Commerce Funds 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 811-8598

The Commerce Funds

(Exact name of registrant as specified in charter)

922 Walnut St., Fourth Floor, Mail Code = TB4-1, Kansas City, Missouri 64106

(Address of principal executive offices) (Zip code)

Diana E. McCarthy, Esq.,

Drinker Biddle & Reath LLP

One Logan Square, Suite 2000

Philadelphia, PA 19103

(Name and address of agent for service)

Registrant’s telephone number, including area code:1-800-995-6365

Date of fiscal year end 10/31

Date of reporting period: 4/30/10

ITEM 1. REPORTS TO SHAREHOLDERS

The Semi-Annual Report to Shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1) is filed herewith.

The Commerce Funds	The Commerce Funds Semi-Annual Report April 30, 2010

For Your Life’s Direction

At The Commerce Funds, we’re committed to providing sound investment choices to help you realize your most important financial goals, no matter where life takes you.

We offer a full range of mutual funds managed by Commerce Investment Advisors, Inc., a subsidiary of Commerce Bank. With a choice of 8 portfolios—each targeting a specific investment goal—we make it easy for you to invest with confidence not just today, but throughout all the stages of your life.

Behind each of our Funds is a carefully defined investment philosophy and a commitment to the highest investment standards. This means, whether you are building a nest egg for retirement, planning for your child’s education, or saving for a special need, you can find investment options at The Commerce Funds.

In general, greater returns are associated with greater risks and increased risks create the potential for greater losses.

COMMERCE FUNDS

Table of Contents

Performance and Expense Ratio Information	2
Schedules of Investments
Growth	3
Value	5
MidCap Growth	8
Bond	10
Short-Term Government	18
National Tax-Free Intermediate Bond	22
Missouri Tax-Free Intermediate Bond	30
Kansas Tax-Free Intermediate Bond	37
Statements of Assets and Liabilities	42
Statements of Operations	44
Statements of Changes in Net Assets	46
Notes to Financial Statements	50
Financial Highlights	62
Other Information	70

Please note:

The information in this semi-annual report is as of April 30, 2010 and is unaudited. To view more recent information about each Commerce Fund’s performance and portfolio or to obtain a prospectus, please visit our website at www.commercefunds.com. This report is not authorized for distribution to prospective shareholders unless accompanied or preceded by a prospectus, which contains more complete information about the Commerce Funds’ investment policies, management and expenses. Investors should read the prospectus carefully before investing.

You may also receive Commerce Funds information by calling toll free 1-800-995-6365 or by writing to P.O. Box 219525, Kansas City, Missouri, 64121-9525, or you may contact your investment professional. The Commerce Funds publish performance and portfolio information for each Commerce Fund at the end of every calendar quarter. Investors should read the prospectus carefully before investing or sending money.

COMMERCE FUNDS

Performance and Expense Ratio Information

April 30, 2010 (Unaudited)

PERFORMANCE REVIEW
November 1, 2009 - April 30, 2010	Fund Total Return(a)		Index Total Return		Index
Equity Funds:
Growth	15.79	%	15.79	%	Russell 1000® Growth(b)
Value	16.02		17.77		Russell 1000® Value(c)
Mid Cap Growth	21.58		23.23		Russell Midcap® Growth(d)
Fixed Income Funds:
Bond	5.02		2.54		Barclays Capital U.S. Aggregate Bond(e)
Short-Term Government	2.12		1.09		Citigroup 1-5 Year Treasury/Government Sponsored(f)
National Tax-Free Intermediate Bond	3.23		3.34		Barclays Capital 3-15 Year Blend(g)
Missouri Tax-Free Intermediate Bond	2.41		3.34		Barclays Capital 3-15 Year Blend(g)
Kansas Tax-Free Intermediate Bond	1.96		3.34		Barclays Capital 3-15 Year Blend(g)

^(a) Returns assume expense reimbursements and are not annualized. Returns do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.

^(b) The Russell 1000® Growth Index, an unmanaged index, is a market capitalization weighted index of those 1,000 Russell companies with higher price-to-book ratios and higher forecasted growth values. The Index figures do not reflect the deduction of any fees, expenses or taxes.

^(c) The Russell 1000® Value Index is an unmanaged market capitalization weighted index of those 1,000 Russell companies with lower price-to-book ratios and lower forecasted growth values. The Index figures do not reflect the deduction of any fees, expenses or taxes.

^(d) The Russell Midcap® Growth Index, an unmanaged index, measures the performance of those Russell midcap companies with higher price-to-book ratios and higher forecasted growth values. The Index figures do not reflect the deduction of any fees, expenses or taxes.

^(e) The Barclays Capital U.S. Aggregate Bond Index is an unmanaged index comprised of the Barclays Capital Government Corporate Bond Index, Mortgage-Backed Securities Index and Asset-Backed Securities Index. The Index figures do not reflect the deduction of any fees, expenses or taxes.

^(f) The Citigroup 1-5 Year Treasury/Government Sponsored Index is an unmanaged index comprised of Treasury securities with a minimum principal amount of $1 billion and U.S. Government securities with a minimum principal amount of $100 million. The securities range in maturity from one to five years. The Index figures do not reflect the deduction of any fees, expenses or taxes.

^(g) The Barclays Capital 3-15 Year Blend Index is an unmanaged index composed of investment grade municipal securities ranging from 2 to 17 years in maturity. The Index figures do not reflect the deduction of any fees, expenses or taxes.

STANDARDIZED AVERAGE ANNUAL TOTAL RETURNS(h)
For the period ended 03/31/2010	One Year		Five Years		Ten Years		Since Inception		Inception Date
Equity Funds:
Growth	44.77	%	2.74	%	-2.55	%	6.73	%	12/12/94
Value	48.97		0.44		1.65		3.52		3/3/97
Mid Cap Growth	51.99		4.10		-2.12		6.73		12/12/94
Fixed Income Funds:
Bond	13.19		6.11		6.00		6.44		12/12/94
Short-Term Government	5.05		4.62		4.64		5.21		12/12/94
National Tax-Free Intermediate Bond	6.06		4.03		4.86		4.78		2/21/95
Missouri Tax-Free Intermediate Bond	4.87		3.92		4.69		4.64		2/21/95
Kansas Tax-Free Intermediate Bond	4.96		3.95		N/A		4.42		12/26/00

^(h) The Standardized Average Annual Total Returns are average annual total returns as of the most recent calendar quarter-end. They assume reinvestment of all distributions at NAV.

     These returns represent past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate and, therefore, an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the total return figures in the above charts.

     Returns assume fee waivers and expense reductions. Absent these waivers and reductions, returns would have been lower. Returns do not reflect the deduction of taxes that a shareholder would pay on capital gains or other taxable distributions or the redemption of Fund shares.

EXPENSE RATIOS(i)
	Net Expense Ratio (Current)		Gross Expense Ratio (Before Waivers)
Equity Funds:
Growth	1.13	%	1.22	%
Value	1.20		1.22
Mid Cap Growth	1.34		1.34
Fixed Income Funds:
Bond	0.82		0.82
Short-Term Government	0.68		0.94
National Tax-Free Intermediate Bond	0.70		0.86
Missouri Tax-Free Intermediate Bond	0.70		0.84
Kansas Tax-Free Intermediate Bond	0.70		0.94

⁽ⁱ⁾ The expense ratios of the Funds, both current (net of applicable fee waivers and/or expense limitations) and before waivers (gross of applicable fee waivers and/or expense limitations), are as set forth above according to the most recent publicly available Prospectus for the Funds and may differ from the expense ratios disclosed in the Financial Highlights in this report. Applicable waivers and expense limitations may be modified or terminated in the future, consistent with the terms of any arrangements in place. If this occurs, the expense ratios may change without shareholder approval.

2

COMMERCE GROWTH FUND

Schedule of Investments

April 30, 2010 (Unaudited)

Shares	Description	Value
Common Stocks – 99.9%
Consumer Durables – 1.2%
58,700	Leggett & Platt, Inc.	$    1,439,911
Consumer Non-Durables – 10.2%
16,100	Colgate-Palmolive Co.	1,354,010
9,100	Kimberly-Clark Corp.	557,466
56,200	PepsiCo, Inc.	3,665,364
12,000	Philip Morris International, Inc.	588,960
13,300	Phillips-Van Heusen Corp.	838,033
16,400	Polo Ralph Lauren Corp.	1,474,360
19,600	Procter & Gamble Co.	1,218,336
19,500	The Clorox Co.	1,261,650
16,700	The Coca-Cola Co.	892,615
		11,850,794
Consumer Services – 6.0%
28,000	DISH Network Corp.	620,200
28,900	Expedia, Inc.	682,329
6,900	ITT Educational Services, Inc.*	697,797
5,100	McDonald’s Corp.	360,009
16,600	Panera Bread Co.*	1,293,804
61,700	Starbucks Corp.	1,602,966
28,800	The Walt Disney Co.	1,060,992
25,500	Weight Watchers International, Inc.	677,535
		6,995,632
Distribution Services – 1.6%
16,400	W.W. Grainger, Inc.	1,812,856
Electronic Technology – 21.3%
16,900	Apple Computer, Inc.*	4,412,928
154,700	Cisco Systems, Inc.*	4,164,524
16,000	CommScope, Inc.*	521,280
78,800	Corning, Inc.	1,516,900
65,200	Hewlett-Packard Co.	3,388,444
65,700	Intel Corp.	1,499,931
50,600	Linear Technology Corp.	1,521,036
11,600	Lockheed Martin Corp.	984,724
68,400	Marvell Technology Group Ltd.*	1,412,460
62,000	QLogic Corp.*	1,200,940
96,000	Texas Instruments, Inc.	2,496,960
40,300	Western Digital Corp.*	1,655,927
		24,776,054
Energy Minerals – 2.5%
13,100	Exxon Mobil Corp.	888,835
22,200	Occidental Petroleum Corp.	1,968,252
		2,857,087
Finance – 3.6%
46,400	Morgan Stanley & Co.	1,402,208
15,300	Northern Trust Corp.	841,194
15,800	Prudential Financial, Inc.	1,004,248
51,400	The Charles Schwab Corp.	991,506
		4,239,156

Shares	Description	Value
Common Stocks – (continued)
Health Services* – 2.9%
28,500	Lincare Holdings, Inc.	$    1,330,665
35,000	Medco Health Solutions, Inc.	2,062,200
		3,392,865
Health Technology – 14.9%
13,000	Abbott Laboratories	665,080
27,100	Allergan, Inc.	1,725,999
36,400	Amgen, Inc.*	2,087,904
20,700	Becton, Dickinson & Co.	1,580,859
19,600	C. R. Bard, Inc.	1,695,988
49,700	Eli Lilly & Co.	1,738,009
48,700	Gilead Sciences, Inc.*	1,931,929
33,000	Johnson & Johnson	2,121,900
26,200	Medtronic, Inc.	1,144,678
15,500	Stryker Corp.	890,320
38,000	Valeant Pharmaceuticals International*	1,710,000
		17,292,666
Industrial Services – 2.2%
8,900	Diamond Offshore Drilling, Inc.	703,990
26,100	Schlumberger Ltd.	1,864,062
		2,568,052
Non-Energy Minerals – 1.4%
21,000	Freeport-McMoRan Copper & Gold, Inc.	1,586,130
Process Industries – 4.3%
16,800	Ball Corp.	893,928
24,800	Crown Holdings, Inc.*	644,800
38,200	E. I. du Pont de Nemours and Co.	1,521,888
21,700	The Lubrizol Corp.	1,960,378
		5,020,994
Producer Manufacturing – 4.2%
35,800	Illinois Tool Works, Inc.	1,829,380
40,600	United Technologies Corp.	3,042,970
		4,872,350
Retail Trade – 4.5%
8,100	AutoZone, Inc.*	1,498,581
82,900	Chico’s FAS, Inc.	1,234,381
22,600	Dick’s Sporting Goods, Inc.*	657,886
34,800	Wal-Mart Stores, Inc.	1,867,020
		5,257,868
Technology Services – 17.5%
26,700	Adobe Systems, Inc.*	896,853
25,800	BMC Software, Inc.*	1,015,488
7,400	Google, Inc.*	3,888,256
20,400	Hewitt Associates, Inc.*	836,196
39,100	International Business Machines Corp.	5,043,900
170,900	Microsoft Corp.	5,219,286
135,000	Oracle Corp.	3,488,400
		20,388,379

The accompanying notes are an integral part of these financial statements. 3

COMMERCE GROWTH FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Shares	Description	Value
Common Stocks – (continued)
Transportation – 1.6%
11,900	CSX Corp.	$       666,995
15,500	Union Pacific Corp.	1,172,730
		1,839,725
TOTAL COMMON STOCKS
(Cost $104,716,505)		$116,190,519

Principal Amount	Interest Rate		Maturity Date	Value
Short-term Investment(a) – 0.1%
Repurchase Agreement – 0.1%
State Street Bank & Trust Co.
$141,000	0.010	%	05/03/10	$      141,000
Maturity Value: $141,000
(Cost $141,000)
TOTAL INVESTMENTS – 100.0%
(Cost $104,857,505)				$116,331,519
LIABILITIES IN EXCESS OF OTHER ASSETS – (0.0)%				(42,079)
NET ASSETS – 100.0%				$116,289,440

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
*	Non-income producing security.
(a)	Repurchase agreement was entered into on April 30, 2010. This agreement was fully collateralized by $145,000 U.S. Treasury Bill, 0.000%, due 09/09/10 with a market value of $144,899.

PORTFOLIO COMPOSITION

	AS OF 04/30/10		AS OF 10/31/09
Electronic Technology	21.3	%	19.6	%
Technology Services	17.5		18.6
Health Technology	14.9		11.3
Consumer Non-Durables	10.2		9.1
Consumer Services	6.0		4.9
Retail Trade	4.5		6.9
Process Industries	4.3		3.4
Producer Manufacturing	4.2		4.8
Finance	3.6		7.0
Health Services	2.9		3.3
Energy Minerals	2.5		3.9
Industrial Services	2.2		1.5
Transportation	1.6		0.6
Distribution Services	1.6		1.4
Non-Energy Minerals	1.4		1.4
Consumer Durables	1.2		—
Utilities	—		0.9
Commercial Services	—		0.2
Short-term Investment	0.1		1.3
TOTAL INVESTMENTS	100.0	%	100.1	%

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.

The Fund is actively managed and, as such, its composition may differ over time.

4 The accompanying notes are an integral part of these financial statements.

COMMERCE VALUE FUND

Schedule of Investments

April 30, 2010 (Unaudited)

Shares	Description	Value
Common Stocks – 97.3%
Commercial Services – 0.8%
11,000	Corrections Corp. of America*	$     227,920
14,000	R.R. Donnelley & Sons Co.	300,860
		528,780
Communications – 5.5%
76,000	AT&T, Inc.	1,980,560
45,000	Frontier Communications Corp.	358,200
42,500	Verizon Communications, Inc.	1,227,825
		3,566,585
Consumer Durables – 1.0%
35,000	Ford Motor Co.*	455,700
10,000	Newell Rubbermaid, Inc.	170,700
		626,400
Consumer Non-Durables – 6.1%
13,000	Constellation Brands, Inc.*	237,510
7,500	General Mills, Inc.	533,850
15,750	Kraft Foods, Inc.	466,200
10,000	Molson Coors Brewing Co. Class B	443,600
16,500	Procter & Gamble Co.	1,025,640
10,500	Reynolds American, Inc.	560,910
14,000	Sara Lee Corp.	199,080
11,500	Smithfield Foods, Inc.*	215,510
16,500	Tyson Foods, Inc.	323,235
		4,005,535
Consumer Services – 6.3%
10,000	Cablevision Systems Corp.	274,400
16,000	CBS Corp. Class B	259,360
18,000	Comcast Corp.	355,320
12,500	DIRECTV*	452,875
9,500	eBay, Inc.*	226,195
3,000	McDonald’s Corp.	211,770
16,500	News Corp.	254,430
25,000	The Walt Disney Co.	921,000
4,000	Time Warner Cable, Inc.	225,000
15,000	Time Warner, Inc.	496,200
7,000	Viacom, Inc. Class B*	247,310
2,500	Wynn Resorts Ltd.	220,600
		4,144,460
Distribution Services* – 0.8%
7,500	Arrow Electronics, Inc.	228,750
15,000	Ingram Micro, Inc.	272,400
		501,150
Electronic Technology – 5.2%
4,500	Boeing Co.	325,935
4,000	General Dynamics Corp.	305,440
8,000	Hewlett-Packard Co.	415,760
25,000	Intel Corp.	570,750
10,000	Jabil Circuit, Inc.	153,200
3,000	Lockheed Martin Corp.	254,670
17,500	Micron Technology, Inc.*	163,625

Shares	Description	Value
Common Stocks – (continued)
Electronic Technology – (continued)
27,000	Motorola, Inc.*	$     190,890
11,000	QLogic Corp.*	213,070
5,000	Raytheon Co.	291,500
8,500	SanDisk Corp.*	339,065
15,000	Vishay Intertechnology, Inc.*	156,150
		3,380,055
Energy Minerals – 14.7%
5,000	Anadarko Petroleum Corp.	310,800
3,500	Apache Corp.	356,160
10,000	Chesapeake Energy Corp.	238,000
28,000	ChevronTexaco Corp.	2,280,320
18,000	ConocoPhillips	1,065,420
8,000	Devon Energy Corp.	538,640
4,000	EOG Resources, Inc.	448,480
48,500	Exxon Mobil Corp.	3,290,725
11,000	Marathon Oil Corp.	353,650
8,000	Occidental Petroleum Corp.	709,280
		9,591,475
Finance – 24.3%
7,500	Allied World Assurance Co. Holdings Ltd.	326,775
10,000	American Express Co.	461,200
9,000	Ameriprise Financial, Inc.	417,240
17,000	Annaly Capital Management, Inc.	288,150
5,000	Assurant, Inc.	182,150
110,000	Bank of America Corp.	1,961,300
4,500	Bank of Hawaii Corp.	237,960
10,000	Bank of New York Mellon Corp.	311,300
1,000	BlackRock, Inc.	184,000
6,000	Capital One Financial Corp.	260,460
750	CME Group, Inc.	246,308
6,000	CNA Financial Corp.*	168,720
10,500	Discover Financial Services	162,330
17,000	Fifth Third Bancorp	253,470
7,250	HCP, Inc.	232,870
44,000	JPMorgan Chase & Co.	1,873,520
5,000	Lincoln National Corp.	152,950
6,000	Loews Corp.	223,440
2,000	M&T Bank Corp.	174,700
6,500	MetLife, Inc.	296,270
18,000	Morgan Stanley & Co.	543,960
7,000	NYSE Euronext	228,410
6,500	PNC Financial Services Group, Inc.	436,865
13,000	ProLogis	171,210
3,500	Prudential Financial, Inc.	222,460
7,000	Raymond James Financial, Inc.	214,480
5,500	Reinsurance Group of America, Inc.	283,965
2,515	Simon Property Group, Inc.	223,885
2,750	SL Green Realty Corp.	170,968
3,500	StanCorp Financial Group, Inc.	157,360
4,000	State Street Corp.	174,000
5,000	The Allstate Corp.	163,350
7,500	The Chubb Corp.	396,525
10,000	The Hartford Financial Services Group, Inc.	285,700
11,000	The Progressive Corp.	220,990

The accompanying notes are an integral part of these financial statements. 5

COMMERCE VALUE FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Shares	Description	Value
Common Stocks – (continued)
Finance – (continued)
11,000	The Travelers Cos., Inc.	$     558,140
3,500	Transatlantic Holdings, Inc.	174,055
26,500	U.S. Bancorp.	709,405
8,000	Unum Group	195,760
2,509	Vornado Realty Trust	209,175
47,000	Wells Fargo & Co.	1,556,170
9,000	XL Capital Ltd.	160,200
		15,872,146
Health Services* – 0.7%
8,500	WellPoint, Inc.	457,300
Health Technology – 5.4%
12,500	CareFusion Corp.*	344,750
10,000	Hill-Rom Holdings, Inc.	317,100
7,000	Johnson & Johnson	450,100
21,000	Merck & Co., Inc.	735,840
100,000	Pfizer, Inc.	1,671,992
		3,519,782
Industrial Services – 2.2%
8,000	Halliburton Co.	245,200
7,000	National-Oilwell Varco, Inc.	308,210
8,500	Schlumberger Ltd.	607,070
12,500	The Williams Cos., Inc.	295,125
		1,455,605
Non-Energy Minerals – 2.3%
16,500	Alcoa, Inc.	221,760
2,250	Freeport-McMoRan Copper & Gold, Inc.	169,942
11,000	Nucor Corp.	498,520
7,000	Owens Corning, Inc.*	243,460
4,500	Reliance Steel & Aluminum Co.	219,645
11,000	Steel Dynamics, Inc.	172,810
		1,526,137
Process Industries – 4.0%
6,000	Air Products & Chemicals, Inc.	460,680
7,500	Archer-Daniels-Midland Co.	209,550
7,250	Cabot Corp.	235,915
11,500	E. I. du Pont de Nemours and Co.	458,160
6,000	International Paper Co.	160,440
1,750	Lubrizol Corp.	158,095
6,500	MeadWestvaco Corp.	176,605
9,500	Sonoco Products Co.	314,735
14,500	The Dow Chemical Co.	447,035
		2,621,215
Producer Manufacturing – 7.1%
6,500	Carlisle Cos., Inc.	245,245
3,900	Caterpillar, Inc.	265,551
3,000	Cummins, Inc.	216,690
3,000	Eaton Corp.	231,480
120,000	General Electric Co.	2,263,200
11,500	Illinois Tool Works, Inc.	587,650

Shares	Description	Value
Common Stocks – (continued)
Producer Manufacturing – (continued)
15,000	Masco Corp.	$     243,450
5,000	Parker Hannifin Corp.	345,900
7,500	The Timken Co.	263,850
		4,663,016
Retail Trade – 2.5%
7,000	CVS Caremark Corp.	258,510
4,500	Kohl’s Corp.*	247,455
7,000	Lowe’s Cos., Inc.	189,840
8,000	Macy’s, Inc.	185,600
10,500	The Gap, Inc.	259,665
14,000	The Home Depot, Inc.	493,500
		1,634,570
Technology Services – 2.2%
20,000	AOL, Inc.*	467,200
8,000	BMC Software, Inc.*	314,880
7,000	CA, Inc.	159,670
10,000	Computer Sciences Corp.*	523,900
		1,465,650
Transportation – 1.4%
4,500	CSX Corp.	252,225
4,000	FedEx Corp.	360,040
4,500	Norfolk Southern Corp.	266,985
		879,250
Utilities – 4.8%
8,000	Alliant Energy Corp.	273,600
7,500	DTE Energy Co.	361,275
26,500	Duke Energy Corp.	444,670
10,000	Edison International	343,700
6,000	Exelon Corp.	261,540
6,500	PG&E Corp.	284,700
6,000	Progress Energy, Inc.	239,520
4,500	Questar Corp.	215,775
13,000	The Southern Co.	449,280
13,000	Xcel Energy, Inc.	282,750
		3,156,810
TOTAL COMMON STOCKS
(Cost $58,916,418)		$63,595,921
Exchange Traded Fund – 1.9%
20,000	iShares Russell 1000 Value Index Fund
(Cost $1,184,123)		$  1,253,200

6 The accompanying notes are an integral part of these financial statements.

COMMERCE VALUE FUND

Principal Amount	Interest Rate	Maturity Date	Value
Short-term Investment(a) – 0.8%
Repurchase Agreement – 0.8%
State Street Bank & Trust Co.
$505,000	0.010%	05/03/10	$	505,000
Maturity Value: $505,000
(Cost $505,000)
TOTAL INVESTMENTS – 100.0%
(Cost $60,605,541)			$	65,354,121
LIABILITIES IN EXCESS OF OTHER ASSETS – (0.0)%				(27,011)
NET ASSETS – 100.0%			$	65,327,110

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
*	Non-income producing security.
(a)	Repurchase agreement was entered into on April 30, 2010. This agreement was fully collateralized by $520,000 U.S. Treasury Bill, 0.000%, due 09/09/10 with a market value of $519,636.

PORTFOLIO COMPOSITION

	AS OF 4/30/10		AS OF 10/31/09
Finance	24.3	%	22.0	%
Energy Minerals	14.7		15.0
Producer Manufacturing	7.1		5.7
Consumer Services	6.3		6.3
Consumer Non-Durables	6.1		5.4
Communications	5.5		5.6
Health Technology	5.4		6.8
Electronic Technology	5.2		4.4
Utilities	4.8		5.3
Process Industries	4.0		3.1
Retail Trade	2.5		2.4
Non-Energy Minerals	2.3		1.8
Technology Services	2.2		1.9
Industrial Services	2.2		2.4
Exchange Traded Fund	1.9		1.9
Transportation	1.4		1.1
Consumer Durables	1.0		0.7
Commercial Services	0.8		1.2
Distribution Services	0.8		0.4
Health Services	0.7		1.4
Short-term Investment	0.8		2.3
TOTAL INVESTMENTS	100.0	%	97.1	%

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets. Underlying investment categories of exchange traded funds (“ETFs”) held by the Fund are not reflected in the table above. Consequently, the Fund’s overall investment category allocations may differ from the percentages contained in the table above.

The Fund is actively managed and, as such, its composition may differ over time.

The accompanying notes are an integral part of these financial statements. 7

COMMERCE MIDCAP GROWTH FUND

Schedule of Investments

April 30, 2010 (Unaudited)

Shares	Description	Value
Common Stocks – 98.3%
Commercial Services – 4.4%
8,600	Dun & Bradstreet Corp.	$     661,942
4,900	FactSet Research Systems, Inc.	368,578
6,000	Lender Processing Services, Inc.	226,500
11,500	Manpower, Inc.	645,150
8,800	The Brink’s Co.	234,344
8,200	The McGraw-Hill Cos., Inc.	276,504
		2,413,018
Communications – 1.3%
21,646	CenturyTel, Inc.	738,345
Consumer Durables – 2.2%
33,100	Newell Rubbermaid, Inc.	565,017
10,500	Stanley Black & Decker, Inc.	652,575
		1,217,592
Consumer Non-Durables – 6.0%
12,700	Coach, Inc.	530,225
11,500	Guess?, Inc.	527,505
4,100	Polo Ralph Lauren Corp.	368,590
38,800	Sara Lee Corp.	551,736
27,400	Smithfield Foods, Inc.*	513,476
12,600	The Clorox Co.	815,220
		3,306,752
Consumer Services – 7.6%
5,200	Apollo Group, Inc.*	298,532
5,100	Chipotle Mexican Grill, Inc. Class A*	688,041
15,200	DISH Network Corp.	336,680
24,900	Education Management Corp.*	543,567
16,300	Expedia, Inc.	384,843
28,900	Marriott International, Inc.	1,062,364
1,700	Priceline.com, Inc.*	445,485
15,900	Weight Watchers International, Inc.	422,463
		4,181,975
Distribution Services* – 1.2%
9,900	Arrow Electronics, Inc.	301,950
11,100	Avnet, Inc.	354,867
		656,817
Electronic Technology – 12.8%
8,000	Harris Corp.	411,840
26,600	Jabil Circuit, Inc.	407,512
26,200	Juniper Networks, Inc.*	744,342
31,400	Linear Technology Corp.	943,884
24,700	Marvell Technology Group Ltd.*	510,055
18,800	NVIDIA Corp.*	295,536
32,400	ON Semiconductor Corp.*	257,256
5,100	Precision Castparts Corp.	654,534
25,000	SanDisk Corp.*	997,250
17,500	Seagate Technology	321,475
11,300	Western Digital Corp.*	464,317
29,500	Xilinx, Inc.	760,510
9,500	Zebra Technologies Corp.*	275,975
		7,044,486

Shares	Description	Value
Common Stocks – (continued)
Energy Minerals – 1.2%
5,300	CONSOL Energy, Inc.	$     236,804
9,800	St. Mary Land & Exploration Co.	394,352
		631,156
Finance – 8.2%
16,500	AmeriCredit Corp.*	395,010
10,695	Eaton Vance Corp.	376,892
8,800	Endurance Specialty Holdings Ltd.	324,280
18,300	Genworth Financial, Inc.*	302,316
7,200	Health Care REIT, Inc.	323,496
4,200	IntercontinentalExchange, Inc.*	489,846
11,800	Jefferies Group, Inc.	321,196
10,200	Lincoln National Corp.	312,018
10,600	Principal Financial Group, Inc.	309,732
18,800	T. Rowe Price Group, Inc.	1,081,188
14,500	TD Ameritrade Holding Corp.*	290,290
		4,526,264
Health Services* – 4.8%
10,380	Cerner Corp.	881,365
11,000	Laboratory Corporation of America Holdings	864,270
10,500	Lincare Holdings, Inc.	490,245
6,592	Stericycle, Inc.	388,269
		2,624,149
Health Technology – 8.7%
6,540	Allergan, Inc.	416,533
11,080	C. R. Bard, Inc.	958,752
9,300	Cephalon, Inc.*	597,060
7,200	Charles River Laboratories International, Inc.*	241,056
15,500	DENTSPLY International, Inc.	567,920
18,100	Hill-Rom Holdings, Inc.	573,951
5,200	Life Technologies Corp.*	284,492
13,300	Valeant Pharmaceuticals International*	598,500
9,900	Varian Medical Systems, Inc.*	558,162
		4,796,426
Industrial Services* – 2.7%
22,800	Dresser-Rand Group, Inc.	804,384
5,000	FMC Technologies, Inc.	338,450
7,086	Jacobs Engineering Group, Inc.	341,687
		1,484,521
Process Industries – 5.7%
30,400	Crown Holdings, Inc.*	790,400
13,400	Nalco Holding Co.	331,382
10,400	PPG Industries, Inc.	731,848
15,336	Sigma-Aldrich Corp.	909,425
3,800	The Lubrizol Corp.	343,292
		3,106,347
Producer Manufacturing – 6.2%
9,000	Avery Dennison Corp.	351,270
11,100	Carlisle Cos., Inc.	418,803
5,700	Dover Corp.	297,654

8 The accompanying notes are an integral part of these financial statements.

COMMERCE MIDCAP GROWTH FUND

Shares	Description	Value
Common Stocks – (continued)
Producer Manufacturing – (continued)
8,400	Joy Global, Inc.	$     477,204
5,800	Lincoln Electric Holdings, Inc.	347,652
18,200	Masco Corp.	295,386
10,550	Parker Hannifin Corp.	729,849
15,600	TRW Automotive Holdings Corp.*	502,476
		3,420,294
Retail Trade – 9.5%
4,500	AutoZone, Inc.*	832,545
21,900	Chico’s FAS, Inc.	326,091
22,400	Foot Locker, Inc.	343,840
7,800	Netflix, Inc.*	770,406
15,760	Nordstrom, Inc.	651,361
12,000	PetSmart, Inc.	396,840
5,700	Ross Stores, Inc.	319,200
24,300	The TJX Cos., Inc.	1,126,062
9,100	Tiffany & Co.	441,168
		5,207,513
Technology Services – 11.7%
11,600	Akamai Technologies, Inc.*	450,428
22,700	BMC Software, Inc.*	893,472
18,800	Broadridge Financial Solutions, Inc.	447,628
22,500	CA, Inc.	513,225
12,000	Cognizant Technology Solutions Corp.*	614,160
16,100	Hewitt Associates, Inc.*	659,939
19,200	McAfee, Inc.*	667,200
15,500	MICROS Systems, Inc.*	575,980
14,400	Red Hat, Inc.*	430,128
9,200	Sohu.com, Inc.*	442,980
9,400	Sybase, Inc.*	407,772
10,200	Teradata Corp.*	296,514
		6,399,426
Transportation – 2.1%
11,000	Con-way, Inc.	427,240
3,900	Expeditors International of Washington, Inc.	158,886
14,500	Kansas City Southern*	587,975
		1,174,101
Utilities – 2.0%
35,300	CenterPoint Energy, Inc.	506,908
8,800	Constellation Energy Group, Inc.	311,080
22,700	The AES Corp.*	261,958
		1,079,946
TOTAL COMMON STOCKS
(Cost $44,533,434)		$54,009,128

Principal Amount	Interest Rate		Maturity Date	Value
Short-term Investment(a) – 1.9%
Repurchase Agreement – 1.9%
State Street Bank & Trust Co.
$1,023,000	0.010	%	05/03/10	$  1,023,000
Maturity Value: $1,023,001
(Cost $1,023,000)
TOTAL INVESTMENTS – 100.2%
(Cost $45,556,434)				$55,032,128
LIABILITIES IN EXCESS OF OTHER ASSETS – (0.2)%				(101,568)
NET ASSETS – 100.0%				$54,930,560

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
*	Non-income producing security.
(a)	Repurchase agreement was entered into on April 30, 2010. This agreement was fully collateralized by $1,045,000 U.S. Treasury Bill, 0.000%, due 09/09/10 with a market value of $1,044,269.

