781			118,756
	31,164			146,135		65,003		29,038			798,178			25,407
	3,687			3,687		3,687		3,687			3,687			3,687
	16,085			17,680		15,332		11,611			31,785			12,206
	36,626			175,061		112,987		28,447			598,070			45,773
	7,372			17,706		3,691		8,376			60,981			22,650
	10,884			2,115		2,502		1,818			16,098			6,661
	36,267,572			2,260,306		39,317,331		5,727,526			7,779,727			7,236,415
$	188,099,038		$	824,745,457	$	723,739,452	$	110,506,807		$	2,506,590,714		$	165,341,459
$	181,310		$	252,652	$	401,263	$	119,146		$	1,598,976		$	109,323
	195,300,503			682,903,542		652,246,609		91,565,896			977,084,047			91,677,256
	(1,035,237	)		1,375,052		259,755		(237,971	)		(25,616,654	)		5,835
	(1,539,351	)		11,080,853		10,687,712		4,847,647			138,112,235			19,454,718
	(4,808,187	)		129,133,358		60,144,113		14,212,089			1,415,412,110			54,094,327
$	188,099,038		$	824,745,457	$	723,739,452	$	110,506,807		$	2,506,590,714		$	165,341,459
$	—		$	—	$	21,066,580	$	4,587,097		$	—		$	6,360,406
$	(50	)	$	—	$	—	$	—		$	—		$	—
$	183,789		$	—	$	—	$	—		$	—		$	—
$	14,081,089		$	—	$	—	$	—		$	—		$	—

61

Statements of Assets and Liabilities (Unaudited) (Continued)

							Touchstone
	Touchstone						Emerging
	Active			Touchstone			Markets			Touchstone
	Bond			Arbitrage			Small Cap			High Yield
	Fund			Fund			Fund			Fund
Pricing of Class A Shares
Net assets applicable to Class A shares	$	153,654,130		$	5,663,318		$	1,972,750		$	14,793,827
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		15,088,437			591,178			166,697			1,817,587
Net asset value price per share*	$	10.18		$	9.58		$	11.83		$	8.14
Maximum sales charge - Class A shares		4.75	%		5.75	%		5.75	%		4.75	%
Maximum offering price per share (100%/(100%-maximum sales charge) of net asset value adjusted to the nearest cent) - Class A shares	$	10.69		$	10.16		$	12.55		$	8.55
Pricing of Class C Shares
Net assets applicable to Class C shares	$	27,954,223		$	6,574,224		$	1,054,013		$	10,862,245
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		2,971,825			709,342			91,452			1,337,856
Net asset value and offering price per share**	$	9.41		$	9.27		$	11.53		$	8.12
Pricing of Class Y Shares
Net assets applicable to Class Y shares	$	184,971,540		$	171,151,242		$	8,583,579		$	57,289,514
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		18,174,270			17,626,439			722,547			6,843,378
Net asset value, offering price and redemption price per share	$	10.18		$	9.71		$	11.88		$	8.37
Pricing of Class Z Shares
Net assets applicable to Class Z shares	$	—		$	—		$	—		$	—
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		—			—			—			—
Net asset value, offering price and redemption price per share	$	—		$	—		$	—		$	—
Pricing of Institutional Class Shares
Net assets applicable to Institutional Class shares	$	30,562,253		$	61,044,450		$	1,127,240		$	110,807,788
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		3,003,842			6,257,359			95,670			13,244,355
Net asset value, offering price and redemption price per share	$	10.17		$	9.76		$	11.78		$	8.37

* There is no sales load on subscriptions of $1 million or more. Redemptions that were part of a $1 million or more subscription may be subject to a contingent deferred sales load if redeemed within a one-year period from the date of purchase.

** Redemption price per share varies by length of time shares are held due to the terms of the contingent deferred sales charge.

See accompanying Notes to Financial Statements.

62

Statements of Assets and Liabilities (Unaudited) (Continued)

Touchstone			Touchstone			Touchstone			Touchstone			Touchstone			Touchstone
Merger			Mid			Mid Cap			Premium			Sands Capital			Small
Arbitrage			Cap			Value			Yield Equity			Select			Cap
Fund			Fund			Fund			Fund			Growth Fund			Fund
$	11,232,655		$	34,200,967		$	19,739,313		$	13,403,550		$	89,214,637		$	10,272,755
	1,097,694			1,051,485			1,101,669			1,442,214			5,895,997			683,571
$	10.23		$	32.53		$	17.92		$	9.29		$	15.13		$	15.03
	5.75	%		5.75	%		5.75	%		5.75	%		5.75	%		5.75	%
$	10.85		$	34.51		$	19.01		$	9.86		$	16.05		$	15.95
$	9,562,309		$	55,705,901		$	9,614,036		$	20,178,632		$	73,814,611		$	7,067,434
	985,302			1,808,078			550,599			2,174,153			5,321,579			494,122
$	9.70		$	30.81		$	17.46		$	9.28		$	13.87		$	14.30
$	106,354,126		$	600,396,725		$	333,782,834		$	76,924,625		$	1,794,066,247		$	60,453,752
	10,222,652			18,302,276			18,539,373			8,298,198			112,398,100			3,976,385
$	10.40		$	32.80		$	18.00		$	9.27		$	15.96		$	15.20
$	—		$	19,829,237		$	—		$	—		$	549,495,219		$	—
	—			613,292			—			—			36,281,937			—
$	—		$	32.33		$	—		$	—		$	15.15		$	—
$	60,949,948		$	114,612,627		$	360,603,269		$	—		$	—		$	87,547,518
	5,825,311			3,490,090			19,934,637			—			—			5,778,216
$	10.46		$	32.84		$	18.09		$	—		$	—		$	15.15

63

Statements of Assets and Liabilities (Unaudited) (Continued)

	Touchstone						Touchstone
	Small			Touchstone			Ultra Short
	Cap Value			Total Return			Duration Fixed
	Fund			Bond Fund			Income Fund
Assets
Investments, at cost	$	102,492,179		$	309,143,658		$	945,660,501
Investments, at market value (A)	$	102,017,410		$	304,475,826		$	942,448,314
Cash		10,054			9			398
Dividends and interest receivable		135,693			2,171,201			4,363,798
Receivable for capital shares sold		27,021			898,251			1,575,775
Receivable for investments sold		—			—			934,295
Receivable from securities lending income		4,482			770			—
Other assets		23,993			43,787			56,357
Total Assets		102,218,653			307,589,844			949,378,937
Liabilities
Distributions payable		—			—			261,419
Payable for return of collateral for securities on loan		6,342,805			1,272,000			—
Payable for capital shares redeemed		45,079			1,384,542			6,489,389
Payable for investments purchased		31,032			—			—
Payable to Investment Advisor		68,606			73,866			187,155
Payable to other affiliates		5,546			29,416			264,870
Payable to Trustees		3,687			3,687			3,685
Payable for professional services		12,369			14,505			19,235
Payable to Transfer Agent		96,950			26,331			106,424
Payable for reports to shareholders		10,729			5,635			7,227
Other accrued expenses and liabilities		2,153			17,009			43,057
Total Liabilities		6,618,956			2,826,991			7,382,461
Net Assets	$	95,599,697		$	304,762,853		$	941,996,476
Net assets consist of:
Par value		37,251			306,823			1,018,034
Paid-in capital		95,088,108			313,285,413			968,008,202
Accumulated net investment income (loss)		31,718			(454,894	)		(191,694	)
Accumulated net realized gains (losses) on investments		917,389			(3,706,657	)		(23,625,879	)
Net unrealized depreciation on investments		(474,769	)		(4,667,832	)		(3,212,187	)
Net Assets	$	95,599,697		$	304,762,853		$	941,996,476
(A) Includes market value of securities on loan of:	$	6,350,204		$	1,236,000		$	—

See accompanying Notes to Financial Statements.

64

Statements of Assets and Liabilities (Unaudited) (Continued)

	Touchstone						Touchstone
	Small			Touchstone			Ultra Short
	Cap Value			Total Return			Duration Fixed
	Fund			Bond Fund			Income Fund
Pricing of Class A Shares
Net assets applicable to Class A shares	$	74,483,172		$	6,147,327		$	85,129,202
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		2,901,957			619,551			9,198,021
Net asset value price per share*	$	25.67		$	9.92		$	9.26
Maximum sales charge - Class A shares		5.75	%		4.75	%		2.00	%
Maximum offering price per share (100%/(100%-maximum sales charge) of net asset value adjusted to the nearest cent) - Class A shares	$	27.24		$	10.41		$	9.45
Pricing of Class C Shares
Net assets applicable to Class C shares	$	1,058,782		$	1,275,092		$	5,454,024
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		42,152			128,663			589,107
Net asset value and offering price per share**	$	25.12		$	9.91		$	9.26
Pricing of Class S Shares
Net assets applicable to Class S shares	$	—		$	—		$	158,078,576
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value)		—			—			17,082,584
Net asset value, offering price and redemption price per share	$	—		$	—		$	9.25
Pricing of Class Y Shares
Net assets applicable to Class Y shares	$	2,722,847		$	49,340,408		$	270,349,081
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		105,909			4,966,700			29,213,505
Net asset value, offering price and redemption price per share	$	25.71		$	9.93		$	9.25
Pricing of Class Z Shares
Net assets applicable to Class Z shares	$	—		$	—		$	182,824,222
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		—			—			19,752,219
Net asset value, offering price and redemption price per share	$	—		$	—		$	9.26
Pricing of Institutional Class Shares
Net assets applicable to Institutional Class shares	$	17,334,896		$	248,000,026		$	240,161,371
Shares of beneficial interest outstanding (unlimited number of shares authorized, $0.01 par value)		675,040			24,967,408			25,967,936
Net asset value, offering price and redemption price per share	$	25.68		$	9.93		$	9.25

* There is no sales load on subscriptions of $1 million or more. Redemptions that were part of a $1 million or more subscription may be subject to a contingent deferred sales load if redeemed within a one-year period from the date of purchase.

** Redemption price per share varies by length of time shares are held due to the terms of the contingent deferred sales charge.

See accompanying Notes to Financial Statements.

65

Statements of Operations

For the Six Months Ended March 31, 2018 (Unaudited)

							Touchstone
	Touchstone			Touchstone			Emerging
	Active Bond			Arbitrage			Markets Small
	Fund			Fund			Cap Fund
Investment Income
Dividends (A)	$	570,345		$	572,662		$	69,619
Interest		4,950,486			414,803			—
Income from securities loaned		3,606			54,508			2,045
Total Investment Income		5,524,437			1,041,973			71,664
Expenses
Investment advisory fees		713,805			1,220,783			70,069
Administration fees		267,546			168,584			9,676
Compliance fees and expenses		689			689			689
Custody fees		27,911			22,819			38,590
Professional fees		19,801			17,323			30,913
Transfer Agent fees, Class A		116,833			4,975			3,783
Transfer Agent fees, Class C		23,820			2,989			1,015
Transfer Agent fees, Class Y		134,749			63,810			2,535
Transfer Agent fees, Class Z		—			—			—
Transfer Agent fees, Institutional Class		661			1,801			378
Registration Fees, Class A		8,482			8,272			8,104
Registration Fees, Class C		7,286			6,826			5,547
Registration Fees, Class Y		8,582			15,092			7,727
Registration Fees, Class Z		—			—			—
Registration Fees, Institutional Class		7,055			6,515			6,679
Dividend expense on securities sold short		—			194,881			—
Interest expense on securities sold short		—			48,304			—
Reports to Shareholders, Class A		4,112			2,886			2,634
Reports to Shareholders, Class C		3,041			2,727			2,416
Reports to Shareholders, Class Y		4,094			9,185			2,515
Reports to Shareholders, Class Z		—			—			—
Reports to Shareholders, Institutional Class		2,402			2,618			2,370
Shareholder servicing fees, Class Z		—			—			—
Distribution expenses, Class A		174,749			8,080			3,306
Distribution and shareholder servicing expenses, Class C		132,418			38,689			5,071
Trustee fees		7,213			7,213			7,213
Other expenses		82,959			14,828			17,034
Total Expenses		1,748,208			1,869,889			228,264
Fees waived and/or reimbursed by the Advisor and/or Affiliates(B)		(252,690	)		(19,407	)		(124,579	)
Fees eligible for recoupment by the Advisor(B)		—			—			—
Net Expenses		1,495,518			1,850,482			103,685
Net Investment Income (Loss)		4,028,919			(808,509	)		(32,021	)
Realized and Unrealized Gains (Losses) on Investments
Net realized gains (losses) on investments(C)		(694,599	)		5,518,329			1,058,255
Net realized losses on forward foreign currency contracts		—			(122,431	)		—
Net realized gains (losses) on foreign currency transactions		—			38,426			(4,651	)
Net realized losses on futures contracts		(131,990	)		—			—
Net realized gains on written options		—			474,638			—
Net realized losses on securities sold short		—			(5,773,465	)		—
Net change in unrealized appreciation (depreciation) on investments(D)		(8,757,297	)		(5,982,201	)		(47,251	)
Net change in unrealized appreciation (depreciation) on forward foreign currency contracts		—			31,433			—
Net change in unrealized appreciation (depreciation) on foreign currency transactions		—			4,243			1,668
Net change in unrealized appreciation (depreciation) on written options		—			1,698			—
Net change in unrealized appreciation (depreciation) on securities sold short		—			1,550,351			—
Net Realized and Unrealized Gains (Losses) on Investments		(9,583,886	)		(4,258,979	)		1,008,021
Change in Net Assets Resulting from Operations	$	(5,554,967	)	$	(5,067,488	)	$	976,000
(A) Net of foreign tax withholding of:	$	—		$	896		$	7,534

^(B)See Note 4 in Notes to Financial Statements.

^(C) On March 13, 2018, the Small Cap Fund had a redemption-in-kind of securities and cash in the amount of $2,022,916 and $62,741, respectively, Net realized gains (losses) on investments includes the realized gains on the transactions of $834,647 which will not be realized by the Fund for tax purposes.

^(D) Change in unrealized appreciation (depreciation) does not include net appreciation of $3,902,071 for the Touchstone Active Bond Fund in connection with the Fund's merger. See Note 9 in the Notes to Financial Statements.      

See accompanying Notes to Financial Statements.

66

Statements of Operations (Unaudited) (Continued)

			Touchstone			Touchstone			Touchstone			Touchstone			Touchstone
Touchstone			Merger			Mid			Mid Cap			Premium			Sands Capital			Touchstone
High Yield			Arbitrage			Cap			Value			Yield Equity			Select Growth			Small Cap
Fund			Fund			Fund			Fund			Fund			Fund			Fund
$	5,800		$	450,699		$	6,432,117		$	5,676,504		$	1,747,768		$	1,830,139		$	4,976,919
	5,753,881			491,455			—			—			—			1,415			—
	17,334			—			—			23,245			26,735			213,420			216,880
	5,777,015			942,154			6,432,117			5,699,749			1,774,503			2,044,974			5,193,799
	529,830			1,010,668			3,210,263			2,885,466			421,977			11,180,495			833,203
	146,421			139,569			596,551			533,756			88,572			1,827,864			142,135
	689			689			689			689			689			689			689
	7,099			27,725			7,380			11,541			3,325			19,775			5,237
	16,054			17,378			23,020			21,418			12,900			48,551			14,396
	13,111			6,221			18,110			14,066			16,059			38,690			11,486
	5,927			4,610			28,597			4,760			7,949			31,145			5,098
	50,135			44,163			274,991			139,805			20,761			800,686			47,403
	—			—			10,725			—			—			423,483			—
	3,937			10,044			8,315			73,772			—			—			16,238
	8,566			9,233			8,687			9,305			8,824			8,778			8,283
	7,310			8,032			8,782			8,624			8,000			8,589			7,020
	12,226			10,346			19,191			19,133			10,246			24,470			10,550
	—			—			8,182			—			—			14,266			—
	7,262			10,224			6,655			12,991			—			—			8,300
	—			149,109			—			—			—			—			—
	—			162,433			—			—			—			—			—
	3,023			2,811			4,007			3,950			3,115			4,980			3,166
	2,896			2,832			5,363			3,156			3,056			5,193			2,834
	3,670			4,809			37,360			24,745			6,663			63,719			12,784
	—			—			3,495			—			—			27,199			—
	2,519			2,432			2,811			11,307			—			—			2,893
	—			—			24,956			—			—			675,348			—
	19,177			15,576			43,812			26,112			28,695			113,410			14,477
	60,066			51,768			290,045			54,055			108,466			371,000			41,603
	7,213			7,213			7,213			7,213			7,213			7,213			7,213
	39,605			14,152			23,097			22,111			8,795			56,051			14,613
	946,736			1,712,037			4,672,297			3,887,975			765,305			15,751,594			1,209,621
	(104,078	)		(31,820	)		(280,235	)		(327,377	)		(47,621	)		(259,820	)		(84,300	)
	—			—			—			37,454			—			—			—
	842,658			1,680,217			4,392,062			3,598,052			717,684			15,491,774			1,125,321
	4,934,357			(738,063	)		2,040,055			2,101,697			1,056,819			(13,446,800	)		4,068,478
	1,604,705			4,422,367			89,873,359			19,902,087			5,174,296			160,083,488			26,947,793
	—			(71,814	)		—			—			—			—			—
	—			23,055			—			—			—			—			—
	—			—			—			—			—			—			—
	—			436,645			—			—			—			—			—
	—			(5,536,252	)		—			—			—			—			—
	(8,649,818	)		(3,935,845	)		(31,599,861	)		(35,231,289	)		(3,293,797	)		172,427,210			(22,923,725	)
	—			14,763			—			—			—			—			—
	—			1,975			—			—			—			—			—
	—			1,381			—			—			—			—			—
	—			2,235,757			—			—			—			—			—
	(7,045,113	)		(2,407,968	)		58,273,498			(15,329,202	)		1,880,499			332,510,698			4,024,068
$	(2,110,756	)	$	(3,146,031	)	$	60,313,553		$	(13,227,505	)	$	2,937,318		$	319,063,898		$	8,092,546
$	—		$	498		$	—		$	—		$	54,303		$	9,350		$	—

67

Statements of Operations (Unaudited) (Continued)

							Touchstone
	Touchstone			Touchstone			Ultra Short
	Small Cap			Total Return			Duration
	Value			Bond			Fixed Income
	Fund			Fund			Fund
Investment Income
Dividends	$	694,797		$	62,738		$	36,279
Interest		—			4,233,349			11,486,065
Income from securities loaned		13,432			1,794			—
Total Investment Income		708,229			4,297,881			11,522,344
Expenses
Investment advisory fees		414,523			494,495			1,179,410
Administration fees		66,784			204,862			684,052
Compliance fees and expenses		689			689			686
Custody fees		4,670			6,612			21,675
Professional fees		13,151			16,400			28,678
Transfer Agent fees, Class A		109,169			4,388			32,317
Transfer Agent fees, Class C		957			894			2,119
Transfer Agent fees, Class S		—			—			15,320
Transfer Agent fees, Class Y		2,677			21,703			83,610
Transfer Agent fees, Class Z		—			—			90,757
Transfer Agent fees, Institutional Class		1,093			53,723			19,705
Registration Fees, Class A		10,466			7,264			10,462
Registration Fees, Class C		5,371			5,345			8,331
Registration Fees, Class S		—			—			3,374
Registration Fees, Class Y		5,465			8,591			11,985
Registration Fees, Class Z		—			—			10,597
Registration Fees, Institutional Class		3,865			14,620			9,765
Reports to Shareholders, Class A		8,986			2,438			3,297
Reports to Shareholders, Class C		2,492			2,419			2,550
Reports to Shareholders, Class S		—			—			3,932
Reports to Shareholders, Class Y		2,545			2,743			5,838
Reports to Shareholders, Class Z		—			—			8,397
Reports to Shareholders, Institutional Class		2,367			2,957			2,537
Shareholder servicing fees, Class Z		—			—			251,412
Distribution expenses, Class A		95,638			6,879			98,253
Distribution and shareholder servicing expenses, Class C		6,015			7,828			20,425
Distribution and shareholder servicing expenses, Class S		—			—			347,601
Trustee fees		7,213			7,213			7,211
Other expenses		42,523			22,793			65,730
Total Expenses		806,659			894,856			3,030,026
Fees waived and/or reimbursed by the Advisor and/or Affiliates(A)		(193,055	)		(148,857	)		(308,734	)
Net Expenses		613,604			745,999			2,721,292
Net Investment Income		94,625			3,551,882			8,801,052
Realized and Unrealized Gains (Losses) on Investments
Net realized gains on investments		3,491,190			70,335			1,032,751
Net change in unrealized appreciation (depreciation) on investments(B)		(5,299,076	)		(5,531,786	)		(4,874,400	)
Net Realized and Unrealized Gains (Losses) on Investments		(1,807,886	)		(5,461,451	)		(3,841,649	)
Change in Net Assets Resulting from Operations	$	(1,713,261	)	$	(1,909,569	)	$	4,959,403
(A) See Note 4 in Notes to Financial Statements.
(B) Change in unrealized appreciation (depreciation) does not include net appreciation of $1,842,713 for the Touchstone Ultra Short Duration Fixed Income Fund in connection with the Fund's merger. See Note 9 in the Notes to Financial Statements.

See accompanying Notes to Financial Statements.

68

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69

Statements of Changes in Net Assets

	Touchstone						Touchstone
	Active Bond						Arbitrage
	Fund						Fund
	For the						For the
	Six Months			For the			Six Months			For the
	Ended			Year Ended			Ended			Year Ended
	March 31, 2018			September 30,			March 31, 2018			September 30,
	(Unaudited)			2017			(Unaudited)			2017
From Operations
Net investment income (loss)	$	4,028,919		$	2,803,969		$	(808,509	)	$	(1,865,799	)
Net realized gains (losses) on investments, forward foreign currency contracts, foreign currency transactions, futures contracts, written options and securities sold short		(826,589	)		272,649			135,497			8,649,280
Net change in unrealized appreciation (depreciation) on investments, forward foreign currency contracts, foreign currency transactions, written options and securities sold short		(8,757,297	)		(1,681,396	)		(4,394,476	)		(2,212,948	)
Change in Net Assets from Operations		(5,554,967	)		1,395,222			(5,067,488	)		4,570,533
Distributions to Shareholders from:
Net investment income, Class A		(1,621,263	)		(567,055	)		—			—
Net investment income, Class C		(237,136	)		(101,877	)		—			—
Net investment income, Class Y		(2,276,850	)		(1,896,650	)		—			—
Net investment income, Institutional Class		(374,834	)		(319,492	)		—			—
Net realized gains, Class A		(62,339	)		—			(294,311	)		(267,450	)
Net realized gains, Class C		(13,086	)		—			(371,498	)		(260,994	)
Net realized gains, Class Y		(73,740	)		—			(7,406,684	)		(3,766,286	)
Net realized gains, Institutional Class		(10,433	)		—			(1,334,179	)		(393,447	)
Total Distributions		(4,669,681	)		(2,885,074	)		(9,406,672	)		(4,688,177	)
Net Increase (Decrease) from Share Transactions(A)		280,160,723			13,473,288			17,575,688			87,940,770
Total Increase (Decrease) in Net Assets		269,936,075			11,983,436			3,101,528			87,823,126
Net Assets
Beginning of period		127,206,071			115,222,635			241,331,706			153,508,580
End of period	$	397,142,146		$	127,206,071		$	244,433,234		$	241,331,706
Accumulated Net Investment Income (Loss)	$	(380,301	)	$	100,863		$	(1,057,855	)	$	(249,346	)

^(A) For details on share transactions by class, see Statements of Changes in Net Assets - Capital Stock Activity in pages 76-78.

See accompanying Notes to Financial Statements.

70

Statements of Changes in Net Assets (Continued)

Touchstone					Touchstone						Touchstone
Emerging Markets					High Yield						Merger Arbitrage
Small Cap Fund					Fund						Fund
For the					For the						For the
Six Months			For the		Six Months			For the			Six Months			For the
Ended			Year Ended		Ended			Year Ended			Ended			Year Ended
March 31, 2018			September 30,		March 31, 2018			September 30,			March 31, 2018			September 30,
(Unaudited)			2017		(Unaudited)			2017			(Unaudited)			2017
$	(32,021	)	$	165,389	$	4,934,357		$	11,322,599		$	(738,063	)	$	(1,613,506	)
	1,053,604			1,620,183		1,604,705			5,678,503			(725,999	)		10,283,869
	(45,583	)		480,130		(8,649,818	)		863,209			(1,681,969	)		(2,312,301	)
	976,000			2,265,702		(2,110,756	)		17,864,311			(3,146,031	)		6,358,062
	(16,502	)		—		(345,535	)		(875,914	)		—			—
	(731	)		—		(226,783	)		(552,993	)		—			—
	(75,393	)		—		(1,494,033	)		(4,073,517	)		—			—
	(11,410	)		—		(2,684,301	)		(5,613,771	)		—			—
	—			—		—			—			(683,179	)		(431,396	)
	—			—		—			—			(605,164	)		(416,865	)
	—			—		—			—			(4,909,189	)		(2,373,169	)
	—			—		—			—			(3,416,906	)		(2,024,092	)
	(104,036	)		—		(4,750,652	)		(11,116,195	)		(9,614,438	)		(5,245,522	)
	(1,738,479	)		2,586,750		(17,273,888	)		(5,232,555	)		(13,820,416	)		20,805,545
	(866,515	)		4,852,452		(24,135,296	)		1,515,561			(26,580,885	)		21,918,085
	13,604,097			8,751,645		217,888,670			216,373,109			214,679,923			192,761,838
$	12,737,582		$	13,604,097	$	193,753,374		$	217,888,670		$	188,099,038		$	214,679,923
$	(97,121	)	$	38,936	$	667,994		$	484,289		$	(1,035,237	)	$	(297,174	)

71

Statements of Changes in Net Assets (Continued)

	Touchstone						Touchstone
	Mid Cap						Mid Cap
	Fund						Value Fund
	For the						For the
	Six Months			For the			Six Months			For the
	Ended			Year Ended			Ended			Year Ended
	March 31, 2018			September 30,			March 31, 2018			September 30,
	(Unaudited)			2017			(Unaudited)			2017
From Operations
Net investment income (loss)	$	2,040,055		$	519,789		$	2,101,697		$	2,845,547
Net realized gains (losses) on investments		89,873,359			28,922,903			19,902,087			39,280,159
Net change in unrealized appreciation (depreciation) on investments		(31,599,861	)		92,701,133			(35,231,289	)		39,673,618
Change in Net Assets from Operations		60,313,553			122,143,825			(13,227,505	)		81,799,324
Distributions to Shareholders from:
Net investment income, Class A		—			(156,233	)		(24,216	)		(31,801	)
Net investment income, Class C		—			—			—			—
Net investment income, Class Y		(890,491	)		(2,919,041	)		(854,589	)		(1,318,968	)
Net investment income, Class Z		—			(49,552	)		—			—
Net investment income, Institutional Class		(252,288	)		(569,047	)		(1,149,758	)		(1,494,495	)
Net realized gains, Class A		(332,156	)		—			(1,172,178	)		(721,984	)
Net realized gains, Class C		(594,785	)		—			(661,135	)		(214,768	)
Net realized gains, Class Y		(5,676,246	)		—			(19,579,694	)		(10,153,339	)
Net realized gains, Class Z		(194,569	)		—			—			—
Net realized gains, Institutional Class		(1,143,430	)		—			(20,669,242	)		(7,439,636	)
Total Distributions		(9,083,965	)		(3,693,873	)		(44,110,812	)		(21,374,991	)
Net Increase (Decrease) from Share Transactions(A)		(3,442,205	)		(27,506,901	)		92,256,988			123,474,421
Total Increase (Decrease) in Net Assets		47,787,383			90,943,051			34,918,671			183,898,754
Net Assets
Beginning of period		776,958,074			686,015,023			688,820,781			504,922,027
End of period	$	824,745,457		$	776,958,074		$	723,739,452		$	688,820,781
Accumulated Net Investment Income (Loss)	$	1,375,052		$	477,776		$	259,755		$	186,621

^(A) For details on share transactions by class, see Statements of Changes in Net Assets - Capital Stock Activity on pages 78-80.

See accompanying Notes to Financial Statements.

