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: 811-09253
Wells Fargo Fund Trust
(Exact name of registrant as specified in charter)
525 Market St., San Francisco, CA 94105
(Address of principal executive offices) (Zip code)
C. David Messman
Wells Fargo Funds Management, LLC
525 Market St., San Francisco, CA 94105
(Name and address of agent for service)
Registrant's telephone number, including area code: 800-643-9691
Date of fiscal year end: February 28, 2007
Date of reporting period: August 31, 2006
ITEM 1. REPORT TO SHAREHOLDERS
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WELLS ADVANTAGE
FARGO FUNDS
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[GRAPHIC OMITTED] AUGUST 31, 2006
SEMI-ANNUAL REPORT
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS(SM)
Wells Fargo Advantage Dow Jones Target Today Fund(SM)
Wells Fargo Advantage Dow Jones Target 2010 Fund(SM)
Wells Fargo Advantage Dow Jones Target 2020 Fund(SM)
Wells Fargo Advantage Dow Jones Target 2030 Fund(SM)
Wells Fargo Advantage Dow Jones Target 2040 Fund(SM)
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
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TABLE OF CONTENTS
Letter to Shareholders ................................................... 1
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Performance Highlights ................................................... 2
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Fund Expenses (Unaudited) ................................................ 9
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Portfolio of Investments
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Target Today Fund ..................................................... 12
Target 2010 Fund ...................................................... 13
Target 2020 Fund ...................................................... 14
Target 2030 Fund ...................................................... 15
Target 2040 Fund ...................................................... 16
Financial Statements
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Statements of Assets and Liabilities .................................. 17
Statements of Operations .............................................. 18
Statements of Changes in Net Assets ................................... 20
Financial Highlights .................................................. 24
Notes to Financial Highlights ......................................... 30
Notes to Financial Statements ............................................ 31
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Master Portfolios
Portfolio of Investments
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Diversified Fixed Income Portfolio .................................... 36
Diversified Stock Portfolio ........................................... 57
Money Market Portfolio ................................................ 109
Financial Statements
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Statements of Assets and Liabilities .................................. 112
Statements of Operations .............................................. 113
Statements of Changes in Net Assets ................................... 114
Financial Highlights .................................................. 115
Notes to Financial Statements ............................................ 116
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Other Information (Unaudited) ............................................ 120
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List of Abbreviations .................................................... 127
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"Dow Jones" and "Dow Jones Target Date Indexes" are service marks of Dow Jones &
Company, Inc. and have been licensed for use for certain purposes by Global
Index Advisors, Inc. and Wells Fargo Funds Management, LLC. The WELLS FARGO
ADVANTAGE DOW JONES TARGET DATE FUNDS, based on the Dow Jones Target Date
Indexes, are not sponsored, endorsed, sold or promoted by Dow Jones, and Dow
Jones makes no representation regarding the advisability of investing in such
product(s).
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NOT FDIC INSURED-NO BANK GUARANTEE-MAY LOSE VALUE
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THIS PAGE IS INTENTIONALLY LEFT BLANK --
LETTER TO SHAREHOLDERS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
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DEAR VALUED SHAREHOLDER,
Enclosed please find the WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
semi-annual report for the six-month period that ended August 31, 2006. The
period included some significant enhancements to the formerly WELLS FARGO
ADVANTAGE OUTLOOK FUNDS(SM). On June 26, 2006, the Funds were renamed the WELLS
FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS, and they will seek to replicate the
returns of the appropriate Dow Jones Target Date Indexes--the first life cycle
indexes in the investment industry. This change provides broader diversification
of investments for each Target Date Fund.
On the following pages, you will find a discussion of each Fund, including
performance highlights, information about the holdings in each Fund, and the
portfolio managers' strategic outlook.
ECONOMIC OVERVIEW
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During the period, the U.S. economy started to show some signs of a
slowdown. The housing market slowed, with mortgage applications falling and
homes staying on the market for longer periods. Consumer confidence weakened,
and the inflation outlook remained cloudy. Real Gross Domestic Product (GDP)
slowed to 2.9% for the second quarter of 2006, driven mostly by a falloff in
consumer spending from an unsustainable first-quarter pace. Other indicators,
however, have remained robust. Capital spending and the manufacturing sector
continued to perform well. Most labor markets also remained healthy, creating
some uncertainty regarding the direction of the Fed's next decision about
interest rates.
STOCKS PRODUCE POSITIVE RETURNS
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Overall, stock returns were positive, in spite of a few ups and downs
during the period. For the six-month period that ended August 31, 2006, the S&P
500 Index reported a positive return of 2.79%. Not all sectors of the equity
market did well, however. Despite an extremely impressive August for the
technology sector, the NASDAQ Composite Index was down 5.44% for the period, and
technology was the worst performing sector for the six months.
Stable corporate earnings helped the U.S. equity markets at the beginning
of the reporting period. However, by May 2006, record prices for crude oil and
concerns of a slowdown in worldwide economic growth in many cases reversed the
equity gains from earlier in 2006. Nevertheless, in the United States, the
fundamentals of strong earnings and controlled inflation led to a stock market
rally which helped the equity markets deliver positive returns for the period.
BONDS WRESTLE WITH INTEREST RATES
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Yields on most U.S. Treasury notes and bonds increased as the Federal
funds rate continued to rise during 2006. However, when the Federal Open Market
Committee met on August 8, 2006, it decided, for the first time since June 2004,
to leave the Federal funds rate unchanged. Largely because of expectations of an
end to the Fed's cycle of interest rate increases--often described as credit
tightening--the bond markets rallied in July and August, allowing most segments
of the bond market to record positive returns for the six-month period.
LOOKING AHEAD
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As the reporting period came to a close, it was difficult to anticipate
what the next move by the Fed might be, and economic activity was clearly
slowing down. Given the uncertainty of these and other market forces, we believe
that successful investing includes a balanced approach of owning a diversified
portfolio, such as a Wells Fargo Advantage Dow Jones Target Date Fund, while
keeping a long-term perspective. While diversification may not prevent losses in
a downturn, it may help reduce them and keep you on track to reach your
financial goals.
Thank you for choosing WELLS FARGO ADVANTAGE FUNDS. We appreciate your
confidence in us. Through each market cycle, we are committed to helping you
meet your financial needs. If you have any questions about your investment,
please contact your investment professional or call us at 1-800-222-8222. You
may also want to visit our Web site at WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
Sincerely,
/s/ Karla M. Rabusch
Karla M. Rabusch
President
WELLS FARGO ADVANTAGE FUNDS
1
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS PERFORMANCE HIGHLIGHTS
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INVESTMENT OBJECTIVE
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Each Fund seeks to provide investors with an asset allocation strategy
designed to maximize total return for retirement or for other purposes
consistent with the quantitatively measured risk that investors, on average, may
be willing to accept given their investment time horizons. Investors are
encouraged to select a particular WELLS FARGO ADVANTAGE DOW JONES TARGET DATE
FUND based on their investment time horizon.
Specifically:
o The WELLS FARGO ADVANTAGE DOW JONES TARGET TODAY FUND is
managed for investors who have retired, are planning to retire
or will begin to withdraw substantial portions of their
investment in the near future.
o The WELLS FARGO ADVANTAGE DOW JONES TARGET 2010 FUND is
managed for investors planning to retire or begin to withdraw
substantial portions of their investment approximately in the
year 2010.
o The WELLS FARGO ADVANTAGE DOW JONES TARGET 2020 FUND is
managed for investors planning to retire or begin to withdraw
substantial portions of their investment approximately in the
year 2020.
o The WELLS FARGO ADVANTAGE DOW JONES TARGET 2030 FUND is
managed for investors planning to retire or begin to withdraw
substantial portions of their investment approximately in the
year 2030.
o The WELLS FARGO ADVANTAGE DOW JONES TARGET 2040 FUND is
managed for investors planning to retire or begin to withdraw
substantial portions of their investment approximately in the
year 2040.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Global Index Advisors, Inc.
FUND MANAGERS FUND INCEPTION DATE
Rodney H. Alldredge, George V. Daniels, 03/01/1994
Jr., James P. Lauder
HOW DID THE FUNDS PERFORM OVER THE 12-MONTH REPORTING PERIOD? 1
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The WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS Class A shares each
returned the following over the six-month period that ended August 31, 2006:
o The WELLS FARGO ADVANTAGE DOW JONES TARGET TODAY FUND returned
1.39% 2, (excluding sales charge).
o The WELLS FARGO ADVANTAGE DOW JONES TARGET 2010 FUND returned
1.86% 3, (excluding sales charge).
o The WELLS FARGO ADVANTAGE DOW JONES TARGET 2020 FUND returned
2.24% 4, (excluding sales charge).
o The WELLS FARGO ADVANTAGE DOW JONES TARGET 2030 FUND returned
1.70% 5, (excluding sales charge).
o The WELLS FARGO ADVANTAGE DOW JONES TARGET 2040 FUND returned
1.85% 6, (excluding sales charge).
During the six-month period that ended August 31, 2006, there was
significant volatility within the domestic stock, international stock, and
fixed-income markets, however, all the WELLS FARGO ADVANTAGE DOW JONES TARGET
DATE FUNDS delivered positive returns for the period. The WELLS FARGO ADVANTAGE
DOW JONES TARGET 2020 FUND, which comprised a balanced allocation of
fixed-income securities, domestic stocks, and international stocks, delivered
the best performance for the six-month period. The WELLS FARGO ADVANTAGE DOW
JONES TARGET TODAY FUND, which had the highest allocation of fixed-income
investments, delivered the weakest returns.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS AND DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER MAY PAY ON
FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. INVESTMENT RETURN AND
PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT AN INVESTOR'S SHARES,
WHEN REDEEMED, MAY BE WORTH MORE OR LESS THAN THEIR ORIGINAL COST. PERFORMANCE
SHOWN WITHOUT SALES CHARGES WOULD BE LOWER IF SALES CHARGES WERE REFLECTED.
CURRENT PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED.
CURRENT MONTH-END PERFORMANCE IS AVAILABLE ON THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
FOR CLASS A SHARES, THE MAXIMUM FRONT-END SALES CHARGE IS 5.75%. FOR CLASS
B SHARES, THE MAXIMUM CONTINGENT DEFERRED SALES CHARGE IS 5.00%. FOR CLASS C
SHARES, THE MAXIMUM CONTINGENT DEFERRED SALES CHARGE IS 1.00%. PERFORMANCE
INCLUDING SALES CHARGE ASSUMES THE SALES CHARGE FOR THE CORRESPONDING TIME
PERIOD. ADMINISTRATOR CLASS AND INSTITUTIONAL CLASS SHARES ARE SOLD WITHOUT A
FRONT-END SALES CHARGE OR CONTINGENT DEFERRED SALES CHARGE. OTHER FEES AND
EXPENSES APPLY TO AN INVESTMENT IN THE FUNDS AND ARE DESCRIBED IN THE FUNDS'
CURRENT PROSPECTUS.
WHAT FACTORS AFFECTED THE FUNDS' PERFORMANCE?
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During the six-month reporting period, the Funds' underlying asset
classes, including bonds, domestic stocks, and international stocks, all
experienced periods of strength and weakness. The stock market moved higher
during March 2006, the first month of the reporting period, while the
fixed-income markets showed weakness. However, for the second quarter of 2006,
U.S. stocks declined, with the S&P 500 Index turning in a negative quarterly
performance. Bonds also saw negative returns during the second quarter, during a
period of rising interest rates. The six-month period ended with a stock market
rally in August, as the Fed paused in its cycle of raising rates for the first
time since June 2004, after 17 consecutive increases. International stocks also
delivered positive performance in the final month of the period, particularly in
Europe, although Japanese stocks also delivered positive returns for the month.
WHAT CHANGES DID YOU MAKE TO THE FUNDS' HOLDINGS DURING THE PERIOD?
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On June 26, 2006, the WELLS FARGO ADVANTAGE OUTLOOK FUNDS were renamed the
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS. In connection with the name
change, the Target Date Funds changed subadvisers and portfolio managers, which
now utilize a new asset allocation strategy that seeks to replicate the returns
of the appropriate Dow Jones Target Date Indexes--the first life cycle indexes
in the investment industry. This change resulted in greater diversification of
the underlying investments for each Target Date Fund, including a broad mix of
large cap, mid cap, small cap, growth, value, and international stocks,
including emerging markets. The Funds also invest in a mix of fixed-income
investments, including U.S. and foreign government bonds, corporate bonds, and
mortgage-backed securities.
LOOKING AHEAD, WHAT IS YOUR STRATEGIC OUTLOOK?
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It is our belief that market leadership, or the best performance by any
one asset class, rotates among the various investment categories contained
within the underlying portfolios of the Target Date Funds. We feel that over
time, the return of each asset class will revert to its average. No one can
consistently predict the winning and losing asset classes over the near future.
It is for these reasons that we believe that the very broad diversification that
exists within the WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDs, and our
strategy of regularly rebalancing the Funds' portfolios in an effort to prevent
overexposure to overvalued asset classes, can provide effective risk management
and potential growth over the long run.
2
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
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BALANCED FUNDS MAY INVEST IN STOCKS AND BONDS. STOCKS SHOULD ONLY BE
CONSIDERED FOR LONG-TERM GOALS AS VALUES FLUCTUATE IN RESPONSE TO THE ACTIVITIES
OF INDIVIDUAL COMPANIES AND GENERAL MARKET AND ECONOMIC CONDITIONS. BOND VALUES
FLUCTUATE IN RESPONSE TO THE FINANCIAL CONDITION OF INDIVIDUAL ISSUERS, CHANGES
IN INTEREST RATES, AND GENERAL MARKET AND ECONOMIC CONDITIONS. IN GENERAL, WHEN
INTEREST RATES RISE, BOND FUND VALUES FALL AND INVESTORS MAY LOSE PRINCIPAL
VALUE. INVESTMENT STRATEGIES THAT EMPHASIZE PARTICULAR MARKET SEGMENTS OR FEWER
SECURITIES TEND TO INCREASE THE TOTAL RISK OF AN INVESTMENT (RELATIVE TO THE
BROADER MARKET). THESE FUNDS ARE EXPOSED TO SMALL AND MEDIUM COMPANY SECURITIES
RISK AND FOREIGN INVESTMENTS RISK. CONSULT THE FUND'S PROSPECTUS FOR ADDITIONAL
INFORMATION ON THESE AND OTHER RISK.
AVERAGE ANNUAL TOTAL RETURNS 1 (%) (AS OF AUGUST 31, 2006)
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Including Sales Charge Excluding Sales Charge
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Fund Name 6-months* 1-Year 5-Year 10-Year 6-months* 1-Year 5-Year 10-Year
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Target Today Fund - Class A 2 (Incept. Date 03/01/1994) (4.46) (2.52) 2.61 4.83 1.39 3.43 3.83 5.46
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Target Today Fund - Class B 2 (Incept. Date 08/01/1998) (3.92) (2.26) 2.79 4.86 1.08 2.74 3.15 4.86
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Target Today Fund - Class C 2 (Incept. Date 12/01/1998) .08 1.66 3.15 4.85 1.08 2.66 3.15 4.85
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Target Today Fund - Administrator Class2 (Incept. Date
11/08/1999) 1.61 3.78 4.15 5.65
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Target Today Fund - Institutional Class 2
(Incept. Date 06/30/2004) 1.71 3.98 4.23 5.69
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Target 2010 Fund - Class A 3 (Incept. Date 03/01/1994) (4.02) (1.14) 2.77 5.87 1.86 4.87 3.99 6.50
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Target 2010 Fund - Class B 3 (Incept. Date 03/01/1997) (3.52) (0.94) 2.95 5.85 1.48 4.06 3.30 5.85
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Target 2010 Fund - Class C 3 (Incept. Date 12/01/1998) 0.46 3.10 3.32 5.85 1.46 4.10 3.32 5.85
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Target 2010 Fund - Administrator Class 3
(Incept. Date 11/08/99) 2.07 5.23 4.32 6.67
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Target 2010 Fund - Institutional Class 3
(Incept. Date 06/30/2004) 2.09 5.36 4.39 6.70
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Target 2020 Fund - Class A 4 (Incept. Date 03/01/1994) (3.65) 0.89 3.06 6.38 2.24 7.08 4.29 7.02
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Target 2020 Fund - Class B 4 (Incept. Date 03/01/1997) (3.11) 1.25 3.27 6.38 1.89 6.25 3.62 6.38
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Target 2020 Fund - Class C 4 (Incept. Date 12/01/1998) 0.87 5.29 3.61 6.38 1.87 6.29 3.61 6.38
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Target 2020 Fund - Administrator Class 4
(Incept. Date 11/08/1999) 2.36 7.40 4.61 7.23
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Target 2020 Fund - Institutional Class 4
(Incept. Date 06/30/2004) 2.53 7.60 4.72 7.28
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Target 2030 Fund - Class A 5 (Incept. Date 03/01/1994) (4.16) 1.29 3.31 6.88 1.70 7.50 4.54 7.51
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Target 2030 Fund - Class B 5 (Incept. Date 03/01/1997) (3.70) 1.67 3.52 6.86 1.30 6.67 3.87 6.86
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Target 2030 Fund - Class C 5 (Incept. Date 12/01/1998) 0.28 5.67 3.86 6.85 1.28 6.67 3.86 6.85
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Target 2030 Fund - Administrator Class 5
(Incept. Date 11/08/1999) 1.83 7.83 4.87 7.71
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Target 2030 Fund - Institutional Class 5
(Incept. Date 06/30/2004) 1.93 8.04 4.95 7.75
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Target 2040 Fund - Class A 6 (Incept. Date 03/01/1994) (4.02) 2.62 3.68 7.11 1.85 8.90 4.91 7.74
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Target 2040 Fund - Class B 6 (Incept. Date 03/01/1997) (3.58) 3.07 3.88 7.08 1.42 8.07 4.23 7.08
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Target 2040 Fund - Class C 6 (Incept. Date 07/01/1998) 0.42 7.08 4.22 7.07 1.42 8.08 4.22 7.07
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Target 2040 Fund - Administrator Class 6
(Incept. Date 11/08/1999) 1.98 9.19 5.22 7.96
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Target 2040 Fund - Institutional Class 6
(Incept. Date 06/30/2004) 2.13 9.45 5.33 8.02
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Benchmarks
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Dow Jones Target Today Index 7 2.39 4.72 6.78 6.66
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Dow Jones Target 2010 Index 7 5.12 7.57 7.30 7.58
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Dow Jones Target 2020 Index 7 5.84 10.23 8.52 8.66
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Dow Jones Target 2030 Index 7 3.55 12.88 9.70 9.24
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Dow Jones Target 2040 Index 7 1.93 13.01 10.19 9.41
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Russell 3000(R) Index 8 2.06 8.75 5.63 9.04
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Lehman Brothers U.S. Aggregate Bond Index 9 1.82 1.71 4.87 6.51
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The views expressed are as of August 31, 2006, and are those of the Funds'
managers. The views are subject to change at any time in response to changing
circumstances in the market and are not intended to predict or guarantee the
future performance of any individual security, market sector or the markets
generally, or the WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS.
* Returns for periods of less than one year are not annualized.
3
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS PERFORMANCE HIGHLIGHTS
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PORTFOLIO ALLOCATION 10 (AS OF AUGUST 31, 2006)
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TARGET TODAY FUND
[THE FOLLOWING TABLE WAS REPRESENTED BY A PIE CHART IN THE PRINTED MATERIAL.]
International Stocks 4%
Domestic Stocks 8%
Bonds 35%
Cash 53%
TARGET 2010 FUND
[THE FOLLOWING TABLE WAS REPRESENTED BY A PIE CHART IN THE PRINTED MATERIAL.]
International Stocks 7%
Domestic Stocks 14%
Bonds 62%
Cash 17%
TARGET 2020 FUND
[THE FOLLOWING TABLE WAS REPRESENTED BY A PIE CHART IN THE PRINTED MATERIAL.]
International Stocks 18%
Domestic Stocks 35%
Bonds 43%
Cash 4%
TARGET 2030 FUND
[THE FOLLOWING TABLE WAS REPRESENTED BY A PIE CHART IN THE PRINTED MATERIAL.]
International Stocks 26%
Domestic Stocks 53%
Bonds 17%
Cash 4%
TARGET 2040 FUND
[THE FOLLOWING TABLE WAS REPRESENTED BY A PIE CHART IN THE PRINTED MATERIAL.]
International Stocks 30%
Domestic Stocks 59%
Bonds 7%
Cash 4%
FUND CHARACTERISTICS 10 (AS OF AUGUST 31, 2006)
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Target Target Target Target Target
Today Fund 2010 Fund 2020 Fund 2030 Fund 2040 Fund
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Weighted Average Coupon of Bond Portfolio 4.82% 4.82% 4.82% 4.82% 4.82%
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Weighted Average Maturity of Bond Portfolio 7.52 years 7.52 years 7.52 years 7.52 years 7.52 years
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Modified Duration of Bond Portfolio 5.17 years 5.17 years 5.17 years 5.17 years 5.17 years
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4
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
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GROWTH OF $10,000 INVESTMENT 11 (AS OF AUGUST 31, 2006)
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Wells Fargo Advantage Dow Jones Target Today Fund
[THE FOLLOWING TABLE WAS DEPICTED AS A LINE GRAPH IN THE PRINTED MATERIAL.]
WELLS FARGO Lehman
WELLS FARGO ADVANTAGE DOW Dow Jones Brothers U.S.
ADVANTAGE DOW JONES JONES TARGET TODAY- Target Today Aggregate
TARGET TODAY-Class A Administrator Class Index Russell 3000(R) Index Bond Index
-------------------- --------------------- ------------ --------------------- -------------
8/31/1996 9,422 10,000 10,000 10,000 $10,000
9/30/1996 9,619 10,209 10,116 10,544 $10,174
10/31/1996 9,765 10,363 10,219 10,737 $10,400
11/30/1996 10,002 10,615 10,349 11,494 $10,578
12/31/1996 9,920 10,528 10,342 11,356 $10,479
1/31/1997 10,014 10,628 10,373 11,984 $10,512
2/28/1997 10,023 10,638 10,398 11,997 $10,538
3/31/1997 9,886 10,492 10,341 11,455 $10,421
4/30/1997 10,046 10,662 10,416 12,019 $10,577
5/31/1997 10,264 10,893 10,595 12,840 $10,678
6/30/1997 10,442 11,082 10,724 13,373 $10,805
7/31/1997 10,719 11,376 10,859 14,422 $11,097
8/31/1997 10,575 11,224 10,816 13,837 $11,002
9/30/1997 10,791 11,453 10,983 14,621 $11,164
10/31/1997 10,772 11,432 11,002 14,130 $11,326
11/30/1997 10,839 11,504 11,016 14,671 $11,378
12/31/1997 10,955 11,627 11,077 14,965 $11,493
1/31/1998 11,049 11,726 11,146 15,043 $11,640
2/28/1998 11,225 11,913 11,283 16,119 $11,631
3/31/1998 11,378 12,075 11,353 16,918 $11,670
4/30/1998 11,440 12,142 11,435 17,084 $11,731
5/31/1998 11,419 12,120 11,449 16,663 $11,843
6/30/1998 11,536 12,243 11,503 17,226 $11,943
7/31/1998 11,515 12,220 11,500 16,913 $11,968
8/31/1998 11,251 11,940 11,405 14,322 $12,163
9/30/1998 11,520 12,226 11,831 15,299 $12,448
10/31/1998 11,722 12,441 12,022 16,461 $12,382
11/30/1998 11,861 12,588 12,176 17,467 $12,453
12/31/1998 12,067 12,806 12,365 18,578 $12,490
1/31/1999 12,146 12,891 12,423 19,209 $12,579
2/28/1999 11,942 12,674 12,115 18,528 $12,358
3/31/1999 12,092 12,834 12,226 19,208 $12,426
4/30/1999 12,218 12,967 12,374 20,075 $12,466
5/31/1999 12,081 12,822 12,230 19,694 $12,357
6/30/1999 12,217 12,966 12,224 20,689 $12,317
7/31/1999 12,159 12,905 12,255 20,062 $12,265
8/31/1999 12,136 12,880 12,249 19,833 $12,259
9/30/1999 12,157 12,902 12,369 19,326 $12,401
10/31/1999 12,308 13,063 12,451 20,539 $12,447
11/30/1999 12,424 13,174 12,492 21,114 $12,446
12/31/1999 12,609 13,360 12,610 22,461 $12,386
1/31/2000 12,379 13,130 12,430 21,580 $12,345
2/29/2000 12,476 13,232 12,561 21,780 $12,495
3/31/2000 12,795 13,569 12,819 23,487 $12,660
4/30/2000 12,697 13,466 12,574 22,659 $12,623
5/31/2000 12,661 13,427 12,553 22,022 $12,617
6/30/2000 12,878 13,653 12,849 22,674 $12,879
7/31/2000 12,866 13,640 12,826 22,274 $12,996
8/31/2000 13,125 13,924 12,998 23,926 $13,185
9/30/2000 13,041 13,845 12,982 22,842 $13,268
10/31/2000 13,066 13,871 12,920 22,517 $13,355
11/30/2000 12,991 13,806 12,972 20,442 $13,574
12/31/2000 13,158 13,976 13,288 20,785 $13,827
1/31/2001 13,331 14,171 13,500 21,496 $14,054
2/28/2001 13,198 14,018 13,427 19,532 $14,176
3/31/2001 13,108 13,932 13,224 18,259 $14,247
4/30/2001 13,242 14,087 13,338 19,723 $14,187
5/31/2001 13,269 14,115 13,405 19,882 $14,272
6/30/2001 13,242 14,097 13,375 19,515 $14,326
7/31/2001 13,364 14,224 13,568 19,193 $14,647
8/31/2001 13,283 14,140 13,724 18,060 $14,816
9/30/2001 13,215 14,063 13,744 16,467 $14,989
10/31/2001 13,432 14,291 13,981 16,850 $15,302
11/30/2001 13,554 14,433 13,906 18,148 $15,091
12/31/2001 13,593 14,471 13,771 18,404 $14,994
1/31/2002 13,497 14,370 13,750 18,173 $15,116
2/28/2002 13,470 14,355 13,829 17,801 $15,263
3/31/2002 13,580 14,466 13,795 18,582 $15,009
4/30/2002 13,469 14,364 14,021 17,607 $15,300
5/31/2002 13,483 14,379 14,191 17,403 $15,430
6/30/2002 13,233 14,113 14,317 16,150 $15,563
7/31/2002 12,969 13,835 14,294 14,866 $15,751
8/31/2002 13,066 13,937 14,506 14,936 $16,018
9/30/2002 12,650 13,498 14,511 13,367 $16,277
10/31/2002 12,973 13,852 14,570 14,431 $16,202
11/30/2002 13,211 14,102 14,737 15,305 $16,197
12/31/2002 13,046 13,932 15,004 14,439 $16,533
1/31/2003 12,888 13,781 15,035 14,086 $16,548
2/28/2003 12,845 13,735 15,171 13,854 $16,776
3/31/2003 12,846 13,745 15,185 14,000 $16,762
4/30/2003 13,263 14,185 15,486 15,143 $16,902
5/31/2003 13,695 14,655 16,007 16,057 $17,216
6/30/2003 13,776 14,736 15,994 16,274 $17,182
7/31/2003 13,689 14,644 15,689 16,647 $16,604
8/31/2003 13,805 14,781 15,821 17,016 $16,714
9/30/2003 13,965 14,961 16,289 16,831 $17,156
10/31/2003 14,154 15,160 16,369 17,850 $16,996
11/30/2003 14,212 15,221 16,506 18,096 $17,037
12/31/2003 14,533 15,588 16,870 18,924 $17,210
1/31/2004 14,665 15,727 17,026 19,318 $17,349
2/29/2004 14,825 15,896 17,172 19,579 $17,537
3/31/2004 14,826 15,894 17,317 19,346 $17,668
4/30/2004 14,490 15,554 16,794 18,946 $17,209
5/31/2004 14,505 15,570 16,811 19,221 $17,140
6/30/2004 14,635 15,719 16,927 19,603 $17,238
7/31/2004 14,488 15,548 16,887 18,862 $17,408
8/31/2004 14,650 15,734 17,119 18,939 $17,741
9/30/2004 14,740 15,827 17,263 19,231 $17,789
10/31/2004 14,902 15,998 17,465 19,546 $17,938
11/30/2004 15,035 16,154 17,682 20,455 $17,795
12/31/2004 15,274 16,419 17,901 21,184 $17,959
1/31/2005 15,110 16,246 17,855 20,620 $18,071
2/28/2005 15,155 16,309 17,909 21,074 $17,965
3/31/2005 15,013 16,153 17,745 20,717 $17,873
4/30/2005 14,998 16,138 17,848 20,268 $18,114
5/31/2005 15,222 16,375 17,961 21,036 $18,310
6/30/2005 15,287 16,455 18,026 21,183 $18,411
7/31/2005 15,392 16,567 18,077 22,052 $18,243
8/31/2005 15,497 16,694 18,195 21,842 $18,477
9/30/2005 15,483 16,676 18,198 22,032 $18,286
10/31/2005 15,317 16,500 18,081 21,620 $18,142
11/30/2005 15,528 16,740 18,229 22,461 $18,222
12/31/2005 15,623 16,854 18,371 22,482 $18,395
1/31/2006 15,823 17,050 18,575 23,232 $18,397
2/28/2006 15,808 17,050 18,609 23,274 $18,458
3/31/2006 15,897 17,140 18,671 23,677 $18,276
4/30/2006 16,005 17,271 18,780 23,933 $18,243
5/31/2006 15,804 17,058 18,744 23,167 $18,224
6/30/2006 15,826 17,094 18,703 23,208 $18,262
7/31/2006 15,888 17,160 18,868 23,186 $18,509
8/31/2006 16,028 17,325 19,054 23,754 $18,793
Wells Fargo Advantage Dow Jones Target 2010 Fund
[THE FOLLOWING TABLE WAS DEPICTED AS A LINE GRAPH IN THE PRINTED MATERIAL.]
WELLS FARGO Lehman
WELLS FARGO ADVANTAGE DOW Dow Jones Brothers U.S.
ADVANTAGE DOW JONES JONES TARGET 2010- Target 2010 Aggregate
TARGET 2010-Class A Administrator Class Index Russell 3000(R) Index Bond Index
-------------------- --------------------- ------------ --------------------- -------------
8/31/1996 9,426 10,000 $10,000 $10,000 $10,000
9/30/1996 9,724 10,316 $10,218 $10,544 $10,174
10/31/1996 9,900 10,503 $10,370 $10,737 $10,400
11/30/1996 10,302 10,929 $10,622 $11,494 $10,578
12/31/1996 10,172 10,790 $10,549 $11,356 $10,479
1/31/1997 10,394 11,026 $10,561 $11,984 $10,512
2/28/1997 10,428 11,063 $10,558 $11,997 $10,538
3/31/1997 10,219 10,841 $10,374 $11,455 $10,421
4/30/1997 10,503 11,143 $10,489 $12,019 $10,577
5/31/1997 10,883 11,545 $10,849 $12,840 $10,678
6/30/1997 11,176 11,856 $11,087 $13,373 $10,805
7/31/1997 11,636 12,345 $11,350 $14,422 $11,097
8/31/1997 11,298 11,985 $11,188 $13,837 $11,002
9/30/1997 11,660 12,369 $11,507 $14,621 $11,164
10/31/1997 11,493 12,193 $11,439 $14,130 $11,326
11/30/1997 11,668 12,378 $11,431 $14,671 $11,378
12/31/1997 11,826 12,546 $11,513 $14,965 $11,493
1/31/1998 11,949 12,676 $11,579 $15,043 $11,640
2/28/1998 12,352 13,104 $11,905 $16,119 $11,631
3/31/1998 12,667 13,438 $12,069 $16,918 $11,670
4/30/1998 12,762 13,538 $12,160 $17,084 $11,731
5/31/1998 12,677 13,448 $12,049 $16,663 $11,843
6/30/1998 12,898 13,682 $12,101 $17,226 $11,943
7/31/1998 12,841 13,622 $11,999 $16,913 $11,968
8/31/1998 12,023 12,754 $11,372 $14,322 $12,163
9/30/1998 12,437 13,193 $11,859 $15,299 $12,448
10/31/1998 12,944 13,732 $12,295 $16,461 $12,382
11/30/1998 13,279 14,087 $12,625 $17,467 $12,453
12/31/1998 13,680 14,512 $12,934 $18,578 $12,490
1/31/1999 13,884 14,729 $13,031 $19,209 $12,579
2/28/1999 13,577 14,403 $12,642 $18,528 $12,358
3/31/1999 13,844 14,687 $12,866 $19,208 $12,426
4/30/1999 14,122 14,982 $13,262 $20,075 $12,466
5/31/1999 13,896 14,741 $13,096 $19,694 $12,357
6/30/1999 14,204 15,068 $13,301 $20,689 $12,317
7/31/1999 14,048 14,903 $13,279 $20,062 $12,265
8/31/1999 13,997 14,848 $13,247 $19,833 $12,259
9/30/1999 13,947 14,796 $13,297 $19,326 $12,401
10/31/1999 14,291 15,161 $13,507 $20,539 $12,447
11/30/1999 14,521 15,382 $13,701 $21,114 $12,446
12/31/1999 14,925 15,805 $14,094 $22,461 $12,386
1/31/2000 14,528 15,388 $13,804 $21,580 $12,345
2/29/2000 14,596 15,459 $14,067 $21,780 $12,495
3/31/2000 15,192 16,096 $14,427 $23,487 $12,660
4/30/2000 14,941 15,845 $14,026 $22,659 $12,623
5/31/2000 14,816 15,713 $13,920 $22,022 $12,617
6/30/2000 15,120 16,035 $14,290 $22,674 $12,879
7/31/2000 15,017 15,926 $14,208 $22,274 $12,996
8/31/2000 15,407 16,348 $14,539 $23,926 $13,185
9/30/2000 15,163 16,064 $14,413 $22,842 $13,268
10/31/2000 15,152 16,052 $14,264 $22,517 $13,355
11/30/2000 14,794 15,676 $14,095 $20,442 $13,574
12/31/2000 14,983 15,872 $14,473 $20,785 $13,827
1/31/2001 15,262 16,178 $14,780 $21,496 $14,054
2/28/2001 14,801 15,694 $14,499 $19,532 $14,176
3/31/2001 14,488 15,361 $14,116 $18,259 $14,247
4/30/2001 14,915 15,810 $14,441 $19,723 $14,187
5/31/2001 14,927 15,836 $14,529 $19,882 $14,272
6/30/2001 14,791 15,692 $14,474 $19,515 $14,326
7/31/2001 14,815 15,718 $14,561 $19,193 $14,647
8/31/2001 14,546 15,434 $14,595 $18,060 $14,816
9/30/2001 14,125 15,001 $14,300 $16,467 $14,989
10/31/2001 14,397 15,287 $14,601 $16,850 $15,302
11/30/2001 14,755 15,664 $14,751 $18,148 $15,091
12/31/2001 14,827 15,752 $14,705 $18,404 $14,994
1/31/2002 14,677 15,594 $14,633 $18,173 $15,116
2/28/2002 14,589 15,514 $14,669 $17,801 $15,263
3/31/2002 14,872 15,810 $14,772 $18,582 $15,009
4/30/2002 14,545 15,478 $14,925 $17,607 $15,300
5/31/2002 14,520 15,451 $15,048 $17,403 $15,430
6/30/2002 14,005 14,907 $14,993 $16,150 $15,563
7/31/2002 13,524 14,400 $14,734 $14,866 $15,751
8/31/2002 13,613 14,493 $14,921 $14,936 $16,018
9/30/2002 12,798 13,632 $14,690 $13,367 $16,277
10/31/2002 13,383 14,264 $14,864 $14,431 $16,202
11/30/2002 13,790 14,694 $15,145 $15,305 $16,197
12/31/2002 13,458 14,337 $15,288 $14,439 $16,533
1/31/2003 13,253 14,133 $15,261 $14,086 $16,548
2/28/2003 13,150 14,025 $15,339 $13,854 $16,776
3/31/2003 13,177 14,050 $15,357 $14,000 $16,762
4/30/2003 13,744 14,663 $15,801 $15,143 $16,902
5/31/2003 14,285 15,250 $16,392 $16,057 $17,216
6/30/2003 14,388 15,356 $16,411 $16,274 $17,182
7/31/2003 14,388 15,356 $16,164 $16,647 $16,604
8/31/2003 14,556 15,548 $16,355 $17,016 $16,714
9/30/2003 14,682 15,679 $16,800 $16,831 $17,156
10/31/2003 15,007 16,037 $17,023 $17,850 $16,996
11/30/2003 15,097 16,133 $17,185 $18,096 $17,037
12/31/2003 15,552 16,629 $17,627 $18,924 $17,210
1/31/2004 15,722 16,823 $17,827 $19,318 $17,349
2/29/2004 15,904 17,016 $18,000 $19,579 $17,537
3/31/2004 15,868 16,978 $18,152 $19,346 $17,668
4/30/2004 15,529 16,617 $17,584 $18,946 $17,209
5/31/2004 15,581 16,686 $17,603 $19,221 $17,140
6/30/2004 15,750 16,864 $17,751 $19,603 $17,238
7/31/2004 15,488 16,600 $17,695 $18,862 $17,408
8/31/2004 15,645 16,753 $17,995 $18,939 $17,741
9/30/2004 15,770 16,898 $18,180 $19,231 $17,789
10/31/2004 15,980 17,122 $18,440 $19,546 $17,938
11/30/2004 16,269 17,430 $18,721 $20,455 $17,795
12/31/2004 16,582 17,776 $19,002 $21,184 $17,959
1/31/2005 16,345 17,537 $18,933 $20,620 $18,071
2/28/2005 16,477 17,664 $18,996 $21,074 $17,965
3/31/2005 16,270 17,457 $18,774 $20,717 $17,873
4/30/2005 16,191 17,386 $18,898 $20,268 $18,114
5/31/2005 16,469 17,683 $19,033 $21,036 $18,310
6/30/2005 16,560 17,779 $19,106 $21,183 $18,411
7/31/2005 16,759 17,992 $19,162 $22,052 $18,243
8/31/2005 16,866 18,120 $19,301 $21,842 $18,477
9/30/2005 16,895 18,150 $19,293 $22,032 $18,286
10/31/2005 16,668 17,922 $19,136 $21,620 $18,142
11/30/2005 16,962 18,236 $19,312 $22,461 $18,222
12/31/2005 17,069 18,366 $19,478 $22,482 $18,395
1/31/2006 17,378 18,682 $19,718 $23,232 $18,397
2/28/2006 17,365 18,682 $19,751 $23,274 $18,458
3/31/2006 17,497 18,821 $19,815 $23,677 $18,276
4/30/2006 17,645 18,994 $19,937 $23,933 $18,243
5/31/2006 17,362 18,691 $19,881 $23,167 $18,224
6/30/2006 17,375 18,719 $20,210 $23,208 $18,262
7/31/2006 17,457 18,806 $20,470 $23,186 $18,509
8/31/2006 17,688 19,068 $20,762 $23,754 $18,793
5
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
GROWTH OF $10,000 INVESTMENT 11 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2020 Fund
[THE FOLLOWING TABLE WAS DEPICTED AS A LINE GRAPH IN THE PRINTED MATERIAL.]
WELLS FARGO Lehman
WELLS FARGO ADVANTAGE DOW Dow Jones Brothers U.S.
ADVANTAGE DOW JONES JONES TARGET 2020- Target 2020 Aggregate
TARGET 2020-Class A Administrator Class Index Russell 3000(R) Index Bond Index
-------------------- --------------------- ------------ --------------------- -------------
8/31/1996 9,423 10,000 $10,000 $10,000 $10,000
9/30/1996 9,797 10,397 $10,338 $10,544 $10,174
10/31/1996 9,980 10,591 $10,382 $10,737 $10,400
11/30/1996 10,513 11,157 $10,781 $11,494 $10,578
12/31/1996 10,346 10,980 $10,725 $11,356 $10,479
1/31/1997 10,651 11,303 $10,883 $11,984 $10,512
2/28/1997 10,701 11,356 $10,896 $11,997 $10,538
3/31/1997 10,422 11,060 $10,576 $11,455 $10,421
4/30/1997 10,795 11,456 $10,747 $12,019 $10,577
5/31/1997 11,309 12,002 $11,423 $12,840 $10,678
6/30/1997 11,693 12,409 $11,843 $13,373 $10,805
7/31/1997 12,318 13,072 $12,300 $14,422 $11,097
8/31/1997 11,826 12,550 $11,946 $13,837 $11,002
9/30/1997 12,315 13,069 $12,492 $14,621 $11,164
10/31/1997 12,038 12,776 $11,995 $14,130 $11,326
11/30/1997 12,315 13,069 $11,995 $14,671 $11,378
12/31/1997 12,508 13,274 $12,108 $14,965 $11,493
1/31/1998 12,652 13,427 $12,114 $15,043 $11,640
2/28/1998 13,266 14,078 $12,801 $16,119 $11,631
3/31/1998 13,736 14,577 $13,167 $16,918 $11,670
4/30/1998 13,854 14,702 $13,239 $17,084 $11,731
5/31/1998 13,691 14,529 $12,890 $16,663 $11,843
6/30/1998 14,023 14,881 $12,936 $17,226 $11,943
7/31/1998 13,904 14,756 $12,693 $16,913 $11,968
8/31/1998 12,538 13,306 $11,222 $14,322 $12,163
9/30/1998 13,068 13,868 $11,784 $15,299 $12,448
10/31/1998 13,827 14,674 $12,535 $16,461 $12,382
11/30/1998 14,366 15,246 $13,113 $17,467 $12,453
12/31/1998 14,960 15,876 $13,596 $18,578 $12,490
1/31/1999 15,279 16,215 $13,755 $19,209 $12,579
2/28/1999 14,861 15,771 $13,246 $18,528 $12,358
3/31/1999 15,252 16,186 $13,636 $19,208 $12,426
4/30/1999 15,692 16,653 $14,406 $20,075 $12,466
5/31/1999 15,372 16,314 $14,210 $19,694 $12,357
6/30/1999 15,892 16,865 $14,745 $20,689 $12,317
7/31/1999 15,641 16,599 $14,631 $20,062 $12,265
8/31/1999 15,561 16,514 $14,557 $19,833 $12,259
9/30/1999 15,390 16,332 $14,489 $19,326 $12,401
10/31/1999 15,985 16,964 $14,906 $20,539 $12,447
11/30/1999 16,328 17,327 $15,363 $21,114 $12,446
12/31/1999 17,013 18,066 $16,259 $22,461 $12,386
1/31/2000 16,391 17,410 $15,764 $21,580 $12,345
2/29/2000 16,413 17,434 $16,279 $21,780 $12,495
3/31/2000 17,369 18,450 $16,828 $23,487 $12,660
4/30/2000 16,935 17,992 $16,115 $22,659 $12,623
5/31/2000 16,634 17,686 $15,840 $22,022 $12,617
6/30/2000 17,107 18,182 $16,331 $22,674 $12,879
7/31/2000 16,883 17,958 $16,132 $22,274 $12,996
8/31/2000 17,544 18,665 $16,783 $23,926 $13,185
9/30/2000 17,012 18,096 $16,417 $22,842 $13,268
10/31/2000 16,911 17,989 $16,086 $22,517 $13,355
11/30/2000 16,125 17,162 $15,423 $20,442 $13,574
12/31/2000 16,326 17,374 $15,900 $20,785 $13,827
1/31/2001 16,707 17,787 $16,391 $21,496 $14,054
2/28/2001 15,791 16,810 $15,658 $19,532 $14,176
3/31/2001 15,169 16,153 $14,909 $18,259 $14,247
4/30/2001 15,932 16,970 $15,667 $19,723 $14,187
5/31/2001 15,920 16,958 $15,797 $19,882 $14,272
6/30/2001 15,649 16,672 $15,687 $19,515 $14,326
7/31/2001 15,565 16,597 $15,504 $19,193 $14,647
8/31/2001 15,050 16,041 $15,243 $18,060 $14,816
9/30/2001 14,223 15,179 $14,270 $16,467 $14,989
10/31/2001 14,524 15,496 $14,673 $16,850 $15,302
11/30/2001 15,160 16,180 $15,262 $18,148 $15,091
12/31/2001 15,263 16,279 $15,412 $18,404 $14,994
1/31/2002 15,033 16,035 $15,242 $18,173 $15,116
2/28/2002 14,911 15,920 $15,182 $17,801 $15,263
3/31/2002 15,300 16,341 $15,604 $18,582 $15,009
4/30/2002 14,826 15,840 $15,550 $17,607 $15,300
5/31/2002 14,765 15,776 $15,550 $17,403 $15,430
6/30/2002 14,055 15,024 $15,067 $16,150 $15,563
7/31/2002 13,371 14,288 $14,338 $14,866 $15,751
8/31/2002 13,432 14,365 $14,446 $14,936 $16,018
9/30/2002 12,398 13,257 $13,732 $13,367 $16,277
10/31/2002 13,084 13,996 $14,145 $14,431 $16,202
11/30/2002 13,611 14,567 $14,676 $15,305 $16,197
12/31/2002 13,120 14,038 $14,486 $14,439 $16,533
1/31/2003 12,887 13,804 $14,335 $14,086 $16,548
2/28/2003 12,727 13,635 $14,268 $13,854 $16,776
3/31/2003 12,749 13,654 $14,290 $14,000 $16,762
4/30/2003 13,451 14,412 $15,019 $15,143 $16,902
5/31/2003 14,067 15,065 $15,795 $16,057 $17,216
6/30/2003 14,194 15,210 $15,944 $16,274 $17,182
7/31/2003 14,218 15,250 $15,981 $16,647 $16,604
8/31/2003 14,441 15,486 $16,328 $17,016 $16,714
9/30/2003 14,534 15,595 $16,630 $16,831 $17,156
10/31/2003 14,980 16,082 $17,229 $17,850 $16,996
11/30/2003 15,116 16,227 $17,447 $18,096 $17,037
12/31/2003 15,700 16,848 $18,050 $18,924 $17,210
1/31/2004 15,899 17,072 $18,357 $19,318 $17,349
2/29/2004 16,110 17,310 $18,588 $19,579 $17,537
3/31/2004 16,022 17,216 $18,721 $19,346 $17,668
4/30/2004 15,673 16,845 $18,116 $18,946 $17,209
5/31/2004 15,760 16,938 $18,194 $19,221 $17,140
6/30/2004 15,981 17,185 $18,483 $19,603 $17,238
7/31/2004 15,594 16,773 $18,156 $18,862 $17,408
8/31/2004 15,706 16,893 $18,375 $18,939 $17,741
9/30/2004 15,856 17,066 $18,710 $19,231 $17,789
10/31/2004 16,106 17,332 $19,057 $19,546 $17,938
11/30/2004 16,568 17,837 $19,700 $20,455 $17,795
12/31/2004 16,992 18,299 $20,201 $21,184 $17,959
1/31/2005 16,677 17,977 $19,963 $20,620 $18,071
2/28/2005 16,904 18,205 $20,240 $21,074 $17,965
3/31/2005 16,660 17,958 $19,858 $20,717 $17,873
4/30/2005 16,471 17,756 $19,783 $20,268 $18,114
5/31/2005 16,824 18,133 $20,128 $21,036 $18,310
6/30/2005 16,922 18,251 $20,342 $21,183 $18,411
7/31/2005 17,264 18,629 $20,679 $22,052 $18,243
8/31/2005 17,340 18,710 $20,817 $21,842 $18,477
9/30/2005 17,456 18,835 $20,958 $22,032 $18,286
10/31/2005 17,190 18,564 $20,576 $21,620 $18,142
11/30/2005 17,596 18,998 $20,928 $22,461 $18,222
12/31/2005 17,727 19,154 $21,218 $22,482 $18,395
1/31/2006 18,174 19,631 $21,678 $23,232 $18,397
2/28/2006 18,161 19,631 $21,681 $23,274 $18,458
3/31/2006 18,383 19,868 $21,735 $23,677 $18,276
4/30/2006 18,613 20,114 $21,930 $23,933 $18,243
5/31/2006 18,203 19,690 $21,707 $23,167 $18,224
6/30/2006 18,221 19,709 $22,247 $23,208 $18,262
7/31/2006 18,233 19,736 $22,529 $23,186 $18,509
8/31/2006 18,568 20,094 $22,946 $23,754 $18,793
Wells Fargo Advantage Dow Jones Target 2030 Fund
[THE FOLLOWING TABLE WAS DEPICTED AS A LINE GRAPH IN THE PRINTED MATERIAL.]
WELLS FARGO Lehman
WELLS FARGO ADVANTAGE DOW Dow Jones Brothers U.S.
ADVANTAGE DOW JONES JONES TARGET 2030- Target 2030 Aggregate
TARGET 2030-Class A Administrator Class Index Russell 3000(R) Index Bond Index
-------------------- --------------------- ------------ --------------------- -------------
8/31/1996 9,427 10,000 $10,000 $10,000 $10,000
9/30/1996 9,855 10,454 $10,390 $10,544 $10,174
10/31/1996 10,054 10,666 $10,386 $10,737 $10,400
11/30/1996 10,692 11,342 $10,847 $11,494 $10,578
12/31/1996 10,499 11,138 $10,798 $11,356 $10,479
1/31/1997 10,854 11,514 $11,024 $11,984 $10,512
2/28/1997 10,909 11,573 $11,044 $11,997 $10,538
3/31/1997 10,582 11,226 $10,663 $11,454 $10,421
4/30/1997 11,018 11,688 $10,860 $12,018 $10,577
5/31/1997 11,620 12,327 $11,685 $12,839 $10,678
6/30/1997 12,082 12,817 $12,196 $13,373 $10,805
7/31/1997 12,838 13,619 $12,751 $14,422 $11,097
8/31/1997 12,209 12,952 $12,297 $13,836 $11,002
9/30/1997 12,815 13,595 $12,960 $14,621 $11,164
10/31/1997 12,456 13,213 $12,231 $14,130 $11,326
11/30/1997 12,799 13,578 $12,237 $14,671 $11,378
12/31/1997 13,034 13,827 $12,366 $14,964 $11,493
1/31/1998 13,178 13,979 $12,338 $15,042 $11,640
2/28/1998 13,964 14,814 $13,224 $16,117 $11,631
3/31/1998 14,560 15,445 $13,709 $16,917 $11,670
4/30/1998 14,695 15,589 $13,767 $17,083 $11,731
5/31/1998 14,483 15,365 $13,272 $16,661 $11,843
6/30/1998 14,903 15,810 $13,314 $17,224 $11,943
7/31/1998 14,742 15,638 $12,983 $16,910 $11,968
8/31/1998 12,929 13,715 $10,994 $14,320 $12,163
9/30/1998 13,528 14,351 $11,594 $15,296 $12,448
10/31/1998 14,493 15,374 $12,531 $16,457 $12,382
11/30/1998 15,193 16,117 $13,260 $17,464 $12,453
12/31/1998 15,953 16,924 $13,853 $18,575 $12,490
1/31/1999 16,350 17,344 $14,052 $19,207 $12,579
2/28/1999 15,815 16,777 $13,468 $18,527 $12,358
3/31/1999 16,299 17,291 $13,966 $19,207 $12,426
4/30/1999 16,863 17,888 $14,990 $20,073 $12,466
5/31/1999 16,466 17,467 $14,775 $19,692 $12,357
6/30/1999 17,130 18,172 $15,547 $20,686 $12,317
7/31/1999 16,778 17,798 $15,364 $20,059 $12,265
8/31/1999 16,648 17,661 $15,259 $19,831 $12,259
9/30/1999 16,398 17,396 $15,101 $19,323 $12,401
10/31/1999 17,169 18,214 $15,668 $20,534 $12,447
11/30/1999 17,633 18,685 $16,326 $21,109 $12,446
12/31/1999 18,579 19,688 $17,617 $22,456 $12,386
1/31/2000 17,771 18,835 $16,955 $21,576 $12,345
2/29/2000 17,813 18,891 $17,676 $21,777 $12,495
3/31/2000 19,057 20,200 $18,376 $23,482 $12,660
4/30/2000 18,488 19,612 $17,403 $22,655 $12,623
5/31/2000 18,067 19,169 $16,985 $22,018 $12,617
6/30/2000 18,680 19,823 $17,566 $22,670 $12,879
7/31/2000 18,395 19,522 $17,269 $22,269 $12,996
8/31/2000 19,261 20,445 $18,182 $23,921 $13,185
9/30/2000 18,437 19,578 $17,608 $22,838 $13,268
10/31/2000 18,310 19,444 $17,124 $22,513 $13,355
11/30/2000 17,243 18,320 $16,037 $20,438 $13,574
12/31/2000 17,466 18,557 $16,583 $20,781 $13,827
1/31/2001 17,918 19,046 $17,216 $21,492 $14,054
2/28/2001 16,693 17,742 $16,102 $19,527 $14,176
3/31/2001 15,849 16,843 $15,061 $18,254 $14,247
4/30/2001 16,812 17,881 $16,157 $19,718 $14,187
5/31/2001 16,779 17,846 $16,319 $19,876 $14,272
6/30/2001 16,435 17,474 $16,166 $19,510 $14,326
7/31/2001 16,279 17,310 $15,745 $19,188 $14,647
8/31/2001 15,580 16,572 $15,237 $18,056 $14,816
9/30/2001 14,421 15,347 $13,752 $16,464 $14,989
10/31/2001 14,755 15,711 $14,220 $16,847 $15,302
11/30/2001 15,555 16,557 $15,128 $18,144 $15,091
12/31/2001 15,689 16,711 $15,433 $18,400 $14,994
1/31/2002 15,392 16,397 $15,187 $18,170 $15,116
2/28/2002 15,243 16,240 $15,049 $17,800 $15,263
3/31/2002 15,752 16,777 $15,727 $18,579 $15,009
4/30/2002 15,146 16,148 $15,491 $17,604 $15,300
5/31/2002 15,054 16,051 $15,384 $17,400 $15,430
6/30/2002 14,210 15,147 $14,552 $16,147 $15,563
7/31/2002 13,337 14,235 $13,468 $14,863 $15,751
8/31/2002 13,429 14,332 $13,510 $14,933 $16,018
9/30/2002 12,210 13,030 $12,446 $13,364 $16,277
10/31/2002 12,993 13,872 $13,023 $14,427 $16,202
11/30/2002 13,615 14,543 $13,721 $15,300 $16,197
12/31/2002 13,023 13,922 $13,272 $14,436 $16,533
1/31/2003 12,783 13,667 $13,035 $14,082 $16,548
2/28/2003 12,591 13,464 $12,860 $13,850 $16,776
3/31/2003 12,621 13,492 $12,885 $13,995 $16,762
4/30/2003 13,440 14,361 $13,796 $15,139 $16,902
5/31/2003 14,151 15,140 $14,713 $16,053 $17,216
6/30/2003 14,299 15,296 $14,977 $16,270 $17,182
7/31/2003 14,287 15,296 $15,283 $16,642 $16,604
8/31/2003 14,577 15,604 $15,761 $17,012 $16,714
9/30/2003 14,693 15,725 $15,920 $16,826 $17,156
10/31/2003 15,226 16,304 $16,822 $17,844 $16,996
11/30/2003 15,408 16,510 $17,087 $18,090 $17,037
12/31/2003 16,084 17,229 $17,823 $18,917 $17,210
1/31/2004 16,341 17,516 $18,224 $19,313 $17,349
2/29/2004 16,586 17,789 $18,505 $19,573 $17,537
3/31/2004 16,477 17,674 $18,614 $19,340 $17,668
4/30/2004 16,084 17,256 $17,996 $18,940 $17,209
5/31/2004 16,207 17,387 $18,120 $19,215 $17,140
6/30/2004 16,475 17,685 $18,518 $19,597 $17,238
7/31/2004 15,994 17,173 $17,965 $18,856 $17,408
8/31/2004 16,081 17,265 $18,105 $18,934 $17,741
9/30/2004 16,278 17,475 $18,554 $19,225 $17,789
10/31/2004 16,561 17,803 $18,939 $19,540 $17,938
11/30/2004 17,165 18,446 $19,870 $20,449 $17,795
12/31/2004 17,671 18,998 $20,529 $21,177 $17,959
1/31/2005 17,287 18,588 $20,140 $20,614 $18,071
2/28/2005 17,609 18,932 $20,627 $21,067 $17,965
3/31/2005 17,339 18,644 $20,141 $20,711 $17,873
4/30/2005 17,066 18,353 $19,818 $20,262 $18,114
5/31/2005 17,464 18,803 $20,360 $21,030 $18,310
6/30/2005 17,586 18,935 $20,714 $21,177 $18,411
7/31/2005 18,059 19,440 $21,376 $22,045 $18,243
8/31/2005 18,097 19,494 $21,447 $21,836 $18,477
9/30/2005 18,275 19,685 $21,852 $22,026 $18,286
10/31/2005 17,963 19,352 $21,326 $21,614 $18,142
11/30/2005 18,437 19,872 $22,045 $22,455 $18,222
12/31/2005 18,595 20,043 $22,437 $22,475 $18,395
1/31/2006 19,142 20,641 $23,414 $23,225 $18,397
2/28/2006 19,129 20,641 $23,380 $23,267 $18,458
3/31/2006 19,402 20,934 $23,778 $23,670 $18,276
4/30/2006 19,669 21,234 $24,156 $23,925 $18,243
5/31/2006 19,134 20,661 $23,406 $23,160 $18,224
6/30/2006 19,121 20,649 $23,476 $23,201 $18,262
7/31/2006 19,045 20,581 $23,710 $23,181 $18,509
8/31/2006 19,454 21,020 $24,211 $23,748 $18,793
6
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
GROWTH OF $10,000 INVESTMENT 11 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2040 Fund
[THE FOLLOWING TABLE WAS DEPICTED AS A LINE GRAPH IN THE PRINTED MATERIAL.]
WELLS FARGO Lehman
WELLS FARGO ADVANTAGE DOW Dow Jones Brothers U.S.
ADVANTAGE DOW JONES JONES TARGET 2040- Target 2040 Aggregate
TARGET 2040-Class A Administrator Class Index Russell 3000(R) Index Bond Index
-------------------- --------------------- ------------ --------------------- -------------
8/31/1996 9,425 10,000 $10,000 $10,000 $10,000
9/30/1996 9,902 10,505 $10,390 $10,544 $10,174
10/31/1996 10,084 10,699 $10,386 $10,737 $10,400
11/30/1996 10,777 11,434 $10,848 $11,494 $10,578
12/31/1996 10,583 11,228 $10,798 $11,356 $10,479
1/31/1997 11,027 11,699 $11,026 $11,984 $10,512
2/28/1997 11,104 11,781 $11,046 $11,997 $10,538
3/31/1997 10,736 11,390 $10,663 $11,455 $10,421
4/30/1997 11,235 11,920 $10,860 $12,019 $10,577
5/31/1997 11,949 12,677 $11,688 $12,840 $10,678
6/30/1997 12,471 13,231 $12,201 $13,373 $10,805
7/31/1997 13,295 14,106 $12,757 $14,422 $11,097
8/31/1997 12,571 13,338 $12,302 $13,837 $11,002
9/30/1997 13,246 14,054 $12,967 $14,621 $11,164
10/31/1997 12,752 13,530 $12,232 $14,130 $11,326
11/30/1997 13,154 13,955 $12,238 $14,671 $11,378
12/31/1997 13,386 14,202 $12,368 $14,965 $11,493
1/31/1998 13,556 14,383 $12,339 $15,043 $11,640
2/28/1998 14,508 15,393 $13,232 $16,119 $11,631
3/31/1998 15,239 16,168 $13,720 $16,918 $11,670
4/30/1998 15,392 16,330 $13,778 $17,084 $11,731
5/31/1998 15,086 16,005 $13,277 $16,663 $11,843
6/30/1998 15,601 16,552 $13,318 $17,226 $11,943
7/31/1998 15,430 16,371 $12,983 $16,913 $11,968
8/31/1998 13,095 13,893 $10,969 $14,322 $12,163
9/30/1998 13,787 14,627 $11,571 $15,299 $12,448
10/31/1998 14,947 15,858 $12,518 $16,461 $12,382
11/30/1998 15,800 16,763 $13,255 $17,467 $12,453
12/31/1998 16,756 17,778 $13,854 $18,578 $12,490
1/31/1999 17,242 18,293 $14,056 $19,209 $12,579
2/28/1999 16,681 17,698 $13,467 $18,528 $12,358
3/31/1999 17,297 18,351 $13,972 $19,208 $12,426
4/30/1999 17,969 19,064 $15,014 $20,075 $12,466
5/31/1999 17,511 18,579 $14,799 $19,694 $12,357
6/30/1999 18,380 19,501 $15,590 $20,689 $12,317
7/31/1999 17,931 19,025 $15,400 $20,062 $12,265
8/31/1999 17,782 18,866 $15,293 $19,833 $12,259
9/30/1999 17,445 18,508 $15,126 $19,326 $12,401
10/31/1999 18,437 19,561 $15,705 $20,539 $12,447
11/30/1999 19,026 20,174 $16,383 $21,114 $12,446
12/31/1999 20,279 21,506 $17,713 $22,461 $12,386
1/31/2000 19,262 20,444 $17,035 $21,580 $12,345
2/29/2000 19,293 20,477 $17,776 $21,780 $12,495
3/31/2000 20,786 22,071 $18,492 $23,487 $12,660
4/30/2000 20,026 21,279 $17,490 $22,659 $12,623
5/31/2000 19,450 20,672 $17,056 $22,022 $12,617
6/30/2000 20,220 21,504 $17,647 $22,674 $12,879
7/31/2000 19,798 21,048 $17,337 $22,274 $12,996
8/31/2000 20,879 22,210 $18,284 $23,926 $13,185
9/30/2000 19,768 21,037 $17,682 $22,842 $13,268
10/31/2000 19,541 20,787 $17,178 $22,517 $13,355
11/30/2000 18,059 19,222 $16,033 $20,442 $13,574
12/31/2000 18,248 19,422 $16,586 $20,785 $13,827
1/31/2001 18,790 20,006 $17,238 $21,496 $14,054
2/28/2001 17,152 18,265 $16,070 $19,532 $14,176
3/31/2001 16,057 17,109 $14,988 $18,259 $14,247
4/30/2001 17,263 18,394 $16,132 $19,723 $14,187
5/31/2001 17,241 18,371 $16,300 $19,882 $14,272
6/30/2001 16,798 17,915 $16,139 $19,515 $14,326
7/31/2001 16,522 17,623 $15,678 $19,193 $14,647
8/31/2001 15,636 16,677 $15,131 $18,060 $14,816
9/30/2001 14,242 15,194 $13,564 $16,467 $14,989
10/31/2001 14,574 15,556 $14,041 $16,850 $15,302
11/30/2001 15,570 16,619 $14,999 $18,148 $15,091
12/31/2001 15,726 16,795 $15,332 $18,404 $14,994
1/31/2002 15,390 16,429 $15,073 $18,173 $15,116
2/28/2002 15,188 16,216 $14,919 $17,801 $15,263
3/31/2002 15,793 16,866 $15,644 $18,582 $15,009
4/30/2002 15,076 16,121 $15,371 $17,607 $15,300
5/31/2002 14,964 15,991 $15,243 $17,403 $15,430
6/30/2002 13,945 14,908 $14,342 $16,150 $15,563
7/31/2002 12,955 13,851 $13,190 $14,866 $15,751
8/31/2002 13,023 13,934 $13,218 $14,936 $16,018
9/30/2002 11,686 12,511 $12,088 $13,367 $16,277
10/31/2002 12,554 13,429 $12,694 $14,431 $16,202
11/30/2002 13,242 14,179 $13,425 $15,305 $16,197
12/31/2002 12,580 13,475 $12,920 $14,439 $16,533
1/31/2003 12,318 13,198 $12,665 $14,086 $16,548
2/28/2003 12,113 12,970 $12,466 $13,854 $16,776
3/31/2003 12,121 12,986 $12,492 $14,000 $16,762
4/30/2003 13,021 13,953 $13,441 $15,143 $16,902
5/31/2003 13,797 14,786 $14,405 $16,057 $17,216
6/30/2003 13,957 14,967 $14,708 $16,274 $17,182
7/31/2003 14,025 15,039 $15,105 $16,647 $16,604
8/31/2003 14,334 15,379 $15,630 $17,016 $16,714
9/30/2003 14,391 15,440 $15,739 $16,831 $17,156
10/31/2003 15,044 16,155 $16,729 $17,850 $16,996
11/30/2003 15,249 16,373 $17,009 $18,096 $17,037
12/31/2003 15,986 17,180 $17,796 $18,924 $17,210
1/31/2004 16,285 17,509 $18,232 $19,318 $17,349
2/29/2004 16,538 17,777 $18,531 $19,579 $17,537
3/31/2004 16,377 17,606 $18,633 $19,346 $17,668
4/30/2004 16,009 17,216 $18,007 $18,946 $17,209
5/31/2004 16,159 17,387 $18,150 $19,221 $17,140
6/30/2004 16,446 17,704 $18,588 $19,603 $17,238
7/31/2004 15,872 17,082 $17,952 $18,862 $17,408
8/31/2004 15,940 17,155 $18,064 $18,939 $17,741
9/30/2004 16,170 17,411 $18,553 $19,231 $17,789
10/31/2004 16,480 17,752 $18,953 $19,546 $17,938
11/30/2004 17,192 18,520 $19,988 $20,455 $17,795
12/31/2004 17,773 19,145 $20,706 $21,184 $17,959
1/31/2005 17,333 18,676 $20,262 $20,620 $18,071
2/28/2005 17,692 19,083 $20,828 $21,074 $17,965
3/31/2005 17,391 18,750 $20,301 $20,717 $17,873
4/30/2005 17,055 18,405 $19,882 $20,268 $18,114
5/31/2005 17,519 18,898 $20,501 $21,036 $18,310
6/30/2005 17,641 19,032 $20,912 $21,183 $18,411
7/31/2005 18,247 19,689 $21,706 $22,052 $18,243
8/31/2005 18,247 19,702 $21,749 $21,842 $18,477
9/30/2005 18,479 19,950 $22,265 $22,032 $18,286
10/31/2005 18,130 19,590 $21,679 $21,620 $18,142
11/30/2005 18,689 20,198 $22,543 $22,461 $18,222
12/31/2005 18,844 20,372 $22,976 $22,482 $18,395
1/31/2006 19,499 21,083 $24,162 $23,232 $18,397
2/28/2006 19,511 21,095 $24,114 $23,274 $18,458
3/31/2006 19,851 21,469 $24,666 $23,677 $18,276
4/30/2006 20,178 21,832 $25,126 $23,933 $18,243
5/31/2006 19,546 21,157 $24,130 $23,167 $18,224
6/30/2006 19,542 21,148 $23,836 $23,208 $18,262
7/31/2006 19,436 21,035 $24,046 $23,186 $18,509
8/31/2006 19,871 21,513 $24,580 $23,754 $18,793
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2008, to waive fees
and/or reimburse expenses to the extent necessary to maintain a certain
net operating expense ratio for the Fund. Actual reductions of operating
expenses can increase total return to shareholders. Without these
reductions, the Fund's returns would have been lower.
2 Prior to June 26, 2006, the WELLS FARGO ADVANTAGE DOW JONES TARGET TODAY
FUND was named the WELLS FARGO ADVANTAGE OUTLOOK TODAY FUND, and prior to
April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK TODAY FUND was named the
Wells Fargo Outlook Today Fund. Performance shown for Class A, Class B,
and Class C shares of the Fund for periods prior to November 8, 1999,
reflects the performance of the applicable share class of the Stagecoach
LifePath Today Fund, its predecessor fund. Performance shown for Class B
shares for periods prior to August 1, 1998, reflects the performance for
the Class A shares of the Stagecoach LifePath Today Fund adjusted to
reflect Class B share sales charges and expenses. Performance shown for
Class C shares for periods prior to December 1, 1998, reflects the
performance of Class B shares adjusted to reflect Class C sales charges
and expenses. Prior to April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK
TODAY FUND - Administrator Class was named the Wells Fargo Outlook Today
Fund - Institutional Class. Performance shown for Administrator Class
shares of the Fund for periods prior to November 8, 1999, reflects the
performance of the Class A shares of the Stagecoach LifePath Today Fund,
its predecessor fund, adjusted to reflect Institutional Class expenses.
Prior to April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK TODAY FUND -
Institutional Class was named the Wells Fargo Outlook Today Fund - Select
Class. Performance shown for the Institutional Class shares for periods
prior to June 30, 2004, reflects the performance of the Administrator
Class shares of the Fund adjusted to reflect Institutional Class fees and
expenses.
3 Prior to June 26, 2006, the WELLS FARGO ADVANTAGE DOW JONES TARGET 2010
FUND was named the WELLS FARGO ADVANTAGE OUTLOOK 2010 FUND, and prior to
April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2010 FUND was named the
Wells Fargo Outlook 2010 Fund. Performance shown for Class A, Class B, and
Class C shares of the Fund for periods prior to November 8, 1999, reflects
the performance of the applicable share class of the Stagecoach LifePath
2010 Fund, its predecessor fund. Performance shown for Class B shares for
periods prior to March 1, 1997, reflects the performance for the Class A
shares of the Stagecoach LifePath 2010 Fund adjusted to reflect Class B
share sales charges and expenses. Performance shown for Class C shares for
periods prior to December 1, 1998, reflects the performance of Class B
shares adjusted to reflect Class C sales charges and expenses. Prior to
April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2010 FUND -
Administrator Class was named the Wells Fargo Outlook 2010 Fund -
Institutional Class. Performance shown for Administrator Class shares of
the Fund for periods prior to November 8, 1999, reflects the performance
of the Class A shares of the Stagecoach LifePath 2010 Fund, its
predecessor fund, adjusted to reflect Institutional Class expenses. Prior
to April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2010 FUND -
Institutional Class was named the Wells Fargo Outlook 2010 Fund - Select
Class. Performance shown for the Institutional Class shares for periods
prior June 30, 2004, reflects the performance of the Administrator Class
shares of the Fund adjusted to reflect Institutional Class fees and
expenses.
4 Prior to June 26, 2006, the WELLS FARGO ADVANTAGE DOW JONES TARGET 2020
FUND was named the WELLS FARGO ADVANTAGE OUTLOOK 2020 FUND, and prior to
April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2020 FUND was named the
Wells Fargo Outlook 2020 Fund. Performance shown for Class A, Class B, and
Class C shares of the Fund for periods prior to November 8, 1999, reflects
the performance of the applicable share class of the Stagecoach LifePath
2020 Fund, its predecessor fund. Performance shown for Class B shares for
periods prior to March 1, 1997, reflects the performance for the Class A
shares of the Stagecoach LifePath 2020 Fund adjusted to reflect Class B
share sales charges and expenses. Performance shown for Class C shares for
periods prior to December 1, 1998, reflects the performance of Class B
shares adjusted to reflect Class C sales charges and expenses. Prior to
April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2020 FUND -
Administrator Class was named the Wells Fargo Outlook 2020 Fund -
Institutional Class. Performance shown for Administrator Class shares of
the Fund for periods prior to November 8, 1999, reflects the performance
of the Class A shares of the Stagecoach LifePath 2020 Fund, its
predecessor fund, adjusted to reflect Institutional Class expenses. Prior
to April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2020 FUND -
Institutional Class was named the Wells Fargo Outlook 2020 Fund - Select
Class. Performance shown for the Institutional Class shares for periods
prior June 30, 2004, reflects the performance of the Administrator Class
shares of the Fund adjusted to reflect Institutional Class fees and
expenses.
7
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
5 Prior to June 26, 2006, the WELLS FARGO ADVANTAGE DOW JONES TARGET 2030
FUND was named the WELLS FARGO ADVANTAGE OUTLOOK 2030 FUND, and prior to
April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2030 FUND was named the
Wells Fargo Outlook 2030 Fund. Performance shown for Class A, Class B, and
Class C shares of the Fund for periods prior to November 8, 1999, reflects
the performance of the applicable share class of the Stagecoach LifePath
2030 Fund, its predecessor fund. Performance shown for Class B shares for
periods prior to March 1, 1997, reflects the performance for the Class A
shares of the Stagecoach LifePath 2030 Fund adjusted to reflect Class B
share sales charges and expenses. Performance shown for Class C shares for
periods prior to December 1, 1998, reflects the performance of Class B
shares adjusted to reflect Class C sales charges and expenses. Prior to
April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2030 FUND -
Administrator Class was named the Wells Fargo Outlook 2030 Fund -
Institutional Class. Performance shown for Administrator Class shares of
the Fund for periods prior to November 8, 1999, reflects the performance
of the Class A shares of the Stagecoach LifePath 2030 Fund, its
predecessor fund, adjusted to reflect Institutional Class expenses. Prior
to April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2030 FUND -
Institutional Class was named the Wells Fargo Outlook 2030 Fund - Select
Class. Performance shown for the Institutional Class shares for periods
prior June 30, 2004, reflects the performance of the Administrator Class
shares of the Fund adjusted to reflect Institutional Class fees and
expenses.
6 Prior to June 26, 2006, the WELLS FARGO ADVANTAGE DOW JONES TARGET 2040
FUND was named the WELLS FARGO ADVANTAGE OUTLOOK 2040 FUND, and prior to
April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2040 FUND was named the
Wells Fargo Outlook 2040 Fund. Performance shown for Class A, Class B, and
Class C shares of the Fund for periods prior to November 8, 1999, reflects
the performance of the applicable share class of the Stagecoach LifePath
2040 Fund, its predecessor fund. Performance shown for Class B shares for
periods prior to March 1, 1997, reflects the performance for the Class A
shares of the Stagecoach LifePath 2040 Fund adjusted to reflect Class B
share sales charges and expenses. Performance shown for Class C shares for
periods prior to December 1, 1998, reflects the performance of Class B
shares adjusted to reflect Class C sales charges and expenses. Prior to
April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2040 FUND -
Administrator Class was named the Wells Fargo Outlook 2040 Fund -
Institutional Class. Performance shown for Administrator Class shares of
the Fund for periods prior to November 8, 1999, reflects the performance
of the Class A shares of the Stagecoach LifePath 2040 Fund, its
predecessor fund, adjusted to reflect Institutional Class expenses. Prior
to April 11, 2005, the WELLS FARGO ADVANTAGE OUTLOOK 2040 FUND -
Institutional Class was named the Wells Fargo Outlook 2040 Fund - Select
Class. Performance shown for the Institutional Class shares for periods
prior June 30, 2004, reflects the performance of the Administrator Class
shares of the Fund adjusted to reflect Institutional Class fees and
expenses.
7 The Dow Jones Target Date Indexes (each an "Index" or collectively the
"Indexes" ) are a series of Indexes designed as benchmarks for multi-asset
class portfolios with risk profiles that became more conservative over
time. The Index weightings among the major asset classes are adjusted
monthly based on a published set of Index rules. The Indexes with longer
time horizons have higher allocations to equity securities, while the
Indexes with shorter time horizons replace some of their stock allocations
with allocations to fixed income securities and money market instruments.
The Index returns reflect hypothetical back-tested performance. You cannot
invest directly in an Index.
8 The Russell 3000(R) Index measures the performance of the 3,000 largest
U.S. companies based on total market capitalization, which represents
approximately 98% of the investable U.S. equity market. You cannot invest
directly in an Index.
9 The Lehman Brothers U.S. Aggregate Bond Index is composed of the Lehman
Brothers U.S. Government/Credit Index and the Mortgage-Backed Securities
Index and includes U.S. Treasury issues, agency issues, corporate bond
issues, and mortgage-backed securities. You cannot invest directly in an
Index.
10 Portfolio allocation, fund characteristics and portfolio allocation by
asset class are subject to change.
11 The charts compare the performance for each of the WELLS FARGO ADVANTAGE
TARGET DATE FUNDS Class A and Administrator Class shares for the most
recent ten years with their respective Dow Jones Target Date Index, the
Russell 3000(R) Index and the Lehman Brothers U.S. Aggregate Bond Index.
The charts assume a hypothetical $10,000 investment in Class A and
Administrator Class shares and reflect all operating expenses and, for
Class A shares, assume the maximum initial sales charge of 5.75%.
8
FUND EXPENSES (UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
As a shareholder of the Fund, you incur two types of costs: (1)
transaction costs, including sales charges (loads) on purchase payments,
redemption fees (if any) and exchange fees (if any); and (2) ongoing costs,
including management fees; distribution (12b-1) and/or 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 (March 1, 2006 to August 31, 2006).
ACTUAL EXPENSES
The "Actual" line of the table below provides information about actual
account values and actual expenses. You may use the information in this line,
together with the amount you invested, to estimate the expenses that you paid
over the period. Simply divide your account value by $1,000 (for example, an
$8,600 account value divided by $1,000 = 8.6), then multiply the result by the
number in the "Actual" line under the heading entitled "Expenses Paid During
Period" for your applicable class of shares to estimate the expenses you paid on
your account during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The "Hypothetical" line of the table below provides information about
hypothetical account values and hypothetical expenses based on the Fund's actual
expense ratio and an assumed rate of return of 5% per year before expenses,
which is not the Fund's actual return. The hypothetical account values and
expenses may not be used to estimate the actual ending account balance or
expenses you paid for the period. You may use this information to compare the
ongoing costs of investing in the Fund and other funds. To do so, compare this
5% hypothetical example with the 5% hypothetical examples that appear in the
shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such as
sales charges (loads), redemption fees, or exchange fees. Therefore, the
"Hypothetical" 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.
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 the Period* Ratio
Wells Fargo Advantage Dow Jones Target Today Fund
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target Today Fund - Class A
Actual $ 1,000.00 $ 1,013.90 $ 6.14 1.21%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,019.11 $ 6.16 1.21%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target Today Fund - Class B
Actual $ 1,000.00 $ 1,010.80 $ 9.98 1.97%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.27 $ 10.01 1.97%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target Today Fund - Class C
Actual $ 1,000.00 $ 1,010.80 $ 9.98 1.97%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.27 $ 10.01 1.97%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target Today Fund - Administrator Class
Actual $ 1,000.00 $ 1,016.10 $ 4.62 0.91%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,020.62 $ 4.63 0.91%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target Today Fund - Institutional Class
Actual $ 1,000.00 $ 1,017.10 $ 3.56 0.70%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.68 $ 3.57 0.70%
Wells Fargo Advantage Dow Jones Target 2010 Fund
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2010 Fund - Class A
Actual $ 1,000.00 $ 1,018.60 $ 6.21 1.22%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,019.06 $ 6.21 1.22%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2010 Fund - Class B
Actual $ 1,000.00 $ 1,014.80 $ 10.00 1.97%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.27 $ 10.01 1.97%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2010 Fund - Class C
Actual $ 1,000.00 $ 1,014.60 $ 10.00 1.97%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.27 $ 10.01 1.97%
9
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS FUND EXPENSES (UNAUDITED)
- --------------------------------------------------------------------------------
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 the Period* Ratio
Wells Fargo Dow Jones Target 2010 Fund (continued)
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2010 Fund - Administrator Class
Actual $ 1,000.00 $ 1,020.70 $ 4.74 0.93%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,020.52 $ 4.74 0.93%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2010 Fund - Institutional Class
Actual $ 1,000.00 $ 1,020.90 $ 3.62 0.71%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.63 $ 3.62 0.71%
Wells Fargo Advantage Dow Jones Target 2020 Fund
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2020 Fund - Class A
Actual $ 1,000.00 $ 1,022.40 $ 6.27 1.23%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,019.00 $ 6.26 1.23%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2020 Fund - Class B
Actual $ 1,000.00 $ 1,018.90 $ 10.08 1.98%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.22 $ 10.06 1.98%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2020 Fund - Class C
Actual $ 1,000.00 $ 1,018.70 $ 10.07 1.98%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.22 $ 10.06 1.98%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2020 Fund - Administrator Class
Actual $ 1,000.00 $ 1,023.60 $ 4.74 0.93%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,020.52 $ 4.74 0.93%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2020 Fund - Institutional Class
Actual $ 1,000.00 $ 1,025.30 $ 3.68 0.72%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.58 $ 3.67 0.72%
Wells Fargo Advantage Dow Jones Target 2030 Fund
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2030 Fund - Class A
Actual $ 1,000.00 $ 1,017.00 $ 6.30 1.24%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,018.95 $ 6.31 1.24%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2030 Fund - Class B
Actual $ 1,000.00 $ 1,013.00 $ 10.10 1.99%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.17 $ 10.11 1.99%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2030 Fund - Class C
Actual $ 1,000.00 $ 1,012.80 $ 10.10 1.99%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.17 $ 10.11 1.99%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2030 Fund - Administrator Class
Actual $ 1,000.00 $ 1,018.30 $ 4.78 0.94%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,020.47 $ 4.79 0.94%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2030 Fund - Institutional Class
Actual $ 1,000.00 $ 1,019.30 $ 3.66 0.72%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.58 $ 3.67 0.72%
10
FUND EXPENSES (UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 the Period* Ratio
Wells Fargo Advantage Dow Jones Target 2040 Fund
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2040 Fund - Class A
Actual $ 1,000.00 $ 1,018.50 $ 6.31 1.24%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,018.95 $ 6.31 1.24%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2040 Fund - Class B
Actual $ 1,000.00 $ 1,014.20 $ 10.10 1.99%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.17 $ 10.11 1.99%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2040 Fund - Class C
Actual $ 1,000.00 $ 1,014.20 $ 10.10 1.99%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,015.17 $ 10.11 1.99%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2040 Fund - Administrator Class
Actual $ 1,000.00 $ 1,019.80 $ 4.79 0.94%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,020.47 $ 4.79 0.94%
- ------------------------------------------------------------------------------------------------------------------------------
Wells Fargo Advantage Dow Jones Target 2040 Fund - Institutional Class
Actual $ 1,000.00 $ 1,021.30 $ 3.72 0.73%
- ------------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.53 $ 3.72 0.73%
* Expenses are equal to the Fund's annualized expense ratio multiplied by
the average account value over the period, multiplied by the number of
days in the most recent fiscal half-year divided by the number of days in
the fiscal year (to reflect the one-half year period).
11
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE DOW JONES TARGET TODAY FUND AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
FACE/SHARE SECURITY NAME VALUE
AMOUNT
INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS - 100.01%
N/A WELLS FARGO ADVANTAGE DIVERSIFIED FIXED INCOME PORTFOLIO $ 29,472,851
N/A WELLS FARGO ADVANTAGE DIVERSIFIED STOCK PORTFOLIO 10,183,128
N/A WELLS FARGO ADVANTAGE MONEY MARKET PORTFOLIO 45,336,006
TOTAL INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS (COST $81,904,632) 84,991,985
--------------
TOTAL INVESTMENTS IN SECURITIES
(COST $81,904,632)* 100.01% $ 84,991,985
OTHER ASSETS AND LIABILITIES, NET (0.01) (9,174)
------ --------------
TOTAL NET ASSETS 100.00% $ 84,982,811
====== ==============
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
12
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET 2010 FUND
- --------------------------------------------------------------------------------
FACE/SHARE SECURITY NAME VALUE
AMOUNT
INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS - 99.99%
N/A WELLS FARGO ADVANTAGE DIVERSIFIED FIXED INCOME PORTFOLIO $ 131,140,182
N/A WELLS FARGO ADVANTAGE DIVERSIFIED STOCK PORTFOLIO 45,837,123
N/A WELLS FARGO ADVANTAGE MONEY MARKET PORTFOLIO 35,535,146
TOTAL INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS (COST $201,990,886) 212,512,451
--------------
TOTAL INVESTMENTS IN SECURITIES
(COST $201,990,886)* 99.99% $ 212,512,451
OTHER ASSETS AND LIABILITIES, NET 0.01 17,786
------ --------------
TOTAL NET ASSETS 100.00% $ 212,530,237
====== ==============
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
13
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE DOW JONES TARGET 2020 FUND AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
FACE/SHARE SECURITY NAME VALUE
AMOUNT
INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS - 100.07%
N/A WELLS FARGO ADVANTAGE DIVERSIFIED FIXED INCOME PORTFOLIO $ 169,317,776
N/A WELLS FARGO ADVANTAGE DIVERSIFIED STOCK PORTFOLIO 205,499,550
N/A WELLS FARGO ADVANTAGE MONEY MARKET PORTFOLIO 15,386,986
TOTAL INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS (COST $366,508,463) 390,204,312
--------------
TOTAL INVESTMENTS IN SECURITIES
(COST $366,508,463)* 100.07% $ 390,204,312
OTHER ASSETS AND LIABILITIES, NET (0.07) (291,725)
------ --------------
TOTAL NET ASSETS 100.00% $ 389,912,587
====== ==============
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
14
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET 2030 FUND
- --------------------------------------------------------------------------------
FACE/SHARE SECURITY NAME VALUE
AMOUNT
INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS - 100.03%
N/A WELLS FARGO ADVANTAGE DIVERSIFIED FIXED INCOME PORTFOLIO $ 41,700,988
N/A WELLS FARGO ADVANTAGE DIVERSIFIED STOCK PORTFOLIO 190,737,140
N/A WELLS FARGO ADVANTAGE MONEY MARKET PORTFOLIO 9,511,938
TOTAL INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS (COST $225,965,171) 241,950,066
--------------
TOTAL INVESTMENTS IN SECURITIES
(COST $225,965,171)* 100.03% $ 241,950,066
OTHER ASSETS AND LIABILITIES, NET (0.03) (72,704)
------ --------------
TOTAL NET ASSETS 100.00% $ 241,877,362
====== ==============
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
15
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE DOW JONES TARGET 2040 FUND AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
FACE/SHARE SECURITY NAME VALUE
AMOUNT
INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS - 100.09%
N/A WELLS FARGO ADVANTAGE DIVERSIFIED FIXED INCOME PORTFOLIO $ 17,561,928
N/A WELLS FARGO ADVANTAGE DIVERSIFIED STOCK PORTFOLIO 234,685,558
N/A WELLS FARGO ADVANTAGE MONEY MARKET PORTFOLIO 10,309,432
TOTAL INVESTMENTS IN AFFILIATED MASTER PORTFOLIOS (COST $241,362,547) 262,556,918
--------------
TOTAL INVESTMENTS IN SECURITIES
(COST $241,362,547)* 100.09% $ 262,556,918
OTHER ASSETS AND LIABILITIES, NET (0.09) (231,396)
------ --------------
TOTAL NET ASSETS 100.00% $ 262,325,522
====== ==============
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
16
STATEMENTS OF ASSETS AND LIABILITIES-- WELLS FARGO ADVANTAGE DOW JONES TARGET
AUGUST 31, 2006 (UNAUDITED) DATE FUNDS
- --------------------------------------------------------------------------------
TARGET TARGET TARGET TARGET TARGET
TODAY 2010 2020 2030 2040
FUND FUND FUND FUND FUND
- -----------------------------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ................. $ 84,991,985 $ 212,512,451 $ 390,204,312 $ 241,950,066 $ 262,556,918
------------- ------------- ------------- ------------- -------------
TOTAL INVESTMENTS AT MARKET VALUE
(SEE COST BELOW) ............................... 84,991,985 212,512,451 390,204,312 241,950,066 262,556,918
------------- ------------- ------------- ------------- -------------
CASH ........................................... 50,000 50,000 50,000 50,000 50,000
RECEIVABLE FOR FUND SHARES ISSUED .............. 20,721 115,246 139,040 96,655 87,366
------------- ------------- ------------- ------------- -------------
TOTAL ASSETS ...................................... 85,062,706 212,677,697 390,393,352 242,096,721 262,694,284
------------- ------------- ------------- ------------- -------------
LIABILITIES
PAYABLE FOR FUND SHARES REDEEMED ............... 17,699 22,563 272,020 80,979 91,616
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES
(NOTE 3) .................................... 27,789 60,005 109,575 66,478 84,229
PAYABLE TO THE TRUSTEES AND SHAREHOLDER
SERVICING AGENT ............................. 28,606 52,945 83,117 51,908 64,502
ACCRUED EXPENSES AND OTHER LIABILITIES ......... 5,801 11,947 16,053 19,994 128,415
------------- ------------- ------------- ------------- -------------
TOTAL LIABILITIES ................................. 79,895 147,460 480,765 219,359 368,762
------------- ------------- ------------- ------------- -------------
TOTAL NET ASSETS .................................. $ 84,982,811 $ 212,530,237 $ 389,912,587 $ 241,877,362 $ 262,325,522
============= ============= ============= ============= =============
NET ASSETS CONSIST OF:
- -----------------------------------------------------------------------------------------------------------------------------------
PAID-IN CAPITAL ................................ $ 79,174,469 $ 191,615,642 $ 341,039,636 $ 206,462,886 $ 225,919,550
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ..... 553,390 1,231,348 1,597,171 635,287 500,223
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON
INVESTMENTS ................................. 2,167,599 9,161,682 23,579,931 18,794,294 14,711,378
NET UNREALIZED APPRECIATION (DEPRECIATION) OF
INVESTMENTS, FOREIGN CURRENCIES AND
TRANSLATION OF ASSETS AND LIABILITIES
DENOMINATED IN FOREIGN CURRENCIES ........... 3,087,353 10,521,565 23,695,849 15,984,895 21,194,371
------------- ------------- ------------- ------------- -------------
TOTAL NET ASSETS .................................. $ 84,982,811 $ 212,530,237 $ 389,912,587 $ 241,877,362 $ 262,325,522
------------- ------------- ------------- ------------- -------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS - CLASS A ........................... $ 37,039,975 $ 72,711,775 $ 148,639,099 $ 107,915,906 $ 156,515,140
SHARES OUTSTANDING - CLASS A ................... 3,592,049 5,584,309 10,293,559 7,104,943 9,262,828
NET ASSET VALUE PER SHARE - CLASS A ............ $ 10.31 $ 13.02 $ 14.44 $ 15.19 $ 16.90
MAXIMUM OFFERING PRICE PER SHARE - CLASS A(2) .. $ 10.94 $ 13.81 $ 15.32 $ 16.12 $ 17.93
NET ASSETS - CLASS B ........................... $ 13,110,386 $ 18,154,159 $ 18,398,132 $ 11,866,283 $ 18,421,381
SHARES OUTSTANDING - CLASS B ................... 1,246,815 1,392,728 1,284,936 794,780 1,130,878
NET ASSET VALUE AND OFFERING PRICE PER
SHARE - CLASS B ............................. $ 10.52 $ 13.03 $ 14.32 $ 14.93 $ 16.29
NET ASSETS - CLASS C ........................... $ 9,194,219 $ 4,623,580 $ 3,818,435 $ 2,902,031 $ 3,204,040
SHARES OUTSTANDING - CLASS C ................... 876,831 351,602 264,609 193,974 196,944
NET ASSET VALUE AND OFFERING PRICE PER
SHARE - CLASS C ............................. $ 10.49 $ 13.15 $ 14.43 $ 14.96 $ 16.27
NET ASSETS - ADMINISTRATOR CLASS ............... $ 15,816,170 $ 89,535,150 $ 157,759,269 $ 89,318,369 $ 66,834,947
SHARES OUTSTANDING - ADMINISTRATOR CLASS ....... 1,508,172 6,821,700 10,803,752 5,827,293 3,903,409
NET ASSET VALUE AND OFFERING PRICE PER SHARE -
ADMINISTRATOR CLASS ......................... $ 10.49 $ 13.13 $ 14.60 $ 15.33 $ 17.12
NET ASSETS - INSTITUTIONAL CLASS ............... $ 9,822,061 $ 27,505,573 $ 61,297,652 $ 29,874,773 $ 17,350,014
SHARES OUTSTANDING - INSTITUTIONAL CLASS ....... 936,476 2,095,893 4,192,445 1,948,678 1,013,075
NET ASSET VALUE AND OFFERING PRICE PER SHARE -
INSTITUTIONAL CLASS ......................... $ 10.49 $ 13.12 $ 14.62 $ 15.33 $ 17.13
------------- ------------- ------------- ------------- -------------
INVESTMENTS AT COST ............................... $ 81,904,632 $ 201,990,886 $ 366,508,463 $ 225,965,171 $ 241,362,547
============= ============= ============= ============= =============
(1) EACH FUND HAS AN UNLIMITED NUMBER OF AUTHORIZED SHARES.
(2) MAXIMUM OFFERING PRICE IS COMPUTED AS 100/94.25 OF NET ASSET VALUE. ON
INVESTMENTS OF $50,000 OR MORE, THE OFFERING PRICE IS REDUCED.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
17
WELLS FARGO ADVANTAGE DOW STATEMENTS OF OPERATIONS--
JONES TARGET DATE FUNDS FOR THE SIX MONTHS ENDED AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
TARGET TARGET TARGET TARGET TARGET
TODAY 2010 2020 2030 2040
FUND FUND FUND FUND FUND
- -----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
DIVIDENDS(1) ................................... $ 255,249 $ 750,224 $ 1,967,753 $ 1,469,449 $ 1,787,402
DIVIDENDS ALLOCATED FROM AFFILIATED MASTER
PORTFOLIOS .................................. 76,349 281,631 848,768 692,445 832,588
INTEREST ....................................... 731,349 1,476,593 1,779,199 695,668 368,491
INTEREST INCOME ALLOCATED FROM AFFILIATED MASTER
PORTFOLIOS .................................. 657,576 1,344,330 1,460,116 423,752 238,798
SECURITIES LENDING INCOME, NET ................. 18,615 50,308 73,118 42,187 40,117
EXPENSES ALLOCATED FROM AFFILIATED MASTER
PORTFOLIOS .................................. (42,671) (133,833) (278,521) (180,557) (200,196)
WAIVERS ALLOCATED FROM AFFILIATED MASTER
PORTFOLIOS .................................. 2,635 9,275 19,389 11,978 12,930
------------- ------------- ------------- ------------- -------------
TOTAL INVESTMENT INCOME ........................... 1,699,102 3,778,528 5,869,822 3,154,922 3,080,130
------------- ------------- ------------- ------------- -------------
EXPENSES
ADVISORY FEES .................................. 220,223 531,184 967,371 607,445 668,371
ADMINISTRATION FEES
FUND LEVEL .................................. 21,701 52,597 95,773 60,027 65,907
CLASS A ..................................... 52,874 103,083 213,412 153,482 224,791
CLASS B ..................................... 19,625 26,515 26,365 17,209 26,696
CLASS C ..................................... 13,990 6,562 5,474 4,131 4,604
ADMINISTRATOR CLASS ......................... 7,719 44,054 78,243 43,872 32,296
INSTITUTIONAL CLASS ......................... 3,835 10,009 20,571 10,997 6,446
CUSTODY FEES ................................... 5,586 13,410 24,425 15,365 16,942
SHAREHOLDER SERVICING FEES ..................... 96,520 231,706 414,581 265,771 309,393
ACCOUNTING FEES ................................ 15,146 18,051 22,109 18,749 19,302
DISTRIBUTION FEES (NOTE 3)
CLASS B ..................................... 52,566 71,023 70,619 46,095 71,508
CLASS C ..................................... 37,474 17,576 14,661 11,066 12,333
PROFESSIONAL FEES .............................. 6,742 8,278 8,706 8,989 7,439
REGISTRATION FEES .............................. 26,840 27,896 26,725 29,952 25,912
SHAREHOLDER REPORTS ............................ 10,001 20,927 30,922 25,101 26,322
TRUSTEES' FEES ................................. 4,252 4,252 4,252 4,252 4,252
OTHER FEES AND EXPENSES ........................ 3,474 4,403 7,644 5,699 3,741
------------- ------------- ------------- ------------- -------------
TOTAL EXPENSES .................................... 598,568 1,191,526 2,031,853 1,328,202 1,526,255
------------- ------------- ------------- ------------- -------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) ... (68,855) (135,366) (213,096) (158,139) (134,784)
NET EXPENSES ................................... 529,713 1,056,160 1,818,757 1,170,063 1,391,471
------------- ------------- ------------- ------------- -------------
NET INVESTMENT INCOME (LOSS) ...................... 1,169,389 2,722,368 4,051,065 1,984,859 1,688,659
------------- ------------- ------------- ------------- -------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- -----------------------------------------------------------------------------------------------------------------------------------
NET REALIZED GAIN (LOSS) FROM:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN
CURRENCY TRANSLATION ........................ (246,386) 307,474 780,765 (57,067) 428,676
SECURITIES TRANSACTIONS ALLOCATED FROM MASTER
PORTFOLIOS .................................. 2,643,789 9,706,372 24,642,635 17,835,282 28,123,302
FUTURES TRANSACTIONS ALLOCATED FROM MASTER
PORTFOLIOS .................................. 7,900 24,929 56,517 39,437 56,081
------------- ------------- ------------- ------------- -------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ......... 2,405,303 10,038,775 25,479,917 17,817,652 28,608,059
------------- ------------- ------------- ------------- -------------
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) OF:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN
CURRENCY TRANSLATION ........................ (5,499,512) (19,192,621) (44,300,851) (31,706,367) (46,853,363)
SECURITIES TRANSACTIONS ALLOCATED FROM MASTER
PORTFOLIOS .................................. 3,281,089 11,101,665 23,810,971 15,324,154 20,782,692
FORWARDS, FUTURES, OPTIONS, SWAPS AND SHORT
SALES ALLOCATED FROM MASTER PORTFOLIOS ...... (193,736) (580,100) (115,122) 660,741 411,679
------------- ------------- ------------- ------------- -------------
NET CHANGE IN UNREALIZED APPRECIATION
(DEPRECIATION) OF INVESTMENTS .................. (2,412,159) (8,671,056) (20,605,002) (15,721,472) (25,658,992)
============= ============= ============= ============= =============
NET REALIZED AND UNREALIZED GAIN (LOSS) ON
INVESTMENTS .................................... (6,856) 1,367,719 4,874,915 2,096,180 2,949,067
------------- ------------- ------------- ------------- -------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING
FROM OPERATIONS ................................ $ 1,162,533 $ 4,090,087 $ 8,925,980 $ 4,081,039 $ 4,637,726
------------- ------------- ------------- ------------- -------------
(1) NET OF FOREIGN WITHHOLDING TAXES OF ........... $ 12,093 $ 42,554 $ 97,714 $ 74,828 $ 105,052
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
18
THIS PAGE IS INTENTIONALLY LEFT BLANK --
STATEMENTS OF CHANGES
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS IN NET ASSETS
- --------------------------------------------------------------------------------
TARGET TODAY TARGET 2010
------------------------------------- -------------------------------------
FOR THE SIX MONTHS FOR THE FOR THE SIX MONTHS FOR THE
ENDED AUGUST 31, YEAR ENDED ENDED AUGUST 31, YEAR ENDED
2006 (UNAUDITED) FEBRUARY 28, 2006 2006 (UNAUDITED) FEBRUARY 28, 2006
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ............................. $ 87,862,024 $ 92,417,389 $ 211,373,246 $ 208,067,912
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ..................... 1,169,389 1,598,385 2,722,368 3,668,609
NET REALIZED GAIN (LOSS) ON INVESTMENTS .......... 2,405,303 1,115,544 10,038,775 2,275,785
NET CHANGE IN UNREALIZED APPRECIATION
(DEPRECIATION) OF INVESTMENTS ................. (2,412,159) 785,320 (8,671,056) 5,132,497
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
OPERATIONS ....................................... 1,162,533 3,499,249 4,090,087 11,076,891
------------------ ----------------- ------------------ -----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ....................................... (407,711) (768,309) (722,191) (1,277,384)
CLASS B ....................................... (95,930) (195,741) (115,457) (194,648)
CLASS C ....................................... (68,635) (141,268) (28,195) (44,103)
ADMINISTRATOR CLASS ........................... (182,863) (293,372) (969,997) (1,493,067)
INSTITUTIONAL CLASS ........................... (125,971) (180,591) (299,663) (508,755)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ....................................... 0 (550,406) 0 (154,206)
CLASS B ....................................... 0 (217,774) 0 (41,380)
CLASS C ....................................... 0 (158,743) 0 (9,768)
ADMINISTRATOR CLASS ........................... 0 (191,711) 0 (177,157)
INSTITUTIONAL CLASS ........................... 0 (111,341) 0 (44,300)
------------------ ----------------- ------------------ -----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ................. (881,110) (2,809,256) (2,135,503) (3,944,768)
------------------ ----------------- ------------------ -----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A .............. 5,634,726 17,633,706 13,385,448 22,161,217
REINVESTMENT OF DISTRIBUTIONS - CLASS A .......... 394,218 1,283,377 706,904 1,401,728
COST OF SHARES REDEEMED - CLASS A ................ (7,663,020) (20,072,711) (16,474,610) (34,000,297)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - CLASS A ............. (1,634,076) (1,155,628) (2,382,258) (10,437,352)
------------------ ----------------- ------------------ -----------------
PROCEEDS FROM SHARES SOLD - CLASS B .............. 81,667 684,346 290,630 972,242
REINVESTMENT OF DISTRIBUTIONS - CLASS B .......... 89,744 390,403 108,323 221,676
COST OF SHARES REDEEMED - CLASS B ................ (1,881,979) (6,125,572) (2,112,673) (8,672,352)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - CLASS B ............. (1,710,568) (5,050,823) (1,713,720) (7,478,434)
------------------ ----------------- ------------------ -----------------
PROCEEDS FROM SHARES SOLD - CLASS C .............. 246,126 600,687 259,653 273,457
REINVESTMENT OF DISTRIBUTIONS - CLASS C .......... 63,370 282,871 26,730 50,405
COST OF SHARES REDEEMED - CLASS C ................ (1,915,749) (3,877,947) (430,021) (1,487,122)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - CLASS C ............. (1,606,253) (2,994,389) (143,638) (1,163,260)
------------------ ----------------- ------------------ -----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS .. 12,669,308 15,846,014 31,929,797 81,838,748
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR
CLASS ......................................... 182,803 485,083 968,934 1,668,225
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS .... (11,126,762) (15,377,469) (31,654,461) (66,865,715)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - ADMINISTRATOR
CLASS ............................................ 1,725,349 953,628 1,244,270 16,641,258
------------------ ----------------- ------------------ -----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS .. 7,479,459 17,882,969 16,265,574 45,112,985
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL
CLASS ......................................... 125,971 291,933 299,663 553,055
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS .... (7,540,518) (15,173,048) (14,367,484) (47,055,041)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - INSTITUTIONAL
CLASS ............................................ 64,912 3,001,854 2,197,753 (1,389,001)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS ....................... (3,160,636) (5,245,358) (797,593) (3,826,789)
================== ================= ================== =================
NET INCREASE (DECREASE) IN NET ASSETS ............... (2,879,213) (4,555,365) 1,156,991 3,305,334
================== ================= ================== =================
ENDING NET ASSETS ................................... $ 84,982,811 $ 87,862,024 $ 212,530,237 $ 211,373,246
================== ================= ================== =================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
20
STATEMENTS OF CHANGES IN
NET ASSETS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
TARGET 2020 TARGET 2030
------------------------------------- -------------------------------------
FOR THE SIX MONTHS FOR THE FOR THE SIX MONTHS FOR THE
ENDED AUGUST 31, YEAR ENDED ENDED AUGUST 31, YEAR ENDED
2006 (UNAUDITED) FEBRUARY 28, 2006 2006 (UNAUDITED) FEBRUARY 28, 2006
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ............................. $ 378,037,368 $ 363,585,388 $ 235,177,460 $ 223,402,823
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ..................... 4,051,065 5,552,670 1,984,859 2,677,388
NET REALIZED GAIN (LOSS) ON INVESTMENTS .......... 25,479,917 6,311,306 17,817,652 5,166,143
NET CHANGE IN UNREALIZED APPRECIATION
(DEPRECIATION) OF INVESTMENTS ................. (20,605,002) 15,019,211 (15,721,472) 11,635,491
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
OPERATIONS ....................................... 8,925,980 26,883,187 4,081,039 19,479,022
------------------ ----------------- ------------------ -----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ....................................... (1,232,874) (2,077,930) (746,474) (1,157,224)
CLASS B ....................................... (85,732) (125,062) (41,077) (41,834)
CLASS C ....................................... (17,645) (24,814) (9,603) (10,048)
ADMINISTRATOR CLASS ........................... (1,453,939) (2,231,096) (713,487) (995,560)
INSTITUTIONAL CLASS ........................... (519,508) (921,789) (249,991) (405,276)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ....................................... 0 (31,262) 0 (1,679,181)
CLASS B ....................................... 0 (3,883) 0 (194,053)
CLASS C ....................................... 0 (784) 0 (47,956)
ADMINISTRATOR CLASS ........................... 0 (29,268) 0 (1,240,871)
INSTITUTIONAL CLASS ........................... 0 (9,526) 0 (350,261)
------------------ ----------------- ------------------ -----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ................. (3,309,698) (5,455,414) (1,760,632) (6,122,264)
------------------ ----------------- ------------------ -----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A .............. 26,897,445 58,451,710 16,607,970 29,801,790
REINVESTMENT OF DISTRIBUTIONS - CLASS A .......... 1,212,849 2,077,292 736,602 2,791,170
COST OF SHARES REDEEMED - CLASS A ................ (37,448,704) (64,764,289) (21,391,783) (37,898,402)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - CLASS A ............. (9,338,410) (4,235,287) (4,047,211) (5,305,442)
------------------ ----------------- ------------------ -----------------
PROCEEDS FROM SHARES SOLD - CLASS B .............. 850,441 1,274,807 592,343 875,887
REINVESTMENT OF DISTRIBUTIONS - CLASS B .......... 80,035 121,140 39,875 229,825
COST OF SHARES REDEEMED - CLASS B ................ (1,614,591) (9,055,377) (1,393,267) (5,690,772)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - CLASS B ............. (684,115) (7,659,430) (761,049) (4,585,060)
------------------ ----------------- ------------------ -----------------
PROCEEDS FROM SHARES SOLD - CLASS C .............. 299,363 601,931 166,190 538,000
REINVESTMENT OF DISTRIBUTIONS - CLASS C .......... 16,690 24,381 9,313 56,680
COST OF SHARES REDEEMED - CLASS C ................ (437,142) (1,114,174) (462,190) (598,261)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - CLASS C ............. (121,089) (487,862) (286,687) (3,581)
------------------ ----------------- ------------------ -----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS .. 80,669,858 98,197,224 41,293,184 68,112,814
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR
CLASS ......................................... 1,453,939 2,260,357 713,487 2,236,430
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS .... (75,112,242) (91,237,259) (35,357,246) (58,887,223)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - ADMINISTRATOR
CLASS ............................................ 7,011,555 9,220,322 6,649,425 11,462,021
------------------ ----------------- ------------------ -----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS .. 43,522,800 50,883,670 15,370,584 46,035,305
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL
CLASS ......................................... 519,508 931,315 249,991 755,537
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS .... (34,651,312) (55,628,521) (12,795,558) (49,940,901)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - INSTITUTIONAL
CLASS ............................................ 9,390,996 (3,813,536) 2,825,017 (3,150,059)
------------------ ----------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS ....................... 6,258,937 (6,975,793) 4,379,495 (1,582,121)
================== ================= ================== =================
NET INCREASE (DECREASE) IN NET ASSETS ............... 11,875,219 14,451,980 6,699,902 11,774,637
================== ================= ================== =================
ENDING NET ASSETS ................................... $ 389,912,587 $ 378,037,368 $ 241,877,362 $ 235,177,460
================== ================= ================== =================
TARGET 2040
-------------------------------------
FOR THE SIX MONTHS FOR THE
ENDED AUGUST 31, YEAR ENDED
2006 (UNAUDITED) FEBRUARY 28, 2006
- --------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ............................. $ 253,715,567 $ 253,466,399
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ..................... 1,688,659 2,290,795
NET REALIZED GAIN (LOSS) ON INVESTMENTS .......... 28,608,059 4,737,620
NET CHANGE IN UNREALIZED APPRECIATION
(DEPRECIATION) OF INVESTMENTS ................. (25,658,992) 17,213,897
------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
OPERATIONS ....................................... 4,637,726 24,242,312
------------------ -----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ....................................... (904,095) (1,429,158)
CLASS B ....................................... (42,814) (19,184)
CLASS C ....................................... (7,344) (5,486)
ADMINISTRATOR CLASS ........................... (457,478) (545,145)
INSTITUTIONAL CLASS ........................... (128,120) (196,673)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ....................................... 0 0
CLASS B ....................................... 0 0
CLASS C ....................................... 0 0
ADMINISTRATOR CLASS ........................... 0 0
INSTITUTIONAL CLASS ........................... 0 0
------------------ -----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ................. (1,539,851) (2,195,646)
------------------ -----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A .............. 12,192,183 25,523,233
REINVESTMENT OF DISTRIBUTIONS - CLASS A .......... 887,116 1,401,541
COST OF SHARES REDEEMED - CLASS A ................ (21,743,895) (43,214,320)
------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - CLASS A ............. (8,664,596) (16,289,546)
------------------ -----------------
PROCEEDS FROM SHARES SOLD - CLASS B .............. 431,504 1,157,289
REINVESTMENT OF DISTRIBUTIONS - CLASS B .......... 41,092 18,535
COST OF SHARES REDEEMED - CLASS B ................ (1,822,721) (10,612,706)
------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - CLASS B ............. (1,350,125) (9,436,882)
------------------ -----------------
PROCEEDS FROM SHARES SOLD - CLASS C .............. 102,993 389,685
REINVESTMENT OF DISTRIBUTIONS - CLASS C .......... 6,989 5,194
COST OF SHARES REDEEMED - CLASS C ................ (318,597) (1,002,273)
------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - CLASS C ............. (208,615) (607,394)
------------------ -----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS .. 53,302,420 50,666,034
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR
CLASS ......................................... 456,808 544,030
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS .... (39,839,298) (45,962,204)
------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - ADMINISTRATOR
CLASS ............................................ 13,919,930 5,247,860
------------------ -----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS .. 9,965,162 23,032,980
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL
CLASS ......................................... 128,120 196,673
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS .... (8,277,796) (23,941,189)
------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS - INSTITUTIONAL
CLASS ............................................ 1,815,486 (711,536)
------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS ....................... 5,512,080 (21,797,498)
================== =================
NET INCREASE (DECREASE) IN NET ASSETS ............... 8,609,955 249,168
================== =================
ENDING NET ASSETS ................................... $ 262,325,522 $ 253,715,567
================== =================
21
STATEMENTS OF CHANGES IN
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS NET ASSETS
- --------------------------------------------------------------------------------
TARGET TODAY TARGET 2010
-------------------------------------- --------------------------------------
FOR THE SIX MONTHS FOR THE FOR THE SIX MONTHS FOR THE
ENDED AUGUST 31, YEAR ENDED ENDED AUGUST 31, YEAR ENDED
2006 (UNAUDITED) FEBRUARY 28, 2006 2006 (UNAUDITED) FEBRUARY 28, 2006
- ---------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ...................... 550,082 1,718,860 1,039,816 1,762,721
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - CLASS A ................. 38,787 126,023 55,496 111,896
SHARES REDEEMED - CLASS A .................. (747,470) (1,957,969) (1,278,114) (2,704,208)
------------ ------------ ------------ ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - CLASS A ...................... (158,601) (113,086) (182,802) (829,591)
------------ ------------ ------------ ------------
SHARES SOLD - CLASS B ...................... 7,802 65,912 22,468 77,021
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - CLASS B ................. 8,654 37,600 8,499 17,643
SHARES REDEEMED - CLASS B .................. (179,998) (588,447) (163,610) (690,272)
------------ ------------ ------------ ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - CLASS B ...................... (163,542) (484,935) (132,643) (595,608)
------------ ------------ ------------ ------------
SHARES SOLD - CLASS C ...................... 23,464 57,878 19,801 21,691
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - CLASS C ................. 6,126 27,318 2,079 3,975
SHARES REDEEMED - CLASS C .................. (183,873) (373,958) (33,058) (117,450)
------------ ------------ ------------ ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - CLASS C ...................... (154,283) (288,762) (11,178) (91,784)
------------ ------------ ------------ ------------
SHARES SOLD - ADMINISTRATOR CLASS .......... 1,215,537 1,526,847 2,461,611 6,425,595
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - ADMINISTRATOR CLASS ..... 17,701 46,885 75,428 132,012
SHARES REDEEMED - ADMINISTRATOR CLASS ...... (1,068,954) (1,482,989) (2,439,616) (5,245,838)
------------ ------------ ------------ ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - ADMINISTRATOR CLASS .......... 164,284 90,743 97,423 1,311,769
------------ ------------ ------------ ------------
SHARES SOLD - INSTITUTIONAL CLASS .......... 716,147 1,722,516 1,256,629 3,555,226
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - INSTITUTIONAL CLASS ..... 12,193 28,220 23,346 43,910
SHARES REDEEMED - INSTITUTIONAL CLASS ...... (722,178) (1,460,841) (1,108,088) (3,704,314)
------------ ------------ ------------ ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - INSTITUTIONAL CLASS .......... 6,162 289,895 171,887 (105,178)
------------ ------------ ------------ ------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING
RESULTING FROM CAPITAL SHARE TRANSACTIONS .. (305,980) (506,145) (57,313) (310,392)
============ ============ ============ ============
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT
INCOME (LOSS) .............................. $ 553,390 $ 265,111 $ 1,231,348 $ 644,483
============ ============ ============ ============
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
22
STATEMENTS OF CHANGES IN
NET ASSETS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
TARGET 2020 TARGET 2030
-------------------------------------- --------------------------------------
FOR THE SIX MONTHS FOR THE FOR THE SIX MONTHS FOR THE
ENDED AUGUST 31, YEAR ENDED ENDED AUGUST 31, YEAR ENDED
2006 (UNAUDITED) FEBRUARY 28, 2006 2006 (UNAUDITED) FEBRUARY 28, 2006
- ---------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ...................... 1,883,872 4,307,850 1,106,404 2,066,761
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - CLASS A ................. 86,117 153,447 49,714 191,901
SHARES REDEEMED - CLASS A .................. (2,624,540) (4,769,016) (1,423,454) (2,622,838)
------------ ------------ ----------- ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - CLASS A ...................... (654,551) (307,719) (267,336) (364,176)
------------ ------------ ----------- ------------
SHARES SOLD - CLASS B ...................... 59,998 95,129 39,786 62,106
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - CLASS B ................. 5,741 9,019 2,753 15,966
SHARES REDEEMED - CLASS B .................. (114,365) (675,040) (94,098) (403,467)
------------ ------------ ----------- ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - CLASS B ...................... (48,626) (570,892) (51,559) (325,395)
------------ ------------ ----------- ------------
SHARES SOLD - CLASS C ...................... 20,949 44,591 11,332 37,810
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - CLASS C ................. 1,188 1,801 642 3,928
SHARES REDEEMED - CLASS C .................. (30,629) (82,648) (31,168) (42,165)
------------ ------------ ----------- ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - CLASS C ...................... (8,492) (36,256) (19,194) (427)
------------ ------------ ----------- ------------
SHARES SOLD - ADMINISTRATOR CLASS .......... 5,619,118 7,126,366 2,712,435 4,688,296
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS -ADMINISTRATOR CLASS ...... 102,117 165,063 47,730 152,512
SHARES REDEEMED - ADMINISTRATOR CLASS ...... (5,231,596) (6,630,275) (2,326,863) (4,049,418)
------------ ------------ ----------- ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING -ADMINISTRATOR CLASS ........... 489,639 661,154 433,302 791,390
------------ ------------ ----------- ------------
SHARES SOLD - INSTITUTIONAL CLASS .......... 3,037,934 3,696,751 1,019,091 3,168,712
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - INSTITUTIONAL CLASS ..... 36,445 68,123 16,720 51,762
SHARES REDEEMED - INSTITUTIONAL CLASS ...... (2,415,240) (4,030,537) (847,785) (3,423,647)
------------ ------------ ----------- ------------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - INSTITUTIONAL CLASS .......... 659,139 (265,663) 188,026 (203,173)
------------ ------------ ----------- ------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING
RESULTING FROM CAPITAL SHARE TRANSACTIONS .. 437,109 (519,376) 283,239 (101,781)
============ ============ =========== ============
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT
INCOME (LOSS) .............................. $ 1,597,171 $ 855,804 $ 635,287 $ 411,060
============ ============ =========== ============
TARGET 2040
--------------------------------------
FOR THE SIX MONTHS FOR THE
ENDED AUGUST 31, YEAR ENDED
2006 (UNAUDITED) FEBRUARY 28, 2006
- ----------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ...................... 728,316 1,638,228
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - CLASS A ................. 54,138 89,883
SHARES REDEEMED - CLASS A .................. (1,299,505) (2,760,359)
----------- -----------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - CLASS A ...................... (517,051) (1,032,248)
----------- -----------
SHARES SOLD - CLASS B ...................... 26,638 77,020
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - CLASS B ................. 2,617 1,266
SHARES REDEEMED - CLASS B .................. (112,779) (713,373)
----------- -----------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - CLASS B ...................... (83,524) (635,087)
----------- -----------
SHARES SOLD - CLASS C ...................... 6,392 26,226
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - CLASS C ................. 446 355
SHARES REDEEMED - CLASS C .................. (19,896) (66,731)
----------- -----------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - CLASS C ...................... (13,058) (40,150)
----------- -----------
SHARES SOLD - ADMINISTRATOR CLASS .......... 3,128,693 3,195,085
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - ADMINISTRATOR CLASS ..... 27,506 34,307
SHARES REDEEMED - ADMINISTRATOR CLASS ...... (2,341,497) (2,899,767)
----------- -----------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - ADMINISTRATOR CLASS .......... 814,702 329,625
----------- -----------
SHARES SOLD - INSTITUTIONAL CLASS .......... 588,798 1,450,573
SHARES ISSUED IN REINVESTMENT OF
DISTRIBUTIONS - INSTITUTIONAL CLASS ..... 7,713 12,487
SHARES REDEEMED - INSTITUTIONAL CLASS ...... (489,383) (1,507,882)
----------- -----------
NET INCREASE (DECREASE) IN SHARES
OUTSTANDING - INSTITUTIONAL CLASS .......... 107,128 (44,822)
----------- -----------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING
RESULTING FROM CAPITAL SHARE TRANSACTIONS .. 308,197 (1,422,682)
=========== ===========
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT
INCOME (LOSS) .............................. $ 500,223 $ 351,415
=========== ===========
23
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
BEGINNING NET NET REALIZED DISTRIBUTIONS DISTRIBUTIONS
NET ASSET INVESTMENT AND UNREALIZED FROM NET FROM NET RETURN
VALUE PER INCOME GAIN (LOSS) ON INVESTMENT REALIZED OF
SHARE (LOSS) INVESTMENTS INCOME GAINS CAPITAL
- -----------------------------------------------------------------------------------------------------------------------------------
TARGET TODAY
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.28 0.14 0.00 (0.11) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.20 0.20 0.23 (0.20) (0.15) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $10.17 0.17 0.05 (0.16) (0.03) 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $ 8.96 0.15 1.22 (0.16) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $ 9.79 0.21 (0.66) (0.22) (0.16) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $ 9.94 0.29 (0.09) (0.29) (0.06) 0.00
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.48 0.11 (0.00) (0.07) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.39 0.13 0.23 (0.12) (0.15) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $10.35 0.10 0.05 (0.08) (0.03) 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $ 9.12 0.09 1.24 (0.10) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $ 9.96 0.15 (0.66) (0.17) (0.16) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $10.11 0.23 (0.08) (0.24) (0.06) 0.00
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.45 0.11 0.00 (0.07) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.36 0.13 0.23 (0.12) (0.15) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $10.33 0.10 0.05 (0.09) (0.03) 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $ 9.11 0.08 1.24 (0.10) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $ 9.94 0.16 (0.66) (0.17) (0.16) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $10.09 0.23 (0.08) (0.24) (0.06) 0.00
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.45 0.17 0.00 (0.13) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.37 0.23 0.23 (0.23) (0.15) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $10.33 0.21 0.06 (0.20) (0.03) 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $ 9.10 0.19 1.23 (0.19) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $ 9.94 0.23 (0.66) (0.25) (0.16) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $10.08 0.30 (0.07) (0.31) (0.06) 0.00
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.45 0.18 0.00 (0.14) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.37 0.26 0.22 (0.25) (0.15) 0.00
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $10.09 0.14 0.29 (0.12) (0.03) 0.00
TARGET 2010
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $12.91 0.17 0.07 (0.13) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $12.48 0.23 0.44 (0.21) (0.03) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.22 0.18 0.25 (0.17) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.25 0.15 1.98 (0.16) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $11.65 0.19 (1.33) (0.20) (0.06) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $12.22 0.28 (0.45) (0.27) (0.13) 0.00
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $12.92 0.12 0.07 (0.08) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $12.48 0.14 0.44 (0.11) (0.03) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.23 0.11 0.22 (0.08) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.26 0.08 1.98 (0.09) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $11.66 0.13 (1.33) (0.14) (0.06) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $12.23 0.20 (0.43) (0.21) (0.13) 0.00
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $13.04 0.12 0.07 (0.08) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $12.59 0.14 0.45 (0.11) (0.03) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.33 0.11 0.22 (0.07) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.35 0.07 2.00 (0.09) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $11.75 0.13 (1.33) (0.14) (0.06) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $12.32 0.20 (0.43) (0.21) (0.13) 0.00
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
24
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
NET ASSET -----------------------------------------------
VALUE PER NET INVESTMENT GROSS EXPENSES NET TOTAL
SHARE INCOME (LOSS) EXPENSES WAIVED EXPENSES RETURN(2)
- ------------------------------------------------------------------------------------------------------------------------
TARGET TODAY
- ------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.31 1.41% 1.35% (0.14)% 1.21% 1.39%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.28 1.96% 1.38% (0.13)% 1.25% 4.31%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $10.20 1.73% 1.34% (0.07)% 1.27% 2.23%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.17 1.58% 1.36% (0.08)% 1.28% 15.41%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $ 8.96 2.12% 1.60% (0.30)% 1.30% (4.63)%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $ 9.79 2.85% 1.63% (0.33)% 1.30% 2.06%
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.52 1.02% 2.10% (0.13)% 1.97% 1.08%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.48 1.21% 2.12% (0.12)% 2.00% 3.50%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $10.39 0.97% 2.09% (0.07)% 2.02% 1.49%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.35 0.91% 2.11% (0.16)% 1.95% 14.65%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $ 9.12 1.60% 2.28% (0.48)% 1.80% (5.15)%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $ 9.96 2.31% 2.26% (0.46)% 1.80% 1.54%
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.49 1.02% 2.10% (0.13)% 1.97% 1.08%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.45 1.21% 2.12% (0.12)% 2.00% 3.52%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $10.36 0.98% 2.09% (0.07)% 2.02% 1.43%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.33 0.88% 2.10% (0.14)% 1.96% 14.61%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $ 9.11 1.61% 2.23% (0.43)% 1.80% (5.06)%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $ 9.94 2.32% 2.26% (0.46)% 1.80% 1.52%
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.49 1.56% 1.17% (0.26)% 0.91% 1.61%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.45 2.26% 1.18% (0.23)% 0.95% 4.55%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $10.37 2.04% 1.01% (0.04)% 0.97% 2.60%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.33 1.89% 1.03% (0.06)% 0.97% 15.73%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $ 9.10 2.42% 1.17% (0.17)% 1.00% (4.32)%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $ 9.94 3.06% 1.29% (0.26)% 1.03% 2.40%
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $10.49 1.67% 0.89% (0.19)% 0.70% 1.71%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $10.45 2.46% 0.93% (0.18)% 0.75% 4.76%
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $10.37 2.41% 0.91% (0.16)% 0.75% 4.26%
TARGET 2010
- ------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $13.02 1.25% 1.30% (0.08)% 1.22% 1.86%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $12.91 1.72% 1.33% (0.08)% 1.25% 5.39%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.48 1.52% 1.30% (0.03)% 1.27% 3.60%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $12.22 1.36% 1.33% (0.05)% 1.28% 20.94%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.25 1.69% 1.44% (0.14)% 1.30% (9.86)%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $11.65 2.25% 1.53% (0.23)% 1.30% (1.43)%
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $13.03 0.87% 2.05% (0.08)% 1.97% 1.48%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $12.92 0.98% 2.08% (0.08)% 2.00% 4.64%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.48 0.76% 2.05% (0.03)% 2.02% 2.70%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $12.23 0.70% 2.09% (0.14)% 1.95% 20.16%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.26 1.19% 2.13% (0.33)% 1.80% (10.34)%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $11.66 1.73% 2.12% (0.32)% 1.80% (1.92)%
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $13.15 0.88% 2.05% (0.08)% 1.97% 1.46%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $13.04 0.97% 2.08% (0.08)% 2.00% 4.69%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.59 0.76% 2.05% (0.03)% 2.02% 2.72%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $12.33 0.67% 2.08% (0.12)% 1.96% 20.13%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.35 1.18% 2.21% (0.41)% 1.80% (10.29)%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $11.75 1.74% 2.12% (0.32)% 1.80% (1.90)%
PORTFOLIO NET ASSETS AT
TURNOVER END OF PERIOD
RATE(3) (000'S OMITTED)
- ------------------------------------------------------------------------------
TARGET TODAY
- ------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 78% $37,040
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 36% $38,547
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 106% $39,418
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 33% $39,856
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ 53% $33,299
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ 51% $41,543
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 78% $13,110
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 36% $14,778
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 106% $19,690
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 33% $22,616
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ 53% $19,428
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ 51% $16,678
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 78% $ 9,194
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 36% $10,774
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 106% $13,680
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 33% $13,800
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ 53% $ 7,822
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ 51% $ 7,678
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 78% $15,816
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 36% $14,042
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 106% $12,989
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 33% $12,410
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ 53% $ 8,732
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ 51% $ 9,052
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 78% $ 9,822
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 36% $ 9,721
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... 106% $ 6,640
TARGET 2010
- ------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 106% $72,712
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 38% $74,437
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 81% $82,296
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 31% $88,910
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ 65% $68,977
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ 39% $89,878
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 106% $18,154
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 38% $19,711
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 81% $26,480
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 31% $34,284
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ 65% $32,831
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ 39% $41,166
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 106% $ 4,624
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 38% $ 4,729
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 81% $ 5,724
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 31% $ 8,190
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ 65% $ 5,631
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ 39% $ 5,919
25
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
BEGINNING NET NET REALIZED DISTRIBUTIONS DISTRIBUTIONS
NET ASSET INVESTMENT AND UNREALIZED FROM NET FROM NET RETURN
VALUE PER INCOME GAIN (LOSS) ON INVESTMENT REALIZED OF
SHARE (LOSS) INVESTMENTS INCOME GAINS CAPITAL
- ------------------------------------------------------------------------------------------------------------------------------------
TARGET 2010 (CONTINUED)
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $13.01 0.18 0.09 (0.15) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $12.57 0.26 0.46 (0.25) (0.03) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.32 0.22 0.24 (0.21) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.33 0.19 1.99 (0.19) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $11.75 0.21 (1.33) (0.24) (0.06) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $12.32 0.29 (0.43) (0.30) (0.13) 0.00
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $13.01 0.20 0.07 (0.16) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $12.57 0.28 0.46 (0.27) (0.03) 0.00
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $12.08 0.15 0.47 (0.13) 0.00 0.00
TARGET 2020
- ------------------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.24 0.15 0.17 (0.12) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $13.44 0.19 0.80 (0.19) 0.00 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.96 0.16 0.47 (0.15) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.36 0.14 2.60 (0.14) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $12.29 0.14 (1.93) (0.14) 0.00 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.28 0.13 (0.87) (0.14) (0.11) 0.00
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.12 0.10 0.17 (0.07) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $13.33 0.10 0.77 (0.08) 0.00 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.85 0.08 0.45 (0.05) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.28 0.06 2.57 (0.06) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $12.18 0.07 (1.90) (0.07) 0.00 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.17 0.07 (0.87) (0.08) (0.11) 0.00
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.23 0.09 0.17 (0.06) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $13.43 0.09 0.79 (0.08) 0.00 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.93 0.09 0.44 (0.03) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.34 0.06 2.60 (0.07) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $12.26 0.07 (1.92) (0.07) 0.00 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.25 0.07 (0.87) (0.08) (0.11) 0.00
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.40 0.16 0.18 (0.14) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $13.58 0.23 0.82 (0.23) 0.00 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.10 0.22 0.45 (0.19) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.47 0.18 2.62 (0.17) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $12.42 0.17 (1.94) (0.18) 0.00 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.42 0.16 (0.87) (0.18) (0.11) 0.00
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.41 0.19 0.17 (0.15) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $13.60 0.25 0.81 (0.25) 0.00 0.00
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $12.87 0.09 0.76 (0.12) 0.00 0.00
TARGET 2030
- ------------------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $15.04 0.11 0.14 (0.10) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.21 0.16(5) 1.05 (0.15) (0.23) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.53 0.16 0.67 (0.15) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.48 0.13 3.17 (0.13) (0.12) 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $13.34 0.11 (2.40) (0.12) (0.45) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $15.13 0.12 (1.43) (0.12) (0.36) 0.00
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
26
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
NET ASSET -----------------------------------------------
VALUE PER NET INVESTMENT GROSS EXPENSES NET
SHARE INCOME (LOSS) EXPENSES WAIVED EXPENSES
- -------------------------------------------------------------------------------------------------------------
TARGET 2010 (CONTINUED)
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $13.13 1.40% 1.12% (0.19)% 0.93%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $13.01 2.02% 1.14% (0.19)% 0.95%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $12.57 1.82% 0.97% 0.00% 0.97%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $12.32 1.66% 1.00% (0.04)% 0.96%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.33 1.98% 1.05% (0.05)% 1.00%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $11.75 2.48% 1.21% (0.18)% 1.03%
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $13.12 1.52% 0.85% (0.14)% 0.71%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $13.01 2.23% 0.88% (0.13)% 0.75%
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $12.57 2.20% 0.87% (0.12)% 0.75%
TARGET 2020
- -------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.44 0.99% 1.29% (0.06)% 1.23%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.24 1.39% 1.32% (0.07)% 1.25%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.44 1.31% 1.31% (0.04)% 1.27%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $12.96 1.16% 1.32% (0.04)% 1.28%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.36 1.16% 1.42% (0.12)% 1.30%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $12.29 1.35% 1.50% (0.20)% 1.30%
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.32 0.61% 2.04% (0.06)% 1.98%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.12 0.66% 2.06% (0.06)% 2.00%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.33 0.55% 2.07% (0.05)% 2.02%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $12.85 0.51% 2.08% (0.13)% 1.95%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.28 0.66% 2.13% (0.33)% 1.80%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $12.18 0.85% 2.08% (0.28)% 1.80%
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.43 0.61% 2.04% (0.06)% 1.98%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.23 0.65% 2.07% (0.07)% 2.00%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.43 0.54% 2.07% (0.05)% 2.02%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $12.93 0.47% 2.07% (0.11)% 1.96%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.34 0.66% 2.20% (0.40)% 1.80%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $12.26 0.83% 2.08% (0.28)% 1.80%
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.60 1.14% 1.11% (0.18)% 0.93%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.40 1.69% 1.12% (0.17)% 0.95%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.58 1.61% 0.98% (0.01)% 0.97%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $13.10 1.48% 0.99% (0.03)% 0.96%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.47 1.46% 1.01% (0.01)% 1.00%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $12.42 1.60% 1.18% (0.15)% 1.03%
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.62 1.25% 0.84% (0.12)% 0.72%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.41 1.90% 0.87% (0.12)% 0.75%
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $13.60 1.89% 0.88% (0.13)% 0.75%
TARGET 2030
- -------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $15.19 0.77% 1.32% (0.08)% 1.24%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $15.04 1.08% 1.34% (0.09)% 1.25%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $14.21 1.17% 1.31% (0.04)% 1.27%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $13.53 1.15% 1.33% (0.05)% 1.28%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.48 0.88% 1.52% (0.22)% 1.30%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.34 0.81% 1.57% (0.27)% 1.30%
PORTFOLIO NET ASSETS AT
TOTAL TURNOVER END OF PERIOD
RETURN(2) RATE(3) (000'S OMITTED)
- -----------------------------------------------------------------------------------------
TARGET 2010 (CONTINUED)
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.07% 106% $ 89,535
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 5.76% 38% $ 87,473
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 3.81% 81% $ 68,055
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 21.33% 31% $ 63,530
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (9.60)% 65% $ 42,649
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (1.14)% 39% $ 36,548
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.09% 106% $ 27,506
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 5.97% 38% $ 25,023
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... 5.20% 81% $ 25,512
TARGET 2020
- -----------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.24% 97% $ 148,639
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 7.44% 30% $ 155,896
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 4.92% 60% $ 151,258
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 26.58% 31% $ 139,981
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (14.65)% 62% $ 105,206
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (5.57)% 29% $ 137,265
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.89% 97% $ 18,398
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 6.58% 30% $ 18,833
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 4.13% 60% $ 25,378
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 25.71% 31% $ 32,803
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (15.04)% 62% $ 31,052
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (6.09)% 29% $ 43,280
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.87% 97% $ 3,818
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 6.64% 30% $ 3,887
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 4.09% 60% $ 4,155
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 25.79% 31% $ 8,040
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (15.12)% 62% $ 5,330
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (6.06)% 29% $ 6,767
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.36% 97% $ 157,759
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 7.83% 30% $ 148,494
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 5.17% 60% $ 131,133
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 26.96% 31% $ 116,214
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (14.35)% 62% $ 89,948
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (5.30)% 29% $ 94,895
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.53% 97% $ 61,298
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 7.96% 30% $ 50,928
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... 6.61% 60% $ 51,662
TARGET 2030
- -----------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.70% 74% $ 107,916
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 8.63% 24% $ 110,900
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 6.17% 48% $ 109,923
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 31.73% 27% $ 106,449
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (17.40)% 68% $ 75,953
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (8.68)% 27% $ 100,884
27
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
BEGINNING NET NET REALIZED DISTRIBUTIONS DISTRIBUTIONS
NET ASSET INVESTMENT AND UNREALIZED FROM NET FROM NET RETURN
VALUE PER INCOME GAIN (LOSS) ON INVESTMENT REALIZED OF
SHARE (LOSS) INVESTMENTS INCOME GAINS CAPITAL
- -----------------------------------------------------------------------------------------------------------------------------------
TARGET 2030 (CONTINUED)
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.79 0.06 0.13 (0.05) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $13.97 0.05(5) 1.04 (0.04) (0.23) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.31 0.06 0.64 (0.04) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.32 0.06 3.11 (0.06) (0.12) 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $13.13 0.04 (2.35) (0.05) (0.45) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $14.88 0.05 (1.39) (0.05) (0.36) 0.00
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.82 0.06 0.13 (0.05) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.00 0.05(5) 1.05 (0.05) (0.23) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.32 0.05 0.65 (0.02) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.33 0.06 3.12 (0.07) (0.12) 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $13.14 0.05 (2.36) (0.05) (0.45) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $14.90 0.04 (1.39) (0.05) (0.36) 0.00
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $15.18 0.14 0.14 (0.13) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.33 0.20(5) 1.08 (0.20) (0.23) 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.65 0.21 0.66 (0.19) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.57 0.18 3.19 (0.17) (0.12) 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $13.45 0.14 (2.41) (0.16) (0.45) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $15.24 0.15 (1.42) (0.16) (0.36) 0.00
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $15.18 0.13 0.16 (0.14) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.33 0.23(5) 1.07 (0.22) (0.23) 0.00
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $13.42 0.08 0.94 (0.11) 0.00 0.00
TARGET 2040
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $16.69 0.12 0.19 (0.10) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $15.27 0.14(5) 1.42 (0.14) 0.00 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $14.40 0.14(5) 0.86 (0.13) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.65 0.12(5) 3.75 (0.12) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $13.55 0.08(5) (2.81) (0.08) (0.09) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $15.50 0.03 (1.80) 0.00 (0.18) 0.00
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $16.10 (0.02) 0.25 (0.04) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.72 0.03(5) 1.36 (0.01) 0.00 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.86 0.04(5) 0.82 0.00 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.28 0.04(5) 3.61 (0.07) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $13.08 0.02(5) (2.70) (0.03) (0.09) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $15.05 (0.05) (1.74) 0.00 (0.18) 0.00
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $16.08 0.03 0.20 (0.04) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.71 0.03(5) 1.36 (0.02) 0.00 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.86 0.04(5) 0.81 0.00 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.28 0.03(5) 3.62 (0.07) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $13.09 0.02(5) (2.71) (0.03) (0.09) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $15.06 (0.04) (1.75) 0.00 (0.18) 0.00
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $16.91 0.10 0.23 (0.12) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $15.48 0.19(5) 1.43 (0.19) 0.00 0.00
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $14.59 0.19(5) 0.88 (0.18) 0.00 0.00
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.77 0.16(5) 3.81 (0.15) 0.00 0.00
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $13.71 0.12(5) (2.85) (0.12) (0.09) 0.00
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $15.64 0.07 (1.82) 0.00 (0.18) 0.00
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $16.91 0.17 0.19 (0.14) 0.00 0.00
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $15.47 0.23(5) 1.43 (0.22) 0.00 0.00
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $14.47 0.15(5) 1.06 (0.21) 0.00 0.00
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
28
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
NET ASSET -----------------------------------------------
VALUE PER NET INVESTMENT GROSS EXPENSES NET
SHARE INCOME (LOSS) EXPENSES WAIVED EXPENSES
- -------------------------------------------------------------------------------------------------------------
TARGET 2030 (CONTINUED)
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.93 0.39% 2.07% (0.08)% 1.99%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.79 0.35% 2.09% (0.09)% 2.00%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.97 0.43% 2.06% (0.04)% 2.02%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $13.31 0.50% 2.09% (0.15)% 1.94%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.32 0.38% 2.21% (0.41)% 1.80%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.13 0.30% 2.17% (0.37)% 1.80%
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $14.96 0.39% 2.07% (0.08)% 1.99%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.82 0.33% 2.10% (0.10)% 2.00%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $14.00 0.43% 2.07% (0.05)% 2.02%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $13.32 0.45% 2.08% (0.12)% 1.96%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.33 0.39% 2.44% (0.64)% 1.80%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.14 0.29% 2.17% (0.37)% 1.80%
ADMINISTRATOR CLASS $15.33 0.92% 1.14% (0.20)% 0.94%
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $15.18 1.37% 1.14% (0.19)% 0.95%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $14.33 1.47% 0.98% (0.02)% 0.96%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $13.65 1.46% 1.00% (0.04)% 0.96%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $10.57 1.17% 1.07% (0.07)% 1.00%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $13.45 1.05% 1.24% (0.21)% 1.03%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $15.33 1.03% 0.87% (0.15)% 0.72%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $15.18 1.60% 0.89% (0.14)% 0.75%
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $14.33 1.74% 0.87% (0.12)% 0.75%
TARGET 2040
- -------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $16.90 0.63% 1.31% (0.07)% 1.24%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $16.69 0.92% 1.27% (0.02)% 1.25%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $15.27 1.01% 1.28% (0.01)% 1.27%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $14.40 0.95% 1.33% (0.06)% 1.27%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.65 0.65% 1.49% (0.19)% 1.30%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.55 0.24% 1.55% (0.25)% 1.30%
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $16.29 0.25% 2.06% (0.07)% 1.99%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $16.10 0.19% 2.02% (0.02)% 2.00%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $14.72 0.26% 2.03% (0.01)% 2.02%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $13.86 0.31% 2.09% (0.15)% 1.94%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.28 0.15% 2.23% (0.43)% 1.80%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.08 (0.27)% 2.14% (0.34)% 1.80%
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $16.27 0.25% 2.06% (0.07)% 1.99%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $16.08 0.17% 2.02% (0.02)% 2.00%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $14.71 0.26% 2.03% (0.01)% 2.02%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $13.86 0.28% 2.08% (0.14)% 1.94%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.28 0.15% 2.31% (0.51)% 1.80%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.09 (0.27)% 2.14% (0.34)% 1.80%
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $17.12 0.78% 1.13% (0.19)% 0.94%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $16.91 1.22% 1.08% (0.13)% 0.95%
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ $15.48 1.31% 0.95% 0.00 % 0.95%
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ $14.59 1.29% 1.01% (0.05)% 0.96%
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ $10.77 0.96% 1.03% (0.03)% 1.00%
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ $13.71 0.54% 1.22% (0.20)% 1.02%
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $17.13 0.88% 0.86% (0.13)% 0.73%
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ $16.91 1.42% 0.83% (0.08)% 0.75%
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... $15.47 1.55% 0.85% (0.10)% 0.75%
PORTFOLIO NET ASSETS AT
TOTAL TURNOVER END OF PERIOD
RETURN(2) RATE(3) (000'S OMITTED)
- ------------------------------------------------------------------------------------------
TARGET 2030 (CONTINUED)
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.30% 74% $ 11,866
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 7.86% 24% $ 12,518
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 5.28% 48% $ 16,372
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 30.82% 27% $ 21,131
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (17.76)% 68% $ 20,319
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (9.10)% 27% $ 27,913
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.28% 74% $ 2,902
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 7.89% 24% $ 3,159
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 5.26% 48% $ 2,991
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 30.88% 27% $ 5,559
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (17.78)% 68% $ 2,791
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (9.12)% 27% $ 3,412
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.83% 74% $ 89,318
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 9.03% 24% $ 81,874
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 6.42% 48% $ 65,968
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 32.13% 27% $ 56,586
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (17.10)% 68% $ 35,203
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (8.47)% 27% $ 30,749
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.93% 74% $ 29,875
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 9.24% 24% $ 26,726
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... 7.64% 48% $ 28,149
TARGET 2040
- -------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.85% 64% $ 156,515
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 10.28% 11% $ 163,232
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 6.98% 29% $ 165,145
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 36.52% 18% $ 156,806
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (20.24)% 54% $ 111,546
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (11.45)% 14% $ 169,829
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.42% 64% $ 18,421
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 9.47% 11% $ 19,547
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 6.20% 29% $ 27,229
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 35.58% 18% $ 42,603
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (20.60)% 54% $ 43,980
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (11.93)% 14% $ 67,290
CLASS C
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.42% 64% $ 3,204
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 9.49% 11% $ 3,376
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 6.13% 29% $ 3,681
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 35.62% 18% $ 5,146
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (20.66)% 54% $ 3,767
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (11.92)% 14% $ 5,432
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.98% 64% $ 66,835
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 10.55% 11% $ 52,239
MARCH 1, 2004 TO FEBRUARY 28, 2005 ............ 7.35% 29% $ 42,700
MARCH 1, 2003 TO FEBRUARY 29, 2004 ............ 37.06% 18% $ 33,396
MARCH 1, 2002 TO FEBRUARY 28, 2003 ............ (20.02)% 54% $ 29,829
MARCH 1, 2001 TO FEBRUARY 28, 2002 ............ (11.22)% 14% $ 33,976
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.13% 64% $ 17,350
MARCH 1, 2005 TO FEBRUARY 28, 2006 ............ 10.83% 11% $ 15,322
JUNE 30, 2004(4) TO FEBRUARY 28, 2005 ......... 8.37% 29% $ 14,712
29
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS NOTES TO FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(1) During each period, various fees and expenses were waived and reimbursed
as indicated. The ratio of Gross Expenses to Average Net Assets reflects
the expense ratio in the absence of any waivers and reimbursements (Note
3).
(2) Total return calculations do not include any sales charges, and would have
been lower had certain expenses not been waived or reimbursed during the
periods shown. Returns for periods less than one year are not annualized.
(3) Portfolio turnover rates presented for periods of less than one year are
not annualized.
30
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
1. ORGANIZATION
- --------------------------------------------------------------------------------
Wells Fargo Funds Trust (the "Trust") is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end management
investment company. The Trust commenced operations on November 8, 1999, and at
August 31, 2006, was comprised of 108 separate series (each, a "Fund",
collectively, the "Funds"). These financial statements present the Target Today
Fund, Target 2010 Fund, Target 2020 Fund, Target 2030 Fund, and Target 2040
Fund.
At their March 31, 2006 meeting, the Trustees unanimously approved a
recommendation to change the investment strategies of the Outlook Funds to
replicate, before fees and expenses, the return of the Dow Jones Target Date
Indexes for many reasons, including providing shareholders with greater
diversification. In addition, the Trustees approved converting the structure
(the "Structural Conversion") of each Outlook Fund from a stand-alone fund that
invests directly in a portfolio of individual securities to a fund-of-funds
structure in which each Outlook Fund invests substantially all of its assets in
master portfolios or other registered investment companies (a "Gateway Blended
Fund" structure) to allow the Outlook Funds to more closely track the Dow Jones
Target Date Indexes. In connection with the approval of the new investment
strategies, the Trustees approved changing the names of the Funds from Outlook
Today, Outlook 2010, Outlook 2020, Outlook 2030, and Outlook 2040 to Target
Today, Target 2010, Target 2020, Target 2030, and Target 2040 respectively.
At the Board meeting held on March 31, 2006, the Trustees also approved
replacing Barclays Global Fund Advisors ("BGFA") with Global Index Advisors,
Inc. ("GIA") as subadviser to the Target Funds and unanimously approved a
subadvisory agreement with GIA. Funds Management will be solely responsible for
paying GIA's subadvisory fees of 0.06% out of the 0.25% advisory fee it
receives.
All these changes were implemented at the close of business on June 26,
2006.
The separate classes of shares offered by each Fund differ principally in
applicable sales charges and distribution, shareholder servicing and
administration fees. Shareholders of each class bear certain expenses that
pertain to that particular class. All shareholders bear the common expenses of a
Fund, earn income from the portfolio, and are allocated unrealized gains and
losses pro rata based on the average daily net assets of each class, without
distinction between share classes. Dividends are determined separately for each
class based on income and expenses allocable to each class. Realized gains and
losses are allocated to each class pro rata based upon the net assets of each
class on the date realized. Differences in per share dividend rates generally
result from the relative weightings of pro rata income and realized gain
allocations and from differences in separate class expenses, including
distribution, shareholder servicing, and administration fees.
The Target Today Fund, Target 2010 Fund, Target 2020 Fund, Target 2030
Fund, and Target 2040 Fund each seeks to achieve its investment objective by
investing all investable assets in one or more separate diversified portfolios
(each, a "Master Portfolio," collectively, the "Master Portfolios") of Wells
Fargo Master Trust, a registered open-end management investment company. Each
Master Portfolio directly acquires portfolio securities, and a Fund investing in
a Master Portfolio acquires an indirect interest in those securities. Each Fund
accounts for its investment in the Master Portfolios as partnership investments
and records daily its share of the Master Portfolio's income, expenses, and
realized and unrealized gains and losses. The financial statements of the Master
Portfolios are in this report and should be read in conjunction with each Fund's
financial statements. The ownership percentages of each Master Portfolio by the
Target Today Fund, Target 2010 Fund, Target 2020 Fund, Target 2030 Fund, and
Target 2040 Fund as of August 31, 2006 are as follows:
Target Today Target 2010 Target 2020 Target 2030 Target 2040
- ---------------------------------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO 1% 7% 30% 28% 34%
- ---------------------------------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO 8% 34% 43% 11% 4%
- ---------------------------------------------------------------------------------------------------------
MONEY MARKET PORTFOLIO 39% 31% 13% 8% 9%
- ---------------------------------------------------------------------------------------------------------
2. SIGNIFICANT ACCOUNTING POLICIES
- --------------------------------------------------------------------------------
The following significant accounting policies, which are consistently
followed in the preparation of the financial statements of the Trust, are in
conformity with accounting principles generally accepted in the United States of
America ("GAAP") for investment companies.
The preparation of financial statements in conformity with GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities, disclosure of contingent assets and liabilities at the
date of the financial statements, and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
In the normal course of business, the Trust may enter into contracts that
provide certain indemnifications. The Trust's maximum exposure under these
arrangements is dependent on future claims that may be made against the Funds
and, therefore, cannot be estimated; however, based on experience, the risk of
loss from such claims is considered remote.
SECURITY VALUATION
Investments in the Master Portfolios are valued daily based upon each
Fund's proportionate share of each Master Portfolio's net assets, which are also
valued daily. Securities held in the Master Portfolios are valued as discussed
in the Notes to Financial Statements of the Master Portfolios, which are
included elsewhere in this report.
31
NOTES TO FINANCIAL STATEMENTS
WELLS FARGO ADVANTAGE DOW JONESTARGET DATE FUNDS (UNAUDITED)
- --------------------------------------------------------------------------------
SECURITY TRANSACTIONS AND INCOME RECOGNITION
Securities transactions are recorded on a trade date basis. Realized gains
or losses are reported on the basis of identified cost of securities delivered.
Interest income is accrued daily and bond discounts are accreted and premiums
are amortized daily based on the interest method.
Dividend income is recognized on the ex-dividend date, except for certain
dividends from foreign securities, which are recorded as soon as the Fund is
informed of the ex-dividend date. Dividend income from foreign securities is
recorded net of foreign taxes withheld where recovery of such taxes is not
assured.
DISTRIBUTIONS TO SHAREHOLDERS
Net investment income, if any, is declared and distributed to shareholders
quarterly. Distributions to shareholders from net realized capital gains, if
any, are declared and distributed at least annually.
For U.S. federal income tax purposes, a Fund may designate as capital
gains distributions the earnings and profits distributed to shareholders on the
redemption of Fund shares during the year.
Distributions are based on amounts calculated in accordance with the
applicable federal income tax regulations, which may differ from GAAP. The
timing and character of distributions made during the period from net investment
income or net realized gains may also differ from their ultimate
characterization for U.S. federal income tax purposes. To the extent that these
differences are permanent in nature, such amounts are reclassified within the
capital accounts based on their U.S. federal tax-basis treatment. Temporary
differences do not require reclassifications.
FEDERAL INCOME TAXES
Each Fund is treated as a separate entity for U.S. federal income tax
purposes. It is the policy of each Fund of the Trust to continue to qualify as a
regulated investment company under Subchapter M of Subtitle A, Chapter 1 of the
Internal Revenue Code (the "Code"), and to make distributions of substantially
all of its investment company taxable income and any net realized capital gains
(after reduction for capital loss carryforwards) sufficient to relieve it from
all, or substantially all, federal income taxes. Accordingly, no provision for
federal income taxes was required at August 31, 2006.
At February 28, 2006, estimated net capital loss carryforwards, which are
available to offset future net realized capital gains, were:
Fund Year Expires Capital Loss Carryforwards
- --------------------------------------------------------------------------------
TARGET 2040 2012 $12,876,235
- --------------------------------------------------------------------------------
3. EXPENSES
- --------------------------------------------------------------------------------
ADVISORY FEES
The Trust has entered into an advisory contract with Wells Fargo Funds
Management, LLC ("Funds Management"). The adviser is responsible for
implementing investment policies and guidelines and for supervising the
subadviser, who is responsible for day-to-day portfolio management.
For each Fund that is invested in multiple Master Portfolios, Funds
Management is entitled to receive an investment advisory fee of 0.25% of each
Fund's average daily net assets for providing such advisory services, including
the determination of the asset allocations of each Fund's investments in the
various Master Portfolios. Funds Management also acts as adviser to the Master
Portfolios, and is entitled to receive fees from the Master Portfolios for those
services. Effective June 26, 2006, GIA replaced BGFA as subadviser to the Funds.
For providing subadvisory services, GIA is entitled to receive from each Fund a
subadvisory fee of 0.06% based on each Fund's average daily net assets. Funds
Management may retain the services of certain investment subadvisers to provide
daily portfolio management. The fees related to subadvisory services are borne
directly by the adviser and do not increase the overall fees paid by a Fund to
the adviser. Prior to June 26, 2006, the Target Today Fund, Target 2010, Target
2020, Target 2030, and Target 2040 invested their assets directly in a portfolio
of securities. Accordingly, Funds Management and BGFA were entitled to receive
advisory and subadvisory fees for their services, paid monthly, at the following
annual rates:
Advisory Fees Subadvisory
(% of Fees (% of
Average Daily Average Daily Average Daily Average Daily
Fund Net Assets Net Assets) Subadviser Net Assets Net Assets)
- --------------------------------------------------------------------------------------------------------
TARGET TODAY First $500 million 0.650 Barclays Global First $100 million 0.250
Next $500 million 0.600 Fund Advisors Next $100 million 0.200
Next $2 billion 0.550 Over $200 million 0.150
Next $2 billion 0.525
Over $5 billion 0.500
- --------------------------------------------------------------------------------------------------------
TARGET 2010 First $500 million 0.650 Barclays Global First $100 million 0.250
Next $500 million 0.600 Fund Advisors Next $100 million 0.200
Next $2 billion 0.550 Over $200 million 0.150
Next $2 billion 0.525
Over $5 billion 0.500
32
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
Advisory Fees Subadvisory
(% of Fees (% of
Average Daily Average Daily Average Daily Average Daily
Fund Net Assets Net Assets) Subadviser Net Assets Net Assets)
- --------------------------------------------------------------------------------------------------------
TARGET 2020 First $500 million 0.650 Barclays Global First $100 million 0.250
Next $500 million 0.600 Fund Advisors Next $100 million 0.200
Next $2 billion 0.550 Over $200 million 0.150
Next $2 billion 0.525
Over $5 billion 0.500
- --------------------------------------------------------------------------------------------------------
TARGET 2030 First $500 million 0.650 Barclays Global First $100 million 0.250
Next $500 million 0.600 Fund Advisors Next $100 million 0.200
Next $2 billion 0.550 Over $200 million 0.150
Next $2 billion 0.525
Over $5 billion 0.500
- --------------------------------------------------------------------------------------------------------
TARGET 2040 First $500 million 0.650 Barclays Global First $100 million 0.250
Next $500 million 0.600 Fund Advisors Next $100 million 0.200
Next $2 billion 0.550 Over $200 million 0.150
Next $2 billion 0.525
Over $5 billion 0.500
- --------------------------------------------------------------------------------------------------------
ADMINISTRATION AND TRANSFER AGENT FEES
The Trust has entered into an Administration Agreement with Funds
Management. Under this Agreement, for providing administrative services, which
includes paying fees and expenses for services provided by the transfer agent,
sub-transfer agents, omnibus account servicers and record-keepers, Funds
Management is entitled to receive the following annual fees:
Average Daily (% of Average
Net Assets Daily Net Assets)
- --------------------------------------------------------------------------------
FUND LEVEL First $5 billion 0.05
Next $5 billion 0.04
Over $10 billion 0.03
- --------------------------------------------------------------------------------
CLASS A All asset levels 0.28
- --------------------------------------------------------------------------------
CLASS B All asset levels 0.28
- --------------------------------------------------------------------------------
CLASS C All asset levels 0.28
- --------------------------------------------------------------------------------
ADMINISTRATOR CLASS* All asset levels 0.10
- --------------------------------------------------------------------------------
INSTITUTIONAL CLASS** All asset levels 0.08
* Prior to April 8, 2005 Administrator Class was Institutional Class and
Funds Management was entitled to be paid a fee of 0.20% of average daily
net assets.
** Prior to April 8, 2005 Institutional Class was Select Class and Funds
Management was entitled to be paid a fee of 0.10% of average daily net
assets.
The Trust has entered into an agreement with Boston Financial Data
Services ("BFDS") as the transfer agent for the Trust. BFDS is entitled to
receive fees from the administrator for its services as transfer agent.
CUSTODY FEES
The Trust has entered into a contract with Wells Fargo Bank, N.A. ("WFB"),
whereby WFB is responsible for providing custody services. WFB does not receive
a custodial fee for any Fund that invests its assets solely in one or more
Master Portfolios or other investment companies.
Prior to June 26, 2006, Target Today, Target 2010, Target 2020, Target
2030 and Target 2040 invested their assets in a portfolio of securities.
Accordingly, WFB was entitled to a monthly fee for custody services at the
following annual rate:
% of Average
Daily Net Assets
- --------------------------------------------------------------------------------
ALL TARGET FUNDS 0.02
- --------------------------------------------------------------------------------
33
NOTES TO FINANCIAL STATEMENTS
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS (UNAUDITED)
- --------------------------------------------------------------------------------
SHAREHOLDER SERVICING FEES
The Trust has entered into contracts with one or more shareholder
servicing agents, whereby each Fund is charged the following annual fees:
% of Average
Daily Net Assets
- --------------------------------------------------------------------------------
CLASS A 0.25
- --------------------------------------------------------------------------------
CLASS B 0.25
- --------------------------------------------------------------------------------
CLASS C 0.25
- --------------------------------------------------------------------------------
ADMINISTRATOR CLASS 0.25
For the period ended August 31, 2006, shareholder servicing fees paid were as
follows:
Administrator
Fund Class A Class B Class C Class
- --------------------------------------------------------------------------------
TARGET TODAY $ 47,209 $17,522 $12,491 $ 19,298
- --------------------------------------------------------------------------------
TARGET 2010 92,038 23,674 5,859 110,135
- --------------------------------------------------------------------------------
TARGET 2020 190,547 23,540 4,887 195,607
- --------------------------------------------------------------------------------
TARGET 2030 137,037 15,365 3,689 109,680
- --------------------------------------------------------------------------------
TARGET 2040 200,706 23,836 4,111 80,740
- --------------------------------------------------------------------------------
DISTRIBUTION FEES
The Trust has adopted a Distribution Plan (the "Plan") for Class B and
Class C shares of the applicable Funds pursuant to Rule 12b-1 under the 1940
Act. Distribution fees are charged to the Class B and Class C shares and paid to
Wells Fargo Funds Distributor, LLC at an annual rate of 0.75% of average daily
net assets.
Prior to April 11, 2005, Stephens, Inc. served as distributor to the
applicable Funds and received distribution fees at an annual rate of 0.75% of
average daily net assets of the Funds' Class B and Class C shares.
For the period ended August 31, 2006, distribution fees incurred are
disclosed in the Statements of Operations.