Investment Abbreviation:
REIT	—Real Estate Investment Trust

PORTFOLIO COMPOSITION

	AS OF 4/30/10		AS OF 10/31/09
Electronic Technology	12.8	%	13.3	%
Technology Services	11.7		11.0
Retail Trade	9.5		9.7
Health Technology	8.7		7.7
Finance	8.2		6.9
Consumer Services	7.6		7.8
Producer Manufacturing	6.2		6.9
Consumer Non-Durables	6.0		5.7
Process Industries	5.7		6.2
Health Services	4.8		4.2
Commercial Services	4.4		4.5
Industrial Services	2.7		3.7
Consumer Durables	2.2		2.2
Transportation	2.1		1.0
Utilities	2.0		2.4
Communications	1.3		2.2
Distribution Services	1.2		1.1
Energy Minerals	1.2		2.1
Non-Energy Minerals	—		0.5
Short-term Investment	1.9		—
TOTAL INVESTMENTS	100.2	%	99.1	%

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.

The Fund is actively managed and, as such, its composition may differ over time.

The accompanying notes are an integral part of these financial statements. 9

COMMERCE BOND FUND

Schedule of Investments

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Asset-Backed Securities – 11.5%
Auto(a) – 1.7%
Citifinancial Auto Issuance Trust Series 2009-1, Class A2
$  5,500,000	1.830	%	11/15/12	$    5,523,468
Hertz Vehicle Financing LLC Series 2005-1A, Class A5
4,770,000	5.080		11/25/11	4,832,057
				10,355,525
Commercial – 1.9%
ACLC Business Loan Receivables Trust Series 2002-1A, Class A2(a)
534,636	7.462		12/15/22	441,580
LB-UBS Commercial Mortgage Trust Series 2002-C1, Class A4
6,500,000	6.462		03/15/31	6,933,183
Small Business Administration Series 2006-P10B, Class 1
3,467,097	5.681		08/10/16	3,731,658
				11,106,421
Credit Card – 1.9%
Bank of America Credit Card Trust Series 2007-A12, Class A12(b)
2,100,000	0.454		01/15/13	2,100,433
Cabela’s Master Credit Card Trust Series 2005-1A, Class A1(a)
5,000,000	4.970		10/15/13	5,093,094
Citibank Credit Card Issuance Trust Series 2004, Class A8
3,600,000	4.900		12/12/16	3,941,634
				11,135,161
Equipment(a) – 0.2%
CIT Equipment Collateral Series 2010-VT1A, Class A2
1,400,000	1.510		05/15/12	1,398,339
Home Equity – 3.8%
Carrington Mortgage Loan Trust Series 2006-NC5, Class A1(b)
1,176,809	0.313		01/25/37	1,127,730
Chase Funding Mortgage Loan Asset-Backed Certificates Series 2002-3, Class 1A5
3,185,995	5.407		06/25/32	2,724,253
Countrywide Asset-Backed Certificates Series 2007-QH1, Class A1(a)(b)
1,401,016	0.463		02/25/37	1,040,012
Equifirst Mortgage Loan Trust Series 2003-2, Class 2A2
1,208,363	3.750		09/25/33	1,114,683
Equity One ABS, Inc. Series 2004-2, Class AF5
450,000	5.199		07/25/34	416,684
Lehman XS Trust Series 2005-1, Class 1A4(b)
1,175,168	0.603		07/25/35	742,816
Renaissance Home Equity Loan Trust Series 2005-3, Class AF3
844,249	4.814		11/25/35	829,135
Renaissance Home Equity Loan Trust Series 2005-3, Class AF4
1,125,000	5.140		11/25/35	949,906
Residential Asset Mortgage Products, Inc. Series 2003-RZ3, Class A6
2,827,345	3.400		03/25/33	2,665,597
Residential Asset Mortgage Products, Inc. Series 2003-RZ4, Class A6
4,000,000	5.490		10/25/33	3,008,001

Principal Amount	Interest Rate		Maturity Date	Value
Asset-Backed Securities – (continued)
Home Equity – (continued)
Residential Funding Mortgage Securities I, Inc. Series 2000-HI2, Class AI5
$  1,055,418	8.850	%	03/25/25	$    1,035,093
Residential Funding Mortgage Securities I, Inc. Series 2000-HI4, Class AI7
1,086,448	8.480		09/25/30	866,733
Residential Funding Mortgage Securities II, Inc. Series 2003-HS3, Class AI3
641,754	4.470		07/25/18	621,473
SACO I Trust Series 2005-7 Class A(b)
432,485	0.823		09/25/35	284,762
Soundview Home Equity Loan Trust Series 2006-EQ1, Class A2(b)
524,885	0.373		10/25/36	509,361
Southern Pacific Secured Asset Corp. Series 1998-2, Class A7
4,374,600	6.740		07/25/29	2,070,390
Structured Asset Securities Corp. Series 2005-9XS, Class 1A3A
2,849,030	5.250		06/25/35	2,291,702
Wells Fargo Home Equity Trust Series 2004-2, Class AI5(b)
700,000	4.890		05/25/34	694,105
				22,992,436
Manufactured Housing – 1.5%
Green Tree Financial Corp. Series 1993-4, Class A5
2,181,974	7.050		01/15/19	2,217,798
Green Tree Financial Corp. Series 1995-5, Class M1(b)
967,632	7.650		09/15/26	985,888
Green Tree Financial Corp. Series 1996-4, Class A7(b)
1,273,911	7.900		06/15/27	1,303,727
Green Tree Financial Corp. Series 1996-6, Class A6
331,273	7.950		09/15/27	339,507
Green Tree Financial Corp. Series 1997-3, Class A6
93,291	7.320		03/15/28	95,668
Green Tree Financial Corp. Series 1998-3, Class A5
806,730	6.220		03/01/30	798,700
Green Tree Financial Corp. Series 1998-3, Class A6(b)
555,353	6.760		03/01/30	561,309
Green Tree Financial Corp. Series 1999-1, Class M2(b)
247,920	7.340		11/01/28	7,154
Lehman Manufactured Housing Contract Series 2001-B, Class A3
491,018	4.350		05/15/14	487,486
Mid-State Trust Series 11, Class A1
387,547	4.864		07/15/38	365,935
Oakwood Mortgage Investors, Inc. Series 1996-C, Class A6
2,177,873	7.650		04/15/27	2,127,006
				9,290,178

10 The accompanying notes are an integral part of these financial statements.

COMMERCE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Asset-Backed Securities – (continued)
Student Loans(b) – 0.5%
Brazos Higher Education Authority, Inc. Student Loan RB Taxable Series 2005, Class A-5 (Guaranteed Student Loans)(c)
$     857,727	0.970	%	12/01/40	$       840,573
Northstar Education Finance, Inc. Series 2005-1, Class A5
2,358,000	1.074		10/30/45	2,181,150
				3,021,723
TOTAL ASSET-BACKED SECURITIES
(Cost $69,214,373)				$69,299,783
Taxable Municipal Bond Obligations – 7.1%
Alabama – 0.2%
Montgomery Alabama Taxable GO Warrants Series 2005 (FSA)
$     1,295,000	4.790	%	04/01/15	$    1,364,878
Alaska – 0.2%
Providence Alaska Health System Direct Obligation Series 2005
755,000	4.680		10/01/10	764,996
500,000	4.790		10/01/11	517,890
				1,282,886
California – 0.5%
Industry California Sales Tax RB Taxable Series 2005 (MBIA)
3,045,000	5.000		01/01/13	3,086,321
Florida – 0.3%
Inland Protection Financing Corp. Florida RB Build America Bonds Series 2010
2,000,000	4.700		07/01/19	1,998,400
Illinois – 0.4%
Will County Community Consolidated School District No. 30-C Troy Township Taxable GO Series 2007 (FSA)
1,100,000	5.650		10/01/18	1,171,038
Will County Illinois Forest Preservation District GO Bonds Build America Bonds Direct Payment Series 2009
1,000,000	5.700		12/15/27	1,009,920
				2,180,958
Indiana – 0.9%
Indiana Bond Bank RB Taxable School Severance Funding Series 2006-11 (XLCA)
2,715,000	5.500		07/15/11	2,878,470
2,190,000	5.650		07/15/13	2,439,704
				5,318,174
Maryland – 0.2%
Baltimore County Maryland GO Bonds Build America Bonds Consolidated Public Improvement Series 2009 B
1,000,000	5.000		11/01/23	1,009,780

Principal Amount	Interest Rate		Maturity Date	Value
Taxable Municipal Bond Obligations – (continued)
Massachusetts – 0.5%
University of Massachusetts Building Authority RB Refunding Taxable Series 2006-2 (AMBAC)
$     255,000	5.360	%	05/01/11	$       265,294
2,485,000	5.430		05/01/12	2,651,893
				2,917,187
Missouri – 1.5%
Missouri Joint Municipal Electric Utility Commission Power Project RB Build America Bonds Series 2009
2,000,000	5.078		01/01/17	2,005,240
Missouri Joint Municipal Electric Utility Commission Power Project RB Taxable Series 2009 B
1,570,000	4.693		01/01/16	1,568,603
Missouri State Highways & Transit Commission State Road RB Build America Bonds Series 2010
2,800,000	4.820		05/01/23	2,818,816
New Liberty Hospital District RB Build America Bonds Series 2010 B
1,345,000	5.704		12/01/19	1,360,158
St. Louis Package RB Series 2006 B (MBIA)
1,560,000	5.020		12/15/12	1,629,732
				9,382,549
New Jersey – 0.2%
New Jersey Economic Development Authority RB Taxable Designated Industry Series 2004-A
1,000,000	5.200		03/01/14	1,059,540
New York – 0.7%
New York State Housing Finance Agency Personal Income Tax RB Taxable Economic Development & Housing Series 2006 B
3,925,000	5.220		09/15/15	4,186,954
Ohio – 0.3%
Ohio State GO Build America Bonds Taxable Conservation Project Direct Payment Series 2009 C
1,960,000	4.471		03/01/19	1,961,450
Oklahoma – 0.4%
Oklahoma State Capital Improvement Authority RB Taxable Oklahoma State Regents Series 2006 (MBIA)
2,000,000	5.160		07/01/13	2,141,520
Oregon – 0.1%
Multnomah County Oregon School District 1J Portland GO Bonds Refunding Taxable Series 2004
785,000	5.165		06/15/11	818,441
Rhode Island – 0.5%
Providence Rhode Island GO Bonds Refunding Taxable Series 2004 B (FSA)
710,000	4.960		07/15/14	736,874
Rhode Island Convention Center Authority RB Taxable Civic Center Series 2006 A (FSA)
2,155,000	5.810		05/15/16	2,278,115
				3,014,989

The accompanying notes are an integral part of these financial statements. 11

COMMERCE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Taxable Municipal Bond Obligations – (continued)
South Carolina – 0.2%
South Carolina State Public Service Authority RB Santee Cooper Taxable Series 2008 B
$  1,150,000	7.308	%	01/01/14	$    1,319,395
TOTAL TAXABLE MUNICIPAL BOND OBLIGATIONS
(Cost $41,498,124)				$43,043,422
Mortgage-Backed Obligations – 36.7%
Collateralized Mortgage Obligations – 30.8%
ABN Amro Mortgage Corp. Series 2003-13, Class A2
$  3,043,688	5.500	%	02/25/18	$    3,070,416
Banc of America Alternative Loan Trust Series 2004-1, Class 1A1
4,941,198	6.000		02/25/34	4,979,029
Banc of America Alternative Loan Trust Series 2005-10, Class 6A1
3,587,498	5.500		11/25/20	3,223,704
Banc of America Alternative Loan Trust Series 2006-3, Class 6A1
799,757	6.000		04/25/36	710,409
Banc of America Mortgage Securities Series 2004-E, Class 2A5(b)
13,349	4.138		06/25/34	13,326
Bear Stearns Alt-A Trust Series 2005-9, Class 25A1(b)
3,772,318	5.637		11/25/35	2,909,348
Bear Stearns Asset Backed Securities Trust Series 2003-AC7, Class A2
1,316,608	5.250		01/25/34	1,117,234
Chase Mortgage Finance Corp. Series 2003-S13, Class A1
1,877,724	5.500		11/25/33	1,608,293
Citicorp Mortgage Securities, Inc. Series 2006-4, Class 3A1
674,140	5.500		08/25/21	659,710
Citigroup Mortgage Loan Trust, Inc. Series 2004-NCM2, Class 1CB2
2,403,564	6.750		08/25/34	2,406,238
Citigroup Mortgage Loan Trust, Inc. Series 2005-10, Class 1A5A(b)
2,041,564	5.696		12/25/35	1,400,306
Citigroup Mortgage Loan Trust, Inc. Series 2007-AR5, Class 1A3A(b)
1,113,000	5.618		04/25/37	707,402
Citigroup Mortgage Loan Trust, Inc. Series 2009-3, Class 2A1(a)
4,471,761	5.750		09/25/21	4,359,967
Citimortgage Alternative Loan Trust Series 2006-A3, Class 2A1
719,236	5.500		07/25/36	642,705
Countrywide Alternative Loan Trust Series 2004-18CB, Class 3A1
1,442,694	5.250		09/25/19	1,440,665
Countrywide Alternative Loan Trust Series 2005-5R, Class A2
1,272,952	4.750		12/25/18	1,210,772
Countrywide Alternative Loan Trust Series 2005-J1, Class 3A1
514,102	6.500		08/25/32	470,667
Countrywide Alternative Loan Trust Series 2007-J2, Class 2A1
1,029,794	6.000		07/25/37	790,528
Countrywide Home Loans Series 2004-J1, Class 2A4
2,152,066	4.750		01/25/19	2,042,240

Principal Amount	Interest Rate		Maturity Date	Value
Mortgage-Backed Obligations – (continued)
Collateralized Mortgage Obligations – (continued)
Countrywide Home Loans Trust Series 2005-27, Class 2A1
$  4,105,917	5.500	%	12/25/35	$    3,751,568
Countrywide Home Loans Trust Series 2005-6, Class 2A1
1,076,711	5.500		04/25/35	961,806
CS First Boston Mortgage Securities Corp. Series 2003-19, Class 1A4
1,415,210	5.250		07/25/33	1,251,529
CS First Boston Mortgage Securities Corp. Series 2005-5, Class 2A9
9,000,000	5.500		07/25/35	8,025,156
FHLMC REMIC PAC Series 1579, Class PM
565,658	6.700		09/15/23	584,207
FHLMC REMIC PAC Series 2103, Class TE
496,755	6.000		12/15/28	537,686
FHLMC REMIC PAC Series 2110, Class PG
2,514,263	6.000		01/15/29	2,742,892
FHLMC REMIC PAC Series 2633, Class PC
905,462	4.500		07/15/15	913,549
FHLMC REMIC PAC Series 2640, Class DR
2,000,000	4.000		08/15/17	2,078,235
FHLMC REMIC PAC Series 2644, Class BM
189,803	4.500		01/15/26	190,424
FHLMC REMIC PAC Series 2716, Class DT
1,057,941	5.000		02/15/30	1,100,608
FHLMC REMIC PAC Series 2760, Class EC
4,050,000	4.500		04/15/17	4,262,282
FHLMC REMIC PAC Series 2836, Class XQ
512,483	4.500		09/15/27	528,386
FHLMC REMIC PAC Series 2907, Class HC
1,933,654	5.000		06/15/27	2,011,464
FHLMC REMIC PAC Series 3259, Class EA
348,701	5.000		05/15/27	353,936
FHLMC REMIC Series 2391, Class Z
6,184,257	6.000		12/15/31	6,755,704
FHLMC REMIC Series 2508, Class OY
1,485,000	4.500		10/15/17	1,574,592
FHLMC REMIC Series 2603, Class C
2,620,000	5.500		04/15/23	2,843,149
FHLMC REMIC Series 2677, Class BC
800,000	4.000		09/15/18	821,863
FHLMC REMIC Series 2840, Class JL
1,931,105	4.500		06/15/23	2,031,223
FHLMC REMIC Series 2890, Class KB
3,115,000	4.500		02/15/19	3,294,327
FHLMC REMIC TAC Series 2658, Class A
1,892,649	4.500		08/15/18	1,933,955
First Horizon Alternative Mortgage Securities Series 2004-FA2, Class 1A1
1,713,584	6.000		01/25/35	1,630,473

12 The accompanying notes are an integral part of these financial statements.

COMMERCE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Mortgage-Backed Obligations – (continued)
Collateralized Mortgage Obligations – (continued)
First Horizon Alternative Mortgage Securities Series 2006-RE1, Class A1
$  5,740,784	5.500	%	05/25/35	$    4,456,553
FNMA REMIC FNIC PAC Series 2001-45, Class WG
1,001,515	6.500		09/25/31	1,102,301
FNMA REMIC PAC Series 2003-1, Class PG
2,722,121	5.500		09/25/31	2,874,921
FNMA REMIC PAC Series 2003-117, Class KB
3,000,000	6.000		12/25/33	3,320,984
FNMA REMIC PAC Series 2003-14, Class AP
363,483	4.000		03/25/33	376,426
FNMA REMIC PAC Series 2004-53, Class NC
3,360,000	5.500		07/25/24	3,600,402
FNMA REMIC Series 2002-73, Class OE
4,019,000	5.000		11/25/17	4,282,119
FNMA REMIC Series 2002-82, Class XE
3,205,000	5.000		12/25/17	3,439,919
FNMA REMIC Series 2003-83, Class PG
700,000	5.000		06/25/23	746,910
FNMA REMIC Series 2003-84, Class PG
540,000	5.000		03/25/32	573,887
FNMA Series 2003-W6, Class 2A32
486,505	6.500		09/25/42	532,039
GNMA Series 1998-12, Class EB
798,944	6.500		05/20/28	826,717
Impac CMB Trust Series 2004-4, Class 2A2
5,975,793	5.445		09/25/34	5,133,272
Impac Secured Assets Corp. Series 2004-2, Class A6
1,694,072	5.639		08/25/34	1,543,279
JPMorgan Alternative Loan Trust Series 2006-S1, Class 1A16
4,508,116	6.000		03/25/36	3,467,021
JPMorgan Mortgage Trust Series 2005-S3, Class 1A20
5,000,000	5.500		01/25/36	4,136,061
JPMorgan Mortgage Trust Series 2007-A2, Class 4A2(b)
1,000,000	6.004		04/25/37	820,491
Master Alternative Loans Trust Series 2004-4, Class 1A1
799,216	5.500		05/25/34	801,839
Master Alternative Loans Trust Series 2004-4, Class 8A1
2,667,070	6.500		05/25/34	2,696,658
Master Asset Securitization Trust Series 2003-7, Class 1A1
1,572,652	5.500		09/25/33	1,601,402
Master Asset Securitization Trust Series 2004-3, Class 5A1
189,295	6.250		01/25/32	190,449
Morgan Stanley Mortgage Loan Trust Series 2005-7, Class 2A1(b)
4,066,518	5.623		11/25/35	2,625,158
Morgan Stanley Mortgage Loan Trust Series 2007-12, Class 3A22
4,560,336	6.000		08/25/37	3,635,329
RBSGC Mortgage Pass-Through Certificates Series 2007-B, Class 2A1(b)
5,927,078	6.070		11/25/21	4,892,618
RBSGC Mortgage Pass-Through Certificates Series 2007-B, Class 3A1(b)
479,869	5.390		07/25/35	433,456

Principal Amount	Interest Rate		Maturity Date	Value
Mortgage-Backed Obligations – (continued)
Collateralized Mortgage Obligations – (continued)
Residential Accredit Loans, Inc. Series 2003-QS7, Class A2
$  3,084,592	4.750	%	04/25/33	$    2,948,358
Residential Accredit Loans, Inc. Series 2004-QS2, Class CB
4,442,622	5.750		02/25/34	4,270,697
Residential Accredit Loans, Inc. Series 2005-QS11, Class A2(b)
918,634	0.763		07/25/35	756,016
Residential Asset Securitization Trust Series 2004-A6, Class A1
4,685,823	5.000		08/25/19	4,477,843
Residential Funding Mortgage Securities Corp. Series 2003-RM2, Class AIII
1,434,104	6.000		05/25/33	1,311,987
Residential Funding Mortgage Securities I, Inc. Series 2003-S8, Class A1
857,205	5.000		05/25/18	870,680
Residential Funding Mortgage Securities I, Inc. Series 2005-S7, Class A5
2,212,402	5.500		11/25/35	2,000,075
Residential Funding Mortgage Securities I, Inc. Series 2005-S9, Class A5
3,908,751	5.750		12/25/35	3,454,748
Residential Funding Mortgage Securities I, Inc. Series 2006-S12, Class 1A1
4,139,438	5.500		12/25/21	4,235,034
Structured Asset Mortgage Investments, Inc. Series 2007-AR3, Class 1A1(b)
677,817	0.363		09/25/47	671,732
Structured Asset Securities Corp. Series 2003-20, Class 1A1
4,603,582	5.500		07/25/33	4,677,055
Structured Asset Securities Corp. Series 2003-34A, Class 3A3(b)
1,974,602	2.649		11/25/33	1,781,207
Structured Asset Securities Corp. Series 2004-11XS, Class 1A4B
3,876,058	5.710		06/25/34	3,519,356
Structured Asset Securities Corp. Series 2005-6, Class 5A2
947,370	5.000		05/25/35	938,718
Washington Mutual Alternative Mortgage Pass-Through Certificates Series 2005-4, Class 4A1
3,322,058	5.500		06/25/20	3,233,657
Washington Mutual MSC Mortgage Pass-Through Series 2002-MS2, Class 3A1
295,905	6.500		05/25/32	300,667
Wells Fargo Mortgage Backed Securities Trust Series 2003-6, Class 1A1
1,116,542	5.000		06/25/18	1,143,775
Wells Fargo Mortgage Backed Securities Trust Series 2005-1, Class 3A1
652,058	5.250		01/25/20	659,178
Wells Fargo Mortgage Backed Securities Trust Series 2005-AR15, Class 1A2(b)
1,599,936	5.081	��	09/25/35	1,550,714
Wells Fargo Mortgage Backed Securities Trust Series 2006-12, Class A5
500,000	6.000		10/25/36	236,140

The accompanying notes are an integral part of these financial statements. 13

COMMERCE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Mortgage-Backed Obligations – (continued)
Collateralized Mortgage Obligations – (continued)
Wells Fargo Mortgage Backed Securities Trust Series 2007-2, Class 3A5
$  1,000,000	5.250	%	03/25/37	$       807,210
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(Cost $172,106,956)				$185,897,031
Commercial Mortgage Obligations – 2.0%
GNMA Series 2002-62, Class B
354,562	4.763		01/16/25	360,144
GNMA Series 2003-16, Class B
3,580,000	4.490		08/16/25	3,775,936
GNMA Series 2003-38, Class JC(b)
594,676	7.004		08/16/42	673,487
GNMA Series 2004-45, Class A
2,182,838	4.020		12/16/21	2,231,255
GNMA Series 2004-60, Class C(b)
5,000,000	5.240		03/16/28	5,307,987
TOTAL COMMERCIAL MORTGAGE OBLIGATIONS
(Cost $11,783,182)				$12,348,809
Mortgage-Backed Pass-Through Obligations – 3.9%
FHLMC
110,118	8.500		02/01/19	119,581
129,290	8.500		03/01/21	143,568
767,173	7.000		05/01/26	862,505
39,599	7.000		10/01/30	44,290
107,865	7.500		12/01/30	122,879
193,985	7.500		01/01/31	220,986
412,204	7.000		08/01/31	459,690
4,388,944	5.000		05/01/33	4,587,681
846,963	2.778	(b)	05/01/34	868,506
2,342,267	5.306	(b)	01/01/36	2,474,169
FNMA
87,440	6.000		12/01/13	90,673
42,293	6.500		07/01/14	45,962
87,566	9.000		11/01/21	97,053
74,308	6.500		08/01/24	80,903
96,082	9.000		02/01/25	110,388
17,780	6.500		03/01/26	19,400
31,772	8.000		07/01/28	36,607
163,965	6.500		10/01/28	180,653
98,165	2.580	(b)	12/01/28	102,369
57,392	6.500		01/01/29	63,233
102,594	6.000		07/01/29	111,258
113,404	7.500		09/01/29	128,054
92,163	7.000		03/01/31	103,072
52,636	7.500		03/01/31	59,469
296,756	7.000		11/01/31	332,032
548,295	7.000		01/01/32	613,472
1,480,473	6.000		12/01/32	1,604,571
452,734	5.281	(b)	02/01/33	476,823
1,745,939	5.000		07/01/33	1,823,087
768,926	5.189	(b)	10/01/34	805,397
2,036,467	5.090	(b)	02/01/35	2,155,889

Principal Amount	Interest Rate		Maturity Date	Value
Mortgage-Backed Obligations – (continued)
Mortgage-Backed Pass-Through Obligations – (continued)
GNMA
$     226,942	8.000	%	02/15/22	$       260,129
100,324	7.500		08/20/25	112,772
431,346	7.500		07/20/26	484,587
519,309	6.500		04/15/31	573,804
515,772	6.500		05/15/31	569,896
2,207,478	5.500		04/15/33	2,362,415
TOTAL MORTGAGE-BACKED PASS-THROUGH OBLIGATIONS
(Cost $19,955,394)				$23,307,823
TOTAL MORTGAGE-BACKED OBLIGATIONS
(Cost $203,845,532)				$221,553,663
Corporate Obligations – 27.1%
Aerospace/Defense – 0.9%
Goodrich Corp.
$  1,000,000	4.875	%	03/01/20	$    1,020,523
Lockheed Martin Corp.
1,972,000	6.150		09/01/36	2,169,472
United Technologies Corp.
2,000,000	5.700		04/15/40	2,088,262
				5,278,257
Beverages – 0.7%
Anheuser-Busch Cos., Inc.
1,500,000	5.600		03/01/17	1,605,819
PepsiCo, Inc.
2,500,000	4.500		01/15/20	2,576,325
				4,182,144
Cable TV – 0.8%
Comcast Corp.
1,500,000	5.700		07/01/19	1,597,707
1,250,000	6.400		05/15/38	1,305,382
Time Warner Cable, Inc.
2,000,000	6.200		07/01/13	2,228,982
				5,132,071
Chemicals – 0.2%
E.I. du Pont de Nemours and Co.
1,000,000	3.250		01/15/15	1,020,936
Commercial Banks – 2.4%
Barclays Bank PLC
2,000,000	5.125		01/08/20	1,999,912
Credit Suisse AG
3,000,000	5.400		01/14/20	3,054,222
Credit Suisse New York
1,500,000	5.000		05/15/13	1,614,101
KeyBank NA
2,540,000	5.800		07/01/14	2,694,475

14 The accompanying notes are an integral part of these financial statements.

COMMERCE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Corporate Obligations – (continued)
Commercial Banks – (continued)
Wachovia Bank NA
$  2,000,000	5.000	%	08/15/15	$    2,086,294
Wells Fargo Bank NA
3,125,000	4.750		02/09/15	3,267,387
				14,716,391
Communications Equipment – 0.4%
Cisco Systems, Inc.
2,500,000	4.450		01/15/20	2,531,313
Computers – 0.2%
Intuit, Inc.
1,000,000	5.400		03/15/12	1,062,443
Diversified Manufacturing – 0.8%
GE Capital Trust I(b)
3,525,000	6.375		11/15/67	3,375,187
Ingersoll-Rand Global Holding Co. Ltd.
1,000,000	9.500		04/15/14	1,226,097
				4,601,284
Electric – 2.6%
Columbus Southern Power Co.
2,870,000	5.850		10/01/35	2,877,755
Connecticut Light & Power Co.
415,000	5.650		05/01/18	450,758
Duke Energy Corp.
1,525,000	5.300		10/01/15	1,695,483
Exelon Generation Co. LLC
1,470,000	5.350		01/15/14	1,595,733
PacifiCorp
2,400,000	5.650		07/15/18	2,645,827
PSE&G Power LLC
1,485,000	5.000		04/01/14	1,574,459
San Diego Gas & Electric Co.
1,585,000	5.300		11/15/15	1,765,906
Southern California Edison Co.
3,000,000	5.500		03/15/40	3,053,436
				15,659,357
Financial – 6.0%
Bank of America Corp.
1,270,000	5.650		05/01/18	1,285,423
Bank One Corp.
1,000,000	8.530		03/01/19	1,159,244
Bear Stearns Companies, Inc.
1,000,000	7.250		02/01/18	1,153,617
Citigroup, Inc.
2,750,000	6.010		01/15/15	2,930,815
Equitable Life Assurance Society of the United States(a)
5,900,000	7.700		12/01/15	6,488,377
JPMorgan Chase & Co.
1,250,000	6.000		01/15/18	1,347,784
Merrill Lynch & Co., Inc.
3,500,000	5.450		02/05/13	3,722,540

Principal Amount	Interest Rate		Maturity Date	Value
Corporate Obligations – (continued)
Financial – (continued)
Metropolitan Life Insurance Co.(a)
$  6,035,000	7.700	%	11/01/15	$    7,031,614
Morgan Stanley & Co.
2,600,000	6.625		04/01/18	2,756,645
National Rural Utilities Cooperative Finance Corp.
1,550,000	5.450		04/10/17	1,674,014
Reed Elsevier Capital, Inc.
1,800,000	6.750		08/01/11	1,912,234
SunTrust Capital VIII(b)
2,670,000	6.100		12/15/36	2,247,478
TD Ameritrade Holding Corp.
2,750,000	4.150		12/01/14	2,808,649
				36,518,434
Food – 0.6%
H.J. Heinz Co.
2,475,000	5.350		07/15/13	2,697,921
Kraft Foods, Inc.
1,000,000	6.875		02/01/38	1,124,767
				3,822,688
Health Care Equipment & Supplies – 0.5%
Baxter International, Inc.
2,650,000	5.375		06/01/18	2,901,090
Industrial – 0.4%
Receipts on Corporate Securities Trust NSC-1998-1
2,260,341	6.375		05/15/17	2,299,897
Insurance – 0.8%
Aegon NV
2,650,000	4.625		12/01/15	2,698,241
Reinsurance Group of America, Inc.
2,000,000	6.450		11/15/19	2,115,504
				4,813,745
Multimedia – 0.7%
CBS Corp.
2,600,000	8.200		05/15/14	3,056,396
The McGraw-Hill Companies, Inc.
1,000,000	5.375		11/15/12	1,085,824
				4,142,220
Oil & Gas – 2.0%
Apache Corp.
1,250,000	7.375		08/15/47	1,548,994
Tosco Corp.
2,095,000	8.125		02/15/30	2,707,542
Valero Energy Corp.
2,000,000	6.875		04/15/12	2,172,100
XTO Energy, Inc.
5,000,000	6.250		08/01/17	5,789,050
				12,217,686