72

Statements of Changes in Net Assets (Continued)

						Touchstone
Touchstone						Sands Capital						Touchstone
Premium Yield						Select Growth						Small Cap
Equity Fund						Fund						Fund
For the						For the						For the
Six Months			For the			Six Months			For the			Six Months			For the
Ended			Year Ended			Ended			Year Ended			Ended			Year Ended
March 31, 2018			September 30,			March 31, 2018			September 30,			March 31, 2018			September 30,
(Unaudited)			2017			(Unaudited)			2017			(Unaudited)			2017
$	1,056,819		$	3,684,198		$	(13,446,800	)	$	(20,690,299	)	$	4,068,478		$	1,214,590
	5,174,296			5,512,271			160,083,488			603,132,169			26,947,793			95,404,969
	(3,293,797	)		3,897,864			172,427,210			(168,487,741	)		(22,923,725	)		(58,514,550	)
	2,937,318			13,094,333			319,063,898			413,954,129			8,092,546			38,105,009
	(296,661	)		(642,807	)		—			—			(255,075	)		—
	(193,832	)		(462,088	)		—			—			(110,390	)		—
	(1,086,726	)		(2,593,310	)		—			—			(1,820,261	)		(856,969	)
	—			—			—			—			—			—
	—			—			—			—			(2,806,519	)		(996,101	)
	(472,039	)		—			(17,654,139	)		(15,772,640	)		(1,948,328	)		—
	(419,726	)		—			(15,225,600	)		(13,604,302	)		(1,494,950	)		—
	(1,489,304	)		—			(335,076,764	)		(243,534,116	)		(13,539,198	)		—
	—			—			(108,517,175	)		(93,415,838	)		—			—
	—			—			—			—			(17,227,660	)		—
	(3,958,288	)		(3,698,205	)		(476,473,678	)		(366,326,896	)		(39,202,381	)		(1,853,070	)
	(9,284,419	)		(41,225,090	)		168,218,981			(789,883,325	)		(33,105,629	)		(410,214,463	)
	(10,305,389	)		(31,828,962	)		10,809,201			(742,256,092	)		(64,215,464	)		(373,962,524	)
	120,812,196			152,641,158			2,495,781,513			3,238,037,605			229,556,923			603,519,447
$	110,506,807		$	120,812,196		$	2,506,590,714		$	2,495,781,513		$	165,341,459		$	229,556,923
$	(237,971	)	$	282,429		$	(25,616,654	)	$	(12,169,854	)	$	5,835		$	929,602

73

Statements of Changes in Net Assets (Continued)

	Touchstone						Touchstone
	Small Cap						Total Return
	Value Fund						Bond Fund
	For the						For the
	Six Months			For the			Six Months			For the
	Ended			Year Ended			Ended			Year Ended
	March 31, 2018			September 30,			March 31, 2018			September 30,
	(Unaudited)			2017			(Unaudited)			2017
From Operations
Net investment income	$	94,625		$	118,428		$	3,551,882		$	5,372,324
Net realized gains (losses) on investments		3,491,190			20,198,408			70,335			(148,821	)
Net change in unrealized appreciation (depreciation) on investments		(5,299,076	)		2,881,276			(5,531,786	)		(4,095,482	)
Change in Net Assets from Operations		(1,713,261	)		23,198,112			(1,909,569	)		1,128,021
Distributions to Shareholders from:
Net investment income, Class A		(2,866	)		(125,781	)		(70,287	)		(181,518	)
Net investment income, Class C		—			—			(13,205	)		(40,739	)
Net investment income, Class S		—			—			—			—
Net investment income, Class Y		(7,635	)		(6,170	)		(602,752	)		(1,072,822	)
Net investment income, Class Z		—			—			—			—
Net investment income, Institutional Class		(70,544	)		(5,476	)		(3,394,828	)		(5,520,397	)
Total Distributions		(81,045	)		(137,427	)		(4,081,072	)		(6,815,476	)
Net Increase (Decrease) from Share Transactions(A)		8,759,276			(112,703,097	)		44,494,308			45,002,768
Total Increase (Decrease) in Net Assets		6,964,970			(89,642,412	)		38,503,667			39,315,313
Net Assets
Beginning of period		88,634,727			178,277,139			266,259,186			226,943,873
End of period	$	95,599,697		$	88,634,727		$	304,762,853		$	266,259,186
Accumulated Net Investment Income (Loss)	$	31,718		$	18,138		$	(454,894	)	$	74,296

^(A) For details on share transactions by class, see Statements of Changes in Net Assets - Capital Stock Activity on page 81-82.

See accompanying Notes to Financial Statements.

74

Statements of Changes in Net Assets (Continued)

Touchstone
Ultra Short
Duration Fixed
Income Fund
For the
Six Months			For the
Ended			Year Ended
March 31, 2018			September 30,
(Unaudited)			2017
$	8,801,052		$	10,092,521
	1,032,751			(1,954,477	)
	(4,874,400	)		1,285,240
	4,959,403			9,423,284
	(733,020	)		(214,947	)
	(37,081	)		(66,973	)
	(1,138,745	)		—
	(2,922,580	)		(3,880,242	)
	(1,871,053	)		(3,248,560	)
	(2,616,840	)		(3,471,689	)
	(9,319,319	)		(10,882,411	)
	196,167,721			132,263,146
	191,807,805			130,804,019
	750,188,671			619,384,652
$	941,996,476		$	750,188,671
$	(191,694	)	$	326,573

75

Statements of Changes in Net Assets - Capital Stock Activity

	Touchstone Active Bond Fund												Touchstone Arbitrage Fund
	For the Six Months												For the Six Months
	Ended						For the Year						Ended						For the Year
	March 31, 2018						Ended						March 31, 2018						Ended
	(Unaudited)						September 30, 2017						(Unaudited)						September 30, 2017
	Shares			Dollars			Shares			Dollars			Shares			Dollars			Shares			Dollars
Class A
Proceeds from Shares issued		779,265		$	8,040,285			114,125		$	1,187,727			84,162		$	826,329			422,923		$	4,310,951
Proceeds from Shares issued in connection with merger(A)		15,009,511			156,501,270			—			—			—			—			—			—
Reinvestment of distributions		135,669			1,395,109			47,971			498,530			29,857			289,907			26,086			264,509
Cost of Shares redeemed		(2,949,281	)		(30,537,905	)		(439,482	)		(4,579,262	)		(322,603	)		(3,211,797	)		(619,127	)		(6,319,297	)
Change from Class A Share Transactions		12,975,164			135,398,759			(277,386	)		(2,893,005	)		(208,584	)		(2,095,561	)		(170,118	)		(1,743,837	)
Class C
Proceeds from Shares issued		90,172			862,902			9,487			91,456			75,858			725,126			334,745			3,344,957
Proceeds from Shares issued in connection with merger(A)		2,962,276			28,556,721			—			—			—			—			—			—
Reinvestment of distributions		23,077			219,445			7,547			72,561			38,807			365,174			25,833			256,269
Cost of Shares redeemed		(583,331	)		(5,556,743	)		(200,983	)		(1,934,055	)		(285,572	)		(2,714,316	)		(264,616	)		(2,633,313	)
Change from Class C Share Transactions		2,492,194			24,082,325			(183,949	)		(1,770,038	)		(170,907	)		(1,624,016	)		95,962			967,913
Class Y
Proceeds from Shares issued		3,127,037			32,337,546			3,351,078			34,955,912			4,015,270			39,886,903			9,308,258			95,788,312
Proceeds from Shares issued in connection with merger(A)		12,700,690			132,356,634			—			—			—			—			—			—
Reinvestment of distributions		190,182			1,957,067			107,675			1,119,483			752,994			7,401,931			367,566			3,760,202
Cost of Shares redeemed		(5,457,750	)		(56,533,109	)		(3,074,005	)		(31,929,928	)		(4,443,791	)		(44,355,958	)		(4,089,565	)		(42,024,784	)
Change from Class Y Share Transactions		10,560,159			110,118,138			384,748			4,145,467			324,473			2,932,876			5,586,259			57,523,730
Institutional Class
Proceeds from Shares issued		1,328,442			13,798,862			1,735,083			18,084,313			3,879,257			38,574,015			3,879,650			39,938,927
Reinvestment of distributions		12,378			127,351			5,878			61,316			128,111			1,265,742			35,266			361,834
Cost of Shares redeemed		(325,974	)		(3,364,712	)		(398,424	)		(4,154,765	)		(2,103,722	)		(21,477,368	)		(882,899	)		(9,107,797	)
Change from Institutional Class Share Transactions		1,014,846			10,561,501			1,342,537			13,990,864			1,903,646			18,362,389			3,032,017			31,192,964
Change from Share Transactions		27,042,363		$	280,160,723			1,265,950		$	13,473,288			1,848,628		$	17,575,688			8,544,120		$	87,940,770

^(A) See Note 9 in the Notes to Financial Statements.

See accompanying Notes to Financial Statements.

76

Statements of Changes in Net Assets - Capital Stock Activity (Continued)

Touchstone Emerging Markets Small Cap Fund												Touchstone High Yield Fund
For the Six Months												For the Six Months
Ended						For the Year						Ended						For the Year
March 31, 2018						Ended						March 31, 2018						Ended
(Unaudited)						September 30, 2017						(Unaudited)						September 30, 2017
Shares			Dollars			Shares			Dollars			Shares			Dollars			Shares			Dollars
	34,471		$	402,809			215,767		$	2,024,110			313,842		$	2,579,154			1,151,664		$	9,567,953
	—			—			—			—			—			—			—			—
	1,419			16,444			—			—			36,272			300,898			85,856			710,212
	(135,527	)		(1,587,829	)		(205,112	)		(2,064,155	)		(541,121	)		(4,496,226	)		(1,786,930	)		(14,793,029	)
	(99,637	)		(1,168,576	)		10,655			(40,045	)		(191,007	)		(1,616,174	)		(549,410	)		(4,514,864	)
	13,245			149,706			12,887			124,473			32,368			270,545			145,109			1,182,888
	—			—			—			—			—			—			—			—
	64			731			—			—			22,972			190,165			55,043			454,327
	(4,630	)		(53,466	)		(30,291	)		(285,757	)		(266,800	)		(2,209,460	)		(649,501	)		(5,352,223	)
	8,679			96,971			(17,404	)		(161,284	)		(211,460	)		(1,748,750	)		(449,349	)		(3,715,008	)
	58,724			685,249			512,686			4,967,925			606,263			5,187,054			3,105,249			26,380,378
	—			—			—			—			—			—			—			—
	6,488			75,393			—			—			156,359			1,334,511			293,819			2,502,707
	(144,465	)		(1,660,018	)		(225,475	)		(2,208,327	)		(2,623,888	)		(22,551,617	)		(4,853,969	)		(41,432,077	)
	(79,253	)		(899,376	)		287,211			2,759,598			(1,861,266	)		(16,030,052	)		(1,454,901	)		(12,548,992	)
	21,937			249,071			6,693			64,871			1,086,186			9,237,858			6,630,700			55,508,953
	990			11,409			—			—			312,536			2,663,823			628,998			5,351,427
	(2,394	)		(27,978	)		(3,766	)		(36,390	)		(1,144,560	)		(9,780,593	)		(5,329,230	)		(45,314,071	)
	20,533			232,502			2,927			28,481			254,162			2,121,088			1,930,468			15,546,309
	(149,678	)	$	(1,738,479	)		283,389		$	2,586,750			(2,009,571	)	$	(17,273,888	)		(523,192	)	$	(5,232,555	)

77

Statements of Changes in Net Assets - Capital Stock Activity (Continued)

	Touchstone Merger Arbitrage Fund												Touchstone Mid Cap Fund
	For the Six Months												For the Six Months
	Ended						For the Year						Ended						For the Year
	March 31, 2018						Ended						March 31, 2018						Ended
	(Unaudited)						September 30, 2017						(Unaudited)						September 30, 2017
	Shares			Dollars			Shares			Dollars			Shares			Dollars			Shares			Dollars
Class A
Proceeds from Shares issued		118,709		$	1,268,277			663,943		$	7,189,677			94,920		$	3,053,457			310,383		$	8,581,092
Reinvestment of distributions		59,993			620,924			35,099			378,369			9,770			312,443			5,217			141,962
Cost of Shares redeemed		(366,587	)		(3,910,239	)		(841,352	)		(9,106,640	)		(192,752	)		(6,194,138	)		(1,223,230	)		(33,868,799	)
Change from Class A Share Transactions		(187,885	)		(2,021,038	)		(142,310	)		(1,538,594	)		(88,062	)		(2,828,238	)		(907,630	)		(25,145,745	)
Class C
Proceeds from Shares issued		64,107			635,482			28,884			302,799			96,759			2,937,144			295,609			7,797,366
Reinvestment of distributions		61,563			605,163			40,213			416,206			16,395			497,757			—			—
Cost of Shares redeemed		(194,380	)		(1,927,102	)		(364,713	)		(3,810,386	)		(277,252	)		(8,473,678	)		(724,111	)		(19,243,359	)
Change from Class C Share Transactions		(68,710	)		(686,457	)		(295,616	)		(3,091,381	)		(164,098	)		(5,038,777	)		(428,502	)		(11,445,993	)
Class Y
Proceeds from Shares issued		3,185,363			33,911,289			3,101,270			34,159,735			3,366,972			109,567,428			6,812,111			193,127,657
Reinvestment of distributions		464,112			4,877,823			216,908			2,364,301			177,867			5,749,414			75,256			2,062,953
Cost of Shares redeemed		(1,600,314	)		(17,147,696	)		(2,860,614	)		(31,743,547	)		(3,176,724	)		(103,252,322	)		(7,194,091	)		(204,292,667	)
Change from Class Y Share Transactions		2,049,161			21,641,416			457,564			4,780,489			368,115			12,064,520			(306,724	)		(9,102,057	)
Class Z
Proceeds from Shares issued		—			—			—			—			71,029			2,283,467			248,309			6,933,230
Reinvestment of distributions		—			—			—			—			6,115			194,402			1,828			49,486
Cost of Shares redeemed		—			—			—			—			(100,729	)		(3,225,688	)		(348,521	)		(9,827,195	)
Change from Class Z Share Transactions		—			—			—			—			(23,585	)		(747,819	)		(98,384	)		(2,844,479	)
Institutional Class
Proceeds from Shares issued		1,149,980			12,296,463			4,238,661			46,907,941			212,867			6,897,536			1,881,647			53,915,231
Reinvestment of distributions		299,282			3,163,412			164,732			1,803,811			23,603			764,135			11,814			324,185
Cost of Shares redeemed		(4,384,084	)		(48,214,212	)		(2,532,066	)		(28,056,721	)		(442,310	)		(14,553,562	)		(1,168,557	)		(33,208,043	)
Change from Institutional Class Share Transactions		(2,934,822	)		(32,754,337	)		1,871,327			20,655,031			(205,840	)		(6,891,891	)		724,904			21,031,373
Change from Share Transactions		(1,142,256	)	$	(13,820,416	)		1,890,965		$	20,805,545			(113,470	)	$	(3,442,205	)		(1,016,336	)	$	(27,506,901	)

See accompanying Notes to Financial Statements.

78

Statements of Changes in Net Assets - Capital Stock Activity (Continued)

Touchstone Mid Cap Value Fund												Touchstone Premium Yield Equity Fund
For the Six Months												For the Six Months
Ended						For the Year						Ended						For the Year
March 31, 2018						Ended						March 31, 2018						Ended
(Unaudited)						September 30, 2017						(Unaudited)						September 30, 2017
Shares			Dollars			Shares			Dollars			Shares			Dollars			Shares			Dollars
	250,963		$	4,847,134			701,153		$	12,828,822			390,511		$	3,714,669			642,872		$	5,805,412
	52,600			990,176			36,952			668,472			69,854			660,535			51,326			458,763
	(286,593	)		(5,548,508	)		(903,403	)		(16,632,912	)		(1,435,563	)		(13,679,611	)		(1,346,365	)		(12,078,014	)
	16,970			288,802			(165,298	)		(3,135,618	)		(975,198	)		(9,304,407	)		(652,167	)		(5,813,839	)
	71,808			1,347,753			412,284			7,373,904			25,904			245,206			141,970			1,264,192
	34,727			637,944			11,309			200,962			59,807			564,472			46,771			417,141
	(123,845	)		(2,316,045	)		(92,951	)		(1,692,148	)		(289,285	)		(2,765,353	)		(755,879	)		(6,756,321	)
	(17,310	)		(330,348	)		330,642			5,882,718			(203,574	)		(1,955,675	)		(567,138	)		(5,074,988	)
	3,580,447			68,954,657			8,004,954			148,753,892			1,614,563			15,331,110			4,322,451			38,621,210
	1,037,659			19,625,755			615,344			11,210,752			255,372			2,410,074			273,255			2,434,528
	(2,684,945	)		(51,693,674	)		(8,685,917	)		(161,204,179	)		(1,649,957	)		(15,765,521	)		(7,945,883	)		(71,392,001	)
	1,933,161			36,886,738			(65,619	)		(1,239,535	)		219,978			1,975,663			(3,350,177	)		(30,336,263	)
	—			—			—			—			—			—			—			—
	—			—			—			—			—			—			—			—
	—			—			—			—			—			—			—			—
	—			—			—			—			—			—			—			—
	4,933,679			95,216,966			10,402,481			194,155,853			—			—			—			—
	884,261			16,806,328			322,849			5,927,128			—			—			—			—
	(2,978,592	)		(56,611,498	)		(4,173,196	)		(78,116,125	)		—			—			—			—
	2,839,348			55,411,796			6,552,134			121,966,856			—			—			—			—
	4,772,169		$	92,256,988			6,651,859		$	123,474,421			(958,794	)	$	(9,284,419	)		(4,569,482	)	$	(41,225,090	)

79

Statements of Changes in Net Assets - Capital Stock Activity (Continued)

	Touchstone Sands Capital Select Growth Fund												Touchstone Small Cap Fund
	For the Six Months												For the Six Months
	Ended						For the Year						Ended						For the Year
	March 31, 2018						Ended						March 31, 2018						Ended
	(Unaudited)						September 30, 2017						(Unaudited)						September 30, 2017
	Shares			Dollars			Shares			Dollars			Shares			Dollars			Shares			Dollars
Class A
Proceeds from Shares issued		886,138		$	13,141,195			1,212,081		$	17,814,655			49,107		$	768,894			139,684		$	2,397,730
Reinvestment of distributions		901,202			12,454,611			917,286			12,007,271			136,257			2,061,771			—			—
Cost of Shares redeemed		(1,312,676	)		(20,271,223	)		(5,277,157	)		(77,763,400	)		(204,763	)		(3,254,144	)		(1,773,199	)		(30,587,056	)
Change from Class A Share Transactions		474,664			5,324,583			(3,147,790	)		(47,941,474	)		(19,399	)		(423,479	)		(1,633,515	)		(28,189,326	)
Class C
Proceeds from Shares issued		252,113			3,379,408			361,269			4,654,639			18,749			279,252			7,490			124,311
Reinvestment of distributions		1,021,593			12,974,236			848,904			10,466,987			99,622			1,426,382			—			—
Cost of Shares redeemed		(690,619	)		(9,946,419	)		(3,762,317	)		(52,025,885	)		(171,291	)		(2,612,993	)		(417,241	)		(6,781,423	)
Change from Class C Share Transactions		583,087			6,407,225			(2,552,144	)		(36,904,259	)		(52,920	)		(907,359	)		(409,751	)		(6,657,112	)
Class Y
Proceeds from Shares issued		10,048,465			158,638,510			26,578,930			413,169,218			455,741			7,648,091			1,799,187			30,786,320
Reinvestment of distributions		18,105,846			263,802,146			13,712,898			186,906,606			924,185			14,180,457			46,428			813,579
Cost of Shares redeemed		(18,473,540	)		(295,875,440	)		(69,920,725	)		(1,075,067,986	)		(2,139,276	)		(34,040,834	)		(15,062,183	)		(258,695,632	)
Change from Class Y Share Transactions		9,680,771			126,565,216			(29,628,897	)		(474,992,162	)		(759,350	)		(12,212,286	)		(13,216,568	)		(227,095,733	)
Class Z
Proceeds from Shares issued		1,571,868			24,218,489			2,878,806			42,519,038			—			—			—			—
Reinvestment of distributions		7,798,859			107,858,220			7,085,965			92,826,102			—			—			—			—
Cost of Shares redeemed		(6,655,814	)		(102,154,752	)		(24,567,869	)		(365,390,570	)		—			—			—			—
Change from Class Z
Share Transactions		2,714,913			29,921,957			(14,603,098	)		(230,045,430	)		—			—			—			—
Institutional Class
Proceeds from Shares issued		—			—			—			—			590,153			9,544,609			2,359,283			40,385,355
Reinvestment of distributions		—			—			—			—			937,971			14,378,877			21,057			368,294
Cost of Shares redeemed		—			—			—			—			(2,603,075	)		(43,485,991	)		(11,069,857	)		(189,025,941	)
Change from Institutional Class Share Transactions		—			—			—			—			(1,074,951	)		(19,562,505	)		(8,689,517	)		(148,272,292	)
Change from Share Transactions		13,453,435		$	168,218,981			(49,931,929	)	$	(789,883,325	)		(1,906,620	)	$	(33,105,629	)		(23,949,351	)	$	(410,214,463	)

See accompanying Notes to Financial Statements.

80

Statements of Changes in Net Assets - Capital Stock Activity (Continued)

Touchstone Small Cap Value Fund												Touchstone Total Return Bond Fund
For the Six Months												For the Six Months
Ended						For the Year						Ended						For the Year
March 31, 2018						Ended						March 31, 2018						Ended
(Unaudited)						September 30, 2017						(Unaudited)						September 30, 2017
Shares			Dollars			Shares			Dollars			Shares			Dollars			Shares			Dollars
	216,709		$	5,870,318			6,181,616		$	151,720,611			191,912		$	1,923,655			142,982		$	1,446,473
	105			2,656			4,698			117,711			5,831			58,378			10,803			109,086
	(264,996	)		(6,990,882	)		(9,997,487	)		(247,642,110	)		(85,051	)		(854,901	)		(479,501	)		(4,837,636	)
	(48,182	)		(1,117,908	)		(3,811,173	)		(95,803,788	)		112,692			1,127,132			(325,716	)		(3,282,077	)
	8,539			217,939			5,318			130,606			7,210			71,373			21,651			218,960
	—			—			—			—			878			8,796			2,929			29,526
	(14,147	)		(375,493	)		(20,255	)		(492,379	)		(64,824	)		(648,319	)		(110,674	)		(1,113,559	)
	(5,608	)		(157,554	)		(14,937	)		(361,773	)		(56,736	)		(568,150	)		(86,094	)		(865,073	)
	19,510			513,587			38,975			970,075			1,660,743			16,666,238			1,523,187			15,441,533
	292			7,486			168			4,219			56,377			564,626			86,872			878,381
	(22,103	)		(578,019	)		(69,439	)		(1,736,564	)		(419,909	)		(4,210,697	)		(2,703,076	)		(27,107,007	)
	(2,301	)		(56,946	)		(30,296	)		(762,270	)		1,297,211			13,020,167			(1,093,017	)		(10,787,093	)
	—			—			—			—			—			—			—			—
	—			—			—			—			—			—			—			—
	—			—			—			—			—			—			—			—
	—			—			—			—			—			—			—			—
	409,071			10,829,879			225,874			5,617,330			4,656,752			46,710,695			10,005,361			101,401,166
	779			20,041			218			5,475			296,250			2,970,759			501,136			5,066,898
	(29,302	)		(758,236	)		(999,989	)		(21,398,071	)		(1,869,622	)		(18,766,295	)		(4,601,840	)		(46,531,053	)
	380,548			10,091,684			(773,897	)		(15,775,266	)		3,083,380			30,915,159			5,904,657			59,937,011
	324,457		$	8,759,276			(4,630,303	)	$	(112,703,097	)		4,436,547		$	44,494,308			4,399,830		$	45,002,768

81

Statements of Changes in Net Assets - Capital Stock Activity (Continued)

	Touchstone Ultra Short Duration Fixed Income Fund
	For the Six Months
	Ended						For the Year
	March 31, 2018						Ended
	(Unaudited)						September 30, 2017
	Shares			Dollars			Shares			Dollars
Class A
Proceeds from Shares issued		1,234,648		$	11,453,686			1,661,765		$	15,471,923
Proceeds from Shares issued in connection with merger(A)		8,852,517			82,262,174			—			—
Reinvestment of distributions		71,110			659,122			20,548			191,248
Cost of Shares redeemed		(2,475,068	)		(22,954,679	)		(1,986,378	)		(18,488,192	)
Change from Class A Share Transactions		7,683,207			71,420,303			(304,065	)		(2,825,021	)
Class C
Proceeds from Shares issued		116,163			1,077,643			218,081			2,030,199
Reinvestment of distributions		3,070			28,470			5,052			47,032
Cost of Shares redeemed		(143,797	)		(1,334,353	)		(463,934	)		(4,319,053	)
Change from Class C Share Transactions		(24,564	)		(228,240	)		(240,801	)		(2,241,822	)
Class S
Proceeds from Shares issued		962,953			8,923,964			—			—
Proceeds from Shares issued in connection with merger(A)		18,778,658			174,475,987			—			—
Reinvestment of distributions		119,437			1,106,818			—			—
Cost of Shares redeemed		(2,778,464	)		(25,754,256	)		—			—
Change from Class S Share Transactions		17,082,584			158,752,513			—			—
Class Y
Proceeds from Shares issued		8,391,635			77,832,505			16,443,475			153,020,422
Proceeds from Shares issued in connection with merger(A)		1,675,485			15,567,307			—			—
Reinvestment of distributions		216,026			2,002,875			239,815			2,231,627
Cost of Shares redeemed		(9,131,398	)		(84,654,336	)		(10,766,225	)		(100,223,831	)
Change from Class Y Share Transactions		1,151,748			10,748,351			5,917,065			55,028,218
Class Z
Proceeds from Shares issued		3,341,553			31,001,428			8,854,432			82,424,899
Reinvestment of distributions		196,062			1,818,234			340,928			3,172,968
Cost of Shares redeemed		(6,571,898	)		(60,943,541	)		(12,733,081	)		(118,534,540	)
Change from Class Z Share Transactions		(3,034,283	)		(28,123,879	)		(3,537,721	)		(32,936,673	)
Institutional Class
Proceeds from Shares issued		7,037,658			65,230,117			26,763,928			248,905,046
Reinvestment of distributions		259,331			2,402,870			311,948			2,900,582
Cost of Shares redeemed		(9,062,395	)		(84,034,314	)		(14,682,093	)		(136,567,184	)
Change from Institutional Class Share Transactions		(1,765,406	)		(16,401,327	)		12,393,783			115,238,444
Change from Share Transactions		21,093,286		$	196,167,721			14,228,261		$	132,263,146

^(A) See Note 9 in the Notes to Financial Statements.

See accompanying Notes to Financial Statements.

82

Financial Highlights

Touchstone Active Bond Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	10.47		$	10.59		$	10.20		$	10.45		$	10.33		$	10.89
Income (loss) from investment operations:
Net investment income		0.10			0.24			0.26			0.26			0.32			0.30
Net realized and unrealized gains (losses) on investments		(0.27	)		(0.11	)		0.43			(0.23	)		0.13			(0.38	)
Total from investment operations		(0.17	)		0.13			0.69			0.03			0.45			(0.08	)
Distributions from:
Net investment income		(0.12	)		(0.25	)		(0.30	)		(0.28	)		(0.33	)		(0.36	)
Realized capital gains		—	(A)		—			—			—			—			(0.12	)
Total distributions		(0.12	)		(0.25	)		(0.30	)		(0.28	)		(0.33	)		(0.48	)
Net asset value at end of period	$	10.18		$	10.47		$	10.59		$	10.20		$	10.45		$	10.33
Total return(B)		(1.60	%)(C)		1.26	%		6.90	%		0.24	%		4.41	%		(0.85	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	153,654		$	22,117		$	25,324		$	29,135		$	28,920		$	34,635
Ratio to average net assets:
Net expenses		0.90	%(D)		0.90	%		0.90	%		0.90	%		0.86	%		0.83	%
Gross expenses		1.04	%(D)		1.18	%		1.19	%		1.19	%		1.28	%		1.18	%
Net investment income		2.09	%(D)		2.33	%		2.52	%		2.50	%		2.99	%		2.94	%
Portfolio turnover rate		239	%(C)(E)		496	%		590	%		349	%		281	%		353	%

Touchstone Active Bond Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	9.68		$	9.82		$	9.48		$	9.73		$	9.64		$	10.20
Income (loss) from investment operations:
Net investment income		0.12			0.14			0.16			0.17			0.21			0.20
Net realized and unrealized gains (losses) on investments		(0.31	)		(0.10	)		0.41			(0.21	)		0.14			(0.35	)
Total from investment operations		(0.19	)		0.04			0.57			(0.04	)		0.35			(0.15	)
Distributions from:
Net investment income		(0.08	)		(0.18	)		(0.23	)		(0.21	)		(0.26	)		(0.29	)
Realized capital gains		—	(A)		—			—			—			—			(0.12	)
Total distributions		(0.08	)		(0.18	)		(0.23	)		(0.21	)		(0.26	)		(0.41	)
Net asset value at end of period	$	9.41		$	9.68		$	9.82		$	9.48		$	9.73		$	9.64
Total return(B)		(1.88	%)(C)		0.52	%		6.03	%		(0.47	%)		3.65	%		(1.55	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	27,954		$	4,642		$	6,513		$	6,946		$	8,725		$	11,337
Ratio to average net assets:
Net expenses		1.65	%(D)		1.65	%		1.65	%		1.65	%		1.61	%		1.58	%
Gross expenses		1.86	%(D)		2.18	%		2.09	%		2.06	%		2.15	%		1.98	%
Net investment income		1.34	%(D)		1.58	%		1.77	%		1.75	%		2.24	%		2.19	%
Portfolio turnover rate		239	%(C)(E)		496	%		590	%		349	%		281	%		353	%

^(A) Less than $0.005 per share.

^(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(C) Not annualized.

^(D) Annualized.

^(E) Portfolio turnover excludes the purchases and sales of securities of the Sentinel Government Securities Fund and Sentinel Total Return Bond Fund acquired on October 27, 2017 (See Note 9 in the Notes to Financial Statements). If these transactions were included, portfolio turnover would have been higher.

See accompanying Notes to Financial Statements.

83

Financial Highlights (Continued)

Touchstone Active Bond Fund—Class Y

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	10.46		$	10.59		$	10.20		$	10.45		$	10.32		$	10.89
Income (loss) from investment operations:
Net investment income		0.12			0.27			0.29			0.29			0.34			0.33
Net realized and unrealized gains (losses) on investments		(0.27	)		(0.12	)		0.43			(0.24	)		0.15			(0.39	)
Total from investment operations		(0.15	)		0.15			0.72			0.05			0.49			(0.06	)
Distributions from:
Net investment income		(0.13	)		(0.28	)		(0.33	)		(0.30	)		(0.36	)		(0.39	)
Realized capital gains		—	(A)		—			—			—			—			(0.12	)
Total distributions		(0.13	)		(0.28	)		(0.33	)		(0.30	)		(0.36	)		(0.51	)
Net asset value at end of period	$	10.18		$	10.46		$	10.59		$	10.20		$	10.45		$	10.32
Total return		(1.37	%)(B)		1.43	%		7.18	%		0.49	%		4.78	%		(0.60	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	184,972		$	79,648		$	76,544		$	57,394		$	59,764		$	58,944
Ratio to average net assets:
Net expenses		0.65	%(C)		0.65	%		0.65	%		0.65	%		0.61	%		0.58	%
Gross expenses		0.78	%(C)		0.86	%		0.90	%		0.91	%		0.95	%		0.88	%
Net investment income		2.34	%(C)		2.58	%		2.77	%		2.75	%		3.24	%		3.19	%
Portfolio turnover rate		239	%(B)(D)		496	%		590	%		349	%		281	%		353	%

Touchstone Active Bond Fund—Institutional Class

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	10.46		$	10.58		$	10.19		$	10.44		$	10.32		$	10.89
Income (loss) from investment operations:
Net investment income		0.12			0.25			0.33			0.30			0.35			0.34
Net realized and unrealized gains (losses) on investments		(0.27	)		(0.09	)		0.40			(0.24	)		0.14			(0.39	)
Total from investment operations		(0.15	)		0.16			0.73			0.06			0.49			(0.05	)
Distributions from:
Net investment income		(0.14	)		(0.28	)		(0.34	)		(0.31	)		(0.37	)		(0.40	)
Realized capital gains		—	(A)		—			—			—			—			(0.12	)
Total distributions		(0.14	)		(0.28	)		(0.34	)		(0.31	)		(0.37	)		(0.52	)
Net asset value at end of period	$	10.17		$	10.46		$	10.58		$	10.19		$	10.44		$	10.32
Total return		(1.43	%)(B)		1.61	%		7.27	%		0.57	%		4.76	%		(0.52	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	30,562		$	20,800		$	6,841		$	6,788		$	7,393		$	7,606
Ratio to average net assets:
Net expenses		0.57	%(C)		0.57	%		0.57	%		0.57	%		0.53	%		0.50	%
Gross expenses		0.68	%(C)		0.87	%		1.00	%		0.95	%		1.09	%		0.95	%
Net investment income		2.42	%(C)		2.66	%		2.85	%		2.83	%		3.32	%		3.27	%
Portfolio turnover rate		239	%(B)(D)		496	%		590	%		349	%		281	%		353	%

^(A) Less than $0.005 per share.