OTHER FEES
PFPC, Inc. ("PFPC") serves as fund accountant for the Trust and is
entitled to receive an annual asset based fee and an annual fixed fee from each
Fund. PFPC is also entitled to be reimbursed for all out-of-pocket expenses
reasonably incurred in providing these services.
WAIVED FEES AND REIMBURSED EXPENSES
All amounts shown as waived fees or reimbursed expenses on the Statements
of Operations, for the period ended August 31, 2006, were waived by Funds
Management proportionately from all classes, first from advisory fees, and then
any class specific expenses, if applicable. Funds Management has committed
through June 30, 2007 to waive fees and/or reimburse expenses to the extent
necessary to maintain a certain net operating expense ratio for the Fund(s). Net
operating expense ratios during the period were as follows:
NET OPERATING EXPENSE RATIOS*
-----------------------------
Fund Class A Class B Class C Administrator Class Institutional Class
- ---------------------------------------------------------------------------------------
TARGET TODAY 1.15% 1.90% 1.90% 0.85% 0.62%
- ---------------------------------------------------------------------------------------
TARGET 2010 1.18% 1.93% 1.93% 0.88% 0.65%
- ---------------------------------------------------------------------------------------
TARGET 2020 1.20% 1.95% 1.95% 0.90% 0.67%
- ---------------------------------------------------------------------------------------
TARGET 2030 1.21% 1.96% 1.96% 0.91% 0.68%
- ---------------------------------------------------------------------------------------
TARGET 2040 1.22% 1.97% 1.97% 0.92% 0.69%
- ---------------------------------------------------------------------------------------
* Effective June 26, 2006. Prior to June 26, 2006, the Funds' net operating
expense ratios were as follows:
Fund Class A Class B Class C Administrator Class Institutional Class
- ---------------------------------------------------------------------------------------
TARGET TODAY 1.25% 2.00% 2.00% 0.95% 0.75%
- ---------------------------------------------------------------------------------------
TARGET 2010 1.25% 2.00% 2.00% 0.95% 0.75%
- ---------------------------------------------------------------------------------------
TARGET 2020 1.25% 2.00% 2.00% 0.95% 0.75%
- ---------------------------------------------------------------------------------------
TARGET 2030 1.25% 2.00% 2.00% 0.95% 0.75%
- ---------------------------------------------------------------------------------------
TARGET 2040 1.25% 2.00% 2.00% 0.95% 0.75%
- ---------------------------------------------------------------------------------------
34
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
4. INVESTMENT PORTFOLIO TRANSACTIONS
- --------------------------------------------------------------------------------
Purchases and sales of investments, exclusive of short-term securities
(securities with maturities of one year or less at purchase date) for the period
ended August 31, 2006, were as follows:
Fund** Purchases at Cost Sales Proceeds
- --------------------------------------------------------------------------------
TARGET TODAY $ 52,752,054 $ 59,435,422
- --------------------------------------------------------------------------------
TARGET 2010 210,759,607 210,857,944
- --------------------------------------------------------------------------------
TARGET 2020 355,785,328 384,031,751
- --------------------------------------------------------------------------------
TARGET 2030 169,818,114 206,704,179
- --------------------------------------------------------------------------------
TARGET 2040 162,796,187 209,793,650
- --------------------------------------------------------------------------------
** Each Fund seeks to achieve its investment objective by investing some or
all of its investable assets in one or more Master Portfolios. Purchases
and sales related to these investments have been calculated by aggregating
the results of multiplying such Fund's ownership percentage of the
respective Master Portfolio by the corresponding Master Portfolio's
purchases and sales.
5. BANK BORROWINGS
- --------------------------------------------------------------------------------
Wells Fargo Funds Trust and Wells Fargo Variable Trust (excluding the
money market funds) share in a revolving Credit Agreement with The Bank of New
York, whereby the Funds are permitted to use bank borrowings for temporary or
emergency purposes, such as to fund shareholder redemption requests. The
agreement permits borrowings of up to $150 million, collectively. Interest is
charged to each Fund based on its borrowing at a rate equal to the Federal Funds
Rate plus 0.40%. In addition, the Funds pay a quarterly commitment fee equal to
0.1% per annum of the credit line. For the period ended August 31, 2006, there
were no borrowings by the Target Funds under the agreement.
6. NEW ACCOUNTING PRONOUNCEMENTS
- --------------------------------------------------------------------------------
In June 2006, the Financial Accounting Standards Board (FASB) issued FASB
Interpretation 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." This
standard defines the threshold for recognizing the benefits of tax-return
positions in the financial statements as "more-likely-than-not" to be sustained
by the taxing authority and requires measurement of a tax position meeting the
more-likely-than-not criterion, based on the largest benefit that is more than
50 percent likely to be realized. FIN 48 is effective as of the beginning of the
first fiscal year beginning after December 15, 2006 (January 1, 2007 for
calendar-year companies), with early application permitted if no interim
financial statements have been issued. At adoption, companies must adjust their
financial statements to reflect only those tax positions that are
more-likely-than-not to be sustained as of the adoption date. As of August 31,
2006, the Funds have not evaluated the impact that will result from adopting FIN
48.
7. SPECIAL SHAREHOLDER MEETINGS
- --------------------------------------------------------------------------------
At special shareholder meetings held on June 12, 2006 for the Outlook
2010, Outlook 2020 and Outlook 2030 Funds, on June 20, 2006 for the Outlook
Today Fund, and on June 23, 2006 for the Outlook 2040 Fund, the shareholders of
each Fund approved: (1) a reduction in the investment advisory fee that each
Fund pays to Funds Management ("Proposal 1"); (2) a new investment subadvisory
agreement with GIA ("Proposal 2"), and (3) a multi-manager arrangement that
allows each Fund and Funds Management, subject to various conditions, to: (a)
select new or additional investment subadvisers for each Fund, (b) enter into
and materially modify existing investment subadvisory agreements, and (c)
terminate and replace investment subadvisers ("Proposal 3"). All of the changes
related to these approvals were effective June 26, 2006.
The number of votes casted for, against and abstentions as to each proposal
are disclosed in the chart below.
Fund Proposal Votes For Votes Against Abstentions
- --------------------------------------------------------------------------------
OUTLOOK TODAY FUND Proposal 1 4,299,515 48,289 117,837
Proposal 2 4,239,436 73,212 152,994
Proposal 3 4,117,916 180,503 167,223
- --------------------------------------------------------------------------------
OUTLOOK 2010 FUND Proposal 1 9,674,936 43,019 69,637
Proposal 2 9,632,270 69,877 85,446
Proposal 3 9,625,022 75,942 86,628
- --------------------------------------------------------------------------------
OUTLOOK 2020 FUND Proposal 1 16,719,400 58,925 72,279
Proposal 2 16,671,763 73,398 105,443
Proposal 3 16,643,277 99,537 107,798
- --------------------------------------------------------------------------------
OUTLOOK 2030 FUND Proposal 1 8,403,936 74,346 39,320
Proposal 2 8,348,031 101,934 67,637
Proposal 3 8,293,626 162,687 61,289
- --------------------------------------------------------------------------------
OUTLOOK 2040 FUND Proposal 1 7,589,228 136,155 116,689
Proposal 2 7,491,626 193,700 156,747
Proposal 3 7,280,148 389,274 172,650
- --------------------------------------------------------------------------------
35
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CORPORATE BONDS & NOTES - 21.71%
AGRICULTURAL SERVICES - 0.04%
$ 150,000 BUNGE LIMITED FINANCE CORPORATION 5.10% 07/15/2015 $ 137,972
---------------
AMUSEMENT & RECREATION SERVICES - 0.14%
550,000 CREDIT SUISSE USA INCORPORATED 4.63 01/15/2008 545,337
---------------
APPAREL & ACCESSORY STORES - 0.03%
65,000 KOHL'S CORPORATION 6.00 01/15/2033 61,862
65,000 LIMITED BRANDS 5.25 11/01/2014 60,773
122,635
---------------
AUTOMOTIVE DEALERS & GASOLINE SERVICE STATIONS - 0.03%
100,000 DAIMLERCHRYSLER NA HOLDING CORPORATION 5.88 03/15/2011 100,411
---------------
BUILDING CONSTRUCTION-GENERAL CONTRACTORS & OPERATIVE BUILDERS - 0.20%
125,000 CENTEX CORPORATION 4.55 11/01/2010 119,165
65,000 CENTEX CORPORATION 5.25 06/15/2015 60,281
100,000 DR HORTON INCORPORATED 5.38 06/15/2012 95,013
65,000 DR HORTON INCORPORATED 5.25 02/15/2015 59,034
100,000 LENNAR CORPORATION 5.13 10/01/2010 97,112
65,000 LENNAR CORPORATION SERIES B 5.60 05/31/2015 61,302
65,000 MDC HOLDINGS INCORPORATED 5.38 07/01/2015 58,605
125,000 PULTE HOMES INCORPORATED 5.25 01/15/2014 117,451
65,000 PULTE HOMES INCORPORATED 6.00 02/15/2035 58,428
65,000 TOLL BROTHERS FINANCE CORPORATION 5.15 05/15/2015 57,728
784,119
---------------
BUILDING MATERIALS, HARDWARE, GARDEN SUPPLY & MOBILE HOME DEALERS - 0.16%
180,000 CRH AMERICA INCORPORATED 5.30 10/15/2013 173,576
180,000 HOME DEPOT INCORPORATED 4.63 08/15/2010 176,218
100,000 HOME DEPOT INCORPORATED 5.20 03/01/2011 99,881
180,000 HOME DEPOT INCORPORATED 5.40 03/01/2016 178,289
627,964
---------------
BUSINESS SERVICES - 0.35%
180,000 ELECTRONIC DATA SYSTEMS CORPORATION SERIES B 6.50 08/01/2013 180,795
250,000 FIRST DATA CORPORATION 4.50 06/15/2010 242,852
925,000 GENERAL ELECTRIC CAPITAL CORPORATION SERIES MTNA 6.00 06/15/2012 955,954
1,379,601
---------------
CHEMICALS & ALLIED PRODUCTS - 0.81%
150,000 ABBOTT LABORATORIES 5.60 05/15/2011 152,020
150,000 ABBOTT LABORATORIES 5.88 05/15/2016 154,054
300,000 BRISTOL-MYERS SQUIBB COMPANY 5.75 10/01/2011 303,926
100,000 DOW CHEMICAL COMPANY 6.00 10/01/2012 102,796
100,000 DOW CHEMICAL COMPANY 7.38 11/01/2029 115,007
180,000 EI DU PONT DE NEMOURS & COMPANY 6.88 10/15/2009 188,683
65,000 EI DU PONT DE NEMOURS & COMPANY 4.88 04/30/2014 62,460
200,000 ELI LILLY & COMPANY 2.90 03/15/2008 193,156
125,000 GENENTECH INCORPORATED 4.40 07/15/2010 121,526
75,000 ICI WILMINGTON INCORPORATED 4.38 12/01/2008 73,135
36
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CHEMICALS & ALLIED PRODUCTS (CONTINUED)
$ 65,000 LUBRIZOL CORPORATION 5.50% 10/01/2014 $ 63,144
65,000 MERCK & COMPANY INCORPORATED 5.95 12/01/2028 65,332
300,000 PFIZER INCORPORATED 4.50 02/15/2014 289,417
150,000 PRAXAIR INCORPORATED 6.38 04/01/2012 156,915
150,000 PROCTER & GAMBLE COMPANY 6.88 09/15/2009 157,092
100,000 PROCTER & GAMBLE COMPANY 5.80 08/15/2034 101,667
75,000 ROHM & HAAS COMPANY 7.85 07/15/2029 90,953
120,000 SCHERING-PLOUGH CORPORATION 6.50 12/01/2033 130,317
300,000 WYETH 6.95 03/15/2011 317,949
180,000 WYETH 5.50 02/15/2016 178,297
125,000 WYETH 6.00 02/15/2036 124,140
3,141,986
---------------
COMMUNICATIONS - 2.79%
75,000 ALLTEL CORPORATION 7.88 07/01/2032 85,459
65,000 AMERICA MOVIL SA DE CV 6.38 03/01/2035 62,106
300,000 AT&T CORPORATION 8.00 11/15/2031 358,418
300,000 AT&T INCORPORATED 4.13 09/15/2009 289,549
300,000 AT&T INCORPORATED 6.25 03/15/2011 308,260
325,000 AT&T INCORPORATED 5.10 09/15/2014 309,940
325,000 BELLSOUTH CORPORATION 4.20 09/15/2009 314,174
325,000 BELLSOUTH CORPORATION 5.20 09/15/2014 309,997
180,000 BELLSOUTH CORPORATION 6.55 06/15/2034 175,972
180,000 BELLSOUTH CORPORATION 6.00 11/15/2034 165,210
180,000 BRITISH TELEPHONE PLC 8.13 12/15/2010 200,777
180,000 CBS CORPORATION 4.63 05/15/2018 154,679
100,000 CENTURYTEL INCORPORATED 5.00 02/15/2015 90,482
150,000 CLEAR CHANNEL COMMUNICATIONS INCORPORATED 4.63 01/15/2008 147,951
180,000 CLEAR CHANNEL COMMUNICATIONS INCORPORATED 5.50 09/15/2014 166,534
200,000 COMCAST CORPORATION 5.45 11/15/2010 199,664
300,000 COMCAST CORPORATION 5.30 01/15/2014 289,513
225,000 COMCAST CORPORATION 5.90 03/15/2016 223,043
100,000 COMCAST CORPORATION 4.95 06/15/2016 92,233
200,000 COMCAST CORPORATION 6.50 11/15/2035 197,196
100,000 COMCAST CORPORATION 6.45 03/15/2037 98,064
180,000 COX COMMUNICATIONS INCORPORATED 4.63 01/15/2010 174,375
180,000 COX COMMUNICATIONS INCORPORATED 5.45 12/15/2014 171,233
100,000 EMBARQ CORPORATION 6.74 06/01/2013 102,027
350,000 EMBARQ CORPORATION 7.08 06/01/2016 357,118
120,000 MOTOROLA INCORPORATED 7.63 11/15/2010 130,102
360,000 NEW CINGULAR WIRELESS SERVICES INCORPORATED 7.88 03/01/2011 392,790
225,000 NEW CINGULAR WIRELESS SERVICES INCORPORATED 8.75 03/01/2031 284,385
65,000 REED ELSEVIER CAPITAL INCORPORATED 4.63 06/15/2012 61,659
275,000 SPRINT CAPITAL CORPORATION 6.13 11/15/2008 278,652
300,000 SPRINT CAPITAL CORPORATION 8.38 03/15/2012 335,273
180,000 SPRINT CAPITAL CORPORATION 6.90 05/01/2019 186,897
225,000 SPRINT CAPITAL CORPORATION 8.75 03/15/2032 272,828
415,000 TELECOM ITALIA CAPITAL SA 5.25 11/15/2013 395,344
37
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMUNICATIONS (CONTINUED)
$ 100,000 TIME WARNER ENTERTAINMENT COMPANY LP 7.25% 09/01/2008 $ 103,251
150,000 TIME WARNER ENTERTAINMENT COMPANY LP 8.38 07/15/2033 172,021
360,000 TIME WARNER INCORPORATED 6.88 05/01/2012 376,926
325,000 TIME WARNER INCORPORATED 7.63 04/15/2031 351,948
500,000 VERIZON GLOBAL FUNDING CORPORATION 7.25 12/01/2010 533,520
325,000 VERIZON GLOBAL FUNDING CORPORATION 4.90 09/15/2015 304,221
350,000 VERIZON GLOBAL FUNDING CORPORATION 7.75 12/01/2030 393,325
100,000 VERIZON GLOBAL FUNDING CORPORATION 5.85 09/15/2035 92,071
300,000 VERIZON NEW JERSEY INCORPORATED SERIES A 5.88 01/17/2012 300,412
180,000 VIACOM INCORPORATED++ 5.75 04/30/2011 178,519
180,000 VIACOM INCORPORATED++ 6.25 04/30/2016 177,666
180,000 VIACOM INCORPORATED++ 6.88 04/30/2036 176,564
300,000 VODAFONE GROUP PLC 7.75 02/15/2010 320,763
10,863,111
---------------
DEPOSITORY INSTITUTIONS - 3.71%
150,000 ABBEY NATIONAL CAPITAL TRUST I+/- 8.96 12/31/2049 192,936
180,000 BAC CAPITAL TRUST V 5.63 03/08/2035 165,114
525,000 BANK OF AMERICA CORPORATION 6.63 10/15/2007 530,740
800,000 BANK OF AMERICA CORPORATION 3.38 02/17/2009 767,321
1,250,000 BANK OF AMERICA CORPORATION 4.50 08/01/2010 1,218,186
250,000 BANK OF AMERICA CORPORATION 4.75 08/01/2015 238,096
450,000 BANK OF NEW YORK COMPANY INCORPORATED SERIES MTN 4.95 01/14/2011 444,670
500,000 BANK OF TOKYO-MITSUBISHI UFJ LIMITED NEW YORK 7.40 06/15/2011 538,538
240,000 BANK ONE CORPORATION 7.63 10/15/2026 280,510
250,000 BB&T CORPORATION 5.20 12/23/2015 244,134
700,000 CITIGROUP INCORPORATED 3.50 02/01/2008 683,329
625,000 CITIGROUP INCORPORATED 6.50 01/18/2011 654,292
900,000 CITIGROUP INCORPORATED 5.00 09/15/2014 870,778
100,000 DEUTSCHE BANK FINANCIAL LLC 5.38 03/02/2015 98,494
200,000 HSBC BANK USA NA NEW YORK 4.63 04/01/2014 189,495
225,000 HSBC BANK USA NA NEW YORK SERIES BKNT 5.63 08/15/2035 212,586
825,000 JPMORGAN CHASE & COMPANY 3.50 03/15/2009 792,042
600,000 JPMORGAN CHASE & COMPANY 5.60 06/01/2011 606,443
350,000 KEYBANK NA 5.80 07/01/2014 354,866
200,000 MELLON FUNDING CORPORATION 5.00 12/01/2014 193,687
360,000 NATIONAL CITY CORPORATION 4.90 01/15/2015 343,683
450,000 PNC FUNDING CORPORATION 5.13 12/14/2010 446,769
150,000 SUNTRUST BANK 5.00 09/01/2015 144,320
200,000 UBS AG STAMFORD CT 5.88 07/15/2016 204,379
360,000 UBS PREFERRED FUNDING TRUST I+/- 8.62 12/31/2049 399,313
200,000 UNION BANK OF CALIFORNIA SERIES BKNT 5.95 05/11/2016 204,753
275,000 US BANK NA SERIES BKNT 4.95 10/30/2014 265,822
725,000 WACHOVIA BANK NATIONAL SERIES BKNT 4.38 08/15/2008 713,476
300,000 WACHOVIA CORPORATION 5.25 08/01/2014 294,522
180,000 WACHOVIA CORPORATION 5.50 08/01/2035 167,705
325,000 WASHINGTON MUTUAL INCORPORATED 4.00 01/15/2009 315,557
325,000 WASHINGTON MUTUAL INCORPORATED 5.25 09/15/2017 310,074
38
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
DEPOSITORY INSTITUTIONS (CONTINUED)
$ 900,000 WELLS FARGO & COMPANY+++ 4.20% 01/15/2010 $ 872,075
500,000 WELLS FARGO BANK NA+++ 4.75 02/09/2015 475,541
14,434,246
---------------
EATING & DRINKING PLACES - 0.03%
120,000 YUM! BRANDS INCORPORATED 8.88 04/15/2011 135,239
---------------
ELECTRIC, GAS & SANITARY SERVICES - 1.76%
75,000 AMEREN UE 5.40 02/01/2016 73,477
100,000 AMERICAN ELECTRIC POWER COMPANY INCORPORATED SERIES C 5.38 03/15/2010 99,815
65,000 APPALACHIAN POWER COMPANY SERIES L 5.80 10/01/2035 60,460
100,000 ATMOS ENERGY CORPORATION 4.95 10/15/2014 93,935
180,000 CAROLINA POWER & LIGHT COMPANY 5.25 12/15/2015 175,715
100,000 CENTERPOINT ENERGY HOUSTON SERIES J2 5.70 03/15/2013 100,101
65,000 COMMONWEALTH EDISON COMPANY SERIES 100 5.88 02/01/2033 61,799
180,000 CONSOLIDATED EDISON COMPANY OF NEW YORK 4.88 02/01/2013 174,639
100,000 CONSOLIDATED NATURAL GAS COMPANY SERIES A 5.00 12/01/2014 94,305
200,000 CONSTELLATION ENERGY GROUP INCORPORATED 7.00 04/01/2012 212,023
125,000 DOMINION RESOURCES INCORPORATED SERIES B 5.95 06/15/2035 118,446
100,000 DOMINION RESOURCES INCORPORATED VA 4.75 12/15/2010 96,973
180,000 DOMINION RESOURCES INCORPORATED VA 5.70 09/17/2012 180,332
150,000 DTE ENERGY COMPANY 7.05 06/01/2011 158,011
125,000 DUKE CAPITAL LLC 5.67 08/15/2014 122,162
100,000 DUKE CAPITAL LLC 8.00 10/01/2019 114,209
75,000 DUKE ENERGY CORPORATION 6.45 10/15/2032 78,120
120,000 DUKE ENERGY FIELD SERVICES LLC 7.88 08/16/2010 129,524
125,000 EXELON CORPORATION 4.90 06/15/2015 117,002
65,000 EXELON CORPORATION 5.63 06/15/2035 59,535
150,000 EXELON GENERATION COMPANY LLC 6.95 06/15/2011 158,346
150,000 FIRST ENERGY CORPORATION SERIES B 6.45 11/15/2011 155,571
180,000 FIRST ENERGY CORPORATION SERIES C 7.38 11/15/2031 203,558
150,000 FLORIDA POWER & LIGHT COMPANY 5.63 04/01/2034 145,440
100,000 FLORIDA POWER CORPORATION 4.80 03/01/2013 96,218
100,000 JERSEY CENTRAL POWER & LIGHT 5.63 05/01/2016 98,850
125,000 KEYSPAN CORPORATION 5.80 04/01/2035 117,468
180,000 MIDAMERICAN ENERGY HOLDINGS 5.88 10/01/2012 182,500
250,000 MIDAMERICAN ENERGY HOLDINGS++ 6.13 04/01/2036 246,858
180,000 NISOURCE FINANCE CORPORATION 5.25 09/15/2017 165,809
65,000 NISOURCE FINANCE CORPORATION 5.45 09/15/2020 59,664
65,000 ONEOK INCORPORATED 5.20 06/15/2015 61,144
125,000 PACIFIC GAS & ELECTRIC COMPANY 4.80 03/01/2014 119,533
200,000 PACIFIC GAS & ELECTRIC COMPANY 6.05 03/01/2034 197,674
75,000 PECO ENERGY COMPANY 3.50 05/01/2008 72,796
180,000 PROGRESS ENERGY INCORPORATED 7.10 03/01/2011 192,024
120,000 PROGRESS ENERGY INCORPORATED 7.75 03/01/2031 141,098
150,000 PSEG POWER LLC 7.75 04/15/2011 162,277
75,000 PSEG POWER LLC 8.63 04/15/2031 96,114
150,000 PUBLIC SERVICE COMPANY OF COLORADO 7.88 10/01/2012 168,715
100,000 SOUTHERN CALIFORNIA EDISON COMPANY SERIES 05-A 5.00 01/15/2016 95,802
39
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
ELECTRIC, GAS & SANITARY SERVICES (CONTINUED)
$ 180,000 SOUTHERN CALIFORNIA EDISON COMPANY SERIES 05-E 5.35% 07/15/2035 $ 164,992
75,000 SOUTHERN CALIFORNIA GAS COMPANY 5.75 11/15/2035 74,177
250,000 SOUTHERN POWER COMPANY SERIES D 4.88 07/15/2015 234,452
75,000 TXU ELECTRIC DELIVERY COMPANY 6.38 05/01/2012 77,072
75,000 TXU ELECTRIC DELIVERY COMPANY 7.00 05/01/2032 81,648
75,000 TXU ELECTRIC DELIVERY COMPANY 7.25 01/15/2033 83,908
150,000 TXU ENERGY COMPANY LLC 7.00 03/15/2013 156,511
100,000 VIRGINIA ELECTRIC & POWER COMPANY SERIES A 4.75 03/01/2013 95,215
180,000 WASTE MANAGEMENT INCORPORATED 6.50 11/15/2008 184,490
65,000 WASTE MANAGEMENT INCORPORATED 5.00 03/15/2014 62,456
150,000 WASTE MANAGEMENT INCORPORATED 7.75 05/15/2032 178,355
100,000 WISCONSIN ELECTRIC POWER 5.63 05/15/2033 96,213
100,000 XCEL ENERGY INCORPORATED 7.00 12/01/2010 105,577
6,853,108
---------------
ELECTRONIC & OTHER ELECTRICAL EQUIPMENT & COMPONENTS, EXCEPT COMPUTER
EQUIPMENT - 0.13%
275,000 CISCO SYSTEMS INCORPORATED 5.50 02/22/2016 273,791
100,000 EMERSON ELECTRIC COMPANY 4.75 10/15/2015 95,159
120,000 MOTOROLA INCORPORATED 7.50 05/15/2025 136,992
505,942
---------------
ENGINEERING, ACCOUNTING, RESEARCH MANAGEMENT & RELATED SERVICES - 0.05%
75,000 HEALTHCARE REALTY TRUST INCORPORATED 8.13 05/01/2011 81,439
100,000 QUEST DIAGNOSTICS INCORPORATED 5.13 11/01/2010 98,617
180,056
---------------
FABRICATED METAL PRODUCTS, EXCEPT MACHINERY & TRANSPORTATION EQUIPMENT - 0.05%
200,000 FORTUNE BRANDS INCORPORATED 5.38 01/15/2016 190,307
---------------
FOOD & KINDRED PRODUCTS - 0.91%
100,000 ALTRIA GROUP INCORPORATED 5.63 11/04/2008 100,552
150,000 ALTRIA GROUP INCORPORATED 7.00 11/04/2013 163,182
180,000 ANHEUSER-BUSCH COMPANIES INCORPORATED 4.38 01/15/2013 170,286
250,000 ANHEUSER-BUSCH COMPANIES INCORPORATED 5.75 04/01/2036 247,529
200,000 ARCHER-DANIELS-MIDLAND COMPANY 5.38 09/15/2035 186,803
100,000 BOTTLING GROUP LLC 4.63 11/15/2012 96,346
180,000 COCA-COLA ENTERPRISES INCORPORATED 4.38 09/15/2009 176,214
120,000 COCA-COLA ENTERPRISES INCORPORATED 8.50 02/01/2022 151,533
180,000 COCA-COLA ENTERPRISES INCORPORATED 6.75 09/15/2028 196,609
150,000 CONAGRA FOODS INCORPORATED 6.75 09/15/2011 157,663
120,000 CONAGRA FOODS INCORPORATED 8.25 09/15/2030 145,692
225,000 GENERAL MILLS INCORPORATED 6.00 02/15/2012 230,326
225,000 HJ HEINZ FINANCE COMPANY 6.63 07/15/2011 233,800
250,000 KELLOGG COMPANY 2.88 06/01/2008 239,880
125,000 KRAFT FOODS INCORPORATED 4.13 11/12/2009 120,706
275,000 KRAFT FOODS INCORPORATED 5.63 11/01/2011 276,747
75,000 KRAFT FOODS INCORPORATED 6.50 11/01/2031 79,526
100,000 PEPSI BOTTLING GROUP INCORPORATED SERIES B 7.00 03/01/2029 113,329
250,000 SARA LEE CORPORATION 6.25 09/15/2011 254,590
40
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FOOD & KINDRED PRODUCTS (CONTINUED)
$ 120,000 TYSON FOODS INCORPORATED 8.25% 10/01/2011 $ 128,840
75,000 WM WRIGLEY JR COMPANY 4.30 07/15/2010 72,530
3,542,683
---------------
FOOD STORES - 0.09%
100,000 KROGER COMPANY 4.95 01/15/2015 93,482
75,000 KROGER COMPANY 7.50 04/01/2031 81,984
100,000 SAFEWAY INCORPORATED 4.95 08/16/2010 97,756
75,000 SAFEWAY INCORPORATED 7.25 02/01/2031 79,263
352,485
---------------
FORESTRY - 0.11%
180,000 WEYERHAEUSER COMPANY 6.75 03/15/2012 188,247
225,000 WEYERHAEUSER COMPANY 7.38 03/15/2032 235,474
423,721
---------------
FURNITURE & FIXTURES - 0.06%
50,000 CINTAS CORPORATION #2 6.15 08/15/2036 50,410
180,000 MASCO CORPORATION 5.88 07/15/2012 179,229
229,639
---------------
GENERAL MERCHANDISE STORES - 0.41%
125,000 MAY DEPARTMENT STORES COMPANY 4.80 07/15/2009 122,866
180,000 TARGET CORPORATION 5.40 10/01/2008 180,517
150,000 TARGET CORPORATION 7.00 07/15/2031 172,901
800,000 WAL-MART STORES INCORPORATED 6.88 08/10/2009 836,504
180,000 WAL-MART STORES INCORPORATED 4.55 05/01/2013 171,984
125,000 WAL-MART STORES INCORPORATED 5.25 09/01/2035 115,077
1,599,849
---------------
HEALTH SERVICES - 0.13%
180,000 CARDINAL HEALTH INCORPORATED 5.85 12/15/2017 178,809
225,000 MERCK & COMPANY INCORPORATED 4.75 03/01/2015 213,312
100,000 SCHERING-PLOUGH CORPORATION 5.30 12/01/2013 99,808
491,929
---------------
HOLDING & OTHER INVESTMENT OFFICES - 0.85%
50,000 ALLIED CAPITAL CORPORATION 6.63 07/15/2011 50,750
100,000 AMERIPRISE FINANCIAL INCORPORATED 5.35 11/15/2010 99,870
100,000 BOSTON PROPERTIES LP 6.25 01/15/2013 103,138
65,000 COLONIAL REALTY LP 5.50 10/01/2015 62,840
1,350,000 CREDIT SUISSE USA INCORPORATED 6.50 01/15/2012 1,416,108
180,000 ERP OPERATING LP 5.25 09/15/2014 175,719
75,000 FUND AMERICAN COMPANIES INCORPORATED 5.88 05/15/2013 73,631
450,000 GENERAL ELECTRIC CAPITAL CORPORATION 4.13 03/04/2008 442,941
360,000 GOLDMAN SACHS GROUP INCORPORATED 5.15 01/15/2014 349,944
100,000 HEALTH CARE PROPERTY INVESTORS INCORPORATED 5.63 05/01/2017 96,108
41
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
HOLDING & OTHER INVESTMENT OFFICES (CONTINUED)
$ 180,000 ISTAR FINANCIAL INCORPORATED 5.15% 03/01/2012 $ 174,690
100,000 MACK-CALI REALTY LP 7.75 02/15/2011 107,884
180,000 SIMON PROPERTY GROUP LP 3.75 01/30/2009 173,273
3,326,896
---------------
HOTELS, ROOMING HOUSES, CAMPS & OTHER LODGE PLACES - 0.11%
250,000 HARRAH'S OPERATING COMPANY INCORPORATED 5.50 07/01/2010 246,825
100,000 HARRAH'S OPERATING COMPANY INCORPORATED 5.63 06/01/2015 93,593
75,000 MARRIOTT INTERNATIONAL 5.81 11/10/2015 73,843
414,261
---------------
INDUSTRIAL & COMMERCIAL MACHINERY & COMPUTER EQUIPMENT - 0.30%
180,000 CISCO SYSTEMS INCORPORATED 5.25 02/22/2011 179,996
75,000 COMPUTER SCIENCES CORPORATION 7.38 06/15/2011 79,952
180,000 HEWLETT-PACKARD COMPANY 6.50 07/01/2012 189,483
200,000 INTERNATIONAL BUSINESS MACHINES CORPORATION 4.75 11/29/2012 194,264
250,000 INTERNATIONAL BUSINESS MACHINES CORPORATION 5.88 11/29/2032 251,141
180,000 INTERNATIONAL BUSINESS MACHINES CORPORATION SERIES MTN 4.38 06/01/2009 176,560
100,000 ORACLE CORPORATION 5.00 01/15/2011 98,458
1,169,854
---------------
INSURANCE AGENTS, BROKERS & SERVICE - 0.11%
75,000 AON CORPORATION 8.21 01/01/2027 85,170
100,000 HARTFORD FINANCIAL SERVICES GROUP INCORPORATED 4.63 07/15/2013 94,915
200,000 MARSH & MCLENNAN COMPANIES INCORPORATED 5.15 09/15/2010 196,300
75,000 WILLIS NORTH AMERICA INCORPORATED 5.63 07/15/2015 70,964
447,349
---------------
INSURANCE CARRIERS - 0.73%
75,000 ACE INA HOLDINGS INCORPORATED 5.88 06/15/2014 74,882
75,000 AEGON FUNDING CORPORATION 5.75 12/15/2020 75,292
180,000 ALLSTATE CORPORATION 5.55 05/09/2035 166,794
250,000 AMERICAN INTERNATIONAL GROUP 5.05 10/01/2015 241,778
75,000 ASSURANT INCORPORATED 6.75 02/15/2034 77,578
75,000 CINCINNATI FINANCIAL CORPORATION 6.92 05/15/2028 81,036
50,000 CNA FINANCIAL CORPORATION 6.00 08/15/2011 50,334
65,000 CNA FINANCIAL CORPORATION 5.85 12/15/2014 63,718
50,000 CNA FINANCIAL CORPORATION 6.50 08/15/2016 50,700
180,000 GE GLOBAL INSURANCE HOLDINGS 7.00 02/15/2026 194,768
100,000 GENWORTH FINANCIAL INCORPORATED 4.95 10/01/2015 95,223
100,000 LOEWS CORPORATION 5.25 03/15/2016 96,228
65,000 MBIA INCORPORATED 5.70 12/01/2034 60,911
180,000 METLIFE INCORPORATED 6.38 06/15/2034 186,720
100,000 METLIFE INCORPORATED 6.13 12/01/2011 103,223
75,000 NATIONWIDE FINANCIAL SERVICES 5.90 07/01/2012 76,196
100,000 PRINCIPAL LIFE INCOME FUNDING TRUSTS 3.20 04/01/2009 95,288
75,000 PROGRESSIVE CORPORATION 6.25 12/01/2032 77,052
100,000 PROTECTIVE LIFE SECURED TRUST 4.85 08/16/2010 98,542
180,000 PRUDENTIAL FINANCIAL INCORPORATED SERIES MTNC 5.40 06/13/2035 163,670
42
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
INSURANCE CARRIERS (CONTINUED)
$ 75,000 SAFECO CORPORATION 4.88% 02/01/2010 $ 73,932
180,000 ST PAUL TRAVELERS COMPANIES INCORPORATED 5.50 12/01/2015 176,949
75,000 TRANSATLANTIC HOLDINGS INCORPORATED 5.75 12/14/2015 73,569
125,000 UNITEDHEALTH GROUP INCORPORATED 4.88 03/15/2015 118,677
100,000 WELLPOINT INCORPORATED 5.00 01/15/2011 98,306
100,000 WELLPOINT INCORPORATED 5.25 01/15/2016 97,257
75,000 WELLPOINT INCORPORATED 5.85 01/15/2036 71,562
2,840,185
---------------
MEASURING, ANALYZING & CONTROLLING INSTRUMENTS: PHOTOGRAPHIC, MEDICAL & OPTICAL
GOODS - 0.17%
50,000 BAXTER INTERNATIONAL INCORPORATED 5.90 09/01/2016 50,710
250,000 BOSTON SCIENTIFIC CORPORATION 6.40 06/15/2016 253,042
125,000 MEDTRONIC INCORPORATED SERIES B 4.38 09/15/2010 120,988
225,000 RAYTHEON COMPANY 4.85 01/15/2011 220,449
645,189
---------------
MISCELLANEOUS MANUFACTURING INDUSTRIES - 0.14%
360,000 GENERAL ELECTRIC COMPANY 5.00 02/01/2013 353,395
200,000 TYCO INTERNATIONAL GROUP SA 6.38 10/15/2011 208,591
561,986
---------------
MISCELLANEOUS RETAIL - 0.08%
65,000 CVS CORPORATION 4.00 09/15/2009 62,518
180,000 FEDERATED DEPARTMENT STORES INCORPORATED 6.90 04/01/2029 184,147
75,000 LOWE'S COMPANIES INCORPORATED 6.50 03/15/2029 81,309
327,974
---------------
MOTION PICTURES - 0.16%
180,000 NEWS AMERICA INCORPORATED 5.30 12/15/2014 175,215
200,000 NEWS AMERICA INCORPORATED 6.40 12/15/2035 191,651
180,000 WALT DISNEY COMPANY 6.38 03/01/2012 188,062
75,000 WALT DISNEY COMPANY 7.00 03/01/2032 85,480
640,408
---------------
NATIONAL SECURITY & INTERNATIONAL AFFAIRS - 0.02%
75,000 GOODRICH CORPORATION 7.63 12/15/2012 83,076
---------------
NON-DEPOSITORY CREDIT INSTITUTIONS - 2.56%
100,000 ALLSTATE LIFE GLOBAL FUNDING TRUSTS SERIES 04-1 4.50 05/29/2009 98,106
100,000 ALLSTATE LIFE GLOBAL FUNDING TRUSTS SERIES MTN 4.25 02/26/2010 96,952
200,000 AMERICAN EXPRESS CREDIT CORPORATION 3.00 05/16/2008 192,694
100,000 AMERICAN EXPRESS CREDIT CORPORATION 5.30 12/02/2015 99,234
180,000 AMERICAN GENERAL FINANCE CORPORATION SERIES MTN 4.88 05/15/2010 176,775
250,000 AMERICAN GENERAL FINANCE CORPORATION SERIES MTNH 4.50 11/15/2007 247,612
180,000 AMERICAN GENERAL FINANCE CORPORATION SERIES MTNI 5.40 12/01/2015 177,063
300,000 BOEING CAPITAL CORPORATION 6.10 03/01/2011 309,772
300,000 CAPITAL ONE FINANCIAL CORPORATION 4.80 02/21/2012 287,743
180,000 CATERPILLAR FINANCIAL SERVICES CORPORATION 4.30 06/01/2010 174,076
275,000 CATERPILLAR FINANCIAL SERVICES CORPORATION SERIES MTN 5.50 03/15/2016 274,917
180,000 CATERPILLAR FINANCIAL SERVICES CORPORATION SERIES MTNF 3.63 11/15/2007 176,295
43
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
NON-DEPOSITORY CREDIT INSTITUTIONS (CONTINUED)
$ 65,000 CATERPILLAR FINANCIAL SERVICES CORPORATION SERIES MTNF 4.75% 02/17/2015 $ 61,856
325,000 CIT GROUP INCORPORATED 5.00 11/24/2008 323,180
275,000 CITIGROUP INCORPORATED 6.00 10/31/2033 274,974
100,000 COUNTRYWIDE FINANCIAL CORPORATION 6.25 05/15/2016 100,972
525,000 GENERAL ELECTRIC CAPITAL CORPORATION 5.00 11/15/2011 518,303
450,000 GENERAL ELECTRIC CAPITAL CORPORATION SERIES MTNA 4.13 09/01/2009 437,258
400,000 GENERAL ELECTRIC CAPITAL CORPORATION SERIES MTNA 6.75 03/15/2032 451,442
200,000 HSBC FINANCE CAPITAL TRUST IX+/- 5.91 11/30/2035 198,298
275,000 HSBC FINANCE CORPORATION 4.75 05/15/2009 271,908
300,000 HSBC FINANCE CORPORATION 4.63 09/15/2010 292,544
450,000 HSBC FINANCE CORPORATION 5.25 01/14/2011 448,616
325,000 HSBC FINANCE CORPORATION 5.00 06/30/2015 312,002
550,000 HSBC FINANCE CORPORATION SERIES MTN 4.13 03/11/2008 541,021
325,000 INTERNATIONAL LEASE FINANCE CORPORATION 5.00 04/15/2010 319,640
325,000 JOHN DEERE CAPITAL CORPORATION 3.90 01/15/2008 318,865
250,000 JOHN DEERE CAPITAL CORPORATION 7.00 03/15/2012 268,297
180,000 JPMORGAN CHASE CAPITAL XV 5.88 03/15/2035 170,651
125,000 NATIONAL RURAL UTILITIES COOPERATIVE FINANCE CORPORATION 3.88 02/15/2008 122,608
180,000 NATIONAL RURAL UTILITIES COOPERATIVE FINANCE CORPORATION SERIES
MTNC 7.25 03/01/2012 195,602
150,000 NATIONAL RURAL UTILITIES COOPERATIVE FINANCE CORPORATION SERIES
MTNC 8.00 03/01/2032 189,660
200,000 RESIDENTIAL CAPITAL CORPORATION 6.38 06/30/2010 201,735
200,000 RESIDENTIAL CAPITAL CORPORATION 6.00 02/22/2011 198,915
200,000 RESIDENTIAL CAPITAL CORPORATION 6.50 04/17/2013 201,769
65,000 SLM CORPORATION SERIES MTN 5.63 08/01/2033 60,797
325,000 SLM CORPORATION SERIES MTNA 4.00 01/15/2009 315,767
300,000 SLM CORPORATION SERIES MTNA 5.00 10/01/2013 289,889
180,000 TEXTRON FINANCIAL CORPORATION 4.60 05/03/2010 175,396
175,000 TOYOTA MOTOR CREDIT CORPORATION 4.25 03/15/2010 169,342
100,000 UNILEVER CAPITAL CORPORATION 7.13 11/01/2010 106,438
100,000 UNILEVER CAPITAL CORPORATION 5.90 11/15/2032 99,095
9,948,079
---------------
OIL & GAS EXTRACTION - 0.47%
100,000 APACHE CORPORATION 6.25 04/15/2012 103,814
65,000 CANADIAN NATURAL RESOURCES LIMITED 5.85 02/01/2035 61,659
180,000 DEVON FINANCING CORPORATION ULC 6.88 09/30/2011 190,888
120,000 DEVON FINANCING CORPORATION ULC 7.88 09/30/2031 143,483
150,000 HALLIBURTON COMPANY 5.50 10/15/2010 150,592
180,000 HESS CORPORATION 7.88 10/01/2029 209,838
120,000 NEXEN INCORPORATED 7.88 03/15/2032 140,287
180,000 OCCIDENTAL PETROLEUM CORPORATION 6.75 01/15/2012 191,569
100,000 PANHANDLE EASTERN PIPE LINE 4.80 08/15/2008 98,366
250,000 PC FINANCIAL PARTNERSHIP 5.00 11/15/2014 237,459
65,000 TALISMAN ENERGY INCORPORATED 5.13 05/15/2015 61,985
125,000 XTO ENERGY INCORPORATED 4.90 02/01/2014 118,413
125,000 XTO ENERGY INCORPORATED 6.10 04/01/2036 122,314
1,830,667
---------------
44
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
PAPER & ALLIED PRODUCTS - 0.14%
$ 125,000 INTERNATIONAL PAPER COMPANY 4.00% 04/01/2010 $ 119,546
180,000 INTERNATIONAL PAPER COMPANY 5.30 04/01/2015 173,042
75,000 MEADWESTVACO CORPORATION 6.85 04/01/2012 77,797
100,000 TEMPLE-INLAND INCORPORATED 7.88 05/01/2012 109,282
75,000 WESTVACO CORPORATION 8.20 01/15/2030 82,830
562,497
---------------
PETROLEUM REFINING & RELATED INDUSTRIES - 0.37%
525,000 CHEVRON CAPITAL COMPANY 3.50 09/17/2007 515,380
300,000 CONOCOPHILLIPS HOLDING COMPANY 6.95 04/15/2029 341,066
125,000 ENTERPRISE PRODUCTS OPERATING LP 4.95 06/01/2010 122,059
65,000 ENTERPRISE PRODUCTS OPERATING LP SERIES B 5.60 10/15/2014 63,345
120,000 HESS CORPORATION 7.30 08/15/2031 133,523
150,000 MARATHON OIL CORPORATION 6.00 07/01/2012 153,528
100,000 SEMPRA ENERGY 6.00 02/01/2013 101,472
1,430,373
---------------
PIPELINES, EXCEPT NATURAL GAS - 0.14%
75,000 CENTERPOINT ENERGY RESOURCES CORPORATION SERIES B 7.88 04/01/2013 82,704
75,000 ENTERPRISE PRODUCTS OPERATING LP SERIES B 6.88 03/01/2033 76,616
100,000 KANEB PIPE LINE OPERATING PARTNERSHIP LP 5.88 06/01/2013 99,441
100,000 KINDER MORGAN ENERGY PARTNERS LP 5.00 12/15/2013 94,600
100,000 KINDER MORGAN ENERGY PARTNERS LP 5.80 03/15/2035 89,778
75,000 TEXAS EASTERN TRANSMISSION LP 7.00 07/15/2032 82,364
525,503
---------------
PRIMARY METAL INDUSTRIES - 0.09%
250,000 ALCOA INCORPORATED 6.50 06/01/2011 261,437
75,000 ALCOA INCORPORATED 6.75 01/15/2028 82,871
344,308
---------------
PRINTING, PUBLISHING & ALLIED INDUSTRIES - 0.15%
125,000 GANNETT COMPANY INCORPORATED 4.13 06/15/2008 122,168
75,000 RR DONNELLEY & SONS COMPANY 4.95 05/15/2010 71,571
65,000 RR DONNELLEY & SONS COMPANY 5.50 05/15/2015 58,022
75,000 TRIBUNE COMPANY 4.88 08/15/2010 71,315
250,000 VIACOM CORPORATION 7.70 07/30/2010 268,661
591,737
---------------
RAILROAD TRANSPORTATION - 0.24%
300,000 CSX CORPORATION 6.30 03/15/2012 311,296
275,000 NORFOLK SOUTHERN CORPORATION 5.59 05/17/2025 265,698
360,000 UNION PACIFIC CORPORATION 4.88 01/15/2015 343,957
920,951
---------------
45
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
REAL ESTATE - 0.13%
$ 300,000 EOP OPERATING LP 4.65% 10/01/2010 $ 289,909
125,000 EOP OPERATING LP 4.75 03/15/2014 116,901
75,000 EOP OPERATING LP 7.88 07/15/2031 87,106
493,916
---------------
REAL ESTATE INVESTMENT TRUSTS (REITS) - 0.14%
100,000 PROLOGIS 5.25 11/15/2010 98,945
300,000 SIMON PROPERTY GROUP LP 5.75 05/01/2012 302,616
125,000 SIMON PROPERTY GROUP LP 5.75 12/01/2015 125,053
526,614
---------------
SECURITY & COMMODITY BROKERS, DEALERS, EXCHANGES & SERVICES - 1.84%
125,000 BEAR STEARNS COMPANIES INCORPORATED 4.00 01/31/2008 122,856
180,000 BEAR STEARNS COMPANIES INCORPORATED 5.30 10/30/2015 176,140
225,000 BEAR STEARNS COMPANIES INCORPORATED SERIES MTNB 4.55 06/23/2010 219,136
360,000 GOLDMAN SACHS GROUP INCORPORATED 4.13 01/15/2008 354,782
725,000 GOLDMAN SACHS GROUP INCORPORATED 6.60 01/15/2012 760,445
275,000 GOLDMAN SACHS GROUP INCORPORATED 5.35 01/15/2016 268,779
450,000 GOLDMAN SACHS GROUP INCORPORATED 6.35 02/15/2034 444,242
800,000 LEHMAN BROTHERS HOLDINGS INCORPORATED 3.50 08/07/2008 773,393
200,000 LEHMAN BROTHERS HOLDINGS INCORPORATED 5.50 04/04/2016 197,739
200,000 LEHMAN BROTHERS HOLDINGS INCORPORATED SERIES MTNG 4.80 03/13/2014 190,709
250,000 MERRILL LYNCH & COMPANY INCORPORATED 6.05 05/16/2016 257,605
725,000 MERRILL LYNCH & COMPANY INCORPORATED 6.00 02/17/2009 736,369
450,000 MERRILL LYNCH & COMPANY INCORPORATED 5.45 07/15/2014 448,482
500,000 MERRILL LYNCH & COMPANY INCORPORATED SERIES MTN 5.77 07/25/2011 509,075
1,100,000 MORGAN STANLEY 3.88 01/15/2009 1,067,675
525,000 MORGAN STANLEY 5.38 10/15/2015 513,664
120,000 MORGAN STANLEY 7.25 04/01/2032 137,235
7,178,326
---------------
TRANSPORTATION BY AIR - 0.09%
50,000 FEDEX CORPORATION 5.50 08/15/2009 50,257
120,000 LOCKHEED MARTIN CORPORATION 8.50 12/01/2029 160,104
120,000 RAYTHEON COMPANY 7.20 08/15/2027 137,683
348,044
---------------
TRANSPORTATION EQUIPMENT - 0.65%
180,000 BOEING COMPANY 6.13 02/15/2033 191,143
525,000 DAIMLERCHRYSLER NA HOLDING CORPORATION 4.05 06/04/2008 511,844
180,000 DAIMLERCHRYSLER NA HOLDING CORPORATION 6.50 11/15/2013 185,364
225,000 DAIMLERCHRYSLER NA HOLDING CORPORATION 8.50 01/18/2031 270,191
450,000 GENERAL DYNAMICS CORPORATION 3.00 05/15/2008 433,420
150,000 HONEYWELL INTERNATIONAL INCORPORATED 7.50 03/01/2010 160,575
150,000 JOHNSON CONTROLS INCORPORATED 5.25 01/15/2011 148,211
120,000 NORTHROP GRUMMAN CORPORATION 7.75 02/15/2031 147,538
46
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
TRANSPORTATION EQUIPMENT (CONTINUED)
$ 180,000 UNITED TECHNOLOGIES CORPORATION 4.38% 05/01/2010 $ 175,087
100,000 UNITED TECHNOLOGIES CORPORATION 4.88 05/01/2015 96,246
180,000 UNITED TECHNOLOGIES CORPORATION 7.50 09/15/2029 219,135
2,538,754
---------------
WHOLESALE TRADE-DURABLE GOODS - 0.04%
180,000 JOHNSON & JOHNSON 4.95 05/15/2033 167,165
---------------
TOTAL CORPORATE BONDS & NOTES (COST $82,256,028) 84,506,452
---------------
FOREIGN CORPORATE BONDS - 2.38%
150,000 ALBERTA ENERGY COMPANY LIMITED 8.13 09/15/2030 183,056
180,000 ALCAN INCORPORATED 5.00 06/01/2015 170,814
100,000 ALCAN INCORPORATED 6.13 12/15/2033 98,362
100,000 AMERICA MOVIL SA DE CV 4.13 03/01/2009 96,510
75,000 ANADARKO FINANCE COMPANY SERIES B 6.75 05/01/2011 78,545
75,000 ANADARKO FINANCE COMPANY SERIES B 7.50 05/01/2031 84,748
75,000 ASTRAZENECA PLC 5.40 06/01/2014 75,083
150,000 AXA SA 8.60 12/15/2030 189,092
65,000 AXIS CAPITAL HOLDINGS LIMITED 5.75 12/01/2014 63,084
250,000 BHP BILLITON FINANCE USA LIMITED 5.00 12/15/2010 246,872
150,000 BHP BILLITON FINANCE USA LIMITED 5.25 12/15/2015 146,711
200,000 BP CANADA FINANCE COMPANY 3.38 10/31/2007 195,624
100,000 BRITISH SKY BROADCASTING PLC 6.88 02/23/2009 103,455
150,000 BRITISH TELECOMMUNICATIONS PLC 8.88 12/15/2030 193,608
100,000 BURLINGTON RESOURCES FINANCE COMPANY 6.50 12/01/2011 105,181
65,000 CANADIAN NATURAL RESOURCES LIMITED 4.90 12/01/2014 61,610
360,000 CANADIAN PACIFIC RAILWAY COMPANY 5.75 03/15/2033 353,840
65,000 CELULOSA ARAUCO Y CONSTITUCION SA 5.63 04/20/2015 62,818
275,000 CIT GROUP FUNDING COMPANY OF CANADA 4.65 07/01/2010 267,969
275,000 CIT GROUP FUNDING COMPANY OF CANADA 5.20 06/01/2015 265,818
325,000 CONOCO FUNDING COMPANY 6.35 10/15/2011 340,223
275,000 DEUTCHE TELEKOM INTERNATIONAL FINANCE 5.75 03/23/2016 267,502
325,000 DEUTSCHE TELEKOM INTERNATIONAL FINANCE BV 8.00 06/15/2010 353,435
180,000 DEUTSCHE TELEKOM INTERNATIONAL FINANCE BV 8.25 06/15/2030 217,142
50,000 DIAGEO CAPITAL PLC 3.50 11/19/2007 48,895
125,000 DIAGEO CAPITAL PLC 3.38 03/20/2008 121,408
175,000 DIAGEO CAPITAL PLC 4.38 05/03/2010 169,207
125,000 DIAGEO FINANCE BV 5.30 10/28/2015 122,367
100,000 ENCANA HOLDINGS FINANCE CORPORATION 5.80 05/01/2014 100,722
100,000 FALCONBRIDGE LIMITED 6.00 10/15/2015 99,916
250,000 FRANCE TELECOM SA 7.75 03/01/2011 272,993
225,000 FRANCE TELECOM SA 8.50 03/01/2031 287,102
100,000 HANSON PLC 6.13 08/15/2016 100,988
180,000 ING GROEP NV+/- 5.78 12/31/2049 178,766
25,000 LAFARGE SA 6.15 07/15/2011 25,445
50,000 LAFARGE SA 6.50 07/15/2016 51,494
200,000 ROYAL BANK CANADA 5.65 07/20/2011 203,361
360,000 ROYAL BANK OF SCOTLAND GROUP PLC 5.00 10/01/2014 348,285
47
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FOREIGN CORPORATE BONDS (CONTINUED)
$ 100,000 ROYAL BANK OF SCOTLAND GROUP PLC+/- 7.65% 12/31/2049 $ 113,326
120,000 ROYAL KPN NV 8.00 10/01/2010 129,157
75,000 ROYAL KPN NV 8.38 10/01/2030 85,210
225,000 SANTANDER CENTRAL HISPANO ISSUANCES LIMITED 7.63 09/14/2010 243,593
75,000 SUNCOR ENERGY INCORPORATED 5.95 12/01/2034 74,910
65,000 TECK COMINCO LIMITED 6.13 10/01/2035 61,362
150,000 TELECOM ITALIA CAPITAL 6.00 09/30/2034 135,425
300,000 TELECOM ITALIA CAPITAL SA 4.00 01/15/2010 285,050
180,000 TELEFONICA EUROPE BV 7.75 09/15/2010 193,884
120,000 TELEFONICA EUROPE BV 8.25 09/15/2030 141,444
350,000 TELEFONOS DE MEXICO SA DE CV 4.50 11/19/2008 341,894
65,000 TELEFONOS DE MEXICO SA DE CV 5.50 01/27/2015 63,039
180,000 TELUS CORPORATION 8.00 06/01/2011 197,942
65,000 TRANSCANADA PIPELINES LIMITED 4.88 01/15/2015 62,298
100,000 TRANSCANADA PIPELINES LIMITED 5.60 03/31/2034 95,307
120,000 TRANSOCEAN INCORPORATED 7.50 04/15/2031 139,045
100,000 TYCO INTERNATIONAL GROUP SA 6.13 01/15/2009 101,655
75,000 TYCO INTERNATIONAL GROUP SA 6.88 01/15/2029 83,708
75,000 VODAFONE GROUP PLC 5.38 01/30/2015 72,268
180,000 VODAFONE GROUP PLC 4.63 07/15/2018 157,378
25,000 WEATHERFORD INTERNATIONAL INCORPORATED 6.50 08/01/2036 25,464
100,000 XL CAPITAL LIMITED 5.25 09/15/2014 95,680
TOTAL FOREIGN CORPORATE BONDS@ (COST $8,948,018) 9,251,090
---------------
FOREIGN GOVERNMENT BONDS - 24.39%
193,000 AUSTRALIA GOVERNMENT BOND SERIES 217 (AUD) 6.00 02/15/2017 151,198
98,000 AUSTRALIA GOVERNMENT BOND SERIES 513 (AUD) 6.50 05/15/2013 78,042
98,000 AUSTRALIA GOVERNMENT BOND SERIES 611 (AUD) 5.75 06/15/2011 74,831
98,000 AUSTRALIA GOVERNMENT BOND SERIES 909 (AUD) 7.50 09/15/2009 78,301
135,000 BELGIUM GOVERNMENT BOND SERIES 31 (EUR) 5.50 03/28/2028 209,416
444,000 BELGIUM GOVERNMENT BOND SERIES 38 (EUR) 5.00 09/28/2012 609,801
140,200 BELGIUM GOVERNMENT BOND SERIES 40 (EUR) 5.50 09/28/2017 206,775
742,300 BELGIUM GOVERNMENT BOND SERIES 42 (EUR) 3.00 09/28/2008 941,475
555,000 BELGIUM GOVERNMENT BOND SERIES 43 (EUR) 4.25 09/28/2014 736,693
76,900 BELGIUM GOVERNMENT BOND SERIES 44 (EUR) 5.00 03/28/2035 113,895
155,100 BELGIUM GOVERNMENT BOND SERIES 45 (EUR) 3.00 03/28/2010 194,948
927,800 BUNDESOBLIGATION SERIES 141 (EUR) 4.25 02/15/2008 1,200,222
334,700 BUNDESOBLIGATION SERIES 143 (EUR) 3.50 10/10/2008 428,844
110,200 BUNDESOBLIGATION SERIES 145 (EUR) 3.50 10/09/2009 140,959
451,500 BUNDESREPUBLIK DEUTSCHLAND SERIES 00 (EUR) 5.25 07/04/2010 612,662
740,200 BUNDESREPUBLIK DEUTSCHLAND SERIES 00 (EUR) 5.25 01/04/2011 1,010,100
348,600 BUNDESREPUBLIK DEUTSCHLAND SERIES 00 (EUR) 6.25 01/04/2030 594,359
1,213,600 BUNDESREPUBLIK DEUTSCHLAND SERIES 02 (EUR) 5.00 07/04/2012 1,662,843
610,400 BUNDESREPUBLIK DEUTSCHLAND SERIES 03 (EUR) 4.25 01/04/2014 809,374
657,200 BUNDESREPUBLIK DEUTSCHLAND SERIES 03 (EUR) 4.75 07/04/2034 942,183
1,008,600 BUNDESREPUBLIK DEUTSCHLAND SERIES 04 (EUR) 3.75 01/04/2015 1,294,073
84,200 BUNDESREPUBLIK DEUTSCHLAND SERIES 05 (EUR) 3.50 01/04/2016 105,816
353,500 BUNDESREPUBLIK DEUTSCHLAND SERIES 94 (EUR) 6.25 01/04/2024 581,699
48
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FOREIGN GOVERNMENT BONDS (CONTINUED)
$ 302,500 BUNDESREPUBLIK DEUTSCHLAND SERIES 98 (EUR) 5.25% 01/04/2008 $ 395,925
258,600 BUNDESREPUBLIK DEUTSCHLAND SERIES 98 (EUR) 4.13 07/04/2008 334,827
519,300 BUNDESREPUBLIK DEUTSCHLAND SERIES 98 (EUR) 4.75 07/04/2008 679,601
211,100 BUNDESREPUBLIK DEUTSCHLAND SERIES 98 (EUR) 5.63 01/04/2028 331,630
324,100 BUNDESREPUBLIK DEUTSCHLAND SERIES 99 (EUR) 3.75 01/04/2009 417,383
159,000 BUNDESREPUBLIK DEUTSCHLAND SERIES 99 (EUR) 4.00 07/04/2009 206,125
367,600 BUNDESREPUBLIK DEUTSCHLAND SERIES 99 (EUR) 4.50 07/04/2009 482,902
266,800 BUNDESREPUBLIK DEUTSCHLAND SERIES 99 (EUR) 5.38 01/04/2010 360,905
476,000 CANADIAN GOVERNMENT BOND (CAD) 5.50 06/01/2010 453,051
952,000 CANADIAN GOVERNMENT BOND (CAD) 5.25 06/01/2013 921,992
240,000 CANADIAN GOVERNMENT BOND (CAD) 5.75 06/01/2033 271,311
95,000 CANADIAN GOVERNMENT BOND SERIES A55 (CAD) 8.00 06/01/2023 124,769
293,000 CANADIAN GOVERNMENT BOND SERIES VW17 (CAD) 8.00 06/01/2027 402,605
301,000 CANADIAN GOVERNMENT BOND SERIES WH31 (CAD) 6.00 06/01/2008 281,357
1,882,400 DENMARK GOVERNMENT BOND (DKK) 4.00 08/15/2008 325,691
1,415,700 DENMARK GOVERNMENT BOND (DKK) 6.00 11/15/2011 269,726
923,100 DENMARK GOVERNMENT BOND (DKK) 4.00 11/15/2015 161,115
473,000 DENMARK GOVERNMENT BOND (DKK) 7.00 11/10/2024 112,107
454,100 FRANCE GOVERNMENT BOND OAT (EUR) 5.25 04/25/2008 597,376
750,000 FRANCE GOVERNMENT BOND OAT (EUR) 4.00 04/25/2009 971,573
950,000 FRANCE GOVERNMENT BOND OAT (EUR) 5.50 04/25/2010 1,296,625
469,200 FRANCE GOVERNMENT BOND OAT (EUR) 5.00 04/25/2012 643,045
370,700 FRANCE GOVERNMENT BOND OAT (EUR) 8.50 12/26/2012 603,204
940,000 FRANCE GOVERNMENT BOND OAT (EUR) 4.00 04/25/2014 1,227,254
1,275,300 FRANCE GOVERNMENT BOND OAT (EUR) 5.00 10/25/2016 1,800,778
619,300 FRANCE GOVERNMENT BOND OAT (EUR) 6.00 10/25/2025 1,005,733
641,400 FRANCE GOVERNMENT BOND OAT (EUR) 4.75 04/25/2035 918,199
966,700 FRENCH TREASURY NOTE BTAN (EUR) 3.00 07/12/2008 1,227,499
652,500 FRENCH TREASURY NOTE BTAN (EUR) 3.00 01/12/2011 816,293
1,038,400 ITALY BUONI POLIENNALI DEL TESORO (EUR) 6.00 11/01/2007 1,366,907
1,215,000 ITALY BUONI POLIENNALI DEL TESORO (EUR) 3.50 09/15/2008 1,556,796
1,024,000 ITALY BUONI POLIENNALI DEL TESORO (EUR) 3.00 01/15/2010 1,286,962
1,317,000 ITALY BUONI POLIENNALI DEL TESORO (EUR) 5.00 02/01/2012 1,792,838
1,047,000 ITALY BUONI POLIENNALI DEL TESORO (EUR) 4.25 02/01/2015 1,374,329
1,111,000 ITALY BUONI POLIENNALI DEL TESORO (EUR) 4.25 02/01/2019 1,445,204
226,400 ITALY BUONI POLIENNALI DEL TESORO (EUR) 9.00 11/01/2023 458,108
785,000 ITALY BUONI POLIENNALI DEL TESORO (EUR) 6.50 11/01/2027 1,307,713
753,000 ITALY BUONI POLIENNALI DEL TESORO (EUR) 5.00 08/01/2034 1,064,561
240,000 ITALY BUONI POLIENNALI DEL TESORO (EUR) 4.00 02/01/2037 288,166
230,850,000 JAPAN GOVERNMENT FIVE YEAR BOND SERIES 22 (JPY) 0.30 09/20/2007 1,962,851
271,500,000 JAPAN GOVERNMENT FIVE YEAR BOND SERIES 26 (JPY) 0.20 03/20/2008 2,300,110
363,150,000 JAPAN GOVERNMENT FIVE YEAR BOND SERIES 27 (JPY) 0.20 06/20/2008 3,072,971
262,000,000 JAPAN GOVERNMENT FIVE YEAR BOND SERIES 33 (JPY) 0.60 12/20/2008 2,228,434
312,700,000 JAPAN GOVERNMENT FIVE YEAR BOND SERIES 43 (JPY) 0.50 12/20/2009 2,633,590
387,850,000 JAPAN GOVERNMENT TEN YEAR BOND SERIES 220 (JPY) 1.70 03/22/2010 3,397,820
292,650,000 JAPAN GOVERNMENT TEN YEAR BOND SERIES 226 (JPY) 1.80 12/20/2010 2,575,856
271,400,000 JAPAN GOVERNMENT TEN YEAR BOND SERIES 236 (JPY) 1.50 12/20/2011 2,352,916
320,400,000 JAPAN GOVERNMENT TEN YEAR BOND SERIES 243 (JPY) 1.10 09/20/2012 2,704,223
49
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FOREIGN GOVERNMENT BONDS (CONTINUED)
$ 120,150,000 JAPAN GOVERNMENT TEN YEAR BOND SERIES 248 (JPY) 0.70% 03/20/2013 $ 983,750
320,650,000 JAPAN GOVERNMENT TEN YEAR BOND SERIES 259 (JPY) 1.50 03/20/2014 2,741,379
279,650,000 JAPAN GOVERNMENT TEN YEAR BOND SERIES 269 (JPY) 1.30 03/20/2015 2,333,555
124,800,000 JAPAN GOVERNMENT THIRTY YEAR BOND SERIES 18 (JPY) 2.30 03/20/2035 1,042,257
253,250,000 JAPAN GOVERNMENT TWENTY YEAR BOND SERIES 30 (JPY) 3.70 09/21/2015 2,546,876
211,850,000 JAPAN GOVERNMENT TWENTY YEAR BOND SERIES 41 (JPY) 1.50 03/20/2019 1,743,513
360,000,000 JAPAN GOVERNMENT TWENTY YEAR BOND SERIES 73 (JPY) 2.00 12/20/2024 3,020,725
325,300 NETHERLANDS GOVERNMENT BOND (EUR) 5.25 07/15/2008 429,516
155,500 NETHERLANDS GOVERNMENT BOND (EUR) 2.75 01/15/2009 195,794
778,700 NETHERLANDS GOVERNMENT BOND (EUR) 5.50 07/15/2010 1,065,960
296,500 NETHERLANDS GOVERNMENT BOND (EUR) 3.75 07/15/2014 380,724
84,300 NETHERLANDS GOVERNMENT BOND (EUR) 7.50 01/15/2023 153,925
131,500 NETHERLANDS GOVERNMENT BOND (EUR) 5.50 01/15/2028 203,835
90,200 NETHERLANDS GOVERNMENT BOND (EUR) 4.00 01/15/2037 114,873
385,500 SPAIN GOVERNMENT BOND (EUR) 6.00 01/31/2008 510,071
862,000 SPAIN GOVERNMENT BOND (EUR) 4.00 01/31/2010 1,119,661
693,000 SPAIN GOVERNMENT BOND (EUR) 5.00 07/30/2012 950,077
502,000 SPAIN GOVERNMENT BOND (EUR) 4.40 01/31/2015 672,755
142,000 SPAIN GOVERNMENT BOND (EUR) 5.50 07/30/2017 209,131
250,000 SPAIN GOVERNMENT BOND (EUR) 5.75 07/30/2032 405,772
81,000 SPAIN GOVERNMENT BOND (EUR) 4.20 01/31/2037 106,077
1,890,000 SWEDEN GOVERNMENT BOND SERIES 1040 (SEK) 6.50 05/05/2008 274,210
2,300,000 SWEDEN GOVERNMENT BOND SERIES 1041 (SEK) 6.75 05/05/2014 381,778
1,320,000 SWEDEN GOVERNMENT BOND SERIES 1045 (SEK) 5.25 03/15/2011 194,627
440,000 SWEDEN GOVERNMENT BOND SERIES 1047 (SEK) 5.00 12/01/2020 69,083
520,000 UNITED KINGDOM GILT (GBP) 5.00 03/07/2008 992,079
400,100 UNITED KINGDOM GILT (GBP) 4.75 06/07/2010 762,030
300,800 UNITED KINGDOM GILT (GBP) 9.00 07/12/2011 678,924
585,000 UNITED KINGDOM GILT (GBP) 5.00 09/07/2014 1,146,498
275,000 UNITED KINGDOM GILT (GBP) 4.75 09/07/2015 532,070
470,000 UNITED KINGDOM GILT (GBP) 4.75 03/07/2020 921,550
819,200 UNITED KINGDOM GILT (GBP) 4.25 06/07/2032 1,578,661
413,900 UNITED KINGDOM GILT (GBP) 4.75 12/07/2038 878,553
TOTAL FOREIGN GOVERNMENT BONDS@ (COST $92,753,284) 94,929,754
---------------
AGENCY NOTES - INTEREST BEARING - 6.27%
FEDERAL HOME LOAN BANK - 2.42%
1,500,000 FHLB 3.38 09/14/2007 1,472,750
1,000,000 FHLB 3.75 08/18/2009 966,229
1,000,000 FHLB 4.38 03/17/2010 978,610
1,200,000 FHLB<< 5.13 06/18/2008 1,200,904
400,000 FHLB 5.25 06/18/2014 404,149
1,200,000 FHLB 5.38 08/19/2011 1,216,902
250,000 FHLB<< 5.38 05/18/2016 255,058
1,200,000 FHLB SERIES 1 3.25 12/17/2007 1,171,451
800,000 FHLB SERIES 363 4.50 11/15/2012 776,580
1,000,000 FHLB SERIES 439 3.63 11/14/2008 970,636
9,413,269
---------------
50
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FEDERAL HOME LOAN MORTGAGE CORPORATION - 2.41%
$ 2,000,000 FHLMC 3.88% 06/15/2008 $ 1,959,270
1,500,000 FHLMC 4.38 11/16/2007 1,485,609
1,000,000 FHLMC 4.63 02/21/2008 993,214
650,000 FHLMC 4.75 01/19/2016 633,093
1,000,000 FHLMC 4.88 02/17/2009 996,843
1,000,000 FHLMC<< 5.13 04/18/2011 1,003,562
650,000 FHLMC 5.25 04/18/2016 656,861
200,000 FHLMC 6.25 07/15/2032 228,034
300,000 FHLMC 6.75 03/15/2031 360,516
1,000,000 FHLMC 6.88 09/15/2010 1,066,636
9,383,638
---------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION - 1.44%
1,000,000 FNMA<< 3.88 07/15/2008 978,079
1,000,000 FNMA 4.25 08/15/2010 972,345
1,100,000 FNMA<< 5.00 09/14/2007 1,096,916
950,000 FNMA 5.00 03/15/2016 942,111
200,000 FNMA 6.21 08/06/2038 227,191
1,000,000 FNMA 6.63 09/15/2009 1,044,951
300,000 FNMA 6.63 11/15/2030 354,744
5,616,337
---------------
TOTAL AGENCY NOTES - INTEREST BEARING (COST $24,044,253) 24,413,244
---------------
AGENCY SECURITIES - 26.55%
FEDERAL HOME LOAN MORTGAGE CORPORATION - 11.86%
1,000,000 FHLMC<< 6.63 09/15/2009 1,044,117
800,000 FHLMC 4.88 11/15/2013 789,674
7,795,010 FHLMC #A11964 5.00 08/01/2033 7,503,516
1,381,161 FHLMC #A15966 5.00 11/01/2033 1,329,513
2,042,904 FHLMC #A16693 5.50 12/01/2033 2,012,901
2,907,242 FHLMC #A29757 5.50 01/01/2035 2,856,514
2,228,811 FHLMC #A35253 5.50 06/01/2035 2,189,920
3,071,349 FHLMC #A36541 5.00 08/01/2035 2,946,313
1,926,864 FHLMC #A41694 5.50 01/01/2036 1,893,242
6,233,362 FHLMC #E01425 4.50 08/01/2018 5,999,149
646,629 FHLMC #E95352 4.50 04/01/2018 622,283
1,305,737 FHLMC #G11950 4.50 10/01/2018 1,256,574
2,500,000 FHLMC TBA+/-%% 5.00 09/01/2021 2,446,095
1,750,000 FHLMC TBA+/-%% 6.00 09/01/2021 1,767,500
5,200,000 FHLMC TBA+/-%% 5.00 09/01/2036 4,983,878
6,500,000 FHLMC TBA+/-%% 6.00 09/01/2036 6,508,125
46,149,314
---------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION - 12.13%
1,500,000 FNMA 3.13 12/15/2007 1,461,806
1,000,000 FNMA 7.25 01/15/2010 1,068,389
1,000,000 FNMA<< 6.00 05/15/2011 1,039,809
800,000 FNMA 4.63 10/15/2013 778,430
300,000 FNMA 5.25 06/01/2017 173,067
51
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FEDERAL NATIONAL MORTGAGE ASSOCIATION (CONTINUED)
$ 200,000 FNMA^ 5.71% 10/09/2019 $ 96,560
1,732,642 FNMA #545414 5.50 01/01/2017 1,731,842
893,761 FNMA #779510 5.00 06/01/2019 876,566
1,014,677 FNMA #793675 6.00 09/01/2034 1,017,369
1,144,266 FNMA #794514 5.00 10/01/2019 1,122,252
1,173,148 FNMA #804666 6.00 11/01/2034 1,176,261
917,231 FNMA #812338 6.00 03/01/2035 918,459
752,454 FNMA #830957 5.50 08/01/2035 738,804
1,748,646 FNMA #831625 7.00 06/01/2036 1,795,331
2,277,079 FNMA #832799 5.00 09/01/2035 2,182,197
1,668,975 FNMA #834657 5.50 08/01/2035 1,638,696
6,393,510 FNMA #835284 5.50 09/01/2035 6,277,520
5,248,841 FNMA #835331 5.50 08/01/2035 5,153,618
1,422,778 FNMA #843901 4.50 09/01/2035 1,325,325
1,667,249 FNMA #851264 5.50 05/01/2021 1,661,290
4,000,000 FNMA TBA+/-%% 5.00 09/01/2021 3,916,248
3,500,000 FNMA TBA+/-%% 5.50 09/01/2021 3,486,875
1,100,000 FNMA TBA+/-%% 4.50 09/01/2036 1,024,032
2,250,000 FNMA TBA+/-%% 6.00 09/01/2036 2,252,111
4,250,000 FNMA TBA+/-%% 6.50 09/01/2036 4,313,750
47,226,607
---------------
GOVERNMENT NATIONAL MORTGAGE ASSOCIATION - 2.56%
2,500,000 GNMA TBA+/-%% 5.00 09/01/2036 2,421,875
3,500,000 GNMA TBA+/-%% 5.50 09/01/2036 3,466,092
2,500,000 GNMA TBA+/-%% 6.00 09/01/2036 2,522,655
1,500,000 GNMA TBA+/-%% 6.50 09/01/2036 1,533,282
9,943,904
---------------
TOTAL AGENCY SECURITIES (COST $101,771,037) 103,319,825
---------------
US TREASURY SECURITIES - 17.20%
US TREASURY BONDS - 5.26%
3,000,000 US TREASURY BOND<< 7.50 11/15/2016 3,648,984
1,800,000 US TREASURY BOND<< 8.75 05/15/2017 2,387,390
3,200,000 US TREASURY BOND<< 8.88 02/15/2019 4,382,749
1,200,000 US TREASURY BOND<< 8.00 11/15/2021 1,588,781
1,750,000 US TREASURY BOND<< 6.25 08/15/2023 2,006,622
1,700,000 US TREASURY BOND<< 6.00 02/15/2026 1,920,070
1,900,000 US TREASURY BOND<< 6.13 11/15/2027 2,193,313
1,000,000 US TREASURY BOND 5.50 08/15/2028 1,074,766
500,000 US TREASURY BOND 6.25 05/15/2030 592,149
700,000 US TREASURY BOND<< 4.50 02/15/2036 658,820
20,453,644
---------------
US TREASURY NOTES - 11.94%
5,500,000 US TREASURY NOTE<< 4.00 09/30/2007 5,443,499
3,000,000 US TREASURY NOTE<< 4.63 03/31/2008 2,989,101
4,500,000 US TREASURY NOTE<< 5.00 07/31/2008 4,516,173
2,000,000 US TREASURY NOTE<< 3.25 08/15/2008 1,943,750
52
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
US TREASURY NOTES (CONTINUED)
$ 5,000,000 US TREASURY NOTE<< 2.63% 03/15/2009 $ 4,752,735
4,500,000 US TREASURY NOTE<< 3.38 09/15/2009 4,332,654
2,750,000 US TREASURY NOTE<< 4.00 03/15/2010 2,687,803
2,750,000 US TREASURY NOTE 3.88 09/15/2010 2,667,286
3,000,000 US TREASURY NOTE<< 4.75 03/31/2011 3,005,391
2,500,000 US TREASURY NOTE<< 4.88 07/31/2011 2,518,555
2,500,000 US TREASURY NOTE<< 5.00 08/15/2011 2,538,575
3,750,000 US TREASURY NOTE 4.00 11/15/2012 3,608,055
1,000,000 US TREASURY NOTE<< 4.25 11/15/2013 971,172
3,900,000 US TREASURY NOTE<< 4.25 11/15/2014 3,772,337
750,000 US TREASURY NOTE 4.50 02/15/2016 736,025
46,483,111
---------------
TOTAL US TREASURY SECURITIES (COST $66,027,983) 66,936,755
---------------
COLLATERAL FOR SECURITIES LENDING - 15.60%
COLLATERAL INVESTED IN OTHER ASSETS - 15.60%
117,769 ABBEY NATIONAL TREASURY SERVICE+/-++ 5.59 01/16/2007 117,829
785,128 AMERICAN EXPRESS BANK FSB+/- 5.29 01/26/2007 785,128
494,972 AMERICAN GENERAL FINANCE CORPORATION+/-++ 5.36 09/14/2007 494,966
426,700 AQUIFER FUNDING LIMITED++ 5.35 09/07/2006 426,320
341,360 ATLAS CAPITAL FUNDING LIMITED+/-++ 5.30 04/25/2007 341,360
37,584 ATLAS CAPITAL FUNDING LIMITED++ 5.31 09/01/2006 37,584
426,700 ATLAS CAPITAL FUNDING LIMITED+/- 5.38 11/10/2006 426,700
341,360 ATOMIUM FUNDING CORPORATION++ 5.40 11/03/2006 338,164
42,670 BANK ONE NA+/- 5.55 01/12/2007 42,689
3,669,620 BEAR STEARNS & COMPANY REPURCHASE AGREEMENT
(MATURITY VALUE $3,670,166) 5.36 09/01/2006 3,669,620
1,109,420 BEAR STEARNS COMPANIES INCORPORATED+/- 5.39 02/23/2007 1,109,420
1,706,800 BEAR STEARNS INTERNATIONAL REPURCHASE AGREEMENT
(MATURITY VALUE $1,707,054) 5.36 09/01/2006 1,706,800
58,031 BHP BILLITON FINANCE USA LIMITED++ 5.31 09/08/2006 57,971
1,713,876 BNP PARIBAS REPURCHASE AGREEMENT
(MATURITY VALUE $1,714,131) 5.36 09/01/2006 1,713,876
682,720 BUCKINGHAM II CDO LLC 5.31 09/25/2006 680,312
853,400 BUCKINGHAM III CDO LLC++ 5.32 09/29/2006 849,882
204,816 CAIRN HIGH GRADE FUNDING I LLC 5.30 09/18/2006 204,304
273,088 CAIRN HIGH GRADE FUNDING I LLC++ 5.31 09/13/2006 272,606
221,884 CAIRN HIGH GRADE FUNDING I LLC++ 5.31 09/25/2006 221,101
170,680 CAIRN HIGH GRADE FUNDING I LLC 5.32 09/21/2006 170,177
10,258 CEDAR SPRINGS CAPITAL COMPANY LLC++ 5.27 09/05/2006 10,252
428,543 CEDAR SPRINGS CAPITAL COMPANY LLC++ 5.31 09/12/2006 427,849
242,878 CEDAR SPRINGS CAPITAL COMPANY LLC++ 5.32 09/25/2006 242,019
426,700 CEDAR SPRINGS CAPITAL COMPANY LLC++ 5.33 10/03/2006 424,690
519,038 CEDAR SPRINGS CAPITAL COMPANY LLC 5.37 11/27/2006 512,390
20,499 CEDAR SPRINGS CAPITAL COMPANY LLC 5.38 11/20/2006 20,256
635,459 CEDAR SPRINGS CAPITAL COMPANY LLC 5.39 11/17/2006 628,214
853,400 CHEYNE FINANCE LLC++ 5.37 11/13/2006 844,211
53
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COLLATERAL INVESTED IN OTHER ASSETS (CONTINUED)
$ 3,413,600 CITIGROUP REPURCHASE AGREEMENT
(MATURITY VALUE $3,414,108) 5.36% 09/01/2006 $ 3,413,600
34,136 CONCORD MINUTEMAN CAPITAL COMPANY SERIES A 5.23 09/13/2006 34,077
40,724 CONCORD MINUTEMAN CAPITAL COMPANY SERIES A 5.25 06/12/2006 40,659
2,048,160 CORPORATE ASSET SECURITIZATION AUSTRALIA LIMITED 5.31 09/05/2006 2,046,049
512,040 CORPORATE ASSET SECURITIZATION AUSTRALIA LIMITED++ 5.34 10/11/2006 509,019
7,783 CROWN POINT CAPITAL COMPANY LLC++ 5.45 10/02/2006 7,747
34,836 CROWN POINT CAPITAL COMPANY LLC++ 5.49 10/02/2006 34,672
761,660 CULLINAN FINANCE CORPORATION++ 5.38 09/28/2006 758,598
112,649 DEER VALLEY FUNDING LLC++ 5.27 09/15/2006 112,417
778,813 DEER VALLEY FUNDING LLC++ 5.31 09/12/2006 777,552
426,700 DEER VALLEY FUNDING LLC 5.36 09/11/2006 426,066
426,700 DEER VALLEY FUNDING LLC 5.41 11/01/2006 422,825
17,068 FCAR OWNER TRUST SERIES II 5.22 10/03/2006 16,989
1,307,616 FIRST BOSTON REPURCHASE AGREEMENT
(MATURITY VALUE $1,307,811) 5.36 09/01/2006 1,307,616
853,400 FIVE FINANCE INCORPORATED+/-++ 5.37 01/25/2007 853,337
28,230 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION 5.21 09/29/2006 28,117
84,845 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION++ 5.36 11/15/2006 83,908
34,563 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION 5.44 10/30/2006 34,257
10,241 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION++ 5.47 11/29/2006 10,104
9,302 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION++ 5.48 11/15/2006 9,197
590,365 FOX TROT CDO LIMITED 5.36 12/01/2006 582,471
273,088 GENERAL ELECTRIC CAPITAL ASSURANCE COMPANY+/- 5.41 06/18/2007 273,088
204,987 GENERAL ELECTRIC CAPITAL ASSURANCE COMPANY+/- 5.53 09/18/2006 205,004
397,241 GEORGE STREET FINANCE LLC++ 5.29 09/15/2006 396,425
853,400 GOLDMAN SACHS GROUP INCORPORATED+/- 5.59 03/30/2007 854,184
174,094 HBOS TREASURY SERVICES PLC+/-++ 5.58 01/12/2007 174,183
26,558 ICICI BANK LIMITED 5.46 11/15/2006 26,259
52,262 ICICI BANK LIMITED 5.51 12/01/2006 51,545
597,380 ING USA ANNUITY & LIFE INSURANCE+/- 5.40 09/18/2007 597,380
33,863 IRISH LIFE & PERMANENT PLC 5.47 12/13/2006 33,341
2,218,840 JPMORGAN CHASE SECURITIES CORPORATION REPURCHASE AGREEMENT
(MATURITY VALUE $2,219,170) 5.36 09/01/2006 2,218,840
1,092,352 KAUPTHING BANK HF+/-++ 5.39 03/20/2007 1,092,352
426,700 KESTREL FUNDING LLC++ 5.45 11/06/2006 422,476
28,777 KLIO FUNDING CORPORATION++ 5.36 11/15/2006 28,459
54,430 KLIO FUNDING CORPORATION++ 5.46 10/20/2006 54,028
299,373 KLIO II FUNDING CORPORATION++ 5.39 10/20/2006 297,193
1,365,440 KLIO III FUNDING CORPORATION 5.30 09/18/2006 1,362,029
140,179 KLIO III FUNDING CORPORATION++ 5.46 10/16/2006 139,230
51,204 LEHMAN BROTHERS HOLDINGS INCORPORATED+/- 5.61 04/20/2007 51,259
6,448,200 LEXINGTON PARKER CAPITAL CORPORATION++ 5.17 10/05/2006 6,416,217
25,602 LEXINGTON PARKER CAPITAL CORPORATION++ 5.49 10/05/2006 25,470
49,497 LIBERTY STREET FUNDING CORPORATION++ 5.42 09/25/2006 49,319
4,267 LIBERTY STREET FUNDING CORPORATION 5.44 10/25/2006 4,232
512,040 LIQUID FUNDING LIMITED++ 5.32 09/21/2006 510,532
597,380 LIQUID FUNDING LIMITED+/- 5.35 12/29/2006 597,301
54
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COLLATERAL INVESTED IN OTHER ASSETS (CONTINUED)
$ 597,380 LIQUID FUNDING LIMITED+/- 5.37% 12/01/2006 $ 597,380
512,040 LIQUID FUNDING LIMITED++ 5.48 11/30/2006 505,115
256,020 LIQUID FUNDING LIMITED 5.52 12/28/2006 251,472
55,471 MERRILL LYNCH & COMPANY 5.61 01/26/2007 55,515
1,194,760 MORGAN STANLEY+/- 5.38 10/10/2006 1,194,760
853,400 MORGAN STANLEY+/- 5.38 10/30/2006 853,400
262,421 MORGAN STANLEY+/- 5.39 09/14/2007 262,421
17,068 MORGAN STANLEY+/- 5.48 01/19/2007 17,074
457,422 NATIONWIDE BUILDING SOCIETY+/-++ 5.42 12/11/2006 457,588
273,941 NATIONWIDE BUILDING SOCIETY+/-++ 5.61 07/20/2007 274,339
170,680 NEWPORT FUNDING CORPORATION++ 5.39 09/26/2006 170,044
361,825 NIEUW AMSTERDAM RECEIVABLES CORPORATION++ 5.43 10/23/2006 359,008
34,136 NORTH SEA FUNDING LLC 5.25 11/24/2006 33,723
17,068 NORTH SEA FUNDING LLC++ 5.38 10/16/2006 16,954
201,829 PERRY GLOBAL FUNDING LIMITED SERIES A++ 5.24 09/05/2006 201,712
7,117 PERRY GLOBAL FUNDING LIMITED SERIES A++ 5.43 09/25/2006 7,092
4,694 PERRY GLOBAL FUNDING LIMITED SERIES A 5.50 11/10/2006 4,644
6,827 PICAROS FUNDING LLC++ 5.41 11/03/2006 6,763
801,428 RACERS TRUST 2004-6-MM+/-++ 5.35 02/22/2007 801,428
54,020 ROYAL BANK OF SCOTLAND PLC+/- 5.41 11/24/2006 54,025
426,700 ROYAL BANK OF SCOTLAND PLC+/-++ 5.41 11/24/2006 426,747
55,812 ROYAL BANK OF SCOTLAND PLC+/-++ 5.50 03/30/2007 55,833
426,700 SEDNA FINANCE INCORPORATED+/-++ 5.24 12/08/2006 426,700
2,679,676 SHEFFIELD RECEIVABLES CORPORATION 5.28 09/01/2006 2,679,676
341,360 SLM CORPORATION+/-++ 5.33 09/12/2007 341,360
1,197,747 SLM CORPORATION+/- 5.60 01/25/2007 1,198,554
87,388 SLM CORPORATION+/- 5.69 07/25/2007 87,591
213,811 TANGO FINANCE CORPORATION+/-++ 5.36 10/25/2006 213,811
612,195 TIERRA ALTA FUNDING I LIMITED 5.35 11/01/2006 606,697
612,144 TIERRA ALTA FUNDING I LIMITED 5.35 11/08/2006 606,016
1,706,800 TRANSAMERICA OCCIDENTAL LIFE INSURANCE+/- 5.51 08/31/2007 1,706,800
328,030 TRAVELERS INSURANCE COMPANY+/- 5.40 02/09/2007 328,030
426,700 UNICREDITO ITALIANO+/-++ 5.38 09/07/2007 426,700
85,340 VERSAILLES CDS LLC++ 5.31 09/05/2006 85,290
85,340 VERSAILLES CDS LLC 5.32 09/08/2006 85,252
37,976 VERSAILLES CDS LLC 5.33 09/05/2006 37,954
25,602 VERSAILLES CDS LLC++ 5.36 09/22/2006 25,522
426,700 WAL-MART STORES INCORPORATED+/- 5.39 09/28/2007 426,638
546,176 WHISTLEJACKET CAPITAL LIMITED 5.34 10/16/2006 542,558
30,057 WHISTLEJACKET CAPITAL LIMITED++ 5.36 11/20/2006 29,703
98,653 WHITE PINE FINANCE LLC++ 5.30 09/01/2006 98,651
60,726,853
---------------
TOTAL COLLATERAL FOR SECURITIES LENDING (COST $60,726,853) 60,726,853
---------------
55
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
SHORT-TERM INVESTMENTS - 13.12%
COMMERCIAL PAPER - 6.41%
$ 12,000,000 FAIRWAY FINANCE CORPORATION^ 5.26% 09/12/2006 $ 11,980,713
13,000,000 GIRO BALANCED FUNDING CORPORATION^ 5.26 09/13/2006 12,977,207
24,957,920
---------------
SHARES
MUTUAL FUNDS - 6.71%
26,114,595 WELLS FARGO MONEY MARKET TRUST~+++ 26,114,595
---------------
TOTAL SHORT-TERM INVESTMENTS (COST $51,072,503) 51,072,515
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $487,599,959)* 127.23% $ 495,156,488
OTHER ASSETS AND LIABILITIES, NET (27.23) (105,962,762)
------ ---------------
TOTAL NET ASSETS 100.00% $ 389,193,726
====== ===============
<< ALL OR A PORTION OF THIS SECURITY IS ON LOAN. (SEE NOTE 2).
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
@ FOREIGN BOND PRINCIPAL IS DENOMINATED IN US DOLLARS EXCEPT AS INDICATED
PARENTHETICALLY.
%% SECURITIES ISSUED ON A WHEN-ISSUED (TBA) BASIS. (SEE NOTE 2)
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
~ THIS WELLS FARGO ADVANTAGE FUND INVESTS CASH BALANCES THAT IT RETAINS FOR
LIQUIDITY PURPOSES IN A WELLS FARGO ADVANTAGE MONEY MARKET FUND. THE FUND
DOES NOT PAY AN INVESTMENT ADVISORY FEE FOR SUCH INVESTMENTS.
+++ SECURITY OF AN AFFILIATE OF THE FUND WITH A COST OF $27,432,240.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
56
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
COMMON STOCKS - 94.52%
ADMINISTRATION OF ENVIRONMENTAL QUALITY & HOUSING PROGRAMS - 0.01%
4,900 KURITA WATER INDUSTRIES LIMITED $ 87,027
---------------
AGRICULTURAL PRODUCTION CROPS - 0.04%
7,162 CHIQUITA BRANDS INTERNATIONAL INCORPORATED 121,109
3,203 DELTA & PINE LAND COMPANY+ 129,593
250,702
---------------
AGRICULTURAL SERVICES - 0.22%
40,876 ABB GRAIN LIMITED 208,475
42,035 AWB LIMITED 112,328
149,800 IJM PLANTATIONS BHD 65,113
181,700 PADIBERAS NASIONAL BHD 85,396
215,000 PERUSAHAAN PERKEBUNAN LONDON SUMATRA INDONESIA TBK PT 113,444
8,300 UNITED MALACCA BHD 10,462
204,800 UNITED PLANTATIONS BHD+ 472,915
13,183 VCA ANTECH INCORPORATED 466,942
1,535,075
---------------
AIRPORT DEVELOP, MAINTENANCE - 0.01%
8,246 EMPRESA BRASILEIRA DE AERONAUTICA SA+ 79,922
---------------
AMUSEMENT & RECREATION SERVICES - 0.65%
10,469 ARISTOCRAT LEISURE LIMITED+ 104,709
11,336 BALLY TECHNOLOGIES INCORPORATED+ 178,429
295,800 BERJAYA LAND BHD 41,385
113,400 BERJAYA SPORTS TOTO BHD 138,631
370,000 CHINA TRAVEL INTERNATIONAL INVESTMENT HONG KONG LIMITED+ 90,392
1,141 CLUB MEDITERRANEE 60,810
62,949 CORPORATION INTERAMERICANA DE ENTRETENIMIENTO SA 112,482
12,512 FLIGHT CENTRE LIMITED 109,954
4,627 GREEK ORGANIZATION OF FOOTBALL PROGNOSTICS SA 164,558
5,089 HARRAH'S ENTERTAINMENT INCORPORATED 317,331
1,200 HIS COMPANY LIMITED+ 31,381
8,107 INTERNATIONAL GAME TECHNOLOGY+ 313,579
9,689 INTERNATIONAL SPEEDWAY CORPORATION CLASS A+ 468,948
3,492 INTRALOT SA-INTEGRATED LOTTERY SYSTEMS & SERVICES+ 100,660
74 KUONI REISEN HOLDING 38,778
9,759 LADBROKERS PLC NEW+ 71,028
2,636 LOTTOMATICA SPA 101,989
525,400 MAGNUM CORPORATION BHD 306,876
218,500 MIDA-MEDALIST ENTERTAINMENT PCL 35,176
7,128 MULTIMEDIA GAMES INCORPORATED<< 68,286
4,700 NAMCO BANDAI HOLDINGS INCORPORATED 74,026
3,600 ORIENTAL LAND COMPANY LIMITED 206,074
6,565 PENN NATIONAL GAMING INCORPORATED 217,433
10,952 PINNACLE ENTERTAINMENT INCORPORATED 282,343
2,400 RESORTTRUST INCORPORATED 67,465
12 ROUND ONE CORPORATION 48,043
3,500 SEGA SAMMY HOLDINGS INCORPORATED 119,554
16,215 SIX FLAGS INCORPORATED<< 84,642
19,164 TABCORP HOLDINGS LIMITED+ 221,524
33,408 TATTERSALL'S LIMITED 83,408
11,000 TOKYO DOME CORPORATION 62,030
12,000 TOKYOTOKEIBA COMPANY LIMITED 38,945
10,697 WESTWOOD ONE INCORPORATED 78,409
4,439,278
---------------
57
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
APPAREL & ACCESSORY STORES - 1.13%
6,643 ABERCROMBIE & FITCH COMPANY CLASS A $ 428,673
10,558 AEROPOSTALE INCORPORATED+ 268,173
14,144 ANN TAYLOR STORES CORPORATION+ 562,931
3,300 AOKI HOLDINGS INCORPORATED 58,750
3,400 AOYAMA TRADING COMPANY LIMITED 110,635
16,007 BULGARI SPA 200,664
8,767 CATO CORPORATION+ 203,657
461 CHARLES VOEGELE HOLDING AG 36,536
29,039 CHARMING SHOPPES INCORPORATED+ 382,153
13,841 CHICO'S FAS INCORPORATED+ 255,228
4,429 CHILDREN'S PLACE RETAIL STORES INCORPORATED 256,749
2,000 CHIYODA COMPANY LIMITED 47,702
8,447 CHRISTOPHER & BANKS CORPORATION 205,684
19,500 CITIZEN WATCH COMPANY LIMITED 161,123
25,483 COLORADO GROUP LIMITED 91,250
7,000 DAIMARU INCORPORATED 86,401
10,998 DRESS BARN INCORPORATED 194,115
1,500 FAST RETAILING COMPANY LIMITED 139,912
256,000 GIORDANO INTERNATIONAL LIMITED 145,162
9,000 HANKYU DEPARTMENT STORES 71,604
12,005 HOT TOPIC INCORPORATED+<< 118,609
2,431 INDUSTRIA DE DISENO TEXTIL SA 109,661
6,600 ISETAN COMPANY LIMITED 111,316
22,104 JUST GROUP LIMITED 58,055
6,191 KOHLS CORPORATION 386,999
3,237 L'OREAL SA 338,816
7,193 LIMITED BRANDS+ 185,076
2,832 LOJAS RENNER SA+ 172,377
12,300 MARUI COMPANY LIMITED 183,146
17,000 MITSUKOSHI LIMITED 80,080
2,400 NISHIMATSUYA CHAIN COMPANY LIMITED 46,203
17,887 NORDSTROM INCORPORATED 668,079
1,603 ORIFLAME COSMETICS SA 55,300
15,315 PACIFIC SUNWEAR OF CALIFORNIA<< 204,608
16,064 PAYLESS SHOESOURCE INCORPORATED 376,861
2,237 PINAULT-PRINTEMPTS-REDOUTE SA 308,947
730 POINT INCORPORATED 39,113
1,000 RIGHT ON COMPANY LIMITED 32,369
900 SHIMANURA COMPANY LIMITED 88,777
9,000 TAKASHIMAYA COMPANY LIMITED 113,463
1,900 UNITED ARROWS LIMITED 33,664
9,811 URBAN OUTFITTERS INCORPORATED+ 153,935
7,772,556
---------------
APPAREL & OTHER FINISHED PRODUCTS MADE FROM FABRICS & SIMILAR MATERIALS - 0.32%
7,091 BILLABONG INTERNATIONAL LIMITED 80,127
9,051 HENNES & MAURITZ AB CLASS B 351,584
8,600 JONES APPAREL GROUP INCORPORATED 269,180
8,000 LIZ CLAIBORNE INCORPORATED 298,960
206 NOBEL BIOCARE HOLDING AG+ 50,209
10,130 PHILLIPS-VAN HEUSEN CORPORATION<< 391,423
4,333 POLO RALPH LAUREN CORPORATION+ 255,604
45,500 PORTS DESIGN LIMITED 70,322
2,972 VALENTINO FASHION GROUP SPA 97,855
58
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
APPAREL & OTHER FINISHED PRODUCTS MADE FROM FABRICS & SIMILAR MATERIALS (CONTINUED)
4,600 VF CORPORATION $ 321,494
34,000 YGM TRADING LIMITED 31,039
2,217,797
---------------
AUTO PARTS & EQUIPMENT - 0.01%
96,200 SOMBOON ADVANCE TECHNOLOGY PCL 35,326
310,300 YARNAPUND PCL+ 50,781
86,107
---------------
AUTOMOTIVE DEALERS & GASOLINE SERVICE STATIONS - 0.32%
2,700 AUTOZONE INCORPORATED+ 243,810
1,741 CARMAX INCORPORATED 65,618
395 D'IETEREN SA 131,827
25,700 NISSAN MOTOR COMPANY LIMITED 292,038
27,500 TOYOTA MOTOR CORPORATION 1,492,185
2,225,478
---------------
AUTOMOTIVE REPAIR, SERVICES & PARKING - 0.04%
5,237 RYDER SYSTEM INCORPORATED 258,813
---------------
BUILDING CONSTRUCTION-GENERAL CONTRACTORS & OPERATIVE BUILDERS - 0.94%
7,584 BEAZER HOMES USA INCORPORATED 305,635
10,498 CENTEX CORPORATION 534,873
184,900 CH KARNCHANG PCL 35,917
3,000 COMSYS HOLDINGS CORPORATION 35,112
66,321 CONSORCIO ARA SA DE CV 308,726
12,000 DAIWA HOUSE INDUSTRY COMPANY LIMITED 195,443
44,144 DESARROLLADORA HOMEX SA DE CV 271,993
6,011 DR HORTON INCORPORATED+ 131,821
460,900 E&O PROPERTY DEVELOPMENT BHD 88,899
39,422 EMPRESAS ICA SOCIEDAD CONTROLADORA SA DE CV 133,659
151,100 EVERGREEN FIBREBOARD BHD+ 34,891
73,800 GAMUDA BHD 81,399
14,500 HASEKO CORPORATION 51,876
13,306 IMPREGILO SPA 49,223
595,700 ITALIAN-THAI DEVELOPMENT PCL 82,428
5,000 JGC CORPORATION 89,868
23,000 KAJIMA CORPORATION+ 106,580
7,734 KB HOME+ 330,706
6,000 KINDEN CORPORATION 48,503
958,500 LAND & HOUSES PCL 183,640
8,637 LEIGHTON HOLDINGS LIMITED 130,634
12,088 LENNAR CORPORATION CLASS A+ 542,026
3,445 MDC HOLDINGS INCORPORATED 147,412
462 NVR INCORPORATED 237,306
18,000 OBAYASHI CORPORATION 124,656
9,000 OKUMURA CORPORATION 49,295
5,233 PULTE HOMES INCORPORATED+ 155,263
166,499 SARE HOLDING SA DE CV 187,661
12,000 SEKISUI CHEMICAL COMPANY LIMITED 105,286
16,000 SEKISUI HOUSE LIMITED 237,421
18,000 SHIMIZU CORPORATION 106,717
291,300 SINO THAI ENGINEERING & CONSTRUCTION PCL 34,727
6,824 STANDARD-PACIFIC CORPORATION 163,298
27,000 TAISEI CORPORATION 97,057
59
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
BUILDING CONSTRUCTION-GENERAL CONTRACTORS & OPERATIVE BUILDERS (CONTINUED)
11,000 TODA CORPORATION $ 52,847
5,000 TRONOH CONSOLIDATED MALAYSIA BHD+ 5,270
8,065 UNITED CONSTRUCTION GROUP LIMITED 84,852
101,681 URBI DESARROLLOS URBANOS SA DE CV 265,548
1,610 VINCI SA 174,294
6,456 WALTER INDUSTRIES INCORPORATED<< 355,338
8,220 WCI COMMUNITIES INCORPORATED<< 126,917
6,485,017
---------------
BUILDING MATERIALS, HARDWARE, GARDEN SUPPLY & MOBILE HOME DEALERS - 0.66%
11,000 ASAHI GLASS COMPANY LIMITED 144,299
11,945 FASTENAL COMPANY 438,143
6,754 FLETCHER BUILDING LIMITED 38,367
21,000 FUJI ELECTRIC HOLDINGS COMPANY LIMITED 106,614
18,892 GRAFTON GROUP PLC 258,493
38,459 HOME DEPOT INCORPORATED 1,318,759
27,398 KINGFISHER PLC 123,114
9,858 KINGSPAN GROUP PLC+ 176,561
2,600 KOMERI COMPANY LIMITED 90,140
32,094 LOWE'S COMPANIES INCORPORATED+ 868,464
18,000 MATSUSHITA ELECTRIC WORKS LIMITED 191,967
3,600 RINNAI CORPORATION 99,970
17,217 SANDVIK AB+ 188,283
3,147 SCHNEIDER ELECTRIC SA 335,645
89,000 TECHTRONIC INDUSTRIES COMPANY 131,144
4,509,963
---------------
BUSINESS SERVICES - 4.88%
24,231 3COM CORPORATION+ 107,343
17,557 ACTIVISION INCORPORATED+ 226,485
7,396 ACTUATE CORPORATION+ 27,957
9,744 ADOBE SYSTEMS INCORPORATED+ 316,095
7,103 AFFILIATED COMPUTER SERVICES INCORPORATED CLASS A+ 364,668
10,337 AKAMAI TECHNOLOGIES INCORPORATED+ 405,210
4,036 ALLIANCE DATA SYSTEMS CORPORATION+ 203,979
3,620 ANSYS INCORPORATED+ 169,199
11,530 AQUANTIVE INCORPORATED+ 285,944
3,973 ARBITRON INCORPORATED<< 149,067
13,381 ARIBA INCORPORATED+ 110,795
655 ATOS ORIGIN SA 34,397
16,001 AUTODESK INCORPORATED+ 556,195
8,629 AUTOMATIC DATA PROCESSING INCORPORATED 407,289
7,866 AVOCENT CORPORATION+ 237,789
27,840 BEA SYSTEMS INCORPORATED 382,243
5,589 BISYS GROUP INCORPORATED+ 57,511
14,367 BMC SOFTWARE INCORPORATED+ 382,450
12,369 BORLAND SOFTWARE CORPORATION 72,730
5,301 CACI INTERNATIONAL INCORPORATED CLASS A+ 281,271
17,803 CADENCE DESIGN SYSTEMS INCORPORATED 292,503
8,990 CATALINA MARKETING CORPORATION 257,564
10,301 CENDANT CORPORATION+<< 19,881
8,705 CERIDIAN CORPORATION+ 207,788
5,132 CERNER CORPORATION+ 236,380
19,585 CHECK POINT SOFTWARE TECHNOLOGIES+ 364,085
4,747 CHECKFREE CORPORATION+ 169,943
90,000 CHINA UNICOM LIMITED 80,658
60
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
BUSINESS SERVICES (CONTINUED)
4,362 CHOICEPOINT INCORPORATED $ 157,686
9,445 CIBER INCORPORATED+ 62,431
22,204 CNET NETWORKS INCORPORATED+<< 209,384
8,846 COGNEX CORPORATION+ 225,838
9,735 COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION CLASS A 680,574
13,266 COMPUTER SCIENCES CORPORATION+ 628,543
21,983 COMPUWARE CORPORATION 167,071
7,077 CONVERGYS CORPORATION+ 147,697
9,009 CSG SYSTEMS INTERNATIONAL INCORPORATED 242,522
87,840 DATATEC LIMITED 346,368
2,629 DCC PLC 66,016
9,790 DELUXE CORPORATION 175,437
17 DENA COMPANY LIMITED+ 49,235
7,016 DIGITAL RIVER INCORPORATED 340,557
1,745 DST SYSTEMS INCORPORATED 103,007
22,053 EARTHLINK INCORPORATED 162,090
16,308 eBAY INCORPORATED+ 454,341
4,953 ELECTRONIC ARTS INCORPORATED+ 252,454
14,783 ELECTRONICS FOR IMAGING 340,600
617 EURONEXT NV 55,491
7,226 F5 NETWORKS INCORPORATED 361,950
1,313 FACTSET RESEARCH SYSTEMS INCORPORATED 57,903
3,222 FAIR ISAAC CORPORATION+ 112,802
5,451 FIDELITY NATIONAL INFORMATION SERVICES INCORPORATED 199,725
6,698 FILENET CORPORATION 234,028
12,516 FIRST DATA CORPORATION 537,813
10,614 FISERV INCORPORATED+ 468,820
802,000 FOUNDER HOLDINGS LIMITED 40,733
35,785 GEMPLUS INTERNATIONAL SA+ 73,353
2,969 GETTY IMAGES INCORPORATED+ 134,882
4,598 GLOBAL PAYMENTS INCORPORATED 174,954
3,259 GOOGLE INCORPORATED CLASS A 1,233,629
2,522 GROUPE BRUXELLES LAMBERT SA 264,785
20,500 HONG KONG EXCHANGES & CLEARING LIMITED 139,175
8,610 HURRAY! HOLDING COMPANY LIMITED+ 54,846
9,076 HYPERION SOLUTIONS CORPORATION+ 300,597
5,245 INFOSPACE INCORPORATED 116,596
4,360 INTERGRAPH CORPORATION 162,890
6,944 INTERNET SECURITY SYSTEMS INCORPORATED+ 192,071
29,783 INTERPUBLIC GROUP OF COMPANIES INCORPORATED 273,408
5,904 INTERWOVEN INCORPORATED+ 64,767
5,242 INTUIT INCORPORATED+ 158,413
6,130 IRON MOUNTAIN INCORPORATED+ 251,269
4,542 JDA SOFTWARE GROUP INCORPORATED 75,352
9,884 JUNIPER NETWORKS INCORPORATED+ 144,998
5,501 KEANE INCORPORATED 85,155
13,340 KFX INCORPORATED<< 213,707
4,929 KRONOS INCORPORATED 150,433
4,999 LAMAR ADVERTISING COMPANY 261,448
34,000 MARUBENI CORPORATION 181,592
10,412 MCAFEE INCORPORATED 236,977
14,171 MENTOR GRAPHICS CORPORATION 205,480
144,520 MICROSOFT CORPORATION+ 3,712,719
7,288 MONSTER WORLDWIDE INCORPORATED 296,913
20,477 MPS GROUP INCORPORATED+ 287,907
4,165 MRO SOFTWARE INCORPORATED 106,999
61
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
BUSINESS SERVICES (CONTINUED)
5,735 NAVTEQ CORPORATION $ 152,322
4,834 NCO GROUP INCORPORATED+ 126,651
10,017 NCR CORPORATION 348,491
10,343 NETFLIX INCORPORATED+<< 206,963
23,909 NOVELL INCORPORATED+ 159,473
32,000 NWS HOLDINGS LIMITED 64,928
2,705 OMNICOM GROUP INCORPORATED 236,471
3,702 OMX AB 56,193
71,915 ORACLE CORPORATION 1,125,470
5,184 PACKETEER INCORPORATED+ 52,099
20,826 PARAMETRIC TECHNOLOGY CORPORATION 335,507
14,876 PEROT SYSTEMS CORPORATION CLASS A 213,619
33,100 PHATRA SECURITIES PCL 34,351
24,488 PSION PLC 54,786
4,667 RADISYS CORPORATION+ 110,468
12,550 RED HAT INCORPORATED 291,662
16,824 RENT-A-CENTER INCORPORATED 455,930
1,169 REUTERS GROUP PLC 53,938
10,140 ROBERT HALF INTERNATIONAL INCORPORATED 313,732
15,496 RSA SECURITY INCORPORATED+ 431,564
12,029 S1 CORPORATION+ 61,228
4,516 SALESFORCE.COM INCORPORATED 155,712
6,373 SAP AG+<< 304,247
10,931 SONICWALL INCORPORATED 112,152
10,175 SPHERION CORPORATION 76,007
6,852 SRA INTERNATIONAL INCORPORATED CLASS A+ 191,925
2,682 SUBMARINO SA 55,041
79,076 SUN MICROSYSTEMS INCORPORATED 394,589
17,456 SYBASE INCORPORATED+ 402,710
18,695 SYMANTEC CORPORATION 348,475
9,020 SYNOPSYS INCORPORATED 171,019
12,460 TAKE-TWO INTERACTIVE SOFTWARE INCORPORATED 152,012
6,596 TELETECH HOLDINGS INCORPORATED+ 99,600
7,245 THE BRINK'S COMPANY 412,748
10,487 THQ INCORPORATED+ 270,565
40,778 TIBCO SOFTWARE INCORPORATED+ 320,515
6,300 TOYOTA TSUSHO CORPORATION 165,825
6,079 TRANSACTION SYSTEMS ARCHITECTS INCORPORATED+ 201,640
18,902 UNISYS CORPORATION+ 101,126
3,369 UNITAB LIMITED 36,140
12,871 UNITED ONLINE INCORPORATED 147,630
14,858 UNITED RENTALS INCORPORATED 321,824
2,063 VIAD CORPORATION+ 73,092
4,462 VIGNETTE CORPORATION+ 61,709
9,142 WEBMETHODS INCORPORATED 72,130
7,947 WEBSENSE INCORPORATED+ 164,264
14,926 WIND RIVER SYSTEMS INCORPORATED 151,797
4,605 WPP GROUP PLC 56,116
236 YAHOO JAPAN CORPORATION 88,554
22,750 YAHOO! INCORPORATED<< 655,655
33,494,515
---------------
CHEMICALS & ALLIED PRODUCTS - 6.18%
25,894 ABBOTT LABORATORIES 1,261,038
2,691 ABRAXIS BIOSCIENCE INCORPORATED+<< 66,952
2,140 AIR PRODUCTS & CHEMICALS INCORPORATED 141,861
62
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
CHEMICALS & ALLIED PRODUCTS (CONTINUED)
8,101 ALBANY MOLECULAR RESEARCH INCORPORATED+ $ 79,390
5,897 ALEXION PHARMACEUTICALS INCORPORATED+ 221,432
17,864 AMGEN INCORPORATED+ 1,213,502
16,252 ANDRX CORPORATION+ 387,448
3,400 ARISAWA MANUFACTURING COMPANY LIMITED 51,466
71,300 AROMATICS THAILAND PCL 57,393
11,000 ASAHI KASEI CORPORATION 72,712
11,300 ASTELLAS PHARMA INCORPORATED 458,180
11,792 ASTRAZENECA PLC ADR 768,131
13,480 AVON PRODUCTS INCORPORATED 387,011
8,299 BARR PHARMACEUTICALS INCORPORATED 468,894
2,720 BASF AG+ 224,172
4,468 BAYER AG 221,613
6,807 BIOGEN IDEC INCORPORATED+<< 300,461
6,572 BRASKEM SA 42,761
31,925 BRISTOL-MYERS SQUIBB COMPANY+ 694,369
3,031 CABOT CORPORATION 100,720
6,851 CAMBREX CORPORATION+ 154,490
11,195 CELL GENESYS INCORPORATED+<< 55,863
23,454 CELL THERAPEUTICS INCORPORATED+<< 35,650
6,871 CHARLES RIVER LABORATORIES INTERNATIONAL INCORPORATED+ 279,237
18,438 CHEMTURA CORPORATION+ 160,226
352,000 CHINA PHARMACEUTICAL GROUP LIMITED 45,260
8,200 CHUGAI PHARMACEUTICAL COMPANY LIMITED 181,609
8,016 CHURCH & DWIGHT COMPANY INCORPORATED+ 308,616
7,390 COLGATE-PALMOLIVE COMPANY 442,365
2,899 CSL LIMITED 112,551
9,743 CUBIST PHARMACEUTICALS INCORPORATED<< 228,571
6,105 CYTEC INDUSTRIES INCORPORATED 325,702
7,374 DADE BEHRING HOLDINGS INCORPORATED 298,573
13,800 DAIICHI SANKYO COMPANY LIMITED+ 380,868
6,000 DAINIPPON SUMITOMO PHARMA COMPANY LIMITED 71,144
14,244 DOW CHEMICAL COMPANY+ 543,124
5,599 EASTMAN CHEMICAL COMPANY<< 293,668
10,738 ECOLAB INCORPORATED+ 478,700
12,991 EI DU PONT DE NEMOURS & COMPANY 519,250
6,696 EISAI COMPANY LIMITED 319,143
6,233 ELAN CORPORATION PLC 103,810
11,833 ESTEE LAUDER COMPANIES INCORPORATED CLASS A+ 436,164
5,015 FERRO CORPORATION+ 85,656
5,707 FMC CORPORATION+ 348,812
7,892 FOREST LABORATORIES INCORPORATED+ 394,442
8,248 GENENTECH INCORPORATED+ 680,625
5,053 GENZYME CORPORATION+ 334,660
9,401 GILEAD SCIENCES INCORPORATED 596,023
20,893 GLAXOSMITHKLINE PLC ADR 1,186,305
5,572 H LUNDBECK AS 128,476
9,436 HB FULLER COMPANY 181,454
2,700 HISAMITSU PHARMACEUTICAL COMPANY INCORPORATED 75,898
12,407 HOSPIRA INCORPORATED 454,468
6,355 IDEXX LABORATORIES INCORPORATED 584,724
4,996 IMCLONE SYSTEMS INCORPORATED+ 149,380
13,373 IMMUCOR INCORPORATED 277,757
6,318 IMPERIAL CHEMICAL INDUSTRIES PLC 44,781
4,715 INTERNATIONAL FLAVORS & FRAGRANCES INCORPORATED 187,516
4,465 INVITROGEN CORPORATION 271,695
63
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
CHEMICALS & ALLIED PRODUCTS (CONTINUED)
368,000 KALBE FARMA TBK PT+ $ 45,307
20,415 KING PHARMACEUTICALS INCORPORATED+<< 331,131
36,500 KINGBOARD CHEMICALS HOLDINGS LIMITED 117,799
16,000 KYOWA HAKKO KOGYO COMPANY LIMITED 117,211
16,481 LYONDELL CHEMICAL COMPANY 428,176
6,217 MARTEK BIOSCIENCES CORPORATION<< 186,945
9,346 MEDICINES COMPANY 210,846
11,793 MEDICIS PHARMACEUTICAL CORPORATION CLASS A+ 345,417
18,990 MEDIMMUNE INCORPORATED 524,884
31,113 MERCK & COMPANY INCORPORATED 1,261,632
14,581 MGI PHARMA INCORPORATED 220,611
24,762 MILLENNIUM PHARMACEUTICALS INCORPORATED 268,915
1,426 MINERALS TECHNOLOGIES INCORPORATED 74,138
1,900 MIRACA HOLDINGS INCORPORATED 46,774
17,000 MITSUBISHI CHEMICAL HOLDINGS CORPORATION 111,504
8,608 MONSANTO COMPANY+ 408,364
300 MURAMOTO ELECTRON THAILAND PCL 1,557
19,545 MYLAN LABORATORIES INCORPORATED+ 397,154
13,580 NABI BIOPHARMACEUTICALS 80,529
8,130 NEUROCRINE BIOSCIENCES INCORPORATED+<< 94,227
2,300 NITTO DENKO CORPORATION 165,160
18,182 NOVARTIS AG ADR 1,038,556
1,845 NOVO-NORDISK AS 136,124
10,957 NPS PHARMACEUTICALS INCORPORATED 48,868
13,699 OLIN CORPORATION 205,896
5,202 OM GROUP INCORPORATED 208,080
1,612 OMEGA PHARMA SA 92,914
4,300 ONO PHARMACEUTICAL COMPANY LIMITED 200,358
7,828 ONYX PHARMACEUTICALS INCORPORATED+<< 118,281
4,320 OSI PHARMACEUTICALS INCORPORATED 161,006
7,762 PAR PHARMACEUTICAL COMPANIES INCORPORATED<< 139,328
8,680 PDL BIOPHARMA INCORPORATED 170,996
21,288 PERRIGO COMPANY 343,588
99,148 PFIZER INCORPORATED 2,732,519
1,428 PPG INDUSTRIES INCORPORATED 90,478
4,302 PRAXAIR INCORPORATED 246,978
56,379 PROCTER & GAMBLE COMPANY 3,489,860
75,000 PT TEMPO SCAN PACIFIC - LOCAL 56,062
91,900 PTT CHEMICAL PCL 189,522
5,249 RECKITT BENCKISER PLC+ 217,876
6,569 RECORDATI SPA 47,844
11,980 ROCHE HOLDING AG 1,102,341
10,253 ROHM & HAAS COMPANY 452,157
23,952 RPM INTERNATIONAL INCORPORATED+ 450,537
17,805 SANOFI-AVENTIS 800,335
3,200 SANTEN PHARMACEUTICAL COMPANY LIMITED 78,913
460 SCHERING AG+ 53,334
5,910 SENSIENT TECHNOLOGIES CORPORATION+ 118,909
7,882 SEPRACOR INCORPORATED<< 370,533
108 SERONO SA CLASS B 75,285
5,100 SHIN-ETSU CHEMICAL COMPANY LIMITED 290,634
7,000 SHIONOGI & COMPANY LIMITED 125,815
2,777 SHIRE PLC+ 47,165
9,668 SHISEIDO COMPANY LIMITED 192,065
42,051 SIGMA PHARMACEUTICALS LIMITED 79,944
3,648 SIGMA-ALDRICH CORPORATION+ 264,954
64
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
CHEMICALS & ALLIED PRODUCTS (CONTINUED)
116,000 SINOPEC SHANGHAI PETROCHEMICAL COMPANY LIMITED $ 54,739
20,000 SUMITOMO CHEMICAL COMPANY LIMITED 157,417
15,800 TAKEDA PHARMACEUTICAL COMPANY LIMITED 1,045,752
7,000 TANABE SEIYAKU COMPANY LIMITED 89,203
6,274 TARO PHARMACEUTICALS INDUSTRIES+<< 82,064
594,300 THAI PETROCHEM 114,653
9,469 THE MOSAIC COMPANY 153,777
1,000 TSUMURA & CO. 25,086
2,614 UCB SA 153,247
4,777 UNITED THERAPEUTICS CORPORATION 260,776
16,972 USEC INCORPORATED+ 171,587
7,768 VERTEX PHARMACEUTICALS INCORPORATED 267,608
21,691 WYETH+ 1,056,352
42,485,359
---------------
COAL MINING - 0.48%
3,997 ANGLO AMERICAN PLC+ 172,909
10,621 ANGLO AMERICAN PLC ADR 230,263
9,881 ARCH COAL INCORPORATED 323,603
30,000 BANPU PCL 112,560
14,281 BHP BILLITON PLC 272,187
609,500 BUMI RESOURCES TBK PT(a) 50,250
139,000 CHINA SHENHUA ENERGY COMPANY LIMITED 245,928
12,768 CONSOL ENERGY INCORPORATED+ 465,649
23,060 INTERNATIONAL COAL GROUP INCORPORATED 143,894
4,574 PEABODY ENERGY CORPORATION+ 201,576
31,484 SASOL LIMITED 1,090,922
3,309,741
---------------
COMMUNICATIONS - 4.07%
11,829 ADTRAN INCORPORATED 294,187
112,900 ADVANCED INFO SERVICE PCL+ 268,881
5,601 ALLTEL CORPORATION 303,630
939,629 AMERICA MOVIL SA DE CV 1,756,485
7,402 AMERICAN TOWER CORPORATION CLASS A+ 265,436
8,643 ANIXTER INTERNATIONAL INCORPORATED+ 470,957
53,562 AT&T INCORPORATED<< 1,667,385
6,474 AUDIOVOX CORPORATION+ 95,880
35,549 AVAYA INCORPORATED+ 371,487
7,269 BELGACOM SA 256,750
26,730 BELLSOUTH CORPORATION 1,088,446
56,519 BT GROUP PLC+ 265,269
1,374 BT GROUP PLC ADR 64,660
17,599 CABLE & WIRELESS PLC 41,132
14,258 CABLEVISION SYSTEMS CORPORATION 331,926
175,401 CARSO GLOBAL TELECOM SA DE CV+ 485,397
8,525 CENTURYTEL INCORPORATED+ 339,466
416,000 CHAMPION TECHNOLOGY HOLDINGS LIMITED 68,466
81,500 CHINA MOBILE LIMITED 548,066
39,000 CHINA NETCOM GROUP CORPORATION HONG KONG LIMITED 68,500
736,000 CHINA TELECOM CORPORATION LIMITED 247,944
50,014 CINCINNATI BELL INCORPORATED 252,571
21,373 COMCAST CORPORATION CLASS A 748,055
15,135 CROWN CASTLE INTERNATIONAL CORPORATION+ 520,039
5,598 CUMULUS MEDIA INCORPORATED+ 56,204
22,654 DEUTSCHE TELEKOM AG 331,655
65
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
COMMUNICATIONS (CONTINUED)
30,200 DIGI.COM BHD $ 96,811
11,754 ECHOSTAR COMMUNICATIONS CORPORATION 373,190
2,121 EMBARQ CORPORATION+ 100,005
3,602 ENTERCOM COMMUNICATIONS CORPORATION 91,527
21,215 EXTREME NETWORKS 78,283
1,957 FASTWEB 76,144
14,557 FRANCE TELECOM SA<< 324,912
151,102 GRUPO TELEVISA SA 573,922
5,043 HUSQVARNA AB B SHARES 54,454
6,659 IAC INTERACTIVECORP+ 189,648
9,213 IDT CORPORATION 131,562
42,432 INDEPENDENT NEWS & MEDIA PLC+ 135,904
54 KDDI CORPORATION 356,489
1,379,600 LEADER UNIVERSAL HOLDINGS BHD 170,529
2,713 LEAP WIRELESS INTERNATIONAL INCORPORATED+ 125,503
63,545 LEVEL 3 COMMUNICATIONS INCORPORATED<< 281,504
13,685 LIBERTY GLOBAL INCORPORATED+ 315,850
1,984 LIBERTY MEDIA HOLDING CORPORATION CAPITAL SERIES A 171,279
10,037 LIBERTY MEDIA HOLDING CORPORATION INTERACTIVE SERIES A+ 191,305
8,054 LIVE NATION INCORPORATED<< 168,973
66,200 MAXIS COMMUNICATIONS BHD 158,261
5,576 MEDIASET SPA 64,436
76,000 MOBILONE LIMITED 98,516
580 MOBISTAR SA 47,705
48,330 MTN GROUP LIMITED+ 383,157
9,589 NII HOLDINGS INCORPORATED 511,573
16,517 NIPPON TELEGRAPH & TELEPHONE CORPORATION 415,898
30,114 NTT DOCOMO INCORPORATED 466,767
110,000 PCCW LIMITED 68,880
7,954 PORTUGAL TELECOM SGPS SA 99,966
156,000 PT INDONESIAN SATELLITE CORPORATION TBK (INDOSAT) 75,453
19,768 QWEST COMMUNICATIONS INTERNATIONAL INCORPORATED+ 174,156
9,365 RADIO ONE INCORPORATED CLASS D 57,501
141 RAKUTEN INCORPORATED+ 61,135
400 ROGERS COMMUNICATIONS INCORPORATED+ 20,628
1,811 ROGERS COMMUNICATIONS INCORPORATED ADR 93,375
6,812 ROYAL KPN NV+ 84,043
6,991 ROYAL KPN NV ADR 86,688
543 RTL GROUP 55,097
379,400 SAMART CORPORATION PCL 97,929
15,729 SBA COMMUNICATIONS CORPORATION 404,864
188,600 SHIN SATELLITE PCL 45,920
6,340 SINCLAIR BROADCAST GROUP INCORPORATED+ 48,945
188,100 SINGAPORE TELECOMMUNICATIONS LIMITED 297,613
41,310 SPRINT NEXTEL CORPORATION+ 698,965
5,747 TDC AS 209,255
4,654 TELE NORTE LESTE PARTICIPACOES SA 118,412
5,189 TELE2 AB 51,376
262,500 TELECOM ASIA 63,215
28,375 TELECOM CORPORATION OF NEW ZEALAND LIMITED 77,712
97,374 TELECOM ITALIA RNC SPA 239,521
96,414 TELECOM ITALIA SPA 266,804
172,900 TELECOM MALAYSIA BHD 427,435
3,803 TELECOMUNICACOES DE SAO PAULO SA+ 85,851
13,989 TELEFONAKTIEBOLAGET LM ERICSSON 467,233
8,558 TELEFONICA SA 440,138
66
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
COMMUNICATIONS (CONTINUED)
726,936 TELEFONOS DE MEXICO SA DE CV+ $ 880,614
2,078 TELEMAR NORTE LESTE SA 42,258
3,200 TELENOR ASA 40,494
3,814 TELEPHONE & DATA SYSTEMS INCORPORATED+ 161,752
21,651 TELIASONERA AB 133,847
82,152 TELSTRA CORPORATION LIMITED+ 225,803
3,030 TELUS CORPORATION 144,046
662,300 THAILAND BHAT+ 39,830
138,673 TV AZTECA SA DE CV 91,492
58,500 UNITED COMMUNICATION INDUSTRY PCL 66,937
14,860 UNIVISION COMMUNICATIONS INCORPORATED CLASS A 513,562
40,924 VERIZON COMMUNICATIONS INCORPORATED+ 1,439,706
5,677 VIACOM INCORPORATED+ 206,359
9,115 VIVENDI SA 313,545
23,696 VIVO PARTICIPACOES SA 75,155
39,982 VODAFONE GROUP PLC ADR 869,209
6,593 WINDSTREAM CORPORATION 87,028
17,293 XM SATELLITE RADIO HOLDINGS INCORPORATED 224,117
27,400 ZTE CORPORATION+ 93,714
27,930,559
---------------
COMPUTERS & OFFICE EQUIPMENT - 0.06%
8,295 AGILYSYS INCORPORATED 112,148
1,209,300 CAL-COMP ELECTRONICS THAILAND PCL 122,925
2,326 GAMESTOP CORPORATION 93,970
289,400 GLOBETRONICS TECHNOLOGY BHD 22,407
762,700 MAGNECOMP PRECISION TECHNOLOGY 45,868
397,318
---------------
CONSTRUCTION SPECIAL TRADE CONTRACTORS - 0.24%
12,713 ASIAINFO HOLDINGS INCORPORATED+ 54,539
5,175 CHEMED CORPORATION 203,947
7,648 DYCOM INDUSTRIES INCORPORATED+ 154,872
5,971 EMCOR GROUP INCORPORATED+ 331,032
5,357 INSITUFORM TECHNOLOGY INCORPORATED 122,943
171 KOBENHAVNS LUFTHAVNE 53,158
21,345 QUANTA SERVICES INCORPORATED+ 378,447
103,948 STEINHOFF INTERNATIONAL HOLDINGS LIMITED 339,002
1,637,940
---------------
CONSUMER SERVICES - 0.12%
21,441 EMDEON CORPORATION+ 254,076
2,690 LVMH MOET HENNESSY LOUIS VUITTON SA 276,909
97,600 RESORTS WORLD BHD 315,523
846,508
---------------
CONTAINERS, PACKAGING - 0.03%
336,100 CAN-ONE BHD 82,633
1,192,800 POLYPLEX PCL 96,490
179,123
---------------
DEPOSITORY INSTITUTIONS - 9.64%
12,444 ABN AMRO HOLDING NV 355,399
12,528 ALLIED IRISH BANKS PLC 327,425
6,430 ALPHA BANK AE 171,016
3,683 AMCORE FINANCIAL INCORPORATED 110,674
67
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
DEPOSITORY INSTITUTIONS (CONTINUED)
136,400 AMINVESTMENT GROUP BHD $ 58,547
274,800 AMMB HOLDINGS BHD 182,901
29,609 AMSOUTH BANCORPORATION 848,298
3,847 ANCHOR BANCORP WISCONSIN INCORPORATED 112,409
20,042 ANGLO IRISH BANK CORPORATION PLC 331,230
11,707 ASSOCIATED BANC-CORP 369,239
7,747 ASTORIA FINANCIAL CORPORATION 237,833
40,119 AUSTRALIA & NEW ZEALAND BANKING GROUP LIMITED 834,690
31,448 BANCA INTESA RNC SPA 200,340
45,502 BANCA INTESA SPA 304,882
29,201 BANCA MONTE DEI PASCHI DI SIENA SPA 177,608
8,557 BANCA POPOLARE ITALIANA 108,093
11,698 BANCO BILBAO VIZCAYA ARGENTARIA SA 267,366
9,665 BANCO BILBAO VIZCAYA ARGENTARIA SA ADR 221,329
6,181 BANCO BRADESCO SA 191,109
3,556 BANCO DO BRASIL SA+ 80,110
3,973 BANCO ITAU HOLDING FINANCEIRA SA 102,753
4,185 BANCO NOSSA CAIXA SA+ 85,886
2,588 BANCO POPOLARE DI VERONA E NOVARA SCRL 76,922
30,427 BANCO SANTANDER CENTRAL HISPANO SA<< 473,748
16,218 BANCORPSOUTH INCORPORATED 455,077
136,600 BANGKOK BANK PCL 381,666
415,500 BANK CENTRAL ASIA TBK PT 207,819
326,000 BANK MANDIRI PERSERO TBK PT 75,256
61,343 BANK OF AMERICA CORPORATION 3,157,324
261,000 BANK OF AYUDHYA PCL 124,319
1,078,000 BANK OF CHINA LIMITED 467,114
50,741 BANK OF EAST ASIA LIMITED 225,757
10,000 BANK OF FUKUOKA LIMITED 76,920
8,908 BANK OF HAWAII CORPORATION 434,889
17,186 BANK OF IRELAND 325,864
900 BANK OF MONTREAL+ 54,490
11,196 BANK OF NEW YORK COMPANY INCORPORATED 377,865
1,800 BANK OF NOVA SCOTIA 76,980
23,000 BANK OF YOKOHAMA LIMITED 181,814
136,000 BANK RAKYAT INDONESIA 65,032
11,130 BARCLAYS PLC 563,178
11,762 BB&T CORPORATION 503,414
15,636 BNP PARIBAS 830,115
166,000 BOC HONG KONG HOLDINGS LIMITED+ 364,134
212,900 BUMIPUTRA COMMERCE HOLDINGS BHD 370,160
600 CANADIAN IMPERIAL BANK OF COMMERCE 43,606
25,846 CAPITALIA SPA+ 225,496
7,699 CATHAY GENERAL BANCORP 287,096
15,000 CHIBA BANK LIMITED 139,657
5,763 CHINA BANKING CORPORATION 79,405
10,384 CHITTENDEN CORPORATION+ 299,578
63,344 CITIGROUP INCORPORATED 3,126,026
8,606 CITIZENS BANKING CORPORATION 216,871
12,939 COLONIAL BANCGROUP INCORPORATED 316,876
3,298 COMERICA INCORPORATED 188,811
4,761 COMMERCE BANCSHARES INCORPORATED 238,621
4,981 COMMERZBANK AG 174,212
24,824 COMMONWEALTH BANK OF AUSTRALIA+ 866,536
10,873 COMPASS BANCSHARES INCORPORATED+ 630,634
6,650 CREDIT AGRICOLE SA+ 270,158
68
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
DEPOSITORY INSTITUTIONS (CONTINUED)
5,404 CREDITO EMILIANO SPA $ 77,610
9,854 CULLEN FROST BANKERS INCORPORATED 580,992
9,840 DANSKE BANK 378,566
3,789 DEUTSCHE BANK AG+<< 433,121
22,611 DEXIA 580,809
7,313 DIME COMMUNITY BANCSHARES 104,503
10,826 EAST WEST BANCORP INCORPORATED 438,453
3,900 EFG EUROBANK ERGASIAS SA+ 117,917
1,716 ERSTE BANK DER OESTERREICHISCHEN SPARKASSEN AG 103,767
10,529 FIFTH THIRD BANCORP+ 414,211
18,070 FIRST BANCORP PUERTO RICO 166,063
11,937 FIRST HORIZON NATIONAL CORPORATION 455,755
10,244 FIRST MIDWEST BANCORP INCORPORATED 382,613
27,402 FIRST NIAGARA FINANCIAL GROUP INCORPORATED 409,934
2,628 FIRSTFED FINANCIAL CORPORATION<< 133,660
12,915 FIRSTMERIT CORPORATION 297,174
86,055 FIRSTRAND LIMITED 212,901
11,840 FNB CORPORATION PA 193,821
6,968 FORTIS 271,203
42,885 FULTON FINANCIAL CORPORATION 716,180
10,025 GREATER BAY BANCORP+ 285,412
31,400 HANG SENG BANK LIMITED 397,686
3,836 HARBOR FLORIDA BANCSHARES INCORPORATED<< 169,896
8,987 HBOS PLC+ 514,378
20,000 HOKUHOKU FINANCIAL GROUP INCORPORATED 78,709
68,900 HONG LOENG FINANCIAL GROUP BHD 84,979
15,249 HSBC HOLDINGS PLC+ 1,386,744
43,988 HUDSON CITY BANCORP INCORPORATED+ 574,483
21,850 HUNTINGTON BANCSHARES INCORPORATED+ 522,652
14,568 INDYMAC BANCORP INCORPORATED+<< 569,609
4,337 INVESTORS FINANCIAL SERVICES CORPORATION 201,063
12,000 JOYO BANK LIMITED 72,575
46,166 JPMORGAN CHASE & COMPANY 2,107,940
586 JULIUS BAER HOLDING AG 56,322
4,419 KBC GROEP NV 475,840
8,750 KEYCORP 321,913
129,200 KIATNAKIN BANK PCL 97,983
566,100 KRUNG THAI BANK PCL 171,728
9,505 LLOYDS TSB GROUP PLC 377,158
2,014 M&T BANK CORPORATION 246,634
138,400 MALAYAN BANKING BHD 421,103
134,800 MALAYSIAN PLANTATIONS BHD 79,100
19,233 MARSHALL & ILSLEY CORPORATION 896,835
11,818 MEDIOBANCA SPA+ 257,693
5,613 MELLON FINANCIAL CORPORATION 208,972
10,262 MERCANTILE BANKSHARES CORPORATION+ 378,976
3 MITSUBISHI UFJ FINANCIAL GROUP INCORPORATED 40,888
14,000 MITSUI TRUST HOLDINGS INCORPORATED 163,857
166 MIZUHO FINANCIAL GROUP INCORPORATED 1,341,914
27,000 MIZUHO TRUST & BANKING COMPANY LIMITED 63,708
5,432 NATIONAL AUSTRALIA BANK LIMITED<< 751,517
40,665 NATIONAL BANK OF GREECE SA 338,333
12,133 NATIONAL CITY CORPORATION 419,559
8,412 NETBANK INCORPORATED+ 51,650
23,111 NEW YORK COMMUNITY BANCORP INCORPORATED 379,252
12,000 NISHI-NIPPON CITY BANK LIMITED 58,265
69
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
DEPOSITORY INSTITUTIONS (CONTINUED)
19,790 NORDEA BANK AB+ $ 248,508
9,618 NORTH FORK BANCORPORATION INCORPORATED 263,918
13,673 OLD NATIONAL BANCORP 255,822
12,000 ORIENT CORPORATION 33,221
10,764 PACIFIC CAPITAL BANCORP+ 300,961
2,227 PARK NATIONAL CORPORATION+ 230,739
5,054 PEOPLE'S BANK BRIDGEPORT CT 182,702
4,276 PIRAEUS BANK SA 111,865
4,930 PNC FINANCIAL SERVICES GROUP 348,995
23,641 POPULAR INCORPORATED 450,361
590 PREMIERWEST BANCORP+ 9,110
5,940 PROVIDENT BANKSHARES CORPORATION 222,631
8,402 PROVIDENT FINANCIAL SERVICES INCORPORATED 156,697
127,500 PUBLIC BANK BHD 232,070
11,393 REGIONS FINANCIAL CORPORATION 410,034
15,296 REPUBLIC BANCORP INCORPORATED 197,777
93 RESONA HOLDINGS INCORPORATED 293,113
299,900 RHBCAPITAL BHD 223,234
6,800 ROYAL BANK OF CANADA 301,334
3,210 ROYAL BANK OF CANADA NEW YORK SHARES 142,588
23,754 ROYAL BANK OF SCOTLAND GROUP PLC 805,972
13,181 SANPAOLO IMI SPA+ 552,548
4 SAPPORO HOLDINGS 43,954
21,000 SHINSEI BANK LIMITED 129,333
9,000 SHIZUOKA BANK LIMITED 103,037
107,800 SIAM CITY BANK PCL 57,945
82,300 SIAM COMMERCIAL BANK PUBLIC COMPANY LIMITED 127,020
3,750 SKANDINAVISKA ENSKILDA BANKEN AB CLASS A 97,026
11,281 SKY FINANCIAL GROUP INCORPORATED+ 277,738
19,202 SOCIETE GENERALE+ 619,403
16,514 SOUTH FINANCIAL GROUP INCORPORATED 446,373
32,734 SOVEREIGN BANCORP INCORPORATED+ 682,183
21,340 ST GEORGE BANK LIMITED 487,326
24,085 STANDARD BANK GROUP LIMITED 259,811
6,428 STANDARD CHARTERED PLC 160,945
9,054 STERLING BANCSHARES INCORPORATED TEXAS+ 187,780
25,000 SUMITOMO TRUST & BANKING COMPANY LIMITED+ 266,408
14,940 SUNCORP-METWAY LIMITED 233,837
6,990 SUNTRUST BANKS INCORPORATED 534,036
11,628 SUSQUEHANNA BANCSHARES INCORPORATED 284,537
5,714 SVB FINANCIAL GROUP<< 258,216
22,217 SYNOVUS FINANCIAL CORPORATION 646,070
10,918 TCF FINANCIAL CORPORATION 284,632
13,097 TD BANKNORTH INCORPORATED+ 387,671
177,200 THAI FARMERS BANK PUB COMPANY LIMITED 294,705
254,900 THANACHART CAPITAL PCL 96,317
132,800 TISCO BANK PUBLIC COMPANY LIMITED 71,383
1,483,300 TMB BANK PUBLIC COMPANY LIMITED 127,095
1,200 TORONTO-DOMINION BANK+ 69,342
4,189 TORONTO-DOMINION BANK ADR 242,334
13,072 TRUSTCO BANK CORPORATION NEW YORK SHARES 143,792
10,428 TRUSTMARK CORPORATION+ 329,212
42,354 UNIBANCO - UNIAO DE BANCOS BRASILEIROS SA 130,381
92,073 UNICREDITO ITALIANO SPA+ 733,706
5,514 UNIONBANCAL CORPORATION 330,289
8,552 UNITED BANKSHARES INCORPORATED 318,733
70
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
DEPOSITORY INSTITUTIONS (CONTINUED)
19,763 US BANCORP+ $ 633,799
10,286 VALLEY NATIONAL BANCORP+ 263,836
30,598 W HOLDING COMPANY INCORPORATED 154,520
24,334 WACHOVIA CORPORATION 1,329,366
18,860 WASHINGTON FEDERAL INCORPORATED+ 419,069
15,992 WASHINGTON MUTUAL INCORPORATED 669,905
56,184 WELLS FARGO & COMPANY~+++ 1,952,394
4,525 WESTAMERICA BANCORPORATION 216,431
5,872 WESTPAC BANKING CORPORATION 523,782
14,252 WHITNEY HOLDING CORPORATION 501,243
3,637 WILMINGTON TRUST CORPORATION+ 160,210
7,000 WING HANG BANK LIMITED 67,235
4,521 WINTRUST FINANCIAL CORPORATION 227,452
66,243,168
---------------
DIVERSIFIED OPERATIONS - 0.09%
710,600 BOUSTEAD HOLDINGS BHD 366,786
390,000 CHINA RARE EARTH HOLDINGS LIMITED 78,730
18,000 HUTCHISON WHAMPOA LIMITED 163,515
609,031
---------------
EATING & DRINKING PLACES - 0.97%
7,400 ARAMARK CORPORATION CLASS B 242,646
16,300 AUTOGRILL SPA 247,042
9,812 BOB EVANS FARMS INCORPORATED 278,072
9,818 BRINKER INTERNATIONAL INCORPORATED 377,698
7,725 CBRL GROUP INCORPORATED+ 292,314
7,990 CEC ENTERTAINMENT INCORPORATED 254,721
16,076 CHEESECAKE FACTORY INCORPORATED 400,132
4,832 ELIOR 84,191
34,000 FU JI FOOD & CATERING SERVICES HOLDINGS LIMITED 53,335
4,528 IHOP CORPORATION 211,412
7,788 JACK IN THE BOX INCORPORATED 373,668
14,943 KRISPY KREME DOUGHNUTS INCORPORATED<< 123,280
7,032 LONE STAR STEAKHOUSE & SALOON INCORPORATED+ 191,833
22,849 MCDONALD'S CORPORATION 820,279
6,740 PAPA JOHNS INTERNATIONAL INCORPORATED+ 229,160
6,467 PF CHANG'S CHINA BISTRO INCORPORATED+<< 227,962
13,215 RUBY TUESDAY INCORPORATED+ 341,211
14,770 RYAN'S RESTAURANT GROUP INCORPORATED 232,775
2,000 SAIZERIYA COMPANY LIMITED 30,512
20,965 SONIC CORPORATION+ 459,762
12,230 TRIARC COMPANIES INCORPORATED CLASS B+ 178,069
9,726 WENDY'S INTERNATIONAL INCORPORATED 621,491
7,886 YUM! BRANDS INCORPORATED+ 385,468
6,657,033
---------------
EDUCATIONAL SERVICES - 0.25%
2,852 APOLLO GROUP INCORPORATED CLASS A+ 143,199
6,995 CAREER EDUCATION CORPORATION 133,954
12,702 DEVRY INCORPORATED+ 283,890
7,786 ITT EDUCATIONAL SERVICES INCORPORATED 514,577
7,940 LAUREATE EDUCATION INCORPORATED+ 381,279
2,288 STRAYER EDUCATION INCORPORATED 241,155
1,698,054
---------------
71
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
ELECTRIC, GAS & SANITARY SERVICES - 4.80%
14,461 AGL RESOURCES INCORPORATED $ 526,236
14,096 ALINTA LIMITED+ 118,600
11,780 ALLEGHENY ENERGY INCORPORATED+ 491,697
8,810 ALLIANT ENERGY CORPORATION 322,358
15,711 ALLIED WASTE INDUSTRIES INCORPORATED+ 162,452
18,006 AMEREN CORPORATION 964,221
6,298 AMERICAN ELECTRIC POWER COMPANY INCORPORATED 229,751
78,946 AQUILA INCORPORATED+ 361,573
17,325 ATMOS ENERGY CORPORATION 498,960
24,754 AUSTRALIAN GAS LIGHT COMPANY LIMITED 381,206
8,408 AVISTA CORPORATION 203,810
6,303 BLACK HILLS CORPORATION 219,407
21,710 CENTERPOINT ENERGY INCORPORATED 313,710
31,392 CENTRICA PLC 176,326
12,600 CHUBU ELECTRIC POWER COMPANY INCORPORATED 341,309
24,619 CITIZENS COMMUNICATIONS COMPANY 339,496
7,886 CLECO CORPORATION+ 196,835
33,000 CLP HOLDINGS LIMITED 208,763
15,190 CMS ENERGY CORPORATION+ 222,382
6,715 CONSOLIDATED EDISON INCORPORATED+ 310,233
14,251 CONSTELLATION ENERGY GROUP INCORPORATED+ 856,343
11,454 CPFL ENERGIA SA+ 149,586
92,000 DATANG INTERNATIONAL POWER GENERATION COMPANY LIMITED 61,394
5,793 DOMINION RESOURCES INCORPORATED 462,803
9,062 DPL INCORPORATED<< 251,924
15,774 DTE ENERGY COMPANY 658,407
18,255 DUKE ENERGY CORPORATION 547,650
14,871 DUQUESNE LIGHT HOLDINGS INCORPORATED+ 292,810
83,628 DYNEGY INCORPORATED CLASS A 518,494
11,523 E.ON AG ADR+<< 488,575
4,668 EDISON INTERNATIONAL 203,712
19,099 EDISON SPA 39,737
3,107 EDP - ENERGIAS DO BRASIL SA+ 39,272
53,872 EL PASO CORPORATION+ 782,221
6,826 EL PASO ELECTRIC COMPANY 163,210
1,600 ELECTRIC POWER DEVELOPMENT COMPANY 59,696
2,324 ELECTRICITE DE FRANCE 132,226
48,600 ELECTRICITY GENERATING PCL 98,933
7,586 ENEL SPA 67,740
3,431 ENEL SPA ADR<< 153,640
11,825 ENERGY EAST CORPORATION+ 286,756
4,239 ENTERGY CORPORATION+ 329,158
12,635 ENVESTRA LIMITED 11,094
10,563 EXELON CORPORATION 644,132
5,884 FIRSTENERGY CORPORATION+ 335,741
7,313 FPL GROUP INCORPORATED+<< 325,063
3,939 GREAT PLAINS ENERGY INCORPORATED 120,218
15,163 GRUPO ELEKTRA SA DE CV 146,865
16,001 HAWAIIAN ELECTRIC INDUSTRIES INCORPORATED+ 438,747
57,008 HONG KONG & CHINA GAS 132,390
53,000 HONG KONG ELECTRIC HOLDINGS LIMITED 253,509
22,605 HONG KONG ELECTRIC HOLDINGS LIMITED ADR 108,131
204,000 HUANENG POWER INTERNATIONAL INCORPORATED 135,611
7,175 IDACORP INCORPORATED 275,664
14,300 KANSAI ELECTRIC POWER COMPANY INCORPORATED 342,898
72
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
ELECTRIC, GAS & SANITARY SERVICES (CONTINUED)
14,461 KEYSPAN CORPORATION $ 592,901
1,975 KINDER MORGAN INCORPORATED+ 206,111
6,700 KYUSHU ELECTRIC POWER COMPANY INCORPORATED 159,802
10,537 MDU RESOURCES GROUP INCORPORATED+ 258,157
5,274 NATIONAL FUEL GAS COMPANY 201,309
3,157 NICOR INCORPORATED<< 137,835
21,583 NISOURCE INCORPORATED 456,912
10,836 NORTHEAST UTILITIES 247,169
4,201 NORTHWEST NATURAL GAS COMPANY 160,688
6,847 NRG ENERGY INCORPORATED 346,732
6,387 NSTAR 210,324
18,060 OGE ENERGY CORPORATION+ 672,554
8,356 ONEOK INCORPORATED+ 319,784
28,000 OSAKA GAS COMPANY LIMITED 103,037
6,827 PEOPLES ENERGY CORPORATION 289,328
15,488 PEPCO HOLDINGS INCORPORATED 393,240
86,000 PERUSAHAAN GAS NEGARA PT 119,589
5,265 PG&E CORPORATION+ 220,761
11,814 PIEDMONT NATURAL GAS COMPANY INCORPORATED<< 307,991
7,202 PINNACLE WEST CAPITAL CORPORATION 330,860
9,645 PNM RESOURCES INCORPORATED 276,522
5,766 PPL CORPORATION 201,637
5,129 PROGRESS ENERGY INCORPORATED 227,369
3,951 PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED 276,649
8,912 PUGET ENERGY INCORPORATED 201,679
5,707 QUESTAR CORPORATION+ 493,884
114,600 RATCHABURI ELECTRICITY GENERATING HOLDING PCL 101,396
23,451 RELIANT ENERGY INCORPORATED+ 315,650
7,294 REPUBLIC SERVICES INCORPORATED+ 282,861
2,731 RWE AG+ 249,776
7,653 SCANA CORPORATION+ 316,452
3,030 SCOTTISH POWER PLC 143,410
3,509 SEMPRA ENERGY 174,467
42,576 SIERRA PACIFIC RESOURCES 627,996
17,438 SOUTHERN COMPANY 597,600
21,387 SOUTHERN UNION COMPANY+ 591,137
7,405 STERICYCLE INCORPORATED 493,839
9,378 SUEZ SA 403,442
16,338 TECO ENERGY INCORPORATED+ 257,650
72,200 TENAGA NASIONAL BHD 179,470
7,400 TOHOKU ELECTRIC POWER COMPANY INCORPORATED 167,673
23,300 TOKYO ELECTRIC POWER COMPANY INCORPORATED 664,892
32,000 TOKYO GAS COMPANY LIMITED 170,365
7,429 TRACTEBEL ENERGIA SA+ 67,048
22,813 UGI CORPORATION 565,762
6,062 UNISOURCE ENERGY CORPORATION+ 209,200
14,694 VECTREN CORPORATION+ 404,967
1,392 VEOLIA ENVIRONNEMENT 78,022
6,249 WASTE CONNECTIONS INCORPORATED 229,776
6,653 WASTE MANAGEMENT INCORPORATED+ 228,065
7,585 WGL HOLDINGS INCORPORATED 235,666
8,157 WILLIAMS COMPANIES INCORPORATED 200,907
9,851 WISCONSIN ENERGY CORPORATION+ 423,593
31,638 XCEL ENERGY INCORPORATED<< 658,070
32,955,651
---------------
73
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
ELECTRONIC & OTHER ELECTRICAL EQUIPMENT & COMPONENTS, EXCEPT COMPUTER EQUIPMENT - 7.68%
7,271 ACTEL CORPORATION+ $ 112,846
27,512 ADAPTEC INCORPORATED+ 113,349
8,278 ADC TELECOMMUNICATIONS INCORPORATED+ 112,995
17,674 AEROFLEX INCORPORATED+ 184,163
37,403 AGERE SYSTEMS INCORPORATED+ 570,022
10,445 AIXTRON AG 39,208
14,563 ALCATEL SA+ 182,474
156,000 ALCO HOLDINGS LIMITED 78,830
7,800 ALPINE ELECTRONICS INCORPORATED 108,168
8,900 ALPS ELECTRIC COMPANY LIMITED 99,845
27,616 ALTERA CORPORATION+ 558,672
16,831 AMERICAN POWER CONVERSION CORPORATION 295,721
8,308 AMETEK INCORPORATED 356,247
22,436 AMKOR TECHNOLOGY INCORPORATED+<< 127,212
7,956 AMPHENOL CORPORATION CLASS A 457,231
8,421 ANALOG DEVICES INCORPORATED 258,019
11,257 ANDREW CORPORATION+ 104,127
9,000 ANRITSU CORPORATION 45,999
35,433 ARM HOLDINGS PLC 80,116
22,121 ARRIS GROUP INCORPORATED+ 253,507
395,800 ASIAN INSULATORS PCL 89,524
27,000 ASM PACIFIC TECHNOLOGY 139,908
7,562 ATM INCORPORATED+ 218,315
6,227 AVX CORPORATION 103,430
14 AXELL CORPORATION 50,207
1,782 BANG & OLUFSEN AS 182,717
333,000 BANK OF COMMUNICATIONS LIMITED 209,804
1,883 BARCO NV 166,214
13,636 BENCHMARK ELECTRONICS INCORPORATED 340,082
8,746 BROADCOM CORPORATION CLASS A+ 257,482
14,000 BROTHER INDUSTRIES LIMITED 159,802
49,500 BYD COMPANY LIMITED 112,019
9,208 C&D TECHNOLOGIES INCORPORATED 73,204
8,270 C-COR INCORPORATED 65,747
1,600 CANON ELECTRONICS INCORPORATED 54,789
24,188 CANON INCORPORATED 1,201,635
7,738 CELESTICA INCORPORATED+ 74,130
2,454 CERADYNE INCORPORATED+ 108,148
82 CHARTERED SEMICONDUCTOR MANUFACTURING LIMITED+ 661
10,521 CHECKPOINT SYSTEMS INCORPORATED+ 190,956
1,900 CHIYODA INTEGRE COMPANY LIMITED+ 42,566
122,367 CIENA CORPORATION+ 483,350
104,697 CISCO SYSTEMS INCORPORATED 2,302,287
5,000 CMK CORPORATION 54,772
103,919 CONEXANT SYSTEMS INCORPORATED 214,073
2,000 CORONA CORPORATION 35,691
14,669 CREE INCORPORATED<< 273,137
9,303 CTS CORPORATION 136,754
7,327 CYMER INCORPORATED+ 301,506
30,888 CYPRESS SEMICONDUCTOR CORPORATION 483,088
16,000 DAIDO STEEL COMPANY LIMITED 122,935
10,000 DAINIPPON SCREEN MANUFACTURING COMPANY LIMITED 84,075
6,000 DAISHINKU CORPORATION 37,821
290,300 DELTA ELECTRONICS THAI PCL 127,460
4,063 DIONEX CORPORATION+ 204,856
1,900 EIZO NANAO CORPORATION 52,600
74
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
ELECTRONIC & OTHER ELECTRICAL EQUIPMENT & COMPONENTS, EXCEPT COMPUTER EQUIPMENT (CONTINUED)
7,291 ELECTRO SCIENTIFIC INDUSTRIES INCORPORATED+ $ 145,164
19,642 ELECTROCOMPONENTS PLC 89,384
2,048 ELECTROLUX AB 63,424
2,876 ENERGIZER HOLDINGS INCORPORATED 192,289
4,900 ENESERVE CORPORATION 30,845
3,900 ENPLAS CORPORATION 66,442
3,373 EPCOS AG+ 46,886
10,894 EXAR CORPORATION 152,298
10,720 FAIRCHILD SEMICONDUCTOR INTERNATIONAL INCORPORATED 193,282
4,400 FANUC LIMITED 348,942
47,883 FLEXTRONICS INTERNATIONAL LIMITED 565,019
2,400 FOSTER ELECTRIC COMPANY LIMITED 37,514
9,754 FUELCELL ENERGY INCORPORATED<< 95,004
1,000 FUNAI ELECTRIC COMPANY LIMITED 95,234
5,600 FUTABA CORPORATION CHIBA 147,877
130,848 GENERAL ELECTRIC COMPANY 4,456,683
15,797 GENTEX CORPORATION 228,741
3,800 GEOMATEC COMPANY LIMITED+ 38,714
12,463 GN STORE NORD 183,550
22,252 GRAFTECH INTERNATIONAL LIMITED 121,273
25,000 GS YUASA CORPORATION 58,563
4,300 HAMAMATSU PHOTONICS 136,258
194,800 HANA MICROELECTRONICS PCL 136,070
56,000 HARBIN POWER EQUIPMENT 48,747
5,007 HARMAN INTERNATIONAL INDUSTRIES INCORPORATED+ 406,168
14,112 HARMONIC INCORPORATED 87,636
10,141 HARRIS CORPORATION 445,393
900 HIOKI EE CORPORATION 29,669
1,600 HIROSE ELECTRIC COMPANY LIMITED 207,436
3,600 HORIBA LIMITED 107,943
6,700 HOSIDEN CORPORATION 69,914
7,351 HUTCHINSON TECHNOLOGY INCORPORATED+ 151,725
3,600 IBIDEN COMPANY LIMITED 184,301
5,836 INDESIT COMPANY SPA+ 67,964
10,290 INFINEON TECHNOLOGIES AG+ 121,731
44,714 INTEGRATED DEVICE TECHNOLOGY INCORPORATED 770,422
103,279 INTEL CORPORATION 2,018,072
3,960 INTER-TEL INCORPORATED+ 87,278
9,704 INTERDIGITAL COMMUNICATIONS CORPORATION+ 322,464
5,506 INTERNATIONAL RECTIFIER CORPORATION 194,362
13,222 INTERSIL CORPORATION CLASS A+ 335,178
14,913 JABIL CIRCUIT INCORPORATED+ 400,116
112,867 JDS UNIPHASE CORPORATION+ 256,208
7,000 JUKI CORPORATION 38,221
21,316 KEMET CORPORATION 175,431
19,000 KENWOOD 34,312
1,200 KEYENCE CORPORATION 276,911
3,738 KLA-TENCOR CORPORATION 164,136
3,700 KOA CORPORATION 54,242
11,456 KONINKLIJKE PHILIPS ELECTRONICS NV+ 393,170
3,147 KONTRON AG 36,407
2,324 KUDELSKI SA 68,067
6,240 L-3 COMMUNICATIONS HOLDINGS INCORPORATED 470,434
8,430 LAIRD GROUP PLC 63,883
25,214 LATTICE SEMICONDUCTOR CORPORATION 184,566
6,882 LINEAR TECHNOLOGY CORPORATION+ 234,057
75
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
ELECTRONIC & OTHER ELECTRICAL EQUIPMENT & COMPONENTS, EXCEPT COMPUTER EQUIPMENT (CONTINUED)
6,171 LITTELFUSE INCORPORATED $ 222,835
33,334 LSI LOGIC CORPORATION 268,339
61,273 LUCENT TECHNOLOGIES INCORPORATED 142,766
2,800 MABUCHI MOTOR COMPANY LIMITED 178,168
68,800 MALAYSIAN PACIFIC INDUSTRIES 188,775
3,800 MARUBUN CORPORATION 48,230
9,026 MARVELL TECHNOLOGY GROUP LIMITED 158,045
41,324 MATSUSHITA ELECTRIC INDUSTRIAL COMPANY LIMITED 881,441
7,595 MAXIM INTEGRATED PRODUCTS INCORPORATED+ 221,015
28,103 MCDATA CORPORATION+ 120,562
9,363 MELEXIS NV 155,220
10,847 MEMC ELECTRONIC MATERIALS INCORPORATED 419,562
15,375 METHODE ELECTRONICS INCORPORATED 122,078
13,373 MICREL INCORPORATED+ 133,997
16,795 MICROCHIP TECHNOLOGY INCORPORATED+ 573,717
1,369 MICRONAS SEMICONDUCTOR HOLDING 31,588
12,601 MICROSEMI CORPORATION<< 349,930
3,300 MIMASU SEMICONDUCTOR INDUSTRY COMPANY LIMITED 54,534
26,295 MINDSPEED TECHNOLOGIES INCORPORATED<< 50,223
7,005 MINEBEA COMPANY LIMITED 79,197
7,400 MITSUMI ELECTRIC COMPANY LIMITED 100,226
17,438 MOLEX INCORPORATED CLASS A+ 548,599
41,128 MOTOROLA INCORPORATED 961,573
23,021 MRV COMMUNICATIONS INCORPORATED+<< 57,322
5,800 MURATA MANUFACTURING COMPANY LIMITED 399,199
23,458 NATIONAL GRID PLC 284,962
2,200 NEC ELECTRONICS CORPORATION 74,211
8,000 NEC TOKIN CORPORATION 41,637
7,135 NETWORK APPLIANCE INCORPORATED 244,302
7,000 NEW JAPAN RADIO COMPANY LIMITED 47,285
1,269 NEXANS SA 105,675
518,000 NGAI LIK INDUSTRIAL HOLDING 47,289
11,000 NGK INSULATORS LIMITED 150,109
10,700 NICHICON CORPORATION 136,627
7,000 NIDEC COPAL ELECTRONICS CORPORATION 48,776
12,000 NIDEC CORPORATION 219,000
3,000 NIDEC SANKYO CORPORATION 40,223
1,500 NIHON DEMPA KOGYO COMPANY LIMITED 56,732
1,600 NINTENDO COMPANY LIMITED 328,191
11,000 NIPPON CARBON COMPANY LIMITED 41,322
16,000 NIPPON CHEMI-CON CORPORATION 114,485
8,000 NISSIN ELECTRIC COMPANY LIMITED 29,439
33,363 NOKIA OYJ ADR 696,619
39,669 NORTEL NETWORKS CORPORATION ADR 82,908
11,267 NOVELLUS SYSTEMS INCORPORATED 314,575
11 NTT DATA CORPORATION 50,786
23,407 NVIDIA CORPORATION+ 681,378
34,000 OKI ELECTRIC INDUSTRY COMPANY LIMITED 75,012
9,860 OMNIVISION TECHNOLOGIES INCORPORATED<< 163,676
4,204 OMRON CORPORATION 97,855
2,100 OPTEX COMPANY LIMITED 59,568
5,757 PARK ELECTROCHEMICAL CORPORATION 150,258
4,994 PERLOS OYJ+ 38,068
107 PHOENIX MECANO AG+ 43,466
9,892 PHOTRONICS INCORPORATED 143,533
7,970 PLANTRONICS INCORPORATED 142,822
76
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
ELECTRONIC & OTHER ELECTRICAL EQUIPMENT & COMPONENTS, EXCEPT COMPUTER EQUIPMENT (CONTINUED)
17,125 PMC-SIERRA INCORPORATED<< $ 117,135
5,673 POLYCOM INCORPORATED 134,961
7,214 POWER INTEGRATIONS INCORPORATED+ 132,738
16,287 POWER-ONE INCORPORATED+ 110,589
21,150 POWERWAVE TECHNOLOGIES INCORPORATED 160,317
18,366 PREMIER FARNELL PLC 65,655
12,489 QLOGIC CORPORATION 229,548
541,000 QPL INTERNATIONAL HOLDINGS LIMITED 38,259
28,197 QUALCOMM INCORPORATED 1,062,181
300 RESEARCH IN MOTION LIMITED+ 24,772
42,471 RF MICRO DEVICES INCORPORATED 281,158
8,161 ROCKWELL COLLINS INCORPORATED 427,881
3,100 ROHM COMPANY LIMITED+ 287,568
700 RYOSAN COMPANY LIMITED 18,306
7,000 SANKEN ELECTRIC COMPANY LIMITED 92,423
44,864 SANMINA-SCI CORPORATION 152,089
9,000 SANSHIN ELECTRONICS COMPANY LIMITED 97,057
6,000 SANYO DENKI COMPANY LIMITED 41,808
11,418 SANYO ELECTRIC COMPANY LIMITED<< 119,546
1,500 SECOM COMPANY LIMITED+ 74,492
5,800 SEIKO EPSON CORPORATION 159,581
1,143,000 SEMICONDUCTOR MANUFACTURING INTERNATIONAL CORPORATION 144,028
23,000 SHARP CORPORATION 411,431
9,000 SHINDENGEN ELECTRIC MANUFACTURING COMPANY LIMITED 45,079
2,200 SHINKAWA 49,287
3,100 SHINKO ELECTRIC INDUSTRIES 90,046
16,144 SILICON IMAGE INCORPORATED 187,432
9,884 SILICON LABORATORIES INCORPORATED+ 348,609
20,614 SILICON STORAGE TECHNOLOGY INCORPORATED+ 86,579
86,657 SIRIUS SATELLITE RADIO INCORPORATED+<< 354,427
36,134 SKYWORKS SOLUTIONS INCORPORATED 167,300
654,000 SKYWORTH DIGITAL HOLDINGS LIMITED 76,523
11,000 SMK CORPORATION 75,148
1,676 SOITEC 51,125
350,000 SOLOMON SYSTECH INTERNATIONAL LIMITED 74,255
17,394 SONY CORPORATION 755,074
2,000 STAR MICRONICS COMPANY LIMITED 39,184
15,900 STMICROELECTRONICS NV+ 261,961
13,640 STRATEX NETWORKS INCORPORATED 49,786
1,500 SUMIDA ELECTRIC 30,474
7,000 TAIYO YUDEN COMPANY LIMITED 95,106
16,000 TAMURA CORPORATION 58,197
412,000 TCL MULTIMEDIA TECHNOLOGY HOLDINGS LIMITED 31,255
3,480 TDK CORPORATION 267,925
9,868 TECHNITROL INCORPORATED 279,363
23,000 TEIKOKY TSUSHIN KOGYO COMPANY 120,491
4,408 TELEFLEX INCORPORATED 246,010
30,964 TELLABS INCORPORATED 315,523
4,278 TESSERA TECHNOLOGIES INCORPORATED 140,746
22,610 TEXAS INSTRUMENTS INCORPORATED 736,860
5,660 THOMAS & BETTS CORPORATION 255,606
10,000 TOA CORPORATION 82,201
14,000 TOKO INCORPORATED 45,436
3,600 TOKYO ELECTRON LIMITED 236,739
29,000 TOKYO ROPE MANUFACTURING 62,745
1,600 TOKYO SEIMITSU COMPANY LIMITED 77,278
77
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
ELECTRONIC & OTHER ELECTRICAL EQUIPMENT & COMPONENTS, EXCEPT COMPUTER EQUIPMENT (CONTINUED)
13,000 TOSHIBA CERAMICS $ 60,463
23,000 TOSHIBA TEC CORPORATION 106,384
43,063 TRANSMETA CORPORATION DELAWARE+<< 50,814
32,273 TRIQUINT SEMICONDUCTOR INCORPORATED 159,106
64,000 TRULY INTERNATIONAL 79,740
2,000 ULVAC INCORPORATED 67,635
271 UNAXIS HOLDING AG+ 79,923
212,100 UNISEM BHD 84,126
11,095 VARIAN SEMICONDUCTOR EQUIPMENT ASSOCIATES INCORPORATED+ 391,764
140,000 VARITRONIX INTERNATIONAL LIMITED+ 84,606
8,000 VICTOR COMPANY OF JAPAN LIMITED+ 38,775
15,514 VISHAY INTERTECHNOLOGY INCORPORATED+ 217,351
16,039 WESTAR ENERGY INCORPORATED 391,191
7,938 XILINX INCORPORATED+ 181,542
5,000 YAMAICHI ELECTRONICS COMPANY LIMITED 56,050
6,000 YASKAWA ELECTRIC CORPORATION 69,151
10,800 YOKOGAWA ELECTRIC CORPORATION 153,635
3,200 YOKOWO COMPANY LIMITED 39,307
52,737,302
---------------
ENGINEERING, ACCOUNTING, RESEARCH MANAGEMENT & RELATED SERVICES - 1.10%
7,837 ACCENTURE LIMITED CLASS A 232,445
53,200 AIRPORTS OF THAILAND PCL+ 79,276
8,419 AMYLIN PHARMACEUTICALS INCORPORATED+<< 381,633
14,516 APPLERA CORPORATION+ 202,063
7,094 BEARINGPOINT INCORPORATED 59,306
1,965 BOUYGUES SA 103,467
6,879 CELGENE CORPORATION 279,907
4,594 CEPHALON INCORPORATED+<< 261,950
3,000 CHIYODA CORPORATION 65,803
3,631 CORE LABORATORIES NV+ 266,406
2,174 CORPORATE EXECUTIVE BOARD COMPANY+ 190,529
10,344 CURAGEN CORPORATION 31,239
8,940 CV THERAPEUTICS INCORPORATED+<< 100,575
9,174 ERESEARCH TECHNOLOGY INCORPORATED 79,906
6,530 FLUOR CORPORATION 564,323