The accompanying notes are an integral part of these financial statements. 15

COMMERCE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Corporate Obligations – (continued)
Pharmaceuticals – 0.4%
Express Scripts, Inc.
$  2,000,000	5.250	%	06/15/12	$    2,142,116
Real Estate – 1.5%
AMB Property LP
2,000,000	6.125		12/01/16	2,139,522
Hospitality Properties Trust
1,240,000	6.300		06/15/16	1,269,773
ProLogis
2,280,000	5.250		11/15/10	2,292,709
Simon Property Group LP
1,000,000	6.750		05/15/14	1,117,510
2,000,000	4.200		02/01/15	2,030,814
				8,850,328
Retail – 0.2%
Wal-Mart Stores, Inc.
1,250,000	6.200		04/15/38	1,376,018
Software – 0.4%
Adobe Systems, Inc.
2,700,000	4.750		02/01/20	2,708,173
Sovereign Agency – 0.3%
Resolution Funding Corp.
1,500,000	8.125		10/15/19	1,979,514
Telecommunications – 0.9%
AT&T, Inc.
2,380,000	4.950		01/15/13	2,567,182
Telefonica Emisiones SAU
2,635,000	3.729		04/27/15	2,651,422
				5,218,604
Toys – 0.2%
Hasbro, Inc.
1,000,000	6.125		05/15/14	1,110,102
Utilities – 1.3%
GTE Corp.
5,310,000	6.840		04/15/18	5,939,867
Pacific Gas & Electric Co.
2,000,000	6.350		02/15/38	2,216,240
				8,156,107
Yankee – 1.9%
BHP Billiton Finance USA Ltd.
750,000	6.750		11/01/13	862,119
955,000	5.250		12/15/15	1,053,671
Canadian National Railway Co.
1,190,000	6.200		06/01/36	1,322,470
Swiss Bank Corp.
7,335,000	7.375		06/15/17	8,194,281
				11,432,541
TOTAL CORPORATE OBLIGATIONS
(Cost $155,967,337)				$163,873,459

Principal Amount	Interest Rate		Maturity Date	Value
U.S. Government Agency Obligations – 10.3%
FFCB
$  5,000,000	2.625	%	04/17/14	$    5,081,130
6,135,000	4.500		05/06/14	6,669,095
2,860,000	5.190		04/22/21	3,118,032
FHLB
5,000,000	1.750		08/22/12	5,048,075
5,000,000	4.500		09/16/13	5,427,270
1,915,000	5.375		08/15/24	2,081,695
2,650,000	7.125		02/15/30	3,339,620
FHLMC
5,000,000	1.750		06/15/12	5,050,590
46,846	6.000		12/01/13	50,041
3,110,000	2.875		02/09/15	3,142,279
5,000,000	5.000		02/16/17	5,484,645
2,500,000	6.750		03/15/31	3,111,765
FNMA
3,000,000	1.750		05/07/13	3,003,516
3,000,000	4.625		10/15/14	3,277,848
4,500,000	5.000		02/13/17	4,939,996
3,000,000	5.000		05/11/17	3,286,026
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost $60,285,504)				$  62,111,623
Government Guarantee Obligations(d) –  2.2%
Citigroup Funding, Inc.
$  5,000,000	1.875	%	10/22/12	$    5,053,450
Morgan Stanley & Co.
2,800,000	2.250		03/13/12	2,865,610
Oriental Bank & Trust
3,000,000	2.750		03/16/12	3,086,181
U.S. Bancorp
2,000,000	2.250		03/13/12	2,040,916
TOTAL U.S. GOVERNMENT GUARANTEE OBLIGATIONS
(Cost $12,803,312)				$  13,046,157
U.S. Treasury Obligations – 1.3%
United States Treasury Bond
$  3,000,000	4.500	%	02/15/36	$    3,015,936
United States Treasury Note
5,000,000	2.750		11/30/16	4,918,750
TOTAL U.S. TREASURY OBLIGATIONS
(Cost $7,756,673)				$    7,934,686

16 The accompanying notes are an integral part of these financial statements.

COMMERCE BOND FUND

Shares	Description		Rate		Value
Investment Companies – 2.0%
Vanguard Intermediate-Term Investment Grade Fund
$     263,085			4.080	%	$    2,609,804
Vanguard Long-Term Investment Grade Fund
1,046,484			5.790		9,606,724
TOTAL INVESTMENT COMPANIES
(Cost $10,407,566)					$  12,216,528
Principal Amount	Interest Rate		Maturity Date		Value
Short-term Investment(e) – 1.8%
Repurchase Agreement – 1.8%
State Street Bank & Trust Co.
$11,161,000	0.010	%	05/03/10		$  11,161,000
Maturity Value: $11,161,009
(Cost $11,161,000)
TOTAL INVESTMENTS – 100.0%
(Cost $572,939,421)					$604,240,321
LIABILITIES IN EXCESS OF OTHER ASSETS – (0.0)%					(221,404)
NET ASSETS – 100.0%					$604,018,917

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
(a)	Exempt from registration under Rule 144A of the Securities Act of 1933. Under procedures approved by the Board of Trustees, such securities have been determined to be liquid by the Investment Adviser and may be resold, normally to qualified institutional buyers in transactions exempt from registration. Total market value of Rule 144A securities amounted to $36,208,508, which represents approximately 6.0% of net assets as of April 30, 2010.
(b)	Variable rate security. The interest rate shown reflects the rate as of April 30, 2010.
(c)	Securities with “Put” features with resetting interest rates. Maturity dates disclosed are the next interest reset dates.
(d)	Guaranteed under the Federal Deposit Insurance Corporation’s (“FDIC”) Temporary Liquidity Guarantee Program and is backed by the full faith and credit of the United States. The expiration date of the FDIC’s guarantee is the earlier of the maturity date of the debt or June 30, 2012. Total market value of these securities amounts to $13,046,157, which represents approximately 2.2% of net assets as of April 30, 2010.
(e)	Repurchase agreement was entered into on April 30, 2010. This agreement was fully collateralized by $11,395,000 U.S. Treasury Bill, 0.000%, due 09/09/10 with a market value of $11,387,024.

Investment Abbreviations:
AMBAC	—Insured by American Municipal Bond Assurance Corp.
FFCB	—Federal Farm Credit Bank
FHLB	—Federal Home Loan Bank
FHLMC	—Federal Home Loan Mortgage Corp.
FNIC	—Financial Network Investment Corporation
FNMA	—Federal National Mortgage Association
FSA	—Insured by Financial Security Assurance Co.
GNMA	—Government National Mortgage Association
GO	—General Obligation
MBIA	—Insured by Municipal Bond Investors Assurance
MSC	—Mortgage Securities Corp.
PAC	—Planned Amortization Class
RB	—Revenue Bond
REMIC	—Real Estate Mortgage Investment Conduit
TAC	—Targeted Amortization Class
XLCA	—Insured by XL Capital Assurance, Inc.

PORTFOLIO COMPOSITION

	AS OF 4/30/10		AS OF 10/31/09
Collateralized Mortgage Obligations	30.8	%	33.9	%
Corporate Obligations	27.1		25.6
Asset-Backed Securities	11.5		12.4
U.S. Government Agency Obligations	10.3		7.8
Taxable Municipal Bond Obligations	7.1		5.3
Mortgage-Backed Pass-Through Obligations	3.9		4.5
Government Guarantee Obligations	2.2		2.3
Commercial Mortgage Obligations	2.0		2.4
Investment Companies	2.0		2.9
U.S. Treasury Obligations	1.3		—
Short-term Investment	1.8		3.9
TOTAL INVESTMENTS	100.0	%	101.0	%

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets. Underlying investment categories of investment companies held by the Fund are not reflected in the table above. Consequently, the Fund’s overall investment category allocations may differ from the percentages contained in the table above.

The Fund is actively managed and, as such, its composition may differ over time.

The accompanying notes are an integral part of these financial statements. 17

COMMERCE SHORT-TERM GOVERNMENT FUND

Schedule of Investments

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Asset-Backed Securities – 1.9%
Commercial – 1.2%
Small Business Administration Series 2006-P10B, Class 1
$1,386,839	5.681	%	08/10/16	$    1,492,663
Home Equity(a) – 0.7%
Argent Securities, Inc. Series 2004-W5, Class AV3B
778,639	0.713		04/25/34	588,733
Lehman XS Trust Series 2005-7N, Class 1A1A
382,237	0.533		12/25/35	261,570
				850,303
TOTAL ASSET-BACKED SECURITIES
(Cost $2,054,045)				$    2,342,966
Mortgage-Backed Obligations – 34.6%
Collateralized Mortgage Obligations – 26.9%
American Home Mortgage Investment Trust Series 2004-3, Class 6A4
$   582,637	5.010	%	10/25/34	$       529,665
Bank of America Funding Corp. Series 2004-A, Class 1A3(a)
148,273	4.953		09/20/34	150,791
Citigroup Mortgage Loan Trust, Inc. Series 2004-HYB3, Class 1A(a)
296,349	3.451		09/25/34	289,629
Countrywide Alternative Loan Trust Series 2003-21T1, Class A2
1,711,177	5.250		12/25/33	1,719,316
Countrywide Alternative Loan Trust Series 2004-29CB, Class A7
500,000	5.375		01/25/35	455,326
Countrywide Alternative Loan Trust Series 2005-5R, Class A2
498,853	4.750		12/25/18	474,485
Countrywide Home Loans, Inc. Series 2002-34, Class A14
655,384	4.750		01/25/33	661,659
Countrywide Home Loans, Inc. Series 2002-35, Class 3A1
83,810	5.000		02/25/18	85,726
Countrywide Home Loans, Inc. Series 2003-HYB3, Class  7A1(a)
565,096	3.132		11/19/33	558,744
FHLMC PAC Series 023, Class PK
463,584	6.000		11/25/23	490,594
FHLMC REMIC PAC Series 041, Class F
74,811	10.000		05/15/20	82,563
FHLMC REMIC PAC Series 159, Class H
32,641	4.500		09/15/21	32,701
FHLMC REMIC PAC Series 2022, Class PE
110,797	6.500		01/15/28	119,115
FHLMC REMIC PAC Series 2109, Class PE
381,586	6.000		12/15/28	416,583
FHLMC REMIC PAC Series 2345, Class PQ
53,508	6.500		08/15/16	57,871
FHLMC REMIC PAC Series 2522, Class PE
639,283	5.500		03/15/22	677,160
FHLMC REMIC PAC Series 2524, Class PD
477,825	5.500		12/15/31	506,580

Principal Amount	Interest Rate		Maturity Date	Value
Mortgage-Backed Obligations – (continued)
Collateralized Mortgage Obligations – (continued)
FHLMC REMIC PAC Series 2561, Class PE
$   280,889	5.500	%	09/15/28	$       282,615
FHLMC REMIC PAC Series 2594, Class OR
147,440	4.250		06/15/32	151,296
FHLMC REMIC PAC Series 2628, Class PV
214,466	3.750		10/15/16	216,093
FHLMC REMIC PAC Series 2668, Class OE
725,000	5.000		10/15/28	761,551
FHLMC REMIC PAC Series 2695, Class AT
392,481	4.000		10/15/26	397,593
FHLMC REMIC PAC Series 2698, Class LE
257,623	5.500		02/15/29	259,507
FHLMC REMIC PAC Series 2760, Class EC
1,000,000	4.500		04/15/17	1,052,415
FHLMC REMIC PAC Series 2763, Class PC
542,843	4.500		08/15/16	552,580
FHLMC REMIC PAC Series 2765, Class JN
495,353	4.000		05/15/19	501,159
FHLMC REMIC PAC Series 2859, Class PC
137,117	5.500		11/15/27	137,753
FHLMC REMIC PAC Series 2904, Class PB
525,000	5.500		03/15/28	537,272
FHLMC REMIC PAC Series 3059, Class CD
945,000	5.000		04/15/31	1,001,588
FHLMC REMIC PAC Series 3078, Class PA
186,907	5.500		07/15/24	187,617
FHLMC REMIC PAC Series 3079, Class MA
378,013	5.000		11/15/24	381,935
FHLMC REMIC PAC Series 3117, Class PC
683,840	5.000		06/15/31	724,274
FHLMC REMIC Series 2534, Class HB
800,000	5.000		10/15/16	829,488
FHLMC REMIC Series 2584, Class LX
188,241	5.500		12/15/13	193,580
FHLMC REMIC Series 2619, Class YP
527,814	3.500		03/15/16	535,198
FHLMC REMIC Series 2642, Class DA
882,206	5.000		05/15/22	929,690
FHLMC REMIC Series 2664, Class MA
651,853	5.000		04/15/30	676,805
FHLMC REMIC Series 2830, Class DA
642,413	5.000		07/15/19	652,038
FHLMC REMIC Series 2892, Class UJ
607,197	4.000		12/15/11	609,003
FHLMC REMIC Series 2972, Class CA
622,129	4.500		05/15/20	652,597
FHLMC REMIC Series 3131, Class BA
377,122	5.500		11/15/24	397,592
FHLMC REMIC Series 3146, Class GA
419,971	5.500		11/15/24	443,043

18 The accompanying notes are an integral part of these financial statements.

COMMERCE SHORT-TERM GOVERNMENT FUND

Principal Amount	Interest Rate		Maturity Date	Value
Mortgage-Backed Obligations – (continued)
Collateralized Mortgage Obligations – (continued)
FNMA REMIC PAC Series 1992, Class 89 Principal-Only Stripped Security(b)
$     38,646	0.000	%	06/25/22	$         35,749
FNMA REMIC PAC Series 1992-129, Class L
243,899	6.000		07/25/22	258,571
FNMA REMIC PAC Series 1993-132, Class A Principal-Only Stripped Security(b)
21,753	0.000		10/25/22	21,837
FNMA REMIC PAC Series 1998-36, Class J
146,326	6.000		07/18/28	157,918
FNMA REMIC PAC Series 2001-71, Class MB
318,480	6.000		12/25/16	344,076
FNMA REMIC PAC Series 2003-117, Class KB
556,000	6.000		12/25/33	615,489
FNMA REMIC PAC Series 2003-14, Class AP
488,716	4.000		03/25/33	506,119
FNMA REMIC PAC Series 2003-29, Class QE
1,000,000	5.000		04/25/16	1,015,359
FNMA RxEMIC PAC Series 2003-74, Class PR
224,439	4.000		11/25/25	225,165
FNMA REMIC PAC Series 2005-102, Class PB
463,435	5.000		03/25/27	470,624
FNMA REMIC Series 1991-137, Class H
112,633	7.000		10/25/21	125,355
FNMA REMIC Series 1993-182, Class FA(a)
37,163	3.200		09/25/23	38,141
FNMA REMIC Series 1993-183, Class K
21,653	6.500		07/25/23	21,794
FNMA Series 2003-W17, Class 1A6
83,947	5.310		08/25/33	88,420
GNMA Series 1998-12, Class EB
199,735	6.500		05/20/28	206,679
GNMA Series 2001-53, Class F(a)
40,714	0.606		10/20/31	40,751
GSR Mortgage Loan Trust Series 2006-AR1, Class 2A4(a)
1,070,000	5.067		01/25/36	789,212
Indymac Index Mortgage Loan Trust Series 2004-AR6, Class 6A1(a)
527,979	5.523		10/25/34	472,171
Master Adjustable Rate Mortgages Trust Series 2004-13, Class 2A1(a)
605,540	2.975		04/21/34	602,423
Master Asset Securitization Trust Series 2003-6, Class 9A1
246,746	4.250		07/25/33	243,772
Master Asset Securitization Trust Series 2004-3, Class 5A1
90,018	6.250		01/25/32	90,567
Residential Accredit Loans, Inc. Series 2004-QA4, Class NB21(a)
110,872	4.061		09/25/34	106,684
Residential Accredit Loans, Inc. Series 2004-QS5, Class A5
465,007	4.750		04/25/34	448,794

Principal Amount	Interest Rate		Maturity Date	Value
Mortgage-Backed Obligations – (continued)
Collateralized Mortgage Obligations – (continued)
Residential Funding Mortgage Securities I, Inc. Series 2003-S8, Class A1
$   332,988	5.000	%	05/25/18	$       338,222
Securitized Asset Sales, Inc. Series 1993-7, Class TA6
39,139	6.250		12/25/23	39,390
Sequoia Mortgage Trust Series 10, Class 1A(a)
203,581	0.656		10/20/27	189,175
Sequoia Mortgage Trust Series 2003-2, Class A1(a)
355,920	0.916		06/20/33	311,294
Structured Asset Securities Corp. Series 2003-20, Class 1A1
1,203,209	5.500		07/25/33	1,222,412
Structured Asset Securities Corp. Series 2003-31A, Class 2A7(a)
1,242,065	2.495		10/25/33	1,195,023
Vendee Mortgage Trust Series 1996-2, Class 1Z
248,861	6.750		06/15/26	268,770
Washington Mutual MSC Mortgage Pass-Through Series 2002-MS8, Class 4A5
308,072	5.750		12/25/32	295,150
Washington Mutual MSC Mortgage Pass-Through Series 2003-MS4, Class 2A3
463,348	5.000		02/25/33	463,780
Wells Fargo Alternative Loan Trust Series 2003-1, Class 2A1
884,002	5.750		09/25/18	888,837
Wells Fargo Mortgage Backed Securities Trust Series 2003-6, Class 1A1
200,978	5.000		06/25/18	205,879
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(Cost $31,181,153)				$  32,716,392
Commercial Mortgage Obligations – 3.5%
GNMA REMIC Series 2004-51, Class A
118,070	4.145		02/16/18	118,948
GNMA Series 2004-09, Class A
343,838	3.360		08/16/22	345,555
GNMA Series 2004-20, Class C
1,700,000	4.430		04/16/34	1,790,854
GNMA Series 2004-45, Class A
818,564	4.020		12/16/21	836,721
GNMA Series 2004-60, Class C(a)
1,150,000	5.240		03/16/28	1,220,837
TOTAL COMMERCIAL MORTGAGE OBLIGATIONS
(Cost $4,117,692)				$    4,312,915
Mortgage-Backed Pass-Through Obligations – 4.2%
FHLMC
146,097	5.500		08/01/17	157,572
393,878	5.500		09/01/21	424,073
105,669	6.000		10/01/23	113,871
580,593	5.000		05/01/27	608,477

The accompanying notes are an integral part of these financial statements. 19

COMMERCE SHORT-TERM GOVERNMENT FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Mortgage-Backed Obligations – (continued)
Mortgage-Backed Pass-Through Obligations – (continued)
FNMA
$     97,847	6.500	%	09/01/13	$       105,544
142,718	10.500		11/01/15	155,242
147,160	6.000		07/01/16	158,832
581,352	5.500		05/01/19	624,919
575,808	5.500		06/01/20	618,959
7,467	5.195	(a)	08/01/23	7,786
3,870	9.000		07/01/24	4,408
11,617	2.580	(a)	12/01/28	12,115
89,926	7.000		11/01/31	100,616
655,844	6.000		07/01/33	710,818
770,312	3.020	(a)	02/01/34	799,680
358,545	5.189	(a)	10/01/34	375,551
GNMA
14,460	8.000		07/15/17	16,607
1,041	3.125	(a)	12/20/24	1,070
16,335	4.375	(a)	04/20/26	16,932
14,857	3.625	(a)	08/20/26	15,325
18,071	4.375	(a)	01/20/28	18,754
TOTAL MORTGAGE-BACKED PASS-THROUGH OBLIGATIONS
(Cost $4,896,503)				$    5,047,151
TOTAL MORTGAGE-BACKED OBLIGATIONS
(Cost $40,195,348)				$  42,076,458
Government Guarantee Obligations(c)  –  7.7%
Citibank NA
$   900,000	1.375	%	08/10/11	$       907,116
GMAC, Inc.
1,000,000	2.200		12/19/12	1,018,729
JPMorgan Chase & Co.
800,000	3.125		12/01/11	828,160
Keybank National Association
400,000	3.200		06/15/12	417,107
Morgan Stanley & Co.
800,000	2.900		12/01/10	811,349
750,000	2.250		03/13/12	767,574
Regions Bank
1,000,000	3.250		12/09/11	1,036,674
U.S. Bancorp
750,000	2.250		03/13/12	765,344
1,000,000	1.800		05/15/12	1,013,437
U.S. Central Credit Union
900,000	1.900		10/19/12	911,076
Wells Fargo & Co.
800,000	3.000		12/09/11	827,086
TOTAL GOVERNMENT GUARANTEE OBLIGATIONS
(Cost $9,090,038)				$9,303,652

Principal Amount	Interest Rate		Maturity Date	Value
U.S. Government Agency Obligations – 39.4%
FFCB
$   237,000	6.890	%	09/13/10	$       242,711
1,000,000	3.875		10/07/13	1,064,482
1,600,000	2.625		04/17/14	1,625,962
1,170,000	3.000		09/22/14	1,197,838
150,000	4.700		08/10/15	163,395
250,000	7.000		09/01/15	301,133
500,000	6.125		12/29/15	581,665
FHLB
750,000	5.000		03/11/11	776,534
1,640,000	3.375		06/24/11	1,687,355
1,250,000	4.750		12/09/11	1,323,925
1,000,000	3.500		03/08/13	1,052,358
1,500,000	5.125		08/14/13	1,658,884
1,000,000	3.625		10/18/13	1,056,972
1,560,000	5.250		06/18/14	1,745,838
1,000,000	5.250		09/12/14	1,111,981
250,000	5.375		05/15/19	275,133
FHLMC
3,700,000	5.000		10/18/10	3,776,460
1,575,000	2.125		09/21/12	1,600,940
1,500,000	4.625		10/25/12	1,615,743
1,500,000	4.000		06/12/13	1,602,182
1,560,000	2.500		01/07/14	1,583,372
1,600,000	2.500		04/23/14	1,617,638
790,000	5.000		07/15/14	874,739
1,000,000	4.500		01/15/15	1,085,533
1,200,000	2.875		02/09/15	1,212,455
FNMA
1,000,000	6.000		05/15/11	1,056,174
1,000,000	6.125		03/15/12	1,092,619
2,000,000	3.625		02/12/13	2,110,632
1,500,000	4.375		03/15/13	1,616,156
1,600,000	2.500		05/15/14	1,618,517
2,000,000	3.000		09/16/14	2,051,032
1,250,000	4.625		10/15/14	1,365,770
2,000,000	2.625		11/20/14	2,016,566
1,800,000	5.000		04/15/15	2,001,074
1,000,000	4.375		10/15/15	1,076,311
Tennessee Valley Authority
900,000	6.790		05/23/12	1,002,991
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(Cost $47,189,917)				$  47,843,070
U.S. Treasury Obligations – 14.8%
United States Treasury Inflation Protected Securities
$1,205,450	3.000	%	07/15/12	$    1,305,088
1,172,990	2.000		01/15/14	1,256,291
1,149,830	2.000		07/15/14	1,236,336
United States Treasury Notes
2,000,000	4.500		11/15/10	2,044,922
2,000,000	5.125		06/30/11	2,106,876
435,000	4.500		04/30/12	465,586
1,800,000	1.375		09/15/12	1,809,281

20 The accompanying notes are an integral part of these financial statements.

COMMERCE SHORT-TERM GOVERNMENT FUND

Principal Amount	Interest Rate		Maturity Date	Value
U.S. Treasury Obligations – (continued)
United States Treasury Notes – (continued)
$2,400,000	1.375	%	11/15/12	$    2,407,500
1,200,000	1.750		04/15/13	1,209,000
1,200,000	1.750		03/31/14	1,189,969
1,700,000	2.375		10/31/14	1,710,093
1,200,000	2.250		01/31/15	1,195,500
TOTAL U.S. TREASURY OBLIGATIONS
(Cost $17,409,930)				$  17,936,442
Short-term Investment(d) – 1.4%
Repurchase Agreement  – 1.4%
State Street Bank & Trust Co.
$1,657,000	0.010	%	05/03/10	$    1,657,000
Maturity Value: $1,657,001
(Cost $1,657,000)
TOTAL INVESTMENTS – 99.8%
(Cost $117,596,278)				$121,159,588
OTHER ASSETS IN EXCESS OF LIABILITIES – 0.2%				250,461
NET ASSETS – 100.0%				$121,410,049

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
(a)	Variable rate security. The interest rate shown reflects the rate as of April 30, 2010.
(b)	Issued with a zero coupon. Income is recognized through the accretion of discount.
(c)	Guaranteed under the Federal Deposit Insurance Corporation’s (“FDIC”) Temporary Liquidity Guarantee Program and is backed by the full faith and credit of the United States. The expiration date of the FDIC’s guarantee is the earlier of the maturity date of the debt or June 30, 2012. Total market value of these securities amounts to $9,303,652, which represents approximately 7.7% of net assets as of April 30, 2010.
(d)	Repurchase agreement was entered into on April 30, 2010. This agreement was fully collateralized by $1,695,000 U.S. Treasury Bill, 0.000%, due 09/09/10 with a market value of $1,693,814.

Investment Abbreviations:
FFCB	—Federal Farm Credit Bank
FHLB	—Federal Home Loan Bank
FHLMC	—Federal Home Loan Mortgage Corp.
FNMA	—Federal National Mortgage Association
GNMA	—Government National Mortgage Association
MSC	—Mortgage Securities Corp.
PAC	—Planned Amortization Class
REMIC	—Real Estate Mortgage Investment Conduit

PORTFOLIO COMPOSITION

	AS OF 4/30/10		AS OF 10/31/09
U.S. Government Agency Obligations	39.4	%	34.0	%
Collateralized Mortgage Obligations	26.9		30.8
U.S. Treasury Obligations	14.8		8.9
Government Guarantee Obligations	7.7		8.8
Mortgage-Backed Pass-Through Obligations	4.2		5.3
Commercial Mortgage Obligations	3.5		4.3
Asset-Backed Securities	1.9		2.3
Short-term Investment	1.4		5.3
TOTAL INVESTMENTS	99.8	%	99.7	%

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.

The Fund is actively managed and, as such, its composition may differ over time.

The accompanying notes are an integral part of these financial statements. 21

COMMERCE NATIONAL TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – 95.0%
Alabama – 1.4%
Alabama Drinking Water Finance Authority Revenue Bonds (Revolving Funding Program) Series A (AMBAC) (NR/NR)
$   760,000	4.700	%	08/15/11	$       761,885
Birmingham AL GO Bonds (Refunding Warrants) Series B (FSA) (AAA/Aa2)
650,000	5.500		07/01/12	698,100
Birmingham AL Special Care Facilities Financing Authority Revenue Bonds (Childrens Hospital) Series B (AMBAC) (A/A3)
1,005,000	5.000		06/01/16	1,060,898
Cullman AL GO Bonds (Warrants) Series 2007 (FSA) (AAA/Aa3)
65,000	4.500		07/01/23	66,186
				2,587,069
Alaska – 0.6%
Alaska Industrial Development & Export Authority Revenue Bonds (Refunding Greater Fairbanks) Series C (A/NR)
1,050,000	4.500		04/01/18	1,063,913
Arizona – 10.5%
Arizona Health Facilities Authority Healthcare & Education Facilities Revenue Bonds (Kirksville College) (A-/NR)
700,000	4.700		01/01/21	699,958
750,000	4.750		01/01/22	750,533
1,000,000	5.000		01/01/25	1,008,320
Arizona School Facilities Board Certificates of Participation (A+/Aa3)
2,810,000	5.125		09/01/21	2,980,680
Arizona School Facilities Board Certificates of Participation Series A (NATL-RE) (A+/Aa3)
1,000,000	5.000		09/01/13	1,095,260
Arizona State University Energy Management LLC Revenue Bonds (Tempe Campus II) Series 2009 (AA-/A2)
1,020,000	5.000		07/01/13	1,105,598
2,000,000	5.000		07/01/14	2,190,320
Glendale AZ Industrial Development Authority Revenue Bonds (Refunding Midwestern University) (A-/NR)
1,200,000	5.250		05/15/19	1,258,884
500,000	5.250		05/15/22	516,215
Pinal County AZ Unified School District No.1 Florence GO Bonds (School Improvement Project of 2006) Series C (A/NR)
860,000	5.000		07/01/17	929,677
335,000	5.000		07/01/18	360,031
Pinal County AZ Unified School District No.1 Florence GO Bonds (School Improvement Project of 2006) Series C (A/NR)
350,000	5.000		07/01/19	372,631
1,100,000	5.125		07/01/22	1,161,039
Queen Creek AZ Excise Tax & State Shared Revenue Bonds (MBIA) (A+/Baa1)
1,070,000	5.000		08/01/27	1,096,022
Tucson AZ GO Bonds (Refunding) (FGIC) (AA-/Aa2)
535,000	4.000		07/01/15	585,782

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Arizona – (continued)
Yuma County AZ Library District GO Bonds Series 2007 (XLCA) (A-/Aa3)
$1,000,000	5.000	%	07/01/19	$    1,057,180
500,000	5.000		07/01/20	524,790
1,000,000	5.000		07/01/21	1,052,100
				18,745,020
Arkansas – 0.3%
Arkansas State Development Finance Authority Economic Development Revenue Bonds (Taxable) (A/NR)
535,000	5.480		09/01/17	544,625
California – 2.2%
Port Oakland CA Revenue Bonds Series C (A/A3)
600,000	5.000		11/01/16	652,926
San Mateo CA Unified High School District GO Bonds (Capital Appreciation) Series C (MBIA) (AA/Aa1)(a)
880,000	0.000		09/01/23	460,539
Santa Clara County CA East Side Union High School District GO Bonds (Refunding) Series B (A/Baa1)
800,000	5.250		02/01/23	855,232
West Contra Costa CA Unified School District GO Bonds (Refunding) Series A (MBIA) (A/Baa1)
1,810,000	5.700		02/01/22	1,939,614
				3,908,311
Colorado – 2.2%
Colorado Educational & Cultural Facilities Authority Revenue Bonds (Charter School-High Point Academy) (A/NR)
1,000,000	4.500		03/01/20	1,019,050
Colorado Educational & Cultural Facilities Authority Revenue Bonds (Charter School-University Laboratory School Project) (ETM) (NR/NR)
120,000	5.250		06/01/11	122,623
Colorado Educational & Cultural Facilities Authority Revenue Bonds (Pinnacle Charter High School) (NR/NR)
1,000,000	5.000		12/01/29	991,340
Colorado Housing & Finance Authority Revenue Bonds (Single Family Mortgage) Series A (FHA) (AAA/Aaa)
600,000	4.200		11/01/18	605,550
430,000	4.350		11/01/19	432,546
450,000	4.600		11/01/20	457,960
Westminster CO Certificates of Participation (Refunding) (MBIA) (AA-/Baa1)
250,000	4.500		12/01/23	258,763
				3,887,832
Florida – 11.1%
Bay County FL School Board Certificates of Participation (Master Lease Program) Series A (AMBAC) (NR/NR)
1,090,000	5.000		07/01/25	1,057,257
1,895,000	5.000		07/01/27	1,792,310