^(B) Not annualized.

^(C) Annualized.

^(D) Portfolio turnover excludes the purchases and sales of securities of the Sentinel Government Securities Fund and Sentinel Total Return Bond Fund acquired on October 27, 2017 (See Note 9 in the Notes to Financial Statements). If these transactions were included, portfolio turnover would have been higher.

See accompanying Notes to Financial Statements.

84

Financial Highlights (Continued)

Touchstone Arbitrage Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014(A)
Net asset value at beginning of period	$	10.24		$	10.31		$	9.93		$	9.87		$	10.00
Income (loss) from investment operations:
Net investment loss(B)		(0.05	)		(0.12	)		(0.11	)		(0.08	)		(0.10	)
Net realized and unrealized gains (losses) on investments		(0.17	)		0.34			0.66			0.16			(0.03	)
Total from investment operations		(0.22	)		0.22			0.55			0.08			(0.13	)
Distributions from:
Net investment income		—			—			(0.02	)		—			—
Realized capital gains		(0.44	)		(0.29	)		(0.15	)		(0.02	)		—
Total distributions		(0.44	)		(0.29	)		(0.17	)		(0.02	)		—
Net asset value at end of period	$	9.58		$	10.24		$	10.31		$	9.93		$	9.87
Total return(C)		(2.20	%)(D)		2.20	%		5.61	%		0.77	%		(1.30	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	5,663		$	8,186		$	10,003		$	20,672		$	22,725
Ratio to average net assets:
Net expenses (including dividend and interest expense on securities sold short)(E)		1.89	%(F)		2.70	%		2.80	%		2.42	%		2.51	%
Gross expenses (including dividend and interest expense on securities sold short)(G)		2.21	%(F)		2.91	%		3.03	%		2.44	%		2.51	%
Net investment loss		(0.99	%)(F)		(1.20	%)		(1.06	%)		(0.83	%)		(1.01	%)
Portfolio turnover rate		127	%(D)		358	%		451	%		276	%		293	%

^(A) Represents the period from commencement of operations (October 1, 2013) through September 30, 2014.

^(B) The net investment loss per share was 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 returns would be lower.

^(D) Not annualized.

^(E) The ratio of net expenses to average net assets excluding dividend and interest expense on securities sold short was 1.68%, 1.68%, 1.68%, 1.68% and 1.67% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015 and 2014, respectively.

^(F) Annualized.

^(G) The ratio of gross expenses to average net assets excluding dividend and interest expense on securities sold short was 2.00%, 1.89%, 1.91%, 1.70% and 1.67% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015 and 2014, respectively.

See accompanying Notes to Financial Statements.

85

Financial Highlights (Continued)

Touchstone Arbitrage Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014(A)
Net asset value at beginning of period	$	9.95		$	10.11		$	9.80		$	9.82		$	10.00
Income (loss) from investment operations:
Net investments loss(B)		(0.08	)		(0.19	)		(0.18	)		(0.15	)		(0.17	)
Net realized and unrealized gains (losses) on investments		(0.16	)		0.32			0.65			0.15			(0.01	)
Total from investment operations		(0.24	)		0.13			0.47			—			(0.18	)
Distributions from:
Net investment income		—			—			(0.01	)		—			—
Realized capital gains		(0.44	)		(0.29	)		(0.15	)		(0.02	)		—
Total distributions		(0.44	)		(0.29	)		(0.16	)		(0.02	)		—
Net asset value at end of period	$	9.27		$	9.95		$	10.11		$	9.80		$	9.82
Total return(C)		(2.47	%)(D)		1.33	%		4.81	%		(0.05	%)		(1.80	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	6,574		$	8,762		$	7,930		$	8,694		$	11,113
Ratio to average net assets:
Net expenses (including dividend and interest expense on securities sold short)(E)		2.64	%(F)		3.45	%		3.55	%		3.14	%		3.27	%
Gross expenses (including dividend and interest expense on securities sold short)(G)		2.78	%(F)		3.60	%		3.62	%		3.14	%		3.29	%
Net investment loss		(1.74	%)(F)		(1.95	%)		(1.81	%)		(1.55	%)		(1.77	%)
Portfolio turnover rate		127	%(D)		358	%		451	%		276	%		293	%

^(A) Represents the period from commencement of operations (October 1, 2013) through September 30, 2014.

^(B) The net investment loss per share was 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 returns would be lower.

^(D) Not annualized.

^(E) The ratio of net expenses to average net assets excluding dividend and interest expense on securities sold short was 2.43%, 2.43%, 2.43%, 2.40% and 2.43% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015 and 2014, respectively.

^(F) Annualized.

^(G) The ratio of gross expenses to average net assets excluding dividend and interest expense on securities sold short was 2.57%, 2.58%, 2.50%, 2.40% and 2.45% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015 and 2014, respectively.

See accompanying Notes to Financial Statements.

86

Financial Highlights (Continued)

Touchstone Arbitrage Fund—Class Y

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014(A)
Net asset value at beginning of period	$	10.35		$	10.40		$	9.99		$	9.91		$	10.00
Income (loss) from investment operations:
Net investment loss(B)		(0.03	)		(0.09	)		(0.08	)		(0.05	)		(0.07	)
Net realized and unrealized gains (losses) on investments		(0.17	)		0.33			0.67			0.15			(0.02	)
Total from investment operations		(0.20	)		0.24			0.59			0.10			(0.09	)
Distributions from:
Net investment income		—			—			(0.03	)		—			—
Realized capital gains		(0.44	)		(0.29	)		(0.15	)		(0.02	)		—
Total distributions		(0.44	)		(0.29	)		(0.18	)		(0.02	)		—
Net asset value at end of period	$	9.71		$	10.35		$	10.40		$	9.99		$	9.91
Total return		(1.98	%)(C)		2.38	%		6.00	%		0.97	%		(0.90	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	171,151		$	179,124		$	121,794		$	87,427		$	117,589
Ratio to average net assets:
Net expenses (including dividend and interest expense on securities sold short)(D)		1.56	%(E)		2.39	%		2.51	%		2.10	%		2.19	%
Gross expenses (including dividend and interest expense on securities sold short)(F)		1.56	%(E)		2.39	%		2.51	%		2.10	%		2.19	%
Net investment loss		(0.66	%)(E)		(0.89	%)		(0.77	%)		(0.51	%)		(0.69	%)
Portfolio turnover rate		127	%(C)		358	%		451	%		276	%		293	%

^(A) Represents the period from commencement of operations (October 1, 2013) through September 30, 2014.

^(B) The net investment loss per share was based on average shares outstanding for the period.

^(C) Not annualized.

^(D) The ratio of net expenses to average net assets excluding dividend and interest expense on securities sold short was 1.35%, 1.37%, 1.39%, 1.36% and 1.35% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015 and 2014, respectively.

^(E) Annualized.

^(F) The ratio of gross expenses to average net assets excluding dividend and interest expense on securities sold short was 1.35%, 1.37%, 1.39%, 1.36% and 1.35% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015 and 2014, respectively.

See accompanying Notes to Financial Statements.

87

Financial Highlights (Continued)

Touchstone Arbitrage Fund—Institutional Class

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014(A)
Net asset value at beginning of period	$	10.40		$	10.43		$	10.01		$	9.92		$	10.00
Income (loss) from investment operations:
Net investments loss(B)		(0.03	)		(0.08	)		(0.07	)		(0.04	)		(0.06	)
Net realized and unrealized gains (losses) on investments		(0.17	)		0.34			0.68			0.15			(0.02	)
Total from investment operations		(0.20	)		0.26			0.61			0.11			(0.08	)
Distributions from:
Net investment income		—			—			(0.04	)		—			—
Realized capital gains		(0.44	)		(0.29	)		(0.15	)		(0.02	)		—
Total distributions		(0.44	)		(0.29	)		(0.19	)		(0.02	)		—
Net asset value at end of period	$	9.76		$	10.40		$	10.43		$	10.01		$	9.92
Total return		(1.97	%)(C)		2.57	%		6.12	%		1.06	%		(0.80	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	61,044		$	45,259		$	13,782		$	8,735		$	47,763
Ratio to average net assets:
Net expenses (including dividend and interest expense on securities sold short)(D)		1.49	%(E)		2.30	%		2.40	%		2.02	%		2.12	%
Gross expenses (including dividend and interest expense on securities sold short)(F)		1.51	%(E)		2.35	%		2.48	%		2.03	%		2.12	%
Net investment loss		(0.59	%)(E)		(0.80	%)		(0.66	%)		(0.43	%)		(0.62	%)
Portfolio turnover rate		127	%(C)		358	%		451	%		276	%		293	%

^(A) Represents the period from commencement of operations (October 1, 2013) through September 30, 2014.

^(B) The net investment loss per share was based on average shares outstanding for the period.

^(C) Not annualized.

^(D) The ratio of net expenses to average net assets excluding dividend and interest expense on securities sold short was 1.28%, 1.28%, 1.28%, 1.28% and 1.28% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015 and 2014, respectively.

^(E) Annualized.

^(F) The ratio of gross expenses to average net assets excluding dividend and interest expense on securities sold short was 1.30%, 1.33%, 1.36%, 1.29% and 1.28% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015 and 2014, respectively.

See accompanying Notes to Financial Statements.

88

Financial Highlights (Continued)

Touchstone Emerging Markets Small Cap Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	11.08		$	9.29		$	9.15		$	11.67		$	11.52		$	12.24
Income (loss) from investment operations:
Net investment income (loss)(A)		(0.04	)		0.14			(0.03	)		0.07			0.09			0.09
Net realized and unrealized gains (losses) on investments		0.86			1.65			0.87			(2.53	)		0.09			(0.80	)
Total from investment operations		0.82			1.79			0.84			(2.46	)		0.18			(0.71	)
Distributions from:
Net investment income		(0.07	)		—			(0.70	)		(0.06	)		(0.03	)		(0.01	)
Net asset value at end of period	$	11.83		$	11.08		$	9.29		$	9.15		$	11.67		$	11.52
Total return(B)		7.40	%(C)		19.27	%		10.01	%		(21.18	%)		1.61	%		(5.69	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	1,973		$	2,950		$	2,376		$	3,022		$	5,307		$	9,843
Ratio to average net assets:
Net expenses		1.69	%(D)		1.69	%		1.69	%		1.69	%		1.69	%		1.69	%
Gross expenses		3.96	%(D)		4.42	%		3.51	%		2.41	%		2.20	%		1.93	%
Net investment income (loss)		(0.62	%)(D)		1.39	%		(0.40	%)		0.66	%		0.75	%		0.71	%
Portfolio turnover rate		56	%(C)		115	%		68	%		28	%		38	%		25	%

Touchstone Emerging Markets Small Cap Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	10.77		$	9.10		$	8.94		$	11.43		$	11.33		$	12.13
Income (loss) from investment operations:
Net investment income (loss)(A)		(0.08	)		0.06			(0.10	)		(0.01	)		(—	)(E)		(—	)(E)
Net realized and unrealized gains (losses) on investments		0.85			1.61			0.86			(2.48	)		0.10			(0.80	)
Total from investment operations		0.77			1.67			0.76			(2.49	)		0.10			(0.80	)
Distributions from:
Net investment income		(0.01	)		—			(0.60	)		—			—			—
Net asset value at end of period	$	11.53		$	10.77		$	9.10		$	8.94		$	11.43		$	11.33
Total return(B)		7.03	%(C)		18.46	%		9.18	%		(21.79	%)		0.88	%		(6.44	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	1,054		$	892		$	912		$	1,566		$	2,874		$	3,719
Ratio to average net assets:
Net expenses		2.44	%(D)		2.44	%		2.44	%		2.44	%		2.44	%		2.44	%
Gross expenses		5.38	%(D)		6.25	%		4.80	%		3.19	%		3.03	%		2.84	%
Net investment income (loss)		(1.37	%)(D)		0.64	%		(1.15	%)		(0.09	%)		(0.00	%)(E)		(0.04	%)
Portfolio turnover rate		56	%(C)		115	%		68	%		28	%		38	%		25	%

^(A) The net investment income (loss) per share was based on average shares outstanding for the period.

^(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(C) Not annualized.

^(D) Annualized.

^(E) Less than $0.005 per share or 0.005%.

See accompanying Notes to Financial Statements.

89

Financial Highlights (Continued)

Touchstone Emerging Markets Small Cap Fund—Class Y

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	11.14		$	9.32		$	9.10		$	11.63		$	11.54		$	12.27
Income (loss) from investment operations:
Net investment income (loss)(A)		(0.02	)		0.16			(0.01	)		0.10			0.12			0.13
Net realized and unrealized gains (losses) on investments		0.87			1.66			0.88			(2.52	)		0.10			(0.81	)
Total from investment operations		0.85			1.82			0.87			(2.42	)		0.22			(0.68	)
Distributions from:
Net investment income		(0.11	)		—			(0.65	)		(0.11	)		(0.13	)		(0.05	)
Net asset value at end of period	$	11.88		$	11.14		$	9.32		$	9.10		$	11.63		$	11.54
Total return		7.61	%(B)		19.53	%		10.37	%		(20.98	%)		1.99	%		(5.45	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	8,584		$	8,931		$	4,796		$	70,066		$	105,641		$	138,451
Ratio to average net assets:
Net expenses		1.44	%(C)		1.44	%		1.44	%		1.40	%		1.38	%		1.37	%
Gross expenses		2.91	%(C)		3.56	%		2.27	%		1.40	%		1.38	%		1.35	%
Net investment income (loss)		(0.37	%)(C)		1.64	%		(0.15	%)		0.95	%		1.06	%		1.04	%
Portfolio turnover rate		56	%(B)		115	%		68	%		28	%		38	%		25	%

Touchstone Emerging Markets Small Cap Fund—Institutional Class

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	11.06		$	9.24		$	9.11		$	11.64		$	11.55		$	12.28
Income (loss) from investment operations:
Net investment income (loss)(A)		(0.01	)		0.17			(—	)(D)		0.12			0.13			0.14
Net realized and unrealized gains (losses) on investments		0.85			1.65			0.88			(2.53	)		0.11			(0.81	)
Total from investment operations		0.84			1.82			0.88			(2.41	)		0.24			(0.67	)
Distributions from:
Net investment income		(0.12	)		—			(0.75	)		(0.12	)		(0.15	)		(0.06	)
Net asset value at end of period	$	11.78		$	11.06		$	9.24		$	9.11		$	11.64		$	11.55
Total return		7.63	%(B)		19.70	%		10.52	%		(20.87	%)		2.13	%		(5.43	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	1,127		$	831		$	667		$	184,841		$	234,019		$	218,523
Ratio to average net assets:
Net expenses		1.29	%(C)		1.29	%		1.29	%		1.29	%		1.29	%		1.29	%
Gross expenses		4.38	%(C)		5.62	%		2.16	%		1.33	%		1.31	%		1.29	%
Net investment income (loss)		(0.22	%)(C)		1.79	%		(0.00	%)(D)		1.06	%		1.15	%		1.11	%
Portfolio turnover rate		56	%(B)		115	%		68	%		28	%		38	%		25	%

^(A) The net investment income (loss) per share was based on average shares outstanding for the period.

^(B) Not annualized.

^(C) Annualized.

^(D) Less than $0.005 per share or 0.005%.

See accompanying Notes to Financial Statements.

90

Financial Highlights (Continued)

Touchstone High Yield Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	8.43		$	8.21		$	7.95		$	8.91		$	8.80		$	8.90
Income (loss) from investment operations:
Net investment income		0.20			0.39			0.41			0.43			0.45			0.51
Net realized and unrealized gains (losses) on investments		(0.30	)		0.21			0.26			(0.81	)		0.12			(0.10	)
Total from investment operations		(0.10	)		0.60			0.67			(0.38	)		0.57			0.41
Distributions from:
Net investment income		(0.19	)		(0.38	)		(0.41	)		(0.44	)		(0.46	)		(0.51	)
Realized capital gains		—			—			—			(0.14	)		—			—
Total distributions		(0.19	)		(0.38	)		(0.41	)		(0.58	)		(0.46	)		(0.51	)
Net asset value at end of period	$	8.14		$	8.43		$	8.21		$	7.95		$	8.91		$	8.80
Total return(A)		(1.22	%)(B)		7.45	%		8.78	%		(4.54	%)		6.54	%		4.68	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	14,794		$	16,925		$	20,995		$	26,797		$	39,671		$	54,845
Ratio to average net assets:
Net expenses		1.05	%(C)		1.05	%		1.05	%		1.05	%		1.03	%		0.99	%
Gross expenses		1.31	%(C)		1.24	%		1.23	%		1.15	%		1.14	%		1.13	%
Net investment income		4.67	%(C)		4.63	%		5.19	%		4.92	%		4.95	%		5.60	%
Portfolio turnover rate		28	%(B)		69	%		56	%		35	%		40	%		47	%

Touchstone High Yield Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	8.41		$	8.19		$	7.93		$	8.90		$	8.79		$	8.89
Income (loss) from investment operations:
Net investment income		0.17			0.33			0.35			0.36			0.38			0.44
Net realized and unrealized gains (losses) on investments		(0.30	)		0.21			0.26			(0.82	)		0.12			(0.09	)
Total from investment operations		(0.13	)		0.54			0.61			(0.46	)		0.50			0.35
Distributions from:
Net investment income		(0.16	)		(0.32	)		(0.35	)		(0.37	)		(0.39	)		(0.45	)
Realized capital gains		—			—			—			(0.14	)		—			—
Total distributions		(0.16	)		(0.32	)		(0.35	)		(0.51	)		(0.39	)		(0.45	)
Net asset value at end of period	$	8.12		$	8.41		$	8.19		$	7.93		$	8.90		$	8.79
Total return(A)		(1.59	%)(B)		6.68	%		7.99	%		(5.28	%)		5.64	%		3.92	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	10,862		$	13,025		$	16,372		$	24,755		$	32,163		$	34,661
Ratio to average net assets:
Net expenses		1.80	%(C)		1.80	%		1.80	%		1.80	%		1.78	%		1.74	%
Gross expenses		2.01	%(C)		1.97	%		1.94	%		1.87	%		1.86	%		1.87	%
Net investment income		3.92	%(C)		3.88	%		4.44	%		4.17	%		4.21	%		4.86	%
Portfolio turnover rate		28	%(B)		69	%		56	%		35	%		40	%		47	%

^(A) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(B) Not annualized.

^(C) Annualized.

See accompanying Notes to Financial Statements.

91

Financial Highlights (Continued)

Touchstone High Yield Fund—Class Y

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	8.67		$	8.44		$	8.16		$	9.14		$	9.01		$	9.10
Income (loss) from investment operations:
Net investment income		0.23			0.43			0.46			0.47			0.50			0.56
Net realized and unrealized gains (losses) on investments		(0.33	)		0.21			0.25			(0.85	)		0.12			(0.11	)
Total from investment operations		(0.10	)		0.64			0.71			(0.38	)		0.62			0.45
Distributions from:
Net investment income		(0.20	)		(0.41	)		(0.43	)		(0.46	)		(0.49	)		(0.54	)
Realized capital gains		—			—			—			(0.14	)		—			—
Total distributions		(0.20	)		(0.41	)		(0.43	)		(0.60	)		(0.49	)		(0.54	)
Net asset value at end of period	$	8.37		$	8.67		$	8.44		$	8.16		$	9.14		$	9.01
Total return		(1.13	%)(A)		7.74	%		9.11	%		(4.42	%)		6.91	%		5.00	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	57,290		$	75,435		$	85,739		$	119,505		$	166,071		$	187,463
Ratio to average net assets:
Net expenses		0.80	%(B)		0.80	%		0.80	%		0.80	%		0.74	%		0.69	%
Gross expenses		0.95	%(B)		0.90	%		0.91	%		0.87	%		0.78	%		0.83	%
Net investment income		4.92	%(B)		4.88	%		5.44	%		5.17	%		5.24	%		5.90	%
Portfolio turnover rate		28	%(A)		69	%		56	%		35	%		40	%		47	%

Touchstone High Yield Fund—Institutional Class

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	8.66		$	8.43		$	8.16		$	9.13		$	9.00		$	9.10
Income (loss) from investment operations:
Net investment income		0.22			0.42			0.44			0.46			0.49			0.54
Net realized and unrealized gains (losses) on investments		(0.30	)		0.22			0.27			(0.82	)		0.13			(0.09	)
Total from investment operations		(0.08	)		0.64			0.71			(0.36	)		0.62			0.45
Distributions from:
Net investment income		(0.21	)		(0.41	)		(0.44	)		(0.47	)		(0.49	)		(0.55	)
Realized capital gains		—			—			—			(0.14	)		—			—
Total distributions		(0.21	)		(0.41	)		(0.44	)		(0.61	)		(0.49	)		(0.55	)
Net asset value at end of period	$	8.37		$	8.66		$	8.43		$	8.16		$	9.13		$	9.00
Total return		(0.98	%)(A)		7.70	%		9.19	%		(4.23	%)		6.99	%		5.00	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	110,808		$	112,503		$	93,267		$	59,037		$	56,228		$	53,844
Ratio to average net assets:
Net expenses		0.72	%(B)		0.72	%		0.72	%		0.72	%		0.68	%		0.59	%
Gross expenses		0.76	%(B)		0.75	%		0.77	%		0.75	%		0.75	%		0.75	%
Net investment income		5.00	%(B)		4.96	%		5.52	%		5.25	%		5.31	%		6.00	%
Portfolio turnover rate		28	%(A)		69	%		56	%		35	%		40	%		47	%

^(A) Not annualized.

^(B) Annualized.

See accompanying Notes to Financial Statements.

92

Financial Highlights (Continued)

Touchstone Merger Arbitrage Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	11.00		$	11.00		$	10.54		$	10.49		$	11.05		$	10.65
Income (loss) from investment operations:
Net investment income (loss)(A)		(0.05	)		(0.11	)		(0.08	)		(0.11	)		(0.13	)		0.07
Net realized and unrealized gains (losses) on investments		(0.13	)		0.43			0.54			0.21			(0.05	)		0.44
Total from investment operations		(0.18	)		0.32			0.46			0.10			(0.18	)		0.51
Distributions from:
Net investment income		—			—			—			—			(0.05	)		—
Realized capital gains		(0.59	)		(0.32	)		—			(0.05	)		(0.33	)		(0.11	)
Total distributions		(0.59	)		(0.32	)		—			(0.05	)		(0.38	)		(0.11	)
Net asset value at end of period	$	10.23		$	11.00		$	11.00		$	10.54		$	10.49		$	11.05
Total return(B)		(1.72	%)(C)		3.01	%		4.37	%		0.92	%		(1.75	%)		4.84	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	11,233		$	14,144		$	15,711		$	21,858		$	96,916		$	275,858
Ratio to average net assets:
Net expenses (including dividend and interest expense on securities sold short)(D)		2.00	%(E)		2.56	%		2.52	%		2.47	%		2.52	%		2.27	%
Gross expenses (including dividend and interest expense on securities sold short)(F)		2.13	%(E)		2.64	%		2.55	%		2.47	%		2.52	%		2.27	%
Net investment income (loss)		(1.03	%)(E)		(1.05	%)		(0.74	%)		(0.99	%)		(1.25	%)		0.65	%
Portfolio turnover rate		115	%(C)		331	%		400	%		227	%		271	%		288	%

^(A) The net investment income (loss) per share was based on average shares outstanding for the period.

^(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(C) Not annualized.

^(D) The ratio of net expenses to average net assets excluding dividend and interest expense on securities sold short was 1.68%, 1.68%, 1.68%, 1.60%, 1.57% and 1.64% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015, 2014 and 2013, respectively.

^(E) Annualized.

^(F) The ratio of gross expenses to average net assets excluding dividend and interest expense on securities sold short was 1.81%, 1.76%, 1.71%, 1.60%, 1.57% and 1.64% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015, 2014 and 2013, respectively.

See accompanying Notes to Financial Statements.

93

Financial Highlights (Continued)

Touchstone Merger Arbitrage Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	10.50		$	10.60		$	10.22		$	10.26		$	10.85		$	10.54
Income (loss) from investment operations:
Net investment loss(A)		(0.09	)		(0.19	)		(0.16	)		(0.18	)		(0.22	)		(0.01	)
Net realized and unrealized gains (losses) on investments		(0.12	)		0.41			0.54			0.19			(0.04	)		0.43
Total from investment operations		(0.21	)		0.22			0.38			0.01			(0.26	)		0.42
Distributions from:
Net investment income		—			—			—			—			—			—
Realized capital gains		(0.59	)		(0.32	)		—			(0.05	)		(0.33	)		(0.11	)
Total distributions		(0.59	)		(0.32	)		—			(0.05	)		(0.33	)		(0.11	)
Net asset value at end of period	$	9.70		$	10.50		$	10.60		$	10.22		$	10.26		$	10.85
Total return(B)		(2.10	%)(C)		2.26	%		3.62	%		0.06	%		(2.51	%)		3.93	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	9,562		$	11,071		$	14,300		$	18,868		$	35,737		$	50,001
Ratio to average net assets:
Net expenses (including dividend and interest expense on securities sold short)(D)		2.75	%(E)		3.31	%		3.27	%		3.26	%		3.32	%		3.05	%
Gross expenses (including dividend and interest expense on securities sold short)(F)		2.88	%(E)		3.40	%		3.28	%		3.26	%		3.32	%		3.05	%
Net investment loss		(1.78	%)(E)		(1.80	%)		(1.49	%)		(1.79	%)		(2.05	%)		(0.13	%)
Portfolio turnover rate		115	%(C)		331	%		400	%		227	%		271	%		288	%

^(A) The net investment loss per share was based on average shares outstanding for the period.

^(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(C) Not annualized.

^(D) The ratio of net expenses to average net assets excluding dividend and interest expense on securities sold short was 2.43%, 2.43%, 2.43%, 2.39%, 2.37% and 2.42% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015, 2014 and 2013, respectively.

^(E) Annualized.

^(F) The ratio of gross expenses to average net assets excluding dividend and interest expense on securities sold short was 2.56%, 2.52%, 2.44%, 2.39%, 2.37% and 2.42% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015, 2014 and 2013, respectively.

See accompanying Notes to Financial Statements.

94

Financial Highlights (Continued)

Touchstone Merger Arbitrage Fund—Class Y

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	11.16		$	11.13		$	10.62		$	10.55		$	11.10		$	10.68
Income (loss) from investment operations:
Net investment income (loss)(A)		(0.04	)		(0.09	)		(0.05	)		(0.08	)		(0.10	)		0.10
Net realized and unrealized gains (losses) on investments		(0.13	)		0.44			0.56			0.20			(0.05	)		0.43
Total from investment operations		(0.17	)		0.35			0.51			0.12			(0.15	)		0.53
Distributions from:
Net investment income		—			—			—			—			(0.07	)		—
Realized capital gains		(0.59	)		(0.32	)		—			(0.05	)		(0.33	)		(0.11	)
Total distributions		(0.59	)		(0.32	)		—			(0.05	)		(0.40	)		(0.11	)
Net asset value at end of period	$	10.40		$	11.16		$	11.13		$	10.62		$	10.55		$	11.10
Total return		(1.60	%)(B)		3.35	%		4.71	%		1.10	%		(1.41	%)		5.01	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	106,354		$	91,224		$	85,841		$	88,677		$	178,305		$	192,095
Ratio to average net assets:
Net expenses (including dividend and interest expense on securities sold short)(C)		1.71	%(D)		2.28	%		2.21	%		2.20	%		2.24	%		2.02	%
Gross expenses (including dividend and interest expense on securities sold short)(E)		1.71	%(D)		2.28	%		2.21	%		2.20	%		2.24	%		2.01	%
Net investment income (loss)		(0.73	%)(D)		(0.77	%)		(0.43	%)		(0.73	%)		(0.97	%)		0.90	%
Portfolio turnover rate		115	%(B)		331	%		400	%		227	%		271	%		288	%

^(A) The net investment income (loss) per share was based on average shares outstanding for the period.

^(B) Not annualized.

^(C) The ratio of net expenses to average net assets excluding dividend and interest expense on securities sold short was 1.39%, 1.40%, 1.37%, 1.33%, 1.29% and 1.39% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015, 2014 and 2013, respectively.

^(D) Annualized.

^(E) The ratio of gross expenses to average net assets excluding dividend and interest expense on securities sold short was 1.39%, 1.40%, 1.37%, 1.33%, 1.29%, and 1.38% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015, 2014 and 2013, respectively.

See accompanying Notes to Financial Statements.

95

Financial Highlights (Continued)

Touchstone Merger Arbitrage Fund—Institutional Class

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	11.21		$	11.16		$	10.65		$	10.57		$	11.13		$	10.69
Income (loss) from investment operations:
Net investment income (loss)(A)		(0.03	)		(0.07	)		(0.04	)		(0.07	)		(0.10	)		0.11
Net realized and unrealized gains (losses) on investments		(0.13	)		0.44			0.55			0.20			(0.05	)		0.44
Total from investment operations		(0.16	)		0.37			0.51			0.13			(0.15	)		0.55
Distributions from:
Net investment income		—			—			—			—			(0.08	)		—
Realized capital gains		(0.59	)		(0.32	)		—			(0.05	)		(0.33	)		(0.11	)
Total distributions		(0.59	)		(0.32	)		—			(0.05	)		(0.41	)		(0.11	)
Net asset value at end of period	$	10.46		$	11.21		$	11.16		$	10.65		$	10.57		$	11.13
Total return		(1.51	%)(B)		3.43	%		4.79	%		1.19	%		(1.44	%)		5.20	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	60,950		$	98,240		$	76,910		$	82,858		$	119,727		$	170,930
Ratio to average net assets:
Net expenses (including dividend and interest expense on securities sold short)(C)		1.60	%(D)		2.16	%		2.12	%		2.13	%		2.21	%		1.91	%
Gross expenses (including dividend and interest expense on securities sold short)(E)		1.65	%(D)		2.18	%		2.12	%		2.13	%		2.20	%		1.92	%
Net investment income (loss)		(0.63	%)(D)		(0.65	%)		(0.34	%)		(0.66	%)		(0.94	%)		1.01	%
Portfolio turnover rate		115	%(B)		331	%		400	%		227	%		271	%		288	%

^(A) The net investment income (loss) per share was based on average shares outstanding for the period.