9,509 GEN-PROBE INCORPORATED+ 462,232
26,863 GRUPO AEROPORTUARIO DEL SURESTE SAB 93,835
9,880 HEWITT ASSOCIATES INCORPORATED 222,004
4,213 ICOS CORPORATION 103,556
16,848 INCYTE CORPORATION+ 86,093
4,907 JACOBS ENGINEERING GROUP INCORPORATED+ 427,351
5,910 MOODY'S CORPORATION 361,574
7,075 MYRIAD GENETICS INCORPORATED 178,927
8,010 NAVIGANT CONSULTING INCORPORATED+ 157,717
4,894 PAYCHEX INCORPORATED+ 175,744
7,888 PHARMACEUTICAL PRODUCT DEVELOPMENT INCORPORATED 300,691
244,400 POWER LINE ENGINEERING PCL 42,923
12,221 QUEST DIAGNOSTICS INCORPORATED 785,566
7,451 RESOURCES GLOBAL PROFESSIONALS+<< 181,804
17,234 SERVICEMASTER COMPANY+ 198,019
391,200 SOLARTRON PCL 77,032
9,659 TELIK INCORPORATED+<< 172,220
10,555 TETRA TECH INCORPORATED+ 175,213
20,000 TRANSMILE GROUP BHD 65,743
78
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
ENGINEERING, ACCOUNTING, RESEARCH MANAGEMENT & RELATED SERVICES (CONTINUED)
4,639 TRIMERIS INCORPORATED+ $ 43,282
5,960 WASHINGTON GROUP INTERNATIONAL INCORPORATED<< 352,892
7,563,246
---------------
FABRICATED METAL PRODUCTS, EXCEPT MACHINERY & TRANSPORTATION EQUIPMENT - 0.89%
5,622 ACERINOX SA 105,878
6,462 ALLIANT TECHSYSTEMS INCORPORATED+ 494,278
14,210 APTARGROUP INCORPORATED 731,815
19,811 BALL CORPORATION 799,176
11,973 CORUS GROUP PLC+ 89,421
12,532 CRANE COMPANY 501,029
38,599 CROWN HOLDINGS INCORPORATED+ 709,836
204,500 ECM LIBRA BHD(a) 35,000
4,000 FP CORPORATION 130,500
400 FUJI SEAL INTERNATIONAL INCORPORATED 10,256
4,456 HOGANAS AB 114,370
12,726 JACUZZI BRANDS INCORPORATED 126,242
93,000 KOBE STEEL LIMITED 297,074
3,000 NEOMAX COMPANY LIMITED 55,070
41,000 NISSHIN STEEL COMPANY LIMITED 122,935
14,000 NTN CORPORATION 107,211
16,472 SHAW GROUP INCORPORATED 414,436
4,849 SIMPSON MANUFACTURING COMPANY INCORPORATED+<< 127,771
13,710 SNAP-ON INCORPORATED 599,127
7,442 SSAB SVENSKT STAL AB CLASS A+ 143,258
93,000 SUMITOMO METAL INDUSTRIES LIMITED 382,631
6,366 TASER INTERNATIONAL INCORPORATED<< 49,464
6,146,778
---------------
FINANCE & FINANCIAL SERVICES - 0.19%
636,000 ASIA PLUS SECURITIES PCL 54,833
46,863 CHALLENGER FINANCIAL SERVICES GROUP LIMITED 125,587
1,355,000 CHINA CONSTRUCTION BANK++ 587,142
14,533 JANUS CAPITAL GROUP INCORPORATED+ 258,397
848,000 KGI SECURITIES COMPANY LIMITED+ 42,648
231,400 KUALA LUMPUR CITY CORPORATION BHD 52,491
13,500 NIKKO CORDIAL CORPORATION 171,345
1,292,443
---------------
FOOD & KINDRED PRODUCTS - 1.30%
4,736 ANHEUSER-BUSCH COMPANIES INCORPORATED 233,864
6,440 ARCHER-DANIELS-MIDLAND COMPANY 265,135
8,034 BUNGE LIMITED<< 452,636
18,002 CADBURY SCHWEPPES PLC 191,605
22,396 COCA-COLA AMATIL LIMITED 112,001
36,624 COCA-COLA COMPANY+ 1,641,121
19,123 COMPASS GROUP PLC 92,939
3,814 CONAGRA FOODS INCORPORATED<< 90,773
12,514 CORN PRODUCTS INTERNATIONAL INCORPORATED+ 431,733
14,812 DIAGEO PLC 263,694
7,099 FLOWERS FOODS INCORPORATED+ 192,738
2,433 GENERAL MILLS INCORPORATED+ 131,942
4,336 HANSEN NATURAL CORPORATION 119,327
18,197 HERCULES INCORPORATED 283,873
1,489 HERSHEY COMPANY 80,346
79
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
FOOD & KINDRED PRODUCTS (CONTINUED)
2,085 JM SMUCKER COMPANY+ $ 101,394
8,459 MCCORMICK & COMPANY INCORPORATED 308,077
4,187 MOLSON COORS BREWING COMPANY 294,346
2,493 NESTLE SA 857,263
2,906 NESTLE SA ADR+ 249,395
26,677 PEPSICO INCORPORATED 1,741,475
2,771 RALCORP HOLDINGS INCORPORATED 137,081
4,853 SMITHFIELD FOODS INCORPORATED 145,736
3,000 SODEXHO ALLIANCE SA+ 159,926
16,206 TYSON FOODS INCORPORATED CLASS A 238,714
15,337 WINPAK LIMITED COMPANY 134,199
8,951,333
---------------
FOOD STORES - 0.87%
110,000 CAFE DE CORAL HOLDINGS LIMITED 167,746
7,641 CARREFOUR SA 471,450
1,796 CASINO GUICHARD PERRACHON SA 124,826
2,271,402 CIA BRASILEIRA DE DISTRIBUICAO GRUPO PAO DE ACUCAR+ 61,669
918 COLRUYT SA 156,068
744,400 CP SEVEN ELEVEN PCL 124,793
3,562 DELHAIZE GROUP+ 271,297
2,100 KAPPA CREATE COMPANY LIMITED+ 31,805
3,000 KENTUCKY FRIED CHICKEN JAPAN LIMITED 56,093
14,329 KONINKLIJKE AHOLD NV ADR 137,272
16,259 KROGER COMPANY+ 387,127
50,000 LIANHUA SUPERMARKET HOLDINGS COMPANY LIMITED+ 50,146
6,800 MCDONALD'S HOLDINGS COMPANY JAPAN LIMITED 112,952
2,930 METRO AG 172,223
4,400 MINISTOP COMPANY LIMITED 85,642
5,500 NISSIN HEALTHCARE FOOD SERVICE COMPANY LIMITED 74,258
6,091 PANERA BREAD COMPANY 316,123
2,000 PLENUS COMPANY LIMITED 58,435
10,416 SAFEWAY INCORPORATED 322,167
17,900 SEVEN & I HOLDINGS COMPANY LIMITED 632,778
14,770 STARBUCKS CORPORATION 458,018
18,221 TESCO PLC ADR 392,254
11,248 WHOLE FOODS MARKET INCORPORATED+<< 603,118
6,353 WILD OATS MARKETS INCORPORATED 103,808
28,328 WOOLWORTHS LIMITED+ 447,708
14,000 WUMART STORES INCORPORATED(a) 49,773
2,300 YAOKO COMPANY LIMITED 54,858
37 YOSHINOYA D&C COMPANY LIMITED 65,556
5,989,963
---------------
FURNITURE & FIXTURES - 0.43%
11,413 FURNITURE BRANDS INTERNATIONAL INCORPORATED<< 218,559
2,417 HERMAN MILLER INCORPORATED 68,256
7,369 HILLENBRAND INDUSTRIES INCORPORATED 420,549
43,480 HOUSEWARES INTERNATIONAL LIMITED 51,123
4,036 KINETIC CONCEPTS INCORPORATED+ 127,538
14,703 LA-Z-BOY INCORPORATED+<< 205,107
19,124 LEGGETT & PLATT INCORPORATED<< 440,808
3,478 MASCO CORPORATION 95,332
26,519 NEWELL RUBBERMAID INCORPORATED 715,748
4,500 SANGETSU COMPANY LIMITED 110,972
9,307 STEELCASE INCORPORATED 134,952
80
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
FURNITURE & FIXTURES (CONTINUED)
4,500 TOKYO STEEL MANUFACTURING COMPANY LIMITED $ 73,138
232,220 VITRO SA DE CV 258,544
2,920,626
---------------
GAS DISTRIBUTION - 0.01%
1,576 GAZ DE FRANCE 58,634
---------------
GENERAL MERCHANDISE STORES - 1.38%
14,132 99 CENTS ONLY STORES 160,540
2,300 ASKUL CORPORATION+ 41,535
3,000 BELLUNA COMPANY LIMITED 52,132
122,700 BIG C SUPERCENTER PCL 124,071
27,136 BIG LOTS INCORPORATED+<< 497,946
6,733 BJ'S WHOLESALE CLUB INCORPORATED+ 177,415
13,280 CASEY'S GENERAL STORES INCORPORATED 313,939
2,100 CAWACHI LIMITED 70,122
2,900 CIRCLE K SUNKUS COMPANY LIMITED 58,669
64,033 DAVID JONES LIMITED 172,579
29,257 DOLLAR GENERAL CORPORATION+ 376,245
1,100 DON QUIJOTE COMPANY LIMITED 22,488
23,706 DSG INTERNATIONAL PLC 92,531
15,601 FAMILY DOLLAR STORES INCORPORATED 398,918
3,600 FAMILYMART COMPANY LIMITED 101,810
11,357 FEDERATED DEPARTMENT STORES INCORPORATED 431,339
15,007 FOOT LOCKER INCORPORATED 361,669
10,356 FRED'S INCORPORATED 135,767
7,703 GUS PLC 143,075
42,895 HARVEY NORMAN HOLDINGS LIMITED 112,661
3,701 HELLENIC DUTY FREE SHOPS SA 60,502
5,000 IZUMIYA COMPANY LIMITED 36,203
4,665 JC PENNEY COMPANY INCORPORATED 294,082
3,400 LAWSON INCORPORATED 118,744
70,000 LIFESTYLE INTERNATIONAL HOLDINGS LIMITED 129,609
10,263 MARKS & SPENCER GROUP PLC 115,781
582,500 MATAHARI PUTRA PRIMA TBK PT 48,664
3,300 MATSUMOTOKIYOSHI COMPANY LIMITED 80,114
9,000 MATSUZAKAYA COMPANY LIMITED(a) 65,155
431,500 MITRA ADIPERKASA TBK PT+ 45,062
2,700 NISSEN COMPANY LIMITED 20,975
704,000 RAMAYANA LESTARI SENTOSA TBK PT 60,363
22,000 ROBINSON & COMPANY LIMITED 88,769
27,119 SAKS INCORPORATED+ 391,327
1,998 SEARS HOLDINGS CORPORATION 287,940
54,500 SIAM MAKRO PLC 101,517
2,200 SUGI PHARMACY COMPANY LIMITED 43,383
2,400 SUNDRUG COMPANY LIMITED 58,674
17,831 TARGET CORPORATION+ 862,842
40,162 WAL-MART STORES INCORPORATED 1,796,045
236,054 WALMART DE MEXICO SA DE CV SERIES V 804,659
3,500 YORK-BENIMARU COMPANY LIMITED+(a) 108,093
9,463,954
---------------
HEALTH SERVICES - 1.20%
82,500 BANGKOK DUSIT MEDICAL SERVICE PCL 63,115
83,600 BUMRUNGRAD HOSPITAL PCL 80,641
9,701 CAREMARK RX INCORPORATED 562,076
47,000 CHINA SHINEWAY PHARMACEUTICAL GROUP LIMITED 30,821
81
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
HEALTH SERVICES (CONTINUED)
702,000 CK LIFE SCIENCES INTERNATIONAL HOLDINGS INCORPORATED $ 76,724
7,018 COMMUNITY HEALTH SYSTEMS INCORPORATED 272,018
5,168 COVANCE INCORPORATED+ 324,912
8,699 DAVITA INCORPORATED 507,674
2,288 DIAGNOSTICOS DA AMERICA SA 44,629
12,859 EDWARDS LIFESCIENCES CORPORATION 600,387
10,603 ENZON PHARMACEUTICALS INCORPORATED 86,733
564 FRESENIUS MEDICAL CARE AG & COMPANY 74,410
19,653 HEALTH MANAGEMENT ASSOCIATION INCORPORATED CLASS A 410,944
15,291 HEALTHSCOPE LIMITED 56,505
6,340 HEALTHWAYS INCORPORATED 327,271
9,871 LABORATORY CORPORATION OF AMERICA HOLDINGS+<< 675,374
9,858 LIFEPOINT HOSPITALS INCORPORATED 335,665
8,711 LINCARE HOLDINGS INCORPORATED+ 322,568
5,050 MANOR CARE INCORPORATED 263,610
7,201 NAUTILUS INCORPORATED+<< 89,148
16,378 NEKTAR THERAPEUTICS<< 286,943
9,243 PEDIATRIX MEDICAL GROUP INCORPORATED 423,329
9,360 SIERRA HEALTH SERVICES INCORPORATED+ 401,544
18,131 SONIC HEALTHCARE LIMITED+ 167,362
5,987 SUNRISE SENIOR LIVING INCORPORATED 176,676
33,725 SYMBION HEALTH LIMITED 83,684
37,634 TENET HEALTHCARE CORPORATION 296,556
33,000 TONG REN TANG TECHNOLOGIES COMPANY LIMITED+ 59,828
6,541 TRIAD HOSPITALS INCORPORATED 288,196
7,478 UNITED SURGICAL PARTNERS INTERNATIONAL INCORPORATED+ 211,015
3,641 UNIVERSAL HEALTH SERVICES CLASS B+ 206,153
660 VALLOUREC 147,973
10,435 WATSON PHARMACEUTICALS INCORPORATED+ 267,553
8,222,037
---------------
HEAVY CONSTRUCTION OTHER THAN BUILDING CONSTRUCTION CONTRACTS - 0.28%
66,000 ANHUI EXPRESSWAY COMPANY 43,704
2,240 AUTOSTRADA TORINO-MILANO SPA 47,064
244,300 BANGKOK EXPRESSWAY PCL 138,467
52,000 CHEUNG KONG INFRASTRUCTURE HOLDINGS LIMITED 164,814
6,555 CIA DE CONCESSOES RODOVIARIAS+ 63,899
4,694 FOSTER WHEELER LIMITED+ 204,048
6,595 GRANITE CONSTRUCTION INCORPORATED+ 353,822
227,000 HOPEWELL HIGHWAY INFRASTRUCTURE LIMITED 171,040
128,000 JIANGSU EXPRESS 74,720
7,277 MCDERMOTT INTERNATIONAL INCORPORATED 350,751
19,459 MULTIPLEX GROUP 50,216
7,789 SKANSKA AB+ 122,529
11,705 TECHNICAL OLYMPIC SA 46,787
168,000 ZHEJIANG EXPRESSWAY COMPANY LIMITED+ 108,223
1,940,084
---------------
HOLDING & OTHER INVESTMENT OFFICES - 3.72%
3,436 3I GROUP 62,250
10,107 ABB LIMITED 134,256
1,938 ACKERMANS & VAN HAAREN 144,379
1,525 AFFILIATED MANAGERS GROUP INCORPORATED+<< 141,108
3,160 ALCON INCORPORATED 372,216
2,546 ALEXANDRIA REAL ESTATE EQUITIES INCORPORATED 249,559
5,259 AMB PROPERTY CORPORATION 293,610
82
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
HOLDING & OTHER INVESTMENT OFFICES (CONTINUED)
9,411 AMERICAN HOME MORTGAGE INVESTMENT CORPORATION $ 298,329
31,364 ANNALY CAPITAL MANAGEMENT INCORPORATED 392,364
14,850 ARCHSTONE-SMITH TRUST 789,723
4,404 AVALONBAY COMMUNITIES INCORPORATED 532,884
94,950 BABCOCK & BROWN INFRASTRUCTURE GROUP 115,266
34,694 BANCA FIDEURAM SPA+ 222,685
7,289 BOSTON PROPERTIES INCORPORATED+ 740,781
1,974 BRADESPAR SA 69,053
17,987 BRANDYWINE REALTY TRUST 586,916
700 BROOKFIELD ASSET MANAGEMENT INCORPORATED 31,286
10,117 CBL & ASSOCIATES PROPERTIES INCORPORATED 412,167
7,791 COLONIAL PROPERTIES TRUST+ 386,278
5,597 COUSINS PROPERTIES INCORPORATED+ 192,369
20,000 DAIWA SECURITIES GROUP INCORPORATED 238,341
17,617 DISCOVERY HOLDING COMPANY CLASS A+ 246,814
8,719 DUKE REALTY CORPORATION 331,148
7,438 EQUITY INNS INCORPORATED 114,396
4,606 EQUITY OFFICE PROPERTIES TRUST<< 170,837
2,513 EQUITY RESIDENTIAL+<< 125,323
2,939 ESSEX PROPERTY TRUST INCORPORATED+ 368,756
2,826 FEDERAL REALTY INVESTMENT TRUST 209,322
10,157 FELCOR LODGING TRUST INCORPORATED 217,868
4,586 GIMV NV 273,204
4,120 GLENBOROUGH REALTY TRUST INCORPORATED+ 106,337
112,989 GRUPO CARSO SA DE CV+ 336,494
8,533 HEALTH CARE PROPERTY INVESTORS INCORPORATED 256,758
11,489 HEALTH CARE REIT INCORPORATED+<< 458,871
7,806 HEALTHCARE REALTY TRUST INCORPORATED 282,265
408,600 HIAP TECK VENTURE BHD 90,467
9,144 HIGHWOODS PROPERTIES INCORPORATED 345,095
4,889 HOME PROPERTIES INCORPORATED 278,086
3,197 HOSPITALITY PROPERTIES TRUST 148,085
37,832 HRPT PROPERTIES TRUST 438,851
15,681 IMPAC MORTGAGE HOLDINGS INCORPORATED+<< 142,540
204,705 IMPULSORA DEL DESARROLLO Y EL EMPLEO EN AMERICA LATINA SA DE CV 201,836
64,345 INVESTIMENTOS ITAU SA 273,106
12,921 INVESTOR AB 257,643
7,427 ISTAR FINANCIAL INCORPORATED+ 311,340
2,492 ISTITUTO FINANZIARIO INDUSTRIALE SPA 59,702
4,329 KILROY REALTY CORPORATION 342,294
14,981 KIMCO REALTY CORPORATION 622,461
4,701 KKR FINANCIAL CORPORATION 112,401
6,468 LASALLE HOTEL PROPERTIES+ 284,204
5,646 LIBERTY PROPERTY TRUST+ 270,274
4,400 MACERICH COMPANY 328,504
12,165 MACK-CALI REALTY CORPORATION+ 646,570
3,047 MACQUARIE BANK LIMITED 150,750
18,897 MACQUARIE COMMUNICATIONS INFRASTRUCTURE GROUP 87,000
106,384 MACQUARIE INFRASTRUCTURE GROUP 255,856
3,657 MILLS CORPORATION<< 65,753
157,440 MITSUBISHI UFJ FINANCIAL GROUP INCORPORATED 2,136,461
222,700 MULPHA INTERNATIONAL BHD+ 73,810
216,600 MULTI-PURPOSE HOLDINGS BHD 54,724
188 NATIONALE A PORTEFEUILLE 68,162
12,316 NATIONWIDE HEALTH PROPERTIES INCORPORATED<< 320,955
5,680 NEW PLAN EXCEL REALTY TRUST 156,711
83
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
HOLDING & OTHER INVESTMENT OFFICES (CONTINUED)
6,836 NOVASTAR FINANCIAL INCORPORATED+<< $ 201,389
18,385 NTL INCORPORATED 487,019
6,263 PAN PACIFIC RETAIL PROPERTIES INCORPORATED+ 437,283
11,726 PLUM CREEK TIMBER COMPANY 408,417
6,600 POST PROPERTIES INCORPORATED<< 318,120
12,099 PUBLIC STORAGE INCORPORATED CLASS D 1,048,378
14,987 REALTY INCORPORATEDOME CORPORATION 368,530
5,002 RECKSON ASSOCIATES REALTY CORPORATION+ 214,036
4,641 REDWOOD TRUST INCORPORATED 225,738
5,542 RHJ INTERNATIONAL+ 104,514
8,250 SAXON CAPITAL INCORPORATED 114,758
133 SBI HOLDINGS INCORPORATED+ 50,698
3,797 SIMON PROPERTY GROUP INCORPORATED 321,948
2,178 SL GREEN REALTY CORPORATION 242,978
2,641 SOFINA SA+ 252,748
11,100 SOFTBANK CORPORATION 192,887
16,799 SUN HUNG KAI PROPERTIES LIMITED+ 183,181
72,500 SWIRE PACIFIC 'B' 139,831
2,560 TAKEFUJI CORPORATION+ 138,037
6,912 TAUBMAN CENTERS INCORPORATED+ 278,484
23,408 THORNBURG MORTGAGE INCORPORATED+<< 537,682
5,336 TRIZEC PROPERTIES INCORPORATED 154,050
7,646 UNITED DOMINION REALTY TRUST INCORPORATED 233,279
7,241 VENTAS INCORPORATED+ 290,002
4,902 WEINGARTEN REALTY INVESTORS+ 207,943
25,579,784
---------------
HOME FURNITURE, FURNISHINGS & EQUIPMENT STORES - 0.43%
6,842 BED BATH & BEYOND INCORPORATED 230,781
7,750 BEST BUY COMPANY INCORPORATED 364,250
8,000 BEST DENKI COMPANY LIMITED 43,068
132,000 CHINA PARADISE ELECTRONICS RETAIL LIMITED 33,266
15,706 CIRCUIT CITY STORES INCORPORATED+ 370,819
6,509 ELECTROLUX AB CLASS B+ 100,597
3,361 GERMANOS SA 80,607
1,600 GIGAS K'S DENKI CORPORATION+ 39,797
5,832 GUITAR CENTER INCORPORATED 221,033
15,586 JB HI-FI LIMITED 59,380
1,400 NAFCO COMPANY LIMITED 42,932
1,700 NITORI COMPANY LIMITED 79,211
1,925 NOBIA AB+ 59,768
20,662 PIER 1 IMPORTS INCORPORATED+<< 132,030
6,700 PIONEER CORPORATION 128,127
15,708 RADIOSHACK CORPORATION+ 283,686
8,586 THOMSON+ 137,389
7,846 WILLIAMS-SONOMA INCORPORATED 231,143
1,800 XEBIO COMPANY LIMITED 54,738
2,000 YAMADA DENKI COMPANY LIMITED 214,660
3,100 YAMAHA CORPORATION 64,300
2,971,582
---------------
HOTELS, ROOMING HOUSES, CAMPS & OTHER LODGE PLACES - 0.50%
4,423 BOYD GAMING CORPORATION 159,936
629,100 CENTRAL PLAZA HOTEL PCL+ 97,931
8,238 GAYLORD ENTERTAINMENT COMPANY+ 360,165
68,900 GENTING BHD 460,456
84
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
HOTELS, ROOMING HOUSES, CAMPS & OTHER LODGE PLACES (CONTINUED)
16,000 HARBOUR CENTRE DEVELOPMENT LIMITED $ 25,305
108,500 HONGKONG & SHANGHAI HOTELS LIMITED 131,418
202,300 LANDMARKS BHD 90,131
2,409 LAS VEGAS SANDS CORPORATION 168,172
10,709 MARRIOTT INTERNATIONAL INCORPORATED CLASS A+ 403,301
4,176 MGM MIRAGE+<< 149,000
304,200 MINOR INTERNATIONAL PCL 75,281
311,300 NALURI CORPORATION BHD 51,587
72,000 SHANGRI-LA ASIA LIMITED 142,570
122,000 SINO HOTELS HOLDINGS LIMITED 78,591
5,201 STARWOOD HOTELS & RESORTS WORLDWIDE INCORPORATED 277,005
3,937 STATION CASINOS INCORPORATED 229,330
2,060 WYNDHAM WORLDWIDE CORPORATION+ 60,276
5,923 WYNN RESORTS LIMITED+ 458,499
3,418,954
---------------
INDUSTRIAL & COMMERCIAL MACHINERY & COMPUTER EQUIPMENT - 4.52%
5,702 ACTUANT CORPORATION CLASS A 257,160
21,067 AGCO CORPORATION+ 523,515
1,164 ALSTOM RGPT 109,756
12,000 AMADA COMPANY LIMITED+ 125,320
9,933 AMERICAN STANDARD COMPANIES INCORPORATED 414,901
16,788 APPLE COMPUTER INCORPORATED+ 1,139,066
29,681 APPLIED MATERIALS INCORPORATED 501,015
3,460 ASTEC INDUSTRIES INCORPORATED+ 81,621
11,437 ASYST TECHNOLOGIES INCORPORATED+ 85,663
10,736 ATLAS COPCO AB CLASS A 276,296
24,837 AXCELIS TECHNOLOGIES INCORPORATED+ 156,225
5,733 BAKER HUGHES INCORPORATED 408,075
6,310 BLACK & DECKER CORPORATION 464,668
2,126 BLACK BOX CORPORATION 81,936
6,377 BRIGGS & STRATTON CORPORATION 179,513
60,753 BROCADE COMMUNICATIONS SYSTEMS INCORPORATED+ 376,669
17,034 BROOKS AUTOMATION INCORPORATED 236,773
1,839 BUSINESS OBJECTS SA 51,338
7,019 CAMERON INTERNATIONAL CORPORATION 336,280
3,700 CANON FINETECH INCORPORATED 63,193
1,499 CAP GEMINI SA 82,118
4,195 CARLISLE COMPANIES INCORPORATED+ 358,673
4,600 CASIO COMPUTER COMPANY LIMITED 88,360
6,753 CDW CORPORATION+ 393,700
138,000 CHEN HSONG HOLDINGS 76,477
2,400 CKD CORPORATION 32,117
3,380 CUMMINS INCORPORATED+ 388,092
8,000 DAIHEN CORPORATION 40,411
1,169 DASSAULT SYSTEMES SA 64,729
4,553 DEERE & COMPANY 355,589
36,888 DELL INCORPORATED 831,824
1,400 DISCO CORPORATION 81,094
16,118 DONALDSON COMPANY INCORPORATED 538,019
16,000 EBARA CORPORATION 64,194
45,320 EMC CORPORATION 527,978
18,414 EMULEX CORPORATION+ 318,930
10,279 FLOWSERVE CORPORATION 525,668
4,150 FMC TECHNOLOGIES INCORPORATED 244,103
90,000 FONG'S INDUSTRIES COMPANY LIMITED 59,481
85
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
INDUSTRIAL & COMMERCIAL MACHINERY & COMPUTER EQUIPMENT (CONTINUED)
1,600 FUJI MACHINE MANUFACTURING COMPANY LIMITED $ 32,642
38,000 FUJITSU LIMITED 304,596
3,407 GAMESTOP CORPORATION CLASS A+<< 148,818
10,718 GARDNER DENVER INCORPORATED+ 385,526
97,610 GATEWAY INCORPORATED+<< 195,220
7,314 GRACO INCORPORATED+ 276,469
8,842 GRANT PRIDECO INCORPORATED 367,208
45,515 HEWLETT-PACKARD COMPANY+ 1,664,028
3,200 HITACHI CONSTRUCTION MACHINERY COMPANY LIMITED 70,599
5,000 HITACHI KOKI COMPANY LIMITED 68,061
6,105 HITACHI LIMITED 386,691
2,048 HUSQVARNA AB+ 44,312
3,393 HYDRIL COMPANY+ 222,072
11,355 IDEX CORPORATION+ 476,796
12,921 INFOCUS CORPORATION+ 34,887
7,772 INGERSOLL-RAND COMPANY LIMITED CLASS A+ 295,491
26,246 INTERNATIONAL BUSINESS MACHINES CORPORATION+ 2,125,139
8,294 JLG INDUSTRIES INCORPORATED 144,813
200,500 JOHNSON ELECTRIC HOLDINGS LIMITED 149,526
8,911 JOY GLOBAL INCORPORATED 387,985
8,814 KENNAMETAL INCORPORATED 464,850
5,000 KITZ CORPORATION 42,208
4,571 KOMATSU LIMITED+ 334,392
12,401 KULICKE & SOFFA INDUSTRIES INCORPORATED 97,596
10,289 LAM RESEARCH CORPORATION+ 440,266
336,000 LENOVO GROUP LIMITED 140,410
8,758 LEXMARK INTERNATIONAL INCORPORATED+ 491,061
1,397 LINDSAY MANUFACTURING COMPANY 39,842
3,810 LOGITECH INTERNATIONAL SA 82,338
5,701 MAKITA CORPORATION 166,298
1,767 MAN AG 135,171
11,971 MANITOWOC COMPANY INCORPORATED 529,118
2,000 MELCO HOLDINGS INCORPORATED 59,287
2,085 METSO OYJ 77,571
6,652 MICROS SYSTEMS INCORPORATED 318,365
50,000 MITSUBISHI ELECTRIC CORPORATION 412,283
6,300 MITSUI HIGH-TEC INCORPORATED 71,428
3,000 MIURA COMPANY LIMITED 73,725
8,056 MODINE MANUFACTURING COMPANY 187,624
3,400 MORI SEIKI COMPANY LIMITED 67,047
4,000 NABTESCO CORPORATION 45,147
2,822 NATIONAL OILWELL VARCO INCORPORATED 184,277
46,149 NEC CORPORATION+ 267,203
897 NEOPOST SA 104,864
12,300 NETUREN COMPANY LIMITED+ 136,207
6,694 NORDSON CORPORATION 268,028
7,000 OKAYA & COMPANY LIMITED 95,106
12,776 PALL CORPORATION 347,763
45,642 QUANTUM CORPORATION 100,869
3,700 RISO KAGAKU CORPORATION 62,247
8,000 RYOBI LIMITED 59,423
3,714 SANDISK CORPORATION+<< 218,829
5,649 SCIENTIFIC GAMES CORPORATION CLASS A 164,216
9,295 SEAGATE TECHNOLOGY HOLDINGS+ 206,814
314,000 SHANGHAI ELECTRIC GROUP COMPANY LIMITED 102,954
2,500 SHIMA SEIKI MFG 60,267
86
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
INDUSTRIAL & COMMERCIAL MACHINERY & COMPUTER EQUIPMENT (CONTINUED)
5,137 SIEMENS AG+<< $ 436,902
3,121 SIMS GROUP LIMITED 47,300
10,176 SKF AB 145,335
1,700 SMC CORPORATION 227,207
14,111 SMITH INTERNATIONAL INCORPORATED+ 592,239
76,765 SOLECTRON CORPORATION+ 241,042
5,386 SPX CORPORATION+ 284,381
5,000 STANLEY ELECTRIC COMPANY LIMITED 109,247
8,830 STANLEY WORKS 417,041
75 SULZER AG+ 60,751
12,000 SUMITOMO HEAVY INDUSTRIES LIMITED 103,650
22,020 SYMBOL TECHNOLOGIES INCORPORATED+ 264,460
2,580 TENNANT COMPANY+ 69,815
7,764 TEREX CORPORATION 341,073
3,300 THK COMPANY LIMITED 80,114
9,904 TORO COMPANY 396,259
69,000 TOSHIBA CORPORATION 491,367
114,000 TPV TECHNOLOGY LIMITED 121,809
1,000 TREND MICRO INCORPORATED 28,792
11,000 TSUBAKIMOTO CHAIN COMPANY 54,534
5,587 ULTRATECH INCORPORATED 81,738
10,876 VARIAN MEDICAL SYSTEMS INCORPORATED<< 579,691
5,230 WATSCO INCORPORATED+ 229,806
7,854 ZEBRA TECHNOLOGIES CORPORATION+ 265,779
31,046,845
---------------
INSURANCE AGENTS, BROKERS & SERVICE - 0.37%
4,512 AON CORPORATION 155,980
7,170 ARTHUR J GALLAGHER & COMPANY+ 192,156
6,474 HILB ROGAL & HOBBS COMPANY 280,130
11,475 HUMANA INCORPORATED 699,172
8,109 MARSH & MCLENNAN COMPANIES INCORPORATED 212,131
4,154 NATIONAL FINANCIAL PARTNERS CORPORATION 152,950
23,553 UNUMPROVIDENT CORPORATION+ 446,329
11,981 WILLIS GROUP HOLDINGS LIMITED 433,952
2,572,800
---------------
INSURANCE CARRIERS - 4.26%
4,768 ACE LIMITED+ 256,804
3,879 AEGON NV+ 69,276
4,043 AEGON NV ADR<< 72,289
10,394 AETNA INCORPORATED 387,384
10,021 AFLAC INCORPORATED 451,646
6,000 AIOI INSURANCE COMPANY LIMITED 42,012
15,523 ALLEANZA ASSICURAZIONI SPA+ 188,034
32,005 ALLIANZ AG 545,685
10,227 ALLSTATE CORPORATION 592,552
7,949 AMBAC FINANCIAL GROUP INCORPORATED 688,304
1,925 AMERICAN FINANCIAL GROUP INCORPORATED 89,936
30,809 AMERICAN INTERNATIONAL GROUP INCORPORATED 1,966,230
932 AMERICAN NATIONAL INSURANCE 107,217
5,911 AMERUS GROUP COMPANY 400,766
23,208 AMP LIMITED 160,360
13,031 ASSICURAZIONI GENERALI SPA 490,989
1,154 ASSURANCES GENERALES DE FRANCE 144,888
4,153 ASSURANT INCORPORATED 213,672
87
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
INSURANCE CARRIERS (CONTINUED)
17,678 AVIVA PLC $ 248,408
18,501 AXA SA<< 689,347
8,382 AXIS CAPITAL HOLDINGS LIMITED 271,828
7,813 BROWN & BROWN INCORPORATED 233,921
7,352 CENTENE CORPORATION 113,588
318,000 CHINA LIFE INSURANCE COMPANY LIMITED CLASS H 564,261
5,536 CHUBB CORPORATION 277,686
1,360 CIGNA CORPORATION 153,775
11,734 CINCINNATI FINANCIAL CORPORATION 547,508
5,779 CONSECO INCORPORATED 119,625
4,757 DELPHI FINANCIAL GROUP CLASS A 184,952
4,464 ERIE INDEMNITY COMPANY+ 227,843
4,688 EVEREST REINSURANCE GROUP LIMITED 440,578
14,186 FIDELITY NATIONAL FINANCIAL INCORPORATED 570,703
7,012 FIRST AMERICAN CORPORATION 284,827
4,258 FONDIARIA-SAI SPA 136,651
18,781 FRIENDS PROVIDENT PLC 66,513
5,330 GENWORTH FINANCIAL INCORPORATED+ 183,512
3,582 HARTFORD FINANCIAL SERVICES GROUP INCORPORATED 307,551
7,627 HEALTH NET INCORPORATED+ 318,885
5,257 HORACE MANN EDUCATORS CORPORATION+ 96,519
13,799 ING GROEP NV 599,291
44,820 INSURANCE AUSTRALIA GROUP LIMITED 183,762
3,745 IPC HOLDINGS LIMITED 104,673
3,054 LINCOLN NATIONAL CORPORATION<< 185,356
8,334 LOEWS CORPORATION 320,692
2,600 MANULIFE FINANCIAL CORPORATION 84,730
6,600 MANULIFE FINANCIAL CORPORATION NEW YORK SHARES 215,490
620 MARKEL CORPORATION 225,265
9,905 MBIA INCORPORATED 610,445
21,570 MEDIOLANUM SPA 155,305
1,864 MERCURY GENERAL CORPORATION 93,703
7,620 METLIFE INCORPORATED+ 419,329
6,839 MGIC INVESTMENT CORPORATION+ 395,773
10,534 MILANO ASSICURAZIONI SPA 76,588
4,751 MILLEA HOLDINGS INCORPORATED 435,904
20,000 MITSUI SUMITOMO INSURANCE COMPANY LIMITED 243,963
5,384 MONTPELIER RE HOLDINGS LIMITED<< 97,181
1,665 MUENCHENER RUECKVERSICHERUNGS-GESELLSCHAFT AG 250,811
8,738 NATIONWIDE FINANCIAL SERVICES 423,007
14,001 OHIO CASUALTY CORPORATION 363,326
19,904 OLD MUTUAL PLC 62,058
15,085 OLD REPUBLIC INTERNATIONAL CORPORATION 315,277
4,376 PARTNERRE LIMITED 281,377
10,039 PHILADELPHIA CONSOLIDATED HOLDING CORPORATION 363,010
23,424 PHOENIX COMPANIES INCORPORATED+ 345,738
118,000 PICC PROPERTY & CASUALTY COMPANY LIMITED+ 40,359
58,000 PING AN INSURANCE GROUP COMPANY OF CHINA LIMITED 189,797
5,997 PLATINUM UNDERWRITERS HOLDINGS LIMITED 178,111
6,622 PMI GROUP INCORPORATED 286,335
4,256 PRINCIPAL FINANCIAL GROUP INCORPORATED+ 226,589
4,014 PROASSURANCE CORPORATION 201,904
13,730 PROGRESSIVE CORPORATION 337,621
44,850 PROMINA GROUP LIMITED+ 201,348
4,155 PROTECTIVE LIFE CORPORATION 191,255
7,562 PRUDENTIAL FINANCIAL INCORPORATED 555,126
88
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
INSURANCE CARRIERS (CONTINUED)
19,204 PRUDENTIAL PLC $ 215,551
7,640 QBE INSURANCE GROUP LIMITED+ 139,179
6,213 RADIAN GROUP INCORPORATED+<< 372,034
5,506 RENAISSANCERE HOLDINGS LIMITED 283,559
29,366 ROYAL & SUN ALLIANCE INSURANCE GROUP PLC 77,441
9,909 SAFECO CORPORATION 571,848
16,860 SCOR 40,392
4,100 SELECTIVE INSURANCE GROUP INCORPORATED 213,282
13,000 SOMPO JAPAN INSURANCE INCORPORATED 171,753
10,485 ST PAUL TRAVELERS COMPANIES INCORPORATED+ 460,292
9,234 STANCORP FINANCIAL GROUP INCORPORATED 430,006
1,000 SUN LIFE FINANCIAL INCORPORATED 41,183
327 SWISS LIFE HOLDING 79,103
2,310 SWISS REINSURANCE+ 175,927
3,450 T&D HOLDINGS INCORPORATED 255,969
6,662 TORCHMARK CORPORATION 414,443
25,102 UNITEDHEALTH GROUP INCORPORATED 1,304,049
2,659 UNITRIN INCORPORATED 116,677
11,842 WELLPOINT INCORPORATED 916,689
568 WHITE MOUNTAIN INSURANCE GROUP LIMITED 300,472
3,044 XL CAPITAL LIMITED CLASS A 199,808
12,540 ZURICH FINANCIAL SERVICES AG 285,289
29,231,970
---------------
JUSTICE, PUBLIC ORDER & SAFETY - 0.06%
7,037 CORRECTIONS CORPORATION OF AMERICA 442,205
---------------
LEATHER & LEATHER PRODUCTS - 0.10%
9,386 COACH INCORPORATED 283,363
4,713 GENESCO INCORPORATED<< 129,513
9,200 TIMBERLAND COMPANY 261,372
674,248
---------------
LEGAL SERVICES - 0.02%
7,406 FTI CONSULTING INCORPORATED 165,450
---------------
LOCAL & SUB-TRANSIT & INTERURBAN HIGHWAY PASS TRANSPORTATION - 0.03%
28 AP MOLLER-MAERSK AS 233,237
---------------
LUMBER & WOOD PRODUCTS, EXCEPT FURNITURE - 0.03%
16,611 CHAMPION ENTERPRISES INCORPORATED+ 113,287
5,099 LOUISIANA-PACIFIC CORPORATION 99,736
213,023
---------------
MACHINERY - 0.04%
86,200 CB INDUSTRIAL PRODUCT HOLDING BHD 74,936
3,500 DAIFUKU COMPANY LIMITED 44,035
9,000 JAPAN STEEL WORKS 63,861
4,000 OKUMA CORPORATION 39,559
3,400 OSG CORPORATION 54,738
277,129
---------------
MEASURING, ANALYZING & CONTROLLING INSTRUMENTS: PHOTOGRAPHIC, MEDICAL & OPTICAL GOODS - 3.60%
2,200 A&D COMPANY LIMITED 45,257
5,807 ADVANCED MEDICAL OPTICS INCORPORATED+ 279,607
7,704 ADVANTEST CORPORATION<< 186,052
5,293 AFFYMETRIX INCORPORATED+<< 112,794
2,819 AGFA-GEVAERT NV+ 66,128
89
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
MEASURING, ANALYZING & CONTROLLING INSTRUMENTS: PHOTOGRAPHIC, MEDICAL & OPTICAL GOODS (CONTINUED)
9,063 AGILENT TECHNOLOGIES INCORPORATED+ $ 291,466
3,465 ALLERGAN INCORPORATED 396,950
14,450 AMERICAN MEDICAL SYSTEMS HOLDINGS INCORPORATED+ 253,742
2,303 ANAREN INCORPORATED+ 51,956
15,146 APPLERA CORPORATION-APPLIED BIOSYSTEMS GROUP 464,225
4,059 ARMOR HOLDINGS INCORPORATED+ 214,599
4,988 ARTHROCARE CORPORATION+ 227,503
4,615 BAUSCH & LOMB INCORPORATED 223,412
5,802 BECKMAN COULTER INCORPORATED 317,776
6,982 BECTON DICKINSON & COMPANY+ 486,645
2,580 BEKAERT SA 253,191
3,723 BIO-RAD LABORATORIES INCORPORATED 273,305
7,992 BIOMET INCORPORATED+ 261,418
3,566 BIOSITE INCORPORATED 156,904
28,953 BOSTON SCIENTIFIC CORPORATION 504,940
2,298 COCHLEAR LIMITED 88,252
1,123 COLOPLAST A S CLASS B 85,251
4,638 COOPER COMPANIES INCORPORATED 231,807
2,700 COSEL COMPANY LIMITED+ 47,838
8,894 CR BARD INCORPORATED 668,651
4,342 CYBERONICS INCORPORATED+ 70,688
7,997 DANAHER CORPORATION 530,121
16,924 DENTSPLY INTERNATIONAL INCORPORATED 551,384
4,372 DRS TECHNOLOGIES INCORPORATED 180,870
22,402 EASTMAN KODAK COMPANY<< 476,491
7,457 ENERGY CONVERSION DEVICES INCORPORATED 261,368
5,676 ESCO TECHNOLOGIES INCORPORATED 289,703
3,600 ESPEC CORPORATION 50,200
10,649 FISHER SCIENTIFIC INTERNATIONAL INCORPORATED 833,071
14,501 FLIR SYSTEMS INCORPORATED 401,678
267 FRESENIUS AG+ 45,898
8,530 FUJI PHOTO FILM COMPANY LIMITED<< 311,260
10,000 FUJIKURA LIMITED 118,148
6,000 FURUKAWA ELECTRIC COMPANY LIMITED 41,552
9,316 GARMIN LIMITED+<< 435,616
5,748 HAEMONETICS CORPORATION+ 267,742
20,000 HITACHI CABLE LIMITED 95,915
8,337 HOLOGIC INCORPORATED 359,992
11,300 HOYA CORPORATION 411,014
12,152 INPUT OUTPUT INCORPORATED+<< 121,155
2,654 INTUITIVE SURGICAL INCORPORATED+ 250,538
18,000 KONICA MINOLTA HOLDINGS INCORPORATED 235,359
16,142 KOPIN CORPORATION+ 60,533
8,411 KYPHON INCORPORATED+ 304,562
4,784 LUXOTTICA GROUP SPA+ 138,577
26,323 MEDTRONIC INCORPORATED 1,234,549
7,614 MENTOR CORPORATION+ 369,584
4,629 METTLER-TOLEDO INTERNATIONAL INCORPORATED 282,091
4,282 MILLIPORE CORPORATION 274,819
1,894 MINE SAFETY APPLIANCES COMPANY 67,142
11,324 NATIONAL INSTRUMENTS CORPORATION 314,354
9,613 NEWPORT CORPORATION 169,477
4,000 NIKON CORPORATION 72,405
2,949 OAKLEY INCORPORATED 48,511
7,168 OLYMPUS CORPORATION ADR 212,684
8,028 ORBOTECH LIMITED+ 192,752
90
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
MEASURING, ANALYZING & CONTROLLING INSTRUMENTS: PHOTOGRAPHIC, MEDICAL & OPTICAL GOODS (CONTINUED)
5,000 OSAKI ELECTRIC COMPANY LIMITED $ 43,400
69,000 OSIM INTERNATIONAL LIMITED+ 76,728
3,500 PARIS MIKI INCORPORATED 65,889
27,972 PERKINELMER INCORPORATED 515,524
3,921 PHOTON DYNAMICS INCORPORATED+ 52,659
4,814 POLYMEDICA CORPORATION 195,400
5,866 RAYTHEON COMPANY+ 276,934
14,441 RESMED INCORPORATED+ 587,460
7,634 RESPIRONICS INCORPORATED 281,771
2,713 RICOH COMPANY LIMITED 263,839
4,351 ROCKWELL AUTOMATION INCORPORATED 245,309
8,691 ROPER INDUSTRIES INCORPORATED 403,089
20,000 SHIMADZU CORPORATION 156,225
9,268 SIRF TECHNOLOGY HOLDINGS INCORPORATED+<< 244,026
10,306 ST JUDE MEDICAL INCORPORATED 375,241
7,508 STRYKER CORPORATION 360,609
6,600 SUMITOMO ELECTRIC INDUSTRIES LIMITED 85,174
2,100 SUZUKEN COMPANY LIMITED 78,351
8,000 TAISHO PHARMACEUTICAL COMPANY LIMITED 156,395
7,554 TECHNE CORPORATION 384,499
9,493 TEKTRONIX INCORPORATED 269,032
16,508 TERADYNE INCORPORATED+ 231,772
4,800 TERUMO CORPORATION+ 179,905
1,200 TOA MEDICAL ELECTRONICS COMPANY 49,372
10,826 TRIMBLE NAVIGATION LIMITED+ 530,149
9,000 USHIO INCORPORATED+ 202,394
5,787 VARIAN INCORPORATED+ 270,137
6,070 VEECO INSTRUMENTS INCORPORATED 148,472
6,580 VENTANA MEDICAL SYSTEMS INCORPORATED+ 306,891
4,709 VESTAS WIND SYSTEMS A S 131,830
5,964 VIASYS HEALTHCARE INCORPORATED+ 158,165
7,965 WATERS CORPORATION 339,707
3,796 WILLIAM DEMANT HOLDING 280,671
4,100 YAMATAKE CORPORATION 97,964
5,955 ZIMMER HOLDINGS INCORPORATED 404,940
24,721,395
---------------
MEDICAL MANAGEMENT SERVICES - 0.10%
281,100 BANGKOK CHAIN HOSPITAL PCL 44,506
11,570 COVENTRY HEALTH CARE INCORPORATED+ 627,557
672,063
---------------
METAL MINING - 1.05%
5,035 ACCOR SA 322,206
2,613 ALCAN INCORPORATED 117,899
9,360 ANGLO PLATINUM LIMITED+ 1,048,216
8,689 ANGLOGOLD ASHANTI LIMITED+ 393,673
1,500 BARRICK GOLD CORPORATION+ 50,213
2,585 BOLIDEN AB 48,512
600 CAMECO CORPORATION 24,558
134,300 CHIN WELL HOLDINGS BHD 47,065
27,623 CIA VALE DO RIO DOCE 597,296
9,242 CLEVELAND CLIFFS INCORPORATED+<< 337,056
59,030 COEUR D'ALENE MINES CORPORATION 320,533
2,814 CUMERIO 59,521
1,058 FALCONBRIDGE LIMITED 59,465
91
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
METAL MINING (CONTINUED)
1,498 FREEPORT MCMORAN COPPER & GOLD INCORPORATED CLASS B $ 87,199
16,871 GOLD FIELDS LIMITED 327,365
103,222 GRUPO MEXICO SAB DE CV 328,405
25,048 HARMONY GOLD MINING COMPANY LIMITED 340,222
300 INCO LIMITED+ 23,394
1,710 INCO LIMITED ADR+ 133,295
25,000 INTERNATIONAL NICKEL INDONESIA TBK 60,459
857 IPSCO INCORPORATED+ 79,230
12,681 KAGARA ZINC LIMITED 50,443
36,622 MVELAPHANDA RESOURCES LIMITED 179,938
5,564 NEWMONT MINING CORPORATION+ 285,155
17,000 NIPPON DENKO COMPANY LIMITED 54,304
63,897 NORTHAM PLATINUM LIMITED 327,677
306,000 OCEAN GRAND HOLDINGS LIMITED (a) 0
3,400 ONOKEN COMPANY LIMITED 44,949
4,018 OUTOKUMPU OYJ 102,181
9,000 PACIFIC METALS COMPANY LIMITED 68,155
2,534 PHELPS DODGE CORPORATION+ 226,793
189,200 PRESS METAL BHD 19,789
4,319 RIO TINTO LIMITED 240,556
1,545 RIO TINTO PLC+ 311,240
470 SOUTHERN COPPER CORPORATION<< 43,390
8,294 STILLWATER MINING COMPANY+ 78,212
300 TECK COMINCO INCORPORATED LIMITED 19,976
89,800 TONG HERR RESOURCES BHD 80,505
83,084 TRANS HEX GROUP LIMITED 123,791
54,500 TYCOONS WORLDWIDE GROUPS THAILAND PCL 10,224
12,386 ZINIFEX LIMITED 112,535
7,185,595
---------------
MINING & QUARRYING OF NONMETALLIC MINERALS, EXCEPT FUELS - 0.22%
101,100 DYNASTY CERAMIC PCL 32,014
1,650 FLORIDA ROCK INDUSTRIES INCORPORATED 61,364
21,227 ILUKA RESOURCES LIMITED 118,472
3,591 IMPALA PLATINUM HOLDINGS LIMITED 664,447
124,000 JIANGXI COPPER COMPANY LIMITED 117,666
6,000 SUMITOMO METAL MINING COMPANY LIMITED 84,586
4,286 VULCAN MATERIALS COMPANY+<< 336,922
2,350 XSTRATA PLC 105,508
1,520,979
---------------
MISCELLANEOUS MANUFACTURING INDUSTRIES - 1.22%
33,253 BLUESCOPE STEEL LIMITED 172,389
6,619 BLYTH INCORPORATED 142,176
13,668 CALLAWAY GOLF COMPANY 183,288
597,600 CHINA AEROSPACE INTERNATIONAL HOLDINGS LIMITED 49,177
18,484 FKI PLC 34,050
47,000 FOXCONN INTERNATIONAL HOLDINGS LIMITED 124,189
4,300 GLORY LIMITED 79,850
12,244 HASBRO INCORPORATED 248,553
42,000 HENGAN INTERNATIONAL GROUP COMPANY LIMITED 78,953
9,900 HITACHI MAXELL LIMITED 124,135
1,624,800 IDT INTERNATIONAL LIMITED 76,255
84,364 INDUSTRIAS CH SA 257,585
22,823 INDUSTRIAS PENOLES SA DE CV+ 192,406
30,000 ISHIKAWAJIMA-HARIMA HEAVY INDUSTRIES COMPANY LIMITED 87,397
92
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
MISCELLANEOUS MANUFACTURING INDUSTRIES (CONTINUED)
5,582 JAKKS PACIFIC INCORPORATED $ 91,210
2,900 JAPAN CASH MACHINE COMPANY LIMITED 45,824
56,763 JOHNSON & JOHNSON 3,670,296
38,000 KAWASAKI HEAVY INDUSTRIES LIMITED 120,090
2,100 KOSE CORPORATION+ 66,366
32,595 MATTEL INCORPORATED 614,090
70,000 MITSUBISHI HEAVY INDUSTRIES LIMITED 293,369
7,000 NIPPON ELECTRIC GLASS COMPANY LIMITED 169,939
2,131 NKT HOLDING AS 139,995
53,000 NOBLE GROUP LIMITED 36,372
2,900 SANRIO COMPANY LIMITED 36,017
60,000 SINGAMAS CONTAINER HOLDING 30,782
5,823 TRELLEBORG AB CLASS B 113,297
27,664 TYCO INTERNATIONAL LIMITED 723,414
1,139 WARTSILA OYJ CLASS B+ 47,075
3,816 WESFARMERS LIMITED+ 97,865
9,542 YANKEE CANDLE COMPANY INCORPORATED<< 246,661
8,393,065
---------------
MISCELLANEOUS RETAIL - 1.67%
14,900 AEON COMPANY LIMITED 375,054
6,027 AMAZON.COM INCORPORATED+ 185,812
3,700 ARCS COMPANY LIMITED 45,070
47,777 AUSTRALIAN PHARMACEUTICAL INDUSTRIES LIMITED 74,779
11,291 BARNES & NOBLE INCORPORATED+ 410,541
30,621 BLOCKBUSTER INCORPORATED<< 122,178
16,954 BORDERS GROUP INCORPORATED+ 324,330
52,080 COLES MYER LIMITED 556,285
11,927 COSTCO WHOLESALE CORPORATION 558,064
2,400 CREDIT SAISON COMPANY LIMITED+ 108,148
3,800 CULTURE CONVENIENCE CLUB COMPANY LIMITED 42,825
17,176 CVS CORPORATION+ 576,255
6,688 DICK'S SPORTING GOODS INCORPORATED+ 276,415
36,000 DICKSON CONCEPTS INTERNATIONAL LIMITED 38,281
15,274 DILLARD'S INCORPORATED+<< 476,243
9,773 DOLLAR TREE STORES INCORPORATED 281,267
3,155 EXPRESS SCRIPTS INCORPORATED+ 265,272
8,800 FUJI COMPANY LIMITED EHIME 140,326
22 GEO COMPANY LIMITED 40,291
102,581 GRUPO SANBORNS SA DE CV 241,578
4,400 HEIWADO COMPANY LIMITED 80,770
900 HIKARI TSUSHIN INCORPORATED 49,678
2,100 IZUMI COMPANY LIMITED 77,814
10,000 KASUMI COMPANY LIMITED 59,031
4,000 LIFE CORPORATION 56,391
6,583 LONGS DRUG STORES CORPORATION 299,066
136,000 METRO HOLDINGS LIMITED 66,542
10,551 MICHAELS STORES INCORPORATED+ 454,221
9,168 MSC INDUSTRIAL DIRECT COMPANY 360,852
10,988 NATURA COSMETICOS SA 140,528
5,417 NUTRI SYSTEM INCORPORATED<< 269,117
21,568 OFFICE DEPOT INCORPORATED 794,565
4,000 OKUWA COMPANY LIMITED 51,552
63,317 ORGANIZACION SORIANA SA DE CV 301,646
13,201 PETCO ANIMAL SUPPLIES INCORPORATED 371,608
12,390 PETSMART INCORPORATED 310,989
93
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
MISCELLANEOUS RETAIL (CONTINUED)
49,183 RITE AID CORPORATION<< $ 213,454
800 RYOHIN KEIKAKU COMPANY LIMITED 58,265
152,000 SA SA INTERNATIONAL HOLDINGS LIMITED 47,297
3,600 SHIMACHU COMPANY LIMITED 101,503
4,789 STAMPS.COM INCORPORATED 91,183
17,802 STAPLES INCORPORATED+ 401,613
17,000 THE SEIYU LIMITED 32,727
8,000 UNY COMPANY LIMITED 113,736
7,282 VALUEVISION MEDIA INCORPORATED+ 80,393
21,886 WALGREEN COMPANY 1,082,482
12,480 ZALE CORPORATION+ 333,840
11,439,877
---------------
MISCELLANEOUS SERVICES - 0.05%
2,792 ADECCO SA 40,791
3,434 DUN & BRADSTREET CORPORATION 241,445
13,042 IFIL INVESTMENTS SPA 79,492
361,728
---------------
MOTION PICTURES - 0.33%
8,644 AVID TECHNOLOGY INCORPORATED+<< 344,291
6,482 DREAMWORKS ANIMATION SKG INCORPORATED CLASS A+ 137,354
9,771 MACROVISION CORPORATION 227,469
29,298 NEWS CORPORATION CLASS A 557,541
5,932 NEWS CORPORATION CLASS B 117,869
53,367 TIME WARNER INCORPORATED+ 886,960
2,271,484
---------------
MOTOR FREIGHT TRANSPORTATION & WAREHOUSING - 0.38%
3,947 CON-WAY INCORPORATED 188,864
1,018 DSV AS 165,051
8,172 J.B. HUNT TRANSPORT SERVICES INCORPORATED 160,580
10,926 LANDSTAR SYSTEM INCORPORATED+<< 466,540
17,000 NIPPON EXPRESS COMPANY LIMITED 92,244
12,246 UNITED PARCEL SERVICE INCORPORATED CLASS B+ 857,832
12,475 WERNER ENTERPRISES INCORPORATED+ 231,162
11,246 YRC WORLDWIDE INCORPORATED+ 413,628
2,575,901
---------------
NON-DEPOSITORY CREDIT INSTITUTIONS - 0.88%
1,870 ACOM COMPANY LIMITED 83,628
1,650 AIFUL CORPORATION 66,059
20,722 AMERICAN EXPRESS COMPANY 1,088,734
9,808 AMERICREDIT CORPORATION+ 230,390
3,823 CAPITAL ONE FINANCIAL CORPORATION 279,461
5,673 CAPITAL SOURCE INCORPORATED 137,854
15,079 CIT GROUP INCORPORATED 679,460
10,188 COUNTRYWIDE FINANCIAL CORPORATION+ 344,354
22,050 DORAL FINANCIAL CORPORATION<< 110,471
15,707 FANNIE MAE 826,974
2,292 FIRST MARBLEHEAD CORPORATION THE<< 120,330
11,422 FREDDIE MAC 726,439
2,700 IBJ LEASING COMPANY LIMITED 67,158
11,142 IRISH LIFE & PERMANENT PLC 286,918
2,711 ORIX CORPORATION ADR 360,156
1,750 PROMISE COMPANY LIMITED 78,261
94
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
NON-DEPOSITORY CREDIT INSTITUTIONS (CONTINUED)
9,913 SLM CORPORATION $ 481,078
3,100 TOKYO LEASING COMPANY 37,841
700 UFJ CENTRAL LEASING COMPANY LIMITED 32,497
5,000 UFJ NICOS COMPANY LIMITED 32,753
6,070,816
---------------
OIL & GAS EXTRACTION - 3.52%
7,156 ANADARKO PETROLEUM CORPORATION 335,688
5,393 APACHE CORPORATION 352,055
3,299 ATWOOD OCEANICS INCORPORATED+ 141,857
18,466 BG GROUP PLC 241,373
23,846 BHP BILLITON LIMITED+ 1,003,917
4,752 BJ SERVICES COMPANY 163,041
18,557 BP PLC 210,939
8,481 CABOT OIL & GAS CORPORATION+ 433,040
3,606 CANADIAN NATURAL RESOURCES LIMITED NEW YORK SHARES 189,640
900 CANADIAN NATURAL RESOURCES LIMITED+ 47,251
9,139 CHENIERE ENERGY INCORPORATED<< 300,673
5,803 CHESAPEAKE ENERGY CORPORATION 183,201
790,000 CHINA PETROLEUM & CHEMICAL CORPORATION (SINOPEC) 470,308
8,379 DENBURY RESOURCES INCORPORATED 259,833
6,405 DEVON ENERGY CORPORATION+ 400,248
4,400 ENCANA CORPORATION 230,888
9,016 ENCORE ACQUISITION COMPANY+ 243,883
9,439 ENI SPA<< 577,289
10,203 ENSCO INTERNATIONAL INCORPORATED 455,972
4,448 EOG RESOURCES INCORPORATED 288,319
9,500 FOREST OIL CORPORATION<< 321,765
16,930 GLOBAL INDUSTRIES LIMITED 303,386
3,626 GLOBASANTAFE CORPORATION+ 178,472
39,055 GREY WOLF INCORPORATED 285,492
17,548 HALLIBURTON COMPANY 572,416
16,449 HANOVER COMPRESSOR COMPANY+ 309,570
12,135 HELIX ENERGY SOLUTIONS GROUP INCORPORATED<< 466,712
5,192 HELMERICH & PAYNE INCORPORATED 127,360
4,955 HOUSTON EXPLORATION COMPANY 317,863
174,000 MEDCO ENERGI INTERNASIONAL TBK PT+ 68,858
1,852 MOL HUNGARIAN OIL & GAS PLC+ 187,635
21,299 NABORS INDUSTRIES LIMITED+ 700,311
14,739 NEWPARK RESOURCES INCORPORATED+ 81,654
1,374 NEXEN INCORPORATED+ 80,214
400 NEXEN INCORPORATED+ 23,302
13,500 NIPPON MINING HOLDINGS INCORPORATED 98,897
23,000 NIPPON OIL CORPORATION 174,760
9,202 NOBLE CORPORATION 601,719
14,153 NOBLE ENERGY INCORPORATED 699,441
2,950 NORSK HYDRO ASA+ 76,060
13,262 OCCIDENTAL PETROLEUM CORPORATION 676,229
8,496 OCEANEERING INTERNATIONAL INCORPORATED 305,601
54,013 ORIGIN ENERGY LIMITED 275,063
19,860 PARKER DRILLING COMPANY+ 141,006
11,770 PATTERSON-UTI ENERGY INCORPORATED 322,498
900 PETRO-CANADA 38,433
848,000 PETROCHINA COMPANY LIMITED 956,245
43,481 PETROLEO BRASILEIRO SA 976,497
5,004 PLAINS EXPLORATION & PRODUCTION COMPANY 220,226
95
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
OIL & GAS EXTRACTION (CONTINUED)
4,473 POGO PRODUCING COMPANY $ 198,646
10,360 PRIDE INTERNATIONAL INCORPORATED 268,635
79,100 PTT PCL 496,743
76,500 PTT EXPLORATION & PRODUCTION PCL 217,815
3,483 QUICKSILVER RESOURCES INCORPORATED+ 131,030
8,537 RANGE RESOURCES CORPORATION+ 238,865
6,651 ROWAN COMPANIES INCORPORATED 227,464
13,185 SANTOS LIMITED 112,647
20,000 SCHLUMBERGER LIMITED 1,226,000
3,103 SEACOR HOLDINGS INCORPORATED 270,054
11,756 SOUTHWESTERN ENERGY COMPANY 403,819
9,739 ST MARY LAND & EXPLORATION COMPANY 397,351
5,275 STONE ENERGY CORPORATION+ 232,997
1,900 TALISMAN ENERGY INCORPORATED+ 33,348
10,484 TETRA TECHNOLOGIES INCORPORATED+ 291,560
10,366 TODCO 383,853
17,037 TOTAL SA ADR 1,148,805
5,330 TRANSOCEAN INCORPORATED+ 355,778
7,930 UNIT CORPORATION 417,990
5,683 VERITAS DGC INCORPORATED 338,536
5,466 WEATHERFORD INTERNATIONAL LIMITED+ 235,038
4,667 WOODSIDE PETROLEUM LIMITED 150,583
6,751 XTO ENERGY INCORPORATED 308,993
24,203,650
---------------
PAPER & ALLIED PRODUCTS - 0.37%
8,092 BEMIS COMPANY INCORPORATED+ 261,372
4,616 KIMBERLY-CLARK CORPORATION 293,116
9,658 MEADWESTVACO CORPORATION+ 246,762
7,089 OFFICEMAX INCORPORATED 294,406
25,716 PACTIV CORPORATION 687,389
5,796 POTLATCH CORPORATION 222,045
8,799 SAPPI LIMITED+ 111,893
7,730 SONOCO PRODUCTS COMPANY 258,800
4,329 TEMPLE-INLAND INCORPORATED+ 192,727
2,568,510
---------------
PERSONAL SERVICES - 0.26%
8,298 CINTAS CORPORATION 307,275
1,879 G&K SERVICES INCORPORATED CLASS A 62,345
23,811 H&R BLOCK INCORPORATED+ 500,745
7,020 REGIS CORPORATION 257,564
62,083 SERVICE CORPORATION INTERNATIONAL U.S. 521,497
3,038 WEIGHT WATCHERS INTERNATIONAL INCORPORATED<< 128,993
1,778,419
---------------
PETROLEUM REFINING & RELATED INDUSTRIES - 2.23%
5,130 ASHLAND INCORPORATED 323,908
22,516 BP PLC ADR 1,532,214
33,166 CHEVRON CORPORATION 2,135,890
340,000 CNOOC LIMITED+ 297,277
23,330 CONOCOPHILLIPS+ 1,479,822
2,511 ELKCORP+ 70,735
85,455 EXXON MOBIL CORPORATION+ 5,782,740
6,889 HEADWATERS INCORPORATED 152,385
3,951 HESS CORPORATION+ 180,877
96
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
PETROLEUM REFINING & RELATED INDUSTRIES (CONTINUED)
400 IMPERIAL OIL LIMITED+ $ 15,051
14 INPEX HOLDINGS INCORPORATED 124,026
5,613 MARATHON OIL CORPORATION 468,686
12,611 ROYAL DUTCH SHELL PLC ADR CLASS A 869,402
8,277 ROYAL DUTCH SHELL PLC ADR CLASS B 592,302
2,600 STATOIL ASA 70,120
700 SUNCOR ENERGY INCORPORATED 54,243
2,695 SUNCOR ENERGY INCORPORATED+ 209,078
5,372 TESORO CORPORATION 347,085
85,700 THAI OIL PCL+ 139,109
8,051 VALERO ENERGY CORPORATION 462,127
15,307,077
---------------
PHARMACEUTICALS - 0.01%
13,345 SAVIENT PHARMACEUTICALS INCORPORATED 86,476
---------------
PIPELINES, EXCEPT NATURAL GAS - 0.03%
65,808 GASNET AUSTRALIA GROUP 154,753
900 TRANSCANADA CORPORATION 29,264
184,017
---------------
PRIMARY METAL INDUSTRIES - 1.99%
4,000 ACESITA SA 73,321
14,000 AICHI STEEL CORPORATION 106,376
23,345 AK STEEL HOLDING CORPORATION+<< 294,380
600 ALCAN INCORPORATED 26,985
10,465 ALCOA INCORPORATED 299,194
6,616 ALLEGHENY TECHNOLOGIES INCORPORATED 379,428
142,000 ALUMINUM CORPORATION OF CHINA LIMITED 101,334
110,000 ANGANG NEW STEEL COMPANY LIMITED 90,379
15,347 ARCELOR BRASIL SA 266,998
7,168 BELDEN CDT INCORPORATED 256,184
4,440 CARPENTER TECHNOLOGY CORPORATION 425,530
4,896 CHAPARRAL STEEL COMPANY+ 349,672
336,000 CHINA ORIENTAL GROUP COMPANY LIMITED 69,125
276,000 CHONGQING IRON & STEEL COMPANY LIMITED 56,781
2,600 CHUBU STEEL PLATE COMPANY LIMITED 30,962
9,655 CIA SIDERURGICA NACIONAL SA 284,606
11,408 COMMSCOPE INCORPORATED+ 333,228
11,287 GENERAL CABLE CORPORATION 434,888
21,519 GERDAU SA+ 315,257
8,000 GODO STEEL LIMITED+ 45,726
18,000 HITACHI METALS LIMITED 179,088
7,654 HUBBELL INCORPORATED CLASS B 355,911
13,600 JFE HOLDINGS INCORPORATED+ 553,754
5,773 KUBOTA CORPORATION+ 236,808
25,969 KUMBA RESOURCES LIMITED 523,591
24,000 KURIMOTO LIMITED 64,398
5,344 LONE STAR TECHNOLOGIES INCORPORATED 242,244
248,000 MAANSHAN IRON & STEEL 77,169
1,700 MARUICHI STEEL TUBE LIMITED 39,823
2,901 MATTHEWS INTERNATIONAL CORPORATION 103,276
6,355 MAVERICK TUBE CORPORATION+ 408,436
5,582 METALURGICA GERDAU SA 91,384
2,283,900 MILLENNIUM STEEL PCL 55,912
128,000 MINMETALS RESOURCES LIMITED 36,702
97
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
PRIMARY METAL INDUSTRIES (CONTINUED)
10,000 MITSUBISHI STEEL MANUFACTURING COMPANY LIMITED $ 54,517
9,304 MITTAL STEEL COMPANY NV 310,511
1,329 MITTAL STEEL COMPANY NV+ 44,337
41,771 MITTAL STEEL SOUTH AFRICA LIMITED 441,736
9,690 MUELLER INDUSTRIES INCORPORATED 371,321
14,000 NAKAYAMA STEEL WORKS LIMITED 54,023
5,418,300 NAKORNTHAI STRIP MILL PCL 51,905
19,000 NIPPON METAL INDUSTRY COMPANY LIMITED 42,566
121,000 NIPPON STEEL CORPORATION 505,047
15,000 NSK LIMITED 119,980
5,874 NUCOR CORPORATION 287,062
53,825 ONESTEEL LIMITED+ 175,066
6,865 OREGON STEEL MILLS INCORPORATED<< 330,687
9,460 PRECISION CASTPARTS CORPORATION 552,842
8,922 QUANEX CORPORATION+ 306,292
3,252 RAUTARUUKKI OYJ 94,991
3,677 RTI INTERNATIONAL METALS INCORPORATED 159,471
2,402,100 SAHAVIRIYA STEEL INDUSTRIES PCL 76,704
9,000 SANYO SPECIAL STEEL COMPANY LIMITED 74,211
121,039 SMORGON STEEL GROUP LIMITED 162,647
9,839 STEEL DYNAMICS INCORPORATED 519,401
2,611 TEXAS INDUSTRIES INCORPORATED<< 122,560
7,154 THYSSENKRUPP AG 243,615
4,000 TOPY INDUSTRIES LIMITED 15,844
9,244 UNITED STATES STEEL CORPORATION+ 537,723
4,080 USINAS SIDERURGICAS DE MINAS GERAIS SA 147,462
21,006 WORTHINGTON INDUSTRIES 401,425
5,300 YAMATO KOGYO COMPANY LIMITED 120,993
29,000 YODOGAWA STEEL WORKS LIMITED 155,381
13,689,170
---------------
PRINTING, PUBLISHING & ALLIED INDUSTRIES - 0.46%
9,432 AMERICAN GREETINGS CORPORATION CLASS A 231,273
2,360 BANTA CORPORATION 111,038
14,073 BRAMBLES INDUSTRIES LIMITED 128,399
5,781 EW SCRIPPS COMPANY CLASS A+ 262,862
1,718 GANNETT COMPANY INCORPORATED+ 97,668
3,604 JOHN WILEY & SONS INCORPORATED 124,338
4,000 KOMORI CORPORATION 81,946
6,800 MCCLATCHY COMPANY CLASS A+ 275,876
3,714 MCGRAW-HILL COMPANIES INCORPORATED 207,650
3,494 MEREDITH CORPORATION 165,406
15,413 NASPERS LIMITED 265,962
5,368 NEW YORK TIMES COMPANY CLASS A 120,887
7,678 PRESSTEK INCORPORATED 63,036
1,183 RH DONNELLEY CORPORATION 64,261
15,529 RR DONNELLEY & SONS COMPANY+ 503,450
6,400 VIACOM INCORPORATED CLASS B+ 232,320
298 WASHINGTON POST COMPANY CLASS B 228,795
3,165,167
---------------
PROPERTIES - 0.12%
63,976 MACQUARIE GOODMAN GROUP 309,681
35,323 WESTFIELD GROUP 492,725
802,406
---------------
98
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
RAILROAD TRANSPORTATION - 0.35%
900 CANADIAN NATIONAL RAILWAY COMPANY $ 38,392
38 CENTRAL JAPAN RAILWAY COMPANY 411,091
73 EAST JAPAN RAILWAY COMPANY 539,129
170,000 GUANGSHEN RAILWAY COMPANY LIMITED 69,292
16,000 HANKYU HOLDINGS INCORPORATED 85,591
15,122 KANSAS CITY SOUTHERN 398,465
27,000 KINTETSU CORPORATION 87,167
92,500 MTR CORPORATION LIMITED 236,446
4,955 UNION PACIFIC CORPORATION 398,134
39 WEST JAPAN RAILWAY COMPANY 166,438
2,430,145
---------------
REAL ESTATE - 0.80%
1,127,500 ASIAN PAC HOLDINGS BHD 41,351
102,100 BANDAR RAYA DEVELOPMENTS BHD 29,956
78,802 BUNNINGS WAREHOUSE PROPERTY TRUST 125,745
10,564 CB RICHARD ELLIS GROUP INCORPORATED CLASS A+ 242,972
50,710 CENTRO PROPERTIES GROUP 296,572
46,238 CFS RETAIL PROPERTY TRUST 67,075
19,000 CHEUNG KONG HOLDINGS LIMITED 209,856
114,317 COMMONWEALTH PROPERTY OFFICE FUND 123,939
3,618 CYRELA BRAZIL REALTY SA 62,859
2,300 DAITO TRUST CONSTRUCTION COMPANY LIMITED 119,511
189,227 DB RREEF TRUST 226,103
494,133 ERAWAN GROUP PCL+ 53,910
2,365 FOREST CITY ENTERPRISES INCORPORATED+ 127,190
273,900 GOLDEN LAND PROPERTY PCL 46,282
73,270 GPT GROUP 255,653
30,000 HOPEWELL HOLDINGS 85,634
123,889 ING INDUSTRIAL FUND 214,717
24,574 ING OFFICE FUND 27,674
90,407 INVESTA PROPERTY GROUP 163,591
5,567 JONES LANG LASALLE INCORPORATED 463,508
1,300 LEOPALACE21 CORPORATION 46,067
119,205 MACQUAIRE OFFICE TRUST 130,148
30,785 MACQUARIE COUNTRYWIDE TRUST 45,481
227,541 MACQUARIE PROLOGIS TRUST 206,736
40,689 MIRVAC GROUP 141,972
18,000 MITSUBISHI ESTATE COMPANY LIMITED 387,921
10,000 MITSUI FUDOSAN COMPANY LIMITED 224,030
10,927 NEW CENTURY FINANCIAL CORPORATION<< 422,984
8,595 PHH CORPORATION+ 215,820
2,575 REALOGY CORPORATION 55,105
17,491 STEWART ENTERPRISES INCORPORATED+ 101,098
34,070 STOCKLAND 188,330
5,000 SUMITOMO REALTY & DEVELOPMENT COMPANY LIMITED 147,366
3,955 THE ST JOE COMPANY+<< 201,547
5,498,703
---------------
REAL ESTATE INVESTMENT TRUSTS (REITS) - 0.07%
5,998 PENNSYLVANIA REAL ESTATE INVESTMENT TRUST 253,835
5,868 WASHINGTON REAL ESTATE INVESTMENT TRUST+ 238,358
492,193
---------------
99
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
RETAIL DEPARTMENT STORES - 0.08%
3,200 EDION CORPORATION $ 56,970
269,700 HOME PRODUCT CENTER PCL 59,208
9,842 MEN'S WEARHOUSE INCORPORATED<< 348,899
14,500 PARKSON RETAIL GROUP LIMITED 48,475
188,400 ROBINSON DEPARTMENT STORE PCL 56,650
570,202
---------------
RUBBER & MISCELLANEOUS PLASTICS PRODUCTS - 0.38%
4,833 A SCHULMAN INCORPORATED 114,010
21,000 BANDO CHEMICAL INDUSTRIES LIMITED 93,019
7,323 BRIDGESTONE CORPORATION 312,188
2,647 COMPAGNIE GENERALE DES ESTABLISSEMENTS MICHELIN CLASS B 179,734
1,264 CONTINENTAL AG 135,217
15,867 COOPER TIRE & RUBBER COMPANY+ 155,973
34,842 GOODYEAR TIRE & RUBBER COMPANY+<< 473,851
10,657 INTERTAPE POLYMER GROUP INCORPORATED+ 73,214
9,588 JARDEN CORPORATION<< 281,120
5,115 SEALED AIR CORPORATION+ 265,315
10,639 TUPPERWARE BRANDS CORPORATION 191,608
340,000 YANZHOU COAL MINING COMPANY LIMITED 240,008
15,000 YOKOHAMA RUBBER COMPANY LIMITED 68,487
2,583,744
---------------
SCHOOLS - 0.01%
8,471 ABC LEARNING+ 41,975
---------------
SECURITY & COMMODITY BROKERS, DEALERS, EXCHANGES & SERVICES - 1.82%
5,335 AG EDWARDS INCORPORATED+ 281,795
4,333 ALLCO FINANCE GROUP LIMITED 37,714
4,726 AMVESCAP PLC ADR 98,679
2,103 BEAR STEARNS COMPANIES INCORPORATED+ 274,126
1,211 BLACKROCK INCORPORATED NEW YORK SHARES 157,612
18,090 CHARLES SCHWAB CORPORATION+ 295,048
564 CHICAGO MERCANTILE EXCHANGE+ 248,160
9,953 CREDIT SUISSE GROUP+ 556,373
28,779 E*TRADE FINANCIAL CORPORATION 678,897
7,692 EATON VANCE CORPORATION+ 204,530
7,584 FEDERATED INVESTORS INCORPORATED CLASS B 253,912
3,440 FRANKLIN RESOURCES INCORPORATED 338,530
11,116 FRIEDMAN BILLINGS RAMSEY GROUP INCORPORATED CLASS A+<< 91,707
4,943 GOLDMAN SACHS GROUP INCORPORATED+ 734,777
139,056 GRUPO FINANCIERO BANORTE SA DE CV 406,989
263,990 GRUPO FINANCIERO INBURSA SA 422,125
18,000 GUOCO GROUP LIMITED 219,988
7,744 INVESTMENT TECHNOLOGY GROUP INCORPORATED+ 357,850
5,928 JEFFERIES GROUP INCORPORATED 147,726
86,600 KIM ENG SECURITIES THAILAND PCL+ 46,319
4,103 KINNEVIK INVESTMENT AB 47,135
20,517 KNIGHT CAPITAL GROUP INCORPORATED+ 358,227
11,667 LABRANCHE & COMPANY INCORPORATED+<< 96,836
6,073 LAZARD LIMITED+ 228,648
2,173 LEGG MASON INCORPORATED 198,308
8,277 LEHMAN BROTHERS HOLDINGS INCORPORATED 528,155
12,742 MERRILL LYNCH & COMPANY INCORPORATED 936,919
3,000 MITSUBISHI UFJ SECURITIES COMPANY LIMITED 40,249
13,852 MORGAN STANLEY 911,323
100
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
SECURITY & COMMODITY BROKERS, DEALERS, EXCHANGES & SERVICES (CONTINUED)
6,895 NASDAQ STOCK MARKET INCORPORATED $ 196,576
30,500 NOMURA HOLDINGS INCORPORATED 587,125
4,063 SEI INVESTMENTS COMPANY 207,376
30,000 SUMITOMO CORPORATION 405,554
2,695 SWS GROUP INCORPORATED 66,297
16,958 T ROWE PRICE GROUP INCORPORATED+ 747,169
411,900 TA ENTERPRISES BHD 76,651
5,425 TD AMERITRADE HOLDING CORPORATION 95,046
14,620 UBS AG+ 827,301
3,979 WADDELL & REED FINANCIAL INCORPORATED 92,392
12,500,144
---------------
SEMICONDUCTOR EQUIPMENT MANUFACTURING & RELATED - 0.05%
5,852 ASML HOLDING NV 127,904
5,427 CABOT MICROELECTRONICS CORPORATION+ 170,625
2,718 TUNDRA SEMICONDUCTOR 32,290
330,819
---------------
SOCIAL SERVICES - 0.05%
8,824 ABB LIMITED ADR 117,712
39,128 TRANSURBAN GROUP 208,821
326,533
---------------
STEEL PRODUCERS, PRODUCTS - 0.06%
3,236,500 G STEEL PCL 86,984
191,700 MELEWAR INDUSTRIAL GROUP BHD+ 51,557
279,700 ORNASTEEL HOLDINGS BHD 63,827
1,009 SALZGITTER AG 90,397
3,799,300 THAINOX STAINLESS PCL+ 116,264
409,029
---------------
STONE, CLAY, GLASS & CONCRETE PRODUCTS - 0.61%
290,966 CEMEX SAB DE CV 838,267
4,000 CHOFU SEISAKUSHO COMPANY LIMITED+ 88,079
5,200 CLEANUP CORPORATION 42,080
2,243 COMPAGNIE DE SAINT-GOBAIN 166,526
112,130 CONSOL LIMITED 239,335
26,976 CORNING INCORPORATED 599,946
14,598 CRH PLC 506,268
7,742 EAGLE MATERIALS INCORPORATED+ 277,551
51,317 GRUPO CEMENTOS DE CHIHUAHUA SA DE CV 184,428
1,174 HANSON PLC 73,962
69,100 KIAN JOO CAN FACTORY BHD 45,241
2,000 NIHON YAMAMURA GLASS COMPANY LIMITED 6,133
17,279 OWENS-ILLINOIS INCORPORATED 261,950
17,662 REXAM PLC 182,606
44,300 SIAM CEMENT PCL 256,982
3,500 TOYO SEIKAN KAISHA LIMITED 71,255
105,500 UNITED TRACTORS TBK PT 66,684
4,366 USG CORPORATION+ 222,666
331,800 VANACHAI GROUP PCL 38,848
4,168,807
---------------
101
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
TELECOMMUNICATIONS - 0.03%
3,084 FIRST QUANTUM MINERALS LIMITED+ $ 185,348
23,000 HUTCHISON TELECOMMUNICATIONS INTERNATIONAL LIMITED+ 40,575
225,923
---------------
TEXTILE MILL PRODUCTS - 0.16%
6,131 ALBANY INTERNATIONAL CORPORATION CLASS A 214,095
11,176 INTERFACE INCORPORATED+ 142,047
5,046 MOHAWK INDUSTRIES INCORPORATED<< 357,660
13,000 TORAY INDUSTRIES INCORPORATED 103,650
11,875 WOLVERINE WORLD WIDE INCORPORATED 299,606
1,117,058
---------------
TOBACCO PRODUCTS - 0.67%
28,249 ALTRIA GROUP INCORPORATED 2,359,639
13,015 BRITISH AMERICAN TOBACCO PLC 356,847
6,305 IMPERIAL TOBACCO GROUP PLC 217,290
44 JAPAN TOBACCO INCORPORATED 167,537
5,682 LOEWS CORPORATION CAROLINA GROUP 325,351
1,712 REYNOLDS AMERICAN INCORPORATED 111,400
625,000 TELEKOMUNIKASI INDONESIA TBK PT 542,761
9,464 UST INCORPORATED<< 500,267
4,581,092
---------------
TRANSPORTATION BY AIR - 0.38%
18,555 AIRTRAN HOLDINGS INCORPORATED+ 212,455
32,900 ALITALIA SPA+ 40,148
27,779 BAE SYSTEMS PLC 195,966
6,732 BRITISH AIRWAYS PLC+ 52,650
17,589 CONTINENTAL AIRLINES INCORPORATED CLASS B+ 441,308
5,335 EGL INCORPORATED+ 163,091
4,953 FEDEX CORPORATION 500,402
2,399 GOL LINHAS AEREAS INTELIGENTES SA+ 83,394
4,825 JAPAN AIRLINES CORPORATION+ 45,870
13,415 JETBLUE AIRWAYS CORPORATION<< 137,370
110,700 MALAYSIAN AIRLINE SYSTEM BHD 90,822
32,372 QANTAS AIRWAYS LIMITED+ 85,023
15,926 RYANAIR HOLDINGS PLC 153,027
2,122 TAM SA+ 65,323
76,300 THAI AIRWAYS INTERNATIONAL COMPANY LIMITED 89,335
4,845 TUI AG 94,597
3,473 US AIRWAYS GROUP INCORPORATED+ 146,734
2,597,515
---------------
TRANSPORTATION EQUIPMENT - 1.89%
123,000 AAPICO HITECH PCL 43,858
5,900 AISIN SEIKI COMPANY LIMITED+ 178,917
10,567 AMERICAN AXLE & MANUFACTURING HOLDINGS 176,363
15,578 ARVIN INDUSTRIES INCORPORATED 231,333
10,201 BOEING COMPANY 764,055
8,000 BOSCH CORPORATION 40,888
7,541 BRUNSWICK CORPORATION+ 216,427
7,000 CALSONIC KANSEI CORPORATION 41,561
13,619 CLARCOR INCORPORATED 407,889
25,053 COATES HIRE LIMITED 112,472
4,991 DAIMLERCHRYSLER AG+ 263,441
12,700 DENSO CORPORATION 442,463
102
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
TRANSPORTATION EQUIPMENT (CONTINUED)
19,979 GENUINE PARTS COMPANY $ 825,732
115 GEORG FISCHER AG+ 54,143
29,170 GUD HOLDINGS LIMITED 157,458
5,283 HARLEY-DAVIDSON INCORPORATED 309,108
3,869 HARSCO CORPORATION 307,818
16,000 HINO MOTORS LIMITED 86,137
22,000 HONDA MOTOR COMPANY LIMITED 747,732
7,025 HONDA MOTOR COMPANY LIMITED ADR 238,007
9,943 HONEYWELL INTERNATIONAL INCORPORATED 384,993
17,384 ITT CORPORATION 850,947
5,000 JAPAN AVIATION ELECTRONICS INDUSTRY LIMITED 70,190
4,862 JOHNSON CONTROLS INCORPORATED 349,724
8,500 JTEKT CORPORATION 169,428
2,100 KEIHIN CORPORATION 44,452
4,000 KOITO MANUFACTURING COMPANY LIMITED 52,404
16,084 LEAR CORPORATION 327,149
5,980 LOCKHEED MARTIN CORPORATION 493,948
1,062 MAGNA INTERNATIONAL INCORPORATED CLASS A 76,411
41,132 MARCOPOLO SA 78,657
24,000 MITSUI ENGINEERING & SHIPBUILDING COMPANY LIMITED 73,393
6,680 NAVISTAR INTERNATIONAL CORPORATION+ 153,239
5,000 NGK SPARK PLUG COMPANY LIMITED 101,793
6,000 NHK SPRING COMPANY LIMITED 66,749
10,000 NISSAN DIESEL MOTOR COMPANY LIMITED 40,632
6,000 NISSAN SHATAI COMPANY LIMITED 33,528
3,300 NOK CORPORATION 86,579
4,197 NORTHROP GRUMMAN CORPORATION+ 280,402
6,838 OSHKOSH TRUCK CORPORATION 353,525
7,401 POLARIS INDUSTRIES INCORPORATED+ 281,978
5,430 SCANIA AB CLASS B 257,758
86,000 SEMBCORP MARINE LIMITED 189,077
11,000 SHINMAYWA INDUSTRIES LTD.+ 53,597
6,900 SUMITOMO RUBBER INDUSTRIES 73,470
7,359 SUPERIOR INDUSTRIES INTERNATIONAL INCORPORATED<< 124,441
1,032 TEXTRON INCORPORATED+ 86,544
13,600 THAI STANLEY ELECTRIC PCL 52,475
2,400 TOYODA GOSEI COMPANY LIMITED 51,110
5,200 TOYOTA AUTO BODY COMPANY LIMITED 90,140
4,300 TOYOTA BOSHOKU CORPORATION 73,257
7,300 TOYOTA INDUSTRIES CORPORATION 304,076
8,607 TOYOTA MOTOR CORPORATION+ 932,482
2,740 VALEO SA 100,255
6,316 VOLVO AB CLASS B 359,082
7,922 WABASH NATIONAL CORPORATION 109,244
2,900 YAMAHA MOTOR COMPANY LIMITED 77,320
12,950,251
---------------
TRANSPORTATION SERVICES - 0.33%
3,031 CANADIAN NATIONAL RAILWAY COMPANY 129,606
10,856 CH ROBINSON WORLDWIDE INCORPORATED 497,422
108,000 COMFORTDELGRO CORPORATION LIMITED 102,939
14,684 EXPEDITORS INTERNATIONAL WASHINGTON INCORPORATED+ 585,451
6,783 SABRE HOLDINGS CORPORATION 148,683
82,000 SBS TRANSIT LIMITED 112,025
35,461 SYDNEY ROADS GROUP 28,022
16,000 TOKYU CORPORATION 106,444
103
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
TRANSPORTATION SERVICES (CONTINUED)
14,042 TOLL HOLDINGS LIMITED $ 153,204
34,400 TRANSPORT INTERNATIONAL HOLDINGS LIMITED 174,051
4,323 UTI WORLDWIDE INCORPORATED 99,645
7,000 YAMATO HOLDINGS COMPANY LIMITED 109,000
2,246,492
---------------
WATER TRANSPORTATION - 0.26%
4,833 ALEXANDER & BALDWIN INCORPORATED 211,975
2,247 CARNIVAL PLC 96,936
1,287 DS TORM AS 67,308
5,551 GENERAL MARITIME CORPORATION 208,496
61,000 JAYA HOLDINGS LIMITED 53,490
35,200 MISC BHD 80,804
14,000 MITSUI OSK LINES LIMITED 106,734
12,000 NIPPON YUSEN KABUSHIKI KAISHA 74,313
14,404 OMI CORPORATION 324,378
73,800 REGIONAL CONTAINER LINES PCL 39,473
11,216 ROYAL CARIBBEAN CRUISES LIMITED<< 409,160
366,600 SCOMI MARINE BHD+ 95,609
74,400 THORESEN THAI AGENCIES PCL 47,515
1,816,191
---------------
WHOLESALE TRADE NON-DURABLE GOODS - 1.12%
36,072 ALFA SA DE CV 175,188
1,000 ALFRESA HOLDINGS CORPORATION 67,294
17,529 AMERISOURCEBERGEN CORPORATION 774,081
8,703 CARDINAL HEALTH INCORPORATED+ 586,756
52,114 CORPORATION GEO SA DE CV 210,119
10,209 ENDO PHARMACEUTICALS HOLDINGS INCORPORATED+ 337,203
32,500 ESPRIT HOLDINGS LIMITED 270,372
63,609 FYFFES PLC 133,648
5,097 HAIN CELESTIAL GROUP INCORPORATED 120,034
8,039 HENRY SCHEIN INCORPORATED 400,905
2,500 HITACHI HIGH-TECHNOLOGIES CORPORATION 66,016
172,900 IT CITY PCL 39,107
33,000 ITOCHU CORPORATION 276,886
8,000 JARDINE CYCLE & CARRIAGE LIMITED 56,934
86,000 LI & FUNG LIMITED+ 204,571
7,042 MCKESSON CORPORATION 357,734
1,552 MEDA AB 31,803
6,581 MEDCO HEALTH SOLUTIONS INCORPORATED+ 417,038
4,900 MEDICEO PALTAC HOLDINGS COMPANY LIMITED 91,201
3,100 NIKE INCORPORATED CLASS B 250,356
13,462 NU SKIN ENTERPRISES INCORPORATED 233,162
1,000 SANKYO COMPANY LIMITED 54,091
4,000 SATORI ELECTRIC COMPANY LIMITED 59,253
9,457 SMURFIT-STONE CONTAINER CORPORATION 107,715
12,000 SOJITZ CORPORATION 42,319
19,036 SUPERVALU INCORPORATED 543,668
19,248 SYSCO CORPORATION 604,195
6,847 TRACTOR SUPPLY COMPANY+<< 291,545
23,861 UNILEVER NV 568,846
4,086 UNITED STATIONERS INCORPORATED+ 187,261
5,651 WOLSELEY PLC 123,199
7,682,500
---------------
104
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
WHOLESALE TRADE-DURABLE GOODS - 1.34%
1,800 ABC-MART INCORPORATED $ 42,319
5,023 ADESA INCORPORATED 110,958
1,770 ALESCO CORPORATION LIMITED 12,230
11,663 ARROW ELECTRONICS INCORPORATED+ 325,398
13,584 AVNET INCORPORATED+ 265,703
5,200 CANON MARKETING JAPAN INCORPORATED 123,361
8,974 CYTYC CORPORATION 214,389
255,000 DIGITAL CHINA HOLDINGS LIMITED 88,855
5,900 DODWELL BMS LIMITED 37,040
3,100 FUJI ELECTRONICS COMPANY LIMITED 47,004
4,800 HAKUTO COMPANY LIMITED 68,691
12,000 HANWA COMPANY LIMITED 45,692
19,733 IKON OFFICE SOLUTIONS INCORPORATED+ 281,195
2,200 IMPACT 21 COMPANY LIMITED 40,385
2,200 INABA DENKI SANGYO COMPANY LIMITED+ 69,901
14,876 INGRAM MICRO INCORPORATED 267,768
11,731 INSIGHT ENTERPRISES INCORPORATED+ 211,275
9,000 JFE SHOJI HOLDINGS INCORPORATED 40,172
3,800 KAGA ELECTRONICS COMPANY LIMITED 77,039
7,416 KAMAN CORPORATION 132,821
3,500 KATO SANGYO COMPANY LIMITED 50,684
3,100 KURODA ELECTRIC COMPANY LIMITED 33,404
3,430 KYOCERA CORPORATION+ 295,838
1,300 MACNICA INCORPORATED 36,211
1,972 MARTIN MARIETTA MATERIALS INCORPORATED+ 162,414
48,532 METCASH LIMITED 157,480
15,778 MITSUBISHI CORPORATION 643,039
1,856 MITSUI & COMPANY LIMITED 527,215
6,000 NAGASE & COMPANY LIMITED 74,978
9,328 OMNICARE INCORPORATED 422,652
10,547 OWENS & MINOR INCORPORATED+ 339,297
12,598 PATTERSON COMPANIES INCORPORATED 388,270
8,652 POOL CORPORATION 329,382
6,532 RELIANCE STEEL & ALUMINUM COMPANY+ 214,054
48,719 REPCO CORPORATION LIMITED 44,264
7,114 RYERSON INCORPORATED+ 150,675
3,400 RYOSHOKU LIMITED+ 86,017
9,300 RYOYO ELECTRO CORPORATION 123,979
112,988 SUMITOMO MITSUI FINANCIAL GROUP INCORPORATED 1,271,635
31,881 SYCAMORE NETWORKS INCORPORATED+ 117,003
2,600 TOMEN ELECTRONICS CORPORATION 49,278
3,700 TOYO CORPORATION 50,523
1,632 TRYGVESTA AS 100,346
2,100 VALOR COMPANY LIMITED 39,444
28,185 VISTEON CORPORATION<< 241,545
3,652 WESCO INTERNATIONAL INCORPORATED 213,642
7,880 WW GRAINGER INCORPORATED 526,396
9,191,861
---------------
TOTAL COMMON STOCKS (COST $583,572,718) 649,264,334
---------------
INVESTMENT COMPANIES - 1.46%
219,000 ISHARES MSCI SOUTH KOREA+ 10,049,910
TOTAL INVESTMENT COMPANIES (COST $9,673,298) 10,049,910
---------------
105
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
PREFERRED STOCKS - 0.63%
3,879 AEGON COUPONS(a) $ 0
19,377 BANCO BRADESCO SA 634,994
20,495 BANCO ITAU HOLDING FINANCEIRA SA PREFERRED 619,630
40,015 COMPANHIA VALE DO RIO DOCE PREFERRED A+ 751,774
1,315,360 LOJAS AMERICANAS SA PREFERRED 58,289
10,383 METALURGICA GERDAU SA PREFERRED 186,933
71,147 PETROLEO BRASILEIRO SA PREFERRED+ 1,437,541
17,951 RANDON PARTICIPACOES SA+ 57,353
12,177 TELE NORTE LESTE PARTICIPACOES SA 158,460
7,215 USINAS SIDERURGICAS DE MINAS GERAIS SA PREFERRED CLASS A+ 227,017
43,246 WEG SA PREFERRED 186,579
TOTAL PREFERRED STOCKS (COST $3,998,042) 4,318,570
---------------
COLLATERAL FOR SECURITIES LENDING - 3.91%
COLLATERAL INVESTED IN MONEY MARKET FUNDS - 0.13%
411,314 SCUDDER DAILY ASSETS MONEY MARKET FUND 411,314
452,750 SHORT TERM INVESTMENT COMPANY MONEY MARKET FUND 452,750
864,064
---------------
PRINCIPAL INTEREST RATE MATURITY DATE
COLLATERAL INVESTED IN OTHER ASSETS - 3.78%
$ 23,683 ALLIANCE & LEICESTER PLC 5.48% 10/25/2006 23,490
53,275 ALLIANCE & LEICESTER PLC 5.49 10/25/2006 52,840
108,972 AMERICAN GENERAL FINANCE+/-++ 5.36 09/14/2006 108,970
302,700 AQUIFER FUNDING LIMITED++ 5.35 09/06/2006 302,475
12,108 AQUINAS FUNDING LLC++ 5.38 12/11/2006 11,928
302,700 ATLAS CAPITAL FUNDING CORPORATION+/- 5.30 10/20/2006 302,696
302,700 ATLAS CAPITAL FUNDING CORPORATION+/-++ 5.30 04/25/2007 302,700
302,700 ATLAS CAPITAL FUNDING CORPORATION+/- 5.31 12/22/2006 302,700
605,400 ATLAS CAPITAL FUNDING CORPORATION+/- 5.37 11/03/2006 605,400
332,740 ATOMIUM FUNDING CORPORATION++ 5.40 11/03/2006 329,625
302,700 BANCO SANTANDER TOTTA LN+/-++ 5.33 08/16/2007 302,700
302,700 BANK OF AMERICA NA+/- 5.36 06/19/2007 302,700
199,782 BANK ONE NA ILLINOIS+/- 5.55 01/12/2007 199,862
363,240 BEAR STEARNS COMPANIES INCORPORATED+/- 5.37 10/04/2006 363,240
72,648 BEAR STEARNS COMPANIES INCORPORATED+/- 5.66 01/16/2007 72,707
908,100 BHP BILLITON FINANCE (USA) LIMITED 5.30 09/15/2006 906,232
139,133 BUCKINGHAM CDO LLC++ 5.29 09/15/2006 138,786
435,888 BUCKINGHAM II CDO LLC 5.30 09/16/2006 434,736
302,785 BUCKINGHAM II CDO LLC 5.30 09/18/2006 302,028
302,700 BUCKINGHAM III CDO LLC 5.35 10/27/2006 300,200
363,240 CAIRN HIGH GRADE FUNDING I LLC 5.30 09/14/2006 362,546
101,707 CAIRN HIGH GRADE FUNDING I LLC++ 5.32 09/01/2006 101,707
278,484 CAIRN HIGH GRADE FUNDING I LLC 5.36 09/05/2005 278,318
551,774 CEDAR SPRINGS CAPITAL COMPANY LLC+/-++ 5.30 09/15/2006 550,639
605,400 CHEYNE FINANCE LLC 5.32 10/13/2006 601,664
605,400 CHEYNE FINANCE LLC 5.34 10/12/2006 601,739
302,700 CHEYNE FINANCE LLC 5.47 07/16/2007 302,635
411,672 CONCORD MINUTEMEN CAPITAL COMPANY SERIES B+/- 5.30 09/13/2007 411,672
106
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
COLLATERAL INVESTED IN OTHER ASSETS (CONTINUED)
$ 401,380 CORPORATE ASSET SECURITIZATION AUSTRALIA LIMITED 5.31% 09/08/2006 $ 400,967
302,700 CORPORATE ASSET SECURITIZATION AUSTRALIA LIMITED++ 5.34 10/11/2006 300,914
60,903 CORPORATE ASSET SECURITIZATION AUSTRALIA LIMITED++ 5.35 10/11/2006 60,543
605,400 CULLINAN FINANCE CORPORATION+/-++ 5.29 06/25/2007 605,300
9,686 CULLINAN FINANCE CORPORATION++ 5.37 10/23/2006 9,612
302,700 CULLINAN FINANCE CORPORATION+/-++ 5.37 11/15/2006 302,680
39,872 CULLINAN FINANCE CORPORATION 5.38 09/22/2006 39,747
47,802 CULLINAN FINANCE CORPORATION++ 5.41 09/13/2006 47,716
409,819 DEER VALLEY FUNDING LLC 5.32 09/25/2006 408,371
12,108 EDISON ASSET SECURITIZATION LLC 5.46 12/11/2006 11,925
2,704,780 FIRST BOSTON REPURCHASE AGREEMENT (MATURITY VALUE $2,705,183) 5.36 09/01/2006 2,704,780
278,484 FIVE FINANCE INCORPORATED 5.31 09/15/2006 277,910
177,661 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION++ 5.36 11/15/2006 175,699
15,135 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION 5.48 11/06/2006 14,984
15,135 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION 5.51 11/27/2006 14,936
26,638 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION 5.53 10/27/2006 26,411
173,750 GOLDMAN SACHS GROUP INCORPORATED+/- 5.59 03/30/2007 173,913
252,755 GOLDMAN SACHS GROUP INCORPORATED+/- 5.66 10/27/2006 252,841
36,324 GRAMPIAN FUNDING LIMITED++ 5.25 10/02/2006 36,160
24,216 HARRIER FINANCE FUNDING LLC+/-++ 5.42 05/15/2007 24,220
42,378 HBOS TREASURY SERVICES PLC+/-++ 5.58 01/12/2007 42,396
968,640 HOME DEPOT 5.29 09/01/2006 968,640
169,815 HSBC BANK USA+/- 5.34 12/14/2006 169,841
423,780 IBM CORPORATION+/- 5.49 06/28/2007 424,004
30,500 ING AMERICA INSURANCE HOLDINGS INCORPORATED 5.35 10/10/2006 30,324
787,020 ING USA ANNUITY & LIFE INSURANCE+/- 5.40 09/18/2007 787,020
302,700 INTESA BANK IRELAND PLC+/-++ 5.32 08/24/2007 302,700
147,718 K2 (USA) LLC 5.37 11/10/2006 146,192
181,620 KAUPTHING BANK+/-++ 5.39 03/20/2007 181,620
111,878 KLIO FUNDING CORPORATION+/- 5.41 11/03/2006 110,829
23,998 KLIO III FUNDING CORPORATION+/- 5.24 09/01/2006 23,998
211,466 KLIO III FUNDING CORPORATION 5.43 10/20/2006 209,915
24,216 LIBERTY STREET FUNDING CORPORATION 5.36 11/15/2006 23,949
24,216 LINKS FINANCE LLC+/-++ 5.29 09/12/2006 24,216
72,648 LIQUID FUNDING LIMITED+/-++ 5.32 02/20/2007 72,648
181,620 LIQUID FUNDING LIMITED+/- 5.37 12/01/2006 181,620
121,080 LIQUID FUNDING LIMITED++ 5.39 12/07/2006 119,348
181,620 LIQUID FUNDING LIMITED 5.52 12/28/2006 178,393
121,080 MBIA INSURANCE CORPORATION+/-++ 5.32 02/20/2007 121,089
608,427 MERRILL LYNCH & COMPANY+/- 5.66 10/27/2006 608,603
363,240 MORGAN STANLEY+/- 5.38 10/10/2006 363,240
56,000 MORGAN STANLEY+/- 5.39 09/14/2007 56,000
68,410 MORGAN STANLEY+/- 5.50 11/09/2006 68,423
72,285 MORGAN STANLEY+/- 5.55 11/24/2006 72,316
302,700 MORGAN STANLEY+/- 5.61 07/27/2007 303,182
203,717 MORGAN STANLEY+/- 5.64 01/12/2007 203,868
66,594 NATIONWIDE BUILDING SOCIETY+/-++ 5.42 12/11/2006 66,622
107
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
COLLATERAL INVESTED IN OTHER ASSETS (CONTINUED)
$ 216,915 NATIONWIDE BUILDING SOCIETY+/-++ 5.61% 07/20/2007 $ 217,235
512,447 NIEUW AMSTERDAM RECEIVABLES CORPORATION++ 5.30 09/01/2006 512,447
189,672 NORTH SEA FUNDING LLC 5.35 11/09/2006 187,745
12,968 NORTH SEA FUNDING LLC 5.44 10/23/2006 12,867
605,400 NORTHERN ROCK PLC+/-++ 5.41 09/05/2007 605,400
181,620 PARAGON MORTGAGES PLC+/-++ 5.31 11/15/2038 181,620
4,286 PERRY GLOBAL FUNDING LIMITED SERIES A 5.45 09/21/2006 4,273
48,977 RACERS TRUST 2004-6-MM+/-++ 5.35 02/22/2007 48,977
1,331,880 SHEFFIELD RECEIVABLES CORPORATION 5.28 09/01/2006 1,331,880
242,160 SLM CORPORATION+/-++ 5.33 09/12/2007 242,160
205,836 STANFIELD VICTORIA FUNDING LLC 5.42 11/27/2006 203,175
140,005 TANGO FINANCE CORPORATION+/-++ 5.36 10/25/2006 140,005
69,996 TRAVELERS INSURANCE COMPANY+/- 5.40 02/09/2007 69,996
302,700 UNICREDITO ITALIANO BANK IRELAND+/-++ 5.34 08/15/2007 302,700
302,700 UNICREDITO ITALIANO BANK IRELAND+/-++ 5.38 09/07/2007 302,700
399,564 UNITEDHEALTH GROUP INCORPORATED 5.44 10/31/2006 395,975
60,540 VERSAILLES CDS LLC+/- 5.37 09/05/2006 60,504
211,866 WHISTLEJACKET CAPITAL LIMITED 5.34 10/16/2006 210,462
303,996 WHISTLEJACKET CAPITAL LIMITED 5.36 09/08/2006 303,677
31,602 WHISTLEJACKET CAPITAL LIMITED 5.38 09/11/2006 31,555
25,992,913
---------------
TOTAL COLLATERAL FOR SECURITIES LENDING** (COST $26,856,977) 26,856,977
---------------
SHARES
SHORT-TERM INVESTMENTS - 2.81%
MUTUAL FUNDS - 2.81%
19,303,945 WELLS FARGO MONEY MARKET TRUST~+++ 19,303,945
---------------
TOTAL SHORT-TERM INVESTMENTS (COST $19,303,945) 19,303,945
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $643,404,980)* 103.33% $ 709,793,736
OTHER ASSETS AND LIABILITIES, NET (3.33) (22,851,238)
------ ---------------
TOTAL NET ASSETS 100.00% $ 686,942,498
====== ===============
+ NON-INCOME EARNING SECURITIES.
<< ALL OR A PORTION OF THIS SECURITY IS ON LOAN. (SEE NOTE 2)
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
(a) SECURITY FAIR VALUED IN ACCORDANCE WITH THE PROCEDURES APPROVED BY THE
BOARD OF TRUSTEES.
~ THIS WELLS FARGO ADVANTAGE FUND INVESTS CASH BALANCES THAT IT RETAINS FOR
LIQUIDITY PURPOSES IN A WELLS FARGO ADVANTAGE MONEY MARKET FUND. THE FUND
DOES NOT PAY AN INVESTMENT ADVISORY FEE FOR SUCH INVESTMENTS.
+++ SECURITY OF AN AFFILIATE OF THE FUND WITH A COST OF $21,142,861.
** SECURITIES PURCHASED WITH CASH COLLATERAL FROM SECURITIES OUT-ON-LOAN. THE
FUND HAS ALSO RECEIVED NON-CASH COLLATERAL IN THE AMOUNT OF $6,441,200.
THE TOTAL COLLATERAL RECEIVED REPRESENTS 104.18% OF THE VALUE OF THE
PORTFOLIO SECURITIES LOANED.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
108
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
MONEY MARKET PORTFOLIO
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
COMMERCIAL PAPER - 36.68%
$ 1,000,000 AMSTEL FUNDING CORPORATION^++ 5.41% 10/18/2006 $ 992,943
1,000,000 AMSTERDAM FUNDING CORPORATION^++ 5.38 09/14/2006 998,057
1,100,000 AQUIFER FUNDING LLC^++ 5.36 09/06/2006 1,099,181
1,000,000 ATLANTIC ASSET SECURITY CORPORATION^++ 5.39 09/25/2006 996,407
1,000,000 ATLAS CAPITAL FUNDING CORPORATION^++ 5.29 10/10/2006 994,269
1,398,000 ATOMIUM FUNDING LLC^++ 5.29 09/11/2006 1,395,946
1,000,000 BASF AG^++ 5.37 09/11/2006 998,508
600,000 BUCKINGHAM CDO III LLC^++ 5.31 11/27/2006 592,308
1,100,000 CAIRN HIGH GRADE FUNDING I LLC^++ 5.37 09/01/2006 1,100,000
1,000,000 CANCARA ASSET SECURITY LIMITED^++ 5.28 11/22/2006 987,973
1,000,000 CEDAR SPRINGS CAPITAL COMPANY^++ 5.30 11/14/2006 989,106
1,000,000 CEDAR SPRINGS CAPITAL COMPANY^++ 5.39 10/17/2006 993,113
1,000,000 CIESCO LLC^++ 5.28 10/25/2006 992,080
1,000,000 CRC FUNDING LLC^++ 5.36 09/12/2006 998,362
1,000,000 DEER VALLEY FUNDING LLC^++ 5.28 09/15/2006 997,947
1,000,000 DEER VALLEY FUNDING LLC^++ 5.29 10/24/2006 992,212
1,000,000 FCAR OWNER TRUST II^ 5.28 12/04/2006 986,213
1,000,000 FIVE FINANCE INCORPORATED^++ 5.40 10/18/2006 992,950
1,000,000 FORD CREDIT AUTO RECEIVABLES OWNER TRUST II^ 5.27 09/21/2006 997,072
1,023,000 FOUNTAIN SQUARE COMMERCIAL FUNDING CORPORATION^++ 5.40 10/24/2006 1,014,867
1,000,000 GALAXY FUNDING INCORPORATED^++ 5.38 11/01/2006 990,884
1,100,000 GRAMPIAN FUNDING LLC^++ 5.27 11/16/2006 1,087,762
1,000,000 KESTREL FUNDING US LLC^++ 5.30 11/13/2006 989,253
500,000 KESTREL FUNDING US LLC^++ 5.38 09/25/2006 498,207
500,000 KESTREL FUNDING US LLC^++ 5.39 10/30/2006 495,583
1,000,000 KLIO III FUNDING CORPORATION^++ 5.41 10/16/2006 993,238
1,000,000 LEGACY CAPITAL LLC^++ 5.40 10/12/2006 993,850
1,100,000 LEXINGTON PARKER CAPITAL CORPORATION^++ 5.38 10/05/2006 1,094,411
1,100,000 LIBERTY STREET FUNDING COMPANY^++ 5.36 09/01/2006 1,100,000
500,000 LIQUID FUNDING LIMITED++ 5.32 09/25/2006 500,000
1,100,000 LIQUID FUNDING LIMITED^++ 5.33 09/08/2006 1,098,860
1,000,000 NEWPORT FUNDING CORPORATION^++ 5.40 10/26/2006 991,750
1,100,000 NIEUW AMSTERDAM RECOVERY^++ 5.26 09/18/2006 1,097,268
1,000,000 NORTH SEA FUNDING LLC^++ 5.37 09/15/2006 997,912
1,500,000 PICAROS FUNDING LLC^++ 5.28 11/03/2006 1,486,140
1,000,000 STADSHYPOTEK DELAWARE^++ 5.28 11/27/2006 987,240
1,000,000 STANFIELD VICTORIA FUNDING^++ 5.40 10/23/2006 992,200
1,000,000 THAMES ASSET GLOBAL SECURITIZATION^++ 5.37 09/07/2006 999,105
1,000,000 THUNDER BAY FUNDING LLC^++ 5.27 09/20/2006 997,219
1,000,000 TIERRA ALTA FUNDING^++ 5.28 09/28/2006 996,040
1,100,000 VERSAILLES CDS LLC^++ 5.34 09/05/2006 1,099,347
1,000,000 VERSAILLES CDS LLC^++ 5.37 09/19/2006 997,315
1,000,000 WHISTLEJACKET CAPITAL LIMITED^++ 5.29 11/20/2006 988,244
TOTAL COMMERCIAL PAPER (COST $42,581,342) 42,581,342
---------------
109
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MONEY MARKET PORTFOLIO
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
EXTENDABLE BONDS - 5.17%
$ 1,000,000 BEAR STEARNS COMPANY INCORPORATED+/- 5.32% 09/14/2007 $ 1,000,000
1,000,000 FLORIDA HURRICANE CATASTROPHE+/- 5.34 09/14/2007 1,000,000
1,000,000 INTESA BANK IRELAND PLC+/-++ 5.32 09/25/2007 1,000,000
1,000,000 IRISH LIFE & PERMANENT+/-++ 5.33 09/21/2007 999,966
1,000,000 MERRILL LYNCH & COMPANY+/- 5.31 09/24/2007 1,000,000
1,000,000 NORDEA BANK AB+/-++ 5.34 09/11/2007 999,984
TOTAL EXTENDABLE BONDS (COST $5,999,950) 5,999,950
---------------
MEDIUM TERM NOTES - 15.97%
1,000,000 ALLSTATE LIFE GLOBAL FUNDING II+/-++ 5.58 04/02/2007 1,000,567
1,233,000 AMERICAN EXPRESS CREDIT FLOATING RATE NOTE+/- 5.42 12/15/2006 1,233,313
250,000 AMERICAN HONDA FINANCE+/-++ 5.54 07/23/2007 249,929
1,200,000 ASIF GLOBAL FINANCING+/-++ 5.51 05/03/2007 1,200,333
1,700,000 BANK OF AMERICA SECURITIES+/-++ 5.38 09/09/2034 1,700,000
2,200,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.43 09/09/2049 2,200,000
1,000,000 CHEYNE FINANCE LLC+/-++ 5.47 07/16/2007 999,786
1,000,000 HARRIER FINANCE FUNDING LLC+/-++ 5.28 05/25/2007 999,842
1,000,000 JACKSON NATIONAL LIFE FUNDING (INSURANCE CARRIERS)+/-++ 5.57 04/20/2007 1,000,743
500,000 LEHMAN BROTHERS HOLDINGS+/- 5.39 07/19/2007 500,413
1,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.47 07/10/2007 999,832
1,000,000 MERRILL LYNCH & COMPANY+/- 5.53 02/27/2007 1,000,704
1,100,000 MORGAN STANLEY+/- 5.64 01/12/2007 1,100,611
1,000,000 NATIONWIDE BUILDING SOCIETY+/-++ 5.62 07/20/2007 1,001,193
1,350,000 NORTHERN ROCK PLC+/-++ 5.55 10/20/2006 1,350,027
500,000 PARAGON MORTGAGES PLC+/-++ 5.31 11/15/2038 500,000
1,500,000 SEDNA FINANCE INCORPORATED+/-++ 5.47 04/11/2007 1,499,941
TOTAL MEDIUM TERM NOTES (COST $18,537,234) 18,537,234
---------------
PROMISSORY NOTES - 3.10%
3,600,000 CITIGROUP GLOBAL+/-++ 5.38 09/09/2049 3,600,000
TOTAL PROMISSORY NOTES (COST $3,600,000) 3,600,000
---------------
TIME DEPOSITS - 14.65%
3,000,000 DEUTSCHE BANK CAYMAN 5.26 09/07/2006 3,000,000
3,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/05/2006 3,000,000
3,000,000 KBC BANK NV BRUSSELS 5.30 09/01/2006 3,000,000
2,000,000 NATEXIS BANQUES POPULAIR 5.26 09/05/2006 2,000,000
2,000,000 RABOBANK LONDON 5.26 09/01/2006 2,000,000
1,000,000 SOCIETE GENERALE (CANADA) 5.27 09/07/2006 1,000,000
3,000,000 UBS AG CAYMAN ISLANDS 5.28 09/01/2006 3,000,000
TOTAL TIME DEPOSITS (COST $17,000,000) 17,000,000
---------------
CERTIFICATES OF DEPOSIT - 0.86%
1,000,000 SKANDINAVIA ENSKILDA BANK OF NEW YORK 5.28 09/13/2006 999,946
TOTAL CERTIFICATES OF DEPOSIT (COST $999,946) 999,946
---------------
110
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
MONEY MARKET PORTFOLIO
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
REPURCHASE AGREEMENTS - 24.27%
$ 11,168,677 BANC AMERICA SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $11,170,315) 5.28% 09/01/2006 $ 11,168,677
4,000,000 BARCLAYS BANK - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $4,000,587) 5.28 09/01/2006 4,000,000
3,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $3,000,443) 5.31 09/01/2006 3,000,000
4,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $4,000,588) 5.29 09/01/2006 4,000,000
3,000,000 GOLDMAN SACHS & COMPANY - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $3,000,442) 5.30 09/01/2006 3,000,000
1,000,000 JPMORGAN SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $1,000,147) 5.30 09/01/2006 1,000,000
2,000,000 JPMORGAN SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $2,000,294) 5.29 09/01/2006 2,000,000
TOTAL REPURCHASE AGREEMENTS (COST $28,168,677) 28,168,677
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $116,887,149)* 100.70% $ 116,887,149
OTHER ASSETS AND LIABILITIES, NET (0.70) (807,641)
------ ---------------
TOTAL NET ASSETS 100.00% $ 116,079,508
====== ===============
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
111
STATEMENTS OF ASSETS AND LIABILITIES--
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED DIVERSIFIED STOCK MONEY MARKET
INCOME PORTFOLIO PORTFOLIO PORTFOLIO
- ------------------------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ..................................... $ 406,967,424 $ 661,680,420 $ 88,718,472
COLLATERAL FOR SECURITIES LOANED (NOTE 2) .......................... 60,726,853 26,856,977 0
INVESTMENTS IN AFFILIATES .......................................... 27,462,211 21,256,339 0
REPURCHASE AGREEMENTS .............................................. 0 0 28,168,677
----------------- ----------------- ------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) .................... 495,156,488 709,793,736 116,887,149
----------------- ----------------- ------------
CASH ............................................................... 0 1,064,700 50,000
FOREIGN CURRENCY, AT VALUE ......................................... 529,160 1,172,063 0
VARIATION MARGIN RECEIVABLE ON FUTURES CONTRACTS ................... 0 873,983 0
RECEIVABLE FOR INVESTMENTS SOLD .................................... 6,563,479 17,232 0
RECEIVABLES FOR DIVIDENDS AND INTEREST ............................. 4,293,032 1,131,098 148,538
----------------- ----------------- ------------
TOTAL ASSETS .......................................................... 506,542,159 714,052,812 117,085,687
----------------- ----------------- ------------
LIABILITIES
PAYABLE FOR INVESTMENTS PURCHASED .................................. 56,495,905 0 986,213
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) .............. 110,931 240,621 11,859
PAYABLE FOR SECURITIES LOANED (NOTE 2) ............................. 60,726,853 26,856,977 0
ACCRUED EXPENSES AND OTHER LIABILITIES ............................. 14,744 12,716 8,107
----------------- ----------------- ------------
TOTAL LIABILITIES ..................................................... 117,348,433 27,110,314 1,006,179
----------------- ----------------- ------------
TOTAL NET ASSETS ...................................................... $ 389,193,726 $ 686,942,498 $116,079,508
================= ================= ============
INVESTMENTS AT COST ................................................... $ 487,599,959 $ 643,404,980 $116,887,149
================= ================= ============
FOREIGN CURRENCIES AT COST ............................................ $ 528,988 $ 1,173,008 $ 0
================= ================= ============
SECURITIES ON LOAN, AT MARKET VALUE ................................... $ 56,528,169 $ 31,962,688 $ 0
================= ================= ============
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
112
STATEMENTS OF OPERATIONS--
FOR THE PERIOD ENDED AUGUST 31, 2006
(UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED DIVERSIFIED STOCK MONEY MARKET
INCOME PORTFOLIO PORTFOLIO PORTFOLIO
- ------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
DIVIDENDS(1) ....................................................... $ 3,371 $ 2,274,097 $ 0
INTEREST ........................................................... 2,996,238 133 1,160,568
INCOME FROM AFFILIATED SECURITIES .................................. 263,714 158,233 0
----------------- ----------------- ------------
TOTAL INVESTMENT INCOME ............................................... 3,263,323 2,432,463 1,160,568
----------------- ----------------- ------------
EXPENSES
ADVISORY FEES ...................................................... 200,706 439,545 20,615
CUSTODY FEES ....................................................... 26,761 87,909 4,123
ACCOUNTING FEES .................................................... 6,425 6,425 3,671
PROFESSIONAL FEES .................................................. 6,240 6,240 4,405
SHAREHOLDER REPORTS ................................................ 918 918 918
TRUSTEES' FEES ..................................................... 1,579 1,579 1,579
OTHER FEES AND EXPENSES ............................................ 8,057 5,323 1,842
----------------- ----------------- ------------
TOTAL EXPENSES ........................................................ 250,686 547,939 37,153
----------------- ----------------- ------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) ....................... (19,961) (36,245) 0
NET EXPENSES ....................................................... 230,725 511,694 37,153
----------------- ----------------- ------------
NET INVESTMENT INCOME (LOSS) .......................................... 3,032,598 1,920,769 1,123,415
----------------- ----------------- ------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- ------------------------------------------------------------------------------------------------------------------------------
NET REALIZED GAIN (LOSS) FROM:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN CURRENCY TRANSLATION .... (10,127,082) 92,974,725 155
AFFILIATED SECURITIES .............................................. 0 3,800 0
FUTURES TRANSACTIONS ............................................... 0 184,864 0
----------------- ----------------- ------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ............................. (10,127,082) 93,163,389 155
----------------- ----------------- ------------
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) OF:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN CURRENCY TRANSLATION .... 7,566,965 66,551,048 0
FUTURES TRANSACTIONS ............................................... 0 366,019 0
----------------- ----------------- ------------
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) OF INVESTMENTS ... 7,566,965 66,917,067 0
----------------- ----------------- ------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS ................ (2,560,117) 160,080,456 155
----------------- ----------------- ------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ....... $ 472,481 $ 162,001,225 $ 1,123,570
================= ================= ============
(1) NET OF FOREIGN WITHHOLDING TAXES OF ............................... $ 3,371 $ 49,107 $ 0
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
113
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED DIVERSIFIED STOCK MONEY MARKET
INCOME PORTFOLIO(1) PORTFOLIO(1) PORTFOLIO(1)
--------------------- --------------------- ---------------------
FOR THE PERIOD FOR THE PERIOD FOR THE PERIOD
ENDED AUGUST 31, 2006 ENDED AUGUST 31, 2006 ENDED AUGUST 31, 2006
(UNAUDITED) (UNAUDITED) (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS OPERATIONS:
NET INVESTMENT INCOME (LOSS) ...................... $ 3,032,598 $ 1,920,769 $ 1,123,415
NET REALIZED GAIN (LOSS) ON INVESTMENTS ........... (10,127,082) 93,163,389 155
NET CHANGE IN UNREALIZED APPRECIATION
(DEPRECIATION) OF INVESTMENTS .................. 7,566,965 66,917,067 0
--------------------- --------------------- ---------------------
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS ......................... 472,481 162,001,225 1,123,570
--------------------- --------------------- ---------------------
TRANSACTIONS IN INVESTORS' BENEFICIAL INTEREST
CONTRIBUTIONS ..................................... 451,107,336 671,838,317 136,397,765
WITHDRAWALS ....................................... (62,386,091) (146,897,044) (21,441,827)
--------------------- --------------------- ---------------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
CAPITAL SHARE TRANSACTIONS. ....................... 388,721,245 524,941,273 114,955,938
--------------------- --------------------- ---------------------
NET INCREASE (DECREASE) IN NET ASSETS ................ 389,193,726 686,942,498 116,079,508
--------------------- --------------------- ---------------------
ENDING NET ASSETS .................................... $ 389,193,726 $ 686,942,498 $ 116,079,508
--------------------- --------------------- ---------------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING
RESULTING FROM CAPITAL SHARE TRANSACTIONS ......... 37,666,995 65,741,782 114,953,949
--------------------- --------------------- ---------------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT
INCOME (LOSS) ..................................... $ 3,032,598 $ 1,920,769 $ 1,123,415
--------------------- --------------------- ---------------------
(1) THIS PORTFOLIO COMMENCED OPERATIONS ON JUNE 26, 2006.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
114
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
-------------------------------------------------- PORTFOLIO
NET INVESTMENT GROSS EXPENSES NET TOTAL TURNOVER
INCOME (LOSS) EXPENSES WAIVED EXPENSES RETURN(2) RATE(4)
- -----------------------------------------------------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO
- -----------------------------------------------------------------------------------------------------------------------------
JUNE 26, 2006(3) TO AUGUST 31, 2006 .......... 0.83% 0.37% (0.03)% 0.34% 3.30% 121%
DIVERSIFIED STOCK PORTFOLIO
- -----------------------------------------------------------------------------------------------------------------------------
JUNE 26, 2006(3) TO AUGUST 31, 2006 .......... 0.28% 0.44% (0.03)% 0.41% 3.98% 55%
MONEY MARKET PORTFOLIO
- -----------------------------------------------------------------------------------------------------------------------------
JUNE 26, 2006(3) TO AUGUST 31, 2006 .......... 0.96% 0.17% 0.00% 0.17% 1.00% N/A
(1) DURING EACH PERIOD, VARIOUS FEES AND EXPENSES WERE WAIVED AND REIMBURSED,
AS INDICATED. THE RATIO OF GROSS EXPENSES TO AVERAGE NET ASSETS REFLECTS
THE EXPENSE RATIO IN THE ABSENCE OF ANY WAIVERS AND REIMBURSEMENTS (NOTE
3).
(2) TOTAL RETURN CALCULATIONS DO NOT INCLUDE ANY SALES CHARGES, AND WOULD HAVE
BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN WAIVED OR REIMBURSED DURING THE
PERIODS SHOWN. RETURNS FOR PERIODS LESS THAN ONE YEAR ARE NOT ANNUALIZED.
(3) COMMENCEMENT OF OPERATIONS.
(4) PORTFOLIO TURNOVER RATES PRESENTED FOR PERIODS OF LESS THAN ONE YEAR ARE
NOT ANNUALIZED.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
115
NOTES TO FINANCIAL STATEMENTS
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS (UNAUDITED)
- --------------------------------------------------------------------------------
1. ORGANIZATION
- --------------------------------------------------------------------------------
Wells Fargo Master Trust (the "Trust") is registered as an open-end
management investment company under the Investment Company Act of 1940, as
amended (the "1940 Act"). The Trust currently has 22 separate investment
portfolios. These financial statements are for three of those portfolios as
follows: the Diversified Fixed Income Portfolio, Diversified Stock Portfolio and
Money Market Portfolio (each, a "Fund" and collectively, the "Funds").
Interests in the Funds are sold without any sales charge in private
placement transactions to qualified investors, including open-end management
investment companies.
2. SIGNIFICANT ACCOUNTING POLICIES
- --------------------------------------------------------------------------------
The following significant accounting policies, which are consistently
followed in the preparation of the financial statements of the Trust, are in
conformity with accounting principles generally accepted in the United States of
America ("GAAP") for investment companies.
The preparation of financial statements in conformity with GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities, disclosure of contingent assets and liabilities at the
date of the financial statements, and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
In the normal course of business, the Trust may enter into contracts that
provide certain indemnifications. The Trust's maximum exposure under these
arrangements is dependent on future claims that may be made against the Funds
and, therefore, cannot be estimated; however, based on experience, the risk of
loss from such claims is considered remote.
SECURITY VALUATION
Investments in securities are valued each business day as of the close of
regular trading on the New York Stock Exchange, which is usually 4:00 p.m.
(Eastern Time). Securities which are traded on a national or foreign securities
exchange are valued at the last reported sales price. Securities listed on The
NASDAQ Stock Market, Inc. ("NASDAQ") are valued at the NASDAQ Official Closing
Price ("NOCP"), and if no NOCP is available, then at the last reported sales
price. In the absence of any sale of securities listed on the NASDAQ, and in the
case of other securities, including U.S. Government obligations, but excluding
debt securities maturing in 60 days or less, the price will be deemed "stale"
and the valuations will be determined in accordance with the Funds' Fair
Valuation Procedures.
Securities denominated in foreign currencies are translated into U.S.
dollars using the closing rates of exchange in effect on the day of valuation.
Many securities markets and exchanges outside the U.S. close prior to the
close of the New York Stock Exchange and therefore may not fully reflect trading
or events that occur after the close of the principal exchange in which the
foreign investments are traded but before the close of the New York Stock
Exchange. If such trading or events are expected to materially affect the value
of the investments, then those investments are fair valued following procedures
approved by the Board of Trustees. These procedures take into account multiple
factors including movements in U.S. securities markets after foreign exchanges
close. Depending on market activity, such fair valuations may be frequent. In
light of the judgment involved in fair value decisions, there can be no
assurance that a fair value assigned to a particular security is accurate. Such
fair value pricing may result in NAVs that are higher or lower than NAVs based
on the closing price or latest quoted bid price.
Debt securities maturing in 60 days or less generally are valued at
amortized cost. The amortized cost method involves valuing a security at its
cost, plus accretion of discount or minus amortization of premium over the
period until maturity, which approximates market value.
Investments which are not valued using any of the methods discussed above
are valued at their fair value as determined by procedures approved by the Board
of Trustees.
SECURITY TRANSACTIONS AND INCOME RECOGNITION
Securities transactions are recorded on a trade date basis. Realized gains
or losses are reported on the basis of identified cost of securities delivered.
Interest income is accrued daily and bond discounts are accreted and premiums
are amortized daily.
Dividend income is recognized on the ex-dividend date, except for certain
dividends from foreign securities, which are recorded as soon as the Fund is
informed of the ex-dividend date. Dividend income from foreign securities is
recorded net of foreign taxes withheld where recovery of such taxes is not
assured.
FOREIGN CURRENCY TRANSLATION
The accounting records are maintained in U.S. dollars. Assets, including
investment securities, and liabilities denominated in foreign currency are
translated into U.S. dollars at the prevailing rates of exchange at the date of
valuation. Purchases and sales of securities, and income and expenses are
translated at the prevailing rate of exchange on the respective dates of such
transactions. Reported net realized foreign exchange gains or losses arise from
sales of foreign currencies, currency gains or losses realized between the trade
and settlement dates on securities transactions, and the difference between the
amounts of dividends, interest and foreign withholding taxes recorded and the
U.S. dollar equivalent of the amounts actually paid or received. Net unrealized
foreign exchange gains and losses arise from changes in the fair value of assets
and liabilities other than investments in securities, at fiscal period-end,
resulting from changes in exchange rates.
116
WELLS FARGO ADVANTAGE MASTER
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) PORTFOLIOS
- --------------------------------------------------------------------------------
The changes in net assets arising from changes in exchange rates and the
changes in net assets resulting from changes in market prices of securities at
fiscal period-end are not separately presented. Such changes are recorded with
net realized and unrealized gain from investments. Gains and losses from certain
foreign currency transactions are treated as ordinary income for U.S. federal
income tax purposes.
FEDERAL INCOME TAXES
Each Fund of the Trust is treated as a separate entity for U.S. federal
income tax purposes. The Funds of the Trust are not required to pay U.S. federal
income taxes on their net investment income and net capital gain as they are
treated as partnerships for U.S. federal income tax purposes. All interest,
dividends, gains and losses of a Fund are deemed to have been "passed through"
to the interestholders in proportion to their holdings of the Fund regardless of
whether such interest, dividends, or gains have been distributed by the Fund.
FORWARD FOREIGN CURRENCY CONTRACTS
The Fund(s) may enter into forward foreign currency contracts to protect
against a possible loss resulting from an adverse change in the relationship
between foreign currencies and the U.S. dollar, or between foreign currencies. A
forward contract is an agreement between two counterparties for future delivery
or receipt of currency at a specified price. Risks arise from the possible
inability of counterparties to meet the terms of their contracts and from
movements in currency values. Realized gains or losses are recognized when the
transaction is completed. Contracts which have been offset but have not reached
their settlement date are included in unrealized gains and losses.
FUTURES CONTRACTS
The Fund(s) may purchase futures contracts to gain exposure to market
changes, which may be more efficient or cost effective than actually buying the
securities. A futures contract is an agreement between parties to buy or sell a
security at a set price on a future date. Upon entering into such a contract, a
Fund is required to pledge to the broker an amount of cash, U.S. Government
obligations or other high-quality debt securities equal to the minimum "initial
margin" requirements of the exchange on which the futures contract is traded.
Pursuant to the contract, the Fund agrees to receive from or pay to the broker
an amount of cash equal to the daily fluctuation in the value of the contract.
Such receipts or payments are known as "variation margin" and are recorded by
the Fund as unrealized gains or losses. When the contract is closed, the Fund
records a realized gain or loss equal to the difference between the value of the
contract at the time it was opened and the value at the time it was closed.
Pursuant to regulations and/or published positions of the Securities and
Exchange Commission (the "SEC") for long futures positions, the Fund is required
to segregate highly liquid securities as permitted by the SEC in connection with
futures transactions in an amount generally equal to the value of the underlying
contracts. Risks of entering into futures contracts include the possibility that
there may be an illiquid market and that a change in the value of the contract
may not correlate with changes in the value of the underlying securities. At
August 31, 2006, the following Fund(s) held futures contracts:
Notional Net Unrealized
Contract Appreciation
Portfolio Contracts Type Expiration Date Amount (Depreciation)
- ----------------------------------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO 27 Long DJIA Index September 2006 $2,010,150 $ 17,550
95 Long S&P 500 Index September 2006 6,085,486 115,639
351 Long SGXMSCI Index September 2006 9,494,550 164,970
29 Long Resource Index September 2006 2,025,070 67,860
- ----------------------------------------------------------------------------------------------------------
SECURITY LOANS
The Fund(s) may loan securities in return for securities, irrevocable
letters of credit or cash collateral, which is invested in various short-term
fixed income securities. A Fund may receive compensation for lending securities
in the form of fees or by retaining a portion of interest on the investment
securities or cash received as collateral. A Fund also continues to receive
interest or dividends on the securities loaned. Security loans are secured at
all times by collateral. The collateral is equal to at least 102% of the market
value of the securities loaned plus accrued interest when the transaction is
entered into. The collateral supporting loans of domestic and foreign equity
securities and corporate bonds are remarked daily while collateral supporting
loans of U.S. Government securities are remarked back to 102% only if the given
collateral falls below 100% of the market value of the securities loans plus any
accrued interest. Gain or loss in the market price of the securities loaned that
may occur during the term of the loan are reflected in the value of the Fund.
The risks from securities lending are that the borrower may not provide
additional collateral when required or return the securities when due or when
called for by the Fund. Wells Fargo Bank, N.A., the Funds' custodian, acts as
the securities lending agent for the Funds and receives for its services 30% of
the revenues earned on the securities lending activities and incurs all
expenses. The value of the securities on loan and the value of the related
collateral at August 31, 2006 are shown on the Statements of Assets and
Liabilities.
117
NOTES TO FINANCIAL STATEMENTS
WELLS FARGO ADVANTAGE MASTER PORTFOLIOS (UNAUDITED)
- --------------------------------------------------------------------------------
3. EXPENSES
- --------------------------------------------------------------------------------
ADVISORY FEES
The Trust has entered into an advisory contract with Wells Fargo Funds
Management, LLC ("Funds Management"). The adviser is responsible for
implementing investment policies and guidelines and for supervising the
sub-adviser, who is responsible for day-to-day portfolio management.
Pursuant to the contract, Funds Management is entitled to receive an
advisory fee for its services as adviser. Funds Management may retain the
services of certain investment subadvisers to provide daily portfolio
management. The fees related to subadvisory services are borne directly by the
adviser and do not increase the overall fees paid by a Fund to the adviser.
Funds Management and the investment subadviser(s) are entitled to be paid a
monthly fee at the following annual rates:
Advisory Fee Subadvisory
(% of Fee (% of
Average Daily Average Daily Average Daily Average Daily
Portfolio Net Assets Net Assets) Subadviser Net Assets Net Assets)
- -----------------------------------------------------------------------------------------------------------------------------
DIVERSIFIED FIXED First $1 billion 0.300 SSgA Funds Management First $1 billion 0.100
INCOME PORTFOLIO Next $4 billion 0.275 Over $1 billion 0.080
Over $5 billion 0.250
- -----------------------------------------------------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO First $1 billion 0.350 SSgA Funds Management First $1 billion 0.100
Next $4 billion 0.325 Over $1 billion 0.080
Over $5 billion 0.300
- -----------------------------------------------------------------------------------------------------------------------------
MONEY MARKET PORTFOLIO All asset levels 0.100 Wells Capital First $1 billion 0.050
Management Incorporated Next $2 billion 0.030
Next $3 billion 0.020
Over $6 billion 0.010
- -----------------------------------------------------------------------------------------------------------------------------
ADMINISTRATION AND TRANSFER AGENT FEES
Currently, there are no administration or transfer agency fees charged to
the Master Trust.
CUSTODY FEES
The Trust has entered into a contract with Wells Fargo Bank, N.A. ("WFB"),
whereby WFB is responsible for providing custody services. Pursuant to the
contract, WFB is entitled to a monthly fee for custody services at the following
rates:
% of Average
Portfolio Daily Net Assets
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO 0.04
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO 0.07
- --------------------------------------------------------------------------------
MONEY MARKET PORTFOLIO 0.02
- --------------------------------------------------------------------------------
OTHER FEES
PFPC Inc. ("PFPC") serves as fund accountant for the Trust and is entitled
to receive an annual fixed fee from each Fund. PFPC is also entitled to be
reimbursed for all out-of-pocket expenses reasonably incurred in providing these
services.
WAIVED FEES AND REIMBURSED EXPENSES
All amounts shown as waived fees or reimbursed expenses on the Statements
of Operations, for the period ended August 31, 2006, were waived by Funds
Management, first from advisory fees, and then any remaining amount
consecutively from custody fees collected, if any.
4. INVESTMENT PORTFOLIO TRANSACTIONS
- --------------------------------------------------------------------------------
Purchases and sales of investments, exclusive of short-term securities
(securities with maturities of one year or less at purchase date) and U.S.
Government obligations for the period ended August 31, 2006, were as follows:
Portfolio Purchases at Cost Sales Proceeds
- --------------------------------------------------------------------------------
DIVERSIFIED FIXED INCOME PORTFOLIO $496,717,253 $432,774,597
- --------------------------------------------------------------------------------
DIVERSIFIED STOCK PORTFOLIO 364,780,965 488,803,326
118
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED) WELLS FARGO ADVANTAGE MASTER PORTFOLIOS
- --------------------------------------------------------------------------------
5. NEW ACCOUNTING PRONOUNCEMENTS
- --------------------------------------------------------------------------------
In June 2006, the Financial Accounting Standards Board (FASB) issued FASB
Interpretation 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." This
standard defines the threshold for recognizing the benefits of tax-return
positions in the financial statements as "more-likely-than-not" to be sustained
by the taxing authority and requires measurement of a tax position meeting the
more-likely-than-not criterion, based on the largest benefit that is more than
50 percent likely to be realized. FIN 48 is effective as of the beginning of the
first fiscal year beginning after December 15, 2006 (January 1, 2007 for
calendar-year companies), with early application permitted if no interim
financial statements have been issued. At adoption, companies must adjust their
financial statements to reflect only those tax positions that are
more-likely-than-not to be sustained as of the adoption date. As of August 31,
2006, the Funds have not evaluated the impact that will result from adopting FIN
48.
119
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
PROXY VOTING INFORMATION
A description of the policies and procedures that the Funds use to
determine how to vote proxies relating to portfolio securities and information
regarding how to obtain the results of such voting during the most recent
12-month period ended June 30 is available without charge, upon request, by
calling 1-800-222-8222, visiting our Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS, or visiting the SEC Web site at WWW.SEC.GOV.
PORTFOLIO HOLDINGS INFORMATION
The complete portfolio holdings for each Fund are publicly available on
the Funds' Web site (WWW.WELLSFARGO.COM/ADVANTAGEFUNDS) on a monthly, 30-day or
more delayed basis. In addition, top ten holdings information for each Fund is
publicly available on the Funds' Web site on a monthly, seven-day or more
delayed basis. Each Fund files its complete schedule of portfolio holdings with
the SEC for the first and third quarters of each fiscal year on Form N-Q, which
is available without charge by visiting the SEC Web site at WWW.SEC.GOV. In
addition, each Fund's Form N-Q may be reviewed and copied at the SEC's Public
Reference Room in Washington, DC, and at regional offices in New York City, at
233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900.
Information about the Public Reference Room may be obtained by calling
1-800-SEC-0330.
BOARD OF TRUSTEES
The following table provides basic information about the Board of Trustees
(the "Trustees") of the Wells Fargo Funds Trust (the "Trust"). This table
supplements, and should be read in conjunction with, the Prospectus and the
Statement of Additional Information* of each Fund. Each of the Trustees listed
below acts in identical capacities for each of the 142 funds comprising the
Trust, Wells Fargo Variable Trust and Wells Fargo Master Trust (collectively the
"Fund Complex"). All of the non-interested Trustees are also members of the
Audit and Governance Committees of each Trust in the Fund Complex. The address
of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA
94105. Each Trustee and Officer serves an indefinite term, however, each Trustee
serves such term until reaching the mandatory retirement age established by the
Trustees.
NON-INTERESTED TRUSTEES
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
Thomas S. Goho Trustee, Chair of Finance, Wake Forest None
64 since 1987 University, since 2006. Benson-
Pruitt Professorship, Wake
Forest University, Calloway
School of Business and
Accountancy, since 1999.
- ----------------------------------------------------------------------------------------------------------
Peter G. Gordon Trustee, Chairman, CEO, and Co- None
63 since 1998 Founder of Crystal Geyser
(Chairman, Water Company, and President
since 2001) of Crystal Geyser Roxane Water
Company.
- ----------------------------------------------------------------------------------------------------------
Richard M. Leach Trustee, Retired. Prior thereto, President None
73 since 1987 of Richard M. Leach Associates
(a financial consulting firm).
- ----------------------------------------------------------------------------------------------------------
Olivia S. Mitchell Trustee, Professor of Insurance and Risk None
53 since 2006 Management, Wharton School,
University of Pennsylvania.
Director of the Boettner Center
on Pensions and Retirement.
Research Associate and Board
Member, Penn Aging Research
Center. Research Associate,
National Bureau of Economic
Research.
120
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
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NON-INTERESTED TRUSTEES (continued)
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
Timothy J. Penny Trustee, Senior Counselor to the public None
54 since 1996 relations firm of Himle-Horner,
and Senior Fellow at the
Humphrey Institute,
Minneapolis, Minnesota
(a public policy organization).
- ----------------------------------------------------------------------------------------------------------
Donald C. Willeke Trustee, Principal of the law firm of None
66 since 1996 Willeke & Daniels.
- ----------------------------------------------------------------------------------------------------------
INTERESTED TRUSTEE***
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
J. Tucker Morse Trustee, Private Investor/Real Estate None
62 since 1987 Developer. Prior thereto,
Chairman of White Point
Capital, LLC until 2005.
- ----------------------------------------------------------------------------------------------------------
OFFICERS
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
Karla M. Rabusch President, since Executive Vice President of None
47 2003 Wells Fargo Bank, N.A. and
President of Wells Fargo Funds
Management, LLC. Senior
Vice President and Chief
Administrative Officer of Wells
Fargo Funds Management, LLC
from 2001 to 2003.
- ----------------------------------------------------------------------------------------------------------
C. David Messman Secretary, since Vice President and Managing None
46 2000 Senior Counsel of Wells Fargo
Bank, N.A. and Senior Vice
President and Secretary of Wells
Fargo Funds Management, LLC.
Vice President and Senior
Counsel of Wells Fargo Bank,
N.A. from 1996 to 2003.
- ----------------------------------------------------------------------------------------------------------
A. Erdem Cimen Treasurer, since Vice President of Wells Fargo None
32 2006 Bank, N.A. and Vice President
of Financial Operations for
Wells Fargo Funds
Management, LLC. Vice
President and Group
Finance Officer of Wells Fargo
Bank, N.A. Auto Finance Group
from 2004 to 2006. Vice
President of Portfolio Risk
Management for Wells Fargo
Bank, N.A. Auto Finance Group
in 2004. Vice President of
Portfolio Research and Analysis
for Wells Fargo Bank, N.A.
Auto Finance Group from 2001
to 2004. Director of Small
Business Services Risk
Management for American
Express Travel Related
Services from 2000 to 2001.
121
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
OFFICERS (continued)
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
Dorothy A. Peters Chief Compliance Chief Compliance Officer of None
44 Officer, since 2004 Wells Fargo Funds
Management, LLC since 2004
and Compliance Officer of Wells
Fargo Funds Management, LLC
from 1999 to 2002. Compliance
Manager of Wells Fargo
Investments from 1997 to 1999.
In 2002, Ms. Peters left Wells
Fargo Funds Management, LLC
to pursue personal goals.
- ----------------------------------------------------------------------------------------------------------
* The Statement of Additional Information includes additional information
about the Funds' Trustees and is available, without charge, upon request,
by calling 1-800-222-8222 or by visiting the Funds' Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
** Length of service dates reflects a Trustee's commencement of service with
the Trust's predecessor entities.
*** As of August 31, 2006, one of the seven Trustees is considered an
"interested person" of the Trusts as defined in the Investment Company Act
of 1940. The interested Trustee, J. Tucker Morse, is affiliated with a
government securities dealer that is registered under the Securities
Exchange Act of 1934, which is not itself affiliated with Wells Fargo
Funds Management, LLC.
122
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
BOARD CONSIDERATION OF AND CONTINUATION OF INVESTMENT ADVISORY AND SUBADVISORY
AGREEMENTS:
TARGET TODAY FUND, TARGET 2010 FUND, TARGET 2020 FUND, TARGET 2030
FUND, TARGET 2040 FUND, DIVERSIFIED STOCK PORTFOLIO, DIVERSIFIED FIXED INCOME
PORTFOLIO AND MONEY MARKET PORTFOLIO (PRIOR TO JUNE 26, 2006, THE TARGET TODAY
FUND, TARGET 2010 FUND, TARGET 2020 FUND, TARGET 2030 FUND AND TARGET 2040 FUND
WERE NAMED THE OUTLOOK TODAY FUND, OUTLOOK 2010 FUND, OUTLOOK 2020 FUND, OUTLOOK
2030 FUND AND OUTLOOK 2040 FUND, RESPECTIVELY.)
- --------------------------------------------------------------------------------
Section 15(c) of the Investment Company Act of 1940 (the "1940 Act")
contemplates that the Boards of Trustees (each a "Board" and collectively, the
"Boards") of Wells Fargo Funds Trust ("Funds Trust") and Wells Fargo Master
Trust (together, the "Trusts"), including a majority of the Trustees who have no
direct or indirect interest in the investment advisory and subadvisory
agreements and are not "interested persons" of each Trust, as defined in the
1940 Act (the "Independent Trustees"), will annually review and consider the
continuation of the investment advisory and subadvisory agreements and approve
the terms of any new investment advisory and subadvisory agreements. In this
regard, the Boards reviewed and re-approved, during the six months covered by
this report: (i) an investment advisory agreement with Wells Fargo Funds
Management, LLC ("Funds Management") for the Target Today Fund, Target 2010
Fund, Target 2020 Fund, Target 2030 Fund and Target 2040 Fund (the "Target
Funds"); (ii) an investment subadvisory agreement with Barclays Global Fund
Advisors ("Barclays") for the period through June 26, 2006, or upon completion
of the conversion of the Target Funds from stand-alone funds to funds of funds
(as described below). Also, during this period, the Boards reviewed and
approved: (i) the investment advisory agreement with Funds Management with a
reduced fee level for the Target Funds reflecting the post-conversion structure;
(ii) an investment subadvisory agreement with Global Index Advisors, Inc.