22 The accompanying notes are an integral part of these financial statements.

COMMERCE NATIONAL TAX-FREE INTERMEDIATE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Florida – (continued)
Brevard County FL Health Facilities Authority Revenue Bonds (Health First, Inc. Project) Series 2005 (A-/A3)
$   875,000	5.000	%	04/01/18	$       895,151
Cape Coral FL Gas Tax Revenue Bonds Series A (NR/A2)
795,000	4.375		10/01/19	794,666
Florida Housing Finance Corp. Revenue Bonds (Homeowner Mortgage) Series 2 (GNMA/FNMA/FHLMC) (AA+/Aa1)
1,000,000	4.400		07/01/24	1,006,700
Florida Municipal Loan Council Revenue Bonds Series A (MBIA) (A/Baa1)
1,000,000	5.000		10/01/20	1,032,420
Florida State Community Services Corp.Walton County Water & Sewer Revenue Bonds (Refunding) (AMBAC) (NR/NR)
1,330,000	5.500		03/01/14	1,394,279
Florida State Municipal Power Agency Revenue Bonds (Stanton Project) Series A (NR/A1)
1,175,000	5.000		10/01/18	1,274,722
Gulf Breeze FL Revenue Bonds (Local Government Loan) Series J (A+/Aa3)
1,000,000	4.500		12/01/20	1,059,560
Jupiter County FL (Community Center Project) GO Bonds Series 2001 (AA+/Aa1)
50,000	5.500		07/01/21	58,063
Miami-Dade County FL Aviation Revenue Bonds (Miami International Airport) Series A (A-/A2)
1,000,000	5.250		10/01/23	1,038,970
Miami-Dade County FL Aviation Revenue Bonds (Miami International Airport) Series A-1 (A-/A2)
1,000,000	5.000		10/01/22	1,026,910
1,000,000	5.500		10/01/25	1,060,130
Miami-Dade County FL Expressway Authority Toll Systems Revenue Bonds Series B (FGIC) (A/A3)
1,000,000	5.250		07/01/14	1,103,710
Miami-Dade County FL Water & Sewer Revenue Bonds (Refunding) (XLCA) (A+/Aa2)
2,000,000	5.000		10/01/21	2,112,580
Ocala FL Utility System Revenue Bonds Series A (NR/A1)
540,000	5.000		10/01/17	585,457
Orange County FL School Board Certificates of Participation Series A (FGIC) (AA-/Aa3)
1,000,000	5.000		08/01/16	1,068,330
Osceola County FL School Board Certificates of Participation Series A (FGIC) (A/Aa3)
465,000	5.000		06/01/15	492,007
Palm Beach County FL School Board Certificates of Participation (FGIC) (AA-/Aa3)
1,000,000	5.500		08/01/15	1,134,840
				19,988,062
Georgia – 0.4%
Brunswick GA Water & Sewer Revenue Bonds (Refunding and Improvement) Series 1992 (MBIA) (A/Baa1)
90,000	6.100		10/01/19	98,632

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Georgia – (continued)
Cherokee County GA Water & Sewer Authority Revenue Bonds (Refunding and Improvement) Series 1993 (MBIA) (A/Aa2)
$     55,000	5.500	%	08/01/23	$         63,390
Gainesville & Hall County Hospital Authority Revenue Bonds Anticipation Certificates (Northeast Georgia Healthcare System) Series B (A+/NR)
500,000	4.000		02/15/20	497,575
				659,597
Illinois – 6.8%
Chicago IL Public Building Commission Revenue Bonds (Refunding Chicago School Reform) Series B (FGIC) (A/Aa2)
1,000,000	5.250		12/01/18	1,110,620
Chicago IL Wastewater Transmission Revenue Bonds (Refunding) Series 1993 (FGIC) (A/Aa2)
1,080,000	5.375		01/01/13	1,134,151
Hoffman Estates IL Park District Revenue Bonds (Debt Certificates) Series 2004 (AA/Aa3)
1,000,000	5.250		12/01/23	1,081,660
Illinois Finance Authority Revenue Bonds (Columbia College) (MBIA) (A/Baa1)
2,000,000	5.250		12/01/22	2,056,500
Illinois Finance Authority Revenue Bonds (Poetry Foundation Project) (A+/A1)
470,000	4.850		01/01/26	472,491
490,000	4.900		01/01/27	492,592
1,625,000	5.000		01/01/30	1,620,856
Illinois Finance Authority Revenue Bonds (Refunding-Swedish Covenant) Series A (BBB+/NR)
1,210,000	5.500		08/15/24	1,218,071
Illinois Finance Authority Revenue Bonds (Roosevelt University) (NR/Baa2)
100,000	5.250		04/01/22	101,207
Illinois Finance Authority Revenue Bonds (Roosevelt University) Series 2007 (NR/Baa2)
650,000	5.125		04/01/19	669,578
Illinois Housing Development Authority Revenue Bonds (Refunding Single Family Housing) Series C-1 (AA/Aa3)
255,000	3.700		02/01/13	258,784
Macon & De Witt Counties IL Community Unit School District No. 001 GO Bonds (NATL-RE) (FGIC) (NR/NR)
435,000	6.150		12/01/12	475,103
Metropolitan Pier & Exposition Authority IL Revenue Bonds (Dedicated State Tax) (AMBAC) (AAA/A1)
600,000	5.125		06/01/11	601,668
Peoria County IL Community Unit School District No. 309 GO Bonds (Capital Appreciation-Brimfield School District) Series A (Assured Guaranty) (AAA/NR)(a)
540,000	0.000		04/01/18	397,597

The accompanying notes are an integral part of these financial statements. 23

COMMERCE NATIONAL TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Illinois – (continued)
Will County IL Community Unit School District No. 365 Valley View GO Bonds (Capital Appreciation) Series B (FSA) (AAA/Aa2)(a)
$   635,000	0.000	%	11/01/13	$       589,140
				12,280,018
Indiana – 8.3%
Allen County IN War Memorial Revenue Bonds (Refunding Coliseum Additions Building Corp.) Series A (NR/Aa2)
600,000	5.000		05/01/16	678,672
615,000	5.000		11/01/16	696,721
Elkhart County IN Complex Building Corp. Revenue Bonds (First Mortgage) (AA-/NR)
880,000	4.000		06/01/12	933,443
Elkhart County IN Hospital Authority Revenue Bonds (NR/A1)
390,000	4.750		08/15/11	392,718
Evansville IN Redevelopment Authority Lease Rent Tax Allocation (Build America Bonds-Taxable) Series B (A/Aa3)
250,000	4.930		02/01/17	250,000
675,000	6.050		02/01/23	675,000
3,000,000	6.860		02/01/29	3,017,100
Indiana Bond Bank Revenue Bonds (Special Project-Hendricks Regional Health) Series A (AA/NR)
390,000	5.000		02/01/13	418,965
120,000	5.000		08/01/14	132,397
Indiana Health & Educational Facilities Financing Authority Revenue Bonds (Refunding University of Indianapolis Educational Facilities) (A-/NR)
1,090,000	5.000		10/01/15	1,188,918
Indiana State Finance Authority Lease Revenue Bonds (Refunding) Series A-1 (AA+/Aa2)
500,000	5.000		11/01/13	549,240
Indianpolis Multi-School Building Corp. Revenue Bonds (Refunding First Mortgage) (AA/Baa1)
920,000	3.000		01/15/26	716,376
Mun-Del Building Corp. Delaware County IN Revenue Bonds (Refunding-First Mortgage) (A/NR)
830,000	3.000		07/05/13	839,255
750,000	3.000		01/05/14	756,480
585,000	3.000		07/05/14	584,760
SouthWest Allen IN Multi School Building Corp. Revenue Bonds (First Mortgage) Series A (MBIA) (NR/Aa2)
2,890,000	5.000		01/15/20	2,994,127
				14,824,172
Iowa – 0.1%
Iowa Finance Authority Revenue Bonds (Single Family Mortgage) Series A (GNMA/FNMA) (AAA/Aaa)
180,000	4.300		07/01/16	182,729
Kansas – 1.1%
Lawrence KS Hospital Revenue Bonds (Refunding Lawrence Memorial Hospital) (NR/A3)
750,000	5.250		07/01/12	781,110

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Kansas – (continued)
Neosho County KS Sales Tax Revenue Bonds (MBIA) (ETM) (A/NR)
$   105,000	5.500	%	08/15/11	$       106,244
Olathe KS Health Facilities Revenue Bonds (Refunding) (Olathe Medical Center) Series 2008 (A+/NR)
1,000,000	4.000		09/01/14	1,041,460
				1,928,814
Kentucky – 2.4%
Ashland KY Medical Center Revenue Bonds (Ashland Hospital Corp.) Series B (A+/A1)
1,110,000	5.000		02/01/17	1,196,680
1,000,000	5.000		02/01/23	1,035,810
Kentucky Economic Development Finance Authority Medical Center Revenue Bonds (Ashland Hospital Corp. Kings) Series C (A+/A1)
1,900,000	6.000		02/01/33	2,016,774
				4,249,264
Louisiana – 6.0%
East Baton Rouge LA Mortgage Finance Authority Single Family Revenue Bonds (Mortgage Backed Securities Program) Series A-2 (GNMA/FNMA/FHLMC) (NR/Aaa)
750,000	4.750		10/01/29	757,568
Louisiana Local Government Environmental Facilities Community Development Authority Revenue Bonds (Capital Projects & Equipment Acquisition) (AMBAC) (NR/NR)
2,755,000	5.250		12/01/18	2,769,987
Louisiana Local Government Environmental Facilities Community Development Authority Revenue Bonds (Woman’s Hospital Foundation) Series A (BBB+/A3)
5,000,000	5.500		10/01/25	5,059,000
Tangipahoa Parish LA Hospital Service District No. 1 Revenue Bonds (Refunding North Oaks Medical Center Project) Series A (BBB+/NR)
1,100,000	5.375		02/01/18	1,123,639
1,245,000	5.000		02/01/30	1,123,301
				10,833,495
Maine – 0.2%
Maine State Housing Authority Mortgage Purpose Revenue Bonds (Non AMT) Series J (AA+/Aa1)
300,000	6.500		11/15/28	326,175
Massachusetts – 1.8%
Massachusetts Educational Financing Authority Education Loan Revenue Bonds (Issue I) Series A (AA/NR)
3,075,000	5.100		01/01/25	3,102,798
Massachusetts State Health & Educational Facilities Authority Revenue Bonds (Boston College) Series L (AA-/Aa3)
10,000	5.250		06/01/13	10,029

24 The accompanying notes are an integral part of these financial statements.

COMMERCE NATIONAL TAX-FREE INTERMEDIATE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Massachusetts – (continued)
Massachusetts State Water Resources Authority Revenue Bonds Series A (ETM) (AA+/Aa1)
$     60,000	6.500	%	07/15/19	$         72,657
				3,185,484
Michigan – 2.3%
Genesee County MI Sewage Disposal Systems Revenue Bonds (Interceptors & Treatment Facilities) (FGIC) (A/Aa3)
550,000	4.000		05/01/14	556,567
Grand Valley MI State University Revenue Bonds (FGIC) (A+/NR)
1,500,000	5.300		12/01/24	1,550,325
Grand Valley MI State University Revenue Bonds Series 1998 (FGIC) (A+/NR)
1,080,000	5.500		02/01/18	1,167,210
Ingham County MI GO Bonds Series 1998 (FSA) (AAA/Aa3)
390,000	5.125		11/01/12	408,084
Lake Superior University of Michigan Revenue Bonds (Unrefunded) Series 1997 (MBIA) (A/Baa1)
520,000	5.000		11/15/12	521,404
				4,203,590
Minnesota – 1.6%
Minnesota State Housing Finance Agency Revenue Bonds (Residential) Series A (AA+/Aa1)
650,000	3.800		07/01/17	668,037
St. Paul MN Housing & Redevelopment Authority Health Care Revenue Bonds (Allina Health System) Series A-2 (A+/A1)
1,000,000	5.000		11/15/14	1,114,100
1,000,000	5.000		11/15/19	1,083,510
				2,865,647
Missouri – 1.9%
Kansas City MO Special Obligation Revenue Bonds (Capital Appreciation) Series E (AA-/A1)(a)
110,000	0.000		02/01/14	97,653
125,000	0.000		02/01/15	105,900
305,000	0.000		02/01/17	230,034
Missouri State Development Finance Board Infrastructure Facilities Revenue Bonds (Hartman Heritage Center Phase II) (AMBAC) (A/NR)
1,070,000	5.000		04/01/19	1,099,703
Raytown MO Sewer Revenue Bonds (NR/NR)
275,000	4.625		07/01/24	276,306
St. Charles MO Certificates of Participation Series B (NR/A1)
$1,000,000	5.500		05/01/18	1,037,290
St. Louis County MO Industrial Development Authority Health Facilities Revenue Bonds (Refunding Ranken Jordan Project) (NR/NR)
500,000	5.000		11/15/17	478,515
				3,325,401

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Montana – 0.3%
Montana State Board Housing Revenue Bonds (Single Family Mortgage) Series A-2 (AMT) (AA+/Aa1)
$   275,000	4.350	%	06/01/16	$       273,831
Montana State Board Housing Revenue Bonds (Single Family Mortgage) Series A-2 (AMT) (GO) (AA+/Aa1)
285,000	4.350		12/01/16	283,704
				557,535
Nebraska – 0.6%
Douglas County NE Hospital Authority No. 002 Revenue Bonds (Refunding) (Health Facilities-Childrens Hospital) (NR/A2)
500,000	6.000		08/15/22	545,420
Nebraska Investment Finance Authority Revenue Bonds (Single Family Housing) Series F (GNMA/FNMA/FHLMC) (AAA/NR)
115,000	4.300		09/01/14	118,469
160,000	4.350		03/01/15	161,378
95,000	4.350		09/01/15	95,940
100,000	4.400		09/01/16	100,750
				1,021,957
Nevada – 0.6%
Las Vegas NV Convention & Visitors Authority Revenue Bonds (AMBAC) (A+/Aa2)
1,020,000	5.000		07/01/28	1,024,437
Nye County NV School District GO Bonds (Refunding) Series A (PSF-GTD) (NR/Aaa)
100,000	4.375		05/01/25	102,957
				1,127,394
New Hampshire – 0.4%
New Hampshire State Housing Finance Authority Revenue Bonds (Single Family Mortagage) (Non AMT) (NR/Aa2)
720,000	5.300		07/01/28	756,907
New Jersey – 1.2%
New Jersey State Higher Education Assistance Authority Student Loan Revenue Bonds (Refunding) Series 1A (AA/Aa2)
2,000,000	4.750		12/01/23	2,055,720
Passaic County NJ GO Bonds (Refunding Taxable Pension) Series 2003 (FSA) (NR/Aa3)
100,000	5.750		02/15/21	97,828
				2,153,548
New Mexico – 1.7%
Albuquerque NM Airport Revenue Bonds (Refunding-Subordinated Lien) Series E (A/A1)
2,000,000	5.000		07/01/14	2,188,680
Albuquerque NM Apartment Revenue Bonds (Refunding) (AMT) (AMBAC) (A+/Aa3)
500,000	5.375		07/01/13	514,460

The accompanying notes are an integral part of these financial statements. 25

COMMERCE NATIONAL TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
New Mexico – (continued)
New Mexico Mortgage Finance Authority Revenue Bonds (Single Family Mortgage Program) Class I-B-2 (GNMA/FNMA/FHLMC) (AAA/NR)
$   405,000	4.000	%	09/01/19	$       407,110
				3,110,250
New York – 1.5%
Metropolitan Transportation Authority NY Revenue Bonds Series 2008C (A/A2)
150,000	5.500		11/15/18	165,184
Metropolitan Transportation Authority NY Service Contract Revenue Bonds (Refunding) Series A (AA-/Aa3)
2,000,000	5.100		01/01/21	2,089,520
New York State Dormitory Authority Revenue Bonds (Consolidated City University System) Series A (AA-/Aa3)
325,000	5.750		07/01/13	345,917
New York State Dormitory Authority Revenue Bonds (Unrefunded Balance) Series C (AA-/Aa3)
75,000	7.375		05/15/10	75,147
				2,675,768
North Dakota – 1.4%
Fargo ND Public School District No. 1 GO Bonds Series 2008 (Limited Tax - School Building) (NR/Aa3)
1,000,000	5.000		05/01/23	1,061,530
North Dakota State Housing Finance Agency Mortgage Revenue Bonds (Housing Finance Project) Series B (AMT) (NR/Aa1)
550,000	4.400		07/01/16	567,759
North Dakota State Housing Finance Agency Revenue Bonds (Housing Finance Project) Series B (NR/Aa1)
635,000	4.450		07/01/17	650,596
North Dakota State Housing Finance Agency Revenue Bonds (Housing Home Mortgage Finance Program) Series A (NR/Aa1)
285,000	4.100		07/01/19	290,612
				2,570,497
Ohio – 4.5%
Akron OH Certificates of Participation (Parking Facilities Project) Series A (AMBAC) (A+/NR)
1,250,000	5.000		12/01/16	1,361,975
Cleveland OH Certificates of Participation (Refunding-Cleveland Stadium Project) Series A (A/A2)
1,500,000	4.000		11/15/11	1,553,415
Knox County OH Hospital Facilities Revenue Bonds (Refunding Knox Community Hospital) (Radian) (NR/NR)
2,485,000	5.000		06/01/12	2,502,271
Mid-East OH Career & Technology Centers Certificates of Participation (AA-/NR)
575,000	4.000		12/01/17	582,113
Ohio State Higher Educational Facilities Revenue Bonds (College of Wooster Project) (NR/A1)
520,000	5.000		09/01/14	579,020

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Ohio – (continued)
Ohio State Higher Educational Facility Commission Revenue Bonds (Xavier University) Series C (A-/A3)
$   430,000	4.250	%	05/01/14	$       459,579
1,000,000	5.000		05/01/18	1,094,990
				8,133,363
Oklahoma – 3.0%
McClain County OK Economic Development Authority Educational Facilities Lease Revenue Bonds (Blanchard Public Schools Project) (A-/NR)
1,000,000	4.000		09/01/13	1,041,010
1,000,000	4.850		09/01/18	1,043,770
1,000,000	5.000		09/01/19	1,047,760
Oklahoma County OK Finance Authority Educational Facilities Lease Revenue Bonds (Jones Public School Project) (A-/NR)
2,000,000	5.000		09/01/18	2,130,080
Tulsa OK Industrial Authority Student Housing Revenue Bonds (University of Tulsa) Series 2006 (NR/A2)
150,000	5.250		10/01/26	154,762
				5,417,382
Oregon – 0.8%
Oregon State Housing & Community Services Department Mortgage Revenue Bonds (Single-Family Mortgage) Series E (AMT) (NR/Aa2)
375,000	5.050		07/01/17	384,248
Salem OR Hospital Facility Authority Revenue Bonds Series A (A+/NR)
900,000	5.250		08/15/12	959,382
				1,343,630
Pennsylvania – 3.0%
Greater Latrobe PA School Building Authority Revenue Bonds (Refunding) Series B (FGIC) (NR/Aa3)
1,140,000	5.000		04/01/13	1,222,354
Pennsylvania Housing Finance Agency Revenue Bonds (Single Family Mortgage) (Non AMT) Series 103C (AA+/Aa2)
1,050,000	5.000		10/01/23	1,093,449
Pennsylvania State Higher Education Facilities Authority Revenue Bonds (University of Scranton) Series 2008 (A/NR)
1,140,000	4.500		05/01/14	1,217,098
Philadelphia PA Authority for Industrial Development Revenue Bonds (Mathematics Science & Technology Charter School) (BBB+/NR)
500,000	5.000		08/01/20	501,155
St. Marys PA Area Water Authority Revenue Bonds (BBB+/NR)
1,350,000	4.750		02/01/25	1,361,434
				5,395,490
Puerto Rico – 0.0%
Puerto Rico Electric Power Authority Revenue Bonds (Refunding) (MBIA) (A/A3)
10,000	5.000		07/01/20	10,724

26 The accompanying notes are an integral part of these financial statements.

COMMERCE NATIONAL TAX-FREE INTERMEDIATE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Rhode Island – 0.4%
Rhode Island State Student Loan Revenue Bonds Series 3 (AMBAC) (AMT) (NR/A3)
$   180,000	5.700	%	12/01/12	$       181,148
205,000	5.800		12/01/14	205,779
125,000	5.900		12/01/15	125,433
Rhode Island State Student Loan Revenue Bonds Series 3 (AMBAC) (AMT) (NR/NR)
190,000	5.750		12/01/13	190,956
				703,316
South Carolina – 2.1%
Florence SC Water & Sewer Revenue Bonds (AMBAC) (A+/A1)
390,000	7.500		03/01/11	395,924
Fort Mill SC School Facilities Corp. Revenue Bonds (Installment Purchase Revenue) Series 2006 (NR/Aa3)
550,000	5.250		12/01/22	568,486
Greenville County SC Public Facilities Corp. Certificates of Participation (Refunding University Center Project) (AMBAC) (AA+/Aa1)
700,000	5.000		04/01/16	784,770
Scago Educational Facilities Corp. for Beaufort School District SC Installment Revenue Bonds (AGM) (AAA/Aa2)
175,000	5.500		12/01/15	202,333
Scago Educational Facilities Corp. for Sumter County School District 17 SC Revenue Bonds (AGM) (AAA/Aa3)
255,000	5.500		12/01/15	294,413
Scago Public Facilities Corp. for Georgetown County SC (Refunding-Georgetown County Project) Series A (A+/Aa3)
1,000,000	5.000		12/01/18	1,066,700
Spartanburg County SC School District No. 007 Lease Revenue Bonds (McCarthy Teszler Project) (XLCA) (NR/NR)
500,000	5.000		03/01/22	500,365
				3,812,991
South Dakota – 0.2%
South Dakota Housing Development Authority Revenue Bonds (Homeowner Mortgage-E-1) (AMT) (AAA/Aa1)
185,000	5.150		05/01/11	185,177
South Dakota Housing Development Authority Revenue Bonds (Multiple Purpose) Series A (FSA) (NR/Aa3)
120,000	4.300		11/01/10	120,803
				305,980
Tennessee – 0.1%
Tennessee Housing Development Agency Revenue Bonds (Homeownership Program) (AMT) (GO) (AA+/Aa1)
220,000	4.250		01/01/14	225,760
Texas – 5.0%
Brownsville TX GO Bonds (Refunding) Series 2005 (A+/Aa3)
1,000,000	5.000		02/15/21	1,055,500
710,000	5.000		02/15/22	746,551

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Texas – (continued)
Cash Special Utility District TX Revenue Bonds (Refunding & Improvement) (NATL-RE) (A/Baa1)
$   500,000	5.250	%	09/01/22	$       527,395
Clint TX Independent School District GO Bonds (Refunding) (A/NR)
945,000	3.000		02/15/13	973,756
Corpus Christi TX Utility System Revenue Bonds (Refunding) (FSA) (AAA/Aa3)
375,000	5.000		07/15/12	403,729
Dallas Fort Worth TX International Airport Revenue Bonds (Refunding & Improvement) Series A (FGIC) (A+/A1)
130,000	5.750		11/01/15	135,129
Garland TX Electric Utility System Revenue Bonds Series 2009 (A+/NR)
1,000,000	5.000		03/01/13	1,074,760
Houston County TX Certificate Obligation GO Bonds (A/NR)
235,000	5.000		02/15/20	253,495
590,000	5.000		02/15/24	621,004
620,000	5.000		02/15/25	647,974
Houston TX Community College Systems Revenue Bonds (Unrefunded Balance) (Refunding) (MBIA) (A+/A1)
1,000,000	5.375		04/15/13	1,037,160
San Jacinto TX River Authority Special Project Revenue Bonds (The Woodlands Water Supply Systems) Series 2007 (AMBAC) (A+/NR)
330,000	5.250		10/01/21	342,708
Texas State Department of Housing & Community Affairs Single Family Revenue Bonds (Refunding) (AMT) (FHA/VA Mortgages) (AAA/Aa1)
115,000	4.600		09/01/19	116,222
Texas Woman’s University Financing Systems Revenue Bonds Series 2008 (A/A1)
675,000	5.500		07/01/24	744,829
Weslaco TX Independent School District GO Bonds (Maintenance Tax Notes) Series A (NR/A1)
300,000	4.500		02/15/16	320,901
				9,001,113
Utah – 0.5%
Utah Housing Corporation Single Family Mortgage Revenue Bonds (Refunding) Series A (AAA/Aaa)
490,000	3.600		07/01/15	496,899
445,000	3.850		07/01/16	452,307
				949,206
Virginia – 0.6%
Richmond VA Metropolitan Authority Expressway Revenue Bonds (Refunding) (FGIC) (A/NR)
1,000,000	5.250		07/15/17	1,082,200

The accompanying notes are an integral part of these financial statements. 27

COMMERCE NATIONAL TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Washington – 4.0%
Clark County WA School District No. 114 Evergreen GO Bonds (FSA) (NR/Aa1)(b)
$   330,000	5.375	%	06/01/12	$       361,323
Everett WA Public Facilities District Ltd. Sales Tax & Interlocal Revenue Bonds Series A (A-/NR)
1,000,000	5.000		12/01/24	1,011,900
Puyallup WA Combined Utility Revenue Bonds Series A (AA/NR)
160,000	4.000		11/01/15	170,797
Washington State Health Care Facilities Authority Revenue Bonds (Catholic Health Initiatives) Series D (AA/Aa2)
500,000	6.000		10/01/23	556,795
Washington State Health Care Facilities Authority Revenue Bonds (Overlake Hospital Medical Center) (BBB+/A3)
2,000,000	4.375		07/01/18	2,011,500
1,750,000	5.250		07/01/25	1,767,710
Washington State Higher Education Facilities Authority Revenue Bonds (Refunding-Gonzaga University Project) Series B (NR/A3)
1,200,000	5.000		04/01/29	1,207,656
				7,087,681
Wisconsin – 1.4%
Milwaukee County WI Airport Revenue Bonds (Refunding) Series B (MBIA) (NR/A1)
115,000	5.000		12/01/14	121,579
350,000	5.000		12/01/15	366,961
Monona WI Revenue Bonds Taxable Anticipation Notes (NR/Aa2)
755,000	5.650		09/01/11	764,664
Plymouth WI Combined Utility Revenue Bonds (XLCA) (NR/A2)
230,000	4.375		05/01/12	243,655
Wisconsin State Health & Educational Facilities Authority Revenue Bonds (Children’s Hospital of Wisconsin) (AA-/Aa3)
1,000,000	5.000		08/15/21	1,070,550
				2,567,409
Wyoming – 0.5%
Wyoming Community Development Authority Housing Revenue Bonds Series 7 (AA+/Aa1)
20,000	5.150		12/01/10	20,148
Wyoming Community Development Authority Housing Revenue Bonds Series 8 (AMT) (AA+/Aa1)
165,000	4.250		06/01/14	170,415
280,000	4.250		12/01/14	290,234
385,000	4.300		12/01/15	387,838
				868,635
TOTAL MUNICIPAL BOND OBLIGATIONS
(Cost $166,687,885)				$170,467,954

Principal Amount	Interest Rate		Maturity Date	Value
Short-term Investment(c) – 1.0%
Repurchase Agreement – 1.0%
State Street Bank & Trust Co.
$1,802,000	0.010	%	05/03/10	$    1,802,000
Maturity Value: $1,802,002
(Cost $1,802,000)
TOTAL INVESTMENTS – 96.0%
(Cost $168,489,885)				$172,269,954
OTHER ASSETS IN EXCESS OF LIABILITIES – 4.0%				7,156,898
NET ASSETS – 100.0%				$179,426,852

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
(a)	Issued with a zero coupon. Income is recognized through the accretion of discount.
(b)	Prerefunded security. Maturity date disclosed is prerefunding date.
(c)	Repurchase agreement was entered into on April 30, 2010. This agreement was fully collateralized by $1,840,000 U.S. Treasury Bill, 0.000%, due 09/09/10 with a market value of $1,838,712.
Security ratings disclosed are issued by Standard & Poor’s Ratings Services/Moody’s Investors Service. A description of the ratings is available in the Fund’s Statement of Additional Information.

Investment Abbreviations:
AGM	—Assured Guaranty Municipal Corp.
AMBAC	—Insured by American Municipal Bond Assurance Corp.
AMT	—Alternative Minimum Tax
ETM	—Escrow to Maturity
FGIC	—Insured by Financial Guaranty Insurance Co.
FHA	—Insured by Federal Housing Administration
FHLMC	—Federal Home Loan Mortgage Corp.
FNMA	—Insured by Federal National Mortgage Association
FSA	—Insured by Financial Security Assurance Co.
GNMA	—Government National Mortgage Association
GO	—General Obligation
MBIA	—Insured by Municipal Bond Investors Assurance
NATL-RE	—National Reinsurance Corp.
NR	—Not Rated
PSF-GTD	—Guaranteed by Permanent School Fund
Radian	—Insured by Radian Asset Assurance
VA	—Veterans Administration
XLCA	—Insured by XL Capital Assurance, Inc.

28 The accompanying notes are an integral part of these financial statements.

COMMERCE NATIONAL TAX-FREE INTERMEDIATE BOND FUND

PORTFOLIO COMPOSITION

	AS OF 04/30/10		AS OF 10/31/09
Lease	20.2	%	20.1	%
Hospital	16.3		11.3
Education	13.0		12.9
General Obligations	11.2		17.4
General	7.7		9.4
Water/Sewer	7.6		6.4
Single Family Housing	7.1		10.7
Transportation	6.7		6.1
Student	3.4		0.3
Power	1.5		1.0
Prerefunded/Escrow to Maturity	0.2		1.7
Multi Family Housing	0.1		0.1
Short-term Investment	1.0		2.2
TOTAL INVESTMENTS	96.0	%	99.6	%

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.

The Fund is actively managed and, as such, its composition may differ over time.