^(B) Not annualized.

^(C) The ratio of net expenses to average net assets excluding dividend and interest expense on securities sold short was 1.28%, 1.28%, 1.28%, 1.26%, 1.26% and 1.28% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015, 2014 and 2013, respectively.

^(D) Annualized.

^(E) The ratio of gross expenses to average net assets excluding dividend and interest expense on securities sold short was 1.33%, 1.30%, 1.28%, 1.26%, 1.25% and 1.29% for the six months ended March 31, 2018 and years ended September 30, 2017, 2016, 2015, 2014 and 2013, respectively.

See accompanying Notes to Financial Statements.

96

Financial Highlights (Continued)

Touchstone Mid Cap Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	30.50		$	25.91		$	23.22		$	23.68		$	20.87		$	16.55
Income (loss) from investment operations:
Net investment income (loss)		0.05	(A)		(0.02	)(A)		0.12			(0.02	)(A)		—	(B)		0.12	(A)
Net realized and unrealized gains (losses) on investments		2.29			4.69			2.57			(0.44	)		2.83			4.51
Total from investment operations		2.34			4.67			2.69			(0.46	)		2.83			4.63
Distributions from:
Net investment income		—			(0.08	)		—			—			(0.02	)		(0.31	)
Realized capital gains		(0.31	)		—			—			—			—			—
Total distributions		(0.31	)		(0.08	)		—			—			(0.02	)		(0.31	)
Net asset value at end of period	$	32.53		$	30.50		$	25.91		$	23.22		$	23.68		$	20.87
Total return(C)		7.69	%(D)		18.08	%		11.58	%		(1.94	%)		13.57	%		28.43	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	34,201		$	34,761		$	53,044		$	62,717		$	35,513		$	43,611
Ratio to average net assets:
Net expenses		1.24	%(E)		1.24	%		1.24	%		1.24	%		1.23	%		1.21	%
Gross expenses		1.37	%(E)		1.36	%		1.35	%		1.35	%		1.40	%		1.50	%
Net investment income (loss)		0.32	%(E)		(0.09	%)		0.43	%		(0.07	%)		0.01	%		0.61	%
Portfolio turnover rate		33	%(D)		19	%		19	%		17	%		26	%		20	%

Touchstone Mid Cap Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	29.02		$	24.76		$	22.35		$	22.97		$	20.37		$	16.21
Income (loss) from investment operations:
Net investment loss		(0.06	)(A)		(0.22	)(A)		(0.12	)		(0.20	)(A)		(0.15	)		(0.03	)(A)
Net realized and unrealized gains (losses) on investments		2.16			4.48			2.53			(0.42	)		2.75			4.42
Total from investment operations		2.10			4.26			2.41			(0.62	)		2.60			4.39
Distributions from:
Net investment income		—			—			—			—			—			(0.23	)
Realized capital gains		(0.31	)		—			—			—			—			—
Total distributions		(0.31	)		—			—			—			—			(0.23	)
Net asset value at end of period	$	30.81		$	29.02		$	24.76		$	22.35		$	22.97		$	20.37
Total return(C)		7.25	%(D)		17.21	%		10.78	%		(2.70	%)		12.76	%		27.43	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	55,706		$	57,224		$	59,431		$	60,815		$	41,433		$	25,018
Ratio to average net assets:
Net expenses		1.99	%(E)		1.99	%		1.99	%		1.99	%		1.98	%		1.96	%
Gross expenses		2.09	%(E)		2.11	%		2.13	%		2.12	%		2.16	%		2.37	%
Net investment loss		(0.43	%)(E)		(0.84	%)		(0.32	%)		(0.82	%)		(0.75	%)		(0.14	%)
Portfolio turnover rate		33	%(D)		19	%		19	%		17	%		26	%		20	%

^(A) The net investment income (loss) per share was based on average shares outstanding for the period.

^(B) Less than $0.005 per share.

^(C) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(D) Not annualized.

^(E) Annualized.

See accompanying Notes to Financial Statements.

97

Financial Highlights (Continued)

Touchstone Mid Cap Fund—Class Y

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	30.77		$	26.14		$	23.38		$	23.83		$	20.98		$	16.60
Income (loss) from investment operations:
Net investment income		0.09	(A)		0.05	(A)		0.18			0.05	(A)		0.06			0.17	(A)
Net realized and unrealized gains (losses) on investments		2.30			4.74			2.59			(0.45	)		2.84			4.53
Total from investment operations		2.39			4.79			2.77			(0.40	)		2.90			4.70
Distributions from:
Net investment income		(0.05	)		(0.16	)		(0.01	)		(0.05	)		(0.05	)		(0.32	)
Realized capital gains		(0.31	)		—			—			—			—			—
Total distributions		(0.36	)		(0.16	)		(0.01	)		(0.05	)		(0.05	)		(0.32	)
Net asset value at end of period	$	32.80		$	30.77		$	26.14		$	23.38		$	23.83		$	20.98
Total return		7.78	%(B)		18.40	%		11.87	%		(1.69	%)		13.83	%		28.78	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	600,397		$	551,794		$	476,831		$	481,735		$	266,446		$	181,276
Ratio to average net assets:
Net expenses		0.99	%(C)		0.99	%		0.99	%		0.99	%		0.98	%		0.95	%
Gross expenses		1.05	%(C)		1.08	%		1.07	%		1.11	%		1.06	%		1.09	%
Net investment income		0.57	%(C)		0.16	%		0.68	%		0.18	%		0.26	%		0.87	%
Portfolio turnover rate		33	%(B)		19	%		19	%		17	%		26	%		20	%

Touchstone Mid Cap Fund—Class Z

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	30.32		$	25.75		$	23.08		$	23.54		$	20.73		$	16.45
Income (loss) from investment operations:
Net investment income (loss)		0.05	(A)		(0.02	)(A)		0.12			(0.02	)(A)		0.01			0.12	(A)
Net realized and unrealized gains (losses) on investments		2.27			4.67			2.55			(0.44	)		2.81			4.48
Total from investment operations		2.32			4.65			2.67			(0.46	)		2.82			4.60
Distributions from:
Net investment income		—			(0.08	)		(—	)(D)		—			(0.01	)		(0.32	)
Realized capital gains		(0.31	)		—			—			—						—
Total distributions		(0.31	)		(0.08	)		—			—			(0.01	)		(0.32	)
Net asset value at end of period	$	32.33		$	30.32		$	25.75		$	23.08		$	23.54		$	20.73
Total return		7.67	%(B)		18.08	%		11.58	%		(1.95	%)		13.58	%		28.45	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	19,829		$	19,312		$	18,934		$	18,693		$	11,593		$	12,858
Ratio to average net assets:
Net expenses		1.24	%(C)		1.24	%		1.24	%		1.24	%		1.23	%		1.21	%
Gross expenses		1.41	%(C)		1.44	%		1.46	%		1.44	%		1.55	%		1.55	%
Net investment income (loss)		0.32	%(C)		(0.09	%)		0.43	%		(0.07	%)		0.01	%		0.61	%
Portfolio turnover rate		33	%(B)		19	%		19	%		17	%		26	%		20	%

^(A) The net investment income (loss) per share was based on average shares outstanding for the period.

^(B) Not annualized.

^(C) Annualized.

^(D) Less than $0.005 per share.

See accompanying Notes to Financial Statements.

98

Financial Highlights (Continued)

Touchstone Mid Cap Fund—Institutional Class

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	30.81		$	26.18		$	23.40		$	23.85		$	20.99		$	16.61
Income (loss) from investment operations:
Net investment income		0.10	(A)		0.07	(A)		0.19			0.06	(A)		0.08			0.19	(A)
Net realized and unrealized gains (losses) on investments		2.31			4.74			2.61			(0.44	)		2.84			4.52
Total from investment operations		2.41			4.81			2.80			(0.38	)		2.92			4.71
Distributions from:
Net investment income		(0.07	)		(0.18	)		(0.02	)		(0.07	)		(0.06	)		(0.33	)
Realized capital gains		(0.31	)		—			—			—			—			—
Total distributions		(0.38	)		(0.18	)		(0.02	)		(0.07	)		(0.06	)		(0.33	)
Net asset value at end of period	$	32.84		$	30.81		$	26.18		$	23.40		$	23.85		$	20.99
Total return		7.84	%(B)		18.50	%		11.92	%		(1.62	%)		13.91	%		28.85	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	114,613		$	113,867		$	77,775		$	76,324		$	90,998		$	74,170
Ratio to average net assets:
Net expenses		0.92	%(C)		0.92	%		0.92	%		0.92	%		0.91	%		0.89	%
Gross expenses		0.97	%(C)		0.98	%		0.99	%		1.00	%		1.01	%		1.07	%
Net investment income		0.64	%(C)		0.23	%		0.75	%		0.25	%		0.33	%		0.93	%
Portfolio turnover rate		33	%(B)		19	%		19	%		17	%		26	%		20	%

^(A) The net investment income per share was based on average shares outstanding for the period.

^(B) Not annualized.

^(C) Annualized.

See accompanying Notes to Financial Statements.

99

Financial Highlights (Continued)

Touchstone Mid Cap Value Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	19.36		$	17.49		$	15.70		$	16.60		$	16.09		$	12.98
Income (loss) from investment operations:
Net investment income		0.02			0.04			0.09	(A)		0.12			0.05			0.10
Net realized and unrealized gains (losses) on investments		(0.30	)		2.47			2.76			(0.28	)		1.85			3.26
Total from investment operations		(0.28	)		2.51			2.85			(0.16	)		1.90			3.36
Distributions from:
Net investment income		(0.02	)		(0.03	)		(0.10	)		(0.10	)		(0.05	)		(0.10	)
Realized capital gains		(1.14	)		(0.61	)		(0.96	)		(0.64	)		(1.34	)		(0.15	)
Total distributions		(1.16	)		(0.64	)		(1.06	)		(0.74	)		(1.39	)		(0.25	)
Net asset value at end of period	$	17.92		$	19.36		$	17.49		$	15.70		$	16.60		$	16.09
Total return(B)		(1.79	%)(C)		14.62	%		19.20	%		(1.14	%)		12.49	%		26.26	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	19,739		$	21,001		$	21,867		$	7,663		$	14,029		$	5,307
Ratio to average net assets:
Net expenses		1.27	%(D)		1.27	%		1.27	%		1.29	%		1.29	%		1.29	%
Gross expenses		1.46	%(D)		1.47	%		1.59	%		1.66	%		1.58	%		1.75	%
Net investment income		0.28	%(D)		0.19	%		0.56	%		0.55	%		0.41	%		0.73	%
Portfolio turnover rate		18	%(C)		43	%		45	%		54	%		85	%(E)		68	%

Touchstone Mid Cap Value Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	18.94		$	17.23		$	15.49		$	16.42		$	16.00		$	12.92
Income (loss) from investment operations:
Net investment loss		(0.05	)		(0.06	)		(0.03	)(A)		(0.04	)		(0.04	)		(—	)(F)
Net realized and unrealized gains (losses) on investments		(0.29	)		2.38			2.73			(0.25	)		1.80			3.24
Total from investment operations		(0.34	)		2.32			2.70			(0.29	)		1.76			3.24
Distributions from:
Net investment income		—			—			—			—			—			(0.01	)
Realized capital gains		(1.14	)		(0.61	)		(0.96	)		(0.64	)		(1.34	)		(0.15	)
Total distributions		(1.14	)		(0.61	)		(0.96	)		(0.64	)		(1.34	)		(0.16	)
Net asset value at end of period	$	17.46		$	18.94		$	17.23		$	15.49		$	16.42		$	16.00
Total return(B)		(2.11	%)(C)		13.78	%		18.32	%		(1.91	%)		11.62	%		25.32	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	9,614		$	10,758		$	4,088		$	1,752		$	2,002		$	719
Ratio to average net assets:
Net expenses		2.02	%(D)		2.02	%		2.02	%		2.04	%		2.04	%		2.04	%
Gross expenses		2.25	%(D)		2.33	%		2.75	%		2.83	%		3.05	%		4.17	%
Net investment loss		(0.47	%)(D)		(0.56	%)		(0.19	%)		(0.20	%)		(0.34	%)		(0.02	%)
Portfolio turnover rate		18	%(C)		43	%		45	%		54	%		85	%(E)		68	%

^(A) The net investment income (loss) per share was based on average shares outstanding for the period.

^(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(C) Not annualized.

^(D) Annualized.

^(E) Portfolio turnover excludes the purchases and sales of securities of the Touchstone Mid Cap Value Opportunities Fund acquired on

March 21, 2014. If these transactions were included, portfolio turnover would have been higher.

^(F) Less than $0.005 per share.

See accompanying Notes to Financial Statements.

100

Financial Highlights (Continued)

Touchstone Mid Cap Value Fund—Class Y

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	19.45		$	17.57		$	15.76		$	16.67		$	16.15		$	13.03
Income (loss) from investment operations:
Net investment income		0.05			0.08			0.13	(A)		0.14			0.07			0.15
Net realized and unrealized gains (losses) on investments		(0.31	)		2.49			2.78			(0.27	)		1.88			3.26
Total from investment operations		(0.26	)		2.57			2.91			(0.13	)		1.95			3.41
Distributions from:
Net investment income		(0.05	)		(0.08	)		(0.14	)		(0.14	)		(0.09	)		(0.14	)
Realized capital gains		(1.14	)		(0.61	)		(0.96	)		(0.64	)		(1.34	)		(0.15	)
Total distributions		(1.19	)		(0.69	)		(1.10	)		(0.78	)		(1.43	)		(0.29	)
Net asset value at end of period	$	18.00		$	19.45		$	17.57		$	15.76		$	16.67		$	16.15
Total return		(1.65	%)(B)		14.91	%		19.51	%		(0.91	%)		12.77	%		26.53	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	333,783		$	322,979		$	292,978		$	208,525		$	213,404		$	15,782
Ratio to average net assets:
Net expenses		1.02	%(C)(D)		1.02	%		1.03	%		1.04	%		1.04	%		1.04	%
Gross expenses		1.05	%(C)		1.10	%		1.13	%		1.13	%		1.14	%		1.37	%
Net investment income		0.53	%(C)		0.43	%		0.81	%		0.81	%		0.66	%		0.98	%
Portfolio turnover rate		18	%(B)		43	%		45	%		54	%		85	%(E)		68	%

Touchstone Mid Cap Value Fund—Institutional Class

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	19.54		$	17.64		$	15.82		$	16.73		$	16.20		$	13.07
Income (loss) from investment operations:
Net investment income		0.06			0.09			0.16	(A)		0.17			0.13			0.16
Net realized and unrealized gains (losses) on investments		(0.31	)		2.52			2.78			(0.27	)		1.85			3.28
Total from investment operations		(0.25	)		2.61			2.94			(0.10	)		1.98			3.44
Distributions from:
Net investment income		(0.06	)		(0.10	)		(0.16	)		(0.17	)		(0.11	)		(0.16	)
Realized capital gains		(1.14	)		(0.61	)		(0.96	)		(0.64	)		(1.34	)		(0.15	)
Total distributions		(1.20	)		(0.71	)		(1.12	)		(0.81	)		(1.45	)		(0.31	)
Net asset value at end of period	$	18.09		$	19.54		$	17.64		$	15.82		$	16.73		$	16.20
Total return		(1.58	%)(B)		15.04	%		19.71	%		(0.76	%)		12.90	%		26.71	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	360,603		$	334,083		$	185,989		$	124,592		$	134,259		$	144,965
Ratio to average net assets:
Net expenses		0.89	%(C)		0.89	%		0.89	%		0.89	%		0.89	%		0.89	%
Gross expenses		1.00	%(C)		1.01	%		1.03	%		1.03	%		1.04	%		1.09	%
Net investment income		0.66	%(C)		0.57	%		0.94	%		0.96	%		0.81	%		1.13	%
Portfolio turnover rate		18	%(B)		43	%		45	%		54	%		85	%(E)		68	%

^(A) The net investment income per share was based on average shares outstanding for the period.

^(B) Not annualized.

^(C) Annualized.

^(D) Net expenses include amounts eligible for recoupment by the Advisor.

^(E) Portfolio turnover excludes the purchases and sales of securities of the Touchstone Mid Cap Value Opportunities Fund acquired on March 21, 2014. If these transactions were included, portfolio turnover would have been higher.

See accompanying Notes to Financial Statements.

101

Financial Highlights (Continued)

Touchstone Premium Yield Equity Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	9.40		$	8.77		$	8.27		$	9.98		$	8.92		$	8.11
Income (loss) from investment operations:
Net investment income		0.08			0.25			0.22			0.24			0.40	(A)		0.24
Net realized and unrealized gains (losses) on investments		0.11			0.62			1.04			(1.25	)		1.07			0.80
Total from investment operations		0.19			0.87			1.26			(1.01	)		1.47			1.04
Distributions from:
Net investment income		(0.12	)		(0.24	)		(0.21	)		(0.25	)		(0.41	)		(0.23	)
Realized capital gains		(0.18	)		—			(0.55	)		(0.45	)		—			—
Total distributions		(0.30	)		(0.24	)		(0.76	)		(0.70	)		(0.41	)		(0.23	)
Net asset value at end of period	$	9.29		$	9.40		$	8.77		$	8.27		$	9.98		$	8.92
Total return(B)		2.04	%(C)		10.10	%		16.80	%		(10.79	%)		16.79	%		12.97	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	13,404		$	22,725		$	26,907		$	36,023		$	45,124		$	86,171
Ratio to average net assets:
Net expenses		1.20	%(D)		1.20	%		1.20	%		1.20	%		1.20	%		1.20	%
Gross expenses		1.38	%(D)		1.36	%		1.34	%		1.25	%		1.29	%		1.29	%
Net investment income		1.70	%(D)		2.69	%		2.57	%		2.57	%		4.24	%(A)		2.74	%
Portfolio turnover rate		41	%(C)		39	%		38	%		31	%		26	%		56	%

Touchstone Premium Yield Equity Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	9.39		$	8.75		$	8.26		$	9.97		$	8.90		$	8.10
Income (loss) from investment operations:
Net investment income		0.04			0.17			0.15			0.17			0.33	(A)		0.16
Net realized and unrealized gains (losses) on investments		0.11			0.64			1.04			(1.24	)		1.07			0.80
Total from investment operations		0.15			0.81			1.19			(1.07	)		1.40			0.96
Distributions from:
Net investment income		(0.08	)		(0.17	)		(0.15	)		(0.19	)		(0.33	)		(0.16	)
Realized capital gains		(0.18	)		—			(0.55	)		(0.45	)		—			—
Total distributions		(0.26	)		(0.17	)		(0.70	)		(0.64	)		(0.33	)		(0.16	)
Net asset value at end of period	$	9.28		$	9.39		$	8.75		$	8.26		$	9.97		$	8.90
Total return(B)		1.66	%(C)		9.42	%		15.81	%		(11.45	%)		15.99	%		12.03	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	20,179		$	22,324		$	25,781		$	31,405		$	31,190		$	24,009
Ratio to average net assets:
Net expenses		1.95	%(D)		1.95	%		1.95	%		1.95	%		1.95	%		1.95	%
Gross expenses		2.06	%(D)		2.05	%		2.05	%		2.00	%		2.02	%		2.08	%
Net investment income		0.95	%(D)		1.94	%		1.82	%		1.82	%		3.49	%(A)		1.99	%
Portfolio turnover rate		41	%(C)		39	%		38	%		31	%		26	%		56	%

^(A) Reflects the impact of a corporate action event that resulted in a one-time increase to net investment income. If the corporate action

event had not occurred, the Class A and Class C net investment income per share and ratio of net investment income to average net

assets would have been lower by $0.16 and 1.70%, respectively.

^(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(C) Not annualized.

^(D) Annualized.

See accompanying Notes to Financial Statements.

102

Financial Highlights (Continued)

Touchstone Premium Yield Equity Fund—Class Y

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	9.38		$	8.75		$	8.25		$	9.97		$	8.90		$	8.10
Income (loss) from investment operations:
Net investment income		0.09			0.26			0.23			0.26			0.43	(A)		0.25
Net realized and unrealized gains (losses) on investments		0.11			0.63			1.05			(1.25	)		1.07			0.80
Total from investment operations		0.20			0.89			1.28			(0.99	)		1.50			1.05
Distributions from:
Net investment income		(0.13	)		(0.26	)		(0.23	)		(0.28	)		(0.43	)		(0.25	)
Realized capital gains		(0.18	)		—			(0.55	)		(0.45	)		—			—
Total distributions		(0.31	)		(0.26	)		(0.78	)		(0.73	)		(0.43	)		(0.25	)
Net asset value at end of period	$	9.27		$	9.38		$	8.75		$	8.25		$	9.97		$	8.90
Total return		2.18	%(B)		10.41	%		17.13	%		(10.58	%)		17.13	%		13.14	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	76,925		$	75,763		$	99,953		$	100,772		$	109,201		$	66,644
Ratio to average net assets:
Net expenses		0.95	%(C)		0.95	%		0.95	%		0.95	%		0.95	%		0.95	%
Gross expenses		0.99	%(C)		1.00	%		1.03	%		0.97	%		0.96	%		1.04	%
Net investment income		1.95	%(C)		2.94	%		2.82	%		2.82	%		4.49	%(A)		2.99	%
Portfolio turnover rate		41	%(B)		39	%		38	%		31	%		26	%		56	%

^(A) Reflects the impact of a corporate action event that resulted in a one-time increase to net investment income. If the corporate action

event had not occurred, the Class Y net investment income per share and ratio of net investment income to average net assets would

have been lower by $0.16 and 1.70%, respectively.

^(B) Not annualized.

^(C) Annualized.

See accompanying Notes to Financial Statements.

103

Financial Highlights (Continued)

Touchstone Sands Capital Select Growth Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	16.58		$	16.14		$	16.48		$	18.15		$	16.08		$	12.65
Income (loss) from investment operations:
Net investment loss		(0.10	)(A)		(0.34	)		(0.28	)		(0.15	)		(0.29	)		(0.05	)
Net realized and unrealized gains (losses) on investments		2.01			2.94			1.47			(0.64	)		2.49			3.48
Total from investment operations		1.91			2.60			1.19			(0.79	)		2.20			3.43
Distributions from:
Realized capital gains		(3.36	)		(2.16	)		(1.53	)		(0.88	)		(0.13	)		—
Net asset value at end of period	$	15.13		$	16.58		$	16.14		$	16.48		$	18.15		$	16.08
Total return(B)		13.53	%(C)		19.63	%		7.17	%		(4.70	%)		13.73	%		27.11	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	89,215		$	89,860		$	138,315		$	230,783		$	289,506		$	416,396
Ratio to average net assets:
Net expenses		1.39	%(D)		1.23	%		1.07	%		1.10	%		1.31	%		1.28	%
Gross expenses		1.41	%(D)		1.25	%		1.09	%		1.10	%		1.33	%		1.37	%
Net investment loss		(1.22	%)(D)		(0.95	%)		(0.81	%)		(0.65	%)		(0.91	%)		(0.62	%)
Portfolio turnover rate		11	%(C)		22	%		46	%		29	%		30	%		37	%

Touchstone Sands Capital Select Growth Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	15.51		$	15.36		$	15.86		$	17.62		$	15.74		$	12.47
Income (loss) from investment operations:
Net investment loss		(0.14	)(A)		(0.79	)		(0.52	)		(0.30	)		(0.32	)		(0.13	)
Net realized and unrealized gains (losses) on investments		1.86			3.10			1.55			(0.58	)		2.33			3.40
Total from investment operations		1.72			2.31			1.03			(0.88	)		2.01			3.27
Distributions from:
Realized capital gains		(3.36	)		(2.16	)		(1.53	)		(0.88	)		(0.13	)		—
Net asset value at end of period	$	13.87		$	15.51		$	15.36		$	15.86		$	17.62		$	15.74
Total return(B)		13.11	%(C)		18.77	%		6.32	%		(5.38	%)		12.89	%		26.14	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	73,815		$	73,516		$	111,951		$	163,237		$	203,865		$	198,584
Ratio to average net assets:
Net expenses		2.14	%(D)		1.98	%		1.82	%		1.85	%		2.06	%		2.03	%
Gross expenses		2.16	%(D)		2.01	%		1.84	%		1.85	%		2.09	%		2.14	%
Net investment loss		(1.97	%)(D)		(1.70	%)		(1.56	%)		(1.40	%)		(1.65	%)		(1.37	%)
Portfolio turnover rate		11	%(C)		22	%		46	%		29	%		30	%		37	%

^(A) The net investment loss per share was based on average shares outstanding for the period.

^(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(C) Not annualized.

^(D) Annualized.

See accompanying Notes to Financial Statements.

104

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,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	17.29		$	16.70		$	16.96		$	18.61		$	16.44		$	12.90
Income (loss) from investment operations:
Net investment loss		(0.08	)(A)		(0.10	)		(0.11	)		(0.08	)		(0.10	)		(0.02	)
Net realized and unrealized gains (losses) on investments		2.11			2.85			1.38			(0.69	)		2.40			3.56
Total from investment operations		2.03			2.75			1.27			(0.77	)		2.30			3.54
Distributions from:
Realized capital gains		(3.36	)		(2.16	)		(1.53	)		(0.88	)		(0.13	)		—
Net asset value at end of period	$	15.96		$	17.29		$	16.70		$	16.96		$	18.61		$	16.44
Total return		13.68	%(B)		19.89	%		7.46	%		(4.46	%)		14.04	%		27.44	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	1,794,066		$	1,775,755		$	2,209,841		$	3,198,758		$	3,473,661		$	2,684,731
Ratio to average net assets:
Net expenses		1.14	%(C)		0.98	%		0.82	%		0.83	%		1.06	%		1.03	%
Gross expenses		1.14	%(C)		0.99	%		0.82	%		0.83	%		1.03	%		1.06	%
Net investment loss		(0.97	%)(C)		(0.70	%)		(0.56	%)		(0.39	%)		(0.66	%)		(0.37	%)
Portfolio turnover rate		11	%(B)		22	%		46	%		29	%		30	%		37	%

Touchstone Sands Capital Select Growth Fund—Class Z

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	16.58		$	16.15		$	16.49		$	18.15		$	16.08		$	12.65
Income (loss) from investment operations:
Net investment loss		(0.10	)(A)		(0.32	)		(0.29	)		(0.19	)		(0.17	)		(0.10	)
Net realized and unrealized gains (losses) on investments		2.03			2.91			1.48			(0.59	)		2.37			3.53
Total from investment operations		1.93			2.59			1.19			(0.78	)		2.20			3.43
Distributions from:
Realized capital gains		(3.36	)		(2.16	)		(1.53	)		(0.88	)		(0.13	)		—
Net asset value at end of period	$	15.15		$	16.58		$	16.15		$	16.49		$	18.15		$	16.08
Total return		13.60	%(B)		19.62	%		7.24	%		(4.70	%)		13.73	%		27.11	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	549,495		$	556,651		$	777,930		$	1,292,853		$	2,302,038		$	2,140,884
Ratio to average net assets:
Net expenses		1.38	%(C)		1.22	%		1.04	%		1.08	%		1.31	%		1.28	%
Gross expenses		1.45	%(C)		1.28	%		1.11	%		1.13	%		1.35	%		1.37	%
Net investment loss		(1.21	%)(C)		(0.94	%)		(0.79	%)		(0.64	%)		(0.90	%)		(0.62	%)
Portfolio turnover rate		11	%(B)		22	%		46	%		29	%		30	%		37	%

^(A) The net investment loss per share was based on average shares outstanding for the period.

^(B) Not annualized.

^(C) Annualized.

See accompanying Notes to Financial Statements.

105

Financial Highlights (Continued)

Touchstone Small Cap Fund—Class A

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	17.73		$	16.24		$	17.73		$	20.55		$	19.44		$	16.02
Income (loss) from investment operations:
Net investment income (loss)		0.30			0.02			—	(A)		0.15	(B)		(0.09	)(C)		0.44
Net realized and unrealized gains (losses) on investments		0.33			1.47			0.59			(1.38	)		1.80			3.28
Total from investment operations		0.63			1.49			0.59			(1.23	)		1.71			3.72
Distributions from:
Net investment income		(0.34	)		—			(0.13	)		(—	)(A)		(0.31	)		(0.18	)
Realized capital gains		(2.99	)		—			(1.95	)		(1.59	)		(0.29	)		(0.12	)
Total distributions		(3.33	)		—			(2.08	)		(1.59	)		(0.60	)		(0.30	)
Net asset value at end of period	$	15.03		$	17.73		$	16.24		$	17.73		$	20.55		$	19.44
Total return(D)		3.79	%(E)		9.17	%		3.74	%		(6.36	%)		8.80	%		23.60	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	10,273		$	12,461		$	37,942		$	62,423		$	60,246		$	122,394
Ratio to average net assets:
Net expenses		1.38	%(F)		1.38	%		1.38	%		1.38	%		1.36	%		1.34	%
Gross expenses		1.68	%(F)		1.52	%		1.45	%		1.42	%		1.43	%		1.53	%
Net investment income (loss)		3.92	%(F)		0.00	%(A)		0.00	%(A)		0.75	%(B)		(0.45	%)		2.47	%
Portfolio turnover rate		10	%(E)(G)		18	%		17	%		42	%		17	%		15	%

^(A) Less than $0.005 per share or 0.005%.

^(B) Reflects the impact of a corporate action event that resulted in a one-time increase to net investment income. If the corporate action

event had not occurred, the Class A net investment income per share and ratio of net investment income to average net assets would

have been lower by $0.13 and 0.65%, respectively.

^(C) The net investment loss per share was based on average shares outstanding for the period.