("GIA") for the Target Funds; (iii) an investment advisory agreement with Funds
Management for the Diversified Fixed Income Portfolio, Diversified Stock
Portfolio and Money Market Portfolio (the "Master Portfolios"); (iv) an
investment subadvisory agreement with SSgA Funds Management, Inc. ("SSgA FM")
for the Diversified Stock Portfolio and Diversified Fixed Income Portfolio; and
(v) an investment subadvisory agreement with Wells Capital Management
Incorporated ("Wells Capital Management") for the Money Market Portfolio. The
investment advisory agreements with Funds Management and the investment
subadvisory agreements with Barclays, GIA, SSgA FM and Wells Capital Management
(the "Subadvisers") are collectively referred to as the "Advisory Agreements."
The Target Funds and Master Portfolios identified above are collectively
referred to as the "Funds."
More specifically, at meetings held on March 31, 2006, the Boards,
including the Independent Trustees advised by their independent legal counsel,
considered the factors and reached the conclusions described below relating to
the selection of Funds Management and the Subadvisers and the continuation and
approval of the Advisory Agreements described above. Prior to the March 31,
2006, meetings, the Boards, including the Independent Trustees, met in person
and telephonically a number of times, both with Funds Management and in private
sessions for discussions about these continuations and approvals. The
Independent Trustees were assisted in their evaluation of the Advisory
Agreements by independent legal counsel, from whom they received separate legal
advice and with whom they met separately from Funds Management.
As of March 31, 2006, each Target Fund was a stand-alone fund advised by
Funds Management and subadvised by Barclays. At the March 31, 2006, meeting, the
Funds Trust Board approved converting each Target Fund from a stand-alone fund
to a fund-of-funds (a fund that invests substantially all of its assets in
master portfolios and other registered investment companies) (the "Conversion").
Effective June 26, 2006, the Conversion occurred having received the requisite
shareholder approval and accordingly, each Target Fund seeks to achieve its
investment objective by investing substantially all of its assets in other
investment companies, which in turn invest directly in securities. In addition,
effective June 26, 2006, the Master Portfolios commenced operations at the time
of the Conversion.
NATURE, EXTENT AND QUALITY OF SERVICES
- --------------------------------------------------------------------------------
The Boards received and considered various data and information regarding
the nature, extent and quality of services provided to the Funds by Funds
Management and the Subadvisers (and that is anticipated to be provided by GIA,
SSgA FM and Wells Capital Management) under the Advisory Agreements. The Boards
also received and considered information provided in response to a detailed set
of requests submitted by the Independent Trustees' independent legal counsel,
including, among other things, information about the background and experience
of senior management and the expertise of, and amount of attention devoted to
(or that would be devoted to) the Funds by, investment personnel of Funds
Management and the Subadvisers. In this regard, the Boards specifically reviewed
the qualifications, backgrounds and responsibilities of the portfolio managers
primarily responsible, and proposed to be primarily responsible, for the
day-to-day management services for the Funds.
The Boards evaluated the ability of Funds Management and the Subadvisers,
based on their respective resources, reputations and other attributes, to
attract and retain highly qualified investment professionals, including
research, advisory, and supervisory personnel. In this regard, the Boards
considered information
123
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
regarding each of Funds Management's and the Subadvisers' compensation programs
for personnel involved in the management of the Target Funds (or that would be
involved in the management of the Master Portfolios). In addition, while the
Board of Funds Trust noted GIA's recent investment adviser registration with the
Securities and Exchange Commission, it also considered its prior operating
history and its level of expertise to provide investment subadvisory services to
the Target Funds.
The Boards further considered the compliance programs and compliance
records of Funds Management and the Subadvisers. In addition, the Boards took
into account the administrative services provided to the Target Funds (and those
anticipated to be provided to the Master Portfolios) by Funds Management and its
affiliates. In considering these matters, the Boards considered not only the
specific information presented in connection with the meetings, but also the
knowledge gained over the course of interacting with Funds Management and the
Subadvisers other than GIA, which is new to the complex, about various topics,
including Funds Management's oversight of service providers, such as the
Subadvisers.
Based on the above factors, together with those referenced below, the
Boards concluded that it was generally satisfied with the nature, extent and
quality of the investment advisory services provided, or anticipated to be
provided, to the Funds by Funds Management and the Subadvisers.
FUND PERFORMANCE AND EXPENSES
- --------------------------------------------------------------------------------
The Funds Trust Board considered the performance results for each of the
Target Funds over various time periods ended December 31, 2005. The Funds Trust
Board also considered these results in comparison to the median performance
results of the group of funds that was determined by Lipper Inc. ("Lipper") to
be the most similar to a given Target Fund (the "Peer Group") and to the median
performance of a broader universe of relevant funds as determined by Lipper (the
"Universe"), as well as to each Target Fund's benchmark index. Lipper is an
independent provider of investment company data. The Funds Trust Board was
provided with a description of the methodology used by Lipper to select the
mutual funds in each Fund's Peer Group and Universe. The Funds Trust Board noted
that the performance of each Target Fund, except for the Target 2040 Fund, was
below the median performance of its Peer Group for most time periods. The Funds
Trust Board noted that the performance of the Target 2040 Fund was better than
the median performance of its Peer Group for most periods. The Funds Trust Board
further noted that it had received frequent reports regarding the performance of
the Target Funds and that the Conversion and subadviser change from Barclays to
GIA and SSgA FM is primarily intended to address performance issues with the
Target Funds.
The Boards received and considered information regarding each Fund's net
operating expense ratio and its various components, including contractual
advisory fees, actual advisory fees, actual non-management fees, Rule 12b-1 and
non-Rule 12b-1 service fees, fee waivers/caps and/or expense reimbursements. The
Boards also considered comparisons of these fees to the expense information for
each Fund's Peer Group and Universe, which comparative data was provided by
Lipper. The Boards noted that the net operating expense ratios of the Funds were
equal to, lower than, or not appreciably higher than, the Funds' Peer Group's
median net operating expense ratios.
Based on the above-referenced considerations and other factors, the Boards
concluded that the overall performance and expense results supported the
approvals and re-approvals described above.
INVESTMENT ADVISORY AND SUBADVISORY FEE RATES
- --------------------------------------------------------------------------------
The Boards reviewed and considered the contractual investment advisory fee
rates payable by the Funds to Funds Management for investment advisory services,
both on a stand-alone basis and on a combined basis with the Funds'
administration fee rates (the "Advisory Agreement Rates"). The Boards took into
account the separate administrative services covered by the administration fee
rates. The Boards also reviewed and considered the contractual investment
subadvisory fee rates (the "Subadvisory Agreement Rates") payable by Funds
Management to the Subadvisers for investment subadvisory services. In addition,
the Boards reviewed and considered the existing fee waiver/cap arrangements
applicable to the Advisory Agreement Rates and considered the Advisory Agreement
Rates after taking the waivers/caps into account (the "Net Advisory Rates"). The
Funds Trust Board noted that, in connection with the Conversion of the Target
Funds and subject to shareholder approval, the investment advisory fee that each
Target Fund pays to Funds Management would be reduced as a result of a shift of
some of Funds Management's advisory responsibilities away from the stand-alone
Target Fund level to the underlying master portfolio level under the new
fund-of-funds structure. The Funds Trust Board also noted, however, that after
the Conversion the Target Fund shareholders would bear indirectly the advisory
fees paid to Funds Management by the underlying Master Portfolios for managing
their direct investment in securities. The Funds Trust Board further noted that,
subject to shareholder approval, GIA would replace Barclays as subadviser to the
Target Funds at a reduced subadvisory fee rate that reflected the shift of some
of the subadvisory responsibilities from the stand-alone Target Fund level to
the underlying master portfolio level.
The Boards received and considered information comparing the Advisory
Agreement Rates and Net Advisory Rates with those of the other funds in each
Target Fund's Peer Group. The Boards noted that the current and proposed
Advisory Agreement Rates and the Net Advisory Rates for the Funds were lower
than, or not appreciably higher than, the median rates of each Target Fund's
respective Peer Group. In
124
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
addition, the Boards concluded that the combined investment
advisory/administration fee rates for the Funds (before and after waivers/caps
and/or expense reimbursements) were reasonable in relation to each Fund's Peer
Group, and reasonable in relation to the services provided.
The Boards also reviewed and considered the Subadvisory Agreement Rates
and concluded that the current and proposed Subadvisory Agreement Rates were
fair and equitable, based on their consideration of the factors described above.
PROFITABILITY
- --------------------------------------------------------------------------------
The Boards received and considered a detailed profitability analysis of
Funds Management based on the current Advisory Agreement Rates and Net Advisory
Rates, as well as an analysis of the profitability to other Wells Fargo
businesses (including Wells Capital Management) of providing services to the
Funds. The Boards concluded that, in light of the costs of providing investment
management and other services to the Funds, the profits and other ancillary
benefits that Funds Management and its affiliates received with regard to
providing these services to the Funds were not unreasonable.
The Board of Wells Fargo Master Trust did not consider a separate
profitability analysis of Wells Capital Management as its separate profitability
from its relationship with the Money Market Portfolio was not a material factor
in determining whether to approve the agreement. The Boards did not consider
profitability information with respect to Barclays, GIA and SSgA FM, which are
not affiliated with Funds Management. The Boards considered that the subadvisory
fees paid to these subadvisers had been negotiated by Funds Management on an
arm's length basis and that these subadvisers' separate profitability from their
relationships with the Target Funds, Diversified Fixed Income Portfolio and
Diversified Stock Portfolio was not a material factor in determining whether to
renew the agreement with Barclays or approve the initial agreements with GIA and
SSgA FM.
ECONOMIES OF SCALE
- --------------------------------------------------------------------------------
The Boards received and considered general information regarding whether
there have been economies of scale with respect to the management of the Target
Funds, whether the Target Funds have appropriately benefited from any economies
of scale, and whether there is potential for realization of any further
economies of scale for the Funds. The Boards acknowledged the inherent
limitations of any analysis of an investment adviser's economies of scale and of
any attempt to correlate breakpoints with such economies, stemming largely from
the Boards' understanding that economies of scale are realized, if at all, by an
investment adviser across a variety of products and services, not just with
respect to a single fund. The Boards concluded that any actual or potential
economies of scale are, or will be, shared reasonably with Fund
shareholders/interestholders, most particularly through Advisory Agreement Rate
breakpoints applicable to the Funds.
INFORMATION ABOUT SERVICES TO OTHER CLIENTS
- --------------------------------------------------------------------------------
The Boards also received and considered information about the nature and
extent of services and fee rates offered by Funds Management to other similarly
situated series of the Trusts, and those offered by the Subadvisers to other
clients, including other registered investment companies, collective investment
funds and separate accounts. The Boards concluded that the Advisory Agreement
Rates, the Subadvisory Agreement Rates and the Net Advisory Rates, as are
currently in effect and as are proposed to be revised, were within a reasonable
range of the fee rates offered to others by Funds Management and the
Subadvisers, giving effect to differences in services covered by such fee rates.
OTHER BENEFITS TO FUNDS MANAGEMENT AND THE SUBADVISERS
- --------------------------------------------------------------------------------
The Boards received and considered information regarding potential
"fall-out" or ancillary benefits received by Funds Management and its affiliates
and the Subadvisers as a result of their relationship with the Funds. Such
benefits could include, among others, benefits directly attributable to the
relationship of Funds Management and the Subadvisers with the Funds and benefits
potentially derived from an increase in Funds Management's and the Subadvisers'
business as a result of their relationship with the Funds (such as the ability
to market to shareholders/interestholders other financial products offered by
Funds Management and its affiliates or the Subadvisers and their affiliates).
The Boards also considered the effectiveness of the policies of the Funds
in achieving the best execution of portfolio transactions, whether and to what
extent soft dollar credits are, or would be, sought and how any such credits
are, or would be, utilized, any benefits that may be realized by using an
affiliated broker, the extent to which efforts are, or will be, made to
recapture transaction costs, and the controls applicable to brokerage allocation
procedures. The Boards reviewed Funds Management's and the Subadvisers' methods
for allocating portfolio investment opportunities among the Funds and other
clients.
OTHER FACTORS AND BROADER REVIEW
- --------------------------------------------------------------------------------
The Boards also considered the markets for distribution of the Target
Funds, including the principal channels through which the Target Funds'
shares/interests are offered and sold. The Boards noted that the Target Funds
are part of one of the few fund families that have both direct-to-fund and
intermediary distribution.
125
WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
As discussed above, the Boards reviewed detailed materials received from
Funds Management and the Subadvisers, as applicable, annually as part of the
re-approval process under Section 15(c) of the 1940 Act. The Boards also review
and assess the quality of the services that the Funds receive throughout the
year. In this regard, the Boards have reviewed reports of Funds Management and
Barclays at each of their quarterly meetings, which include, among other things,
a portfolio review and fund performance reports. In addition, the Boards have
conferred with the portfolio managers of the Target Funds at various times
throughout the year.
After considering the above-described factors and based on their
deliberations and their evaluation of the information described above, the
Boards concluded that the initial approval and the approval of the continuation
of the Advisory Agreements, as applicable, for each of the Funds was in the best
interest of the Funds and their shareholders/interestholders. Accordingly, the
Boards unanimously approved the Advisory Agreements as discussed above.
126
LIST OF ABBREVIATIONS WELLS FARGO ADVANTAGE DOW JONES TARGET DATE FUNDS
- --------------------------------------------------------------------------------
The following is a list of common abbreviations for terms and entities which may
have appeared in this report.
ABAG -- Association of Bay Area Governments
ADR -- American Depository Receipt
AMBAC -- American Municipal Bond Assurance Corporation
AMT -- Alternative Minimum Tax
ARM -- Adjustable Rate Mortgages
BART -- Bay Area Rapid Transit
BHD -- Berhad
CDA -- Community Development Authority
CDSC -- Contingent Deferred Sales Charge
CGIC -- Capital Guaranty Insurance Company
CGY -- Capital Guaranty Corporation
CMT -- Constant Maturity Treasury
COFI -- Cost of Funds Index
COP -- Certificate of Participation
CP -- Commercial Paper
CTF -- Common Trust Fund
DW&P -- Department of Water & Power
DWR -- Department of Water Resources
EDFA -- Education Finance Authority
FFCB -- Federal Farm Credit Bank
FGIC -- Financial Guaranty Insurance Corporation
FHA -- Federal Housing Authority
FHLB -- Federal Home Loan Bank
FHLMC -- Federal Home Loan Mortgage Corporation
FNMA -- Federal National Mortgage Association
FRN -- Floating Rate Notes
FSA -- Financial Security Assurance Incorporated
GDR -- Global Depository Receipt
GNMA -- Government National Mortgage Association
GO -- General Obligation
HFA -- Housing Finance Authority
HFFA -- Health Facilities Financing Authority
IDA -- Industrial Development Authority
IDR -- Industrial Development Revenue
LIBOR -- London Interbank Offered Rate
LLC -- Limited Liability Corporation
LOC -- Letter of Credit
LP -- Limited Partnership
MBIA -- Municipal Bond Insurance Association
MFHR -- Multi-Family Housing Revenue
MUD -- Municipal Utility District
MTN -- Medium Term Note
PCFA -- Pollution Control Finance Authority
PCL -- Public Company Limited
PCR -- Pollution Control Revenue
PFA -- Public Finance Authority
PLC -- Private Placement
PSFG -- Public School Fund Guaranty
RDA -- Redevelopment Authority
RDFA -- Redevelopment Finance Authority
REITS -- Real Estate Investment Trusts
R&D -- Research & Development
SFHR -- Single Family Housing Revenue
SFMR -- Single Family Mortgage Revenue
SLMA -- Student Loan Marketing Association
STEERS -- Structured Enhanced Return Trust
TBA -- To Be Announced
TRAN -- Tax Revenue Anticipation Notes
USD -- Unified School District
V/R -- Variable Rate
WEBS -- World Equity Benchmark Shares
XLCA -- XL Capital Assurance
127
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- -----------------
WELLS ADVANTAGE
FARGO FUNDS
- -----------------
More information about WELLS FARGO THIS REPORT AND THE FINANCIAL STATEMENTS
ADVANTAGE FUNDS(SM) is available CONTAINED HEREIN ARE SUBMITTED FOR THE
free upon request. To obtain GENERAL INFORMATION OF THE SHAREHOLDERS
literature, please write, e-mail, OF WELLS FARGO ADVANTAGE FUNDS. IF THIS
visit the Funds' Web site, or call: REPORT IS USED FOR PROMOTIONAL PURPOSES,
DISTRIBUTION OF THE REPORT MUST BE
WELLS FARGO ADVANTAGE FUNDS ACCOMPANIED OR PRECEDED BY A CURRENT
P.O. Box 8266 PROSPECTUS. FOR A PROSPECTUS CONTAINING
Boston, MA 02266-8266 MORE COMPLETE INFORMATION, INCLUDING
CHARGES AND EXPENSES, CALL 1-800-222-8222
E-mail: wfaf@wellsfargo.com OR VISIT THE FUNDS' WEB SITE AT
Web site: www.wellsfargo.com/ WWW.WELLSFARGO.COM/ADVANTAGEFUNDS. PLEASE
advantagefunds CONSIDER THE INVESTMENT OBJECTIVES,
Individual Investors: RISKS, CHARGES, AND EXPENSES OF THE
1-800-222-8222 INVESTMENT CAREFULLY BEFORE INVESTING.
Retail Investment Professionals: THIS AND OTHER INFORMATION ABOUT WELLS
1- 888-877-9275 FARGO ADVANTAGE FUNDS CAN BE FOUND IN THE
Institutional Investment CURRENT PROSPECTUS. READ THE PROSPECTUS
Professionals: 1- 866-765-0778 CAREFULLY BEFORE YOU INVEST OR SEND
MONEY.
Wells Fargo Funds Management, LLC, a
wholly owned subsidiary of Wells Fargo &
Company, provides investment advisory and
administrative services for WELLS FARGO
ADVANTAGE FUNDS. Other affiliates of
Wells Fargo & Company provide subadvisory
and other services for the Funds. The
Funds are distributed by WELLS FARGO
FUNDS DISTRIBUTOR, LLC, Member NASD/SIPC,
an affiliate of Wells Fargo & Company.
---------------------------------------------------------
NOT FDIC INSURED o NO BANK GUARANTEE o MAY LOSE VALUE
---------------------------------------------------------
- -----------------------------------------------------------------------------
(C) 2006 Wells Fargo www.wellsfargo.com/advantagefunds 100100 10-06
Funds Management, LLC. SOFLD/SAR101
All rights reserved.
-----------------
WELLS ADVANTAGE
FARGO FUNDS
-----------------
[GRAPHIC OMITTED] AUGUST 31, 2006
SEMI-ANNUAL REPORT
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
CLASS A, CLASS B, AND INVESTOR CLASS
Wells Fargo Advantage California Tax-Free Money Market Fund
Wells Fargo Advantage Government Money Market Fund
Wells Fargo Advantage Minnesota Money Market Fund
Wells Fargo Advantage Money Market Fund
Wells Fargo Advantage Municipal Money Market Fund
Wells Fargo Advantage National Tax-Free Money Market Fund
Wells Fargo Advantage Treasury Plus Money Market Fund
Wells Fargo Advantage 100% Treasury Money Market Fund
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
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TABLE OF CONTENTS
Letter to Shareholders ................................................... 1
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Money Market Overview .................................................... 2
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Primary Investments ...................................................... 4
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Performance Highlights
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California Tax-Free Money Market Fund ................................. 5
Government Money Market Fund .......................................... 6
Minnesota Money Market Fund ........................................... 7
Money Market Fund ..................................................... 8
Municipal Money Market Fund ........................................... 9
National Tax-Free Money Market Fund ................................... 10
Treasury Plus Money Market Fund ....................................... 11
100% Treasury Money Market Fund ....................................... 12
Fund Expenses (Unaudited) ................................................ 13
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Portfolio of Investments
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California Tax-Free Money Market Fund ................................. 15
Government Money Market Fund .......................................... 24
Minnesota Money Market Fund ........................................... 27
Money Market Fund ..................................................... 30
Municipal Money Market Fund ........................................... 35
National Tax-Free Money Market Fund ................................... 42
Treasury Plus Money Market Fund ....................................... 57
100% Treasury Money Market Fund ....................................... 58
Financial Statements
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Statements of Assets and Liabilities .................................. 60
Statements of Operations .............................................. 62
Statements of Changes in Net Assets ................................... 64
Financial Highlights .................................................. 76
Notes to Financial Highlights ......................................... 80
Notes to Financial Statements ............................................ 81
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Other Information (Unaudited) ............................................ 88
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List of Abbreviations .................................................... 94
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NOT FDIC INSURED-NO BANK GUARANTEE-MAY LOSE VALUE
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THIS PAGE IS INTENTIONALLY LEFT BLANK --
LETTER TO SHAREHOLDERS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
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DEAR VALUED SHAREHOLDER,
Enclosed please find the WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
semi-annual report for the six-month period that ended August 31, 2006. On the
following pages, you will find a money market overview, information about the
holdings in each Fund, and the portfolio manager's strategic outlook.
THE ECONOMY
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During the period, the U.S. economy started to show some signs of a
slowdown. The housing market slowed, with mortgage applications falling and
homes staying on the market for longer periods. Consumer confidence weakened,
and the inflation outlook remained cloudy. Real Gross Domestic Product (GDP)
slowed to 2.9% for the second quarter of 2006, driven mostly by a falloff in
consumer spending from an unsustainable first-quarter pace. Other indicators,
however, have remained robust. Capital spending and the manufacturing sector
continued to perform well. Most labor markets also remained healthy, creating
some uncertainty regarding the direction of the Fed's next decision about
interest rates.
FED PAUSES IN ITS CYCLE OF INTEREST RATE HIKES
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Money market rates continued to rise in 2006 as the Fed increased the
target Federal funds rate by 0.25% at each of the 17 Federal Open Market
Committee (FOMC) meetings from June 2004 through June 2006. In August, the Fed
took a long-awaited pause and kept the Federal funds rate at 5.25%. The Federal
funds rate was only 1.00% in June 2004 before the Fed started its cycle of
interest rate increases--often described as credit tightening.
LOOKING AHEAD
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The Fed's monetary policy has become less predictable. The FOMC minutes of
the August 8, 2006 meeting stated that the decision to stop raising the Federal
funds rate was "appropriate to limit the risks of tightening too much." All the
FOMC members agreed that the decision to pause did not necessarily mark the end
of the credit tightening cycle.
The unpredictability of interest rates is another reason why we believe
that successful investing includes a balanced approach of owning a diversified
portfolio while keeping a long-term perspective. While diversification may not
prevent losses in a downturn, it may help reduce them and keep you on track to
reach your financial goals. To help you reach your diversification goals, we
offer funds across every key category, each guided by skillful money managers
chosen for their focused attention to a particular investment style.
Thank you for choosing WELLS FARGO ADVANTAGE FUNDS. We appreciate your
confidence in us. Through each market cycle, we are committed to helping you
meet your financial needs. If you have any questions about your investment,
please contact your investment professional or call us at 1-800-222-8222. You
may also want to visit our Web site at WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
Sincerely,
/s/ Karla M. Rabusch
Karla M. Rabusch
President
WELLS FARGO ADVANTAGE FUNDS
1
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS MONEY MARKET OVERVIEW
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MONEY MARKET OVERVIEW
This semi-annual report covers the six-month period from March 1, 2006,
through August 31, 2006.
PRIME MONEY MARKET SECURITIES
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After having raised the target Federal funds rate by 0.25% at 17
consecutive meetings since June 2004, the Fed finally left interest rates
unchanged at its meeting on August 8, 2006. This series of increases raised the
Federal funds rate from 1% in 2004 to 5.25% by the end of the reporting period.
The six-month period that ended August 31, 2006, experienced three increases
that raised the Federal funds rate from 4.50% to 5.25%.
The money market yield curve, which is the yield of various securities
across the spectrum of very short maturities from one day to one year, flattened
considerably during the period. For example, the spread between the one-month
and one-year London Inter-Bank Offered Rate (LIBOR) contracted from 0.52% on
February 28, 2006, to only 0.08% on August 31, 2006. While the one-month LIBOR
rose by 0.70%, from 4.63% to 5.33%, the one-year LIBOR increased by only 0.26%,
from 5.15% to 5.41%. The muted rise in the one-year rate reflected an increasing
belief from money market investors that increases in short-term rates could be
nearing an end. One-month rates peaked around 5.40% at the beginning of August,
at the same time as the Fed paused from its interest rate increases. One-year
rates peaked earlier, around 5.75%, toward the end of June and by August 31,
2006, had returned to the 5.40% levels seen at the end of May.
The amount of commercial paper outstanding increased each month during the
reporting period, increasing by a total of about 10% for the six-month period.
In dollar terms, the total amount of commercial paper increased from $1.67
trillion on February 28, 2006, to $1.84 trillion on August 31, 2006. This
increased supply led to more attractive yields relative to other money market
instruments, especially U.S. Government and U.S. Treasury securities.
U.S. GOVERNMENT AGENCY SECURITIES
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Yield spreads between LIBOR and U.S. government agency securities remained
wide during the period. The wider spreads resulted from a reduced supply of U.S.
government agency obligations available on the market. Other factors included
continued high demand from foreign central banks and new regulatory requirements
that forced the larger agencies to improve their capital ratios. If these trends
continue, yields on agency obligations could potentially remain well below those
of prime money market securities.
For the most part, the government agency yield curve flattened during the
period. The spread between one-month and one-year agency securities was as wide
as 0.59% on March 7, 2006, before narrowing to 0.27% by mid-June. The growing
consensus that the Fed may not raise interest rates at its June meeting was the
main driver of the curve flattening. However, after the Fed confirmed its
continued path of raising interest rates at its June meeting, the agency curve
widened to 0.47% on June 30, 2006. It was not long, however, before market
consensus once again grew that the Fed would not raise interest rates at its
August meeting. This consensus led the agency curve to flatten to 0.18% on
August 8, 2006, when the Fed did, in fact, leave interest rates unchanged for
the first time in over two years. The curve flattening continued through the end
of the reporting period, narrowing to 0.10% by August 31, 2006.
U.S. TREASURY SECURITIES
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The yields on short-term U.S. Government Treasury securities followed the
general pattern of overall rising interest rates during most of the period.
However, the yield on the U.S. Treasury bill experienced more volatility
compared to other money market yields. After rising from 4.60% at the beginning
of March to 4.90% in early May, the yield on the three-month U.S. Treasury bill
traded in a narrow range through early June, mostly between 4.80% and 4.90%.
Several factors contributed to this narrow trading range, including uncertainty
about whether the Fed would raise interest rates at its next meeting and whether
there would be an increase or decrease in the overall supply of Treasury Bills
issued by the U.S. government. Treasury bills moved noticeably higher in June
and early July once it was confirmed that the Fed raised interest rates for the
seventeenth time on June 29, 2006. The yield on the three-month U.S. Treasury
bill was 4.98% as of June 30, 2006, a one-month increase of 0.14%. By mid-July,
the yield had risen another 0.15% to 5.13%.
Mid-July was the beginning of a period when the yield on the three-month
U.S. Treasury bill drifted lower. After reaching a high of 5.13% on July 18,
2006, the yield fell to 5.03% by the end of August. A subsequent increase in
overall supply of U.S. Treasury bills was more than offset by the market's
perception that the Fed would no longer raise interest rates. This was confirmed
by the Fed at its August 8, 2006, meeting, when it chose to leave the overnight
lending rate at 5.25%.
2
MONEY MARKET OVERVIEW WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
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TAX-FREE SECURITIES
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During March, strong demand and a lack of supply resulted in weekly
variable rate demand notes (VRDNs) being less attractive than the one-month
LIBOR because cash poured into the short end of the municipal market in advance
of April tax payments. Municipal interest rates began to increase as the April
15 tax payment deadline approached, though money continued to flow into money
market funds into the third week of April. VRDN levels were not as cheap
relative to taxable money market instruments as they were the previous year.
After the April tax cycle ended, rates on VRDNs stabilized by early May. An
attempt by remarketing agents to push rates much lower in June was met with
strong resistance because interest rate sensitive investors exercised their
right to sell VRDNs back to the dealers. By the end of June, rates increased to
levels similar to those during tax season.
In June, the California note season took a different tone from the
previous year. Investors who remembered the poor performance of California notes
in 2005 and who were concerned with future interest rate increases showed little
interest. Basing their pricing on investors' past behavior, dealers had become
accustomed to heavy demand for notes even at levels that were relatively
expensive. The first notes of the season were offered at 3.48%, just over 63% of
the one-year LIBOR, and had to be re-priced upward to 3.52%, closer to 64% of
the one-year LIBOR. Issuance of nonspecialty state notes during the period was
very light, and the prices for national paper were only slightly higher than the
prices for California paper.
While weekly rates continued on their normal seasonal gyrations, fixed
rates on California notes trended lower as they did in the taxable market. The
Fed's decision to leave the Federal funds rate unchanged in August appeared to
be interpreted by money market investors as the end of the credit tightening
cycle rather than a temporary pause.
STRATEGIC OUTLOOK
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The Fed has made good on its promise to pause in its series of
interest-rate increases. Whether the pause proves to be temporary or not will
depend upon future economic data. The statement released by the Fed after its
meeting on August 8 indicated that "inflation pressures seem likely to moderate
over time, reflecting contained inflation expectations and the cumulative effect
of monetary policy actions . . . ." We will continue to manage the funds
conservatively and in a manner that is sensitive to changes in market rates.
AN INVESTMENT IN A WELLS FARGO ADVANTAGE MONEY MARKET FUND IS NOT INSURED
OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER
GOVERNMENT AGENCY. ALTHOUGH MONEY MARKET FUNDS SEEK TO PRESERVE THE VALUE OF
YOUR INVESTMENT AT $1.00 PER SHARE, IT IS POSSIBLE TO LOSE MONEY BY INVESTING IN
THE FUND.
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The views expressed are as of August 31, 2006, and are those of the Fund's
manager. The views are subject to change at any time in response to changing
circumstances in the market and are not intended to predict or guarantee the
future performance of any individual security, market sector or the markets
generally, or the WELLS FARGO ADVANTAGE MONEY MARKET FUNDS.
3
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PRIMARY INVESTMENTS
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PRIMARY INVESTMENTS*
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California Money Municipal National Treasury 100%
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS Tax-Free Government Minnesota Market Money Market Tax-Free Plus Treasury
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U.S. Treasury Securities X X X X
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Repurchase Agreements X X X
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U.S. Government Obligations X X
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Commercial Paper X
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Certificates of Deposit/Bankers
Acceptances X
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Time Deposits X
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Floating/Variable Rate
Notes/Bonds X X X X X X
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Mortgage and Asset-Backed
Securities X
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Corporate Notes/Bonds X
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Municipal Obligations X X X X
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Municipal Commercial Paper X X X X
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* The chart highlights some of the primary investments that the Funds may make
as part of their investment strategies. The chart does not identify all of the
permitted investments for each Fund.
4
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
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WELLS FARGO ADVANTAGE CALIFORNIA TAX-FREE MONEY MARKET FUND - CLASS A
INVESTMENT OBJECTIVE
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The WELLS FARGO ADVANTAGE CALIFORNIA TAX-FREE MONEY MARKET FUND (the Fund)
seeks current income exempt from federal income tax and California individual
income tax, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 01/01/1992
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
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6-Month* 1-Year 5-Year 10-Year
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California Tax-Free Money Market Fund - Class A
(Incept. Date 01/01/1992) 1.40 2.51 1.15 1.91
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* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
A PORTION OF THE FUND'S INCOME MAY BE SUBJECT TO FEDERAL, STATE AND/OR
LOCAL INCOME TAXES OR THE ALTERNATIVE MINIMUM TAX (AMT).
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
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7-Day Current Yield 2.85%
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7-Day Compound Yield 2.89%
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30-Day Simple Yield 2.83%
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30-Day Compound Yield 2.86%
FUND CHARACTERISTICS 2 (AS OF AUGUST 31, 2006)
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Weighted Average Maturity 29 days
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PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
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[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Municipal Commercial Paper 9%
Municipal Demand Notes 82%
Municipal Bonds 9%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
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[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 5%
2-14 days 82%
15-29 days 2%
30-59 days 4%
60-89 days 1%
270 + days 6%
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1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 2.66%.
Performance shown for the Class A shares of the WELLS FARGO ADVANTAGE
CALIFORNIA TAX-FREE MONEY MARKET FUND for periods prior to November 8, 1999
reflects performance of the Class A shares of the Stagecoach California Tax-Free
Money Market Fund, its predecessor fund.
2 Fund characteristics, portfolio composition and maturity distribution are
subject to change.
5
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PERFORMANCE HIGHLIGHTS
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WELLS FARGO ADVANTAGE GOVERNMENT MONEY MARKET FUND - CLASS A
INVESTMENT OBJECTIVE
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The WELLS FARGO ADVANTAGE GOVERNMENT MONEY MARKET FUND (the Fund) seeks
current income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 11/16/1987
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
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6-Month* 1-Year 5-Year 10-Year
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Government Money Market Fund - Class A
(Incept. Date 11/08/1999) 2.21 3.96 1.72 3.28
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* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
THE U.S. GOVERNMENT GUARANTEE APPLIES TO CERTAIN OF THE UNDERLYING
SECURITIES HELD BY THE FUND AND NOT TO SHARES OF THE FUND.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
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7-Day Current Yield 4.67%
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7-Day Compound Yield 4.78%
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30-Day Simple Yield 4.64%
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30-Day Compound Yield 4.74%
FUND CHARACTERISTICS 2 (AS OF AUGUST 31, 2006)
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Weighted Average Maturity 14 days
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PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
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[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Repurchase Agreements 70%
FNMA 10%
FHLMC 7%
FHLB 9%
FFCB 4%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
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[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 64%
2-14 days 12%
15-29 days 8%
30-59 days 8%
60-89 days 5%
90-179 days 3%
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1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.67%.
Performance shown for the Class A shares of the WELLS FARGO ADVANTAGE
GOVERNMENT MONEY MARKET FUND for periods prior to November 8, 1999 reflects
performance of the Fund's Service Class shares, adjusted to reflect the fees and
expenses of the Class A shares.
2 Fund characteristics, portfolio composition and maturity distribution are
subject to change.
6
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
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WELLS FARGO ADVANTAGE MINNESOTA MONEY MARKET FUND - CLASS A
INVESTMENT OBJECTIVE
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The WELLS FARGO ADVANTAGE MINNESOTA MONEY MARKET FUND (the Fund) seeks
current income exempt from federal income tax and Minnesota individual income
tax, but not the federal Alternative Minimum Tax, while preserving capital and
liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 08/14/2000
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
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6-Month* 1-Year 5-Year Life of Fund
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Minnesota Money Market Fund - Class A
(Incept. Date 08/14/2000) 1.35 2.40 1.10 1.42
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* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
A PORTION OF THE FUND'S INCOME MAY BE SUBJECT TO FEDERAL, STATE AND/OR
LOCAL INCOME TAXES OR THE ALTERNATIVE MINIMUM TAX (AMT).
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
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7-Day Current Yield 2.77%
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7-Day Compound Yield 2.80%
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30-Day Simple Yield 2.74%
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30-Day Compound Yield 2.78%
FUND CHARACTERISTICS 2 (AS OF AUGUST 31, 2006)
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Weighted Average Maturity 28 days
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PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
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[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Municipal Commercial Paper 8%
Municipal Demand Notes 82%
Municipal Bonds 10%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
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[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 13%
2-14 days 72%
15-29 days 1%
30-59 days 8%
270 + days 6%
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1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 2.60%.
2 Fund characteristics, portfolio composition and maturity distribution are
subject to change.
7
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PERFORMANCE HIGHLIGHTS
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WELLS FARGO ADVANTAGE MONEY MARKET FUND - CLASS A, B AND INVESTOR CLASS
INVESTMENT OBJECTIVE
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The WELLS FARGO ADVANTAGE MONEY MARKET FUND (the Fund) seeks current
income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 07/01/1992
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
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6-Month* 1-Year 5-Year 10-Year
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Money Market Fund - Class A (Incept. Date 07/01/1992) 2.17 3.88 1.67 3.30
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Money Market Fund - Class B (Incept. Date 05/25/1995) 1.79 3.11 1.05 2.62
INCLUDING SALES CHARGE (3.21) (1.89) .66 2.62
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Money Market Fund - Investor Class
(Incept. Date 04/11/2005) 2.23 4.00 1.70 3.31
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* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE, BUT THE FUND'S CLASS B
SHARES MAY BE SUBJECT TO A MAXIMUM CONTINGENT DEFERRED SALES CHARGE (CDSC) OF
5.00%. PERFORMANCE, INCLUDING SALES CHARGE, ASSUMES THE SALES CHARGE FOR THE
CORRESPONDING TIME PERIOD. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE
FUND AND ARE DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
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Class A Class B Investor Class
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7-Day Current Yield 4.60% 3.85% 4.71%
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7-Day Compound Yield 4.70% 3.92% 4.82%
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30-Day Simple Yield 4.58% 3.83% 4.69%
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30-Day Compound Yield 4.67% 3.90% 4.79%
FUND CHARACTERISTICS 2 (AS OF AUGUST 31, 2006)
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Weighted Average Maturity 26 days
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PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
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[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Floating/Variable Rate Bonds/Notes 22%
Repurchase Agreements 18%
Time Deposits 15%
Commercial Paper 34%
Certificates of Deposit 4%
Corporate Bonds 7%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
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[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 30%
2-14 days 20%
15-29 days 19%
30-59 days 17%
60-89 days 12%
90-179 days 2%
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1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.55%, 3.80%, and 4.38% for Class
A, B, and Investor shares, respectively.
Performance shown for the Class A shares of the WELLS FARGO ADVANTAGE
MONEY MARKET FUND for periods prior to November 8, 1999, reflects the
performance of the Class A shares of the Stagecoach Money Market Fund, its
predecessor fund. Performance shown for the Class B shares for periods prior to
November 8, 1999, reflects the performance of the Class S shares of the
Stagecoach Money Market Fund, its predecessor fund. Performance shown for the
Investor Class shares for the periods prior to April 11, 2005, reflects the
performance of the Class A shares of the Fund, and includes fees and expenses
that are not applicable and are higher than those of the Investor Class shares.
The Class A shares annual returns are substantially similar to what the Investor
Class shares returns would have been because the shares are invested in the same
portfolio of securities and the annual returns differ only to the extent that
the classes do not have the same fees and expenses.
2 Fund characteristics, portfolio composition and maturity distribution are
subject to change.
8
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE MUNICIPAL MONEY MARKET FUND - INVESTOR CLASS
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE MUNICIPAL MONEY MARKET FUND (the Fund) seeks
current income exempt from federal income tax, while preserving capital and
liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 10/23/1986
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- ---------------------------------------------------------------------------------------
Municipal Money Market Fund - Investor Class
(Incept. Date 10/23/1986) 1.48 2.65 1.51 2.55
- ---------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
A PORTION OF THE FUND'S INCOME MAY BE SUBJECT TO FEDERAL, STATE AND/OR
LOCAL INCOME TAXES OR THE ALTERNATIVE MINIMUM TAX (AMT).
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 3.01%
- --------------------------------------------------------------------------------
7-Day Compound Yield 3.05%
- --------------------------------------------------------------------------------
30-Day Simple Yield 2.98%
- --------------------------------------------------------------------------------
30-Day Compound Yield 3.02%
FUND CHARACTERISTICS 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 13 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Municipal Commercial Paper 7%
Municipal Demand Notes 91%
Municipal Bonds 2%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Overnight 10%
2-14 days 82%
15-29 days 1%
30-59 days 4%
60-89 days 1%
90-179 days 1%
270 + days 1%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 2.61%.
Performance shown for the Investor Class shares of the WELLS FARGO
ADVANTAGE MUNICIPAL MONEY MARKET FUND for periods prior to April 11, 2005,
reflects the performance of the Investor Class shares of the Strong Municipal
Money Market Fund, its predecessor fund.
2 Fund characteristics, portfolio composition and maturity distribution are
subject to change.
9
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE NATIONAL TAX-FREE MONEY MARKET FUND - CLASS A
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE NATIONAL TAX-FREE MONEY MARKET FUND (the Fund)
seeks current income exempt from federal income tax, while preserving capital
and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 08/03/1993
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- ---------------------------------------------------------------------------------------
National Tax-Free Money Market Fund - Class A
(Incept. Date 07/28/2003) 1.43 2.56 1.24 2.15
- ---------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
A PORTION OF THE FUND'S INCOME MAY BE SUBJECT TO FEDERAL, STATE AND/OR
LOCAL INCOME TAXES OR THE ALTERNATIVE MINIMUM TAX (AMT).
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 2.90%
- --------------------------------------------------------------------------------
7-Day Compound Yield 2.95%
- --------------------------------------------------------------------------------
30-Day Simple Yield 2.87%
- --------------------------------------------------------------------------------
30-Day Compound Yield 2.91%
FUND CHARACTERISTICS 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 19 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Municipal Commercial Paper 11%
Municipal Demand Notes 84%
Municipal Bonds 5%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 14%
2-14 days 73%
15-29 days 2%
30-59 days 5%
60-89 days 3%
90-179 days 1%
270 + days 2%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 2.90%.
Performance shown for the Class A shares of the WELLS FARGO ADVANTAGE
NATIONAL TAX-FREE MONEY MARKET FUND for the periods prior to July 28, 2003
reflects performance of the Fund's Service Class shares adjusted for Class A
fees and expenses. Performance shown for periods prior to November 8, 1999,
reflects the performance of the Service Class (formerly Institutional Class)
shares of the Norwest Advantage Municipal Money Market Fund, its predecessor
fund.
2 Fund characteristics, portfolio composition and maturity distribution are
subject to change.
10
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE TREASURY PLUS MONEY MARKET FUND - CLASS A
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE TREASURY PLUS MONEY MARKET FUND (the Fund) seeks
current income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 10/01/1985
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- ---------------------------------------------------------------------------------------
Treasury Plus Money Market Fund - Class A
(Incept. Date 07/28/2003) 2.17 3.83 1.68 3.26
- ---------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
THE U.S. GOVERNMENT GUARANTEE APPLIES TO CERTAIN OF THE UNDERLYING
SECURITIES HELD BY THE FUND AND NOT TO SHARES OF THE FUND ITSELF.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 4.63%
- --------------------------------------------------------------------------------
7-Day Compound Yield 4.74%
- --------------------------------------------------------------------------------
30-Day Simple Yield 4.61%
- --------------------------------------------------------------------------------
30-Day Compound Yield 4.71%
FUND CHARACTERISTICS 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 7 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Repurchase Agreements 90%
U.S. Treasury Bills 10%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 82%
2-14 days 8%
15-29 days 4%
30-59 days 1%
60-89 days 3%
90-179 days 2%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.63%.
Performance shown for the Class A shares of the WELLS FARGO ADVANTAGE
TREASURY PLUS MONEY MARKET FUND for the periods prior to July 28, 2003, reflects
performance of the Fund's Service Class shares adjusted for Class A fees and
expenses. Performance shown for periods prior to November 8, 1999, reflects
performance of the Service Class shares of the Stagecoach Treasury Plus Money
Market Fund, its predecessor fund. Performance shown for the period prior to
October 1, 1995, through September 6, 1996, reflects performance of the Pacific
American U.S.Treasury Portfolio, the predecessor portfolio. In July 1995, the
Pacific American U.S.Treasury Portfolio was renamed the Pacifica Treasury Money
Market Fund.
2 Fund characteristics, portfolio composition and maturity distribution are
subject to change.
11
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE 100% TREASURY MONEY MARKET FUND - CLASS A
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE 100% TREASURY MONEY MARKET FUND (the Fund) seeks
current income exempt from most state and local individual income taxes, while
preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 12/03/1990
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- ---------------------------------------------------------------------------------------
100% Treasury Money Market Fund - Class A
(Incept. Date 11/08/1999) 2.06 3.63 1.57 3.10
- ---------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
THE U.S. GOVERNMENT GUARANTEE APPLIES TO CERTAIN OF THE UNDERLYING
SECURITIES HELD BY THE FUND AND NOT TO SHARES OF THE FUND ITSELF.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 4.39%
- --------------------------------------------------------------------------------
7-Day Compound Yield 4.48%
- --------------------------------------------------------------------------------
30-Day Simple Yield 4.34%
- --------------------------------------------------------------------------------
30-Day Compound Yield 4.43%
FUND CHARACTERISTICS 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 51 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
U.S. Treasury Bills 100%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
2-14 days 17%
15-29 days 16%
30-59 days 27%
60-89 days 24%
90-179 days 16%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.20%.
Performance shown for the Class A shares of the WELLS FARGO ADVANTAGE 100%
TREASURY MONEY MARKET FUND reflects performance of the Fund's Service Class
shares, adjusted for Class A fees and expenses.
2 Fund characteristics, portfolio composition and maturity distribution are
subject to change.
12
FUND EXPENSES (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
As a shareholder of the Fund, you incur two types of costs: (1)
transaction costs, including sales charges (loads) on purchase payments,
redemption fees (if any) and exchange fees (if any); and (2) ongoing costs,
including management fees; distribution (12b-1) and/or shareholder service 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 (March 1, 2006 to August 31, 2006).
ACTUAL EXPENSES
The "Actual" line of the table below provides information about actual
account values and actual expenses. You may use the information in this line,
together with the amount you invested, to estimate the expenses that you paid
over the period. Simply divide your account value by $1,000 (for example, an
$8,600 account value divided by $1,000 = 8.6), then multiply the result by the
number in the "Actual" line under the heading entitled "Expenses Paid During
Period" for your applicable class of shares to estimate the expenses you paid on
your account during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The "Hypothetical" line of the table below provides information about
hypothetical account values and hypothetical expenses based on the Fund's actual
expense ratio and an assumed rate of return of 5% per year before expenses,
which is not the Fund's actual return. The hypothetical account values and
expenses may not be used to estimate the actual ending account balance or
expenses you paid for the period. You may use this information to compare the
ongoing costs of investing in the Fund and other funds. To do so, compare this
5% hypothetical example with the 5% hypothetical examples that appear in the
shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such as
sales charges (loads), redemption fees, or exchange fees. Therefore, the
"Hypothetical" 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.
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 Period(1) Ratio
California Tax-Free Money Market Fund
- --------------------------------------------------------------------------------------------------------------------------
California Tax-Free Money Market Fund - Class A
Actual $ 1,000.00 $ 1,014.00 $3.30 0.65%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.93 $3.31 0.65%
Government Money Market Fund
- --------------------------------------------------------------------------------------------------------------------------
Government Money Market Fund - Class A
Actual $ 1,000.00 $ 1,022.10 $3.31 0.65%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.93 $3.31 0.65%
Minnesota Money Market Fund
- --------------------------------------------------------------------------------------------------------------------------
Minnesota Money Market Fund - Class A
Actual $ 1,000.00 $ 1,013.50 $4.06 0.80%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.17 $4.08 0.80%
Money Market Fund
- --------------------------------------------------------------------------------------------------------------------------
Money Market Fund - Class A
Actual $ 1,000.00 $ 1,021.70 $3.87 0.76%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.37 $3.87 0.76%
- --------------------------------------------------------------------------------------------------------------------------
Money Market Fund - Class B
Actual $ 1,000.00 $ 1,017.90 $7.68 1.51%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,017.59 $7.68 1.51%
- --------------------------------------------------------------------------------------------------------------------------
Money Market Fund - Investor Class
Actual $ 1,000.00 $ 1,022.30 $3.31 0.65%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.93 $3.31 0.65%
Municipal Money Market Fund
- --------------------------------------------------------------------------------------------------------------------------
Municipal Money Market Fund - Investor Class
Actual $ 1,000.00 $ 1,014.80 $3.25 0.64%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.98 $3.26 0.64%
13
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS FUND EXPENSES (UNAUDITED)
- --------------------------------------------------------------------------------
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 Period(1) Ratio
National Tax-Free Money Market Fund
- --------------------------------------------------------------------------------------------------------------------------
National Tax-Free Money Market Fund - Class A
Actual $ 1,000.00 $ 1,014.30 $3.30 0.65%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.93 $3.31 0.65%
Treasury Plus Money Market Fund
- --------------------------------------------------------------------------------------------------------------------------
Treasury Plus Money Market Fund - Class A
Actual $ 1,000.00 $ 1,021.70 $3.31 0.65%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.93 $3.31 0.65%
100% Treasury Money Market Fund
- --------------------------------------------------------------------------------------------------------------------------
100% Treasury Money Market Fund - Class A
Actual $ 1,000.00 $ 1,020.60 $3.31 0.65%
- --------------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.93 $3.31 0.65%
(1) Expenses are equal to the Fund's annualized expense ratio multiplied by the
average account value over the period, multiplied by the number of days in the
most recent fiscal half-year divided by the number of days in the fiscal year
(to reflect the one-half year period.)
14
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MUNICIPAL BONDS & NOTES - 91.10%
CALIFORNIA - 89.81%
$ 1,330,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA LA
JOLLA COUNTY DAY SCHOOL SERIES A (PRIVATE SCHOOL REVENUE, ALLIED
IRISH BANK PLC LOC)SS.+/- 3.33% 09/01/2036 $ 1,330,000
11,200,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA
MFHR FINE ARTS BUILDING PROJECTS A (HOUSING REVENUE LOC)SS.+/- 3.41 07/15/2035 11,200,000
6,965,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA
MFHR GAIA BUILDING PROJECT SERIES A COLLATERALIZED BY FNMA
(HOUSING REVENUE LOC)SS.+/- 3.41 09/15/2032 6,965,000
10,520,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA
MFHR GENEVA POINTE APARTMENTS A (HOUSING REVENUE LOC)SS.+/- 3.43 03/15/2037 10,520,000
17,000,000 ABN AMRO MUNITOPS CERTIFICATES TRUST 2000-5 (PORT OAKLAND CA
SERIES K) (OTHER REVENUE LOC, FGIC INSURED)SS.+/-++ 3.35 05/07/2008 17,000,000
8,500,000 ABN AMRO MUNITOPS CERTIFICATES TRUST 2006-40 (PROPERTY TAX
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.64 08/01/2013 8,500,000
4,650,000 ADELANTO CA UTILITY SYSTEMS PROJECT SERIES A (OTHER REVENUE,
AMBAC INSURED)SS.+/- 3.45 11/01/2034 4,650,000
8,055,000 AFFORDABLE HOUSING AGENCY CALIFORNIA MFHR WESTRIDGE HILLTOP
SERIES A (HOUSING REVENUE LOC)SS.+/- 3.35 09/15/2033 8,055,000
7,655,000 ALHAMBRA CA USD (PROPERTY TAX REVENUE LOC)SS.+/- 3.44 08/01/2026 7,655,000
5,300,000 ANAHEIM CA HOUSING AUTHORITY SEA WIND APARTMENTS PROJECT SERIES
C COLLATERALIZED BY FNMA (MFHR LOC)SS.+/- 3.43 07/15/2033 5,300,000
8,160,000 ANAHEIM CA PFA LEASE REVENUE FSA INSURED (OTHER REVENUE LOC)SS.+/- 3.45 09/01/2024 8,160,000
6,800,000 AZUSA CA PACIFIC GLEN APARTMENTS PROJECT (MFHR, FNMA INSURED)
SS.+/- 3.31 07/15/2015 6,800,000
2,600,000 BAY AREA CA TOLL AUTHORITY SAN FRANCISCO BAY AREA SERIES C
(STATE & LOCAL GOVERNMENTS, AMBAC INSURED)SS.+/- 3.26 04/01/2025 2,600,000
2,610,000 BAY AREA CA TOLL AUTHORITY SAN FRANCISCO BAY AREA SERIES C (TOLL
ROAD REVENUE, AMBAC INSURED)SS.+/- 3.26 04/01/2045 2,610,000
17,650,000 BIG BEAR LAKE CA INDUSTRIAL REVENUE SOUTHWEST GAS CORPORATION
PROJECT SERIES A (IDR LOC)SS.+/- 3.38 12/01/2028 17,650,000
3,640,000 CALIFORNIA EDUCATIONAL FACILITIES AUTHORITY REVENUE ART CENTER
DESIGN COLLEGE SERIES A ALLIED IRISH BANK PLC LOC (EDUCATIONAL
FACILITIES REVENUE LOC)SS.+/- 3.30 12/01/2032 3,640,000
2,520,000 CALIFORNIA EDUCATIONAL FACILITIES AUTHORITY REVENUE CERTIFICATES
SERIES 113 GENERAL OBLIGATION OF UNIVERSITY (EDUCATIONAL
FACILITIES REVENUE LOC)SS.+/- 3.41 12/01/2027 2,520,000
7,990,000 CALIFORNIA EDUCATIONAL FACILITIES AUTHORITY REVENUE SANTA CLARA
UNIVERSITY SERIES B MBIA INSURED (EDUCATIONAL FACILITIES REVENUE
LOC)SS.+/- 3.30 02/01/2032 7,990,000
10,000,000 CALIFORNIA HFA HOME MORTGAGE SERIES F (HOUSING REVENUE, FORTIS
BANQUE LOC)SS.+/- 3.59 08/01/2040 10,000,000
16,800,000 CALIFORNIA HFA HOME MORTGAGE SERIES F (OTHER REVENUE, LLOYDS
BANK LOC)SS.+/- 3.39 02/01/2037 16,800,000
15,000,000 CALIFORNIA HFA HOME MORTGAGE SERIES X2 (HOUSING REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.43 08/01/2031 15,000,000
44,300,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES E1 (HOUSING REVENUE
LOC)SS.+/- 3.39 02/01/2023 44,300,000
1,050,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES E2 (HOUSING
REVENUE)SS.+/- 3.39 02/01/2035 1,050,000
9,900,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES F (HOUSING REVENUE
LOC)SS.+/- 3.37 02/01/2032 9,900,000
30,000,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES F (HOUSING REVENUE)
SS.+/- 3.39 02/01/2038 30,000,000
12,265,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES F FSA INSURED
(HOUSING REVENUE LOC)SS.+/- 3.39 02/01/2034 12,265,000
4,500,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES U (HOUSING REVENUE
LOC)SS.+/- 3.45 02/01/2017 4,500,000
5,360,000 CALIFORNIA HFA REVENUE HOUSING PROGRAM SERIES A (HOUSING REVENUE
LOC)SS.+/- 3.39 08/01/2036 5,360,000
15,690,000 CALIFORNIA ADVENTIST HEALTH SYSTEMS SERIES A (HFFA REVENUE,
WACHOVIA BANK NA LOC)SS.+/- 3.55 09/01/2025 15,690,000
11,795,000 CALIFORNIA ADVENTIST HEALTH SYSTEMS SERIES B (HFFA REVENUE,
WACHOVIA BANK NA LOC)SS.+/- 3.55 09/01/2025 11,795,000
3,995,000 CALIFORNIA SERIES A (HFFA REVENUE LOC, MBIA INSURED)SS.+/- 3.50 09/01/2028 3,995,000
14,275,000 CALIFORNIA HOME MORTGAGE SERIES F (HOUSING REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.39 02/01/2022 14,275,000
15
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 2,025,000 CALIFORNIA INFRASTRUCTURE & ECONOMIC DEVELOPMENT BANK IDR FISH
HOUSE FOODS INCORPORATED PROJECT (ECONOMIC DEVELOPMENT REVENUE,
COMERICA BANK CA LOC)SS.+/- 3.45% 09/01/2024 $ 2,025,000
6,150,000 CALIFORNIA INFRASTRUCTURE & ECONOMIC DEVELOPMENT REVENUE SAN
FRANCISCO BALLET ASSOCIATION (ECONOMIC DEVELOPMENT REVENUE LOC)
SS.+/- 3.32 07/01/2032 6,150,000
5,045,000 CALIFORNIA INFRASTRUCTURE & ECONOMIC DEVELOPMENT REVENUE
SOUTHERN CA PUBLIC RADIO PROJECT (OTHER REVENUE, ALLIED IRISH
BANK PLC LOC)SS.+/- 3.45 09/01/2025 5,045,000
3,400,000 CALIFORNIA PCFA WADHAM ENERGY (PCR LOC)SS.+/- 3.45 11/01/2017 3,400,000
5,000,000 CALIFORNIA PCFA ENVIRONMENTAL IMPROVEMENT REVENUE (IDR LOC)SS.+/- 3.42 09/01/2017 5,000,000
17,715,000 CALIFORNIA SCHOOL CASH RESERVE PROGRAM COP SERIES A (GO - SCHOOL
DISTRICTS) 4.50 07/06/2007 17,859,403
3,610,000 CALIFORNIA SCHOOL FACILITIES FINANCING CORPORATE COP IMPORTANT
FINANCING PROJECT SERIES C (LEASE REVENUE LOC)SS.+/- 3.30 07/01/2022 3,610,000
43,490,000 CALIFORNIA SERIES H (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.27 07/01/2035 43,490,000
43,965,000 CALIFORNIA SERIES J (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.27 07/01/2033 43,965,000
7,200,000 CALIFORNIA SERIES K (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.30 07/01/2033 7,200,000
5,285,000 CALIFORNIA STATE (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 03/01/2024 5,285,000
16,275,000 CALIFORNIA STATE DAILY KINDERGARTEN UNIVERSITY SERIES B2
(PROPERTY TAX REVENUE, CITIBANK NA LOC)SS.+/- 3.50 05/01/2034 16,275,000
4,410,000 CALIFORNIA STATE DAILY KINDERGARTEN UNIVERSITY SERIES B3
(PROPERTY TAX REVENUE, CITIBANK NA LOC)SS.+/- 3.46 12/01/2032 4,410,000
23,985,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES B1 (POWER
REVENUE)SS.+/- 3.50 05/01/2022 23,985,000
51,805,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C1 (POWER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.30 05/01/2022 51,805,000
8,925,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C11 (POWER
REVENUE, KBC BANK NV LOC)SS.+/- 3.27 05/01/2022 8,925,000
9,350,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C15 (POWER
REVENUE, BANK OF NOVA SCOTIA LOC)SS.+/- 3.30 05/01/2022 9,350,000
17,620,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C3 (ELECTRIC
REVENUE LOC, AMBAC INSURED)SS.+/- 3.30 05/01/2022 17,620,000
28,650,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C4 (POWER
REVENUE, JPMORGAN LOC)SS.+/- 3.29 05/01/2022 28,650,000
5,965,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C9 (ELECTRIC
REVENUE LOC)SS.+/- 3.27 05/01/2022 5,965,000
7,200,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G1 (WATER
REVENUE)SS.+/- 3.30 05/01/2011 7,200,000
33,485,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G13 (WATER
REVENUE)SS.+/- 3.33 05/01/2018 33,485,000
21,025,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G5 (WATER
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.25 05/01/2016 21,025,000
38,535,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G6 (WATER
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.30 05/01/2017 38,535,000
20,250,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G7 (WATER
REVENUE)SS.+/- 3.27 05/01/2017 20,250,000
5,735,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G8 (WATER
REVENUE, MBIA INSURED)SS.+/- 3.38 05/01/2018 5,735,000
16,700,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G9 (WATER
REVENUE)SS.+/- 3.30 05/01/2018 16,700,000
3,490,000 CALIFORNIA STATE DWR WATER REVENUE (WATER REVENUE LOC)SS.+/- 3.44 12/01/2012 3,490,000
4,200,000 CALIFORNIA STATE ECONOMIC DEVELOPMENT FINANCING AUTHORITY SERRA
MICROCHASSIS PROJECT (IDR, US BANK NA LOC)SS.+/- 3.55 08/01/2027 4,200,000
13,870,000 CALIFORNIA STATE ECONOMIC RECOVERY PUTTERS SERIES 446 (ECONOMIC
DEVELOPMENT REVENUE LOC)SS.+/- 3.44 01/01/2012 13,870,000
17,815,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C10 (SALES TAX REVENUE
LOC)SS.+/- 3.32 07/01/2023 17,815,000
12,950,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C11 (SALES TAX REVENUE
LOC)SS.+/- 3.30 07/01/2023 12,950,000
16
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 10,245,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C9 (SALES TAX
REVENUE, BANK OF NOVA SCOTIA)SS.+/- 3.50% 07/01/2023 $ 10,245,000
9,370,000 CALIFORNIA STATE MUNICIPAL SECURITIES TRUST RECEIPTS SERIES
JPMC3 (OTHER REVENUE LOC)SS.+/- 3.55 06/01/2013 9,370,000
15,705,000 CALIFORNIA STATE PUBLIC WORKS BOARD CERTIFICATES SERIES D (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.41 12/01/2019 15,705,000
4,880,000 CALIFORNIA STATE PUBLIC WORKS BOARD LEASE REVENUE (COLLEGE &
UNIVERSITY REVENUE LOC)SS.+/- 3.44 11/01/2012 4,880,000
4,700,000 CALIFORNIA STATE PUTTERS SERIES 142 (GO - STATES, TERRITORIES
LOC, FGIC INSURED)SS.+/- 3.44 12/01/2029 4,700,000
5,540,000 CALIFORNIA STATE RESOURCE RECOVERY RR II R 6013 (SALES TAX
REVENUE, FGIC INSURED)SS.+/- 3.44 07/01/2014 5,540,000
5,900,000 CALIFORNIA STATE SERIES 1320 (COLLEGE & UNIVERSITY REVENUE,
AMBAC INSURED)SS.+/- 3.44 11/01/2026 5,900,000
7,000,000 CALIFORNIA STATE SERIES A SUBSERIES A3 (OTHER REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.37 05/01/2040 7,000,000
37,085,000 CALIFORNIA STATE SERIES B3 (GO - STATES, TERRITORIES LOC)SS.+/- 3.32 05/01/2033 37,085,000
6,051,000 CALIFORNIA STATE WEEKLY KINDERGARTEN UNIVERSITY PUBLIC A-6
(PROPERTY TAX REVENUE LOC)SS.+/- 3.30 05/01/2034 6,051,000
5,800,000 CALIFORNIA STATE WEEKLY KINDERGARTEN UNIVERSITY PUBLIC B-4
(PROPERTY TAX REVENUE LOC)SS.+/- 3.30 05/01/2034 5,800,000
46,675,000 CALIFORNIA STATE WEEKLY KINDERGARTEN UNIVERSITY PUBLIC B-5
(PROPERTY TAX REVENUE LOC)SS.+/- 3.27 05/01/2034 46,675,000
2,155,000 CALIFORNIA STATEWIDE CDA AEGIS MORAGA PROJECT C (MFHR, FNMA
INSURED)SS.+/- 3.40 07/01/2027 2,155,000
6,270,000 CALIFORNIA STATEWIDE CDA AEGIS PLEASANT HILL SERIES H (MFHR)SS.+/- 3.43 07/01/2027 6,270,000
2,505,000 CALIFORNIA STATEWIDE CDA GRANDE APARTMENTS SERIES TT (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.47 12/15/2034 2,505,000
8,500,000 CALIFORNIA STATEWIDE CDA HORIZONS INDIO SERIES F (HOUSING
REVENUE, CITIBANK NA LOC)SS.+/- 3.46 07/01/2038 8,500,000
5,580,000 CALIFORNIA STATEWIDE CDA LA PUENTE APARTMENTS SERIES JJ (MFHR, US
BANK NA LOC)SS.+/- 3.55 11/01/2031 5,580,000
18,110,000 CALIFORNIA STATEWIDE CDA LIVERMORE VY ARTS CENTER PROJECT (OTHER
REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.27 12/01/2036 18,110,000
5,500,000 CALIFORNIA STATEWIDE CDA MFHR ARBOR RIDGE APARTMENTS SERIES X
FNMA INSURED (HOUSING REVENUE LOC)SS.+/- 3.32 11/15/2036 5,500,000
10,000,000 CALIFORNIA STATEWIDE CDA MFHR BELMONT PROJECT SERIES F (MFHR
LOC)SS.+/- 3.43 06/15/2038 10,000,000
15,090,000 CALIFORNIA STATEWIDE CDA MFHR BYRON PARK PROJECT CSS.+/- 3.46 01/20/2031 15,090,000
2,900,000 CALIFORNIA STATEWIDE CDA MFHR GLEN HAVEN APARTMENTS SERIES AA
(HOUSING REVENUE LOC)SS.+/- 3.48 12/01/2011 2,900,000
3,985,000 CALIFORNIA STATEWIDE CDA MFHR GRANITE OAKS APARTMENTS SERIES R
COLLATERALIZED BY FNMA (MFHR LOC)SS.+/- 3.43 10/15/2030 3,985,000
7,060,000 CALIFORNIA STATEWIDE CDA MFHR LORENA TERRACE SERIES DDD
(CITIBANK LOC)SS.+/- 3.46 12/01/2036 7,060,000
8,640,000 CALIFORNIA STATEWIDE CDA OLYMPUS PARK APARTMENTS SERIES Y (MFHR,
FNMA INSURED)SS.+/- 3.43 10/15/2030 8,640,000
15,555,000 CALIFORNIA STATEWIDE CDA PROSPECT SIERRA SCHOOL (OTHER REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.30 09/01/2036 15,555,000
21,500,000 CALIFORNIA STATEWIDE CDA SERIES A1 (OTHER REVENUE) 4.50 06/29/2007 21,655,749
21,500,000 CALIFORNIA STATEWIDE CDA SERIES A4 RIVERSIDE COUNTY (OTHER
REVENUE) 4.50 06/29/2007 21,660,976
4,250,000 CALIFORNIA STATEWIDE CDA STONERIDGE ELK GROVE SERIES Q (HOUSING
REVENUE, CITIBANK NA LOC)SS.+/- 3.46 10/01/2038 4,250,000
16,065,000 CAMARILLO CA MFHR HACIENDA DE CAMARILLO PROJECT COLLATERALIZED
BY FNMA (MFHR LOC)SS.+/- 3.43 10/15/2026 16,065,000
17
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 3,290,000 CARSON CA REDEVELOPMENT AGENCY SERIES 2076 MBIA INSURED (TAX
INCREMENTAL REVENUE LOC)SS.+/- 3.44% 10/01/2019 $ 3,290,000
5,185,000 COACHELLA VALLEY CA UNIVERSITY SCHOOL FUNDING PROJECT 2006
(EDUCATIONAL FACILITIES REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.42 09/01/2036 5,185,000
5,100,000 COLTON CA REDEVELOPMENT AGENCY COP LAS PALOMAS ASSOCIATION
PROJECT CITY NATIONAL BANK LOC (IDR LOC)SS.+/- 3.30 11/01/2015 5,100,000
2,100,000 CONCORD CA MFHR (OTHER REVENUE LOC)SS.+/- 3.37 12/01/2016 2,100,000
16,790,000 CONTRA COSTA COUNTY CA HOME MORTGAGE REVENUE CERTIFICATES SERIES
A (HOUSING REVENUE LOC)SS.+/- 3.45 12/01/2015 16,790,000
9,030,000 CONTRA COSTA COUNTY CA LAFAYETTE TOWN CENTER APARTMENTS SERIES I
(MFHR, FNMA INSURED)SS.+/- 3.43 07/15/2032 9,030,000
2,000,000 CONTRA COSTA COUNTY CA MFHR (HOUSING REVENUE LOC)SS.+/- 3.37 10/15/2033 2,000,000
7,200,000 CONTRA COSTA COUNTY CA MFHR DELTA SQUARE APARTMENTS PROJECT
SERIES H COLLATERALIZED BY FNMA (MFHR LOC)SS.+/- 3.35 10/15/2029 7,200,000
2,000,000 CONTRA COSTA COUNTY CA MFHR SERIES B COLLATERALIZED BY FNMA
REMARKETED 09/28/94 (MFHR LOC)SS.+/- 3.34 11/15/2022 2,000,000
3,855,000 CORONA CA COP (LEASE REVENUE, MBIA INSURED)SS.+/- 3.44 03/01/2011 3,855,000
4,000,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES SERIES 970503 (CALIFORNIA
STATE PUBLIC WORKS BOARD LEASE REVENUE SERIES C) AMBAC INSURED
(LEASE REVENUE LOC)SS.+/- 3.45 09/01/2017 4,000,000
6,355,000 EAST BAY CA MUNICIPAL UTILITY DISTRICT WATER SYSTEM REVENUE
(WATER & WASTEWATER AUTHORITY REVENUE LOC)SS.+/- 3.44 06/01/2020 6,355,000
5,000,000 FREMONT CA TREETOPS APARTMENTS SERIES A (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.43 08/15/2026 5,000,000
3,500,000 FREMONT CA USD COP (OTHER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.38 09/01/2030 3,500,000
11,150,000 FRESNO CA SEWER REVENUE SUBORDINATE LIEN SERIES A (SEWER REVENUE
LOC)SS.+/- 3.30 09/01/2025 11,150,000
4,800,000 GOLDEN WEST CA SCHOOLS CA FINANCING AUTHORITY (PROPERTY TAX
REVENUE, FGIC INSURED)SS.+/- 3.44 09/01/2024 4,800,000
4,000,000 HAYWARD CA MFHR SHOREWOOD SERIES A FGIC INSURED REMARKETED
03/17/94 (MFHR LOC)SS.+/- 3.38 07/15/2014 4,000,000
6,450,000 HAYWARD CA MFHR TENNYSON GARDENS APARTMENTS PROJECT SERIES A US
BANK NA LOC (HOUSING REVENUE LOC)SS.+/- 3.55 08/01/2032 6,450,000
1,000,000 HEMET CA MFHR SUNWEST RETIREMENT SERIES A COLLATERALIZED BY
FHLMC (MFHR LOC)SS.+/- 3.35 01/01/2025 1,000,000
13,085,000 HILLSBOROUGH CA COP WATER & SEWER SYSTEMS PROJECTS SERIES A
(PROPERTY TAX REVENUE, JPMORGAN CHASE BANK LOC)SS.+/- 3.32 06/01/2033 13,085,000
5,500,000 LANCASTER CA REDEVELOPMENT AGENCY MFHR 20TH STREET APARTMENTS
PROJECT SERIES C (HOUSING REVENUE LOC)SS.+/- 3.35 12/01/2026 5,500,000
4,720,000 LONG BEACH CA (HARBOR DEPARTMENT REVENUE, FGIC INSURED)SS.+/- 3.46 05/15/2017 4,720,000
11,640,000 LONG BEACH CA COMMUNITY COLLEGE DISTRICT SERIES 1399 (PROPERTY
TAX REVENUE, FGIC INSURED)SS.+/- 3.41 05/01/2030 11,640,000
7,490,000 LONG BEACH CA HARBOR REVENUE (OTHER REVENUE LOC)SS.+/- 3.46 05/15/2020 7,490,000
2,560,000 LONG BEACH CA HARBOR REVENUE FLOATS PT 2756 (AIRPORT REVENUE
LOC)SS.+/- 3.46 05/15/2025 2,560,000
2,800,000 LONG BEACH CA HARBOR REVENUE P-FLOATS-PA 651 (AIRPORT REVENUE
LOC)SS.+/- 3.46 05/15/2019 2,800,000
2,135,000 LONG BEACH CA HARBOR REVENUE SERIES 418 (AIRPORT REVENUE LOC,
FGIC INSURED)SS.+/- 3.44 05/15/2020 2,135,000
3,850,000 LOS ANGELES CA COMMUNITY RDA (LEASE REVENUE, AMBAC INSURED)SS.+/- 3.44 09/01/2030 3,850,000
3,325,000 LOS ANGELES CA COMMUNITY REDEVELOPMENT AGENCY MFHR (HOUSING
REVENUE LOC)SS.+/- 3.30 04/01/2030 3,325,000
14,690,000 LOS ANGELES CA COMMUNITY REDEVELOPMENT AGENCY MFHR WILSHIRE
STATION APARTMENTS SERIES A (HOUSING REVENUE LOC)SS.+/- 3.57 10/15/2038 14,690,000
18
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 6,725,000 LOS ANGELES CA CONVENTION & EXHIBIT CENTER AUTHORITY SERIES E
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.37% 08/15/2021 $ 6,725,000
2,000,000 LOS ANGELES CA DEPARTMENT OF AIRPORTS LOS ANGELES INTERNATIONAL
AIRPORT SERIES C1 (AIRPORT REVENUE, BANQUE NATIONALE PARIS LOC)
SS.+/- 3.30 05/15/2020 2,000,000
6,995,000 LOS ANGELES CA HARBOR DEPARTMENT REVENUE TRANSPORTATION RECEIPTS
CLASS F SERIES 7 MBIA INSURED (HARBOR DEPARTMENT REVENUE LOC)
SS.+/- 3.43 11/01/2026 6,995,000
5,300,000 LOS ANGELES CA MFHR MASSELIN MANOR HOUSING PROJECT BANK OF
AMERICA NT & SA LOC (MFHR LOC)SS.+/- 3.32 07/01/2015 5,300,000
16,000,000 LOS ANGELES CA POWER SYSTEM SUBSERIES A2 (POWER REVENUE, US BANK
NA LOC)SS.+/- 3.27 07/01/2035 16,000,000
8,875,000 LOS ANGELES CA POWER SYSTEM SUBSERIES A3 (POWER REVENUE)SS.+/- 3.27 07/01/2035 8,875,000
19,095,000 LOS ANGELES CA POWER SYSTEM SUBSERIES A6 (UTILITIES REVENUE)SS.+/- 3.27 07/01/2035 19,095,000
4,520,000 LOS ANGELES CA SANITATION EQUIPMENT PROJECT 3343 (OTHER REVENUE,
FGIC INSURED)SS.+/- 3.44 02/01/2019 4,520,000
14,930,000 LOS ANGELES CA SERIES 1400 (SEWER REVENUE, MBIA INSURED)SS.+/- 3.41 06/01/2026 14,930,000
12,230,000 LOS ANGELES CA SERIES 184 (WATER REVENUE, FIRST SECURITY BANK
LOC)SS.+/- 3.44 01/01/2009 12,230,000
7,650,000 LOS ANGELES CA SUBSERIES A7 (WATER REVENUE)SS.+/- 3.27 07/01/2035 7,650,000
38,630,000 LOS ANGELES CA SUBSERIES B1 (WATER REVENUE, DEXIA CREDIT LOCAL
DE FRANCE LOC)SS.+/- 3.32 07/01/2035 38,630,000
25,825,000 LOS ANGELES CA TRAN (PROPERTY TAX REVENUE) 4.50 06/29/2007 25,981,129
7,320,000 LOS ANGELES CA USD (PROPERTY TAX REVENUE, FIRST SECURITY BANK
LOC)SS.+/- 3.44 01/01/2011 7,320,000
6,155,000 LOS ANGELES CA USD (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 01/01/2010 6,155,000
3,985,000 LOS ANGELES CA USD (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 07/01/2022 3,985,000
4,970,000 LOS ANGELES CA USD MERLOTS SERIES B12 (GO - SCHOOL DISTRICTS
LOC)SS.+/- 3.44 01/01/2027 4,970,000
17,650,000 LOS ANGELES CA USD TRAN SERIES A (OTHER REVENUE) 4.25 10/18/2006 17,661,998
5,995,000 LOS ANGELES CA WATER & POWER REVENUE SERIES 182 FSA INSURED
(WATER REVENUE LOC)SS.+/- 3.44 01/01/2009 5,995,000
31,900,000 LOS ANGELES COUNTY CA HOUSING AUTHORITY MFHR BONDS (HOUSING
REVENUE LOC)SS.+/- 3.60 09/01/2030 31,900,000
15,075,000 LOS ANGELES COUNTY CA HOUSING AUTHORITY MFHR MALIBU CANYON
APARTMENTS-B (HOUSING REVENUE LOC)SS.+/- 3.49 06/01/2010 15,075,000
6,700,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA SERIES B1 (WATER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.27 07/01/2020 6,700,000
5,625,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA WATERWORKS
REVENUE SERIES B4 (WATER REVENUE, NATIONSBANK NA LOC)SS.+/- 3.25 07/01/2035 5,625,000
27,670,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA WATERWORKS
REVENUE SERIES C (WATER REVENUE LOC)SS.+/- 3.44 07/01/2027 27,670,000
10,000,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA SERIES B2 (WATER
REVENUE LOC)SS.+/- 3.27 07/01/2020 10,000,000
9,800,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA WATERWORKS
REVENUE SERIES C2 (WATER REVENUE LOC)SS.+/- 3.27 07/01/2030 9,800,000
58,105,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA WATERWORKS
REVENUE SERIES C3 (WATER REVENUE LOC)SS.+/- 3.25 07/01/2030 58,105,000
11,100,000 MODESTO CA IRRIGATION DISTRICT FINANCING AUTHORITY REVENUE
SERIES SG 66 (ELECTRIC REVENUE LOC, MBIA INSURED)SS.+/- 3.43 10/01/2015 11,100,000
5,995,000 MODESTO CA PFA LEASE REVENUE SERIES 354 AMBAC INSURED (LEASE
REVENUE LOC)SS.+/- 3.41 09/01/2029 5,995,000
9,500,000 MSR PUBLIC POWER AGENCY CALIFORNIA SAN JUAN PROJECT (OTHER
REVENUE,MBIA INSURED)SS.+/- 3.44 07/01/2017 9,500,000
6,350,000 MSR PUBLIC POWER AGENCY CALIFORNIA SAN JUAN PROJECT REVENUE
SUBORDINATE LIEN SERIES B (POWER REVENUE LOC)SS.+/- 3.27 07/01/2022 6,350,000
24,200,000 MT. DIABLO CA USD (PROPERTY TAX REVENUE) 4.25 10/27/2006 24,246,151
5,280,000 NORTHERN CALIFORNIA TRANSMISSION AGENCY SERIES A (UTILITIES
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.30 05/01/2024 5,280,000
3,340,000 OAKLAND CA JT POWERS FINANCING AUTHORITY FRUITVALE TRANSIT
SERIES B (POWER REVENUE LOC)SS.+/- 3.27 07/01/2033 3,340,000
19
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 16,000,000 OAKLAND CA JT POWERS FINANCING AUTHORITY REVENUE SERIES A
(HOUSING REVENUE LOC)SS.+/- 3.27% 07/01/2033 $ 16,000,000
8,625,000 OAKLAND CA SEWER REVENUE (SEWER REVENUE LOC)SS.+/- 3.44 06/15/2021 8,625,000
10,762,000 OAKLAND-ALAMEDA COUNTY CA COLISEUM AUTHORITY LEASE REVENUE
SERIES C1 (LEASE REVENUE LOC)SS.+/- 3.35 02/01/2025 10,762,000
26,155,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT BLUFFS APARTMENT PROJECT
SERIES C (HOUSING REVENUE, FHLMC INSURED)SS.+/- 3.35 12/01/2029 26,155,000
6,375,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT NIGUEL SUMMIT 1 SERIES A
(HOUSING REVENUE)SS.+/- 3.49 11/01/2009 6,375,000
4,000,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT REVENUE PARK RIDGE VILLAS
PROJECT FNMA LOC (HOUSING REVENUE LOC)SS.+/- 3.35 11/15/2028 4,000,000
9,000,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT REVENUE SERIES A PUTTABLE
FHLMC LOC (HOUSING REVENUE LOC)SS.+/- 3.35 12/01/2006 9,000,000
9,449,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT REVENUE SERIES D HARBOR
POINTE PROJECT FHLMC LOC (HOUSING REVENUE LOC)SS.+/- 3.35 12/01/2022 9,449,000
500,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT REVENUE SERIES G3
(HOUSING REVENUE LOC)SS.+/- 3.35 11/15/2028 500,000
2,302,500 ORANGE COUNTY CA SANITATION DISTRICT COP FLOATERS-SERIES 1032
(SEWER REVENUE LOC)SS.+/- 3.41 02/01/2033 2,302,500
4,260,000 ORANGE COUNTY CA SPECIAL FINANCING AUTHORITY TEETER PLAN REVENUE
SERIES 1995D AMBAC INSURED (PROPERTY TAX REVENUE LOC)SS.+/- 3.38 11/01/2014 4,260,000
17,000,000 ORANGE COUNTY CA SPECIAL FINANCING AUTHORITY TEETER PLAN REVENUE
SERIES E AMBAC INSURED (PROPERTY TAX REVENUE LOC)SS.+/- 3.38 11/01/2014 17,000,000
20,515,000 ORANGE COUNTY CA WATER DISTRICT SERIES A (WATER REVENUE, LLOYDS
TSB BANK PLC LOC)SS.+/- 3.25 08/01/2042 20,515,000
6,600,000 OXNARD CA FINANCING AUTHORITY SERIES B (LEASE REVENUE, AMBAC
INSURED)SS.+/- 3.38 06/01/2033 6,600,000
12,680,000 PARAMOUNT CA USD COP (LEASE REVENUE, FIRST SECURITY BANK LOC)
SS.+/- 3.27 09/01/2031 12,680,000
9,515,000 PASADENA CA COMMUNITY DEVELOPMENT COMMISSION HOLLY STREET
APARTMENTS SERIES A (HOUSING REVENUE, FNMA INSURED)SS.+/- 3.32 12/15/2033 9,515,000
7,845,000 PERRIS CA UNIFIED HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE
LOC)SS.+/- 3.44 09/01/2024 7,845,000
5,435,000 PERRIS CA UNIFIED HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE
LOC)SS.+/- 3.44 09/01/2026 5,435,000
8,550,000 PITTSBURG CA RDA TAX ALLOCATION LOS MEDANOS COMMUNITY SERIES A
(TAX ALLOCATION REVENUE LOC)SS.+/- 3.45 09/01/2035 8,550,000
5,480,000 PLACENTIA-YORBA LINDA CA USD SERIES 896 (PROPERTY TAX REVENUE,
MBIA INSURED)SS.+/- 3.44 02/01/2013 5,480,000
4,895,000 PORT OF OAKLAND CA (AIRPORT REVENUE, FGIC INSURED)SS.+/- 3.46 05/01/2008 4,895,000
7,285,000 PORT OF OAKLAND CA TRANSPORTATION REVENUE MBIA INSURED
(TRANSPORTATION REVENUE LOC)SS.+/- 3.46 05/01/2010 7,285,000
5,455,000 PORT OF OAKLAND CA TRANSPORTATION REVENUE SERIES K (AIRPORT
REVENUE LOC, FGIC INSURED)SS.+/- 3.43 11/01/2021 5,455,000
4,245,000 POWAY CA REDEVELOPMENT AGENCY TAX ALLOCATION REVENUE SERIES R
2046 MBIA INSURED (TAX ALLOCATION REVENUE LOC)SS.+/- 3.44 06/15/2020 4,245,000
5,100,000 POWAY CA USD (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 08/01/2008 5,100,000
8,000,000 POWAY CA USD COP (LEASE REVENUE LOC)SS.+/- 3.27 06/01/2029 8,000,000
5,305,000 REDLANDS CA USD PROJECT 1891 (PROPERTY TAX REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.44 01/01/2011 5,305,000
8,900,000 REDONDO BEACH CA AGENCY MFHR (HOUSING REVENUE LOC)SS.+/- 3.35 10/15/2034 8,900,000
2,545,000 REDONDO BEACH CA PFA TAX ALLOCATION REVENUE AVIATION HIGH
REDEVELOPMENT PROJECT ALLIED IRISH BANK PLC LOC (PROPERTY TAX
REVENUE LOC)SS.+/- 3.32 07/01/2030 2,545,000
2,270,000 RIVERSIDE COUNTY CA COMMUNITY FACILITIES DISTRICT SERIES 88-4
(SPECIAL TAX REVENUE LOC, KBC BANK LOC)SS.+/- 3.33 09/01/2014 2,270,000
20
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 3,600,000 RIVERSIDE COUNTY CA IDA IDR CRYOGENIC PROJECT ISSUE B (IDR LOC)
SS.+/- 3.39% 07/05/2014 $ 3,600,000
8,300,000 ROARING FORK MUNICIPAL PRODUCTS LLC CLASS A (SACRAMENTO COUNTY
CA SANITATION DISTRICT FINANCING AUTHORITY) (SEWER REVENUE, FGIC
INSURED)SS.+/- 3.40 12/01/2025 8,300,000
7,000,000 SACRAMENTO CA HOUSING AUTHORITY SHENANDOAH APARTMENTS SERIES F
(HOUSING REVENUE, FNMA INSURED)SS.+/- 3.43 09/15/2036 7,000,000
24,700,000 SACRAMENTO CA USD COP FSA INSURED (GO - SCHOOL DISTRICTS LOC)
SS.+/- 3.32 03/01/2031 24,700,000
7,000,000 SACRAMENTO COUNTY CA HFA MFHR ARLINGTON CREEK APARTMENT SERIES I
(HOUSING REVENUE LOC)SS.+/- 3.43 05/15/2034 7,000,000
6,300,000 SACRAMENTO COUNTY CA HFA MFHR HIDDEN OAKS APARTMENTS PROJECT
SERIES C COLLATERALIZED BY FNMA (HOUSING REVENUE LOC)SS.+/- 3.43 05/15/2029 6,300,000
5,000,000 SACRAMENTO COUNTY CA HOUSING AUTHORITY (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.35 07/15/2029 5,000,000
6,000,000 SACRAMENTO COUNTY CA HOUSING AUTHORITY MFHR NORMANDY PARK
APARTMENTS SERIES A (HOUSING REVENUE LOC)SS.+/- 3.43 02/15/2033 6,000,000
7,750,000 SACRAMENTO COUNTY CA SANITATION DISTRICT FINANCING AUTHORITY
CLASS A (SEWER REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2035 7,750,000
6,280,000 SAN BERNARDINO CA COMMUNITY COLLEGE DISTRICT FLOATS 1850
(PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 02/01/2011 6,280,000
6,115,000 SAN BERNARDINO COUNTY CA MFHR GREEN VALLEY APARTMENTS PROJECT
SERIES A COLLATERALIZED BY FNMA (HOUSING REVENUE LOC)SS.+/- 3.35 05/15/2029 6,115,000
5,600,000 SAN BERNARDINO COUNTY CA MFHR SYCAMORE TERRACE PROJECT SERIES A
COLLATERALIZED BY FNMA (HOUSING REVENUE LOC)SS.+/- 3.35 05/15/2029 5,600,000
1,670,000 SAN DIEGO CA (WATER REVENUE, FGIC INSURED)SS.+/- 3.44 08/01/2024 1,670,000
43,000,000 SAN DIEGO CA COUNTY & SCHOOL DISTRICT TRAN SERIES A (OTHER
REVENUE) 4.50 07/27/2007 43,298,214
10,750,000 SAN DIEGO CA COUNTY & SCHOOL DISTRICT TRAN SERIES B (PROPERTY
TAX REVENUE) 4.50 07/27/2007 10,822,735
14,825,000 SAN DIEGO CA HFA MFHR STRATTON APARTMENTS PROJECT SERIES A
COLLATERALIZED BY FNMA (HOUSING REVENUE LOC)SS.+/- 3.43 01/15/2033 14,825,000
5,310,000 SAN DIEGO CA HOUSING AUTHORITY MFHR HILLSIDE GARDEN APARTMENTS
SERIES B (HOUSING REVENUE LOC)SS.+/- 3.43 01/15/2035 5,310,000
30,820,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS A
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 30,820,000
7,415,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS B
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 7,415,000
52,435,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS C
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 52,435,000
19,130,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY SEWER REVENUE
SERIES SG 130 (WATER & SEWER REVENUE LOC)SS.+/- 3.43 05/15/2029 19,130,000
6,215,000 SAN DIEGO CA USD SERIES 758 (EDUCATIONAL FACILITIES REVENUE
LOC)SS.+/- 3.41 07/01/2027 6,215,000
11,580,000 SAN DIEGO CA USD SERIES PA 804 (EDUCATIONAL FACILITIES REVENUE
LOC)SS.+/- 3.44 07/01/2022 11,580,000
25,000,000 SAN DIEGO CA USD TRAN SERIES A (PROPERTY TAX REVENUE) 4.50 07/24/2007 25,171,868
3,957,500 SAN DIEGO COUNTY CA WATER AUTHORITY COP SERIES I (WATER
REVENUE, MBIA INSURED)SS.+/- 3.42 11/01/2010 3,957,500
10,670,000 SAN FRANCISCO CA CITY & COUNTY PUBLIC UTILITIES COMMISSION FOR
CLEAN WATER MERLOTS SERIES B20 MBIA INSURED (WATER & SEWER
REVENUE LOC)SS.+/- 3.44 10/01/2022 10,670,000
1,400,000 SAN FRANCISCO CA CITY & COUNTY RDA ANTONIA MANOR APARTMENTS
(HOUSING REVENUE, CITIBANK NA LOC)SS.+/- 3.36 12/01/2033 1,400,000
8,000,000 SAN FRANCISCO CA CITY & COUNTY RDA COMMUNITY FACILITIES DISTRICT
HUNTERS POINT SERIES A (TAX REVENUE, KBC BANK NV LOC)SS.+/- 3.33 08/01/2036 8,000,000
6,555,000 SAN JOSE CA CINNABAR COMMONS SERIES C (HOUSING REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.32 02/01/2037 6,555,000
8,100,000 SAN JOSE CA REDEVELOPMENT AGENCY TAX ALLOCATIONSS.+/- 3.42 08/01/2035 8,100,000
21
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 2,580,000 SAN JOSE CA REDEVELOPMENT AGENCY TAX ALLOCATION (TAX INCREMENTAL
REVENUE LOC)SS.+/- 3.44% 08/01/2011 $ 2,580,000
6,857,500 SAN JOSE CA UNION SCHOOL DISTRICT SANTA CLARA COUNTY FLOATERS
SERIES 761 FSA INSURED (PROPERTY TAX REVENUE LOC)SS.+/- 3.41 08/01/2027 6,857,500
2,200,000 SAN LEANDRO CA MFHR HAAS AVENUE APARTMENTS SERIES B PUTTABLE
(SECURITY PACIFIC NATIONAL LOC)SS.+/- 3.30 10/01/2007 2,200,000
8,750,000 SAN MARCOS CA PFA (TAX INCREMENTAL REVENUE, AMBAC INSURED)SS.+/- 3.45 08/01/2038 8,750,000
6,510,000 SAN MARCOS CA PFA TAX ALLOCATION REVENUE SERIES 1161 FGIC
INSURED (TAX INCREMENTAL REVENUE LOC)SS.+/- 3.44 02/01/2011 6,510,000
6,510,000 SAN MARCOS CA PFA TAX ALLOCATION REVENUE SERIES 1178 FGIC
INSURED (TAX INCREMENTAL REVENUE LOC)SS.+/- 3.44 08/01/2011 6,510,000
5,900,000 SANTA CLARA COUNTY CA MFHR BENTON PARK CENTER APARTMENTS PROJECT
SERIES A COLLATERALIZED BY FNMA (MFHR LOC)SS.+/- 3.35 12/15/2025 5,900,000
11,400,000 SANTA CLARA COUNTY CA MFHR FOXCHASE APARTMENTS PROJECT SERIES E
(MFHR LOC, FGIC INSURED)SS.+/- 3.38 11/15/2017 11,400,000
6,770,000 SANTA CRUZ CA CITY HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE,
MBIA INSURED)SS.+/- 3.44 08/01/2025 6,770,000
6,140,000 SIERRA CA JOINT COMMUNITY COLLEGE DISTRICT (PROPERTY TAX
REVENUE, FGIC INSURED)SS.+/- 3.44 08/01/2021 6,140,000
10,000,000 SIMI VALLEY CA MFHR LINCOLN WOOD RANCH (HOUSING REVENUE LOC)SS.+/- 3.35 06/01/2010 10,000,000
6,150,000 SIMI VALLEY CA SERIES A (MFHR LOC)SS.+/- 3.35 07/01/2023 6,150,000
12,450,000 SONOMA COUNTY CA TRAN (OTHER REVENUE) 4.25 10/16/2006 12,470,132
19,850,000 SOUTH PLACER CA WASTEWATER AUTHORITY SERIES B (SEWER REVENUE,
FGIC INSURED)SS.+/- 3.38 11/01/2035 19,850,000
5,315,000 SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY POWER PROJECT REVENUE
SERIES PA 1172 (ELECTRIC PLANT REVENUE LOC)SS.+/- 3.44 07/01/2011 5,315,000
4,900,000 SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY TRANSMISSION PROJECT
REVENUE (UTILITIES REVENUE, LLOYDS TSB BANK PLC LOC)SS.+/- 3.26 07/01/2019 4,900,000
6,100,000 UNIVERSITY CALIFORNIA EDUCATION FACILITIES REVENUE SERIES 480
MBIA INSURED (EDUCATIONAL FACILITIES REVENUE LOC)SS.+/- 3.41 09/01/2022 6,100,000
3,865,000 UNIVERSITY OF CALIFORNIA REVENUE (COLLEGE & UNIVERSITY REVENUE
LOC)SS.+/- 3.44 05/15/2033 3,865,000
7,000,000 UNIVERSITY OF CALIFORNIA SERIES 1119 (COLLEGE & UNIVERSITY
REVENUE,FIRST SECURITY BANK LOC)SS.+/- 3.41 05/15/2035 7,000,000
7,750,000 VACAVILLE CA MFHR SYCAMORE APARTMENTS SERIES A (HOUSING REVENUE
LOC)SS.+/- 3.35 05/15/2029 7,750,000
25,900,000 VENTURA COUNTY CA TRAN (PROPERTY TAX REVENUE) 4.50 07/02/2007 26,066,341
21,225,000 VERNON CA NATURAL GAS FINANCING VERNON GAS PROJECT SERIES B
(OTHER REVENUE, MBIA INSURED)SS.+/- 3.27 08/01/2021 21,225,000
6,605,000 VICTORVILLE CA RDA SERIES 485 (TAX INCREMENTAL REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.44 12/01/2019 6,605,000
5,480,000 YOSEMITE CA COMMUNITY COLLEGE DISTRICT (PROPERTY TAX
Revenue)SS.+/- 2,600,544,196
---------------
PUERTO RICO - 1.29%
7,200,000 EAGLE TAX-EXEMPT CERTIFICATES TRUST 20015101 CLASS A (PUERTO
RICO COMMONWEALTH INFRASTRUCTURE FINANCING AUTHORITY) (OTHER
REVENUE LOC)SS.+/- 3.46 10/01/2034 7,200,000
19,000,000 PUERTO RICO COMMONWEALTH (TAX REVENUE)SS.+/- 3.40 07/01/2029 19,000,000
4,995,000 PUERTO RICO COMMONWEALTH INFRASTRUCTURE FINANCING AUTHORITY
SERIES 86 (SALES TAX REVENUE LOC)SS.+/- 3.41 07/01/2015 4,995,000
6,135,000 PUERTO RICO COMMONWEALTH PUBLIC BUILDINGS AUTHORITY REVENUE
SERIES 416 FSA LOC (LEASE REVENUE LOC)SS.+/- 3.41 07/01/2021 6,135,000
37,330,000
---------------
TOTAL MUNICIPAL BONDS & NOTES (COST $2,637,874,196) 2,637,874,196
---------------
22
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMERCIAL PAPER - 8.50%
$ 39,745,000 CALIFORNIA STATEWIDE CDA 3.40% 09/06/2006 $ 39,745,000
33,650,000 CALIFORNIA STATEWIDE CDA SERIES 05-B 3.40 09/06/2006 33,650,000
26,400,000 GOLDEN GATE BRIDGE 3.50 10/16/2006 26,400,000
1,000,000 LOS ANGELES METROPOLITAN TRANSPORTATION 3.42 09/07/2006 1,000,000
2,000,000 LOS ANGELES METROPOLITAN TRANSPORTATION 3.56 09/07/2006 2,000,000
7,500,000 LOS ANGELES METROPOLITAN TRANSPORTATION 3.59 09/07/2006 7,500,000
25,280,000 PORT OF OAKLAND CA 3.50 11/01/2006 25,280,000
19,700,000 RIVERSIDE COUNTY TEETER FINANCE 3.52 09/15/2006 19,700,000
10,500,000 SAN DIEGO COUNTY REGIONAL TRANSPORTATION 3.53 09/14/2006 10,500,000
11,000,000 SAN JOAQUIN TRANSPORTATION AUTHORITY 3.40 09/06/2006 11,000,000
18,045,000 UNIVERSITY OF CALIFORNIA 3.57 09/07/2006 18,045,000
28,500,000 UNIVERSITY OF CALIFORNIA 3.52 09/15/2006 28,500,000
22,820,000 UNIVERSITY OF CALIFORNIA 3.52 10/18/2006 22,820,000
TOTAL COMMERCIAL PAPER (COST $246,140,000) 246,140,000
---------------
TOTAL INVESTMENTS IN SECURITIES (COST $2,884,014,196)* 99.60% $ 2,884,014,196
OTHER ASSETS AND LIABILITIES, NET 0.40 11,459,188
------ ---------------
TOTAL NET ASSETS 100.00% $ 2,895,473,384
====== ===============
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
23
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
AGENCY NOTES - DISCOUNT - 8.61%
FEDERAL HOME LOAN BANK - 1.18%
$ 80,446,000 FHLB^ 5.22% 11/01/2006 $ 79,735,137
95,250,000 FHLB^ 5.22 11/03/2006 94,380,725
174,115,862
---------------
FEDERAL HOME LOAN MORTGAGE CORPORATION - 4.79%
121,853,000 FHLMC^ 4.82 09/19/2006 121,559,332
100,000,000 FHLMC^ 4.89 10/03/2006 99,565,333
100,000,000 FHLMC^ 4.93 10/10/2006 99,465,917
50,000,000 FHLMC^ 5.01 10/10/2006 49,728,625
50,000,000 FHLMC^ 5.00 11/07/2006 49,534,629
97,416,000 FHLMC^ 5.22 11/07/2006 96,469,604
120,000,000 FHLMC^ 5.04 11/21/2006 118,639,200
50,000,000 FHLMC^ 5.11 12/05/2006 49,325,764
23,800,000 FHLMC^ 5.16 02/13/2007 23,237,130
707,525,534
---------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION - 2.64%
54,738,000 FNMA^ 4.87 09/20/2006 54,597,308
37,415,000 FNMA^ 5.29 10/02/2006 37,244,564
29,541,000 FNMA^ 5.29 10/02/2006 29,406,433
162,500,000 FNMA^ 5.37 10/10/2006 161,554,656
109,083,000 FNMA^ 5.23 11/01/2006 108,116,313
390,919,274
---------------
TOTAL AGENCY NOTES - DISCOUNT (COST $1,272,560,670) 1,272,560,670
---------------
AGENCY NOTES - INTEREST BEARING - 20.94%
FEDERAL FARM CREDIT BANK - 3.74%
15,000,000 FFCB+/- 5.21 03/20/2007 14,999,510
41,500,000 FFCB+/- 5.18 03/22/2007 41,490,657
61,250,000 FFCB+/- 5.27 05/15/2007 61,258,990
100,000,000 FFCB+/- 5.31 06/01/2007 99,977,971
50,000,000 FFCB+/- 5.27 07/27/2007 50,011,611
50,000,000 FFCB+/- 5.17 11/13/2007 49,970,744
75,000,000 FFCB+/-SS. 5.23 01/24/2008 74,969,623
160,000,000 FFCB+/-SS. 4.98 06/16/2008 159,914,967
552,594,073
---------------
FEDERAL HOME LOAN BANK - 7.36%
135,025,000 FHLB 2.88 09/15/2006 134,919,356
25,500,000 FHLB 2.70 09/29/2006 25,465,063
114,870,000 FHLB 2.63 10/16/2006 114,521,730
162,000,000 FHLB+/- 5.19 12/13/2006 161,981,964
30,000,000 FHLB 3.75 01/16/2007 29,888,282
54,320,000 FHLB 5.38 02/15/2007 54,307,187
200,000,000 FHLB+/- 5.13 06/08/2007 199,941,027
16,000,000 FHLB+/- 5.35 07/06/2007 15,997,398
24
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FEDERAL HOME LOAN BANK (CONTINUED)
$ 200,000,000 FHLB+/-SS. 5.35% 01/10/2008 $ 199,869,004
150,000,000 FHLB+/-SS. 5.37 01/17/2008 149,917,897
1,086,808,908
---------------
FEDERAL HOME LOAN MORTGAGE CORPORATION - 2.57%
47,542,000 FHLMC 3.75 11/15/2006 47,370,691
22,990,000 FHLMC 2.88 12/15/2006 22,860,532
110,000,000 FHLMC+/- 5.30 06/22/2007 109,969,771
50,000,000 FHLMC+/- 5.25 09/17/2007 49,969,679
150,000,000 FHLMC+/- 5.18 09/27/2007 149,919,024
380,089,697
---------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION - 7.27%
110,000,000 FNMA+/- 5.29 09/07/2006 109,999,885
125,000,000 FNMA 2.81 09/28/2006 124,783,952
46,937,000 FNMA 3.05 10/13/2006 46,841,651
59,142,000 FNMA 4.00 10/16/2006 59,076,944
47,440,000 FNMA 4.06 10/27/2006 47,355,513
118,569,000 FNMA 2.63 11/15/2006 117,994,450
23,700,000 FNMA 3.00 11/22/2006 23,603,695
75,000,000 FNMA 3.00 12/15/2006 74,510,273
39,000,000 FNMA 3.38 12/15/2006 38,834,888
19,000,000 FNMA+/- 5.31 12/22/2006 18,997,716
127,720,000 FNMA 3.55 01/12/2007 126,865,952
150,000,000 FNMA+/- 5.28 06/21/2007 149,947,405
135,000,000 FNMA+/-SS. 5.33 12/28/2007 134,896,564
1,073,708,888
---------------
TOTAL AGENCY NOTES - INTEREST BEARING (COST $3,093,201,566) 3,093,201,566
---------------
REPURCHASE AGREEMENTS - 70.57%
3,400,000,000 BANK OF AMERICA SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $3,400,498,667) 5.28 09/01/2006 3,400,000,000
2,702,199,000 BARCLAYS CAPITAL INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $2,702,595,323) 5.28 09/01/2006 2,702,199,000
500,000,000 CITIGROUP GLOBAL MARKETS - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $500,073,333) 5.28 09/01/2006 500,000,000
800,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $800,117,556) 5.29 09/01/2006 800,000,000
1,250,000,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $1,250,182,639) 5.26 09/06/2006 1,250,000,000
850,000,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $850,124,667) 5.28 09/01/2006 850,000,000
500,000,000 HSBC USA INCORPORATED - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $500,073,472) 5.29 09/01/2006 500,000,000
425,000,000 UBS SECURITIES LLC - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $425,062,097) 5.26 09/01/2006 425,000,000
TOTAL REPURCHASE AGREEMENTS (COST $10,427,199,000) 10,427,199,000
---------------
25
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
VALUE
TOTAL INVESTMENTS IN SECURITIES
(COST $14,792,961,236)* 100.12% $14,792,961,236
OTHER ASSETS AND LIABILITIES, NET (0.12) (17,656,940)
------ ---------------
TOTAL NET ASSETS 100.00% $14,775,304,296
====== ===============
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
+/- VARIABLE RATE INVESTMENTS.
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
26
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MINNESOTA MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MUNICIPAL BONDS & NOTES - 91.41%
MINNESOTA - 91.41%
$ 1,225,000 BURNSVILLE MN SOUTHWIND APARTMENTS PROJECT (MFHR, FHLMC
INSURED)SS.+/- 3.42% 01/01/2035 $ 1,225,000
510,000 CENTER CITY MN HAZELDEN FOUNDATION PROJECT (HEALTHCARE FACILITIES
REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.57 11/01/2035 510,000
3,620,000 CHAMPLIN MN (HOUSING REVENUE, MERRILL LYNCH CAPITAL SERVICES
LOC)SS.+/- 3.54 09/01/2042 3,620,000
585,000 COHASSET MN POWER & LIGHT COMPANY PROJECT B (IDR, LASALLE
NATIONAL BANK NA LOC)SS.+/- 3.44 06/01/2013 585,000
1,095,000 DAKOTA COUNTY MN HOUSING & RDA PROJECT 484 (MFHR, FHLMC
INSURED)SS.+/- 3.46 12/01/2022 1,095,000
1,350,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20012301 CLASS A (MINNESOTA
STATE) (PROPERTY TAX REVENUE)SS.+/- 3.46 10/01/2019 1,350,000
1,085,000 EAST CENTRAL MN INDEPENDENT SCHOOL DISTRICT #2580
(PROPERTY TAX REVENUE) 4.50 08/06/2007 1,092,025
1,600,000 EAST GRAND FORKS MN INDEPENDENT SCHOOL DISTRICT #595 (PROPERTY
TAX REVENUE, SCHOOL DISTRICT CREDIT PROGRAM INSURED) 4.50 08/27/2007 1,609,818
1,720,000 EDINA MN EDINA PARK PLAZA (MFHR, FHLMC INSURED)SS.+/- 3.45 12/01/2029 1,720,000
3,000,000 ELK RIVER MN INDEPENDENT SCHOOL DISTRICT #728 SERIES 183 (PROPERTY
TAX REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 02/01/2021 3,000,000
865,000 HENNEPIN COUNTY MN HOUSING & RDA STONE ARCH APARTMENTS PROJECT
(MFHR, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.47 04/15/2035 865,000
1,500,000 LAKE CRYSTAL MN WELLCOME MEMORIAL AREA SCHOOLS INDEPENDENT SCHOOL
DISTRICT SERIES A (OTHER REVENUE, SCHOOL DISTRICT CREDIT PROGRAM
INSURED) 4.50 08/13/2007 1,509,948
115,000 MANKATO MN HIGHLAND PROJECT (HOUSING REVENUE, LASALLE NATIONAL
BANK NA LOC)SS.+/- 3.62 05/01/2027 115,000
1,620,000 MAPLE GROVE MN MFHR BASSWOOD TRAILS PROJECT (HOUSING REVENUE
LOC)SS.+/- 3.42 03/01/2029 1,620,000
1,000,000 MINNEAPOLIS & ST. PAUL MN METROPOLITAN AIRPORTS COMMISSION
(AIRPORT REVENUE, FGIC INSURED)SS.+/- 3.49 01/01/2013 1,000,000
3,570,000 MINNEAPOLIS MN GATEWAY REAL ESTATE (HOUSING REVENUE, US BANK NA
LOC)SS.+/- 3.47 10/01/2032 3,570,000
675,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES
SERIES A (HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.40 11/15/2032 675,000
1,895,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES
SERIES B
(HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.40 11/15/2026 1,895,000
3,310,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES
SERIES B
(HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.38 11/15/2029 3,310,000
2,795,000 MINNEAPOLIS MN WOMAN'S CLUB OF MINNEAPOLIS PROJECT (OTHER REVENUE,
BREMER BANK LOC)SS.+/- 3.52 05/01/2023 2,795,000
4,420,000 MINNESOTA PUBLIC FACILITIES AUTHORITY WATER MERLOTS 2003-B06
(PCR LOC)SS.+/- 3.45 03/01/2021 4,420,000
1,990,000 MINNESOTA SCHOOL DISTRICTS TAX & AID ANTICIPATION BORROWING
PROGRAM CERTIFICATES
(LEASE REVENUE, SCHOOL DISTRICT CREDIT PROGRAM INSURED) 4.00 09/12/2006 1,990,608
2,865,000 MINNESOTA STATE HIGHER EDUCATION FACILITIES AUTHORITY SCHOLASTICA
SERIES 6A (HOUSING REVENUE, MARSHALL & ISLEY BANK LOC)SS.+/- 3.57 12/01/2034 2,865,000
1,940,000 MINNESOTA STATE RESIDENTIAL HOUSING SERIES B (HOUSING REVENUE, GO
OF AUTHORITY)SS.+/- 3.45 01/01/2033 1,940,000
1,510,000 MINNESOTA STATE RESIDENTIAL HOUSING SERIES C (HOUSING REVENUE, GO
OF AUTHORITY)SS.+/- 3.45 01/01/2035 1,510,000
700,000 MINNESOTA STATE RESIDENTIAL HOUSING SERIES J (HOUSING REVENUE, GO
OF AUTHORITY)SS.+/- 3.45 07/01/2033 700,000
1,100,000 MINNESOTA STATE SERIES 1421 (PROPERTY TAX REVENUE, JPMORGAN CHASE
BANK LOC)SS.+/- 3.45 06/01/2014 1,100,000
2,605,000 MINNESOTA STATE UNIVERSITY OF ST. THOMAS SERIES 4O (COLLEGE &
UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.40 10/01/2021 2,605,000
2,570,000 MINNESOTA STATE UNIVERSITY OF ST. THOMAS SERIES 5L (COLLEGE &
UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.40 04/01/2027 2,570,000
27
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MINNESOTA MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MINNESOTA (CONTINUED)
$ 3,025,000 MINNESOTA STATE UNIVERSITY OF ST. THOMAS SERIES 6H (OTHER REVENUE,
BANK OF NEW YORK LOC)SS.+/- 3.40% 10/01/2032 $ 3,025,000
3,100,000 MONTROSE MN LYMAN LUMBER COMPANY PROJECT (IDR, US BANK NA
LOC)SS.+/- 3.67 05/01/2026 3,100,000
3,120,000 NEW BRIGHTON MN MFHR GOLDEN POND HOUSING PROJECT (MFHR LOC)SS.+/- 3.47 07/15/2032 3,120,000
1,900,000 NORTHERN MUNICIPAL POWER AGENCY MINNESOTA ELECTRIC SYSTEM REVENUE
(POWER REVENUE LOC)SS.+/- 3.45 01/01/2013 1,900,000
525,000 OAK PARK HEIGHTS MN BOUTWELLS LANDING PROJECT (HOUSING REVENUE,
FHLMC)SS.+/- 3.42 11/01/2035 525,000
1,040,000 PLYMOUTH MN DAILY PRINTING INCORPORATED PROJECT (IDR, US BANK NA
LOC)SS.+/- 3.62 10/01/2010 1,040,000
1,160,000 ROCORI AREA SCHOOLS MN INDEPENDENT SCHOOL DISTRICT #750 SERIES A
(PROPERTY TAX REVENUE, SCHOOL DISTRICT CREDIT PROGRAM INSURED) 4.00 09/01/2006 1,160,000
3,745,000 SCA TAX-EXEMPT TRUST PT 2523 BURNVILLE (HOUSING REVENUE LOC)SS.+/- 3.46 01/01/2030 3,745,000
1,450,000 SIBLEY MN EAST SCHOOL DISTRICT #2310 (OTHER REVENUE) 4.50 08/06/2007 1,459,389
920,000 ST. LOUIS PARK MN CATHOLIC FINANCE CORPORATION (EDUCATIONAL
FACILITIES REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.44 10/01/2025 920,000
2,110,000 ST. LOUIS PARK MN KNOLLWOOD PLACE (MFHR, FNMA INSURED)SS.+/- 3.42 10/01/2035 2,110,000
5,880,000 ST. LOUIS PARK MN NEWPORT ON SEVEN APARTMENTS PROJECT (MFHR, FNMA
INSURED)SS.+/- 3.47 09/15/2031 5,880,000
680,000 ST. PAUL MN HOUSING & RDA DISTRICT COOLING SERIES I (IDR, DEXIA
CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.50 06/01/2015 680,000
770,000 ST. PAUL MN HOUSING & RDA PUBLIC RADIO PROJECT (OTHER REVENUE,
ALLIED IRISH BANK PLC LOC)SS.+/- 3.62 05/01/2022 770,000
360,000 ST. PAUL MN HOUSING & RDA PUBLIC RADIO PROJECT (OTHER REVENUE,
ALLIED IRISH BANK PLC LOC)SS.+/- 3.57 10/01/2025 360,000
1,000,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES J (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.42 12/01/2025 1,000,000
880,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES Q (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.45 03/01/2022 880,000
2,685,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES R (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.67 03/01/2022 2,685,000
2,100,000 ST. PAUL MN PORT AUTHORITY SERIES 06-3 (RECREATIONAL FACILITIES
REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.57 04/01/2036 2,100,000
3,750,000 ST. PAUL MN PORT AUTHORITY SERIES 2005-4 SERIES I (ELECTRIC
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.47 12/01/2025 3,750,000
290,000 ST. PAUL MN PUBLIC RADIO PROJECT SERIES 7 (OTHER REVENUE, ALLIED
IRISH BANK PLC LOC)SS.+/- 3.57 05/01/2025 290,000
835,000 STEWARTVILLE MN HALCON CORPORATION PROJECT (IDR, US BANK NA
LOC)SS.+/- 3.62 03/01/2018 835,000
150,000 UNIVERSITY OF MINNESOTA SERIES C (COLLEGE & UNIVERSITY REVENUE, GO
OF UNIVERSITY)SS.+/- 3.41 12/01/2036 150,000
1,200,000 WADENA DEER CREEK MN INDEPENDENT SCHOOL DISTRICT #2155 (PROPERTY
TAX REVENUE) 4.00 09/29/2006 1,200,892
95,547,680
---------------
TOTAL MUNICIPAL BONDS & NOTES (COST $95,547,680) 95,547,680
---------------
COMMERCIAL PAPER - 8.05%
4,500,000 ROCHESTER MN HEALTH CARE SERIES 00-B 3.64 10/12/2006 4,500,000
3,910,000 UNIVERSITY OF MINNESOTA 3.65 10/16/2006 3,910,000
TOTAL COMMERCIAL PAPER (COST $8,410,000) 8,410,000
---------------
28
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MINNESOTA MONEY MARKET FUND
- --------------------------------------------------------------------------------
VALUE
TOTAL INVESTMENTS IN SECURITIES
(COST $103,957,679)* 99.46% $ 103,957,679
OTHER ASSETS AND LIABILITIES, NET 0.54 569,108
------ ---------------
TOTAL NET ASSETS 100.00% $ 104,526,787
====== ===============
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
+/- VARIABLE RATE INVESTMENTS.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
29
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
ASSET BACKED SECURITIES - 0.12%
$ 10,757,069 CAPITAL ONE AUTO FINANCE TRUST 5.12% 05/15/2007 $ 10,757,069
TOTAL ASSET BACKED SECURITIES (COST $10,757,069) 10,757,069
---------------
CERTIFICATES OF DEPOSIT - 4.29%
163,000,000 BARCLAYS BANK PLC 4.14 09/20/2006 163,000,000
62,750,000 BNP PARIBAS LONDON 4.92 11/07/2006 62,750,000
85,000,000 CREDIT SUISSE FIRST BOSTON NEW YORK SERIES YCD 4.18 09/22/2006 85,000,000
70,000,000 ROYAL BANK OF SCOTLAND NEW YORK SERIES YCD 4.41 10/04/2006 70,000,000
20,000,000 ROYAL BANK OF SCOTLAND NEW YORK SERIES YCD+/- 5.34 10/04/2006 19,999,592
TOTAL CERTIFICATES OF DEPOSIT (COST $400,749,592) 400,749,592
---------------
COMMERCIAL PAPER - 33.40%
135,000,000 AMSTEL FUNDING CORPORATION++^ 5.41 10/18/2006 134,047,369
27,750,000 AMSTERDAM FUNDING CORPORATION++^ 5.38 09/14/2006 27,696,088
40,000,000 APRECO LLC++^ 5.27 10/05/2006 39,800,911
50,000,000 APRECO LLC++^ 5.27 10/25/2006 49,604,750
35,000,000 ATLAS CAPITAL FUNDING CORPORATION++^ 5.29 10/10/2006 34,799,421
40,000,000 ATOMIUM FUNDING LLC++^ 5.28 11/21/2006 39,524,800
50,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.31 01/23/2007 50,000,000
50,000,000 BUCKINGHAM CDO III LLC++^ 5.31 11/27/2006 49,358,979
30,000,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.29 10/11/2006 29,823,667
31,000,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.29 10/18/2006 30,785,902
11,748,000 CC USA INCORPORATED++^ 5.28 10/17/2006 11,668,740
62,715,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.28 10/03/2006 62,420,658
15,179,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.29 10/03/2006 15,107,625
27,907,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.40 10/12/2006 27,735,372
30,699,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.41 10/13/2006 30,505,238
20,407,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.32 11/13/2006 20,186,854
30,622,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.30 11/28/2006 30,225,275
100,000,000 CHARTA LLC++^ 5.28 10/25/2006 99,208,000
33,000,000 CHEYNE FINANCE LLC++^ 5.27 09/19/2006 32,913,045
43,000,000 CIESCO LLC++^ 5.28 10/25/2006 42,659,440
70,753,000 CONCORD MINUTEMEN CAPITAL COMPANY++^ 5.40 10/10/2006 70,339,095
7,243,000 CONCORD MINUTEMEN CAPITAL COMPANY++^ 5.29 10/18/2006 7,192,977
48,087,000 CROWN POINT CAPITAL COMPANY++^ 5.27 10/16/2006 47,770,227
147,000,000 DEER VALLEY FUNDING LLC++^ 5.29 10/24/2006 145,855,156
20,936,000 DEER VALLEY FUNDING LLC++^ 5.30 11/17/2006 20,698,667
25,000,000 DNB NORSKE BANK ASA^ 4.98 10/05/2006 24,882,417
62,000,000 EUREKA SECURITIZATION++^ 5.28 11/14/2006 61,327,093
89,400,000 FIVE FINANCE INCORPORATED++^ 5.36 09/12/2006 89,253,583
25,200,000 FIVE FINANCE INCORPORATED++^ 5.28 10/16/2006 25,033,680
50,000,000 FIVE FINANCE INCORPORATED++^ 5.40 10/16/2006 49,662,500
39,500,000 FIVE FINANCE INCORPORATED++^ 5.40 10/23/2006 39,191,900
69,963,000 FOX TROT CDO LIMITED++^ 5.39 09/29/2006 69,669,700
13,000,000 GEMINI SECURITIZATION LLC++^ 5.28 10/23/2006 12,900,853
70,000,000 GEMINI SECURITIZATION LLC++^ 5.28 11/20/2006 69,178,667
15,500,000 GOVCO INCORPORATED++^ 5.27 11/17/2006 15,325,285
30
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMERCIAL PAPER (CONTINUED)
$ 80,000,000 HARRIER FINANCE FUNDING US LLC++^ 5.44% 09/27/2006 $ 79,685,689
89,800,000 K2 USA LLC++^ 5.38 11/03/2006 88,954,533
35,000,000 KESTREL FUNDING US LLC++^ 5.38 09/25/2006 34,874,467
25,000,000 KESTREL FUNDING US LLC++^ 5.40 11/06/2006 24,752,500
52,920,000 KLIO II FUNDING CORPORATION++^ 5.17 09/01/2006 52,920,000
25,000,000 KLIO II FUNDING CORPORATION++^ 5.26 09/08/2006 24,974,431
125,000,000 KLIO III FUNDING CORPORATION++^ 5.28 09/21/2006 124,633,680
29,106,000 KLIO III FUNDING CORPORATION++^ 5.39 09/28/2006 28,988,339
45,000,000 LIQUID FUNDING LIMITED+/-++ 5.32 09/15/2006 45,000,000
65,000,000 LIQUID FUNDING LIMITED++^ 5.29 09/21/2006 64,808,972
32,000,000 LIQUID FUNDING LIMITED+/-++ 5.34 09/21/2006 32,000,000
22,000,000 LIQUID FUNDING LIMITED+/-++ 5.32 09/25/2006 22,000,000
25,000,000 NEWPORT FUNDING CORPORATION++^ 5.28 10/23/2006 24,809,333
103,000,000 NEWPORT FUNDING CORPORATION++^ 5.40 10/26/2006 102,150,250
20,000,000 NEWPORT FUNDING CORPORATION++^ 5.28 11/21/2006 19,762,400
54,415,000 NORTH SEA FUNDING LLC++^ 5.37 09/15/2006 54,301,363
10,000,000 NORTH SEA FUNDING LLC++^ 5.28 11/22/2006 9,879,733
61,219,000 PERRY GLOBAL FUNDING LLC SERIES A++^ 5.16 09/01/2006 61,219,000
100,000,000 PICAROS FUNDING LLC++^ 5.25 09/13/2006 99,825,000
18,500,000 SEDNA FINANCE INCORPORATED++^ 5.28 10/19/2006 18,369,760
53,200,000 SEDNA FINANCE INCORPORATED++^ 5.28 11/17/2006 52,599,195
125,000,000 SPINTAB AB^ 5.28 11/16/2006 123,607,986
76,914,000 THAMES ASSET GLOBAL SECURITIZATION++^ 5.28 11/20/2006 76,011,542
85,000,000 TIERRA ALTA FUNDING++^ 5.28 09/28/2006 84,663,400
10,000,000 VERSAILLES CDS LLC++^ 5.37 09/06/2006 9,992,542
29,500,000 VERSAILLES CDS LLC++^ 5.37 09/19/2006 29,420,793
20,000,000 VERSAILLES CDS LLC++^ 5.40 10/06/2006 19,895,000
49,500,000 VERSAILLES CDS LLC++^ 5.28 10/17/2006 49,166,040
10,000,000 VERSAILLES CDS LLC++^ 5.28 11/02/2006 9,909,067
49,500,000 VERSAILLES CDS LLC++^ 5.28 11/08/2006 49,006,320
TOTAL COMMERCIAL PAPER (COST $3,124,535,269) 3,124,535,269
---------------
CORPORATE BONDS & NOTES - 1.09%
79,000,000 AMERICAN EXPRESS CENTURION SERIES BKNT+/- 5.30 05/22/2007 79,000,000
5,280,000 CEI CAPITAL LLC+/-SS. 5.33 03/01/2033 5,280,000
2,820,000 CONVENIENCE HOLDING COMPANY SERIES 2002-A+/-SS. 5.33 09/01/2042 2,820,000
5,200,000 ETC HOLDINGS LLC SERIES 2003+/-SS. 5.31 04/01/2028 5,200,000
10,000,000 LP PINEWOOD SPV+/-SS. 5.33 02/01/2018 10,000,000
TOTAL CORPORATE BONDS & NOTES (COST $102,300,000) 102,300,000
---------------
EXTENDABLE BONDS - 14.43%
45,000,000 3M COMPANY++ 5.65 12/12/2006 45,104,489
30,000,000 AMERICAN GENERAL FINANCE+/-++ 5.36 09/14/2007 30,000,000
70,000,000 BANK OF IRELAND+/-++ 5.30 09/20/2007 70,000,000
48,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.32 09/14/2007 48,000,000
95,000,000 DNB NORSKE BANK ASA+/-++ 5.31 09/25/2007 95,000,000
69,000,000 FLORIDA HURRICANE CATASTROPHE+/- 5.34 09/14/2007 69,000,000
250,000,000 GENERAL ELECTRIC CAPITAL CORPORATION 5.49 07/09/2007 250,104,205
31
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
EXTENDABLE BONDS (CONTINUED)
$ 100,000,000 ING SECURITY LIFE INSTITUTIONAL FUNDING+/-++ 5.48% 08/09/2007 $ 100,000,000
80,000,000 INTESA BANK IRELAND PLC+/-++ 5.32 09/25/2007 80,000,000
69,000,000 IRISH LIFE & PERMANENT+/-++ 5.33 09/21/2007 68,999,869
42,000,000 KAUPTHING BANK SERIES MTN+/-++ 5.39 03/20/2007 42,000,000
44,000,000 MERCK & COMPANY INCORPORATED+/-++ 4.52 02/22/2007 43,891,977
33,000,000 MERRILL LYNCH & COMPANY INCORPORATED+/- 5.58 07/11/2007 33,000,000
92,500,000 MERRILL LYNCH & COMPANY INCORPORATED+/- 5.31 09/24/2007 92,500,000
38,000,000 MORGAN STANLEY+/- 5.38 08/31/2007 38,000,000
35,000,000 NATIONWIDE BUILDING SOCIETY+/-++ 5.44 07/06/2007 35,000,000
27,000,000 NORDEA BANK AB+/-++ 5.35 08/09/2007 27,000,000
75,000,000 NORDEA BANK AB+/-++ 5.34 09/11/2007 75,000,000
45,000,000 NORTHERN ROCK PLC+/-++ 5.35 07/09/2007 45,000,000
50,000,000 NORTHERN ROCK PLC+/-++ 5.43 08/03/2007 50,000,000
12,000,000 PREMIUM ASSET TRUST+/-++ 5.37 08/15/2007 12,000,000
TOTAL EXTENDABLE BONDS (COST $1,349,600,540) 1,349,600,540
---------------
MEDIUM TERM NOTES - 9.22%
23,900,000 ABBEY NATIONAL TREASURY SERVICES+/-++ 5.60 01/16/2007 23,909,222
7,000,000 ALLSTATE LIFE GLOBAL FUNDING II+/-++ 5.58 04/02/2007 7,003,298
17,000,000 AMERICAN HONDA FINANCE+/-++ 5.36 05/11/2007 16,998,823
35,000,000 ASIF GLOBAL FINANCING+/-++ 5.51 05/03/2007 35,014,477
109,600,000 BANK OF AMERICA SECURITIES+/-SS. 5.38 09/09/2099 109,600,000
78,200,000 BEAR STEARNS COMPANIES INCORPORATED+/-SS. 5.43 09/09/2099 78,200,000
22,000,000 CHEYNE FINANCE LLC+/-++ 5.36 05/21/2007 21,997,280
23,000,000 CHEYNE FINANCE LLC+/-++ 5.36 05/24/2007 22,996,714
31,000,000 CHEYNE FINANCE LLC+/-++ 5.47 07/16/2007 30,993,368
46,000,000 CULLINAN FINANCE CORPORATION+/-++ 5.35 05/21/2007 45,996,716
105,000,000 HARRIER FINANCE FUNDING LLC+/-++ 5.36 05/15/2007 104,988,603
30,000,000 LEHMAN BROTHERS HOLDINGS+/- 5.39 07/19/2007 30,024,771
13,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.48 03/15/2007 13,010,876
27,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.47 07/10/2007 26,995,466
55,000,000 LIQUID FUNDING LIMITED+/-++ 5.31 09/29/2006 55,000,000
100,000,000 NORTHERN ROCK PLC+/-++ 5.55 10/20/2006 100,008,992
45,000,000 SEDNA FINANCE INCORPORATED++ 5.00 02/12/2007 45,000,000
25,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.36 05/30/2007 24,998,057
26,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.30 06/18/2007 25,997,810
44,000,000 TANGO FINANCE CORPORATION+/-++ 5.36 05/24/2007 43,996,805
TOTAL MEDIUM TERM NOTES (COST $862,731,278) 862,731,278
---------------
MUNICIPAL BONDS & NOTES - 0.42%
595,000 COLORADO HOUSING & FINANCE AUTHORITY MFHR (HOUSING REVENUE
LOC)+/-SS. 5.38 10/01/2032 595,000
9,800,000 COLORADO HOUSING & FINANCE AUTHORITY SFMR SERIES B (HOUSING
REVENUE)+/-SS. 5.38 11/01/2033 9,800,000
9,855,000 COLORADO HOUSING & FINANCE AUTHORITY SFMR SERIES C (HOUSING
REVENUE)+/-SS. 5.38 11/01/2036 9,855,000
135,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96C+/-SS. 5.33 12/15/2026 135,000
145,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96D+/-SS. 5.33 12/15/2026 145,000
165,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96E+/-SS. 5.33 12/15/2026 165,000
65,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96G+/-SS. 5.48 12/15/2026 65,000
32
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MUNICIPAL BONDS & NOTES (CONTINUED)
$ 250,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96I+/-SS. 5.33% 12/15/2026 $ 250,000
5,000,000 MISSISSIPPI BUSINESS FINANCE CORPORATION (IDR LOC)+/-SS. 5.37 02/01/2023 5,000,000
10,730,000 MISSISSIPPI STATE TAXABLE NISSAN PROJECT A (GO - STATES,
TERRITORIES LOC)+/-SS. 5.34 11/01/2028 10,730,000
1,800,000 NEW JERSEY ECONOMIC DEVELOPMENT AUTHORITY MSNBC/CNBC SERIES A
(IDR)+/-SS. 5.37 10/01/2021 1,800,000
995,000 SUSSEX WI ROTATING EQUIPMENT PROJECT SERIES B (IDR LOC)+/-SS. 5.41 11/01/2020 995,000
TOTAL MUNICIPAL BONDS & NOTES (COST $39,535,000) 39,535,000
---------------
PROMISSORY NOTES - 3.44%
237,100,000 CITIGROUP GLOBAL+/-SS. 5.38 09/09/2099 237,100,000
85,000,000 GOLDMAN SACHS GROUP INCORPORATED+/-++ 5.54 01/26/2007 85,000,000
TOTAL PROMISSORY NOTES (COST $322,100,000) 322,100,000
---------------
TIME DEPOSITS - 15.23%
214,000,000 DEUTSCHE BANK CAYMAN 5.26 09/07/2006 214,000,000
245,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/05/2006 245,000,000
214,000,000 KBC BANK NV BRUSSELS 5.30 09/01/2006 214,000,000
226,000,000 NATEXIS BANQUES POPULAIR 5.26 09/05/2006 226,000,000
224,000,000 RABOBANK LONDON 5.26 09/01/2006 224,000,000
86,000,000 SOCIETE GENERALE CANADA 5.27 09/07/2006 86,000,000
128,000,000 SOCIETE GENERALE CAYMAN 5.27 09/05/2006 128,000,000
88,000,000 UBS AG CAYMAN ISLANDS 5.28 09/01/2006 88,000,000
TOTAL TIME DEPOSITS (COST $1,425,000,000) 1,425,000,000
---------------
REPURCHASE AGREEMENTS - 17.81%
502,583,174 BANK OF AMERICA SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $502,656,886) 5.28 09/01/2006 502,583,174
300,000,000 BARCLAYS CAPITAL INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $300,044,000) 5.28 09/01/2006 300,000,000
174,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $174,025,665) 5.31 09/01/2006 174,000,000
257,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $257,037,765) 5.29 09/01/2006 257,000,000
152,000,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $152,022,378) 5.30 09/01/2006 152,000,000
196,000,000 JPMORGAN CHASE SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $196,028,801) 5.29 09/01/2006 196,000,000
84,000,000 JPMORGAN CHASE SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $84,012,367) 5.30 09/01/2006 84,000,000
TOTAL REPURCHASE AGREEMENTS (COST $1,665,583,174) 1,665,583,174
---------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 0.32%
30,000,000 PARAGON MORTGAGES PLC+/-SS.++ 5.31 11/15/2038 30,000,000
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (COST $30,000,000) 30,000,000
---------------
33
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MONEY MARKET FUND
- --------------------------------------------------------------------------------
VALUE
TOTAL INVESTMENTS IN SECURITIES
(COST $9,332,891,922)* 99.77% $ 9,332,891,922
OTHER ASSETS AND LIABILITIES, NET 0.23 21,643,336
------ ---------------
TOTAL NET ASSETS 100.00% $ 9,354,535,258
====== ===============
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
34
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMERCIAL PAPER - 6.71%
$ 5,000,000 ASCENSION PARISH LA 3.60% 10/12/2006 $ 5,000,000
5,000,000 BOARD OF GOVERNORS UNIVERSITY OF NORTH CAROLINA 3.69 10/06/2006 5,000,000
645,000 COUNTY OF WAKE NC 3.65 02/05/2007 645,000
2,300,000 HARRIS COUNTY TX SERIES B 3.60 11/09/2006 2,300,000
4,403,000 HARRIS COUNTY TX SERIES C 3.60 11/09/2006 4,403,000
2,000,000 HARRIS COUNTY TX SERIES D 3.60 09/14/2006 2,000,000
2,000,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.63 02/08/2007 2,000,000
2,005,000 MARYLAND HEALTH & HIGHER EDUCATION SERIES A 3.60 09/07/2006 2,005,000
8,100,000 ROCHESTER MN HEALTH CARE SERIES 92-C 3.64 10/12/2006 8,100,000
TOTAL COMMERCIAL PAPER (COST $31,453,000) 31,453,000
---------------
MUNICIPAL BONDS & NOTES - 93.49%
ALABAMA - 1.86%
435,000 BALDWIN COUNTY AL BOARD OF EDUCATION (SALES TAX REVENUE, AMBAC
INSURED)SS.+/- 3.45 06/01/2025 435,000
3,900,000 MOBILE AL INDUSTRIAL DEVELOPMENT BOARD ALABAMA POWER COMPANY BARRY
PLANT PROJECT SERIES B (IDR)SS.+/- 3.66 09/01/2031 3,900,000
500,000 MOBILE AL INDUSTRIAL DEVELOPMENT BOARD ALABAMA POWER THEODORE PLANT
SERIES A (IDR)SS.+/- 3.66 04/01/2031 500,000
3,900,000 STEVENSON AL INDUSTRIAL DEVELOPMENT BOARD THE MEAD CORPORATION
SERIES C (IDR, JPMORGAN CHASE BANK LOC)SS.+/- 3.47 11/01/2033 3,900,000
8,735,000
---------------
ALASKA - 0.27%
1,275,000 ALASKA STATE HOUSING FINANCE CORPORATION SERIES A (HOUSING REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.46 12/01/2036 1,275,000
---------------
ARIZONA - 0.58%
2,700,000 MARICOPA COUNTY AZ IDA VILLAS SOLANAS APARTMENTS SERIES A (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.45 11/15/2032 2,700,000
---------------
ARKANSAS - 0.73%
3,400,000 OSCEOLA AR POINT ENERGY ASSOCIATION LLC PROJECT (SEWER REVENUE,
CREDIT SUISSE FIRST BOSTON LOC)SS.+/- 3.43 04/01/2036 3,400,000
---------------
CALIFORNIA - 1.68%
55,000 CALIFORNIA STATE DAILY KINDERGARTEN UNIVERSITY SERIES B3 (PROPERTY
TAX REVENUE, CITIBANK NA LOC)SS.+/- 3.46 12/01/2032 55,000
360,000 CONTRA COSTA COUNTY CA LAFAYETTE TOWN CENTER APARTMENTS SERIES I
(MFHR, FNMA INSURED)SS.+/- 3.43 07/15/2032 360,000
100,000 PORT OF OAKLAND CA (AIRPORT REVENUE, FGIC INSURED)SS.+/- 3.46 05/01/2008 100,000
275,000 SAN DIEGO CA (WATER REVENUE, FGIC INSURED)SS.+/- 3.44 08/01/2024 275,000
6,690,000 SAN DIEGO CA HOUSING AUTHORITY MFHR HILLSIDE GARDEN APARTMENTS
SERIES B (HOUSING REVENUE LOC)SS.+/- 3.43 01/15/2035 6,690,000
200,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS A (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 200,000
95,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS B (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 95,000
110,000 SAN JOSE CA REDEVELOPMENT AGENCY TAX ALLOCATION SERIES 149
(TAX INCREMENTAL REVENUE, MBIA INSURED)SS.+/- 3.44 08/01/2027 110,000
TOTAL CALIFORNIA (COST $7,885,000) 7,885,000
---------------
35
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COLORADO - 0.27%
$ 1,250,000 HUDSON CO SERIES A (IDR, US BANK NA LOC)SS.+/- 3.62% 11/01/2020 $ 1,250,000
---------------
FLORIDA - 5.33%
255,000 ALACHUA COUNTY FL OAK HAMMOCK UNIVERSITY OF FLORIDA PROJECT
SERIES A (HEALTHCARE FACILITIES REVENUE, BNP PARIBAS LOC)SS.+/- 3.57 10/01/2032 255,000
265,000 BROWARD COUNTY FL SANCTUARY COVE APARTMENTS SERIES A (OTHER
REVENUE, FNMA INSURED)SS.+/- 3.45 06/15/2037 265,000
3,495,000 HILLSBOROUGH COUNTY FL AVIATION AUTHORITY PROJECT 2723 (AIRPORT
REVENUE, AMBAC INSURED)SS.+/- 3.49 10/01/2015 3,495,000
4,370,000 HILLSBOROUGH COUNTY FL PORT DISTRICT PROJECT 2571 (AIRPORT REVENUE,
MBIA INSURED)SS.+/- 3.48 06/01/2020 4,370,000
3,675,000 JACKSONVILLE FL ECONOMIC DEVELOPMENT COMMISSION STI PROJECT
(ECONOMIC DEVELOPMENT REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.46 12/01/2020 3,675,000
3,100,000 MANATEE COUNTY FL HFA VILLAGE AT CORTEZ APARTMENTS SERIES A
(HOUSING REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.47 01/15/2037 3,100,000
4,575,000 ORANGE COUNTY FL HOMEOWNER MT 118 (HOUSING REVENUE)SS.+/- 3.49 03/01/2034 4,575,000
5,220,000 SCA TAX-EXEMPT TRUST PT 2517 LEE COUNTY FL (HOUSING REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.49 01/01/2030 5,220,000
TOTAL FLORIDA (COST $24,955,000) 24,955,000
---------------
GEORGIA - 6.24%
26,300,000 CRISP COUNTY GA SOLID WASTE MANAGEMENT AUTHORITY (OTHER REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.83 01/01/2023 26,300,000
2,925,000 GWINNETT COUNTY GA SCHOOL DISTRICT (PROPERTY TAX REVENUE) 4.50 12/29/2006 2,933,532
TOTAL GEORGIA (COST $29,233,531) 29,233,532
---------------
IDAHO - 0.55%
2,575,000 BONNEVILLE COUNTY ID INDUSTRIAL DEVELOPMENT CORPORATION YELLOWSTONE
PLASTICS PROJECT (IDR)SS.+/- 3.59 08/01/2014 2,575,000
---------------
ILLINOIS - 8.45%
1,500,000 CHICAGO IL CRANE CARTON COMPANY PROJECT (OTHER REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.47 06/01/2012 1,500,000
2,185,000 GENEVA IL CONTINENTAL ENVELOPE PROJECT PUTTABLE (IDR, BANK ONE
CHICAGO NA LOC)SS.+/- 3.70 09/01/2006 2,185,000
3,655,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY MCL INCORPORATED PROJECT
(IDR)SS.+/- 3.70 06/01/2017 3,655,000
900,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY SURGIPATH MEDICAL INDUSTRY
PROJECT (IDR)SS.+/- 3.59 06/01/2011 900,000
1,165,000 ILLINOIS FINANCE AUTHORITY MERUG LLC SERIES B (IDR, JPMORGAN
CHASE BANK LOC)SS.+/- 3.70 12/01/2018 1,165,000
4,000,000 ILLINOIS FINANCE AUTHORITY RELIABLE MATERIALS PROJECT (OTHER
REVENUE, MARSHALL & ISLEY BANK LOC)SS.+/- 3.48 06/01/2026 4,000,000
5,905,000 ILLINOIS FINANCE AUTHORITY VILLAGEBROOK APARTMENTS PROJECT (HOUSING
REVENUE, FHLMC INSURED)SS.+/- 3.47 05/01/2035 5,905,000
9,750,000 ILLINOIS HOUSING DEVELOPMENT AUTHORITY HOMEOWNER MORTGAGE A3
(HOUSING REVENUE, STATE STREET BANK & TRUST CA LOC)SS.+/- 3.48 08/01/2035 9,750,000
2,700,000 LAKE COUNTY IL BROWN PAPER GOODS PROJECT (IDR, BANK ONE CHICAGO NA
LOC)SS.+/- 3.70 10/01/2021 2,700,000
2,600,000 LAKE COUNTY IL NORTHPOINT ASSOCIATION (IDR, NORTHERN TRUST
CORPORATION LOC)SS.+/- 3.56 07/01/2029 2,600,000
1,830,000 LAKE ZURICH IL (ECONOMIC DEVELOPMENT REVENUE, JPMORGAN CHASE
BANK LOC)SS.+/- 3.70 12/01/2009 1,830,000
900,000 WILL COUNTY IL BP AMOCO CHEMICAL COMPANY PROJECT (IDR LOC)SS.+/- 3.65 07/01/2031 900,000
2,500,000 WILL COUNTY IL EXEMPT FACILITIES BP AMOCO CHEMICAL COMPANY
(IDR)SS.+/- 3.65 04/01/2030 2,500,000
TOTAL ILLINOIS (COST $39,590,000) 39,590,000
---------------
36
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
INDIANA - 1.22%
$ 380,000 INDIANA STATE EDUCATIONAL FACILITIES AUTHORITY REVENUE UNIVERSITY
OF INDIANAPOLIS (COLLEGE & UNIVERSITY REVENUE, FIFTH THIRD BANK
LOC)SS.+/- 3.62% 10/01/2030 $ 380,000
2,500,000 INDIANA STATE FINANCE AUTHORITY PSI ENERGY INCORPORATED PROJECT
S SERIES B (OTHER REVENUE)SS.+/- 3.46 10/01/2040 2,500,000
1,600,000 WHITING IN ENVIRONMENTAL FACILITIES AMOCO OIL COMPANY PROJECT
(IDR)SS.+/- 3.65 07/01/2031 1,600,000
1,250,000 WHITING IN INDUSTRIAL SEWER & SOLID WASTE DISPOSAL AMOCO OIL
COMPANY PROJECT (IDR)SS.+/- 3.65 01/01/2026 1,250,000
TOTAL INDIANA (COST $5,730,000) 5,730,000
---------------
KENTUCKY - 2.01%
3,000,000 CARROLL COUNTY KY SOLID WASTE DISPOSAL BPB ACQUISITION PROJECT
(IDR, BANK OF AMERICA NA LOC)SS.+/- 3.47 05/01/2031 3,000,000
4,155,000 DAVIESS COUNTY KY PARK REGENCY (OTHER REVENUE, SOCIETE GENERALE
LOC)SS.+/- 3.70 07/01/2020 4,155,000
2,270,000 MADISONVILLE KY INDUSTRIAL BUILDING PERIOD INCORPORATED PROJECT
(IDR)SS.+/- 3.59 05/01/2015 2,270,000
TOTAL KENTUCKY (COST $9,425,000) 9,425,000
---------------
LOUISIANA - 2.63%
2,800,000 LAKE CHARLES LA HARBOR & DISTRICT CONOCO INCORPORATED PROJECT B
(IDR, BANK ONE CHICAGO NA LOC)SS.+/- 3.47 09/01/2012 2,800,000
9,500,000 PORT OF NEW ORLEANS LA (IDR, BANQUE NATIONALE PARIS LOC)SS.+/- 3.47 06/01/2034 9,500,000
TOTAL LOUISIANA (COST $12,300,000) 12,300,000
---------------
MAINE - 1.92%
9,000,000 MAINE STATE HOUSING AUTHORITY PARK VILLAGE (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.48 10/28/2032 9,000,000
---------------
MICHIGAN - 2.78%
2,000,000 MICHIGAN STATE SERIES A (PROPERTY TAX REVENUE) 4.50 09/29/2006 2,001,851
700,000 MICHIGAN STATE STRATEGIC FUND GRAYLING GENERATING PROJECT (IDR,
BARCLAYS BANK PLC LOC)SS.+/- 3.45 01/01/2014 700,000
10,320,000 WAYNE COUNTY MI AIRPORT AUTHORITY (AIRPORT REVENUE, MBIA
INSURED)SS.+/- 3.48 12/01/2024 10,320,000
TOTAL MICHIGAN (COST $13,021,852) 13,021,851
---------------
MINNESOTA - 5.25%
1,835,000 HENNEPIN COUNTY MN HOUSING & RDA STONE ARCH APARTMENTS PROJECT
(MFHR, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.47 04/15/2035 1,835,000
175,000 INVER GROVE HEIGHTS MN INVER GROVE INCORPORATED PROJECT (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.42 05/15/2035 175,000
2,140,000 MINNEAPOLIS & ST. PAUL MN METROPOLITAN AIRPORTS COMMISSION (AIRPORT
REVENUE, FGIC INSURED)SS.+/- 3.49 01/01/2013 2,140,000
1,200,000 MINNEAPOLIS MN DRIFTWOOD APARTMENTS PROJECT A (HOUSING REVENUE,
US BANK NA LOC)SS.+/- 3.52 10/01/2024 1,200,000
130,000 MINNEAPOLIS MN GATEWAY REAL ESTATE (HOUSING REVENUE, US BANK NA
LOC)SS.+/- 3.47 10/01/2032 130,000
3,605,000 MINNESOTA STATE HIGHER EDUCATION FACILITIES AUTHORITY SCHOLASTICA
SERIES 6A (HOUSING REVENUE, MARSHALL & ISLEY BANK LOC)SS.+/- 3.57 12/01/2034 3,605,000
5,060,000 MINNESOTA STATE RESIDENTIAL HOUSING SERIES B (HOUSING REVENUE,
GENERAL OBLIGATION OF AUTHORITY)SS.+/- 3.45 01/01/2033 5,060,000
2,290,000 MINNESOTA STATE RESIDENTIAL HOUSING SERIES C (HOUSING REVENUE,
GENERAL OBLIGATION OF AUTHORITY)SS.+/- 3.45 01/01/2035 2,290,000
1,905,000 MINNESOTA STATE RESIDENTIAL HOUSING SERIES J (HOUSING REVENUE,
GENERAL OBLIGATION OF AUTHORITY)SS.+/- 3.45 07/01/2033 1,905,000
325,000 MONTROSE MN LYMAN LUMBER COMPANY PROJECT (IDR, US BANK NA
LOC)SS.+/- 3.67 05/01/2026 325,000
37
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MINNESOTA (CONTINUED)
$ 155,000 ST. LOUIS PARK MN KNOLLWOOD PLACE (MFHR, FNMA INSURED)SS.+/- 3.42% 10/01/2035 $ 155,000
1,140,000 ST. LOUIS PARK MN NEWPORT ON SEVEN APARTMENTS PROJECT (MFHR, FNMA
INSURED)SS.+/- 3.47 09/15/2031 1,140,000
450,000 ST. PAUL MN HOUSING & RDA DISTRICT COOLING SERIES I (IDR, DEXIA
CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.50 06/01/2015 450,000
800,000 ST. PAUL MN HOUSING & RDA DISTRICT COOLING SERIES L (IDR, DEXIA
CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.50 03/01/2018 800,000
2,250,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES R (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.67 03/01/2022 2,250,000
385,000 ST. PAUL MN PORT AUTHORITY SERIES 06-3 (RECREATIONAL FACILITIES
REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.57 04/01/2036 385,000
750,000 ST. PAUL MN PORT AUTHORITY SERIES 2005-4 SERIES I (ELECTRIC
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.47 12/01/2025 750,000
TOTAL MINNESOTA (COST $24,595,000) 24,595,000
---------------
MISSISSIPPI - 0.43%
910,000 MISSISSIPPI BUSINESS FINANCE CORPORATION ARCH ALUMINUM & GLASS
PROJECT (IDR, COMERCIA BANK CA LOC)SS.+/- 3.61 01/01/2014 910,000
100,000 MISSISSIPPI BUSINESS FINANCE CORPORATION CENTRAL BAKING COMPANY
(OTHER REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.46 11/01/2025 100,000
1,000,000 MISSISSIPPI BUSINESS FINANCE CORPORATION REGIONAL ASSEMBLY &
MANUFACTURING PROJECT (IDR, JPMORGAN CHASE BANK LOC)SS.+/- 3.47 12/01/2018 1,000,000
TOTAL MISSISSIPPI (COST $2,010,000) 2,010,000
---------------
MISSOURI - 1.14%
3,300,000 HANNIBAL MO IDA BUCKHORN RUBBER PRODUCTS PROJECT (IDR, BANK ONE
CHICAGO NA LOC)SS.+/- 3.70 03/01/2010 3,300,000
1,045,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY BAPTIST
COLLEGE (COLLEGE & UNIVERSITY REVENUE, US BANK NA LOC)SS.+/- 3.62 11/15/2022 1,045,000
990,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY SOUTHWEST
BAPTIST UNIVERSITY PROJECT (HEALTHCARE FACILITIES REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.62 10/01/2033 990,000
TOTAL MISSOURI (COST $5,335,000) 5,335,000
---------------
NEVADA - 3.13%
3,700,000 CLARK COUNTY NV COGENERATION ASSOCIATION II (IDR)SS.+/- 3.65 12/01/2022 3,700,000
8,000,000 CLARK COUNTY NV PASSENGER FACILITIES CHARGE MCCARRAN INTERNATIONAL
AIRPORT SERIES A2 (HARBOR DEPARTMENT REVENUE, MBIA INSURED)SS.+/- 3.46 07/01/2022 8,000,000
2,975,000 NEVADA HOUSING DIVISION SERIES A (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.45 10/15/2035 2,975,000
TOTAL NEVADA (COST $14,675,000) 14,675,000
---------------
NEW HAMPSHIRE - 0.83%
3,900,000 NEW HAMPSHIRE STATE BUSINESS FINANCE AUTHORITY KEENEY MANUFACTURING
COMPANY PROJECT (IDR, FLEET NATIONAL BANK LOC)SS.+/- 3.46 11/01/2019 3,900,000
---------------
NEW MEXICO - 1.07%
5,000,000 NEW MEXICO STATE TRAN (OTHER REVENUE) 4.50 06/29/2007 5,029,385
---------------
NORTH CAROLINA - 1.55%
1,755,000 CLEVELAND COUNTY NC INDUSTRIAL FACILITIES & PCFA BLACHFORD RUBBER
PROJECT (IDR, BANK ONE CHICAGO NA LOC)SS.+/- 3.53 07/01/2023 1,755,000
5,500,000 HALIFAX COUNTY NC INDUSTRIAL FACILITIES & PCFA WESTMORELAND
(IDR, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.65 12/01/2019 5,500,000
TOTAL NORTH CAROLINA (COST $7,255,000) 7,255,000
---------------
38
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
NORTH DAKOTA - 2.80%
$ 3,000,000 NORTH DAKOTA STATE HFA HOME MORTGAGE PROGRAM SERIES A (HOUSING
REVENUE, LLOYDS BANK LOC)SS.+/- 3.47% 07/01/2037 $ 3,000,000
6,630,000 NORTH DAKOTA STATE HFA HOME MORTGAGE PROGRAM SERIES B (HOUSING
REVENUE, KBC BANK NV LOC)SS.+/- 3.47 01/01/2034 6,630,000
3,500,000 NORTH DAKOTA STATE HFA HOME MORTGAGE PROGRAM SERIES B (HOUSING
REVENUE)SS.+/- 3.47 01/01/2035 3,500,000
13,130,000
---------------
OHIO - 0.29%
1,365,000 FRANKLIN COUNTY OH LIFELINE SHELTER SYSTEMS PROJECT (IDR, BANK ONE
CHICAGO NA LOC)SS.+/- 3.70 10/01/2021 1,365,000
TOTAL OHIO (COST $1,365,000) 1,365,000
---------------
OTHER - 2.97%
15,000 CLIPPER BRIGANTINE TAX-EXEMPT TRUST CERTIFICATES SERIES 2002
(OTHER REVENUE, STATE STREET BANK & TRUST COMPANY LOC)SS.+/-++I 3.76 02/01/2030 15,000
13,902,000 CLIPPER TAX-EXEMPT COP (OTHER REVENUE)SS.+/- 3.61 08/01/2007 13,902,000
TOTAL OTHER (COST $13,917,000) 13,917,000
---------------
PENNSYLVANIA - 1.62%
3,910,000 PENNSYLVANIA ECONOMIC DEVELOPMENT FINANCING AUTHORITY EXEMPT
FACILITIES PROJECT SERIES B (LEASE REVENUE, MORGAN GUARANTY
TRUST LOC)SS.+/- 3.49 11/01/2041 3,910,000
3,700,000 PENNSYLVANIA HIGHER EDUCATIONAL ASSISTANCE AGENCY SERIES A
(COLLEGE & UNIVERSITY REVENUE, AMBAC INSURED)SS.+/- 3.45 06/01/2029 3,700,000
TOTAL PENNSYLVANIA (COST $7,610,000) 7,610,000
---------------
SOUTH CAROLINA - 4.47%
680,000 FLORENCE COUNTY SC SOLID WASTE DISPOSAL & WASTEWATER TREATMENT
ROCHE CAROLINA INCORPORATED PROJECT (IDR, DEUTSCHE BANK
AG LOC)SS.+/- 3.65 04/01/2026 680,000
4,770,000 FLORENCE COUNTY SC SOLID WASTE DISPOSAL & WASTEWATER TREATMENT
ROCHE CAROLINA INCORPORATED PROJECT (IDR, DEUTSCHE BANK
AG LOC)SS.+/- 3.65 04/01/2027 4,770,000
1,500,000 FLORENCE COUNTY SC SOLID WASTE DISPOSAL & WASTEWATER TREATMENT
ROCHE CAROLINA INCORPORATED PROJECT (IDR, DEUTSCHE
BANK AG LOC)SS.+/- 3.65 04/01/2028 1,500,000
5,000,000 SOUTH CAROLINA JOBS ECONOMIC DEVELOPMENT AUTHORITY SOUTH ATLANTIC
CANNERS PROJECT (IDR, WACHOVIA BANK LOC)SS.+/- 3.46 12/01/2021 5,000,000
5,000,000 SOUTH CAROLINA JOBS ECONOMIC DEVELOPMENT AUTHORITY WASTE MANAGEMENT
(IDR, WACHOVIA BANK LOC)SS.+/- 3.46 07/01/2024 5,000,000
4,000,000 SOUTH CAROLINA STATE HOUSING FINANCE & DEVELOPMENT AUTHORITY ROCKY
CREEK (MFHR, WACHOVIA BANK LOC)SS.+/- 3.46 01/01/2048 4,000,000
TOTAL SOUTH CAROLINA (COST $20,950,000) 20,950,000
---------------
TENNESSEE - 5.34%
1,645,000 COFFEE COUNTY TN INDUSTRIAL BOARD INCORPORATED MCKEY PERFORATED
PRODUCTS PROJECT (IDR)SS.+/- 3.59 06/01/2016 1,645,000
8,000,000 HUNTINGDON TN INDUSTRIAL DEVELOPMENT BOARD BEHLEN MANUFACTURING
COMPANY PROJECT (IDR)SS.+/- 3.62 05/01/2020 8,000,000
7,450,000 SCA TAX-EXEMPT TRUST PT 2518 HAMILTON COUNTY TN INDUSTRIAL
(HOUSING REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.49 01/01/2030 7,450,000
2,925,000 SCA TAX-EXEMPT TRUST PT 2520 MEMPHIS TN HEALTH EDUCATIONAL FINANCE
(HOUSING REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.49 01/01/2030 2,925,000
5,000,000 SHELBY COUNTY TN HEALTH & EDUCATIONAL HOUSING FACILITIES COURTYARDS
APARTMENTS SERIES I PROJECT A (HOUSING REVENUE, NATIONSBANK
NA LOC)SS.+/- 3.47 07/01/2022 5,000,000
TOTAL TENNESSEE (COST $25,020,000) 25,020,000
---------------
39
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
TEXAS - 7.15%
$ 750,000 CALHOUN COUNTY TX NAVY IDASS.+/- 3.65% 01/01/2024 $ 750,000
12,400,000 CALHOUN COUNTY TX NAVY IDA PORT FORMOSA PLASTICS CORPORATION
PROJECT (IDR, BANK OF AMERICA NA LOC)SS.+/- 3.47 11/01/2015 12,400,000
3,990,000 DALLAS FORT WORTH TX INTERNATIONAL AIRPORT SERIES 778 Z
(AIRPORT REVENUE, MBIA INSURED)SS.+/- 3.48 11/01/2011 3,990,000
900,000 GULF COAST TX IDA ENVIRONMENTAL FACILITIES REVENUE CITGO PETROLEUM
CORPORATION PROJECT (IDR LOC)SS.+/- 3.65 02/01/2032 900,000
3,100,000 GULF COAST TX IDA SOLID WASTE DISPOSAL CITGO PETROLEUM CORPORATION
PROJECT (IDR, BANK OF SCOTLAND LOC)SS.+/- 3.65 04/01/2026 3,100,000
2,060,000 HARRIS COUNTY TX INDUSTRIAL DEVELOPMENT CORPORATION PRECISION
GENERAL INCORPORATED PROJECT (IDR, MORGAN GUARANTY TRUST LOC)SS.+/- 3.53 10/01/2016 2,060,000
1,525,000 KATY TX INDEPENDENT SCHOOL DISTRICT SERIES C (PROPERTY TAX
REVENUE)SS.+/- 3.41 08/15/2036 1,525,000
2,300,000 MONTGOMERY COUNTY TX POROUS MEDIA LIMITED PROJECT
(IDR, US BANK NA LOC)SS.+/- 3.62 09/01/2015 2,300,000
2,500,000 NORTH TEXAS HIGHER EDUCATION AUTHORITY INCORPORATED STUDENT LOAN
SERIES A (COLLEGE & UNIVERSITY REVENUE, AMBAC INSURED)SS.+/- 3.48 04/01/2036 2,500,000
3,000,000 TEXAS STATE SERIES A2 (OTHER REVENUE)SS.+/- 3.46 12/01/2029 3,000,000
1,000,000 WEST SIDE CALHOUN COUNTY TX NAVAL DISTRICT BP CHEMICALS INCORPORATED
PROJECT (IDR)SS.+/- 3.65 04/01/2031 1,000,000
TOTAL TEXAS (COST $33,525,000) 33,525,000
---------------
UTAH - 1.60%
7,500,000 UTAH HOUSING CORPORATION TODD HOLLOW APARTMENTS SERIES A (HOUSING
REVENUE)SS.+/- 3.66 07/01/2038 7,500,000
---------------
VIRGINIA - 1.32%
6,200,000 CAPITAL REGION AIRPORT COMMISSION VA SERIES A (AIRPORT REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.46 06/01/2035 6,200,000
---------------
WASHINGTON - 9.18%
250,000 PORT OF BELLINGHAM WA INDUSTRIAL DEVELOPMENT CORPORATION BP WEST
COAST PRODUCTS LLC PROJECT (IDR)SS.+/- 3.65 12/01/2033 250,000
5,000,000 PORT OF SEATTLE WA (OTHER REVENUE)SS.+/- 3.48 09/01/2035 5,000,000
4,700,000 PORT OF SEATTLE WA INDUSTRIAL DEVELOPMENT CORPORATION CROWLEY
MARINE SERVICES PROJECT BP WEST COAST PRODUCTS LLC PROJECT (AIRPORT
REVENUE, CITIBANK NA LOC)SS.+/- 3.47 12/31/2021 4,700,000
7,275,000 SCA TAX-EXEMPT TRUST PT 2519 WASHINGTON STATE HOUSING FINANCE
(HOUSING REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.49 01/01/2030 7,275,000
8,000,000 WASHINGTON STATE ECONOMIC DEVELOPMENT FINANCING AUTHORITY WASTE
MANAGEMENT INCORPORATED PROJECT SERIES D (OTHER REVENUE, JPMORGAN
CHASE BANK LOC)SS.+/- 3.46 07/01/2027 8,000,000
2,700,000 WASHINGTON STATE HOUSING FINANCE COMMISSION HEATHERWOOD APARTMENTS
PROJECT SERIES A (MFHR, US BANK TRUST NA LOC)SS.+/- 3.67 01/01/2035 2,700,000
9,640,000 WASHINGTON STATE HOUSING FINANCE COMMISSION MERRILL GARDENS TACOMA
SERIES A (OTHER REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.50 09/15/2040 9,640,000
1,500,000 WASHINGTON STATE HOUSING FINANCE COMMISSION MILL POINTE APARTMENTS
PROJECT SERIES A (MFHR, US BANK TRUST NA LOC)SS.+/- 3.67 01/01/2030 1,500,000
3,950,000 WASHINGTON STATE HOUSING FINANCE COMMISSION PARK VISTA RETIREMENT
PROJECT A (MFHR, BANK OF AMERICA NA LOC)SS.+/- 3.73 03/01/2041 3,950,000
TOTAL WASHINGTON (COST $43,015,000) 43,015,000
---------------
WEST VIRGINIA - 3.80%
17,800,000 MARION COUNTY WV COMMISSION SOLID WASTE DISPOSAL FACILITIES GRANT
TOWN PROJECT A (OTHER REVENUE, DEUTSCHE BANK AG LOC)SS.+/- 3.45 10/01/2017 17,800,000
---------------
40
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
WISCONSIN - 3.03%
$ 1,685,000 ASHWAUBENON WI VALLEY PACKAGING SUPPLY COMPANY (IDR)SS.+/- 3.59% 05/01/2020 $ 1,685,000
1,105,000 MIDDLETON WI FRISTAM PUMPS INCORPORATED PROJECT (IDR)SS.+/- 3.59 05/01/2020 1,105,000
3,500,000 MILWAUKEE WI RDA DEVELOPMENT HELWIG CARBON PRODUCTS SERIES A
(IDR)SS.+/- 3.59 11/01/2028 3,500,000
3,095,000 NEW LONDON WI WOHLT CHEESE CORPORATION PROJECT (IDR)SS.+/- 3.59 07/01/2021 3,095,000
1,385,000 OREGON WI FIVE K PARTNERSHIP PROJECT A (IDR, US BANK NA LOC)SS.+/- 3.52 06/01/2021 1,385,000
3,400,000 WISCONSIN HOUSING & ECONOMIC DEVELOPMENT AUTHORITY HOME OWNERSHIP
SERIES I (HOUSING REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.48 09/01/2032 3,400,000
45,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY AURORA
HEALTH CARE SERIES C (HEALTHCARE FACILITIES REVENUE, MARSHALL &
ISLEY BANK LOC)SS.+/- 3.57 04/01/2028 45,000
TOTAL WISCONSIN (COST $14,215,000) 14,215,000
---------------
TOTAL MUNICIPAL BONDS & NOTES (COST $438,121,768) 438,121,767
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $469,574,768)* 100.20% $ 469,574,768
OTHER ASSETS AND LIABILITIES, NET (0.20) (919,234)
------ ---------------
TOTAL NET ASSETS 100.00% $ 468,655,534
====== ===============
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
I ILLIQUID SECURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
41
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MUNICIPAL BONDS & NOTES - 89.04%
ALABAMA - 3.97%
$ 7,980,000 BALDWIN COUNTY AL BOARD OF EDUCATION (SALES TAX REVENUE, AMBAC
INSURED)SS.+/- 3.45% 06/01/2025 $ 7,980,000
51,650,000 COLUMBIA AL IDA SERIES A (IDR)SS.+/- 3.57 06/01/2022 51,650,000
14,315,000 COLUMBIA AL IDA SERIES B (PCR)SS.+/- 3.57 05/01/2022 14,315,000
8,700,000 EUTAW AL IDA PCR ALABAMA POWER COMPANY PROJECT (IDR)SS.+/- 3.57 06/01/2028 8,700,000
5,050,000 HOMEWOOD AL EDUCATIONAL BUILDING AUTHORITY SAMFORD UNIVERSITY
(COLLEGE & UNIVERSITY REVENUE, AMBAC INSURED)SS.+/- 3.55 12/01/2021 5,050,000
21,105,000 JEFFERSON COUNTY AL SEWER REVENUE SERIES A (SEWER REVENUE
LOC)SS.+/- 3.42 02/01/2042 21,105,000
17,535,000 MOBILE AL INFIRMARY HEALTH SYSTEM SPECIAL CARE FACILITIES
SERIES A (HFFA REVENUE, BANK OF NOVA SCOTIA)SS.+/- 3.41 02/01/2040 17,535,000
8,900,000 MOBILE AL SPRING HILL COLLEGE EDUCATIONAL BUILDING AUTHORITY
SPRING HILL COLLEGE PROJECT SERIES B (COLLEGE & UNIVERSITY
REVENUE, REGIONS BANK LOC)SS.+/- 3.44 09/01/2024 8,900,000
5,595,000 MONTGOMERY AL BMC SPECIAL CARE FACILITIES AUTHORITY SERIES 435
(NURSING HOME REVENUE, MBIA INSURED)SS.+/- 3.45 11/15/2029 5,595,000
5,800,000 PRICHARD UNIVERSITY MOBILE AL EDUCATIONAL BUILDING AUTHORITY
UNIVERSITY MOBILE PROJECT (LEASE REVENUE, REGIONS BANK LOC)SS.+/- 3.43 03/01/2025 5,800,000
146,630,000
---------------
ALASKA - 0.47%
7,495,000 ALASKA STATE HOUSING FINANCE CORPORATION FLOATER PA 1057
(HOUSING REVENUE, MBIA INSURED)SS.+/- 3.45 06/01/2026 7,495,000
10,000,000 NORTH SLOPE BORO AK SERIES A (PROPERTY TAX REVENUE, MBIA
INSURED)SS.+/- 3.44 06/30/2010 10,000,000
17,495,000
---------------
ARIZONA - 4.42%
39,130,000 ARIZONA BANNER HEALTH SERIES B (HEALTHCARE FACILITIES REVENUE,
FGIC INSURED)SS.+/- 3.40 01/01/2035 39,130,000
25,385,000 ARIZONA TOURISM & SPORTS AUTHORITY MULTI-PURPOSE STADIUM
FACULTY SERIES A (SPORTS FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.40 07/01/2036 25,385,000
10,625,000 MARICOPA COUNTY AZ IDA SERIES A (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.42 04/15/2030 10,625,000
5,615,000 PIMA COUNTY AZ IDA (IDR, SOCIETE GENERALE LOC)SS.+/- 3.45 06/01/2007 5,615,000
42,745,000 SALT RIVER AZ PIMA MARICOPA INDIAN COMMUNITY (OTHER REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.41 10/01/2025 42,745,000
35,000,000 SCOTTSDALE AZ HEALTHCARE SERIES B (IDR, FGIC INSURED)SS.+/- 3.40 09/01/2026 35,000,000
4,575,000 SCOTTSDALE AZ IDA HOSPITAL HEALTHCARE SERIES C (HFFA REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.40 09/01/2035 4,575,000
163,075,000
---------------
CALIFORNIA - 5.35%
5,775,000 AFFORDABLE HOUSING AGENCY CALIFORNIA MFHR WESTRIDGE HILLTOP
SERIES A (HOUSING REVENUE LOC)SS.+/- 3.35 09/15/2033 5,775,000
2,465,000 APPLE VALLEY CA UNIVERSITY SCHOOL DISTRICT SERIES 524
(PROPERTY TAX REVENUE LOC)SS.+/- 3.44 08/01/2012 2,465,000
575,000 CALIFORNIA ADVENTIST HEALTH SYSTEMS SERIES A (HFFA REVENUE,
WACHOVIA BANK NA LOC)SS.+/- 3.55 09/01/2025 575,000
15,680,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES B3 (POWER
REVENUE LOC)SS.+/- 3.50 05/01/2022 15,680,000
1,265,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C1 (POWER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.30 05/01/2022 1,265,000
18,965,000 CALIFORNIA STATE ECONOMIC RECOVERY (SALES TAX REVENUE, MBIA
INSURED)SS.+/- 3.44 07/01/2014 18,965,000
1,040,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C10 (SALES TAX
REVENUE LOC)SS.+/- 3.32 07/01/2023 1,040,000
15,155,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C9 (SALES TAX
REVENUE, BANK OF NOVA SCOTIA)SS.+/- 3.50 07/01/2023 15,155,000
100,000 CALIFORNIA STATE PUBLIC WORKS BOARD CERTIFICATES SERIES D
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.41 12/01/2019 100,000
42
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 3,000,000 CALIFORNIA STATE SERIES 1435 (COLLEGE & UNIVERSITY REVENUE,
MBIA INSURED)SS.+/- 3.44% 11/01/2013 $ 3,000,000
24,085,000 GOLDEN STATE CA TOBACCO SECURITIZATION CORPORATION (OTHER
REVENUE, FGIC INSURED)SS.+/- 3.44 06/01/2038 24,085,000
930,000 GOLDEN WEST CA SCHOOLS CA FINANCING AUTHORITY (PROPERTY TAX
REVENUE, FGIC INSURED)SS.+/- 3.44 09/01/2024 930,000
10,845,000 LOS ANGELES CA COMMUNITY RDA (LEASE REVENUE, AMBAC INSURED)SS.+/- 3.44 09/01/2030 10,845,000
16,145,000 LOS ANGELES CA CONVENTION & EXHIBIT CENTER AUTHORITY SERIES E
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.37 08/15/2021 16,145,000
9,250,000 LOS ANGELES CA DEPARTMENT WATER & POWER CLASS A (WATER REVENUE,
AMBAC INSURED)SS.+/- 3.45 07/01/2035 9,250,000
2,765,000 LOS ANGELES CA SERIES 184 (WATER REVENUE, FIRST SECURITY BANK
LOC)SS.+/- 3.44 01/01/2009 2,765,000
5,730,000 PLEASANT VALLEY CA SCHOOL DISTRICT (PROPERTY TAX REVENUE LOC)SS.+/- 3.43 08/01/2020 5,730,000
7,050,000 SACRAMENTO COUNTY CA SANITATION DISTRICT FINANCING AUTHORITY
CLASS A (SEWER REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2035 7,050,000
11,350,000 SAN BERNARDINO CA CITY USD (PROPERTY TAX REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.44 08/01/2026 11,350,000
5,840,000 SAN DIEGO CA (WATER REVENUE, FGIC INSURED)SS.+/- 3.44 08/01/2024 5,840,000
16,405,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS B
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 16,405,000
11,730,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS C
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 11,730,000
1,480,000 SANTA CRUZ CA CITY HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE,
MBIA INSURED)SS.+/- 3.44 08/01/2025 1,480,000
4,400,000 VERNON CA NATURAL GAS FINANCING VERNON GAS PROJECT SERIES B
(OTHER REVENUE, MBIA INSURED)SS.+/- 3.27 08/01/2021 4,400,000
5,370,000 WALNUT CA ENERGY CONTROL AUTHORITY POINTE 2335 (ELECTRIC
REVENUE, AMBAC INSURED)SS.+/- 3.44 01/01/2021 5,370,000
197,395,000
---------------
COLORADO - 1.05%
1,700,000 ARVADA COUNTY CO (WATER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.75 11/01/2020 1,700,000
2,385,000 COLORADO EDUCATIONAL & CULTURAL FACILITIES AUTHORITY SERIES A8
(OTHER REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.60 09/01/2035 2,385,000
7,560,000 CORNERSTONE CO METROPOLITAN DISTRICT #1 (GO - POLITICAL
SUBDIVISION, BANK OF AMERICA NA LOC)SS.+/- 3.44 12/01/2036 7,560,000
15,125,000 FITZSIMONS RDA COLORADO UNIVERSITY PHYSICIANS INCORPORATED
(COLLEGE & UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.47 01/01/2025 15,125,000
5,270,000 JEFFERSON COUNTY CO SCHOOL DISTRICT #R-001 SERIES 665
(PROPERTY TAX REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 12/15/2012 5,270,000
3,240,000 MESA COUNTY CO VALLEY SCHOOL DISTRICT #051 GRAND JUNCTION
SERIES 684 (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.45 12/01/2012 3,240,000
3,560,000 SOUTHEAST CO PUBLIC IMPROVEMENT METROPOLITAN DISTRICT
(PROPERTY TAX REVENUE, US BANK NA LOC)SS.+/- 3.46 11/15/2034 3,560,000
38,840,000
---------------
DELAWARE - 0.42%
15,600,000 KENT COUNTY DE STUDENT HOUSING (COLLEGE & UNIVERSITY REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41 07/01/2036 15,600,000
---------------
FLORIDA - 2.23%
39,510,000 ALACHUA COUNTY FL OAK HAMMOCK UNIVERSITY OF FLORIDA PROJECT
SERIES A (HEALTHCARE FACILITIES REVENUE, BNP PARIBAS LOC)SS.+/- 3.57 10/01/2032 39,510,000
3,145,000 BOYNTON BEACH FL COMMUNITY RDA FLORIDA TAX INCREMENT SERIES 657
(TAX INCREMENTAL REVENUE, MBIA INSURED)SS.+/- 3.45 10/01/2012 3,145,000
2,635,000 BREVARD COUNTY FL SCHOOL BOARD COP SERIES 638 (LEASE REVENUE,
FGIC INSURED)SS.+/- 3.45 07/01/2012 2,635,000
43
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FLORIDA (CONTINUED)
$ 9,000,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20010906 CLASS A (FLORIDA
STATE BOARD OF EDUCATION LOTTERY SERIES B) (OTHER REVENUE, FGIC
INSURED)SS.+/- 3.46% 07/01/2019 $ 9,000,000
4,400,000 FLORIDA HFA (MFHR, FHLMC INSURED)SS.+/- 3.40 12/01/2013 4,400,000
565,000 FORT LAUDERDALE FL ANN STORCK CENTER INCORPORATED PROJECT
(HEALTHCARE FACILITIES REVENUE, WACHOVIA BANK LOC)SS.+/- 3.56 12/01/2014 565,000
3,540,000 FORT LAUDERDALE FL PINE CREST PREP SCHOOL PROJECT (PRIVATE
SCHOOL REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.41 06/01/2032 3,540,000
3,700,000 JACKSONVILLE FL BAPTIST MEDICAL CENTER PROJECT (HEALTHCARE
FACILITIES REVENUE, WACHOVIA BANK LOC)SS.+/- 3.55 08/15/2021 3,700,000
100,000 JACKSONVILLE FL SAMUEL C. TAYLOR FOUNDATION PROJECT
(HEALTHCARE FACILITIES REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.46 12/01/2023 100,000
3,415,000 JACKSONVILLE FL CHARITY OB GROUP C (HOSPITAL REVENUE, MBIA
INSURED)SS.+/- 3.55 08/15/2019 3,415,000
1,460,000 ORANGE COUNTY FL CENTRAL FLORIDA YMCA PROJECT SERIES A (IDR,
BANK OF AMERICA NA LOC)SS.+/- 3.43 05/01/2027 1,460,000
1,200,000 ORANGE COUNTY FL IDA JEWISH FEDERATION OF GREATER ORLANDO
PROJECT (PRIVATE SCHOOL REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.41 01/01/2028 1,200,000
1,865,000 ORANGE COUNTY FL SCHOOL BOARD COP PUTTERS SERIES 560
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.45 08/01/2012 1,865,000
5,500,000 PALM BEACH COUNTY FL ZOOLOGICAL SOCIETY INCORPORATED PROJECT
(RECREATIONAL FACILITIES REVENUE, NORTHERN TRUST CORPORATION
LOC)SS.+/- 3.43 05/01/2031 5,500,000
2,200,000 SARASOTA COUNTY FL UTILITY SYSTEM (WATER REVENUE, FGIC
INSURED)SS.+/- 3.45 10/01/2010 2,200,000
82,235,000
---------------
GEORGIA - 2.54%
1,190,000 COBB COUNTY GA DEVELOPMENT AUTHORITY UNIVERSITY FACILITIES SERIES
580 (COLLEGE & UNIVERSITY REVENUE, MBIA INSURED)SS.+/- 3.45 07/15/2012 1,190,000
4,270,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20001003 CLASS A (ATLANTA
GA AIRPORT SERIES A) (AIRPORT REVENUE, FGIC INSURED)SS.+/- 3.46 01/01/2030 4,270,000
26,400,000 FULTON COUNTY GA NORTHSIDE SERIES A (HOSPITAL REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41 10/01/2018 26,400,000
4,595,000 FULTON COUNTY GA NORTHSIDE SERIES B (HOSPITAL REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.55 10/01/2033 4,595,000
2,000,000 FULTON COUNTY GA RESIDENTIAL CARE FACILITIES (HEALTHCARE
FACILITIES REVENUE)SS.+/- 3.62 01/01/2018 2,000,000
5,235,000 FULTON DE KALB GA ROCS RR II R 2074 (HEALTHCARE FACILITIES
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 01/01/2020 5,235,000
13,440,000 GEORGIA LOCAL GOVERNMENT COP SERIES K (GO - POLITICAL
SUBDIVISION)SS.+/- 3.51 12/01/2022 13,440,000
5,500,000 GEORGIA PRIVATE COLLEGES & UNIVERSITY AUTHORITY MERCER
UNIVERSITY PROJECT SERIES A (OTHER REVENUE)SS.+/- 3.47 10/01/2036 5,500,000
2,800,000 GEORGIA STATE SERIES 1034 (OTHER REVENUE, MORGAN STANLEY DEAN
WITTER LOC)SS.+/-I 3.45 05/01/2020 2,800,000
19,200,000 GWINNETT COUNTY GA SCHOOL DISTRICT (PROPERTY TAX REVENUE) 4.50 12/29/2006 19,256,000
9,285,000 ROSELL GA HOUSING AUTHORITY (HOUSING REVENUE, FHLMC INSURED)SS.+/- 3.41 01/01/2034 9,285,000
93,971,000
---------------
HAWAII - 0.39%
8,000,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20011101 CLASS A (HAWAII
STATE HIGHWAY) (TOLL ROAD REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.46 07/01/2016 8,000,000
6,485,000 HAWAII STATE ROCS RR II R 6058 (GO - STATES, TERRITORIES, MBIA
INSURED)SS.+/- 3.45 10/01/2021 6,485,000
14,485,000
---------------
ILLINOIS - 10.73%
5,000,000 CHICAGO IL BOARD OF EDUCATION CERTIFICATES SERIES A (PROPERTY
TAX REVENUE)SS.+/- 3.51 06/01/2021 5,000,000
10,925,000 CHICAGO IL O'HARE INTERNATIONAL AIRPORT (AIRPORT REVENUE, MBIA
INSURED)SS.+/- 3.45 01/01/2026 10,925,000
5,375,000 CHICAGO IL PARK DISTRICT ROCS RR II R 4018 (STATE & LOCAL
GOVERNMENTS, AMBAC INSURED)SS.+/- 3.45 01/01/2024 5,375,000
44
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
ILLINOIS (CONTINUED)
$ 35,725,000 CHICAGO IL SERIES B1 (PROPERTY TAX REVENUE, FIRST SECURITY
BANK LOC)SS.+/- 3.43% 01/01/2034 $ 35,725,000
20,600,000 CHICAGO IL SERIES D (OTHER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.41 01/01/2040 20,600,000
5,700,000 CHICAGO IL SERIES SG 131 (SALES TAX REVENUE, FGIC INSURED)SS.+/- 3.44 01/01/2027 5,700,000
3,747,000 COOK COUNTY IL GO CERTIFICATES SERIES 458 (PROPERTY TAX
REVENUE, FGIC INSURED)SS.+/- 3.45 11/15/2028 3,747,000
5,124,685 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20021301 CLASS A (ILLINOIS
STATE) (GO - STATES, TERRITORIES, FGIC INSURED)SS.+/- 3.46 02/01/2019 5,124,685
18,025,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20021303 CLASS A (COOK
COUNTY IL SERIES C) (PROPERTY TAX REVENUE, AMBAC INSURED)SS.+/- 3.46 11/15/2025 18,025,000
3,999,755 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20021304 CLASS A (GO -
STATES, TERRITORIES, FGIC INSURED)SS.+/- 3.46 02/01/2027 3,999,755
36,300,000 HOFFMAN ESTATES IL HOFFMAN ESTATES ECONOMIC (TAX REVENUE,
NORTHERN TRUST CORPORATION LOC)SS.+/- 3.43 01/01/2010 36,300,000
3,800,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY BRADLEY UNIVERSITY
PROJECT (COLLEGE & UNIVERSITY REVENUE, FGIC INSURED)SS.+/- 3.40 08/01/2032 3,800,000
29,750,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY MUSEUM OF CONTEMPORARY
ARTS PROJECT (RECREATIONAL FACILITIES REVENUE, BANK ONE CHICAGO
NA LOC)SS.+/- 3.48 02/01/2029 29,750,000
26,180,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY PRESBYTERIAN HOME LAKE
SERIES A (HOUSING REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.43 09/01/2031 26,180,000
11,700,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY SACRED HEART SCHOOLS
PROJECT (EDUCATIONAL FACILITIES REVENUE, FIFTH THIRD BANK LOC)SS.+/- 3.44 07/01/2033 11,700,000
11,300,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY THE UNO-VEN COMPANY
PROJECT (IDR, BANK ONE CHICAGO NA LOC)SS.+/- 3.53 09/01/2008 11,300,000
5,500,000 ILLINOIS FINANCE AUTHORITY (PRIVATE SCHOOL REVENUE, NORTHERN
TRUST CORPORATION LOC)SS.+/- 3.44 07/01/2035 5,500,000
14,200,000 ILLINOIS FINANCE AUTHORITY (RECREATIONAL FACILITIES REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.44 03/01/2040 14,200,000
10,000,000 ILLINOIS FINANCE AUTHORITY PRESBYTERIAN HOMES (HFFA REVENUE,
NORTHERN TRUST CORPORATION LOC)SS.+/- 3.44 09/01/2024 10,000,000
12,200,000 ILLINOIS FINANCE AUTHORITY RUSH UNIVERSITY MEDICAL CENTER
SERIES A1 (HFFA REVENUE, MBIA INSURED)SS.+/- 3.40 11/01/2035 12,200,000
33,370,000 ILLINOIS FINANCE AUTHORITY SPERTUS INSTITUTE (GO - STATES,
TERRITORIES, NORTHERN TRUST CORPORATION LOC)SS.+/- 3.43 09/01/2035 33,370,000
15,315,000 ILLINOIS HEALTH FACILITIES AUTHORITY (HOSPITAL REVENUE, MBIA
INSURED)SS.+/- 3.44 05/15/2024 15,315,000
14,100,000 ILLINOIS RIVERSIDE HEALTH SYSTEMS (HEALTHCARE FACILITIES
REVENUE, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.45 11/01/2019 14,100,000
8,200,000 ILLINOIS ST. LUKES MEDICAL CENTER OBLIGATION SERIES B
(HEALTHCARE FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.42 11/15/2023 8,200,000
4,500,000 ILLINOIS STATE MUNICIPAL TRUST RECEIPTS SERIES SG9 (SALES TAX
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.44 06/15/2019 4,500,000
185,000 ILLINOIS STATE NEWBERRY LIBRARY (OTHER REVENUE, NORTHERN TRUST
CORPORATION LOC)SS.+/- 3.53 03/01/2028 185,000
200,000 ILLINOIS STATE SERIES 660 (PROPERTY TAX REVENUE, AMBAC
INSURED)SS.+/- 3.45 11/01/2012 200,000
2,290,000 ILLINOIS STATE SERIES 679 (PROPERTY TAX REVENUE, AMBAC
INSURED)SS.+/- 3.45 11/01/2012 2,290,000
7,530,000 ILLINOIS STATE SERIES G (GO - STATES, TERRITORIES)SS.+/- 3.49 05/01/2012 7,530,000
21,500,000 ILLINOIS STATE TOLL HIGHWAY AUTHORITY SERIES 1355 (STATE &
LOCAL GOVERNMENTS, FIRST SECURITY BANK LOC)SS.+/- 3.45 01/01/2014 21,500,000
4,500,000 ILLINOIS STATE XAVIER UNIVERSITY PROJECT SERIES A (COLLEGE &
UNIVERSITY REVENUE, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.45 10/01/2032 4,500,000
6,800,000 LOMBARD IL IDA 2500 HIGLAND AVENUE PROJECT (IDR, MID-AMERICA
FEDERAL SAVINGS & LOAN LOC) 3.86 12/01/2006 6,800,000
2,660,000 WARREN COUNTY IL INDUSTRIAL PROJECT MONMOUTH COLLEGE PROJECT
(COLLEGE & UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.44 12/01/2032 2,660,000
396,301,440
---------------
45
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
INDIANA - 3.46%
$ 5,420,000 HAMMOND IN SCHOOL BUILDING CORPORATION SERIES 658 (LEASE
REVENUE, MBIA INSURED)SS.+/- 3.45% 07/15/2012 $ 5,420,000
5,530,000 INDIANA HEALTH & EDUCATIONAL FACILITIES FINANCING AUTHORITY
SCHNECK MEMORIAL HOSPITAL SERIES B (HOSPITAL REVENUE, FIFTH THIRD
BANK LOC)SS.+/- 3.57 02/15/2036 5,530,000
6,915,000 INDIANA HFFA DEACONESS HOSPITAL INCORPORATION (HEALTHCARE
FACILITIES REVENUE, FIFTH THIRD BANK LOC)SS.+/- 3.41 01/01/2022 6,915,000
7,600,000 INDIANA SERIES 107 (HFFA REVENUE, MBIA INSURED)SS.+/- 3.44 11/01/2019 7,600,000
7,000,000 INDIANA STATE EDUCATIONAL FACILITIES AUTHORITY REVENUE EDUCATIONAL
FACILITIES UNIVERSITY INDIANAPOLIS (COLLEGE & UNIVERSITY REVENUE,
FIFTH THIRD BANK LOC)SS.+/- 3.62 10/01/2030 7,000,000
1,985,000 INDIANA TRANSIT FINANCE AUTHORITY HIGHWAY SERIES B21 (TOLL
ROAD REVENUE, FGIC INSURED)SS.+/- 3.45 12/01/2022 1,985,000
2,050,000 INDIANA UNIVERSITY (COLLEGE & UNIVERSITY REVENUE, AMBAC
INSURED)SS.+/- 3.45 08/01/2023 2,050,000
7,000,000 MARSHALL COUNTY IN ECONOMIC DEVELOPMENT (PRIVATE SCHOOL
REVENUE, BANK ONE CHICAGO NA LOC)SS.+/- 3.48 01/01/2035 7,000,000
1,600,000 RICHMOND IN REID HOSPITAL & HEALTH CARE SERVICES INCORPORATED
HOSPITAL AUTHORITY HOSPITAL SERIES A (HOSPITAL REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.40 01/01/2040 1,600,000
82,675,000 ST. JOSEPH COUNTY IN EDUCATIONAL FACILITY (EDUCATIONAL
FACILITIES REVENUE)SS.+/- 3.35 03/01/2040 82,675,000
127,775,000
---------------
IOWA - 1.81%
2,960,000 IOWA FINANCE AUTHORITY CEDARWOOD HILLS PROJECT SERIES A (MFHR,
FHLMC INSURED)SS.+/- 3.47 05/01/2031 2,960,000
12,535,000 IOWA FINANCE AUTHORITY SERIES A2 (HEALTHCARE FACILITIES
REVENUE, FGIC INSURED)SS.+/- 3.40 02/15/2035 12,535,000
19,035,000 IOWA HIGHER EDUCATION LOAN AUTHORITY LORAS COLLEGE PROJECT
(COLLEGE & UNIVERSITY REVENUE, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.57 11/01/2030 19,035,000
29,185,000 IOWA HIGHER EDUCATION LOAN AUTHORITY PRIVATE COLLEGES AMBROSE
(COLLEGE & UNIVERSITY REVENUE LOC)SS.+/- 3.57 04/01/2033 29,185,000
3,150,000 IOWA HIGHER EDUCATION PRIVATE COLLEGE FACILITIES (COLLEGE &
UNIVERSITY REVENUE, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.57 11/01/2032 3,150,000
66,865,000
---------------
KANSAS - 0.39%
14,430,000 KANSAS STATE DEVELOPMENT FINANCE AUTHORITY REVENUE VLG SHALOM
OBLIGATION GROUP SERIES BB (HEALTHCARE FACILITIES REVENUE LOC)
SS.+/- 3.57 11/15/2028 14,430,000
---------------
KENTUCKY - 0.75%
700,000 BRECKINRIDGE COUNTY KY LEASE PROGRAM REVENUE ASSOCIATIONSS.+/- 3.60 02/01/2032 700,000
27,000,000 KENTUCKY INCORPORATED PUBLIC ENERGY AUTHORITY SERIES A (OTHER
REVENUE, SOCIETE GENERALE LOC)SS.+/- 3.60 08/01/2016 27,000,000
27,700,000
---------------
LOUISIANA - 2.81%
7,700,000 EAST BATON ROUGE PARISH LA (SALES TAX REVENUE, AMBAC INSURED)SS.+/- 3.45 02/01/2024 7,700,000
8,500,000 LAKE CHARLES LA HARBOR & TERMINAL DISTRICT PORT FACILITIES
PUTTABLE (IDR, BANQUE NATIONALE PARIS LOC)SS.+/- 3.48 08/01/2007 8,500,000
7,845,000 LOUISIANA HFA WOODWARD (HOUSING REVENUE, FHLB INSURED)SS.+/- 3.51 09/01/2033 7,845,000
73,215,000 LOUISIANA PUBLIC FACILITY AUTHORITY CHRISTUS HEALTH SUBSERIES
C2 (HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.40 07/01/2041 73,215,000
6,330,000 LOUISIANA STATE UNIVERSITY AGRICULTURE & MECHANICAL COLLEGE
SERIES 7038 (EDUCATIONAL FACILITIES REVENUE, FGIC INSURED)SS.+/- 3.45 07/01/2024 6,330,000
103,590,000
---------------
46
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MAINE - 0.11%
$ 4,200,000 MAINE STATE TURNPIKE AUTHORITY TURNPIKE SERIES 547 (TOLL ROAD
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45% 07/01/2012 $ 4,200,000
---------------
MARYLAND - 1.15%
29,800,000 MARYLAND STATE HEALTH & HIGHER EDUCATIONAL FACILITIES VILLA
JULE COLLEGE (COLLEGE & UNIVERSITY REVENUE, BANK OF AMERICA NA LOC)
SS.+/- 3.41 07/01/2030 29,800,000
6,025,000 MARYLAND STATE SERIES B (HEALTHCARE FACILITIES REVENUE, GO OF
INSTITUTION)SS.+/- 3.39 04/01/2035 6,025,000
2,905,000 MONTGOMERY COUNTY MD ECONOMIC DEVELOPMENT (HOSPITAL REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41 03/01/2032 2,905,000
3,845,000 WESTMINSTER MD (COLLEGE & UNIVERSITY REVENUE, WACHOVIA BANK
LOC)SS.+/- 3.41 04/01/2030 3,845,000
42,575,000
---------------
MASSACHUSETTS - 0.77%
5,615,000 MASSACHUSETTS SCHOOL BUILDING AUTHORITY SERIES 613 (SALES TAX
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 08/15/2030 5,615,000
6,510,000 MASSACHUSETTS TURNPIKE AUTHORITY METROPOLITAN HIGHWAY SYSTEM
(TRANSPORTATION REVENUE, CITIBANK NA LOC)SS.+/- 3.45 01/01/2037 6,510,000
16,250,000 ROUTE 3 NORTH TRANSPORTATION IMPORT ASSOCIATION MASSACHUSETTS
SERIES B (LEASE REVENUE, AMBAC INSURED)SS.+/- 3.39 06/15/2033 16,250,000
28,375,000
---------------
MICHIGAN - 3.85%
10,970,000 DETROIT MI (WATER REVENUE, MBIA INSURED)SS.+/- 3.44 01/01/2011 10,970,000
7,200,000 DETROIT MI CITY SCHOOL DISTRICT EAGLE-20026014 CLASS A
(PROPERTY TAX REVENUE, FGIC INSURED)SS.+/- 3.46 05/01/2032 7,200,000
4,620,000 DETROIT MI RESOURCE RECOVERY AUTHORITY SERIES 167Z (OTHER
REVENUE, AMBAC INSURED)SS.+/- 3.45 12/13/2008 4,620,000
900,000 FARMINGTON HILLS MI HOSPITAL FINANCE AUTHORITY BOTSFORD
GENERAL HOSPITAL SERIES B (HEALTHCARE FACILITIES REVENUE, MBIA
INSURED)SS.+/- 3.62 02/15/2016 900,000
6,000,000 MICHIGAN SERIES B2 (STATE & LOCAL GOVERNMENTS, BANK OF NOVA
SCOTIA) 4.50 08/20/2007 6,045,880
14,325,000 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY SERIES B
(HEALTHCARE FACILITIES REVENUE)SS.+/- 3.39 11/15/2033 14,325,000
1,055,000 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY TRINITY HEALTH
CREDIT (HOSPITAL REVENUE, CIFG INSURED)SS.+/- 3.60 11/01/2040 1,055,000
62,000,000 MICHIGAN STATE SERIES A (PROPERTY TAX REVENUE) 4.50 09/29/2006 62,057,383
4,000,000 MICHIGAN STATE STRATEGIC FUNDING LIMITED OBLIGATION GRAND
RAPIDS ART MUSEUM SERIES A (RECREATIONAL FACILITIES REVENUE, LASALLE
NATIONAL BANK NA LOC)SS.+/- 3.43 05/01/2041 4,000,000
8,940,000 MICHIGAN STATE STRATEGIC FUNDING LIMITED OBLIGATION ORCHESTRA
PLACE RENEWAL PROJECT (OTHER REVENUE, STANDARD FEDERAL BANK LOC)
SS.+/- 3.44 09/01/2022 8,940,000
800,000 MICHIGAN STATE STRATEGIC FUNDING LIMITED OBLIGATION REVENUE
DETROIT SYMPHONY PROJECT SERIES A STANDARD FEDERAL BANK LOC
(ECONOMIC DEVELOPMENT REVENUE LOC)SS.+/- 3.57 06/01/2031 800,000
7,360,000 MICHIGAN STATE STRATEGIC FUNDING LIMITED OBLIGATION YMCA
NILES MICHIGAN INCORPORATED (IDR, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.43 09/01/2040 7,360,000
7,250,000 MICHIGAN TECHNOLOGICAL UNIVERSITY SERIES A (EDUCATIONAL
FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.45 10/01/2018 7,250,000
6,670,000 OAKLAND COUNTY MI ECONOMIC DEVELOPMENT CORPORATION LIMITED
OBLIGATION PONTIAC VISION SCHOOLS PROJECT (PRIVATE SCHOOL REVENUE,
ALLIED IRISH BANK PLC LOC)SS.+/- 3.44 08/01/2020 6,670,000
142,193,263
---------------
MINNESOTA - 8.18%
9,900,000 ANDOVER MN PRESBYTERIAN HOMES INCORPORATED PROJECT (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.42 11/15/2033 9,900,000
3,171,000 ARDEN HILLS MN PRESBYTERIAN HOMES SERIES B (HEALTHCARE
FACILITIES REVENUE, US BANK NA LOC)SS.+/- 3.62 09/01/2029 3,171,000
47
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MINNESOTA (CONTINUED)
$ 2,100,000 BROOKLYN CENTER MN BROOKDALE (IDR, FIRSTAR BANK NA LOC)SS.+/- 3.62% 12/01/2014 $ 2,100,000
3,495,000 BURNSVILLE MN BERKSHIRE PROJECT SERIES A (MFHR, FNMA
INSURED)SS.+/- 3.42 07/15/2030 3,495,000
7,125,000 BURNSVILLE MN SOUTHWIND APARTMENTS PROJECT (MFHR, FHLMC
INSURED)SS.+/- 3.42 01/01/2035 7,125,000
450,000 CENTER CITY MN HAZELDEN FOUNDATION PROJECT (HEALTHCARE
FACILITIES REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.57 11/01/2035 450,000
19,030,000 COHASSET MN POWER & LIGHT COMPANY PROJECT A (IDR, LASALLE
NATIONAL BANK NA LOC)SS.+/- 3.44 06/01/2020 19,030,000
7,530,000 COHASSET MN POWER & LIGHT COMPANY PROJECT B (IDR, LASALLE
NATIONAL BANK NA LOC)SS.+/- 3.44 06/01/2013 7,530,000
2,000,000 COHASSET MN POWER & LIGHT COMPANY PROJECT D (POWER REVENUE
LOC) 3.44 12/01/2007 2,000,000
3,250,000 CRYSTAL MN MFHR CRYSTAL APARTMENTS PROJECT COLLATERALIZED BY
FHLB (MFHR LOC)SS.+/- 3.45 05/01/2027 3,250,000
1,405,000 DAKOTA COUNTY MN HOUSING & RDA PROJECT 484 (MFHR, FHLMC
INSURED)SS.+/- 3.46 12/01/2022 1,405,000
3,260,000 DULUTH MN ECONOMIC DEVELOPMENT AUTHORITY MILLER-DWAN MEDICAL
CENTER PROJECT (HEALTHCARE FACILITIES REVENUE, US BANK NA LOC)SS.+/- 3.62 06/01/2019 3,260,000
3,155,000 EAGAN MN MFHR FLOATS PT 1221 (MFHR LOC)SS.+/- 3.46 12/01/2029 3,155,000
1,950,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20012301 CLASS A
(MINNESOTA STATE) (PROPERTY TAX REVENUE)SS.+/- 3.46 10/01/2019 1,950,000
11,360,000 EDINA MN EDINA PARK PLAZA (MFHR, FHLMC INSURED)SS.+/- 3.45 12/01/2029 11,360,000
6,175,000 ELK RIVER MN INDEPENDENT SCHOOL DISTRICT #728 SERIES 183
(PROPERTY TAX REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 02/01/2021 6,175,000
10,930,000 INVER GROVE HEIGHTS MN INVER GROVE INCORPORATED PROJECT
(HOUSING REVENUE, FNMA INSURED)SS.+/- 3.42 05/15/2035 10,930,000
5,070,000 MANKATO MN HIGHLAND PROJECT (HOUSING REVENUE, LASALLE
NATIONAL BANK NA LOC)SS.+/- 3.62 05/01/2027 5,070,000
10,280,000 MAPLEWOOD MN EDUCATIONAL FACILITIES MOUNDS PARK ACADEMY
PROJECT (PRIVATE SCHOOL REVENUE, US BANK NA LOC)SS.+/- 3.47 10/01/2031 10,280,000
7,530,000 MINNEAPOLIS & ST. PAUL MN METROPOLITAN AIRPORTS COMMISSION
(AIRPORT REVENUE, FGIC INSURED)SS.+/- 3.45 01/01/2023 7,530,000
2,055,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES
SERIES A (HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.40 11/15/2032 2,055,000
14,000,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES
SERIES B (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.40 11/15/2026 14,000,000
38,515,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES
SERIES B (HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.38 11/15/2029 38,515,000
8,300,000 MINNEAPOLIS MN MACPHAIL CENTER FOR MUSIC PROJECT (STATE &
LOCAL GOVERNMENTS, US BANK NA LOC)SS.+/- 3.62 08/01/2036 8,300,000
3,380,000 MINNEAPOLIS MN PEOPLE SERVING PEOPLE PROJECT SERIES A (OTHER
REVENUE, US BANK NA LOC)SS.+/- 3.62 10/01/2021 3,380,000
195,000 MINNEAPOLIS MN WOMAN'S CLUB OF MINNEAPOLIS PROJECT (OTHER
REVENUE, BREMER BANK LOC)SS.+/- 3.52 05/01/2023 195,000
565,000 MINNESOTA PUBLIC FACILITIES AUTHORITY WATER MERLOTS 2003-B06
(PCR LOC)SS.+/- 3.45 03/01/2021 565,000
12,170,000 MINNESOTA SCHOOL DISTRICTS TAX & AID ANTICIPATION BORROWING
PROGRAM CERTIFICATES (LEASE REVENUE, SCHOOL DISTRICT CREDIT PROGRAM
INSURED) 4.00 09/12/2006 12,173,716
1,405,000 MINNESOTA STATE HIGHER EDUCATION FACILITIES AUTHORITY
SCHOLASTICA SERIES 6A (HOUSING REVENUE, MARSHALL & ISLEY BANK LOC)
SS.+/- 3.57 12/01/2034 1,405,000
7,095,000 MINNESOTA STATE UNIVERSITY OF ST. THOMAS SERIES 4O (COLLEGE &
UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.40 10/01/2021 7,095,000
5,245,000 MINNESOTA STATE UNIVERSITY OF ST. THOMAS SERIES 5L (COLLEGE &
UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.40 04/01/2027 5,245,000
3,910,000 MINNETONKA MN (HOUSING REVENUE, FNMA INSURED)SS.+/- 3.42 05/15/2034 3,910,000
48
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MINNESOTA (CONTINUED)
$ 2,665,000 MINNETONKA MN MINNETONKA HILLS APARTMENTS (MFHR, FNMA
INSURED)SS.+/- 3.42% 11/15/2031 $ 2,665,000
5,350,000 PINE CITY MN (STATE AGENCY HOUSING REVENUE, FNMA INSURED)SS.+/- 3.42 05/15/2036 5,350,000
2,865,000 PLYMOUTH MN LANCASTER VILLAGE APARTMENTS PROJECT (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.42 09/15/2031 2,865,000
900,000 ROCHESTER MN SERIES 177 (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.45 11/15/2027 900,000
650,000 ROSEVILLE MN PRESBYTERIAN HOMES CARE PROJECT (HEALTHCARE
FACILITIES REVENUE, US BANK NA LOC)SS.+/- 3.62 10/01/2029 650,000
3,520,000 ROSEVILLE MN PRIVATE SCHOOL FACILITIES REVENUE NORTHWESTERN
COLLEGE PROJECT (EDUCATIONAL FACILITIES REVENUE LOC)SS.+/- 3.62 11/01/2022 3,520,000
3,990,000 SCA TAX-EXEMPT TRUST PT 2523 BURNVILLE (HOUSING REVENUE LOC)SS.+/- 3.46 01/01/2030 3,990,000
2,000,000 ST. ANTHONY MN AUTUMN WOODS HOUSING PROJECT (MFHR, FNMA)SS.+/- 3.42 05/15/2032 2,000,000
2,975,000 ST. LOUIS PARK MN KNOLLWOOD PLACE (MFHR, FNMA INSURED)SS.+/- 3.42 10/01/2035 2,975,000
4,985,000 ST. PAUL MN HOUSING & RDA PUBLIC RADIO PROJECT (OTHER REVENUE,
ALLIED IRISH BANK PLC LOC)SS.+/- 3.62 05/01/2022 4,985,000
5,220,000 ST. PAUL MN HOUSING & RDA PUBLIC RADIO PROJECT (OTHER REVENUE,
ALLIED IRISH BANK PLC LOC)SS.+/- 3.57 10/01/2025 5,220,000
2,475,000 ST. PAUL MN HOUSING & RDA DISTRICT HEATING REVENUE SERIES A
(WATER REVENUE LOC)SS.+/- 3.45 12/01/2012 2,475,000
2,500,000 ST. PAUL MN PORT AUTHORITY (HOUSING REVENUE, FHLMC INSURED)SS.+/- 3.42 02/01/2034 2,500,000
1,500,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES J (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.42 12/01/2025 1,500,000
3,770,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES M (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.62 03/01/2021 3,770,000
1,535,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES O (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.62 03/01/2012 1,535,000
835,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES Q (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.45 03/01/2022 835,000
20,825,000 ST. PAUL MN PORT AUTHORITY SERIES 06-3 (RECREATIONAL
FACILITIES REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.57 04/01/2036 20,825,000
7,160,000 ST. PAUL MN PORT AUTHORITY TAX INCREMENT WESTGATE OFFICE &
INDUSTRIAL CENTER PROJECT (IDR, US BANK NA LOC)SS.+/- 3.50 02/01/2015 7,160,000
8,210,000 ST. PAUL MN PUBLIC RADIO PROJECT SERIES 7 (OTHER REVENUE,
ALLIED IRISH BANK PLC LOC)SS.+/- 3.57 05/01/2025 8,210,000
2,250,000 UNIVERSITY OF MINNESOTA SERIES C (COLLEGE & UNIVERSITY
REVENUE, GO OF UNIVERSITY)SS.+/- 3.41 12/01/2036 2,250,000
302,184,716
---------------
MISSOURI - 1.57%
4,300,000 INDEPENDENCE MO IDA THE MANSIONS PROJECT (MFHR, FHLMC
INSURED)SS.+/- 3.42 08/01/2035 4,300,000
23,600,000 KANSAS CITY MO IDA REVENUE EWING MARION KAUFFMAN FOUNDATION
(OTHER REVENUE LOC)SS.+/- 3.57 04/01/2027 23,600,000
995,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
BAPTIST COLLEGE (COLLEGE & UNIVERSITY REVENUE, US BANK NA LOC)SS.+/- 3.62 11/15/2022 995,000
1,475,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
BETHESDA HEALTH GROUP INCORPORATED (HEALTHCARE FACILITIES REVENUE,
US BANK NA LOC)SS.+/- 3.62 08/01/2034 1,475,000
12,585,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
DRURY COLLEGE (COLLEGE & UNIVERSITY REVENUE, BANK OF AMERICA
NA LOC) SS.+/- 3.62 08/15/2024 12,585,000
3,010,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
SOUTHWEST BAPTIST UNIVERSITY PROJECT (HEALTHCARE FACILITIES
REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.62 10/01/2033 3,010,000
145,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY ST.