The accompanying notes are an integral part of these financial statements. 29

COMMERCE MISSOURI TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – 97.7%
Arizona – 1.6%
Arizona Healthcare & Education Facilities Authority Revenue Bonds (Kirksville College) (A-/NR)
$1,000,000	5.000	%	01/01/25	$    1,008,320
Pima County AZ Certificates of Participation (A+/Aa3)
500,000	4.000		06/01/12	521,960
Pinal City Arizona Unified School District No.1 Florence School Improvement Project of 2006 GO Bonds Series C (A/NR)
1,155,000	5.125		07/01/23	1,212,600
1,215,000	5.150		07/01/24	1,271,716
				4,014,596
Colorado – 0.3%
Colorado Housing & Finance Authority Revenue Bonds (Single Family Mortgage) Series A (FHA) (AAA/Aaa)
650,000	4.350		11/01/19	653,848
Florida – 3.0%
Bay County FL School Board Certificates of Participation (Master Lease Program) Series A (AMBAC) (NR/NR)
4,500,000	5.000		07/01/28	4,215,915
Gulf Breeze FL Revenue Bonds (Local Government Loan) Series J (A+/Aa3)
1,000,000	4.500		12/01/20	1,059,560
Tampa FL Revenue Bonds (Health System-Catholic East) (A/A1)
1,875,000	5.000		11/15/16	2,050,425
				7,325,900
Idaho – 0.4%
Idaho Housing & Finance Association Revenue Bonds (Single Family Mortgage) Series B Class I (NR/Aaa)
995,000	5.250		07/01/29	1,032,273
Illinois – 1.0%
Illinois Finance Authority Revenue Bonds (Refunding-Resurrection Health) (BBB+/Baa1)
1,000,000	5.250		05/15/15	1,053,620
Illinois Finance Authority Revenue Bonds (Refunding-Swedish Covenant) Series A (BBB+/NR)
1,000,000	5.500		08/15/24	1,006,670
Metropolitan Pier & Exposition Authority IL Revenue Bonds (Dedicated State Tax) (Unrefunded-Capital Appreciation) Series A (A/A1)(a)
500,000	0.000		06/15/12	481,440
				2,541,730
Indiana – 1.0%
Evansville IN Redevelopment Authority Lease Rent Tax Allocation (Build America Bonds-Taxable) Series B (A/Aa3)
2,000,000	6.860		02/01/29	2,011,400
Indiana Bond Bank Revenue Bonds (Special Program-Hendricks Regional Health) Series A (AA/NR)
500,000	5.500		02/01/29	541,015
				2,552,415

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Iowa – 0.5%
Iowa Finance Authority Revenue Bonds (Single Family Mortgage) Series E (GNMA/FNMA) (Go of Auth) (AAA/Aaa)
$1,125,000	5.000	%	07/01/23	$    1,175,096
Kentucky – 0.2%
Kentucky Housing Corp. Revenue Bonds Series A (FHA) (AAA/Aaa)
490,000	5.750		07/01/39	517,714
Louisiana – 3.5%
Louisiana Local Government Environmental Facilities & Community Development Authority Revenue Bonds (Refunding-Independence Stadium Project) (A/NR)
1,525,000	5.000		03/01/21	1,598,276
Louisiana Local Government Environmental Facilities & Community Development Authority Revenue Bonds (Woman’s Hospital Foundation) Series A (BBB+/A3)
7,000,000	5.500		10/01/25	7,082,600
				8,680,876
Michigan – 0.4%
River Rouge MI School District GO Bonds (Refunding) (MBIA) (FGIC) (AA-/Aa2)
1,000,000	5.000		05/01/19	1,042,970
Missouri – 82.6%
Belton MO School District No. 124 Direct Deposit Program GO Bonds (Refunding) Series A (AA+/A1)
150,000	4.000		03/01/17	156,977
Belton MO School District No. 124 Direct Deposit Program GO Bonds (Refunding) Series B (AA+/Aa1)
150,000	4.000		03/01/21	156,341
Bi-State Development Agency MO Metro District Revenue Bonds (Refunding-St. Clair County Metrolink Project) (FSA) (AAA/Aa3)
2,000,000	5.250		07/01/20	2,178,960
Bonne Terre MO Certificates of Participation (AMBAC) (NR/NR)
250,000	5.250		11/01/15	265,360
Boone County MO Hospital Revenue Bonds (NR/A3)
1,600,000	5.750		08/01/28	1,660,384
Branson MO Reorganized School District No. R-4 GO Bonds (FSA) (AAA/Aa3)
1,000,000	5.000		03/01/18	1,079,800
1,250,000	5.000		03/01/19	1,339,925
Branson MO Reorganized School District No. R-4 GO Bonds School District Direct Deposit Program (AMBAC) (A+/NR)
300,000	5.500		03/01/14	341,292
Camdenton MO Reorganized School District No. RIII GO Bonds (Refunding & Improvement) (FSA) (AAA/Aa3)
500,000	5.250		03/01/17	575,910
1,000,000	5.250		03/01/21	1,085,760
Campbell MO Reorganized School District No. 2 Direct Deposit Program GO Bonds (Refunding) (AA+/NR)
215,000	1.600		03/01/13	215,615
215,000	1.900		03/01/14	215,267
220,000	2.250		03/01/15	219,998

30 The accompanying notes are an integral part of these financial statements.

COMMERCE MISSOURI TAX-FREE INTERMEDIATE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
Cape Girardeau County MO Industrial Development Authority Health Care Facilities Revenue Bonds (St. Francis Medical Center) Series A (A+/NR)
$   930,000	5.250	%	06/01/11	$       964,512
400,000	5.250		06/01/12	425,160
1,000,000	5.250		06/01/13	1,076,820
1,550,000	5.500		06/01/16	1,637,652
Cass County MO Reorganized School District No. R-2 Raymore-Peculiar Direct Deposit Program GO Bonds (AA+/NR)
1,000,000	5.000		03/01/18	1,121,970
Christian County MO Public Building Corp. Leasehold Revenue Bonds (Refunding-Justice Center Project) (A/NR)
800,000	2.000		06/01/11	805,512
Clay County MO Public School District No. 53 Liberty Direct Deposit Program GO Bonds (Refunding) Series A (FSA) (AAA/Aa3)
1,000,000	5.000		03/01/18	1,030,850
Clay County MO Public School District No. 53 Liberty Direct Deposit Program GO Bonds Series B (FSA) (AAA/Aa3)
1,000,000	5.000		03/01/18	1,030,850
Clay County MO Public School District No. 53 Liberty School Building Direct Deposit Program GO Bonds (AA+/NR)
1,280,000	5.000		03/01/25	1,383,936
2,435,000	5.000		03/01/28	2,593,665
Clay County MO Reorganized School District No. R-1 Kearney Direct Deposit Program GO Bonds (AA+/Aa1)
740,000	5.000		03/01/13	763,547
900,000	5.000		03/01/15	928,638
Clay County MO Reorganized School District No. R-1 Kearney School Building Direct Deposit Program GO Bonds Series B (AA+/Aa1)
695,000	5.000		03/01/21	753,693
650,000	5.000		03/01/22	702,474
Clayton MO Special Obligation Revenue Bonds (Build America Bonds) Series B (AA+/NR)
810,000	5.200		12/01/23	817,873
Clinton MO Certificates of Participation (Refunding & Improvement) (NR/NR)
400,000	5.000		12/01/12	427,544
Cole County MO Certificates of Participation (Jail Project) (NR/Aa3)
660,000	4.300		12/01/19	667,484
1,000,000	4.500		12/01/20	1,019,220
Columbia MO Water & Electricity Revenue Bonds (Unrefunded Balance-Refunding and Improvement) Series A (AA/Aa2)
230,000	4.700		10/01/10	230,570
Des Peres MO Certificates of Participation (Refunding) (AA+/NR)
390,000	3.000		08/01/14	401,755
Florissant MO Certificates of Participation (FGIC) (NR/A1)
330,000	5.000		08/01/11	346,880
560,000	5.000		08/01/12	606,990
485,000	5.000		08/01/15	507,116

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
Florissant MO Certificates of Participation (FGIC) (NR/A1) – (continued)
$   500,000	5.000	%	08/01/16	$       519,270
450,000	5.000		08/01/17	465,080
Fort Zumwalt MO School District Direct Deposit Program GO Bonds Series A (AA+/Aa1)
1,080,000	5.000		03/01/19	1,200,658
Fort Zumwalt MO School District GO Bonds Direct Deposit Program (Refunding) Series A (AA+/Aa1)
700,000	5.000		03/01/17	776,993
935,000	5.000		03/01/18	1,035,606
945,000	5.000		03/01/19	1,037,241
Franklin County MO Public Water Supply District No. 3 Certificates of Participation (Refunding) Series C (FGIC) (NR/NR)
395,000	5.000		12/01/15	413,707
Gladstone MO Certificates of Participation Series A (XLCA) (NR/A1)
475,000	5.000		06/01/23	491,563
Greene County MO Reorganized School District No. R-8 Direct Deposit Program GO Bonds (FSA) (AAA/Aa3)
520,000	5.250		03/01/16	554,330
Harrisonville MO Annual Appropriation Supported Tax Revenue Bonds (Refunding-Harrisonville Towne Center Project) (A+/NR)
1,610,000	4.625		11/01/28	1,500,874
Hickman Mills MO School District No. C-1 Direct Deposit Program GO Bonds (FSA) (AAA/Aa3)
2,300,000	5.000		03/01/19	2,401,913
Jackson County MO Consolidated School District Direct Deposit Program GO Bonds (AA+/NR)
2,365,000	5.000		03/01/25	2,595,635
Jackson County MO Consolidated School District No. 2 Direct Deposit Program GO Bonds (AA+/NR)
1,275,000	5.000		03/01/18	1,323,310
Jackson County MO Consolidated School District No. 2 Direct Deposit Program GO Bonds (MBIA) (AA+/Baa1)
1,250,000	5.000		03/01/22	1,351,350
Jackson County MO Public Building Corp. Leasehold Revenue Bonds (Capital Improvements Project) Series B (NR/Aa3)
530,000	4.500		12/01/19	555,472
555,000	4.500		12/01/20	581,673
Jackson County MO Public Building Corp. Leasehold Revenue Bonds Series A (MBIA) (NR/Aa3)
500,000	5.000		12/01/20	541,545
Jackson County MO Reorganized School District No. 4 Blue Springs GO Bonds (Refunding & Improvement) Series A (AA/NR)
2,000,000	5.000		03/01/29	2,118,340
Jackson County MO School District No. C-1 Hickman School Building Direct Deposit Program GO Bonds (AA+/NR)
500,000	5.000		03/01/24	552,350
Jackson County MO Special Obligation Revenue Bonds (Harry S. Truman Sports Complex) (AMBAC) (A+/Aa3)
1,350,000	5.000		12/01/11	1,428,124
1,360,000	5.000		12/01/22	1,437,071

The accompanying notes are an integral part of these financial statements. 31

COMMERCE MISSOURI TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
Jackson County MO Special Obligation Revenue Bonds Series A (MBIA) (NR/Aa3)
$2,540,000	5.500	%	12/01/12	$    2,636,977
Jefferson County MO Consolidated Public Water Supply District No. C-1 Revenue Bonds (AMBAC) (NR/NR)
1,000,000	5.250		12/01/15	1,067,560
Jefferson County MO Consolidated School District No. 6 Direct Deposit Program GO Bonds (MBIA) (AA+/Baa1)
1,000,000	5.000		03/01/18	1,035,350
2,000,000	5.000		03/01/19	2,064,220
Jefferson County MO Library District Lease Certificates of Participation (Refunding) Series A (A+/NR)
455,000	5.000		03/01/29	457,098
Jefferson County MO Library District Lease Certificates of Participation (Refunding) Series B (A+/NR)
1,270,000	5.000		03/01/29	1,275,855
Johnson County MO Hospital Revenue Bonds (Western MO Medical Center Project) (Radian) (NR/NR)(b)
300,000	5.700		06/01/10	301,158
380,000	5.750		06/01/10	381,478
400,000	5.800		06/01/10	401,572
Joplin MO Industrial Development Authority Health Facilities Revenue Bonds (Freeman Health System Project) (BBB+/NR)
820,000	5.500		02/15/12	845,305
555,000	5.500		02/15/14	580,119
Kansas City MO Land Clearance Revenue Bonds (Refunding & Improvement) Series E (XCLA) (AA-/A1)
1,000,000	5.000		12/01/15	1,092,780
Kansas City MO Metropolitan Community Colleges Building Corp. Leasehold Revenue Bonds (Refunding & Improvement) (FGIC) (NR/Aa2)
1,000,000	5.500		07/01/11	1,054,780
Kansas City MO Metropolitan Community Leasehold Jr. College Revenue Bonds (Refunding & Improvements) (FGIC) (NR/Aa2)
1,075,000	5.000		07/01/17	1,171,632
Kansas City MO Special Obligation Revenue Bonds (Arena Project) (Refunding & Improvements) Series C (AA-/A1)
1,575,000	5.500		04/01/23	1,760,866
Kansas City MO Special Obligation Revenue Bonds (Arena Project) (Refunding & Improvements) Series D (AA-/A1)
310,000	6.431		04/01/18	316,178
Kansas City MO Special Obligation Revenue Bonds (Capital Appreciation) Series E (AA-/A1)(a)
4,465,000	0.000		02/01/18	3,190,600
Kansas City MO Special Obligation Tax Allocation (East Village Project) Series A (AA-/A1)
500,000	5.000		04/15/31	501,150
Kansas City MO Special Obligation Tax Allocation (Refunding-Kansas City Project) Series B (AA-/A1)
500,000	3.000		01/01/15	505,855
Kansas City MO Water Revenue Bonds Series A (AA+/Aa2)(b)
1,640,000	5.750		12/01/10	1,690,578

Principal Amount	Interest Rate		Maturity Date		Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
Kansas City MO Water Revenue Bonds Series C (FGIC) (AA+/Aa2)(b)
$1,885,000	5.000	%	12/01/11		$    2,014,273
Kirkwood MO Certificates of Participation (Build America Bonds Taxable Direct Payment) (NR/Aa2)
500,000	6.050		09/01/30		496,485
Kirkwood MO School District Educational Facilities Authority Leasehold Revenue Bonds for Kirkwood School District R-7 Project Series B (MBIA) (NR/Aa2)
750,000	5.000		02/15/19	��	800,422
Ladue MO School District GO Bonds (Refunding and Improvement) (AAA/NR)
500,000	5.000		03/01/20		560,930
545,000	5.000		03/01/22		609,277
500,000	5.000		03/01/23		556,040
Lee’s Summit MO Water & Sewer Revenue Bonds (Refunding) (AMBAC) (NR/Aa2)
335,000	5.250		07/01/11		352,390
1,000,000	5.250		07/01/12		1,043,020
1,135,000	5.250		07/01/15		1,168,585
Lee’s Summit MO Water & Sewer Revenue Bonds Combination Series A (AMBAC) (NR/Aa2)
480,000	5.000		07/01/20		494,904
Mehville MO School District No. R-9 Certificates of Participation (FSA) (AAA/Aa3)
1,620,000	4.750		03/01/16		1,723,405
850,000	4.750		03/01/17		897,948
Missouri Development Finance Board Cultural Facilities Revenue Bonds (Nelson Gallery Foundation) Series A (MBIA) (AA-/Aa3)(b)
2,410,000	5.250		12/01/11		2,584,701
Missouri School Board Association Lease Certificates of Participation for Liberty Public School District No. 53 (FSA) (AAA/Aa3)
830,000	5.250		03/01/21		916,901
700,000	5.250		03/01/22		769,279
Missouri State Board of Public Buildings Special Obligation Revenue Bonds Series A (AA+/Aa1)
1,000,000	5.000		10/15/20		1,059,250
Missouri State Development Finance Board Infrastructure Facilities (Eastland Center Project) Series A (A/NR)
150,000	4.500		04/01/22		147,954
Missouri State Development Finance Board Infrastructure Facilities (Hartman Heritage Center Phase II) (AMBAC) (A/NR)
300,000	5.000		04/01/13		318,597
1,240,000	5.000		04/01/21		1,273,492
Missouri State Development Finance Board Infrastructure Facilities (Independence-Centerpoint Project) (A/NR)
935,000	4.750		04/01/28		897,890
Missouri State Development Finance Board Infrastructure Facilities Revenue Bonds (Independence Parks Facilities Project) Series D (A/NR)
590,000	4.250		04/01/12		610,426

32 The accompanying notes are an integral part of these financial statements.

COMMERCE MISSOURI TAX-FREE INTERMEDIATE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
Missouri State Development Finance Board Infrastructure Facilities Revenue Bonds (Independence-Events Center) Series F (A/NR)
$1,000,000	6.125	%	04/01/29	$    1,029,060
Missouri State Development Finance Board Infrastructure Facilities Revenue Bonds (Water System) (Refunding) Series E (A/NR)
700,000	4.000		11/01/13	742,091
Missouri State Environmental Improvement & Energy Resources Authority Pollution Control Revenue Bonds (Tri-County Water Authority Project) (Radian) (NR/NR)
445,000	5.600		04/01/11	446,406
1,500,000	6.000		04/01/22	1,504,320
Missouri State Environmental Improvement & Energy Resources Authority Water Facilities Revenue Bonds (Tri-County Water Authority Project) (Refunding) (Radian) (NR/NR)
80,000	5.750		04/01/19	80,216
Missouri State Environmental Improvement & Energy Resources Authority Water Pollution Control Revenue Bonds (Prerefunded-State Revolving Funds Program) Series B (NR/Aaa)(b)
705,000	5.000		01/01/13	778,708
1,715,000	5.125		01/01/13	1,899,911
Missouri State Environmental Improvement & Energy Resources Authority Water Pollution Control Revenue Bonds (State Revolving Funds Program) Series A (NR/Aaa)
400,000	5.500		01/01/23	468,396
Missouri State Environmental Improvement & Energy Resources Authority Water Pollution Control Revenue Bonds (State Revolving Funds Program) Series B (NR/Aaa)
245,000	5.250		01/01/11	246,928
1,115,000	5.000		07/01/17	1,273,765
Missouri State Environmental Improvement & Energy Resources Authority Water Pollution Control Revenue Bonds (Unrefunded Balance State Revolving Funds Program) Series A (NR/Aaa)
185,000	5.125		07/01/11	186,415
435,000	5.200		07/01/12	437,997
Missouri State Environmental Improvement & Energy Resources Authority Water Pollution Control Revenue Bonds (Unrefunded Balance-State Revolving Funds Program) Series B (NR/Aaa)
415,000	5.125		01/01/18	441,705
20,000	5.000		01/01/22	20,992
Missouri State Environmental Improvement & Energy Resources Authority Water Pollution Control Revenue Bonds Series A (Prerefunded State Revolving Funds Program) (NR/Aaa)(b)
25,000	5.125		07/01/10	25,189
100,000	5.200		07/01/10	100,769
Missouri State Health & Educational Facilities Authority Revenue Bonds (BJC Health System) Series 2003 (AA/Aa2)
2,180,000	5.250		05/15/17	2,289,305

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
Missouri State Health & Educational Facilities Authority Revenue Bonds (Children’s Mercy Hospital) (A+/NR)
$1,000,000	5.000	%	05/15/23	$    1,026,290
Missouri State Health & Educational Facilities Authority Revenue Bonds (Cox Health System) (NR/A2)
2,350,000	5.125		11/15/23	2,419,466
Missouri State Health & Educational Facilities Authority Revenue Bonds (SSM Health Care) Series B (AA-/NR)
1,000,000	4.500		06/01/25	1,000,770
Missouri State Health & Educational Facilities Revenue Bonds (Barnes-Jewish, Inc.) Series A (AA/Aa2)
3,035,000	5.250		05/15/14	3,292,580
Missouri State Health & Educational Facilities Revenue Bonds (St. Lukes Health System) Series A (FSA) (AAA/Aa3)
1,000,000	5.000		11/15/19	1,072,010
Missouri State Health & Educational Facility Authority Revenue Bonds (BJC Health System) Series A (AA/Aa2)
$1,225,000	5.000		05/15/18	1,298,010
Missouri State Health & Educational Facility Revenue Bonds (Barnes-Jewish, Inc.) (AA/Aa2)
150,000	6.000		05/15/11	156,497
Missouri State Health & Educational Facility Revenue Bonds (Barnes-Jewish, Inc.) Series A (AMBAC-TCRS) (NR/Aa2)
1,735,000	5.150		05/15/10	1,737,186
Missouri State Health & Educational Facility Revenue Bonds (Lake Regional Health System Project) (BBB+/NR)
510,000	5.000		02/15/14	533,149
Missouri State Health & Educational Facility Revenue Bonds (St. Louis University) (AA-/A1)
1,700,000	5.250		10/01/10	1,704,879
1,000,000	5.500		10/01/12	1,088,930
Missouri State Health & Educational Facility Revenue Bonds (St. Lukes Health System) Series A (FSA) (AAA/Aa3)
250,000	5.000		11/15/10	255,600
2,000,000	5.000		11/15/14	2,186,760
Missouri State Health & Educational Facility Revenue Bonds (University of Missouri-Columbia Arena Project) (AA+/Aa1)
500,000	5.000		11/01/17	519,720
Missouri State Health & Educational Facility Revenue Bonds (Washington University) Series A (AAA/Aaa)
1,050,000	5.000		02/15/17	1,168,482
1,545,000	5.000		02/15/20	1,703,223
120,000	4.750		11/15/37	120,901
Missouri State Highways & Transit Commission Road Revenue Bonds (Federal Reimbursement) Series A (AA+/Aa1)
1,115,000	2.250		05/01/15	1,136,698
Missouri State Highways & Transit Commission Road Revenue Bonds (Second Lien) (AAA/Aa1)
1,165,000	5.250		05/01/18	1,353,858
Missouri State Housing Development Commission Revenue Bonds (Multifamily Housing) Series II (FHA) (AA/NR)
410,000	4.750		12/01/10	412,292

The accompanying notes are an integral part of these financial statements. 33

COMMERCE MISSOURI TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
Missouri State Housing Development Community Mortgage Revenue Bonds (Single Family Homeowner Loan A-1) (AMT) (FNMA/GNMA) (AAA/NR)
$     30,000	5.800	%	09/01/11	$         29,999
25,000	5.900		09/01/12	25,000
25,000	6.000		09/01/13	24,999
Missouri State Regional Convention & Sports Complex Authority Revenue Bonds (Refunding Convention & Sports Facilities Project) Series A-1 (AMBAC) (AA+/Aa2)
2,000,000	5.250		08/15/12	2,166,340
Missouri State Stormwater Control GO Bonds Series A (AAA/Aaa)
300,000	5.250		08/01/16	326,127
Monarch-Chesterfield MO Levee District Revenue Bonds (MBIA) (A/Baa1)
1,000,000	5.450		03/01/14	1,013,010
Neosho MO Reorganized School District No. R-5 GO Bonds (Building-Direct Deposit Program) (FSA) (AAA/Aa3)
1,430,000	5.250		03/01/21	1,567,023
Nixa MO Electric System Revenue Bonds (XLCA) (NR/NR)
1,000,000	4.750		04/01/15	1,052,030
North Kansas City MO Hospital Revenue Bonds (North Kansas City Hospital) Series A (FSA) (AAA/Aa3)
1,000,000	5.000		11/15/18	1,033,580
1,000,000	5.000		11/15/19	1,027,950
North Kansas City MO School District No. 74 Direct Deposit Program GO Bonds (AA+/Aa1)
3,000,000	5.500		03/01/28	3,410,400
Northwest Missouri State University Revenue Bonds (Housing System) (MBIA) (NR/A2)
2,875,000	5.000		06/01/20	2,983,359
O’ Fallon MO Certificates of Participation (MBIA) (NR/Aa3)
1,000,000	5.000		02/01/22	1,008,870
O’ Fallon MO Certificates of Participation (NR/Aa3)
2,130,000	5.250		11/01/17	2,312,307
1,000,000	5.250		11/01/18	1,087,720
2,000,000	5.250		11/01/19	2,166,200
OTC Public Building Corp. MO Leasehold Revenue Bonds (Refunding & Improvement-Ozarks College Project) (FSA) (AAA/Aa3)
740,000	4.900		03/01/16	752,513
OTC Public Building Corp. MO Leasehold Revenue Bonds (Refunding-Ozarks Technical Community College) (FSA) (AAA/NR)
1,500,000	5.000		03/01/19	1,718,445
Ozark MO Reorganized School District No. R-6 GO Bonds (Direct Deposit Program) (FSA) (AAA/Aa3)
440,000	5.000		03/01/22	479,728
Parkville MO GO Notes (Brink Meyer Road Temporary Notes) (SP-1+/NR)
1,520,000	2.250		08/01/11	1,520,304
Parkville MO GO Notes (Brush Creek Drain Temporary Notes) (SP-1+/NR)
2,570,000	2.250		08/01/11	2,570,514

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
Platte County MO GO Bonds for Parkville Neighborhood Improvement Series B (MBIA) (NR/Aa2)
$2,720,000	5.000	%	02/01/22	$    2,908,850
Platte County MO Industrial Development Authority Transportation Revenue Bonds (Refunding and Improvement Zona Rosa Retail Project) (AA-/NR)
435,000	5.000		12/01/18	481,110
850,000	5.000		12/01/20	927,647
Platte County MO Reorganized School District No. R-3 GO Bonds for School Building (FSA) (AAA/Aa3)
1,025,000	4.500		03/01/22	1,070,848
Raytown MO Annual Appropriation-Supported Tax Revenue Bonds (Live Redevelopment Plan Project 1) (A+/NR)
150,000	5.000		12/01/12	157,637
Raytown MO Sewer Revenue Bonds (NR/NR)
100,000	4.625	��	07/01/24	100,475
100,000	4.700		07/01/27	100,227
Ritenour MO School District Direct Deposit Program GO Bonds (AA+/NR)
1,740,000	4.500		03/01/17	1,908,623
Riverside MO Tax Increment Revenue Tax Allocation (L-385 Levee Project) (A/NR)
1,000,000	5.250		05/01/20	1,012,670
Riverside-Quindaro MO Bend Levee District Project Revenue Bonds Series L (Radian) (BBB/NR)
450,000	5.500		03/01/14	471,402
500,000	5.500		03/01/15	521,645
Sikeston MO Electric Revenue Bonds (Refunding) (A/Baa1)
530,000	5.000		06/01/22	531,145
Southeast MO State University Revenue Bonds (Installment Payment Certificates) Series 2002 (XLCA) (NR/NR)
200,000	4.750		04/01/12	200,502
Springfield MO Public Building Corp. Leasehold Revenue Bonds (Taxable-Improvement-Branson National Airport) (NR/Aa2)
540,000	6.750		03/01/28	558,036
575,000	6.850		03/01/29	596,873
Springfield MO Public Utility Revenue Certificates of Participation (Lease Purchase for Various Projects) Series A (MBIA) (AA/A1)
1,000,000	5.000		12/01/18	1,052,030
Springfield MO Special Obligation Revenue Bonds (College Station Garage Project) Series A (NR/Aa3)
190,000	4.500		11/01/18	198,976
530,000	4.500		11/01/19	547,697
610,000	4.500		11/01/20	629,166
645,000	4.750		11/01/21	673,064
685,000	4.750		11/01/22	711,222
Springfield MO Special Obligation Revenue Bonds (Heers Garage Project) Series B (NR/Aa3)
385,000	4.750		11/01/21	401,751
405,000	4.750		11/01/22	420,503
St. Charles County MO Community College GO Bonds (Refunding) (MBIA) (NR/Aa1)
2,585,000	5.000		02/15/17	2,969,881

34 The accompanying notes are an integral part of these financial statements.

COMMERCE MISSOURI TAX-FREE INTERMEDIATE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
St. Charles County MO Public Water Supply District No. 2 Certificates of Participation (AA/NR)
$2,115,000	4.000	%	12/01/20	$   2,120,182
100,000	5.200		12/01/31	104,565
St. Charles County MO Public Water Supply District No. 2 Certificates of Participation Series B (Refunding) (NR/Baa1)
530,000	5.000		12/01/12	560,899
St. Charles County MO Water Supply District No. 2 Certificates of Participation (AA/NR)
650,000	5.375		12/01/36	674,492
St. Charles MO Community College Educational Facilities Authority Leasehold Revenue Bonds (NR/Aa2)
100,000	5.250		06/01/19	106,507
735,000	5.200		06/01/24	780,298
St. Louis County MO Industrial Development Authority Health Facilities Revenue Bonds (Refunding-Ranken Jordan Project) (NR/NR)
490,000	5.000		11/15/15	482,797
515,000	5.000		11/15/16	500,755
St. Louis County MO Parkway School District No. C-2 GO Bonds (Refunding & Improvement) (AAA/NR)
400,000	3.250		03/01/19	412,392
St. Louis County MO Rockwood School District No. R-6 GO Bonds Series A (AAA/NR)(b)
1,315,000	5.000		02/01/13	1,456,744
St. Louis MO Airport Revenue Bonds (Lambert St. Louis International Airport) Series A (A/Baa1)
1,955,000	4.000		07/01/10	1,961,197
St. Louis MO Airport Revenue Bonds (Refunding for Lambert International Airport) Series B (AMT) (FSA) (AAA/Aa3)
2,000,000	5.000		07/01/24	1,942,580
St. Louis MO Airport Revenue Bonds (Refunding for Lambert/St. Louis International Airport) (MBIA) (FGIC) (A/Baa1)
185,000	5.125		07/01/12	186,339
St. Louis MO Airport Revenue Bonds (Refunding-Lambert International Airport) (FGIC) (A/Baa1)
100,000	5.125		07/01/15	100,724
St. Louis MO Junior College District Building Corp. Leasehold Revenue Bonds (AA/NR)
355,000	3.000		04/01/11	360,865
100,000	4.000		04/01/16	105,929
St. Louis MO Municipal Finance Corp. Leasehold Revenue Bonds (Refunding City Justice Center) Series A (AMBAC) (A/NR)
700,000	5.250		02/15/15	721,511
St. Louis MO Parking Facility Revenue Bonds (Downtown Parking Facilities Subordinated A) (NR/NR)(b)
900,000	5.500		02/01/12	953,163
St. Louis MO Parking Revenue Bonds (Taxable) Series B (A/Baa1)
100,000	5.140		12/15/14	102,341
St. Louis MO Special Administrative Board Transitional School District GO Bonds (Direct Deposit Program) (AA+/NR)
4,250,000	5.000		04/01/21	4,616,477

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Missouri – (continued)
Taney County MO Certificates of Participation (MBIA) (NR/A1)
$1,095,000	4.500	%	04/01/17	$    1,127,576
Taney County MO Reorganized School District No. R-V Hollister School District Direct Deposit Program GO Bonds (Refunding & Improvement) (FSA) (AAA/Aa3)
1,100,000	5.000		03/01/18	1,153,284
1,050,000	5.000		03/01/21	1,166,571
Troy MO Reorganized School District No. 3 Lincoln County Direct Deposit Program (AA+/NR)
1,000,000	5.000		03/01/17	1,061,540
University of Missouri Revenue Bonds System Facilities (Refunding) Series B (AA/Aa1)
375,000	5.375		11/01/14	399,416
Warrensburg MO Certificates of Participation (Refunding & Improvement) (A/NR)
225,000	3.000		09/01/12	230,387
Washington MO School District Direct Deposit GO Bonds (Refunding) (FSA) (AAA/Aa3)
1,000,000	5.250		03/01/13	1,109,970
Willard MO Certificates of Participation (Parks & Recreation Project) Series B (A/NR)
625,000	6.625		06/01/28	734,000
				203,067,058
Oregon – 0.7%
Salem OR Hospital Facility Authority Revenue Bonds Series A (A+/NR)
1,500,000	5.250		08/15/17	1,640,055
Pennsylvania – 0.4%
St. Marys PA Area Water Authority Revenue Bonds (BBB+/NR)
1,000,000	4.750		02/01/25	1,008,470
Puerto Rico – 0.3%
Puerto Rico Electric Power Authority Revenue Bonds (Refunding) (MBIA) (A/A3)
555,000	5.000		07/01/22	588,750
Texas – 0.8%
Garland TX Electric Utility System Revenue Bonds (A+/NR)
1,015,000	5.000		03/01/14	1,098,819
Mansfield TX GO Certificates (AA/Aa2)
700,000	5.750		02/15/22	789,117
				1,887,936
Washington – 1.0%
Washington State Health Care Facilities Authority Revenue Bonds (Overlake Hospital Medical Center) (BBB+/A3)
2,500,000	5.250		07/01/25	2,525,300
TOTAL MUNICIPAL BOND OBLIGATIONS
(Cost $232,659,480)				$240,254,987

The accompanying notes are an integral part of these financial statements. 35

COMMERCE MISSOURI TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Short-term Investment(c) – 3.6%
Repurchase Agreement – 3.6%
State Street Bank & Trust Co.
$8,954,000	0.010	%	05/03/10	$    8,954,000
Maturity Value: $8,954,007
(Cost $8,954,000)
TOTAL INVESTMENTS – 101.3%
(Cost $241,613,480)				$249,208,987
LIABILITIES IN EXCESS OF OTHER ASSETS – (1.3)%				(3,230,603)
NET ASSETS – 100.0%				$245,978,384

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
(a)	Issued with a zero coupon. Income is recognized through the accretion of discount.
(b)	Prerefunded security. Maturity date disclosed is prerefunding date.
(c)	Repurchase agreement was entered into on April 30, 2010. This agreement was fully collateralized by $9,140,000 U.S. Treasury Bill, 0.000% due 09/09/10 with a market value of $9,133,602.
Security ratings disclosed are issued by Standard & Poor’s Ratings Services/Moody’s Investors Service. A description of the ratings is available in the Fund’s Statement of Additional Information.