^(D) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(E) Not annualized.

^(F) Annualized.

^(G) Portfolio turnover excludes securities delivered from processing a redemption-in-kind.

See accompanying Notes to Financial Statements.

106

Financial Highlights (Continued)

Touchstone Small Cap Fund—Class C

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	16.94		$	15.63		$	17.16		$	20.07		$	19.01		$	15.69
Income (loss) from investment operations:
Net investment income (loss)		0.18			(0.31	)		(0.16	)		—	(A)(B)		(0.24	)(C)		0.30
Net realized and unrealized gains (losses) on investments		0.36			1.62			0.60			(1.32	)		1.75			3.22
Total from investment operations		0.54			1.31			0.44			(1.32	)		1.51			3.52
Distributions from:
Net investment income		(0.19	)		—			(0.02	)		—			(0.16	)		(0.08	)
Realized capital gains		(2.99	)		—			(1.95	)		(1.59	)		(0.29	)		(0.12	)
Total distributions		(3.18	)		—			(1.97	)		(1.59	)		(0.45	)		(0.20	)
Net asset value at end of period	$	14.30		$	16.94		$	15.63		$	17.16		$	20.07		$	19.01
Total return(D)		3.38	%(E)		8.38	%		2.92	%		(7.01	%)		7.96	%		22.69	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	7,067		$	9,266		$	14,957		$	21,562		$	27,104		$	28,685
Ratio to average net assets:
Net expenses		2.13	%(F)		2.13	%		2.13	%		2.13	%		2.12	%		2.09	%
Gross expenses		2.39	%(F)		2.28	%		2.23	%		2.17	%		2.17	%		2.24	%
Net investment income (loss)		3.17	%(F)		(0.75	%)		(0.75	%)		0.00	%(A)(B)		(1.20	%)		1.72	%
Portfolio turnover rate		10	%(E)(G)		18	%		17	%		42	%		17	%		15	%

^(A) Less than $0.005 per share or 0.005%.

^(B) Reflects the impact of a corporate action event that resulted in a one-time increase to net investment income. If the corporate action event had not occurred, the Class C net investment income per share and ratio of net investment income to average net assets would have been lower by $0.13 and 0.65%, respectively.

^(C) The net investment loss per share was based on average shares outstanding for the period.

^(D) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(E) Not annualized.

^(F) Annualized.

^(G) Portfolio turnover excludes securities delivered from processing a redemption-in-kind.

See accompanying Notes to Financial Statements.

107

Financial Highlights (Continued)

Touchstone Small Cap Fund—Class Y

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	17.94		$	16.44		$	17.93		$	20.72		$	19.59		$	16.13
Income (loss) from investment operations:
Net investment income (loss)		0.33			0.05			0.05			0.18	(A)		(0.03	)(B)		0.46
Net realized and unrealized gains (losses) on investments		0.32			1.50			0.58			(1.37	)		1.81			3.34
Total from investment operations		0.65			1.55			0.63			(1.19	)		1.78			3.80
Distributions from:
Net investment income		(0.40	)		(0.05	)		(0.17	)		(0.01	)		(0.36	)		(0.22	)
Realized capital gains		(2.99	)		—			(1.95	)		(1.59	)		(0.29	)		(0.12	)
Total distributions		(3.39	)		(0.05	)		(2.12	)		(1.60	)		(0.65	)		(0.34	)
Net asset value at end of period	$	15.20		$	17.94		$	16.44		$	17.93		$	20.72		$	19.59
Total return		3.90	%(C)		9.46	%		3.97	%		(6.11	%)		9.12	%		24.01	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	60,454		$	84,954		$	295,198		$	333,971		$	309,367		$	258,024
Ratio to average net assets:
Net expenses		1.13	%(D)		1.13	%		1.13	%		1.11	%		1.06	%		1.03	%
Gross expenses		1.23	%(D)		1.15	%		1.14	%		1.11	%		1.08	%		1.14	%
Net investment income (loss)		4.17	%(D)		0.25	%		0.25	%		1.02	%(A)		(0.15	%)		2.78	%
Portfolio turnover rate		10	%(C)(E)		18	%		17	%		42	%		17	%		15	%

Touchstone Small Cap Fund—Institutional Class

Selected Data for a Share Outstanding Throughout Each Period

	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	17.93		$	16.43		$	17.92		$	20.69		$	19.57		$	16.11
Income (loss) from investment operations:
Net investment income (loss)		0.38			0.16			0.07			0.24	(A)		(0.02	)(B)		0.49
Net realized and unrealized gains (losses) on investments		0.28			1.41			0.57			(1.41	)		1.81			3.32
Total from investment operations		0.66			1.57			0.64			(1.17	)		1.79			3.81
Distributions from:
Net investment income		(0.45	)		(0.07	)		(0.18	)		(0.01	)		(0.38	)		(0.23	)
Realized capital gains		(2.99	)		—			(1.95	)		(1.59	)		(0.29	)		(0.12	)
Total distributions		(3.44	)		(0.07	)		(2.13	)		(1.60	)		(0.67	)		(0.35	)
Net asset value at end of period	$	15.15		$	17.93		$	16.43		$	17.92		$	20.69		$	19.57
Total return		3.94	%(C)		9.57	%		4.05	%		(6.01	%)		9.17	%		24.13	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	87,548		$	122,876		$	255,422		$	301,868		$	393,287		$	395,770
Ratio to average net assets:
Net expenses		1.05	%(D)		1.05	%		1.04	%		1.04	%		1.01	%		0.94	%
Gross expenses		1.09	%(D)		1.05	%		1.04	%		1.04	%		1.04	%		1.07	%
Net investment income (loss)		4.25	%(D)		0.34	%		0.34	%		1.10	%(A)		(0.10	%)		2.87	%
Portfolio turnover rate		10	%(C)(E)		18	%		17	%		42	%		17	%		15	%

^(A) Reflects the impact of a corporate action event that resulted in a one-time increase to net investment income. If the corporate action event had not occurred, the Class Y and Institutional Class net investment income per share and ratio of net investment income to average net assets would have been lower by $0.13 and 0.65%, respectively.

^(B) The net investment loss per share was based on average shares outstanding for the period.

^(C) Not annualized.

^(D) Annualized.

^(E) Portfolio turnover excludes securities delivered from processing a redemption-in-kind.

See accompanying Notes to Financial Statements.

108

Financial Highlights (Continued)

Touchstone Small Cap Value Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	26.06		$	22.20		$	20.17		$	23.23		$	22.79		$	18.33
Income (loss) from investment operations:
Net investment income		0.02			0.03			0.23			0.36			0.36			0.41
Net realized and unrealized gains (losses) on investments		(0.41	)		3.85			2.80			(2.15	)		0.39			4.45
Total from investment operations		(0.39	)		3.88			3.03			(1.79	)		0.75			4.86
Distributions from:
Net investment income		—	(A)		(0.02	)		(0.27	)		(0.35	)		(0.31	)		(0.40	)
Realized capital gains		—			—			(0.73	)		(0.92	)		—			—
Total distributions		—			(0.02	)		(1.00	)		(1.27	)		(0.31	)		(0.40	)
Net asset value at end of period	$	25.67		$	26.06		$	22.20		$	20.17		$	23.23		$	22.79
Total return(B)		(1.49	%)(C)		17.46	%		15.63	%		(8.32	%)		3.19	%		26.82	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	74,483		$	76,884		$	150,081		$	24,659		$	31,773		$	34,826
Ratio to average net assets:
Net expenses		1.38	%(D)		1.38	%		1.38	%		1.38	%		1.43	%		1.43	%
Gross expenses		1.78	%(D)		1.83	%		1.67	%		1.60	%		1.67	%		1.78	%
Net investment income		0.16	%(D)		0.07	%		1.05	%		1.51	%		1.44	%		1.98	%
Portfolio turnover rate		19	%(C)		63	%(E)		155	%		112	%		100	%(F)(G)		98	%

Touchstone Small Cap Value Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	25.60		$	21.95		$	19.98		$	23.00		$	22.61		$	18.23
Income (loss) from investment operations:
Net investment income (loss)		(0.13	)		(0.22	)		0.06			0.17			0.16			0.29
Net realized and unrealized gains (losses) on investments		(0.35	)		3.87			2.77			(2.10	)		0.40			4.39
Total from investment operations		(0.48	)		3.65			2.83			(1.93	)		0.56			4.68
Distributions from:
Net investment income		—			—			(0.13	)		(0.17	)		(0.17	)		(0.30	)
Realized capital gains		—			—			(0.73	)		(0.92	)		—			—
Total distributions		—			—			(0.86	)		(1.09	)		(0.17	)		(0.30	)
Net asset value at end of period	$	25.12		$	25.60		$	21.95		$	19.98		$	23.00		$	22.61
Total return(B)		(1.87	%)(C)		16.63	%		14.72	%		(9.01	%)		2.46	%		25.90	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	1,059		$	1,223		$	1,376		$	1,396		$	2,169		$	841
Ratio to average net assets:
Net expenses		2.13	%(D)		2.13	%		2.13	%		2.13	%		2.18	%		2.18	%
Gross expenses		3.66	%(D)		3.69	%		3.39	%		3.13	%		3.25	%		5.19	%
Net investment income (loss)		(0.59	%)(D)		(0.68	%)		0.30	%		0.76	%		0.69	%		1.23	%
Portfolio turnover rate		19	%(C)		63	%(E)		155	%		112	%		100	%(F)(G)		98	%

^(A) Less than $0.005 per share.

^(B) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(C) Not annualized.

^(D) Annualized.

^(E) Portfolio turnover excludes securities delivered from processing a redemption-in-kind.

^(F) Portfolio turnover excludes securities received from a subscription-in-kind.

^(G) Portfolio turnover excludes the purchases and sales of securities of the Touchstone Small Company Value Fund acquired on March 21, 2014. If these transactions were included, portfolio turnover would have been higher.

See accompanying Notes to Financial Statements.

109

Financial Highlights (Continued)

Touchstone Small Cap Value Fund—Class Y
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	26.14		$	22.24		$	20.20		$	23.25		$	22.82		$	18.36
Income (loss) from investment operations:
Net investment income		0.05			0.06			0.24			0.42			0.35			0.48
Net realized and unrealized gains (losses) on investments		(0.41	)		3.88			2.84			(2.14	)		0.46			4.44
Total from investment operations		(0.36	)		3.94			3.08			(1.72	)		0.81			4.92
Distributions from:
Net investment income		(0.07	)		(0.04	)		(0.31	)		(0.41	)		(0.38	)		(0.46	)
Realized capital gains		—			—			(0.73	)		(0.92	)		—			—
Total distributions		(0.07	)		(0.04	)		(1.04	)		(1.33	)		(0.38	)		(0.46	)
Net asset value at end of period	$	25.71		$	26.14		$	22.24		$	20.20		$	23.25		$	22.82
Total return		(1.37	%)(A)		17.80	%		15.86	%		(8.08	%)		3.47	%		27.11	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	2,723		$	2,829		$	3,080		$	4,419		$	9,097		$	769
Ratio to average net assets:
Net expenses		1.13	%(B)		1.13	%		1.13	%		1.13	%		1.18	%		1.18	%
Gross expenses		1.94	%(B)		1.95	%		1.70	%		1.44	%		1.65	%		3.45	%
Net investment income		0.41	%(B)		0.32	%		1.30	%		1.76	%		1.70	%		2.23	%
Portfolio turnover rate		19	%(A)		63	%(C)		155	%		112	%		100	%(D)(E)		98	%

Touchstone Small Cap Value Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	26.14		$	22.22		$	20.19		$	23.24		$	22.81		$	18.35
Income (loss) from investment operations:
Net investment income (loss)		0.17			(0.06	)		0.30			0.45			0.40			0.48
Net realized and unrealized gains (losses) on investments		(0.51	)		4.04			2.80			(2.13	)		0.44			4.47
Total from investment operations		(0.34	)		3.98			3.10			(1.68	)		0.84			4.95
Distributions from:
Net investment income		(0.12	)		(0.06	)		(0.34	)		(0.45	)		(0.41	)		(0.49	)
Realized capital gains		—			—			(0.73	)		(0.92	)		—			—
Total distributions		(0.12	)		(0.06	)		(1.07	)		(1.37	)		(0.41	)		(0.49	)
Net asset value at end of period	$	25.68		$	26.14		$	22.22		$	20.19		$	23.24		$	22.81
Total return		(1.30	%)(A)		17.93	%		16.05	%		(7.93	%)		3.59	%		27.30	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	17,335		$	7,699		$	23,740		$	25,968		$	29,831		$	2,665
Ratio to average net assets:
Net expenses		0.98	%(B)		0.98	%		0.98	%		0.98	%		1.03	%		1.03	%
Gross expenses		1.32	%(B)		1.52	%		1.22	%		1.19	%		1.30	%		1.83	%
Net investment income		0.56	%(B)		0.47	%		1.45	%		1.91	%		1.84	%		2.38	%
Portfolio turnover rate		19	%(A)		63	%(C)		155	%		112	%		100	%(D)(E)		98	%

^(A) Not annualized.

^(B) Annualized.

^(C) Portfolio turnover excludes securities delivered from processing a redemption-in-kind.

^(D) Portfolio turnover excludes securities received from a subscription-in-kind.

^(E) Portfolio turnover excludes the purchases and sales of securities of the Touchstone Small Company Value Fund acquired on March 21, 2014. If these transactions were included, portfolio turnover would have been higher.

See accompanying Notes to Financial Statements.

110

Financial Highlights (Continued)

Touchstone Total Return Bond Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	10.13		$	10.38		$	10.19		$	10.23		$	10.07		$	10.50
Income (loss) from investment operations:
Net investment income		0.11			0.18			0.24			0.22			0.23			0.21
Net realized and unrealized gains (losses) on investments		(0.19	)		(0.17	)		0.22			0.01			0.22			(0.36	)
Total from investment operations		(0.08	)		0.01			0.46			0.23			0.45			(0.15	)
Distributions from:
Net investment income		(0.13	)		(0.26	)		(0.27	)		(0.27	)		(0.29	)		(0.27	)
Realized capital gains		—			—			—			—			—			(0.01	)
Total distributions		(0.13	)		(0.26	)		(0.27	)		(0.27	)		(0.29	)		(0.28	)
Net asset value at end of period	$	9.92		$	10.13		$	10.38		$	10.19		$	10.23		$	10.07
Total return(A)		(0.82	%)(B)		0.15	%		4.57	%		2.24	%		4.53	%		(1.48	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	6,147		$	5,137		$	8,639		$	5,749		$	5,144		$	12,167
Ratio to average net assets:
Net expenses		0.85	%(C)		0.85	%		0.87	%		0.90	%		0.90	%		0.90	%
Gross expenses		1.30	%(C)		1.22	%		1.25	%		1.26	%		1.25	%		1.10	%
Net investment income		2.19	%(C)		1.98	%		2.26	%		2.10	%		2.32	%		2.07	%
Portfolio turnover rate		7	%(B)		18	%		12	%		19	%		5	%		35	%

Touchstone Total Return Bond Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	10.12		$	10.36		$	10.18		$	10.21		$	10.05		$	10.49
Income (loss) from investment operations:
Net investment income		0.08			0.11			0.15			0.14			0.15			0.11
Net realized and unrealized gains (losses) on investments		(0.20	)		(0.17	)		0.22			0.02			0.22			(0.35	)
Total from investment operations		(0.12	)		(0.06	)		0.37			0.16			0.37			(0.24	)
Distributions from:
Net investment income		(0.09	)		(0.18	)		(0.19	)		(0.19	)		(0.21	)		(0.19	)
Realized capital gains		—			—			—			—			—			(0.01	)
Total distributions		(0.09	)		(0.18	)		(0.19	)		(0.19	)		(0.21	)		(0.20	)
Net asset value at end of period	$	9.91		$	10.12		$	10.36		$	10.18		$	10.21		$	10.05
Total return(A)		(1.21	%)(B)		(0.51	%)		3.70	%		1.60	%		3.75	%		(2.33	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	1,275		$	1,876		$	2,813		$	2,368		$	1,634		$	2,455
Ratio to average net assets:
Net expenses		1.60	%(C)		1.60	%		1.62	%		1.65	%		1.65	%		1.65	%
Gross expenses		2.64	%(C)		2.30	%		2.19	%		2.27	%		2.47	%		2.10	%
Net investment income		1.44	%(C)		1.23	%		1.51	%		1.35	%		1.57	%		1.32	%
Portfolio turnover rate		7	%(B)		18	%		12	%		19	%		5	%		35	%

^(A) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(B) Not annualized.

^(C) Annualized.

See accompanying Notes to Financial Statements.

111

Financial Highlights (Continued)

Touchstone Total Return Bond Fund—Class Y
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	10.15		$	10.39		$	10.20		$	10.24		$	10.08		$	10.52
Income (loss) from investment operations:
Net investment income		0.12			0.24			0.26			0.25			0.26			0.23
Net realized and unrealized gains (losses) on investments		(0.20	)		(0.19	)		0.23			0.01			0.22			(0.36	)
Total from investment operations		(0.08	)		0.05			0.49			0.26			0.48			(0.13	)
Distributions from:
Net investment income		(0.14	)		(0.29	)		(0.30	)		(0.30	)		(0.32	)		(0.30	)
Realized capital gains		—			—			—			—			—			(0.01	)
Total distributions		(0.14	)		(0.29	)		(0.30	)		(0.30	)		(0.32	)		(0.31	)
Net asset value at end of period	$	9.93		$	10.15		$	10.39		$	10.20		$	10.24		$	10.08
Total return		(0.80	%)(A)		0.50	%		4.82	%		2.51	%		4.84	%		(1.32	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	49,340		$	37,233		$	49,484		$	39,751		$	19,397		$	19,635
Ratio to average net assets:
Net expenses		0.60	%(B)		0.60	%		0.62	%		0.65	%		0.61	%		0.62	%
Gross expenses		0.69	%(B)		0.73	%		0.71	%		0.70	%		0.68	%		0.71	%
Net investment income		2.44	%(B)		2.23	%		2.51	%		2.35	%		2.61	%		2.34	%
Portfolio turnover rate		7	%(A)		18	%		12	%		19	%		5	%		35	%

Touchstone Total Return Bond Fund — Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	10.14		$	10.39		$	10.20		$	10.24		$	10.08		$	10.51
Income (loss) from investment operations:
Net investment income		0.12			0.25			0.28			0.26			0.27			0.25
Net realized and unrealized gains (losses) on investments		(0.19	)		(0.20	)		0.22			0.01			0.22			(0.36	)
Total from investment operations		(0.07	)		0.05			0.50			0.27			0.49			(0.11	)
Distributions from:
Net investment income		(0.14	)		(0.30	)		(0.31	)		(0.31	)		(0.33	)		(0.31	)
Realized capital gains		—			—			—			—			—			(0.01	)
Total distributions		(0.14	)		(0.30	)		(0.31	)		(0.31	)		(0.33	)		(0.32	)
Net asset value at end of period	$	9.93		$	10.14		$	10.39		$	10.20		$	10.24		$	10.08
Total return		(0.65	%)(A)		0.51	%		4.94	%		2.65	%		4.96	%		(1.09	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	248,000		$	222,013		$	166,008		$	134,877		$	116,404		$	133,051
Ratio to average net assets:
Net expenses		0.50	%(B)		0.50	%		0.50	%		0.50	%		0.50	%		0.50	%
Gross expenses		0.59	%(B)		0.60	%		0.60	%		0.61	%		0.60	%		0.60	%
Net investment income		2.54	%(B)		2.33	%		2.63	%		2.50	%		2.72	%		2.47	%
Portfolio turnover rate		7	%(A)		18	%		12	%		19	%		5	%		35	%

^(A) Not annualized.

^(B) Annualized.

See accompanying Notes to Financial Statements.

112

Financial Highlights (Continued)

Touchstone Ultra Short Duration Fixed Income Fund—Class A
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	9.29		$	9.32		$	9.32		$	9.41		$	9.45		$	9.56
Income (loss) from investment operations:
Net investment income		0.06			0.13			0.10			0.06			0.06			0.09
Net realized and unrealized gains (losses) on investments		(0.01	)		(0.02	)		0.02			(0.03	)		0.03			(0.04	)
Total from investment operations		0.05			0.11			0.12			0.03			0.09			0.05
Distributions from:
Net investment income		(0.08	)		(0.14	)		(0.12	)		(0.12	)		(0.13	)		(0.16	)
Net asset value at end of period	$	9.26		$	9.29		$	9.32		$	9.32		$	9.41		$	9.45
Total return(A)		0.50	%(B)		1.29	%		1.35	%		0.31	%		0.92	%		0.48	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	85,129		$	14,080		$	16,946		$	10,675		$	10,596		$	32,088
Ratio to average net assets:
Net expenses		0.69	%(C)		0.69	%		0.69	%		0.69	%		0.69	%		0.69	%
Gross expenses		0.79	%(C)		0.90	%		0.97	%		0.99	%		0.93	%		0.83	%
Net investment income		1.75	%(C)		1.40	%		1.09	%		0.54	%		0.79	%		0.85	%
Portfolio turnover rate		79	%(B)(D)		136	%		169	%		132	%		142	%		107	%(E)

Touchstone Ultra Short Duration Fixed Income Fund—Class C
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	9.29		$	9.32		$	9.32		$	9.41		$	9.45		$	9.56
Income (loss) from investment operations:
Net investment income		0.06			0.08			0.06			—	(F)		0.02			0.04
Net realized and unrealized gains (losses) on investments		(0.03	)		(0.02	)		0.02			(0.02	)		0.02			(0.04	)
Total from investment operations		0.03			0.06			0.08			(0.02	)		0.04			—
Distributions from:
Net investment income		(0.06	)		(0.09	)		(0.08	)		(0.07	)		(0.08	)		(0.11	)
Net asset value at end of period	$	9.26		$	9.29		$	9.32		$	9.32		$	9.41		$	9.45
Total return(A)		0.25	%(B)		0.77	%		0.84	%		(0.19	%)		0.42	%		(0.02	%)
Ratios and supplemental data:
Net assets at end of period (000's)	$	5,454		$	5,704		$	7,961		$	8,291		$	11,272		$	13,568
Ratio to average net assets:
Net expenses		1.19	%(C)		1.19	%		1.19	%		1.19	%		1.19	%		1.19	%
Gross expenses		1.65	%(C)		1.56	%		1.54	%		1.48	%		1.44	%		1.39	%
Net investment income		1.25	%(C)		0.90	%		0.59	%		0.04	%		0.29	%		0.35	%
Portfolio turnover rate		79	%(B)(D)		136	%		169	%		132	%		142	%		107	%(E)

^(A) Total returns shown exclude the effect of applicable sales loads. If these charges were included, the returns would be lower.

^(B) Not annualized.

^(C) Annualized.

^(D) Portfolio turnover excludes the purchases and sales of securities of the Sentinel Low Duration Bond Fund acquired on October 27, 2017 (See Note 9 in the Notes to Financial Statements). If these transactions were included, portfolio turnover would have been higher.

^(E) Portfolio turnover excludes the purchases and sales of securities of the Touchstone Short Duration Fixed Income Fund acquired on May 17, 2013. If these transactions were included, portfolio turnover would have been higher.

^(F) Less than $0.005 per share.

See accompanying Notes to Financial Statements.

113

Financial Highlights (Continued)

Touchstone Ultra Short Duration Fixed Income Fund—Class S
Selected Data for a Share Outstanding Throughout the Period
	Period
	Ended
	March 31,
	2018(A)
	(Unaudited)
Net asset value at beginning of period	$	9.29
Income (loss) from investment operations:
Net investment income		0.06
Net realized and unrealized gains (losses) on investments		(0.04	)
Total from investment operations		0.02
Distributions from:
Net investment income		(0.06	)
Net asset value at end of period	$	9.25
Total return		0.26	%(B)
Ratios and supplemental data:
Net assets at end of period (000's)	$	158,079
Ratio to average net assets:
Net expenses		0.92	%(C)
Gross expenses		0.95	%(C)
Net investment income		1.52	%(C)
Portfolio turnover rate		79	%(B)(D)

Touchstone Ultra Short Duration Fixed Income Fund—Class Y
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	9.29		$	9.32		$	9.32		$	9.41		$	9.45		$	9.56
Income (loss) from investment operations:
Net investment income		0.09			0.15			0.13			0.07			0.10			0.12
Net realized and unrealized gains (losses) on investments		(0.03	)		(0.02	)		0.02			(0.02	)		0.01			(0.05	)
Total from investment operations		0.06			0.13			0.15			0.05			0.11			0.07
Distributions from:
Net investment income		(0.10	)		(0.16	)		(0.15	)		(0.14	)		(0.15	)		(0.18	)
Net asset value at end of period	$	9.25		$	9.29		$	9.32		$	9.32		$	9.41		$	9.45
Total return		0.51	%(B)		1.55	%		1.60	%		0.56	%		1.17	%		0.74	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	270,349		$	260,830		$	206,313		$	200,456		$	244,885		$	249,250
Ratio to average net assets:
Net expenses		0.44	%(C)		0.44	%		0.44	%		0.44	%		0.44	%		0.44	%
Gross expenses		0.49	%(C)		0.51	%		0.53	%		0.52	%		0.49	%		0.51	%
Net investment income		2.00	%(C)		1.65	%		1.34	%		0.79	%		1.04	%		1.10	%
Portfolio turnover rate		79	%(B)(D)		136	%		169	%		132	%		142	%		107	%(E)

^(A) Represents the period from commencement of operations (October 27, 2017) through March 31, 2018.

^(B) Not annualized.

^(C) Annualized.

^(D) Portfolio turnover excludes the purchases and sales of securities of the Sentinel Low Duration Bond Fund acquired on October 27, 2017 (See Note 9 in the Notes to Financial Statements). If these transactions were included, portfolio turnover would have been higher.

^(E) Portfolio turnover excludes the purchases and sales of securities of the Touchstone Short Duration Fixed Income Fund acquired on May 17, 2013. If these transactions were included, portfolio turnover would have been higher.

See accompanying Notes to Financial Statements.

114

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,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	9.29		$	9.32		$	9.32		$	9.41		$	9.45		$	9.56
Income (loss) from investment operations:
Net investment income		0.08			0.13			0.10			0.05			0.08			0.09
Net realized and unrealized gains (losses) on investment		(0.03	)		(0.02	)		0.02			(0.02	)		0.01			(0.04	)
Total from investment operations		0.05			0.11			0.12			0.03			0.09			0.05
Distributions from:
Net investment income		(0.08	)		(0.14	)		(0.12	)		(0.12	)		(0.13	)		(0.16	)
Net asset value at end of period	$	9.26		$	9.29		$	9.32		$	9.32		$	9.41		$	9.45
Total return		0.50	%(A)		1.29	%		1.35	%		0.31	%		0.91	%		0.52	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	182,824		$	211,797		$	245,252		$	304,553		$	401,851		$	381,554
Ratio to average net assets:
Net expenses		0.69	%(B)		0.69	%		0.69	%		0.69	%		0.69	%		0.65	%
Gross expenses		0.78	%(B)		0.78	%		0.79	%		0.76	%		0.76	%		0.73	%
Net investment income		1.75	%(B)		1.40	%		1.09	%		0.54	%		0.79	%		0.89	%
Portfolio turnover rate		79	%(A)(C)		136	%		169	%		132	%		142	%		107	%(D)

Touchstone Ultra Short Duration Fixed Income Fund—Institutional Class
Selected Data for a Share Outstanding Throughout Each Period
	Six Months
	Ended
	March 31,
	2018			Year Ended September 30,
	(Unaudited)			2017			2016			2015			2014			2013
Net asset value at beginning of period	$	9.29		$	9.32		$	9.32		$	9.41		$	9.45		$	9.56
Income (loss) from investment operations:
Net investment income		0.09			0.16			0.13			0.08			0.10			0.14
Net realized and unrealized gains (losses) on investments		(0.03	)		(0.02	)		0.02			(0.02	)		0.01			(0.07	)
Total from investment operations		0.06			0.14			0.15			0.06			0.11			0.07
Distributions from:
Net investment income		(0.10	)		(0.17	)		(0.15	)		(0.15	)		(0.15	)		(0.18	)
Net asset value at end of period	$	9.25		$	9.29		$	9.32		$	9.32		$	9.41		$	9.45
Total return		0.65	%(A)		1.60	%		1.54	%		0.61	%		1.22	%		0.78	%
Ratios and supplemental data:
Net assets at end of period (000's)	$	240,161		$	257,777		$	142,913		$	49,389		$	50,853		$	59,662
Ratio to average net assets:
Net expenses		0.39	%(B)		0.39	%		0.39	%		0.39	%		0.39	%		0.39	%
Gross expenses		0.45	%(B)		0.45	%		0.46	%		0.48	%		0.48	%		0.52	%
Net investment income		2.05	%(B)		1.70	%		1.39	%		0.84	%		1.09	%		1.15	%
Portfolio turnover rate		79	%(A)(C)		136	%		169	%		132	%		142	%		107	%(D)

^(A) Not annualized.

^(B) Annualized.

^(C) Portfolio turnover excludes the purchases and sales of securities of the Sentinel Low Duration Bond Fund acquired on October 27, 2017 (See Note 9 in the Notes to Financial Statements). If these transactions were included, portfolio turnover would have been higher.

^(D) Portfolio turnover excludes the purchases and sales of securities of the Touchstone Short Duration Fixed Income Fund acquired on May 17, 2013. If these transactions were included, portfolio turnover would have been higher.

See accompanying Notes to Financial Statements.

115

Notes to Financial Statements

March 31, 2018 (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 pursuant to an Agreement and Declaration of Trust dated October 25, 1993. The Trust consists of the following thirteen funds (individually, a “Fund,” and collectively, the “Funds”):

Touchstone Active Bond Fund (“Active Bond Fund”)

Touchstone Arbitrage Fund (“Arbitrage Fund”)

Touchstone Emerging Markets Small Cap Fund (“Emerging Markets Small Cap Fund”)

Touchstone High Yield Fund (“High Yield 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 Small Cap Fund (“Small Cap 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 diversified, with the exception of the Arbitrage Fund, the Merger Arbitrage Fund, the Sands Capital Select Growth Fund and the Small Cap Fund, which are non-diversified.