LOUIS UNIVERSITY PROJECT SERIES A (COLLEGE & UNIVERSITY REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.60 10/01/2009 145,000
5,000,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
BETHESDA HEALTH GROUP (HEALTHCARE FACILITIES REVENUE, US BANK
NA LOC) SS.+/- 3.62 08/01/2037 5,000,000
49
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MISSOURI (CONTINUED)
$ 6,000,000 ST. CHARLES COUNTY MO PUBLIC WATER SUPPLY DISTRICT #2 COP
SERIES A (WATER REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.41% 12/01/2033 $ 6,000,000
1,000,000 ST. LOUIS COUNTY MO IDA WHITFIELD SCHOOL INCORPORATED SERIES
B (COLLEGE & UNIVERSITY REVENUE, US BANK NA LOC)SS.+/- 3.44 06/15/2024 1,000,000
58,110,000
---------------
NEBRASKA - 0.70%
3,510,000 BUFFALO COUNTY NE AGREX INCORPORATED PROJECT (IDR, JPMORGAN
CHASE BANK LOC)SS.+/- 3.65 02/01/2015 3,510,000
1,100,000 LANCASTER COUNTY NE HOSPITAL AUTHORITY #1 BRYAN LEIGH MEDICAL
CENTER PROJECT AMBAC INSURED (HOSPITAL REVENUE LOC)SS.+/- 3.57 06/01/2018 1,100,000
10,360,000 LANCASTER COUNTY NE HOSPITAL AUTHORITY HEALTH FACILITIES
REVENUE IMMANUEL HEALTH SYSTEM SERIES A (HEALTH FACILITIES
FINANCING AUTHORITY REVENUE LOC)SS.+/- 3.60 07/01/2030 10,360,000
5,100,000 NUCKOLLS COUNTY NE AGREX INCORPORATED PROJECT (OTHER REVENUE,
JPMORGAN CHASE BANK LOC)SS.+/- 3.65 02/01/2015 5,100,000
5,725,000 SARPY COUNTY NE HOSPITAL AUTHORITY #1 IMMANUEL HEALTH SYSTEMS
PROJECT SERIES B (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.60 07/01/2030 5,725,000
25,795,000
---------------
NEVADA - 2.41%
39,700,000 CLARK COUNTY NV AIRPORT IMPROVEMENT REVENUE SERIES A (AIRPORT
REVENUE LOC)SS.+/- 3.40 07/01/2012 39,700,000
17,475,000 LAS VEGAS CONVENTION & VISITORS AUTHORITY (SPORTS FACILITIES
REVENUE, AMBAC INSURED)SS.+/- 3.45 07/01/2018 17,475,000
21,000,000 LAS VEGAS NV ECONOMIC DEVELOPMENT (OTHER REVENUE, BANK OF NEW
YORK LOC)SS.+/- 3.41 10/01/2035 21,000,000
6,660,000 RENO-TAHOE NV AIRPORT AUTHORITY (AIRPORT REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.45 07/01/2025 6,660,000
4,075,000 WASHOE COUNTY NV SCHOOL DISTRICT (PROPERTY TAX REVENUE, FGIC
INSURED)SS.+/- 3.45 06/01/2020 4,075,000
88,910,000
---------------
NEW HAMPSHIRE - 0.58%
12,405,000 NEW HAMPSHIRE HEALTH & EDUCATION FACILITIES AUTHORITY COLBY
SAWYER COLLEGE (EDUCATIONAL FACILITIES REVENUE, ALLIED IRISH BANK
PLC LOC)SS.+/- 3.43 09/01/2036 12,405,000
5,000,000 NEW HAMPSHIRE HEALTH & EDUCATION FACILITIES AUTHORITY FRISBIE
MEMORIAL HOSPITAL (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.45 10/01/2036 5,000,000
4,000,000 NEW HAMPSHIRE HEALTH & EDUCATION FACILITIES HEALTH CARE SERIES A
(OTHER REVENUE,JPMORGAN CHASE BANK LOC)SS.+/- 3.47 01/01/2030 4,000,000
21,405,000
---------------
NEW MEXICO - 1.79%
2,635,000 NEW MEXICO FINANCE AUTHORITY STATE TRANSACTION SERIES 435
(SALES TAX REVENUE, MBIA INSURED)SS.+/- 3.45 12/15/2011 2,635,000
1,015,000 NEW MEXICO HOUSING AUTHORITY REGION III ARBORS COURTYARD
APARTMENTS SERIES A1 (MFHR, FNMA INSURED)SS.+/- 3.42 01/15/2033 1,015,000
62,145,000 NEW MEXICO STATE TRAN (OTHER REVENUE) 4.50 06/29/2007 62,510,230
66,160,230
---------------
NEW YORK - 4.04%
22,500,000 METROPOLITAN TRANSPORTATION AUTHORITY NEW YORK
(TRANSPORTATION REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.44 05/15/2030 22,500,000
5,225,000 NEW YORK NY (PROPERTY TAX REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2022 5,225,000
11,620,000 NEW YORK NY (PROPERTY TAX REVENUE, FGIC INSURED)SS.+/- 3.44 04/01/2025 11,620,000
9,000,000 NEW YORK NY (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.45 08/01/2022 9,000,000
32,530,000 NEW YORK NY SUBSERIES E3 (PROPERTY TAX REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.40 08/01/2034 32,530,000
50
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
NEW YORK (CONTINUED)
$ 59,650,000 NEW YORK STATE DORMITORY AUTHORITY MENTAL HEALTH FACILITIES
IMPROVEMENT SERIES F2A (HEALTHCARE FACILITIES REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.37% 02/15/2021 $ 59,650,000
8,485,000 NEW YORK STATE ENVIRONMENTAL FACILITIES CORPORATION ST. PETERS
INCOME TAX (TAX REVENUE, FGIC INSURED)SS.+/- 3.45 12/15/2024 8,485,000
149,010,000
---------------
NORTH CAROLINA - 1.12%
700,000 ALBERMARLE NC HOSPITAL AUTHORITY (HEALTHCARE FACILITIES REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41 10/01/2015 700,000
1,650,000 CHARLOTTE-MECKLENBERG NC HOSPITAL AUTHORITY CAROLINAS HEALTHCARE
SERIES B (OTHER REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.55 01/15/2026 1,650,000
7,305,000 MECKLENBURG COUNTY NC (OTHER REVENUE, WACHOVIA BANK LOC)SS.+/- 3.41 02/01/2016 7,305,000
7,095,000 NORTH CAROLINA EASTERN MUNICIPAL POWER AGENCY SERIES A2 (ELECTRIC
REVENUE, MBIA INSURED)SS.+/- 3.45 01/01/2022 7,095,000
3,595,000 NORTH CAROLINA MEDICAL CARE COMMUNITY (HEALTHCARE FACILITIES
REVENUE, WACHOVIA BANK LOC)SS.+/- 3.41 10/01/2015 3,595,000
18,450,000 NORTH CAROLINA MEDICAL CARE COMMUNITY DUKE UNIVERSITY HEALTH SYSTEM
SERIES A (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.39 06/01/2028 18,450,000
2,470,000 NORTH CAROLINA MEDICAL CARE COMMUNITY PRESBYTERIAN HOME PROJECT
(HEALTHCARE FACILITIES REVENUE, WACHOVIA BANK LOC)SS.+/- 3.41 08/01/2024 2,470,000
41,265,000
---------------
NORTH DAKOTA - 0.08%
2,795,000 WARD COUNTY ND TRINITY OBLIGATION GROUP SERIES A (HOSPITAL REVENUE,
US BANK NA LOC)SS.+/- 3.62 07/01/2029 2,795,000
---------------
OHIO - 1.09%
11,805,000 HAMILTON COUNTY OH HEALTH CARE FACILITIES REVENUE DEACONESS LONG
TERM CARE SERIES A (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.40 05/15/2030 11,805,000
1,655,000 OHIO STATE SERIES A (LEASE REVENUE, FIFTH THIRD BANK LOC)SS.+/- 3.60 09/01/2027 1,655,000
11,000,000 OHIO STATE WATER DEVELOPMENT AUTHORITY FIRST ENERGY GENERAL
CORPORATION SERIES A (IDR, BARCLAYS BANK PLC LOC)SS.+/- 3.57 05/15/2019 11,000,000
12,955,000 PARMA OH COMMUNITY GENERAL HOSPITAL SERIES A (OTHER REVENUE,
JPMORGAN CHASE BANK LOC)SS.+/- 3.40 11/01/2029 12,955,000
2,810,000 WARREN COUNTY OH CINCINNATI ELECTRICITY CORPORATION PROJECT (IDR,
SCOTIABANK LOC)SS.+/- 3.45 09/01/2015 2,810,000
40,225,000
---------------
OKLAHOMA - 1.18%
7,200,000 MUSKOGEE OK MEDICAL CENTER AUTHORITY (HEALTH FACILITIES FINANCING
AUTHORITY REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.46 10/01/2032 7,200,000
1,000,000 OKLAHOMA DEVELOPMENT FINANCE AUTHORITY CONTINUING CARE COMMUNITY
PROJECT SERIES C (NURSING HOME REVENUE, KBC BANK NV LOC)SS.+/- 3.62 02/01/2012 1,000,000
6,300,000 OKLAHOMA STATE CAPITAL IMPROVEMENT AUTHORITY HIGHER EDUCATION
PROJECTS SERIES D3 (LEASE REVENUE, CIFG INSURED)SS.+/- 3.58 07/01/2033 6,300,000
22,500,000 OKLAHOMA STATE CAPITAL IMPROVEMENT AUTHORITY HIGHER EDUCATION
PROJECTS SERIES D4 (LEASE REVENUE, CIFG INSURED)SS.+/- 3.58 07/01/2034 22,500,000
5,875,000 OKLAHOMA STATE IDA TEAL RIDGE MANOR CORPORATION PROJECT (HEALTHCARE
FACILITIES REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.46 11/01/2018 5,875,000
700,000 TULSA OK IDA TULSA COUNTY HOUSING FUNDING INCORPORATED (HOUSING
REVENUE)SS.+/- 3.65 10/01/2032 700,000
43,575,000
---------------
51
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
OREGON - 0.40%
$ 8,000,000 OREGON STATE HOMEOWNER (OTHER REVENUE, MERRILL LYNCH CAPITAL
SERVICES LOC)SS.+/- 3.46% 05/01/2010 $ 8,000,000
1,595,000 PORTLAND OR (SEWER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 10/01/2012 1,595,000
4,995,000 TRI COUNTY OR METRO TRANSPORTATION DISTRICT SERIES 142 (TAX
REVENUE, MORGAN STANLEY DEAN WITTER LOC)SS.+/- 3.45 08/01/2019 4,995,000
14,590,000
---------------
OTHER - 1.48%
10,120,000 CLIPPER BRIGANTINE TAX-EXEMPT TRUST CERTIFICATES SERIES 2002 (OTHER
REVENUE, STATE STREET BANK & TRUST COMPANY LOC)SS.+/-i++ 3.76 02/01/2030 10,120,000
794,120 ITHAKA PARTNERS II TRUST CERTIFICATES VARIOUS STATES SERIES A CLASS
A (OTHER REVENUE, US BANK NA LOC)SS.+/-++ 4.23 01/01/2010 794,120
3,452,000 NORTHEAST TAX-EXEMPT GRANTOR TRUST CERTIFICATES (OTHER REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.55 04/01/2019 3,452,000
12,890,000 RESET OPTION TRUST CERTIFICATES II-R VARIOUS STATES PUTTABLE (OTHER
REVENUE)SS.+/- 3.51 03/01/2007 12,890,000
24,875,000 SUNAMERICA TRUST CERTIFICATES VARIOUS STATES CLASS A SERIES 2
(OTHER REVENUE, FHLMC INSURED)SS.+/- 3.56 07/01/2041 24,875,000
2,715,000 US BANCORP PROJECT FUNDING TRUST SERIES A (OTHER REVENUE)SS.+/-++ 3.46 01/01/2010 2,715,000
54,846,120
---------------
PENNSYLVANIA - 2.63%
4,900,000 DANIEL BOONE PA AREA SCHOOL DISTRICT (PROPERTY TAX REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.41 08/01/2029 4,900,000
15,725,000 DAUPHIN COUNTY PA GENERAL AUTHORITY PINNACLE HEALTH SYSTEMS PROJECT
(HOSPITAL REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.40 08/15/2027 15,725,000
7,635,000 LEHIGH COUNTY PA ST. LUKES HOSPITAL PROJECT (HOSPITAL REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.55 07/01/2031 7,635,000
20,400,000 MONTGOMERY COUNTY PA (OTHER REVENUE, WACHOVIA BANK LOC)SS.+/- 3.45 10/01/2030 20,400,000
5,975,000 PENNSYLVANIA ECONOMIC DEVELOPMENT FINANCING AUTHORITY TREASURY
DEPARTMENT HOSPITAL ENHANCEMENT LOAN PROGRAM A1 (HOSPITAL REVENUE,
NATIONAL CITY BANK)SS.+/- 3.42 06/01/2031 5,975,000
8,260,000 PENNSYLVANIA ECONOMIC DEVELOPMENT FINANCING AUTHORITY TREASURY
DEPARTMENT HOSPITAL ENHANCEMENT LOAN PROGRAM A3 (HOSPITAL REVENUE,
NATIONAL CITY BANK)SS.+/- 3.42 06/01/2021 8,260,000
7,550,000 PENNSYLVANIA HONEYSUCKLE STUDENT HOLDING SERIES A (COLLEGE &
UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.43 07/01/2034 7,550,000
6,695,000 PENNSYLVANIA TURNPIKE COMMISSION OIL FRANCHISE TAX SERIES II R 1005
(SALES TAX REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2015 6,695,000
14,510,000 PHILADELPHIA PA (WATER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.39 06/15/2023 14,510,000
4,500,000 PHILADELPHIA PA AUTHORITY FOR IDR GIRARD ESTATE ARAMARK PJ (IDR
LOC)SS.+/- 3.42 06/01/2032 4,500,000
1,050,000 PHILADELPHIA PA GAS WORKS SERIES A2 (UTILITIES REVENUE, JPMORGAN
CHASE BANK LOC)SS.+/- 3.45 09/01/2034 1,050,000
97,200,000
---------------
PUERTO RICO - 0.34%
12,620,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20025102 CLASS A (TOLL ROAD
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.44 07/01/2027 12,620,000
---------------
SOUTH CAROLINA - 1.55%
22,400,000 CHARLESTON SC SERIES B (WATER & SEWER REVENUE, WACHOVIA BANK LOC)
SS.+/- 3.41 01/01/2035 22,400,000
17,795,000 PATRIOTS ENERGY GROUP SC GAS FACILITIES SERIES A (UTILITIES
REVENUE, CIFG INSURED)SS.+/- 3.41 06/01/2036 17,795,000
4,135,000 SOUTH CAROLINA EDUCATIONAL FACILITIES AUTHORITY FOR PRIVATE
NONPROFIT INSTITUTIONS (COLLEGE & UNIVERSITY REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.46 02/01/2022 4,135,000
4,420,000 SOUTH CAROLINA JOBS ECONOMIC DEVELOPMENT AUTHORITY (ECONOMIC
DEVELOPMENT REVENUE, WACHOVIA BANK LOC)SS.+/- 3.41 12/01/2024 4,420,000
52
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
SOUTH CAROLINA (CONTINUED)
$ 8,500,000 SOUTH CAROLINA JOBS ECONOMIC DEVELOPMENT AUTHORITY ECONOMIC
DEVELOPMENT REVENUE HEARTLAND HALL EPISCOPAL (IDR LOC)SS.+/- 3.41% 08/01/2029 $ 8,500,000
57,250,000
---------------
SOUTH DAKOTA - 0.14%
5,000,000 SOUTH DAKOTA STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY SIOUX
VALLEY SERIES B (HEALTHCARE FACILITIES REVENUE, US BANK NA LOC)SS.+/- 3.63 11/01/2034 5,000,000
---------------
TENNESSEE - 1.04%
10,000,000 ABN AMRO MUNITOPS CERTIFICATES TRUST 1999-1 MUNITOPS PUTTABLE
(METROPOLITAN GOVERNMENT NASHVILLE & DAVIDSON COUNTY TN)
(OTHER REVENUE, FGIC INSURED)SS.+/-++ 3.44 12/06/2006 10,000,000
4,250,000 METROPOLITAN GOVERNMENT NASHVILLE & DAVIDSON COUNTY TN HEALTH &
EDUCATIONAL PROJECT FACILITIES BOARD MEHARRY MEDICAL COLLEGE
(COLLEGE & UNIVERSITY REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.41 08/01/2018 4,250,000
19,985,000 METROPOLITAN GOVERNMENT NASHVILLE & DAVIDSON COUNTY TN STEWARTS
FERRY APARTMENTS (IDR, FHLMC INSURED)SS.+/- 3.41 01/01/2034 19,985,000
4,210,000 RUTHERFORD COUNTY TN SERIES 643 (PROPERTY TAX REVENUE, MBIA
INSURED)SS.+/- 3.45 10/01/2012 4,210,000
38,445,000
---------------
TEXAS - 4.62%
6,130,000 ABN AMRO MUNITOPS CTFS 2006-16 (WATER REVENUE, MBIA INSURED)SS.+/- 3.67 09/01/2014 6,130,000
625,000 DALLAS TX PUTTER 598 (PROPERTY TAX REVENUE, JPMORGAN CHASE BANK
LOC)SS.+/- 3.45 02/15/2011 625,000
4,310,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20014302 CLASS A (AUSTIN TX
ELECTRIC UTILITY SYSTEMS) (POWER REVENUE, FIRST SECURITY BANK LOC)
SS.+/- 3.46 11/15/2012 4,310,000
6,000,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20014310 CLASS A (DALLAS TX AREA
RAPID) (SALES TAX REVENUE, AMBAC INSURED)SS.+/- 3.46 12/01/2026 6,000,000
7,875,000 GRAPEVINE COLLEYVILLE TX INDEPENDENT SCHOOL DISTRICT (PROPERTY TAX
REVENUE, FGIC INSURED)SS.+/- 3.45 08/15/2023 7,875,000
8,995,000 HARRIS COUNTY TX HEALTH FACILITIES DEVELOPMENT CORPORATION
(HEALTHCARE FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.54 07/01/2015 8,995,000
4,430,000 HARRIS COUNTY TX HEALTH FACILITIES DEVELOPMENT CORPORATION
(HEALTHCARE FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.54 07/01/2024 4,430,000
8,982,500 HARRIS COUNTY TX HEALTH FACILITIES DEVELOPMENT CORPORATION SERIES
357 (HEALTHCARE FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.45 07/01/2029 8,982,500
1,900,000 HARRIS COUNTY TX HOUSTON SPORTS AUTHORITY JUNIOR LIEN RODEO SERIES
C (SPORTS FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.45 11/15/2030 1,900,000
2,090,000 HARRIS COUNTY TX SERIES 646 (PROPERTY TAX REVENUE, JPMORGAN CHASE
BANK LOC)SS.+/- 3.45 10/01/2012 2,090,000
5,470,000 HOUSTON TX CERTIFICATES SERIES 495 (WATER REVENUE, FGIC INSURED)
SS.+/- 3.45 12/01/2030 5,470,000
4,245,000 HOUSTON TX INDEPENDENT SCHOOL DISTRICT SERIES 462 (PROPERTY TAX
REVENUE, PERMANENT SCHOOL FUND GUARANTEED)SS.+/- 3.45 02/15/2026 4,245,000
3,770,000 HOUSTON TX MUNICIPAL TRUST RECEIPTS SERIES SG 120 (WATER & SEWER
REVENUE)SS.+/- 3.44 12/01/2023 3,770,000
12,600,000 HOUSTON TX SERIES SG 139 (COLLEGE & UNIVERSITY REVENUE, SOCIETE
GENERALE LOC)SS.+/- 3.44 11/15/2029 12,600,000
2,240,000 IRVING TX SERIES 403 (WATER REVENUE, AMBAC INSURED)SS.+/- 3.45 02/15/2012 2,240,000
5,275,000 KATY TX INDEPENDENT SCHOOL DISTRICT SERIES C (PROPERTY TAX REVENUE)
SS.+/- 3.41 08/15/2036 5,275,000
2,030,000 LAREDO TX HOUSING DEVELOPMENT CORPORATION #1 SERIES 618 (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.45 02/01/2010 2,030,000
3,280,000 LOWER COLORADO RIVER AUTHORITY TX PUTTER SERIES 623 (OTHER REVENUE,
FGIC INSURED)SS.+/- 3.45 11/15/2009 3,280,000
15,115,000 LUFKIN TX HEALTH FACILITIES DEVELOPMENT CORPORATION MEMORIAL HEALTH
SYSTEMS (OTHER REVENUE, WACHOVIA BANK LOC)SS.+/- 3.57 02/15/2035 15,115,000
10,000,000 LUFKIN TX HEALTH FACILITIES DEVELOPMENT CORPORATION SERIES A
(HEALTHCARE FACILITIES REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.62 02/15/2028 10,000,000
3,500,000 MATAGORDA COUNTY TX HOSPITAL DISTRICT (HOSPITAL REVENUE, REGIONS
BANK LOC)SS.+/- 3.45 08/01/2018 3,500,000
53
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
TEXAS (CONTINUED)
$ 5,525,000 MIDLAND TX COLLEGE DISTRICT (PROPERTY TAX REVENUE, FGIC INSURED)
SS.+/- 3.45% 02/15/2024 $ 5,525,000
6,010,000 NORTH CENTRAL TX HEALTH FACILITY DEVELOPMENT CORPORATION
(HFFA REVENUE, MBIA INSURED)SS.+/- 3.45 02/15/2022 6,010,000
1,595,000 POLLY RYON HOSPITAL AUTHORITY TX POLLY RYON MEMORIAL HOSPITAL
(HOSPITAL REVENUE, JPMORGAN CHASE BANK LOC)SS.+/- 3.45 11/01/2026 1,595,000
1,500,000 SAN ANTONIO TX SERIES A (WATER REVENUE, MBIA INSURED)SS.+/- 3.43 05/15/2033 1,500,000
2,500,000 SPLENDORA TX PROJECT FELLOWSHIP CHRISTIAN PROJECT (OTHER REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.46 01/01/2017 2,500,000
3,920,000 TEXAS A&M UNIVERSITY PERMANENT UNIVERSITY FUND (COLLEGE & UNIVERSITY
REVENUE, JPMORGAN CHASE BANK LOC)SS.+/- 3.45 07/01/2012 3,920,000
5,080,000 TEXAS STATE CLASS A (GO - STATES, TERRITORIES, CITIBANK NA LOC)SS.
+/- 3.46 04/01/2030 5,080,000
17,600,000 TEXAS STATE TRAN (PROPERTY TAX REVENUE) 4.50 08/31/2007 17,757,440
5,195,000 TRAVIS COUNTY TX HEALTH FACILITIES DEVELOPMENT CORPORATION SERIES 4
(HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.45 11/15/2024 5,195,000
2,580,000 UNIVERSITY OF TEXAS PERMANENT UNIVERSITY FUND SERIES 411 (COLLEGE &
UNIVERSITY REVENUE)SS.+/- 3.45 01/01/2012 2,580,000
170,524,940
---------------
UTAH - 0.26%
9,675,000 WEST JORDAN UT (HOUSING REVENUE, FNMA INSURED)SS.+/- 3.41 12/01/2034 9,675,000
---------------
VIRGINIA - 0.77%
7,960,000 CAPITAL REGION AIRPORT COMMISSION VA SERIES B (AIRPORT REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41 06/01/2035 7,960,000
2,175,000 HAMPTON ROADS VA REGIONAL JAIL AUTHORITY REGIONAL SERIES 569 (JAIL
FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.45 07/01/2012 2,175,000
4,950,000 LEXINGTON VA IDA (IDR, WACHOVIA BANK LOC)SS.+/- 3.55 12/01/2036 4,950,000
6,485,000 LOUDOUN COUNTY VA IDA HOWARD HUGHES MEDICAL CENTER SERIES F
(IDR)SS.+/- 3.38 02/15/2038 6,485,000
7,000,000 NORFOLK VA REDEVELOPMENT & HOUSING AUTHORITY (HOUSING REVENUE, BANK
OF AMERICA NA LOC)SS.+/- 3.41 07/01/2034 7,000,000
28,570,000
---------------
WASHINGTON - 3.78%
15,420,000 ABN AMRO MUNITOPS CERTIFICATES TRUST 2001-23 (KING COUNTY WA SCHOOL
DISTRICT #001 SEATTLE SERIES A) (PROPERTY TAX REVENUE, MBIA
INSURED)SS.+/- 3.35 12/01/2009 15,420,000
5,173,500 ENERGY NORTHWEST WA ELECTRIC CERTIFICATES SERIES C (ELECTRIC
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.46 01/01/2010 5,173,500
5,720,000 ENERGY NORTHWEST WA WIND PROJECT SERIES 686 (POWER REVENUE, MBIA
INSURED)SS.+/- 3.45 07/01/2012 5,720,000
4,775,000 GOAT HILL WA PROPERTIES SERIES 705 (LEASE REVENUE, MBIA INSURED)
SS.+/- 3.45 12/01/2012 4,775,000
17,350,000 ISSAQUAH WA COMMUNITY PROPERTIES SERIES A (WATER REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.44 02/15/2021 17,350,000
45,525,000 KING COUNTY WA HOUSING AUTHORITY SERIES A (HOUSING REVENUE, FHLMC
INSURED)SS.+/- 3.41 07/01/2035 45,525,000
5,920,000 KING COUNTY WA SCHOOL DISTRICT #415 (PROPERTY TAX REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.44 12/01/2018 5,920,000
4,955,000 SEATTLE WA MUNICIPAL LIGHT & POWER SERIES 668 (POWER REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.45 08/01/2012 4,955,000
6,995,000 WASHINGTON STATE (PROPERTY TAX REVENUE, FIRST SECURITY BANK LOC)SS.
+/- 3.62 01/01/2026 6,995,000
6,000,000 WASHINGTON STATE HIGHER EDUCATION FACILITIES UNIVERSITY OF PUGET
SOUND SERIES B (COLLEGE & UNIVERSITY REVENUE, BANK OF AMERICA NA
LOC)SS.+/- 3.44 10/01/2036 6,000,000
3,065,000 WASHINGTON STATE HOUSING FINANCE COMMISSION (HOUSING REVENUE, US
BANK NA LOC)SS.+/- 3.65 11/01/2025 3,065,000
54
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
WASHINGTON (CONTINUED)
$ 10,400,000 WASHINGTON STATE HOUSING FINANCE COMMISSION BUSH SCHOOL PROJECT
(HOUSING REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.62% 04/01/2034 $ 10,400,000
1,700,000 WASHINGTON STATE HOUSING FINANCE COMMISSION NONPROFIT TACOMA ART
MUSEUM PROJECT (RECREATIONAL FACILITIES REVENUE, NORTHERN TRUST
CORPORATION LOC)SS.+/- 3.62 06/01/2032 1,700,000
2,165,000 WASHINGTON STATE SERIES 593 (PROPERTY TAX REVENUE, FIRST SECURITY
BANK LOC)SS.+/- 3.45 07/01/2012 2,165,000
4,375,000 WASHINGTON STATE SERIES B (PROPERTY TAX REVENUE, FIRST SECURITY
BANK LOC)SS.+/- 3.45 07/01/2024 4,375,000
139,538,500
---------------
WISCONSIN - 1.79%
3,765,000 MILWAUKEE WI RDA REDEVELOPMENT MILWAUKEE SCHOOL ENGINEER PROJECT A
(COLLEGE & UNIVERSITY REVENUE, MARSHALL & ISLEY BANK LOC)SS.+/- 3.54 07/01/2023 3,765,000
2,400,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY ALVERNO
COLLEGE PROJECT (COLLEGE & UNIVERSITY REVENUE, ALLIED IRISH BANK
PLC LOC)SS.+/- 3.62 11/01/2017 2,400,000
13,015,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY AURORA
HEALTH CARE SERIES C (HEALTHCARE FACILITIES REVENUE, MARSHALL & ISLEY
BANK LOC)SS.+/- 3.57 04/01/2028 13,015,000
6,500,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
FRANCISCAN SISTERS SERIES B (HEALTHCARE FACILITIES REVENUE, MARSHALL
& ISLEY BANK LOC)SS.+/- 3.40 09/01/2033 6,500,000
11,600,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY NATIONAL
REGENCY OF NEW BERLIN (HEALTHCARE FACILITIES REVENUE, MARSHALL
& ISLEY BANK LOC)SS.+/- 3.62 08/15/2034 11,600,000
5,625,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY REEDSBURG
AREA MEDICAL CENTER INCORPORATED (OTHER REVENUE, FIFTH THIRD BANK
LOC)SS.+/- 3.62 06/01/2036 5,625,000
15,500,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY LUTHERAN
COLLEGE SERIES 2001 (COLLEGE & UNIVERSITY REVENUE,
US BANK NA LOC)SS.+/- 3.62 09/01/2031 15,500,000
7,520,000 WISCONSIN STATE SERIES 531 (PROPERTY TAX REVENUE, FGIC INSURED)
SS.+/- 3.45 11/01/2012 7,520,000
65,925,000
---------------
WYOMING - 0.83%
30,600,000 SWEETWATER COUNTY WY PACIFIC CORPORATION PROJECT SERIES A
(PCR, BARCLAYS BANK PLC LOC)SS.+/- 3.41 07/01/2015 30,600,000
---------------
TOTAL MUNICIPAL BONDS & NOTES (COST $3,287,950,209) 3,287,950,209
---------------
COMMERCIAL PAPER - 10.60%
9,000,000 BURKE COUNTY POLLUTION CONTROL 3.50 09/07/2006 9,000,000
4,895,000 COUNTY OF WAKE NC 3.65 02/05/2007 4,895,000
4,200,000 HARRIS COUNTY TX 3.57 09/15/2006 4,200,000
3,900,000 HARRIS COUNTY TX SERIES B 3.60 09/14/2006 3,900,000
17,750,000 HARRIS COUNTY TX SERIES B 3.60 11/09/2006 17,750,000
33,900,000 HARRIS COUNTY TX SERIES C 3.60 11/09/2006 33,900,000
15,675,000 HARRIS COUNTY TX SERIES D 3.60 09/14/2006 15,675,000
4,200,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.47 09/07/2006 4,200,000
21,100,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.55 10/17/2006 21,100,000
15,800,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.63 02/08/2007 15,800,000
9,665,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY SERIES NOTR 3.53 09/13/2006 9,665,000
17,700,000 JOHNS HOPKINS UNIVERSITY 3.55 10/17/2006 17,700,000
6,800,000 LAS VEGAS VALLEY WATER DISTRICT 3.47 09/07/2006 6,800,000
6,300,000 LAS VEGAS VALLEY WATER DISTRICT 3.55 10/17/2006 6,300,000
15,495,000 MARYLAND HEALTH & HIGHER EDUCATION SERIES A 3.60 09/07/2006 15,495,000
7,500,000 MASSACHUSETTS HEALTH & EDUCATIONAL FACILITIES AUTHORITY 3.55 09/07/2006 7,500,000
23,780,000 MASSACHUSETTS HEALTH & EDUCATIONAL FACILITIES AUTHORITY 3.70 11/07/2006 23,780,000
17,000,000 NORTH CAROLINA CAPITAL FACILITIES 3.60 11/07/2006 17,000,000
55
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMERCIAL PAPER (CONTINUED)
$ 13,000,000 ROCHESTER MN HEALTH CARE SERIES 00-B 3.64% 10/12/2006 $ 13,000,000
32,400,000 ROCHESTER MN HEALTH CARE SERIES 01-C 3.64 10/12/2006 32,400,000
15,300,000 ROCHESTER MN HEALTH CARE SERIES 92-A 3.64 10/12/2006 15,300,000
10,800,000 ROCHESTER MN HEALTH CARE SERIES 92-C 3.64 10/12/2006 10,800,000
10,550,000 SAN ANTONIO ELECTRIC & GAS 3.53 10/02/2006 10,550,000
9,900,000 SAN ANTONIO ELECTRIC & GAS 3.65 10/18/2006 9,900,000
2,359,000 TEXAS PFA 3.60 11/09/2006 2,359,000
11,325,000 TEXAS PFA SERIES 02-A 3.53 09/13/2006 11,325,000
31,090,000 UNIVERSITY OF MINNESOTA 3.65 10/16/2006 31,090,000
20,000,000 UNIVERSITY OF TEXAS SYSTEM SERIES 02-A 3.60 09/06/2006 20,000,000
TOTAL COMMERCIAL PAPER (COST $391,384,000) 391,384,000
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $3,679,334,209)* 99.64% $ 3,679,334,209
OTHER ASSETS AND LIABILITIES, NET 0.36 13,117,458
------ ---------------
TOTAL NET ASSETS 100.00% $ 3,692,451,667
====== ===============
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
+/- VARIABLE RATE INVESTMENTS.
i ILLIQUID SECURITY.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
56
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
TREASURY PLUS MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
US TREASURY SECURITIES - 10.90%
US TREASURY BILLS - 10.90%
$ 50,000,000 US TREASURY BILL^ 4.70% 09/07/2006 $ 49,960,792
250,000,000 US TREASURY BILL^ 5.18 09/15/2006 249,496,388
50,000,000 US TREASURY BILL^ 4.65 10/05/2006 49,780,417
100,000,000 US TREASURY BILL^ 4.82 11/09/2006 99,075,687
100,000,000 US TREASURY BILL^ 4.82 11/16/2006 98,983,500
100,000,000 US TREASURY BILL^ 5.04 12/21/2006 98,447,542
TOTAL US TREASURY SECURITIES (COST $645,744,326) 645,744,326
---------------
REPURCHASE AGREEMENTS - 93.59%
75,000,000 BANK OF AMERICA SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $75,010,875) 5.22 09/01/2006 75,000,000
250,000,000 CITIGROUP GLOBAL MARKETS - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $250,036,042) 5.19 09/01/2006 250,000,000
1,000,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $1,000,145,556) 5.24 09/01/2006 1,000,000,000
550,000,000 DEUTSCHE BANK ALEX BROWN - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $550,080,056) 5.24 09/01/2006 550,000,000
94,298,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $94,311,568) 5.18 09/01/2006 94,298,000
500,000,000 GREENWICH CAPITAL MARKETS INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $500,072,778) 5.24 09/01/2006 500,000,000
1,300,000,000 HSBC USA INCORPORATED - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $1,300,189,222) 5.24 09/01/2006 1,300,000,000
125,000,000 JPMORGAN SECURITIES INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $125,018,229) 5.25 09/01/2006 125,000,000
450,000,000 MERRILL LYNCH & COMPANY INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $450,715,000) 5.20 09/11/2006 450,000,000
1,200,000,000 MORGAN STANLEY INCORPORATED - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $1,200,174,667) 5.24 09/01/2006 1,200,000,000
TOTAL REPURCHASE AGREEMENTS (COST $5,544,298,000) 5,544,298,000
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $6,190,042,326)* 104.49% $ 6,190,042,326
OTHER ASSETS AND LIABILITIES, NET (4.49) (266,066,793)
------ ---------------
TOTAL NET ASSETS 100.00% $ 5,923,975,533
====== ===============
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
57
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
US TREASURY SECURITIES - 97.08%
US TREASURY BILLS - 97.08%
$ 150,000,000 US TREASURY BILL^ 4.72% 09/07/2006 $ 149,882,063
150,000,000 US TREASURY BILL^ 4.75 09/07/2006 149,881,291
50,000,000 US TREASURY BILL^ 4.77 09/07/2006 49,960,292
10,587,000 US TREASURY BILL^ 5.07 09/07/2006 10,578,054
150,000,000 US TREASURY BILL^ 4.77 09/14/2006 149,741,625
50,000,000 US TREASURY BILL^ 4.84 09/14/2006 49,912,701
26,330,000 US TREASURY BILL^ 4.87 09/14/2006 26,283,696
50,000,000 US TREASURY BILL^ 5.08 09/14/2006 49,908,278
100,000,000 US TREASURY BILL^ 4.78 09/21/2006 99,734,722
50,000,000 US TREASURY BILL^ 4.91 09/21/2006 49,863,750
50,000,000 US TREASURY BILL^ 5.01 09/21/2006 49,860,833
50,000,000 US TREASURY BILL^ 5.08 09/21/2006 49,858,889
50,000,000 US TREASURY BILL^ 4.87 09/28/2006 49,817,375
270,000,000 US TREASURY BILL^ 4.90 09/28/2006 269,007,243
10,582,000 US TREASURY BILL^ 5.02 09/28/2006 10,542,159
25,000,000 US TREASURY BILL^ 4.92 10/05/2006 24,883,833
25,000,000 US TREASURY BILL^ 4.95 10/05/2006 24,883,243
236,700,000 US TREASURY BILL^ 4.97 10/05/2006 235,590,074
25,000,000 US TREASURY BILL^ 4.88 10/12/2006 24,861,198
125,000,000 US TREASURY BILL^ 4.91 10/12/2006 124,301,007
200,000,000 US TREASURY BILL^ 4.93 10/12/2006 198,877,056
150,000,000 US TREASURY BILL^ 4.92 10/19/2006 149,016,667
25,000,000 US TREASURY BILL^ 4.93 10/19/2006 24,835,667
25,000,000 US TREASURY BILL^ 4.94 10/19/2006 24,835,333
175,000,000 US TREASURY BILL^ 4.98 10/26/2006 173,669,878
150,000,000 US TREASURY BILL^ 4.98 11/02/2006 148,713,500
50,000,000 US TREASURY BILL^ 4.90 11/09/2006 49,530,417
150,000,000 US TREASURY BILL^ 4.99 11/09/2006 148,565,375
100,000,000 US TREASURY BILL^ 4.81 11/16/2006 98,985,611
175,000,000 US TREASURY BILL^ 4.99 11/16/2006 173,156,472
250,000,000 US TREASURY BILL^ 4.98 11/24/2006 247,093,542
100,000,000 US TREASURY BILL^ 4.91 11/30/2006 98,773,750
250,000,000 US TREASURY BILL^ 4.97 11/30/2006 246,896,875
100,000,000 US TREASURY BILL^ 4.82 12/07/2006 98,701,951
50,000,000 US TREASURY BILL^ 4.87 12/07/2006 49,344,240
100,000,000 US TREASURY BILL^ 4.96 12/14/2006 98,567,111
TOTAL US TREASURY SECURITIES (COST $3,678,915,771) 3,678,915,771
---------------
58
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND
- --------------------------------------------------------------------------------
VALUE
TOTAL INVESTMENTS IN SECURITIES
(COST $3,678,915,771)* 97.08% $ 3,678,915,771
OTHER ASSETS AND LIABILITIES, NET 2.92 110,495,000
------ ---------------
TOTAL NET ASSETS 100.00% $ 3,789,410,771
====== ===============
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
59
STATEMENTS OF ASSETS AND LIABILITIES--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE GOVERNMENT MINNESOTA
MONEY MARKET FUND MONEY MARKET FUND MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ...................................... $ 2,884,014,196 $ 4,365,762,236 $ 103,957,679
REPURCHASE AGREEMENTS ............................................... 0 10,427,199,000 0
------------------- ----------------- -----------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) ..................... 2,884,014,196 14,792,961,236 103,957,679
------------------- ----------------- -----------------
CASH ................................................................ 53,836 50,040 51,292
RECEIVABLE FOR FUND SHARES ISSUED ................................... 0 60,931 0
RECEIVABLE FOR INVESTMENTS SOLD ..................................... 0 0 0
RECEIVABLES FOR DIVIDENDS AND INTEREST .............................. 13,844,142 27,253,281 659,904
PREPAID EXPENSES AND OTHER ASSETS ................................... 0 2,397 0
------------------- ----------------- -----------------
TOTAL ASSETS ........................................................... 2,897,912,174 14,820,327,885 104,668,875
------------------- ----------------- -----------------
LIABILITIES
PAYABLE FOR INVESTMENTS PURCHASED ................................... 0 0 0
DIVIDENDS PAYABLE ................................................... 841,905 40,334,097 8,883
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) ............... 899,394 3,002,569 40,156
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT ............. 630,743 1,686,923 22,304
ACCRUED EXPENSES AND OTHER LIABILITIES .............................. 66,748 0 70,745
------------------- ----------------- -----------------
TOTAL LIABILITIES ...................................................... 2,438,790 45,023,589 142,088
------------------- ----------------- -----------------
TOTAL NET ASSETS ....................................................... $ 2,895,473,384 $ 14,775,304,296 $ 104,526,787
=================== ================= =================
NET ASSETS CONSIST OF:
- -----------------------------------------------------------------------------------------------------------------------------------
PAID-IN CAPITAL ..................................................... $ 2,895,367,248 $ 14,775,273,280 $ 104,544,850
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) .......................... (1,038) 31,016 2
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS ............... 107,174 0 (18,065)
------------------- ----------------- -----------------
TOTAL NET ASSETS ....................................................... $ 2,895,473,384 $ 14,775,304,296 $ 104,526,787
------------------- ----------------- -----------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS - CLASS A ................................................ $ 2,486,731,139 $ 1,923,740,974 $ 104,526,787
SHARES OUTSTANDING - CLASS A ........................................ 2,486,593,888 1,923,742,528 104,544,625
NET ASSET VALUE PER SHARE - CLASS A ................................. $ 1.00 $ 1.00 $ 1.00
NET ASSETS - CLASS B ................................................ N/A N/A N/A
SHARES OUTSTANDING - CLASS B ........................................ N/A N/A N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - CLASS B .............. N/A N/A N/A
NET ASSETS - ADMINISTRATOR CLASS .................................... N/A $ 1,118,144,553 N/A
SHARES OUTSTANDING - ADMINISTRATOR CLASS ............................ N/A 1,118,145,548 N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - ADMINISTRATOR CLASS .. N/A $ 1.00 N/A
NET ASSETS - INSTITUTIONAL CLASS .................................... N/A $ 6,302,336,984 N/A
SHARES OUTSTANDING - INSTITUTIONAL CLASS ............................ N/A 6,302,337,311 N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INSTITUTIONAL CLASS .. N/A $ 1.00 N/A
NET ASSETS - INVESTOR CLASS ......................................... N/A N/A N/A
SHARES OUTSTANDING - INVESTOR CLASS ................................. N/A N/A N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INVESTOR CLASS ....... N/A N/A N/A
NET ASSETS - SERVICE CLASS .......................................... $ 408,742,245 $ 5,431,081,785 N/A
SHARES OUTSTANDING - SERVICE CLASS .................................. 408,720,816 5,431,087,365 N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - SERVICE CLASS ........ $ 1.00 $ 1.00 N/A
------------------- ----------------- -----------------
INVESTMENTS AT COST .................................................... $ 2,884,014,196 $ 14,792,961,236 $ 103,957,679
=================== ================= =================
(1) EACH FUND HAS AN UNLIMITED NUMBER OF AUTHORIZED SHARES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
60
STATEMENTS OF ASSETS AND LIABILITIES--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MUNICIPAL NATIONAL TAX-FREE
MONEY MARKET FUND MONEY MARKET FUND MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ...................................... $ 7,667,308,748 $ 469,574,768 $ 3,679,334,209
REPURCHASE AGREEMENTS ............................................... 1,665,583,174 0 0
------------------- ----------------- -----------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) ..................... 9,332,891,922 469,574,768 3,679,334,209
------------------- ----------------- -----------------
CASH ................................................................ 50,000 54,606 76,112
RECEIVABLE FOR FUND SHARES ISSUED ................................... 11,554 0 0
RECEIVABLE FOR INVESTMENTS SOLD ..................................... 0 6,856,493 0
RECEIVABLES FOR DIVIDENDS AND INTEREST .............................. 29,252,110 2,205,063 18,153,016
PREPAID EXPENSES AND OTHER ASSETS ................................... 0 0 0
------------------- ----------------- -----------------
TOTAL ASSETS ........................................................... 9,362,205,586 478,690,930 3,697,563,337
------------------- ----------------- -----------------
LIABILITIES
PAYABLE FOR INVESTMENTS PURCHASED ................................... 0 9,640,000 0
DIVIDENDS PAYABLE ................................................... 669,969 43,307 3,591,971
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) ............... 3,838,937 200,898 832,675
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT ............. 2,850,160 100,170 496,051
ACCRUED EXPENSES AND OTHER LIABILITIES .............................. 311,262 51,021 190,973
------------------- ----------------- -----------------
TOTAL LIABILITIES ...................................................... 7,670,328 10,035,396 5,111,670
------------------- ----------------- -----------------
TOTAL NET ASSETS ....................................................... $ 9,354,535,258 $ 468,655,534 $ 3,692,451,667
=================== ================= =================
NET ASSETS CONSIST OF:
- -----------------------------------------------------------------------------------------------------------------------------------
PAID-IN CAPITAL ..................................................... $ 9,354,809,276 $ 468,705,523 $ 3,692,493,746
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) .......................... 0 1 2
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS ............... (274,018) (49,990) (42,081)
------------------- ----------------- -----------------
TOTAL NET ASSETS ....................................................... $ 9,354,535,258 $ 468,655,534 $ 3,692,451,667
------------------- ----------------- -----------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS - CLASS A ................................................ $ 7,186,935,044 N/A $ 1,002,763,652
SHARES OUTSTANDING - CLASS A ........................................ 7,186,574,896 N/A 1,002,763,513
NET ASSET VALUE PER SHARE - CLASS A ................................. $ 1.00 N/A $ 1.00
NET ASSETS - CLASS B ................................................ $ 1,437,558,141 N/A N/A
SHARES OUTSTANDING - CLASS B ........................................ 1,437,519,140 N/A N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - CLASS B .............. $ 1.00 N/A N/A
NET ASSETS - ADMINISTRATOR CLASS .................................... N/A N/A $ 533,219,446
SHARES OUTSTANDING - ADMINISTRATOR CLASS ............................ N/A N/A 533,186,297
NET ASSET VALUE AND OFFERING PRICE PER SHARE - ADMINISTRATOR CLASS .. N/A N/A $ 1.00
NET ASSETS - INSTITUTIONAL CLASS .................................... N/A N/A $ 1,022,799,015
SHARES OUTSTANDING - INSTITUTIONAL CLASS ............................ N/A N/A 1,022,868,430
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INSTITUTIONAL CLASS .. N/A N/A $ 1.00
NET ASSETS - INVESTOR CLASS ......................................... $ 730,042,073 $ 468,655,534 N/A
SHARES OUTSTANDING - INVESTOR CLASS ................................. 730,036,531 468,705,516 N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INVESTOR CLASS ....... $ 1.00 $ 1.00 N/A
NET ASSETS - SERVICE CLASS .......................................... N/A N/A $ 1,133,669,554
SHARES OUTSTANDING - SERVICE CLASS .................................. N/A N/A 1,133,494,811
NET ASSET VALUE AND OFFERING PRICE PER SHARE - SERVICE CLASS ........ N/A N/A $ 1.00
------------------- ----------------- -----------------
INVESTMENTS AT COST .................................................... $ 9,332,891,922 $ 469,574,768 $ 3,679,334,209
=================== ================= =================
TREASURY PLUS 100% TREASURY
MONEY MARKET FUND MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ......................................................... $ 645,744,326 $ 3,678,915,771
REPURCHASE AGREEMENTS .................................................................. 5,544,298,000 0
----------------- -----------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) ........................................ 6,190,042,326 3,678,915,771
----------------- -----------------
CASH ................................................................................... 50,845 50,834
RECEIVABLE FOR FUND SHARES ISSUED ...................................................... 57,892 5,936
RECEIVABLE FOR INVESTMENTS SOLD ........................................................ 0 124,185,036
RECEIVABLES FOR DIVIDENDS AND INTEREST ................................................. 2,235,992 0
PREPAID EXPENSES AND OTHER ASSETS ...................................................... 0 0
----------------- -----------------
TOTAL ASSETS .............................................................................. 6,192,387,055 3,803,157,577
----------------- -----------------
LIABILITIES
PAYABLE FOR INVESTMENTS PURCHASED ...................................................... 249,496,389 0
DIVIDENDS PAYABLE ...................................................................... 16,565,218 12,182,319
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) .................................. 1,434,548 768,231
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT ................................ 841,100 786,973
ACCRUED EXPENSES AND OTHER LIABILITIES ................................................. 74,267 9,283
----------------- -----------------
TOTAL LIABILITIES ......................................................................... 268,411,522 13,746,806
----------------- -----------------
TOTAL NET ASSETS .......................................................................... $ 5,923,975,533 $ 3,789,410,771
================= =================
NET ASSETS CONSIST OF:
- -----------------------------------------------------------------------------------------------------------------------------------
PAID-IN CAPITAL ........................................................................ $ 5,924,110,211 $ 3,789,433,803
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............................................. 647 190,132
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS .................................. (135,325) (213,164)
----------------- -----------------
TOTAL NET ASSETS .......................................................................... $ 5,923,975,533 $ 3,789,410,771
----------------- -----------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS - CLASS A ................................................................... $ 2,855,587,842 $ 229,692,045
SHARES OUTSTANDING - CLASS A ........................................................... 2,855,703,219 229,661,181
NET ASSET VALUE PER SHARE - CLASS A .................................................... $ 1.00 $ 1.00
NET ASSETS - CLASS B ................................................................... N/A N/A
SHARES OUTSTANDING - CLASS B ........................................................... N/A N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - CLASS B ................................. N/A N/A
NET ASSETS - ADMINISTRATOR CLASS ....................................................... N/A N/A
SHARES OUTSTANDING - ADMINISTRATOR CLASS ............................................... N/A N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - ADMINISTRATOR CLASS ..................... N/A N/A
NET ASSETS - INSTITUTIONAL CLASS ....................................................... $ 1,967,213,421 N/A
SHARES OUTSTANDING - INSTITUTIONAL CLASS ............................................... 1,967,411,041 N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INSTITUTIONAL CLASS ..................... $ 1.00 N/A
NET ASSETS - INVESTOR CLASS ............................................................ N/A N/A
SHARES OUTSTANDING - INVESTOR CLASS .................................................... N/A N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INVESTOR CLASS .......................... N/A N/A
NET ASSETS - SERVICE CLASS ............................................................. $ 1,101,174,270 $ 3,559,718,726
SHARES OUTSTANDING - SERVICE CLASS ..................................................... 1,101,212,048 3,559,777,528
NET ASSET VALUE AND OFFERING PRICE PER SHARE - SERVICE CLASS ........................... $ 1.00 $ 1.00
----------------- -----------------
INVESTMENTS AT COST ....................................................................... $ 6,190,042,326 $ 3,678,915,771
================= =================
61
STATEMENTS OF OPERATIONS--
FOR THE SIX MONTHS ENDED
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE GOVERNMENT MINNESOTA
MONEY MARKET FUND MONEY MARKET FUND MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
INTEREST ......................................................... $ 49,038,433 $ 333,296,025 $ 1,967,316
------------------- ----------------- -----------------
TOTAL INVESTMENT INCOME ............................................. 49,038,433 333,296,025 1,967,316
------------------- ----------------- -----------------
EXPENSES
ADVISORY FEES .................................................... 4,087,541 6,666,469 171,557
ADMINISTRATION FEES
FUND LEVEL .................................................... 720,275 2,756,105 28,593
CLASS A ....................................................... 2,737,210 1,708,400 125,809
CLASS B ....................................................... N/A N/A N/A
ADMINISTRATOR CLASS ........................................... N/A 533,327 N/A
INSTITUTIONAL CLASS ........................................... N/A 2,095,560 N/A
INVESTOR CLASS ................................................ N/A N/A N/A
SERVICE CLASS ................................................. 235,637 3,284,575 N/A
CUSTODY FEES ..................................................... 288,110 1,333,294 11,437
SHAREHOLDER SERVICING FEES ....................................... 3,601,376 9,317,555 142,965
ACCOUNTING FEES .................................................. 77,787 326,430 12,769
DISTRIBUTION FEES (NOTE 3)
CLASS B ....................................................... N/A N/A N/A
PROFESSIONAL FEES ................................................ 22,199 84,440 8,859
REGISTRATION FEES ................................................ 7,500 136,544 1,552
SHAREHOLDER REPORTS .............................................. 19,686 128,433 2,697
TRUSTEES' FEES ................................................... 4,259 4,259 4,259
OTHER FEES AND EXPENSES .......................................... 7,467 133,989 1,535
------------------- ----------------- -----------------
TOTAL EXPENSES ...................................................... 11,809,047 28,509,380 512,032
------------------- ----------------- -----------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) ..................... (2,837,426) (2,722,099) (54,545)
NET EXPENSES ..................................................... 8,971,621 25,787,281 457,487
------------------- ----------------- -----------------
NET INVESTMENT INCOME (LOSS) ........................................ 40,066,812 307,508,744 1,509,829
------------------- ----------------- -----------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- -----------------------------------------------------------------------------------------------------------------------------------
NET REALIZED GAIN (LOSS) FROM:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN CURRENCY TRANSLATION .. 183,846 0 (2,714)
------------------- ----------------- -----------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ........................... 183,846 0 (2,714)
------------------- ----------------- -----------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS .............. 183,846 0 (2,714)
------------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ..... $ 40,250,658 $ 307,508,744 $ 1,507,115
=================== ================= =================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
62
STATEMENTS OF OPERATIONS--
FOR THE SIX MONTHS ENDED
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MUNICIPAL NATIONAL TAX-FREE
MONEY MARKET FUND MONEY MARKET FUND MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
INTEREST ......................................................... $ 225,548,984 $ 8,950,524 $ 63,265,406
------------------- ----------------- -----------------
TOTAL INVESTMENT INCOME ............................................. 225,548,984 8,950,524 63,265,406
------------------- ----------------- -----------------
EXPENSES
ADVISORY FEES .................................................... 11,951,941 757,017 1,826,069
ADMINISTRATION FEES
FUND LEVEL .................................................... 2,043,379 126,169 913,034
CLASS A ....................................................... 7,608,440 N/A 1,093,029
CLASS B ....................................................... 1,454,983 N/A N/A
ADMINISTRATOR CLASS ........................................... N/A N/A 272,308
INSTITUTIONAL CLASS ........................................... N/A N/A 387,916
INVESTOR CLASS ................................................ 1,398,434 984,122 N/A
SERVICE CLASS ................................................. N/A N/A 686,441
CUSTODY FEES ..................................................... 895,662 50,468 365,214
SHAREHOLDER SERVICING FEES ....................................... 11,195,776 630,847 2,944,472
ACCOUNTING FEES .................................................. 223,587 28,372 98,931
DISTRIBUTION FEES (NOTE 3)
CLASS B ....................................................... 4,960,170 N/A N/A
PROFESSIONAL FEES ................................................ 55,364 10,444 27,996
REGISTRATION FEES ................................................ 51,080 10,611 118,577
SHAREHOLDER REPORTS .............................................. 342,997 15,445 61,078
TRUSTEES' FEES ................................................... 4,259 4,259 4,259
OTHER FEES AND EXPENSES .......................................... 132,460 4,653 39,739
------------------- ----------------- -----------------
TOTAL EXPENSES ...................................................... 42,318,532 2,622,407 8,839,063
------------------- ----------------- -----------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) ..................... (3,717,515) (1,007,309) (1,248,917)
NET EXPENSES ..................................................... 38,601,017 1,615,098 7,590,146
------------------- ----------------- -----------------
NET INVESTMENT INCOME (LOSS) ........................................ 186,947,967 7,335,426 55,675,260
------------------- ----------------- -----------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- -----------------------------------------------------------------------------------------------------------------------------------
NET REALIZED GAIN (LOSS) FROM:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN CURRENCY TRANSLATION .. 8,088 (4,511) 6,744
------------------- ----------------- -----------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ........................... 8,088 (4,511) 6,744
------------------- ----------------- -----------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS .............. 8,088 (4,511) 6,744
------------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ..... $ 186,956,055 $ 7,330,915 $ 55,682,004
=================== ================= =================
TREASURY PLUS 100% TREASURY
MONEY MARKET FUND MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
INTEREST ............................................................................... $ 132,210,267 $ 93,432,766
----------------- -----------------
TOTAL INVESTMENT INCOME ................................................................... 132,210,267 93,432,766
----------------- -----------------
EXPENSES
ADVISORY FEES .......................................................................... 2,677,531 5,589,459
ADMINISTRATION FEES
FUND LEVEL .......................................................................... 1,321,322 993,351
CLASS A ............................................................................. 3,041,642 240,779
CLASS B ............................................................................. N/A N/A
ADMINISTRATOR CLASS ................................................................. N/A N/A
INSTITUTIONAL CLASS ................................................................. 565,730 N/A
INVESTOR CLASS ...................................................................... N/A N/A
SERVICE CLASS ....................................................................... 705,365 2,252,709
CUSTODY FEES ........................................................................... 535,506 397,341
SHAREHOLDER SERVICING FEES ............................................................. 4,925,921 4,966,755
ACCOUNTING FEES ........................................................................ 135,925 103,456
DISTRIBUTION FEES (NOTE 3)
CLASS B ............................................................................. N/A N/A
PROFESSIONAL FEES ...................................................................... 34,767 32,132
REGISTRATION FEES ...................................................................... 35,135 32,677
SHAREHOLDER REPORTS .................................................................... 60,177 37,575
TRUSTEES' FEES ......................................................................... 4,259 4,259
OTHER FEES AND EXPENSES ................................................................ 33,657 76,186
----------------- -----------------
TOTAL EXPENSES ............................................................................ 14,076,937 14,726,679
----------------- -----------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) ........................................... (754,643) (4,628,998)
NET EXPENSES ........................................................................... 13,322,294 10,097,681
----------------- -----------------
NET INVESTMENT INCOME (LOSS) .............................................................. 118,887,973 83,335,085
----------------- -----------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- -----------------------------------------------------------------------------------------------------------------------------------
NET REALIZED GAIN (LOSS) FROM:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN CURRENCY TRANSLATION ........................ 0 46,135
----------------- -----------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ................................................. 0 46,135
----------------- -----------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS .................................... 0 46,135
----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........................... $ 118,887,973 $ 83,381,220
================= =================
63
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE
MONEY MARKET FUND
-----------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .......................................... $ 2,968,478,627 $ 2,779,262,878 $ 2,630,173,391
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .................................. 40,066,812 50,734,384 20,705,802
NET REALIZED GAIN (LOSS) ON INVESTMENTS ....................... 183,846 33,017 43,043
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .. 40,250,658 50,767,401 20,748,845
----------------- ----------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A .................................................... (34,290,285) (42,610,256) (17,377,220)
ADMINISTRATOR CLASS ........................................ N/A N/A N/A
INSTITUTIONAL CLASS ........................................ N/A N/A N/A
SERVICE CLASS .............................................. (5,788,600) (8,124,129) (3,328,633)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A .................................................... 0 0 (193,610)
ADMINISTRATOR CLASS ........................................ N/A N/A N/A
INSTITUTIONAL CLASS ........................................ N/A N/A N/A
SERVICE CLASS .............................................. 0 0 (37,086)
----------------- ----------------- -----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .............................. (40,078,885) (50,734,385) (20,936,549)
----------------- ----------------- -----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ........................... 2,092,831,057 3,446,505,417 3,507,961,907
REINVESTMENT OF DISTRIBUTIONS - CLASS A ....................... 31,784,032 39,058,022 15,629,406
COST OF SHARES REDEEMED - CLASS A ............................. (2,190,461,028) (3,356,332,374) (3,363,212,712)
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ........................................ (65,845,939) 129,231,065 160,378,601
----------------- ----------------- -----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS ............... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS ........... N/A N/A N/A
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS ................. N/A N/A N/A
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS ............................ N/A N/A N/A
----------------- ----------------- -----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ............... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ........... N/A N/A N/A
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ................. N/A N/A N/A
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS ............................ N/A N/A N/A
----------------- ----------------- -----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ..................... 679,977,115 1,055,035,051 899,858,046
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ................. 4,160,583 5,609,147 2,327,260
COST OF SHARES REDEEMED - SERVICE CLASS ....................... (691,468,775) (1,000,692,530) (913,286,716)
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .................................. (7,331,077) 59,951,668 (11,101,410)
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - TOTAL .......................................... (73,177,016) 189,182,733 149,277,191
================= ================= =================
NET INCREASE (DECREASE) IN NET ASSETS ............................ (73,005,243) 189,215,749 149,089,487
================= ================= =================
ENDING NET ASSETS ................................................ $ 2,895,473,384 $ 2,968,478,627 $ 2,779,262,878
================= ================= =================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
64
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
GOVERNMENT
MONEY MARKET FUND
-----------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .......................................... $ 11,959,678,588 $ 10,359,039,186 $ 6,765,162,199
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .................................. 307,508,744 335,710,051 133,906,897
NET REALIZED GAIN (LOSS) ON INVESTMENTS ....................... 0 24,124 12,629
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .. 307,508,744 335,734,175 133,919,526
----------------- ----------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A .................................................... (33,956,080) (24,477,525) (5,344,390)
ADMINISTRATOR CLASS ........................................ (24,766,319) (24,236,661) (7,359,497)
INSTITUTIONAL CLASS ........................................ (125,926,597) (135,639,181) (53,296,190)
SERVICE CLASS .............................................. (122,883,873) (151,356,685) (67,906,820)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A .................................................... 0 0 (753)
ADMINISTRATOR CLASS ........................................ 0 0 (1,037)
INSTITUTIONAL CLASS ........................................ 0 0 (7,510)
SERVICE CLASS .............................................. 0 0 (9,568)
----------------- ----------------- -----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .............................. (307,532,869) (335,710,052) (133,925,765)
----------------- ----------------- -----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ........................... 1,151,160,869 1,423,421,663 665,433,163
REINVESTMENT OF DISTRIBUTIONS - CLASS A ....................... 33,827,420 24,283,852 5,244,228
COST OF SHARES REDEEMED - CLASS A ............................. (485,453,877) (790,328,776) (469,014,824)
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ........................................ 699,534,412 657,376,739 201,662,567
----------------- ----------------- -----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS ............... 5,156,488,982 6,255,886,099 6,726,797,286
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS ........... 18,185,632 19,662,362 3,947,147
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS ................. (4,932,762,858) (5,996,055,439) (6,294,511,632)
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS ............................ 241,911,756 279,493,022 436,232,801
----------------- ----------------- -----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ............... 20,270,339,077 34,712,207,816 35,402,384,904
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ........... 37,907,137 48,029,552 14,119,050
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ................. (18,514,654,133) (34,216,354,098) (32,923,357,239)
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS ............................ 1,793,592,081 543,883,270 2,493,146,715
----------------- ----------------- -----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ..................... 21,447,341,012 38,013,954,253 37,225,402,698
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ................. 13,415,375 16,985,185 9,082,897
COST OF SHARES REDEEMED - SERVICE CLASS ....................... (21,380,144,803) (37,911,077,190) (36,771,644,452)
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .................................. 80,611,584 119,862,248 462,841,143
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - TOTAL .......................................... 2,815,649,833 1,600,615,279 3,593,883,226
================= ================= =================
NET INCREASE (DECREASE) IN NET ASSETS ............................ 2,815,625,708 1,600,639,402 3,593,876,987
================= ================= =================
ENDING NET ASSETS ................................................ $ 14,775,304,296 $ 11,959,678,588 $ 10,359,039,186
================= ================= =================
MINNESOTA
MONEY MARKET FUND
-----------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .......................................... $ 138,916,713 $ 119,147,691 $ 117,236,798
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .................................. 1,509,829 2,352,644 690,332
NET REALIZED GAIN (LOSS) ON INVESTMENTS ....................... (2,714) (9) (15,025)
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .. 1,507,115 2,352,635 675,307
----------------- ----------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A .................................................... (1,510,145) (2,352,643) (690,333)
ADMINISTRATOR CLASS ........................................ N/A N/A N/A
INSTITUTIONAL CLASS ........................................ N/A N/A N/A
SERVICE CLASS .............................................. N/A N/A N/A
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A .................................................... 0 0 (36,088)
ADMINISTRATOR CLASS ........................................ N/A N/A N/A
INSTITUTIONAL CLASS ........................................ N/A N/A N/A
SERVICE CLASS .............................................. N/A N/A N/A
----------------- ----------------- -----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .............................. (1,510,145) (2,352,643) (726,421)
----------------- ----------------- -----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ........................... 140,322,608 303,479,664 203,357,237
REINVESTMENT OF DISTRIBUTIONS - CLASS A ....................... 1,466,624 2,312,966 717,909
COST OF SHARES REDEEMED - CLASS A ............................. (176,176,128) (286,023,600) (202,113,139)
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ........................................ (34,386,896) 19,769,030 1,962,007
----------------- ----------------- -----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS ............... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS ........... N/A N/A N/A
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS ................. N/A N/A N/A
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS ............................ N/A N/A N/A
----------------- ----------------- -----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ............... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ........... N/A N/A N/A
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ................. N/A N/A N/A
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS ............................ N/A N/A N/A
----------------- ----------------- -----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ..................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ................. N/A N/A N/A
COST OF SHARES REDEEMED - SERVICE CLASS ....................... N/A N/A N/A
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .................................. N/A N/A N/A
----------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - TOTAL .......................................... (34,386,896) 19,769,030 1,962,007
================= ================= =================
NET INCREASE (DECREASE) IN NET ASSETS ............................ (34,389,926) 19,769,022 1,910,893
================= ================= =================
ENDING NET ASSETS ................................................ $ 104,526,787 $ 138,916,713 $ 119,147,691
================= ================= =================
65
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. 2,092,831,057 3,446,505,417 3,507,961,907
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. 31,784,033 39,058,022 15,629,406
SHARES REDEEMED - CLASS A ............................................. (2,190,461,028) (3,356,332,374) (3,363,212,712)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. (65,845,938) 129,231,065 160,378,601
---------------- ----------------- ----------------
SHARES SOLD - ADMINISTRATOR CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS .. N/A N/A N/A
SHARES REDEEMED - ADMINISTRATOR CLASS ................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ...... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. N/A N/A N/A
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................... 679,977,115 1,055,035,049 899,858,046
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........ 4,160,584 5,609,147 2,327,260
SHARES REDEEMED - SERVICE CLASS ....................................... (691,468,775) (1,000,692,530) (913,286,716)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ (7,331,076) 59,951,666 (11,101,410)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... (73,177,014) 189,182,731 149,277,191
================ ================= ================
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............. $ (1,038) $ 11,035 $ (1,037)
================ ================= ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
66
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
GOVERNMENT
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. 1,151,160,869 1,423,421,663 665,433,163
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. 33,827,420 24,283,852 5,244,228
SHARES REDEEMED - CLASS A ............................................. (485,453,877) (790,328,776) (469,014,824)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. 699,534,412 657,376,739 201,662,567
---------------- ----------------- ----------------
SHARES SOLD - ADMINISTRATOR CLASS ..................................... 5,156,488,982 6,255,886,099 6,726,797,286
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS .. 18,185,632 19,662,362 3,947,147
SHARES REDEEMED - ADMINISTRATOR CLASS ................................. (4,932,762,858) (5,996,055,439) (6,294,511,632)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ...... 241,911,756 279,493,022 436,232,801
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... 20,270,339,077 34,712,207,816 35,402,384,904
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. 37,907,136 48,029,552 14,119,050
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. (18,514,654,133) (34,216,354,098) (32,923,357,239)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... 1,793,592,080 543,883,270 2,493,146,715
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................... 21,447,341,012 38,013,954,252 37,225,402,698
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........ 13,415,375 16,985,185 9,082,897
SHARES REDEEMED - SERVICE CLASS ....................................... (21,380,144,803) (37,911,077,190) (36,771,644,452)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ 80,611,584 119,862,247 462,841,143
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... 2,815,649,832 1,600,615,278 3,593,883,226
================ ================= ================
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............. $ 31,016 $ 55,141 $ 31,018
================ ================= ================
MINNESOTA
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. 140,322,608 303,479,665 203,357,235
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. 1,466,624 2,312,966 717,909
SHARES REDEEMED - CLASS A ............................................. (176,176,128) (286,023,599) (202,113,139)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. (34,386,896) 19,769,032 1,962,005
---------------- ----------------- ----------------
SHARES SOLD - ADMINISTRATOR CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS .. N/A N/A N/A
SHARES REDEEMED - ADMINISTRATOR CLASS ................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ...... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. N/A N/A N/A
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........ N/A N/A N/A
SHARES REDEEMED - SERVICE CLASS ....................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... (34,386,896) 19,769,032 1,962,005
================ ================= ================
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............. $ 2 $ 318 $ 0
================ ================= ================
67
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .................................................. $ 8,545,432,498 $ 6,562,374,104 $ 7,285,971,813
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .......................................... 186,947,967 203,644,821 61,267,134
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................... 8,088 23,194 (232,379)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... 186,956,055 203,668,015 61,034,755
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ............................................................. (147,923,076) (158,140,686) (55,348,767)
CLASS B ............................................................. (23,357,028) (25,795,692) (5,918,369)
ADMINISTRATOR CLASS ................................................. N/A N/A N/A
INSTITUTIONAL CLASS ................................................. N/A N/A N/A
INVESTOR CLASS ...................................................... (15,723,708) (19,708,443) N/A
SERVICE CLASS ....................................................... N/A N/A N/A
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ............................................................. 0 0 (4,045)
CLASS B ............................................................. 0 0 (433)
ADMINISTRATOR CLASS ................................................. N/A N/A N/A
INSTITUTIONAL CLASS ................................................. N/A N/A N/A
INVESTOR CLASS ...................................................... 0 0 N/A
SERVICE CLASS ....................................................... N/A N/A N/A
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ...................................... (187,003,812) (203,644,821) (61,271,614)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................... 3,505,131,410 6,475,521,273 6,208,728,777
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................... 144,594,408 153,346,906 52,730,502
COST OF SHARES REDEEMED - CLASS A ..................................... (3,043,432,232) (5,316,894,090) (6,687,490,639)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ................................................ 606,293,586 1,311,974,089 (426,031,360)
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - CLASS B ................................... 1,341,877,988 2,546,941,312 1,900,115,821
REINVESTMENT OF DISTRIBUTIONS - CLASS B ............................... 23,330,738 25,765,793 5,909,213
COST OF SHARES REDEEMED - CLASS B ..................................... (1,192,117,182) (2,601,917,657) (2,203,354,524)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS B ................................................ 173,091,544 (29,210,552) (297,329,490)
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS ....................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS ................... N/A N/A N/A
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS ......................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS .................................... N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ....................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................... N/A N/A N/A
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ......................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................... N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INVESTOR CLASS ............................ 280,350,459 2,304,215,648 N/A
REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ........................ 15,297,899 19,019,788 N/A
COST OF SHARES REDEEMED - INVESTOR CLASS .............................. (265,882,971) (1,622,963,773) N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INVESTOR CLASS ......................................... 29,765,387 700,271,663 N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ............................. N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ......................... N/A N/A N/A
COST OF SHARES REDEEMED - SERVICE CLASS ............................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .......................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS .......................................................... 809,150,517 1,983,035,200 (723,360,850)
================ ================= ================
NET INCREASE (DECREASE) IN NET ASSETS .................................... 809,102,760 1,983,058,394 (723,597,709)
================ ================= ================
ENDING NET ASSETS ........................................................ $ 9,354,535,258 $ 8,545,432,498 $ 6,562,374,104
================ ================= ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
68
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MUNICIPAL
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 OCTOBER 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .................................................. $ 539,844,209 $ 597,924,498 $ 875,447,446
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .......................................... 7,335,426 4,594,418 11,849,922
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................... (4,511) (1,917) (43,320)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... 7,330,915 4,592,501 11,806,602
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ............................................................. N/A N/A N/A
CLASS B ............................................................. N/A N/A N/A
ADMINISTRATOR CLASS ................................................. N/A N/A N/A
INSTITUTIONAL CLASS ................................................. N/A N/A N/A
INVESTOR CLASS ...................................................... (7,335,668) (4,594,417) (11,849,922)
SERVICE CLASS ....................................................... N/A N/A N/A
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ............................................................. N/A N/A N/A
CLASS B ............................................................. N/A N/A N/A
ADMINISTRATOR CLASS ................................................. N/A N/A N/A
INSTITUTIONAL CLASS ................................................. N/A N/A N/A
INVESTOR CLASS ...................................................... 0 0 0
SERVICE CLASS ....................................................... N/A N/A N/A
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ...................................... (7,335,668) (4,594,417) (11,849,922)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................... N/A N/A N/A
COST OF SHARES REDEEMED - CLASS A ..................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ................................................ N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - CLASS B ................................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - CLASS B ............................... N/A N/A N/A
COST OF SHARES REDEEMED - CLASS B ..................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS B ................................................ N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS ....................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS ................... N/A N/A N/A
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS ......................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS .................................... N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ....................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................... N/A N/A N/A
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ......................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................... N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INVESTOR CLASS ............................ 133,747,817 100,666,333 606,517,099
REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ........................ 7,060,413 4,437,583 12,512,687
COST OF SHARES REDEEMED - INVESTOR CLASS .............................. (211,992,152) (163,182,289) (896,509,414)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INVESTOR CLASS ......................................... (71,183,922) (58,078,373) (277,479,628)
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ............................. N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ......................... N/A N/A N/A
COST OF SHARES REDEEMED - SERVICE CLASS ............................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .......................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS .......................................................... (71,183,922) (58,078,373) (277,479,628)
================ ================= ================
NET INCREASE (DECREASE) IN NET ASSETS .................................... (71,188,675) (58,080,289) (277,522,948)
================ ================= ================
ENDING NET ASSETS ........................................................ $ 468,655,534 $ 539,844,209 $ 597,924,498
================ ================= ================
NATIONAL TAX-FREE
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .................................................. $ 3,424,000,163 $ 2,940,166,170 $ 2,186,314,686
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .......................................... 55,675,260 77,635,860 25,812,613
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................... 6,744 324,627 (42,034)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... 55,682,004 77,960,487 25,770,579
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ............................................................. (13,972,006) (15,456,427) (5,491,503)
CLASS B ............................................................. N/A N/A N/A
ADMINISTRATOR CLASS ................................................. (8,597,498) (13,564,380) N/A
INSTITUTIONAL CLASS ................................................. (15,902,621) (23,214,258) (8,196,846)
INVESTOR CLASS ...................................................... N/A N/A N/A
SERVICE CLASS ....................................................... (17,211,960) (25,400,794) (12,124,264)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ............................................................. 0 (60,602) (78,320)
CLASS B ............................................................. N/A N/A N/A
ADMINISTRATOR CLASS ................................................. 0 (60,720) N/A
INSTITUTIONAL CLASS ................................................. 0 (18,417) (116,904)
INVESTOR CLASS ...................................................... N/A N/A N/A
SERVICE CLASS ....................................................... 0 (132,684) (172,918)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ...................................... (55,684,085) (77,908,282) (26,180,755)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................... 895,154,059 1,660,036,058 1,518,234,814
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................... 13,864,777 15,390,552 5,512,460
COST OF SHARES REDEEMED - CLASS A ..................................... (907,338,976) (1,386,738,970) (1,432,897,857)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ................................................ 1,679,860 288,687,640 90,849,417
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - CLASS B ................................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - CLASS B ............................... N/A N/A N/A
COST OF SHARES REDEEMED - CLASS B ..................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS B ................................................ N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS ....................... 180,638,104 2,375,719,934 N/A
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS ................... 8,328,103 12,980,588 N/A
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS ......................... (217,535,682) (1,826,922,276) N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS .................................... (28,569,475) 561,778,246 N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ....................... 4,961,779,581 8,362,985,778 6,349,839,660
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................... 8,097,575 11,441,904 4,396,109
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ......................... (4,647,608,421) (8,706,165,133) (5,624,007,925)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................... 322,268,735 (331,737,451) 730,227,844
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INVESTOR CLASS ............................ N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ........................ N/A N/A N/A
COST OF SHARES REDEEMED - INVESTOR CLASS .............................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INVESTOR CLASS ......................................... N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ............................. 1,185,621,168 2,735,514,476 2,722,964,422
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ......................... 4,318,662 9,010,437 4,566,856
COST OF SHARES REDEEMED - SERVICE CLASS ............................... (1,216,865,365) (2,779,471,560) (2,794,346,879)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .......................................... (26,925,535) (34,946,647) (66,815,601)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS .......................................................... 268,453,585 483,781,788 754,261,660
================ ================= ================
NET INCREASE (DECREASE) IN NET ASSETS .................................... 268,451,504 483,833,993 753,851,484
================ ================= ================
ENDING NET ASSETS ........................................................ $ 3,692,451,667 $ 3,424,000,163 $ 2,940,166,170
================ ================= ================
69
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. 3,505,131,091 6,475,521,272 6,208,728,777
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. 144,594,408 153,346,906 52,730,501
SHARES REDEEMED - CLASS A ............................................. (3,043,432,232) (5,316,894,089) (6,687,490,639)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. 606,293,267 1,311,974,089 (426,031,361)
---------------- ----------------- ----------------
SHARES SOLD - CLASS B ................................................. 1,341,877,988 2,546,941,312 1,900,115,821
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS B .............. 23,330,738 25,765,793 5,909,214
SHARES REDEEMED - CLASS B ............................................. (1,192,117,182) (2,601,917,656) (2,203,354,524)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS B .................. 173,091,544 (29,210,551) (297,329,489)
---------------- ----------------- ----------------
SHARES SOLD - ADMINISTRATOR CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS .. N/A N/A N/A
SHARES REDEEMED - ADMINISTRATOR CLASS ................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ...... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. N/A N/A N/A
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - INVESTOR CLASS .......................................... 280,350,338 2,304,215,256 N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ....... 15,297,899 19,019,789 N/A
SHARES REDEEMED - INVESTOR CLASS ...................................... (265,882,971) (1,622,963,780) N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INVESTOR CLASS ........... 29,765,266 700,271,265 N/A
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........ N/A N/A N/A
SHARES REDEEMED - SERVICE CLASS ....................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... 809,150,077 1,983,034,803 (723,360,850)
================ ================= ================
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............. $ 0 $ 55,845 $ 0
================ ================= ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
70
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
MUNICIPAL
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 OCTOBER 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. N/A N/A N/A
SHARES REDEEMED - CLASS A ............................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - CLASS B ................................................. N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS B .............. N/A N/A N/A
SHARES REDEEMED - CLASS B ............................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS B .................. N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - ADMINISTRATOR CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS .. N/A N/A N/A
SHARES REDEEMED - ADMINISTRATOR CLASS ................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ...... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. N/A N/A N/A
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - INVESTOR CLASS .......................................... 133,747,817 100,666,334 606,517,099
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ....... 7,060,413 4,437,583 12,512,550
SHARES REDEEMED - INVESTOR CLASS ...................................... (211,992,152) (163,182,289) (896,509,424)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INVESTOR CLASS ........... (71,183,922) (58,078,372) (277,479,775)
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........ N/A N/A N/A
SHARES REDEEMED - SERVICE CLASS ....................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... (71,183,922) (58,078,372) (277,479,775)
================ ================= ================
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............. $ 1 $ 243 $ 0
================ ================= ================
NATIONAL TAX-FREE
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. 895,154,059 1,660,036,058 1,518,234,814
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. 13,864,777 15,390,552 5,512,459
SHARES REDEEMED - CLASS A ............................................. (907,338,976) (1,386,738,970) (1,432,897,857)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. 1,679,860 288,687,640 90,849,416
---------------- ----------------- ----------------
SHARES SOLD - CLASS B ................................................. N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS B .............. N/A N/A N/A
SHARES REDEEMED - CLASS B ............................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS B .................. N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - ADMINISTRATOR CLASS ..................................... 180,638,104 2,375,697,461 N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS .. 8,328,103 12,980,587 N/A
SHARES REDEEMED - ADMINISTRATOR CLASS ................................. (217,535,682) (1,826,922,276) N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ...... (28,569,475) 561,755,772 N/A
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... 4,961,779,582 8,362,985,778 6,349,839,660
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. 8,097,575 11,441,904 4,396,109
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. (4,647,608,421) (8,706,165,133) (5,624,007,925)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... 322,268,736 (331,737,451) 730,227,844
---------------- ----------------- ----------------
SHARES SOLD - INVESTOR CLASS .......................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ....... N/A N/A N/A
SHARES REDEEMED - INVESTOR CLASS ...................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INVESTOR CLASS ........... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................... 1,185,621,168 2,735,514,477 2,722,964,590
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........ 4,318,662 9,010,437 4,566,856
SHARES REDEEMED - SERVICE CLASS ....................................... (1,216,865,365) (2,779,471,560) (2,794,346,879)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ (26,925,535) (34,946,646) (66,815,433)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... 268,453,586 483,759,315 754,261,827
================ ================= ================
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............. $ 2 $ 8,827 $ 0
================ ================= ================
71
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
TREASURY PLUS
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .................................................. $ 4,879,764,763 $ 4,971,385,295 $ 5,747,241,499
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .......................................... 118,887,973 140,545,536 55,981,315
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................... 0 53,832 (163,649)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... 118,887,973 140,599,368 55,817,666
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ............................................................. (59,121,626) (72,949,376) (24,276,293)
INSTITUTIONAL CLASS ................................................. (33,693,951) (38,279,612) (19,346,848)
SERVICE CLASS ....................................................... (26,089,006) (29,316,547) (12,358,177)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ............................................................. 0 0 (1,993)
INSTITUTIONAL CLASS ................................................. 0 0 (1,588)
SERVICE CLASS ....................................................... 0 0 (1,015)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ...................................... (118,904,583) (140,545,535) (55,985,914)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................... 7,539,552,446 12,146,396,546 10,429,884,979
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................... 18,418,742 23,294,362 7,427,144
COST OF SHARES REDEEMED - CLASS A ..................................... (7,475,932,753) (11,893,116,301) (10,398,131,297)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ................................................ 82,038,435 276,574,607 39,180,826
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ....................... 8,363,357,920 16,041,775,506 30,679,921,452
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................... 16,382,850 15,558,664 5,919,568
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ......................... (7,578,625,616) (16,159,880,690) (31,381,603,066)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................... 801,115,154 (102,546,520) (695,762,046)
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ............................. 9,502,726,687 14,411,828,408 18,558,403,584
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ......................... 3,432,691 4,064,352 1,815,019
COST OF SHARES REDEEMED - SERVICE CLASS ............................... (9,345,085,587) (14,681,595,212) (18,679,325,339)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .......................................... 161,073,791 (265,702,452) (119,106,736)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS .......................................................... 1,044,227,380 (91,674,365) (775,687,956)
================ ================= ================
NET INCREASE (DECREASE) IN NET ASSETS .................................... 1,044,510,770 (91,620,532) (775,856,204)
================ ================= ================
ENDING NET ASSETS ........................................................ $ 5,923,975,533 $ 4,879,764,763 $ 4,971,385,295
================ ================= ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
72
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
100% TREASURY
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .................................................. $ 3,783,181,409 $ 3,192,222,434 $ 3,140,902,133
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .......................................... 83,335,085 90,583,393 34,956,971
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................... 46,135 (116,024) 999
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... 83,381,220 90,467,369 34,957,970
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ............................................................. (4,462,551) (4,456,262) (1,554,213)
INSTITUTIONAL CLASS ................................................. N/A N/A N/A
SERVICE CLASS ....................................................... (78,884,335) (86,127,132) (33,402,758)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ............................................................. 0 0 (3,210)
INSTITUTIONAL CLASS ................................................. N/A N/A N/A
SERVICE CLASS ....................................................... 0 0 (68,994)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ...................................... (83,346,886) (90,583,394) (35,029,175)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................... 339,009,358 398,909,877 319,141,466
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................... 4,437,259 4,383,378 1,544,672
COST OF SHARES REDEEMED - CLASS A ..................................... (315,140,779) (362,135,295) (323,331,614)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ................................................ 28,305,838 41,157,960 (2,645,476)
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ....................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................... N/A N/A N/A
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ......................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................... N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ............................. 11,128,873,679 19,212,585,427 17,521,081,934
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ......................... 10,805,182 13,209,599 4,347,987
COST OF SHARES REDEEMED - SERVICE CLASS ............................... (11,161,789,671) (18,675,877,986) (17,471,392,939)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .......................................... (22,110,810) 549,917,040 54,036,982
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS .......................................................... 6,195,028 591,075,000 51,391,506
================ ================= ================
NET INCREASE (DECREASE) IN NET ASSETS .................................... 6,229,362 590,958,975 51,320,301
================ ================= ================
ENDING NET ASSETS ........................................................ $ 3,789,410,771 $ 3,783,181,409 $ 3,192,222,434
================ ================= ================
73
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
TREASURY PLUS
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. 7,539,552,446 12,146,396,381 10,429,884,979
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. 18,418,742 23,294,362 7,427,144
SHARES REDEEMED - CLASS A ............................................. (7,475,932,753) (11,893,116,301) (10,398,131,297)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. 82,038,435 276,574,442 39,180,826
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... 8,363,357,920 16,041,775,507 30,679,921,450
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. 16,382,850 15,558,664 5,919,568
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. (7,578,625,616) (16,159,880,690) (31,381,603,066)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... 801,115,154 (102,546,519) (695,762,048)
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................... 9,502,726,688 14,411,828,408 18,558,403,584
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS. ....... 3,432,691 4,064,352 1,815,019
SHARES REDEEMED - SERVICE CLASS ....................................... (9,345,085,587) (14,681,595,212) (18,679,325,339)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ 161,073,792 (265,702,452) (119,106,736)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... 1,044,227,381 (91,674,529) (775,687,958)
================ ================= ================
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME(LOSS) .............. $ 647 $ 17,256 $ 644
================ ================= ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
74
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
100% TREASURY
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. 339,009,356 398,909,876 319,141,466
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. 4,437,259 4,383,378 1,544,672
SHARES REDEEMED - CLASS A ............................................. (315,140,779) (362,135,295) (323,331,614)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. 28,305,836 41,157,959 (2,645,476)
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. N/A N/A N/A
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................... 11,128,873,679 19,212,585,427 17,521,081,937
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........ 10,805,183 13,209,599 4,347,987
SHARES REDEEMED - SERVICE CLASS ....................................... (11,161,789,672) (18,675,877,986) (17,471,392,939)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ (22,110,810) 549,917,040 54,036,985
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... 6,195,026 591,074,999 51,391,509
================ ================= ================
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME(LOSS) .............. $ 190,132 $ 201,933 $ 172,889
================ ================= ================
75
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS
- ------------------------------------------------------------------------------
NET REALIZED
BEGINNING NET AND DISTRIBUTIONS
NET ASSET INVESTMENT UNREALIZED FROM NET
VALUE PER INCOME GAIN (LOSS) ON INVESTMENT
SHARE (LOSS) INVESTMENTS INCOME
- --------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $1.00 0.01 0.00 (0.01)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... $1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 ............... $1.00 0.01 0.00 (0.01)
April 1, 2003 to March 31, 2004 ............... $1.00 0.00 0.00 0.00
APRIL 1, 2002 TO MARCH 31, 2003 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ............... $1.00 0.02 0.00 (0.02)
APRIL 1, 2000 TO MARCH 31, 2001 ............... $1.00 0.03 0.00 (0.03)
GOVERNMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ............... $1.00 0.00 0.00 0.00
APRIL 1, 2002 TO MARCH 31, 2003 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ............... $1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 ............... $1.00 0.06 0.00 (0.06)
MINNESOTA MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $1.00 0.01 0.00 (0.01)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... $1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ............... $1.00 0.00 0.00 0.00
APRIL 1, 2002 TO MARCH 31, 2003 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ............... $1.00 0.02 0.00 (0.02)
AUGUST 14, 2000(3) TO MARCH 31, 2001 .......... $1.00 0.02 0.00 (0.02)
MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ............... $1.00 0.00 0.00 0.00
APRIL 1, 2002 TO MARCH 31, 2003 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ............... $1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 ............... $1.00 0.06 0.00 (0.06)
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $1.00 0.18 0.00 (0.18)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... $1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 ............... $1.00 0.00 0.00 0.00
APRIL 1, 2003 TO MARCH 31, 2004 ............... $1.00 0.00 0.00 0.00
APRIL 1, 2002 TO MARCH 31, 2003 ............... $1.00 0.00 0.00 0.00
APRIL 1, 2001 TO MARCH 31, 2002 ............... $1.00 0.02 0.00 (0.02)
APRIL 1, 2000 TO MARCH 31, 2001 ............... $1.00 0.05 0.00 (0.05)
INVESTOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $1.00 0.02 0.00 (0.02)
APRIL 11, 2005(3) TO FEBRUARY 28, 2006(4) ..... $1.00 0.03 0.00 (0.03)
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------
INVESTOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2005 TO FEBRUARY 28, 2006(5) ...... $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2004 TO OCTOBER 31, 2005 .......... $1.00 0.02 0.00 (0.02)
NOVEMBER 1, 2003 TO OCTOBER 31, 2004 .......... $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2002 TO OCTOBER 31, 2003 .......... $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2001 TO OCTOBER 31, 2002 .......... $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2000 TO OCTOBER 31, 2001 .......... $1.00 0.03 0.00 (0.03)
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
76
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- ------------------------------------------------------------------------------
DISTRIBUTIONS ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
FROM NET NET ASSET ------------------------------------------------
REALIZED VALUE PER NET INVESTMENT GROSS EXPENSES NET
GAINS SHARE INCOME (LOSS) EXPENSES WAIVED EXPENSES
- ----------------------------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- ----------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 2.76% 0.83% (0.18)% 0.65%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 0.00 $1.00 2.01% 0.84% (0.19)% 0.65%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 0.78% 0.84% (0.19)% 0.65%
April 1, 2003 to March 31, 2004 ............... 0.00 $1.00 0.36% 0.85% (0.20)% 0.65%
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.00 $1.00 0.72% 0.77% (0.12)% 0.65%
APRIL 1, 2001 TO MARCH 31, 2002 ............... 0.00 $1.00 1.52% 0.77% (0.12)% 0.65%
APRIL 1, 2000 TO MARCH 31, 2001 ............... 0.00 $1.00 2.93% 0.77% (0.12)% 0.65%
GOVERNMENT MONEY MARKET FUND
- ----------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 4.37% 0.65% 0.00% 0.65%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 0.00 $1.00 3.13% 0.65% 0.00% 0.65%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 1.17% 0.65% 0.00% 0.65%
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.00 $1.00 0.46% 0.71% (0.04)% 0.67%
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.00 $1.00 0.97% 0.81% (0.06)% 0.75%
APRIL 1, 2001 TO MARCH 31, 2002 ............... 0.00 $1.00 2.33% 1.00% (0.25)% 0.75%
APRIL 1, 2000 TO MARCH 31, 2001 ............... 0.00 $1.00 5.69% 0.81% (0.06)% 0.75%
MINNESOTA MONEY MARKET FUND
- ----------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 2.64% 0.90% (0.10)% 0.80%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 0.00 $1.00 1.90% 0.88% (0.08)% 0.80%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 0.66% 0.89% (0.09)% 0.80%
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.00 $1.00 0.28% 0.90% (0.10)% 0.80%
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.00 $1.00 0.72% 0.83% (0.03)% 0.80%
APRIL 1, 2001 TO MARCH 31, 2002 ............... 0.00 $1.00 1.65% 0.83% (0.03)% 0.80%
AUGUST 14, 2000(3) TO MARCH 31, 2001 .......... 0.00 $1.00 2.03% 0.56% (0.05)% 0.51%
MONEY MARKET FUND
- ----------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 4.28% 0.82% (0.06)% 0.76%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 0.00 $1.00 2.96% 0.83% (0.07)% 0.76%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 1.02% 0.87% (0.11)% 0.76%
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.00 $1.00 0.41% 0.93% (0.17)% 0.76%
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.00 $1.00 1.01% 0.97% (0.21)% 0.76%
APRIL 1, 2001 TO MARCH 31, 2002 ............... 0.00 $1.00 2.58% 0.97% (0.21)% 0.76%
APRIL 1, 2000 TO MARCH 31, 2001 ............... 0.00 $1.00 5.60% 0.95% (0.19)% 0.76%
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 3.53% 1.57% (0.06)% 1.51%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 0.00 $1.00 2.16% 1.58% (0.07)% 1.51%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 0.41% 1.62% (0.28)% 1.34%
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.00 $1.00 0.12% 1.68% (0.63)% 1.05%
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.00 $1.00 0.32% 1.61% (0.15)% 1.46%
APRIL 1, 2001 TO MARCH 31, 2002 ............... 0.00 $1.00 1.76% 1.60% (0.09)% 1.51%
APRIL 1, 2000 TO MARCH 31, 2001 ............... 0.00 $1.00 4.86% 1.69% (0.18)% 1.51%
INVESTOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 4.38% 0.99% (0.34)% 0.65%
APRIL 11, 2005(3) TO FEBRUARY 28, 2006(4) ..... 0.00 $1.00 3.02% 1.00% (0.35)% 0.65%
MUNICIPAL MONEY MARKET FUND
- ----------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 2.91% 1.04% (0.40)% 0.64%
NOVEMBER 1, 2005 TO FEBRUARY 28, 2006(5) ...... 0.00 $1.00 2.45% 1.04% (0.40)% 0.64%
NOVEMBER 1, 2004 TO OCTOBER 31, 2005 .......... 0.00 $1.00 1.64% 0.86% (0.20)% 0.66%
NOVEMBER 1, 2003 TO OCTOBER 31, 2004 .......... 0.00 $1.00 0.81% 0.65% (0.02)% 0.63%
NOVEMBER 1, 2002 TO OCTOBER 31, 2003 .......... 0.00 $1.00 0.94% 0.61% 0.00% 0.61%
NOVEMBER 1, 2001 TO OCTOBER 31, 2002 .......... 0.00 $1.00 1.42% 0.58% 0.00% 0.58%
NOVEMBER 1, 2000 TO OCTOBER 31, 2001 .......... 0.00 $1.00 3.29% 0.57% 0.00% 0.57%
NET ASSETS AT
TOTAL END OF PERIOD
RETURN(2) (000'S OMITTED)
- -------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- -------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.40% $ 2,486,731
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 1.85% $ 2,552,430
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.79% $ 2,423,170
April 1, 2003 to March 31, 2004 ............... 0.36% $ 2,262,957
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.73% $ 2,357,684
APRIL 1, 2001 TO MARCH 31, 2002 ............... 1.54% $ 2,448,719
APRIL 1, 2000 TO MARCH 31, 2001 ............... 2.99% $ 2,528,345
GOVERNMENT MONEY MARKET FUND
- -------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.21% $ 1,923,741
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 2.78% $ 1,224,209
APRIL 1, 2004 TO MARCH 31, 2005 ............... 1.11% $ 566,832
April 1, 2003 to March 31, 2004 ............... 0.47% $ 365,169
APRIL 1, 2002 TO MARCH 31, 2003 ............... 1.02% $ 245,642
APRIL 1, 2001 TO MARCH 31, 2002 ............... 2.60% $ 144,577
APRIL 1, 2000 TO MARCH 31, 2001 ............... 5.70% $ 72,460
MINNESOTA MONEY MARKET FUND
- -------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.35% $ 104,527
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 1.75% $ 138,917
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.68% $ 119,148
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.28% $ 117,237
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.73% $ 127,193
APRIL 1, 2001 TO MARCH 31, 2002 ............... 1.75% $ 141,873
AUGUST 14, 2000(3) TO MARCH 31, 2001 .......... 2.07% $ 113,871
MONEY MARKET FUND
- -------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.17% $ 7,186,935
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 2.69% $ 6,580,685
APRIL 1, 2004 TO MARCH 31, 2005 ............... 1.03% $ 5,268,694
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.41% $ 5,694,911
APRIL 1, 2002 TO MARCH 31, 2003 ............... 1.01% $ 6,728,119
APRIL 1, 2001 TO MARCH 31, 2002 ............... 2.54% $ 7,835,864
APRIL 1, 2000 TO MARCH 31, 2001 ............... 5.77% $14,406,458
CLASS B
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.79% $ 1,437,558
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 1.99% $ 1,264,470
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.44% $ 1,293,680
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.12% $ 1,591,061
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.31% $ 1,882,817
APRIL 1, 2001 TO MARCH 31, 2002 ............... 1.78% $ 2,373,287
APRIL 1, 2000 TO MARCH 31, 2001 ............... 4.99% $ 2,493,119
INVESTOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.23% $ 730,042
APRIL 11, 2005(3) TO FEBRUARY 28, 2006(4) ..... 2.74% $ 700,278
MUNICIPAL MONEY MARKET FUND
- -------------------------------------------------------------------------------
INVESTOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.48% $ 468,656
NOVEMBER 1, 2005 TO FEBRUARY 28, 2006(5) ...... 0.81% $ 539,844
NOVEMBER 1, 2004 TO OCTOBER 31, 2005 .......... 1.69% $ 597,924
NOVEMBER 1, 2003 TO OCTOBER 31, 2004 .......... 0.83% $ 875,447
NOVEMBER 1, 2002 TO OCTOBER 31, 2003 .......... 0.92% $ 1,563,333
NOVEMBER 1, 2001 TO OCTOBER 31, 2002 .......... 1.42% $ 2,066,885
NOVEMBER 1, 2000 TO OCTOBER 31, 2001 .......... 3.35% $ 3,002,068
77
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NET REALIZED
BEGINNING NET AND DISTRIBUTIONS
NET ASSET INVESTMENT UNREALIZED FROM NET
VALUE PER INCOME GAIN (LOSS) ON INVESTMENT
SHARE (LOSS) INVESTMENTS INCOME
- ---------------------------------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .... $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ........... $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 ................. $ 1.00 0.01 0.00 (0.01)
JULY 28, 2003(3) TO MARCH 31, 2004 .............. $ 1.00 0.00 0.00 0.00
TREASURY PLUS MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .... $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ........... $ 1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................. $ 1.00 0.01 0.00 (0.01)
JULY 28, 2003(3) TO MARCH 31, 2004 .............. $ 1.00 0.00 0.00 0.00
100% TREASURY MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .... $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ........... $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 ................. $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................. $ 1.00 0.00 0.00 0.00
APRIL 1, 2002 TO MARCH 31, 2003 ................. $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................. $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2000 TO MARCH 31, 2001 ................. $ 1.00 0.05 0.00 (0.05)
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
78
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
DISTRIBUTIONS ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
FROM NET NET ASSET -----------------------------------------------
REALIZED VALUE PER NET INVESTMENT GROSS EXPENSES NET
GAINS SHARE INCOME (LOSS) EXPENSES WAIVED EXPENSES
- -----------------------------------------------------------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ....... 0.00 $1.00 2.81% 0.66% (0.01)% 0.65%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) .............. 0.00 $1.00 2.07% 0.66% (0.01)% 0.65%
APRIL 1, 2004 TO MARCH 31, 2005 .................... 0.00 $1.00 0.80% 0.65% 0.00% 0.65%
JULY 28, 2003(3) TO MARCH 31, 2004 ................. 0.00 $1.00 0.37% 0.65% 0.00% 0.65%
TREASURY PLUS MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ....... 0.00 $1.00 4.28% 0.65% 0.00% 0.65%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) .............. 0.00 $1.00 2.87% 0.65% 0.00% 0.65%
APRIL 1, 2004 TO MARCH 31, 2005 .................... 0.00 $1.00 1.02% 0.66% (0.01)% 0.65%
JULY 28, 2003(3) TO MARCH 31, 2004 ................. 0.00 $1.00 0.39% 0.66% (0.01)% 0.65%
100% TREASURY MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ....... 0.00 $1.00 4.08% 0.84% (0.19)% 0.65%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) .............. 0.00 $1.00 2.72% 0.83% (0.18)% 0.65%
APRIL 1, 2004 TO MARCH 31, 2005 .................... 0.00 $1.00 0.94% 0.86% (0.21)% 0.65%
APRIL 1, 2003 TO MARCH 31, 2004 .................... 0.00 $1.00 0.37% 0.90% (0.25)% 0.65%
APRIL 1, 2002 TO MARCH 31, 2003 .................... 0.00 $1.00 0.94% 0.81% (0.16)% 0.65%
APRIL 1, 2001 TO MARCH 31, 2002 .................... 0.00 $1.00 2.33% 0.79% (0.14)% 0.65%
APRIL 1, 2000 TO MARCH 31, 2001 .................... 0.00 $1.00 5.28% 0.74% (0.09)% 0.65%
NET ASSETS AT
TOTAL END OF PERIOD
RETURN(2) (000'S OMITTED)
- ----------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- ----------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ....... 1.43% $ 1,002,764
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) .............. 1.89% $ 1,001,084
APRIL 1, 2004 TO MARCH 31, 2005 .................... 0.82% $ 712,405
JULY 28, 2003(3) TO MARCH 31, 2004 ................. 0.25% $ 621,663
TREASURY PLUS MONEY MARKET FUND
- ----------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ....... 2.17% $ 2,855,588
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) .............. 2.64% $ 2,773,558
APRIL 1, 2004 TO MARCH 31, 2005 .................... 1.02% $ 2,496,955
JULY 28, 2003(3) TO MARCH 31, 2004 ................. 0.26% $ 2,457,864
100% TREASURY MONEY MARKET FUND
- ----------------------------------------------------------------------------------
CLASS A
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ....... 2.06% $ 229,692
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) .............. 2.50% $ 201,384
APRIL 1, 2004 TO MARCH 31, 2005 .................... 0.96% $ 160,233
APRIL 1, 2003 TO MARCH 31, 2004 .................... 0.36% $ 162,883
APRIL 1, 2002 TO MARCH 31, 2003 .................... 0.96% $ 209,285
APRIL 1, 2001 TO MARCH 31, 2002 .................... 2.48% $ 161,947
APRIL 1, 2000 TO MARCH 31, 2001 .................... 5.39% $ 98,260
79
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS NOTES TO FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(1) During each period, various fees and expenses were waived and reimbursed
as indicated. The ratio of Gross Expenses to Average Net Assets reflects
the expense ratio in the absence of any waivers and reimbursements (Note
3).
(2) Total return calculations would have been lower had certain expenses not
been waived or reimbursed during the periods shown. Returns for periods of
less than one year are not annualized.
(3) Commencement of operations.
(4) The Fund changed its fiscal year from March 31 to February 28.
(5) The Fund changed its fiscal year from October 31 to February 28.
80
WELLS FARGO ADVANTAGE MONEY
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) MARKET FUNDS
- --------------------------------------------------------------------------------
1. ORGANIZATION
- --------------------------------------------------------------------------------
Wells Fargo Funds Trust (the "Trust") is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end management
investment company. The Trust commenced operations on November 8, 1999, and at
August 31, 2006, was comprised of 108 separate series (each, a "Fund",
collectively, the "Funds"). These financial statements present the California
Tax-Free Money Market Fund, Government Money Market Fund, Minnesota Money Market
Fund, Money Market Fund, Municipal Money Market Fund, National Tax-Free Money
Market Fund, Treasury Plus Money Market Fund, and 100% Treasury Money Market
Fund.
Each Fund, except the California Tax-Free Money Market Fund and Minnesota
Money Market Fund, is a diversified series of the Trust. The California Tax-Free
Money Market Fund and Minnesota Money Market Fund are non-diversified series of
the Trust.
In August and September 2004, the Board of Trustees of the Trust and the
Boards of Directors of the Strong Funds ("Strong Funds") approved an Agreement
and Plan of Reorganization providing for the reorganization of certain Strong
Funds into the Funds.
Effective at the close of business on April 8, 2005, the following
Acquiring Funds ("Acquiring Funds") acquired substantially all of the net assets
of the following Target Funds ("Target Funds") through a tax-free exchange under
section 368 of the Internal Revenue Code. The following is a summary of shares
outstanding and net assets immediately before and after the reorganization:
Before Reorganization After Reorganization
------------------------------------------------------------------------ ------------------------------
Target Fund Target Fund Acquiring Fund**
Strong Florida Municipal Strong Tax-Free Wells Fargo National Tax-Free Wells Fargo Advantage National
Fund Money Market Fund Money Fund Money Market Fund Tax-Free Money Market Fund
- ----------------------------------------------------------------------------------------------------------------------------------
Shares:
- ----------------------------------------------------------------------------------------------------------------------------------
CLASS A 0 0 737,825,002 737,825,002
- ----------------------------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS* 0 0 0 979,348,537
- ----------------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS 0 0 1,203,664,926 1,203,664,926
- ----------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS* 30,965,555 948,382,982 0 0
- ----------------------------------------------------------------------------------------------------------------------------------
SERVICE CLASS 0 0 1,202,555,668 1,202,555,668
- ----------------------------------------------------------------------------------------------------------------------------------
Net Assets:
- ----------------------------------------------------------------------------------------------------------------------------------
CLASS A $ 0 $ 0 $ 737,834,448 $ 737,834,448
- ----------------------------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS* 0 0 0 979,371,575
- ----------------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS 0 0 1,203,577,280 1,203,577,280
- ----------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS* 30,965,555 948,406,020 0 N/A
- ----------------------------------------------------------------------------------------------------------------------------------
SERVICE CLASS 0 0 1,202,699,888 1,202,699,888
- ----------------------------------------------------------------------------------------------------------------------------------
Accumulated net
realized gain (loss) $ 0 $ (31,969) $ (134,237) $ (166,206)
- ----------------------------------------------------------------------------------------------------------------------------------
* Effective at the close of business on April 8, 2005, Investor Class of Strong
Florida Municipal Money Market Fund and Strong Tax-Free Money Fund merged
into Administrator Class of Wells Fargo Advantage National Tax-Free Money
Market Fund.
** Designates the accounting survivor.
81
NOTES TO FINANCIAL STATEMENTS
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS (UNAUDITED)
- --------------------------------------------------------------------------------
Before Reorganization After Reorganization
--------------------------------- ---------------------
Target Fund Acquiring Fund**
Strong Money Wells Fargo Wells Fargo Advantage
Fund Market Fund Money Market Fund Money Market Fund
- -----------------------------------------------------------------------------------------------------
Shares:
- ----------------------------------------------------------------------------------------------------
CLASS A 0 5,337,272,510 5,337,272,510
- ----------------------------------------------------------------------------------------------------
CLASS B 0 1,287,549,477 1,287,549,477
- ----------------------------------------------------------------------------------------------------
INVESTOR CLASS 945,858,106 0 945,858,106
- ----------------------------------------------------------------------------------------------------
Net Assets:
- ----------------------------------------------------------------------------------------------------
CLASS A $ 0 $ 5,337,619,603 $ 5,337,619,603
- ----------------------------------------------------------------------------------------------------
CLASS B 0 1,287,581,570 1,287,581,570
- ----------------------------------------------------------------------------------------------------
INVESTOR CLASS 945,858,107 0 945,858,107
- ----------------------------------------------------------------------------------------------------
Accumulated net realized gain (loss) $ 0 $ (531,065) $ (531,065)
- ----------------------------------------------------------------------------------------------------
** Designates the accounting survivor.
Effective at the close of business on April 8, 2005, the following
Acquiring Fund ("Acquiring Fund") acquired substantially all of the net assets
of the following Target Fund ("Target Fund") through a tax-free exchange under
section 368 of the Internal Revenue Code.
Acquiring Fund Target Fund
- ----------------------------------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE MUNICIPAL MONEY MARKET FUND - INVESTOR CLASS STRONG MUNICIPAL MONEY MARKET FUND-INVESTOR CLASS
- ----------------------------------------------------------------------------------------------------------------------
The separate classes of shares offered by each Fund differ principally in
applicable sales charges and distribution, shareholder servicing and
administration fees. Shareholders of each class bear certain expenses that
pertain to that particular class. All shareholders bear the common expenses of a
Fund, earn income from the portfolio, and are allocated unrealized gains and
losses pro rata based on the average daily net assets of each class, without
distinction between share classes. Dividends are determined separately for each
class based on income and expenses allocable to each class. Realized gains and
losses are allocated to each class pro rata based upon the net assets of each
class on the date realized. Differences in per share dividend rates generally
result from the relative weightings of pro rata income and realized gain
allocations and from differences in separate class expenses, including
distribution, shareholder servicing, and administration fees.
2. SIGNIFICANT ACCOUNTING POLICIES
- --------------------------------------------------------------------------------
The following significant accounting policies, which are consistently
followed in the preparation of the financial statements of the Trust, are in
conformity with accounting principles generally accepted in the United States of
America ("GAAP") for investment companies.
The preparation of financial statements in conformity with GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities, disclosure of contingent assets and liabilities at the
date of the financial statements, and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
In the normal course of business, the Trust may enter into contracts that
provide certain indemnifications. The Trust's maximum exposure under these
arrangements is dependent on future claims that may be made against the Funds
and, therefore, cannot be estimated; however, based on experience, the risk of
loss from such claims is considered remote.
SECURITY VALUATION
The Fund(s) invests only in securities with remaining maturities not
exceeding 397 days (13 months). Certain floating- and variable-rate instruments
in the portfolio may have maturities in excess of 397 days provided that these
variable rate instruments are either Government Securities or carry a demand
feature that permits the holder to tender the instruments back to the issuer at
par value prior to maturity.
The amortized cost method is used to value portfolio securities. The
amortized cost method involves valuing a security at its cost, plus accretion of
discount or minus amortization of premium over the period until maturity, which
approximates market value. The Fund(s) seeks to maintain a constant net asset
value of $1.00 per share, although there is no assurance that it will be able to
do so.
Investments which are not valued using any of the methods discussed above
are valued at their fair value as determined by procedures approved by the Board
of Trustees.
SECURITY TRANSACTIONS AND INCOME RECOGNITION
Securities transactions are recorded on a trade date basis. Realized gains
or losses are reported on the basis of identified cost of securities delivered.
Interest income is accrued daily and bond discounts are accreted and premiums
are amortized daily.
82
WELLS FARGO ADVANTAGE MONEY
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) MARKET FUNDS
- --------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS
Net investment income, if any, is declared daily and distributed to
shareholders monthly. Distributions to shareholders from net realized capital
gains, if any, are declared and distributed at least annually.
For federal income tax purposes, a Fund may designate as capital gains
distributions the earnings and profits distributed to shareholders on the
redemption of fund shares during the year.
Distributions are based on amounts calculated in accordance with the
applicable federal income tax regulations, which may differ from GAAP. The
timing and character of distributions made during the period from net investment
income or net realized gains may also differ from their ultimate
characterization for federal income tax purposes. To the extent that these
differences are permanent in nature, such amounts are reclassified within the
capital accounts based on their federal tax-basis treatment. Temporary
differences do not require reclassifications.
FEDERAL INCOME TAXES
Each Fund is treated as a separate entity for U.S. federal income tax
purposes. It is the policy of each Fund of the Trust to continue to qualify as a
regulated investment company under Subchapter M of Subtitle A, Chapter 1 of the
Internal Revenue Code (the "Code"), and to make distributions of substantially
all of its investment company taxable income and any net realized capital gains
(after reduction for capital loss carryforwards) sufficient to relieve it from
all, or substantially all, federal income taxes. Accordingly, no provision for
federal income taxes was required at August 31, 2006.