Investment Abbreviations:
AMBAC	—Insured by American Municipal Bond Assurance Corp.
AMBAC-TCRS	—Insured by American Municipal Bond Assurance Corp. - Transferable Custodial Receipts
AMT	—Alternative Minimum Tax
FGIC	—Insured by Financial Guaranty Insurance Co.
FHA	—Insured by Federal Housing Administration
FNMA	—(Insured by) Federal National Mortgage Association
FSA	—Insured by Financial Security Assurance Co.
GNMA	—Government National Mortgage Association
GO	—General Obligation
MBIA	—Insured by Municipal Bond Investors Assurance
NR	—Not Rated
Radian	—Insured by Radian Asset Assurance
XLCA	—Insured by XL Capital Assurance, Inc.

PORTFOLIO COMPOSITION

		AS OF 04/30/10		AS OF 10/31/09
General Obligations		26.9	%	28.5	%
Lease		21.2		18.9
Hospital		16.8		12.3
General		9.0		8.6
Water/Sewer		5.1		6.1
Transportation		5.0		5.3
Education		4.5		5.1
Prerefunded/Escrow to Maturity		4.0		5.8
Crossover		2.2		2.5
Single Family Housing		1.4		2.5
Power		1.4		1.2
Multi Family Housing		0.2		0.4
Student		—		0.7
Short-term Investment		3.6		2.2
TOTAL INVESTMENTS	��	101.3	%	100.1	%

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.

The Fund is actively managed and, as such, its composition may differ over time.

36 The accompanying notes are an integral part of these financial statements.

COMMERCE KANSAS TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – 98.4%
Arizona – 0.6%
Arizona Healthcare & Education Facilities Authority Revenue Bonds (Kirksville College) (A-/NR)
$   450,000	5.000	%	01/01/25	$     453,744
Florida – 2.4%
Bay County FL School Board Certificates of Participation (Master Lease Program) Series A (AMBAC) (NR/NR)
1,445,000	5.000		07/01/28	1,353,777
Tampa FL Revenue Bonds (Health System-Catholic East) (A/A1)
500,000	5.000		11/15/16	546,780
				1,900,557
Indiana – 4.4%
Evansville IN Redevelopment Authority Lease Rent Tax Allocation (Build America Bonds-Taxable) Series B (A/Aa3)
1,000,000	6.860		02/01/29	1,005,700
Indiana Bank Revenue Bonds (Special Program-Clark Memorial Hospital) Series D (AA/NR)
1,095,000	5.000		02/01/17	1,179,162
North West Hendricks Multi School Building Corp. Industry (First Mortgage) Series A (AAA/Aa3)
1,300,000	5.000		01/15/31	1,341,353
				3,526,215
Iowa – 1.1%
Iowa Finance Authority Single Family Mortgage Revenue Bonds Series E (GNMA/FNMA) (Go of Auth) (AAA/Aaa)
295,000	3.700		01/01/14	299,390
585,000	5.000		07/01/23	611,050
				910,440
Kansas – 80.4%
Augusta KS Electric Systems Revenue Bonds (AMBAC) (NR/NR)
1,000,000	4.750		08/01/17	1,031,650
Chisholm Creek Utility Authority KS Water and Wastewater Facilities Revenue Bonds (Refunding) (AMBAC) (NR/NR)
1,000,000	5.250		09/01/24	1,116,670
Cowley County KS Unified School District No. 470 Arkansas City GO Bonds (Refunding) (A/NR)
940,000	4.000		09/01/17	986,201
235,000	4.000		09/01/18	243,446
Derby KS GO Bonds (Refunding) Series B (AMBAC) (NR/Aa3)
440,000	5.000		12/01/13	461,164
Derby KS GO Bonds Series A (AMBAC) (NR/Aa3)(a)
310,000	4.900		12/01/11	331,030
Dodge City KS Unified School District No. 443 Ford County Certificates of Participation (Lease Purchase Agreement) (NR/A2)
500,000	2.000		12/01/11	502,080
1,015,000	2.000		12/01/13	1,004,261
Dodge City KS Unified School District No. 443 GO Bonds (Refunding) (FGIC) (NR/A1)
1,450,000	5.000		03/01/12	1,505,448

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Kansas – (continued)
Douglas County KS GO Bonds (Refunding Sales Tax) Series A (AMBAC) (NR/Aa2)
$1,000,000	5.000	%	08/01/12	$  1,088,790
Harvey County KS School District No. 373 GO Bonds (Refunding & Improvement) (FSA) (AAA/Aa3)
495,000	5.000		09/01/15	551,331
Johnson County KS Community College Certificate of Participation (Improvement) (NR/Aaa)
765,000	4.000		04/01/13	799,165
Johnson County KS GO Bonds (Internal Improvement) Series A (AAA/Aaa)
1,000,000	5.000		09/01/21	1,052,550
Johnson County KS Unified School District No. 231 GO Bonds (Refunding & Improvement) Series A (FGIC) (AA-/NR)
500,000	6.000		10/01/16	582,060
1,770,000	5.000		10/01/18	1,898,396
Johnson County KS Unified School District No. 231 GO Bonds (Refunding & Improvement) Series A (FSA) (AAA/Aa3)
375,000	5.125		04/01/11(a)	391,245
625,000	5.125		10/01/16	639,588
Johnson County KS Unified School District No. 231 GO Bonds (Refunding & Improvement) Series B (AMBAC) (AA-/NR)
925,000	5.000		10/01/22	995,726
975,000	5.000		10/01/23	1,043,796
Johnson County KS Unified School District No. 232 GO Bonds (Refunding & Improvement) (NR/Aa3)
200,000	5.000		03/01/15	222,574
Johnson County KS Water District No. 001 Revenue Bonds (Refunding) (ADFA) (GTD) (AAA/Aaa)
275,000	5.000		12/01/19	286,707
Kansas State Department of Transportation Highway Revenue Bonds (Refunding) (AMBAC-TCRS BNY) (AAA/Aa1)
290,000	5.500		09/01/10	294,831
Kansas State Department of Transportation Highway Revenue Bonds (Refunding) (ETM) (AAA/Aa1)
300,000	5.500		09/01/12	332,742
Kansas State Department of Transportation Highway Revenue Bonds Series A (AAA/Aa2)(a)
340,000	5.000		09/01/10	345,141
Kansas State Development Finance Authority Health Facilities Revenue Bonds Series 2005 (Hays Medical Center) (MBIA) (NR/A2)(b)
1,915,000	3.750		05/15/26	1,929,573
Kansas State Development Finance Authority Hospital Revenue Bonds (Adventist Health) (AA-/A1)
1,000,000	5.500		11/15/23	1,073,570
Kansas State Development Finance Authority Hospital Revenue Bonds (Adventist Health) Series D (AA-/A1)
800,000	5.000		11/15/24	818,624
Kansas State Development Finance Authority Lease Revenue Bonds (Juvenile Justice Authority) Series D (MBIA) (AA/Baa1)
1,270,000	5.250		05/01/13	1,320,800

The accompanying notes are an integral part of these financial statements. 37

COMMERCE KANSAS TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Kansas – (continued)
Kansas State Development Finance Authority Lease Revenue Bonds (State Capitol Project V-I-A) (FSA) (AAA/Aa3)(a)
$   500,000	5.000	%	10/01/10	$     509,515
Kansas State Development Finance Authority Revenue Bonds (Athletic Facilities) Series C (A/A1)
1,375,000	4.750		06/01/25	1,405,401
Kansas State Development Finance Authority Revenue Bonds (Athletic Facilities) Series R (A/NR)
350,000	5.000		07/01/14	350,942
Kansas State Development Finance Authority Revenue Bonds (Board of Regents University Housing) Series A (MBIA) (A/A1)
1,150,000	5.000		04/01/24	1,196,563
Kansas State Development Finance Authority Revenue Bonds (El Dorado Department of Corrections Refunding Project A1) (MBIA) (AA/Baa1)
100,000	5.000		08/01/10	100,269
400,000	5.000		02/01/12	401,076
Kansas State Development Finance Authority Revenue Bonds (Juvenile Justice Authority) Series D (MBIA) (AA/Baa1)
400,000	5.000		05/01/12	415,948
Kansas State Development Finance Authority Revenue Bonds (Kansas State Projects) Series J (AMBAC) (AA/NR)(a)
450,000	5.000		08/01/13	505,071
Kansas State Development Finance Authority Revenue Bonds (Kansas State Projects) Series J (Unrefunded Balance) (AMBAC) (AA/NR)
1,600,000	5.000		08/01/17	1,703,088
Kansas State Development Finance Authority Revenue Bonds (Kansas State Projects) Series K (MBIA) (AA/Aa2)
1,000,000	5.250		11/01/22	1,107,470
Kansas State Development Finance Authority Revenue Bonds (Kansas State Projects) Series W (ETM) (MBIA) (AA/NR)
20,000	4.000		10/01/11	20,985
Kansas State Development Finance Authority Revenue Bonds (Public Water Supply Revolving Loan-2) (AMBAC) (AAA/Aaa)(a)
705,000	5.500		04/01/12	768,936
Kansas State Development Finance Authority Revenue Bonds (Public Water Supply Revolving Loan-DW) (AAA/Aaa)
1,500,000	6.000		04/01/27	1,615,590
Kansas State Development Finance Authority Revenue Bonds (Refunding-Wichita State University Housing System-P) (AMBAC) (A+/NR)
600,000	5.000		06/01/13	639,636
630,000	5.000		06/01/14	666,320
300,000	5.000		06/01/16	312,330
Kansas State Development Finance Authority Revenue Bonds (Transportation Revolving Fund Trust) (AA+/Aa1)
1,105,000	5.000		10/01/21	1,195,566
Kansas State Development Finance Authority Revenue Bonds (University of Kansas Athletic Facilities Refunding) Series K (A/A1)
1,015,000	5.000		06/01/17	1,074,662

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Kansas – (continued)
Kansas State Development Finance Authority Revenue Bonds (Water Pollution Control Revolving Fund II) (AAA/Aaa)
$   280,000	5.500	%	05/01/17	$     331,979
Lawrence KS Hospital Revenue Bonds (Refunding Lawrence Memorial Hospital) (NR/A3)
550,000	5.250		07/01/10	552,470
1,000,000	5.375		07/01/14	1,063,510
455,000	5.375		07/01/15	480,953
Leavenworth County KS Unified School District No. 464 Tonganoxie GO Bonds (Improvement) Series A (MBIA) (A/Baa1)
150,000	5.000		09/01/20	161,210
Leaveworth County KS Unified School District No. 458 GO Bonds (Refunding & Improvement) Series A (NR/Aa3)
1,100,000	5.250		09/01/27	1,198,901
315,000	5.250		09/01/29	337,516
Lyons KS Public Building Commission Revenue Bonds (A/NR)
315,000	5.000		10/01/23	337,752
Manhattan KS Hospital Revenue Bonds (Mercy Health Center) (FSA) (AAA/Aa3)
515,000	5.250		08/15/10	521,556
Miami County Unified School District No. 416 Louisburg, KS GO Bonds (Refunding and Improvement) (MBIA) (A/Baa1)
1,650,000	5.000		09/01/17	1,783,369
Olathe KS Health Facilities Revenue Bonds (Medical Center Project) Series 2008 (A+/NR)
1,195,000	5.125		09/01/21	1,257,056
Olathe KS Health Facilities Revenue Bonds (Medical Center Project) Series A (AMBAC) (A+/NR)
500,000	5.500		09/01/10	507,425
Pittsburg KS GO Bonds (Refunding) (FSA) (NR/Aa3)
415,000	5.500		09/01/11	439,066
Reno County KS Unified School District No. 308 Hutchinson GO Bonds Series A (MBIA) (NR/Aa3)
500,000	4.500		09/01/22	512,515
Reno County KS Unified School District No. 308 Hutchinson GO Bonds Series A (NR/Aa3)
400,000	5.500		09/01/15	453,252
Saline County KS Unified School District No. 305 Salina GO Bonds (FSA) (NR/Aa2)
230,000	5.500		09/01/16	242,774
Saline County KS Unified School District No. 305 Salina GO Bonds (Unrefunded Balance) (FSA) (NR/Aa2)
70,000	5.500		09/01/16	72,721
Scott County KS Unified School District No. 466 GO Bonds (Refunding) (FGIC) (A/NR)
680,000	5.250		09/01/14	726,199
Scott County KS Unified School District No. 466 GO Bonds (Refunding) (FGIC) (NR/NR)(a)
670,000	5.250		09/01/12	737,637
Sedgwick County KS GO Bonds Series A (AAA/Aaa)
205,000	4.150		08/01/10	206,892

38 The accompanying notes are an integral part of these financial statements.

COMMERCE KANSAS TAX-FREE INTERMEDIATE BOND FUND

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Kansas – (continued)
Sedgwick County KS Public Building Commission Revenue Bonds (Technical Education Complex Project) Series 2008-1 (NR/Aaa)
$1,000,000	5.250	%	08/01/26	$  1,119,700
Sedgwick County Unified School District No. 261 (Refunding & School Improvement) (FSA) (AAA/NR)
1,500,000	5.000		11/01/32	1,570,530
Shawnee County KS Unified School District No. 501 GO Bonds (NR/Aa2)(a)
500,000	5.000		02/01/12	537,090
Topeka KS GO Bonds (Refunding) Series B (NR/Aa2)
1,800,000	4.000		08/15/13	1,952,406
Topeka KS GO Bonds Series A (XLCA) (NR/Aa2)
100,000	4.000		08/15/16	101,325
Topeka KS Public Building Commission Revenue Bonds (Refunding 10th & Jackson Project) Series A (MBIA) (AA/Baa1)
535,000	5.000		06/01/16	611,526
1,000,000	5.000		06/01/23	1,112,290
Topeka KS Public Building Commission Revenue Bonds (Refunding Department of Social and Rehabilitation Project) Series B (MBIA) (AA/Baa1)
300,000	5.000		06/01/23	331,455
475,000	5.000		06/01/24	523,754
University of Kansas Hospital Authority Health Facilities Revenue Bonds (Kansas University Health System) (ETM) (Go of Auth) (AAA/NR)
200,000	5.500		09/01/11	212,802
1,000,000	6.000		09/01/12(a)	1,115,700
Wichita KS Water & Sewer Utility Revenue Bonds Series 2003 (FGIC) (A/Aa2)
1,000,000	5.000		10/01/19	1,053,320
Wyandotte County KS School District No. 204 GO Bonds Bonner Springs (Prerefunded) Series 2000 A (ETM) (FSA) (NR/Aa3)
215,000	6.375		09/01/11	231,832
Wyandotte County KS School District No. 204 GO Bonds Bonner Springs (Refunding & Improvement) Series A (FGIC) (NR/A1)
1,595,000	5.000		09/01/21	1,682,422
Wyandotte County KS School District No. 204 GO Bonds Bonner Springs (Unrefunded Balance) Series 2000 A (FSA) (NR/Aa3)
85,000	6.375		09/01/11	90,670
Wyandotte County KS Unified Government GO Bonds (Refunding) Series A (FSA) (AAA/Aa3)
1,000,000	5.000		09/01/11	1,050,770
Wyandotte County KS Unified School District No. 202 GO Bonds (Refunding) Series A (AMBAC) (A+/NR)
1,000,000	5.250		09/01/17	1,124,490
Wyandotte County KS Unified School District No. 500 GO Bonds (Refunding) (FSA) (AAA/Aa2)
160,000	5.000		09/01/12	173,688

Principal Amount	Interest Rate		Maturity Date	Value
Municipal Bond Obligations – (continued)
Kansas – (continued)
Wyandotte County KS Unified School District No. 500 GO Bonds (Refunding) (FSA) (AAA/Aa2) – (continued)
$   625,000	5.250	%	09/01/16	$     718,600
				64,077,650
Kentucky – 1.4%
Kentucky Economic Development Finance Authority Medical Center Revenue Bonds (Kings Daughters Medical) (A+/A1)
1,000,000	5.000		02/01/17	1,078,090
Louisiana – 2.5%
Louisiana Local Government Environmental Facilities & Community Development Authority Revenue Bonds (Woman’s Hospital Foundation) Series A (BBB+/A3)
2,000,000	5.500		10/01/25	2,023,600
Massachusetts – 0.6%
Massachusetts Educational Financing Authority Education Loan Revenue Bonds (Issue I) Series A (AA/NR)
500,000	5.300		01/01/30	503,720
Oregon – 0.7%
Salem OR Hospital Facility Authority Revenue Bonds Series A (A+/NR)
500,000	5.250		08/15/18	542,545
Puerto Rico – 3.3%
Puerto Rico Commonwealth GO Bonds (Refunding & Public Improvement) Series A (MBIA) (A/A3)
475,000	5.500		07/01/16	519,745
Puerto Rico Commonwealth Highway & Transportation Authority Highway Revenue Bonds (Refunding) Series X (FSA) (AAA/Aa3)
425,000	5.500		07/01/15	468,129
Puerto Rico Commonwealth Highway & Transportation Authority Highway Revenue Bonds Series Y (BBB+/A2)
500,000	6.250		07/01/13	549,665
Puerto Rico Commonwealth Highway & Transportation Authority Revenue Bonds (Prerefunded) Series G (FGIC) (BBB/Aaa)(a)
655,000	5.250		07/01/13	738,198
Puerto Rico Commonwealth Highway & Transportation Authority Revenue Bonds (Unrefunded Balance) Series G (FGIC) (BBB/Baa3)
345,000	5.250		07/01/21	353,635
				2,629,372
Washington – 1.0%
Washington State Health Care Facilities Authority Revenue Bonds (Overlake Hospital Medical Center) (BBB+/A3)
750,000	5.250		07/01/25	757,590
TOTAL MUNICIPAL BOND OBLIGATIONS
(Cost $75,911,922)				$78,403,523

The accompanying notes are an integral part of these financial statements. 39

COMMERCE KANSAS TAX-FREE INTERMEDIATE BOND FUND

Schedule of Investments (continued)

April 30, 2010 (Unaudited)

Principal Amount	Interest Rate		Maturity Date	Value
Short-term Investment(c)  – 2.1%
Repurchase Agreement – 2.1%
State Street Bank & Trust Co.
$1,674,000	0.010	%	05/03/10	$  1,674,000
Maturity Value: $1,674,001
(Cost $1,674,000)
TOTAL INVESTMENTS – 100.5%
(Cost $77,585,922)				$80,077,523
LIABILITIES IN EXCESS OF OTHER ASSETS – (0.5)%				(422,003)
NET ASSETS – 100.0%				$79,655,520

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.
(a)	Prerefunded security. Maturity date disclosed is prerefunding date.
(b)	Variable rate security. Interest rate disclosed is that which is in effect at April 30, 2010.
(c)	Repurchase agreement was entered into on April 30, 2010. This agreement was fully collateralized by $1,710,000 U.S. Treasury Bill, 0.000%, due 09/09/10 with a market value of $1,708,803.

Security ratings disclosed are issued by Standard & Poor’s Ratings Services/Moody’s Investors Service. A description of the ratings is available in the Fund’s Statement of Additional Information.

Investment Abbreviations:
ADFA	—Arkansas Development Finance Authority
AMBAC	—Insured by American Municipal Bond Assurance Corp.
AMBAC-TCRS	—Insured by American Municipal Bond Assurance Corp. - Transferable Custodial Receipts
BNY	—Insured by Bank of New York-Mellon Corp.
ETM	—Escrow to Maturity
FGIC	—Insured by Financial Guaranty Insurance Co.
FNMA	—Federal National Mortgage Association
FSA	—Insured by Financial Security Assurance Co.
GNMA	—Government National Mortgage Association
GO	—General Obligation
GTD	—Guaranteed
MBIA	—Insured by Municipal Bond Investors Assurance
NR	—Not Rated
XLCA	—Insured by XL Capital Assurance, Inc.

40 The accompanying notes are an integral part of these financial statements.

COMMERCE KANSAS TAX-FREE INTERMEDIATE BOND FUND

PORTFOLIO COMPOSITION

	AS OF 04/30/10		AS OF 10/31/09
General Obligations	38.9	%	43.8	%
Hospital	17.9		13.5
Lease	12.7		9.7
Prerefunded/Escrow to Maturity	8.9		8.9
Education	6.2		6.5
Water/Sewer	4.1		4.3
Transportation	3.1		3.7
General	3.3		2.1
Student	0.6
Power	1.3		2.1
Single Family Housing	1.1		1.5
Crossover	0.3		0.3
Short-term Investment	2.1		1.7
TOTAL INVESTMENTS	100.5	%	98.1	%

The percentage shown for each investment category reflects the value of investments in that category as a percentage of net assets.

The Fund is actively managed and, as such, its composition may differ over time.

The accompanying notes are an integral part of these financial statements. 41

COMMERCE FUNDS

Statements of Assets and Liabilities

April 30, 2010 (Unaudited)

	Growth Fund			Value Fund			MidCap Growth Fund
Assets:
Investments in securities, at value (identified cost $104,857,505, $60,605,541, $45,556,434, $572,939,421, $117,596,278, $168,489,885, $241,613,480 and $77,585,922, respectively)	$	116,331,519		$	65,354,121		$	55,032,128
Cash		398			236			917
Receivables:
Interest and dividends		73,868			101,342			13,052
Investment securities sold		—			—			—
Fund shares sold		59,821			3,029			4,017
Reimbursement from adviser		5,187			1,467			—
Other assets		11,854			1,583			2,601
Total Assets		116,482,647			65,461,778			55,052,715
Liabilities:
Due to custodian		—			—			—
Payables:
Investment securities purchased		—			—			—
Income distributions		—			—			—
Fund shares redeemed		13,498			20,807			22,151
Advisory fees		72,997			40,655			34,051
Deferred trustee fess		47,285			29,446			20,497
Administrative fees		14,599			8,131			6,810
Accrued expenses		44,828			35,629			38,646
Total Liabilities		193,207			134,668			122,155
Net Assets:
Paid-in capital		116,440,332			78,022,160			49,554,035
Accumulated undistributed (distribution in excess of) net investment income (loss)		244,717			37,533			(65,303	)
Accumulated net realized gain (loss) from investment transactions		(11,869,623	)		(17,481,163	)		(4,033,866	)
Net unrealized gain on investments		11,474,014			4,748,580			9,475,694
Net Assets	$	116,289,440		$	65,327,110		$	54,930,560
Shares Outstanding/Net Asset Value:
Total shares outstanding, no par value (unlimited number of shares authorized):		4,750,748			3,370,546			1,881,291
Net asset value (net assets/shares outstanding)	$	24.48		$	19.38		$	29.20

42 The accompanying notes are an integral part of these financial statements.

COMMERCE FUNDS

Bond Fund			Short-Term Government Fund			National Tax-Free Intermediate Bond Fund		Missouri Tax-Free Intermediate Bond Fund			Kansas Tax-Free Intermediate Bond Fund
$	604,240,321		$	121,159,588		$	172,269,954	$	249,208,987		$	80,077,523
	943			355			—		662			561
	5,432,150			749,225			2,091,767		3,052,675			865,275
	—			—			10,968,025		—			—
	639,607			51,321			128,443		260,011			1,917
	—			23,837			22,232		28,364			14,818
	57,593			11,326			15,924		26,169			9,326
	610,370,614			121,995,652			185,496,345		252,576,868			80,969,420
	—			—			589,390		—			—
	3,613,479			—			4,716,629		4,818,841			1,000,000
	2,103,986			221,655			519,823		624,771			202,210
	87,982			213,330			56,268		923,275			12,543
	246,394			50,237			73,575		101,301			32,494
	155,376			42,372			44,409		48,669			19,480
	73,918			15,071			22,072		30,390			9,748
	70,562			42,938			47,327		51,237			37,425
	6,351,697			585,603			6,069,493		6,598,484			1,313,900
	582,525,575			132,134,459			173,605,053		238,258,940			76,861,344
	(2,789,436	)		(620,490	)		103,765		(79,060	)		(64,647	)
	(7,018,122	)		(13,667,230	)		1,937,965		202,997			367,222
	31,300,900			3,563,310			3,780,069		7,595,507			2,491,601
$	604,018,917		$	121,410,049		$	179,426,852	$	245,978,384		$	79,655,520
	30,773,325			6,657,357			9,411,591		12,680,648			4,182,157
$	19.63		$	18.24		$	19.06	$	19.40		$	19.05

The accompanying notes are an integral part of these financial statements. 43

COMMERCE FUNDS

Statements of Operations

For the Six Months Ended April 30, 2010 (Unaudited)

	Growth Fund			Value Fund			MidCap Growth Fund
Investment Income:
Interest	$	—		$	—		$	—
Dividends		914,492			788,326			317,502
Total Investment Income		914,492			788,326			317,502
Expenses:
Advisory fees		431,910			238,203			196,237
Administration fees		86,382			47,641			39,248
Shareowner servicing fees		85,148			27,563			21,558
Custody and accounting fees		22,820			28,336			25,453
Professional fees		21,188			15,684			12,469
Transfer Agent fees		42,111			23,056			29,585
Registration fees		10,202			11,605			9,695
Printing fees		6,131			3,411			2,700
Trustee fees		4,932		��	2,675			2,216
Other		11,629			9,080			7,792
Total Expenses		722,453			407,254			346,953
Less — expense reimbursements		(71,711	)		(26,132	)		—
Net Expenses		650,742			381,122			346,953
NET INVESTMENT INCOME (LOSS)		263,750			407,204			(29,451	)
Realized and unrealized gain (loss) from investment transactions:
Net realized gain (loss) from investment transactions		4,499,975			403,773			1,333,635
Net change in unrealized gain (loss) on investments		12,132,103			8,650,767			8,905,153
Net realized and unrealized gain from investment transactions		16,632,078			9,054,540			10,238,788
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	16,895,828		$	9,461,744		$	10,209,337

44 The accompanying notes are an integral part of these financial statements.

COMMERCE FUNDS

Bond Fund		Short-Term Government Fund			National Tax-Free Intermediate Bond Fund			Missouri Tax-Free Intermediate Bond Fund			Kansas Tax-Free Intermediate Bond Fund
$	16,587,135	$	2,020,857		$	3,706,691		$	4,914,891		$	1,552,257
	400,463		—			—			—			—
	16,987,598		2,020,857			3,706,691			4,914,891			1,552,257
	1,456,015		288,455			432,874			590,000			195,167
	436,804		86,537			129,862			177,000			58,550
	265,915		45,229			67,416			87,502			26,451
	61,277		31,827			39,227			42,918			27,072
	77,390		19,252			25,740			36,003			18,961
	42,761		22,370			18,285			25,285			16,659
	14,061		10,181			10,766			7,066			9,609
	26,845		4,902			8,394			12,304			4,074
	22,838		5,102			7,553			10,255			3,443
	32,281		12,354			14,949			16,436			8,503
	2,436,187		526,209			755,066			1,004,769			368,489
	—		(133,915	)		(149,062	)		(178,787	)		(95,255	)
	2,436,187		392,294			606,004			825,982			273,234
	14,551,411		1,628,563			3,100,687			4,088,909			1,279,023
	2,747,168		(7,375	)		1,937,945			203,383			367,084
	11,426,841		799,239			547,769			1,248,943			(123,490	)
	14,174,009		791,864			2,485,714			1,452,326			243,594
$	28,725,420	$	2,420,427		$	5,586,401		$	5,541,235		$	1,522,617

The accompanying notes are an integral part of these financial statements. 45

COMMERCE FUNDS

Statements of Changes in Net Assets

	Growth Fund						Value Fund
	For the Six Months Ended April 30, 2010 (Unaudited)			For the Fiscal Year Ended October 31, 2009			For the Six Months Ended April 30, 2010 (Unaudited)			For the Fiscal Year Ended October 31, 2009
From Operations:
Net investment income (loss)	$	263,750		$	545,044		$	407,204		$	1,282,094
Net realized gain (loss) from investment transactions		4,499,975			(11,886,577	)		403,773			(12,483,096	)
Net change in unrealized gain on investments		12,132,103			26,527,092			8,650,767			16,196,437
Net increase in net assets resulting from operations		16,895,828			15,185,559			9,461,744			4,995,435
Distributions to Shareholders:
From net investment income		(550,888	)		(314,245	)		(408,858	)		(1,302,063	)
From net realized gains		—			—			—			—
Total distributions to shareholders		(550,888	)		(314,245	)		(408,858	)		(1,302,063	)
From Share Transactions:
Proceeds from sales of shares		4,184,148			18,223,112			3,081,422			23,883,435
Reinvestment of dividends and distributions		231,828			142,078			87,266			328,893
Cost of shares redeemed		(14,993,045	)		(34,033,576	)		(10,516,745	)		(29,009,047	)
Net increase (decrease) in net assets resulting from share transactions		(10,577,069	)		(15,668,386	)		(7,348,057	)		(4,796,719	)
TOTAL INCREASE (DECREASE)		5,767,871			(797,072	)		1,704,829			(1,103,347	)
Net Assets:
Beginning of period		110,521,569			111,318,641			63,622,281			64,725,628
End of period	$	116,289,440		$	110,521,569		$	65,327,110		$	63,622,281
Accumulated undistributed (distribution in excess of) net investment income (loss)	$	244,717		$	531,855		$	37,533		$	39,187

46 The accompanying notes are an integral part of these financial statements.

COMMERCE FUNDS

MidCap Growth Fund						Bond Fund
For the Six Months Ended April 30, 2010 (Unaudited)			For the Fiscal Year Ended October 31, 2009			For the Six Months Ended April 30, 2010 (Unaudited)			For the Fiscal Year Ended October 31, 2009
$	(29,451	)	$	50,646		$	14,551,411		$	27,538,006
	1,333,635			(5,241,105	)		2,747,168			6,789,541
	8,905,153			14,072,370			11,426,841			48,389,247
	10,209,337			8,881,911			28,725,420			82,716,794
	(73,820	)		(17,918	)		(14,919,391	)		(28,468,160	)
	—			(1,678,431	)		—			—
	(73,820	)		(1,696,349	)		(14,919,391	)		(28,468,160	)
	2,069,809			12,490,541			64,324,951			142,470,239
	17,725			895,718			2,622,127			5,328,441
	(6,063,979	)		(12,244,500	)		(47,293,784	)		(126,656,082	)
	(3,976,445	)		1,141,759			19,653,294			21,142,598
	6,159,072			8,327,321			33,459,323			75,391,232
	48,771,488			40,444,167			570,559,594			495,168,362
$	54,930,560		$	48,771,488		$	604,018,917		$	570,559,594
$	(65,303	)	$	37,968		$	(2,789,436	)	$	(2,421,456	)

The accompanying notes are an integral part of these financial statements. 47

COMMERCE FUNDS

Statements of Changes in Net Assets (continued)

	Short-Term Government Fund						National Tax-Free Intermediate Bond Fund
	For the Six Months Ended April 30, 2010 (Unaudited)			For the Fiscal Year Ended October 31, 2009			For the Six Months Ended April 30, 2010 (Unaudited)			For the Fiscal Year Ended October 31, 2009
From Operations:
Net investment income	$	1,628,563		$	2,676,493		$	3,100,687		$	5,834,435
Net realized gain (loss) from investment transactions		(7,375	)		580,444			1,937,945			424,421
Net change in unrealized gain (loss) on investments		799,239			3,172,974			547,769			9,196,966
Net increase in net assets resulting from operations		2,420,427			6,429,911			5,586,401			15,455,822
Distributions to Shareholders:
From net investment income		(1,926,116	)		(3,407,887	)		(3,091,745	)		(5,818,864	)
From net realized gains		—			—			(422,586	)		(1,437,570	)
Total distributions to shareholders		(1,926,116	)		(3,407,887	)		(3,514,331	)		(7,256,434	)
From Share Transactions:
Proceeds from sales of shares		39,089,680			57,048,228			24,580,041			52,145,356
Reinvestment of dividends and distributions		571,971			1,127,293			150,464			467,592
Cost of shares redeemed		(24,726,509	)		(33,671,525	)		(11,253,670	)		(33,508,935	)
Net increase in net assets resulting from share transactions		14,935,142			24,503,996			13,476,835			19,104,013
TOTAL INCREASE		15,429,453			27,526,020			15,548,905			27,303,401
Net Assets:
Beginning of period		105,980,596			78,454,576			163,877,947			136,574,546
End of period	$	121,410,049		$	105,980,596		$	179,426,852		$	163,877,947
Accumulated undistributed (distribution in excess of) net investment income	$	(620,490	)	$	(322,937	)	$	103,765		$	94,823

48 The accompanying notes are an integral part of these financial statements.

COMMERCE FUNDS

Missouri Tax-Free Intermediate Bond Fund						Kansas Tax-Free Intermediate Bond Fund
For the Six Months Ended April 30, 2010 (Unaudited)			For the Fiscal Year Ended October 31, 2009			For the Six Months Ended April 30, 2010 (Unaudited)			For the Fiscal Year Ended October 31, 2009
$	4,088,909		$	7,089,139		$	1,279,023		$	2,490,719
	203,383			334,436			367,084			242,810
	1,248,943			9,928,258			(123,490	)		4,259,673
	5,541,235			17,351,833			1,522,617			6,993,202
	(4,085,510	)		(7,082,730	)		(1,278,984	)		(2,490,319	)
	(336,038	)		(203,344	)		(242,549	)		(155,289	)
	(4,421,548	)		(7,286,074	)		(1,521,533	)		(2,645,608	)
	38,304,187			96,605,537			10,642,002			24,193,446
	469,573			451,263			182,974			177,023
	(23,601,741	)		(47,273,946	)		(7,048,105	)		(21,826,422	)
	15,172,019			49,782,854			3,776,871			2,544,047
	16,291,706			59,848,613			3,777,955			6,891,641
	229,686,678			169,838,065			75,877,565			68,985,924
$	245,978,384		$	229,686,678		$	79,655,520		$	75,877,565
$	(79,060	)	$	(82,459	)	$	(64,647	)	$	(64,686	)

The accompanying notes are an integral part of these financial statements. 49

COMMERCE FUNDS

Notes to Financial Statements

April 30, 2010 (Unaudited)

1.   ORGANIZATION

The Commerce Funds (the “Trust”) are a Delaware statutory trust registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end, management investment company. The Trust consists of eight portfolios (individually, a “Fund” and collectively, the “Funds”): the Growth Fund, Value Fund, MidCap Growth Fund, Bond Fund, Short-Term Government Fund, National Tax-Free Intermediate Bond Fund, Missouri Tax-Free Intermediate Bond Fund and Kansas Tax-Free Intermediate Bond Fund. Each of the Funds offers one class of shares (the “Shares”). Each Fund is registered as a diversified open-end management investment company, other than the Missouri Tax-Free Intermediate Bond Fund and the Kansas Tax-Free Intermediate Bond Fund, which are registered as non-diversified under the 1940 Act.