The Agreement and Declaration of Trust permits the Trust to issue an unlimited number of shares of beneficial interest of each Fund. The table below indicates the classes of shares that each Fund is registered to offer:

						Institutional
	Class A	Class C	Class S	Class Y	Class Z	Class
Active Bond Fund	X	X		X		X
Arbitrage Fund	X	X		X		X
Emerging Markets Small Cap Fund	X	X		X		X
High Yield Fund	X	X		X		X
Merger Arbitrage Fund	X	X		X		X
Mid Cap Fund	X	X		X	X	X
Mid Cap Value Fund	X	X		X		X
Premium Yield Equity Fund	X	X		X
Sands Capital Select Growth Fund	X	X		X	X
Small Cap Fund	X	X		X		X
Small Cap Value Fund	X	X		X		X
Total Return Bond Fund	X	X		X		X
Ultra Short Duration Fixed Income Fund	X	X	X	X	X	X

The assets of each Fund are segregated, and a shareholder’s interest is limited to the Fund in which shares are held. The Funds’ prospectus provides a description of each Fund’s investment goal, policies, and strategies along with information on the classes of shares currently being offered.

2. Significant Accounting Policies

The following is a summary of the Funds’ significant accounting policies:

Each Fund is an investment company that follows the accounting and reporting guidance of Accounting Standards Codification Topic 946 applicable to investment companies.

Security valuation and fair value measurements — U.S. generally accepted accounting principles (“U.S. GAAP”) define fair value as the price the Funds would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. All investments in securities are recorded

116

Notes to Financial Statements (Unaudited) (Continued)

at their fair value. The Funds define the term “market value”, as used throughout this report, as the estimated fair value. The Funds use various methods to measure fair value of their portfolio securities on a recurring basis. U.S. GAAP fair value measurement standards require disclosure of 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
·	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 a Fund’s own assumptions in determining the fair value of investments)

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

The aggregate value by input level, as of March 31, 2018, 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, portfolio or sector allocation. The Arbitrage Fund and Merger Arbitrage Fund held Level 3 categorized securities during the six months ended March 31, 2018. Refer to the Portfolio of Investments for a reconciliation of Level 3 holdings.

Changes in valuation techniques may result in transfers into or out of an investment’s assigned level within the hierarchy. All transfers in and out of the levels are recognized at the value at the end of the period. At March 31, 2018, there were no transfers between Levels 1, 2 and 3 for the Funds, except as shown in the Portfolio of Investments for the Merger Arbitrage Fund and the Emerging Markets Small Cap Fund.

During the six months ended March 31, 2018, there were no material changes to the valuation policies and techniques.

The Funds’ portfolio securities are valued as of the close of the regular session of trading on the New York Stock Exchange (“NYSE”) (currently 4:00 p.m., Eastern Time or at the times of which the NYSE establishes official closing prices). Portfolio securities traded on stock exchanges are valued at the last reported sale price, official close price, or last bid price if no sales are reported. Portfolio securities quoted by NASDAQ are valued at the NASDAQ Official Closing Price (“NOCP”) or from the primary exchange on which the security trades. To the extent these securities are actively traded, they are categorized in Level 1 of the fair value hierarchy. Options are valued at the last quoted sales price. If there is no such reported sale on the valuation date, long option positions are valued at the most recent bid price, and short option positions are valued at the most recent ask price on the valuation date and are categorized in Level 1. Shares of mutual funds in which the Funds invest are valued at their respective net asset values (“NAV”) as reported by the underlying funds (the “Underlying Funds”) and are categorized in Level 1.

Debt securities held by the Funds are valued at their evaluated bid by an independent pricing service or at their last broker-quoted bid prices as obtained from one or more of the major market makers for such securities. Independent pricing services use information provided by market makers or estimates of market values through accepted market modeling conventions. Observable inputs to the models may include prepayment speeds, pricing spread, yield, trade information, dealer quotes, market color, cash flow models, the securities’ terms and conditions, among others, and are generally categorized in Level 2. The Active Bond Fund’s and Ultra Short Duration Fixed Income Fund’s investments in bank loans are normally valued at the bid quotation obtained from dealers in loans by an independent pricing service in accordance with the Funds’ valuation policies and

117

Notes to Financial Statements (Unaudited) (Continued)

procedures approved by the Funds’ Board of Trustees (the “Board”), and are generally categorized in Level 2. The Ultra Short Duration Fixed Income Fund’s investments in asset-backed and mortgage-backed securities are valued by independent pricing services using models that consider estimated cash flows of each tranche of the security, establish a benchmark yield and develop an estimated tranche specific spread to the benchmark yield based on the unique attributes of the tranche, and are generally categorized in Level 2. Debt securities with remaining maturities of 60 days or less may be valued at amortized cost, provided such amount approximates market value and are categorized in Level 2. While this method provides consistency in valuation (and may only be used if it approximates market value), it may result in periods during which fair value, as determined by amortized cost, is higher or lower than the price that would be received if the Fund sold the investment.

Foreign currency exchange contracts are valued at the mean between the bid and ask prices and are determined as of the close of regular trading on the NYSE. Interpolated values are derived when the settlement date of the contract is an interim date for which quotations are not available and are categorized in Level 2.

Securities mainly traded on a non-U.S. exchange or denominated in foreign currencies are generally valued according to the preceding closing values on that exchange, translated to U.S. dollars using currency exchange rates as of the close of regular trading on the NYSE, and are generally categorized in Level 1. However, if an event that may change the value of a security occurs after the time that the closing value on the non-U.S. exchange was determined, but before the close of regular trading on the NYSE, the security may be priced based on fair value and is generally categorized in Level 2. This may cause the value of the security, if held on the books of a Fund, to be different from the closing value on the non-U.S. exchange and may affect the calculation of that Fund’s NAV.

The Funds may use fair value pricing under the following circumstances, among others:

· If the value of a security has been materially affected by events occurring before the Funds’ pricing time but after the close of the primary markets on which the security is traded.

· If the exchange on which a portfolio security is principally traded closes early or if trading in a particular portfolio security was halted during the day and did not resume prior to the Funds’ NAV calculation.

· If a security is so thinly traded that reliable market quotations are unavailable due to infrequent trading.

· If the validity of market quotations is not reliable.

Securities held by the Funds that do not have readily available market quotations, significant observable inputs, or securities for which the available market quotations are not reliable, are priced at their estimated fair value using procedures approved by the Funds’ Board and are generally categorized in Level 3.

Bank Loans — The Active Bond Fund and Ultra Short Duration Fixed Income Fund may invest in bank loans, which usually take the form of loan participations and assignments. Loan participations and assignments are agreements to make money available to U.S. or foreign corporations, partnerships or other business entities (the “Borrower”) in a specified amount, at a specified rate and within a specified time. A loan is typically originated, negotiated and structured by a U.S. or foreign bank, insurance company or other financial institution (the “Agent”) for a group of loan investors (“Loan Investors”). The Agent typically administers and enforces the loan on behalf of the other Loan Investors in the syndicate and may hold any collateral on behalf of the Loan Investors. Such loan participations and assignments are typically senior, secured and collateralized in nature. The Fund records an investment when the Borrower withdraws money and records interest as earned. These loans pay interest at rates which are periodically reset by reference to a base lending rate plus a spread. These base lending rates are generally the prime rate offered by a designated U.S. bank or London InterBank Offered Rate (“LIBOR”).

The loans in which the Fund invests may be subject to some restrictions on resale. For example, the Fund may be contractually obligated to receive approval from the Agent and/or Borrower prior to the sale of these investments.

118

Notes to Financial Statements (Unaudited) (Continued)

The Fund generally has no right to enforce compliance with the terms of the loan agreement with the Borrower. As a result, the Fund assumes the credit risk of the Borrower, the selling participant and any other persons interpositioned between the Fund and the Borrower (“Intermediate Participants”). In the event that the Borrower, selling participant or Intermediate Participants become insolvent or enter into bankruptcy, the Fund may incur certain costs and delays in realizing payment or may suffer a loss of principal and/or interest.

Unfunded commitments represent the remaining obligation of the Fund to the Borrower. At any point in time, up to the maturity date of the issue, the Borrower may demand the unfunded portion. Until demanded by the Borrower, unfunded commitments are not recognized as an asset on the Statement of Assets and Liabilities. Unrealized appreciation/depreciation on unfunded commitments presented on the Statement of Assets and Liabilities represents fair value of the unfunded portion of the Fund’s bank loans. As of March 31, 2018, the Funds did not hold any unfunded loan commitments.

Collateralized Loan Obligations — The Ultra Short Duration Fixed Income Fund may invest in collateralized loan obligations (“CLOs”). CLOs are types of asset-backed securities. A CLO is an entity that is backed by syndicated bank loans. The cash flows of the CLO can be split into multiple segments, called “tranches,” which will vary in risk profile and yield. The riskiest segment is the subordinated or “equity” tranche. This tranche bears the greatest risk of defaults from the underlying assets in the CLO and serves to protect the other, more senior, tranches from default in all but the most severe circumstances. Since it is shielded from defaults by the more junior tranches, a “senior” tranche will typically have higher credit ratings and lower yields than their underlying securities, and often receive investment grade ratings from one or more of the nationally recognized rating agencies. Despite the protection from the more junior tranches, senior tranches can experience substantial losses due to actual defaults, increased sensitivity to future defaults and the disappearance of one or more protecting tranches as a result of changes in the credit profile of the underlying pool of assets.

Investment companies — The Funds may invest in securities of other investment companies, including exchange-traded funds (“ETFs”), open-end funds and closed-end funds. Open-end funds are investment companies that issue new shares continuously and redeem shares daily. Closed-end funds are investment companies that typically issue a fixed number of shares that trade on a securities exchange or over-the-counter (“OTC”). An ETF is an investment company that typically seeks to track the performance of an index by holding in its portfolio shares of all the companies, or a representative sample of the companies, that are components of a particular index. ETF shares are traded on a securities exchange based on their market value. The risks of investment in other investment companies typically reflect the risks of the types of securities in which the other investment companies invest. Investments in ETFs and closed-end funds are subject to the additional risk that their shares may trade at a premium or discount to their NAV. When a Fund invests in another investment company, shareholders of the Fund indirectly bear their proportionate share of the other investment company’s fees and expenses, including operating, registration, trustee, licensing, and marketing, as well as their share of the Fund’s fees and expenses.

Securities sold short — The Funds may engage in selling securities short, which obligates the Fund to replace a security borrowed by purchasing the same security at the current market value. The 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. The Fund would realize a gain if the price of the security declines between those dates. As of March 31, 2018, the Arbitrage Fund and Merger Arbitrage Fund had securities sold short with a fair value of $(24,473,518) and $(14,344,506), respectively, and pledged securities with a fair value of $36,352,073 and $47,901,941, respectively, as collateral. Arbitrage Fund pledged cash collateral of $5,166,076 for both securities sold short and written options and Merger Arbitrage Fund had a related due to prime broker balance of $12,828,367.

119

Notes to Financial Statements (Unaudited) (Continued)

Options — The Funds may write or purchase financial option contracts primarily to hedge against changes in the value of equity securities (or securities that the Funds intend to purchase), against fluctuations in fair value caused by changes in prevailing market interest rates or foreign currency exchange rates and against changes in overall equity market volatility. In addition, the Funds may utilize options in an attempt to generate gains from option premiums or to reduce overall portfolio risk. The Funds’ option strategy primarily focuses on the use of writing and/or purchasing call or put options on equity indexes. When the Funds write or purchase an option, an amount equal to the premium received or paid by the Funds is recorded as a liability or an asset and is subsequently adjusted to the current market value of the option written or purchased. Premiums received or paid from writing or purchasing options which expire unexercised are treated by the Funds on the expiration date as realized gains or losses. The difference between the premium and the amount paid or received on effecting a closing purchase or sale transaction, including brokerage commissions, is also treated as a realized gain or loss. If an option is exercised, the premium paid or received is added to the cost of the purchase or proceeds from the sale in determining whether the Funds have realized a gain or loss on investment transactions. The Funds, as writer of an option, may have no control over whether the underlying securities may be sold (call) or purchased (put) and as a result bear the market risk of an unfavorable change in the price of the security underlying the written option. The Funds, as purchaser of an option, bear the risk that the counterparties to the option may not have the ability to meet the terms of the option contracts. There is minimal counterparty credit risk involved in entering into option contracts since they are exchange-traded instruments and the exchange’s clearinghouse, as counterparty to all exchange-traded options, guarantees the options against default. As of March 31, 2018, the Arbitrage Fund and Merger Arbitrage Fund had written options with a fair value of ($189,222) and ($158,166), respectively, and pledged securities with a fair value of $36,352,073 and $47,901,941, respectively, as collateral. Arbitrage Fund pledged cash collateral of $5,166,076 for both securities sold short and written options and Merger Arbitrage Fund had a related due to prime broker balance of $12,828,367. The Arbitrage Fund and Merger Arbitrage Fund held purchased options with a fair value of $227,118 and $183,304, respectively, as of March 31, 2018.

Warrants — The Funds can invest in warrants and stock purchase rights of companies of any market capitalization. A warrant gives the company the right to buy stock, typically from the issuer. The warrant specifies the amount of underlying stock, the purchase (or “exercise”) price, and the date the warrant expires. Certain warrants may permit, without legal obligation, net settlement for stock or cash. The Funds have no obligation to exercise the warrant and buy the stock.

Futures Contracts — The Active Bond Fund may buy and sell futures contracts and related options to manage its exposure to changing interest rates and securities prices. Some strategies reduce the Fund’s exposure to price fluctuations, while others tend to increase its market exposure. Futures and options on futures can be volatile instruments and involve certain risks that could negatively impact the Fund’s return. In order to avoid leveraging and related risks, when the Fund purchases futures contracts, it will collateralize its position by depositing an amount of cash or liquid securities, equal to the market value of the futures positions held, less margin deposits, in a segregated account with its custodian or otherwise “cover” its position in a manner consistent with the 1940 Act or the rules of the Securities and Exchange Commission (the “SEC”) or interpretations thereunder. Collateral equal to the current fair value of the futures position will be determined on a daily basis.

When the contract is closed, the Fund records a realized gain or loss equal to the difference between the proceeds from (or cost of) the closing transactions and the Fund’s basis in the contract. Risks of entering into futures contracts include the possibility that a change in the value of the contract may not correlate with the changes in the value of the underlying instruments. Second, it is possible that a lack of liquidity for futures contracts could exist in the secondary market resulting in an inability to close a futures position prior to its maturity date. Third, the purchase of a futures contract involves the risk that the Fund could lose more than the original margin deposit required to initiate the futures transaction. Finally, the risk exists that losses could exceed amounts

120

Notes to Financial Statements (Unaudited) (Continued)

disclosed on the Statements of Assets and Liabilities. There is minimal counterparty credit risk involved in entering into futures contracts since they are exchange-traded instruments and the exchange’s clearinghouse, as counterparty to all exchange-traded futures, guarantees the futures against default.

As of March 31, 2018, the Active Bond Fund did not hold any futures contracts.

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 a Fund’s total return, and the potential for losses in excess of a Fund’s initial investment.

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, 2018, the Arbitrage Fund and the Merger Arbitrage Fund used forward foreign currency contracts to enhance potential gains, hedge against anticipated currency exchange rates, maintain diversity and liquidity of the portfolio and/or adjust exposure to foreign currencies.

Real Estate Investment Trusts — The Funds may invest in real estate investment trusts (“REITs”) that involve risks not associated with investing in stocks. Risks include declines in the value of real estate, general and economic conditions, changes in the value of the underlying property and defaults by borrowers. The value of assets in the real estate industry may go through cycles of relative underperformance and outperformance in comparison to equity securities markets in general. Dividend income is recorded using management’s estimate of the income included in distributions received from REIT investments. The actual amounts of income, return of capital and capital gains are only determined by each REIT after its fiscal year-end and may differ from the estimated amount. Estimates of income are adjusted in the Funds to the actual amounts when the amounts are determined.

Master Limited Partnership — The Funds may invest in Master Limited Partnership (“MLP”) common units that represent limited partnership interests in the MLP. Common units are generally listed and traded on U.S. securities exchanges or OTC with their value fluctuating predominantly based on the success of the MLP. Unlike owners of common stock of a corporation, owners of MLP common units have limited voting rights and have no ability to annually elect directors. MLPs generally distribute all available cash flow (cash flow from operations less maintenance capital expenditures) in the form of quarterly distributions. Common unit holders have first priority to receive quarterly cash distributions up to the minimum quarterly distribution and have arrearage rights. Distributions received from MLPs generally are comprised of income and return of capital. Investment

121

Notes to Financial Statements (Unaudited) (Continued)

income and return of capital are recorded based on estimates made at the time distributions are received. The actual amounts of income and return of capital are only determined by each MLP after its fiscal year-end and may differ from the estimated amount. Estimates of income are adjusted in the Funds to the actual amounts when the amounts are determined. In the event of liquidation, common unit holders have preference over subordinated units, but not debt holders or preferred unit holders, to the remaining assets of the MLP.

Pay-In-Kind (“PIK”) Bonds — PIK bonds are securities that, at the issuer’s option, pay interest in either cash or additional securities for a specified period. PIK bonds, like zero coupon bonds, are designed to give an issuer flexibility in managing cash flow. PIK bonds are expected to reflect the market value of the underlying debt plus an amount representing accrued interest since the last payment. PIK bonds are usually less volatile than zero coupon bonds, but more volatile than cash pay securities.

Derivative instruments and hedging activities — The Active Bond Fund, the Arbitrage Fund and the Merger Arbitrage Fund may enter into an International Swaps and Derivatives Associations, Inc. Master Agreement (“ISDA Master Agreement” or “MNA”) or similar agreement with certain counterparties. An ISDA Master Agreement is a bilateral agreement between a Fund and a counterparty that governs OTC derivatives and foreign exchange contracts, and typically contains, among other things, collateral posting terms and master netting provisions in the event of a default or termination. Under an ISDA Master Agreement, a party may, under certain circumstances, offset with the counterparty certain derivative financial instrument’s payables or receivables with collateral held or posted and create one single net payment. The provisions of the ISDA Master Agreement typically permit a single net payment in the event of default (close-out netting). These default events include bankruptcy or insolvency of the counterparty. Note, however, that bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset.

When entering into a derivative transaction, a Fund may be required to post and maintain collateral or margin (including both initial and maintenance margin). Collateral and margin requirements differ by type of derivative. Margin requirements are established by the broker or clearing house for exchange-traded and centrally cleared derivatives (financial futures contracts, options, and centrally cleared swaps). Brokers can ask for margining in excess of the clearing house’s minimum in certain circumstances. Collateral terms are contract specific for OTC derivatives (forward foreign currency contracts, options, and swaps). For derivatives traded under an ISDA Master Agreement, the collateral requirements are typically calculated by netting the marked-to-market amount for each transaction under such agreement and comparing that amount to the value of any collateral currently pledged by the Fund and the counterparty. For financial reporting purposes, cash collateral that has been pledged to cover obligations of the Fund and cash collateral received from the counterparty, if any, are reported separately on the Statements of Assets and Liabilities as cash deposits held at prime broker and due to prime broker, respectively. Non-cash collateral pledged by the Fund, if any, is noted in the Portfolio of Investments. To the extent amounts due to the Fund from its counterparties are not fully collateralized, contractually or otherwise, the Fund bears the risk of loss from counterparty non-performance.

Certain ISDA Master Agreements allow counterparties to OTC derivatives transactions to terminate derivative contracts prior to maturity in the event a Fund’s net assets decline by a stated percentage or the Fund fails to meet the terms of its ISDA Master Agreement, which would cause the Fund (counterparty) to accelerate payment of any net liability owed to the counterparty (Fund).

For financial reporting purposes, a Fund does not offset derivative assets and derivative liabilities that are subject to netting arrangements in the Statements of Assets and Liabilities.

122

Notes to Financial Statements (Unaudited) (Continued)

As of March 31, 2018, the Arbitrage Fund’s and Merger Arbitrage Fund’s assets and liabilities that were subject to a MNA on a gross basis were as follows:

	Assets		Liabilities
Arbitrage Fund
Written Options	$	—	$	189,222
Total		—		(189,222	)
Merger Arbitrage Fund
Written Options		—		(158,166	)
Forward Foreign Currency Contracts		25,628		—
Total	$	25,628	$	(158,166	)

The following table presents the Merger Arbitrage Fund’s assets net of amounts available for offset under a MNA and net of the related collateral pledged to the Fund as of March 31, 2018:

Gross

Amount

Available

for Offset in

Gross

Statement

Non-

Amount of

of Assets

Cash

Cash

Derivative

Recognized

and

Collateral

Collateral

Net

Fund

Counterparty

Type

Assets

Liabilities

Received

Received

Amount(A)

Merger Arbitrage Fund

Brown Brothers Harriman

Forward Foreign Currency Contracts

$

25,628

$

—

$

—

$

—

$

25,628

^(A) Net amount represents the net amount receivable from the counterparty in the event of default.

The following table presents the Arbitrage Fund’s and Merger Arbitrage Fund’s liabilities net of amounts available for offset under MNA and net of the related collateral pledged by the Funds as of March 31, 2018:

Gross

Amount

Available

for Offset in

Gross

Statement

Non-

Amount of

of Assets

Cash

Cash

Derivative

Recognized

and

Collateral

Collateral

Net

Fund

Counterparty

Type

Liabilities

Liabilities

Pledged

Pledged

Amount(A)

Arbitrage Fund

Pershing LLC

Written Options

$

189,222

$

—

$

(149,586

)

$

(39,636

)

$

—

Merger Arbitrage Fund

Pershing LLC

Written Options

158,166

—

(158,166

)

—

—

^(A) Net amount represents the net amount payable due to the counterparty in the event of default.

123

Notes to Financial Statements (Unaudited) (Continued)

The following table sets forth the fair value of the Arbitrage Fund’s and Merger Arbitrage Fund’s derivative financial instruments by primary risk exposure as of March 31, 2018:

	Fair Value of Derivative Investments
	as of March 31, 2018
	Derivatives not accounted for as hedging	Asset		Liability
Fund	instruments under ASC 815	Derivatives		Derivatives
Arbitrage Fund	Purchased Options-Equity Contracts*	$	227,118	$	—
	Written Options-Equity Contracts**		—		(189,222	)
	Forward Foreign Currency Contracts***		49,954		—
Merger Arbitrage Fund	Purchased Options- Equity contracts*		183,304		—
	Written Options-Equity Contracts**		—		(158,166	)
	Forward Foreign Currency Contracts***		25,628		—

* Statements of Assets and Liabilities Location: Investments, at market value.

** Statements of Assets and Liabilities Location: Written options, at market value.

*** Statements of Assets and Liabilities Location: Unrealized appreciation on forward foreign currency contracts.

The following table sets forth the effect of the Active Bond Fund’s, Arbitrage Fund’s and Merger Arbitrage Fund’s derivative financial instruments by primary risk exposure on the Statements of Operations for the six months ended March 31, 2018:

The Effect of Derivative Investments on the Statement of Operations
for the Six Months Ended March 31, 2018
					Change in
					Unrealized
		Realized Gain			Appreciation
	Derivatives not accounted for as hedging	(Loss)			(Depreciation)
Fund	instruments under ASC 815	on Derivatives			on Derivatives
Active Bond Fund	Futures-Interest Rate Contracts*	$	(131,990	)	$	—
Arbitrage Fund	Purchased Options-Equity Contracts**		164,811			79,908
	Written Options-Equity Contracts***		474,638			1,698
	Forward Foreign Currency Contracts****		(122,431	)		31,433
Merger Arbitrage Fund	Purchased Options-Equity Contracts**		99,618			55,038
	Written Options-Equity Contracts***		436,645			1,381
	Forward Foreign Currency Contracts****		(71,814	)		14,763

* Statements of Operations Location: Net realized losses on futures contracts.

** Statements of Operations Location: Net realized gains (losses) on investments and net change in unrealized appreciation (depreciation) on investments, respectively.

*** Statements of Operations Location: Net realized gains on written options and net change in unrealized appreciation (depreciation) on written options, respectively.

**** Statements of Operations Location: Net realized losses on forward foreign currency contracts and net change in unrealized appreciation (depreciation) on forward foreign currency contracts, respectively.

124

Notes to Financial Statements (Unaudited) (Continued)

For the six months ended March 31, 2018, the average quarterly balances of outstanding derivative financial instruments were as follows:

	Active				Merger
	Bond		Arbitrage		Arbitrage
	Fund		Fund		Fund
Equity contracts:
Purchased Options - Cost	$	—	$	112,530	$	96,402
Written Options - Premiums received	$	—	$	117,925	$	96,739
Forward foreign currency contracts:
U.S. dollar amount received	$	—	$	5,142,576	$	2,807,694
Interest rate contracts:
Futures Contracts - Notional value	$	15,896,057	$	—	$	—

Portfolio securities loaned — The Funds may lend their portfolio securities. Lending portfolio securities exposes the Funds 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 Funds 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. The loaned securities are secured by collateral valued at least equal, at all times, to the market value of the loaned securities plus accrued interest, if any. When the collateral falls below specified amounts, the lending agent will use its best effort to obtain additional collateral on the next business day to meet required amounts under the security lending agreement. The cash collateral is reinvested by the Funds’ custodian into an approved short-term investment vehicle. The approved short-term investment vehicle is subject to market risk.

As of March 31, 2018, the following Funds loaned securities and received collateral as follows:

		Market		Market
		Value of		Value of
		Securities		Collateral		Net
Fund	Security Type	Loaned*		Received**		Amount***
Arbitrage Fund	Common Stocks	$	2,297,842	$	2,409,030	$	111,188
Emerging Markets Small Cap Fund	Common Stocks		192,811		198,631		5,820
High Yield Fund	Corporate Bonds		2,866,741		2,972,535		105,794
Mid Cap Value Fund	Common Stocks		21,066,580		20,761,501		(305,079	)
Premium Yield Equity Fund	Common Stocks		4,587,097		4,684,185		97,088
Small Cap Fund	Common Stocks		6,360,406		6,324,413		(35,993	)
Small Cap Value Fund	Common Stocks		6,350,204		6,342,805		(7,399	)
Total Return Bond Fund	Corporate Bonds		1,236,000		1,272,000		36,000

* The remaining contractual maturity is overnight for all securities.

** Gross amount of recognized liabilities for securities lending is included in the Statements of Assets and Liabilities.

*** Net amount represents the net amount payable due to the borrower in the event of default.

All cash collateral is received, held, and administered by the Funds’ custodian for the benefit of the lending Fund in its custody account or other account established for the purpose of holding collateral in cash equivalents.

Funds participating in securities lending receive compensation in the form of fees. Securities lending income is derived from lending long securities from the Funds to creditworthy approved borrowers at rates that are determined based on daily trading volumes, float, short-term interest rates and market liquidity and is shown net of fees on the Statements of Operations. When a Fund lends securities, it retains the interest or dividends on the investment of any cash received as collateral, and the Fund continues to receive interest or dividends on the loaned securities.

125

Notes to Financial Statements (Unaudited) (Continued)

Unrealized gain or loss on the market value of the loaned securities that may occur during the term of the loan is recognized by the Fund. The Fund has the right under the lending agreement to recover any loaned securities from the borrower on demand.

When-issued or 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 NAV. 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 NAV 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 the Active Bond Fund, High Yield Fund, Total Return Bond Fund and Ultra Short Duration Fixed Income Fund) is equal to the NAV per share plus a sales load equal to 6.10% of the NAV (or 5.75% of the offering price). The maximum offering price per share of Class A shares of the Active Bond Fund, High Yield Fund and Total Return Bond Fund is equal to the NAV per share plus a sales load equal to 4.99% of the NAV (or 4.75% of the offering price). The maximum offering price per share of Class A shares of the Ultra Short Duration Fixed Income Fund is equal to the NAV per share plus sales load equal to 2.04% of the NAV (or 2.00% of the offering price). There is no sales load on purchases of $1 million or more of Class A shares. The maximum offering price per share of Classes C, S, Y, Z, and Institutional Class shares of the Funds is equal to the NAV per share.

The redemption price per share of each class of shares of the Funds is generally equal to the NAV per share. However, Class A redemptions that were part of a no-load $1 million subscription may be subject to a contingent deferred sales charge (“CDSC”) of up to 1.00% if redeemed within a one-year period from the date of purchase. Additionally, purchases of Class C shares of the Funds are subject to a CDSC of 1.00%. The CDSC will be assessed on an amount equal to the lesser of (1) the NAV at the time of purchase of the shares being redeemed or (2) the NAV of such shares being redeemed, if redeemed within a one-year period from the date of purchase.

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 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 — Each Fund intends to distribute to its shareholders substantially all of its income and capital gains. The Arbitrage Fund, Emerging Markets Small Cap Fund, Merger Arbitrage Fund, Mid Cap Fund, and Small Cap Fund distribute their income, if any, annually, as a dividend to shareholders. The Mid Cap Value Fund, Sands Capital Select Growth Fund, and Small Cap Value Fund declare and distribute their income, if any, quarterly, as a dividend to shareholders.The Active Bond Fund, High Yield Fund, Premium

126

Notes to Financial Statements (Unaudited) (Continued)

Yield Equity Fund and Total Return Bond Fund declare and distribute their income, if any, monthly, as a dividend to shareholders. The Ultra Short Duration Fixed Income Fund declares its income, if any, daily, and distributes such income monthly, as a dividend to shareholders. Each Fund makes distributions of capital gains, if any, at least annually, net of applicable capital loss carryforwards. Income distributions and capital gain distributions are determined in accordance with income tax regulations. Recognition of the Funds’ net investment income from investments in Underlying Funds is affected by the timing of dividend declarations by the Underlying Funds.

Allocations — Investment income earned, realized capital gains and losses, and unrealized appreciation and depreciation for a Fund 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 the Funds in the Trust, and, if applicable,Touchstone Institutional Funds Trust,Touchstone Strategic Trust and Touchstone Variable Series Trust (collectively with the Trust, “Touchstone Fund Complex”), 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. 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.