At February 28, 2006, estimated net capital loss carryforwards, which are
available to offset future net realized capital gains, were:
Fund Year Expires Capital Loss Carryforwards
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND 2014 $ 51,212
- --------------------------------------------------------------------------------
MINNESOTA MONEY MARKET FUND 2013 15,025
2014 326
- --------------------------------------------------------------------------------
MONEY MARKET FUND 2013 222,073
2014 60,033
- --------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND 2013 43,320
- --------------------------------------------------------------------------------
TREASURY PLUS MONEY MARKET FUND 2013 135,324
- --------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND 2013 37,866
2014 162,921
At February 28, 2006, current year deferred post-October capital losses,
which will be treated as realized for tax purposes on the first day of the
succeeding year, were:
Deferred
Post-October
Fund Capital Loss
- -------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND $ 25,460
- -------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND 2,159
- -------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND 48,825
- -------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND 58,512
REPURCHASE AGREEMENTS
The Fund(s) may invest in repurchase agreements and may participate in
pooled repurchase agreement transactions with other funds advised by Wells Fargo
Funds Management, LLC ("Funds Management"). The repurchase agreements must be
fully collateralized based on values that are marked to market daily. The
collateral may be held by an agent bank under a tri-party agreement. It is the
custodian's responsibility to value collateral daily and to take action to
obtain additional collateral as necessary to maintain market value equal to or
greater than the resale price. The repurchase agreements are collateralized by
instruments such as U.S. Treasury, federal agency, or high-grade corporate
obligations. There could be potential loss to a Fund in the event that such Fund
is delayed or prevented from exercising its rights to dispose of the collateral,
including the risk of a possible decline in the value of the underlying
obligations during the period in which a Fund seeks to assert its rights.
3. EXPENSES
- --------------------------------------------------------------------------------
ADVISORY FEES
The Trust has entered into an advisory contract with Funds Management. The
adviser is responsible for implementing investment policies and guidelines and
for supervising the subadviser, who is responsible for day-to-day portfolio
management.
Pursuant to the contract, Funds Management is entitled to receive an
advisory fee for its services as adviser. Funds Management may retain the
services of certain investment subadvisers to provide daily portfolio
management. The fees related
83
NOTES TO FINANCIAL STATEMENTS
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS (UNAUDITED)
- --------------------------------------------------------------------------------
to subadvisory services are borne directly by the adviser and do not increase
the overall fees paid by a Fund to the adviser. Funds Management and the
investment subadviser(s) are entitled to be paid a monthly fee at the following
annual rates:
Subadvisory Fees
Advisory Fees (% of Average
Average Daily (% of Average Average Daily Daily Net
Fund Net Assets Daily Net Assets) Subadviser Net Assets Assets)
- ---------------------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE First $1 billion 0.300 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Next $4 billion 0.275 Management Next $2 billion 0.030
Over $5 billion 0.250 Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- ---------------------------------------------------------------------------------------------------------------------
GOVERNMENT MONEY All asset levels 0.100 Wells Capital First $1 billion 0.050
MARKET FUND Management Next $2 billion 0.030
Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- ---------------------------------------------------------------------------------------------------------------------
MINNESOTA MONEY First $1 billion 0.300 Wells Capital First $1 billion 0.050
MARKET FUND Next $4 billion 0.275 Management Next $2 billion 0.030
Over $5 billion 0.250 Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- ---------------------------------------------------------------------------------------------------------------------
MONEY MARKET FUND First $1 billion 0.300 Wells Capital First $1 billion 0.050
Next $4 billion 0.275 Management Next $2 billion 0.030
Over $5 billion 0.250 Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- ---------------------------------------------------------------------------------------------------------------------
MUNICIPAL MONEY First $1 billion 0.300 Wells Capital First $1 billion 0.050
MARKET FUND Next $4 billion 0.275 Management Next $2 billion 0.030
Over $5 billion 0.250 Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- ---------------------------------------------------------------------------------------------------------------------
NATIONAL TAX-FREE All asset levels 0.100 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Management Next $2 billion 0.030
Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- ---------------------------------------------------------------------------------------------------------------------
TREASURY PLUS All asset levels 0.100 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Management Next $2 billion 0.030
Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- ---------------------------------------------------------------------------------------------------------------------
100% TREASURY First $1 billion 0.300 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Next $4 billion 0.275 Management Next $2 billion 0.030
Over $5 billion 0.250 Incorporated Next $3 billion 0.020
Over $6 billion 0.010
ADMINISTRATION AND TRANSFER AGENT FEES
The Trust has entered into an Administration Agreement with Funds
Management. Under this Agreement, for providing administrative services, which
includes paying fees and expenses for services provided by the transfer agent,
sub-transfer agents, omnibus account servicers and record-keepers, Funds
Management is entitled to receive the following annual fees:
Administration Fees
(% of Average
Average Daily Net Assets Daily Net Assets)
- ----------------------------------------------------------------------------------------
FUND LEVEL First $5 billion 0.05
(EXCEPT MUNICIPAL MONEY MARKET FUND) Next $5 billion 0.04
Over $10 billion 0.03
- ----------------------------------------------------------------------------------------
CLASS A All asset levels 0.22
84
WELLS FARGO ADVANTAGE MONEY
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) MARKET FUNDS
- --------------------------------------------------------------------------------
Administration Fees
(% of Average
Average Daily Net Assets Daily Net Assets)
- --------------------------------------------------------------------------------
CLASS B All asset levels 0.22
- --------------------------------------------------------------------------------
INVESTOR CLASS All asset levels 0.39
- --------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND First $5 billion 0.44
Next $5 billion 0.43
Over $10 billion 0.42
- --------------------------------------------------------------------------------
The Trust has entered into an agreement with Boston Financial Data
Services, Inc. ("BFDS") as the transfer agent for the Trust. BFDS is entitled to
receive fees from the administrator of its services as transfer agent.
CUSTODY FEES
The Trust has entered into a contract with Wells Fargo Bank, N.A. ("WFB"),
whereby WFB is responsible for providing custody services. Pursuant to the
contract, WFB is entitled to a monthly fee for custody services at the following
annual rates:
% of Average
Daily Net Assets
- --------------------------------------------------------------------------------
ALL MONEY MARKET FUNDS 0.02
- --------------------------------------------------------------------------------
SHAREHOLDER SERVICING FEES
The Trust has entered into contracts with one or more shareholder
servicing agents, whereby each Fund is charged the following annual fees:
Administrator Institutional Investor Service
Fund Class A Class B Class Class Class Class
- ------------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE
MONEY MARKET FUND 0.25% N/A N/A N/A N/A 0.25%
- -----------------------------------------------------------------------------------------------------------
GOVERNMENT MONEY
MARKET FUND 0.25% N/A 0.10% 0.00% N/A 0.25%
- -----------------------------------------------------------------------------------------------------------
MINNESOTA MONEY
MARKET FUND 0.25% N/A N/A N/A N/A N/A
- -----------------------------------------------------------------------------------------------------------
MONEY MARKET FUND 0.25% 0.25% N/A N/A 0.25% N/A
- -----------------------------------------------------------------------------------------------------------
MUNICIPAL MONEY
MARKET FUND N/A N/A N/A N/A 0.25% N/A
- -----------------------------------------------------------------------------------------------------------
NATIONAL TAX-FREE
MONEY MARKET FUND 0.25% N/A 0.10% 0.00% N/A 0.25%
- -----------------------------------------------------------------------------------------------------------
TREASURY PLUS MONEY
MARKET FUND 0.25% N/A N/A 0.00% N/A 0.25%
- -----------------------------------------------------------------------------------------------------------
100% TREASURY MONEY
MARKET FUND 0.25% N/A N/A N/A N/A 0.25%
For the period ended August 31, 2006, shareholder servicing fees paid were
as follows:
Administrator Institutional Investor Service
Fund Class A Class B Class Class Class Class
- -------------------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE
MONEY MARKET FUND $ 3,110,466 N/A N/A N/A N/A $ 490,910
- -------------------------------------------------------------------------------------------------------------------
GOVERNMENT MONEY
MARKET FUND 1,941,364 N/A $ 533,327 $ 0 N/A 6,842,864
- -------------------------------------------------------------------------------------------------------------------
MINNESOTA MONEY
MARKET FUND 142,965 N/A N/A N/A N/A N/A
- -------------------------------------------------------------------------------------------------------------------
MONEY MARKET FUND 8,645,954 $ 1,653,390 N/A N/A $ 896,432 N/A
85
WELLS FARGO ADVANTAGE MONEY
MARKET FUNDS NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
Administrator Institutional Investor Service
Fund Class A Class B Class Class Class Class
- -------------------------------------------------------------------------------------------------------------------
MUNICIPAL MONEY
MARKET FUND N/A N/A N/A N/A 630,847 N/A
- -------------------------------------------------------------------------------------------------------------------
NATIONAL TAX-FREE
MONEY MARKET FUND 1,242,078 N/A 272,308 0 N/A 1,430,086
- -------------------------------------------------------------------------------------------------------------------
TREASURY PLUS
MONEY MARKET FUND 3,456,412 N/A N/A 0 N/A 1,469,509
- -------------------------------------------------------------------------------------------------------------------
100% TREASURY MONEY
MARKET FUND 273,612 N/A N/A N/A N/A 4,693,143
DISTRIBUTION FEES
The Trust has adopted a Distribution Plan (the "Plan") for Class B shares
of the Money Market Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution
fees are charged to the Class B shares and paid to Wells Fargo Funds
Distributor, LLC at an annual rate of up to 0.75% of average daily net assets.
For the period ended August 31, 2006, distribution fees incurred are
disclosed on the Statements of Operations.
OTHER FEES
PFPC, Inc. ("PFPC") serves as fund accountant for the Trust and is
entitled to receive an annual asset based fee and an annual fixed fee from each
Fund. PFPC is also entitled to be reimbursed for all out-of-pocket expenses
reasonably incurred in providing these services.
WAIVED FEES AND REIMBURSED EXPENSES
All amounts shown as waived fees or reimbursed expenses on the Statements
of Operations, for the period ended August 31, 2006, were waived by Funds
Management proportionately from all classes, first from advisory fees, and then
from any class specific expenses, if applicable. Funds Management has committed
through June 30, 2007, to waive fees and/or reimburse expenses to the extent
necessary to maintain a certain net operating expense ratio for the Fund(s). Net
operating expense ratios during the period were as follows:
Net Operating Expense Ratios
----------------------------
Fund Class A Class B Investor Class
- --------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND 0.65% N/A N/A
- --------------------------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND 0.65% N/A N/A
- --------------------------------------------------------------------------------------------------
MINNESOTA MONEY MARKET FUND 0.80% N/A N/A
- --------------------------------------------------------------------------------------------------
MONEY MARKET FUND 0.76% 1.51% 0.65%
- --------------------------------------------------------------------------------------------------
MUNICIPAL MONEY MARKET FUND N/A N/A 0.64%
- --------------------------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND 0.65% N/A N/A
- --------------------------------------------------------------------------------------------------
TREASURY PLUS MONEY MARKET FUND 0.65% N/A N/A
- --------------------------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND 0.65% N/A N/A
4. LEGAL AND REGULATORY MATTERS
- --------------------------------------------------------------------------------
In 2004, the Strong Funds' investment adviser and affiliates
(collectively, "Strong") entered into agreements with certain regulators,
including the Securities and Exchange Commission and the New York Attorney
General ("NYAG"), to settle market-timing investigations. In the settlements,
Strong agreed to pay investor restoration and civil penalties. Although some
portion of these payments is likely to be distributed to Strong Fund
shareholders, no determination has yet been made as to the distribution of these
amounts, and the successor funds are not expected to receive any portion of
these payments. The NYAG settlement also imposed fee reductions across the
predecessor fund complex (excluding money market funds and very short-term
income funds) totaling at least $35 million by May 2009. Funds Management has
agreed to honor these fee reductions for the benefit of shareholders across the
successor funds. Although civil litigation against Strong and certain
predecessor funds relating to these matters is continuing, neither the current
adviser nor the successor funds is a party to any such suit.
86
WELLS FARGO ADVANTAGE MONEY
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) MARKET FUNDS
- --------------------------------------------------------------------------------
5. NEW ACCOUNTING PRONOUNCEMENTS
- --------------------------------------------------------------------------------
In June 2006, the Financial Accounting Standards Board (FASB) issued FASB
Interpretation 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." This
standard defines the threshold for recognizing the benefits of tax-return
positions in the financial statements as "more-likely-than-not" to be sustained
by the taxing authority and requires measurement of a tax position meeting the
more-likely-than-not criterion, based on the largest benefit that is more than
50 percent likely to be realized. FIN 48 is effective as of the beginning of the
first fiscal year beginning after December 15, 2006 (January 1, 2007 for
calendar-year companies), with early application permitted if no interim
financial statements have been issued. At adoption, companies must adjust their
financial statements to reflect only those tax positions that are
more-likely-than-not to be sustained as of the adoption date. As of August 31,
2006, the Funds have not evaluated the impact that will result from adopting FIN
48.
87
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
PROXY VOTING INFORMATION
A description of the policies and procedures that the Funds use to
determine how to vote proxies relating to portfolio securities and information
regarding how to obtain the results of such voting during the most recent
12-month period ended June 30 is available without charge, upon request, by
calling 1-800-222-8222, visiting our Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS, or visiting the SEC Web site at WWW.SEC.GOV.
PORTFOLIO HOLDINGS INFORMATION
The complete portfolio holdings for each Fund are publicly available on
the Funds' Web site (WWW.WELLSFARGO.COM/ADVANTAGEFUNDS) on a monthly, 30-day or
more delayed basis. In addition, top ten holdings information for each Fund is
publicly available on the Funds' Web site on a monthly, seven-day or more
delayed basis. Each Fund files its complete schedule of portfolio holdings with
the SEC for the first and third quarters of each fiscal year on Form N-Q, which
is available without charge by visiting the SEC Web site at WWW.SEC.GOV. In
addition, each Fund's Form N-Q may be reviewed and copied at the SEC's Public
Reference Room in Washington, DC, and at regional offices in New York City, at
233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900.
Information about the Public Reference Room may be obtained by calling
1-800-SEC-0330.
BOARD OF TRUSTEES
The following table provides basic information about the Board of Trustees
(the "Trustees") of the Wells Fargo Funds Trust (the "Trust"). This table
supplements, and should be read in conjunction with, the Prospectus and the
Statement of Additional Information* of each Fund. Each of the Trustees listed
below acts in identical capacities for each of the 142 funds comprising the
Trust, Wells Fargo Variable Trust and Wells Fargo Master Trust (collectively the
"Fund Complex"). All of the non-interested Trustees are also members of the
Audit and Governance Committees of each Trust in the Fund Complex. The address
of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA
94105. Each Trustee and Officer serves an indefinite term, however, each Trustee
serves such term until reaching the mandatory retirement age established by the
Trustees.
NON-INTERESTED TRUSTEES
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
Thomas S. Goho Trustee, since 1987 Chair of Finance, Wake None
64 Forest University, since
2006. Benson- Pruitt
Professorship, Wake Forest
University, Calloway School
of Business and Accountancy,
since 1999.
- ------------------------------------------------------------------------------------------------------
Peter G. Gordon Trustee, since 1998 Chairman, CEO, and Co- None
63 (Chairman, since 2001) Founder of Crystal Geyser
Water Company, and President
of Crystal Geyser Roxane
Water Company.
- ------------------------------------------------------------------------------------------------------
Richard M. Leach Trustee, since 1987 Retired. Prior thereto, None
73 President of Richard M.
Leach Associates (a
financial consulting firm).
- ------------------------------------------------------------------------------------------------------
Olivia S. Mitchell Trustee, since 2006 Professor of Insurance and None
53 Risk Management, Wharton
School, University of
Pennsylvania. Director of
the Boettner Center on
Pensions and Retirement.
Research Associate and Board
Member, Penn Aging Research
Center. Research Associate,
National Bureau of Economic
Research.
- ------------------------------------------------------------------------------------------------------
Timothy J. Penny Trustee, since 1996 Senior Counselor to the None
54 public relations firm of
Himle-Horner, and Senior
Fellow at the Humphrey
Institute, Minneapolis,
Minnesota (a public policy
organization).
88
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NON-INTERESTED TRUSTEES (continued)
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
Donald C. Willeke Trustee, since 1996 Principal of the law firm of None
66 Willeke & Daniels.
- ------------------------------------------------------------------------------------------------------
INTERESTED TRUSTEE***
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
J. Tucker Morse Trustee, since 1987 Private Investor/Real Estate None
62 Developer. Prior thereto,
Chairman of White Point
Capital, LLC until 2005.
- ------------------------------------------------------------------------------------------------------
OFFICERS
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
Karla M. Rabusch President, since 2003 Executive Vice President of None
47 Wells Fargo Bank, N.A. and
President of Wells Fargo
Funds Management, LLC.
Senior Vice President and
Chief Administrative Officer
of Wells Fargo Funds
Management, LLC from 2001 to
2003.
- ------------------------------------------------------------------------------------------------------
C. David Messman Secretary, since 2000 Vice President and Managing None
46 Senior Counsel of Wells
Fargo Bank, N.A. and Senior
Vice President and Secretary
of Wells Fargo Funds
Management, LLC. Vice
President and Senior Counsel
of Wells Fargo Bank, N.A.
from 1996 to 2003.
- ------------------------------------------------------------------------------------------------------
A. Erdem Cimen Treasurer, since 2006 Vice President of Wells None
32 Fargo Bank, N.A. and Vice
President of Financial
Operations for Wells Fargo
Funds Management, LLC. Vice
President and Group Finance
Officer of Wells Fargo Bank,
N.A. Auto Finance Group from
2004 to 2006. Vice President
of Portfolio Risk Management
for Wells Fargo Bank, N.A.
Auto Finance Group in 2004.
Vice President of Portfolio
Research and Analysis for
Wells Fargo Bank, N.A. Auto
Finance Group from 2001 to
2004. Director of Small
Business Services Risk
Management for American
Express Travel Related
Services from 2000 to 2001.
89
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
OFFICERS (continued)
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
Dorothy A. Peters Chief Compliance Chief Compliance Officer of None
44 Officer, since 2004 Wells Fargo Funds Management,
LLC since 2004 and Compliance
Officer of Wells Fargo Funds
Management, LLC from 1999 to
2002. Compliance Manager of
Wells Fargo Investments from
1997 to 1999. In 2002, Ms.
Peters left Wells Fargo Funds
Management, LLC to pursue
personal goals.
- ------------------------------------------------------------------------------------------------------
* The Statement of Additional Information includes additional information
about the Funds' Trustees and is available, without charge, upon request,
by calling 1-800-222-8222 or by visiting the Funds' Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
** Length of service dates reflects a Trustee's commencement of service with
the Trust's predecessor entities.
*** As of August 31, 2006, one of the seven Trustees is considered an
"interested person" of the Trusts as defined in the Investment Company Act
of 1940. The interested Trustee, J. Tucker Morse, is affiliated with a
government securities dealer that is registered under the Securities
Exchange Act of 1934, which is not itself affiliated with Wells Fargo
Funds Management, LLC.
90
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
BOARD CONSIDERATION OF AND CONTINUATION OF INVESTMENT ADVISORY AND SUBADVISORY
AGREEMENTS:
CALIFORNIA TAX-FREE MONEY MARKET FUND, GOVERNMENT MONEY MARKET FUND, MINNESOTA
MONEY MARKET FUND, MONEY MARKET FUND, MUNICIPAL MONEY MARKET FUND, NATIONAL
TAX-FREE MONEY MARKET FUND, TREASURY PLUS MONEY MARKET FUND AND 100% TREASURY
MONEY MARKET FUND
- --------------------------------------------------------------------------------
Section 15(c) of the Investment Company Act of 1940 (the "1940 Act")
contemplates that the Board of Trustees (the "Board") of Wells Fargo Funds Trust
(the "Trust"), including a majority of the Trustees who have no direct or
indirect interest in the investment advisory and subadvisory agreements and are
not "interested persons" of the Trust, as defined in the 1940 Act (the
"Independent Trustees"), will annually review and consider the continuation of
the investment advisory and subadvisory agreements. In this regard, the Board
reviewed and re-approved, during the six months covered by this report: (i) an
investment advisory agreement with Wells Fargo Funds Management, LLC ("Funds
Management") for the California Tax-Free Money Market Fund, Government Money
Market Fund, Minnesota Money Market Fund, Money Market Fund, Municipal Money
Market Fund, National Tax-Free Money Market Fund, Treasury Plus Money Market
Fund and 100% Treasury Money Market Fund (the "Funds"); and (ii) an investment
subadvisory agreement with Wells Capital Management Incorporated ("Wells Capital
Management") for the Funds. The investment advisory agreement with Funds
Management and the investment subadvisory agreement with Wells Capital
Management are collectively referred to as the "Advisory Agreements."
More specifically, at a meeting held on March 31, 2006, the Board,
including the Independent Trustees advised by their independent legal counsel,
considered the factors and reached the conclusions described below relating to
the selection of Funds Management and Wells Capital Management and the
continuation of the Advisory Agreements. Prior to the March 31, 2006, meeting,
the Board, including the Independent Trustees, met in person and telephonically
a number of times, both with Funds Management and in private sessions for
discussions about these continuations and approvals. The Independent Trustees
were assisted in their evaluation of the Advisory Agreements by independent
legal counsel, from whom they received separate legal advice and with whom they
met separately from Funds Management.
NATURE, EXTENT AND QUALITY OF SERVICES
- --------------------------------------------------------------------------------
The Board received and considered various data and information regarding
the nature, extent and quality of services provided to the Funds by Funds
Management and Wells Capital Management under the Advisory Agreements. The Board
also received and considered information provided in response to a detailed set
of requests submitted by the Independent Trustees' independent legal counsel,
including, among other things, information about the background and experience
of senior management and the expertise of, and amount of attention devoted to
the Funds by, the investment personnel of Funds Management and Wells Capital
Management. In this regard, the Board specifically reviewed the qualifications,
backgrounds and responsibilities of the portfolio managers primarily responsible
for day-today portfolio management services for the Funds.
The Board evaluated the ability of Funds Management and Wells Capital
Management, based on their respective resources, reputations and other
attributes, to attract and retain highly qualified investment professionals,
including research, advisory, and supervisory personnel. In this regard, the
Board considered information regarding Funds Management's and Wells Capital
Management's compensation programs for personnel involved in the management of
the Funds.
The Board further considered the compliance programs and compliance
records of Funds Management and Wells Capital Management. In addition, the Board
took into account the administrative services provided to the Funds by Funds
Management and its affiliates. In considering these matters, the Board
considered not only the specific information presented in connection with the
meeting, but also the knowledge gained over the course of interacting with Funds
Management about various topics, including Funds Management's oversight of
service providers, such as Wells Capital Management.
Based on the above factors, together with those referenced below, the
Board concluded that it was generally satisfied with the nature, extent and
quality of the investment advisory services provided to the Funds by Funds
Management and Wells Capital Management.
FUND PERFORMANCE AND EXPENSES
- --------------------------------------------------------------------------------
The Board considered the performance results for each of the Funds over
various time periods ended December 31, 2005. The Board also considered these
results in comparison to the median performance results of the group of funds
that was determined by Lipper Inc. ("Lipper") to be the most similar to a given
Fund (the "Peer Group") and to the median performance of a broader universe of
relevant funds as determined by Lipper (the "Universe"), as well as to each
Fund's benchmark index. Lipper is an independent provider of investment company
data. The Board was provided with a description of the methodology used by
Lipper to select the mutual funds in each Fund's Peer Group and Universe. The
91
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
Board noted that the performance of each Fund, except the Minnesota Money Market
Fund, was better than, equal to, or not appreciably below, the median
performance of its Peer Group for most time periods. The Board then noted that
the performance of the Minnesota Money Market Fund was lower than the median
performance of its Peer Group for all time periods, but noted that the Peer
Group included six funds, only one of which was a Minnesota tax-exempt money
market fund.
The Board received and considered information regarding each Fund's net
operating expense ratio and its various components, including contractual
advisory fees, actual advisory fees, actual non-management fees, Rule 12b-1 and
non-Rule 12b-1 service fees, fee waivers/caps and/or expense reimbursements. The
Board also considered comparisons of these fees to the expense information for
each Fund's Peer Group and Universe, which comparative data was provided by
Lipper. The Board noted that the net operating expense ratios of the Funds,
except the Money Market Fund, were lower than, equal to, or not appreciably
higher than, the Funds' Peer Groups' median net operating expense ratios. The
Board noted that the net operating expense ratios for certain classes of the
Money Market Fund were higher than its Peer Group's median net operating expense
ratios, but the Board further noted that the Advisory Agreement Rates and Net
Advisory Rates (as defined below) were within a reasonable range of the median
rates of the Fund's Peer Group.
Based on the above-referenced considerations and other factors, the Board
concluded that the overall performance and expense results supported the
re-approval of the Advisory Agreements for the Funds.
INVESTMENT ADVISORY AND SUBADVISORY FEE RATES
- --------------------------------------------------------------------------------
The Board reviewed and considered the contractual investment advisory fee
rates payable by the Funds to Funds Management for investment advisory services,
both on a stand-alone basis and on a combined basis with the Funds'
administration fee rates (the "Advisory Agreement Rates"). The Board took into
account the separate administrative services covered by the administration fee
rates. The Board also reviewed and considered the contractual investment
subadvisory fee rates (the "Subadvisory Agreement Rates") payable by Funds
Management to Wells Capital Management for investment subadvisory services. In
addition, the Board reviewed and considered the existing fee waiver/cap
arrangements applicable to the Advisory Agreement Rates and considered the
Advisory Agreement Rates after taking the waivers/caps into account (the "Net
Advisory Rates").
The Board received and considered information comparing the Advisory
Agreement Rates and Net Advisory Rates with those of the other funds in the Peer
Group. The Board noted that the Advisory Agreement Rates and the Net Advisory
Rates for the Funds were lower than, equal to, or not appreciably higher than,
the median rates of each Fund's respective Peer Group. In addition, the Board
concluded that the combined investment advisory/administration fee rates for the
Funds (before and after waivers/caps and/or expense reimbursements) were
reasonable in relation to each Fund's respective Peer Group, and reasonable in
relation to the services provided.
The Board also reviewed and considered the Subadvisory Agreement Rates and
concluded that the Subadvisory Agreement Rates were fair and equitable, based on
its consideration of the factors described above.
PROFITABILITY
- --------------------------------------------------------------------------------
The Board received and considered a detailed profitability analysis of
Funds Management based on the Advisory Agreement Rates and the Net Advisory
Rates, as well as an analysis of the profitability of other Wells Fargo
businesses (including Wells Capital Management) from providing services to the
Funds. The Board concluded that, in light of the costs of providing investment
management and other services to the Funds, the profits and other ancillary
benefits that Funds Management and its affiliates received with regard to
providing these services to the Funds were not unreasonable. The Board did not
consider a separate profitability analysis of Wells Capital Management, as its
separate profitability from its relationships with the Funds was not a material
factor in determining whether to renew the agreements.
ECONOMIES OF SCALE
- --------------------------------------------------------------------------------
The Board received and considered general information regarding whether
there have been economies of scale with respect to the management of the Funds,
whether the Funds have appropriately benefited from any economies of scale, and
whether there is potential for realization of any further economies of scale for
the Funds. The Board acknowledged the inherent limitations of any analysis of an
investment adviser's economies of scale and of any attempt to correlate
breakpoints with such economies, stemming largely from the Board's understanding
that economies of scale are realized, if at all, by an investment adviser across
a variety of products and services, not just with respect to a single fund. The
Board concluded that any actual or potential economies of scale are, or will be,
shared reasonably with Fund shareholders, and for the Funds with Advisory
Agreement Rate breakpoints, most particularly through such breakpoints.
92
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
INFORMATION ABOUT SERVICES TO OTHER CLIENTS
- --------------------------------------------------------------------------------
The Board also received and considered information about the nature and
extent of services and fee rates offered by Funds Management to other similarly
situated series of the Trust, and those offered by Wells Capital Management to
other clients, including other registered investment companies and separate
accounts. The Board concluded that the Advisory Agreement Rates, the Subadvisory
Agreement Rates and the Net Advisory Rates were within a reasonable range of the
fee rates offered to others by Funds Management and Wells Capital Management,
giving effect to differences in services covered by such fee rates.
OTHER BENEFITS TO FUNDS MANAGEMENT AND WELLS CAPITAL MANAGEMENT
- --------------------------------------------------------------------------------
The Board received and considered information regarding potential
"fall-out" or ancillary benefits received by Funds Management and its affiliates
(including Wells Capital Management) as a result of their relationship with the
Funds. Such benefits could include, among others, benefits directly attributable
to the relationship of Funds Management and Wells Capital Management with the
Funds and benefits potentially derived from an increase in Funds Management's
and Wells Capital Management's business as a result of their relationship with
the Funds (such as the ability to market to shareholders other financial
products offered by Funds Management and its affiliates, including Wells Capital
Management).
The Board also considered the effectiveness of the policies of the Funds
in achieving the best execution of portfolio transactions, whether and to what
extent soft dollar credits are sought and how any such credits are utilized, any
benefits that may be realized by using an affiliated broker, the extent to which
efforts are made to recapture transaction costs, and the controls applicable to
brokerage allocation procedures. The Board also reviewed Funds Management's and
Wells Capital Management's methods for allocating portfolio investment
opportunities among the Funds and other clients.
OTHER FACTORS AND BROADER REVIEW
- --------------------------------------------------------------------------------
The Board also considered the markets for distribution of the Funds,
including the principal channels through which the Funds' shares are offered and
sold. The Board noted that the Funds are part of one of the few fund families
that have both direct-to-fund and intermediary distribution.
As discussed above, the Board reviewed detailed materials received from
Funds Management and Wells Capital Management annually as part of the
re-approval process under Section 15(c) of the 1940 Act. The Board also reviews
and assesses the quality of the services that the Funds receive throughout the
year. In this regard, the Board has reviewed reports of Funds Management and
Wells Capital Management at each of its quarterly meetings, which include, among
other things, a portfolio review and fund performance reports. In addition, the
Board has conferred with the portfolio managers of the Funds at various times
throughout the year.
After considering the above-described factors and based on its
deliberations and its evaluation of the information described above, the Board
concluded that approval of the continuation of the Advisory Agreements for the
Funds was in the best interest of the Funds and their shareholders. Accordingly,
the Board unanimously approved the continuation of the Advisory Agreements for
an additional one-year period.
93
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS LIST OF ABBREVIATIONS
- --------------------------------------------------------------------------------
The following is a list of common abbreviations for terms and entities which may
have appeared in this report.
ABAG -- Association of Bay Area Governments
ADR -- American Depositary Receipt
AMBAC -- American Municipal Bond Assurance Corporation
AMT -- Alternative Minimum Tax
ARM -- Adjustable Rate Mortgages
BART -- Bay Area Rapid Transit
CDA -- Community Development Authority
CDSC -- Contingent Deferred Sales Charge
CGIC -- Capital Guaranty Insurance Company
CGY -- Capital Guaranty Corporation
CMT -- Constant Maturity Treasury
COFI -- Cost of Funds Index
COP -- Certificate of Participation
CP -- Commercial Paper
CTF -- Common Trust Fund
DW&P -- Department of Water & Power
DWR -- Department of Water Resources
EDFA -- Education Finance Authority
FFCB -- Federal Farm Credit Bank
FGIC -- Financial Guaranty Insurance Corporation
FHA -- Federal Housing Authority
FHLB -- Federal Home Loan Bank
FHLMC -- Federal Home Loan Mortgage Corporation
FNMA -- Federal National Mortgage Association
FRN -- Floating Rate Notes
FSA -- Financial Security Assurance Incorporated
GDR -- Global Depositary Receipt
GNMA -- Government National Mortgage Association
GO -- General Obligation
HFA -- Housing Finance Authority
HFFA -- Health Facilities Financing Authority
IDA -- Industrial Development Authority
IDR -- Industrial Development Revenue
LIBOR -- London Interbank Offered Rate
LLC -- Limited Liability Corporation
LOC -- Letter of Credit
LP -- Limited Partnership
MBIA -- Municipal Bond Insurance Association
MFHR -- Multi-Family Housing Revenue
MUD -- Municipal Utility District
MTN -- Medium Term Note
PCFA -- Pollution Control Finance Authority
PCR -- Pollution Control Revenue
PFA -- Public Finance Authority
PLC -- Private Placement
PSFG -- Public School Fund Guaranty
RDA -- Redevelopment Authority
RDFA -- Redevelopment Finance Authority
REITS -- Real Estate Investment Trusts
R&D -- Research & Development
SFHR -- Single Family Housing Revenue
SFMR -- Single Family Mortgage Revenue
SLMA -- Student Loan Marketing Association
STEERS -- Structured Enhanced Return Trust
TBA -- To Be Announced
TRAN -- Tax Revenue Anticipation Notes
USD -- Unified School District
V/R -- Variable Rate
WEBS -- World Equity Benchmark Shares
XLCA -- XL Capital Assurance
94
[LOGO]
- -----------------
WELLS ADVANTAGE
FARGO FUNDS
- -----------------
More information about WELLS FARGO THIS REPORT AND THE FINANCIAL
ADVANTAGE FUNDS(SM) is available free STATEMENTS CONTAINED HEREIN ARE
upon request. To obtain literature, SUBMITTED FOR THE GENERAL INFORMATION
please write, e-mail, visit the Funds' OF THE SHAREHOLDERS OF WELLS FARGO
Web site, or call: ADVANTAGE FUNDS. IF THIS REPORT IS USED
FOR PROMOTIONAL PURPOSES, DISTRIBUTION
WELLS FARGO ADVANTAGE FUNDS OF THE REPORT MUST BE ACCOMPANIED OR
P.O. Box 8266 PRECEDED BY A CURRENT PROSPECTUS. FOR A
Boston, MA 02266-8266 PROSPECTUS CONTAINING MORE COMPLETE
INFORMATION, INCLUDING CHARGES AND
E-mail: wfaf@wellsfargo.com EXPENSES, CALL 1-800-222-8222 OR VISIT
Web site: THE FUNDS' WEB SITE AT
www.wellsfargo.com/advantagefunds WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
Individual Investors: PLEASE CONSIDER THE INVESTMENT
1- 800-222-8222 OBJECTIVES, RISKS, CHARGES, AND
Retail Investment Professionals: EXPENSES OF THE INVESTMENT CAREFULLY
1- 888-877-9275 BEFORE INVESTING. THIS AND OTHER
Institutional Investment Professionals: INFORMATION ABOUT WELLS FARGO ADVANTAGE
1- 866-765-0778 FUNDS CAN BE FOUND IN THE CURRENT
PROSPECTUS. READ THE PROSPECTUS
CAREFULLY BEFORE YOU INVEST OR SEND
MONEY.
Wells Fargo Funds Management, LLC, a
wholly owned subsidiary of Wells Fargo
& Company, provides investment advisory
and administrative services for WELLS
FARGO ADVANTAGE FUNDS. Other affiliates
of Wells Fargo & Company provide
subadvisory and other services for the
Funds. The Funds are distributed by
WELLS FARGO FUNDS DISTRIBUTOR, LLC,
Member NASD/SIPC, an affiliate of Wells
Fargo & Company.
---------------------------------------------------------
NOT FDIC INSURED o NO BANK GUARANTEE o MAY LOSE VALUE
---------------------------------------------------------
- --------------------------------------------------------------------------------
(C) 2006 Wells Fargo www.wellsfargo.com/advantagefunds 100102 10-06
Funds Management, LLC. SMMM/SAR128
All rights reserved.
-----------------
WELLS ADVANTAGE
FARGO FUNDS
-----------------
[GRAPHIC OMITTED] AUGUST 31, 2006
Semi-Annual Report
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
ADMINISTRATOR, INSTITUTIONAL, AND SERVICE CLASS
Wells Fargo Advantage California Tax-Free Money Market Fund
Wells Fargo Advantage Cash Investment Money Market Fund
Wells Fargo Advantage Government Money Market Fund
Wells Fargo Advantage Heritage Money Market Fund(SM)
Wells Fargo Advantage National Tax-Free Money Market Fund
Wells Fargo Advantage Prime Investment Money Market Fund
Wells Fargo Advantage Treasury Plus Money Market Fund
Wells Fargo Advantage 100% Treasury Money Market Fund
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
TABLE OF CONTENTS
Letter to Shareholders .................................................... 1
- --------------------------------------------------------------------------------
Money Market Overview ..................................................... 2
- --------------------------------------------------------------------------------
Primary Investments ....................................................... 4
- --------------------------------------------------------------------------------
Performance Highlights
- --------------------------------------------------------------------------------
California Tax-Free Money Market Fund .................................. 5
Cash Investment Money Market Fund ...................................... 6
Government Money Market Fund ........................................... 7
Heritage Money Market Fund ............................................. 8
National Tax-Free Money Market Fund .................................... 9
Prime Investment Money Market Fund ..................................... 10
Treasury Plus Money Market Fund ........................................ 11
100% Treasury Money Market Fund ........................................ 12
Fund Expenses (Unaudited) ................................................. 13
- --------------------------------------------------------------------------------
Portfolio of Investments
- --------------------------------------------------------------------------------
California Tax-Free Money Market Fund .................................. 15
Cash Investment Money Market Fund ...................................... 24
Government Money Market Fund ........................................... 29
Heritage Money Market Fund ............................................. 32
National Tax-Free Money Market Fund .................................... 35
Prime Investment Money Market Fund ..................................... 50
Treasury Plus Money Market Fund ........................................ 53
100% Treasury Money Market Fund ........................................ 54
Financial Statements
- --------------------------------------------------------------------------------
Statements of Assets and Liabilities ................................... 56
Statements of Operations ............................................... 58
Statements of Changes in Net Assets .................................... 60
Financial Highlights ................................................... 68
Notes to Financial Highlights .......................................... 74
Notes to Financial Statements ............................................. 75
- --------------------------------------------------------------------------------
Other Information (Unaudited) ............................................. 80
- --------------------------------------------------------------------------------
List of Abbreviations ..................................................... 86
- --------------------------------------------------------------------------------
-------------------------------------------------
NOT FDIC INSURED-NO BANK GUARANTEE-MAY LOSE VALUE
-------------------------------------------------
THIS PAGE IS INTENTIONALLY LEFT BLANK --
LETTER TO SHAREHOLDERS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
DEAR VALUED SHAREHOLDER,
Enclosed please find the WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
semi-annual report for the six-month period that ended August 31, 2006. On the
following pages, you will find a money market overview, information about the
holdings in each Fund, and the portfolio manager's strategic outlook.
THE ECONOMY
- --------------------------------------------------------------------------------
During the period, the U.S. economy started to show some signs of a
slowdown. The housing market slowed, with mortgage applications falling and
homes staying on the market for longer periods. Consumer confidence weakened,
and the inflation outlook remained cloudy. Real Gross Domestic Product (GDP)
slowed to 2.9% for the second quarter of 2006, driven mostly by a falloff in
consumer spending from an unsustainable first-quarter pace. Other indicators,
however, have remained robust. Capital spending and the manufacturing sector
continued to perform well. Most labor markets also remained healthy, creating
some uncertainty regarding the direction of the Fed's next decision about
interest rates.
FED PAUSES IN ITS CYCLE OF INTEREST RATE HIKES
- --------------------------------------------------------------------------------
Money market rates continued to rise in 2006 as the Fed increased the
target Federal funds rate by 0.25% at each of the 17 Federal Open Market
Committee (FOMC) meetings from June 2004 through June 2006. In August, the Fed
took a long-awaited pause and kept the Federal funds rate at 5.25%. The Federal
funds rate was only 1.00% in June 2004 before the Fed started its cycle of
interest rate increases--often described as credit tightening.
LOOKING AHEAD
- --------------------------------------------------------------------------------
The Fed's monetary policy has become less predictable. The FOMC minutes of
the August 8, 2006 meeting stated that the decision to stop raising the Federal
funds rate was "appropriate to limit the risks of tightening too much." All the
FOMC members agreed that the decision to pause did not necessarily mark the end
of the credit tightening cycle.
The unpredictability of interest rates is another reason why we believe
that successful investing includes a balanced approach of owning a diversified
portfolio while keeping a long-term perspective. While diversification may not
prevent losses in a downturn, it may help reduce them and keep you on track to
reach your financial goals. To help you reach your diversification goals, we
offer funds across every key category, each guided by skillful money managers
chosen for their focused attention to a particular investment style.
Thank you for choosing WELLS FARGO ADVANTAGE FUNDS. We appreciate your
confidence in us. Through each market cycle, we are committed to helping you
meet your financial needs. If you have any questions about your investment,
please contact your investment professional or call us at 1-800-222-8222. You
may also want to visit our Web site at WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
Sincerely,
/s/Karla M. Rabusch
Karla M. Rabusch
President
WELLS FARGO ADVANTAGE FUNDS
1
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS MONEY MARKET OVERVIEW
- --------------------------------------------------------------------------------
MONEY MARKET OVERVIEW
This semi-annual report covers the six-month period from March 1, 2006,
through August 31, 2006.
PRIME MONEY MARKET SECURITIES
- --------------------------------------------------------------------------------
After having raised the target Federal funds rate by 0.25% at 17
consecutive meetings since June 2004, the Fed finally left interest rates
unchanged at its meeting on August 8, 2006. This series of increases raised the
Federal funds rate from 1% in 2004 to 5.25% by the end of the reporting period.
The six-month period that ended August 31, 2006, experienced three increases
that raised the Federal funds rate from 4.50% to 5.25%.
The money market yield curve, which is the yield of various securities
across the spectrum of very short maturities from one day to one year, flattened
considerably during the period. For example, the spread between the one-month
and one-year London Inter-Bank Offered Rate (LIBOR) contracted from 0.52% on
February 28, 2006, to only 0.08% on August 31, 2006. While the one-month LIBOR
rose by 0.70%, from 4.63% to 5.33%, the one-year LIBOR increased by only 0.26%,
from 5.15% to 5.41%. The muted rise in the one-year rate reflected an increasing
belief from money market investors that increases in short-term rates could be
nearing an end. One-month rates peaked around 5.40% at the beginning of August,
at the same time as the Fed paused from its interest rate increases. One-year
rates peaked earlier, around 5.75%, toward the end of June and by August 31,
2006, had returned to the 5.40% levels seen at the end of May.
The amount of commercial paper outstanding increased each month during the
reporting period, increasing by a total of about 10% for the six-month period.
In dollar terms, the total amount of commercial paper increased from $1.67
trillion on February 28, 2006, to $1.84 trillion on August 31, 2006. This
increased supply led to more attractive yields relative to other money market
instruments, especially U.S. Government and U.S. Treasury securities.
U.S. GOVERNMENT AGENCY SECURITIES
- --------------------------------------------------------------------------------
Yield spreads between LIBOR and U.S. government agency securities remained
wide during the period. The wider spreads resulted from a reduced supply of U.S.
government agency obligations available on the market. Other factors included
continued high demand from foreign central banks and new regulatory requirements
that forced the larger agencies to improve their capital ratios. If these trends
continue, yields on agency obligations could potentially remain well below those
of prime money market securities.
For the most part, the government agency yield curve flattened during the
period. The spread between one-month and one-year agency securities was as wide
as 0.59% on March 7, 2006, before narrowing to 0.27% by mid-June. The growing
consensus that the Fed may not raise interest rates at its June meeting was the
main driver of the curve flattening. However, after the Fed confirmed its
continued path of raising interest rates at its June meeting, the agency curve
widened to 0.47% on June 30, 2006. It was not long, however, before market
consensus once again grew that the Fed would not raise interest rates at its
August meeting. This consensus led the agency curve to flatten to 0.18% on
August 8, 2006, when the Fed did, in fact, leave interest rates unchanged for
the first time in over two years. The curve flattening continued through the end
of the reporting period, narrowing to 0.10% by August 31, 2006.
U.S. TREASURY SECURITIES
- --------------------------------------------------------------------------------
The yields on short-term U.S. Government Treasury securities followed the
general pattern of overall rising interest rates during most of the period.
However, the yield on the U.S. Treasury bill experienced more volatility
compared to other money market yields. After rising from 4.60% at the beginning
of March to 4.90% in early May, the yield on the three-month U.S. Treasury bill
traded in a narrow range through early June, mostly between 4.80% and 4.90%.
Several factors contributed to this narrow trading range, including uncertainty
about whether the Fed would raise interest rates at its next meeting and whether
there would be an increase or decrease in the overall supply of Treasury Bills
issued by the U.S. government. Treasury bills moved noticeably higher in June
and early July once it was confirmed that the Fed raised interest rates for the
seventeenth time on June 29, 2006. The yield on the three-month U.S. Treasury
bill was 4.98% as of June 30, 2006, a one-month increase of 0.14%. By mid-July,
the yield had risen another 0.15% to 5.13%.
Mid-July was the beginning of a period when the yield on the three-month
U.S. Treasury bill drifted lower. After reaching a high of 5.13% on July 18,
2006, the yield fell to 5.03% by the end of August. A subsequent increase in
overall supply of U.S. Treasury bills was more than offset by the market's
perception that the Fed would no longer raise interest rates. This was confirmed
by the Fed at its August 8, 2006, meeting, when it chose to leave the overnight
lending rate at 5.25%.
2
MONEY MARKET OVERVIEW WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
TAX-FREE SECURITIES
- --------------------------------------------------------------------------------
During March, strong demand and a lack of supply resulted in weekly
variable rate demand notes (VRDNs) being less attractive than the one-month
LIBOR because cash poured into the short end of the municipal market in advance
of April tax payments. Municipal interest rates began to increase as the April
15 tax payment deadline approached, though money continued to flow into money
market funds into the third week of April. VRDN levels were not as cheap
relative to taxable money market instruments as they were the previous year.
After the April tax cycle ended, rates on VRDNs stabilized by early May. An
attempt by remarketing agents to push rates much lower in June was met with
strong resistance because interest rate sensitive investors exercised their
right to sell VRDNs back to the dealers. By the end of June, rates increased to
levels similar to those during tax season.
In June, the California note season took a different tone from the
previous year. Investors who remembered the poor performance of California notes
in 2005 and who were concerned with future interest rate increases showed little
interest. Basing their pricing on investors' past behavior, dealers had become
accustomed to heavy demand for notes even at levels that were relatively
expensive. The first notes of the season were offered at 3.48%, just over 63% of
the one-year LIBOR, and had to be re-priced upward to 3.52%, closer to 64% of
the one-year LIBOR. Issuance of nonspecialty state notes during the period was
very light, and the prices for national paper were only slightly higher than the
prices were for California paper.
While weekly rates continued on their normal seasonal gyrations, fixed
rates on California notes trended lower as they did in the taxable market. The
Fed's decision to leave the Federal funds rate unchanged in August appeared to
be interpreted by money market investors as the end of the credit tightening
cycle rather than a temporary pause.
STRATEGIC OUTLOOK
- --------------------------------------------------------------------------------
The Fed has made good on its promise to pause in its series of
interest-rate increases. Whether the pause proves to be temporary or not will
depend upon future economic data. The statement released by the Fed after its
meeting on August 8 indicated that "inflation pressures seem likely to moderate
over time, reflecting contained inflation expectations and the cumulative effect
of monetary policy actions...." We will continue to manage the funds
conservatively and in a manner that is sensitive to changes in market rates.
AN INVESTMENT IN A WELLS FARGO ADVANTAGE MONEY MARKET FUND IS NOT INSURED
OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER
GOVERNMENT AGENCY. ALTHOUGH MONEY MARKET FUNDS SEEK TO PRESERVE THE VALUE OF
YOUR INVESTMENT AT $1.00 PER SHARE, IT IS POSSIBLE TO LOSE MONEY BY INVESTING IN
THE FUND.
- --------------------------------------------------------------------------------
The views expressed are as of August 31, 2006, and are those of the Fund's
manager. The views are subject to change at any time in response to changing
circumstances in the market and are not intended to predict or guarantee the
future performance of any individual security, market sector or the markets
generally, or the WELLS FARGO ADVANTAGE MONEY MARKET FUNDS.
3
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PRIMARY INVESTMENTS
- --------------------------------------------------------------------------------
PRIMARY INVESTMENTS*
- --------------------------------------------------------------------------------
California Cash National Prime Treasury 100%
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS Tax-Free Investment Government Heritage Tax-Free Investment Plus Treasury
- ------------------------------------------------------------------------------------------------------------------------------------
U.S. Treasury Securities X X X X X X
- ------------------------------------------------------------------------------------------------------------------------------------
Repurchase Agreements X X X X X
- ------------------------------------------------------------------------------------------------------------------------------------
U.S. Government Obligations X X X X
- ------------------------------------------------------------------------------------------------------------------------------------
Commercial Paper X X X
- ------------------------------------------------------------------------------------------------------------------------------------
Certificates Of Deposit/Bankers
Acceptances X X X
- ------------------------------------------------------------------------------------------------------------------------------------
Time Deposits X X X
- ------------------------------------------------------------------------------------------------------------------------------------
Floating/Variable Rate Notes/Bonds X X X X X X
- ------------------------------------------------------------------------------------------------------------------------------------
Mortgage And Asset-Backed Securities X X X
- ------------------------------------------------------------------------------------------------------------------------------------
Corporate Notes/Bonds X X X
- ------------------------------------------------------------------------------------------------------------------------------------
Municipal Obligations X X
- ------------------------------------------------------------------------------------------------------------------------------------
Municipal Commercial Paper X X
- ------------------------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
* The chart highlights some of the primary investments that the Funds may make
as part of their investment strategies. The chart does not identify all of the
permitted investments for each Fund.
4
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE CALIFORNIA TAX-FREE MONEY MARKET FUND - SERVICE CLASS
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
THE WELLS FARGO ADVANTAGE CALIFORNIA TAX-FREE MONEY MARKET FUND (the Fund)
seeks current income exempt from federal income tax and California individual
income tax, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 01/01/1992
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- ---------------------------------------------------------------------------------------------------------------------
California Tax-Free Money Market Fund - Service Class (Incept. Date 11/08/1999) 1.50 2.71 1.35 2.05
- ---------------------------------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
A PORTION OF THE FUND'S INCOME MAY BE SUBJECT TO FEDERAL, STATE AND/OR
LOCAL INCOME TAXES OR THE ALTERNATIVE MINIMUM TAX (AMT).
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 3.05%
- --------------------------------------------------------------------------------
7-Day Compound Yield 3.09%
- --------------------------------------------------------------------------------
30-Day Simple Yield 3.03%
- --------------------------------------------------------------------------------
30-Day Compound Yield 3.07%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 29 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Municipal Commercial Paper 9%
Municipal Demand Notes 82%
Municipal Bonds 9%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 5%
2-14 days 82%
15-29 days 2%
30-59 days 4%
60-89 days 1%
270 + days 6%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 2.76%.
Performance shown for the Service Class shares of the WELLS FARGO
ADVANTAGE CALIFORNIA TAX-FREE MONEY MARKET FUND for periods prior to November 8,
1999 reflects performance of the Class A shares of the Stagecoach California
Tax-Free Money Market Fund, its predecessor fund, and includes fees and expenses
that are not applicable to and are higher than those of the Service Class
shares.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
5
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE CASH INVESTMENT MONEY MARKET FUND - ADMINISTRATOR,
INSTITUTIONAL AND SERVICE CLASS
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
THE WELLS FARGO ADVANTAGE CASH INVESTMENT MONEY MARKET FUND (the Fund)
seeks current income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 10/14/1987
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- -------------------------------------------------------------------------------------------------------------------------
Cash Investment Money Market Fund - Administrator Class (Incept. Date 07/31/2003) 2.38 4.29 2.06 3.68
- -------------------------------------------------------------------------------------------------------------------------
Cash Investment Money Market Fund - Institutional Class (Incept. Date 11/08/1999) 2.46 4.45 2.25 3.82
- -------------------------------------------------------------------------------------------------------------------------
Cash Investment Money Market Fund - Service Class (Incept. Date 10/14/1987) 2.31 4.14 1.97 3.63
- -------------------------------------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Administrator Institutional Service
Class Class Class
- --------------------------------------------------------------------------------
7-Day Current Yield 1 4.98% 5.13% 4.83%
- --------------------------------------------------------------------------------
7-Day Compound Yield 5.10% 5.26% 4.95%
- --------------------------------------------------------------------------------
30-Day Simple Yield 4.97% 5.12% 4.82%
- --------------------------------------------------------------------------------
30-Day Compound Yield 5.08% 5.24% 4.92%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 26 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Floating/Variable Rate Bonds/Notes 22%
Repurchase Agreements 17%
Time Deposits 15%
Commercial Paper 33%
Certificates of Deposit 5%
Corporate Bonds 8%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 28%
2-14 days 25%
15-29 days 21%
30-59 days 13%
60-89 days 11%
90-179 days 2%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.97%, 5.09%, and 4.80% for Class
Administrator, Institutional and Service shares, respectively.
Performance shown for the Administrator Class shares of the WELLS FARGO
ADVANTAGE CASH INVESTMENT MONEY MARKET FUND for periods prior to July 31, 2003,
reflects the performance of the Fund's Service Class shares, and includes fees
and expenses that are not applicable to, and are higher than those of the
Administrator Class shares. Performance shown for the Institutional Class shares
of the Fund for periods prior to November 8, 1999, reflects performance of the
Fund's Service Class shares and includes fees and expenses that are not
applicable to and are higher than those of the Institutional Class shares.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
6
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE GOVERNMENT MONEY MARKET FUND - ADMINISTRATOR,
INSTITUTIONAL AND SERVICE CLASS
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE GOVERNMENT MONEY MARKET FUND (the Fund) seeks
current income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 11/16/1987
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- -------------------------------------------------------------------------------------------------------------------
Government Money Market Fund - Administrator Class (Incept. Date 07/31/2003) 2.36 4.27 2.01 3.55
- -------------------------------------------------------------------------------------------------------------------
Government Money Market Fund - Institutional Class (Incept. Date 07/28/2003) 2.44 4.42 2.10 3.60
- -------------------------------------------------------------------------------------------------------------------
Government Money Market Fund - Service Class (Incept. Date 11/16/1987) 2.28 4.11 1.91 3.51
- -------------------------------------------------------------------------------------------------------------------
*RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
THE U.S. GOVERNMENT GUARANTEE APPLIES TO CERTAIN OF THE UNDERLYING
SECURITIES HELD BY THE FUND AND NOT TO SHARES OF THE FUND ITSELF.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Administrator Institutional Service
Class Class Class
- --------------------------------------------------------------------------------
7-Day Current Yield 4.96% 5.11% 4.81%
- --------------------------------------------------------------------------------
7-Day Compound Yield 5.08% 5.24% 4.92%
- --------------------------------------------------------------------------------
30-Day Simple Yield 4.93% 5.08% 4.78%
- --------------------------------------------------------------------------------
30-Day Compound Yield 5.04% 5.20% 4.88%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 14 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Repurchase Agreements 70%
FNMA 10%
FHLMC 7%
FHLB 9%
FFCB 4%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 64%
2-14 days 12%
15-29 days 8%
30-59 days 8%
60-89 days 5%
90-179 days 3%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.94%, 5.06%, and 4.77% for Class
Administrator, Institutional, and Service shares, respectively.
Performance shown for the Administrator Class shares of the WELLS FARGO
ADVANTAGE GOVERNMENT MONEY MARKET FUND for periods prior to July 31, 2003,
reflects the performance of the Fund's Service Class shares, and includes fees
and expenses that are not applicable to, and are higher than, those of the
Administrator Class shares. Performance shown for the Institutional Class shares
of the Fund for periods prior to July 28, 2003, reflects performance of the
Fund's Service Class shares and includes fees and expenses that are not
applicable to, and are higher than those of the Institutional Class shares.
Performance shown for the Service Class shares of the Fund for periods prior to
November 8, 1999, reflects performance of the Service Class, its predecessor
fund.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
7
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE HERITAGE MONEY MARKET FUND - ADMINISTRATOR AND
INSTITUTIONAL CLASS
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE HERITAGE MONEY MARKET FUND(SM) (the Fund) seeks
current income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 06/29/1995
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- -----------------------------------------------------------------------------------------------------------------
Heritage Money Market Fund - Administrator Class (Incept. Date 06/29/1995) 2.35 4.27 2.04 3.73
- -----------------------------------------------------------------------------------------------------------------
Heritage Money Market Fund - Institutional Class (Incept. Date 03/31/2000) 2.46 4.48 2.25 3.88
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Administrator Institutional
Class Class
- --------------------------------------------------------------------------------
7-Day Current Yield 4.94% 5.14%
- --------------------------------------------------------------------------------
7-Day Compound Yield 5.06% 5.27%
- --------------------------------------------------------------------------------
30-Day Simple Yield 4.90% 5.10%
- --------------------------------------------------------------------------------
30-Day Compound Yield 5.01% 5.22%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 27 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Commercial Paper 38%
Municipal Demand Notes 2%
Time Deposits 15%
Certificate of Deposit 5%
Corporate Bonds 8%
Floating/Variable Rate 19%
Repurchase Agreements 13%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 23%
2-14 days 25%
15-29 days 21%
30-59 days 16%
60-89 days 12%
90-179 days 3%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007 to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses increased
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.96% and 5.08% for Class
Administrator and Institutional shares, respectively.
Performance shown for the Administrator Class and Institutional Class
shares of the WELLS FARGO ADVANTAGE HERITAGE MONEY MARKET FUND for periods prior
to April 11, 2005, reflects the performance of the Investor and Institutional
Class shares, respectively, of the Strong Heritage Money Fund, its predecessor
fund. Performance shown for the Institutional Class shares of the Fund for
periods prior to March 31, 2000, reflects the performance of the predecessor
fund's Investor Class shares, and has not been adjusted for the lower expense
ratio of the Institutional Class shares.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
8
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE NATIONAL TAX-FREE MONEY MARKET FUND - ADMINISTRATOR,
INSTITUTIONAL AND SERVICE CLASS
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE NATIONAL TAX-FREE MONEY MARKET FUND (the Fund)
seeks current income exempt from federal income tax, while preserving capital
and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 01/07/1988
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- --------------------------------------------------------------------------------------------------------------------------
National Tax-Free Money Market Fund - Administrator Class (Incept. Date 04/11/2005) 1.60 2.92 1.48 2.37
- --------------------------------------------------------------------------------------------------------------------------
National Tax-Free Money Market Fund - Institutional Class (Incept. Date 11/08/1999) 1.66 3.02 1.66 2.49
- --------------------------------------------------------------------------------------------------------------------------
National Tax-Free Money Market Fund - Service Class (Incept. Date 08/03/1993) 1.53 2.77 1.44 2.35
- --------------------------------------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
A PORTION OF THE FUND'S INCOME MAY BE SUBJECT TO FEDERAL, STATE AND/OR
LOCAL INCOME TAXES OR THE ALTERNATIVE MINIMUM TAX (AMT).
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Administrator Institutional Service
Class Class Class
- --------------------------------------------------------------------------------
7-Day Current Yield 3.25% 3.35% 3.10%
- --------------------------------------------------------------------------------
7-Day Compound Yield 3.30% 3.41% 3.15%
- --------------------------------------------------------------------------------
30-Day Simple Yield 3.22% 3.32% 3.07%
- --------------------------------------------------------------------------------
30-Day Compound Yield 3.27% 3.37% 3.11%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 19 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Municipal Bonds 6%
Municipal Commercial Paper 10%
Municipal Demand Notes 84%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 13%
2-14 days 74%
15-29 days 2%
30-59 days 4%
60-89 days 4%
90-179 days 1%
270+ days 2%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 3.17%, 3.30%, and 3.00% for Class
Administrator, Institutional, and Service shares, respectively.
Performance shown for the Administrator Class shares of the WELLS FARGO
ADVANTAGE NATIONAL TAX-FREE MONEY MARKET FUND for periods prior to April 11,
2005 reflects the performance of the Service Class shares of the Fund and
includes expenses that are not applicable to and are higher than those of the
Administrator Class shares. The Service Class shares annual returns are
substantially similar to what the Administrator Class shares returns would be
because the shares are invested in the same portfolio of securities and the
annual returns differ only to the extent that the classes do not have the same
expenses. Performance shown for the Institutional shares of the Fund for periods
to November 8, 1999, reflects performance of the Fund's Service Class shares and
includes fees and expenses that are not applicable to and are higher than those
of the Institutional Class shares.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
9
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE PRIME INVESTMENT MONEY MARKET FUND - INSTITUTIONAL AND
SERVICE CLASS
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE PRIME INVESTMENT MONEY MARKET FUND (the Fund)
seeks current income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 09/02/1998
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
6-Month* 1-Year 5-Year Life of Fund
- -------------------------------------------------------------------------------------------------------------------------------
Prime Investment Money Market Fund - Institutional Class (Incept. Date 07/28/2003) 2.45 4.45 2.08 3.24
- -------------------------------------------------------------------------------------------------------------------------------
Prime Investment Money Market Fund - Service Class (Incept. Date 09/02/1998) 2.27 4.09 1.86 3.10
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Institutional Service
Class Class
- --------------------------------------------------------------------------------
7-Day Current Yield 5.13% 4.78%
- --------------------------------------------------------------------------------
7-Day Compound Yield 5.26% 4.90%
- --------------------------------------------------------------------------------
30-Day Simple Yield 5.12% 4.77%
- --------------------------------------------------------------------------------
30-Day Compound Yield 5.24% 4.88%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 17 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Municipal Demand Notes 1%
Floating/Variable Rate Bonds/Notes 14%
Repurchase Agreements 31%
Time Deposits 15%
Commercial Paper 32%
Certificates of Deposit 4%
Corporate Bonds 3%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 42%
2-14 days 16%
15-29 days 29%
30-59 days 6%
60-89 days 6%
90-179 days 1%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 5.07% and 4.78% for Class
Institutional and Service shares, respectively.
Performance shown for the Institutional class shares of the WELLS FARGO
ADVANTAGE PRIME INVESTMENT MONEY MARKET FUND for periods prior to July 28, 2003
reflects performance of the Fund's Service Class shares and includes fees and
expenses that are not applicable to and are higher than those of the
Institutional Class shares. Performance shown for the Service Class shares of
the Fund for periods prior to November 8, 1999, reflects performance of the
Service Class (formerly public entities) shares of the Norwest Advantage Ready
Cash Investment Fund, its predecessor fund.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
10
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE TREASURY PLUS MONEY MARKET FUND - INSTITUTIONAL AND
SERVICE CLASS
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE TREASURY PLUS MONEY MARKET FUND (the Fund) seeks
current income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 10/01/1985
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- --------------------------------------------------------------------------------------------------------------------------
Treasury Plus Money Market Fund - Institutional Class (Incept. Date 08/11/1995) 2.40 4.30 2.11 3.66
- --------------------------------------------------------------------------------------------------------------------------
Treasury Plus Money Market Fund - Service Class (Incept. Date 10/01/1985) 2.25 3.99 1.83 3.41
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
THE U.S. GOVERNMENT GUARANTEE APPLIES TO CERTAIN OF THE UNDERLYING
SECURITIES HELD BY THE FUND AND NOT TO SHARES OF THE FUND ITSELF.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Institutional Service
Class Class
- --------------------------------------------------------------------------------
7-Day Current Yield 5.08% 4.78%
- --------------------------------------------------------------------------------
7-Day Compound Yield 5.21% 4.89%
- --------------------------------------------------------------------------------
30-Day Simple Yield 5.06% 4.76%
- --------------------------------------------------------------------------------
30-Day Compound Yield 5.18% 4.86%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 7 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Repurchase Agreements 90%
U.S. Treasury Bills 10%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 82%
2-14 days 8%
15-29 days 4%
30-59 days 1%
60-89 days 3%
90-179 days 2%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.95% and 4.66% for Class
Institutional and Service shares, respectively.
Performance shown for the Institutional and Service Class shares of the
WELLS FARGO ADVANTAGE TREASURY PLUS MONEY MARKET FUND for periods prior to
November 8, 1999, reflects performance of the Institutional and Service Class
shares, respectively, of the Stagecoach Treasury Plus Money Market Fund, its
predecessor Fund, and for periods between September 6, 1996 and October 1, 1995,
reflects performance of the Pacific American U.S.Treasury Portfolio, the
predecessor portfolio.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
11
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE 100% TREASURY MONEY MARKET FUND - SERVICE CLASS
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE 100% TREASURY MONEY MARKET FUND (the Fund) seeks
current income exempt from most state and local individual income taxes, while
preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 12/03/1990
AVERAGE ANNUAL TOTAL RETURN1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- --------------------------------------------------------------------------------------------------------------------------
100% Treasury Money Market Fund - Service Class (Incept. Date 12/03/1990) 2.14 3.79 1.74 3.28
- --------------------------------------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
THE U.S. GOVERNMENT GUARANTEE APPLIES TO CERTAIN OF THE UNDERLYING
SECURITIES HELD BY THE FUND AND NOT TO SHARES OF THE FUND ITSELF.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 4.54%
- --------------------------------------------------------------------------------
7-Day Compound Yield 4.64%
- --------------------------------------------------------------------------------
30-Day Simple Yield 4.49%
- --------------------------------------------------------------------------------
30-Day Compound Yield 4.58%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 51 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
U.S. Treasury Bills 100%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
2-14 days 17%
15-29 days 16%
30-59 days 27%
60-89 days 24%
90-179 days 16%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.24%.
Performance shown for the Service class shares of the WELLS FARGO
ADVANTAGE 100% TREASURY MONEY MARKET FUND for periods prior to November 8, 1999
reflects performance of the Service Class (formerly Single Class) shares,
adjusted for expenses, of the Norwest Advantage Treasury Fund, its predecessor
fund.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
12
FUND EXPENSES (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
As a shareholder of the Fund, you incur two types of costs: (1)
transaction costs, including sales charges (loads) on purchase payments,
redemption fees (if any) and exchange fees (if any); and (2) ongoing costs,
including management fees; distribution (12b-1) and/or shareholder service 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 (March 1, 2006 to August 31, 2006).
ACTUAL EXPENSES
The "Actual" line of the table below provides information about actual
account values and actual expenses. You may use the information in this line,
together with the amount you invested, to estimate the expenses that you paid
over the period. Simply divide your account value by $1,000 (for example, an
$8,600 account value divided by $1,000 = 8.6), then multiply the result by the
number in the "Actual" line under the heading entitled "Expenses Paid During
Period" for your applicable class of shares to estimate the expenses you paid on
your account during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The "Hypothetical" line of the table below provides information about
hypothetical account values and hypothetical expenses based on the Fund's actual
expense ratio and an assumed rate of return of 5% per year before expenses,
which is not the Fund's actual return. The hypothetical account values and
expenses may not be used to estimate the actual ending account balance or
expenses you paid for the period. You may use this information to compare the
ongoing costs of investing in the Fund and other funds. To do so, compare this
5% hypothetical example with the 5% hypothetical examples that appear in the
shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such as
sales charges (loads), redemption fees, or exchange fees. Therefore, the
"Hypothetical" 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.
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 Period(1) Ratio
California Tax-Free Money Market Fund
- --------------------------------------------------------------------------------------------------------------
California Tax-Free Money Market Fund - Service Class
Actual $1,000.00 $1,015.00 $2.29 0.45%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,022.94 $2.29 0.45%
Cash Investment Money Market Fund
- --------------------------------------------------------------------------------------------------------------
Cash Investment Money Market Fund - Administrator Class
Actual $1,000.00 $1,023.80 $1.79 0.35%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,023.44 $1.79 0.35%
- --------------------------------------------------------------------------------------------------------------
Cash Investment Money Market Fund - Institutional Class
Actual $1,000.00 $1,024.60 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,024.20 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
Cash Investment Money Market Fund - Service Class
Actual $1,000.00 $1,023.10 $2.55 0.50%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,022.68 $2.55 0.50%
Government Money Market Fund
- --------------------------------------------------------------------------------------------------------------
Government Money Market Fund - Administrator Class
Actual $1,000.00 $1,023.60 $1.79 0.35%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,023.44 $1.79 0.35%
- --------------------------------------------------------------------------------------------------------------
Government Money Market Fund - Institutional Class
Actual $1,000.00 $1,024.40 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,024.20 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
Government Money Market Fund - Service Class
Actual $1,000.00 $1,022.80 $2.55 0.50%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,022.68 $2.55 0.50%
13
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS FUND EXPENSES (UNAUDITED)
- --------------------------------------------------------------------------------
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 Period(1) Ratio
Heritage Money Market Fund
- --------------------------------------------------------------------------------------------------------------
Heritage Money Market Fund - Administrator Class
Actual $1,000.00 $1,023.50 $1.94 0.38%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,023.29 $1.94 0.38%
- --------------------------------------------------------------------------------------------------------------
Heritage Money Market Fund - Institutional Class
Actual $1,000.00 $1,024.60 $0.92 0.18%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,024.30 $0.92 0.18%
National Tax-Free Money Market Fund
- --------------------------------------------------------------------------------------------------------------
National Tax-Free Money Market Fund - Administrator Class
Actual $1,000.00 $1,016.00 $1.52 0.30%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,023.69 $1.53 0.30%
- --------------------------------------------------------------------------------------------------------------
National Tax-Free Money Market Fund - Institutional Class
Actual $1,000.00 $1,016.60 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,024.20 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
National Tax-Free Money Market Fund - Service Class
Actual $1,000.00 $1,015.30 $2.29 0.45%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,022.94 $2.29 0.45%
Prime Investment Money Market Fund
- --------------------------------------------------------------------------------------------------------------
Prime Investment Money Market Fund - Institutional Class
Actual $1,000.00 $1,024.50 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,024.20 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
Prime Investment Money Market Fund - Service Class
Actual $1,000.00 $1,022.70 $2.80 0.55%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,022.43 $2.80 0.55%
Treasury Plus Money Market Fund
- --------------------------------------------------------------------------------------------------------------
Treasury Plus Money Market Fund - Institutional Class
Actual $1,000.00 $1,024.00 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,024.20 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------
Treasury Plus Money Market Fund - Service Class
Actual $1,000.00 $1,022.50 $2.55 0.50%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,022.68 $2.55 0.50%
100% Treasury Money Market Fund
- --------------------------------------------------------------------------------------------------------------
100% Treasury Money Market Fund - Service Class
Actual $1,000.00 $1,021.40 $2.55 0.50%
- --------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $1,022.68 $2.55 0.50%
(1) Expenses are equal to the Fund's annualized expense ratio multiplied by
the average account value over the period, multiplied by the number of
days in the most recent fiscal half-year divided by the number of days in
the fiscal year (to reflect the one-half year period.)
14
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MUNICIPAL BONDS & NOTES - 91.10%
CALIFORNIA - 89.81%
$ 1,330,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA LA JOLLA
COUNTY DAY SCHOOL SERIES A (PRIVATE SCHOOL REVENUE, ALLIED IRISH BANK
PLC LOC)SS.+/- 3.33% 09/01/2036 $ 1,330,000
11,200,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA MFHR
FINE ARTS BUILDING PROJECTS A (HOUSING REVENUE LOC)SS.+/- 3.41 07/15/2035 11,200,000
6,965,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA MFHR GAIA
BUILDING PROJECT SERIES A COLLATERALIZED BY FNMA (HOUSING REVENUE
LOC)SS.+/- 3.41 09/15/2032 6,965,000
10,520,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA MFHR
GENEVA POINTE APARTMENTS A (HOUSING REVENUE LOC)SS.+/- 3.43 03/15/2037 10,520,000
17,000,000 ABN AMRO MUNITOPS CERTIFICATES TRUST 2000-5 MUNITOPS (PORT OAKLAND CA
SERIES K) (OTHER REVENUE LOC, FGIC INSURED)SS.+/-++ 3.35 05/07/2008 17,000,000
8,500,000 ABN AMRO MUNITOPS CERTIFICATES TRUST 2006-40 (PROPERTY TAX REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.64 08/01/2013 8,500,000
4,650,000 ADELANTO CA UTILITY SYSTEMS PROJECT SERIES A (OTHER REVENUE,
AMBAC INSURED)SS.+/- 3.45 11/01/2034 4,650,000
8,055,000 AFFORDABLE HOUSING AGENCY CALIFORNIA MFHR WESTRIDGE HILLTOP SERIES A
(HOUSING REVENUE LOC)SS.+/- 3.35 09/15/2033 8,055,000
7,655,000 ALHAMBRA CA USD (PROPERTY TAX REVENUE LOC)SS.+/- 3.44 08/01/2026 7,655,000
5,300,000 ANAHEIM CA HOUSING AUTHORITY MFHR SEA WIND APARTMENTS PROJECT SERIES C
COLLATERALIZED BY FNMA (MFHR LOC)SS.+/- 3.43 07/15/2033 5,300,000
8,160,000 ANAHEIM CA PFA LEASE REVENUE FSA INSURED (OTHER REVENUE LOC)SS.+/- 3.45 09/01/2024 8,160,000
6,800,000 AZUSA CA PACIFIC GLEN APARTMENTS PROJECT (MFHR, FNMA INSURED)SS.+/- 3.31 07/15/2015 6,800,000
2,600,000 BAY AREA CA TOLL AUTHORITY SAN FRANCISCO BAY AREA SERIES C
(STATE & LOCAL GOVERNMENTS, AMBAC INSURED)SS.+/- 3.26 04/01/2025 2,600,000
2,610,000 BAY AREA CA TOLL AUTHORITY SAN FRANCISCO BAY AREA SERIES C
(TOLL ROAD REVENUE, AMBAC INSURED)SS.+/- 3.26 04/01/2045 2,610,000
17,650,000 BIG BEAR LAKE CA INDUSTRIAL REVENUE SOUTHWEST GAS CORPORATION PROJECT
SERIES A (IDR LOC)SS.+/- 3.38 12/01/2028 17,650,000
3,640,000 CALIFORNIA EDUCATIONAL FACILITIES AUTHORITY REVENUE ART CENTER DESIGN
COLLEGE SERIES A ALLIED IRISH BANK PLC LOC (EDUCATIONAL FACILITIES
REVENUE LOC)SS.+/- 3.30 12/01/2032 3,640,000
2,520,000 CALIFORNIA EDUCATIONAL FACILITIES AUTHORITY REVENUE CERTIFICATES SERIES
113 GO OF UNIVERSITY (EDUCATIONAL FACILITIES REVENUE LOC)SS.+/- 3.41 12/01/2027 2,520,000
7,990,000 CALIFORNIA EDUCATIONAL FACILITIES AUTHORITY REVENUE SANTA CLARA
UNIVERSITY SERIES B MBIA INSURED (EDUCATIONAL FACILITIES REVENUE
LOC)SS.+/- 3.30 02/01/2032 7,990,000
10,000,000 CALIFORNIA HFA HOME MORTGAGE SERIES F (HOUSING REVENUE, FORTIS BANQUE
LOC)SS.+/- 3.59 08/01/2040 10,000,000
16,800,000 CALIFORNIA HFA HOME MORTGAGE SERIES F (OTHER REVENUE, LLOYDS BANK
LOC)SS.+/- 3.39 02/01/2037 16,800,000
15,000,000 CALIFORNIA HFA HOME MORTGAGE SERIES X2 (HOUSING REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.43 08/01/2031 15,000,000
44,300,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES E1 (HOUSING REVENUE LOC)
SS.+/- 3.39 02/01/2023 44,300,000
1,050,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES E2 (HOUSING REVENUE)
SS.+/- 3.39 02/01/2035 1,050,000
9,900,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES F (HOUSING REVENUE LOC)
SS.+/- 3.37 02/01/2032 9,900,000
30,000,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES F (HOUSING REVENUE)SS.+/- 3.39 02/01/2038 30,000,000
12,265,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES F FSA INSURED
(HOUSING REVENUE LOC)SS.+/- 3.39 02/01/2034 12,265,000
4,500,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES U (HOUSING REVENUE LOC)
SS.+/- 3.45 02/01/2017 4,500,000
5,360,000 CALIFORNIA HFA REVENUE HOUSING PROGRAM SERIES A (HOUSING REVENUE LOC)
SS.+/- 3.39 08/01/2036 5,360,000
15,690,000 CALIFORNIA HFFA REVENUE ADVENTIST HEALTH SYSTEMS SERIES A (HFFA
REVENUE, WACHOVIA BANK NA LOC)SS.+/- 3.55 09/01/2025 15,690,000
15
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 11,795,000 CALIFORNIA HFFA REVENUE ADVENTIST HEALTH SYSTEMS SERIES B (HFFA
REVENUE, WACHOVIA BANK NA LOC)SS.+/- 3.55% 09/01/2025 $11,795,000
3,995,000 CALIFORNIA HFFA REVENUE SERIES A (HFFA REVENUE LOC, MBIA INSURED)SS.+/- 3.50 09/01/2028 3,995,000
14,275,000 CALIFORNIA HOME MORTGAGE SERIES F (HOUSING REVENUE, FIRST SECURITY BANK
LOC)SS.+/- 3.39 02/01/2022 14,275,000
2,025,000 CALIFORNIA INFRASTRUCTURE & ECONOMIC DEVELOPMENT BANK IDR FISH HOUSE
FOODS INCORPORATED PROJECT (ECONOMIC DEVELOPMENT REVENUE,
COMERICA BANK CA LOC)SS.+/- 3.45 09/01/2024 2,025,000
6,150,000 CALIFORNIA INFRASTRUCTURE & ECONOMIC DEVELOPMENT REVENUE SAN FRANCISCO
BALLET ASSOCIATION (ECONOMIC DEVELOPMENT REVENUE LOC)SS.+/- 3.32 07/01/2032 6,150,000
5,045,000 CALIFORNIA INFRASTRUCTURE & ECONOMIC DEVELOPMENT REVENUE SOUTHERN CA
PUBLIC RADIO PROJECT (OTHER REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.45 09/01/2025 5,045,000
3,400,000 CALIFORNIA PCFA WADHAM ENERGY (POLLUTION CONTROL REVENUE LOC)SS.+/- 3.45 11/01/2017 3,400,000
5,000,000 CALIFORNIA PCFA ENVIRONMENTAL IMPROVEMENT REVENUE (IDR LOC)SS.+/- 3.42 09/01/2017 5,000,000
17,715,000 CALIFORNIA SCHOOL CASH RESERVE PROGRAM COP SERIES A (GO - SCHOOL
DISTRICTS) 4.50 07/06/2007 17,859,403
3,610,000 CALIFORNIA SCHOOL FACILITIES FINANCING CORPORATE COP IMPORTANT
FINANCING PROJECT SERIES C (LEASE REVENUE LOC)SS.+/- 3.30 07/01/2022 3,610,000
43,490,000 CALIFORNIA SERIES H (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.27 07/01/2035 43,490,000
43,965,000 CALIFORNIA SERIES J (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.27 07/01/2033 43,965,000
7,200,000 CALIFORNIA SERIES K (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.30 07/01/2033 7,200,000
5,285,000 CALIFORNIA STATE (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 03/01/2024 5,285,000
16,275,000 CALIFORNIA STATE DAILY KINDERGARTEN UNIVERSITY SERIES B2 (PROPERTY TAX
REVENUE, CITIBANK NA LOC)SS.+/- 3.50 05/01/2034 16,275,000
4,410,000 CALIFORNIA STATE DAILY KINDERGARTEN UNIVERSITY SERIES B3 (PROPERTY TAX
REVENUE, CITIBANK NA LOC)SS.+/- 3.46 12/01/2032 4,410,000
23,985,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES B1
(POWER REVENUE)SS.+/- 3.50 05/01/2022 23,985,000
51,805,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C1 (POWER REVENUE,
DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.30 05/01/2022 51,805,000
8,925,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C11 (POWER REVENUE,
KBC BANK NV LOC)SS.+/- 3.27 05/01/2022 8,925,000
9,350,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C15 (POWER REVENUE,
BANK OF NOVA SCOTIA LOC)SS.+/- 3.30 05/01/2022 9,350,000
17,620,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C3 (ELECTRIC REVENUE
LOC, AMBAC INSURED)SS.+/- 3.30 05/01/2022 17,620,000
28,650,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C4 (POWER REVENUE,
JPMORGAN LOC)SS.+/- 3.29 05/01/2022 28,650,000
5,965,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C9
(ELECTRIC REVENUE LOC)SS.+/- 3.27 05/01/2022 5,965,000
7,200,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G1 (WATER
REVENUE)SS.+/- 3.30 05/01/2011 7,200,000
33,485,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G13 (WATER
REVENUE)SS.+/- 3.33 05/01/2018 33,485,000
21,025,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G5 (WATER REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.25 05/01/2016 21,025,000
38,535,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G6 (WATER REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.30 05/01/2017 38,535,000
20,250,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G7 (WATER
REVENUE)SS.+/- 3.27 05/01/2017 20,250,000
5,735,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G8 (WATER REVENUE,
MBIA INSURED)SS.+/- 3.38 05/01/2018 5,735,000
16,700,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G9 (WATER
REVENUE)SS.+/- 3.30 05/01/2018 16,700,000
3,490,000 CALIFORNIA STATE DWR WATER REVENUE (WATER REVENUE LOC)SS.+/- 3.44 12/01/2012 3,490,000
4,200,000 CALIFORNIA STATE ECONOMIC DEVELOPMENT FINANCING AUTHORITY
SERRA MICROCHASSIS PROJECT (IDR, US BANK NA LOC)SS.+/- 3.55 08/01/2027 4,200,000
16
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 13,870,000 CALIFORNIA STATE ECONOMIC RECOVERY PUTTERS SERIES 446 (ECONOMIC
DEVELOPMENT REVENUE LOC)SS.+/- 3.44% 01/01/2012 $13,870,000
17,815,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C-10 (SALES TAX REVENUE
LOC)SS.+/- 3.32 07/01/2023 17,815,000
12,950,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C-11 (SALES TAX REVENUE
LOC)SS.+/- 3.30 07/01/2023 12,950,000
10,245,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C9 (SALES TAX REVENUE,
BANK OF NOVA SCOTIA)SS.+/- 3.50 07/01/2023 10,245,000
9,370,000 CALIFORNIA STATE MUNICIPAL SECURITIES TRUST RECEIPTS SERIES JPMC3
(OTHER REVENUE LOC)SS.+/- 3.55 06/01/2013 9,370,000
15,705,000 CALIFORNIA STATE PUBLIC WORKS BOARD CERTIFICATES SERIES D (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.41 12/01/2019 15,705,000
4,880,000 CALIFORNIA STATE PUBLIC WORKS BOARD LEASE REVENUE (COLLEGE & UNIVERSITY
REVENUE LOC)SS.+/- 3.44 11/01/2012 4,880,000
4,700,000 CALIFORNIA STATE PUTTERS SERIES 142 (GO - STATES, TERRITORIES LOC,
FGIC INSURED)SS.+/- 3.44 12/01/2029 4,700,000
5,540,000 CALIFORNIA STATE RESOURCE RECOVERY RR II R 6013 (SALES TAX REVENUE,
FGIC INSURED)SS.+/- 3.44 07/01/2014 5,540,000
5,900,000 CALIFORNIA STATE SERIES 1320 (COLLEGE & UNIVERSITY REVENUE,
AMBAC INSURED)SS.+/- 3.44 11/01/2026 5,900,000
7,000,000 CALIFORNIA STATE SERIES A SUBSERIES A3 (OTHER REVENUE, BANK OF AMERICA
NA LOC)SS.+/- 3.37 05/01/2040 7,000,000
37,085,000 CALIFORNIA STATE SERIES B3 (GO - STATES, TERRITORIES LOC)SS.+/- 3.32 05/01/2033 37,085,000
6,051,000 CALIFORNIA STATE WEEKLY KINDERGARTEN UNIVERSITY PUBLIC A-6
(PROPERTY TAX REVENUE LOC)SS.+/- 3.30 05/01/2034 6,051,000
5,800,000 CALIFORNIA STATE WEEKLY KINDERGARTEN UNIVERSITY PUBLIC B-4
(PROPERTY TAX REVENUE LOC)SS.+/- 3.30 05/01/2034 5,800,000
46,675,000 CALIFORNIA STATE WEEKLY KINDERGARTEN UNIVERSITY PUBLIC B-5
(PROPERTY TAX REVENUE LOC)SS.+/- 3.27 05/01/2034 46,675,000
2,155,000 CALIFORNIA STATEWIDE CDA AEGIS MORAGA PROJECT C (MFHR, FNMA INSURED)
SS.+/- 3.40 07/01/2027 2,155,000
6,270,000 CALIFORNIA STATEWIDE CDA AEGIS PLEASANT HILL SERIES H (MFHR)SS.+/- 3.43 07/01/2027 6,270,000
2,505,000 CALIFORNIA STATEWIDE CDA GRANDE APARTMENTS SERIES TT (HOUSING REVENUE,
FNMA INSURED)SS.+/- 3.47 12/15/2034 2,505,000
8,500,000 CALIFORNIA STATEWIDE CDA HORIZONS INDIO SERIES F (HOUSING REVENUE,
CITIBANK NA LOC)SS.+/- 3.46 07/01/2038 8,500,000
5,580,000 CALIFORNIA STATEWIDE CDA LA PUENTE APARTMENTS SERIES JJ
(MFHR, US BANK NA LOC)SS.+/- 3.55 11/01/2031 5,580,000
18,110,000 CALIFORNIA STATEWIDE CDA LIVERMORE VY ARTS CENTER PROJECT
(OTHER REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.27 12/01/2036 18,110,000
5,500,000 CALIFORNIA STATEWIDE CDA MFHR ARBOR RIDGE APARTMENTS SERIES X
FNMA INSURED (HOUSING REVENUE LOC)SS.+/- 3.32 11/15/2036 5,500,000
10,000,000 CALIFORNIA STATEWIDE CDA MFHR BELMONT PROJECT SERIES F (MFHR LOC)SS.+/- 3.43 06/15/2038 10,000,000
15,090,000 CALIFORNIA STATEWIDE CDA MFHR BYRON PARK PROJECT CSS.+/- 3.46 01/20/2031 15,090,000
2,900,000 CALIFORNIA STATEWIDE CDA MFHR GLEN HAVEN APARTMENTS SERIES AA
(HOUSING REVENUE LOC)SS.+/- 3.48 12/01/2011 2,900,000
3,985,000 CALIFORNIA STATEWIDE CDA MFHR GRANITE OAKS APARTMENTS SERIES R
COLLATERALIZED BY FNMA (MFHR LOC)SS.+/- 3.43 10/15/2030 3,985,000
7,060,000 CALIFORNIA STATEWIDE CDA MFHR LORENA TERRACE SERIES DDD (CITIBANK
LOC)SS.+/- 3.46 12/01/2036 7,060,000
8,640,000 CALIFORNIA STATEWIDE CDA OLYMPUS PARK APARTMENTS SERIES Y
(MFHR, FNMA INSURED)SS.+/- 3.43 10/15/2030 8,640,000
15,555,000 CALIFORNIA STATEWIDE CDA PROSPECT SIERRA SCHOOL (OTHER REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.30 09/01/2036 15,555,000
21,500,000 CALIFORNIA STATEWIDE CDA SERIES A1 (OTHER REVENUE) 4.50 06/29/2007 21,655,749
17
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 21,500,000 CALIFORNIA STATEWIDE CDA SERIES A4 RIVERSIDE COUNTY (OTHER REVENUE) 4.50% 06/29/2007 $ 21,660,976
4,250,000 CALIFORNIA STATEWIDE CDA STONERIDGE ELK GROVE SERIES Q (HOUSING
REVENUE, CITIBANK NA LOC)SS.+/- 3.46 10/01/2038 4,250,000
16,065,000 CAMARILLO CA MFHR HACIENDA DE CAMARILLO PROJECT COLLATERALIZED
BY FNMA (MFHR LOC)SS.+/- 3.43 10/15/2026 16,065,000
3,290,000 CARSON CA REDEVELOPMENT AGENCY SERIES 2076 MBIA INSURED (TAX
INCREMENTAL REVENUE LOC)SS.+/- 3.44 10/01/2019 3,290,000
5,185,000 COACHELLA VALLEY CA UNIVERSITY SCHOOL FUNDING PROJECT 2006
(EDUCATIONAL FACILITIES REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.42 09/01/2036 5,185,000
5,100,000 COLTON CA REDEVELOPMENT AGENCY COP LAS PALOMAS ASSOCIATION PROJECT
CITY NATIONAL BANK LOC (IDR LOC)SS.+/- 3.30 11/01/2015 5,100,000
2,100,000 CONCORD CA MFHR (OTHER REVENUE LOC)SS.+/- 3.37 12/01/2016 2,100,000
16,790,000 CONTRA COSTA COUNTY CA HOME MORTGAGE REVENUE CERTIFICATES SERIES A
(HOUSING REVENUE LOC)SS.+/- 3.45 12/01/2015 16,790,000
9,030,000 CONTRA COSTA COUNTY CA LAFAYETTE TOWN CENTER APARTMENTS SERIES I
(MFHR, FNMA INSURED)SS.+/- 3.43 07/15/2032 9,030,000
2,000,000 CONTRA COSTA COUNTY CA MFHR (HOUSING REVENUE LOC)SS.+/- 3.37 10/15/2033 2,000,000
7,200,000 CONTRA COSTA COUNTY CA MFHR DELTA SQUARE APARTMENTS PROJECT
SERIES H COLLATERALIZED BY FNMA (MFHR LOC)SS.+/- 3.35 10/15/2029 7,200,000
2,000,000 CONTRA COSTA COUNTY CA MFHR SERIES B COLLATERALIZED BY FNMA
REMARKETED 09/28/94 (MFHR LOC)SS.+/- 3.34 11/15/2022 2,000,000
3,855,000 CORONA CA COP (LEASE REVENUE, MBIA INSURED)SS.+/- 3.44 03/01/2011 3,855,000
4,000,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES SERIES 970503 (CALIFORNIA STATE
PUBLIC WORKS BOARD LEASE REVENUE SERIES C) AMBAC INSURED
(LEASE REVENUE LOC)SS.+/- 3.45 09/01/2017 4,000,000
6,355,000 EAST BAY CA MUNICIPAL UTILITY DISTRICT WATER SYSTEM REVENUE
(WATER & WASTEWATER AUTHORITY REVENUE LOC)SS.+/- 3.44 06/01/2020 6,355,000
5,000,000 FREMONT CA TREETOPS APARTMENTS SERIES A (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.43 08/15/2026 5,000,000
3,500,000 FREMONT CA USD COP (OTHER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.38 09/01/2030 3,500,000
11,150,000 FRESNO CA SEWER REVENUE SUBORDINATE LIEN SERIES A (SEWER REVENUE
LOC)SS.+/- 3.30 09/01/2025 11,150,000
4,800,000 GOLDEN WEST CA SCHOOLS CA FINANCING AUTHORITY (PROPERTY TAX
REVENUE, FGIC INSURED)SS.+/- 3.44 09/01/2024 4,800,000
4,000,000 HAYWARD CA MFHR SHOREWOOD SERIES A FGIC INSURED REMARKETED 03/17/94
(MFHR LOC)SS.+/- 3.38 07/15/2014 4,000,000
6,450,000 HAYWARD CA MFHR TENNYSON GARDENS APARTMENTS PROJECT SERIES A US
BANK NA LOC (HOUSING REVENUE LOC)SS.+/- 3.55 08/01/2032 6,450,000
1,000,000 HEMET CA MFHR SUNWEST RETIREMENT SERIES A COLLATERALIZED BY FHLMC
(MFHR LOC)SS.+/- 3.35 01/01/2025 1,000,000
13,085,000 HILLSBOROUGH CA COP WATER & SEWER SYSTEMS PROJECTS SERIES A
(PROPERTY TAX REVENUE, JPMORGAN CHASE BANK LOC)SS.+/- 3.32 06/01/2033 13,085,000
5,500,000 LANCASTER CA REDEVELOPMENT AGENCY MFHR 20TH STREET APARTMENTS
PROJECT SERIES C (HOUSING REVENUE LOC)SS.+/- 3.35 12/01/2026 5,500,000
4,720,000 LONG BEACH CA (HARBOR DEPARTMENT REVENUE, FGIC INSURED)SS.+/- 3.46 05/15/2017 4,720,000
11,640,000 LONG BEACH CA COMMUNITY COLLEGE DISTRICT SERIES 1399 (PROPERTY TAX
REVENUE, FGIC INSURED)SS.+/- 3.41 05/01/2030 11,640,000
7,490,000 LONG BEACH CA HARBOR REVENUE (OTHER REVENUE LOC)SS.+/- 3.46 05/15/2020 7,490,000
2,560,000 LONG BEACH CA HARBOR REVENUE FLOATS PT 2756 (AIRPORT REVENUE
LOC)SS.+/- 3.46 05/15/2025 2,560,000
2,800,000 LONG BEACH CA HARBOR REVENUE P-FLOATS-PA 651 (AIRPORT REVENUE
LOC)SS.+/- 3.46 05/15/2019 2,800,000
2,135,000 LONG BEACH CA HARBOR REVENUE SERIES 418 (AIRPORT REVENUE LOC,
FGIC INSURED)SS.+/- 3.44 05/15/2020 2,135,000
18
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 3,850,000 LOS ANGELES CA COMMUNITY RDA (LEASE REVENUE, AMBAC INSURED)SS.+/- 3.44% 09/01/2030 $ 3,850,000
3,325,000 LOS ANGELES CA COMMUNITY REDEVELOPMENT AGENCY MFHR (HOUSING REVENUE
LOC)SS.+/- 3.30 04/01/2030 3,325,000
14,690,000 LOS ANGELES CA COMMUNITY REDEVELOPMENT AGENCY MFHR WILSHIRE STATION
APARTMENTS SERIES A (HOUSING REVENUE LOC)SS.+/- 3.57 10/15/2038 14,690,000
6,725,000 LOS ANGELES CA CONVENTION & EXHIBIT CENTER AUTHORITY SERIES E
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.37 08/15/2021 6,725,000
2,000,000 LOS ANGELES CA DEPARTMENT OF AIRPORTS LOS ANGELES INTERNATIONAL
AIRPORT SERIES C1 (AIRPORT REVENUE, BANQUE NATIONALE PARIS
LOC)SS.+/- 3.30 05/15/2020 2,000,000
6,995,000 LOS ANGELES CA HARBOR DEPARTMENT REVENUE TRANSPORTATION RECEIPTS
CLASS F SERIES 7 MBIA INSURED (HARBOR DEPARTMENT REVENUE LOC)SS.+/- 3.43 11/01/2026 6,995,000
5,300,000 LOS ANGELES CA MFHR MASSELIN MANOR HOUSING PROJECT BANK OF AMERICA
NT & SA LOC (MFHR LOC)SS.+/- 3.32 07/01/2015 5,300,000
16,000,000 LOS ANGELES CA POWER SYSTEM SUBSERIES A2 (POWER REVENUE, US BANK
NA LOC)SS.+/- 3.27 07/01/2035 16,000,000
8,875,000 LOS ANGELES CA POWER SYSTEM SUBSERIES A3 (POWER REVENUE)SS.+/- 3.27 07/01/2035 8,875,000
19,095,000 LOS ANGELES CA POWER SYSTEM SUBSERIES A6 (UTILITIES REVENUE)SS.+/- 3.27 07/01/2035 19,095,000
4,520,000 LOS ANGELES CA SANITATION EQUIPMENT PROJECT 3343 (OTHER REVENUE,
FGIC INSURED)SS.+/- 3.44 02/01/2019 4,520,000
14,930,000 LOS ANGELES CA SERIES 1400 (SEWER REVENUE, MBIA INSURED)SS.+/- 3.41 06/01/2026 14,930,000
12,230,000 LOS ANGELES CA SERIES 184 (WATER REVENUE, FIRST SECURITY BANK
LOC)SS.+/- 3.44 01/01/2009 12,230,000
7,650,000 LOS ANGELES CA SUBSERIES A7 (WATER REVENUE)SS.+/- 3.27 07/01/2035 7,650,000
38,630,000 LOS ANGELES CA SUBSERIES B1 (WATER REVENUE, DEXIA CREDIT LOCAL
DE FRANCE LOC)SS.+/- 3.32 07/01/2035 38,630,000
25,825,000 LOS ANGELES CA TRAN (PROPERTY TAX REVENUE) 4.50 06/29/2007 25,981,129
7,320,000 LOS ANGELES CA USD (PROPERTY TAX REVENUE, FIRST SECURITY BANK
LOC)SS.+/- 3.44 01/01/2011 7,320,000
6,155,000 LOS ANGELES CA USD (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 01/01/2010 6,155,000
3,985,000 LOS ANGELES CA USD (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 07/01/2022 3,985,000
4,970,000 LOS ANGELES CA USD MERLOTS SERIES B12 (GO - SCHOOL DISTRICTS
LOC)SS.+/- 3.44 01/01/2027 4,970,000
17,650,000 LOS ANGELES CA USD TRAN SERIES A (OTHER REVENUE) 4.25 10/18/2006 17,661,998
5,995,000 LOS ANGELES CA WATER & POWER REVENUE SERIES 182 FSA INSURED
(WATER REVENUE LOC)SS.+/- 3.44 01/01/2009 5,995,000
31,900,000 LOS ANGELES COUNTY CA HOUSING AUTHORITY MFHR BONDS (HOUSING REVENUE
LOC)SS.+/- 3.60 09/01/2030 31,900,000
15,075,000 LOS ANGELES COUNTY CA HOUSING AUTHORITY MFHR MALIBU CANYON
APARTMENTS-B (HOUSING REVENUE LOC)SS.+/- 3.49 06/01/2010 15,075,000
6,700,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA SERIES B1 (WATER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.27 07/01/2020 6,700,000
5,625,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA WATERWORKS REVENUE
SERIES B4 (WATER REVENUE, NATIONSBANK NA LOC)SS.+/- 3.25 07/01/2035 5,625,000
27,670,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA WATERWORKS REVENUE
SERIES C (WATER REVENUE LOC)SS.+/- 3.44 07/01/2027 27,670,000
10,000,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA SERIES B2 (WATER
REVENUE LOC)SS.+/- 3.27 07/01/2020 10,000,000
9,800,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA WATERWORKS REVENUE
SERIES C2 (WATER REVENUE LOC)SS.+/- 3.27 07/01/2030 9,800,000
58,105,000 METROPOLITAN WATER DISTRICT SOUTHERN CALIFORNIA WATERWORKS REVENUE
SERIES C3 (WATER REVENUE LOC)SS.+/- 3.25 07/01/2030 58,105,000
11,100,000 MODESTO CA IRRIGATION DISTRICT FINANCING AUTHORITY REVENUE SERIES
SG 66 (ELECTRIC REVENUE LOC, MBIA INSURED)SS.+/- 3.43 10/01/2015 11,100,000
19
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 5,995,000 MODESTO CA PFA LEASE REVENUE SERIES 354 AMBAC INSURED (LEASE
REVENUE LOC)SS.+/- 3.41% 09/01/2029 $ 5,995,000
9,500,000 MSR PUBLIC POWER AGENCY CALIFORNIA SAN JUAN PROJECT (OTHER REVENUE,
MBIA INSURED)SS.+/- 3.44 07/01/2017 9,500,000
6,350,000 MSR PUBLIC POWER AGENCY CALIFORNIA SAN JUAN PROJECT REVENUE
SUBORDINATE LIEN SERIES B (POWER REVENUE LOC)SS.+/- 3.27 07/01/2022 6,350,000
24,200,000 MT. DIABLO CA USD (PROPERTY TAX REVENUE) 4.25 10/27/2006 24,246,151
5,280,000 NORTHERN CALIFORNIA TRANSMISSION AGENCY SERIES A (UTILITIES
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.30 05/01/2024 5,280,000
3,340,000 OAKLAND CA JT POWERS FINANCING AUTHORITY FRUITVALE TRANSIT SERIES B
(POWER REVENUE LOC)SS.+/- 3.27 07/01/2033 3,340,000
16,000,000 OAKLAND CA JT POWERS FINANCING AUTHORITY REVENUE SERIES A
(HOUSING REVENUE LOC)SS.+/- 3.27 07/01/2033 16,000,000
8,625,000 OAKLAND CA SEWER REVENUE (SEWER REVENUE LOC)SS.+/- 3.44 06/15/2021 8,625,000
10,762,000 OAKLAND-ALAMEDA COUNTY CA COLISEUM AUTHORITY LEASE REVENUE SERIES
C1 (LEASE REVENUE LOC)SS.+/- 3.35 02/01/2025 10,762,000
26,155,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT BLUFFS APARTMENT PROJECT
SERIES C (HOUSING REVENUE, FHLMC INSURED)SS.+/- 3.35 12/01/2029 26,155,000
6,375,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT NIGUEL SUMMIT 1 SERIES A
(HOUSING REVENUE)SS.+/- 3.49 11/01/2009 6,375,000
4,000,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT REVENUE PARK RIDGE VILLAS
PROJECT FNMA LOC (HOUSING REVENUE LOC)SS.+/- 3.35 11/15/2028 4,000,000
9,000,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT REVENUE SERIES A PUTTABLE
FHLMC LOC (HOUSING REVENUE LOC)SS.+/- 3.35 12/01/2006 9,000,000
9,449,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT REVENUE SERIES D HARBOR
POINTE PROJECT FHLMC LOC (HOUSING REVENUE LOC)SS.+/- 3.35 12/01/2022 9,449,000
500,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT REVENUE SERIES G3
(HOUSING REVENUE LOC)SS.+/- 3.35 11/15/2028 500,000
2,302,500 ORANGE COUNTY CA SANITATION DISTRICT COP FLOATERS-SERIES 1032
(SEWER REVENUE LOC)SS.+/- 3.41 02/01/2033 2,302,500
4,260,000 ORANGE COUNTY CA SPECIAL FINANCING AUTHORITY TEETER PLAN REVENUE
SERIES 1995D AMBAC INSURED (PROPERTY TAX REVENUE LOC)SS.+/- 3.38 11/01/2014 4,260,000
17,000,000 ORANGE COUNTY CA SPECIAL FINANCING AUTHORITY TEETER PLAN REVENUE
SERIES E AMBAC INSURED (PROPERTY TAX REVENUE LOC)SS.+/- 3.38 11/01/2014 17,000,000
20,515,000 ORANGE COUNTY CA WATER DISTRICT SERIES A (WATER REVENUE, LLOYDS
TSB BANK PLC LOC)SS.+/- 3.25 08/01/2042 20,515,000
6,600,000 OXNARD CA FINANCING AUTHORITY SERIES B (LEASE REVENUE, AMBAC
INSURED)SS.+/- 3.38 06/01/2033 6,600,000
12,680,000 PARAMOUNT CA USD COP (LEASE REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.27 09/01/2031 12,680,000
9,515,000 PASADENA CA COMMUNITY DEVELOPMENT COMMISSION HOLLY STREET
APARTMENTS SERIES A (HOUSING REVENUE, FNMA INSURED)SS.+/- 3.32 12/15/2033 9,515,000
7,845,000 PERRIS CA UNIFIED HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE
LOC)SS.+/- 3.44 09/01/2024 7,845,000
5,435,000 PERRIS CA UNIFIED HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE
LOC)SS.+/- 3.44 09/01/2026 5,435,000
8,550,000 PITTSBURG CA RDA TAX ALLOCATION LOS MEDANOS COMMUNITY SERIES A
(TAX ALLOCATION REVENUE LOC)SS.+/- 3.45 09/01/2035 8,550,000
5,480,000 PLACENTIA-YORBA LINDA CA USD SERIES 896 (PROPERTY TAX REVENUE,
MBIA INSURED)SS.+/- 3.44 02/01/2013 5,480,000
4,895,000 PORT OF OAKLAND CA (AIRPORT REVENUE, FGIC INSURED)SS.+/- 3.46 05/01/2008 4,895,000
7,285,000 PORT OF OAKLAND CA TRANSPORTATION REVENUE MBIA INSURED
(TRANSPORTATION REVENUE LOC)SS.+/- 3.46 05/01/2010 7,285,000
5,455,000 PORT OF OAKLAND CA TRANSPORTATION REVENUE SERIES K (AIRPORT
REVENUE LOC, FGIC INSURED)SS.+/- 3.43 11/01/2021 5,455,000
20
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 4,245,000 POWAY CA REDEVELOPMENT AGENCY TAX ALLOCATION REVENUE SERIES R 2046
MBIA INSURED (TAX ALLOCATION REVENUE LOC)SS.+/- 3.44% 06/15/2020 $ 4,245,000
5,100,000 POWAY CA USD (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 08/01/2008 5,100,000
8,000,000 POWAY CA USD COP (LEASE REVENUE LOC)SS.+/- 3.27 06/01/2029 8,000,000
5,305,000 REDLANDS CA USD PROJECT 1891 (PROPERTY TAX REVENUE, FIRST SECURITY
BANK LOC)SS.+/- 3.44 01/01/2011 5,305,000
8,900,000 REDONDO BEACH CA AGENCY MFHR (HOUSING REVENUE LOC)SS.+/- 3.35 10/15/2034 8,900,000
2,545,000 REDONDO BEACH CA PFA TAX ALLOCATION REVENUE AVIATION HIGH
REDEVELOPMENT PROJECT ALLIED IRISH BANK PLC LOC (PROPERTY TAX
REVENUE LOC)SS.+/- 3.32 07/01/2030 2,545,000
2,270,000 RIVERSIDE COUNTY CA COMMUNITY FACILITIES DISTRICT SERIES 88-4
(SPECIAL TAX REVENUE LOC, KBC BANK LOC)SS.+/- 3.33 09/01/2014 2,270,000
3,600,000 RIVERSIDE COUNTY CA IDA IDR CRYOGENIC PROJECT ISSUE B (IDR
LOC)SS.+/- 3.39 07/05/2014 3,600,000
8,300,000 ROARING FORK MUNICIPAL PRODUCTS LLC CLASS A (SACRAMENTO COUNTY CA
SANITATION DISTRICT FINANCING AUTHORITY) (SEWER REVENUE, FGIC
INSURED)SS.+/- 3.40 12/01/2025 8,300,000
7,000,000 SACRAMENTO CA HOUSING AUTHORITY SHENANDOAH APARTMENTS SERIES F
(HOUSING REVENUE, FNMA INSURED)SS.+/- 3.43 09/15/2036 7,000,000
24,700,000 SACRAMENTO CA USD COP FSA INSURED (GO - SCHOOL DISTRICTS LOC)SS.+/- 3.32 03/01/2031 24,700,000
7,000,000 SACRAMENTO COUNTY CA HFA MFHR ARLINGTON CREEK APARTMENT SERIES I
(HOUSING REVENUE LOC)SS.+/- 3.43 05/15/2034 7,000,000
6,300,000 SACRAMENTO COUNTY CA HFA MFHR HIDDEN OAKS APARTMENTS PROJECT
SERIES C COLLATERALIZED BY FNMA (HOUSING REVENUE LOC)SS.+/- 3.43 05/15/2029 6,300,000
5,000,000 SACRAMENTO COUNTY CA HOUSING AUTHORITY (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.35 07/15/2029 5,000,000
6,000,000 SACRAMENTO COUNTY CA HOUSING AUTHORITY MFHR NORMANDY PARK
APARTMENTS SERIES A (HOUSING REVENUE LOC)SS.+/- 3.43 02/15/2033 6,000,000
7,750,000 SACRAMENTO COUNTY CA SANITATION DISTRICT FINANCING AUTHORITY CLASS
A (SEWER REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2035 7,750,000
6,280,000 SAN BERNARDINO CA COMMUNITY COLLEGE DISTRICT FLOATS 1850 (PROPERTY
TAX REVENUE, MBIA INSURED)SS.+/- 3.44 02/01/2011 6,280,000
6,115,000 SAN BERNARDINO COUNTY CA MFHR GREEN VALLEY APARTMENTS PROJECT
SERIES A COLLATERALIZED BY FNMA (HOUSING REVENUE LOC)SS.+/- 3.35 05/15/2029 6,115,000
5,600,000 SAN BERNARDINO COUNTY CA MFHR SYCAMORE TERRACE PROJECT SERIES A
COLLATERALIZED BY FNMA (HOUSING REVENUE LOC)SS.+/- 3.35 05/15/2029 5,600,000
1,670,000 SAN DIEGO CA (WATER REVENUE, FGIC INSURED)SS.+/- 3.44 08/01/2024 1,670,000
43,000,000 SAN DIEGO CA COUNTY & SCHOOL DISTRICT TRAN SERIES A (OTHER REVENUE) 4.50 07/27/2007 43,298,214
10,750,000 SAN DIEGO CA COUNTY & SCHOOL DISTRICT TRAN SERIES B (PROPERTY TAX
REVENUE) 4.50 07/27/2007 10,822,735
14,825,000 SAN DIEGO CA HFA MFHR STRATTON APARTMENTS PROJECT SERIES A
COLLATERALIZED BY FNMA (HOUSING REVENUE LOC)SS.+/- 3.43 01/15/2033 14,825,000
5,310,000 SAN DIEGO CA HOUSING AUTHORITY MFHR HILLSIDE GARDEN APARTMENTS
SERIES B (HOUSING REVENUE LOC)SS.+/- 3.43 01/15/2035 5,310,000
30,820,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS A (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 30,820,000
7,415,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS B (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 7,415,000
52,435,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS C (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 52,435,000
19,130,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY SEWER REVENUE
SERIES SG 130 (WATER & SEWER REVENUE LOC)SS.+/- 3.43 05/15/2029 19,130,000
6,215,000 SAN DIEGO CA USD SERIES 758 (EDUCATIONAL FACILITIES REVENUE
LOC)SS.+/- 3.41 07/01/2027 6,215,000
21
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 11,580,000 SAN DIEGO CA USD SERIES PA 804 (EDUCATIONAL FACILITIES REVENUE
LOC)SS.+/- 3.44% 07/01/2022 $ 11,580,000
25,000,000 SAN DIEGO CA USD TRAN SERIES A (PROPERTY TAX REVENUE) 4.50 07/24/2007 25,171,868
3,957,500 SAN DIEGO COUNTY CA WATER AUTHORITY COP SERIES I (WATER REVENUE,
MBIA INSURED)SS.+/- 3.42 11/01/2010 3,957,500
10,670,000 SAN FRANCISCO CA CITY & COUNTY PUBLIC UTILITIES COMMISSION FOR
CLEAN WATER MERLOTS SERIES B20 MBIA INSURED (WATER & SEWER REVENUE
LOC)SS.+/- 3.44 10/01/2022 10,670,000
1,400,000 SAN FRANCISCO CA CITY & COUNTY RDA ANTONIA MANOR APARTMENTS
(HOUSING REVENUE, CITIBANK NA LOC)SS.+/- 3.36 12/01/2033 1,400,000
8,000,000 SAN FRANCISCO CA CITY & COUNTY RDA COMMUNITY FACILITIES DISTRICT
HUNTERS POINT SERIES A (TAX REVENUE, KBC BANK NV LOC)SS.+/- 3.33 08/01/2036 8,000,000
6,555,000 SAN JOSE CA CINNABAR COMMONS SERIES C (HOUSING REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.32 02/01/2037 6,555,000
8,100,000 SAN JOSE CA REDEVELOPMENT AGENCY TAX ALLOCATIONSS.+/- 3.42 08/01/2035 8,100,000
2,580,000 SAN JOSE CA REDEVELOPMENT AGENCY TAX ALLOCATION (TAX INCREMENTAL
REVENUE LOC)SS.+/- 3.44 08/01/2011 2,580,000
6,857,500 SAN JOSE CA UNION SCHOOL DISTRICT SANTA CLARA COUNTY FLOATERS
SERIES 761 FSA INSURED (PROPERTY TAX REVENUE LOC)SS.+/- 3.41 08/01/2027 6,857,500
2,200,000 SAN LEANDRO CA MFHR HAAS AVENUE APARTMENTS SERIES B PUTTABLE
(SECURITY PACIFIC NATIONAL LOC)SS.+/- 3.30 10/01/2007 2,200,000
8,750,000 SAN MARCOS CA PFA (TAX INCREMENTAL REVENUE, AMBAC INSURED)SS.+/- 3.45 08/01/2038 8,750,000
6,510,000 SAN MARCOS CA PFA TAX ALLOCATION REVENUE SERIES 1161 FGIC INSURED
(TAX INCREMENTAL REVENUE LOC)SS.+/- 3.44 02/01/2011 6,510,000
6,510,000 SAN MARCOS CA PFA TAX ALLOCATION REVENUE SERIES 1178 FGIC INSURED
(TAX INCREMENTAL REVENUE LOC)SS.+/- 3.44 08/01/2011 6,510,000
5,900,000 SANTA CLARA COUNTY CA MFHR BENTON PARK CENTER APARTMENTS PROJECT
SERIES A COLLATERALIZED BY FNMA (MFHR LOC)SS.+/- 3.35 12/15/2025 5,900,000
11,400,000 SANTA CLARA COUNTY CA MFHR FOXCHASE APARTMENTS PROJECT SERIES E
(MFHR LOC, FGIC INSURED)SS.+/- 3.38 11/15/2017 11,400,000
6,770,000 SANTA CRUZ CA CITY HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE,
MBIA INSURED)SS.+/- 3.44 08/01/2025 6,770,000
6,140,000 SIERRA CA JOINT COMMUNITY COLLEGE DISTRICT (PROPERTY TAX REVENUE,
FGIC INSURED)SS.+/- 3.44 08/01/2021 6,140,000
10,000,000 SIMI VALLEY CA MFHR LINCOLN WOOD RANCH (HOUSING REVENUE LOC)SS.+/- 3.35 06/01/2010 10,000,000
6,150,000 SIMI VALLEY CA SERIES A (MFHR LOC)SS.+/- 3.35 07/01/2023 6,150,000
12,450,000 SONOMA COUNTY CA TRAN (OTHER REVENUE) 4.25 10/16/2006 12,470,132
19,850,000 SOUTH PLACER CA WASTEWATER AUTHORITY SERIES B (SEWER REVENUE,
FGIC INSURED)SS.+/- 3.38 11/01/2035 19,850,000
5,315,000 SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY POWER PROJECT REVENUE
SERIES PA 1172 (ELECTRIC PLANT REVENUE LOC)SS.+/- 3.44 07/01/2011 5,315,000
4,900,000 SOUTHERN CALIFORNIA PUBLIC POWER AUTHORITY TRANSMISSION PROJECT
REVENUE (UTILITIES REVENUE, LLOYDS TSB BANK PLC LOC)SS.+/- 3.26 07/01/2019 4,900,000
6,100,000 UNIVERSITY CALIFORNIA EDUCATION FACILITIES REVENUE SERIES 480 MBIA
INSURED (EDUCATIONAL FACILITIES REVENUE LOC)SS.+/- 3.41 09/01/2022 6,100,000
3,865,000 UNIVERSITY OF CALIFORNIA REVENUE (COLLEGE & UNIVERSITY REVENUE
LOC)SS.+/- 3.44 05/15/2033 3,865,000
7,000,000 UNIVERSITY OF CALIFORNIA SERIES 1119 (COLLEGE & UNIVERSITY REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.41 05/15/2035 7,000,000
7,750,000 VACAVILLE CA MFHR SYCAMORE APARTMENTS SERIES A (HOUSING REVENUE
LOC)SS.+/- 3.35 05/15/2029 7,750,000
25,900,000 VENTURA COUNTY CA TRAN (PROPERTY TAX REVENUE) 4.50 07/02/2007 26,066,341
21,225,000 VERNON CA NATURAL GAS FINANCING VERNON GAS PROJECT SERIES B
(OTHER REVENUE, MBIA INSURED)SS.+/- 3.27 08/01/2021 21,225,000
22
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 6,605,000 VICTORVILLE CA RDA SERIES 485 (TAX INCREMENTAL REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.44% 12/01/2019 $ 6,605,000
5,480,000 YOSEMITE CA COMMUNITY COLLEGE DISTRICT (PROPERTY TAX REVENUE)SS.+/- 3.44 08/01/2025 5,480,000
2,600,544,196
---------------
PUERTO RICO - 1.29%
7,200,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES, 20015101 CLASS A (PUERTO RICO
COMMONWEALTH INFRASTRUCTURE FINANCING AUTHORITY) (OTHER REVENUE
LOC)SS.+/- 3.46 10/01/2034 7,200,000
19,000,000 PUERTO RICO COMMONWEALTH (TAX REVENUE)SS.+/- 3.40 07/01/2029 19,000,000
4,995,000 PUERTO RICO COMMONWEALTH INFRASTRUCTURE FINANCING AUTHORITY
SERIES 86 (SALES TAX REVENUE LOC)SS.+/- 3.41 07/01/2015 4,995,000
6,135,000 PUERTO RICO COMMONWEALTH PUBLIC BUILDINGS AUTHORITY REVENUE
SERIES 416 FSA LOC (LEASE REVENUE LOC)SS.+/- 3.41 07/01/2021 6,135,000
37,330,000
---------------
TOTAL MUNICIPAL BONDS & NOTES (COST $2,637,874,196) 2,637,874,196
---------------
COMMERCIAL PAPER - 8.50%
39,745,000 CALIFORNIA STATEWIDE CDA 3.40 09/06/2006 39,745,000
33,650,000 CALIFORNIA STATEWIDE CDA SERIES 05-B 3.40 09/06/2006 33,650,000
26,400,000 GOLDEN GATE BRIDGE 3.50 10/16/2006 26,400,000
1,000,000 LOS ANGELES METROPOLITAN TRANSPORTATION 3.42 09/07/2006 1,000,000
2,000,000 LOS ANGELES METROPOLITAN TRANSPORTATION 3.56 09/07/2006 2,000,000
7,500,000 LOS ANGELES METROPOLITAN TRANSPORTATION 3.59 09/07/2006 7,500,000
25,280,000 PORT OF OAKLAND CA 3.50 11/01/2006 25,280,000
19,700,000 RIVERSIDE COUNTY TEETER FINANCE 3.52 09/15/2006 19,700,000
10,500,000 SAN DIEGO COUNTY REGIONAL TRANSPORTATION 3.53 09/14/2006 10,500,000
11,000,000 SAN JOAQUIN TRANSPORTATION AUTHORITY 3.40 09/06/2006 11,000,000
18,045,000 UNIVERSITY OF CALIFORNIA 3.57 09/07/2006 18,045,000
28,500,000 UNIVERSITY OF CALIFORNIA 3.52 09/15/2006 28,500,000
22,820,000 UNIVERSITY OF CALIFORNIA 3.52 10/18/2006 22,820,000
TOTAL COMMERCIAL PAPER (COST $246,140,000) 246,140,000
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $2,884,014,196)* 99.60% $ 2,884,014,196
OTHER ASSETS AND LIABILITIES, NET 0.40 11,459,188
------ ---------------
TOTAL NET ASSETS 100.00% $ 2,895,473,384
====== ===============
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
23
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CASH INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
ASSET BACKED SECURITIES - 0.12%
$ 16,837,151 CAPITAL ONE AUTO FINANCE TRUST 5.12% 05/15/2007 $ 16,837,151
TOTAL ASSET BACKED SECURITIES (COST $16,837,151) 16,837,151
---------------
CERTIFICATES OF DEPOSIT - 5.02%
235,000,000 BARCLAYS BANK PLC 4.14 09/20/2006 235,000,000
100,000,000 BNP PARIBAS LONDON 4.92 11/07/2006 100,000,000
133,500,000 CREDIT SUISSE FIRST BOSTON NEW YORK SERIES YCD 4.18 09/22/2006 133,500,000
83,000,000 CREDIT SUISSE NEW YORK+/- 5.51 04/24/2007 82,991,520
150,000,000 ROYAL BANK OF SCOTLAND NEW YORK SERIES YCD 4.41 10/04/2006 150,000,000
TOTAL CERTIFICATES OF DEPOSIT (COST $701,491,520) 701,491,520
---------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 0.29%
40,000,000 PARAGON MORTGAGES PLC+/-++SS. 5.31 11/15/2038 40,000,000
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (COST $40,000,000) 40,000,000
---------------
COMMERCIAL PAPER - 32.05%
70,000,000 AMSTERDAM FUNDING CORPORATION++^ 5.18 09/05/2006 69,959,711
106,742,000 AMSTERDAM FUNDING CORPORATION++^ 5.40 09/27/2006 106,325,706
120,000,000 AQUINAS FUNDING LLC++^ 5.26 09/21/2006 119,649,333
77,854,000 AQUINAS FUNDING LLC++^ 5.00 10/04/2006 77,497,169
51,354,000 AQUINAS FUNDING LLC++^ 5.25 02/26/2007 50,020,936
25,000,000 ATLAS CAPITAL FUNDING CORPORATION++^ 5.22 09/08/2006 24,974,625
64,000,000 ATLAS CAPITAL FUNDING CORPORATION++^ 5.29 10/10/2006 63,633,227
117,208,000 ATOMIUM FUNDING LLC++^ 5.28 10/25/2006 116,279,713
83,960,000 BASF AG++^ 5.27 10/23/2006 83,320,878
80,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.31 01/23/2007 80,000,000
70,000,000 BUCKINGHAM CDO II LLC++^ 5.28 09/22/2006 69,784,400
87,805,000 BUCKINGHAM CDO III LLC++^ 5.31 11/27/2006 86,679,303
25,000,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.39 09/11/2006 24,962,569
43,000,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.29 09/13/2006 42,924,177
13,000,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.31 10/17/2006 12,911,795
45,000,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.16 09/05/2006 44,974,200
30,869,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.19 09/06/2006 30,846,749
72,884,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.20 09/11/2006 72,778,723
50,707,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.40 10/11/2006 50,402,758
30,000,000 CHEYNE FINANCE LLC++^ 5.27 09/19/2006 29,920,950
75,000,000 CHEYNE FINANCE LLC++^ 5.15 09/28/2006 74,710,312
53,400,000 CIT GROUP INCORPORATED^ 5.25 02/26/2007 52,013,825
136,800,000 CONCORD MINUTEMEN CAPITAL COMPANY+/- 5.30 09/17/2007 136,799,918
20,000,000 CRC FUNDING LLC++^ 5.27 09/26/2006 19,926,806
202,167,000 CROWN POINT CAPITAL COMPANY++^ 5.22 09/12/2006 201,844,544
50,727,000 CULLINAN FINANCE CORPORATION++^ 5.40 10/10/2006 50,430,247
50,774,000 CULLINAN FINANCE CORPORATION++^ 5.29 10/12/2006 50,468,101
49,000,000 DEER VALLEY FUNDING LLC++^ 5.28 09/15/2006 48,899,387
184,000,000 DEER VALLEY FUNDING LLC++^ 5.28 10/24/2006 182,569,707
60,575,000 DEER VALLEY FUNDING LLC++^ 5.30 10/25/2006 60,093,429
126,120,000 DEER VALLEY FUNDING LLC++^ 5.30 11/17/2006 124,686,012
50,000,000 EUREKA SECURITIZATION++^ 5.36 09/07/2006 49,955,333
24
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CASH INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMERCIAL PAPER (CONTINUED)
$ 16,300,000 FORD CREDIT AUTO RECEIVABLES OWNER TRUST II^ 5.27% 09/21/2006 $ 16,252,277
110,885,000 FORD CREDIT AUTO RECEIVABLES OWNER TRUST II^ 5.40 10/25/2006 109,986,832
50,512,000 GEMINI SECURITIZATION LLC++^ 5.27 10/23/2006 50,127,491
75,000,000 GEMINI SECURITIZATION LLC++^ 5.28 11/21/2006 74,109,000
50,000,000 GEORGE STREET FINANCE LLC++^ 5.27 09/15/2006 49,897,528
70,000,000 GOVCO INCORPORATED++^ 5.18 09/07/2006 69,939,567
360,000,000 GRAMPIAN FUNDING LLC++^ 4.98 09/29/2006 358,605,600
15,000,000 K2 USA LLC++^ 5.38 11/03/2006 14,858,775
60,000,000 KESTREL FUNDING US LLC++^ 5.38 09/25/2006 59,784,800
40,000,000 KESTREL FUNDING US LLC++^ 5.27 09/27/2006 39,847,756
40,000,000 KESTREL FUNDING US LLC++^ 5.40 11/06/2006 39,604,000
100,444,000 KLIO III FUNDING CORPORATION++^ 5.28 09/22/2006 100,134,925
23,000,000 LEGACY CAPITAL LLC++^ 5.29 10/10/2006 22,868,191
127,611,000 LEGACY CAPITAL LLC++^ 5.28 11/17/2006 126,169,846
87,238,000 LEXINGTON PARKER CAPITAL++^ 5.37 09/07/2006 87,159,922
100,000,000 LEXINGTON PARKER CAPITAL++^ 5.27 10/06/2006 99,487,639
100,662,000 LEXINGTON PARKER CAPITAL++^ 5.28 10/16/2006 99,997,631
30,000,000 LIQUID FUNDING LIMITED+/-++ 5.34 09/21/2006 30,000,000
50,000,000 LIQUID FUNDING LIMITED++^ 5.28 09/25/2006 49,824,000
36,500,000 LIQUID FUNDING LIMITED+/-++ 5.32 09/25/2006 36,500,000
39,000,000 LIQUID FUNDING LIMITED++^ 5.31 11/17/2006 38,557,058
102,696,000 MANE FUNDING CORPORATION++^ 5.27 11/15/2006 101,568,484
70,000,000 NEWPORT FUNDING CORPORATION++^ 5.40 10/26/2006 69,422,500
6,214,000 NIEUW AMSTERDAM RECOVERY++^ 5.40 09/25/2006 6,191,630
19,189,000 NORTH SEA FUNDING LLC++^ 5.40 10/10/2006 19,076,744
28,476,000 NORTH SEA FUNDING LLC++^ 5.40 10/30/2006 28,223,987
25,000,000 PICAROS FUNDING LLC++^ 5.28 09/08/2006 24,974,333
69,000,000 PICAROS FUNDING LLC++^ 5.25 09/13/2006 68,879,250
125,000,000 SEDNA FINANCE INCORPORATED++^ 5.38 11/03/2006 123,823,119
66,536,000 THUNDER BAY FUNDING LLC++^ 5.27 09/20/2006 66,350,938
25,000,000 VERSAILLES CDS LLC++^ 5.27 10/27/2006 24,795,056
40,000,000 VERSAILLES CDS LLC++^ 5.28 11/08/2006 39,601,067
16,767,000 WHITE PINE FINANCE LLC++^ 5.40 10/10/2006 16,668,913
TOTAL COMMERCIAL PAPER (COST $4,473,533,402) 4,473,533,402
---------------
CORPORATE BONDS & NOTES - 0.69%
96,648,000 SMM TRUST 2006-M+/-++ 5.47 02/02/2007 96,648,000
TOTAL CORPORATE BONDS & NOTES (COST $96,648,000) 96,648,000
---------------
EXTENDABLE BONDS - 15.14%
70,000,000 3M COMPANY++ 5.65 12/12/2006 70,162,538
60,000,000 AMERICAN GENERAL FINANCE+/-++ 5.36 09/14/2007 60,000,000
70,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.32 09/14/2007 70,000,000
148,000,000 DNB NOR BANK ASA+/-++ 5.31 09/25/2007 148,000,000
110,000,000 FLORIDA HURRICANE CATASTROPHE+/- 5.34 09/14/2007 110,000,000
215,000,000 GENERAL ELECTRIC CAPITAL CORPORATION 5.49 07/09/2007 215,007,403
300,000,000 ING SECURITY LIFE INSTITUTIONAL FUNDING+/-++ 5.48 08/09/2007 300,000,000
117,500,000 INTESA BANK IRELAND PLC+/-++ 5.32 09/25/2007 117,500,000
25
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CASH INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
EXTENDABLE BONDS (CONTINUED)
$ 103,000,000 IRISH LIFE & PERMANENT 5.33% 09/21/2007 $ 103,000,114
22,000,000 ISLANDS BANK+/-++ 5.40 04/22/2007 21,999,177
66,000,000 KAUPTHING BANK SERIES MTN+/-++ 5.39 03/20/2007 66,000,000
70,000,000 MERCK & COMPANY INCORPORATED+/-++ 4.52 02/22/2007 69,828,145
67,000,000 MERRILL LYNCH & COMPANY INCORPORATED+/- 5.58 07/11/2007 67,000,000
134,000,000 MERRILL LYNCH & COMPANY INCORPORATED+/- 5.31 09/24/2007 134,000,000
80,000,000 MORGAN STANLEY+/- 5.38 08/31/2007 80,000,000
80,000,000 NATIONWIDE BUILDING SOCIETY+/-++ 5.44 07/06/2007 80,000,000
13,000,000 NORDEA BANK AB+/-++ 5.35 08/09/2007 13,000,000
134,000,000 NORDEA BANK AB+/-++ 5.34 09/11/2007 134,000,000
100,000,000 NORTHERN ROCK PLC+/-++ 5.35 07/09/2007 100,000,000
130,000,000 NORTHERN ROCK PLC+/-++ 5.43 08/03/2007 130,000,000
24,000,000 PREMIUM ASSET TRUST+/-++ 5.37 08/15/2007 24,000,000
TOTAL EXTENDABLE BONDS (COST $2,113,497,377) 2,113,497,377
---------------
MEDIUM TERM NOTES - 10.15%
27,000,000 AMERICAN HONDA FINANCE+/-++ 5.36 05/11/2007 26,998,131
55,000,000 ASIF GLOBAL FINANCING+/-++ 5.51 05/03/2007 55,022,749
160,000,000 BANK OF AMERICA SECURITIES+/-SS. 5.38 09/09/2099 160,000,000
113,000,000 BEAR STEARNS COMPANIES INCORPORATED+/-SS. 5.43 09/09/2099 113,000,000
35,000,000 CHEYNE FINANCE LLC+/-++ 5.36 05/21/2007 34,995,672
36,500,000 CHEYNE FINANCE LLC+/-++ 5.36 05/24/2007 36,494,785
45,000,000 CHEYNE FINANCE LLC+/-++ 5.47 07/16/2007 44,990,372
71,000,000 CULLINAN FINANCE CORPORATION+/-++ 5.35 05/21/2007 70,994,931
9,990,000 FIORE CAPITAL LLC+/-SS. 5.33 08/01/2045 9,990,000
95,000,000 HARRIER FINANCE FUNDING LLC+/-++ 5.36 05/15/2007 94,989,692
16,700,000 JOHN HANCOCK GLOBAL FUNDING+/-++ 5.48 02/24/2007 16,708,279
44,000,000 LEHMAN BROTHERS HOLDINGS+/- 5.39 07/19/2007 44,036,331
19,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.48 03/15/2007 19,015,896
45,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.47 07/10/2007 44,992,444
84,000,000 LIQUID FUNDING LIMITED+/-++ 5.31 09/29/2006 84,000,000
100,000,000 LIQUID FUNDING LIMITED+/-++ 5.34 01/16/2007 100,000,000
29,000,000 MERRILL LYNCH & COMPANY+/- 5.55 02/28/2007 29,023,128
100,000,000 ROYAL BANK OF CANADA+/- 5.40 09/10/2007 100,000,000
75,000,000 SEDNA FINANCE INCORPORATED++ 5.00 02/12/2007 75,000,000
42,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.35 05/21/2007 41,996,621
36,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.36 05/30/2007 35,997,202
40,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.30 06/18/2007 39,996,631
68,000,000 TANGO FINANCE CORPORATION+/-++ 5.36 05/24/2007 67,995,063
40,000,000 USAA CAPITAL CORPORATION++ 5.59 12/20/2006 40,091,657
30,000,000 WHISTLEJACKET CAPITAL LIMITED++ 5.00 02/07/2007 30,000,000
TOTAL MEDIUM TERM NOTES (COST $1,416,329,584) 1,416,329,584
---------------
MUNICIPAL BONDS & NOTES - 0.21%
1,045,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96A+/-SS. 5.33 12/15/2026 1,045,000
660,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96C+/-SS. 5.33 12/15/2026 660,000
1,010,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96D+/-SS. 5.33 12/15/2026 1,010,000
1,170,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96E+/-SS. 5.33 12/15/2026 1,170,000
26
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CASH INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MUNICIPAL BONDS & NOTES (CONTINUED)
$ 545,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96G+/-SS. 5.48% 12/15/2026 $ 545,000
1,380,000 KALAMAZOO MI FUNDING COMPANY LLC SERIES 96I+/-SS. 5.33 12/15/2026 1,380,000
23,420,000 MISSISSIPPI STATE TAXABLE NISSAN PROJECT A (GO - STATES, 5.34 11/01/2028 23,420,000
TERRITORIES LOC)+/-SS.
TOTAL MUNICIPAL BONDS & NOTES (COST $29,230,000) 29,230,000
---------------
PROMISSORY NOTES - 3.77%
346,200,000 CITIGROUP GLOBAL+/-SS. 5.38 09/09/2099 346,200,000
180,000,000 GOLDMAN SACHS GROUP INCORPORATED+/-++ 5.54 01/26/2007 180,000,000
TOTAL PROMISSORY NOTES (COST $526,200,000) 526,200,000
---------------
REPURCHASE AGREEMENTS - 17.09%
589,721,199 BANK OF AMERICA SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $589,807,691) 5.28 09/01/2006 589,721,199
537,393,000 BARCLAYS CAPITAL INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $537,471,818) 5.28 09/01/2006 537,393,000
174,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $174,025,665) 5.31 09/01/2006 174,000,000
502,336,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $502,409,815) 5.29 09/01/2006 502,336,000
176,000,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $176,025,911) 5.30 09/01/2006 176,000,000
97,000,000 JPMORGAN CHASE SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $97,014,254) 5.29 09/01/2006 97,000,000
309,000,000 JPMORGAN CHASE SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $309,045,492) 5.30 09/01/2006 309,000,000
TOTAL REPURCHASE AGREEMENTS (COST $2,385,450,199) 2,385,450,199
---------------
TIME DEPOSITS - 15.32%
323,000,000 DEUTSCHE BANK CAYMAN 5.26 09/07/2006 323,000,000
131,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/05/2006 131,000,000
249,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/06/2006 249,000,000
323,000,000 KBC BANK NV BRUSSELS 5.30 09/01/2006 323,000,000
350,000,000 NATEXIS BANQUES POPULAIR 5.26 09/05/2006 350,000,000
350,000,000 RABOBANK LONDON 5.26 09/01/2006 350,000,000
129,000,000 SOCIETE GENERALE CANADA 5.27 09/07/2006 129,000,000
196,000,000 SOCIETE GENERALE CAYMAN 5.27 09/05/2006 196,000,000
88,000,000 UBS AG CAYMAN ISLANDS 5.28 09/01/2006 88,000,000
TOTAL TIME DEPOSITS (COST $2,139,000,000) 2,139,000,000
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $13,938,217,233)* 99.85% $13,938,217,233
OTHER ASSETS AND LIABILITIES, NET 0.15 20,662,330
------ ---------------
TOTAL NET ASSETS 100.00% $13,958,879,563
====== ===============
27
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CASH INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
28
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
AGENCY NOTES - DISCOUNT - 8.61%
FEDERAL HOME LOAN BANK - 1.18%
$ 80,446,000 FHLB^ 5.22% 11/01/2006 $ 79,735,137
95,250,000 FHLB^ 5.22 11/03/2006 94,380,725
174,115,862
---------------
FEDERAL HOME LOAN MORTGAGE CORPORATION - 4.79%
121,853,000 FHLMC^ 4.82 09/19/2006 121,559,332
100,000,000 FHLMC^ 4.89 10/03/2006 99,565,333
100,000,000 FHLMC^ 4.93 10/10/2006 99,465,917
50,000,000 FHLMC^ 5.01 10/10/2006 49,728,625
50,000,000 FHLMC^ 5.00 11/07/2006 49,534,629
97,416,000 FHLMC^ 5.22 11/07/2006 96,469,604
120,000,000 FHLMC^ 5.04 11/21/2006 118,639,200
50,000,000 FHLMC^ 5.11 12/05/2006 49,325,764
23,800,000 FHLMC^ 5.16 02/13/2007 23,237,130
707,525,534
---------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION - 2.64%
54,738,000 FNMA^ 4.87 09/20/2006 54,597,308
37,415,000 FNMA^ 5.29 10/02/2006 37,244,564
29,541,000 FNMA^ 5.29 10/02/2006 29,406,433
162,500,000 FNMA^ 5.37 10/10/2006 161,554,656
109,083,000 FNMA^ 5.23 11/01/2006 108,116,313
390,919,274
---------------
TOTAL AGENCY NOTES - DISCOUNT (COST $1,272,560,670) 1,272,560,670
---------------
AGENCY NOTES - INTEREST BEARING - 20.94%
FEDERAL FARM CREDIT BANK - 3.74%
15,000,000 FFCB+/- 5.21 03/20/2007 14,999,510
41,500,000 FFCB+/- 5.18 03/22/2007 41,490,657
61,250,000 FFCB+/- 5.27 05/15/2007 61,258,990
100,000,000 FFCB+/- 5.31 06/01/2007 99,977,971
50,000,000 FFCB+/- 5.27 07/27/2007 50,011,611
50,000,000 FFCB+/- 5.17 11/13/2007 49,970,744
75,000,000 FFCB+/-SS. 5.23 01/24/2008 74,969,623
160,000,000 FFCB+/-SS. 4.98 06/16/2008 159,914,967
552,594,073
---------------
FEDERAL HOME LOAN BANK - 7.36%
135,025,000 FHLB 2.88 09/15/2006 134,919,356
25,500,000 FHLB 2.70 09/29/2006 25,465,063
114,870,000 FHLB 2.63 10/16/2006 114,521,730
162,000,000 FHLB+/- 5.19 12/13/2006 161,981,964
30,000,000 FHLB 3.75 01/16/2007 29,888,282
54,320,000 FHLB 5.38 02/15/2007 54,307,187
200,000,000 FHLB+/- 5.13 06/08/2007 199,941,027
16,000,000 FHLB+/- 5.35 07/06/2007 15,997,398
200,000,000 FHLB+/-SS. 5.35 01/10/2008 199,869,004
150,000,000 FHLB+/-SS. 5.37 01/17/2008 149,917,897
1,086,808,908
---------------
29
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FEDERAL HOME LOAN MORTGAGE CORPORATION - 2.57%
$ 47,542,000 FHLMC 3.75% 11/15/2006 $ 47,370,691
22,990,000 FHLMC 2.88 12/15/2006 22,860,532
110,000,000 FHLMC+/- 5.30 06/22/2007 109,969,771
50,000,000 FHLMC+/- 5.25 09/17/2007 49,969,679
150,000,000 FHLMC+/- 5.18 09/27/2007 149,919,024
380,089,697
---------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION - 7.27%
110,000,000 FNMA+/- 5.29 09/07/2006 109,999,885
125,000,000 FNMA 2.81 09/28/2006 124,783,952
46,937,000 FNMA 3.05 10/13/2006 46,841,651
59,142,000 FNMA 4.00 10/16/2006 59,076,944
47,440,000 FNMA 4.06 10/27/2006 47,355,513
118,569,000 FNMA 2.63 11/15/2006 117,994,450
23,700,000 FNMA 3.00 11/22/2006 23,603,695
75,000,000 FNMA 3.00 12/15/2006 74,510,273
39,000,000 FNMA 3.38 12/15/2006 38,834,888
19,000,000 FNMA+/- 5.31 12/22/2006 18,997,716
127,720,000 FNMA 3.55 01/12/2007 126,865,952
150,000,000 FNMA+/- 5.28 06/21/2007 149,947,405
135,000,000 FNMA+/-SS. 5.33 12/28/2007 134,896,564
1,073,708,888
---------------
TOTAL AGENCY NOTES - INTEREST BEARING (COST $3,093,201,566) 3,093,201,566
---------------
REPURCHASE AGREEMENTS - 70.57%
3,400,000,000 BANK OF AMERICA SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $3,400,498,667) 5.28 09/01/2006 3,400,000,000
2,702,199,000 BARCLAYS CAPITAL INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $2,702,595,323) 5.28 09/01/2006 2,702,199,000
500,000,000 CITIGROUP GLOBAL MARKETS - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $500,073,333) 5.28 09/01/2006 500,000,000
800,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $800,117,556) 5.29 09/01/2006 800,000,000
1,250,000,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $1,251,095,833) 5.26 09/06/2006 1,250,000,000
850,000,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $850,124,667) 5.28 09/01/2006 850,000,000
500,000,000 HSBC USA INCORPORATED - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $500,073,472) 5.29 09/01/2006 500,000,000
425,000,000 UBS SECURITIES LLC - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $425,062,097) 5.26 09/01/2006 425,000,000
TOTAL REPURCHASE AGREEMENTS (COST $10,427,199,000) 10,427,199,000
---------------
30
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
VALUE
TOTAL INVESTMENTS IN SECURITIES
(COST $14,792,961,236)* 100.12% $14,792,961,236
OTHER ASSETS AND LIABILITIES, NET (0.12) (17,656,940)
------ ---------------
TOTAL NET ASSETS 100.00% $14,775,304,296
====== ===============
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
+/- VARIABLE RATE INVESTMENTS.