The Funds have entered into an Advisory Agreement with Commerce Investment Advisors, Inc. (the “Adviser” or “Commerce”), a subsidiary of Commerce Bank, N.A. (“Commerce Bank”).

2.  SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of the significant accounting policies consistently followed by the Funds. The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that may affect the amounts and disclosures in the financial statements. Actual results could differ from those estimates and assumptions.

A.  Investment Valuation — The investment valuation policy of the Funds is to value investments at market value. Investments in equity securities and investment companies traded on a United States (“U.S.”) securities exchange or the NASDAQ system are valued daily at their last sale price or official closing price on the principal exchange or system on which they are traded. If no sale occurs, such securities and investment companies are valued at the last bid price. Debt securities for which market quotations are readily available are valued on the basis of quotations furnished by an independent pricing service or provided by securities dealers. The pricing services may use valuation models or matrix pricing, which considers yield or price with respect to comparable bonds, quotations from bond dealers or by reference to other securities that are considered comparable in such characteristics as rating, interest rate and maturity date, to determine current value. Unlisted equity securities for which market quotations are available are valued at the last sale price on valuation date, or if no sale occurs, at the last bid price. In the absence of market quotations, broker quotes will be utilized or the security will be fair valued. Investments in investment companies (other than those that are exchange traded) are valued at the net asset value per share (“NAV”) on the valuation date. Short-term debt obligations that mature in sixty days or less and that do not exhibit signs of credit deterioration are valued at amortized cost, which approximates market value.

Securities for which market quotations are not readily available or are deemed not to reflect market value by the Adviser are valued at fair value using methods approved by the Board of Trustees.

B.  Security and Fund Share Transactions, and Investment Income — Security and Fund share transactions are reflected for financial reporting purposes as of the trade date, which may cause the NAV as stated in the accompanying financial statements to be different than the NAV applied to Fund share transactions. Realized gains and losses on sales of portfolio securities are calculated using the identified cost basis. Dividend income 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 is recorded on the basis of interest accrued, premium amortized and discount accreted. Certain mortgage security paydown gains and losses are included in interest income in the accompanying Statements of Operations. 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, distributions received from the Funds’ investments in U.S. real estate investment trusts (“REITs”) often include a “return of capital”, which is recorded by the Funds as a reduction of the cost basis of the securities held. The Internal

50

COMMERCE FUNDS

2. SIGNIFICANT ACCOUNTING POLICIES (continued)

Revenue Code of 1986, as amended (the “Code”) requires a REIT to distribute at least 95% of its taxable income to investors. In many cases, however, because of “non-cash” expenses such as property depreciation, a REIT’s cash flow will exceed its taxable income. The REIT may distribute this excess cash to offer a more competitive yield. This portion of the Funds’ distributions is deemed a return of capital and is generally not taxable to shareholders.

C.   Expenses — Expenses incurred by the Trust that do not specifically relate to an individual Fund of the Trust are allocated to the Funds based on each Fund’s relative average net assets and are accrued daily.

D.   Federal Taxes and Distributions to Shareholders — It is each Fund’s policy to comply with the requirements of the Code, applicable to regulated investment companies (mutual funds) and to distribute each year substantially all of its investment company taxable income and capital gains to its shareholders. Accordingly, no federal income tax provisions are required. Distributions to shareholders are recorded on the ex-dividend date. Income and capital gains distributions, if any, are declared and paid according to the following schedule:

	Income Distribution		Capital Gains Distribution
Fund	Declared	Paid	Declared	Paid
Value	Quarterly	Quarterly	Annually	Annually
Growth and MidCap Growth	Annually	Annually	Annually	Annually
Bond, Short-Term Government, National Tax-Free Intermediate Bond, Missouri Tax- Free Intermediate Bond and Kansas Tax- Free Intermediate Bond	Daily	Monthly	Annually	Annually

Net capital losses are carried forward to future fiscal years and may be used to the extent allowed by the Code to offset any future capital gains. Utilization of capital loss carryforwards will reduce the requirement of future capital gains distributions.

The characterization of distributions to shareholders for financial reporting purposes is determined in accordance with federal income tax rules, which may differ from GAAP. The source of each Fund’s distributions may be shown in the accompanying financial statements as from net investment income, net realized gain or capital. Financial statements are adjusted for permanent book/tax differences to reflect the appropriate tax character, and are not adjusted for temporary differences.

Goldman Sachs Asset Management, L.P. (“GSAM”) and Commerce have reviewed the Funds’ tax positions for all open tax years (the current and prior three fiscal years) and have concluded that no provision for income tax is required in the Funds’ financial statements. Such open tax years remain subject to examination and adjustment by tax authorities.

E.   Repurchase Agreements — The Funds may enter into repurchase agreements. Repurchase agreements involve the purchase of securities subject to the seller’s agreement to repurchase the securities at a mutually agreed upon date and price. During the term of a repurchase agreement, the value of the underlying securities held as collateral on behalf of the Funds, including accrued interest is required to exceed the value of the repurchase agreement, including accrued interest. If the seller defaults or becomes insolvent, realization of the collateral by the Funds may be delayed or limited and there may be a decline in the value of the collateral during the period while the Funds seek to assert their rights. The underlying securities for all repurchase agreements are held in safekeeping at the Funds’ custodian.

3.  AGREEMENTS AND OTHER AFFILIATED TRANSACTIONS

A.   Advisory Agreement — Pursuant to the terms of the Advisory Agreement, the Adviser is responsible for managing the investments and making investment decisions for each of the Funds. For these services and for assuming related expenses, the

51

COMMERCE FUNDS

Notes to Financial Statements (continued)

April 30, 2010 (Unaudited)

3.  AGREEMENTS AND OTHER AFFILIATED TRANSACTIONS

Adviser is entitled to a fee, computed daily and payable monthly, at the contractual annual rate of the corresponding Fund’s average daily net assets. The contractual annual rate is 0.75% for the Growth, Value and MidCap Growth Funds and 0.50% for the Bond, Short-Term Government, National Tax-Free Intermediate Bond, Missouri Tax-Free Intermediate Bond and Kansas Tax-Free Intermediate Bond Funds, respectively.

B.   Administration Agreements — GSAM, a business unit of the Investment Management Division of Goldman, Sachs & Co. (“Goldman Sachs”), and Commerce, serve as Co-Administrators of the Trust pursuant to a Co-Administration Agreement. Under the Co-Administration Agreement, GSAM and Commerce administer the Trust’s business affairs. As compensation for the services rendered under the Co-Administration Agreement, GSAM and Commerce are entitled to a fee, computed daily and payable monthly, at the contractual annual rate of the corresponding Fund’s average daily net assets. Pursuant to the Co-Administration Agreement, the Funds will pay an aggregate administration fee at the annual rate of 0.15%, allocated as follows: (1) for each Fund, GSAM is entitled to receive 0.03% of each Fund’s average daily net assets; and (2) for each Fund, Commerce is entitled to receive 0.12% of each Fund’s average daily net assets.

C.  Other Agreements — The Adviser has contractually agreed to waive fees and/or reimburse expenses (excluding interest, taxes and extraordinary expenses exclusive of any custody expense reductions for all Funds (other than the Mid Cap Growth Fund)) to the extent that such expenses exceeded, on an annualized basis, 1.13%, 1.20%, 0.88%, 0.68%, 0.70%, 0.70% and 0.70% of the average net assets of the Growth, Value, Bond, Short-Term Government, National Tax-Free Intermediate Bond, Missouri Tax-Free Intermediate Bond and Kansas Tax-Free Intermediate Bond Funds, respectively. In addition, the Funds are not obligated to reimburse the Adviser for prior fiscal year expense reimbursements, if any. Such expense reimbursements, if any, are computed daily and paid monthly and are disclosed in the Statements of Operations for the six months ended April 30, 2010.

Pursuant to a Shareholder Administrative Services Plan adopted by its Board of Trustees, the Funds may enter into agreements with service organizations, such as banks and financial institutions, which include affiliates of the Adviser (“Service Organizations”), under which they will render shareholder administration support services. For these services, the Service Organizations are entitled to receive fees from each Fund at an annual rate of up to 0.25% of the average daily net asset value of Fund shares beneficially owned by clients of such Service Organizations. For the six months ended April 30, 2010, Commerce Bank has retained $355,611 in shareowner servicing fees.

D.  Deferred Compensation Plan — Certain Trustees participate in a Deferred Compensation Plan, as amended and restated (the “Plan”), which allows eligible non-affiliated Trustees as described in the Plan to defer the receipt of all or a portion of the Trustees’ fees payable. Under the Plan, such Trustees have deferred fees treated as if they had been invested by The Commerce Funds in the shares of one or more Funds of the Trust. All amounts payable to the Trustees under the Plan are determined based on the performance of such Funds and are accrued quarterly.

4.   FAIR VALUE OF INVESTMENTS

The fair value of a financial instrument is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e., the exit price). GAAP establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below:

Level 1 — Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities;

Level 2 — Quoted prices in markets that are not active or financial instruments for which all significant inputs are observable, either directly or indirectly;

Level 3 — Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable.

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COMMERCE FUNDS

4.   FAIR VALUE OF INVESTMENTS (continued)

The following is a summary of the Funds’ investments categorized in the fair value hierarchy, as of April 30, 2010:

Growth	Level 1		Level 2		Level 3
Assets
Common Stock and/or Other Equity Investments	$	116,190,519	$	—	$	—
Short-term Investments		—		141,000		—
Total	$	116,190,519	$	141,000	$	—
Value	Level 1		Level 2		Level 3
Assets
Common Stock and/or Other Equity Investments	$	64,849,121	$	—	$	—
Short-term Investments		—		505,000		—
Total	$	64,849,121	$	505,000	$	—
MidCap Growth	Level 1		Level 2		Level 3
Assets
Common Stock and/or Other Equity Investments	$	54,009,128	$	—	$	—
Short-term Investments		—		1,023,000		—
Total	$	54,009,128	$	1,023,000	$	—
Bond	Level 1		Level 2		Level 3
Assets
Fixed Income
Asset-Backed Securities	$	—	$	69,299,783	$	—
Taxable Municipal Bond Obligations		—		43,043,422		—
Mortgage-Backed Obligations		—		221,553,663		—
Corporate Obligations		—		163,873,459		—
U.S Treasuries and/or Other U.S. Government Obligations and Agencies		7,934,686		62,111,623		—
Government Guarantee Obligations		—		13,046,157		—
Investment Companies		12,216,528		—		—
Short-term Investments		—		11,161,000		—
Total	$	20,151,214	$	584,089,107	$	—
Short-Term Government	Level 1		Level 2		Level 3
Assets
Fixed Income
Asset-Backed Securities	$	—	$	2,342,966	$	—
Mortgage-Backed Obligations		—		42,076,457		—
Government Guarantee Obligations		—		9,303,652		—
U.S. Treasuries and/or Other U.S. Government Obligations and Agencies		17,936,443		47,843,070		—
Short-term Investments		—		1,657,000		—
Total	$	17,936,443	$	103,223,145	$	—

53

COMMERCE FUNDS

Notes to Financial Statements (continued)

April 30, 2010 (Unaudited)

4.   FAIR VALUE OF INVESTMENTS (continued)

National Tax-Free Intermediate Bond	Level 1		Level 2		Level 3
Assets
Fixed Income
Municipal Bond Obligations	$	—	$	170,467,954	$	—
Short-term Investments		—		1,802,000		—
Total	$	—	$	172,269,954	$	—
Missouri Tax-Free Intermediate Bond	Level 1		Level 2		Level 3
Assets
Fixed Income
Municipal Bond Obligations	$	—	$	240,254,987	$	—
Short-term Investments		—		8,954,000		—
Total	$	—	$	249,208,987	$	—
Kansas Tax-Free Intermediate Bond	Level 1		Level 2		Level 3
Assets
Fixed Income
Municipal Bond Obligations	$	—	$	78,403,523	$	—
Short-term Investments		—		1,674,000		—
Total	$	—	$	80,077,523	$	—

5.  PORTFOLIO SECURITIES TRANSACTIONS

The cost of purchases and proceeds from sales and maturities of long-term securities for the six months ended April 30, 2010, were as follows:

Fund	Purchases of U.S. Government and agency obligations		Purchases (excluding U.S. Government and agency obligations)		Sales and maturities of U.S. Government and agency obligations		Sales and maturities (excluding U.S. Government and agency obligations)
Growth	$	—	$	23,954,283	$	—	$	33,273,424
Value		—		10,962,535		—		15,378,527
MidCap Growth		—		9,377,410		—		13,918,733
Bond		25,514,518		75,492,142		8,845,229		67,968,827
Short-Term Government		30,066,088		2,660,932		10,802,662		3,138,471
National Tax-Free Intermediate Bond		—		61,318,333		—		52,614,216
Missouri Tax-Free Intermediate Bond		—		35,953,289		—		21,696,600
Kansas Tax-Free Intermediate Bond		—		11,554,542		—		6,300,089

54

COMMERCE FUNDS

6.  TAX INFORMATION

As of the Funds’ most recent fiscal year ended, October 31, 2009, the Funds’ capital loss carryforwards and certain timing differences on a tax basis were as follows:

	Growth			Value			MidCap Growth			Bond
Capital loss carryforward:(1)
Expiring 2012	$	—		$	—		$	—		$	(5,648,104	)
Expiring 2013		—			—			—			(540,238	)
Expiring 2014		—			—			—			(3,576,948	)
Expiring 2016		(4,003,861	)		(4,798,672	)		—			—
Expiring 2017		(11,924,843	)		(11,716,876	)		(5,343,741	)		—
Total capital loss carryforward	$	(15,928,704	)	$	(16,515,548	)	$	(5,343,741	)	$	(9,765,290	)
Timing differences (income distributions, deferred compensation)	$	(16,939	)	$	(16,734	)	$	(11,873	)	$	(2,068,095	)
	Short-Term Government			National Tax-Free Intermediate Bond			Missouri Tax-Free Intermediate Bond			Kansas Tax-Free Intermediate Bond
Capital loss carryforward:(1)
Expiring 2010	$	(679,994	)	$	—		$	—		$	—
Expiring 2011		(2,174,462	)		—			—			—
Expiring 2012		(3,771,248	)		—			—			—
Expiring 2013		(2,538,488	)		—			—			—
Expiring 2014		(2,653,199	)		—			—			—
Expiring 2015		(1,094,544	)		—			—			—
Expiring 2016		(347,228	)		—			—			—
Expiring 2017		(400,692	)		—			—			—
Total capital loss carryforward	$	(13,659,855	)	$	—		$	—		$	—
Timing differences (income distributions, deferred compensation)	$	(218,311	)	$	(503,031	)	$	(592,257	)	$	(197,351	)

⁽¹⁾ Expiration occurs on October 31 of the year indicated.

At April 30, 2010, the Funds’ aggregate security unrealized gains and losses based on cost for U.S. federal income tax purposes were as follows:

	Growth			Value			MidCap Growth			Bond
Tax Cost	$	105,298,399		$	61,974,928		$	45,580,194		$	574,867,321
Gross unrealized gain		16,360,017			8,780,247			10,403,153			40,569,476
Gross unrealized loss		(5,326,897	)		(5,401,054	)		(951,219	)		(11,196,476	)
Net unrealized security gain	$	11,033,120		$	3,379,193		$	9,451,934		$	29,373,000
	Short-Term Government			National Tax-Free Intermediate Bond			Missouri Tax-Free Intermediate Bond			Kansas Tax-Free Intermediate Bond
Tax Cost	$	118,055,340		$	168,447,018		$	241,610,715		$	77,583,784
Gross unrealized gain		3,885,135			4,227,919			7,873,395			2,517,612
Gross unrealized loss		(780,887	)		(404,983	)		(275,123	)		(23,873	)
Net unrealized security gain	$	3,104,248		$	3,822,936		$	7,598,272		$	2,493,739

The difference between GAAP-basis and tax-basis unrealized gains (losses) is primarily attributable to wash sales and differing tax treatment of accretion of market discount and premium amortization as of the most recent fiscal year end.

55

COMMERCE FUNDS

Notes to Financial Statements (continued)

April 30, 2010 (Unaudited)

7.  OTHER RISKS

Market and Credit Risks — In the normal course of business, the Funds trade financial instruments and enter into financial transactions where risk of potential loss exists due to changes in the market (market risk). Additionally, the Funds may also be exposed to credit risk in the event that an issuer fails to perform or that an institution or entity with which the Funds have unsettled or open transaction defaults.

Portfolio Concentrations — As a result of the Missouri Tax-Free Intermediate Bond and Kansas Tax-Free Intermediate Bond Funds’ ability to invest a large percentage of their assets in obligations of issuers within certain states, they are subject to possible concentration risks associated with economic, political or legal developments or industrial or regional matters specifically affecting such states.

Under normal market conditions, the Missouri Tax-Free Intermediate Bond Fund and the Kansas Tax-Free Intermediate Bond Fund invest at least 80% of their assets plus any borrowings for investment purposes (measured at the time of purchase) in Missouri and Kansas municipal securities, respectively, the income from which, in the opinion of bond counsel, is exempt from regular federal income tax, federal alternative minimum taxes and Missouri and Kansas state taxes, respectively. For each of the Missouri and Kansas Tax-Free Funds, the actual payment of principal and interest on Missouri and Kansas municipal securities is dependent on the Missouri General Assembly and the Kansas legislature, respectively, allotting money each fiscal year for these payments.

The investments of the Growth and MidCap Growth Funds may be concentrated in securities of technology companies. At times, securities of technology companies may experience significant price fluctuations.

The Bond and Short-Term Government Funds may invest 80% and 100%, respectively, of their total assets in mortgage-related securities and the Bond Fund may invest 80% of its total assets in asset-backed securities. Mortgage-backed securities, especially collateralized mortgage-backed securities, may be subject to risks that include price volatility, liquidity, and enhanced sensitivity to interest rates. As a result, mortgage-backed securities may be more difficult to value and liquidate, if necessary. Mortgage-backed securities are also subject to prepayment risk, which may result in a decreased rate of return and a decline in the value of the securities. Asset-backed securities have a greater risk of default during periods of economic downturn than other securities. Also, asset-backed securities may be less liquid than other securities and therefore more difficult to value and liquidate, if necessary.

8.   INDEMNIFICATIONS

Under the Trust’s organizational documents, its trustees, officers, employees and agents are indemnified, to the extent permitted by the Act, against certain liabilities that may arise out of performance of their duties to the Funds. Additionally, in the course of business, the Funds enter into contracts that contain a variety of indemnification clauses. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds that have not yet occurred. However, Commerce and GSAM believe the risk of loss under these arrangements to be remote.

9.  OTHER MATTERS

Approval of Advisory Agreement — The Trustees oversee the management of the Trust, and review the investment performance and expenses of the Funds at regularly scheduled meetings held during the Funds’ fiscal year. In addition, the Trustees determine annually whether to reapprove and continue the Trust’s investment advisory agreement (“Advisory Agreement”) with the Adviser for the Funds.

The Advisory Agreement for the Funds was most recently approved by the Trustees, including all of the Trustees who are not parties to the Advisory Agreement or “interested persons” (as such term is defined in the 1940 Act) of any party thereto (the “non-interested Trustees”), on November 17, 2009 (the “Annual Contract Meeting”).

56

COMMERCE FUNDS

9.  OTHER MATTERS (continued)

Prior to the Annual Contract Meeting, the Board of Trustees received written materials provided by the Adviser relating to the Trustees’ consideration of the Advisory Agreement. At the Annual Contract Meeting, the Trustees also received and considered the Adviser’s oral presentations and discussed the information that had been provided. In connection with their deliberations, the Trustees were advised by their independent legal counsel regarding their responsibilities under applicable law and met separately in executive session with independent counsel without members of management present.

In evaluating the Advisory Agreement, the Trustees relied upon their knowledge, resulting from their meetings and other interactions throughout the year, of the Adviser and its services and personnel. Both in meetings specifically dedicated to the review of the Advisory Agreement and meetings held during the year, the Trustees reviewed materials relating to the Adviser’s investment management services. Specifically, the Trustees reviewed, among other things, information relating to: (i) the terms of the Advisory Agreement; (ii) the Funds’ investment performance over different time periods in comparison to the investment performance of mutual fund peer categories selected by Lipper Inc. (“Lipper”), a third-party provider of mutual fund data; (iii) the contractual investment advisory fees, the actual investment advisory fees (after expense reimbursements) and the total expenses borne by the Funds in comparison to those borne by mutual fund peer groups selected by Lipper; (iv) the Adviser’s staffing for the Funds and the experience of the portfolio managers; (v) the scope and depth of the Adviser’s resources and their ability to attract and retain portfolio management investment talent; (vi) the fees paid by the Funds to the Adviser and its affiliates for services, and the expenses incurred by them in connection with the provision of those services, the profitability of the Advisory Agreement to the Adviser, and a comparison of the Adviser’s profitability with that of other publicly reported profitability information of other advisers; (vii) the fall out benefits received by the Adviser and its affiliates from their relationships with the Funds; (viii) information about fees charged to institutional accounts for which an affiliate of the Adviser, Commerce Trust Company (“CTC”), was performing services similar to those performed for the Funds; and (ix) potential economies of scale.

In connection with their approval of the Advisory Agreement for each of the Funds, the Trustees gave weight to various factors, but did not identify any single factor as controlling their decision. As part of their review, the Trustees considered the nature, extent and quality of the services provided by the Adviser. In this regard, the Trustees considered both the investment advisory services, and the other non-advisory services, that are provided to the Funds by the Adviser. These services include services as the Funds’ Co-Administrator. The Trustees also considered that many of the Funds’ shareholders had other client relationships with affiliates of the Adviser. The Trustees concluded that the Adviser was able to commit, and had committed, substantial financial and other resources to the operations of the Funds and was able to provide quality services to the Funds. The Trustees also believed that the Adviser continued to make significant improvements to the Funds’ compliance program. In addition, the Trustees considered that the Adviser had a seasoned and experienced portfolio management staff and a highly disciplined and understandable investment process. In addition, the operations staff functioned efficiently and professionally, and provided the Board with frequent reports on the status of Fund operations.

The Trustees also considered the investment performance of the Funds. In this regard, the Trustees considered whether the Funds had operated within their respective investment objectives, as well as their compliance with their investment restrictions. They also compared the investment performance of the Funds to the performance of other SEC-registered funds and to rankings and ratings issued by Lipper. For Funds that had been in existence for the applicable periods, this information on the Funds’ investment performance was provided for one, three, five and ten years. In addition, the Trustees considered the Funds’ investment performance relative to their respective performance benchmarks and in light of the objectives and credit parameters applicable to the Funds, as well as the investor base the Funds are intended to serve. In addition, the Trustees reviewed the consistency of the Adviser’s investment approach for the Funds. The Trustees also considered the in depth performance reports provided by the Adviser throughout the year with regard to underperforming Funds, and the changes made to the Adviser’s quantitative investment process in order to improve the performance of the Equity Funds.

Based on the information provided, the Trustees believed that the investment performance of the Fixed Income Funds was, in general, competitive in light of the factors mentioned above, including the Funds’ investment policies and the nature of their

57

COMMERCE FUNDS

Notes to Financial Statements (continued)

April 30, 2010 (Unaudited)

9.  OTHER MATTERS (continued)

shareholder base. In reaching this conclusion, the Trustees also reviewed, among other things, the relative performance of the Funds as compared to the mutual fund categories established by Lipper, and their benchmarks for different time periods as well as performance measured against expenses. They also noted the potential impact of the relative risk parameters of the different Funds. In particular, they considered that all of the Fixed Income Funds were in the first quartile of their Lipper competitors for the 3-year time period, except the National Tax-Free Intermediate Bond Fund, which had better than average performance for the same time period. Longer term performance was also satisfactory in the view of the Trustees. The Trustees concluded that the Adviser was devoting appropriate resources in its efforts to provide favorable investment results for the Fixed Income Funds.

The Trustees considered the same factors discussed above with respect to the Equity Funds and determined that their performance was in the last quartile for the three-year period versus their Lipper competitors, although in each case one-year performance showed improvement. They also considered that the Adviser had made certain changes to the Funds’ quantitative investment process and made personnel changes during the period in order to improve performance. The Trustees concluded that the Adviser was taking appropriate steps to address performance issues in the Equity Funds at this time.

The Trustees also considered the Funds’ contractual advisory fee rates; the Funds’ total operating expense ratios; and expense reimbursements with respect to the Funds, and whether a consistent methodology was in place in determining the fees and expenses of the Funds. In addition, the Trustees considered the fees paid by the Funds to the Adviser and its affiliates for shareholder servicing and Co-Administration services, and reviewed information as to whether the Adviser had passed, and was likely to continue to pass, benefits from its economies of scale to shareholders. In this regard, the Trustees considered the Adviser’s view that the Funds may be sharing in economies of scale through the Adviser’s voluntary expense caps for certain of the Funds. The Trustees also considered the Adviser’s cost-cutting efforts with respect to Fund expenses. The Trustees determined that fee breakpoints were not appropriate at current asset levels. In addition, the Trustees considered the information provided by the Adviser relating to their costs of the services provided by them and the profits realized by them; and information comparing the fee rates charged by the Adviser with the fee rates charged by other, unaffiliated investment managers to their clients. Moreover, the Trustees also considered the Adviser’s profitability in the past year in light of Fund asset levels and compared to the profitability of other public reporting asset management firms. The Trustees concluded that the Adviser’s profitability was not unreasonable based on this information, although they noted that profitability information reported by other firms may not be directly comparable due to differences in business structure, products offered, customer base and other factors.

The Trustees also considered information provided by the Adviser on its use of and benefits from soft dollars in connection with the Funds’ brokerage and the Adviser’s best execution evaluation program on behalf of the Funds.

The Trustees also considered information about the services and fees charged by an affiliate of the Adviser, CTC, to equity and balanced and fixed income separate accounts and the reasons for the differences in the fees between the separate accounts and the Funds.

Information on the fee rates paid by the Funds under the Advisory Agreement and the Funds’ total operating expense ratios were compared to similar information for other mutual funds advised by other, unaffiliated investment management firms. These comparisons of the Funds’ fee rates and total operating expense ratios were prepared by Lipper, and they assisted the Trustees in evaluating the reasonableness of the investment advisory fees paid by the Funds.

After deliberation, the Trustees concluded at the Annual Contract Meeting with respect to all of the Funds, that the fees paid by Funds were reasonable in light of the services provided by the Adviser, its costs and the Funds’ current and reasonably foreseeable asset levels, and that the Advisory Agreement should be approved and continued.

Legal Proceedings — On April 16, 2010, the Securities and Exchange Commission (“SEC”) brought an action under the U.S. federal securities laws in the U.S. District Court for the Southern District of New York against Goldman Sachs & Co. (“Goldman Sachs”), the Funds’ Distributor, and one of its employees alleging that they made materially misleading statements

58

COMMERCE FUNDS

9.  OTHER MATTERS (continued)

and omissions in connection with a 2007 private placement of securities relating to a synthetic collateralized debt obligation sold to two institutional investors. Goldman Sachs and/or other affiliates of The Goldman Sachs Group, Inc. have received or may in the future receive notices and requests for information from various regulators, and have become or may in the future become involved in legal proceedings, based on allegations similar to those made by the SEC or other matters.