3. Investment Transactions

Investment transactions (excluding short-term investments and U.S. Government securities) were as follows for the six months ended March 31, 2018:

	Active				Emerging
	Bond		Arbitrage		Markets Small		High Yield
	Fund*		Fund		Cap Fund		Fund
Purchases of investment securities	$	124,826,878	$	341,591,837	$	7,493,231	$	55,311,338
Proceeds from sales and maturities	$	97,256,370	$	301,565,627	$	9,386,731	$	71,622,602

	Merger				Mid Cap
	Arbitrage		Mid Cap		Value		Premium Yield
	Fund		Fund		Fund		Equity Fund
Purchases of investment securities	$	223,461,855	$	272,191,886	$	192,728,804	$	48,670,255
Proceeds from sales and maturities	$	225,904,753	$	285,772,682	$	132,278,086	$	59,659,788

	Sands Capital				Small Cap		Total Return
	Select Growth		Small Cap		Value		Bond
	Fund		Fund**		Fund		Fund
Purchases of investment securities	$	263,054,171	$	17,999,950	$	23,547,988	$	53,670,668
Proceeds from sales and maturities	$	567,427,676	$	82,010,451	$	17,539,529	$	14,424,521

	Ultra Short
	Duration Fixed
	Income Fund*
Purchases of investment securities	$	555,212,623
Proceeds from sales and maturities	$	484,221,575

127

Notes to Financial Statements (Unaudited) (Continued)

*The cost of purchases and proceeds from sales and maturities in the Active Bond Fund and Ultra Short Duration Fixed Income Fund excludes the purchases and sales of the Sentinel Government Securities Fund and Sentinel Total Return Bond Fund for the Active Bond Fund and Sentinel Low Duration Bond Fund for the Ultra Short Duration Fixed Income Fund (see Note 9). If these transactions were included, purchases and sales would have been higher.

**Small Cap Fund had a redemption-in-kind on March 13, 2018, which resulted in a redemption out of the Fund of $2,085,657 and is excluded from the proceeds from sales and maturities. The redemption was comprised of securities and cash in the amount of $2,022,916 and $62,741, respectively.

For the six months ended March 31, 2018, purchases and proceeds from sales and maturities in U.S. Government Securities were $741,959,865 and $774,101,133, respectively, for the Active Bond Fund, $9,977,223 and $3,978,344, respectively, for the Total Return Bond Fund and $98,816,222 and $133,065,981, respectively, for the Ultra Short Duration Fixed Income Fund. There were no purchases or proceeds from sales and maturities of U.S. Government Securities by the remaining Funds for the six months ended March 31, 2018.

4. Transactions with Affiliates and Other Related Parties

Certain officers of the Trust are also officers of Touchstone Advisors, Inc. (the “Advisor”), Touchstone Securities, Inc. (the “Underwriter”), or The Bank of New York Mellon, the Sub-Administrator to the Funds and BNY Mellon Investment Servicing (U.S.) Inc., the Transfer Agent to the Funds (collectively referenced to herein as “BNY Mellon”). Such officers receive no compensation from the Trust. The Advisor and the Underwriter are each wholly-owned, indirect subsidiaries of Western & Southern Financial Group, Inc. (“Western & Southern”).

On behalf of the Funds, the Advisor pays each Independent Trustee a quarterly retainer plus additional retainers to the Lead Independent Trustee and the chairs of each standing committee. Interested Trustees do not receive compensation from the Funds. Each Independent Trustee also receives compensation for each Board meeting and committee meeting attended. Each standing committee chair receives additional compensation for each committee meeting that he or she oversees. The Advisor is reimbursed by the Funds for the Independent Trustees’ compensation and out-of-pocket expenses relating to their services. The Funds accrued Trustee-related expenses of $93,767 for the six months ended March 31, 2018.

MANAGEMENT & EXPENSE LIMITATION AGREEMENTS

The Advisor provides general investment supervisory services for the Funds, under the terms of an advisory agreement (the “Advisory Agreement”). Under the Advisory Agreement, each Fund pays the Advisor a fee, which is computed and accrued daily and paid monthly, at an annual rate based on average daily net assets of each Fund as shown in the table below.

Active Bond Fund	0.40% on the first $300 million
	0.35% on such assets in excess of $300 million
Arbitrage Fund	1.05% on the first $500 million
	1.00% on the next $500 million
	0.95% on such assets over $1 billion
Emerging Markets Small Cap Fund	1.05% on the first $200 million
	1.00% on the next $200 million
	0.90% on such assets over $400 million
High Yield Fund	0.60% on the first $50 million
	0.50% on the next $250 million
	0.45% on such assets in excess of $300 million
Merger Arbitrage Fund	1.05%
Mid Cap Fund	0.80% on the first $500 million
	0.75% on the next $500 million
	0.70% on such assets over $1 billion

128

Notes to Financial Statements (Unaudited) (Continued)

Mid Cap Value Fund	0.85% on the first $100 million
	0.80% on the next $300 million
	0.75% on such assets over $400 million
Premium Yield Equity Fund	0.70% on the first $100 million
	0.65% on such assets over $100 million
Sands Capital Select Growth Fund	0.85% on the first $1 billion
	0.80% on the next $500 million
	0.75% on the next $500 million
	0.70% on such assets over $2 billion
Small Cap Fund	0.85%
Small Cap Value Fund	0.90%
Total Return Bond Fund	0.35%
Ultra Short Duration Fixed Income Fund	0.25%

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
Sands Capital Select Growth Fund	Russell 1000® Growth Index		+/-2.50%		+/-0.15%		1.00% / 0.55%

For the six months ended March 31, 2018, the Advisor’s base fee was increased by $1,234,405 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”):

Copper Rock Capital Partners LLC	The London Company
Emerging Markets Small Cap Fund	Mid Cap Fund
	Small Cap Fund
EARNEST Partners LLC
Total Return Bond Fund	Longfellow Investment Management Co.
	Arbitrage Fund
Fort Washington Investment Advisors, Inc.*	Merger Arbitrage Fund
Active Bond Fund
High Yield Fund	Miller/Howard Investments, Inc.
Ultra Short Duration Fixed Income Fund	Premium Yield Equity Fund
LMCG Investments, LLC
Mid Cap Value Fund	Sands Capital Management, LLC
Small Cap Value Fund	Sands Capital Select Growth Fund

*Affiliate of the Advisor and wholly-owned indirect subsidiary of Western & Southern.

The Advisor, not the Funds, pays sub-advisory fees to each Sub-Advisor.

The Advisor entered into an expense limitation agreement (the “Expense Limitation Agreement”) to contractually limit the annual operating expenses of the Funds, excluding: dividend and interest expenses relating to short sales; interest; taxes; brokerage commissions and other transaction costs; portfolio transaction and investment related expenses, including expenses associated with the Funds’ liquidity providers; other expenditures which are capitalized in accordance with U.S. GAAP; the cost of “Acquired Fund Fees and Expenses”, if any; and

129

Notes to Financial Statements (Unaudited) (Continued)

other extraordinary expenses not incurred in the ordinary course of business. The maximum annual 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 separately waive class-level expenses, advisory fees and administration fees, and to reimburse expenses in order to maintain the following expense limitations for the Funds:

																Institutional
	Class A			Class C			Class S			Class Y			Class Z			Class
Active Bond Fund		0.90	%		1.65	%		—			0.65	%		—			0.57	%
Arbitrage Fund		1.68	%		2.43	%		—			1.43	%		—			1.28	%
Emerging Markets Small Cap Fund		1.69	%		2.44	%		—			1.44	%		—			1.29	%
High Yield Fund		1.05	%		1.80	%		—			0.80	%		—			0.72	%
Merger Arbitrage Fund		1.68	%		2.43	%		—			1.43	%		—			1.28	%
Mid Cap Fund		1.24	%		1.99	%		—			0.99	%		1.24	%		0.92	%
Mid Cap Value Fund		1.27	%		2.02	%		—			1.02	%		—			0.89	%
Premium Yield Equity Fund		1.20	%		1.95	%		—			0.95	%		—			—
Sands Capital Select Growth Fund*		0.25	%		0.25	%		—			0.25	%		0.25	%		—
Small Cap Fund		1.38	%		2.13	%		—			1.13	%		—			1.05	%
Small Cap Value Fund		1.38	%		2.13	%		—			1.13	%		—			0.98	%
Total Return Bond Fund		0.85	%		1.60	%		—			0.60	%		—			0.50	%
Ultra Short Duration Fixed Income Fund		0.69	%		1.19	%		0.94	%		0.44	%		0.69	%		0.39	%

*The Expense Limitation Agreement for Sands Capital Select Growth Fund limits other operating expenses to 0.25% for all classes of the Fund. Other operating expenses include all operating expenses of the Fund except for investment advisory fees, administration fees, performance fees, distribution fees (12b-1), shareholder service fees and any expenses excluded in the Expense Limitation Agreement.

These expense limitations will remain in effect for all Funds through at least January 29, 2019, except for Active Bond Fund and Ultra Short Duration Fixed Income Fund, which will remain in effect through at least October 26, 2019. The Expense Limitation Agreement can be terminated by a vote of the Funds’ Board if it deems the termination to be beneficial to the Funds’ shareholders.

During the six months ended March 31, 2018, the Advisor or its affiliates waived investment advisory fees, administration fees and other operating expenses, including distribution fees of the Funds, as follows:

					Other
					Operating
	Investment				Expenses
	Advisory		Administration		Reimbursed/
	Fees Waived		Fees Waived		Waived		Total
Active Bond Fund	$	—	$	68,171	$	184,519	$	252,690
Arbitrage Fund		—		—		19,407		19,407
Emerging Markets Small Cap Fund		70,069		9,676		44,834		124,579
High Yield Fund		—		19,906		84,172		104,078
Merger Arbitrage Fund		—		—		31,820		31,820
Mid Cap Fund		—		81,538		198,697		280,235
Mid Cap Value Fund		—		206,102		121,275		327,377
Premium Yield Equity Fund		—		—		47,621		47,621
Sands Capital Select Growth Fund		—		—		259,820		259,820
Small Cap Fund		—		—		84,300		84,300
Small Cap Value Fund		32,710		66,784		93,561		193,055
Total Return Bond Fund		—		46,579		102,278		148,857
Ultra Short Duration Fixed Income Fund		—		146,541		162,193		308,734

Under the terms of the Expense Limitation Agreement, the Advisor is entitled to recover, subject to approval by the Funds’ Board, such amounts waived or reimbursed for a period of up to three years from the date on which the Advisor reduced its compensation or assumed expenses for the Funds. No recoupment will occur unless a Fund’s operating expenses are below the expense limitation amount in effect at the time of the waiver or reimbursement and the Fund’s current expense limitation.

130

Notes to Financial Statements (Unaudited) (Continued)

As of March 31, 2018, the Advisor may seek recoupment of previously waived fees and reimbursed expenses as follows:

	Expiration		Expiration		Expiration		Expiration
	September 30,		September 30,		September 30,		September 30,
Fund	2018		2019		2020		2021		Total
Active Bond Fund	$	115,961	$	236,361	$	224,157	$	155,567	$	732,046
Arbitrage Fund		1,297		8,272		15,946		5,814		31,329
Emerging Markets Small Cap Fund		64,048		353,948		264,662		116,202		798,860
High Yield Fund		75,708		149,452		122,090		74,153		421,403
Merger Arbitrage Fund		—		—		19,965		17,019		36,984
Mid Cap Fund		464,857		545,460		576,954		239,157		1,826,428
Mid Cap Value Fund		202,731		430,326		566,787		304,159		1,504,003
Premium Yield Equity Fund		27,132		71,385		46,012		14,136		158,665
Sands Capital Select Growth Fund		338,158		831,974		528,582		259,820		1,958,534
Small Cap Fund		—		38,604		38,987		58,810		136,401
Small Cap Value Fund		70,957		159,192		462,615		117,020		809,784
Total Return Bond Fund		96,281		206,835		243,198		134,151		680,465
Ultra Short Duration Fixed Income Fund		222,390		500,874		457,716		269,350		1,450,330

For the six months ended March 31, 2018, the Advisor is eligible to recoup previously waived fees or reimbursed expenses from the Mid Cap Value Fund of $37,454.

ADMINISTRATION AGREEMENT

The Advisor entered into an Administration 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 SEC and state securities authorities, as well as materials for meetings of the Board; calculating the daily NAV per share; and maintaining the financial books and records of each Fund.

For its services, the Advisor’s annual administrative fee is:

0.145% on the first $20 billion of the aggregate average daily net assets;

0.11% on the next $10 billion of aggregate average daily net assets;

0.09% on the next $10 billion of aggregate average daily net assets; and

0.07% on the aggregate average daily net assets over $40 billion.

The fee is computed and allocated among the Touchstone Fund Complex (excluding Touchstone Institutional Funds Trust) on the basis of relative daily net assets.

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.

TRANSFER AGENT AGREEMENT

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 from each Fund. In addition, each Fund pays out-of-pocket expenses incurred by BNY Mellon, including, but not limited to, postage and supplies.

131

Notes to Financial Statements (Unaudited) (Continued)

The Funds may reimburse the Advisor for fees paid to intermediaries such as banks, broker-dealers, financial advisors or other financial institutions for sub-transfer agency, sub-administration and other services provided to investors whose shares of record are held in omnibus, other group accounts, retirement plans or accounts traded through registered securities clearing agents. These fees may vary based on, for example, the nature of services provided, but generally range up to 0.15% of the assets of the class serviced or maintained by the intermediary or up to $22 per sub-account maintained by the intermediary.

PLANS OF DISTRIBUTION AND SHAREHOLDER SERVICING FEE ARRANGEMENTS

The Trust has adopted distribution plans pursuant to Rule 12b-1 under the 1940 Act for each class of shares it offers that is subject to 12b-1 distribution fees. The plans allow each Fund to pay distribution and other fees for the sale and distribution of its shares and for services provided to shareholders. The fees charged to the Funds are limited to the actual expenses incurred. Under the Class A plan, each Fund offering Class A shares, excluding the Active Bond Fund and High Yield Fund, pays an annual fee of up to 0.25% of average daily net assets that are attributable to Class A shares. The Active Bond Fund and High Yield Fund pay an annual fee of up to 0.35% of average daily net assets that are attributable to Class A shares. The Active Bond Fund and High Yield Fund currently limit the 12b-1 fees for Class A shares to 0.25% of average daily net assets attributable to such shares. Under the Class C plan, each Fund offering Class C shares (except the Ultra Short Duration Fixed Income Fund) pays an annual fee of up to 1.00% of average daily net assets that are attributable to Class C shares (of which up to 0.75% is a distribution fee and up to 0.25% is a shareholder servicing fee). The Ultra Short Duration Fixed Income Fund has limited the amount of the 12b-1 fees for Class C shares to 0.75% of average daily net assets through January 29, 2019. Under the Class S plan, the Ultra Short Duration Fixed Income Fund pays an annual shareholder servicing fee of up to 0.50% of average daily net assets that are attributable to Class S shares. Under the Class Z plan, each Fund offering Class Z shares pays an annual shareholder servicing fee of up to 0.25% of average daily net assets that are attributed to Class Z 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 the Underwriter, the Underwriter earned underwriting and broker commissions on the sale of Class A shares of the Funds. W&S Brokerage Services, Inc., an affiliate of the Underwriter and the Advisor, also earned broker commissions on the sale of Class A shares of the Funds. Listed below are the total underwriting and broker commissions earned by the Underwriter and its affiliate during the six months ended March 31, 2018:

Fund	Amount
Active Bond Fund	$	11,270
Emerging Markets Small Cap Fund		469
High Yield Fund		1,895
Merger Arbitrage Fund		3,050
Mid Cap Fund		4,882
Mid Cap Value Fund		4,358
Premium Yield Equity Fund		3,852
Sands Capital Select Growth Fund		7,363
Small Cap Fund		645
Small Cap Value Fund		361
Total Return Bond Fund		4,773
Ultra Short Duration Fixed Income Fund		1,217

132

Notes to Financial Statements (Unaudited) (Continued)

In addition, the Underwriter collected CDSC on the redemption of Class C shares of the Funds listed below during the six months ended March 31, 2018:

Fund	Amount
Active Bond Fund	$	546
Arbitrage Fund		650
High Yield Fund		160
Mid Cap Fund		364
Sands Capital Select Growth Fund		68
Ultra Short Duration Fixed Income Fund		34

INTERFUND TRANSACTIONS

The Funds may engage in purchase and sale transactions with funds that have a common investment advisor (or affiliated investment advisors), common Trustees and/or common officers. During the six months ended March 31, 2018, the Funds did not engage in any Rule 17a-7 transactions as defined under the 1940 Act.

5. Liquidity

ReFlow Fund LLC — The Funds may participate in the ReFlow Fund LLC liquidity program (“ReFlow”), which is designed to provide an alternative liquidity source for funds experiencing redemptions. In order to pay cash to shareholders who redeem their shares on a given day, a fund typically must hold cash in its portfolio, liquidate portfolio securities, or borrow money. ReFlow provides participating funds with another source of cash by standing ready to purchase shares from a fund up to the amount of the fund’s net redemptions on a given day, cumulatively limited to 3% of the outstanding voting shares of a Fund. ReFlow then generally redeems those shares when the Fund experiences net sales. In return for this service, the Fund will pay a fee to ReFlow at a rate determined by a daily auction with other participating mutual funds.

During the six months ended March 31, 2018, the Small Cap Fund utilized ReFlow. ReFlow subscribed 135,945 shares of the Small Cap Fund during the period and had a redemption-in-kind of $2,022,916. The resulting fee is recorded in other expenses on the Statements of Operations.

Interfund lending — Pursuant to an Exemptive Order issued by the SEC on March 28, 2017, the Funds, along with certain other funds in the Touchstone Fund Complex, may participate in an interfund lending program. The interfund lending program provides an alternate credit facility that allows the Funds to lend to or borrow from other participating funds in the Touchstone Fund Complex, subject to the conditions of the Exemptive Order. The Funds may not borrow under the facility for leverage purposes and the loans’ duration may be no more than 7 days.

During the six months ended March 31, 2018, the following Fund participated as a lender in the interfund lending program. The average amount loaned, average interest rate and interest income were as follows:

	Average Amount		Average Interest			Interest
Fund	Loaned		Rate			Income*
Sands Capital Select Growth Fund	$	4,551,563		1.36	%	$	1,415

*Included in interest in the Statements of Operations.

During the six months ended March 31, 2018, the following Funds participated as borrowers in the interfund lending program. The average amount borrowed, average interest rate and interest expense were as follows:

133

Notes to Financial Statements (Unaudited) (Continued)

	Average Amount		Average Interest			Interest
Fund	Borrowed		Rate			Expense*
Arbitrage Fund	$	1,702,561		1.31	%	$	329
Mid Cap Fund		14,799,494		1.32			1,089
Premium Yield Equity Fund		3,475,659		1.37			264

*Included in other expenses in the Statements of Operations.

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. It is each Fund’s policy to distribute all of its taxable income and 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, 2017 and 2016 are as follows:

	Active Bond Fund				Arbitrage Fund
	Year Ended		Year Ended		Year Ended		Year Ended
	September 30,		September 30,		September 30,		September 30,
	2017		2016		2017		2016
From ordinary income	$	2,885,074	$	3,155,993	$	4,688,177	$	1,713,725
From long-term capital gains		—		—		—		342,591
Total distributions	$	2,885,074	$	3,155,993	$	4,688,177	$	2,056,316

	Emerging Markets
	Small Cap Fund				High Yield Fund
	Year Ended		Year Ended		Year Ended		Year Ended
	September 30,		September 30,		September 30,		September 30,
	2017		2016		2017		2016
From ordinary income	$	—	$	2,618,763	$	11,116,195	$	10,884,011
From long-term capital gains		—		—		—		—
Total distributions	$	—	$	2,618,763	$	11,116,195	$	10,884,011

	Merger Arbitrage						Mid Cap		Mid Cap
	Fund						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,
	2017		2016		2017		2016		2017		2016
From ordinary income	$	5,245,522	$	—	$	3,693,873	$	365,264	$	7,502,271	$	7,115,657
From long-term capital gains		—		—		—		—		13,872,720		16,030,101
Total distributions	$	5,245,522	$	—	$	3,693,873	$	365,264	$	21,374,991	$	23,145,758

	Premium Yield				Sands Capital				Small Cap
	Equity Fund				Select Growth Fund				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,
	2017		2016		2017		2016		2017		2016
From ordinary income	$	3,698,205	$	3,858,988	$	5,136,516	$	—	$	1,853,070	$	13,028,179
From long-term capital gains		—		10,256,568		361,190,380		425,346,962		—		65,017,255
Total distributions	$	3,698,205	$	14,115,556	$	366,326,896	$	425,346,962	$	1,853,070	$	78,045,434

134

Notes to Financial Statements (Unaudited) (Continued)

	Small Cap				Total Return				Ultra Short Duration
	Value Fund				Bond Fund				Fixed 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,
	2017		2016		2017		2016		2017		2016
From ordinary income	$	137,427	$	911,469	$	6,815,476	$	6,010,128	$	10,787,697	$	8,481,610
From long-term capital gains		—		1,833,117		—		—		—		—
Total distributions	$	137,427	$	2,744,586	$	6,815,476	$	6,010,128	$	10,787,697	$	8,481,610

The following information is computed on a tax basis for each item as of September 30, 2017:

							Emerging
	Active Bond			Arbitrage			Markets Small Cap			High Yield
	Fund			Fund			Fund			Fund
Tax cost of portfolio investments	$	125,097,436		$	267,337,466		$	12,673,435		$	212,418,657
Gross unrealized appreciation on investments		2,613,406			4,902,945			1,789,389			6,810,048
Gross unrealized depreciation on investments		(665,764	)		(6,366,470	)		(567,297	)		(1,795,031	)
Net unrealized appreciation (depreciation) on investments		1,947,642			(1,463,525	)		1,222,092			5,015,017
Gross unrealized appreciation on short sales, derivatives and foreign currency contracts		—			1,206,066			35			—
Gross unrealized depreciation on short sales, derivatives and foreign currency contracts		—			(3,656,931	)		(43,205	)		—
Net unrealized appreciation (depreciation) on short sales, derivatives and foreign currency contracts		—			(2,450,865	)		(43,170	)		—
Capital loss carryforwards		—			—			(97,642,883	)
Undistributed ordinary income		100,608			7,225,614			91,956			(15,975,775	)
Undistributed capital gains		—			366,454			—			515,272
Other temporary differences		(38,253	)		(162,199	)		(3,256	)		—
Accumulated earnings (deficit)	$	2,009,997		$	3,515,479		$	(96,375,261	)	$	(10,445,486	)

	Merger			Mid Cap			Mid Cap Value
	Arbitrage Fund			Fund			Fund
Tax cost of portfolio investments	$	242,702,264		$	617,199,395		$	623,022,871
Gross unrealized appreciation on investments		4,400,792			165,273,442			115,400,847
Gross unrealized depreciation on investments		(5,472,316	)		(4,590,751	)		(27,249,035	)
Net unrealized appreciation (depreciation) on investments		(1,071,524	)		160,682,691			88,151,812
Gross unrealized appreciation on short sales, derivatives and foreign currency contracts		695,331			—			—
Gross unrealized depreciation on short sales, derivatives and foreign currency contracts		(3,611,526	)		—			—
Net unrealized appreciation (depreciation) on short sales, derivatives and foreign currency contracts		(2,916,195	)		—			—
Capital loss carryforwards		—			(70,800,792	)		—
Undistributed ordinary income		8,785,796			477,776			9,078,278
Undistributed capital gains		797,071			—			31,199,807
Other temporary differences		(217,454	)		—			—
Accumulated earnings (deficit)	$	5,377,694		$	90,359,675		$	128,429,897

135

Notes to Financial Statements (Unaudited) (Continued)

	Premium			Sands Capital
	Yield Equity			Select Growth			Small Cap
	Fund			Fund			Fund
Tax cost of portfolio investments	$	105,432,401		$	1,349,407,005		$	172,986,048
Gross unrealized appreciation		19,619,903			1,281,553,518			80,060,283
Gross unrealized depreciation		(2,212,785	)		(60,538,873	)		(5,122,086	)
Net unrealized appreciation (depreciation) on investments		17,407,118			1,221,014,645			74,938,197
Qualified late-year losses		—			(12,169,854	)		—
Undistributed ordinary income		282,429			—			929,602
Undistributed capital gains		2,153,188			476,472,680			28,796,916
Accumulated earnings (deficit)	$	19,842,735		$	1,685,317,471		$	104,664,715

							Ultra Short
				Total			Duration
	Small Cap Value			Return Bond			Fixed Income
	Fund			Fund			Fund
Tax cost of portfolio investments	$	91,303,658		$	262,898,889		$	751,637,966
Gross unrealized appreciation		9,919,882			3,779,282			1,177,208
Gross unrealized depreciation		(5,699,442	)		(2,915,335	)		(1,357,530	)
Net unrealized appreciation (depreciation) on investments		4,220,440			863,947			(180,322	)
Capital loss carryforwards		(1,969,934	)		(3,776,985	)		(24,658,808	)
Undistributed ordinary income		18,138			74,296			505,538
Other temporary differences		—			—			(178,965	)
Accumulated earnings (deficit)	$	2,268,644		$	(2,838,742	)	$	(24,512,557	)

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 company (“PFIC”) adjustments, regulated investment companies adjustments, amortization adjustments on bonds, REIT adjustments, preferred income outstanding, taxable interest on defaulted securities, and certain timing differences in the recognition of capital losses under income tax regulations and U.S. GAAP.

As of September 30, 2017, the Funds had the following capital loss carryforwards for federal income tax purposes:

					No		No
	Short Term Expiring In				Expiration		Expiration
	2018		2019		Short Term*		Long Term*		Total
Emerging Markets Small Cap Fund	$	—	$	—	$	17,348,130	$	80,294,753	$	97,642,883
High Yield Fund		—		—		—		15,975,775		15,975,775
Mid Cap Fund		70,800,792		—		—		—		70,800,792
Small Cap Value Fund		1,969,934		—		—		—		1,969,934
Total Return Bond Fund		—		—		757,743		3,019,242		3,776,985
Ultra Short Duration Fixed Income Fund		3,336,624		933,830		7,744,661		12,643,693		24,658,808

* The Regulated Investment Company Modernization Act of 2010 (the “Act”) was enacted on December 22, 2010. The Act made changes to several tax rules impacting the Funds. The provisions of the Act first became effective for the Funds’ fiscal year ended September 30, 2012 and are applicable to all subsequent fiscal years. 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 must be utilized before pre-enactment capital loss carryovers may be utilized. Under the Act, new capital losses may now be carried forward indefinitely, and retain the character of the original loss as compared with pre-enactment law, where capital losses could be carried forward for up to eight years, and carried forward as short-term capital losses, irrespective of the character of the original loss.

136

Notes to Financial Statements (Unaudited) (Continued)

As of March 31, 2018 the Trust had the following federal tax cost resulting in net unrealized appreciation (depreciation) as follows:

				Gross		Gross			Gross		Gross
				Unrealized		Unrealized			Unrealized		Unrealized			Net
	Federal			Appreciation		Depreciation			Appreciation		Depreciation			Unrealized
	Tax			on		on			on		on			Appreciation
Fund	Cost			Investments		Investments			Other*		Other*			(Depreciation)
Active Bond Fund	$	397,778,911	$		3,153,413	$	(6,025,256	)	$	—	$	—		$	(2,871,843	)
Arbitrage Fund		273,416,138			3,337,439		(10,407,416	)		503,249		(906,591	)		(7,473,319	)
Emerging Markets Small Cap Fund		11,615,381			1,672,897		(476,014	)		1,626		(72	)		1,198,437
High Yield Fund		197,833,339			1,515,399		(5,119,217	)		—		—			(3,603,818	)
Merger Arbitrage Fund		219,311,192			2,979,027		(7,575,047	)		311,650		(523,817	)		(4,808,187	)
Mid Cap Fund		689,624,731			145,459,998		(16,326,640	)		—		—			129,133,358
Mid Cap Value Fund		697,021,090			114,972,340		(54,828,227	)		—		—			60,144,113
Premium Yield Equity Fund		101,538,812			15,569,746		(1,357,657	)		—		—			14,212,089
Sands Capital Select Growth Fund		1,096,584,451			1,425,015,635		(9,603,525	)		—		—			1,415,412,110
Small Cap Fund		116,308,131			57,214,508		(3,120,181	)		—		—			54,094,327
Small Cap Value Fund		102,492,179			9,685,201		(10,159,970	)		—		—			(474,769	)
Total Return Bond Fund		309,143,658			1,935,275		(6,603,107	)		—		—			(4,667,832	)
Ultra Short Duration Fixed Income Fund		945,660,501			1,006,955		(4,219,142	)		—		—			(3,212,187	)

* Other includes Short Sales, Derivatives and Foreign Currency Transactions.

The Funds have analyzed their tax positions taken on federal income tax returns for all open tax years (tax years ended September 30, 2014 through 2017) and have concluded that no provision for income tax is required in their financial statements.

7. Commitments and Contingencies

The Funds indemnify the Trust’s officers and Trustees 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.

8. Principal Risks

Risks Associated with Foreign Investments — Some of the Funds may invest in the securities of foreign issuers. Investing in securities issued by companies whose principal business activities are outside the U.S. may involve significant risks not present in domestic investments. For example, there is generally less publicly available information about foreign companies, particularly those not subject to the disclosure and reporting requirements of the U.S. securities laws. Foreign issuers are generally not bound by uniform accounting, auditing, and financial reporting requirements and standards of practice comparable to those applicable to domestic issuers. Investments in foreign securities also involve the risk of possible adverse changes in investment or exchange control regulations, expropriation or confiscatory taxation, limitations on the removal of funds or other assets of a Fund, political or financial instability or diplomatic and other developments which could affect such investments. Foreign stock markets, while growing in volume and sophistication, are generally not as developed as those in the U.S., and securities of some foreign issuers (particularly those located in developing countries) may be less liquid and more volatile than securities of comparable U.S. companies. In general, there is less overall governmental supervision and regulation of foreign securities markets, broker-dealers, and issuers than in the U.S.

137

Notes to Financial Statements (Unaudited) (Continued)

Risks Associated with Concentration — Certain Funds may 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, these 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 Funds’ NAVs and magnified effect on the total return.

Risks Associated with Credit — An issuer may be unable to make timely payments of either principal or interest. This may cause the issuer’s securities to decline in value. Credit risk is particularly relevant to those Funds that invest a significant amount of their assets in junk bonds or lower-rated securities.