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
31
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
HERITAGE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
ASSET BACKED SECURITIES - 0.16%
$ 935,397 CAPITAL ONE AUTO FINANCE TRUST 5.12% 05/15/2007 $ 935,397
TOTAL ASSET BACKED SECURITIES (COST $935,397) 935,397
------------
CERTIFICATES OF DEPOSIT - 4.92%
7,000,000 BARCLAYS BANK PLC 4.14 09/20/2006 7,000,000
4,500,000 BNP PARIBAS LONDON 4.92 11/07/2006 4,500,000
3,000,000 CREDIT SUISSE FIRST BOSTON NEW YORK SERIES YCD 4.18 09/22/2006 3,000,000
15,000,000 ROYAL BANK OF SCOTLAND NEW YORK SERIES YCD 4.41 10/04/2006 15,000,000
TOTAL CERTIFICATES OF DEPOSIT (COST $29,500,000) 29,500,000
------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 0.33%
2,000,000 PARAGON MORTGAGES PLC+/-++SS. 5.31 11/15/2038 2,000,000
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (COST $2,000,000) 2,000,000
------------
COMMERCIAL PAPER - 37.54%
13,000,000 AMSTERDAM FUNDING CORPORATION++^ 5.18 09/05/2006 12,992,518
10,000,000 AMSTERDAM FUNDING CORPORATION++^ 5.40 09/27/2006 9,961,000
15,000,000 APRECO LLC++^ 5.27 10/25/2006 14,881,425
15,000,000 AQUIFER FUNDING LLC++^ 5.34 09/07/2006 14,986,650
5,000,000 ATLAS CAPITAL FUNDING CORPORATION++^ 5.29 10/10/2006 4,971,346
10,000,000 ATOMIUM FUNDING LLC++^ 5.28 10/25/2006 9,920,800
10,000,000 BASF AG++^ 5.27 10/23/2006 9,923,878
5,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.31 01/23/2007 5,000,000
10,000,000 BRYANT PARK FUNDING LLC++^ 5.28 10/19/2006 9,929,667
3,000,000 BUCKINGHAM CDO III LLC++^ 5.31 11/27/2006 2,961,539
10,000,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.31 10/17/2006 9,932,150
15,000,000 CRC FUNDING LLC++^ 5.27 09/26/2006 14,945,104
18,000,000 DEER VALLEY FUNDING LLC++^ 5.28 10/24/2006 17,860,080
5,000,000 GALAXY FUNDING INCORPORATED++^ 5.38 11/01/2006 4,954,419
5,000,000 GEMINI SECURITIZATION LLC++^ 5.28 11/20/2006 4,941,333
3,000,000 KESTREL FUNDING US LLC++^ 5.38 09/25/2006 2,989,240
10,000,000 MANE FUNDING CORPORATION++^ 5.27 11/15/2006 9,890,208
19,132,000 MONT BLANC CAPITAL CORPORATION++^ 5.18 09/07/2006 19,115,483
5,000,000 NEWPORT FUNDING CORPORATION++^ 5.28 11/21/2006 4,940,600
15,000,000 THUNDER BAY FUNDING LLC++^ 5.27 09/20/2006 14,958,279
15,000,000 TIERRA ALTA FUNDING++^ 5.28 09/19/2006 14,960,400
10,000,000 VERSAILLES CDS LLC++^ 5.27 09/28/2006 9,960,475
TOTAL COMMERCIAL PAPER (COST $224,976,594) 224,976,594
------------
CORPORATE BONDS & NOTES - 2.33%
4,365,000 CEI CAPITAL LLC+/-SS. 5.33 03/01/2033 4,365,000
4,620,000 CONVENIENCE HOLDING COMPANY SERIES 2002-A+/-SS. 5.33 09/01/2042 4,620,000
5,000,000 LP PINEWOOD SPV+/-SS. 5.33 02/01/2018 5,000,000
TOTAL CORPORATE BONDS & NOTES (COST $13,985,000) 13,985,000
------------
EXTENDABLE BONDS - 10.43%
5,000,000 3M COMPANY++ 5.65 12/12/2006 5,011,610
8,000,000 BANK OF IRELAND+/-++ 5.30 09/20/2007 8,000,000
3,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.32 09/14/2007 3,000,000
32
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
HERITAGE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
EXTENDABLE BONDS (CONTINUED)
$ 7,500,000 DNB NORSKE BANK ASA+/-++ 5.31% 09/25/2007 $ 7,500,000
5,000,000 FLORIDA HURRICANE CATASTROPHE+/- 5.34 09/14/2007 5,000,000
8,000,000 GENERAL ELECTRIC CAPITAL CORPORATION+/- 5.49 07/09/2007 8,010,172
5,000,000 INTESA BANK IRELAND PLC+/-++ 5.32 09/25/2007 5,000,000
4,000,000 IRISH LIFE & PERMANENT+/-++ 5.33 09/21/2007 4,000,000
5,000,000 MERRILL LYNCH & COMPANY INCORPORATED+/- 5.31 09/24/2007 5,000,000
5,000,000 MORGAN STANLEY+/- 5.38 08/31/2007 5,000,000
2,000,000 NORDEA BANK AB+/-++ 5.35 08/09/2007 2,000,000
5,000,000 NORDEA BANK AB+/-++ 5.34 09/11/2007 5,000,000
TOTAL EXTENDABLE BONDS (COST $62,521,782) 62,521,782
------------
MEDIUM TERM NOTES - 11.40%
15,000,000 AMERICAN HONDA FINANCE+/-++ 5.44 02/06/2007 15,000,000
3,000,000 ASIF GLOBAL FINANCING+/-++ 5.51 05/03/2007 3,001,241
6,600,000 BANK OF AMERICA SECURITIES+/-SS. 5.38 09/09/2099 6,600,000
4,900,000 BEAR STEARNS COMPANIES INCORPORATED+/-SS. 5.43 09/09/2099 4,900,000
2,000,000 CHEYNE FINANCE LLC+/-++ 5.36 05/21/2007 1,999,753
2,000,000 CHEYNE FINANCE LLC+/-++ 5.36 05/24/2007 1,999,714
3,000,000 CULLINAN FINANCE CORPORATION+/-++ 5.35 05/21/2007 2,999,786
10,000,000 HARRIER FINANCE FUNDING LLC+/-++ 5.36 05/15/2007 9,998,915
3,000,000 JACKSON NATIONAL LIFE FUNDING (INSURANCE CARRIERS)+/-++ 5.57 04/20/2007 3,001,676
2,000,000 LEHMAN BROTHERS HOLDINGS+/- 5.39 07/19/2007 2,001,651
2,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.36 05/30/2007 1,999,845
2,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.30 06/18/2007 1,999,832
4,000,000 TANGO FINANCE CORPORATION+/-++ 5.36 05/24/2007 3,999,710
8,765,000 USAA CAPITAL CORPORATION++ 5.59 12/20/2006 8,785,084
TOTAL MEDIUM TERM NOTES (COST $68,287,207) 68,287,207
------------
MUNICIPAL BONDS & NOTES - 2.35%
5,000,000 COLORADO HOUSING & FINANCE AUTHORITY SFMR SERIES B 5.38 11/01/2033
(HOUSING REVENUE)+/-SS. 5,000,000
3,940,000 COLORADO HOUSING & FINANCE AUTHORITY SFMR SERIES C 5.38 11/01/2036
(HOUSING REVENUE)+/-SS. 3,940,000
1,900,000 NEW JERSEY ECONOMIC DEVELOPMENT AUTHORITY MSNBC/CNBC 5.37 10/01/2021
SERIES A (IDR)+/-SS. 1,900,000
1,250,000 WAKE FOREST UNIVERSITY NC (OTHER REVENUE)+/-SS. 5.38 09/01/2013 1,250,000
2,000,000 WAUKESHA HEALTH SYSTEM INCORPORATED (HEALTHCARE
FACILITIES REVENUE)+/-SS. 5.32 08/15/2026 2,000,000
TOTAL MUNICIPAL BONDS & NOTES (COST $14,090,000) 14,090,000
------------
PROMISSORY NOTES - 2.37%
14,200,000 CITIGROUP GLOBAL+/-SS. 5.38 09/09/2099 14,200,000
TOTAL PROMISSORY NOTES (COST $14,200,000) 14,200,000
------------
REPURCHASE AGREEMENTS - 13.27%
6,000,000 BANK OF AMERICA SECURITIES - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $6,000,880) 5.28 09/01/2006 6,000,000
27,498,000 BARCLAYS CAPITAL INCORPORATED - 102% COLLATERALIZED
BY US GOVERNMENT SECURITIES
(MATURITY VALUE $27,502,033) 5.28 09/01/2006 27,498,000
14,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $14,002,065) 5.31 09/01/2006 14,000,000
33
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
HERITAGE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
REPURCHASE AGREEMENTS (CONTINUED)
$ 17,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $17,002,498) 5.29% 09/01/2006 $ 17,000,000
15,000,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $15,002,208) 5.30 09/01/2006 15,000,000
TOTAL REPURCHASE AGREEMENTS (COST $79,498,000) 79,498,000
------------
TIME DEPOSITS - 14.69%
14,000,000 DEUTSCHE BANK CAYMAN 5.26 09/07/2006 14,000,000
6,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/05/2006 6,000,000
10,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/06/2006 10,000,000
14,000,000 KBC BANK NV BRUSSELS 5.30 09/01/2006 14,000,000
15,000,000 NATEXIS BANQUES POPULAIR 5.26 09/05/2006 15,000,000
15,000,000 RABOBANK LONDON 5.26 09/01/2006 15,000,000
6,000,000 SOCIETE GENERALE CANADA 5.27 09/07/2006 6,000,000
8,000,000 SOCIETE GENERALE CAYMAN 5.27 09/05/2006 8,000,000
TOTAL TIME DEPOSITS (COST $88,000,000) 88,000,000
------------
TOTAL INVESTMENTS IN SECURITIES
(COST $597,993,980)* 99.79% $597,993,980
OTHER ASSETS AND LIABILITIES, NET 0.21 1,237,323
------ ------------
TOTAL NET ASSETS 100.00% $599,231,303
====== ============
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
34
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MUNICIPAL BONDS & NOTES - 89.04%
ALABAMA - 3.97%
$ 7,980,000 BALDWIN COUNTY AL BOARD OF EDUCATION (SALES TAX REVENUE,
AMBAC INSURED)SS.+/- 3.45% 06/01/2025 $ 7,980,000
51,650,000 COLUMBIA AL IDA SERIES A (IDR)SS.+/- 3.57 06/01/2022 51,650,000
14,315,000 COLUMBIA AL IDA SERIES B (PCR)SS.+/- 3.57 05/01/2022 14,315,000
8,700,000 EUTAW AL IDA PCR ALABAMA POWER COMPANY PROJECT (IDR)SS.+/- 3.57 06/01/2028 8,700,000
5,050,000 HOMEWOOD AL EDUCATIONAL BUILDING AUTHORITY SAMFORD UNIVERSITY
(COLLEGE & UNIVERSITY REVENUE, AMBAC INSURED)SS.+/- 3.55 12/01/2021 5,050,000
21,105,000 JEFFERSON COUNTY AL SEWER REVENUE SERIES A (SEWER REVENUE LOC)
SS.+/- 3.42 02/01/2042 21,105,000
17,535,000 MOBILE AL INFIRMARY HEALTH SYSTEM SPECIAL CARE FACILITIES SERIES A
(HFFA REVENUE, BANK OF NOVA SCOTIA)SS.+/- 3.41 02/01/2040 17,535,000
8,900,000 MOBILE AL SPRING HILL COLLEGE EDUCATIONAL BUILDING AUTHORITY SPRING
HILL COLLEGE PROJECT SERIES B (COLLEGE & UNIVERSITY REVENUE,
REGIONS BANK LOC)SS.+/- 3.44 09/01/2024 8,900,000
5,595,000 MONTGOMERY AL BMC SPECIAL CARE FACILITIES AUTHORITY SERIES 435
(NURSING HOME REVENUE, MBIA INSURED)SS.+/- 3.45 11/15/2029 5,595,000
5,800,000 PRICHARD UNIVERSITY MOBILE AL EDUCATIONAL BUILDING AUTHORITY
UNIVERSITY MOBILE PROJECT (LEASE REVENUE, REGIONS BANK LOC)SS.+/- 3.43 03/01/2025 5,800,000
146,630,000
---------------
ALASKA - 0.47%
7,495,000 ALASKA STATE HOUSING FINANCE CORPORATION FLOATER PA 1057 (HOUSING
REVENUE, MBIA INSURED)SS.+/- 3.45 06/01/2026 7,495,000
10,000,000 NORTH SLOPE BORO AK SERIES A (PROPERTY TAX REVENUE, MBIA INSURED)
SS.+/- 3.44 06/30/2010 10,000,000
17,495,000
---------------
ARIZONA - 4.42%
39,130,000 ARIZONA BANNER HEALTH SERIES B (HEALTHCARE FACILITIES REVENUE,
FGIC INSURED)SS.+/- 3.40 01/01/2035 39,130,000
25,385,000 ARIZONA TOURISM & SPORTS AUTHORITY MULTI-PURPOSE STADIUM FACULTY
SERIES A (SPORTS FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.40 07/01/2036 25,385,000
10,625,000 MARICOPA COUNTY AZ IDA SERIES A (HOUSING REVENUE, FNMA INSURED)
SS.+/- 3.42 04/15/2030 10,625,000
5,615,000 PIMA COUNTY AZ IDA (IDR, SOCIETE GENERALE LOC)SS.+/- 3.45 06/01/2007 5,615,000
42,745,000 SALT RIVER AZ PIMA MARICOPA INDIAN COMMUNITY (OTHER REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.41 10/01/2025 42,745,000
35,000,000 SCOTTSDALE AZ HEALTHCARE SERIES B (IDR, FGIC INSURED)SS.+/- 3.40 09/01/2026 35,000,000
4,575,000 SCOTTSDALE AZ IDA HOSPITAL HEALTHCARE SERIES C (HFFA REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.40 09/01/2035 4,575,000
163,075,000
---------------
CALIFORNIA - 5.35%
5,775,000 AFFORDABLE HOUSING AGENCY CALIFORNIA MFHR WESTRIDGE HILLTOP
SERIES A (HOUSING REVENUE LOC)SS.+/- 3.35 09/15/2033 5,775,000
2,465,000 APPLE VALLEY CA UNIVERSITY SCHOOL DISTRICT SERIES 524 (PROPERTY TAX
REVENUE LOC)SS.+/- 3.44 08/01/2012 2,465,000
575,000 CALIFORNIA HFFA REVENUE ADVENTIST HEALTH SYSTEMS SERIES A (HFFA
REVENUE, WACHOVIA BANK NA LOC)SS.+/- 3.55 09/01/2025 575,000
15,680,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES B3 (POWER REVENUE
LOC)SS.+/- 3.50 05/01/2022 15,680,000
1,265,000 CALIFORNIA STATE DWR POWER SUPPLY SERIES C1 (POWER REVENUE, DEXIA
CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.30 05/01/2022 1,265,000
18,965,000 CALIFORNIA STATE ECONOMIC RECOVERY (SALES TAX REVENUE, MBIA
INSURED)SS.+/- 3.44 07/01/2014 18,965,000
1,040,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C-10 (SALES TAX REVENUE
LOC)SS.+/- 3.32 07/01/2023 1,040,000
35
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 15,155,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C9 (SALES TAX REVENUE,
BANK OF NOVA SCOTIA)SS.+/- 3.50% 07/01/2023 $ 15,155,000
100,000 CALIFORNIA STATE PUBLIC WORKS BOARD CERTIFICATES SERIES D (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.41 12/01/2019 100,000
3,000,000 CALIFORNIA STATE SERIES 1435 (COLLEGE & UNIVERSITY REVENUE, MBIA
INSURED)SS.+/- 3.44 11/01/2013 3,000,000
24,085,000 GOLDEN STATE CA TOBACCO SECURITIZATION CORPORATION (OTHER REVENUE,
FGIC INSURED)SS.+/- 3.44 06/01/2038 24,085,000
930,000 GOLDEN WEST CA SCHOOLS CA FINANCING AUTHORITY (PROPERTY TAX
REVENUE, FGIC INSURED)SS.+/- 3.44 09/01/2024 930,000
10,845,000 LOS ANGELES CA COMMUNITY RDA (LEASE REVENUE, AMBAC INSURED)SS.+/- 3.44 09/01/2030 10,845,000
16,145,000 LOS ANGELES CA CONVENTION & EXHIBIT CENTER AUTHORITY SERIES E
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.37 08/15/2021 16,145,000
9,250,000 LOS ANGELES CA DEPARTMENT WATER & POWER CLASS A (WATER REVENUE,
AMBAC INSURED)SS.+/- 3.45 07/01/2035 9,250,000
2,765,000 LOS ANGELES CA SERIES 184 (WATER REVENUE, FIRST SECURITY BANK
LOC)SS.+/- 3.44 01/01/2009 2,765,000
5,730,000 PLEASANT VALLEY CA SCHOOL DISTRICT (PROPERTY TAX REVENUE LOC)SS.+/- 3.43 08/01/2020 5,730,000
7,050,000 SACRAMENTO COUNTY CA SANITATION DISTRICT FINANCING AUTHORITY
CLASS A (SEWER REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2035 7,050,000
11,350,000 SAN BERNARDINO CA CITY USD (PROPERTY TAX REVENUE, FIRST SECURITY
BANK LOC)SS.+/- 3.44 08/01/2026 11,350,000
5,840,000 SAN DIEGO CA (WATER REVENUE, FGIC INSURED)SS.+/- 3.44 08/01/2024 5,840,000
16,405,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS B (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 16,405,000
11,730,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS C (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 11,730,000
1,480,000 SANTA CRUZ CA CITY HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE,
MBIA INSURED)SS.+/- 3.44 08/01/2025 1,480,000
4,400,000 VERNON CA NATURAL GAS FINANCING VERNON GAS PROJECT SERIES B (OTHER
REVENUE, MBIA INSURED)SS.+/- 3.27 08/01/2021 4,400,000
5,370,000 WALNUT CA ENERGY CONTROL AUTHORITY POINTE 2335 (ELECTRIC REVENUE,
AMBAC INSURED)SS.+/- 3.44 01/01/2021 5,370,000
197,395,000
---------------
COLORADO - 1.05%
1,700,000 ARVADA COUNTY CO (WATER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.75 11/01/2020 1,700,000
2,385,000 COLORADO EDUCATIONAL & CULTURAL FACILITIES AUTHORITY SERIES A8
(OTHER REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.60 09/01/2035 2,385,000
7,560,000 CORNERSTONE CO METROPOLITAN DISTRICT #1 (GO - POLITICAL
SUBDIVISION, BANK OF AMERICA NA LOC)SS.+/- 3.44 12/01/2036 7,560,000
15,125,000 FITZSIMONS RDA COLORADO UNIVERSITY PHYSICIANS INCORPORATED
(COLLEGE & UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.47 01/01/2025 15,125,000
5,270,000 JEFFERSON COUNTY CO SCHOOL DISTRICT #R-001 SERIES 665 (PROPERTY TAX
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 12/15/2012 5,270,000
3,240,000 MESA COUNTY CO VALLEY SCHOOL DISTRICT #051 GRAND JUNCTION SERIES
684 (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.45 12/01/2012 3,240,000
3,560,000 SOUTHEAST CO PUBLIC IMPROVEMENT METROPOLITAN DISTRICT (PROPERTY TAX
REVENUE, US BANK NA LOC)SS.+/- 3.46 11/15/2034 3,560,000
38,840,000
---------------
DELAWARE - 0.42%
15,600,000 KENT COUNTY DE STUDENT HOUSING (COLLEGE & UNIVERSITY REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41 07/01/2036 15,600,000
---------------
36
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
FLORIDA - 2.23%
$ 39,510,000 ALACHUA COUNTY FL HEALTH FACILITIES AUTHORITY OAK HAMMOCK
UNIVERSITY OF FLORIDA PROJECT SERIES A (HEALTHCARE FACILITIES
REVENUE, BNP PARIBAS LOC)SS.+/- 3.57% 10/01/2032 $ 39,510,000
3,145,000 BOYNTON BEACH FL COMMUNITY RDA FLORIDA TAX INCREMENT SERIES 657
(TAX INCREMENTAL REVENUE, MBIA INSURED)SS.+/- 3.45 10/01/2012 3,145,000
2,635,000 BREVARD COUNTY FL SCHOOL BOARD COP SERIES 638 (LEASE REVENUE,
FGIC INSURED)SS.+/- 3.45 07/01/2012 2,635,000
9,000,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20010906 CLASS A (FLORIDA STATE
BOARD OF EDUCATION LOTTERY SERIES B) (OTHER REVENUE, FGIC INSURED)
SS.+/- 3.46 07/01/2019 9,000,000
4,400,000 FLORIDA HFA (MFHR, FHLMC INSURED)SS.+/- 3.40 12/01/2013 4,400,000
565,000 FORT LAUDERDALE FL ANN STORCK CENTER INCORPORATED PROJECT
(HEALTHCARE FACILITIES REVENUE, WACHOVIA BANK LOC)SS.+/- 3.56 12/01/2014 565,000
3,540,000 FORT LAUDERDALE FL PINE CREST PREP SCHOOL PROJECT (PRIVATE SCHOOL
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.41 06/01/2032 3,540,000
3,700,000 JACKSONVILLE FL BAPTIST MEDICAL CENTER PROJECT (HEALTHCARE
FACILITIES REVENUE, WACHOVIA BANK LOC)SS.+/- 3.55 08/15/2021 3,700,000
100,000 JACKSONVILLE FL SAMUEL C. TAYLOR FOUNDATION PROJECT (HEALTHCARE
FACILITIES REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.46 12/01/2023 100,000
3,415,000 JACKSONVILLE FL CHARITY OB GROUP C (HOSPITAL REVENUE, MBIA INSURED)
SS.+/- 3.55 08/15/2019 3,415,000
1,460,000 ORANGE COUNTY FL CENTRAL FLORIDA YMCA PROJECT SERIES A (IDR, BANK
OF AMERICA NA LOC)SS.+/- 3.43 05/01/2027 1,460,000
1,200,000 ORANGE COUNTY FL IDA JEWISH FEDERATION OF GREATER ORLANDO PROJECT
(PRIVATE SCHOOL REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.41 01/01/2028 1,200,000
1,865,000 ORANGE COUNTY FL SCHOOL BOARD COP PUTTERS SERIES 560 (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.45 08/01/2012 1,865,000
5,500,000 PALM BEACH COUNTY FL ZOOLOGICAL SOCIETY INCORPORATED PROJECT
(RECREATIONAL FACILITIES REVENUE, NORTHERN TRUST CORPORATION LOC)
SS.+/- 3.43 05/01/2031 5,500,000
2,200,000 SARASOTA COUNTY FL UTILITY SYSTEM (WATER REVENUE, FGIC INSURED)
SS.+/- 3.45 10/01/2010 2,200,000
82,235,000
---------------
GEORGIA - 2.54%
1,190,000 COBB COUNTY GA DEVELOPMENT AUTHORITY UNIVERSITY FACILITIES SERIES
580 (COLLEGE & UNIVERSITY REVENUE, MBIA INSURED)SS.+/- 3.45 07/15/2012 1,190,000
4,270,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20001003 CLASS A (ATLANTA GA
AIRPORT SERIES A) (AIRPORT REVENUE, FGIC INSURED)SS.+/- 3.46 01/01/2030 4,270,000
26,400,000 FULTON COUNTY GA NORTHSIDE SERIES A (HOSPITAL REVENUE, WACHOVIA
BANK LOC)SS.+/- 3.41 10/01/2018 26,400,000
4,595,000 FULTON COUNTY GA NORTHSIDE SERIES B (HOSPITAL REVENUE, WACHOVIA
BANK LOC)SS.+/- 3.55 10/01/2033 4,595,000
2,000,000 FULTON COUNTY GA RESIDENTIAL CARE FACILITIES (HEALTHCARE FACILITIES
REVENUE)SS.+/-I 3.62 01/01/2018 2,000,000
5,235,000 FULTON DE KALB GA ROCS RR II R 2074 (HEALTHCARE FACILITIES REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.45 01/01/2020 5,235,000
13,440,000 GEORGIA LOCAL GOVERNMENT COP SERIES K (GO - POLITICAL SUBDIVISION)
SS.+/- 3.51 12/01/2022 13,440,000
5,500,000 GEORGIA PRIVATE COLLEGES & UNIVERSITY AUTHORITY MERCER UNIVERSITY
PROJECT SERIES A (OTHER REVENUE)SS.+/- 3.47 10/01/2036 5,500,000
2,800,000 GEORGIA STATE SERIES 1034 (OTHER REVENUE, MORGAN STANLEY DEAN
WITTER LOC)SS.+/- 3.45 05/01/2020 2,800,000
19,200,000 GWINNETT COUNTY GA SCHOOL DISTRICT (PROPERTY TAX REVENUE) 4.50 12/29/2006 19,256,000
9,285,000 ROSELL GA HOUSING AUTHORITY (HOUSING REVENUE, FHLMC INSURED)SS.+/- 3.41 01/01/2034 9,285,000
93,971,000
---------------
37
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
HAWAII - 0.39%
$ 8,000,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20011101 CLASS A (HAWAII STATE
HIGHWAY) (TOLL ROAD REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.46% 07/01/2016 $ 8,000,000
6,485,000 HAWAII STATE ROCS RR II R 6058 (GO - STATES, TERRITORIES, MBIA
INSURED)SS.+/- 3.45 10/01/2021 6,485,000
14,485,000
---------------
ILLINOIS - 10.73%
5,000,000 CHICAGO IL BOARD OF EDUCATION CTFS SERIES A (PROPERTY TAX REVENUE)
SS.+/- 3.51 06/01/2021 5,000,000
10,925,000 CHICAGO IL O'HARE INTERNATIONAL AIRPORT (AIRPORT REVENUE, MBIA
INSURED)SS.+/- 3.45 01/01/2026 10,925,000
5,375,000 CHICAGO IL PARK DISTRICT ROCS RR II R 4018 (STATE & LOCAL
GOVERNMENTS, AMBAC INSURED)SS.+/- 3.45 01/01/2024 5,375,000
35,725,000 CHICAGO IL SERIES B1 (PROPERTY TAX REVENUE, FIRST SECURITY BANK
LOC)SS.+/- 3.43 01/01/2034 35,725,000
20,600,000 CHICAGO IL SERIES D (OTHER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.41 01/01/2040 20,600,000
5,700,000 CHICAGO IL SERIES SG 131 (SALES TAX REVENUE, FGIC INSURED)SS.+/- 3.44 01/01/2027 5,700,000
3,747,000 COOK COUNTY IL GO CERTIFICATES SERIES 458 (PROPERTY TAX REVENUE,
FGIC INSURED)SS.+/- 3.45 11/15/2028 3,747,000
5,124,685 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20021301 CLASS A (ILLINOIS
STATE) (GO - STATES, TERRITORIES, FGIC INSURED)SS.+/- 3.46 02/01/2019 5,124,685
18,025,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20021303 CLASS A (COOK
COUNTY IL SERIES C) (PROPERTY TAX REVENUE, AMBAC INSURED)SS.+/- 3.46 11/15/2025 18,025,000
3,999,755 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20021304 CLASS A (GO - STATES,
TERRITORIES, FGIC INSURED)SS.+/- 3.46 02/01/2027 3,999,755
36,300,000 HOFFMAN ESTATES IL HOFFMAN ESTATES ECONOMIC (TAX REVENUE, NORTHERN
TRUST CORPORATION LOC)SS.+/- 3.43 01/01/2010 36,300,000
3,800,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY BRADLEY UNIVERSITY PROJECT
(COLLEGE & UNIVERSITY REVENUE, FGIC INSURED)SS.+/- 3.40 08/01/2032 3,800,000
29,750,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY MUSEUM OF CONTEMPORARY ARTS
PROJECT (RECREATIONAL FACILITIES REVENUE, BANK ONE CHICAGO NA LOC)
SS.+/- 3.48 02/01/2029 29,750,000
26,180,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY PRESBYTERIAN HOME LAKE
SERIES A (HOUSING REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.43 09/01/2031 26,180,000
11,700,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY SACRED HEART SCHOOLS PROJECT
(EDUCATIONAL FACILITIES REVENUE, FIFTH THIRD BANK LOC)SS.+/- 3.44 07/01/2033 11,700,000
11,300,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY THE UNO-VEN COMPANY PROJECT
(IDR, BANK ONE CHICAGO NA LOC)SS.+/- 3.53 09/01/2008 11,300,000
5,500,000 ILLINOIS FINANCE AUTHORITY (PRIVATE SCHOOL REVENUE, NORTHERN TRUST
CORPORATION LOC)SS.+/- 3.44 07/01/2035 5,500,000
14,200,000 ILLINOIS FINANCE AUTHORITY (RECREATIONAL FACILITIES REVENUE, BANK
OF AMERICA NA LOC)SS.+/- 3.44 03/01/2040 14,200,000
10,000,000 ILLINOIS FINANCE AUTHORITY PRESBYTERIAN HOMES (HEALTH FACILITIES
FINANCING AUTHORITY REVENUE, NORTHERN TRUST CORPORATION LOC)SS.+/- 3.44 09/01/2024 10,000,000
12,200,000 ILLINOIS FINANCE AUTHORITY RUSH UNIVERSITY MEDICAL CENTER SERIES A1
(HFFA REVENUE, MBIA INSURED)SS.+/- 3.40 11/01/2035 12,200,000
33,370,000 ILLINOIS FINANCE AUTHORITY SPERTUS INSTITUTE (GO - STATES,
TERRITORIES, NORTHERN TRUST CORPORATION LOC)SS.+/- 3.43 09/01/2035 33,370,000
15,315,000 ILLINOIS HEALTH FACILITIES AUTHORITY (HOSPITAL REVENUE, MBIA
INSURED)SS.+/- 3.44 05/15/2024 15,315,000
14,100,000 ILLINOIS RIVERSIDE HEALTH SYSTEMS (HEALTHCARE FACILITIES REVENUE,
LASALLE NATIONAL BANK NA LOC)SS.+/- 3.45 11/01/2019 14,100,000
8,200,000 ILLINOIS ST. LUKES MEDICAL CENTER OBLIGATION SERIES B (HEALTHCARE
FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.42 11/15/2023 8,200,000
4,500,000 ILLINOIS STATE MUNICIPAL TRUST RECEIPTS SERIES SG9 (SALES TAX
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.44 06/15/2019 4,500,000
185,000 ILLINOIS STATE NEWBERRY LIBRARY (OTHER REVENUE, NORTHERN TRUST
CORPORATION LOC)SS.+/- 3.53 03/01/2028 185,000
38
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
ILLINOIS (CONTINUED)
$ 200,000 ILLINOIS STATE SERIES 660 (PROPERTY TAX REVENUE, AMBAC INSURED)
SS.+/- 3.45% 11/01/2012 $ 200,000
2,290,000 ILLINOIS STATE SERIES 679 (PROPERTY TAX REVENUE, AMBAC INSURED)
SS.+/- 3.45 11/01/2012 2,290,000
7,530,000 ILLINOIS STATE SERIES G (GO - STATES, TERRITORIES)SS.+/- 3.49 05/01/2012 7,530,000
21,500,000 ILLINOIS STATE TOLL HIGHWAY AUTHORITY SERIES 1355 (STATE & LOCAL
GOVERNMENTS, FIRST SECURITY BANK LOC)SS.+/- 3.45 01/01/2014 21,500,000
4,500,000 ILLINOIS STATE XAVIER UNIVERSITY PROJECT SERIES A (COLLEGE &
UNIVERSITY REVENUE, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.45 10/01/2032 4,500,000
6,800,000 LOMBARD IL IDA 2500 HIGHLAND AVENUE PROJECT (IDR, MID-AMERICA
FEDERAL SAVINGS & LOAN LOC) 3.86 12/01/2006 6,800,000
2,660,000 WARREN COUNTY IL INDUSTRIAL PROJECT MONMOUTH COLLEGE PROJECT
(COLLEGE & UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.44 12/01/2032 2,660,000
396,301,440
---------------
INDIANA - 3.46%
5,420,000 HAMMOND IN SCHOOL BUILDING CORPORATION SERIES 658 (LEASE REVENUE,
MBIA INSURED)SS.+/- 3.45 07/15/2012 5,420,000
5,530,000 INDIANA HEALTH & EDUCATIONAL FACILITIES FINANCING AUTHORITY SCHNECK
MEMORIAL HOSPITAL SERIES B (HOSPITAL REVENUE, FIFTH THIRD BANK LOC)
SS.+/- 3.57 02/15/2036 5,530,000
6,915,000 INDIANA HFFA DEACONESS HOSPITAL INCORPORATION (HEALTHCARE
FACILITIES REVENUE, FIFTH THIRD BANK LOC)SS.+/- 3.41 01/01/2022 6,915,000
7,600,000 INDIANA SERIES 107 (HEALTH FACILITIES FINANCING AUTHORITY REVENUE,
MBIA INSURED)SS.+/- 3.44 11/01/2019 7,600,000
7,000,000 INDIANA STATE EDUCATIONAL FACILITIES AUTHORITY REVENUE EDUCATIONAL
FACILITIES UNIVERSITY INDIANAPOLIS (COLLEGE & UNIVERSITY REVENUE,
FIFTH THIRD BANK LOC)SS.+/- 3.62 10/01/2030 7,000,000
1,985,000 INDIANA TRANSIT FINANCE AUTHORITY HIGHWAY SERIES B21 (TOLL ROAD
REVENUE, FGIC INSURED)SS.+/- 3.45 12/01/2022 1,985,000
2,050,000 INDIANA UNIVERSITY (COLLEGE & UNIVERSITY REVENUE, AMBAC INSURED)
SS.+/- 3.45 08/01/2023 2,050,000
7,000,000 MARSHALL COUNTY IN ECONOMIC DEVELOPMENT (PRIVATE SCHOOL REVENUE,
BANK ONE CHICAGO NA LOC)SS.+/- 3.48 01/01/2035 7,000,000
1,600,000 RICHMOND IN REID HOSPITAL & HEALTH CARE SERVICES INCORPORATED
HOSPITAL AUTHORITY HOSPITAL SERIES A (HOSPITAL REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.40 01/01/2040 1,600,000
82,675,000 ST. JOSEPH COUNTY IN EDUCATIONAL FACILITY (EDUCATIONAL FACILITIES 3.35 03/01/2040 82,675,000
REVENUE)SS.+/-
127,775,000
---------------
IOWA - 1.81%
2,960,000 IOWA FINANCE AUTHORITY CEDARWOOD HILLS PROJECT SERIES A
(MFHR, FHLMC INSURED)SS.+/- 3.47 05/01/2031 2,960,000
12,535,000 IOWA FINANCE AUTHORITY SERIES A2 (HEALTHCARE FACILITIES REVENUE,
FGIC INSURED)SS.+/- 3.40 02/15/2035 12,535,000
19,035,000 IOWA HIGHER EDUCATION LOAN AUTHORITY LORAS COLLEGE PROJECT
(COLLEGE & UNIVERSITY REVENUE, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.57 11/01/2030 19,035,000
29,185,000 IOWA HIGHER EDUCATION LOAN AUTHORITY PRIVATE COLLEGES AMBROSE
(COLLEGE & UNIVERSITY REVENUE LOC)SS.+/- 3.57 04/01/2033 29,185,000
3,150,000 IOWA HIGHER EDUCATION PRIVATE COLLEGE FACILITIES (COLLEGE &
UNIVERSITY REVENUE, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.57 11/01/2032 3,150,000
66,865,000
---------------
KANSAS - 0.39%
14,430,000 KANSAS STATE DEVELOPMENT FINANCE AUTHORITY REVENUE VLG SHALOM
OBLIGATION GROUP SERIES BB (HEALTHCARE FACILITIES REVENUE LOC)
SS.+/- 3.57 11/15/2028 14,430,000
---------------
39
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
KENTUCKY - 0.75%
$ 700,000 BRECKINRIDGE COUNTY KY LEASE PROGRAM REVENUE ASSOCIATIONSS.+/- 3.60% 02/01/2032 $ 700,000
27,000,000 KENTUCKY INCORPORATED PUBLIC ENERGY AUTHORITY SERIES A (OTHER
REVENUE, SOCIETE GENERALE LOC)SS.+/- 3.60 08/01/2016 27,000,000
27,700,000
---------------
LOUISIANA - 2.81%
7,700,000 EAST BATON ROUGE PARISH LA (SALES TAX REVENUE, AMBAC INSURED)SS.+/- 3.45 02/01/2024 7,700,000
8,500,000 LAKE CHARLES LA HARBOR & TERMINAL DISTRICT PORT FACILITIES PUTTABLE
(IDR, BANQUE NATIONALE PARIS LOC)SS.+/- 3.48 08/01/2007 8,500,000
7,845,000 LOUISIANA HFA WOODWARD (HOUSING REVENUE, FHLB INSURED)SS.+/- 3.51 09/01/2033 7,845,000
73,215,000 LOUISIANA PUBLIC FACILITY AUTHORITY CHRISTUS HEALTH SUBSERIES C2
(HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.40 07/01/2041 73,215,000
6,330,000 LOUISIANA STATE UNIVERSITY AGRICULTURE & MECHANICAL COLLEGE SERIES
7038 (EDUCATIONAL FACILITIES REVENUE, FGIC INSURED)SS.+/- 3.45 07/01/2024 6,330,000
103,590,000
---------------
MAINE - 0.11%
4,200,000 MAINE STATE TURNPIKE AUTHORITY TURNPIKE SERIES 547 (TOLL ROAD
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 07/01/2012 4,200,000
---------------
MARYLAND - 1.15%
29,800,000 MARYLAND STATE HEALTH & HIGHER EDUCATIONAL FACILITIES VILLA JULE
COLLEGE (COLLEGE & UNIVERSITY REVENUE, BANK OF AMERICA NA
LOC)SS.+/- 3.41 07/01/2030 29,800,000
6,025,000 MARYLAND STATE SERIES B (HEALTHCARE FACILITIES REVENUE, GO OF
INSTITUTION)SS.+/- 3.39 04/01/2035 6,025,000
2,905,000 MONTGOMERY COUNTY MD ECONOMIC DEVELOPMENT (HOSPITAL REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41 03/01/2032 2,905,000
3,845,000 WESTMINSTER MD (COLLEGE & UNIVERSITY REVENUE, WACHOVIA BANK
LOC)SS.+/- 3.41 04/01/2030 3,845,000
42,575,000
---------------
MASSACHUSETTS - 0.77%
5,615,000 MASSACHUSETTS SCHOOL BUILDING AUTHORITY SERIES 613 (SALES TAX
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 08/15/2030 5,615,000
6,510,000 MASSACHUSETTS TURNPIKE AUTHORITY METROPOLITAN HIGHWAY SYSTEM 3.45 01/01/2037 6,510,000
(TRANSPORTATION REVENUE, CITIBANK NA LOC)SS.+/-
16,250,000 ROUTE 3 NORTH TRANSPORTATION IMPORT ASSOCIATION MASSACHUSETTS
SERIES B (LEASE REVENUE, AMBAC INSURED)SS.+/- 3.39 06/15/2033 16,250,000
28,375,000
---------------
MICHIGAN - 3.85%
10,970,000 DETROIT MI (WATER REVENUE, MBIA INSURED)SS.+/- 3.44 01/01/2011 10,970,000
7,200,000 DETROIT MI CITY SCHOOL DISTRICT EAGLE-20026014 CLASS A (PROPERTY
TAX REVENUE, FGIC INSURED)SS.+/- 3.46 05/01/2032 7,200,000
4,620,000 DETROIT MI RESOURCE RECOVERY AUTHORITY SERIES 167Z (OTHER REVENUE,
AMBAC INSURED)SS.+/- 3.45 12/13/2008 4,620,000
900,000 FARMINGTON HILLS MI HOSPITAL FINANCE AUTHORITY BOTSFORD GENERAL
HOSPITAL SERIES B (HEALTHCARE FACILITIES REVENUE, MBIA
INSURED)SS.+/- 3.62 02/15/2016 900,000
6,000,000 MICHIGAN SERIES B2 (STATE & LOCAL GOVERNMENTS, BANK OF NOVA SCOTIA) 4.50 08/20/2007 6,045,880
14,325,000 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY SERIES B (HEALTHCARE
FACILITIES REVENUE)SS.+/- 3.39 11/15/2033 14,325,000
1,055,000 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY TRINITY HEALTH CREDIT
(HOSPITAL REVENUE, CIFG INSURED)SS.+/- 3.60 11/01/2040 1,055,000
62,000,000 MICHIGAN STATE SERIES A (PROPERTY TAX REVENUE) 4.50 09/29/2006 62,057,383
4,000,000 MICHIGAN STATE STRATEGIC FUND LIMITED OBLIGATION GRAND RAPIDS ART
MUSEUM SERIES A (RECREATIONAL FACILITIES REVENUE, LASALLE NATIONAL
BANK NA LOC)SS.+/- 3.43 05/01/2041 4,000,000
40
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MICHIGAN (CONTINUED)
$ 800,000 MICHIGAN STATE STRATEGIC FUND LIMITED OBLIGATION REVENUE DETROIT
SYMPHONY PROJECT SERIES A STANDARD FEDERAL BANK LOC (ECONOMIC
DEVELOPMENT REVENUE LOC)SS.+/- 3.57% 06/01/2031 $ 800,000
8,940,000 MICHIGAN STATE STRATEGIC FUNDING LIMITED OBLIGATION ORCHESTRA
PLACE RENEWAL PROJECT (OTHER REVENUE, STANDARD FEDERAL BANK
LOC)SS.+/- 3.44 09/01/2022 8,940,000
7,360,000 MICHIGAN STATE STRATEGIC FUNDING LIMITED YMCA NILES MICHIGAN
INCORPORATED (IDR, LASALLE NATIONAL BANK NA LOC)SS.+/- 3.43 09/01/2040 7,360,000
7,250,000 MICHIGAN TECHNOLOGICAL UNIVERSITY SERIES A (EDUCATIONAL
FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.45 10/01/2018 7,250,000
6,670,000 OAKLAND COUNTY MI ECONOMIC DEVELOPMENT CORPORATION LIMITED
OBLIGATION PONTIAC VISION SCHOOLS PROJECT (PRIVATE SCHOOL
REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.44 08/01/2020 6,670,000
142,193,263
---------------
MINNESOTA - 8.18%
9,900,000 ANDOVER MN PRESBYTERIAN HOMES INCORPORATED PROJECT (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.42 11/15/2033 9,900,000
3,171,000 ARDEN HILLS MN PRESBYTERIAN HOMES SERIES B (HEALTHCARE FACILITIES
REVENUE, US BANK NA LOC)SS.+/- 3.62 09/01/2029 3,171,000
2,100,000 BROOKLYN CENTER MN BROOKDALE (IDR, FIRSTAR BANK NA LOC)SS.+/- 3.62 12/01/2014 2,100,000
3,495,000 BURNSVILLE MN BERKSHIRE PROJECT SERIES A (MFHR, FNMA
INSURED)SS.+/- 3.42 07/15/2030 3,495,000
7,125,000 BURNSVILLE MN SOUTHWIND APARTMENTS PROJECT (MFHR, FHLMC
INSURED)SS.+/- 3.42 01/01/2035 7,125,000
450,000 CENTER CITY MN HAZELDEN FOUNDATION PROJECT (HEALTHCARE FACILITIES
REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.57 11/01/2035 450,000
19,030,000 COHASSET MN POWER & LIGHT COMPANY PROJECT A (IDR, LASALLE
NATIONAL BANK NA LOC)SS.+/- 3.44 06/01/2020 19,030,000
7,530,000 COHASSET MN POWER & LIGHT COMPANY PROJECT B (IDR, LASALLE
NATIONAL BANK NA LOC)SS.+/- 3.44 06/01/2013 7,530,000
2,000,000 COHASSET MN POWER & LIGHT COMPANY PROJECT D (POWER REVENUE LOC) 3.44 12/01/2007 2,000,000
3,250,000 CRYSTAL MN MFHR CRYSTAL APARTMENTS PROJECT COLLATERALIZED BY FHLB
(MFHR LOC)SS.+/- 3.45 05/01/2027 3,250,000
1,405,000 DAKOTA COUNTY MN HOUSING & RDA PROJECT 484 (MFHR, FHLMC
INSURED)SS.+/- 3.46 12/01/2022 1,405,000
3,260,000 DULUTH MN ECONOMIC DEVELOPMENT AUTHORITY MILLER-DWAN MEDICAL
CENTER PROJECT (HEALTHCARE FACILITIES REVENUE, US BANK NA
LOC)SS.+/- 3.62 06/01/2019 3,260,000
3,155,000 EAGAN MN MFHR FLOATS PT 1221 (MFHR LOC)SS.+/- 3.46 12/01/2029 3,155,000
1,950,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20012301 CLASS A (MINNESOTA
STATE) (PROPERTY TAX REVENUE)SS.+/- 3.46 10/01/2019 1,950,000
11,360,000 EDINA MN EDINA PARK PLAZA (MFHR, FHLMC INSURED)SS.+/- 3.45 12/01/2029 11,360,000
6,175,000 ELK RIVER MN INDEPENDENT SCHOOL DISTRICT #728 SERIES 183
(PROPERTY TAX REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 02/01/2021 6,175,000
10,930,000 INVER GROVE HEIGHTS MN INVER GROVE INCORPORATED PROJECT (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.42 05/15/2035 10,930,000
5,070,000 MANKATO MN HIGHLAND PROJECT (HOUSING REVENUE, LASALLE NATIONAL
BANK NA LOC)SS.+/- 3.62 05/01/2027 5,070,000
10,280,000 MAPLEWOOD MN EDUCATIONAL FACILITIES MOUNDS PARK ACADEMY PROJECT
(PRIVATE SCHOOL REVENUE, US BANK NA LOC)SS.+/- 3.47 10/01/2031 10,280,000
7,530,000 MINNEAPOLIS & ST. PAUL MN METROPOLITAN AIRPORTS COMMISSION
(AIRPORT REVENUE, FGIC INSURED)SS.+/- 3.45 01/01/2023 7,530,000
2,055,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES SERIES
A (HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.40 11/15/2032 2,055,000
41
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MINNESOTA (CONTINUED)
$ 14,000,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES SERIES
B (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.40% 11/15/2026 $ 14,000,000
38,515,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES SERIES
B (HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.38 11/15/2029 38,515,000
8,300,000 MINNEAPOLIS MN MACPHAIL CENTER FOR MUSIC PROJECT (STATE & LOCAL
GOVERNMENTS, US BANK NA LOC)SS.+/- 3.62 08/01/2036 8,300,000
3,380,000 MINNEAPOLIS MN PEOPLE SERVING PEOPLE PROJECT SERIES A (OTHER
REVENUE, US BANK NA LOC)SS.+/- 3.62 10/01/2021 3,380,000
195,000 MINNEAPOLIS MN WOMAN'S CLUB OF MINNEAPOLIS PROJECT (OTHER
REVENUE, BREMER BANK LOC)SS.+/- 3.52 05/01/2023 195,000
565,000 MINNESOTA PUBLIC FACILITIES AUTHORITY WATER MERLOTS 2003-B06 (PCR
LOC)SS.+/- 3.45 03/01/2021 565,000
12,170,000 MINNESOTA SCHOOL DISTRICTS TAX & AID ANTICIPATION BORROWING
PROGRAM CERTIFICATES (LEASE REVENUE, SCHOOL DISTRICT CREDIT
PROGRAM INSURED) 4.00 09/12/2006 12,173,716
1,405,000 MINNESOTA STATE HIGHER EDUCATION FACILITIES AUTHORITY SCHOLASTICA
SERIES 6A (HOUSING REVENUE, MARSHALL & ISLEY BANK LOC)SS.+/- 3.57 12/01/2034 1,405,000
7,095,000 MINNESOTA STATE UNIVERSITY OF ST. THOMAS SERIES 4O (COLLEGE &
UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.40 10/01/2021 7,095,000
5,245,000 MINNESOTA STATE UNIVERSITY OF ST. THOMAS SERIES 5L (COLLEGE &
UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.40 04/01/2027 5,245,000
3,910,000 MINNETONKA MN (HOUSING REVENUE, FNMA INSURED)SS.+/- 3.42 05/15/2034 3,910,000
2,665,000 MINNETONKA MN MINNETONKA HILLS APARTMENTS (MFHR, FNMA
INSURED)SS.+/- 3.42 11/15/2031 2,665,000
5,350,000 PINE CITY MN (STATE AGENCY HOUSING REVENUE, FNMA INSURED)SS.+/- 3.42 05/15/2036 5,350,000
2,865,000 PLYMOUTH MN LANCASTER VILLAGE APARTMENTS PROJECT (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.42 09/15/2031 2,865,000
900,000 ROCHESTER MN SERIES 177 (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.45 11/15/2027 900,000
650,000 ROSEVILLE MN PRESBYTERIAN HOMES CARE PROJECT (HEALTHCARE
FACILITIES REVENUE, US BANK NA LOC)SS.+/- 3.62 10/01/2029 650,000
3,520,000 ROSEVILLE MN PRIVATE SCHOOL FACILITIES REVENUE NORTHWESTERN
COLLEGE PROJECT (EDUCATIONAL FACILITIES REVENUE LOC)SS.+/- 3.62 11/01/2022 3,520,000
3,990,000 SCA TAX-EXEMPT TRUST PT 2523 BURNVILLE (HOUSING REVENUE LOC)SS.+/- 3.46 01/01/2030 3,990,000
2,000,000 ST. ANTHONY MN AUTUMN WOODS HOUSING PROJECT (MFHR, FNMA)SS.+/- 3.42 05/15/2032 2,000,000
2,975,000 ST. LOUIS PARK MN KNOLLWOOD PLACE (MFHR, FNMA INSURED)SS.+/- 3.42 10/01/2035 2,975,000
4,985,000 ST. PAUL MN HOUSING & RDA PUBLIC RADIO PROJECT (OTHER REVENUE,
ALLIED IRISH BANK PLC LOC)SS.+/- 3.62 05/01/2022 4,985,000
5,220,000 ST. PAUL MN HOUSING & RDA PUBLIC RADIO PROJECT (OTHER REVENUE,
ALLIED IRISH BANK PLC LOC)SS.+/- 3.57 10/01/2025 5,220,000
2,475,000 ST. PAUL MN HOUSING & RDA DISTRICT HEATING REVENUE SERIES A
(WATER REVENUE LOC)SS.+/- 3.45 12/01/2012 2,475,000
2,500,000 ST. PAUL MN PORT AUTHORITY (HOUSING REVENUE, FHLMC INSURED)SS.+/- 3.42 02/01/2034 2,500,000
1,500,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES J (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.42 12/01/2025 1,500,000
3,770,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES M (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.62 03/01/2021 3,770,000
1,535,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES O (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.62 03/01/2012 1,535,000
835,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES Q (OTHER
REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.45 03/01/2022 835,000
20,825,000 ST. PAUL MN PORT AUTHORITY SERIES 06-3 (RECREATIONAL FACILITIES
REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.57 04/01/2036 20,825,000
42
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MINNESOTA (CONTINUED)
$ 7,160,000 ST. PAUL MN PORT AUTHORITY TAX INCREMENT WESTGATE OFFICE &
INDUSTRIAL CENTER PROJECT (IDR, US BANK NA LOC)SS.+/- 3.50% 02/01/2015 $ 7,160,000
8,210,000 ST. PAUL MN PUBLIC RADIO PROJECT SERIES 7 (OTHER REVENUE, ALLIED
IRISH BANK PLC LOC)SS.+/- 3.57 05/01/2025 8,210,000
2,250,000 UNIVERSITY OF MINNESOTA SERIES C (COLLEGE & UNIVERSITY REVENUE,
GO OF UNIVERSITY)SS.+/- 3.41 12/01/2036 2,250,000
302,184,716
---------------
MISSOURI - 1.57%
4,300,000 INDEPENDENCE MO IDA THE MANSIONS PROJECT (MFHR, FHLMC
INSURED)SS.+/- 3.42 08/01/2035 4,300,000
23,600,000 KANSAS CITY MO IDA REVENUE EWING MARION KAUFFMAN FOUNDATION
(OTHER REVENUE LOC)SS.+/- 3.57 04/01/2027 23,600,000
995,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY BAPTIST
COLLEGE (COLLEGE & UNIVERSITY REVENUE, US BANK NA LOC)SS.+/- 3.62 11/15/2022 995,000
1,475,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY BETHESDA
HEALTH GROUP INCORPORATED (HEALTHCARE FACILITIES REVENUE, US BANK
NA LOC)SS.+/- 3.62 08/01/2034 1,475,000
12,585,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY DRURY
COLLEGE (COLLEGE & UNIVERSITY REVENUE, BANK OF AMERICA NA
LOC)SS.+/- 3.62 08/15/2024 12,585,000
3,010,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
SOUTHWEST BAPTIST UNIVERSITY PROJECT (HEALTHCARE FACILITIES
REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.62 10/01/2033 3,010,000
145,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITY AUTHORITY ST. LOUIS
UNIVERSITY PROJECT SERIES A (COLLEGE & UNIVERSITY REVENUE, BANK
OF AMERICA NA LOC)SS.+/- 3.60 10/01/2009 145,000
5,000,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY BETHESDA
HEALTH GROUP (HEALTHCARE FACILITIES REVENUE, US BANK NA LOC)SS.+/- 3.62 08/01/2037 5,000,000
6,000,000 ST. CHARLES COUNTY MO PUBLIC WATER SUPPLY DISTRICT #2 COP SERIES
A (WATER REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.41 12/01/2033 6,000,000
1,000,000 ST. LOUIS COUNTY MO IDA WHITFIELD SCHOOL INCORPORATED SERIES B
(COLLEGE & UNIVERSITY REVENUE, US BANK NA LOC)SS.+/- 3.44 06/15/2024 1,000,000
58,110,000
---------------
NEBRASKA - 0.70%
3,510,000 BUFFALO COUNTY NE AGREX INCORPORATED PROJECT (IDR, JPMORGAN CHASE
BANK LOC)SS.+/- 3.65 02/01/2015 3,510,000
1,100,000 LANCASTER COUNTY NE HOSPITAL AUTHORITY #1 BRYAN LEIGH MEDICAL
CENTER PROJECT AMBAC INSURED (HOSPITAL REVENUE LOC)SS.+/- 3.57 06/01/2018 1,100,000
10,360,000 LANCASTER COUNTY NE HOSPITAL AUTHORITY HEALTH FACILITIES REVENUE
IMMANUEL HEALTH SYSTEM SERIES A (HEALTH FACILITIES FINANCING
AUTHORITY REVENUE LOC)SS.+/- 3.60 07/01/2030 10,360,000
5,100,000 NUCKOLLS COUNTY NE AGREX INCORPORATED PROJECT (OTHER REVENUE,
JPMORGAN CHASE BANK LOC)SS.+/- 3.65 02/01/2015 5,100,000
5,725,000 SARPY COUNTY NE HOSPITAL AUTHORITY #1 IMMANUEL HEALTH SYSTEMS
PROJECT SERIES B (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.60 07/01/2030 5,725,000
25,795,000
---------------
NEVADA - 2.41%
39,700,000 CLARK COUNTY NV AIRPORT IMPROVEMENT REVENUE SERIES A (AIRPORT
REVENUE LOC)SS.+/- 3.40 07/01/2012 39,700,000
17,475,000 LAS VEGAS CONVENTION & VISITORS AUTHORITY (SPORTS FACILITIES
REVENUE, AMBAC INSURED)SS.+/- 3.45 07/01/2018 17,475,000
21,000,000 LAS VEGAS NV ECONOMIC DEVELOPMENT (OTHER REVENUE, BANK OF NEW
YORK LOC)SS.+/- 3.41 10/01/2035 21,000,000
6,660,000 RENO-TAHOE NV AIRPORT AUTHORITY (AIRPORT REVENUE, FIRST SECURITY
BANK LOC)SS.+/- 3.45 07/01/2025 6,660,000
4,075,000 WASHOE COUNTY NV SCHOOL DISTRICT (PROPERTY TAX REVENUE, FGIC
INSURED)SS.+/- 3.45 06/01/2020 4,075,000
88,910,000
---------------
43
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
NEW HAMPSHIRE - 0.58%
$ 12,405,000 NEW HAMPSHIRE HEALTH & EDUCATION FACILITIES AUTHORITY COLBY
SAWYER COLLEGE (EDUCATIONAL FACILITIES REVENUE, ALLIED IRISH BANK
PLC LOC)SS.+/- 3.43% 09/01/2036 $ 12,405,000
5,000,000 NEW HAMPSHIRE HEALTH & EDUCATION FACILITIES AUTHORITY FRISBIE
MEMORIAL HOSPITAL (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.45 10/01/2036 5,000,000
4,000,000 NEW HAMPSHIRE HEALTH & EDUCATION FACILITIES HEALTH CARE SERIES A
(OTHER REVENUE, JPMORGAN CHASE BANK LOC)SS.+/- 3.47 01/01/2030 4,000,000
21,405,000
---------------
NEW MEXICO - 1.79%
2,635,000 NEW MEXICO FINANCE AUTHORITY STATE TRANSACTION SERIES 435 (SALES
TAX REVENUE, MBIA INSURED)SS.+/- 3.45 12/15/2011 2,635,000
1,015,000 NEW MEXICO HOUSING AUTHORITY REGION III ARBORS COURTYARD
APARTMENTS SERIES A1 (MFHR, FNMA INSURED)SS.+/- 3.42 01/15/2033 1,015,000
62,145,000 NEW MEXICO STATE TRAN (OTHER REVENUE) 4.50 06/29/2007 62,510,230
66,160,230
---------------
NEW YORK - 4.04%
22,500,000 METROPOLITAN TRANSPORTATION AUTHORITY NEW YORK (TRANSPORTATION
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.44 05/15/2030 22,500,000
5,225,000 NEW YORK NY (PROPERTY TAX REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2022 5,225,000
11,620,000 NEW YORK NY (PROPERTY TAX REVENUE, FGIC INSURED)SS.+/- 3.44 04/01/2025 11,620,000
9,000,000 NEW YORK NY (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.45 08/01/2022 9,000,000
32,530,000 NEW YORK NY SUBSERIES E3 (PROPERTY TAX REVENUE, BANK OF AMERICA
NA LOC)SS.+/- 3.40 08/01/2034 32,530,000
59,650,000 NEW YORK STATE DORMITORY AUTHORITY MENTAL HEALTH FACILITIES
IMPROVEMENT SERIES F2A (HEALTHCARE FACILITIES REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.37 02/15/2021 59,650,000
8,485,000 NEW YORK STATE ENVIRONMENTAL FACILITIES CORPORATION ST. PETERS
INCOME TAX (TAX REVENUE, FGIC INSURED)SS.+/- 3.45 12/15/2024 8,485,000
149,010,000
---------------
NORTH CAROLINA - 1.12%
700,000 ALBERMARLE NC HOSPITAL AUTHORITY (HEALTHCARE FACILITIES REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41 10/01/2015 700,000
1,650,000 CHARLOTTE-MECKLENBERG NC HOSPITAL AUTHORITY CAROLINAS HEALTHCARE
SERIES B (OTHER REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.55 01/15/2026 1,650,000
7,305,000 MECKLENBURG COUNTY NC (OTHER REVENUE, WACHOVIA BANK LOC)SS.+/- 3.41 02/01/2016 7,305,000
7,095,000 NORTH CAROLINA EASTERN MUNICIPAL POWER AGENCY SERIES A2 (ELECTRIC
REVENUE, MBIA INSURED)SS.+/- 3.45 01/01/2022 7,095,000
3,595,000 NORTH CAROLINA MEDICAL CARE COMMUNITY (HEALTHCARE FACILITIES
REVENUE, WACHOVIA BANK LOC)SS.+/- 3.41 10/01/2015 3,595,000
18,450,000 NORTH CAROLINA MEDICAL CARE COMMUNITY DUKE UNIVERSITY HEALTH
SYSTEM SERIES A (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.39 06/01/2028 18,450,000
2,470,000 NORTH CAROLINA MEDICAL CARE COMMUNITY PRESBYTERIAN HOME PROJECT
(HEALTHCARE FACILITIES REVENUE, WACHOVIA BANK LOC)SS.+/- 3.41 08/01/2024 2,470,000
41,265,000
---------------
NORTH DAKOTA - 0.08%
2,795,000 WARD COUNTY ND TRINITY OBLIGATION GROUP SERIES A (HOSPITAL
REVENUE, US BANK NA LOC)SS.+/- 3.62 07/01/2029 2,795,000
---------------
OHIO - 1.09%
11,805,000 HAMILTON COUNTY OH HEALTH CARE FACILITIES REVENUE DEACONESS LONG
TERM CARE SERIES A (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.40 05/15/2030 11,805,000
1,655,000 OHIO STATE SERIES A (LEASE REVENUE, FIFTH THIRD BANK LOC)SS.+/- 3.60 09/01/2027 1,655,000
44
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
OHIO (CONTINUED)
$ 11,000,000 OHIO STATE WATER DEVELOPMENT AUTHORITY FIRST ENERGY GENERAL
CORPORATION SERIES A (IDR, BARCLAYS BANK PLC LOC)SS.+/- 3.57% 05/15/2019 $ 11,000,000
12,955,000 PARMA OH COMMUNITY GENERAL HOSPITAL SERIES A (OTHER REVENUE,
JPMORGAN CHASE BANK LOC)SS.+/- 3.40 11/01/2029 12,955,000
2,810,000 WARREN COUNTY OH CINCINNATI ELECTRICITY CORPORATION PROJECT (IDR,
SCOTIABANK LOC)SS.+/- 3.45 09/01/2015 2,810,000
40,225,000
---------------
OKLAHOMA - 1.18%
7,200,000 MUSKOGEE OK MEDICAL CENTER AUTHORITY (HEALTH FACILITIES FINANCING
AUTHORITY REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.46 10/01/2032 7,200,000
1,000,000 OKLAHOMA DEVELOPMENT FINANCE AUTHORITY CONTINUING CARE COMMUNITY
PROJECT SERIES C (NURSING HOME REVENUE, KBC BANK NV LOC)SS.+/- 3.62 02/01/2012 1,000,000
6,300,000 OKLAHOMA STATE CAPITAL IMPROVEMENT AUTHORITY HIGHER EDUCATION
PROJECTS SERIES D3 (LEASE REVENUE, CIFG INSURED)SS.+/- 3.58 07/01/2033 6,300,000
22,500,000 OKLAHOMA STATE CAPITAL IMPROVEMENT AUTHORITY HIGHER EDUCATION
PROJECTS SERIES D4 (LEASE REVENUE, CIFG INSURED)SS.+/- 3.58 07/01/2034 22,500,000
5,875,000 OKLAHOMA STATE IDA TEAL RIDGE MANOR CORPORATION PROJECT
(HEALTHCARE FACILITIES REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.46 11/01/2018 5,875,000
700,000 TULSA OK IDA TULSA COUNTY HOUSING FUNDING INCORPORATED (HOUSING
REVENUE)SS.+/- 3.65 10/01/2032 700,000
43,575,000
---------------
OREGON - 0.40%
8,000,000 OREGON STATE HOMEOWNER (OTHER REVENUE, MERRILL LYNCH CAPITAL
SERVICES LOC)SS.+/- 3.46 05/01/2010 8,000,000
1,595,000 PORTLAND OR (SEWER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 10/01/2012 1,595,000
4,995,000 TRI COUNTY OR METRO TRANSPORTATION DISTRICT SERIES 142 (TAX
REVENUE, MORGAN STANLEY DEAN WITTER LOC)SS.+/- 3.45 08/01/2019 4,995,000
14,590,000
---------------
OTHER - 1.48%
10,120,000 CLIPPER BRIGANTINE TAX-EXEMPT TRUST CERTIFICATES SERIES 2002
(OTHER REVENUE, STATE STREET BANK & TRUST COMPANY LOC)SS.+/-I++ 3.76 02/01/2030 10,120,000
794,120 ITHAKA PARTNERS II TRUST CERTIFICATES VARIOUS STATES SERIES A
CLASS A (OTHER REVENUE, US BANK NA LOC)SS.+/-++ 4.23 01/01/2010 794,120
3,452,000 NORTHEAST TAX-EXEMPT GRANTOR TRUST CERTIFICATES (OTHER REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.55 04/01/2019 3,452,000
12,890,000 RESET OPTION TRUST CERTIFICATES II-R VARIOUS STATES PUTTABLE
(OTHER REVENUE)SS.+/- 3.51 03/01/2007 12,890,000
24,875,000 SUNAMERICA TRUST CERTIFICATES VARIOUS STATES CLASS A SERIES 2
(OTHER REVENUE, FHLMC INSURED)SS.+/- 3.56 07/01/2041 24,875,000
2,715,000 US BANCORP PROJECT FUNDING TRUST SERIES A (OTHER REVENUE)SS.+/-++ 3.46 01/01/2010 2,715,000
54,846,120
---------------
PENNSYLVANIA - 2.63%
4,900,000 DANIEL BOONE PA AREA SCHOOL DISTRICT (PROPERTY TAX REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.41 08/01/2029 4,900,000
15,725,000 DAUPHIN COUNTY PA GENERAL AUTHORITY PINNACLE HEALTH SYSTEMS
PROJECT (HOSPITAL REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.40 08/15/2027 15,725,000
7,635,000 LEHIGH COUNTY PA ST. LUKES HOSPITAL PROJECT (HOSPITAL REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.55 07/01/2031 7,635,000
20,400,000 MONTGOMERY COUNTY PA (OTHER REVENUE, WACHOVIA BANK LOC)SS.+/- 3.45 10/01/2030 20,400,000
45
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
PENNSYLVANIA (CONTINUED)
$ 5,975,000 PENNSYLVANIA ECONOMIC DEVELOPMENT FINANCING AUTHORITY TREASURY
DEPARTMENT HOSPITAL ENHANCEMENT LOAN PROGRAM A1 (HOSPITAL REVENUE,
NATIONAL CITY BANK)SS.+/- 3.42% 06/01/2031 $ 5,975,000
8,260,000 PENNSYLVANIA ECONOMIC DEVELOPMENT FINANCING AUTHORITY TREASURY
DEPARTMENT HOSPITAL ENHANCEMENT LOAN PROGRAM A3 (HOSPITAL REVENUE,
NATIONAL CITY BANK)SS.+/- 3.42 06/01/2021 8,260,000
7,550,000 PENNSYLVANIA HONEYSUCKLE STUDENT HOLDING SERIES A (COLLEGE &
UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.43 07/01/2034 7,550,000
6,695,000 PENNSYLVANIA TURNPIKE COMMISSION OIL FRANCHISE TAX SERIES II R 1005
(SALES TAX REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2015 6,695,000
14,510,000 PHILADELPHIA PA (WATER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.39 06/15/2023 14,510,000
4,500,000 PHILADELPHIA PA AUTHORITY FOR IDR GIRARD ESTATE ARAMARK PJ (IDR
LOC)SS.+/- 3.42 06/01/2032 4,500,000
1,050,000 PHILADELPHIA PA GAS WORKS SERIES A2 (UTILITIES REVENUE,
JPMORGAN CHASE BANK LOC)SS.+/- 3.45 09/01/2034 1,050,000
97,200,000
---------------
PUERTO RICO - 0.34%
12,620,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20025102 CLASS A (TOLL ROAD
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.44 07/01/2027 12,620,000
---------------
SOUTH CAROLINA - 1.55%
22,400,000 CHARLESTON SC SERIES B (WATER & SEWER REVENUE, WACHOVIA BANK
LOC)SS.+/- 3.41 01/01/2035 22,400,000
17,795,000 PATRIOTS ENERGY GROUP SC GAS FACILITIES SERIES A (UTILITIES
REVENUE, CIFG INSURED)SS.+/- 3.41 06/01/2036 17,795,000
4,135,000 SOUTH CAROLINA EDUCATIONAL FACILITIES AUTHORITY FOR PRIVATE
NONPROFIT INSTITUTIONS (COLLEGE & UNIVERSITY REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.46 02/01/2022 4,135,000
4,420,000 SOUTH CAROLINA JOBS ECONOMIC DEVELOPMENT AUTHORITY (ECONOMIC
DEVELOPMENT REVENUE, WACHOVIA BANK LOC)SS.+/- 3.41 12/01/2024 4,420,000
8,500,000 SOUTH CAROLINA JOBS ECONOMIC DEVELOPMENT AUTHORITY ECONOMIC
DEVELOPMENT REVENUE HEARTLAND HALL EPISCOPAL (IDR LOC)SS.+/- 3.41 08/01/2029 8,500,000
57,250,000
---------------
SOUTH DAKOTA - 0.14%
5,000,000 SOUTH DAKOTA STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
SIOUX VALLEY SERIES B (HEALTHCARE FACILITIES REVENUE,
US BANK NA LOC)SS.+/- 3.63 11/01/2034 5,000,000
---------------
TENNESSEE - 1.04%
10,000,000 ABN AMRO MUNITOPS CERTIFICATES TRUST 1999-1 MUNITOPS PUTTABLE
(METROPOLITAN GOVERNMENT NASHVILLE & DAVIDSON COUNTY TN)
(OTHER REVENUE, FGIC INSURED)SS.+/-++ 3.44 12/06/2006 10,000,000
4,250,000 METROPOLITAN GOVERNMENT NASHVILLE & DAVIDSON COUNTY TN HEALTH &
EDUCATIONAL PROJECT FACILITIES BOARD MEHARRY MEDICAL COLLEGE
(COLLEGE & UNIVERSITY REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.41 08/01/2018 4,250,000
19,985,000 METROPOLITAN GOVERNMENT NASHVILLE & DAVIDSON COUNTY TN STEWARTS
FERRY APARTMENTS (IDR, FHLMC INSURED)SS.+/- 3.41 01/01/2034 19,985,000
4,210,000 RUTHERFORD COUNTY TN SERIES 643 (PROPERTY TAX REVENUE, MBIA
INSURED)SS.+/- 3.45 10/01/2012 4,210,000
38,445,000
---------------
TEXAS - 4.62%
6,130,000 ABN AMRO MUNITOPS CERTIFICATES 2006-16 (WATER REVENUE, MBIA
INSURED)SS.+/- 3.67 09/01/2014 6,130,000
625,000 DALLAS TX PUTTER 598 (PROPERTY TAX REVENUE, JPMORGAN CHASE BANK
LOC)SS.+/- 3.45 02/15/2011 625,000
4,310,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20014302 CLASS A
(AUSTIN TX ELECTRIC UTILITY SYSTEMS) (POWER REVENUE, FIRST SECURITY
BANK LOC)SS.+/- 3.46 11/15/2012 4,310,000
6,000,000 EAGLE TAX-EXEMPT TRUST CERTIFICATES 20014310 CLASS A (DALLAS TX
AREA RAPID) (SALES TAX REVENUE, AMBAC INSURED)SS.+/- 3.46 12/01/2026 6,000,000
46
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
TEXAS (CONTINUED)
$ 7,875,000 GRAPEVINE COLLEYVILLE TX INDEPENDENT SCHOOL DISTRICT (PROPERTY
TAX REVENUE, FGIC INSURED)SS.+/- 3.45% 08/15/2023 $ 7,875,000
8,995,000 HARRIS COUNTY TX HEALTH FACILITIES DEVELOPMENT CORPORATION
(HEALTHCARE FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.54 07/01/2015 8,995,000
4,430,000 HARRIS COUNTY TX HEALTH FACILITIES DEVELOPMENT CORPORATION
(HEALTHCARE FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.54 07/01/2024 4,430,000
8,982,500 HARRIS COUNTY TX HEALTH FACILITIES DEVELOPMENT CORPORATION
SERIES 357 (HEALTHCARE FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.45 07/01/2029 8,982,500
1,900,000 HARRIS COUNTY TX HOUSTON SPORTS AUTHORITY JUNIOR LIEN RODEO
SERIES C (SPORTS FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.45 11/15/2030 1,900,000
2,090,000 HARRIS COUNTY TX SERIES 646 (PROPERTY TAX REVENUE, JPMORGAN
CHASE BANK LOC)SS.+/- 3.45 10/01/2012 2,090,000
5,470,000 HOUSTON TX CTFS SERIES 495 (WATER REVENUE, FGIC INSURED)SS.+/- 3.45 12/01/2030 5,470,000
4,245,000 HOUSTON TX INDEPENDENT SCHOOL DISTRICT SERIES 462 (PROPERTY
TAX REVENUE, PERMANENT SCHOOL FUND GUARANTEED)SS.+/- 3.45 02/15/2026 4,245,000
3,770,000 HOUSTON TX MUNICIPAL TRUST RECEIPTS SERIES SG 120 (WATER & SEWER
REVENUE)SS.+/- 3.44 12/01/2023 3,770,000
12,600,000 HOUSTON TX SERIES SG 139 (COLLEGE & UNIVERSITY REVENUE,
SOCIETE GENERALE LOC)SS.+/- 3.44 11/15/2029 12,600,000
2,240,000 IRVING TX SERIES 403 (WATER REVENUE, AMBAC INSURED)SS.+/- 3.45 02/15/2012 2,240,000
5,275,000 KATY TX INDEPENDENT SCHOOL DISTRICT SERIES C (PROPERTY TAX
REVENUE)SS.+/- 3.41 08/15/2036 5,275,000
2,030,000 LAREDO TX HOUSING DEVELOPMENT CORPORATION #1 SERIES 618 (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.45 02/01/2010 2,030,000
3,280,000 LOWER COLORADO RIVER AUTHORITY TX PUTTER SERIES 623 (OTHER
REVENUE, FGIC INSURED)SS.+/- 3.45 11/15/2009 3,280,000
15,115,000 LUFKIN TX HEALTH FACILITIES DEVELOPMENT CORPORATION MEMORIAL
HEALTH SYSTEMS (OTHER REVENUE, WACHOVIA BANK LOC)SS.+/- 3.57 02/15/2035 15,115,000
10,000,000 LUFKIN TX HEALTH FACILITIES DEVELOPMENT CORPORATION SERIES A
(HEALTHCARE FACILITIES REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.62 02/15/2028 10,000,000
3,500,000 MATAGORDA COUNTY TX HOSPITAL DISTRICT (HOSPITAL REVENUE,
REGIONS BANK LOC)SS.+/- 3.45 08/01/2018 3,500,000
5,525,000 MIDLAND TX COLLEGE DISTRICT (PROPERTY TAX REVENUE, FGIC
INSURED)SS.+/- 3.45 02/15/2024 5,525,000
6,010,000 NORTH CENTRAL TX HEALTH FACILITY DEVELOPMENT CORPORATION (HFFA
REVENUE, MBIA INSURED)SS.+/- 3.45 02/15/2022 6,010,000
1,595,000 POLLY RYON HOSPITAL AUTHORITY TX POLLY RYON MEMORIAL HOSPITAL
(HOSPITAL REVENUE, JPMORGAN CHASE BANK LOC)SS.+/- 3.45 11/01/2026 1,595,000
1,500,000 SAN ANTONIO TX SERIES A (WATER REVENUE, MBIA INSURED)SS.+/- 3.43 05/15/2033 1,500,000
2,500,000 SPLENDORA TX PROJECT FELLOWSHIP CHRISTIAN PROJECT (OTHER
REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.46 01/01/2017 2,500,000
3,920,000 TEXAS A&M UNIVERSITY PERMANENT UNIVERSITY FUND (COLLEGE &
UNIVERSITY REVENUE, JPMORGAN CHASE BANK LOC)SS.+/- 3.45 07/01/2012 3,920,000
5,080,000 TEXAS STATE CLASS A (GO - STATES, TERRITORIES, CITIBANK NA 3.46 04/01/2030 5,080,000
LOC)SS.+/-
17,600,000 TEXAS STATE TRAN (PROPERTY TAX REVENUE) 4.50 08/31/2007 17,757,440
5,195,000 TRAVIS COUNTY TX HEALTH FACILITIES DEVELOPMENT CORPORATION
SERIES 4 (HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.45 11/15/2024 5,195,000
2,580,000 UNIVERSITY OF TEXAS PERMANENT UNIVERSITY FUND SERIES 411
(COLLEGE & UNIVERSITY REVENUE)SS.+/- 3.45 01/01/2012 2,580,000
170,524,940
---------------
UTAH - 0.26%
9,675,000 WEST JORDAN UT (HOUSING REVENUE, FNMA INSURED)SS.+/- 3.41 12/01/2034 9,675,000
---------------
47
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
VIRGINIA - 0.77%
$ 7,960,000 CAPITAL REGION AIRPORT COMMISSION VA SERIES B (AIRPORT REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41% 06/01/2035 $ 7,960,000
2,175,000 HAMPTON ROADS VA REGIONAL JAIL AUTHORITY REGIONAL SERIES 569
(JAIL FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.45 07/01/2012 2,175,000
4,950,000 LEXINGTON VA IDA (IDR, WACHOVIA BANK LOC)SS.+/- 3.55 12/01/2036 4,950,000
6,485,000 LOUDOUN COUNTY VA IDA HOWARD HUGHES MEDICAL CENTER SERIES F
(IDR)SS.+/- 3.38 02/15/2038 6,485,000
7,000,000 NORFOLK VA REDEVELOPMENT & HOUSING AUTHORITY (HOUSING REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.41 07/01/2034 7,000,000
28,570,000
---------------
WASHINGTON - 3.78%
15,420,000 ABN AMRO MUNITOPS CERTIFICATES TRUST 2001-23 MUNITOPS (KING
COUNTY WA SCHOOL DISTRICT #001 SEATTLE SERIES A) (PROPERTY
TAX REVENUE, MBIA INSURED)SS.+/- 3.35 12/01/2009 15,420,000
5,173,500 ENERGY NORTHWEST WA ELECTRIC CERTIFICATES SERIES C (ELECTRIC
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.46 01/01/2010 5,173,500
5,720,000 ENERGY NORTHWEST WA WIND PROJECT SERIES 686 (POWER REVENUE,
MBIA INSURED)SS.+/- 3.45 07/01/2012 5,720,000
4,775,000 GOAT HILL WA PROPERTIES SERIES 705 (LEASE REVENUE, MBIA
INSURED)SS.+/- 3.45 12/01/2012 4,775,000
17,350,000 ISSAQUAH WA COMMUNITY PROPERTIES SERIES A (WATER REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.44 02/15/2021 17,350,000
45,525,000 KING COUNTY WA HOUSING AUTHORITY SERIES A (HOUSING REVENUE,
FHLMC INSURED)SS.+/- 3.41 07/01/2035 45,525,000
5,920,000 KING COUNTY WA SCHOOL DISTRICT #415 (PROPERTY TAX REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.44 12/01/2018 5,920,000
4,955,000 SEATTLE WA MUNICIPAL LIGHT & POWER SERIES 668 (POWER REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.45 08/01/2012 4,955,000
6,995,000 WASHINGTON STATE (PROPERTY TAX REVENUE, FIRST SECURITY BANK
LOC)SS.+/- 3.62 01/01/2026 6,995,000
6,000,000 WASHINGTON STATE HIGHER EDUCATION FACILITIES UNIVERSITY OF PUGET
SOUND SERIES B (COLLEGE & UNIVERSITY REVENUE, BANK OF AMERICA
NA LOC)SS.+/- 3.44 10/01/2036 6,000,000
3,065,000 WASHINGTON STATE HOUSING FINANCE COMMISSION (HOUSING REVENUE,
US BANK NA LOC)SS.+/- 3.65 11/01/2025 3,065,000
10,400,000 WASHINGTON STATE HOUSING FINANCE COMMISSION BUSH SCHOOL PROJECT
(HOUSING REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.62 04/01/2034 10,400,000
1,700,000 WASHINGTON STATE HOUSING FINANCE COMMISSION NONPROFIT TACOMA ART
MUSEUM PROJECT (RECREATIONAL FACILITIES REVENUE, NORTHERN TRUST
CORPORATION LOC)SS.+/- 3.62 06/01/2032 1,700,000
2,165,000 WASHINGTON STATE SERIES 593 (PROPERTY TAX REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.45 07/01/2012 2,165,000
4,375,000 WASHINGTON STATE SERIES B (PROPERTY TAX REVENUE, FIRST SECURITY
BANK LOC)SS.+/- 3.45 07/01/2024 4,375,000
139,538,500
---------------
WISCONSIN - 1.79%
3,765,000 MILWAUKEE WI RDA REDEVELOPMENT MILWAUKEE SCHOOL ENGINEER PROJECT A
(COLLEGE & UNIVERSITY REVENUE, MARSHALL & ISLEY BANK LOC)SS.+/- 3.54 07/01/2023 3,765,000
2,400,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
ALVERNO COLLEGE PROJECT (COLLEGE & UNIVERSITY REVENUE, ALLIED
IRISH BANK PLC LOC)SS.+/- 3.62 11/01/2017 2,400,000
13,015,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY AURORA
HEALTH CARE SERIES C (HEALTHCARE FACILITIES REVENUE, MARSHALL &
ISLEY BANK LOC)SS.+/- 3.57 04/01/2028 13,015,000
6,500,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
FRANCISCAN SISTERS SERIES B (HEALTHCARE FACILITIES REVENUE,
MARSHALL & ISLEY BANK LOC)SS.+/- 3.40 09/01/2033 6,500,000
11,600,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
NATIONAL REGENCY OF NEW BERLIN (HEALTHCARE FACILITIES REVENUE,
MARSHALL & ISLEY BANK LOC)SS.+/- 3.62 08/15/2034 11,600,000
5,625,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
REEDSBURG AREA MEDICAL CENTER INCORPORATED (OTHER REVENUE,
FIFTH THIRD BANK LOC)SS.+/- 3.62 06/01/2036 5,625,000
48
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
WISCONSIN (CONTINUED)
$ 15,500,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
LUTHERAN COLLEGE SERIES 2001 (COLLEGE & UNIVERSITY REVENUE,
US BANK NA LOC)SS.+/- 3.62% 09/01/2031 $ 15,500,000
7,520,000 WISCONSIN STATE SERIES 531 (PROPERTY TAX REVENUE, FGIC
INSURED)SS.+/- 3.45 11/01/2012 7,520,000
65,925,000
---------------
WYOMING - 0.83%
30,600,000 SWEETWATER COUNTY WY PACIFIC CORPORATION PROJECT SERIES A
(PCR, BARCLAYS BANK PLC LOC)SS.+/- 3.41 07/01/2015 30,600,000
---------------
TOTAL MUNICIPAL BONDS & NOTES (COST $3,287,950,209) 3,287,950,209
---------------
COMMERCIAL PAPER - 10.60%
9,000,000 BURKE COUNTY POLLUTION CONTROL 3.50 09/07/2006 9,000,000
4,895,000 COUNTY OF WAKE NC 3.65 02/05/2007 4,895,000
4,200,000 HARRIS COUNTY TX 3.57 09/15/2006 4,200,000
3,900,000 HARRIS COUNTY TX SERIES B 3.60 09/14/2006 3,900,000
17,750,000 HARRIS COUNTY TX SERIES B 3.60 11/09/2006 17,750,000
33,900,000 HARRIS COUNTY TX SERIES C 3.60 11/09/2006 33,900,000
15,675,000 HARRIS COUNTY TX SERIES D 3.60 09/14/2006 15,675,000
4,200,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.47 09/07/2006 4,200,000
21,100,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.55 10/17/2006 21,100,000
15,800,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.63 02/08/2007 15,800,000
9,665,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY SERIES NOTR 3.53 09/13/2006 9,665,000
17,700,000 JOHNS HOPKINS UNIVERSITY 3.55 10/17/2006 17,700,000
6,800,000 LAS VEGAS VALLEY WATER DISTRICT 3.47 09/07/2006 6,800,000
6,300,000 LAS VEGAS VALLEY WATER DISTRICT 3.55 10/17/2006 6,300,000
15,495,000 MARYLAND HEALTH & HIGHER EDUCATION SERIES A 3.60 09/07/2006 15,495,000
7,500,000 MASSACHUSETTS HEALTH & EDUCATIONAL FACILITIES AUTHORITY 3.55 09/07/2006 7,500,000
23,780,000 MASSACHUSETTS HEALTH & EDUCATIONAL FACILITIES AUTHORITY 3.70 11/07/2006 23,780,000
17,000,000 NORTH CAROLINA CAPITAL FACILITIES 3.60 11/07/2006 17,000,000
13,000,000 ROCHESTER MN HEALTH CARE SERIES 00-B 3.64 10/12/2006 13,000,000
32,400,000 ROCHESTER MN HEALTH CARE SERIES 01-C 3.64 10/12/2006 32,400,000
15,300,000 ROCHESTER MN HEALTH CARE SERIES 92-A 3.64 10/12/2006 15,300,000
10,800,000 ROCHESTER MN HEALTH CARE SERIES 92-C 3.64 10/12/2006 10,800,000
10,550,000 SAN ANTONIO ELECTRIC & GAS 3.53 10/02/2006 10,550,000
9,900,000 SAN ANTONIO ELECTRIC & GAS 3.65 10/18/2006 9,900,000
2,359,000 TEXAS PFA 3.60 11/09/2006 2,359,000
11,325,000 TEXAS PFA SERIES 02-A 3.53 09/13/2006 11,325,000
31,090,000 UNIVERSITY OF MINNESOTA 3.65 10/16/2006 31,090,000
20,000,000 UNIVERSITY OF TEXAS SYSTEM SERIES 02-A 3.60 09/06/2006 20,000,000
TOTAL COMMERCIAL PAPER (COST $391,384,000) 391,384,000
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $3,679,334,209)* 99.64% $ 3,679,334,209
OTHER ASSETS AND LIABILITIES, NET 0.36 13,117,458
------ ---------------
TOTAL NET ASSETS 100.00% $ 3,692,451,667
====== ===============
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
+/- VARIABLE RATE INVESTMENTS.
I ILLIQUID SECURITY.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
49
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
PRIME INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
ASSET BACKED SECURITIES - 0.09%
$ 6,547,781 CAPITAL ONE AUTO FINANCE TRUST 5.12% 05/15/2007 $ 6,547,781
TOTAL ASSET BACKED SECURITIES (COST $6,547,781) 6,547,781
---------------
CERTIFICATES OF DEPOSIT - 3.54%
150,000,000 BARCLAYS BANK PLC 4.14 09/20/2006 150,000,000
30,500,000 BNP PARIBAS LONDON 4.92 11/07/2006 30,500,000
88,000,000 CREDIT SUISSE FIRST BOSTON NEW YORK SERIES YCD 4.18 09/22/2006 88,000,000
TOTAL CERTIFICATES OF DEPOSIT (COST $268,500,000) 268,500,000
---------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 0.26%
20,000,000 PARAGON MORTGAGES PLC+++/-SS. 5.31 11/15/2038 20,000,000
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (COST $20,000,000) 20,000,000
---------------
COMMERCIAL PAPER - 33.12%
91,000,000 ALPINE SECURITIZATION++^ 5.25 10/25/2006 90,283,375
77,478,000 AMSTEL FUNDING CORPORATION++^ 5.41 10/18/2006 76,931,274
50,000,000 AMSTERDAM FUNDING CORPORATION++^ 5.40 09/27/2006 49,805,000
10,000,000 APRECO LLC++^ 5.27 10/25/2006 9,920,950
120,000,000 AQUIFER FUNDING LLC++^ 5.34 09/07/2006 119,893,200
60,863,000 AQUINAS FUNDING LLC++^ 5.26 09/25/2006 60,649,574
30,000,000 ATLAS CAPITAL FUNDING CORPORATION++^ 5.24 09/08/2006 29,969,433
40,000,000 ATLAS CAPITAL FUNDING CORPORATION++^ 5.26 09/25/2006 39,859,733
20,000,000 ATLAS CAPITAL FUNDING CORPORATION++^ 5.29 10/10/2006 19,885,383
54,999,000 ATOMIUM FUNDING LLC++^ 5.28 11/27/2006 54,297,213
71,180,000 BARTON CAPITAL LLC++^ 5.26 09/25/2006 70,930,395
5,266,000 BASF AG++^ 5.27 11/01/2006 5,218,976
25,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.31 01/23/2007 25,000,000
13,000,000 BETA FINANCE INCORPORATED++^ 5.26 09/25/2006 12,954,413
120,000,000 BUCKINGHAM CDO III LLC++^ 5.31 11/27/2006 118,461,550
50,000,000 CAFCO LLC++^ 5.37 09/25/2006 49,821,000
50,000,000 CAFCO LLC++^ 5.25 10/25/2006 49,606,250
11,666,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.27 09/25/2006 11,625,013
120,000,000 CANCARA ASSET SECURITY LIMITED++^ 5.27 09/25/2006 119,578,400
48,000,000 CHEYNE FINANCE LLC++^ 5.27 09/21/2006 47,859,467
10,000,000 CHEYNE FINANCE LLC++^ 5.28 10/23/2006 9,923,733
100,000,000 CLIPPER RECEIVABLES COMPANY LLC++^ 5.25 09/25/2006 99,650,000
15,000,000 CRC FUNDING LLC++^ 5.27 09/26/2006 14,945,104
27,150,000 DAIMLER CHRYSLER REVENUE AUTO^ 5.27 10/25/2006 26,935,379
128,673,000 DEER VALLEY FUNDING LLC++^ 5.28 10/24/2006 127,672,782
99,760,000 FAIRWAY FINANCE CORPORATION++^ 5.26 09/25/2006 99,410,175
24,666,000 FIVE FINANCE INCORPORATED++^ 5.27 09/25/2006 24,579,340
120,000,000 FOX TROT CDO LIMITED++^ 5.27 09/25/2006 119,578,400
23,500,000 GALAXY FUNDING INCORPORATED++^ 5.38 11/01/2006 23,285,771
96,000,000 GALLEON CAPITAL LLC++^ 5.26 09/25/2006 95,663,360
20,000,000 GOVCO INCORPORATED++^ 5.18 09/07/2006 19,982,733
100,000,000 GRAMPIAN FUNDING LLC++^ 4.98 09/29/2006 99,612,667
60,000,000 KESTREL FUNDING US LLC++^ 5.38 09/25/2006 59,784,800
20,500,000 KESTREL FUNDING US LLC++^ 5.39 10/30/2006 20,318,911
1,232,000 LIBERTY STREET FUNDING COMPANY++^ 5.39 09/25/2006 1,227,573
50
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
PRIME INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMERCIAL PAPER (CONTINUED)
$ 15,000,000 MANE FUNDING CORPORATION++^ 5.27% 11/15/2006 $ 14,835,313
15,000,000 NATIONWIDE BUILDING SOCIETY+++/- 5.42 12/11/2006 15,004,667
71,357,000 NIEUW AMSTERDAM RECOVERY++^ 5.26 09/25/2006 71,106,775
118,000,000 PERRY GLOBAL FUNDING LLC++^ 5.37 09/25/2006 117,577,560
100,000,000 PICAROS FUNDING LLC++^ 5.25 09/13/2006 99,825,000
102,613,000 REGENCY MARKETS #1 LLC++^ 5.27 09/25/2006 102,252,486
34,225,000 STANFIELD VICTORIA FUNDING++^ 5.27 09/25/2006 34,104,756
50,000,000 VERSAILLES CDS LLC++^ 5.37 09/05/2006 49,970,167
25,000,000 VERSAILLES CDS LLC++^ 5.27 09/28/2006 24,901,188
25,000,000 VERSAILLES CDS LLC++^ 5.27 10/25/2006 24,802,375
43,952,000 WHISTLEJACKET CAPITAL LIMITED++^ 5.36 09/25/2006 43,794,945
5,735,000 WINDMILL FUNDING CORPORATION++^ 5.26 09/25/2006 5,714,889
TOTAL COMMERCIAL PAPER (COST $2,509,011,448) 2,509,011,448
---------------
EXTENDABLE BONDS - 7.46%
25,000,000 3M COMPANY++ 5.65 12/12/2006 25,058,049
10,000,000 AMERICAN GENERAL FINANCE+++/- 5.36 09/14/2007 10,000,000
63,500,000 BANK OF IRELAND+++/- 5.30 09/20/2007 63,500,000
30,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.32 09/14/2007 30,000,000
44,000,000 DNB NORSKE BANK ASA+++/- 5.31 09/25/2007 44,000,000
50,000,000 FLORIDA HURRICANE CATASTROPHE+/- 5.34 09/14/2007 50,000,000
110,000,000 GENERAL ELECTRIC CAPITAL CORPORATION 5.49 07/09/2007 110,127,961
5,000,000 ING SECURITY LIFE INSTITUTIONAL FUNDING+++/- 5.48 08/09/2007 5,001,292
44,000,000 INTESA BANK IRELAND PLC+++/- 5.32 09/25/2007 44,000,000
31,000,000 IRISH LIFE & PERMANENT+++/- 5.33 09/21/2007 31,000,000
60,000,000 MERRILL LYNCH & COMPANY INCORPORATED+/- 5.31 09/24/2007 60,000,000
12,000,000 MORGAN STANLEY+/- 5.38 08/31/2007 12,000,000
15,000,000 NATIONWIDE BUILDING SOCIETY+++/- 5.44 07/06/2007 15,000,000
61,000,000 NORDEA BANK AB+++/- 5.34 09/11/2007 61,000,000
4,000,000 PREMIUM ASSET TRUST+++/- 5.37 08/15/2007 4,000,000
TOTAL EXTENDABLE BONDS (COST $564,687,302) 564,687,302
---------------
MEDIUM TERM NOTES - 6.69%
17,965,000 ALLSTATE LIFE GLOBAL FUNDING II+++/- 5.58 04/02/2007 17,973,464
85,000,000 AMERICAN HONDA FINANCE+++/- 5.44 02/06/2007 85,000,000
18,000,000 ASIF GLOBAL FINANCING+++/- 5.51 05/03/2007 18,007,445
72,000,000 BANK OF AMERICA SECURITIES+/-SS. 5.38 09/09/2099 72,000,000
50,000,000 BEAR STEARNS COMPANIES INCORPORATED+/-SS. 5.43 09/09/2099 50,000,000
10,000,000 CHEYNE FINANCE LLC+++/- 5.36 05/21/2007 9,998,763
12,000,000 CHEYNE FINANCE LLC+++/- 5.36 05/24/2007 11,998,285
21,000,000 CHEYNE FINANCE LLC+++/- 5.47 07/16/2007 20,995,507
22,000,000 CULLINAN FINANCE CORPORATION+++/- 5.35 05/21/2007 21,998,429
75,000,000 HARRIER FINANCE FUNDING LLC SERIES MTN+++/- 5.29 12/15/2006 74,995,591
29,000,000 LEHMAN BROTHERS HOLDINGS+/- 5.39 07/19/2007 29,023,946
44,000,000 SEDNA FINANCE INCORPORATED+++/- 5.35 05/21/2007 43,996,460
12,000,000 SEDNA FINANCE INCORPORATED+++/- 5.36 05/30/2007 11,999,067
14,000,000 SEDNA FINANCE INCORPORATED+++/- 5.30 06/18/2007 13,998,821
25,000,000 TANGO FINANCE CORPORATION+++/- 5.36 05/24/2007 24,998,185
TOTAL MEDIUM TERM NOTES (COST $506,983,963) 506,983,963
---------------
51
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
PRIME INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MUNICIPAL BONDS & NOTES - 0.41%
$ 21,200,000 MISSISSIPPI STATE TAXABLE NISSAN PROJECT A (GO -
STATES, TERRITORIES LOC)+/-SS. 5.34% 11/01/2028 $ 21,200,000
9,870,000 PACIFIC CA HFA LEASE REVENUE SERIES A FHLMC INSURED
(HOUSING REVENUE LOC)+/-SS. 5.40 02/01/2007 9,870,000
TOTAL MUNICIPAL BONDS & NOTES (COST $31,070,000) 31,070,000
---------------
PROMISSORY NOTES - 2.06%
155,900,000 CITIGROUP GLOBAL+/-SS. 5.38 09/09/2099 155,900,000
TOTAL PROMISSORY NOTES (COST $155,900,000) 155,900,000
---------------
REPURCHASE AGREEMENTS - 31.42%
1,601,789,121 BANK OF AMERICA SECURITIES - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $1,602,024,050) 5.28 09/01/2006 1,601,789,121
400,000,000 BEAR STEARNS & COMPANY INCORPORATED - 102%
COLLATERALIZED BY US GOVERNMENT SECURITIES
(MATURITY VALUE $400,058,667) 5.28 09/01/2006 400,000,000
112,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $112,016,520) 5.31 09/01/2006 112,000,000
83,664,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $83,676,294) 5.29 09/01/2006 83,664,000
183,000,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $183,026,942) 5.30 09/01/2006 183,000,000
TOTAL REPURCHASE AGREEMENTS (COST $2,380,453,121) 2,380,453,121
---------------
TIME DEPOSITS - 15.12%
166,000,000 DEUTSCHE BANK CAYMAN 5.26 09/07/2006 166,000,000
67,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/05/2006 67,000,000
122,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/06/2006 122,000,000
166,000,000 KBC BANK NV BRUSSELS 5.30 09/01/2006 166,000,000
113,000,000 NATEXIS BANQUES POPULAIR 5.26 09/05/2006 113,000,000
119,000,000 RABOBANK LONDON 5.26 09/01/2006 119,000,000
66,000,000 SOCIETE GENERALE CANADA 5.27 09/07/2006 66,000,000
101,000,000 SOCIETE GENERALE CAYMAN 5.27 09/05/2006 101,000,000
225,000,000 UBS AG CAYMAN ISLANDS 5.28 09/01/2006 225,000,000
TOTAL TIME DEPOSITS (COST $1,145,000,000) 1,145,000,000
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $7,588,153,615)* 100.17% $ 7,588,153,615
OTHER ASSETS AND LIABILITIES, NET (0.17) (12,996,003)
------ ---------------
TOTAL NET ASSETS 100.00% $ 7,575,157,612
====== ===============
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
+/- VARIABLE RATE INVESTMENTS.
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
52
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
TREASURY PLUS MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
US TREASURY SECURITIES - 10.90%
US TREASURY BILLS - 10.90%
$ 50,000,000 US TREASURY BILL^ 4.70% 09/07/2006 $ 49,960,792
250,000,000 US TREASURY BILL^ 5.18 09/15/2006 249,496,388
50,000,000 US TREASURY BILL^ 4.65 10/05/2006 49,780,417
100,000,000 US TREASURY BILL^ 4.82 11/09/2006 99,075,687
100,000,000 US TREASURY BILL^ 4.82 11/16/2006 98,983,500
100,000,000 US TREASURY BILL^ 5.04 12/21/2006 98,447,542
TOTAL US TREASURY SECURITIES (COST $645,744,326) 645,744,326
---------------
REPURCHASE AGREEMENTS - 93.59%
75,000,000 BANK OF AMERICA - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $75,010,875) 5.22 09/01/2006 75,000,000
250,000,000 CITIGROUP GLOBAL MARKETS - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $250,036,042) 5.19 09/01/2006 250,000,000
1,000,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $1,000,145,556) 5.24 09/01/2006 1,000,000,000
550,000,000 DEUTSCHE BANK ALEX BROWN - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $550,080,056) 5.24 09/01/2006 550,000,000
94,298,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $94,311,568) 5.18 09/01/2006 94,298,000
500,000,000 GREENWICH CAPITAL MARKETS INCORPORATED - 102% COLLATERALIZED
BY US GOVERNMENT SECURITIES
(MATURITY VALUE $500,072,778) 5.24 09/01/2006 500,000,000
1,300,000,000 HSBC USA INCORPORATED - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $1,300,189,222) 5.24 09/01/2006 1,300,000,000
125,000,000 JPMORGAN SECURITIES INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $125,018,229) 5.25 09/01/2006 125,000,000
450,000,000 MERRILL LYNCH & COMPANY INCORPORATED - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $450,715,000) 5.20 09/11/2006 450,000,000
1,200,000,000 MORGAN STANLEY INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $1,200,174,667) 5.24 09/01/2006 1,200,000,000
TOTAL REPURCHASE AGREEMENTS (COST $5,544,298,000) 5,544,298,000
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $6,190,042,326)* 104.49% $ 6,190,042,326
OTHER ASSETS AND LIABILITIES, NET (4.49) (266,066,793)
------ ---------------
TOTAL NET ASSETS 100.00% $ 5,923,975,533
====== ===============
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
53
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
US TREASURY SECURITIES - 97.08%
US TREASURY BILLS - 97.08%
$ 150,000,000 US TREASURY BILL^ 4.72% 09/07/2006 $ 149,882,063
150,000,000 US TREASURY BILL^ 4.75 09/07/2006 149,881,291
50,000,000 US TREASURY BILL^ 4.77 09/07/2006 49,960,292
10,587,000 US TREASURY BILL^ 5.07 09/07/2006 10,578,054
150,000,000 US TREASURY BILL^ 4.77 09/14/2006 149,741,625
50,000,000 US TREASURY BILL^ 4.84 09/14/2006 49,912,701
26,330,000 US TREASURY BILL^ 4.87 09/14/2006 26,283,696
50,000,000 US TREASURY BILL^ 5.08 09/14/2006 49,908,278
100,000,000 US TREASURY BILL^ 4.78 09/21/2006 99,734,722
50,000,000 US TREASURY BILL^ 4.91 09/21/2006 49,863,750
50,000,000 US TREASURY BILL^ 5.01 09/21/2006 49,860,833
50,000,000 US TREASURY BILL^ 5.08 09/21/2006 49,858,889
50,000,000 US TREASURY BILL^ 4.87 09/28/2006 49,817,375
270,000,000 US TREASURY BILL^ 4.90 09/28/2006 269,007,243
10,582,000 US TREASURY BILL^ 5.02 09/28/2006 10,542,159
25,000,000 US TREASURY BILL^ 4.92 10/05/2006 24,883,833
25,000,000 US TREASURY BILL^ 4.95 10/05/2006 24,883,243
236,700,000 US TREASURY BILL^ 4.97 10/05/2006 235,590,074
25,000,000 US TREASURY BILL^ 4.88 10/12/2006 24,861,198
125,000,000 US TREASURY BILL^ 4.91 10/12/2006 124,301,007
200,000,000 US TREASURY BILL^ 4.93 10/12/2006 198,877,056
150,000,000 US TREASURY BILL^ 4.92 10/19/2006 149,016,667
25,000,000 US TREASURY BILL^ 4.93 10/19/2006 24,835,667
25,000,000 US TREASURY BILL^ 4.94 10/19/2006 24,835,333
175,000,000 US TREASURY BILL^ 4.98 10/26/2006 173,669,878
150,000,000 US TREASURY BILL^ 4.98 11/02/2006 148,713,500
50,000,000 US TREASURY BILL^ 4.90 11/09/2006 49,530,417
150,000,000 US TREASURY BILL^ 4.99 11/09/2006 148,565,375
100,000,000 US TREASURY BILL^ 4.81 11/16/2006 98,985,611
175,000,000 US TREASURY BILL^ 4.99 11/16/2006 173,156,472
250,000,000 US TREASURY BILL^ 4.98 11/24/2006 247,093,542
100,000,000 US TREASURY BILL^ 4.91 11/30/2006 98,773,750
250,000,000 US TREASURY BILL^ 4.97 11/30/2006 246,896,875
100,000,000 US TREASURY BILL^ 4.82 12/07/2006 98,701,951
50,000,000 US TREASURY BILL^ 4.87 12/07/2006 49,344,240
100,000,000 US TREASURY BILL^ 4.96 12/14/2006 98,567,111
TOTAL US TREASURY SECURITIES (COST $3,678,915,771) 3,678,915,771
---------------
54
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND
- --------------------------------------------------------------------------------
VALUE
TOTAL INVESTMENTS IN SECURITIES
(COST $3,678,915,771)* 97.08% $ 3,678,915,771
OTHER ASSETS AND LIABILITIES, NET 2.92 110,495,000
------ ---------------
TOTAL NET ASSETS 100.00% $ 3,789,410,771
====== ===============
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
55
STATEMENTS OF ASSETS AND LIABILITIES--
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA
TAX-FREE CASH INVESTMENT
MONEY MARKET MONEY MARKET
FUND FUND
- ----------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ........................................ $ 2,884,014,196 $ 11,552,767,034
REPURCHASE AGREEMENTS ................................................. 0 2,385,450,199
---------------- ------------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) ....................... 2,884,014,196 13,938,217,233
---------------- ------------------
CASH .................................................................. 53,836 50,031
RECEIVABLE FOR FUND SHARES ISSUED ..................................... 0 587,675
RECEIVABLE FOR INVESTMENTS SOLD ....................................... 0 0
RECEIVABLES FOR DIVIDENDS AND INTEREST ................................ 13,844,142 48,723,751
PREPAID EXPENSES AND OTHER ASSETS ..................................... 0 38,626
---------------- ------------------
TOTAL ASSETS ............................................................. 2,897,912,174 13,987,617,316
---------------- ------------------
LIABILITIES
PAYABLE TO CUSTODIAN FOR OVERDRAFTS ................................... 0 0
PAYABLE FOR INVESTMENTS PURCHASED ..................................... 0 0
DIVIDENDS PAYABLE ..................................................... 841,905 24,758,582
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) ................. 899,394 2,623,546
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT ............... 630,743 1,355,625
ACCRUED EXPENSES AND OTHER LIABILITIES ................................ 66,748 0
---------------- ------------------
TOTAL LIABILITIES ........................................................ 2,438,790 28,737,753
---------------- ------------------
TOTAL NET ASSETS ......................................................... $ 2,895,473,384 $ 13,958,879,563
================ ==================
NET ASSETS CONSIST OF:
- ----------------------------------------------------------------------------------------------------------------
PAID-IN CAPITAL ....................................................... $ 2,895,367,248 $ 13,959,294,028
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............................ (1,038) (7,752)
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS ................. 107,174 (406,713)
---------------- ------------------
TOTAL NET ASSETS ......................................................... $ 2,895,473,384 $ 13,958,879,563
---------------- ------------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- ----------------------------------------------------------------------------------------------------------------
NET ASSETS - CLASS A .................................................. $ 2,486,731,139 N/A
SHARES OUTSTANDING - CLASS A .......................................... 2,486,593,888 N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - CLASS A ................ $ 1.00 N/A
NET ASSETS - ADMINISTRATOR CLASS ...................................... N/A $ 1,057,204,948
SHARES OUTSTANDING - ADMINISTRATOR CLASS .............................. N/A 1,057,225,269
NET ASSET VALUE AND OFFERING PRICE PER SHARE - ADMINISTRATOR CLASS .... N/A $ 1.00
NET ASSETS - INSTITUTIONAL CLASS ...................................... N/A $ 6,903,217,472
SHARES OUTSTANDING - INSTITUTIONAL CLASS .............................. N/A 6,903,414,846
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INSTITUTIONAL CLASS .... N/A $ 1.00
NET ASSETS - SERVICE CLASS ............................................ $ 408,742,245 $ 5,998,457,143
SHARES OUTSTANDING - SERVICE CLASS .................................... 408,720,816 5,999,143,135
NET ASSET VALUE AND OFFERING PRICE PER SHARE - SERVICE CLASS .......... $ 1.00 $ 1.00
---------------- ------------------
INVESTMENTS AT COST ...................................................... $ 2,884,014,196 $ 13,938,217,233
================ ==================
(1) EACH FUND HAS AN UNLIMITED NUMBER OF AUTHORIZED SHARES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
56
STATEMENTS OF ASSETS AND LIABILITIES--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
GOVERNMENT HERITAGE NATIONAL TAX-FREE
MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND
- -----------------------------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ........................................ $ 4,365,762,236 $ 518,495,980 $ 3,679,334,209
REPURCHASE AGREEMENTS ................................................. 10,427,199,000 79,498,000 0
---------------- ------------------ -----------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) ....................... 14,792,961,236 597,993,980 3,679,334,209
---------------- ------------------ -----------------
CASH .................................................................. 50,040 50,155 76,112
RECEIVABLE FOR FUND SHARES ISSUED ..................................... 60,931 145 0
RECEIVABLE FOR INVESTMENTS SOLD ....................................... 0 0 0
RECEIVABLES FOR DIVIDENDS AND INTEREST ................................ 27,253,281 2,268,038 18,153,016
PREPAID EXPENSES AND OTHER ASSETS ..................................... 2,397 0 0
---------------- ------------------ -----------------
TOTAL ASSETS ............................................................. 14,820,327,885 600,312,318 3,697,563,337
---------------- ------------------ -----------------
LIABILITIES
PAYABLE TO CUSTODIAN FOR OVERDRAFTS ................................... 0 0 0
PAYABLE FOR INVESTMENTS PURCHASED ..................................... 0 0 0
DIVIDENDS PAYABLE ..................................................... 40,334,097 911,703 3,591,971
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) ................. 3,002,569 134,510 832,675
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT ............... 1,686,923 25,114 496,051
ACCRUED EXPENSES AND OTHER LIABILITIES ................................ 0 9,688 190,973
---------------- ------------------ -----------------
TOTAL LIABILITIES ........................................................ 45,023,589 1,081,015 5,111,670
---------------- ------------------ -----------------
TOTAL NET ASSETS ......................................................... $ 14,775,304,296 $ 599,231,303 $ 3,692,451,667
================ ================== =================
NET ASSETS CONSIST OF:
- -----------------------------------------------------------------------------------------------------------------------------------
PAID-IN CAPITAL ....................................................... $ 14,775,273,280 $ 599,229,748 $ 3,692,493,746
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............................ 31,016 (2) 2
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS ................. 0 1,557 (42,081)
---------------- ------------------ -----------------
TOTAL NET ASSETS ......................................................... $ 14,775,304,296 $ 599,231,303 $ 3,692,451,667
---------------- ------------------ -----------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS - CLASS A .................................................. $ 1,923,740,974 N/A $ 1,002,763,652
SHARES OUTSTANDING - CLASS A .......................................... 1,923,742,528 N/A 1,002,763,513
NET ASSET VALUE AND OFFERING PRICE PER SHARE - CLASS A ................ $ 1.00 N/A $ 1.00
NET ASSETS - ADMINISTRATOR CLASS ...................................... $ 1,118,144,553 $ 311,956,537 $ 533,219,446
SHARES OUTSTANDING - ADMINISTRATOR CLASS .............................. 1,118,145,548 311,956,305 533,186,297
NET ASSET VALUE AND OFFERING PRICE PER SHARE - ADMINISTRATOR CLASS .... $ 1.00 $ 1.00 $ 1.00
NET ASSETS - INSTITUTIONAL CLASS ...................................... $ 6,302,336,984 $ 287,274,766 $ 1,022,799,015
SHARES OUTSTANDING - INSTITUTIONAL CLASS .............................. 6,302,337,311 287,273,441 1,022,868,430
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INSTITUTIONAL CLASS .... $ 1.00 $ 1.00 $ 1.00
NET ASSETS - SERVICE CLASS ............................................ $ 5,431,081,785 N/A $ 1,133,669,554
SHARES OUTSTANDING - SERVICE CLASS .................................... 5,431,087,365 N/A 1,133,494,811
NET ASSET VALUE AND OFFERING PRICE PER SHARE - SERVICE CLASS .......... $ 1.00 N/A $ 1.00
---------------- ------------------ -----------------
INVESTMENTS AT COST ...................................................... $ 14,792,961,236 $ 597,993,980 $ 3,679,334,209
================ ================== =================
PRIME INVESTMENT TREASURY PLUS 100% TREASURY
MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND
- -----------------------------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ........................................ $ 5,207,700,494 $ 645,744,326 $ 3,678,915,771
REPURCHASE AGREEMENTS ................................................. 2,380,453,121 5,544,298,000 0
---------------- ------------------ -----------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) ....................... 7,588,153,615 6,190,042,326 3,678,915,771
---------------- ------------------ -----------------
CASH .................................................................. 0 50,845 50,834
RECEIVABLE FOR FUND SHARES ISSUED ..................................... 0 57,892 5,936
RECEIVABLE FOR INVESTMENTS SOLD ....................................... 0 0 124,185,036
RECEIVABLES FOR DIVIDENDS AND INTEREST ................................ 16,297,739 2,235,992 0
PREPAID EXPENSES AND OTHER ASSETS ..................................... 0 0 0
---------------- ------------------ -----------------
TOTAL ASSETS ............................................................. 7,604,451,354 6,192,387,055 3,803,157,577
---------------- ------------------ -----------------
LIABILITIES
PAYABLE TO CUSTODIAN FOR OVERDRAFTS ................................... 3,318,628 0 0
PAYABLE FOR INVESTMENTS PURCHASED ..................................... 0 249,496,389 0
DIVIDENDS PAYABLE ..................................................... 24,036,893 16,565,218 12,182,319
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) ................. 1,404,862 1,434,548 768,231
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT ............... 465,051 841,100 786,973
ACCRUED EXPENSES AND OTHER LIABILITIES ................................ 68,308 74,267 9,283
---------------- ------------------ -----------------
TOTAL LIABILITIES ........................................................ 29,293,742 268,411,522 13,746,806
---------------- ------------------ -----------------
TOTAL NET ASSETS ......................................................... $ 7,575,157,612 $ 5,923,975,533 $ 3,789,410,771
================ ================== =================
NET ASSETS CONSIST OF:
- -----------------------------------------------------------------------------------------------------------------------------------
PAID-IN CAPITAL ....................................................... $ 7,575,182,342 $ 5,924,110,211 $ 3,789,433,803
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............................ 1 647 190,132
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS ................. (24,731) (135,325) (213,164)
---------------- ------------------ -----------------
TOTAL NET ASSETS ......................................................... $ 7,575,157,612 $ 5,923,975,533 $ 3,789,410,771
---------------- ------------------ -----------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- -----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS - CLASS A .................................................. N/A $ 2,855,587,842 $ 229,692,045
SHARES OUTSTANDING - CLASS A .......................................... N/A 2,855,703,219 229,661,181
NET ASSET VALUE AND OFFERING PRICE PER SHARE - CLASS A ................ N/A $ 1.00 $ 1.00
NET ASSETS - ADMINISTRATOR CLASS ...................................... N/A N/A N/A
SHARES OUTSTANDING - ADMINISTRATOR CLASS .............................. N/A N/A N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - ADMINISTRATOR CLASS .... N/A N/A N/A
NET ASSETS - INSTITUTIONAL CLASS ...................................... $ 5,810,735,944 $ 1,967,213,421 N/A
SHARES OUTSTANDING - INSTITUTIONAL CLASS .............................. 5,810,767,895 1,967,411,041 N/A
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INSTITUTIONAL CLASS .... $ 1.00 $ 1.00 N/A
NET ASSETS - SERVICE CLASS ............................................ $ 1,764,421,668 $ 1,101,174,270 $ 3,559,718,726
SHARES OUTSTANDING - SERVICE CLASS .................................... 1,764,421,910 1,101,212,048 3,559,777,528
NET ASSET VALUE AND OFFERING PRICE PER SHARE - SERVICE CLASS .......... $ 1.00 $ 1.00 $ 1.00
---------------- ------------------ -----------------
INVESTMENTS AT COST ...................................................... $ 7,588,153,615 $ 6,190,042,326 $ 3,678,915,771
================ ================== =================
57
STATEMENTS OF OPERATIONS--
FOR THE SIX MONTHS ENDED
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA
TAX-FREE CASH INVESTMENT
MONEY MARKET MONEY MARKET
FUND FUND
- ----------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
INTEREST .............................................................. $ 49,038,433 $ 345,126,239
---------------- ------------------
TOTAL INVESTMENT INCOME .................................................. 49,038,433 345,126,239
---------------- ------------------
EXPENSES
ADVISORY FEES ......................................................... 4,087,541 6,864,952
ADMINISTRATION FEES
FUND LEVEL ......................................................... 720,275 2,815,650
CLASS A ............................................................ 2,737,210 N/A
ADMINISTRATOR CLASS ................................................ N/A 513,614
INSTITUTIONAL CLASS ................................................ N/A 2,728,637
SERVICE CLASS ...................................................... 235,637 3,528,650
CUSTODY FEES .......................................................... 288,110 1,372,990
SHAREHOLDER SERVICING FEES ............................................ 3,601,376 7,864,968
ACCOUNTING FEES ....................................................... 77,787 335,759
PROFESSIONAL FEES ..................................................... 22,199 85,636
REGISTRATION FEES ..................................................... 7,500 87,730
SHAREHOLDER REPORTS ................................................... 19,686 79,452
TRUSTEES' FEES ........................................................ 4,259 4,259
OTHER FEES AND EXPENSES ............................................... 7,467 128,235
---------------- ------------------
TOTAL EXPENSES ........................................................... 11,809,047 26,410,532
---------------- ------------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) .......................... (2,837,426) (3,088,338)
NET EXPENSES .......................................................... 8,971,621 23,322,194
---------------- ------------------
NET INVESTMENT INCOME (LOSS) ............................................. 40,066,812 321,804,045
---------------- ------------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ................................ 183,846 13,618
---------------- ------------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... $ 40,250,658 $ 321,817,663
================ ==================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
58
STATEMENTS OF OPERATIONS--
FOR THE SIX MONTHS ENDED
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
GOVERNMENT HERITAGE NATIONAL TAX-FREE
MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND
- -----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
INTEREST .............................................................. $ 333,296,025 $ 15,957,642 $ 63,265,406
---------------- ------------------ -----------------
TOTAL INVESTMENT INCOME .................................................. 333,296,025 15,957,642 63,265,406
---------------- ------------------ -----------------
EXPENSES
ADVISORY FEES ......................................................... 6,666,469 319,528 1,826,069
ADMINISTRATION FEES
FUND LEVEL ......................................................... 2,756,105 159,764 913,034
CLASS A ............................................................ 1,708,400 N/A 1,093,029
ADMINISTRATOR CLASS ................................................ 533,327 146,542 272,308
INSTITUTIONAL CLASS ................................................ 2,095,560 138,388 387,916
SERVICE CLASS ...................................................... 3,284,575 N/A 686,441
CUSTODY FEES .......................................................... 1,333,294 63,906 365,214
SHAREHOLDER SERVICING FEES ............................................ 9,317,555 146,542 2,944,472
ACCOUNTING FEES ....................................................... 326,430 32,231 98,931
PROFESSIONAL FEES ..................................................... 84,440 11,819 27,996
REGISTRATION FEES ..................................................... 136,544 16,187 118,577
SHAREHOLDER REPORTS ................................................... 128,433 8,976 61,078
TRUSTEES' FEES ........................................................ 4,259 4,259 4,259
OTHER FEES AND EXPENSES ............................................... 133,989 12,827 39,739
---------------- ------------------ -----------------
TOTAL EXPENSES ........................................................... 28,509,380 1,060,969 8,839,063
---------------- ------------------ -----------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) .......................... (2,722,099) (192,734) (1,248,917)
NET EXPENSES .......................................................... 25,787,281 868,235 7,590,146
---------------- ------------------ -----------------
NET INVESTMENT INCOME (LOSS) ............................................. 307,508,744 15,089,407 55,675,260
---------------- ------------------ -----------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ................................ 0 826 6,744
---------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... $ 307,508,744 $ 15,090,233 $ 55,682,004
================ ================== =================
PRIME INVESTMENT TREASURY PLUS 100% TREASURY
MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND
- -----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
INTEREST .............................................................. $ 147,654,433 $ 132,210,267 $ 93,432,766
---------------- ------------------ -----------------
TOTAL INVESTMENT INCOME .................................................. 147,654,433 132,210,267 93,432,766
---------------- ------------------ -----------------
EXPENSES
ADVISORY FEES ......................................................... 2,921,804 2,677,531 5,589,459
ADMINISTRATION FEES
FUND LEVEL ......................................................... 1,405,286 1,321,322 993,351
CLASS A ............................................................ N/A 3,041,642 240,779
ADMINISTRATOR CLASS ................................................ N/A N/A N/A
INSTITUTIONAL CLASS ................................................ 1,410,174 565,730 N/A
SERVICE CLASS ...................................................... 1,390,903 705,365 2,252,709
CUSTODY FEES .......................................................... 584,361 535,506 397,341
SHAREHOLDER SERVICING FEES ............................................ 2,897,715 4,925,921 4,966,755
ACCOUNTING FEES ....................................................... 147,406 135,925 103,456
PROFESSIONAL FEES ..................................................... 45,684 34,767 32,132
REGISTRATION FEES ..................................................... 19,542 35,135 32,677
SHAREHOLDER REPORTS ................................................... 33,911 60,177 37,575
TRUSTEES' FEES ........................................................ 4,259 4,259 4,259
OTHER FEES AND EXPENSES ............................................... 67,399 33,657 76,186
---------------- ------------------ -----------------
TOTAL EXPENSES ........................................................... 10,928,444 14,076,937 14,726,679
---------------- ------------------ -----------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) .......................... (1,056,431) (754,643) (4,628,998)
NET EXPENSES .......................................................... 9,872,013 13,322,294 10,097,681
---------------- ------------------ -----------------
NET INVESTMENT INCOME (LOSS) ............................................. 137,782,420 118,887,973 83,335,085
---------------- ------------------ -----------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ................................ 3,558 0 46,135
---------------- ------------------ -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... $ 137,785,978 $ 118,887,973 $ 83,381,220
================ ================== =================
59
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE
MONEY MARKET FUND
------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .................................................. $ 2,968,478,627 $ 2,779,262,878 $ 2,630,173,391
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .......................................... 40,066,812 50,734,384 20,705,802
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................... 183,846 33,017 43,043
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... 40,250,658 50,767,401 20,748,845
---------------- ----------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ............................................................ (34,290,285) (42,610,256) (17,377,220)
ADMINISTRATOR CLASS ................................................ N/A N/A N/A
INSTITUTIONAL CLASS ................................................ N/A N/A N/A
SERVICE CLASS ...................................................... (5,788,600) (8,124,129) (3,328,633)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ............................................................ 0 0 (193,610)
ADMINISTRATOR CLASS ................................................ N/A N/A N/A
INSTITUTIONAL CLASS ................................................ N/A N/A N/A
SERVICE CLASS ...................................................... 0 0 (37,086)
---------------- ----------------- ---------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ...................................... (40,078,885) (50,734,385) (20,936,549)
---------------- ----------------- ---------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................... 2,092,831,057 3,446,505,417 3,507,961,907
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................... 31,784,032 39,058,022 15,629,406
COST OF SHARES REDEEMED - CLASS A ..................................... (2,190,461,028) (3,356,332,374) (3,363,212,712)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ................................................ (65,845,939) 129,231,065 160,378,601
---------------- ----------------- ---------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS ....................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS ................... N/A N/A N/A
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS ......................... N/A N/A N/A
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS .................................... N/A N/A N/A
---------------- ----------------- ---------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ....................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................... N/A N/A N/A
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ......................... N/A N/A N/A
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................... N/A N/A N/A
---------------- ----------------- ---------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ............................. 679,977,115 1,055,035,051 899,858,046
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ......................... 4,160,583 5,609,147 2,327,260
COST OF SHARES REDEEMED - SERVICE CLASS ............................... (691,468,775) (1,000,692,530) (913,286,716)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .......................................... (7,331,077) 59,951,668 (11,101,410)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS .......................................................... (73,177,016) 189,182,733 149,277,191
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS .................................... (73,005,243) 189,215,749 149,089,487
---------------- ----------------- ---------------
ENDING NET ASSETS ........................................................ $ 2,895,473,384 $ 2,968,478,627 $ 2,779,262,878
================ ================= ===============
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. 2,092,831,057 3,446,505,417 3,507,961,907
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. 31,784,033 39,058,022 15,629,406
SHARES REDEEMED - CLASS A ............................................. (2,190,461,028) (3,356,332,374) (3,363,212,712)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. (65,845,938) 129,231,065 160,378,601
---------------- ----------------- ---------------
SHARES SOLD - ADMINISTRATOR CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS .. N/A N/A N/A
SHARES REDEEMED - ADMINISTRATOR CLASS ................................. N/A N/A N/A
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ...... N/A N/A N/A
---------------- ----------------- ---------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. N/A N/A N/A
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. N/A N/A N/A
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... N/A N/A N/A
---------------- ----------------- ---------------
SHARES SOLD - SERVICE CLASS ........................................... 679,977,115 1,055,035,049 899,858,046
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........ 4,160,584 5,609,147 2,327,260
SHARES REDEEMED - SERVICE CLASS ....................................... (691,468,775) (1,000,692,530) (913,286,716)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ (7,331,076) 59,951,666 (11,101,410)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... (73,177,014) 189,182,731 149,277,191
---------------- ----------------- ---------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............. $ (1,038) $ 11,035 $ (1,037)
================ ================= ===============
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
60
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
CASH INVESTMENT
MONEY MARKET FUND
------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ................................................. $ 13,441,645,443 $ 13,497,300,928 $ 14,593,000,107
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ......................................... 321,804,045 396,754,553 192,660,989
NET REALIZED GAIN (LOSS) ON INVESTMENTS .............................. 13,618 99,796 (451,405)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ......... 321,817,663 396,854,349 192,209,584
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ........................................................... N/A N/A N/A
ADMINISTRATOR CLASS ............................................... (24,067,234) (25,424,209) (8,209,453)
INSTITUTIONAL CLASS ............................................... (164,488,432) (192,121,438) (89,816,669)
SERVICE CLASS ..................................................... (133,312,480) (179,208,905) (94,634,866)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ........................................................... N/A N/A N/A
ADMINISTRATOR CLASS ............................................... 0 0 (3,193)
INSTITUTIONAL CLASS ............................................... 0 0 (34,933)
SERVICE CLASS ..................................................... 0 0 (36,808)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ..................................... (321,868,146) (396,754,552) (192,735,922)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A .................................. N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - CLASS A .............................. N/A N/A N/A
COST OF SHARES REDEEMED - CLASS A .................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ............................................... N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS ...................... 2,917,325,284 4,302,173,491 3,944,391,222
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS .................. 20,337,214 21,007,176 7,392,358
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS ........................ (3,031,071,563) (3,791,854,905) (3,613,607,458)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS ................................... (93,409,065) 531,325,762 338,176,122
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ...................... 21,040,254,054 33,548,761,266 97,750,620,446
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .................. 96,167,688 109,655,374 45,054,692
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ........................ (20,730,445,553) (33,159,579,749) (97,636,401,094)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS ................................... 405,976,189 498,836,891 159,274,044
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ............................ 17,692,300,683 28,174,402,964 28,677,324,345
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........................ 63,674,894 95,015,710 54,692,371
COST OF SHARES REDEEMED - SERVICE CLASS .............................. (17,551,258,098) (29,355,336,609) (30,324,639,723)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS ......................................... 204,717,479 (1,085,917,935) (1,592,623,007)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS ......................................................... 517,284,603 (55,755,282) (1,095,172,841)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS ................................... 517,234,120 (55,655,485) (1,095,699,179)
---------------- ----------------- ----------------
ENDING NET ASSETS ....................................................... $ 13,958,879,563 $ 13,441,645,443 $ 13,497,300,928
================ ================= ================
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................ N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A ............. N/A N/A N/A
SHARES REDEEMED - CLASS A ............................................ N/A N/A N/A
---------------- ----------------- - --------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A ................. N/A N/A N/A
---------------- ----------------- - --------------
SHARES SOLD - ADMINISTRATOR CLASS .................................... 2,917,325,284 4,302,173,491 3,944,391,222
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS . 20,337,214 21,007,176 7,392,358
SHARES REDEEMED - ADMINISTRATOR CLASS ................................ (3,031,071,563) (3,791,854,905) (3,613,607,458)
---------------- ----------------- - --------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ..... (93,409,065) 531,325,762 338,176,122
---------------- ----------------- - --------------
SHARES SOLD - INSTITUTIONAL CLASS .................................... 21,040,254,006 33,548,761,265 97,750,620,446
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS . 96,167,688 109,655,374 45,054,693
SHARES REDEEMED - INSTITUTIONAL CLASS ................................ (20,730,445,553) (33,159,579,749) ( 97,636,401,094)
---------------- ----------------- - --------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ..... 405,976,141 498,836,890 159,274,045
---------------- ----------------- - --------------
SHARES SOLD - SERVICE CLASS .......................................... 17,692,300,683 28,174,402,966 28,677,324,345
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ....... 63,674,894 95,015,710 54,692,371
SHARES REDEEMED - SERVICE CLASS ...................................... (17,551,258,098) (29,355,336,609) ( 30,324,639,723)
---------------- ----------------- - --------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ........... 204,717,479 (1,085,917,933) (1,592,623,007)
---------------- ----------------- - --------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................... 517,284,555 (55,755,281) (1,095,172,840)
---------------- ----------------- - --------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............ $ (7,752) $ 56,349 $ (7,752)
================ ================= = ==============
GOVERNMENT
MONEY MARKET FUND
------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .................................................. $ 11,959,678,588 $ 10,359,039,186 $ 6,765,162,199
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .......................................... 307,508,744 335,710,051 133,906,897
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................... 0 24,124 12,629
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .......... 307,508,744 335,734,175 133,919,526
---------------- ----------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ............................................................ (33,956,080) (24,477,525) (5,344,390)
ADMINISTRATOR CLASS ................................................ (24,766,319) (24,236,661) (7,359,497)
INSTITUTIONAL CLASS ................................................ (125,926,597) (135,639,181) (53,296,190)
SERVICE CLASS ...................................................... (122,883,873) (151,356,685) (67,906,820)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ............................................................ 0 0 (753)
ADMINISTRATOR CLASS ................................................ 0 0 (1,037)
INSTITUTIONAL CLASS ................................................ 0 0 (7,510)
SERVICE CLASS ...................................................... 0 0 (9,568)
---------------- ----------------- ---------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ...................................... (307,532,869) (335,710,052) (133,925,765)
---------------- ----------------- ---------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................... 1,151,160,869 1,423,421,663 665,433,163
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................... 33,827,420 24,283,852 5,244,228
COST OF SHARES REDEEMED - CLASS A ..................................... (485,453,877) (790,328,776) (469,014,824)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A ................................................ 699,534,412 657,376,739 201,662,567
---------------- ----------------- ---------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS ....................... 5,156,488,982 6,255,886,099 6,726,797,286
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS ................... 18,185,632 19,662,362 3,947,147
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS ......................... (4,932,762,858) (5,996,055,439) (6,294,511,632)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS .................................... 241,911,756 279,493,022 436,232,801
---------------- ----------------- ---------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ....................... 20,270,339,077 34,712,207,816 35,402,384,904
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................... 37,907,137 48,029,552 14,119,050
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ......................... (18,514,654,133) (34,216,354,098) (32,923,357,239)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................... 1,793,592,081 543,883,270 2,493,146,715
---------------- ----------------- ---------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ............................. 21,447,341,012 38,013,954,253 37,225,402,698
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ......................... 13,415,375 16,985,185 9,082,897
COST OF SHARES REDEEMED - SERVICE CLASS ............................... (21,380,144,803) (37,911,077,190) (36,771,644,452)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS .......................................... 80,611,584 119,862,248 462,841,143
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS .......................................................... 2,815,649,833 1,600,615,279 3,593,883,226
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS .................................... 2,815,625,708 1,600,639,402 3,593,876,987
---------------- ----------------- ---------------
ENDING NET ASSETS ........................................................ $ 14,775,304,296 $ 11,959,678,588 $10,359,039,186
================ ================= ===============
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ................................................. 1,151,160,869 1,423,421,663 665,433,163
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A .............. 33,827,420 24,283,852 5,244,228
SHARES REDEEMED - CLASS A ............................................. (485,453,877) (790,328,776) (469,014,824)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A .................. 699,534,412 657,376,739 201,662,567
---------------- ----------------- ---------------
SHARES SOLD - ADMINISTRATOR CLASS ..................................... 5,156,488,982 6,255,886,099 6,726,797,286
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS .. 18,185,632 19,662,362 3,947,147
SHARES REDEEMED - ADMINISTRATOR CLASS ................................. (4,932,762,858) (5,996,055,439) (6,294,511,632)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ...... 241,911,756 279,493,022 436,232,801
---------------- ----------------- ---------------
SHARES SOLD - INSTITUTIONAL CLASS ..................................... 20,270,339,077 34,712,207,816 35,402,384,904
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS .. 37,907,136 48,029,552 14,119,050
SHARES REDEEMED - INSTITUTIONAL CLASS ................................. (18,514,654,133) (34,216,354,098) (32,923,357,239)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ...... 1,793,592,080 543,883,270 2,493,146,715
---------------- ----------------- ---------------
SHARES SOLD - SERVICE CLASS ........................................... 21,447,341,012 38,013,954,252 37,225,402,698
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ........ 13,415,375 16,985,185 9,082,897
SHARES REDEEMED - SERVICE CLASS ....................................... (21,380,144,803) (37,911,077,190) (36,771,644,452)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ............ 80,611,584 119,862,247 462,841,143
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................... 2,815,649,832 1,600,615,278 3,593,883,226
---------------- ----------------- ---------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ............. $ 31,016 $ 55,141 $ 31,018
================ ================= ===============
61
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
HERITAGE
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 OCTOBER 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ................................................ $ 708,055,592 $ 640,417,504 $ 615,188,134
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ........................................ 15,089,407 8,220,267 14,094,024
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................. 826 1,087 (115)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........ 15,090,233 8,221,354 14,093,909
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ........................................................... N/A N/A N/A
ADMINISTRATOR CLASS (NOTE 1) ...................................... (6,778,946) (3,791,129) (8,849,333)
ADVISOR CLASS (NOTE 1) ............................................ N/A N/A 0
INSTITUTIONAL CLASS ............................................... (8,310,703) (4,429,139) (5,244,691)
SERVICE CLASS ..................................................... N/A N/A N/A
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ........................................................... N/A N/A N/A
ADMINISTRATOR CLASS ............................................... 0 N/A N/A
INSTITUTIONAL CLASS ............................................... 0 0 0
SERVICE CLASS ..................................................... N/A N/A N/A
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .................................... (15,089,649) (8,220,268) (14,094,024)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................. N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................. N/A N/A N/A
COST OF SHARES REDEEMED - CLASS A ................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A .............................................. N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS (NOTE 1) ............ 227,336,656 116,832,002 255,564,033
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS (NOTE 1) ........ 6,213,693 3,525,465 8,774,882
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS (NOTE 1) .............. (210,564,937) (133,080,784) (415,414,892)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS .................................. 22,985,412 (12,723,317) (151,075,977)
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADVISOR CLASS (NOTE 1) .................. N/A N/A 0
REINVESTMENT OF DISTRIBUTIONS - ADVISOR CLASS (NOTE 1) .............. N/A N/A 594
COST OF SHARES REDEEMED - ADVISOR CLASS (NOTE 1) .................... N/A N/A (138,216)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADVISOR CLASS ........................................ N/A N/A (137,622)
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ..................... 2,078,722,723 490,121,180 560,678,077
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................. 2,462,908 1,048,782 2,301,141
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ....................... (2,212,995,916) (410,809,643) (386,536,134)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................. (131,810,285) 80,360,319 176,443,084
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ........................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ....................... N/A N/A N/A
COST OF SHARES REDEEMED - SERVICE CLASS ............................. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS ........................................ N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS ........................................................ (108,824,873) 67,637,002 25,229,485
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS .................................. (108,824,289) 67,638,088 25,229,370
---------------- ----------------- ----------------
ENDING NET ASSETS ...................................................... $ 599,231,303 $ 708,055,592 $ 640,417,504
================ ================= ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
62
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ................................................ $ 3,424,000,163 $ 2,940,166,170 $ 2,186,314,686
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ........................................ 55,675,260 77,635,860 25,812,613
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................. 6,744 324,627 (42,034)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........ 55,682,004 77,960,487 25,770,579
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ........................................................... (13,972,006) (15,456,427) (5,491,503)
ADMINISTRATOR CLASS (NOTE 1) ...................................... (8,597,498) (13,564,380) N/A
ADVISOR CLASS (NOTE 1) ............................................ N/A N/A N/A
INSTITUTIONAL CLASS ............................................... (15,902,621) (23,214,258) (8,196,846)
SERVICE CLASS ..................................................... (17,211,960) (25,400,794) (12,124,264)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ........................................................... 0 (60,602) (78,320)
ADMINISTRATOR CLASS ............................................... 0 (60,720) 0
INSTITUTIONAL CLASS ............................................... 0 (18,417) (116,904)
SERVICE CLASS ..................................................... 0 (132,684) (172,918)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .................................... (55,684,085) (77,908,282) (26,180,755)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................. 895,154,059 1,660,036,058 1,518,234,814
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................. 13,864,777 15,390,552 5,512,460
COST OF SHARES REDEEMED - CLASS A ................................... (907,338,976) (1,386,738,970) (1,432,897,857)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A .............................................. 1,679,860 288,687,640 90,849,417
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS (NOTE 1) ............ 180,638,104 2,375,719,934 N/A
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS (NOTE 1) ........ 8,328,103 12,980,588 N/A
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS (NOTE 1) .............. (217,535,682) (1,826,922,276) N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS .................................. (28,569,475) 561,778,246 N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADVISOR CLASS (NOTE 1) .................. N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - ADVISOR CLASS (NOTE 1) .............. N/A N/A N/A
COST OF SHARES REDEEMED - ADVISOR CLASS (NOTE 1) .................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADVISOR CLASS ........................................ N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ..................... 4,961,779,581 8,362,985,778 6,349,839,660
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................. 8,097,575 11,441,904 4,396,109
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ....................... (4,647,608,421) (8,706,165,133) (5,624,007,925)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................. 322,268,735 (331,737,451) 730,227,844
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ........................... 1,185,621,168 2,735,514,476 2,722,964,422
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ....................... 4,318,662 9,010,437 4,566,856
COST OF SHARES REDEEMED - SERVICE CLASS ............................. (1,216,865,365) (2,779,471,560) (2,794,346,879)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS ........................................ (26,925,535) (34,946,647) (66,815,601)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS ........................................................ 268,453,585 483,781,788 754,261,660
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS .................................. 268,451,504 483,833,993 753,851,484
---------------- ----------------- ----------------
ENDING NET ASSETS ...................................................... $ 3,692,451,667 $ 3,424,000,163 $ 2,940,166,170
================ ================= ================
PRIME INVESTMENT
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ................................................ $ 4,221,660,864 $ 4,087,156,755 $ 2,552,031,912
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ........................................ 137,782,420 189,605,025 46,483,924
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................. 3,558 8,497 (24,823)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........ 137,785,978 189,613,522 46,459,101
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ........................................................... N/A N/A N/A
ADMINISTRATOR CLASS (NOTE 1) ...................................... N/A N/A N/A
ADVISOR CLASS (NOTE 1) ............................................ N/A N/A N/A
INSTITUTIONAL CLASS ............................................... (85,858,185) (122,539,302) (22,300,314)
SERVICE CLASS ..................................................... (51,931,929) (67,065,723) (24,183,613)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ........................................................... N/A N/A N/A
ADMINISTRATOR CLASS ............................................... N/A N/A N/A
INSTITUTIONAL CLASS ............................................... 0 0 (316)
SERVICE CLASS ..................................................... 0 0 (342)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .................................... (137,790,114) (189,605,025) (46,484,585)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................. N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................. N/A N/A N/A
COST OF SHARES REDEEMED - CLASS A ................................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A .............................................. N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADMINISTRATOR CLASS (NOTE 1) ............ N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR CLASS (NOTE 1) ........ N/A N/A N/A
COST OF SHARES REDEEMED - ADMINISTRATOR CLASS (NOTE 1) .............. N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADMINISTRATOR CLASS .................................. N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - ADVISOR CLASS (NOTE 1) .................. N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - ADVISOR CLASS (NOTE 1) .............. N/A N/A N/A
COST OF SHARES REDEEMED - ADVISOR CLASS (NOTE 1) .................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - ADVISOR CLASS ........................................ N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ..................... 25,458,765,881 22,997,172,084 14,890,595,321
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................. 36,800,024 32,951,081 6,205,711
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ....................... (22,574,359,070) (23,411,649,074) (12,711,599,322)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................. 2,921,206,835 (381,525,909) 2,185,201,710
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ........................... 105,770,764,327 159,728,224,570 89,829,820,847
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ....................... 815,667 1,153,464 955,492
COST OF SHARES REDEEMED - SERVICE CLASS ............................. (105,339,285,945) (159,213,356,513) (90,480,827,722)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS ........................................ 432,294,049 516,021,521 (650,051,383)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS ........................................................ 3,353,500,884 134,495,612 1,535,150,327
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS .................................. 3,353,496,748 134,504,109 1,535,124,843
---------------- ----------------- ----------------
ENDING NET ASSETS ...................................................... $ 7,575,157,612 $ 4,221,660,864 $ 4,087,156,755
================ ================= ================
63
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
HERITAGE
MONEY MARKET FUND
--------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 OCTOBER 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A .............................................. N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A ........... N/A N/A N/A
SHARES REDEEMED - CLASS A .......................................... N/A N/A N/A
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A ............... N/A N/A N/A
---------------- ---------------- ----------------
SHARES SOLD - ADMINISTRATOR CLASS (NOTE 1) ......................... 227,336,656 116,832,055 255,564,033
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR
CLASS (NOTE 1) ................................................... 6,213,693 3,525,465 8,774,882
SHARES REDEEMED - ADMINISTRATOR CLASS (NOTE 1) ..................... (210,564,937) (133,080,784) (415,414,892)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ... 22,985,412 (12,723,264) (151,075,977)
---------------- ---------------- ----------------
SHARES SOLD - ADVISOR CLASS (NOTE 1) ............................... N/A N/A 0
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADVISOR CLASS
(NOTE 1) ......................................................... N/A N/A 594
SHARES REDEEMED - ADVISOR CLASS (NOTE 1) ........................... N/A N/A (138,216)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADVISOR CLASS ......... N/A N/A (137,622)
---------------- ---------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS .................................. 2,078,722,723 490,121,241 560,678,077
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL
CLASS ............................................................ 2,462,907 1,048,782 2,301,141
SHARES REDEEMED - INSTITUTIONAL CLASS .............................. (2,212,995,916) (410,809,643) (386,536,134)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ... (131,810,286) 80,360,380 176,443,084
---------------- ---------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................ N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ..... N/A N/A N/A
SHARES REDEEMED - SERVICE CLASS .................................... N/A N/A N/A
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ......... N/A N/A N/A
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................. (108,824,874) 67,637,116 25,229,485
---------------- ---------------- ----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) .......... $ (2) $ 240 $ 0
================ ================ ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
64
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE
MONEY MARKET FUND
--------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A .............................................. 895,154,059 1,660,036,058 1,518,234,814
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A ........... 13,864,777 15,390,552 5,512,459
SHARES REDEEMED - CLASS A .......................................... (907,338,976) (1,386,738,970) (1,432,897,857)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A ............... 1,679,860 288,687,640 90,849,416
---------------- ---------------- ----------------
SHARES SOLD - ADMINISTRATOR CLASS (NOTE 1) ......................... 180,638,104 2,375,697,461 N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR
CLASS (NOTE 1) ................................................... 8,328,103 12,980,587 N/A
SHARES REDEEMED - ADMINISTRATOR CLASS (NOTE 1) ..................... (217,535,682) (1,826,922,276) N/A
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ... (28,569,475) 561,755,772 N/A
---------------- ---------------- ----------------
SHARES SOLD - ADVISOR CLASS (NOTE 1) ............................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADVISOR CLASS
(NOTE 1) ......................................................... N/A N/A N/A
SHARES REDEEMED - ADVISOR CLASS (NOTE 1) ........................... N/A N/A N/A
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADVISOR CLASS ......... N/A N/A N/A
---------------- ---------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS .................................. 4,961,779,582 8,362,985,778 6,349,839,660
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL
CLASS ............................................................ 8,097,575 11,441,904 4,396,109
SHARES REDEEMED - INSTITUTIONAL CLASS .............................. (4,647,608,421) (8,706,165,133) (5,624,007,925)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ... 322,268,736 (331,737,451) 730,227,844
---------------- ---------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................ 1,185,621,168 2,735,514,477 2,722,964,590
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ..... 4,318,662 9,010,437 4,566,856
SHARES REDEEMED - SERVICE CLASS .................................... (1,216,865,365) (2,779,471,560) (2,794,346,879)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ......... (26,925,535) (34,946,646) (66,815,433)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................. 268,453,586 483,759,315 754,261,827
---------------- ---------------- ----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) .......... $ 2 $ 8,827 $ 0
================ ================ ================
PRIME INVESTMENT
MONEY MARKET FUND
--------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A .............................................. N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A ........... N/A N/A N/A
SHARES REDEEMED - CLASS A .......................................... N/A N/A N/A
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A ............... N/A N/A N/A
---------------- ---------------- ----------------
SHARES SOLD - ADMINISTRATOR CLASS (NOTE 1) ......................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADMINISTRATOR
CLASS (NOTE 1) ................................................... N/A N/A N/A
SHARES REDEEMED - ADMINISTRATOR CLASS (NOTE 1) ..................... N/A N/A N/A
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADMINISTRATOR CLASS ... N/A N/A N/A
---------------- ---------------- ----------------
SHARES SOLD - ADVISOR CLASS (NOTE 1) ............................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - ADVISOR CLASS
(NOTE 1) ......................................................... N/A N/A N/A
SHARES REDEEMED - ADVISOR CLASS (NOTE 1) ........................... N/A N/A N/A
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - ADVISOR CLASS ......... N/A N/A N/A
---------------- ---------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS .................................. 25,458,765,881 22,997,172,084 14,890,595,321
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL
CLASS ............................................................ 36,800,024 32,951,081 6,205,711
SHARES REDEEMED - INSTITUTIONAL CLASS .............................. (22,574,359,070) (23,411,649,074) (12,711,599,322)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS ... 2,921,206,835 (381,525,909) 2,185,201,710
---------------- ---------------- ----------------
SHARES SOLD - SERVICE CLASS ........................................ 105,770,764,327 159,728,224,571 89,829,820,847
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ..... 815,667 1,153,464 955,491
SHARES REDEEMED - SERVICE CLASS .................................... (105,339,285,945) (159,213,356,514) (90,480,827,722)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS ......... 432,294,049 516,021,521 (650,051,384)
---------------- ---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................. 3,353,500,884 134,495,612 1,535,150,326
---------------- ---------------- ----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) .......... $ 1 $ 7,695 $ 1
================ ================ ================
65
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
TREASURY PLUS
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ................................................ $ 4,879,764,763 $ 4,971,385,295 $ 5,747,241,499
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ........................................ 118,887,973 140,545,536 55,981,315
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................. 0 53,832 (163,649)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........ 118,887,973 140,599,368 55,817,666
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ........................................................... (59,121,626) (72,949,376) (24,276,293)
INSTITUTIONAL CLASS ............................................... (33,693,951) (38,279,612) (19,346,848)
SERVICE CLASS ..................................................... (26,089,006) (29,316,547) (12,358,177)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ........................................................... 0 0 (1,993)
INSTITUTIONAL CLASS ............................................... 0 0 (1,588)
SERVICE CLASS ..................................................... 0 0 (1,015)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .................................... (118,904,583) (140,545,535) (55,985,914)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................. 7,539,552,446 12,146,396,546 10,429,884,979
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................. 18,418,742 23,294,362 7,427,144
COST OF SHARES REDEEMED - CLASS A ................................... (7,475,932,753) (11,893,116,301) (10,398,131,297)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A .............................................. 82,038,435 276,574,607 39,180,826
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ..................... 8,363,357,920 16,041,775,506 30,679,921,452
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................. 16,382,850 15,558,664 5,919,568
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ....................... (7,578,625,616) (16,159,880,690) (31,381,603,066)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................. 801,115,154 (102,546,520) (695,762,046)
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ........................... 9,502,726,687 14,411,828,408 18,558,403,584
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ....................... 3,432,691 4,064,352 1,815,019
COST OF SHARES REDEEMED - SERVICE CLASS ............................. (9,345,085,587) (14,681,595,212) (18,679,325,339)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS ........................................ 161,073,791 (265,702,452) (119,106,736)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS ........................................................ 1,044,227,380 (91,674,365) (775,687,956)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS .................................. 1,044,210,770 (91,620,532) (775,856,204)
---------------- ----------------- ----------------
ENDING NET ASSETS ...................................................... $ 5,923,975,533 $ 4,879,764,763 $ 4,971,385,295
================ ================= ================
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ............................................... 7,539,552,446 12,146,396,381 10,429,884,979
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A ............ 18,418,742 23,294,362 7,427,144
SHARES REDEEMED - CLASS A ........................................... (7,475,932,753) (11,893,116,301) (10,398,131,297)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A ................ 82,038,435 276,574,442 39,180,826
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ................................... 8,363,357,920 16,041,775,507 30,679,921,450
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL
CLASS ............................................................. 16,382,850 15,558,664 5,919,568
SHARES REDEEMED - INSTITUTIONAL CLASS ............................... (7,578,625,616) (16,159,880,690) (31,381,603,066)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS .... 801,115,154 (102,546,519) (695,762,048)
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ......................................... 9,502,726,688 14,411,828,408 18,558,403,584
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ...... 3,432,691 4,064,352 1,815,019
SHARES REDEEMED - SERVICE CLASS ..................................... (9,345,085,587) (14,681,595,212) (18,679,325,339)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS .......... 161,073,792 (265,702,452) (119,106,736)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................. 1,044,227,381 (91,674,529) (775,687,958)
---------------- ----------------- ----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ........... $ 647 $ 17,256 $ 644
================ ================= ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
66
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
100% TREASURY
MONEY MARKET FUND
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ................................................ $ 3,783,181,409 $ 3,192,222,434 $ 3,140,902,133
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ........................................ 83,335,085 90,583,393 34,956,971
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................. 46,135 (116,024) 999
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........ 83,381,220 90,467,369 34,957,970
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME
CLASS A ........................................................... (4,462,551) (4,456,262) (1,554,213)
INSTITUTIONAL CLASS ............................................... N/A N/A N/A
SERVICE CLASS ..................................................... (78,884,335) (86,127,132) (33,402,758)
NET REALIZED GAIN ON SALES OF INVESTMENTS
CLASS A ........................................................... 0 0 (3,210)
INSTITUTIONAL CLASS ............................................... N/A N/A N/A
SERVICE CLASS ..................................................... 0 0 (68,994)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .................................... (83,346,886) (90,583,394) (35,029,175)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - CLASS A ................................. 339,009,358 398,909,877 319,141,466
REINVESTMENT OF DISTRIBUTIONS - CLASS A ............................. 4,437,259 4,383,378 1,544,672
COST OF SHARES REDEEMED - CLASS A ................................... (315,140,779) (362,135,295) (323,331,614)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - CLASS A .............................................. 28,305,838 41,157,960 (2,645,476)
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - INSTITUTIONAL CLASS ..................... N/A N/A N/A
REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL CLASS ................. N/A N/A N/A
COST OF SHARES REDEEMED - INSTITUTIONAL CLASS ....................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INSTITUTIONAL CLASS .................................. N/A N/A N/A
---------------- ----------------- ----------------
PROCEEDS FROM SHARES SOLD - SERVICE CLASS ........................... 11,128,873,679 19,212,585,427 17,521,081,934
REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ....................... 10,805,182 13,209,599 4,347,987
COST OF SHARES REDEEMED - SERVICE CLASS ............................. (11,161,789,671) (18,675,877,986) (17,471,392,939)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - SERVICE CLASS ........................................ (22,110,810) 549,917,040 54,036,982
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS ........................................................ 6,195,028 591,075,000 51,391,506
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS .................................. 6,229,362 590,958,975 51,320,301
---------------- ----------------- ----------------
ENDING NET ASSETS ...................................................... $ 3,789,410,771 $ 3,783,181,409 $ 3,192,222,434
================ ================= ================
SHARES ISSUED AND REDEEMED:
SHARES SOLD - CLASS A ............................................... 339,009,356 398,909,876 319,141,466
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - CLASS A ............ 4,437,259 4,383,378 1,544,672
SHARES REDEEMED - CLASS A ........................................... (315,140,779) (362,135,295) (323,331,614)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - CLASS A ................ 28,305,836 41,157,959 (2,645,476)
---------------- ----------------- ----------------
SHARES SOLD - INSTITUTIONAL CLASS ................................... N/A N/A N/A
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INSTITUTIONAL
CLASS ............................................................. N/A N/A N/A
SHARES REDEEMED - INSTITUTIONAL CLASS ............................... N/A N/A N/A
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - INSTITUTIONAL CLASS .... N/A N/A N/A
---------------- ----------------- ----------------
SHARES SOLD - SERVICE CLASS ......................................... 11,128,873,679 19,212,585,427 17,521,081,937
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - SERVICE CLASS ...... 10,805,183 13,209,599 4,347,987
SHARES REDEEMED - SERVICE CLASS ..................................... (11,161,789,672) (18,675,877,986) (17,471,392,939)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING - SERVICE CLASS .......... (22,110,810) 549,917,040 54,036,985
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS .................................................. 6,195,026 591,074,999 51,391,509
---------------- ----------------- ----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ........... $ 190,132 $ 201,933 $ 172,889
================ ================= ================
67
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NET REALIZED
BEGINNING AND DISTRIBUTIONS
NET ASSET NET UNREALIZED FROM NET
VALUE PER INVESTMENT GAIN (LOSS) ON INVESTMENT
SHARE INCOME (LOSS) INVESTMENTS INCOME
- ---------------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.01 0.00 (0.01)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................... $1.00 0.02 0.00 (0.02)
APRIL 1, 2000 TO MARCH 31, 2001 ................... $1.00 0.03 0.00 (0.03)
CASH INVESTMENT MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
JULY 31, 2003(3) TO MARCH 31, 2004 ................ $1.00 0.01 0.00 (0.01)
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.02 0.00 (0.02)
APRIL 1, 2003 TO MARCH 31, 2004 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ................... $1.00 0.02 0.00 (0.02)
APRIL 1, 2001 TO MARCH 31, 2002 ................... $1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 ................... $1.00 0.06 0.00 (0.06)
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................... $1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 ................... $1.00 0.06 0.00 (0.06)
GOVERNMENT MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
JULY 31, 2003(3) TO MARCH 31, 2004 ................ $1.00 0.01 0.00 (0.01)
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.02 0.00 (0.02)
JULY 28, 2003(3) TO MARCH 31, 2004 ................ $1.00 0.01 0.00 (0.01)
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................... $1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 ................... $1.00 0.05 0.00 (0.05)
HERITAGE MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
NOVEMBER 1, 2005 TO FEBRUARY 28, 2006(5) .......... $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2004 TO OCTOBER 31, 2005 .............. $1.00 0.03 0.00 (0.03)
NOVEMBER 1, 2003 TO OCTOBER 31, 2004 .............. $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2002 TO OCTOBER 31, 2003 .............. $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2001 TO OCTOBER 31, 2002 .............. $1.00 0.02 0.00 (0.02)
NOVEMBER 1, 2000 TO OCTOBER 31, 2001 .............. $1.00 0.05 0.00 (0.05)
68
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
DISTRIBUTIONS ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
FROM NET NET ASSET -----------------------------------------------
REALIZED VALUE PER NET INVESTMENT GROSS EXPENSES NET
GAINS SHARE INCOME EXPENSES WAIVED EXPENSES
- --------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 2.95% 0.73% (0.28)% 0.45%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 2.18% 0.74% (0.29)% 0.45%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.00% 0.66% (0.21)% 0.45%
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.00 $1.00 0.56% 0.50% (0.05)% 0.45%
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.00 $1.00 0.90% 0.50% (0.05)% 0.45%
APRIL 1, 2001 TO MARCH 31, 2002 ................... 0.00 $1.00 1.62% 0.49% (0.04)% 0.45%
APRIL 1, 2000 TO MARCH 31, 2001 ................... 0.00 $1.00 3.10% 0.57% (0.12)% 0.45%
CASH INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.69% 0.37% (0.02)% 0.35%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 3.37% 0.37% (0.02)% 0.35%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.57% 0.37% (0.02)% 0.35%
JULY 31, 2003(3) TO MARCH 31, 2004 ................ 0.00 $1.00 0.79% 0.39% (0.04)% 0.35%
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.82% 0.25% (0.05)% 0.20%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 3.50% 0.25% (0.05)% 0.20%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.61% 0.26% (0.06)% 0.20%
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.00 $1.00 0.97% 0.26% (0.04)% 0.22%
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.00 $1.00 1.52% 0.28% (0.03)% 0.25%
APRIL 1, 2001 TO MARCH 31, 2002 ................... 0.00 $1.00 3.14% 0.28% (0.03)% 0.25%
APRIL 1, 2000 TO MARCH 31, 2001 ................... 0.00 $1.00 6.16% 0.31% (0.06)% 0.25%
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.53% 0.54% (0.04)% 0.50%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 3.12% 0.54% (0.04)% 0.50%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.26% 0.55% (0.05)% 0.50%
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.00 $1.00 0.70% 0.55% (0.06)% 0.49%
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.00 $1.00 1.31% 0.54% (0.06)% 0.48%
APRIL 1, 2001 TO MARCH 31, 2002 ................... 0.00 $1.00 2.91% 0.54% (0.06)% 0.48%
APRIL 1, 2000 TO MARCH 31, 2001 ................... 0.00 $1.00 5.94% 0.54% (0.06)% 0.48%
GOVERNMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.64% 0.37% (0.02)% 0.35%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 3.33% 0.38% (0.03)% 0.35%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.59% 0.38% (0.03)% 0.35%
JULY 31, 2003(3) TO MARCH 31, 2004 ................ 0.00 $1.00 0.75% 0.37% (0.02)% 0.35%
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.81% 0.25% (0.05)% 0.20%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 3.45% 0.26% (0.06)% 0.20%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.66% 0.26% (0.06)% 0.20%
JULY 28, 2003(3) TO MARCH 31, 2004 ................ 0.00 $1.00 0.90% 0.25% (0.05)% 0.20%
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.49% 0.54% (0.04)% 0.50%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 3.13% 0.55% (0.05)% 0.50%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.26% 0.55% (0.05)% 0.50%
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.00 $1.00 0.65% 0.55% (0.05)% 0.50%
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.00 $1.00 1.24% 0.54% (0.04)% 0.50%
APRIL 1, 2001 TO MARCH 31, 2002 ................... 0.00 $1.00 2.67% 0.52% (0.02)% 0.50%
APRIL 1, 2000 TO MARCH 31, 2001 ................... 0.00 $1.00 5.79% 0.56% (0.06)% 0.50%
HERITAGE MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.63% 0.40% (0.02)% 0.38%
NOVEMBER 1, 2005 TO FEBRUARY 28, 2006(5) .......... 0.00 $1.00 3.91% 0.40% (0.02)% 0.38%
NOVEMBER 1, 2004 TO OCTOBER 31, 2005 .............. 0.00 $1.00 2.41% 0.56% (0.17)% 0.39%
NOVEMBER 1, 2003 TO OCTOBER 31, 2004 .............. 0.00 $1.00 0.86% 0.68% (0.28)% 0.40%
NOVEMBER 1, 2002 TO OCTOBER 31, 2003 .............. 0.00 $1.00 0.95% 0.62% (0.22)% 0.40%
NOVEMBER 1, 2001 TO OCTOBER 31, 2002 .............. 0.00 $1.00 1.69% 0.60% (0.20)% 0.40%
NOVEMBER 1, 2000 TO OCTOBER 31, 2001 .............. 0.00 $1.00 4.68% 0.58% (0.18)% 0.40%
NET ASSETS AT
TOTAL END OF PERIOD
RETURN(2) (000'S OMITTED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 1.50% $ 408,742
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 2.04% $ 416,048
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.99% $ 356,093
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.56% $ 367,216
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.93% $ 304,422
APRIL 1, 2001 TO MARCH 31, 2002 ................... 1.75% $ 262,866
APRIL 1, 2000 TO MARCH 31, 2001 ................... 3.20% $ 150,149
CASH INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.38% $1,057,205
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 3.06% $1,150,617
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.45% $ 619,286
JULY 31, 2003(3) TO MARCH 31, 2004 ................ 0.53% $ 281,124
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.46% $6,903,217
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 3.21% $6,497,267
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.60% $5,998,383
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.98% $5,839,329
APRIL 1, 2002 TO MARCH 31, 2003 ................... 1.54% $5,175,328
APRIL 1, 2001 TO MARCH 31, 2002 ................... 3.28% $5,478,005
APRIL 1, 2000 TO MARCH 31, 2001 ................... 6.38% $3,332,149
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.31% $ 5,998,457
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 2.92% $ 5,793,762
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.30% $ 6,879,632
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.70% $ 8,472,548
APRIL 1, 2002 TO MARCH 31, 2003 ................... 1.31% $10,590,565
APRIL 1, 2001 TO MARCH 31, 2002 ................... 3.05% $13,345,951
APRIL 1, 2000 TO MARCH 31, 2001 ................... 6.14% $12,307,775
GOVERNMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.36% $1,118,145
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 3.05% $ 876,234
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.41% $ 596,740
JULY 31, 2003(3) TO MARCH 31, 2004 ................ 0.50% $ 160,507
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.44% $6,302,337
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 3.19% $4,508,755
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.57% $3,964,854
JULY 28, 2003(3) TO MARCH 31, 2004 ................ 0.61% $1,471,711
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.28% $5,431,082
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 2.91% $5,350,480
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.26% $5,230,613
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.65% $4,767,774
APRIL 1, 2002 TO MARCH 31, 2003 ................... 1.27% $4,837,603
APRIL 1, 2001 TO MARCH 31, 2002 ................... 2.86% $5,752,411
APRIL 1, 2000 TO MARCH 31, 2001 ................... 5.97% $3,181,143
HERITAGE MONEY MARKET FUND
- --------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.35% $ 311,957
NOVEMBER 1, 2005 TO FEBRUARY 28, 2006(5) .......... 1.29% $ 288,971
NOVEMBER 1, 2004 TO OCTOBER 31, 2005 .............. 2.54% $ 301,694
NOVEMBER 1, 2003 TO OCTOBER 31, 2004 .............. 0.88% $ 452,770
NOVEMBER 1, 2002 TO OCTOBER 31, 2003 .............. 0.94% $ 706,440
NOVEMBER 1, 2001 TO OCTOBER 31, 2002 .............. 1.69% $1,034,437
NOVEMBER 1, 2000 TO OCTOBER 31, 2001 .............. 4.73% $1,343,523
69
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NET REALIZED
BEGINNING AND DISTRIBUTIONS
NET ASSET NET UNREALIZED FROM NET
VALUE PER INVESTMENT GAIN (LOSS) ON INVESTMENT
SHARE INCOME (LOSS) INVESTMENTS INCOME
- ---------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
NOVEMBER 1, 2005 TO FEBRUARY 28, 2006(5) .......... $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2004 TO OCTOBER 31, 2005 .............. $1.00 0.03 0.00 (0.03)
NOVEMBER 1, 2003 TO OCTOBER 31, 2004 .............. $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2002 TO OCTOBER 31, 2003 .............. $1.00 0.01 0.00 (0.01)
NOVEMBER 1, 2001 TO OCTOBER 31, 2002 .............. $1.00 0.02 0.00 (0.02)
NOVEMBER 1, 2000 TO OCTOBER 31, 2001 .............. $1.00 0.05 0.00 (0.05)
NATIONAL TAX-FREE MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 11, 2005(3) TO FEBRUARY 28, 2006 ............ $1.00 0.02 0.00 (0.02)
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................... $1.00 0.02 0.00 (0.02)
APRIL 1, 2000 TO MARCH 31, 2001 ................... $1.00 0.04 0.00 (0.04)
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................... $1.00 0.02 0.00 (0.02)
APRIL 1, 2000 TO MARCH 31, 2001 ................... $1.00 0.04 0.00 (0.04)
PRIME INVESTMENT MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.02 0.00 (0.02)
JULY 28, 2003(3) TO MARCH 31, 2004 ................ $1.00 0.01 0.00 (0.01)
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................... $1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 ................... $1.00 0.06 0.00 (0.06)
TREASURY PLUS MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................... $1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 ................... $1.00 0.06 0.00 (0.06)
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................... $1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 ................... $1.00 0.06 0.00 (0.06)
70
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
DISTRIBUTIONS ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
FROM NET NET ASSET -----------------------------------------------
REALIZED VALUE PER NET INVESTMENT GROSS EXPENSES NET
GAINS SHARE INCOME EXPENSES WAIVED EXPENSES
- --------------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.80% 0.28% (0.10)% 0.18%
NOVEMBER 1, 2005 TO FEBRUARY 28, 2006(5) .......... 0.00 $1.00 4.13% 0.28% (0.10)% 0.18%
NOVEMBER 1, 2004 TO OCTOBER 31, 2005 .............. 0.00 $1.00 2.97% 0.28% (0.10)% 0.18%
NOVEMBER 1, 2003 TO OCTOBER 31, 2004 .............. 0.00 $1.00 1.07% 0.26% (0.08)% 0.18%
NOVEMBER 1, 2002 TO OCTOBER 31, 2003 .............. 0.00 $1.00 1.25% 0.22% (0.04)% 0.18%
NOVEMBER 1, 2001 TO OCTOBER 31, 2002 .............. 0.00 $1.00 1.86% 0.21% (0.03)% 0.18%
NOVEMBER 1, 2000 TO OCTOBER 31, 2001 .............. 0.00 $1.00 4.47% 0.24% (0.06)% 0.18%
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 3.16% 0.39% (0.09)% 0.30%
APRIL 11, 2005(3) TO FEBRUARY 28, 2006 ............ 0.00 $1.00 2.39% 0.39% (0.09)% 0.30%
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 3.28% 0.27% (0.07)% 0.20%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 2.46% 0.27% (0.07)% 0.20%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.37% 0.26% (0.06)% 0.20%
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.00 $1.00 0.82% 0.26% (0.04)% 0.22%
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.00 $1.00 1.23% 0.29% 0.00% 0.29%
APRIL 1, 2001 TO MARCH 31, 2002 ................... 0.00 $1.00 2.05% 0.38% (0.08)% 0.30%
APRIL 1, 2000 TO MARCH 31, 2001 ................... 0.00 $1.00 3.86% 0.37% (0.07)% 0.30%
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 3.01% 0.56% (0.11)% 0.45%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 2.23% 0.56% (0.11)% 0.45%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.01% 0.55% (0.10)% 0.45%
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.00 $1.00 0.62% 0.55% (0.10)% 0.45%
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.00 $1.00 1.06% 0.55% (0.10)% 0.45%
APRIL 1, 2001 TO MARCH 31, 2002 ................... 0.00 $1.00 1.96% 0.54% (0.09)% 0.45%
APRIL 1, 2000 TO MARCH 31, 2001 ................... 0.00 $1.00 3.68% 0.56% (0.11)% 0.45%
PRIME INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.87% 0.26% (0.06)% 0.20%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 3.46% 0.26% (0.06)% 0.20%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.87% 0.26% (0.06)% 0.20%
JULY 28, 2003(3) TO MARCH 31, 2004 ................ 0.00 $1.00 0.89% 0.25% (0.05)% 0.20%
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.48% 0.55% 0.00% 0.55%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 3.18% 0.55% 0.00% 0.55%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.20% 0.55% 0.00% 0.55%
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.00 $1.00 0.59% 0.55% (0.01)% 0.54%
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.00 $1.00 1.14% 0.55% 0.00% 0.55%
APRIL 1, 2001 TO MARCH 31, 2002 ................... 0.00 $1.00 2.64% 0.55% 0.00% 0.55%
APRIL 1, 2000 TO MARCH 31, 2001 ................... 0.00 $1.00 5.72% 0.63% (0.08)% 0.55%
TREASURY PLUS MONEY MARKET FUND
- --------------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.76% 0.26% (0.06)% 0.20%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 3.29% 0.26% (0.06)% 0.20%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.39% 0.27% (0.07)% 0.20%
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.00 $1.00 0.88% 0.26% (0.06)% 0.20%
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.00 $1.00 1.38% 0.29% (0.08)% 0.21%
APRIL 1, 2001 TO MARCH 31, 2002 ................... 0.00 $1.00 2.78% 0.29% (0.08)% 0.21%
APRIL 1, 2000 TO MARCH 31, 2001 ................... 0.00 $1.00 5.88% 0.30% (0.05)% 0.25%
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $1.00 4.44% 0.55% (0.05)% 0.50%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 0.00 $1.00 2.99% 0.55% (0.05)% 0.50%
APRIL 1, 2004 TO MARCH 31, 2005 ................... 0.00 $1.00 1.12% 0.56% (0.06)% 0.50%
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.00 $1.00 0.60% 0.55% (0.06)% 0.49%
APRIL 1, 2002 TO MARCH 31, 2003 ................... 0.00 $1.00 1.18% 0.55% (0.09)% 0.46%
APRIL 1, 2001 TO MARCH 31, 2002 ................... 0.00 $1.00 2.54% 0.53% (0.07)% 0.46%
APRIL 1, 2000 TO MARCH 31, 2001 ................... 0.00 $1.00 5.64% 0.55% (0.09)% 0.46%
NET ASSETS AT
TOTAL END OF PERIOD
RETURN(2) (000'S OMITTED)
- --------------------------------------------------------------------------------
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.46% $ 287,275
NOVEMBER 1, 2005 TO FEBRUARY 28, 2006(5) .......... 1.36% $ 419,084
NOVEMBER 1, 2004 TO OCTOBER 31, 2005 .............. 2.75% $ 338,723
NOVEMBER 1, 2003 TO OCTOBER 31, 2004 .............. 1.10% $ 162,280
NOVEMBER 1, 2002 TO OCTOBER 31, 2003 .............. 1.16% $ 263,513
NOVEMBER 1, 2001 TO OCTOBER 31, 2002 .............. 1.91% $1,079,326
NOVEMBER 1, 2000 TO OCTOBER 31, 2001 .............. 4.96% $ 698,615
NATIONAL TAX-FREE MONEY MARKET FUND
- --------------------------------------------------------------------------------
ADMINISTRATOR CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 1.60% $ 533,219
APRIL 11, 2005(3) TO FEBRUARY 28, 2006 ............ 2.21% $ 561,788
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 1.66% $1,022,799
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 2.31% $ 700,534
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.27% $1,032,250
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.85% $ 302,140
APRIL 1, 2002 TO MARCH 31, 2003 ................... 1.23% $ 126,969
APRIL 1, 2001 TO MARCH 31, 2002 ................... 2.20% $ 138,179
APRIL 1, 2000 TO MARCH 31, 2001 ................... 3.93% $ 65,265
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 1.53% $1,133,670
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 2.08% $1,160,594
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.02% $1,195,511
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.62% $1,262,512
APRIL 1, 2002 TO MARCH 31, 2003 ................... 1.07% $1,401,583
APRIL 1, 2001 TO MARCH 31, 2002 ................... 2.05% $1,433,976
APRIL 1, 2000 TO MARCH 31, 2001 ................... 3.78% $1,183,279
PRIME INVESTMENT MONEY MARKET FUND
- --------------------------------------------------------------------------------
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.45% $5,810,736
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 3.23% $2,889,532
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.58% $3,271,052
JULY 28, 2003(3) TO MARCH 31, 2004 ................ 0.60% $1,085,856
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.27% $1,764,422
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 2.90% $1,332,129
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.22% $ 816,105
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.60% $1,466,176
APRIL 1, 2002 TO MARCH 31, 2003 ................... 1.14% $1,818,364
APRIL 1, 2001 TO MARCH 31, 2002 ................... 2.80% $2,006,493
APRIL 1, 2000 TO MARCH 31, 2001 ................... 6.02% $1,678,432
TREASURY PLUS MONEY MARKET FUND
- --------------------------------------------------------------------------------
INSTITUTIONAL CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.40% $1,967,213
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 3.07% $1,166,102
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.48% $1,268,636
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.88% $1,964,435
APRIL 1, 2002 TO MARCH 31, 2003 ................... 1.45% $1,565,864
APRIL 1, 2001 TO MARCH 31, 2002 ................... 2.97% $ 905,766
APRIL 1, 2000 TO MARCH 31, 2001 ................... 6.05% $ 415,965
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 2.25% $1,101,174
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............. 2.78% $ 940,104
APRIL 1, 2004 TO MARCH 31, 2005 ................... 1.17% $1,205,795
APRIL 1, 2003 TO MARCH 31, 2004 ................... 0.60% $1,324,943
APRIL 1, 2002 TO MARCH 31, 2003 ................... 1.20% $1,207,609
APRIL 1, 2001 TO MARCH 31, 2002 ................... 2.73% $1,158,202
APRIL 1, 2000 TO MARCH 31, 2001 ................... 5.83% $1,050,508
71
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NET REALIZED
BEGINNING AND DISTRIBUTIONS
NET ASSET NET UNREALIZED FROM NET
VALUE PER INVESTMENT GAIN (LOSS) ON INVESTMENT
SHARE INCOME (LOSS) INVESTMENTS INCOME
- ---------------------------------------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND
- ---------------------------------------------------------------------------------------------------------------
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 ............... $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ............... $1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 ............... $1.00 0.05 0.00 (0.05)
72
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
DISTRIBUTIONS ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
FROM NET NET ASSET --------------------------------------------------
REALIZED VALUE PER NET INVESTMENT GROSS EXPENSES NET
GAINS SHARE INCOME EXPENSES WAIVED EXPENSES
- -----------------------------------------------------------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND
- -----------------------------------------------------------------------------------------------------------------------------------
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 4.20% 0.74% (0.24)% 0.50%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 0.00 $1.00 2.89% 0.73% (0.23)% 0.50%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 1.12% 0.68% (0.18)% 0.50%
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.00 $1.00 0.52% 0.55% (0.06)% 0.49%
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.00 $1.00 1.12% 0.55% (0.09)% 0.46%
APRIL 1, 2001 TO MARCH 31, 2002 ............... 0.00 $1.00 2.53% 0.55% (0.09)% 0.46%
APRIL 1, 2000 TO MARCH 31, 2001 ............... 0.00 $1.00 5.41% 0.55% (0.09)% 0.46%
NET ASSETS AT
TOTAL END OF PERIOD
RETURN(2) (000'S OMITTED)
- ---------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND
- ---------------------------------------------------------------------------------
SERVICE CLASS
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.14% $ 3,559,719
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 2.64% $ 3,581,797
APRIL 1, 2004 TO MARCH 31, 2005 ............... 1.11% $ 3,031,989
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.53% $ 2,978,019
APRIL 1, 2002 TO MARCH 31, 2003 ............... 1.15% $ 2,725,643
APRIL 1, 2001 TO MARCH 31, 2002 ............... 2.68% $ 2,501,888
APRIL 1, 2000 TO MARCH 31, 2001 ............... 5.59% $ 2,254,618
73
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS NOTES TO FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(1) During each period, various fees and expenses were waived and reimbursed
as indicated. The ratio of Gross Expenses to Average Net Assets reflects
the expense ratio in the absence of any waivers and reimbursements (Note
3).