GSAM has not been named in the complaint. Moreover, the SEC complaint does not seek any penalties against GSAM or against any employee who is or has been part of GSAM.

In the view of Goldman Sachs and GSAM, neither the matters alleged in this or any such similar proceedings nor their

eventual resolution are likely to have a material affect on the ability of Goldman Sachs or GSAM to provide services to the Funds. Due to a provision in the law governing the operation of mutual funds, the resolution of the SEC action could, under certain circumstances, result in a situation in which Goldman Sachs would be ineligible to serve as a principal underwriter for U.S.-registered mutual funds absent an exemption from the SEC. While there is no assurance that such an exemption would be granted, the SEC has granted this type of relief in the past.

10.  SUBSEQUENT EVENT

Subsequent events after the balance sheet date have been evaluated through the date the financial statements were issued and Commerce and GSAM have concluded that there is no impact requiring adjustment or disclosure in the financial statements.

11.   SUMMARY OF SHARE TRANSACTIONS

Share activity is as follows:

	Growth Fund
	For the Six Months Ended April 30, 2010 (Unaudited)					For the Fiscal Year Ended October 31, 2009
	Shares		Dollars			Shares		Dollars
Shares*
Shares sold	179,427		$	4,184,148		1,027,325		$	18,223,112
Reinvestment of distributions	9,915			231,828		8,462			142,078
Shares redeemed	(642,989	)		(14,993,045	)	(1,868,944	)		(34,033,576	)
Net Decrease	(453,647	)	$	(10,577,069	)	(833,157	)	$	(15,668,386	)
	Value Fund
	For the Six Months Ended April 30, 2010 (Unaudited)					For the Fiscal Year Ended October 31, 2009
	Shares		Dollars			Shares		Dollars
Shares*
Shares sold	167,978		$	3,081,422		1,692,614		$	23,883,435
Reinvestment of distributions	4,728			87,266		22,254			328,893
Shares redeemed	(587,215	)		(10,516,745	)	(1,897,288	)		(29,009,047	)
Net Decrease	(414,509	)	$	(7,348,057	)	(182,420	)	$	(4,796,719	)

* On February 10, 2009, all outstanding Institutional Shares were redesignated as Shares.

59

COMMERCE FUNDS

Notes to Financial Statements (continued)

April 30, 2010 (Unaudited)

11.   SUMMARY OF SHARE TRANSACTIONS (continued)

	MidCap Growth Fund
	For the Six Months Ended April 30, 2010 (Unaudited)					For the Fiscal Year Ended October 31, 2009
	Shares		Dollars			Shares		Dollars
Shares*
Shares sold	77,074		$	2,069,809		627,432		$	12,490,541
Reinvestment of distributions	660			17,725		52,181			895,718
Shares redeemed	(223,780	)		(6,063,979	)	(566,072	)		(12,244,500	)
Net Increase (Decrease)	(146,046	)	$	(3,976,445	)	113,541		$	1,141,759
	Bond Fund
	For the Six Months Ended April 30, 2010 (Unaudited)					For the Fiscal Year Ended October 31, 2009
	Shares		Dollars			Shares		Dollars
Shares*
Shares sold	3,327,164		$	64,324,951		7,758,152		$	142,470,239
Reinvestment of distributions	135,185			2,622,127		290,053			5,328,441
Shares redeemed	(2,444,759	)		(47,293,784	)	(6,927,959	)		(126,656,082	)
Net Increase	1,017,590		$	19,653,294		1,120,246		$	21,142,598
	Short-Term Government Fund
	For the Six Months Ended April 30, 2010 (Unaudited)					For the Fiscal Year Ended October 31, 2009
	Shares		Dollars			Shares		Dollars
Shares*
Shares sold	2,151,150		$	39,089,680		3,176,909		$	57,048,228
Reinvestment of distributions	31,439			571,971		62,883			1,127,293
Shares redeemed	(1,360,547	)		(24,726,509	)	(1,878,650	)		(33,671,525	)
Net Increase	822,042		$	14,935,142		1,361,142		$	24,503,996
	National Tax-Free Intermediate Bond Fund
	For the Six Months Ended April 30, 2010 (Unaudited)					For the Fiscal Year Ended October 31, 2009
	Shares		Dollars			Shares		Dollars
Shares*
Shares sold	1,296,883		$	24,580,041		2,818,250		$	52,145,356
Reinvestment of distributions	7,920			150,464		26,139			467,592
Shares redeemed	(592,850	)		(11,253,670	)	(1,807,241	)		(33,508,935	)
Net Increase	711,953		$	13,476,835		1,037,148		$	19,104,013

* On February 10, 2009, all outstanding Institutional Shares were redesignated as Shares.

60

COMMERCE FUNDS

11.   SUMMARY OF SHARE TRANSACTIONS (continued)

	Missouri Tax-Free Intermediate Bond Fund
	For the Six Months Ended April 30, 2010 (Unaudited)					For the Fiscal Year Ended October 31, 2009
	Shares		Dollars			Shares		Dollars
Shares*
Shares sold	1,976,278		$	38,304,187		5,055,525		$	96,605,537
Reinvestment of distributions	24,219			469,573		23,648			451,263
Shares redeemed	(1,218,423	)		(23,601,741	)	(2,479,052	)		(47,273,946	)
Net Increase	782,074		$	15,172,019		2,600,121		$	49,782,854
	Kansas Tax-Free Intermediate Bond Fund
	For the Six Months Ended April 30, 2010 (Unaudited)					For the Fiscal Year Ended October 31, 2009
	Shares		Dollars			Shares		Dollars
Shares*
Shares sold	557,609		$	10,642,002		1,281,803		$	24,193,446
Reinvestment of distributions	9,574			182,974		9,526			177,023
Shares redeemed	(369,129	)		(7,048,105	)	(1,161,942	)		(21,826,422	)
Net Increase	198,054		$	3,776,871		129,387		$	2,544,047

* On February 10, 2009, all outstanding Institutional Shares were redesignated as Shares.

61

COMMERCE FUNDS

Financial Highlights

Selected Data for a Share Outstanding Throughout Each Period

			Income (loss) from investment operations									Distributions to shareholders
Year	Net asset value, beginning of period		Net investment income(a)			Net realized and unrealized gain (loss)			Total from investment operations			From net investment income			From net realized gains			Total distributions
GROWTH FUND
For the Six Months Ended April 30, (Unaudited)
2010	$	21.24	$	0.05	(c)	$	3.30		$	3.35		$	(0.11	)	$	—		$	(0.11	)
For the Fiscal Years Ended October 31,
2009(e)		18.44		0.10			2.75			2.85			(0.05	)		—			(0.05	)
2008		29.11		0.05			(10.39	)		(10.34	)		(0.04	)		(0.29	)		(0.33	)
2007		25.56		0.04			3.55			3.59			(0.04	)		—			(0.04	)
2006(f)		22.56		0.04			3.08			3.12			(0.12	)		—			(0.12	)
2005		20.82		0.14	(c)		1.63			1.77			(0.03	)		—			(0.03	)
VALUE FUND
For the Six Months Ended April 30, (Unaudited)
2010	$	16.81	$	0.12		$	2.57		$	2.69		$	(0.12	)	$	—		$	(0.12	)
For the Fiscal Years Ended October 31,
2009(e)		16.31		0.30			0.50			0.80			(0.30	)		—			(0.30	)
2008		29.02		0.39			(9.84	)		(9.45	)		(0.39	)		(2.87	)		(3.26	)
2007		29.53		0.36			1.90			2.26			(0.36	)		(2.41	)		(2.77	)
2006(f)		24.96		0.35			4.66			5.01			(0.34	)		(0.10	)		(0.44	)
2005		22.70		0.27			2.28			2.55			(0.29	)		—			(0.29	)

^(a) Calculated based on the average shares outstanding methodology.

^(b) Assumes investment at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, a complete redemption of the investment at the net asset value at the end of the period and no sales or redemption charges. Total returns would be reduced if a sales or redemption charge was taken into account. Returns do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Total returns for periods less than one full year are not annualized.

^(c) Reflects income recognized from special dividends which amounted to $0.03 and $0.14 per share and 0.22% and 0.62% of average net assets, for the period ended April 30, 2010 and the fiscal year ended October 31, 2005, respectively.

^(d) Annualized.

^(e) On February 10, 2009, all outstanding Institutional Shares were redesignated as Shares.

^(f) On February 3, 2006, all outstanding Service Shares were converted into Institutional Shares.

62 The accompanying notes are an integral part of these financial statements.

COMMERCE FUNDS

Net asset value, end of period	Total return(b)		Net assets at end of period (in 000s)		Ratio of net expenses to average net assets		Ratio of total expenses to average net assets		Ratio of net investment income to average net assets		Portfolio turnover rate
$24.48	15.79	%	$	116,289	1.13	%(d)	1.25	%(d)	0.46	%(c)(d)	21	%
21.24	15.55			110,522	1.13		1.20		0.52		39
18.44	(35.82	)		111,319	1.11		1.11		0.18		43
29.11	14.04			223,441	1.13		1.14		0.15		70
25.56	13.86			173,813	1.13		1.18		0.16		47
22.56	8.52			150,676	1.13		1.23		0.64	(c)	40
$19.38	16.02	%	$	65,327	1.20	%(d)	1.28	%(d)	1.28	%(d)	17	%
16.81	5.19			63,622	1.20		1.22		1.98		61
16.31	(36.04	)		64,726	1.14		1.14		1.74		45
29.02	8.11			141,455	1.13		1.13		1.25		55
29.53	20.29			120,685	1.18		1.18		1.28		49
24.96	11.26			111,761	1.18		1.19		1.12		37

The accompanying notes are an integral part of these financial statements. 63

COMMERCE FUNDS

Financial Highlights

Selected Data for a Share Outstanding Throughout Each Period

			Income (loss) from investment operations									Distributions to shareholders
Year	Net asset value, beginning of period		Net investment income (loss)(a)			Net realized and unrealized gain (loss)			Total from investment operations			From net investment income			From net realized gains			Total distributions
MIDCAP GROWTH FUND
For the Six Months Ended April 30, (Unaudited)
2010	$	24.06	$	(0.01	)(c)	$	5.19		$	5.18		$	(0.04	)	$	—		$	(0.04	)
For the Fiscal Years Ended October 31,
2009(e)		21.13		0.02			3.81			3.83			(0.01	)		(0.89	)		(0.90	)
2008		37.60		0.01			(13.72	)		(13.71	)		—			(2.76	)		(2.76	)
2007		33.61		(0.11	)		4.14			4.03			—			(0.04	)		(0.04	)
2006(f)		28.45		(0.11	)		5.27			5.16			—			—			—
2005		24.72		(0.14	)		3.87			3.73			—			—			—
BOND FUND
For the Six Months Ended April 30, (Unaudited)
2010	$	19.17	$	0.48		$	0.47		$	0.95		$	(0.49	)	$	—		$	(0.49	)
For the Fiscal Years Ended October 31,
2009(e)		17.29		0.96			1.91			2.87			(0.99	)		—			(0.99	)
2008		18.39		0.85			(1.07	)		(0.22	)		(0.88	)		—			(0.88	)
2007		18.12		0.82			0.31	(g)		1.13			(0.86	)		—			(0.86	)
2006(f)		18.12		0.78			0.06			0.84			(0.84	)		—			(0.84	)
2005		18.71		0.76			(0.49	)		0.27			(0.86	)		—			(0.86	)

^(a) Calculated based on the average shares outstanding methodology.

^(b) Assumes investment at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, a complete redemption of the investment at the net asset value at the end of the period and no sales or redemption charges. Total returns would be reduced if a sales or redemption charge was taken into account. Returns do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Total returns for periods less than one full year are not annualized.

^(c) Reflects income recognized from a special dividend which amounted to $0.02 per share and 0.12% of average net assets.

^(d) Annualized.

^(e) On February 10, 2009, all outstanding Institutional Shares were redesignated as Shares.

^(f) On February 3, 2006, all outstanding Service Shares were converted into Institutional Shares.

^(g) Reflects an increase of $0.19 per share and 1.06% of average net assets due in payments received for class action settlements received this year.

^(h) Total return reflects the impact of payments received for class action settlements received this year. Excluding such payments, the total return would have been 5.31%.

⁽ⁱ⁾ Reflects an increase of 0.06% to total return and 0.04% of average net assets per share due to a payment made by the Trust’s Accounting Agent relating to a distribution in excess of net investment income.

64 The accompanying notes are an integral part of these financial statements.

COMMERCE FUNDS

Net asset value, end of period	Total return(b)		Net assets at end of period (in 000s)		Ratio of net expenses to average net assets		Ratio of total expenses to average net assets		Ratio of net investment income (loss) to average net assets		Portfolio turnover rate
$29.20	21.58	%	$	54,931	1.33	%(d)	1.33	%(d)	(0.11	)%(c)(d)	18	%
24.06	19.76			48,771	1.33		1.33		0.12		58
21.13	(39.07	)		40,444	1.21		1.21		0.02		57
37.60	12.01			100,357	1.18		1.18		(0.32	)	65
33.61	18.14			91,874	1.22		1.22		(0.35	)	64
28.45	15.09			75,274	1.28		1.29		(0.54	)	87
$19.63	5.02	%	$	604,019	0.84	%(d)	0.84	%(d)	5.00	%(d)	13	%
19.17	17.00			570,560	0.81		0.81		5.23		22
17.29	(1.37	)		495,168	0.79		0.79		4.62		9
18.39	6.37	(h)		537,430	0.82		0.82		4.50		23
18.12	4.76			548,713	0.85		0.85		4.35		38
18.12	1.46	(i)		569,200	0.83		0.84		4.11	(i)	23

The accompanying notes are an integral part of these financial statements. 65

COMMERCE FUNDS

Financial Highlights

Selected Data for a Share Outstanding Throughout Each Period

			Income (loss) from investment operations								Distributions to shareholders
Year	Net asset value, beginning of period		Net investment income(a)		Net realized and unrealized gain (loss)			Total from investment operations			From net investment income			From net realized gains			Total distributions
SHORT-TERM GOVERNMENT FUND
For the Six Months Ended April 30, (Unaudited)
2010	$	18.16	$	0.25	$	0.13		$	0.38		$	(0.30	)	$—			$	(0.30	)
For the Fiscal Years Ended October 31,
2009(d)		17.53		0.56		0.79			1.35			(0.72	)		—			(0.72	)
2008		17.65		0.66		(0.03	)		0.63			(0.75	)		—			(0.75	)
2007		17.56		0.69		0.16			0.85			(0.76	)		—			(0.76	)
2006(e)		17.57		0.61		0.11			0.72			(0.73	)		—			(0.73	)
2005		18.16		0.53		(0.42	)		0.11			(0.70	)		—			(0.70	)
NATIONAL TAX-FREE  INTERMEDIATE BOND FUND
For the Six Months Ended April 30, (Unaudited)
2010	$	18.84	$	0.34	$	0.26		$	0.60		$	(0.33	)	$	(0.05	)	$	(0.38	)
For the Fiscal Years Ended October 31,
2009(d)		17.82		0.70		1.20			1.90			(0.70	)		(0.18	)		(0.88	)
2008		18.83		0.70		(0.96	)		(0.26	)		(0.70	)		(0.05	)		(0.75	)
2007		19.07		0.71		(0.19	)		0.52			(0.71	)		(0.05	)		(0.76	)
2006(e)		19.05		0.72		0.13			0.85			(0.73	)		(0.10	)		(0.83	)
2005		19.59		0.72		(0.51	)		0.21			(0.71	)		(0.04	)		(0.75	)

^(a) Calculated based on the average shares outstanding methodology.

^(b) Assumes investment at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, a complete redemption of the investment at the net asset value at the end of the period and no sales or redemption charges. Total returns would be reduced if a sales or redemption charge were taken into account. Returns do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Total returns for periods less than one full year are not annualized.

^(c) Annualized.

^(d) On February 10, 2009, all outstanding Institutional Shares were redesignated as Shares.

^(e) On February 3, 2006, all outstanding Service Shares were converted into Institutional Shares.

66 The accompanying notes are an integral part of these financial statements.

COMMERCE FUNDS

Net asset value, end of period	Total return(b)		Net assets at end of period (in 000s)		Ratio of net expenses to average net assets		Ratio of total expenses to average net assets		Ratio of net investment income to average net assets		Portfolio turnover rate
$18.24	2.12	%	$	121,410	0.68	%(c)	0.91	%(c)	2.82	%(c)	13	%
18.16	7.85			105,981	0.68		0.93		3.14		25
17.53	3.60			78,455	0.68		0.90		3.68		30
17.65	4.97			87,511	0.68		0.90		3.91		15
17.56	4.21			129,940	0.68		0.89		3.49		28
17.57	0.63			157,183	0.68		0.91		3.00		32
$19.06	3.23	%	$	179,427	0.70	%(c)	0.87	%(c)	3.58	%(c)	31	%
18.84	10.89			163,878	0.70		0.85		3.77		27
17.82	(1.47	)		136,575	0.70		0.82		3.76		45
18.83	2.81			145,265	0.70		0.83		3.78		42
19.07	4.57			154,304	0.70		0.88		3.80		42
19.05	1.09			162,792	0.70		0.87		3.71		48

The accompanying notes are an integral part of these financial statements. 67

COMMERCE FUNDS

Financial Highlights

Selected Data for a Share Outstanding Throughout Each Period

			Income (loss) from investment operations							Distributions to shareholders
Year	Net asset value, beginning of period		Net investment income(a)		Net realized and unrealized gain (loss)			Total from investment operations		From net investment income			From net realized gains			Total distributions
MISSOURI TAX-FREE INTERMEDIATE BOND FUND
For the Six Months Ended April 30, (Unaudited)
2010	$	19.30	$	0.33	$	0.13		$	0.46	$	(0.33	)	$	(0.03	)	$	(0.36	)
For the Fiscal Years Ended October 31,
2009(d)		18.27		0.67		1.05			1.72		(0.67	)		(0.02	)		(0.69	)
2008		19.01		0.69		(0.66	)		0.03		(0.69	)		(0.08	)		(0.77	)
2007		19.22		0.71		(0.19	)		0.52		(0.71	)		(0.02	)		(0.73	)
2006(e)		19.19		0.74		0.10			0.84		(0.75	)		(0.06	)		(0.81	)
2005		19.83		0.74		(0.62	)		0.12		(0.74	)		(0.02	)		(0.76	)
KANSAS TAX-FREE INTERMEDIATE BOND FUND
For the Six Months Ended April 30, (Unaudited)
2010	$	19.05	$	0.31	$	0.06		$	0.37	$	(0.31	)	$	(0.06	)	$	(0.37	)
For the Fiscal Years Ended October 31,
2009(d)		17.90		0.63		1.20			1.83		(0.64	)		(0.04	)		(0.68	)
2008		18.58		0.64		(0.63	)		0.01		(0.64	)		(0.05	)		(0.69	)
2007		18.78		0.66		(0.14	)		0.52		(0.66	)		(0.06	)		(0.72	)
2006(e)		18.75		0.70		0.08			0.78		(0.70	)		(0.05	)		(0.75	)
2005		19.33		0.69		(0.56	)		0.13		(0.69	)		(0.02	)		(0.71	)

^(a) Calculated based on the average shares outstanding methodology.

^(b) Assumes investment at the net asset value at the beginning of the period, reinvestment of all dividends and distributions, a complete redemption of the investment at the net asset value at the end of the period and no sales or redemption charges. Total returns would be reduced if a sales or redemption charge was taken into account. Returns do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Total returns for periods less than one full year are not annualized.

^(c) Annualized.

^(d) On February 10, 2009, all outstanding Institutional Shares were redesignated as Shares.

^(e) On February 3, 2006, all outstanding Service Shares were converted into Institutional Shares.

68 The accompanying notes are an integral part of these financial statements.

COMMERCE FUNDS

Net asset value, end of period	Total return(b)		Net assets at end of period (in 000s)		Ratio of net expenses to average net assets		Ratio of total expenses to average net assets		Ratio of net investment income to average net assets		Portfolio turnover rate
$19.40	2.41	%	$	245,978	0.70	%(c)	0.85	%(c)	3.47	%(c)	9	%
19.30	9.54			229,687	0.70		0.83		3.50		10
18.27	0.10			169,838	0.70		0.81		3.63		7
19.01	2.77			148,824	0.68		0.82		3.74		21
19.22	4.48			159,628	0.65		0.88		3.87		15
19.19	0.61			172,124	0.65		0.87		3.77		19
$19.05	1.96	%	$	79,656	0.70	%(c)	0.94	%(c)	3.28	%(c)	8	%
19.05	10.33			75,878	0.70		0.93		3.38		16
17.90	0.01			68,986	0.70		0.90		3.46		13
18.58	2.82			69,270	0.68		0.92		3.55		18
18.78	4.28			69,075	0.65		0.98		3.75		33
18.75	0.68			68,128	0.65		1.00		3.64		13

The accompanying notes are an integral part of these financial statements. 69

Fund Expenses – Six Month Period Ended April 30, 2010(Unaudited)

As a shareholder of the Funds you incur two types of costs: (1) transaction costs and (2) ongoing costs, including management fees; shareholder servicing fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from November 1, 2009 through April 30, 2010.

Actual Expenses – The first line 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” to estimate the expenses you paid on your account during this period.

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

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as exchange fees, but shareholders of other funds may incur such costs. Therefore, the second line of the table 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.

Fund	Beginning Account Value 11/01/09		Ending Account Value 4/30/10			Expenses Paid for the 6 months ended 4/30/10*		Beginning Account Value 11/01/09		Ending Account Value 4/30/10			Expenses Paid for the 6 months ended 4/30/10*		Beginning Account Value 11/01/09		Ending Account Value 4/30/10			Expenses Paid for the 6 months ended 4/30/10*		Beginning Account Value 11/01/09		Ending Account Value 4/30/10			Expenses Paid for the 6 months ended 4/30/10*
	Growth Fund							Value Fund							MidCap Growth Fund							Bond Fund
Shares
Actual	$	1,000.00	$	1,157.90		$	6.05	$	1,000.00	$	1,160.20		$	6.43	$	1,000.00	$	1,215.80		$	7.31	$	1,000.00	$	1,050.20		$	4.27
Hypothetical 5% return		1,000.00		1,019.19	+		5.66		1,000.00		1,018.84	+		6.01		1,000.00		1,018.20	+		6.66		1,000.00		1,020.63	+		4.21
	Short-Term Government Fund							National Tax-Free Intermediate Bond Fund							Missouri Tax-Free Intermediate Bond Fund							Kansas Tax-Free Intermediate Bond Fund
Shares
Actual	$	1,000.00	$	1,021.20		$	3.41	$	1,000.00	$	1,032.30		$	3.53	$	1,000.00	$	1,024.10		$	3.51	$	1,000.00	$	1,019.60		$	3.51
Hypothetical 5% return		1,000.00		1,021.42	+		3.41		1,000.00		1,021.32	+		3.51		1,000.00		1,021.32	+		3.51		1,000.00		1,021.32	+		3.51

* Expenses are calculated using each Fund’s annualized net expense ratio, which represents the ongoing expenses as a percentage of net assets for the six months ended April 30, 2010. Expenses are calculated by multiplying the annualized net expense ratio by the average account value for the period; then multiplying the result by the number of days in the most recent fiscal half year; and then dividing that result by the number of days in the year. The annualized net expense ratios for the period were as follows:

Fund			Fund
Growth	1.13	%	Short-Term Government	0.68	%
Value	1.20		National Tax-Free Intermediate Bond	0.70
MidCap Growth	1.33		Missouri Tax-Free Intermediate Bond	0.70
Bond	0.84		Kansas Tax-Free Intermediate Bond	0.70

+ Hypothetical expenses are based on the Funds’ actual net expense ratios and an assumed rate of return of 5% per year before expenses.

70

COMMERCE FUND

The Commerce Funds

Growth Fund:

The Fund is subject to market risk so that the value of the securities in which it invests may go up or down in response to the prospects of individual companies, particular industry sectors and/or general economic conditions. Investments in technology companies, which may produce or use products or services that prove commercially unsuccessful or become obsolete, may be subject to greater price volatility than securities of companies in other sectors.

Value Fund:

The Fund is subject to market risk so that the value of the securities in which it invests may go up or down in response to the prospects of individual companies, particular industry sectors and/or general economic conditions.

MidCap Growth Fund:

The Fund invests in small- and mid-capitalization securities. Generally, smaller and mid-sized companies are more vulnerable to adverse developments because of more limited product lines, markets or financial resources. As a result, the securities of smaller and mid-sized companies involve greater risks than those associated with larger, more established companies and may be subject to more abrupt or erratic trading and price movements. Investments in technology companies, which may produce or use products or services that prove commercially unsuccessful or become obsolete, may be subject to greater price volatility than securities of companies in other sectors.

Bond Fund:

Investments in fixed income securities are subject to the risks associated with debt securities including credit and interest rate risk. The guarantee on U.S. government securities applies only to the underlying securities of the Fund if held to maturity and not to the value of the Fund’s shares. Mortgage-backed securities, especially collateralized mortgage-backed securities, may be subject to risks that include price volatility, liquidity and enhanced sensitivity to interest rates. Asset-backed securities may be less liquid than other securities and therefore more difficult to value and liquidate, if necessary.

Short-Term Government Fund:

Investments in fixed income securities are subject to the risks associated with debt securities including credit and interest rate risk. The guarantee on U.S. government securities applies only to the underlying securities of the Fund if held to maturity and not to the value of the Fund’s shares. Mortgage-backed securities, especially collateralized mortgage-backed securities, may be subject to risks that include price volatility, liquidity and enhanced sensitivity to interest rates.

National Tax-Free Intermediate Bond Fund

Investments in fixed income securities are subject to the risks associated with debt securities including credit and interest rate risk. Investments in municipal securities can be significantly affected by political changes as well as uncertainties in the municipal market related to taxation or legislative changes. The Fund’s investments may subject shareholders to the federal alternative minimum tax and state income taxes.

71

COMMERCE FUND

The Commerce Funds (continued)

Missouri Tax-Free Intermediate Bond Fund:

Investments in fixed income securities are subject to the risks associated with debt securities including credit and interest rate risk. The Fund invests its assets predominately in Missouri bonds. The actual payment of principal and interest on these bonds is dependent on the Missouri General Assembly allotting money each fiscal year for these payments. The Fund is non-diversified. Due to the small number of bonds generally held in the portfolio, the Fund may be subject to greater risks than a more diversified fund. A change in the value of any single holding may affect the overall value more than it would affect a diversified fund that holds more investments. Investments in municipal securities can be significantly affected by political changes as well as uncertainties in the municipal market related to taxation or legislative changes. In addition, the Fund’s investments may subject shareholders to federal alternative minimum tax. The investment income from this Fund may be subject to state income taxes.

Kansas Tax-Free Intermediate Bond Fund:

Investments in fixed income securities are subject to the risks associated with debt securities including credit and interest rate risk. The Fund invests its assets predominately in Kansas bonds. The actual payment of principal and interest on these bonds is dependent on the Kansas legislature allotting money each fiscal year for these payments. The Fund is non-diversified. Due to the smaller number of bonds generally held in the portfolio, the Fund may be subject to greater risks than a more diversified fund. A change in the value of any single holding may affect the overall value more than it would affect a diversified fund that holds more investments. Investments in municipal securities can be significantly affected by political changes as well as uncertainties in the municipal market related to taxation or legislative changes. In addition, the Fund’s investments may subject shareholders to federal alternative minimum tax. The investment income from this Fund may be subject to state income taxes.

72

INVESTMENT ADVISER	DISTRIBUTOR
AND CO-ADMINISTRATOR	Goldman, Sachs & Co.
Commerce Investment Advisors, Inc.	200 West Street
922 Walnut Street	New York, New York 10282
4th Floor
Kansas City, Missouri 64106	CO-ADMINISTRATOR
	Goldman Sachs Asset Management, L.P.
CUSTODIAN/ACCOUNTING AGENT	200 West Street
State Street Bank & Trust Company	New York, New York 10282
1 Lincoln Street
Boston, Massachusetts 02111	INDEPENDENT REGISTERED
	PUBLIC ACCOUNTING FIRM
TRANSFER AGENT	KPMG LLP
Boston Financial Data Services, Inc.	99 High Street
330 W. 9th	Boston, Massachusetts 02110
4th Floor
Kansas City, Missouri 64105	LEGAL COUNSEL
	Drinker Biddle & Reath LLP
	One Logan Square
	Stc. 2000
	Philadelphia, Pennsylvania 19103-6996

This Semi-Annual Report contains facts concerning The Commerce Funds’ objectives and policies, management, expenses, and other information. For more complete information about The Commerce Funds, a prospectus may be obtained by calling 1-800-995-6365. An investor should read the prospectus carefully before investing or sending money.

The Commerce Funds are advised by Commerce Investment Advisors, Inc., a subsidiary of Commerce Bank, N.A., which receives a fee for its services. The Commerce Funds are distributed by Goldman, Sachs & Co.

The Commerce Funds file their complete schedule of portfolio holdings with the Securities and Exchange Commission (the “SEC”) for the first and third quarters of each fiscal year on Form N-Q. The Funds’ Form N-Q is available on the SEC’s website at http://www.sec.gov. You may also review and obtain copies at the SEC’s Public Reference Room in Washington, D.C. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

A description of the policies and procedures that The Commerce Funds use to determine how to vote proxies relating to portfolio securities and information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available (i) without change, upon request by calling 1-800-995-6365 and (ii) on the SEC’s website at http://www.sec.gov.

This report is not authorized for distribution to prospective investors unless preceded or accompanied by a current prospectus, which contains, more complete information about the Commerce Funds’ investment policies, fees and expenses. Investors should read the prospectus carefully before investing.

NOT FDIC INSURED MAY LOSE VALUE NO BANK GUARANTEE

TRUSTEES

J. Eric Helsing, Chairman

David L. Bodde

Martin E. Galt III

Charles W. Peffer

OFFICERS

William Schuetter, President

Angela Dew, Vice President, Chief Compliance Officer, and Secretary

Jeffrey Bolin, Assistant Vice President

Peter W. Fortner, Chief Accounting Officer

Scott McHugh, Treasurer

Philip V. Giuca Jr., Assistant Treasurer

Patricia Meyer, Assistant Secretary

922 Walnut

Fourth Floor

Kansas City, Missouri 64106

www.commercefunds.com

1-800-995-6365

07-938/CB 5026

6/10

ITEM 2. CODE OF ETHICS.

Not applicable for the reporting period.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

Not applicable for the reporting period.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

Not applicable for the reporting period.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable.

ITEM 6. INVESTMENTS

(a) The Schedule of Investments is included as part of the Report to Shareholders filed under Item 1.

(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 has been no material change to the procedures by which shareholders may recommend nominees to the registrant’s Board of Trustees.

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”)) are effective as of a date within 90 days of the filing of this report, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and 15d-15(b) under the Securities Exchange Act of 1934, as amended.

(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) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

ITEM 12. EXHIBITS

(a)(1)	Not applicable for the reporting period.
(a)(2)	Exhibit 99.CERT	Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 are filed herewith.
(a)(3)	Not applicable.
(b)(1)	Exhibit 99.906CERT	Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 are filed herewith.

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.

THE COMMERCE FUNDS

/s/    William Schuetter         

William Schuetter

President

July 1, 2010

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.

/s/    William Schuetter         

William Schuetter

President

The Commerce Funds

July 1, 2010

/s/     Peter Fortner        

Peter Fortner

Chief Accounting Officer

The Commerce Funds

July 1, 2010