Risks Associated with Interest Rate Changes — As interest rates rise, the value of fixed-income securities a Fund owns will likely decrease. The price of debt securities is generally linked to the prevailing market interest rates. In general, when interest rates rise, the price of debt securities falls, and when interest rates fall, the price of debt securities rises. The price volatility of a debt security also depends on its maturity. Longer-term securities are generally more volatile, so the longer the average maturity or duration of these securities, the greater their price risk. Duration is a measure of the expected life, taking into account any prepayment or call features of the security, that is used to determine the price sensitivity of the security for a given change in interest rates. Specifically, duration is the change in the value of a fixed-income security that will result from a 1% change in interest rates, and generally is stated in years. For example, as a general rule a 1% rise in interest rates means a 1% fall in value for every year of duration. Maturity, on the other hand, is the date on which a fixed-income security becomes due for payment of principal. The negative impact on fixed income securities if interest rates increase as a result could negatively impact a Fund’s NAV.

Risks Associated with Liquidity — Liquidity risk exists when particular investments are difficult to purchase or sell. This can reduce the Fund’s returns because the Fund may be unable to transact at advantageous times or prices, or at all.

Please see the Funds’ prospectus for a complete discussion of these and other risks.

9. Fund Mergers

Active Bond Fund:

The shareholders of the Sentinel Government Securities Fund and the Sentinel Total Return Bond Fund, both a series of the Sentinel Group Funds, Inc., approved an Agreement and Plan of Reorganization providing for the transfer of all assets and liabilities of the Sentinel Government Securities Fund and the Sentinel Total Return Bond Fund to the Touchstone Active Bond Fund. The tax-free mergers took place on October 27, 2017.

The following is a summary of shares outstanding, net assets, net asset value per share and unrealized appreciation immediately before and after the reorganizations.

									After
	Before Reorganizations								Reorganizations
	Sentinel			Sentinel			Touchstone		Touchstone
	Government			Total Return			Active		Active
	Securities			Bond			Bond		Bond
	Fund			Fund			Fund		Fund
Class A*
Shares		11,174,957	(A)		3,834,554	(D)		2,051,008		17,060,519
Net Assets	$	116,518,985		$	39,982,285		$	21,385,481	$	177,886,751
Net Asset Value	$	10.43	(A)	$	10.43	(D)	$	10.43	$	10.43

138

Notes to Financial Statements (Unaudited) (Continued)

									After
	Before Reorganizations								Reorganizations
	Sentinel			Sentinel			Touchstone		Touchstone
	Government			Total Return			Active		Active
	Securities			Bond			Bond		Bond
	Fund			Fund			Fund		Fund
Class C
Shares		1,315,564	(B)		1,646,712	(E)		470,496		3,432,772
Net Assets	$	12,682,178		$	15,874,543		$	4,535,633	$	33,092,354
Net Asset Value	$	9.64	(B)	$	9.64	(E)	$	9.64	$	9.64
Class Y**
Shares		1,572,671	(C)		11,128,019	(F)		7,576,068		20,276,758
Net Assets	$	16,389,043		$	115,967,591		$	78,951,815	$	211,308,449
Net Asset Value	$	10.42	(C)	$	10.42	(F)	$	10.42	$	10.42
Institutional Class
Shares		—			—			2,374,145		2,374,145
Net Assets		—			—		$	24,733,043	$	24,733,043
Net Asset Value		—			—		$	10.42	$	10.42
Fund Total
Shares Outstanding		15,103,361			16,500,456			12,471,717		43,144,194
Net Assets	$	145,590,206		$	171,824,419		$	129,605,972	$	447,020,597
Unrealized Appreciation (Depreciation)	$	857,879		$	3,044,192		$	1,368,123	$	5,270,194

^(A) Reflects a 0.9244:1 stock split which occurred on the date of reorganizations, October 27, 2017.

^(B)Reflects a 1.0008:1 reverse stock split which occurred on the date of reorganizations, October 27, 2017.

^(C) Reflects a 0.9252:1 stock split which occurred on the date of reorganizations, October 27, 2017.

^(D) Reflects a 0.9985: 1 stock split on Class A shares and a 0.9984: 1 stock split on Class R3 shares which occurred on the date of reorganization, October 27, 2017.

^(E) Reflects a 1.0769:1 reverse stock split which occurred on the date of reorganizations, October 27, 2017.

^(F) Reflects a 0.9997: 1 stock split on Class I shares and a 0.9999:1 stock split on Class R6 shares which occurred on the date of reorganization, October 27, 2017.

* The Sentinel Total Return Bond Fund had Class R3 shares outstanding immediately prior to the reorganizations, which were exchanged for Class A shares of the Active Bond Fund.

**The Sentinel Government Securities Fund and the Sentinel Total Return Bond Fund had Class I and Class R6 shares outstanding immediately prior to the reorganizations, which were exchanged for^. Class Y shares of the Active Bond Fund.

Assuming the reorganizations had been completed on October 1, 2017, the Active Bond Fund’s results of operations for the six months ended March 31, 2018 would have been as follows:

Net investment income (loss)	$	9,771,481
Net realized and unrealized gain (loss) on investments	$	(7,852,195	)
Net increase (decrease) in net assets resulting from operations	$	1,919,286

Because the combined investment portfolios have been managed as a single portfolio since the reorganizations were completed, it is not practical to separate the amounts of revenue and earnings to the Active Bond Fund that have been included in its statement of operations since the reorganizations.

Ultra Short Duration Fixed Income Fund:

The shareholders of the Sentinel Low Duration Bond Fund, a series of the Sentinel Group Funds, Inc., approved an Agreement and Plan of Reorganization providing for the transfer of all assets and liabilities of the Sentinel

139

Notes to Financial Statements (Unaudited) (Continued)

Low Duration Bond Fund to the Touchstone Ultra Short Duration Fixed Income Fund. The tax-free merger took place on October 27, 2017.

The following is a summary of shares outstanding, net assets, net asset value per share and unrealized appreciation immediately before and after the reorganization.

							After
	Before Reorganization						Reorganization
				Touchstone			Touchstone
				Ultra Short			Ultra Short
	Sentinel Low			Duration			Duration
	Duration			Fixed Income			Fixed Income
	Bond Fund			Fund			Fund
Class A
Shares		8,852,517	(A)		1,724,258			10,576,775
Net Assets	$	82,262,174		$	16,022,642		$	98,284,816
Net Asset Value	$	9.29	(A)	$	9.29		$	9.29
Class C
Shares		—			595,689			595,689
Net Assets	$	—		$	5,536,888		$	5,536,888
Net Asset Value	$	—		$	9.29		$	9.29
Class S
Shares		18,778,658	(B)		—			18,778,658
Net Assets	$	174,475,987		$	—		$	174,475,987
Net Asset Value	$	9.29	(B)	$	—		$	9.29
Class Y*
Shares		1,675,485	(C)		28,460,319			30,135,804
Net Assets	$	15,567,307		$	264,430,327		$	279,997,634
Net Asset Value	$	9.29	(C)	$	9.29		$	9.29
Class Z
Shares		—			22,972,057			22,972,057
Net Assets	$	—		$	213,484,506		$	213,484,506
Net Asset Value	$	—		$	9.29		$	9.29
Institutional Class
Shares		—			28,593,394			28,593,394
Net Assets	$	—		$	265,515,783		$	265,515,783
Net Asset Value	$	—		$	9.29		$	9.29
Fund Total
Shares Outstanding		32,123,347			82,345,717			111,652,377
Net Assets	$	272,305,468		$	764,990,146		$	1,037,295,614
Unrealized Appreciation (Depreciation)	$	1,842,713		$	(518,337	)	$	1,324,376

^(A) Reflects a 0.9113:1 stock split which occurred on the date of reorganization, October 27, 2017.

^(B) Reflects a 0.9127:1 stock split which occurred on the date of reorganization, October 27, 2017.

^(C) Reflects a 0.9131:1 stock split which occurred on the date of reorganization, October 27, 2017.

* The Sentinel Low Duration Bond Fund had Class I shares outstanding immediately prior to the reorganization, which were exchanged for Class Y shares of the Ultra Short Duration Fixed Income Fund.

Assuming the reorganization had been completed on October 1, 2017, the Ultra Short Duration Fixed Income Fund’s results of operations for the six months ended March 31, 2018 would have been as follows:

Net investment income (loss)	$	12,283,723
Net realized and unrealized gain (loss) on investments	$	(4,398,706	)
Net increase (decrease) in net assets resulting from operations	$	7,885,017

140

Notes to Financial Statements (Unaudited) (Continued)

Because the combined investment portfolios have been managed as a single portfolio since the reorganization was completed, it is not practical to separate the amounts of revenue and earnings to the Ultra Short Duration Fixed Income Fund that have been included in its statement of operations since the reorganization.

10. Subsequent Events

Subsequent events occurring after the date of this report have been evaluated for potential impact to this report through the date the financial statements were issued.There were no subsequent events that necessitated recognition or disclosure in the Funds’ financial statements.

141

Other Items (Unaudited)

Proxy Voting Guidelines

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 is available as an appendix to the most recent Statement of Additional Information, which can be obtained without charge by calling toll free 1.800.543.0407 or by visiting the Touchstone website at TouchstoneInvestments.com or on the Securities and Exchange Commission’s (the “Commission”) website sec.gov. Information regarding how those proxies were voted during the most recent twelve-month period ended June 30 is also available without charge by calling toll free 1.800.543.0407 or on the Commission’s website at 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; (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, 2017 through March 31, 2018).

Actual Expenses

The first line for each share class of a Fund in 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, 2018” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The second line for each share class of a Fund in the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table below are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the second line of the table below is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

142

Other Items (Unaudited) (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,
		2018			2017		2018		2018*
Touchstone Active Bond Fund
Class A	Actual		0.90	%	$	1,000.00	$	984.00	$	4.45
Class A	Hypothetical		0.90	%	$	1,000.00	$	1,020.44	$	4.53
Class C	Actual		1.65	%	$	1,000.00	$	981.20	$	8.15
Class C	Hypothetical		1.65	%	$	1,000.00	$	1,016.70	$	8.30
Class Y	Actual		0.65	%	$	1,000.00	$	986.30	$	3.22
Class Y	Hypothetical		0.65	%	$	1,000.00	$	1,021.69	$	3.28
Institutional Class	Actual		0.57	%	$	1,000.00	$	985.70	$	2.82
Institutional Class	Hypothetical		0.57	%	$	1,000.00	$	1,022.09	$	2.87
Touchstone Arbitrage Fund
Class A	Actual		1.89	%	$	1,000.00	$	978.00	$	9.32	**
Class A	Hypothetical		1.89	%	$	1,000.00	$	1,015.51	$	9.50	**
Class C	Actual		2.64	%	$	1,000.00	$	975.30	$	13.00	**
Class C	Hypothetical		2.64	%	$	1,000.00	$	1,011.77	$	13.24	**
Class Y	Actual		1.56	%	$	1,000.00	$	980.20	$	7.70	**
Class Y	Hypothetical		1.56	%	$	1,000.00	$	1,017.15	$	7.85	**
Institutional Class	Actual		1.49	%	$	1,000.00	$	980.30	$	7.36	**
Institutional Class	Hypothetical		1.49	%	$	1,000.00	$	1,017.50	$	7.49	**
Touchstone Emerging Markets Small Cap Fund
Class A	Actual		1.69	%	$	1,000.00	$	1,074.00	$	8.74
Class A	Hypothetical		1.69	%	$	1,000.00	$	1,016.50	$	8.50
Class C	Actual		2.44	%	$	1,000.00	$	1,070.30	$	12.59
Class C	Hypothetical		2.44	%	$	1,000.00	$	1,012.76	$	12.24
Class Y	Actual		1.44	%	$	1,000.00	$	1,076.10	$	7.45
Class Y	Hypothetical		1.44	%	$	1,000.00	$	1,017.75	$	7.24
Institutional Class	Actual		1.29	%	$	1,000.00	$	1,076.30	$	6.68
Institutional Class	Hypothetical		1.29	%	$	1,000.00	$	1,018.50	$	6.49
Touchstone High Yield Fund
Class A	Actual		1.05	%	$	1,000.00	$	987.80	$	5.20
Class A	Hypothetical		1.05	%	$	1,000.00	$	1,019.70	$	5.29
Class C	Actual		1.80	%	$	1,000.00	$	984.10	$	8.90
Class C	Hypothetical		1.80	%	$	1,000.00	$	1,015.96	$	9.05
Class Y	Actual		0.80	%	$	1,000.00	$	988.70	$	3.97
Class Y	Hypothetical		0.80	%	$	1,000.00	$	1,020.94	$	4.03
Institutional Class	Actual		0.72	%	$	1,000.00	$	990.20	$	3.57
Institutional Class	Hypothetical		0.72	%	$	1,000.00	$	1,021.34	$	3.63

143

Other Items (Unaudited) (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,
		2018			2017		2018		2018*
Touchstone Merger Arbitrage Fund
Class A	Actual		2.00	%	$	1,000.00	$	982.80	$	9.89	***
Class A	Hypothetical		2.00	%	$	1,000.00	$	1,014.96	$	10.05	***
Class C	Actual		2.75	%	$	1,000.00	$	979.00	$	13.57	***
Class C	Hypothetical		2.75	%	$	1,000.00	$	1,011.22	$	13.79	***
Class Y	Actual		1.71	%	$	1,000.00	$	984.00	$	8.46	***
Class Y	Hypothetical		1.71	%	$	1,000.00	$	1,016.40	$	8.60	***
Institutional Class	Actual		1.60	%	$	1,000.00	$	984.90	$	7.92	***
Institutional Class	Hypothetical		1.60	%	$	1,000.00	$	1,016.95	$	8.05	***
Touchstone Mid Cap Fund
Class A	Actual		1.24	%	$	1,000.00	$	1,076.90	$	6.42
Class A	Hypothetical		1.24	%	$	1,000.00	$	1,018.75	$	6.24
Class C	Actual		1.99	%	$	1,000.00	$	1,072.50	$	10.28
Class C	Hypothetical		1.99	%	$	1,000.00	$	1,015.01	$	10.00
Class Y	Actual		0.99	%	$	1,000.00	$	1,077.80	$	5.13
Class Y	Hypothetical		0.99	%	$	1,000.00	$	1,020.00	$	4.99
Class Z	Actual		1.24	%	$	1,000.00	$	1,076.70	$	6.42
Class Z	Hypothetical		1.24	%	$	1,000.00	$	1,018.75	$	6.24
Institutional Class	Actual		0.92	%	$	1,000.00	$	1,078.40	$	4.77
Institutional Class	Hypothetical		0.92	%	$	1,000.00	$	1,020.34	$	4.63
Touchstone Mid Cap Value Fund
Class A	Actual		1.27	%	$	1,000.00	$	982.10	$	6.28
Class A	Hypothetical		1.27	%	$	1,000.00	$	1,018.60	$	6.39
Class C	Actual		2.02	%	$	1,000.00	$	978.90	$	9.97
Class C	Hypothetical		2.02	%	$	1,000.00	$	1,014.86	$	10.15
Class Y	Actual		1.02	%	$	1,000.00	$	983.50	$	5.04
Class Y	Hypothetical		1.02	%	$	1,000.00	$	1,019.85	$	5.14
Institutional Class	Actual		0.89	%	$	1,000.00	$	984.20	$	4.40
Institutional Class	Hypothetical		0.89	%	$	1,000.00	$	1,020.49	$	4.48
Touchstone Premium Yield Equity Fund
Class A	Actual		1.20	%	$	1,000.00	$	1,020.40	$	6.04
Class A	Hypothetical		1.20	%	$	1,000.00	$	1,018.95	$	6.04
Class C	Actual		1.95	%	$	1,000.00	$	1,016.60	$	9.80
Class C	Hypothetical		1.95	%	$	1,000.00	$	1,015.21	$	9.80
Class Y	Actual		0.95	%	$	1,000.00	$	1,021.80	$	4.79
Class Y	Hypothetical		0.95	%	$	1,000.00	$	1,020.19	$	4.78

144

Other Items (Unaudited) (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,
		2018			2017		2018		2018*
Touchstone Sands Capital Select Growth Fund
Class A	Actual		1.39	%	$	1,000.00	$	1,135.30	$	7.40
Class A	Hypothetical		1.39	%	$	1,000.00	$	1,018.00	$	6.99
Class C	Actual		2.14	%	$	1,000.00	$	1,131.10	$	11.37
Class C	Hypothetical		2.14	%	$	1,000.00	$	1,014.26	$	10.75
Class Y	Actual		1.14	%	$	1,000.00	$	1,136.80	$	6.07
Class Y	Hypothetical		1.14	%	$	1,000.00	$	1,019.25	$	5.74
Class Z	Actual		1.38	%	$	1,000.00	$	1,136.00	$	7.35
Class Z	Hypothetical		1.38	%	$	1,000.00	$	1,018.05	$	6.94
Touchstone Small Cap Fund
Class A	Actual		1.38	%	$	1,000.00	$	1,037.90	$	7.01
Class A	Hypothetical		1.38	%	$	1,000.00	$	1,018.05	$	6.94
Class C	Actual		2.13	%	$	1,000.00	$	1,033.80	$	10.80
Class C	Hypothetical		2.13	%	$	1,000.00	$	1,014.31	$	10.70
Class Y	Actual		1.13	%	$	1,000.00	$	1,039.00	$	5.74
Class Y	Hypothetical		1.13	%	$	1,000.00	$	1,019.30	$	5.69
Institutional Class	Actual		1.05	%	$	1,000.00	$	1,039.40	$	5.34
Institutional Class	Hypothetical		1.05	%	$	1,000.00	$	1,019.70	$	5.29
Touchstone Small Cap Value Fund
Class A	Actual		1.38	%	$	1,000.00	$	985.10	$	6.83
Class A	Hypothetical		1.38	%	$	1,000.00	$	1,018.05	$	6.94
Class C	Actual		2.13	%	$	1,000.00	$	981.30	$	10.52
Class C	Hypothetical		2.13	%	$	1,000.00	$	1,014.31	$	10.70
Class Y	Actual		1.13	%	$	1,000.00	$	986.30	$	5.60
Class Y	Hypothetical		1.13	%	$	1,000.00	$	1,019.30	$	5.69
Institutional Class	Actual		0.98	%	$	1,000.00	$	987.00	$	4.85
Institutional Class	Hypothetical		0.98	%	$	1,000.00	$	1,020.04	$	4.94
Touchstone Total Return Bond Fund
Class A	Actual		0.85	%	$	1,000.00	$	991.80	$	4.22
Class A	Hypothetical		0.85	%	$	1,000.00	$	1,020.69	$	4.28
Class C	Actual		1.60	%	$	1,000.00	$	987.90	$	7.93
Class C	Hypothetical		1.60	%	$	1,000.00	$	1,016.95	$	8.05
Class Y	Actual		0.60	%	$	1,000.00	$	992.00	$	2.98
Class Y	Hypothetical		0.60	%	$	1,000.00	$	1,021.94	$	3.02
Institutional Class	Actual		0.50	%	$	1,000.00	$	993.50	$	2.49
Institutional Class	Hypothetical		0.50	%	$	1,000.00	$	1,022.44	$	2.52

145

Other Items (Unaudited) (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,
		2018			2017		2018		2018*
Touchstone Ultra Short Duration Fixed Income Fund
Class A	Actual		0.69	%	$	1,000.00	$	1,005.00	$	3.45
Class A	Hypothetical		0.69	%	$	1,000.00	$	1,021.49	$	3.48
Class C	Actual		1.19	%	$	1,000.00	$	1,002.50	$	5.94
Class C	Hypothetical		1.19	%	$	1,000.00	$	1,019.00	$	5.99
Class S(A)	Actual		0.92	%	$	1,000.00	$	1,002.50	$	3.91
Class S	Hypothetical		0.92	%	$	1,000.00	$	1,020.34	$	4.63
Class Y	Actual		0.44	%	$	1,000.00	$	1,005.10	$	2.20
Class Y	Hypothetical		0.44	%	$	1,000.00	$	1,022.74	$	2.22
Class Z	Actual		0.69	%	$	1,000.00	$	1,005.00	$	3.45
Class Z	Hypothetical		0.69	%	$	1,000.00	$	1,021.49	$	3.48
Institutional Class	Actual		0.39	%	$	1,000.00	$	1,006.50	$	1.95
Institutional Class	Hypothetical		0.39	%	$	1,000.00	$	1,022.99	$	1.97

^(A) Represents the period from commencement of operations (October 27, 2017) through March 31, 2018. Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 155/365.

* Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365(to reflect one-half year period).

** Excluding dividend and interest expenses on securities sold short, your actual cost of investment in Class A, Class C, Class Y and Institutional Class would be $8.28, $11.97, $6.66 and $6.32, respectively, and your hypothetical cost of investment in Class A, Class C, Class Y and Institutional Class would be $8.45, $12.19, $6.79 and $6.44, respectively.

*** Excluding dividend and interest expenses on securities sold short, your actual cost of investment in Class A, Class C, Class Y and Institutional Class would be $8.30, $11.99, $6.88 and $6.33, respectively, and your hypothetical cost of investment in Class A, Class C, Class Y and Institutional Class would be $8.45, $12.19, $6.99 and $6.44, respectively.

Advisory and Sub-Advisory Agreement Approval Disclosure

At a meeting held on November 16, 2017, 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.

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 total expense ratios of comparable funds; (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 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

146

Other Items (Unaudited) (Continued)

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 such services; (2) the Advisor’s compensation and profitability; (3) a comparison of fees and performance with comparable funds; (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 the Sub-Advisor that was an affiliate 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 financial condition of the Sub-Advisor, 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.

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 three 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 advisory fees and administrative fees and/or reimbursed expenses of each of the Funds in order to limit each Fund’s net operating expenses. 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 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

147

Other Items (Unaudited) (Continued)

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, 2017, 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 expenses of each 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 considered, among other data, the specific factors and related conclusions set forth below with respect to each Fund:

Touchstone Active Bond Fund The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were at the median and above the median, respectively, of its peer group. The Board noted that the Advisor was waiving a portion of the Fund’s fees and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the six-month period ended June 30, 2017 and the Fund’s performance was in the 2^nd quintile of the Fund’s peer group for the twelve- and thirty-six-month periods ended June 30, 2017. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and that the advisory fee was reasonable in light of the services received by the Fund and the other factors considered.

Touchstone Arbitrage 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 and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the six- and twelve-month periods ended June 30, 2017, and the Fund’s performance was in the 1^st quintile of the Fund’s peer group for the thirty-six-month period ended June 30, 2017. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and that the advisory fee was reasonable in light of the services received by the Fund and the other factors considered.

Touchstone Emerging Markets Small Cap Fund The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were above the median of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees and/or reimbursing a portion of the Fund’s operating expenses.

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Other Items (Unaudited) (Continued)

The Fund’s performance was in the 2^nd quintile of the Fund’s peer group for the six-month period ended June 30, 2017, the Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the twelve-month period ended June 30, 2017 and the Fund’s performance was in the 5^th quintile of the Fund’s peer group for the thirty-six-month period ended June 30, 2017. The Board noted that the Fund had undergone a change in manager in April 2016 and since that change the Fund’s performance had met the Advisor’s expectations. Based upon their review, the Trustees concluded that the Fund’s performance had been addressed, and that the advisory fee was reasonable in light of the services received by the Fund and the other factors considered.

Touchstone High Yield Fund The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median and at the median, respectively, of its peer group. The Board noted that the Advisor was waiving a portion of the Fund’s fees and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 1^st quintile of the Fund’s peer group for the six-month period ended June 30, 2017, the Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the twelve-month period ended June 30, 2017, and the Fund’s performance was in the 4^th quintile of the Fund’s peer group for the thirty-six-month period ended June 30, 2017. The Board noted management’s discussion of the Fund’s performance, particularly in light of the current market environment, and management’s continued monitoring of the Fund’s performance. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and that the advisory fee was reasonable in light of the services received by the Fund and the other factors considered.

Touchstone Merger Arbitrage Fund The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were below the median and above the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 2^nd quintile of the Fund’s peer group for the six-month period ended June 30, 2017, the Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the twelve-month period ended June 30, 2017, and the Fund’s performance was in the 1^st quintile of the Fund’s peer group for the thirty-six-month period ended June 30, 2017. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and that the advisory fee was reasonable in light of the 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 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 and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 1^st quintile of the Fund’s peer group for the six-month period ended June 30, 2017, the Fund’s performance was in the 2^nd quintile of its peer group for the twelve-month period ended June 30, 2017, and the Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the thirty-six-month period ended June 30, 2017. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and that the advisory fee was reasonable in light of the services received by the Fund and the other factors considered.

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 of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the six- and twelve-month periods ended June 30, 2017, and the Fund’s performance was in the 1^st quintile of the Fund’s peer group for the thirty-six-month period ended June 30, 2017. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives

149

Other Items (Unaudited) (Continued)

and relevant indices, and that the advisory fee was reasonable in light of the 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 below the median and above the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 4^th quintile of the Fund’s peer group for the six-month period ended June 30, 2017, and the Fund’s performance was in the 5^th quintile of the Fund’s peer group for the twelve- and thirty-six-month periods ended June 30, 2017. The Board noted management’s discussion of the Fund’s performance, including its continuing generation of income for the Fund’s shareholders, and management’s continued monitoring of the Fund’s performance. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and that the advisory fee was reasonable in light of the 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 and reimbursements) were below the median and above the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 1^st quintile of the Fund’s peer group for the six-month period, the Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the twelve-month period and the Fund’s performance was in the 5^th quintile of the Fund’s peer group for the thirty-six-month period ended June 30, 2017.The Board noted management’s discussion of the Fund’s performance and management’s continued monitoring of the Fund’s performance. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and that the advisory fee was reasonable in light of the services received by the Fund and the other factors considered.

Touchstone Small Cap Fund The Fund’s advisory fee and total expense ratio (net of applicable expense waivers and reimbursements) were at the median and above the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 5^th quintile of the Fund’s peer group for the six-, twelve- and thirty-six-month periods ended June 30, 2017. The Board noted management’s discussion of the Fund’s performance, particularly in light of the current market environment, and management’s continued monitoring of the Fund’s performance. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and that the advisory fee was reasonable in light of the 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 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 and/or reimbursing operating expenses of the Fund. The Fund’s performance was in the 5^th quintile of the Fund’s peer group for the six-month period ended June 30, 2017, the Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the twelve-month period ended June 30, 2017, and the Fund’s performance was in the 4^th quintile of the Fund’s peer group for the thirty-six-month period ended June 30, 2017.The Board noted that the Fund had undergone a change in manager in July 2016 and since that change the Fund’s performance had met the Advisor’s expectations. Based upon their review, the Trustees concluded that the Fund’s performance had been addressed, and that the advisory fee was reasonable in light of the services received by the Fund and the other factors considered.

150

Other Items (Unaudited) (Continued)

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 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 and/or reimbursing a portion of the Fund’s operating expenses. The Fund’s performance was in the 3^rd quintile of the Fund’s peer group for the six-, twelve- and thirty-six-month periods ended June 30, 2017. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and that the advisory fee was reasonable in light of the 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 and reimbursements) were at the median and above the median, respectively, of its peer group. The Board noted that the Advisor was currently waiving a portion of the Fund’s fees and/or reimbursing operating expenses of the Fund. The Fund’s performance was in the 2^nd quintile of the Fund’s peer group for the six-, twelve- and thirty-six-month periods ended June 30, 2017. Based upon their review, the Trustees concluded that the Fund’s overall performance was satisfactory relative to the performance of funds with similar investment objectives and relevant indices, and also found that the advisory fee was reasonable in light of the 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. The Trustees 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 overall performance of each Fund is satisfactory relative to the performance of funds with similar investment objectives and relevant indices or, as discussed above, has been addressed; and (d) each Fund’s advisory fee is reasonable in light of the services received by the Fund from the Advisor and other factors considered. 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 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 comparable funds; and (4) the terms of the

151

Other Items (Unaudited) (Continued)

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 one of the Sub-Advisors 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, Profitability and Economies of Scale 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 undertaking 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 Active Bond Fund The Fund’s sub-advisory fee was above the median of its peer group. Based upon their review, the Trustees concluded that the sub-advisory fee was reasonable in light of the services received by the Fund from the Sub-Advisor and the other factors considered.

Touchstone Arbitrage 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 services received by the Fund from the Sub-Advisor and the other factors considered.

Touchstone Emerging Markets Small Cap 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 services received by the Fund from the Sub-Advisor and the other factors considered.

Touchstone High Yield Fund The Fund’s sub-advisory fee was above the median of its peer group. Based upon their review, the Trustees concluded that the sub-advisory fee was reasonable in light of the services received by the Fund from the Sub-Advisor and the other factors considered.

152

Other Items (Unaudited) (Continued)

Touchstone Merger Arbitrage 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 services received by the Fund from the Sub-Advisor 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 services received by the Fund from the Sub-Advisor 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 services received by the Fund from the Sub-Advisor 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 services received by the Fund from the Sub-Advisor 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 services received by the Fund from the Sub-Advisor and the other factors considered.

Touchstone Small 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 services received by the Fund from the Sub-Advisor and the other factors considered.

Touchstone Small 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 services received by the Fund from the Sub-Advisor and the other factors considered.

Touchstone Total Return Bond 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 services received by the Fund from the Sub-Advisor and other factors considered.

Touchstone Ultra Short Duration 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 services received by the Fund from the Sub-Advisor and the other factors considered.

As noted above, the Board considered each Fund’s performance during the six-month, twelve-month and thirty-six-month periods ended June 30, 2017, 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 also was mindful of the Advisor’s ongoing monitoring of each Sub-Advisor’s performance and the measures undertaken by the Advisor to address any 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 goals and policies; (b) the Sub-Advisor maintains an appropriate compliance program; (c) the overall performance of each Fund is satisfactory relative to the performance of funds with similar investment objectives and relevant indices or, as discussed above, has been addressed; (d) each Fund’s sub-advisory fees are reasonable in light of the services received by the Fund from the Sub-Advisor and the other factors considered; and (e) the Sub-Advisor’s investment strategies are appropriate for pursuing

153

Other Items (Unaudited) (Continued)

the investment goals 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.

154

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 Strategic Trust, Touchstone Variable Series Trust, Touchstone Institutional Funds Trust, Touchstone Securities, Inc.,* 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.

155

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, Massachusetts 01581

Shareholder Service

800.543.0407

* A Member of Western & Southern Financial Group

TSF-56-TFGT-SAR-1803

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 last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

Not applicable.

Item 13. 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.
(a)(4)	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         May 25, 2018

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         May 25, 2018

By (Signature and Title)*    /s/ Terrie A. Wiedenheft

Terrie A. Wiedenheft, Controller and Treasurer

(principal financial officer)

Date         May 25, 2018

^* Print the name and title of each signing officer under his or her signature