(2) Total return calculations would have been lower had certain expenses not
been waived or reimbursed during the periods shown. Returns for periods of
less than one year are not annualized.
(3) Commencement of operations.
(4) The Fund changed its fiscal year end from March 31 to February 28.
(5) The Fund changed its fiscal year end from October 31 to February 28.
74
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
1. ORGANIZATION
- --------------------------------------------------------------------------------
Wells Fargo Funds Trust (the "Trust") is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end management
investment company. The Trust commenced operations on November 8, 1999, and at
August 31, 2006, was comprised of 108 separate series (each, a "Fund",
collectively, the "Funds"). These financial statements present the California
Tax-Free Money Market Fund, Cash Investment Money Market Fund, Government Money
Market Fund, Heritage Money Market Fund, National Tax-Free Money Market Fund,
Prime Investment Money Market Fund, Treasury Plus Money Market Fund, and 100%
Treasury Money Market Fund. Each Fund, except for the California Tax-Free Money
Market Fund, is a diversified series of the Trust. The California Tax-Free Money
Market Fund is a non-diversified series of the Trust.
In August and September 2004, the Board of Trustees of the Trust and the
Boards of Directors of the Strong Funds ("Strong Funds") approved an Agreement
and Plan of Reorganization providing for the reorganization of certain Strong
Funds into the Funds.
Effective at the close of business on April 8, 2005, the following
Acquiring Funds ("Acquiring Funds") acquired substantially all of the net assets
of the following Target Funds ("Target Funds") through a tax-free exchange under
section 368 of the Internal Revenue Code. The following is a summary of shares
outstanding and net assets immediately before and after the reorganization:
Before Reorganization After Reorganization
-------------------------------------------------------------------- ---------------------
Target Fund Target Fund Acquiring Fund** Wells Fargo
Strong Florida Municipal Strong Wells Fargo Advantage National
Money Market Tax-Free Money National Tax-Free Tax-Free Money
Fund Fund Fund Money Market Fund Market Fund
- -----------------------------------------------------------------------------------------------------------------------------------
Shares:
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A 0 0 737,825,002 737,825,002
- -----------------------------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS* 0 0 0 979,348,537
- -----------------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS 0 0 1,203,664,926 1,203,664,926
- -----------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS* 30,965,555 948,382,982 0 0
- -----------------------------------------------------------------------------------------------------------------------------------
SERVICE CLASS 0 0 1,202,555,668 1,202,555,668
- -----------------------------------------------------------------------------------------------------------------------------------
Net Assets:
- -----------------------------------------------------------------------------------------------------------------------------------
CLASS A $ 0 $ 0 $ 737,834,448 $ 737,834,448
- -----------------------------------------------------------------------------------------------------------------------------------
ADMINISTRATOR CLASS* 0 0 0 979,371,575
- -----------------------------------------------------------------------------------------------------------------------------------
INSTITUTIONAL CLASS 0 0 1,203,577,280 1,203,577,280
- -----------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS* 30,965,555 948,406,020 0 0
- -----------------------------------------------------------------------------------------------------------------------------------
SERVICE CLASS 0 0 1,202,699,888 1,202,699,888
- -----------------------------------------------------------------------------------------------------------------------------------
Accumulated net realized gain (loss) $ 0 $ (31,969) $ (134,237) $ (166,206)
- -----------------------------------------------------------------------------------------------------------------------------------
* Effective at the close of business on April 8, 2005, Investor Class of
Strong Florida Municipal Money Market Fund and Strong Tax-Free Money Fund
merged into Administrator Class of Wells Fargo Advantage National Tax-Free
Money Market Fund.
** Designates the accounting survivor.
Effective at the close of business on April 8, 2005, the following
Acquiring Fund ("Acquiring Fund") acquired substantially all of the net assets
of the following Target Fund ("Target Fund") through a tax-free exchange under
section 368 of the Internal Revenue Code.
Acquiring Fund Target Fund
- -----------------------------------------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE HERITAGE MONEY MARKET FUND - ADMINISTRATOR CLASS STRONG HERITAGE MONEY FUND-INVESTOR CLASS
- -----------------------------------------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE HERITAGE MONEY MARKET FUND - ADMINISTRATOR CLASS STRONG HERITAGE MONEY FUND-ADVISOR CLASS
- -----------------------------------------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE HERITAGE MONEY MARKET FUND - INSTITUTIONAL CLASS STRONG HERITAGE MONEY FUND-INSTITUTIONAL CLASS
- -----------------------------------------------------------------------------------------------------------------------------
The separate classes of shares offered by each Fund differ principally in
applicable sales charges and distribution, shareholder servicing and
administration fees. Shareholders of each class bear certain expenses that
pertain to that particular class. All shareholders bear the common expenses of a
Fund, earn income from the portfolio, and are allocated unrealized gains and
losses pro rata based on the average daily net assets of each class, without
distinction between share classes. Dividends are determined separately for each
class based on income and expenses allocable to each class. Realized gains and
losses are allocated to each class pro rata based upon the net assets of each
class on the date realized. Differences in per share dividend rates generally
result from the relative weightings of pro rata income and realized gain
allocations and from differences in separate class expenses, including
distribution, shareholder servicing, and administration fees.
75
NOTES TO FINANCIAL STATEMENTS
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS (UNAUDITED)
- --------------------------------------------------------------------------------
2. SIGNIFICANT ACCOUNTING POLICIES
- --------------------------------------------------------------------------------
The following significant accounting policies, which are consistently
followed in the preparation of the financial statements of the Trust, are in
conformity with accounting principles generally accepted in the United States of
America ("GAAP") for investment companies.
The preparation of financial statements in conformity with GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities, disclosure of contingent assets and liabilities at the
date of the financial statements, and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
In the normal course of business, the Trust may enter into contracts that
provide certain indemnifications. The Trust's maximum exposure under these
arrangements is dependent on future claims that may be made against the Funds
and, therefore, cannot be estimated; however, based on experience, the risk of
loss from such claims is considered remote.
SECURITY VALUATION
The Fund(s) invests only in securities with remaining maturities not
exceeding 397 days (13 months). Certain floating- and variable-rate instruments
in the portfolio may have maturities in excess of 397 days provided that these
variable rate instruments are either Government Securities or carry a demand
feature that permits the holder to tender the instruments back to the issuer at
par value prior to maturity.
The amortized cost method is used to value portfolio securities. The
amortized cost method involves valuing a security at its cost, plus accretion of
discount or minus amortization of premium over the period until maturity, which
approximates market value. The Fund(s) seeks to maintain a constant net asset
value of $1.00 per share, although there is no assurance that it will be able to
do so.
Investments which are not valued using any of the methods discussed above
are valued at their fair value as determined by procedures approved by the Board
of Trustees.
SECURITY TRANSACTIONS AND INCOME RECOGNITION
Securities transactions are recorded on a trade date basis. Realized gains
or losses are reported on the basis of identified cost of securities delivered.
Interest income is accrued daily and bond discounts are accreted and premiums
are amortized daily.
DISTRIBUTIONS TO SHAREHOLDERS
Net investment income, if any, is declared daily and distributed to
shareholders monthly. Distributions to shareholders from net realized capital
gains, if any, are declared and distributed at least annually.
For federal income tax purposes, a Fund may designate as capital gains
distributions the earnings and profits distributed to shareholders on the
redemption of fund shares during the year.
Distributions are based on amounts calculated in accordance with the
applicable federal income tax regulations, which may differ from GAAP. The
timing and character of distributions made during the period from net investment
income or net realized gains may also differ from their ultimate
characterization for federal income tax purposes. To the extent that these
differences are permanent in nature, such amounts are reclassified within the
capital accounts based on their federal tax-basis treatment. Temporary
differences do not require reclassifications.
FEDERAL INCOME TAXES
Each Fund is treated as a separate entity for U.S. federal income tax
purposes. It is the policy of each Fund of the Trust to continue to qualify as a
regulated investment company under Subchapter M of Subtitle A, Chapter 1 of the
Internal Revenue Code (the "Code"), and to make distributions of substantially
all of its investment company taxable income and any net realized capital gains
(after reduction for capital loss carryforwards) sufficient to relieve it from
all, or substantially all, federal income taxes. Accordingly, no provision for
federal income taxes was required at August 31, 2006.
At February 28, 2006, estimated net capital loss carryforwards, which are
available to offset future net realized capital gains, were:
Capital Loss
Fund Year Expires Carryforwards
- -------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND 2014 $ 51,212
- -------------------------------------------------------------------------------
CASH INVESTMENT MONEY MARKET FUND 2013 420,331
- -------------------------------------------------------------------------------
PRIME INVESTMENT MONEY MARKET FUND 2013 25,981
2014 2,111
- -------------------------------------------------------------------------------
TREASURY PLUS MONEY MARKET FUND 2013 135,324
- -------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND 2013 37,866
2014 162,921
- -------------------------------------------------------------------------------
76
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
At February 28, 2006, current year deferred post-October capital losses,
which will be treated as realized for tax purposes on the first day of the
succeeding year, were:
Deferred
Post-October
Fund Capital Loss
- -------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND $ 25,460
- -------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND 48,825
- -------------------------------------------------------------------------------
PRIME INVESTMENT MONEY MARKET FUND 197
- -------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND 58,512
REPURCHASE AGREEMENTS
The Fund(s) may invest in repurchase agreements and may participate in
pooled repurchase agreement transactions with other funds advised by Wells Fargo
Funds Management, LLC ("Funds Management"). The repurchase agreements must be
fully collateralized based on values that are marked to market daily. The
collateral may be held by an agent bank under a tri-party agreement. It is the
custodian's responsibility to value collateral daily and to take action to
obtain additional collateral as necessary to maintain market value equal to or
greater than the resale price. The repurchase agreements are collateralized by
instruments such as U.S. Treasury, federal agency, or high-grade corporate
obligations. There could be potential loss to a Fund in the event that such Fund
is delayed or prevented from exercising its rights to dispose of the collateral,
including the risk of a possible decline in the value of the underlying
obligations during the period in which a Fund seeks to assert its rights.
3. EXPENSES
- --------------------------------------------------------------------------------
ADVISORY FEES
The Trust has entered into an advisory contract with Funds Management. The
adviser is responsible for implementing investment policies and guidelines and
for supervising the subadviser, who is responsible for day-to-day portfolio
management.
Pursuant to the contract, Funds Management is entitled to receive an
advisory fee for its services as adviser. Funds Management may retain the
services of certain investment subadvisers to provide daily portfolio
management. The fees related to subadvisory services are borne directly by the
adviser and do not increase the overall fees paid by a Fund to the adviser.
Funds Management and the investment subadviser(s) are entitled to be paid a
monthly fee at the following annual rates:
Subadvisory
Advisory Fees Fees (% of
Average Daily (% of Average Average Daily Average Daily
Fund Net Assets Daily Net Assets) Subadviser Net Assets Net Assets)
- -------------------------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE First $1 billion 0.300 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Next $4 billion 0.275 Management Next $2 billion 0.030
Over $5 billion 0.250 Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- -------------------------------------------------------------------------------------------------------------------------
CASH INVESTMENT All asset levels 0.100 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Management Next $2 billion 0.030
Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- -------------------------------------------------------------------------------------------------------------------------
GOVERNMENT All asset levels 0.100 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Management Next $2 billion 0.030
Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- -------------------------------------------------------------------------------------------------------------------------
HERITAGE MONEY MARKET FUND All asset levels 0.100 Wells Capital First $1 billion 0.050
Management Next $2 billion 0.030
Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- -------------------------------------------------------------------------------------------------------------------------
NATIONAL TAX-FREE All asset levels 0.100 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Management Next $2 billion 0.030
Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- -------------------------------------------------------------------------------------------------------------------------
PRIME INVESTMENT All asset levels 0.100 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Management Next $2 billion 0.030
Incorporated Next $3 billion 0.020
Over $6 billion 0.010
77
NOTES TO FINANCIAL STATEMENTS
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS (UNAUDITED)
- --------------------------------------------------------------------------------
Subadvisory
Advisory Fees Fees (% of
Average Daily (% of Average Average Daily Average Daily
Fund Net Assets Daily Net Assets) Subadviser Net Assets Net Assets)
- -------------------------------------------------------------------------------------------------------------------------
TREASURY PLUS All asset levels 0.100 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Management Next $2 billion 0.030
Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- -------------------------------------------------------------------------------------------------------------------------
100% TREASURY First $1 billion 0.300 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Next $4 billion 0.275 Management Next $2 billion 0.030
Over $5 billion 0.250 Incorporated Next $3 billion 0.020
Over $6 billion 0.010
ADMINISTRATION AND TRANSFER AGENT FEES
The Trust has entered into an Administration Agreement with Funds
Management. Under this Agreement, for providing administrative services, which
includes paying fees and expenses for services provided by the transfer agent,
sub-transfer agents, omnibus account servicers and record-keepers, Funds
Management is entitled to receive the following annual fees:
Administration Fees
Average Daily (% of Average
Net Assets Daily Net Assets)
- -------------------------------------------------------------------------------
FUND LEVEL First $5 billion 0.05
Next $5 billion 0.04
Over $10 billion 0.03
- -------------------------------------------------------------------------------
ADMINISTRATOR CLASS All asset levels 0.10
- -------------------------------------------------------------------------------
INSTITUTIONAL CLASS All asset levels 0.08
- -------------------------------------------------------------------------------
SERVICE CLASS All asset levels 0.12
The Trust has entered into an agreement with Boston Financial Data
Services ("BFDS") as the transfer agent for the Trust. BFDS is entitled to
receive fees from the administrator of its services as transfer agent.
CUSTODY FEES
The Trust has entered into a contract with Wells Fargo Bank, N.A. ("WFB"),
whereby WFB is responsible for providing custody services. Pursuant to the
contract, WFB is entitled to a monthly fee for custody services at the following
annual rates:
% of Average
Daily Net Assets
- -------------------------------------------------------------------------------
ALL MONEY MARKET FUNDS 0.02
- -------------------------------------------------------------------------------
SHAREHOLDER SERVICING FEES
The Trust has entered into contracts with one or more shareholder
servicing agents, whereby each Fund is charged the following annual fees:
Administrator Institutional Service
Fund Class A Class Class Class
- ----------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND 0.25% N/A N/A 0.25%
- ----------------------------------------------------------------------------------------------
CASH INVESTMENT MONEY MARKET FUND N/A 0.10% 0.00% 0.25%
- ----------------------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND 0.25% 0.10% 0.00% 0.25%
- ----------------------------------------------------------------------------------------------
HERITAGE MONEY MARKET FUND N/A 0.10% N/A N/A
- ----------------------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND 0.25% 0.10% 0.00% 0.25%
- ----------------------------------------------------------------------------------------------
PRIME INVESTMENT MONEY MARKET FUND N/A N/A 0.00% 0.25%
- ----------------------------------------------------------------------------------------------
TREASURY PLUS MONEY MARKET FUND 0.25% N/A 0.00% 0.25%
- ----------------------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND 0.25% N/A N/A 0.25%
78
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
For the period ended August 31, 2006, shareholder servicing fees paid were as
follows:
Administrator Institutional Service
Fund Class A Class Class Class
- --------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND $ 3,110,466 N/A N/A $ 490,910
- --------------------------------------------------------------------------------------------------
CASH INVESTMENT MONEY MARKET FUND N/A $ 513,614 $ 0 7,351,354
- --------------------------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND 1,941,364 533,327 0 6,842,864
- --------------------------------------------------------------------------------------------------
HERITAGE MONEY MARKET FUND N/A 146,542 0 N/A
- --------------------------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND 1,242,078 272,308 0 1,430,086
- --------------------------------------------------------------------------------------------------
PRIME INVESTMENT MONEY MARKET FUND N/A N/A 0 2,897,715
- --------------------------------------------------------------------------------------------------
TREASURY PLUS MONEY MARKET FUND 3,456,412 N/A 0 1,469,509
- --------------------------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND 273,612 N/A N/A 4,693,143
OTHER FEES
PFPC, Inc. ("PFPC") serves as fund accountant for the Trust and is
entitled to receive an annual asset based fee and an annual fixed fee from each
Fund. PFPC is also entitled to be reimbursed for all out-of-pocket expenses
reasonably incurred in providing these services.
WAIVED FEES AND REIMBURSED EXPENSES
All amounts shown as waived fees or reimbursed expenses on the Statements
of Operations, for the period ended August 31, 2006, were waived by Funds
Management proportionately from all classes, first from advisory fees, and then
from any class specific expenses, if applicable. Funds Management has committed
through June 30, 2007 to waive fees and/or reimburse expenses to the extent
necessary to maintain a certain net operating expense ratio for the Fund(s). Net
operating expense ratios during the period were as follows:
Net Operating Expense Ratios
----------------------------
Administrator Institutional Service
Fund Class Class Class
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET FUND N/A N/A 0.45%
- --------------------------------------------------------------------------------
CASH INVESTMENT MONEY MARKET FUND 0.35% 0.20% 0.50%
- --------------------------------------------------------------------------------
GOVERNMENT MONEY MARKET FUND 0.35% 0.20% 0.50%
- --------------------------------------------------------------------------------
HERITAGE MONEY MARKET FUND 0.38% 0.18% N/A
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET FUND 0.30% 0.20% 0.45%
- --------------------------------------------------------------------------------
PRIME INVESTMENT MONEY MARKET FUND N/A 0.20% 0.55%
- --------------------------------------------------------------------------------
TREASURY PLUS MONEY MARKET FUND N/A 0.20% 0.50%
- --------------------------------------------------------------------------------
100% TREASURY MONEY MARKET FUND N/A N/A 0.50%
4. LEGAL AND REGULATORY MATTERS
- --------------------------------------------------------------------------------
In 2004, the Strong Fund's investment adviser and affiliates
(collectively, "Strong") entered into agreements with certain regulators,
including the Securities and Exchange Commission and the New York Attorney
General ("NYAG"), to settle market-timing investigations. In the settlements,
Strong agreed to pay investor restoration and civil penalties. Although some
portion of these payments is likely to be distributed to Strong Fund
shareholders, no determination has yet been made as to the distribution of these
amounts, and the successor funds are not expected to receive any portion of
these payments. The NYAG settlement also imposed fee reductions across the
predecessor fund complex (excluding money market funds and very short-term
income funds) totaling at least $35 million by May 2009. Funds Management has
agreed to honor these fee reductions for the benefit of shareholders across the
successor funds. Although civil litigation against Strong and certain
predecessor funds relating to these matters is continuing, neither the current
adviser nor the successor funds is a party to any such suit.
5. NEW ACCOUNTING PRONOUNCEMENTS
- --------------------------------------------------------------------------------
In June 2006, the Financial Accounting Standards Board (FASB) issued FASB
Interpretation 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." This
standard defines the threshold for recognizing the benefits of tax-return
positions in the financial statements as "more-likely-than-not" to be sustained
by the taxing authority and requires measurement of a tax position meeting the
more-likely-than-not criterion, based on the largest benefit that is more than
50 percent likely to be realized. FIN 48 is effective as of the beginning of the
first fiscal year beginning after December 15, 2006 (January 1, 2007 for
calendar-year companies), with early application permitted if no interim
financial statements have been issued. At adoption, companies must adjust their
financial statements to reflect only those tax positions that are
more-likely-than-not to be sustained as of the adoption date. As of August 31,
2006, the Funds have not evaluated the impact that will result from adopting FIN
48.
79
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
PROXY VOTING INFORMATION
A description of the policies and procedures that the Funds use to
determine how to vote proxies relating to portfolio securities and information
regarding how to obtain the results of such voting during the most recent
12-month period ended June 30 is available without charge, upon request, by
calling 1-800-222-8222, visiting our Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS, or visiting the SEC Web site at WWW.SEC.GOV.
PORTFOLIO HOLDINGS INFORMATION
The complete portfolio holdings for each Fund are publicly available on
the Funds' Web site (WWW.WELLSFARGO.COM/ADVANTAGEFUNDS) on a monthly, 30-day or
more delayed basis. In addition, top ten holdings information for each Fund is
publicly available on the Funds' Web site on a monthly, seven-day or more
delayed basis. Each Fund files its complete schedule of portfolio holdings with
the SEC for the first and third quarters of each fiscal year on Form N-Q, which
is available without charge by visiting the SEC Web site at WWW.SEC.GOV. In
addition, each Fund's Form N-Q may be reviewed and copied at the SEC's Public
Reference Room in Washington, DC, and at regional offices in New York City, at
233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900.
Information about the Public Reference Room may be obtained by calling
1-800-SEC-0330.
BOARD OF TRUSTEES
The following table provides basic information about the Board of Trustees
(the "Trustees") of the Wells Fargo Funds Trust (the "Trust"). This table
supplements, and should be read in conjunction with, the Prospectuses and the
Statement of Additional Information* of each Fund. Each of the Trustees listed
below acts in identical capacities for each of the 142 funds comprising the
Trust, Wells Fargo Variable Trust and Wells Fargo Master Trust (collectively the
"Fund Complex"). All of the non-interested Trustees are also members of the
Audit and Governance Committees of each Trust in the Fund Complex. The address
of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA
94105. Each Trustee and Officer serves an indefinite term, however, each Trustee
serves such term until reaching the mandatory retirement age established by the
Trustees.
NON-INTERESTED TRUSTEES
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE ** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
Thomas S. Goho Trustee, since 1987 Chair of Finance, Wake Forest None
64 University, since 2006.
Benson-Pruitt Professorship,
Wake Forest University,
Calloway School of Business
and Accountancy, since 1999.
- ------------------------------------------------------------------------------------------------------
Peter G. Gordon Trustee, since 1998 Chairman, CEO, and Co- None
63 (Chairman, since Founder of Crystal Geyser
2001) Water Company, and President
of Crystal Geyser Roxane
Water Company.
- ------------------------------------------------------------------------------------------------------
Richard M. Leach Trustee, since 1987 Retired. Prior thereto, None
73 President of Richard M. Leach
Associates (a financial
consulting firm).
- ------------------------------------------------------------------------------------------------------
Olivia S. Mitchell Trustee, since 2006 Professor of Insurance and None
53 Risk Management, Wharton
School, University of
Pennsylvania. Director of the
Boettner Center on Pensions
and Retirement. Research
Associate and Board Member,
Penn Aging Research Center.
Research Associate, National
Bureau of Economic Research.
- ------------------------------------------------------------------------------------------------------
Timothy J. Penny Trustee, since 1996 Senior Counselor to the None
54 public relations firm of
Himle-Horner, and Senior
Fellow at the Humphrey
Institute, Minneapolis,
Minnesota (a public policy
organization).
80
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
NON-INTERESTED TRUSTEES (continued)
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
Donald C. Willeke Trustee, since 1996 Principal of the law firm of None
66 Willeke & Daniels.
- ------------------------------------------------------------------------------------------------------
INTERESTED TRUSTEE***
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
J. Tucker Morse Trustee, since 1987 Private Investor/Real Estate None
62 Developer. Prior thereto,
Chairman of White Point
Capital, LLC until 2005.
- ------------------------------------------------------------------------------------------------------
OFFICERS
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
Karla M. Rabusch President, since 2003 Executive Vice President of None
47 Wells Fargo Bank, N.A. and
President of Wells Fargo
Funds Management, LLC. Senior
Vice President and Chief
Administrative Officer of
Wells Fargo Funds Management,
LLC from 2001 to 2003.
- ------------------------------------------------------------------------------------------------------
C. David Messman Secretary, since 2000 Vice President and Managing None
46 Senior Counsel of Wells Fargo
Bank, N.A. and Senior Vice
President and Secretary of
Wells Fargo Funds Management,
LLC. Vice President and
Senior Counsel of Wells Fargo
Bank, N.A. from 1996 to 2003.
- ------------------------------------------------------------------------------------------------------
A. Erdem Cimen Treasurer, since 2006 Vice President of Wells None
32 Fargo Bank, N.A. and Vice
President of Financial
Operations for Wells Fargo
Funds Management, LLC.
Vice President and Group
Finance Officer of Wells
Fargo Bank, N.A. Auto Finance
Group from 2004 to 2006.
Vice President of Portfolio
Risk Management for Wells
Fargo Bank, N.A. Auto Finance
Group in 2004. Vice President
of Portfolio Research and
Analysis for Wells Fargo Bank,
N.A. Auto Finance Group from
2001 to 2004. Director of
Small Business Services
Risk Management for
American Express Travel
Related Services from 2000 to
2001.
81
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
OFFICERS (continued)
- ------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- ------------------------------------------------------------------------------------------------------
Dorothy A. Peters Chief Compliance Chief Compliance Officer of None
44 Officer, since 2004 Wells Fargo Funds Management,
LLC since 2004 and Compliance
Officer of Wells Fargo Funds
Management, LLC from 1999 to
2002. Compliance Manager of
Wells Fargo Investments from
1997 to 1999. In 2002, Ms.
Peters left Wells Fargo Funds
Management, LLC to pursue
personal goals.
- ------------------------------------------------------------------------------------------------------
* The Statement of Additional Information includes additional information
about the Funds' Trustees and is available, without charge, upon request,
by calling 1-800-222-8222 or by visiting the Funds' Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
** Length of service dates reflects a Trustee's commencement of service with
the Trust's predecessor entities.
*** As of August 31, 2006, one of the seven Trustees is considered an
"interested person" of the Trusts as defined in the Investment Company Act
of 1940. The interested Trustee, J. Tucker Morse, is affiliated with a
government securities dealer that is registered under the Securities
Exchange Act of 1934, which is not itself affiliated with Wells Fargo
Funds Management, LLC.
82
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
BOARD CONSIDERATION OF AND CONTINUATION OF INVESTMENT ADVISORY AND SUBADVISORY
AGREEMENTS:
CALIFORNIA TAX-FREE MONEY MARKET FUND, CASH INVESTMENT MONEY MARKET FUND,
GOVERNMENT MONEY MARKET FUND, HERITAGE MONEY MARKET FUND, NATIONAL TAX-FREE
MONEY MARKET FUND, PRIME INVESTMENT MONEY MARKET FUND, TREASURY PLUS MONEY
MARKET FUND AND 100% TREASURY MONEY MARKET FUND
- --------------------------------------------------------------------------------
Section 15(c) of the Investment Company Act of 1940 (the "1940 Act")
contemplates that the Board of Trustees (the "Board") of Wells Fargo Funds Trust
(the "Trust"), including a majority of the Trustees who have no direct or
indirect interest in the investment advisory and subadvisory agreements and are
not "interested persons" of the Trust, as defined in the 1940 Act (the
"Independent Trustees"), will annually review and consider the continuation of
the investment advisory and subadvisory agreements. In this regard, the Board
reviewed and re-approved, during the six months covered by this report: (i) an
investment advisory agreement with Wells Fargo Funds Management, LLC ("Funds
Management") for the California Tax-Free Money Market Fund, Cash Investment
Money Market Fund, Government Money Market Fund, Heritage Money Market Fund,
National Tax-Free Money Market Fund, Prime Investment Money Market Fund,
Treasury Plus Money Market Fund and 100% Treasury Money Market Fund (the
"Funds"); and (ii) an investment subadvisory agreement with Wells Capital
Management Incorporated ("Wells Capital Management") for the Funds. The
investment advisory agreement with Funds Management and the investment
subadvisory agreement with Wells Capital Management are collectively referred to
as the "Advisory Agreements."
More specifically, at a meeting held on March 31, 2006, the Board,
including the Independent Trustees advised by their independent legal counsel,
considered the factors and reached the conclusions described below relating to
the selection of Funds Management and Wells Capital Management and the
continuation of the Advisory Agreements. Prior to the March 31, 2006, meeting,
the Board, including the Independent Trustees, met in person and telephonically
a number of times, both with Funds Management and in private sessions for
discussions about these continuations and approvals. The Independent Trustees
were assisted in their evaluation of the Advisory Agreements by independent
legal counsel, from whom they received separate legal advice and with whom they
met separately from Funds Management.
NATURE, EXTENT AND QUALITY OF SERVICES
- --------------------------------------------------------------------------------
The Board received and considered various data and information regarding
the nature, extent and quality of services provided to the Funds by Funds
Management and Wells Capital Management under the Advisory Agreements. The Board
also received and considered information provided in response to a detailed set
of requests submitted by the Independent Trustees' independent legal counsel,
including, among other things, information about the background and experience
of senior management and the expertise of, and amount of attention devoted to
the Funds by, the investment personnel of Funds Management and Wells Capital
Management. In this regard, the Board specifically reviewed the qualifications,
backgrounds and responsibilities of the portfolio managers primarily responsible
for day-to-day portfolio management services for the Funds.
The Board evaluated the ability of Funds Management and Wells Capital
Management, based on their respective resources, reputations and other
attributes, to attract and retain highly qualified investment professionals,
including research, advisory, and supervisory personnel. In this regard, the
Board considered information regarding Funds Management's and Wells Capital
Management's compensation programs for personnel involved in the management of
the Funds.
The Board further considered the compliance programs and compliance
records of Funds Management and Wells Capital Management. In addition, the Board
took into account the administrative services provided to the Funds by Funds
Management and its affiliates. In considering these matters, the Board
considered not only the specific information presented in connection with the
meeting, but also the knowledge gained over the course of interacting with Funds
Management about various topics, including Funds Management's oversight of
service providers, such as Wells Capital Management.
Based on the above factors, together with those referenced below, the
Board concluded that it was generally satisfied with the nature, extent and
quality of the investment advisory services provided to the Funds by Funds
Management and Wells Capital Management.
FUND PERFORMANCE AND EXPENSES
- --------------------------------------------------------------------------------
The Board considered the performance results for each of the Funds over
various time periods ended December 31, 2005. The Board also considered these
results in comparison to the median performance results of the group of funds
that was determined by Lipper Inc. ("Lipper") to be the most similar to a given
Fund (the "Peer Group") and to the median performance of a broader universe of
relevant funds as determined by Lipper (the "Universe"), as well as to each
Fund's benchmark index. Lipper is an independent provider of investment company
data. The Board was provided with a description of the methodology used by
Lipper to select the mutual funds in each Fund's Peer Group and Universe. The
83
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
Board noted that the performance of each Fund was better than, equal to, or not
appreciably below, the median performance of its Peer Group for most time
periods.
The Board received and considered information regarding each Fund's net
operating expense ratio and its various components, including contractual
advisory fees, actual advisory fees, actual non-management fees, Rule 12b-1 and
non-Rule 12b-1 service fees, fee waivers/caps and/or expense reimbursements. The
Board also considered comparisons of these fees to the expense information for
each Fund's Peer Group and Universe, which comparative data was provided by
Lipper. The Board noted that the net operating expense ratios of the Funds were
lower than, equal to, or not appreciably higher than, the Funds' Peer Groups'
median net operating expense ratios.
Based on the above-referenced considerations and other factors, the Board
concluded that the overall performance and expense results supported the
re-approval of the Advisory Agreements for the Funds.
INVESTMENT ADVISORY AND SUBADVISORY FEE RATES
- --------------------------------------------------------------------------------
The Board reviewed and considered the contractual investment advisory fee
rates payable by the Funds to Funds Management for investment advisory services,
both on a stand-alone basis and on a combined basis with the Funds'
administration fee rates (the "Advisory Agreement Rates"). The Board took into
account the separate administrative services covered by the administration fee
rates. The Board also reviewed and considered the contractual investment
subadvisory fee rates (the "Subadvisory Agreement Rates") payable by Funds
Management to Wells Capital Management for investment subadvisory services. In
addition, the Board reviewed and considered the existing fee waiver/cap
arrangements applicable to the Advisory Agreement Rates and considered the
Advisory Agreement Rates after taking the waivers/caps into account (the "Net
Advisory Rates").
The Board received and considered information comparing the Advisory
Agreement Rates and Net Advisory Rates with those of the other funds in the Peer
Group. The Board noted that the Advisory Agreement Rates and the Net Advisory
Rates for the Funds were lower than, equal to, or not appreciably higher than,
the median rates of each Fund's respective Peer Group. In addition, the Board
concluded that the combined investment advisory/administration fee rates for the
Funds (before and after waivers/caps and/or expense reimbursements) were
reasonable in relation to each Fund's respective Peer Group, and reasonable in
relation to the services provided.
The Board also reviewed and considered the Subadvisory Agreement Rates and
concluded that the Subadvisory Agreement Rates were fair and equitable, based on
its consideration of the factors described above.
PROFITABILITY
- --------------------------------------------------------------------------------
The Board received and considered a detailed profitability analysis of
Funds Management based on the Advisory Agreement Rates and the Net Advisory
Rates, as well as an analysis of the profitability of other Wells Fargo
businesses (including Wells Capital Management) from providing services to the
Funds. The Board concluded that, in light of the costs of providing investment
management and other services to the Funds, the profits and other ancillary
benefits that Funds Management and its affiliates received with regard to
providing these services to the Funds were not unreasonable. The Board did not
consider a separate profitability analysis of Wells Capital Management, as its
separate profitability from its relationships with the Funds was not a material
factor in determining whether to renew the agreements.
ECONOMIES OF SCALE
- --------------------------------------------------------------------------------
The Board received and considered general information regarding whether
there have been economies of scale with respect to the management of the Funds,
whether the Funds have appropriately benefited from any economies of scale, and
whether there is potential for realization of any further economies of scale for
the Funds. The Board acknowledged the inherent limitations of any analysis of an
investment adviser's economies of scale and of any attempt to correlate
breakpoints with such economies, stemming largely from the Board's understanding
that economies of scale are realized, if at all, by an investment adviser across
a variety of products and services, not just with respect to a single fund. The
Board concluded that any actual or potential economies of scale are, or will be,
shared reasonably with Fund shareholders, and for the Funds with Advisory
Agreement Rate breakpoints, most particularly through such breakpoints.
INFORMATION ABOUT SERVICES TO OTHER CLIENTS
- --------------------------------------------------------------------------------
The Board also received and considered information about the nature and
extent of services and fee rates offered by Funds Management to other similarly
situated series of the Trust, and those offered by Wells Capital Management to
other clients, including other registered investment companies and separate
accounts. The Board concluded that the Advisory Agreement Rates, the Subadvisory
Agreement Rates and the Net Advisory Rates were within a reasonable range of the
fee rates offered to others by Funds Management and Wells Capital Management,
giving effect to differences in services covered by such fee rates.
84
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
- --------------------------------------------------------------------------------
OTHER BENEFITS TO FUNDS MANAGEMENT AND WELLS CAPITAL MANAGEMENT
- --------------------------------------------------------------------------------
The Board received and considered information regarding potential
"fall-out" or ancillary benefits received by Funds Management and its affiliates
(including Wells Capital Management) as a result of their relationship with the
Funds. Such benefits could include, among others, benefits directly attributable
to the relationship of Funds Management and Wells Capital Management with the
Funds and benefits potentially derived from an increase in Funds Management's
and Wells Capital Management's business as a result of their relationship with
the Funds (such as the ability to market to shareholders other financial
products offered by Funds Management and its affiliates, including Wells Capital
Management).
The Board also considered the effectiveness of the policies of the Funds
in achieving the best execution of portfolio transactions, whether and to what
extent soft dollar credits are sought and how any such credits are utilized, any
benefits that may be realized by using an affiliated broker, the extent to which
efforts are made to recapture transaction costs, and the controls applicable to
brokerage allocation procedures. The Board also reviewed Funds Management's and
Wells Capital Management's methods for allocating portfolio investment
opportunities among the Funds and other clients.
OTHER FACTORS AND BROADER REVIEW
- --------------------------------------------------------------------------------
The Board also considered the markets for distribution of the Funds,
including the principal channels through which the Funds' shares are offered and
sold. The Board noted that the Funds are part of one of the few fund families
that have both direct-to-fund and intermediary distribution.
As discussed above, the Board reviewed detailed materials received from
Funds Management and Wells Capital Management annually as part of the
re-approval process under Section 15(c) of the 1940 Act. The Board also reviews
and assesses the quality of the services that the Funds receive throughout the
year. In this regard, the Board has reviewed reports of Funds Management and
Wells Capital Management at each of its quarterly meetings, which include, among
other things, a portfolio review and fund performance reports. In addition, the
Board has conferred with the portfolio managers of the Funds at various times
throughout the year.
After considering the above-described factors and based on its
deliberations and its evaluation of the information described above, the Board
concluded that approval of the continuation of the Advisory Agreements for the
Funds was in the best interest of the Funds and their shareholders. Accordingly,
the Board unanimously approved the continuation of the Advisory Agreements for
an additional one-year period.
85
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS LIST OF ABBREVIATIONS
- --------------------------------------------------------------------------------
The following is a list of common abbreviations for terms and entities which may
have appeared in this report.
ABAG -- Association of Bay Area Governments
ADR -- American Depositary Receipt
AMBAC -- American Municipal Bond Assurance Corporation
AMT -- Alternative Minimum Tax
ARM -- Adjustable Rate Mortgages
BART -- Bay Area Rapid Transit
CDA -- Community Development Authority
CDSC -- Contingent Deferred Sales Charge
CGIC -- Capital Guaranty Insurance Company
CGY -- Capital Guaranty Corporation
CMT -- Constant Maturity Treasury
COFI -- Cost of Funds Index
COP -- Certificate of Participation
CP -- Commercial Paper
CTF -- Common Trust Fund
DW&P -- Department of Water & Power
DWR -- Department of Water Resources
EDFA -- Education Finance Authority
FFCB -- Federal Farm Credit Bank
FGIC -- Financial Guaranty Insurance Corporation
FHA -- Federal Housing Authority
FHLB -- Federal Home Loan Bank
FHLMC -- Federal Home Loan Mortgage Corporation
FNMA -- Federal National Mortgage Association
FRN -- Floating Rate Notes
FSA -- Financial Security Assurance Incorporated
GDR -- Global Depositary Receipt
GNMA -- Government National Mortgage Association
GO -- General Obligation
HFA -- Housing Finance Authority
HFFA -- Health Facilities Financing Authority
IDA -- Industrial Development Authority
IDR -- Industrial Development Revenue
LIBOR -- London Interbank Offered Rate
LLC -- Limited Liability Corporation
LOC -- Letter of Credit
LP -- Limited Partnership
MBIA -- Municipal Bond Insurance Association
MFHR -- Multi-Family Housing Revenue
MUD -- Municipal Utility District
MTN -- Medium Term Note
PCFA -- Pollution Control Finance Authority
PCR -- Pollution Control Revenue
PFA -- Public Finance Authority
PLC -- Private Placement
PSFG -- Public School Fund Guaranty
RDA -- Redevelopment Authority
RDFA -- Redevelopment Finance Authority
REITS -- Real Estate Investment Trusts
R&D -- Research & Development
SFHR -- Single Family Housing Revenue
SFMR -- Single Family Mortgage Revenue
SLMA -- Student Loan Marketing Association
STEERS -- Structured Enhanced Return Trust
TBA -- To Be Announced
TRAN -- Tax Revenue Anticipation Notes
USD -- Unified School District
V/R -- Variable Rate
WEBS -- World Equity Benchmark Shares
XLCA -- XL Capital Assurance
86
[LOGO]
- -----------------
WELLS ADVANTAGE
FARGO FUNDS
- -----------------
More information about WELLS FARGO THIS REPORT AND THE FINANCIAL STATEMENTS
ADVANTAGE FUNDS(SM) is available free CONTAINED HEREIN ARE SUBMITTED FOR THE
upon request. To obtain literature, GENERAL INFORMATION OF THE SHAREHOLDERS
please write, e-mail, visit the OF WELLS FARGO ADVANTAGE FUNDS. IF THIS
Funds' Web site, or call: REPORT IS USED FOR PROMOTIONAL PURPOSES,
DISTRIBUTION OF THE REPORT MUST BE
WELLS FARGO ADVANTAGE FUNDS ACCOMPANIED OR PRECEDED BY A CURRENT
P.O. Box 8266 PROSPECTUS. FOR A PROSPECTUS CONTAINING
Boston, MA 02266-8266 MORE COMPLETE INFORMATION, INCLUDING
CHARGES AND EXPENSES, CALL 1-800-222-8222
E-mail: wfaf@wellsfargo.com OR VISIT THE FUNDS' WEB SITE AT
Web site: WWW.WELLSFARGO.COM/ADVANTAGEFUNDS. PLEASE
www.wellsfargo.com/advantagefunds CONSIDER THE INVESTMENT OBJECTIVES,
Individual Investors: RISKS, CHARGES, AND EXPENSES OF THE
1-800-222-8222 INVESTMENT CAREFULLY BEFORE INVESTING.
Retail Investment Professionals: THIS AND OTHER INFORMATION ABOUT WELLS
1- 888-877-9275 FARGO ADVANTAGE FUNDS CAN BE FOUND IN THE
Institutional Investment CURRENT PROSPECTUS. READ THE PROSPECTUS
Professionals: 1- 866-765-0778 CAREFULLY BEFORE YOU INVEST OR SEND
MONEY.
Wells Fargo Funds Management, LLC, a
wholly owned subsidiary of Wells Fargo &
Company, provides investment advisory and
administrative services for WELLS FARGO
ADVANTAGE FUNDS. Other affiliates of
Wells Fargo & Company provide subadvisory
and other services for the Funds. The
Funds are distributed by WELLS FARGO
FUNDS DISTRIBUTOR, LLC, Member NASD/SIPC,
an affiliate of Wells Fargo & Company.
---------------------------------------------------------
NOT FDIC INSURED o NO BANK GUARANTEE o MAY LOSE VALUE
---------------------------------------------------------
- --------------------------------------------------------------------------------
(C) 2006 Wells Fargo www.wellsfargo.com/advantagefunds 100103 10-06
Funds Management, LLC. SMMINS/SAR116
All rights reserved.
-----------------
WELLS ADVANTAGE
FARGO FUNDS
-----------------
[GRAPHIC OMITTED] AUGUST 31, 2006
SEMI-ANNUAL REPORT
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND(SM)
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
TABLE OF CONTENTS
Letter to Shareholders .................................................... 1
- --------------------------------------------------------------------------------
Money Market Overview ..................................................... 2
- --------------------------------------------------------------------------------
Performance Highlights
- --------------------------------------------------------------------------------
Overland Express Sweep Fund ............................................ 3
Fund Expenses (Unaudited) ................................................. 4
- --------------------------------------------------------------------------------
Portfolio of Investments
- --------------------------------------------------------------------------------
Overland Express Sweep Fund ............................................ 5
Financial Statements
- --------------------------------------------------------------------------------
Statement of Assets and Liabilities .................................... 8
Statement of Operations ................................................ 9
Statements of Changes in Net Assets .................................... 10
Financial Highlights ................................................... 12
Notes to Financial Statements ............................................. 14
- --------------------------------------------------------------------------------
Other Information (Unaudited) ............................................. 17
- --------------------------------------------------------------------------------
List of Abbreviations ..................................................... 23
- --------------------------------------------------------------------------------
-------------------------------------------------
NOT FDIC INSURED-NO BANK GUARANTEE-MAY LOSE VALUE
-------------------------------------------------
THIS PAGE IS INTENTIONALLY LEFT BLANK --
LETTER TO SHAREHOLDERS WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
DEAR VALUED SHAREHOLDER,
Enclosed please find the WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
semi-annual report for the six-month period that ended August 31, 2006. On the
following pages, you will find a discussion of the Fund, including a money
market overview, information about the Fund's holdings, and the portfolio
manager's strategic outlook.
THE ECONOMY
- --------------------------------------------------------------------------------
During the period, the U.S. economy started to show some signs of a
slowdown. The housing market slowed, with mortgage applications falling and
homes staying on the market for longer periods. Consumer confidence weakened,
and the inflation outlook remained cloudy. Real Gross Domestic Product (GDP)
slowed to 2.9% for the second quarter of 2006, driven mostly by a falloff in
consumer spending from an unsustainable first-quarter pace. Other indicators,
however, have remained robust. Capital spending and the manufacturing sector
continued to perform well. Most labor markets also remained healthy, creating
some uncertainty regarding the direction of the Fed's next decision about
interest rates.
FED PAUSES IN ITS CYCLE OF INTEREST RATE HIKES
- --------------------------------------------------------------------------------
Money market rates continued to rise in 2006 as the Fed increased the
target Federal funds rate by 0.25% at each of the 17 Federal Open Market
Committee (FOMC) meetings from June 2004 through June 2006. In August, the Fed
took a long-awaited pause and kept the Federal funds rate at 5.25%. The Federal
funds rate was only 1.00% in June 2004 before the Fed started its cycle of
interest rate increases--often described as credit tightening.
LOOKING AHEAD
- --------------------------------------------------------------------------------
The Fed's monetary policy has become less predictable. The FOMC minutes of
the August 8, 2006 meeting stated that the decision to stop raising the Federal
funds rate was "appropriate to limit the risks of tightening too much." All the
FOMC members agreed that the decision to pause did not necessarily mark the end
of the credit tightening cycle.
The unpredictability of interest rates is another reason why we believe
that successful investing includes a balanced approach of owning a diversified
portfolio while keeping a long-term perspective. While diversification may not
prevent losses in a downturn, it may help reduce them and keep you on track to
reach your financial goals. To help you reach your diversification goals, we
offer funds across every key category, each guided by skillful money managers
chosen for their focused attention to a particular investment style.
Thank you for choosing WELLS FARGO ADVANTAGE FUNDS. We appreciate your
confidence in us. Through each market cycle, we are committed to helping you
meet your financial needs. If you have any questions about your investment,
please contact your investment professional or call us at 1-800-222-8222. You
may also want to visit our Web site at WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
Sincerely,
/s/ Karla M. Rabusch
Karla M. Rabusch
President
WELLS FARGO ADVANTAGE FUNDS
1
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND MONEY MARKET OVERVIEW
- --------------------------------------------------------------------------------
MONEY MARKET OVERVIEW
This semi-annual report covers the six-month period from March 1, 2006,
through August 31, 2006.
PRIME MONEY MARKET SECURITIES
- --------------------------------------------------------------------------------
After having raised the target Federal funds rate by 0.25% at 17
consecutive meetings since June 2004, the Fed finally left interest rates
unchanged at its meeting on August 8, 2006. This series of increases raised the
Federal funds rate from 1% in 2004 to 5.25% by the end of the reporting period.
The six-month period that ended August 31, 2006, experienced three increases
that raised the Federal funds rate from 4.50% to 5.25%.
The money market yield curve, which is the yield of various securities
across the spectrum of very short maturities from one day to one year, flattened
considerably during the period. For example, the spread between the one-month
and one-year London Inter-Bank Offered Rate (LIBOR) contracted from 0.52% on
February 28, 2006, to only 0.08% on August 31, 2006. While the one-month LIBOR
rose by 0.70%, from 4.63% to 5.33%, the one-year LIBOR increased by only 0.26%,
from 5.15% to 5.41%. The muted rise in the one-year rate reflected an increasing
belief from money market investors that increases in short-term rates could be
nearing an end. One-month rates peaked around 5.40% at the beginning of August,
at the same time as the Fed paused from its interest rate increases. One-year
rates peaked earlier, around 5.75%, toward the end of June and by August 31,
2006, had returned to the 5.40% levels seen at the end of May.
The amount of commercial paper outstanding increased each month during the
reporting period, increasing by a total of about 10% for the six-month period.
In dollar terms, the total amount of commercial paper increased from $1.67
trillion on February 28, 2006, to $1.84 trillion on August 31, 2006. This
increased supply led to more attractive yields relative to other money market
instruments, especially U.S. Government and U.S. Treasury securities.
Our approach includes using shorter-term investments as well as floating-
or variable-rate securities. This strategy has allowed the Fund's yield to
adjust quickly in line with rising money market rates. While we will manage the
Fund in a manner that seeks to take advantage of current interest rate trends,
we are also prepared for the potential for the Fund to benefit if interest rates
once again move higher.
STRATEGIC OUTLOOK
- --------------------------------------------------------------------------------
The Fed has made good on its promise to pause in its series of
interest-rate increases. Whether the pause proves to be temporary or not will
depend upon future economic data. The statement released by the Fed after its
meeting on August 8 indicated that "inflation pressures seem likely to moderate
over time, reflecting contained inflation expectations and the cumulative effect
of monetary policy actions...."
If the rise in rates has completely run its course, the flattening yield
curve could be seen as an indication of success on the part of the Fed in its
efforts to be more transparent in communicating its intentions about the future
course of interest rates. By the end of the period, investors were almost
universally proclaiming the end of higher rates and expected the next move to be
toward lower rates. If, however, this is a temporary pause and the Fed resumes
its pattern of raising rates, its efforts may not be seen as so successful and
investors could be unpleasantly surprised.
We continue to see the potential for stronger economic growth later in
2006. We are also troubled by the fact that inflation has run above the Fed's
expressed "comfort zone" for nearly two years now. We believe, however, that
with real interest rates running just under 3%, monetary policy is not really
all that restrictive by historical standards. We will continue to manage the
Fund conservatively and in a manner that is sensitive to changes in market
rates.
AN INVESTMENT IN A WELLS FARGO ADVANTAGE MONEY MARKET FUND IS NOT INSURED
OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER
GOVERNMENT AGENCY. ALTHOUGH MONEY MARKET FUNDS SEEK TO PRESERVE THE VALUE OF
YOUR INVESTMENT AT $1.00 PER SHARE, IT IS POSSIBLE TO LOSE MONEY BY INVESTING IN
THE FUND.
- --------------------------------------------------------------------------------
The views expressed are as of August 31, 2006, and are those of the Fund's
manager.The views are subject to change at any time in response to changing
circumstances in the market and are not intended to predict or guarantee the
future performance of any individual security, market sector or the markets
generally, or the WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND.
2
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND (the Fund) seeks
current income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC. Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 10/01/1991
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- ----------------------------------------------------------------------------------------------
Overland Express Sweep Fund (Incept. Date 10/01/1991) 2.02 3.56 1.32 2.88
- ----------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 4.27%
- --------------------------------------------------------------------------------
7-Day Compound Yield 4.36%
- --------------------------------------------------------------------------------
30-Day Simple Yield 4.26%
- --------------------------------------------------------------------------------
30-Day Compound Yield 4.35%
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Floating/Variable Rate Notes 15%
Repurchase Agreements 23%
Time Deposits 17%
Commercial Paper 41%
Certificates of Deposits 4%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 14 days
- --------------------------------------------------------------------------------
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 36%
2-14 Days 23%
15-29 Days 29%
30-59 Days 10%
60-89 Days 2%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders.Without waived fees and/or reimbursed expenses, the
Fund's 7-day current yield would have been 4.31%.
Performance shown for the WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP
FUND for periods prior to November 8, 1999 reflects performance of the
Stagecoach Overland Express Sweep Fund, its predecessor fund. Performance shown
for periods prior to December 15, 1997, reflects performance of the predecessor
Overland Express Funds, Inc. portfolio.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
3
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND FUND EXPENSES (UNAUDITED)
- --------------------------------------------------------------------------------
As a shareholder of the Fund, you incur two types of costs: (1)
transaction costs, including sales charges (loads) on purchase payments,
redemption fees (if any) and exchange fees (if any); and (2) ongoing costs,
including management fees; distribution (12b-1) and/or shareholder service 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 (March 1, 2006 to August 31, 2006).
ACTUAL EXPENSES
The "Actual" line of the table below provides information about actual
account values and actual expenses. You may use the information in this line,
together with the amount you invested, to estimate the expenses that you paid
over the period. Simply divide your account value by $1,000 (for example, an
$8,600 account value divided by $1,000 = 8.6), then multiply the result by the
number in the "Actual" line under the heading entitled "Expenses Paid During
Period" for your applicable class of shares to estimate the expenses you paid on
your account during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The "Hypothetical" line of the table below provides information about
hypothetical account values and hypothetical expenses based on the Fund's actual
expense ratio and an assumed rate of return of 5% per year before expenses,
which is not the Fund's actual return. The hypothetical account values and
expenses may not be used to estimate the actual ending account balance or
expenses you paid for the period. You may use this information to compare the
ongoing costs of investing in the Fund and other funds. To do so, compare this
5% hypothetical example with the 5% hypothetical examples that appear in the
shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such as
sales charges (loads), redemption fees, or exchange fees. Therefore, the
"Hypothetical" 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.
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 Period* Ratio
Overland Express Sweep Fund
- ----------------------------------------------------------------------------------------------
Actual $ 1,000.00 $ 1,020.20 $5.50 1.08%
- ----------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,019.76 $5.50 1.08%
* Expenses are equal to the Fund's annualized expense ratio multiplied by
the average account value over the period, multiplied by the number of
days in the most recent fiscal half-year divided by the number of days in
the fiscal year (to reflect the one-half year period).
4
PORTFOLIO OF INVESTMENTS--AUGUST 31, 2006 (UNAUDITED)
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
ASSET BACKED SECURITIES - 0.07%
$ 2,338,493 CAPITAL ONE AUTO FINANCE TRUST SERIES 2006-A 5.12% 05/15/2007 $ 2,338,493
TOTAL ASSET BACKED SECURITIES (COST $2,338,493) 2,338,493
--------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 0.06%
2,000,000 PARAGON MORTGAGES PLC+/-++SS. 5.31 11/15/2038 2,000,000
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (COST $2,000,000) 2,000,000
--------------
CERTIFICATES OF DEPOSIT - 3.68%
65,000,000 BARCLAYS BANK PLC 4.14 09/20/2006 65,000,000
45,000,000 CREDIT SUISSE FIRST BOSTON NEW YORK SERIES YCD 4.18 09/22/2006 45,000,000
15,000,000 ROYAL BANK OF SCOTLAND NEW YORK SERIES YCD+/- 5.34 10/04/2006 14,999,694
TOTAL CERTIFICATES OF DEPOSIT (COST $124,999,694) 124,999,694
--------------
COMMERCIAL PAPER - 41.02%
60,000,000 AMSTEL FUNDING CORPORATION^++ 5.41 10/18/2006 59,576,608
45,000,000 AQUIFER FUNDING LLC^++ 5.34 09/06/2006 44,966,625
55,000,000 AQUIFER FUNDING LLC^++ 5.34 09/07/2006 54,951,050
70,000,000 BHP BILLITON FINANCE USA LIMITED^++ 5.28 09/08/2006 69,928,133
20,000,000 BHP BILLITON FINANCE USA LIMITED^++ 5.28 09/19/2006 19,947,200
45,000,000 BUCKINGHAM CDO II LLC^++ 5.28 09/20/2006 44,874,719
45,000,000 BUCKINGHAM CDO II LLC^++ 5.28 09/22/2006 44,861,400
5,000,000 BUCKINGHAM CDO III LLC^++ 5.31 11/27/2006 4,935,898
90,000,000 BUCKINGHAM CDO LLC^++ 5.28 09/21/2006 89,736,000
37,000,000 CAIRN HIGH GRADE FUNDING I LLC^++ 5.28 09/15/2006 36,924,027
15,000,000 CAIRN HIGH GRADE FUNDING I LLC^++ 5.29 09/22/2006 14,953,712
20,000,000 CAIRN HIGH GRADE FUNDING I LLC^++ 5.29 10/23/2006 19,847,322
80,000,000 CEDAR SPRINGS CAPITAL COMPANY^++ 5.28 10/03/2006 79,624,533
50,000,000 DEER VALLEY FUNDING LLC^++ 5.28 09/12/2006 49,919,333
40,000,000 DEER VALLEY FUNDING LLC^++ 5.28 09/28/2006 39,841,600
97,425,000 FALCON ASSET SECURITY COMPANY LLC^++ 5.26 09/18/2006 97,183,007
75,000,000 GEMINI SECURITIZATION LLC^++ 5.27 10/05/2006 74,626,708
55,000,000 GEORGE STREET FINANCE LLC^++ 5.28 09/15/2006 54,887,067
40,000,000 GEORGE STREET FINANCE LLC^++ 5.27 09/28/2006 39,841,900
26,417,000 HARRIER FINANCE FUNDING US LLC^++ 5.27 10/10/2006 26,266,181
58,243,000 IOWA STUDENT LOAN LIQUIDITY COMPANY^ 5.30 09/07/2006 58,191,493
37,000,000 KESTREL FUNDING US LLC^++ 5.27 09/20/2006 36,897,089
50,000,000 KESTREL FUNDING US LLC^++ 5.27 09/27/2006 49,809,694
40,000,000 LIQUID FUNDING LIMITED^++ 5.36 09/08/2006 39,958,311
20,000,000 LIQUID FUNDING LIMITED+/-++ 5.32 09/15/2006 20,000,000
3,000,000 LIQUID FUNDING LIMITED+/-++ 5.32 09/25/2006 3,000,000
37,511,000 NORTH SEA FUNDING LLC^++ 5.26 09/18/2006 37,417,827
51,356,000 PARK AVENUE RECEIVABLES^++ 5.26 09/18/2006 51,228,437
50,000,000 REGENCY MARKETS #1 LLC^++ 5.41 10/16/2006 49,662,188
30,000,000 VERSAILLES CDS LLC^++ 5.37 09/06/2006 29,977,625
50,000,000 VERSAILLES CDS LLC^++ 5.27 09/20/2006 49,860,931
TOTAL COMMERCIAL PAPER (COST $1,393,696,618) 1,393,696,618
--------------
5
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
PORTFOLIO OF INVESTMENTS--AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
EXTENDABLE BONDS - 5.61%
$ 5,000,000 3M COMPANY++ 5.65% 12/12/2006 $ 5,011,610
15,000,000 AMERICAN GENERAL FINANCE+/-++ 5.36 09/14/2007 15,000,000
15,000,000 BANK OF IRELAND+/-++ 5.30 09/20/2007 15,000,000
5,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.32 09/14/2007 5,000,000
5,000,000 FLORIDA HURRICANE CATASTROPHE+/- 5.34 09/14/2007 5,000,000
5,000,000 GENERAL ELECTRIC CAPITAL CORPORATION+/- 5.49 07/09/2007 5,000,000
15,000,000 ING SECURITY LIFE INSTITUTIONAL FUNDING+/-++ 5.48 08/09/2007 15,000,000
4,000,000 INTESA BANK IRELAND PLC+/-++ 5.32 09/25/2007 4,000,000
15,000,000 IRISH LIFE & PERMANENT+/-++ 5.33 09/21/2007 15,000,000
15,000,000 ISLANDS BANK+/-++ 5.40 04/22/2007 15,000,000
3,000,000 KAUPTHING BANK HF SERIES MTN+/-++ 5.39 03/20/2007 3,000,000
7,000,000 MERRILL LYNCH & COMPANY INCORPORATED+/- 5.31 09/24/2007 7,000,000
15,000,000 MORGAN STANLEY+/- 5.38 08/31/2007 15,000,000
15,000,000 NATIONWIDE BUILDING SOCIETY+/-++ 5.44 07/06/2007 15,000,000
15,000,000 NORDEA BANK AB+/-++ 5.34 09/11/2007 15,000,000
15,000,000 NORTHERN ROCK PLC+/-++ 5.35 07/09/2007 15,000,000
15,000,000 NORTHERN ROCK PLC+/-++ 5.43 08/03/2007 15,000,000
6,500,000 PREMIUM ASSET TRUST+/-++ 5.37 08/15/2007 6,500,000
TOTAL EXTENDABLE BONDS (COST $190,511,610) 190,511,610
--------------
MEDIUM TERM NOTES - 6.04%
5,000,000 ASIF GLOBAL FINANCING+/-++ 5.51 05/03/2007 5,002,068
46,400,000 BANK OF AMERICA SECURITIES+/-SS. 5.38 09/09/2099 46,400,000
26,800,000 BEAR STEARNS COMPANIES INCORPORATED+/-SS. 5.43 09/09/2099 26,800,000
9,000,000 CHEYNE FINANCE LLC SERIES MTN+/-++ 5.36 05/21/2007 8,998,887
5,000,000 CHEYNE FINANCE LLC+/-++ 5.36 05/24/2007 4,999,286
15,000,000 CULLINAN FINANCE CORPORATION+/-++ 5.35 05/21/2007 14,998,929
15,000,000 HARRIER FINANCE FUNDING LLC SERIES MTN+/-++ 5.29 12/15/2006 14,999,118
5,000,000 LEHMAN BROTHERS HOLDINGS+/- 5.39 07/19/2007 5,004,129
5,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.48 03/15/2007 5,004,183
15,000,000 LIBERTY LIGHT US CAPITAL SERIES MTN+/-++ 5.45 11/01/2006 14,999,474
30,000,000 LIQUID FUNDING LIMITED+/-++ 5.31 09/29/2006 30,000,000
4,000,000 MORGAN STANLEY+/- 5.53 02/15/2007 4,002,866
14,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.35 05/21/2007 13,998,874
10,000,000 TANGO FINANCE CORPORATION+/-++ 5.36 05/24/2007 9,999,274
TOTAL MEDIUM TERM NOTES (COST $205,207,088) 205,207,088
--------------
MUNICIPAL BONDS & NOTES - 0.21%
7,345,000 MISSISSIPPI STATE TAXABLE NISSAN PROJECT A (GO - STATES,
TERRITORIES LOC)+/-SS. 5.34 11/01/2028 7,345,000
TOTAL MUNICIPAL BONDS & NOTES (COST $7,345,000) 7,345,000
--------------
PROMISSORY NOTES - 3.39%
100,400,000 CITIGROUP GLOBAL+/-SS. 5.38 09/09/2099 100,400,000
15,000,000 GOLDMAN SACHS GROUP INCORPORATED+/-++ 5.54 01/26/2007 15,000,000
TOTAL PROMISSORY NOTES (COST $115,400,000) 115,400,000
--------------
6
PORTFOLIO OF INVESTMENTS--AUGUST 31, 2006 (UNAUDITED)
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
TIME DEPOSITS - 16.98%
$ 78,000,000 DEUTSCHE BANK CAYMAN 5.26% 09/07/2006 $ 78,000,000
28,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/05/2006 28,000,000
58,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/06/2006 58,000,000
78,000,000 KBC BANK NV BRUSSELS 5.30 09/01/2006 78,000,000
80,000,000 NATEXIS BANQUES POPULAIR 5.26 09/05/2006 80,000,000
80,000,000 RABOBANK LONDON 5.26 09/01/2006 80,000,000
30,000,000 SOCIETE GENERALE CANADA 5.27 09/07/2006 30,000,000
45,000,000 SOCIETE GENERALE CAYMAN 5.27 09/05/2006 45,000,000
100,000,000 UBS AG CAYMAN ISLANDS 5.28 09/01/2006 100,000,000
TOTAL TIME DEPOSITS (COST $577,000,000) 577,000,000
--------------
REPURCHASE AGREEMENTS - 23.06%
360,428,641 BANK OF AMERICA SECURITIES - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $360,481,504) 5.28 09/01/2006 360,428,641
108,000,000 BARCLAYS CAPITAL INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $108,015,840) 5.28 09/01/2006 108,000,000
49,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $49,007,228) 5.31 09/01/2006 49,000,000
94,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $94,013,813) 5.29 09/01/2006 94,000,000
70,000,000 GOLDMAN SACHS GROUP INCORPORATED - 102% COLLATERALIZED BY US
GOVERNMENT SECURITIES
(MATURITY VALUE $70,010,306) 5.30 09/01/2006 70,000,000
31,000,000 JPMORGAN CHASE SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $31,004,564) 5.30 09/01/2006 31,000,000
71,000,000 JPMORGAN CHASE SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $71,010,433) 5.29 09/01/2006 71,000,000
TOTAL REPURCHASE AGREEMENTS (COST $783,428,641) 783,428,641
--------------
TOTAL INVESTMENTS IN SECURITIES
(COST $3,401,927,144)* 100.12% $3,401,927,144
OTHER ASSETS AND LIABILITIES, NET (0.12) (4,220,299)
------ --------------
TOTAL NET ASSETS 100.00% $3,397,706,845
====== ==============
+/- VARIABLE RATE INVESTMENTS.
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
7
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
STATEMENT OF ASSETS AND LIABILITIES--AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
OVERLAND EXPRESS
SWEEP FUND
- -----------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ............................... $ 2,618,498,503
REPURCHASE AGREEMENTS ........................................ 783,428,641
----------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) .............. 3,401,927,144
----------------
CASH ......................................................... 50,000
RECEIVABLES FOR DIVIDENDS AND INTEREST ....................... 6,924,496
----------------
TOTAL ASSETS .................................................... 3,408,901,640
----------------
LIABILITIES
DIVIDENDS PAYABLE ............................................ 7,874,169
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) ........ 1,615,306
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT ...... 1,423,510
ACCRUED EXPENSES AND OTHER LIABILITIES ....................... 281,810
----------------
TOTAL LIABILITIES ............................................... 11,194,795
----------------
TOTAL NET ASSETS ................................................ $ 3,397,706,845
================
NET ASSETS CONSIST OF:
- -----------------------------------------------------------------------------------
PAID-IN CAPITAL .............................................. $ 3,397,698,208
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ................... (172)
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS ........ 8,809
----------------
TOTAL NET ASSETS ................................................ $ 3,397,706,845
----------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- -----------------------------------------------------------------------------------
NET ASSETS ................................................... $ 3,397,706,845
SHARES OUTSTANDING ........................................... 3,397,723,121
NET ASSET VALUE AND OFFERING PRICE PER SHARE ................. $ 1.00
----------------
INVESTMENTS AT COST ............................................. $ 3,401,927,144
================
(1) EACH FUND HAS AN UNLIMITED NUMBER OF AUTHORIZED SHARES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
8
STATEMENT OF OPERATIONS--
FOR THE SIX MONTHS ENDED AUGUST 31, 2006 (UNAUDITED)
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
INVESTMENT INCOME
INTEREST ..................................................... $ 99,264,573
----------------
TOTAL INVESTMENT INCOME ......................................... 99,264,573
----------------
EXPENSES
ADVISORY FEES ................................................ 5,571,009
ADMINISTRATION FEES .......................................... 5,345,982
CUSTODY FEES ................................................. 395,999
SHAREHOLDER SERVICING FEES ................................... 4,949,983
ACCOUNTING FEES .............................................. 103,141
DISTRIBUTION FEES (NOTE 3) ................................... 4,949,983
PROFESSIONAL FEES ............................................ 9,103
REGISTRATION FEES ............................................ 14,102
SHAREHOLDER REPORTS .......................................... 17,460
TRUSTEES' FEES ............................................... 4,300
OTHER FEES AND EXPENSES ...................................... 4,186
----------------
TOTAL EXPENSES .................................................. 21,365,248
----------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) ................. (44,018)
NET EXPENSES ................................................. 21,321,230
----------------
NET INVESTMENT INCOME (LOSS) .................................... 77,943,343
----------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- -----------------------------------------------------------------------------------
NET REALIZED GAIN (LOSS) FROM:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN CURRENCY
TRANSLATION ................................................ 2,610
----------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ....................... 2,610
----------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS .......... 2,610
----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
OPERATIONS .. ................................................. $ 77,945,953
================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
9
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .......................................... $ 4,962,680,554 $ 4,232,637,847 $ 4,477,979,501
OPERATIONS:
NET INVESTMENT INCOME (LOSS) .................................. 77,943,343 110,058,960 30,955,073
NET REALIZED GAIN (LOSS) ON INVESTMENTS ....................... 2,610 119,783 (82,313)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS .. 77,945,953 110,178,743 30,872,760
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME ......................................... (77,966,832) (110,058,960) (30,955,073)
NET REALIZED GAIN ON SALES OF INVESTMENTS ..................... 0 -- (20,404)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .............................. (77,966,832) (110,058,960) (30,975,477)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD ..................................... 4,680,501,225 12,724,335,448 12,708,074,493
REINVESTMENT OF DISTRIBUTIONS ................................. 24,983,702 36,143,145 9,950,697
COST OF SHARES REDEEMED ....................................... (6,270,437,757) (12,030,555,669) (12,963,264,127)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL
SHARE TRANSACTIONS ............................................ (1,564,952,830) 729,922,924 (245,238,937)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS ............................ (1,564,973,709) 730,042,707 (245,341,654)
---------------- ----------------- ----------------
NET ASSETS:
ENDING NET ASSETS ................................................ $ 3,397,706,845 $ 4,962,680,554 $ 4,232,637,847
================ ================= ================
SHARES ISSUED AND REDEEMED:
SHARES SOLD ................................................... 4,680,501,225 12,724,335,448 12,708,074,494
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS ................ 24,983,702 36,143,145 9,950,697
SHARES REDEEMED ............................................... (6,270,437,757) (12,030,555,669) (12,963,264,127)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM
CAPITAL SHARE TRANSACTIONS .................................... (1,564,952,830) 729,922,924 (245,238,936)
---------------- ----------------- ----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ..... $ (172) $ 23,317 $ (172)
================ ================= ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
10
THIS PAGE IS INTENTIONALLY LEFT BLANK --
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NET REALIZED
BEGINNING AND DISTRIBUTIONS
NET ASSET NET UNREALIZED FROM NET
VALUE PER INVESTMENT GAIN (LOSS) ON INVESTMENT
SHARE INCOME (LOSS) INVESTMENTS INCOME
- ---------------------------------------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ... $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) .......... $1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 ................ $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ................ $1.00 0.00 0.00 0.00
APRIL 1, 2002 TO MARCH 31, 2003 ................ $1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 ................ $1.00 0.02 0.00 (0.02)
APRIL 1, 2000 TO MARCH 31, 2001 ................ $1.00 0.05 0.00 (0.05)
(1) DURING EACH PERIOD, VARIOUS FEES AND EXPENSES WERE WAIVED AND REIMBURSED.
THE RATIO OF GROSS EXPENSES TO AVERAGE NET ASSETS REFLECTS THE EXPENSE
RATIO IN THE ABSENCE OF ANY WAIVERS AND REIMBURSEMENTS.
(2) TOTAL RETURN CALCULATIONS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT
BEEN WAIVED OR REIMBURSED DURING THE PERIODS SHOWN. RETURNS FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT ANNUALIZED.
(3) THE FUND CHANGED ITS FISCAL YEAR-END FROM MARCH 31 TO FEBRUARY 28.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
12
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
DISTRIBUTIONS ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
FROM NET NET ASSET -----------------------------------------------
REALIZED VALUE PER NET INVESTMENT GROSS EXPENSES NET
GAINS SHARE INCOME (LOSS) EXPENSES WAIVED EXPENSES
- ------------------------------------------------------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ... 0.00 $1.00 1.98% 1.08% 0.00% 1.08%
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) .......... 0.00 $1.00 2.62% 1.08% 0.00% 1.08%
APRIL 1, 2004 TO MARCH 31, 2005 ................ 0.00 $1.00 0.72% 1.17% (0.10)% 1.07%
APRIL 1, 2003 TO MARCH 31, 2004 ................ 0.00 $1.00 0.10% 1.35% (0.28)% 1.07%
APRIL 1, 2002 TO MARCH 31, 2003 ................ 0.00 $1.00 0.52% 1.25% 0.00% 1.25%
APRIL 1, 2001 TO MARCH 31, 2002 ................ 0.00 $1.00 2.13% 1.25% 0.00% 1.25%
APRIL 1, 2000 TO MARCH 31, 2001 ................ 0.00 $1.00 5.21% 1.25% 0.00% 1.25%
NET ASSETS AT
TOTAL END OF PERIOD
RETURN(2) (000'S OMITTED)
- ------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ... 2.02% $3,397,707
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) .......... 2.40% $4,962,681
APRIL 1, 2004 TO MARCH 31, 2005 ................ 0.72% $4,232,638
APRIL 1, 2003 TO MARCH 31, 2004 ................ 0.10% $4,477,980
APRIL 1, 2002 TO MARCH 31, 2003 ................ 0.52% $5,084,538
APRIL 1, 2001 TO MARCH 31, 2002 ................ 2.26% $6,107,675
APRIL 1, 2000 TO MARCH 31, 2001 ................ 5.35% $4,924,869
13
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
1. ORGANIZATION
- --------------------------------------------------------------------------------
Wells Fargo Funds Trust (the "Trust") is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end management
investment company. The Trust commenced operations on November 8, 1999, and at
August 31, 2006, was comprised of 108 separate series (each, a "Fund",
collectively, the "Funds"). These financial statements present the Overland
Express Sweep Fund.
2. SIGNIFICANT ACCOUNTING POLICIES
- --------------------------------------------------------------------------------
The following significant accounting policies, which are consistently
followed in the preparation of the financial statements of the Trust, are in
conformity with accounting principles generally accepted in the United States of
America ("GAAP") for investment companies.
The preparation of financial statements in conformity with GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities, disclosure of contingent assets and liabilities at the
date of the financial statements, and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
In the normal course of business, the Trust may enter into contracts that
provide certain indemnifications. The Trust's maximum exposure under these
arrangements is dependent on future claims that may be made against the Funds
and, therefore, cannot be estimated; however, based on experience, the risk of
loss from such claims is considered remote.
SECURITY VALUATION
The Fund(s) invests only in securities with remaining maturities not
exceeding 397 days (13 months). Certain floating- and variable-rate instruments
in the portfolio may have maturities in excess of 397 days, but carry a demand
feature that permits the holder to tender the instruments back to the issuer at
par value prior to maturity.
The amortized cost method is used to value portfolio securities. The
amortized cost method involves valuing a security at its cost, plus accretion of
discount or minus amortization of premium over the period until maturity, which
approximates market value. The Fund(s) seeks to maintain a constant net asset
value of $1.00 per share, although there is no assurance that it will be able to
do so.
Investments which are not valued using any of the methods discussed above
are valued at their fair value as determined by procedures approved by the Board
of Trustees.
SECURITY TRANSACTIONS AND INCOME RECOGNITION
Securities transactions are recorded on a trade date basis. Realized gains
or losses are reported on the basis of identified cost of securities delivered.
Interest income is accrued daily and bond discounts are accreted and premiums
are amortized daily.
DISTRIBUTIONS TO SHAREHOLDERS
Net investment income, if any, is declared daily and distributed to
shareholders monthly. Distributions to shareholders from net realized capital
gains, if any, are declared and distributed at least annually.
For federal income tax purposes, a Fund may designate as capital gains
distributions the earnings and profits distributed to shareholders on the
redemption of fund shares during the year.
Distributions are based on amounts calculated in accordance with the
applicable federal income tax regulations, which may differ from GAAP. The
timing and character of distributions made during the period from net investment
income or net realized gains may also differ from their ultimate
characterization for federal income tax purposes. To the extent that these
differences are permanent in nature, such amounts are reclassified within the
capital accounts based on their federal tax-basis treatment. Temporary
differences do not require reclassifications.
FEDERAL INCOME TAXES
Each Fund is treated as a separate entity for U.S. federal income tax
purposes. It is the policy of each Fund of the Trust to continue to qualify as a
regulated investment company under Subchapter M of Subtitle A, Chapter 1 of the
Internal Revenue Code (the "Code"), and to make distributions of substantially
all of its investment company taxable income and any net realized capital gains
(after reduction for capital loss carryforwards) sufficient to relieve it from
all, or substantially all, federal income taxes. Accordingly, no provision for
federal income taxes was required at August 31, 2006.
REPURCHASE AGREEMENTS
The Fund(s) may invest in repurchase agreements and may participate in
pooled repurchase agreement transactions with other funds advised by Wells Fargo
Funds Management, LLC ("Funds Management"). The repurchase agreements must be
fully collateralized based on values that are marked to market daily. The
collateral may be held by an agent bank under a tri-party agreement. It is the
custodian's responsibility to value collateral daily and to take action to
obtain additional collateral as necessary to maintain market value equal to or
greater than the resale price. The repurchase agreements are collateralized by
instruments such as U.S. Treasury, federal agency, or high-grade corporate
obligations. There could be potential loss to a Fund in the event that such Fund
is delayed or prevented from exercising its rights to dispose of the collateral,
including the risk of a possible decline in the value of the underlying
obligations during the period in which a Fund seeks to assert its rights.
14
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
3. EXPENSES
- --------------------------------------------------------------------------------
ADVISORY FEES
The Trust has entered into an advisory contract with Funds Management. The
adviser is responsible for implementing investment policies and guidelines and
for supervising the subadviser, who is responsible for day-to-day portfolio
management.
Pursuant to the contract, Funds Management is entitled to receive an
advisory fee for its services as adviser. Funds Management may retain the
services of certain investment subadvisers to provide daily portfolio
management. The fees related to subadvisory services are borne directly by the
adviser and do not increase the overall fees paid by a Fund to the adviser.
Funds Management and the investment subadviser(s) are entitled to be paid a
monthly fee at the following annual rates:
Advisory Fees Subadvisory Fees
Average Daily (% of Average Average Daily (% of Average
Fund Net Assets Daily Net Assets) Subadviser Net Assets Daily Net Assets)
- -----------------------------------------------------------------------------------------------------------------
OVERLAND EXPRESS First $1 billion 0.300 Wells Capital First $1 billion 0.050
SWEEP FUND Next $4 billion 0.275 Management Next $2 billion 0.030
Over $5 billion 0.250 Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- -----------------------------------------------------------------------------------------------------------------
ADMINISTRATION AND TRANSFER AGENT FEES
The Trust has entered into an Administration Agreement with Funds
Management. Under this Agreement, for providing administrative services, which
includes paying fees and expenses for services provided by the transfer agent,
sub-transfer agents, omnibus account servicers and record-keepers, Funds
Management is entitled to receive the following annual fees:
Administration Fees
(% of Average
Fund Average Daily Net Assets Daily Net Assets)
- --------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND First $5 billion 0.27
Next $5 billion 0.26
Over $10 billion 0.25
- --------------------------------------------------------------------------------
The Trust has entered into an agreement with Boston Financial Data
Services ("BFDS") as the transfer agent for the Trust. BFDS is entitled to
receive fees from the administrator for its services as transfer agent.
CUSTODY FEES
The Trust has entered into a contract with Wells Fargo Bank, N.A. ("WFB"),
whereby WFB is responsible for providing custody services. Pursuant to the
contract, WFB is entitled to a monthly fee for custody services at the following
annual rates:
% of Average
Fund Daily Net Assets
- --------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND 0.02
- --------------------------------------------------------------------------------
SHAREHOLDER SERVICING FEES
The Trust has entered into contracts with one or more shareholder
servicing agents, whereby each Fund is charged the following annual fees:
% of Average
Fund Daily Net Assets
- --------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND 0.25
- --------------------------------------------------------------------------------
For the six months ended August 31, 2006, shareholder servicing fees paid
by the Fund are disclosed on the Statement of Operations.
DISTRIBUTION FEES
The Trust has adopted a Distribution Plan (the "Plan") for the Fund
pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to the
Fund and paid to Wells Fargo Funds Distributor, LLC at an annual rate of up to
0.25% of average daily net assets.
For the six months ended August 31, 2006, distribution fees incurred are
disclosed on the Statement of Operations.
OTHER FEES
PFPC, Inc. ("PFPC") serves as fund accountant for the Trust and is
entitled to receive an annual asset based fee and an annual fixed fee from each
Fund. PFPC is also entitled to be reimbursed for all out-of-pocket expenses
reasonably incurred in providing these services.
15
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
WAIVED FEES AND REIMBURSED EXPENSES
All amounts shown as waived fees or reimbursed expenses on the Statement
of Operations, for the six months ended August 31, 2006, were waived by Funds
Management, first from advisory fees, and then any remaining amount
consecutively from administration, custody and shareholder servicing fees
collected, if any. Funds Management has committed through June 30, 2007 to waive
fees and/or reimburse expenses to the extent necessary to maintain a certain net
operating expense ratio for the Fund(s). Net operating expense ratios during the
period were as follows:
Net Operating
Fund Expense Ratio
- --------------------------------------------------------------------------------
OVERLAND EXPRESS SWEEP FUND 1.08%
- --------------------------------------------------------------------------------
4. NEW ACCOUNTING PRONOUNCEMENTS
- --------------------------------------------------------------------------------
In June 2006, the Financial Accounting Standards Board (FASB) issued FASB
Interpretation 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." This
standard defines the threshold for recognizing the benefits of tax-return
positions in the financial statements as "more-likely-than-not" to be sustained
by the taxing authority and requires measurement of a tax position meeting the
more-likely-than-not criterion, based on the largest benefit that is more than
50 percent likely to be realized. FIN 48 is effective as of the beginning of the
first fiscal year beginning after December 15, 2006 (January 1, 2007 for
calendar-year companies), with early application permitted if no interim
financial statements have been issued. At adoption, companies must adjust their
financial statements to reflect only those tax positions that are
more-likely-than-not to be sustained as of the adoption date. As of August 31,
2006, the Funds have not evaluated the impact that will result from adopting FIN
48.
16
OTHER INFORMATION (UNAUDITED)
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
PROXY VOTING INFORMATION
A description of the policies and procedures that the Funds use to
determine how to vote proxies relating to portfolio securities and information
regarding how to obtain the results of such voting during the most recent
12-month period ended June 30 is available without charge, upon request, by
calling 1-800-222-8222, visiting our Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS, or visiting the SEC Web site at WWW.SEC.GOV.
PORTFOLIO HOLDINGS INFORMATION
The complete portfolio holdings for each Fund are publicly available on
the Funds' Web site (WWW.WELLSFARGO.COM/ADVANTAGEFUNDS) on a monthly, 30-day or
more delayed basis. In addition, top ten holdings information for each Fund is
publicly available on the Funds' Web site on a monthly, seven-day or more
delayed basis. Each Fund files its complete schedule of portfolio holdings with
the SEC for the first and third quarters of each fiscal year on Form N-Q, which
is available without charge by visiting the SEC Web site at WWW.SEC.GOV. In
addition, each Fund's Form N-Q may be reviewed and copied at the SEC's Public
Reference Room in Washington, DC, and at regional offices in New York City, at
233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900.
Information about the Public Reference Room may be obtained by calling
1-800-SEC-0330.
BOARD OF TRUSTEES
The following table provides basic information about the Board of Trustees
(the "Trustees") of the Wells Fargo Funds Trust (the "Trust"). This table
supplements, and should be read in conjunction with, the Prospectus and the
Statement of Additional Information* of each Fund. Each of the Trustees listed
below acts in identical capacities for each of the 142 funds comprising the
Trust, Wells Fargo Variable Trust and Wells Fargo Master Trust (collectively the
"Fund Complex"). All of the non-interested Trustees are also members of the
Audit and Governance Committees of each Trust in the Fund Complex. The address
of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA
94105. Each Trustee and Officer serves an indefinite term, however, each Trustee
serves such term until reaching the mandatory retirement age established by the
Trustees.
NON-INTERESTED TRUSTEES
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
Thomas S. Goho Trustee, since 1987 Chair of Finance, Wake Forest None
64 University, since 2006. Benson-Pruitt
Professorship, Wake Forest University,
Calloway School of Business and
Accountancy, since 1999.
- -----------------------------------------------------------------------------------------------------------------
Peter G. Gordon Trustee, since 1998 Chairman, CEO, and Co-Founder of None
63 (Chairman, since 2001) Crystal Geyser Water Company, and
President of Crystal Geyser Roxane
Water Company.
- -----------------------------------------------------------------------------------------------------------------
Richard M. Leach Trustee, since 1987 Retired. Prior thereto, President of None
73 Richard M. Leach Associates (a
financial consulting firm).
- -----------------------------------------------------------------------------------------------------------------
Olivia S. Mitchell Trustee, since 2006 Professor of Insurance and Risk None
53 Management, Wharton School, University
of Pennsylvania. Director of the
Boettner Center on Pensions and
Retirement. Research Associate and
Board Member, Penn Aging Research
Center. Research Associate, National
Bureau of Economic Research.
17
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
NON-INTERESTED TRUSTEES (continued)
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
Timothy J. Penny Trustee, since 1996 Senior Counselor to the public None
54 relations firm of Himle-Horner, and
Senior Fellow at the Humphrey
Institute, Minneapolis, Minnesota (a
public policy organization).
- -----------------------------------------------------------------------------------------------------------------
Donald C. Willeke Trustee, since 1996 Principal of the law firm of Willeke & None
66 Daniels.
- -----------------------------------------------------------------------------------------------------------------
INTERESTED TRUSTEE***
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
J. Tucker Morse Trustee, since 1987 Private Investor/Real Estate Developer. None
62 Prior thereto, Chairman of White Point
Capital, LLC until 2005.
- -----------------------------------------------------------------------------------------------------------------
OFFICERS
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
Karla M. Rabusch President, since 2003 Executive Vice President of Wells Fargo None
47 Bank, N.A. and President of Wells Fargo
Funds Management, LLC. Senior Vice
President and Chief Administrative
Officer of Wells Fargo Funds
Management, LLC from 2001 to 2003.
- -----------------------------------------------------------------------------------------------------------------
C. David Messman Secretary, since 2000 Vice President and Managing Senior None
46 Counsel of Wells Fargo Bank, N.A. and
Senior Vice President and Secretary of
Wells Fargo Funds Management, LLC. Vice
President and Senior Counsel of Wells
Fargo Bank, N.A. from 1996 to 2003.
- -----------------------------------------------------------------------------------------------------------------
A. Erdem Cimen Treasurer, since 2006 Vice President of Wells Fargo Bank, None
32 N.A. and Vice President of Financial
Operations for Wells Fargo Funds
Management, LLC. Vice President and
Group Finance Officer of Wells Fargo
Bank, N.A. Auto Finance Group from 2004
to 2006. Vice President of Portfolio
Risk Management for Wells Fargo Bank,
N.A. Auto Finance Group in 2004. Vice
President of Portfolio Research and
Analysis for Wells Fargo Bank, N.A.
Auto Finance Group from 2001 to 2004.
Director of Small Business Services
Risk Management for American Express
Travel Related Services from 2000 to
2001.
18
OTHER INFORMATION (UNAUDITED)
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
OFFICERS (continued)
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
Dorothy A. Peters Chief Compliance Chief Compliance Officer of Wells Fargo None
44 Officer, since 2004 Funds Management, LLC since 2004 and
Compliance Officer of Wells Fargo Funds
Management, LLC from 1999 to 2002.
Compliance Manager of Wells Fargo
Investments from 1997 to 1999. In 2002,
Ms. Peters left Wells Fargo Funds
Management, LLC to pursue personal
goals.
- -----------------------------------------------------------------------------------------------------------------
* The Statement of Additional Information includes additional information
about the Funds' Trustees and is available, without charge, upon request,
by calling 1-800-222-8222 or by visiting the Funds' Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
** Length of service dates reflects a Trustee's commencement of service with
the Trust's predecessor entities.
*** As of August 31, 2006, one of the seven Trustees is considered an
"interested person" of the Trusts as defined in the Investment Company Act
of 1940. The interested Trustee, J. Tucker Morse, is affiliated with a
government securities dealer that is registered under the Securities
Exchange Act of 1934, which is not itself affiliated with Wells Fargo
Funds Management, LLC.
19
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
BOARD CONSIDERATION OF AND CONTINUATION OF INVESTMENT ADVISORY AND SUBADVISORY
AGREEMENTS:
OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
Section 15(c) of the Investment Company Act of 1940 (the "1940 Act")
contemplates that the Board of Trustees (the "Board") of Wells Fargo Funds Trust
(the "Trust"), including a majority of the Trustees who have no direct or
indirect interest in the investment advisory and subadvisory agreements and are
not "interested persons" of the Trust, as defined in the 1940 Act (the
"Independent Trustees"), will annually review and consider the continuation of
the investment advisory and subadvisory agreements. In this regard, the Board
reviewed and re-approved, during the six months covered by this report: (i) an
investment advisory agreement with Wells Fargo Funds Management, LLC ("Funds
Management") for the Overland Express Sweep Fund (the "Fund"); and (ii) an
investment subadvisory agreement with Wells Capital Management Incorporated
("Wells Capital Management") for the Fund. The investment advisory agreement
with Funds Management and the investment subadvisory agreement with Wells
Capital Management are collectively referred to as the "Advisory Agreements."
More specifically, at a meeting held on March 31, 2006, the Board,
including the Independent Trustees advised by their independent legal counsel,
considered the factors and reached the conclusions described below relating to
the selection of Funds Management and Wells Capital Management and the
continuation of the Advisory Agreements. Prior to the March 31, 2006, meeting,
the Board, including the Independent Trustees, met in person and telephonically
a number of times, both with Funds Management and in private sessions for
discussions about these continuations and approvals. The Independent Trustees
were assisted in their evaluation of the Advisory Agreements by independent
legal counsel, from whom they received separate legal advice and with whom they
met separately from Funds Management.
NATURE, EXTENT AND QUALITY OF SERVICES
- --------------------------------------------------------------------------------
The Board received and considered various data and information regarding
the nature, extent and quality of services provided to the Fund by Funds
Management and Wells Capital Management under the Advisory Agreements. The Board
also received and considered information provided in response to a detailed set
of requests submitted by the Independent Trustees' independent legal counsel,
including, among other things, information about the background and experience
of senior management and the expertise of, and amount of attention devoted to
the Fund by, investment personnel of Funds Management and Wells Capital
Management. In this regard, the Board specifically reviewed the qualifications,
backgrounds and responsibilities of the portfolio managers primarily responsible
for day-to-day portfolio management services for the Fund.
The Board evaluated the ability of Funds Management and Wells Capital
Management, based on their respective resources, reputations and other
attributes, to attract and retain highly qualified investment professionals,
including research, advisory, and supervisory personnel. In this regard, the
Board considered information regarding Funds Management's and Wells Capital
Management's compensation programs for personnel involved in the management of
the Fund.
The Board further considered the compliance programs and compliance
records of Funds Management and Wells Capital Management. In addition, the Board
took into account the administrative services provided to the Fund by Funds
Management and its affiliates. In considering these matters, the Board
considered not only the specific information presented in connection with the
meeting, but also the knowledge gained over the course of interacting with Funds
Management about various topics, including Funds Management's oversight of
service providers, such as Wells Capital Management.
Based on the above factors, together with those referenced below, the
Board concluded that it was generally satisfied with the nature, extent and
quality of the investment advisory services provided to the Fund by Funds
Management and Wells Capital Management.
FUND PERFORMANCE AND EXPENSES
- --------------------------------------------------------------------------------
The Board considered the performance results for the Fund over various
time periods ended December 31, 2005. The Board also considered these results in
comparison to the median performance results of the group of funds that was
determined by Lipper Inc. ("Lipper") to be the most similar to the Fund (the
"Peer Group") and to the median performance of a broader universe of relevant
funds as determined by Lipper (the "Universe"), as well as to the Fund's
benchmark index. Lipper is an independent provider of investment company data.
The Board was provided with a description of the methodology used by Lipper to
select the mutual funds in the Fund's Peer Group and Universe. The Board noted
that the Fund's performance was not appreciably below the median performance of
its Peer Group for all time periods.
The Board received and considered information regarding the Fund's net
operating expense ratio and its various components, including contractual
advisory fees, actual advisory fees, actual non-management fees, Rule 12b-1 and
non-Rule 12b-1 service fees, fee waivers/caps and/or expense reimbursements. The
Board also considered comparisons of these fees to the expense information for
the Fund's Peer Group and Universe, which comparative data was provided by
Lipper. The Board noted that the net operating
20
OTHER INFORMATION (UNAUDITED)
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
expense ratio of the Fund was not appreciably higher than the Fund's Peer
Group's median net operating expense ratio.
Based on the above-referenced considerations and other factors, the Board
concluded that the overall performance and expense results supported the
re-approval of the Advisory Agreements for the Fund.
INVESTMENT ADVISORY AND SUBADVISORY FEE RATES
- --------------------------------------------------------------------------------
The Board reviewed and considered the contractual investment advisory fee
rates payable by the Fund to Funds Management for investment advisory services,
both on a stand-alone basis and on a combined basis with the Fund's
administration fee rates (the "Advisory Agreement Rates"). The Board took into
account the separate administrative services covered by the administration fee
rates. The Board also reviewed and considered the contractual investment
subadvisory fee rates (the "Subadvisory Agreement Rates") payable by Funds
Management to Wells Capital Management for investment subadvisory services. In
addition, the Board reviewed and considered the existing fee waiver/cap
arrangements applicable to the Advisory Agreement Rates and considered the
Advisory Agreement Rates after taking the waivers/caps into account (the "Net
Advisory Rates").
The Board received and considered information comparing the Advisory
Agreement Rates and Net Advisory Rates with those of the other funds in the Peer
Group. The Board noted that the Advisory Agreement Rates and the Net Advisory
Rates for the Fund were not appreciably higher than the median rates of its Peer
Group. In addition, the Board concluded that the combined investment
advisory/administration fee rates for the Fund (before and after waivers/caps
and/or expense reimbursements) were reasonable in relation to the Fund's Peer
Group, and reasonable in relation to the services provided.
The Board also reviewed the Subadvisory Agreement Rates and concluded that
the Subadvisory Agreement Rates were fair and equitable, based on its
consideration of the factors described above.
PROFITABILITY
- --------------------------------------------------------------------------------
The Board received and considered a detailed profitability analysis of
Funds Management based on the Advisory Agreement Rates and the Net Advisory
Rates, as well as an analysis of the profitability of other Wells Fargo
businesses (including Wells Capital Management) from providing services to the
Fund. The Board concluded that, in light of the costs of providing investment
management and other services to the Fund, the profits and other ancillary
benefits that Funds Management and its affiliates received with regard to
providing these services to the Fund were not unreasonable. The Board did not
consider a separate profitability analysis of Wells Capital Management, as its
separate profitability from its relationship with the Fund was not a material
factor in determining whether to renew the agreement.
ECONOMIES OF SCALE
- --------------------------------------------------------------------------------
The Board received and considered general information regarding whether
there have been economies of scale with respect to the management of the Fund,
whether the Fund has appropriately benefited from any economies of scale, and
whether there is potential for realization of any further economies of scale for
the Fund. The Board acknowledged the inherent limitations of any analysis of an
investment adviser's economies of scale and of any attempt to correlate
breakpoints with such economies, stemming largely from the Board's understanding
that economies of scale are realized, if at all, by an investment adviser across
a variety of products and services, not just with respect to a single fund. The
Board concluded that any actual or potential economies of scale are, or will be,
shared reasonably with Fund shareholders, most particularly through Advisory
Agreement Rate breakpoints applicable to the Fund.
INFORMATION ABOUT SERVICES TO OTHER CLIENTS
- --------------------------------------------------------------------------------
The Board also received and considered information about the nature and
extent of services and fee rates offered by Funds Management to other similarly
situated series of the Trust, and those offered by Wells Capital Management to
other clients, including other registered investment companies and separate
accounts. The Board concluded that the Advisory Agreement Rates, the Subadvisory
Agreement Rates and the Net Advisory Rates were within a reasonable range of the
fee rates offered to others by Funds Management and Wells Capital Management,
giving effect to differences in services covered by such fee rates.
OTHER BENEFITS TO FUNDS MANAGEMENT AND WELLS CAPITAL MANAGEMENT
- --------------------------------------------------------------------------------
The Board received and considered information regarding potential
"fall-out" or ancillary benefits received by Funds Management and its affiliates
(including Wells Capital Management) as a result of their relationship with the
Fund. Such benefits could include, among others, benefits directly attributable
to the relationship of Funds Management and Wells Capital Management with the
Fund and benefits potentially derived from an increase in Funds Management's and
Wells Capital Management's business as a result of their relationship with the
Fund (such as the ability to market to shareholders other financial products
offered by Funds Management and its affiliates, including Wells Capital
Management).
21
WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
The Board also considered the effectiveness of the policies of the Fund in
achieving the best execution of portfolio transactions, whether and to what
extent soft dollar credits are sought and how any such credits are utilized, any
benefits that may be realized by using an affiliated broker, the extent to which
efforts are made to recapture transaction costs, and the controls applicable to
brokerage allocation procedures. The Board also reviewed Funds Management's and
Wells Capital Management's methods for allocating portfolio investment
opportunities among the Fund and other clients.
OTHER FACTORS AND BROADER REVIEW
- --------------------------------------------------------------------------------
The Board also considered the markets for distribution of the Fund,
including the principal channels through which the Fund's shares are offered and
sold. The Board noted that the Fund is part of one of the few fund families that
have both direct-to-fund and intermediary distribution.
As discussed above, the Board reviewed detailed materials received from
Funds Management and Wells Capital Management annually as part of the
re-approval process under Section 15(c) of the 1940 Act. The Board also reviews
and assesses the quality of the services that the Fund receives throughout the
year. In this regard, the Board has reviewed reports of Funds Management and
Wells Capital Management at each of its quarterly meetings, which include, among
other things, a portfolio review and fund performance reports. In addition, the
Board has conferred with the portfolio managers of the Fund at various times
throughout the year.
After considering the above-described factors and based on its
deliberations and its evaluation of the information described above, the Board
concluded that approval of the continuation of the Advisory Agreements for the
Fund was in the best interest of the Fund and its shareholders. Accordingly, the
Board unanimously approved the continuation of the Advisory Agreements for an
additional one-year period.
22
LIST OF ABBREVIATIONS WELLS FARGO ADVANTAGE OVERLAND EXPRESS SWEEP FUND
- --------------------------------------------------------------------------------
The following is a list of common abbreviations for terms and entities
which may have appeared in this report.
ABAG -- Association of Bay Area Governments
ADR -- American Depository Receipt
AMBAC -- American Municipal Bond Assurance Corporation
AMT -- Alternative Minimum Tax
ARM -- Adjustable Rate Mortgages
BART -- Bay Area Rapid Transit
CDA -- Community Development Authority
CDSC -- Contingent Deferred Sales Charge
CGIC -- Capital Guaranty Insurance Company
CGY -- Capital Guaranty Corporation
CMT -- Constant Maturity Treasury
COFI -- Cost of Funds Index
COP -- Certificate of Participation
CP -- Commercial Paper
CTF -- Common Trust Fund
DW&P -- Department of Water & Power
DWR -- Department of Water Resources
EDFA -- Education Finance Authority
FFCB -- Federal Farm Credit Bank
FGIC -- Financial Guaranty Insurance Corporation
FHA -- Federal Housing Authority
FHLB -- Federal Home Loan Bank
FHLMC -- Federal Home Loan Mortgage Corporation
FNMA -- Federal National Mortgage Association
FRN -- Floating Rate Notes
FSA -- Financial Security Assurance Incorporated
GDR -- Global Depository Receipt
GNMA -- Government National Mortgage Association
GO -- General Obligation
HFA -- Housing Finance Authority
HFFA -- Health Facilities Financing Authority
IDA -- Industrial Development Authority
IDR -- Industrial Development Revenue
LIBOR -- London Interbank Offered Rate
LLC -- Limited Liability Corporation
LOC -- Letter of Credit
LP -- Limited Partnership
MBIA -- Municipal Bond Insurance Association
MFHR -- Multi-Family Housing Revenue
MUD -- Municipal Utility District
MTN -- Medium Term Note
PCFA -- Pollution Control Finance Authority
PCR -- Pollution Control Revenue
PFA -- Public Finance Authority
PLC -- Private Placement
PSFG -- Public School Fund Guaranty
RDA -- Redevelopment Authority
RDFA -- Redevelopment Finance Authority
REITS -- Real Estate Investment Trusts
R&D -- Research & Development
SFHR -- Single Family Housing Revenue
SFMR -- Single Family Mortgage Revenue
SLMA -- Student Loan Marketing Association
STEERS -- Structured Enhanced Return Trust
TBA -- To Be Announced
TRAN -- Tax Revenue Anticipation Notes
USD -- Unified School District
V/R -- Variable Rate
WEBS -- World Equity Benchmark Shares
XLCA -- XL Capital Assurance
23
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[LOGO]
- -----------------
WELLS ADVANTAGE
FARGO FUNDS
- -----------------
More information about WELLS THIS REPORT AND THE FINANCIAL STATEMENTS
FARGO ADVANTAGE FUNDS(SM) is CONTAINED HEREIN ARE SUBMITTED FOR THE
available free upon request. To GENERAL INFORMATION OF THE SHAREHOLDERS
obtain literature, please OF WELLS FARGO ADVANTAGE FUNDS. IF THIS
write, e-mail, visit the Funds' REPORT IS USED FOR PROMOTIONAL PURPOSES,
Web site, or call: DISTRIBUTION OF THE REPORT MUST BE
ACCOMPANIED OR PRECEDED BY A CURRENT
WELLS FARGO ADVANTAGE FUNDS PROSPECTUS. FOR A PROSPECTUS CONTAINING
P.O. Box 8266 MORE COMPLETE INFORMATION, INCLUDING
Boston, MA 02266-8266 CHARGES AND EXPENSES, CALL 1-800-222-8222
OR VISIT THE FUNDS' WEB SITE AT
E-mail: wfaf@wellsfargo.com WWW.WELLSFARGO.COM/ADVANTAGEFUNDS. PLEASE
Web site: CONSIDER THE INVESTMENT OBJECTIVES,
www.wellsfargo.com/advantagefunds RISKS, CHARGES, AND EXPENSES OF THE
Individual Investors: 1-800-222-8222 INVESTMENT CAREFULLY BEFORE INVESTING.
Retail Investment Professionals: THIS AND OTHER INFORMATION ABOUT WELLS
1-888-877-9275 FARGO ADVANTAGE FUNDS CAN BE FOUND IN THE
Institutional Investment CURRENT PROSPECTUS. READ THE PROSPECTUS
Professionals: 1-866-765-0778 CAREFULLY BEFORE YOU INVEST OR SEND
MONEY.
Wells Fargo Funds Management, LLC, a
wholly owned subsidiary of Wells Fargo &
Company, provides investment advisory and
administrative services for WELLS FARGO
ADVANTAGE FUNDS. Other affiliates of
Wells Fargo & Company provide subadvisory
and other services for the Funds. The
Funds are distributed by WELLS FARGO
FUNDS DISTRIBUTOR, LLC, Member NASD/SIPC,
an affiliate of Wells Fargo & Company.
---------------------------------------------------------
NOT FDIC INSURED o NO BANK GUARANTEE o MAY LOSE VALUE
---------------------------------------------------------
- --------------------------------------------------------------------------------
(C) 2006 Wells Fargo www.wellsfargo.com/advantagefunds 100105 10-06
Funds Management, LLC. SOES/SAR118
All rights reserved.
-----------------
WELLS ADVANTAGE
FARGO FUNDS
-----------------
[GRAPHIC OMITTED] AUGUST 31, 2006
SEMI-ANNUAL REPORT
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
TABLE OF CONTENTS
Letter to Shareholders .................................................... 1
- --------------------------------------------------------------------------------
Money Market Overview ..................................................... 2
- --------------------------------------------------------------------------------
Performance Highlights
- --------------------------------------------------------------------------------
Liquidity Reserve Money Market Fund .................................... 3
Fund Expenses (Unaudited) ................................................. 4
- --------------------------------------------------------------------------------
Portfolio of Investments
- --------------------------------------------------------------------------------
Liquidity Reserve Money Market Fund .................................... 5
Financial Statements
- --------------------------------------------------------------------------------
Statement of Assets and Liabilities .................................... 9
Statement of Operations ................................................ 10
Statements of Changes in Net Assets .................................... 11
Financial Highlights ................................................... 12
Notes to Financial Statements ............................................. 14
- --------------------------------------------------------------------------------
Other Information (Unaudited) ............................................. 17
- --------------------------------------------------------------------------------
List of Abbreviations ..................................................... 23
- --------------------------------------------------------------------------------
-------------------------------------------------
NOT FDIC INSURED-NO BANK GUARANTEE-MAY LOSE VALUE
-------------------------------------------------
THIS PAGE IS INTENTIONALLY LEFT BLANK --
LETTER TO SHAREHOLDERS
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
DEAR VALUED SHAREHOLDER,
Enclosed please find the WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY
MARKET FUND semi-annual report for the six-month period that ended August 31,
2006. On the following pages, you will find a discussion of the Fund, including
a money market overview, information about the Fund's holdings, and the
portfolio manager's strategic outlook.
THE ECONOMY
- --------------------------------------------------------------------------------
During the period, the U.S. economy started to show some signs of a
slowdown. The housing market slowed, with mortgage applications falling and
homes staying on the market for longer periods. Consumer confidence weakened,
and the inflation outlook remained cloudy. Real Gross Domestic Product (GDP)
slowed to 2.9% for the second quarter of 2006, driven mostly by a falloff in
consumer spending from an unsustainable first-quarter pace. Other indicators,
however, have remained robust. Capital spending and the manufacturing sector
continued to perform well. Most labor markets also remained healthy, creating
some uncertainty regarding the direction of the Fed's next decision about
interest rates.
FED PAUSES IN ITS CYCLE OF INTEREST RATE HIKES
- --------------------------------------------------------------------------------
Money market rates continued to rise in 2006 as the Fed increased the
target Federal funds rate by 0.25% at each of the 17 Federal Open Market
Committee (FOMC) meetings from June 2004 through June 2006. In August, the Fed
took a long-awaited pause and kept the Federal funds rate at 5.25%. The Federal
funds rate was only 1.00% in June 2004 before the Fed started its cycle of
interest rate increases--often described as credit tightening.
LOOKING AHEAD
- --------------------------------------------------------------------------------
The Fed's monetary policy has become less predictable. The FOMC minutes of
the August 8, 2006 meeting stated that the decision to stop raising the Federal
funds rate was "appropriate to limit the risks of tightening too much." All the
FOMC members agreed that the decision to pause did not necessarily mark the end
of the credit tightening cycle.
The unpredictability of interest rates is another reason why we believe
that successful investing includes a balanced approach of owning a diversified
portfolio while keeping a long-term perspective. While diversification may not
prevent losses in a downturn, it may help reduce them and keep you on track to
reach your financial goals. To help you reach your diversification goals, we
offer funds across every key category, each guided by skillful money managers
chosen for their focused attention to a particular investment style.
Thank you for choosing WELLS FARGO ADVANTAGE FUNDS. We appreciate your
confidence in us. Through each market cycle, we are committed to helping you
meet your financial needs. If you have any questions about your investment,
please contact your investment professional or call us at 1-800-222-8222. You
may also want to visit our Web site at WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
Sincerely,
/s/ Karla M. Rabusch
Karla M. Rabusch
President
WELLS FARGO ADVANTAGE FUNDS
1
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
MONEY MARKET OVERVIEW
- --------------------------------------------------------------------------------
MONEY MARKET OVERVIEW
This semi-annual report covers the six-month period from March 1, 2006,
through August 31, 2006.
PRIME MONEY MARKET SECURITIES
- --------------------------------------------------------------------------------
After having raised the target Federal funds rate by 0.25% at 17
consecutive meetings since June 2004, the Fed finally left interest rates
unchanged at its meeting on August 8, 2006. This series of increases raised the
Federal funds rate from 1% in 2004 to 5.25% by the end of the reporting period.
The six-month period that ended August 31, 2006, experienced three increases
that raised the Federal funds rate from 4.50% to 5.25%.
The money market yield curve, which is the yield of various securities
across the spectrum of very short maturities from one day to one year, flattened
considerably during the period. For example, the spread between the one-month
and one-year London Inter-Bank Offered Rate (LIBOR) contracted from 0.52% on
February 28, 2006, to only 0.08% on August 31, 2006. While the one-month LIBOR
rose by 0.70%, from 4.63% to 5.33%, the one-year LIBOR increased by only 0.26%,
from 5.15% to 5.41%. The muted rise in the one-year rate reflected an increasing
belief from money market investors that increases in short-term rates could be
nearing an end. One-month rates peaked around 5.40% at the beginning of August,
at the same time as the Fed paused from its interest rate increases. One-year
rates peaked earlier, around 5.75%, toward the end of June and by August 31,
2006, had returned to the 5.40% levels seen at the end of May.
The amount of commercial paper outstanding increased each month during the
reporting period, increasing by a total of about 10% for the six-month period.
In dollar terms, the total amount of commercial paper increased from $1.67
trillion on February 28, 2006, to $1.84 trillion on August 31, 2006. This
increased supply led to more attractive yields relative to other money market
instruments, especially U.S. Government and U.S. Treasury securities.
Our approach includes using shorter-term investments as well as floating-
or variable-rate securities. This strategy has allowed the Fund's yield to
adjust quickly in line with rising money market rates. While we will manage the
Fund in a manner that seeks to take advantage of current interest rate trends,
we are also prepared for the potential for the Fund to benefit if interest rates
once again move higher.
STRATEGIC OUTLOOK
- --------------------------------------------------------------------------------
The Fed has made good on its promise to pause in its series of
interest-rate increases. Whether the pause proves to be temporary or not will
depend upon future economic data. The statement released by the Fed after its
meeting on August 8 indicated that "inflation pressures seem likely to moderate
over time, reflecting contained inflation expectations and the cumulative effect
of monetary policy actions...."
If the rise in rates has completely run its course, the flattening yield
curve could be seen as an indication of success on the part of the Fed in its
efforts to be more transparent in communicating its intentions about the future
course of interest rates. By the end of the period, investors were almost
universally proclaiming the end of higher rates and expected the next move to be
toward lower rates. If, however, this is a temporary pause and the Fed resumes
its pattern of raising rates, its efforts may not be seen as so successful and
investors could be unpleasantly surprised.
We continue to see the potential for stronger economic growth later in
2006. We are also troubled by the fact that inflation has run above the Fed's
expressed "comfort zone" for nearly two years now. We believe, however, that
with real interest rates running just under 3%, monetary policy is not really
all that restrictive by historical standards. We will continue to manage the
Fund conservatively and in a manner that is sensitive to changes in market
rates.
AN INVESTMENT IN A WELLS FARGO ADVANTAGE MONEY MARKET FUND IS NOT INSURED
OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER
GOVERNMENT AGENCY. ALTHOUGH MONEY MARKET FUNDS SEEK TO PRESERVE THE VALUE OF
YOUR INVESTMENT AT $1.00 PER SHARE, IT IS POSSIBLE TO LOSE MONEY BY INVESTING IN
THE FUND.
- --------------------------------------------------------------------------------
The views expressed are as of August 31, 2006, and are those of the Fund's
manager. The views are subject to change at any time in response to changing
circumstances in the market and are not intended to predict or guarantee the
future performance of any individual security, market sector or the markets
generally, or the WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND.
2
PERFORMANCE HIGHLIGHTS
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND (the Fund)
seeks current income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC. Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 07/31/2002
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year Life of Fund
- ---------------------------------------------------------------------------------------------------
Liquidity Reserve Money Market Fund (Incept. Date 07/31/2002) 2.18 3.89 1.52
- ---------------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 4.63%
- --------------------------------------------------------------------------------
7-Day Compound Yield 4.74%
- --------------------------------------------------------------------------------
30-Day Simple Yield 4.61%
- --------------------------------------------------------------------------------
30-Day Compound Yield 4.71%
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Corporate Bonds 1%
Floating/Variable Rate Bond/Notes 26%
Repurchase Agreements 16%
Time Deposits 17%
Commercial Paper 37%
Certificates of Deposits 3%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 26 days
- --------------------------------------------------------------------------------
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
90-179 Days 2%
Overnight 29%
2-14 Days 21%
15-29 Days 18%
30-59 Days 18%
60-89 Days 12%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 4.56%.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
3
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
FUND EXPENSES (UNAUDITED)
- --------------------------------------------------------------------------------
As a shareholder of the Fund, you incur two types of costs: (1)
transaction costs, including sales charges (loads) on purchase payments,
redemption fees (if any) and exchange fees (if any); and (2) ongoing costs,
including management fees; distribution (12b-1) and/or shareholder service 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 (March 1, 2006 to August 31, 2006).
ACTUAL EXPENSES
The "Actual" line of the table below provides information about actual
account values and actual expenses. You may use the information in this line,
together with the amount you invested, to estimate the expenses that you paid
over the period. Simply divide your account value by $1,000 (for example, an
$8,600 account value divided by $1,000 = 8.6), then multiply the result by the
number in the "Actual" line under the heading entitled "Expenses Paid During
Period" for your applicable class of shares to estimate the expenses you paid on
your account during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The "Hypothetical" line of the table below provides information about
hypothetical account values and hypothetical expenses based on the Fund's actual
expense ratio and an assumed rate of return of 5% per year before expenses,
which is not the Fund's actual return. The hypothetical account values and
expenses may not be used to estimate the actual ending account balance or
expenses you paid for the period. You may use this information to compare the
ongoing costs of investing in the Fund and other funds. To do so, compare this
5% hypothetical example with the 5% hypothetical examples that appear in the
shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such as
sales charges (loads), redemption fees, or exchange fees. Therefore, the
"Hypothetical" 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.
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 Period* Ratio
Liquidity Reserve Money Market Fund
- ------------------------------------------------------------------------------------------------
Actual $ 1,000.00 $ 1,021.80 $ 3.87 0.76%
- ------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,021.37 $ 3.87 0.76%
* Expenses are equal to the Fund's annualized expense ratio multiplied by
the average account value over the period, multiplied by the number of
days in the most recent fiscal half-year divided by the number of days in
the fiscal year (to reflect the one-half year period.)
4
PORTFOLIO OF INVESTMENTS--AUGUST 31, 2006 (UNAUDITED)
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
ASSET BACKED SECURITIES - 0.10%
$ 2,806,192 CAPITAL ONE AUTO FINANCE TRUST 5.12% 05/15/2007 $ 2,806,192
TOTAL ASSET BACKED SECURITIES (COST $2,806,192) 2,806,192
--------------
CERTIFICATES OF DEPOSIT - 2.78%
10,000,000 BARCLAYS BANK PLC 4.14 09/20/2006 10,000,000
17,000,000 BNP PARIBAS LONDON 4.92 11/07/2006 17,000,000
15,000,000 CREDIT SUISSE FIRST BOSTON NEW YORK SERIES YCD 4.18 09/22/2006 15,000,000
39,000,000 SKANDINAV ENSKILDA BK/NY 5.28 09/13/2006 38,997,900
TOTAL CERTIFICATES OF DEPOSIT (COST $80,997,900) 80,997,900
--------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 0.26%
7,500,000 PARAGON MORTGAGES PLC+/-++SS. 5.31 11/15/2038 7,500,000
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (COST $7,500,000) 7,500,000
--------------
COMMERCIAL PAPER - 37.01%
20,000,000 AMSTEL FUNDING CORPORATION^++ 5.41 10/18/2006 19,858,869
15,000,000 AMSTERDAM FUNDING CORPORATION^++ 5.38 09/14/2006 14,970,858
25,000,000 APRECO LLC^++ 5.27 10/25/2006 24,802,375
25,000,000 AQUIFER FUNDING LLC^++ 5.34 09/07/2006 24,977,750
25,231,000 ATLANTIC ASSET SECURITY CORPORATION^++ 5.27 10/23/2006 25,038,936
29,000,000 ATLAS CAPITAL FUNDING CORPORATION^++ 5.41 10/04/2006 28,856,184
10,000,000 ATLAS CAPITAL FUNDING CORPORATION^++ 5.29 10/10/2006 9,942,692
25,000,000 ATOMIUM FUNDING LLC^++ 5.40 09/13/2006 24,955,000
30,000,000 ATOMIUM FUNDING LLC^++ 5.28 11/21/2006 29,643,600
20,900,000 ATOMIUM FUNDING LLC^++ 5.28 12/06/2006 20,605,728
15,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.31 01/23/2007 15,000,000
20,267,000 BRYANT PARK FUNDING LLC^++ 5.28 11/15/2006 20,044,063
15,000,000 BUCKINGHAM CDO III LLC^++ 5.31 11/27/2006 14,807,694
19,147,000 BUCKINGHAM CDO LLC^++ 5.42 09/18/2006 19,097,994
9,000,000 CAIRN HIGH GRADE FUNDING I LLC^++ 5.29 10/18/2006 8,937,843
10,000,000 CAIRN HIGH GRADE FUNDING I LLC^++ 5.29 10/23/2006 9,923,589
32,000,000 CC USA INCORPORATED^++ 5.28 10/17/2006 31,784,107
23,000,000 CEDAR SPRINGS CAPITAL COMPANY^++ 5.28 10/03/2006 22,892,009
20,000,000 CEDAR SPRINGS CAPITAL COMPANY^++ 5.41 10/13/2006 19,873,767
23,988,000 CEDAR SPRINGS CAPITAL COMPANY^++ 5.39 10/17/2006 23,822,789
10,000,000 CEDAR SPRINGS CAPITAL COMPANY^++ 5.32 11/13/2006 9,892,122
55,000,000 CIESCO LLC^++ 5.28 10/25/2006 54,564,400
4,000,000 CROWN POINT CAPITAL COMPANY^++ 5.27 10/16/2006 3,973,650
45,570,000 DEER VALLEY FUNDING LLC^++ 5.29 10/24/2006 45,215,098
19,000,000 EUREKA SECURITIZATION^++ 5.28 11/14/2006 18,793,787
24,531,000 FCAR OWNER TRUST II^ 5.28 11/13/2006 24,268,355
30,000,000 FIVE FINANCE INCORPORATED^++ 5.40 10/18/2006 29,788,500
11,000,000 FIVE FINANCE INCORPORATED^++ 5.27 10/24/2006 10,914,655
12,000,000 GEMINI SECURITIZATION LLC^++ 5.28 10/23/2006 11,908,480
5,000,000 GOVCO INCORPORATED^++ 5.27 11/17/2006 4,943,640
10,000,000 HARRIER FINANCE FUNDING US LLC^++ 5.44 09/27/2006 9,960,711
14,500,000 KESTREL FUNDING US LLC^++ 5.38 09/25/2006 14,447,993
10,000,000 KESTREL FUNDING US LLC^++ 5.27 09/27/2006 9,961,939
9,000,000 KESTREL FUNDING US LLC^++ 5.39 10/30/2006 8,920,498
5
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS--AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
COMMERCIAL PAPER (CONTINUED)
$ 30,000,000 KLIO II FUNDING CORPORATION^++ 5.25% 09/08/2006 $ 29,969,375
26,268,000 KLIO III FUNDING CORPORATION^++ 5.17 09/01/2006 26,268,000
40,000,000 KLIO III FUNDING CORPORATION^++ 5.28 09/21/2006 39,882,778
20,000,000 LEGACY CAPITAL LLC SERIES A^++ 5.40 10/12/2006 19,877,000
25,000,000 LEGACY CAPITAL LLC SERIES A^++ 5.28 11/17/2006 24,717,667
35,000,000 LIQUID FUNDING LIMITED^++ 5.29 09/21/2006 34,897,139
12,000,000 LIQUID FUNDING LIMITED+/-++ 5.34 09/21/2006 12,000,000
7,000,000 LIQUID FUNDING LIMITED+/-++ 5.32 09/25/2006 7,000,000
18,000,000 NEWPORT FUNDING CORPORATION^++ 5.40 10/05/2006 17,908,200
10,000,000 NEWPORT FUNDING CORPORATION^++ 5.40 10/26/2006 9,917,500
40,000,000 NORTH SEA FUNDING LLC^++ 5.37 09/15/2006 39,916,467
22,963,000 NORTH SEA FUNDING LLC^++ 5.28 11/22/2006 22,686,832
30,000,000 SEDNA FINANCE INCORPORATED^++ 5.38 11/02/2006 29,722,033
36,500,000 SPINTAB AB^ 5.28 11/16/2006 36,093,532
15,000,000 STANFIELD VICTORIA FUNDING^++ 5.40 10/23/2006 14,883,000
12,481,000 THAMES ASSET GLOBAL SECURITIZATION^++ 5.37 09/07/2006 12,469,830
31,418,000 VERSAILLES CDS LLC^++ 5.37 09/19/2006 31,333,643
TOTAL COMMERCIAL PAPER (COST $1,076,932,671) 1,076,932,671
--------------
CORPORATE BONDS & NOTES - 0.70%
20,500,000 AMERICAN EXPRESS CENTURION SERIES BKNT+/- 5.30 05/22/2007 20,500,000
TOTAL CORPORATE BONDS & NOTES (COST $20,500,000) 20,500,000
--------------
MUNICIPAL BONDS & NOTES - 0.43%
12,500,000 MISSISSIPPI STATE TAXABLE NISSAN PROJECT A (GO - STATES,
TERRITORIES LOC)+/- SS. 5.34 11/01/2028 12,500,000
TOTAL MUNICIPAL BONDS & NOTES (COST $12,500,000) 12,500,000
--------------
EXTENDABLE BONDS - 12.28%
10,000,000 3M COMPANY++ 5.65 12/12/2006 10,023,220
10,000,000 AMERICAN GENERAL FINANCE+/-++ 5.36 09/14/2007 10,000,168
20,500,000 BANK OF IRELAND+/-++ 5.30 09/20/2007 20,500,000
14,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.32 09/14/2007 14,000,000
29,000,000 DNB NORSKE BANK ASA+/-++ 5.31 09/25/2007 29,000,000
19,500,000 FLORIDA HURRICANE CATASTROPHE+/- 5.34 09/14/2007 19,500,000
57,400,000 GENERAL ELECTRIC CAPITAL CORPORATION 5.49 07/09/2007 57,450,502
23,000,000 INTESA BANK IRELAND PLC+/-++ 5.32 09/25/2007 23,000,000
14,000,000 IRISH LIFE & PERMANENT+/-++ 5.33 09/21/2007 14,000,000
17,000,000 ISLANDS BANK+/-++ 5.40 04/22/2007 17,000,000
11,000,000 KAUPTHING BANK SERIES MTN+/-++ 5.39 03/20/2007 11,000,000
12,000,000 MERCK & COMPANY INCORPORATED+/-++ 4.52 02/22/2007 11,970,539
29,000,000 MERRILL LYNCH & COMPANY INCORPORATED+/- 5.31 09/24/2007 29,000,000
15,000,000 MORGAN STANLEY+/- 5.38 08/31/2007 15,000,000
10,000,000 NATIONWIDE BUILDING SOCIETY+/-++ 5.44 07/06/2007 10,000,000
8,000,000 NORDEA BANK AB+/-++ 5.35 08/09/2007 8,000,000
21,000,000 NORDEA BANK AB+/-++ 5.34 09/11/2007 21,000,000
19,000,000 NORTHERN ROCK PLC+/-++ 5.35 07/09/2007 19,001,092
15,000,000 NORTHERN ROCK PLC+/-++ 5.43 08/03/2007 15,000,000
3,000,000 PREMIUM ASSET TRUST+/-++ 5.37 08/15/2007 3,000,000
TOTAL EXTENDABLE BONDS (COST $357,445,521) 357,445,521
--------------
6
PORTFOLIO OF INVESTMENTS--AUGUST 31, 2006 (UNAUDITED)
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
MEDIUM TERM NOTES - 9.99%
$ 6,000,000 AMERICAN HONDA FINANCE+/-++ 5.36% 05/11/2007 $ 5,999,585
11,000,000 ASIF GLOBAL FINANCING+/-++ 5.51 05/03/2007 11,004,550
20,000,000 ATLAS CAPITAL FUNDING CORPORATION SERIES MTN+/-++ 5.35 12/11/2006 19,999,450
32,200,000 BANK OF AMERICA SECURITIES+/-SS. 5.38 09/09/2099 32,200,000
23,200,000 BEAR STEARNS COMPANIES INCORPORATED+/-SS. 5.43 09/09/2099 23,200,000
7,000,000 CHEYNE FINANCE LLC+/-++ 5.36 05/21/2007 6,999,134
7,000,000 CHEYNE FINANCE LLC+/-++ 5.36 05/24/2007 6,999,000
8,000,000 CHEYNE FINANCE LLC+/-++ 5.47 07/16/2007 7,998,288
13,000,000 CULLINAN FINANCE CORPORATION+/-++ 5.35 05/21/2007 12,999,072
35,000,000 CULLINAN FINANCE CORPORATION SERIES MTN+/-++ 5.29 12/20/2006 34,997,787
30,000,000 HARRIER FINANCE FUNDING LLC+/-++ 5.36 05/15/2007 29,996,745
10,000,000 JACKSON NATIONAL LIFE FUNDING (INSURANCE CARRIERS)+/-++ 5.57 04/20/2007 10,005,588
8,250,000 LEHMAN BROTHERS HOLDINGS+/- 5.39 07/19/2007 8,256,812
4,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.48 03/15/2007 4,003,347
9,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.47 07/10/2007 8,998,489
13,000,000 LIQUID FUNDING LIMITED SERIES MTN+/-++ 5.31 09/29/2006 13,000,000
24,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.47 04/11/2007 24,001,761
10,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.36 05/30/2007 9,999,223
7,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.30 06/18/2007 6,999,410
13,000,000 TANGO FINANCE CORPORATION+/-++ 5.36 05/24/2007 12,999,051
TOTAL MEDIUM TERM NOTES (COST $290,657,292) 290,657,292
--------------
PROMISSORY NOTES - 2.91%
69,700,000 CITIGROUP GLOBAL+/-SS. 5.38 09/09/2099 69,700,000
15,000,000 GOLDMAN SACHS GROUP INCORPORATED+/-++ 5.54 01/26/2007 15,000,000
TOTAL PROMISSORY NOTES (COST $84,700,000) 84,700,000
--------------
TIME DEPOSITS - 17.05%
67,000,000 DEUTSCHE BANK CAYMAN 5.26 09/07/2006 67,000,000
26,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/05/2006 26,000,000
50,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/06/2006 50,000,000
67,000,000 KBC BANK NV BRUSSELS 5.30 09/01/2006 67,000,000
70,000,000 NATEXIS BANQUES POPULAIR 5.26 09/05/2006 70,000,000
70,000,000 RABOBANK LONDON 5.26 09/01/2006 70,000,000
27,000,000 SOCIETE GENERALE CANADA 5.27 09/07/2006 27,000,000
39,000,000 SOCIETE GENERALE CAYMAN 5.27 09/05/2006 39,000,000
80,000,000 UBS AG CAYMAN ISLANDS 5.28 09/01/2006 80,000,000
TOTAL TIME DEPOSITS (COST $496,000,000) 496,000,000
--------------
REPURCHASE AGREEMENTS - 16.37%
90,313,373 BANC AMERICA SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $90,326,619) 5.28 09/01/2006 90,313,373
94,000,000 BARCLAYS BANK - 102% COLLATERALIZED BY US GOVERNMENT SECURITIES
(MATURITY VALUE $94,013,787) 5.28 09/01/2006 94,000,000
66,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $66,009,735) 5.31 09/01/2006 66,000,000
80,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $80,011,756) 5.29 09/01/2006 80,000,000
7
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
PORTFOLIO OF INVESTMENTS--AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
PRINCIPAL SECURITY NAME INTEREST RATE MATURITY DATE VALUE
REPURCHASE AGREEMENTS (CONTINUED)
$ 59,000,000 GOLDMAN SACHS & COMPANY - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $59,008,686) 5.30% 09/01/2006 $ 59,000,000
26,000,000 JPMORGAN CHASE SECURITIES CORPORATION - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $26,003,828) 5.30 09/01/2006 26,000,000
61,000,000 JPMORGAN CHASE SECURITIES CORPORATION - 102% COLLATERALIZED BY
US GOVERNMENT SECURITIES
(MATURITY VALUE $61,008,964) 5.29 09/01/2006 61,000,000
TOTAL REPURCHASE AGREEMENTS (COST $476,313,373) 476,313,373
--------------
TOTAL INVESTMENTS IN SECURITIES
(COST $2,906,352,949)* 99.88% $2,906,352,949
OTHER ASSETS AND LIABILITIES, NET 0.12 3,577,325
------ --------------
TOTAL NET ASSETS 100.00% $2,909,930,274
====== ==============
+/- VARIABLE RATE INVESTMENTS.
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
8
STATEMENT OF ASSETS AND LIABILITIES--
AUGUST 31, 2006 (UNAUDITED)
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ............................. $ 2,430,039,576
REPURCHASE AGREEMENTS ...................................... 476,313,373
---------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) ............ 2,906,352,949
---------------
CASH ....................................................... 50,000
RECEIVABLES FOR DIVIDENDS AND INTEREST ..................... 5,565,697
---------------
TOTAL ASSETS .................................................. 2,911,968,646
---------------
LIABILITIES
DIVIDENDS PAYABLE .......................................... 2
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) ...... 1,283,427
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT .... 602,847
ACCRUED EXPENSES AND OTHER LIABILITIES ..................... 152,096
---------------
TOTAL LIABILITIES ............................................. 2,038,372
---------------
TOTAL NET ASSETS .............................................. $ 2,909,930,274
===============
NET ASSETS CONSIST OF:
- ---------------------------------------------------------------------------------
PAID-IN CAPITAL ............................................ $ 2,909,955,523
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS ...... (25,249)
---------------
TOTAL NET ASSETS .............................................. $ 2,909,930,274
---------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- ---------------------------------------------------------------------------------
NET ASSETS ................................................. $ 2,909,930,274
SHARES OUTSTANDING ......................................... 2,909,955,524
NET ASSET VALUE AND OFFERING PRICE PER SHARE ............... $ 1.00
---------------
INVESTMENTS AT COST ........................................... $ 2,906,352,949
===============
(1) EACH FUND HAS AN UNLIMITED NUMBER OF AUTHORIZED SHARES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
9
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
STATEMENT OF OPERATIONS--
FOR THE SIX MONTHS ENDED AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
INVESTMENT INCOME
INTEREST ................................................... $ 66,869,530
---------------
TOTAL INVESTMENT INCOME ....................................... 66,869,530
---------------
EXPENSES
ADVISORY FEES .............................................. 3,757,689
ADMINISTRATION FEES ........................................ 3,565,632
CUSTODY FEES ............................................... 264,121
SHAREHOLDER SERVICING FEES ................................. 3,301,511
ACCOUNTING FEES ............................................ 72,150
PROFESSIONAL FEES .......................................... 23,152
REGISTRATION FEES .......................................... 14,441
SHAREHOLDER REPORTS ........................................ 268,811
TRUSTEES' FEES ............................................. 4,300
OTHER FEES AND EXPENSES .................................... 26,391
---------------
TOTAL EXPENSES ................................................ 11,298,198
---------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) ............... (1,261,371)
NET EXPENSES ............................................... 10,036,827
---------------
NET INVESTMENT INCOME (LOSS) .................................. 56,832,703
---------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- ---------------------------------------------------------------------------------
NET REALIZED GAIN (LOSS) FROM:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN CURRENCY
TRANSLATION .............................................. 1,967
---------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ..................... 1,967
---------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS ........ 1,967
---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
OPERATIONS .................................................. $ 56,834,670
===============
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
10
STATEMENTS OF CHANGES IN NET ASSETS
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- --------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS .............................................. $ 2,370,307,392 $ 1,955,506,015 $ 1,734,451,320
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ...................................... 56,832,703 55,295,013 15,102,968
NET REALIZED GAIN (LOSS) ON INVESTMENTS ........................... 1,967 6,287 (29,896)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ...... 56,834,670 55,301,300 15,073,072
---------------- ----------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME ............................................. (56,834,789) (55,295,013) (15,102,968)
---------------- ----------------- ---------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .................................. (56,834,789) (55,295,013) (15,102,968)
---------------- ----------------- ---------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD ......................................... 1,339,098,450 1,589,162,639 1,042,114,051
REINVESTMENT OF DISTRIBUTIONS ..................................... 56,834,793 55,294,933 15,102,759
COST OF SHARES REDEEMED ........................................... (856,310,242) (1,229,662,482) (836,132,219)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS ...................................................... 539,623,001 414,795,090 221,084,591
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN NET ASSETS ................................ 539,622,882 414,801,377 221,054,695
================ ================= ===============
ENDING NET ASSETS .................................................... $ 2,909,930,274 $ 2,370,307,392 $ 1,955,506,015
================ ================= ===============
SHARES ISSUED AND REDEEMED:
SHARES SOLD ....................................................... 1,339,098,450 1,589,162,639 1,042,114,051
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS .................... 56,834,793 55,294,933 15,102,759
SHARES REDEEMED ................................................... (856,310,242) (1,229,662,482) (836,132,219)
---------------- ----------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................ 539,623,001 414,795,090 221,084,591
---------------- ----------------- ---------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME ................ $ 0 $ 2,086 $ 0
================ ================= ===============
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
11
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NET REALIZED
BEGINNING NET AND DISTRIBUTIONS
NET ASSET INVESTMENT UNREALIZED FROM NET
VALUE PER INCOME GAIN ON INVESTMENT
SHARE (LOSS) INVESTMENTS INCOME
- -------------------------------------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND
- -------------------------------------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ........ $1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ............... $1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 ..................... $1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 ..................... $1.00 0.00 0.00 0.00
JULY 31, 2002(3) TO MARCH 31, 2003 .................. $1.00 0.00 0.00 0.00
(1) DURING EACH PERIOD, VARIOUS FEES AND EXPENSES WERE WAIVED AND REIMBURSED
AS INDICATED. THE RATIO OF GROSS EXPENSES TO AVERAGE NET ASSETS REFLECTS
THE EXPENSE RATIO IN THE ABSENCE OF ANY WAIVERS AND REIMBURSEMENTS (NOTE
3).
(2) TOTAL RETURN CALCULATIONS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT
BEEN WAIVED OR REIMBURSED DURING THE PERIODS SHOWN. RETURNS FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT ANNUALIZED.
(3) COMMENCEMENT OF OPERATIONS.
(4) THE FUND CHANGED ITS FISCAL YEAR-END FROM MARCH 31 TO FEBRUARY 28.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
12
FINANCIAL HIGHLIGHTS
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
DISTRIBUTIONS ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
FROM NET NET ASSET --------------------------------------------------
REALIZED VALUE PER NET INVESTMENT GROSS EXPENSES NET
GAINS SHARE INCOME (LOSS) EXPENSES WAIVED EXPENSES
- -------------------------------------------------------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND
- -------------------------------------------------------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 2.17% 0.86% (0.10)% 0.76%
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 0.00 $1.00 2.86% 0.95% (0.11)% 0.84%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 0.81% 1.12% (0.12)% 1.00%
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.00 $1.00 0.16% 1.19% (0.19)% 1.00%
JULY 31, 2002(3) TO MARCH 31, 2003 ............ 0.00 $1.00 0.64% 1.07% (0.15)% 0.92%
NET ASSETS AT
TOTAL END OF PERIOD
RETURN(2) (000'S OMITTED)
- -----------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND
- -----------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.18% $2,909,930
APRIL 1, 2005 TO FEBRUARY 28, 2006(4) ......... 2.61% $2,370,307
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.80% $1,955,506
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.17% $1,734,451
JULY 31, 2002(3) TO MARCH 31, 2003 ............ 0.46% $1,054,549
13
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
1. ORGANIZATION
- --------------------------------------------------------------------------------
Wells Fargo Funds Trust (the "Trust") is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end series
management investment company. The Trust commenced operations on November 8,
1999, and at August 31, 2006, was comprised of 108 separate series (each, a
"Fund", collectively, the "Funds"). These financial statements present the
Liquidity Reserve Money Market Fund.
2. SIGNIFICANT ACCOUNTING POLICIES
- --------------------------------------------------------------------------------
The following significant accounting policies, which are consistently
followed in the preparation of the financial statements of the Trust, are in
conformity with accounting principles generally accepted in the United States of
America ("GAAP") for investment companies.
The preparation of financial statements in conformity with GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities, disclosure of contingent assets and liabilities at the
date of the financial statements, and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
In the normal course of business, the Trust may enter into contracts that
provide certain indemnifications. The Trust's maximum exposure under these
arrangements is dependent on future claims that may be made against the Funds
and, therefore, cannot be estimated; however, based on experience, the risk of
loss from such claims is considered remote.
SECURITY VALUATION
The Fund invests only in securities with remaining maturities not
exceeding 397 days (13 months). Certain floating- and variable-rate instruments
in the portfolio may have maturities in excess of 397 days, but carry a demand
feature that permits the holder to tender the instruments back to the issuer at
par value prior to maturity.
The amortized cost method is used to value portfolio securities. The
amortized cost method involves valuing a security at its cost, plus accretion of
discount or minus amortization of premium over the period until maturity, which
approximates market value. The Fund(s) seeks to maintain a constant net asset
value of $1.00 per share, although there is no assurance that it will be able to
do so.
Investments which are not valued using any of the methods discussed above
are valued at their fair value as determined by procedures approved by the Board
of Trustees.
SECURITY TRANSACTIONS AND INCOME RECOGNITION
Securities transactions are recorded on a trade date basis. Realized gains
or losses are reported on the basis of identified cost of securities delivered.
Interest income is accrued daily and bond discounts are accreted and premiums
are amortized daily.
DISTRIBUTIONS TO SHAREHOLDERS
Net investment income, if any, is declared daily and distributed to
shareholders monthly. Distributions to shareholders from net realized capital
gains, if any, are declared and distributed at least annually.
Distributions are based on amounts calculated in accordance with the
applicable federal income tax regulations, which may differ from GAAP. The
timing and character of distributions made during the period from net investment
income or net realized gains may also differ from their ultimate
characterization for federal income tax purposes. To the extent that these
differences are permanent in nature, such amounts are reclassified within the
capital accounts based on their federal tax-basis treatment. Temporary
differences do not require reclassifications.
FEDERAL INCOME TAXES
Each Fund is treated as a separate entity for U.S. federal income tax
purposes. It is the policy of each Fund of the Trust to continue to qualify as a
regulated investment company under Subchapter M of Subtitle A, Chapter 1 of the
Internal Revenue Code (the "Code"), and to make distributions of substantially
all of its investment company taxable income and any net realized capital gains
(after reduction for capital loss carryforwards) sufficient to relieve it from
all, or substantially all, federal income taxes. Accordingly, no provision for
federal income taxes was required at August 31, 2006.
At February 28, 2006, estimated net capital loss carryforwards, which are
available to offset future net realized capital gains, were:
Capital Loss
Fund Year Expires Carryforwards
- --------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND 2013 $22,636
2014 4,580
- --------------------------------------------------------------------------------
REPURCHASE AGREEMENTS
The Fund(s) may invest in repurchase agreements and may participate in
pooled repurchase agreement transactions with other funds advised by Wells Fargo
Funds Management, LLC ("Funds Management"). The repurchase agreements must be
fully collateralized based on values that are marked to market daily. The
collateral may be held by an agent bank under a tri-party agreement. It is the
custodian's responsibility to value collateral daily and to take action to
obtain additional collateral as necessary to maintain market value equal to or
greater than the resale price. The repurchase agreements are collateralized by
instruments such as U.S. Treasury, federal agency, or high-grade corporate
obligations. There could be potential loss to a Fund in the event that such Fund
is delayed or prevented from exercising its rights to dispose of the collateral,
including the risk of a possible decline in the value of the underlying
obligations during the period in which a Fund seeks to assert its rights.
14
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
3. EXPENSES
- --------------------------------------------------------------------------------
ADVISORY FEES
The Trust has entered into an advisory contract with Funds Management. The
adviser is responsible for implementing investment policies and guidelines and
for supervising the subadviser, who is responsible for day-to-day portfolio
management.
Pursuant to the contract, Funds Management is entitled to receive an
advisory fee for its services as adviser. Funds Management may retain the
services of certain investment subadvisers to provide daily portfolio
management. The fees related to subadvisory services are borne directly by the
adviser and do not increase the overall fees paid by a Fund to the adviser.
Funds Management and the investment subadviser(s) are entitled to be paid a
monthly fee at the following annual rates:
Advisory Fees Subadvisory Fees
Average Daily (% of Average Average Daily (% of Average
Fund Net Assets Daily Net Assets) Subadviser Net Assets Daily Net Assets)
- -----------------------------------------------------------------------------------------------------------------
LIQUIDITY RESERVE First $1 billion 0.300 Wells Capital First $1 billion 0.050
MONEY MARKET FUND Next $4 billion 0.275 Management Next $2 billion 0.030
Over $5 billion 0.250 Incorporated Next $3 billion 0.020
Over $6 billion 0.010
- -----------------------------------------------------------------------------------------------------------------
ADMINISTRATION AND TRANSFER AGENT FEES
The Trust has entered into an Administration Agreement with Funds
Management. Under this Agreement, for providing administrative services, which
includes paying fees and expenses for services provided by the transfer agent,
sub-transfer agents, omnibus account servicers and record-keepers, Funds
Management is entitled to receive the following annual fees:
% of Average
Fund Average Daily Net Assets Daily Net Assets
- --------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET First $5 billion 0.27
FUND Next $5 billion 0.26
Over $10 billion 0.25
- -------------------------------------------------------------------------------
The Trust has entered into an agreement with Boston Financial Data
Services ("BFDS") as the transfer agent for the Trust. BFDS is entitled to
receive fees from the administrator for its services as transfer agent.
CUSTODY FEES
The Trust has entered into a contract with Wells Fargo Bank, N.A. ("WFB"),
whereby WFB is responsible for providing custody services. Pursuant to the
contract, WFB is entitled to a monthly fee for custody services at the following
annual rate:
% of Average
Fund Daily Net Assets
- --------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND 0.02
- --------------------------------------------------------------------------------
SHAREHOLDER SERVICING FEES
The Trust has entered into contracts with one or more shareholder
servicing agents, whereby the Fund is charged the following annual fees:
% of Average
Fund Daily Net Assets
- --------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND 0.25
- --------------------------------------------------------------------------------
For the six months ended August 31, 2006, shareholder servicing fees paid
by the Fund are disclosed on the Statement of Operations.
DISTRIBUTION FEES
Effective August 1, 2005, the Fund is not subject to distribution fees.
Prior to August 1, 2005, the Trust had adopted a Distribution Plan (the "Plan")
for the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees were
charged to Investor Class shares and paid to Wells Fargo Funds Distributor, LLC
at an annual rate of up to 0.25% of average daily net assets.
For the six months ended August 31, 2006, distribution fees incurred are
disclosed on the Statement of Operations.
OTHER FEES
PFPC, Inc. ("PFPC") serves as fund accountant for the Trust and is
entitled to receive an annual asset based fee and an annual fixed fee from each
Fund. PFPC is also entitled to be reimbursed for all out-of-pocket expenses
reasonably incurred in providing these services.
WAIVED FEES AND REIMBURSED EXPENSES
All amounts shown as waived fees or reimbursed expenses on the Statement
of Operations, for the six months ended August 31, 2006, were waived by Funds
Management, first from advisory fees, and then any remaining amount
consecutively
15
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
from administration, custodian and shareholder servicing fees, if any. Funds
Management has committed through June 30, 2007 to waive fees and/or reimburse
expenses to the extent necessary to maintain a certain net operating expense
ratio for the Fund(s). Net operating expense ratios during the period were as
follows:
Net Operating
Fund Expense Ratio
- --------------------------------------------------------------------------------
LIQUIDITY RESERVE MONEY MARKET FUND 0.76%
- --------------------------------------------------------------------------------
4. NEW ACCOUNTING PRONOUNCEMENTS
- --------------------------------------------------------------------------------
In June 2006, the Financial Accounting Standards Board (FASB) issued FASB
Interpretation 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." This
standard defines the threshold for recognizing the benefits of tax-return
positions in the financial statements as "more-likely-than-not" to be sustained
by the taxing authority and requires measurement of a tax position meeting the
more-likely-than-not criterion, based on the largest benefit that is more than
50 percent likely to be realized. FIN 48 is effective as of the beginning of the
first fiscal year beginning after December 15, 2006 (January 1, 2007 for
calendar-year companies), with early application permitted if no interim
financial statements have been issued. At adoption, companies must adjust their
financial statements to reflect only those tax positions that are
more-likely-than-not to be sustained as of the adoption date. As of August 31,
2006, the Funds have not evaluated the impact that will result from adopting FIN
48.
16
OTHER INFORMATION (UNAUDITED)
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
PROXY VOTING INFORMATION
A description of the policies and procedures that the Funds use to
determine how to vote proxies relating to portfolio securities and information
regarding how to obtain the results of such voting during the most recent
12-month period ended June 30 is available without charge, upon request, by
calling 1-800-222-8222, visiting our Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS, or visiting the SEC Web site at WWW.SEC.GOV.
PORTFOLIO HOLDINGS INFORMATION
The complete portfolio holdings for each Fund are publicly available on
the Funds' Web site (WWW.WELLSFARGO.COM/ADVANTAGEFUNDS) on a monthly, 30-day or
more delayed basis. In addition, top ten holdings information for each Fund is
publicly available on the Funds' Web site on a monthly, seven-day or more
delayed basis. Each Fund files its complete schedule of portfolio holdings with
the SEC for the first and third quarters of each fiscal year on Form N-Q, which
is available without charge by visiting the SEC Web site at WWW.SEC.GOV. In
addition, each Fund's Form N-Q may be reviewed and copied at the SEC's Public
Reference Room in Washington, DC, and at regional offices in New York City, at
233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900.
Information about the Public Reference Room may be obtained by calling
1-800-SEC-0330.
BOARD OF TRUSTEES
The following table provides basic information about the Board of Trustees
(the "Trustees") of the Wells Fargo Funds Trust (the "Trust"). This table
supplements, and should be read in conjunction with, the Prospectus and the
Statement of Additional Information* of each Fund. Each of the Trustees listed
below acts in identical capacities for each of the 142 funds comprising the
Trust, Wells Fargo Variable Trust and Wells Fargo Master Trust (collectively the
"Fund Complex"). All of the non-interested Trustees are also members of the
Audit and Governance Committees of each Trust in the Fund Complex. The address
of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA
94105. Each Trustee and Officer serves an indefinite term, however, each Trustee
serves such term until reaching the mandatory retirement age established by the
Trustees.
NON-INTERESTED TRUSTEES
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
Thomas S. Goho Trustee, since 1987 Chair of Finance, Wake Forest None
64 University, since 2006. Benson-
Pruitt Professorship, Wake Forest
University, Calloway School of
Business and Accountancy, since
1999.
- ----------------------------------------------------------------------------------------------------------
Peter G. Gordon Trustee, since 1998 Chairman, CEO, and Co-Founder None
63 (Chairman, since 2001) of Crystal Geyser Water Company,
and President of Crystal Geyser
Roxane Water Company.
- ----------------------------------------------------------------------------------------------------------
Richard M. Leach Trustee, since 1987 Retired. Prior thereto, None
73 President of Richard M. Leach
Associates (a financial
consulting firm).
- ----------------------------------------------------------------------------------------------------------
Olivia S. Mitchell Trustee, since 2006 Professor of Insurance and Risk None
53 Management, Wharton School,
University of Pennsylvania.
Director of the Boettner Center
on Pensions and Retirement.
Research Associate and Board
Member, Penn Aging Research
Center. Research Associate,
National Bureau of Economic
Research.
17
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
NON-INTERESTED TRUSTEES (continued)
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
Timothy J. Penny Trustee, since 1996 Senior Counselor to the public None
54 relations firm of Himle-Horner,
and Senior Fellow at the
Humphrey Institute, Minneapolis,
Minnesota (a public policy
organization).
- ----------------------------------------------------------------------------------------------------------
Donald C. Willeke Trustee, since 1996 Principal of the law firm of None
66 Willeke & Daniels.
- ----------------------------------------------------------------------------------------------------------
INTERESTED TRUSTEE***
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
J. Tucker Morse Trustee, since 1987 Private Investor/Real Estate None
62 Developer. Prior thereto,
Chairman of White Point Capital,
LLC until 2005.
- ----------------------------------------------------------------------------------------------------------
OFFICERS
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
Karla M. Rabusch President, since 2003 Executive Vice President of None
47 Wells Fargo Bank, N.A. and
President of Wells Fargo Funds
Management, LLC. Senior Vice
President and Chief
Administrative Officer of Wells
Fargo Funds Management, LLC from
2001 to 2003.
- ----------------------------------------------------------------------------------------------------------
C. David Messman Secretary, since 2000 Vice President and Managing None
46 Senior Counsel of Wells Fargo
Bank, N.A. and Senior Vice
President and Secretary of Wells
Fargo Funds Management, LLC.
Vice President and Senior
Counsel of Wells Fargo Bank,
N.A. from 1996 to 2003.
- ----------------------------------------------------------------------------------------------------------
A. Erdem Cimen Treasurer, since 2006 Vice President of Wells Fargo None
32 Bank, N.A. and Vice President of
Financial Operations for Wells
Fargo Funds Management, LLC.
Vice President and Group Finance
Officer of Wells Fargo Bank,
N.A. Auto Finance Group from
2004 to 2006. Vice President of
Portfolio Risk Management for
Wells Fargo Bank, N.A. Auto
Finance Group in 2004. Vice
President of Portfolio Research
and Analysis for Wells Fargo
Bank, N.A. Auto Finance Group
from 2001 to 2004. Director of
Small Business Services Risk
Management for American Express
Travel Related Services from
2000 to 2001.
18
OTHER INFORMATION (UNAUDITED)
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
OFFICERS (continued)
- ----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- ----------------------------------------------------------------------------------------------------------
Dorothy A. Peters Chief Compliance Chief Compliance Officer of None
44 Officer, since 2004 Wells Fargo Funds Management,
LLC since 2004 and Compliance
Officer of Wells Fargo Funds
Management, LLC from 1999
to 2002. Compliance Manager
of Wells Fargo Investments from
1997 to 1999. In 2002, Ms.
Peters left Wells Fargo Funds
Management, LLC to pursue
personal goals.
- ----------------------------------------------------------------------------------------------------------
* The Statement of Additional Information includes additional information
about the Funds' Trustees and is available, without charge, upon request,
by calling 1-800-222-8222 or by visiting the Funds' Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
** Length of service dates reflects a Trustee's commencement of service with
the Trust's predecessor entities.
*** As of August 31, 2006, one of the seven Trustees is considered an
"interested person" of the Trusts as defined in the Investment Company Act
of 1940. The interested Trustee, J. Tucker Morse, is affiliated with a
government securities dealer that is registered under the Securities
Exchange Act of 1934, which is not itself affiliated with Wells Fargo
Funds Management, LLC.
19
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
BOARD CONSIDERATION OF AND CONTINUATION OF INVESTMENT ADVISORY AND SUBADVISORY
AGREEMENTS:
LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
Section 15(c) of the Investment Company Act of 1940 (the "1940 Act")
contemplates that the Board of Trustees (the "Board") of Wells Fargo Funds Trust
(the "Trust"), including a majority of the Trustees who have no direct or
indirect interest in the investment advisory and subadvisory agreements and are
not "interested persons" of the Trust, as defined in the 1940 Act (the
"Independent Trustees"), will annually review and consider the continuation of
the investment advisory and subadvisory agreements. In this regard, the Board
reviewed and re-approved, during the six months covered by this report: (i) an
investment advisory agreement with Wells Fargo Funds Management, LLC ("Funds
Management") for the Liquidity Reserve Money Market Fund (the "Fund"); and (ii)
an investment subadvisory agreement with Wells Capital Management Incorporated
("Wells Capital Management") for the Fund. The investment advisory agreement
with Funds Management and the investment subadvisory agreement with Wells
Capital Management are collectively referred to as the "Advisory Agreements."
More specifically, at a meeting held on March 31, 2006, the Board,
including the Independent Trustees advised by their independent legal counsel,
considered the factors and reached the conclusions described below relating to
the selection of Funds Management and Wells Capital Management and the
continuation of the Advisory Agreements. Prior to the March 31, 2006, meeting,
the Board, including the Independent Trustees, met in person and telephonically
a number of times, both with Funds Management and in private sessions for
discussions about these continuations and approvals. The Independent Trustees
were assisted in their evaluation of the Advisory Agreements by independent
legal counsel, from whom they received separate legal advice and with whom they
met separately from Funds Management.
NATURE, EXTENT AND QUALITY OF SERVICES
- --------------------------------------------------------------------------------
The Board received and considered various data and information regarding
the nature, extent and quality of services provided to the Fund by Funds
Management and Wells Capital Management under the Advisory Agreements. The Board
also received and considered information provided in response to a detailed set
of requests submitted by the Independent Trustees' independent legal counsel,
including, among other things, information about the background and experience
of senior management and the expertise of, and amount of attention devoted to
the Fund by, investment personnel of Funds Management and Wells Capital
Management. In this regard, the Board specifically reviewed the qualifications,
backgrounds and responsibilities of the portfolio managers primarily responsible
for day-to-day portfolio management services for the Fund.
The Board evaluated the ability of Funds Management and Wells Capital
Management, based on their respective resources, reputations and other
attributes, to attract and retain highly qualified investment professionals,
including research, advisory, and supervisory personnel. In this regard, the
Board considered information regarding Funds Management's and Wells Capital
Management's compensation programs for personnel involved in the management of
the Fund.
The Board further considered the compliance programs and compliance
records of Funds Management and Wells Capital Management. In addition, the Board
took into account the administrative services provided to the Fund by Funds
Management and its affiliates. In considering these matters, the Board
considered not only the specific information presented in connection with the
meeting, but also the knowledge gained over the course of interacting with Funds
Management about various topics, including Funds Management's oversight of
service providers, such as Wells Capital Management.
Based on the above factors, together with those referenced below, the
Board concluded that it was generally satisfied with the nature, extent and
quality of the investment advisory services provided to the Fund by Funds
Management and Wells Capital Management.
FUND PERFORMANCE AND EXPENSES
- --------------------------------------------------------------------------------
The Board considered the performance results for the Fund over various
time periods ended December 31, 2005. The Board also considered these results in
comparison to the median performance results of the group of funds that was
determined by Lipper Inc. ("Lipper") to be the most similar to the Fund (the
"Peer Group") and to the median performance of a broader universe of relevant
funds as determined by Lipper (the "Universe"), as well as to the Fund's
benchmark index. Lipper is an independent provider of investment company data.
The Board was provided with a description of the methodology used by Lipper to
select the mutual funds in the Fund's Peer Group and Universe. The Board noted
that the Fund's performance was not appreciably below the median performance of
its Peer Group for all time periods.
The Board received and considered information regarding the Fund's net
operating expense ratio and its various components, including contractual
advisory fees, actual advisory fees, actual non-management fees, Rule 12b-1 and
non-Rule 12b-1 service fees, fee waivers/caps and/or expense reimbursements. The
Board also considered comparisons of these fees to the expense information for
the Fund's Peer Group and Universe, which comparative data was provided by
Lipper. The Board noted that the net operating
20
OTHER INFORMATION (UNAUDITED)
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
expense ratio of the Fund was lower than the Fund's Peer Group's median net
operating expense ratio.
Based on the above-referenced considerations and other factors, the Board
concluded that the overall performance and expense results supported the
re-approval of the Advisory Agreements for the Fund.
INVESTMENT ADVISORY AND SUBADVISORY FEE RATES
- --------------------------------------------------------------------------------
The Board reviewed and considered the contractual investment advisory fee
rates payable by the Fund to Funds Management for investment advisory services,
both on a stand-alone basis and on a combined basis with the Fund's
administration fee rates (the "Advisory Agreement Rates"). The Board took into
account the separate administrative services covered by the administration fee
rates. The Board also reviewed and considered the contractual investment
subadvisory fee rates (the "Subadvisory Agreement Rates") payable by Funds
Management to Wells Capital Management for investment subadvisory services. In
addition, the Board reviewed and considered the existing fee waiver/cap
arrangements applicable to the Advisory Agreement Rates and considered the
Advisory Agreement Rates after taking the waivers/caps into account (the "Net
Advisory Rates").
The Board received and considered information comparing the Advisory
Agreement Rates and Net Advisory Rates with those of the other funds in the Peer
Group. The Board noted that the Advisory Agreement Rates and the Net Advisory
Rates for the Fund were not appreciably higher than the median rates of its Peer
Group. In addition, the Board concluded that the combined investment
advisory/administration fee rates for the Fund (before and after waivers/caps
and/or expense reimbursements) were reasonable in relation to the Fund's Peer
Group, and reasonable in relation to the services provided.
The Board also reviewed and considered the Subadvisory Agreement Rates and
concluded that the Subadvisory Agreement Rates were fair and equitable, based on
its consideration of the factors described above.
PROFITABILITY
- --------------------------------------------------------------------------------
The Board received and considered a detailed profitability analysis of
Funds Management based on the Advisory Agreement Rates and the Net Advisory
Rates, as well as an analysis of the profitability of other Wells Fargo
businesses (including Wells Capital Management) from providing services to the
Fund. The Board concluded that, in light of the costs of providing investment
management and other services to the Fund, the profits and other ancillary
benefits that Funds Management and its affiliates received with regard to
providing these services to the Fund were not unreasonable. The Board did not
consider a separate profitability analysis of Wells Capital Management, as its
separate profitability from its relationship with the Fund was not a material
factor in determining whether to renew the agreement.
ECONOMIES OF SCALE
- --------------------------------------------------------------------------------
The Board received and considered general information regarding whether
there have been economies of scale with respect to the management of the Fund,
whether the Fund has appropriately benefited from any economies of scale, and
whether there is potential for realization of any further economies of scale for
the Fund. The Board acknowledged the inherent limitations of any analysis of an
investment adviser's economies of scale and of any attempt to correlate
breakpoints with such economies, stemming largely from the Board's understanding
that economies of scale are realized, if at all, by an investment adviser across
a variety of products and services, not just with respect to a single fund. The
Board concluded that any actual or potential economies of scale are, or will be,
shared reasonably with Fund shareholders, most particularly through Advisory
Agreement Rate breakpoints applicable to the Fund.
INFORMATION ABOUT SERVICES TO OTHER CLIENTS
- --------------------------------------------------------------------------------
The Board also received and considered information about the nature and
extent of services and fee rates offered by Funds Management to other similarly
situated series of the Trust, and those offered by Wells Capital Management to
other clients, including other registered investment companies and separate
accounts. The Board concluded that the Advisory Agreement Rates, the Subadvisory
Agreement Rates and the Net Advisory Rates were within a reasonable range of the
fee rates offered to others by Funds Management and Wells Capital Management,
giving effect to differences in services covered by such fee rates.
OTHER BENEFITS TO FUNDS MANAGEMENT AND WELLS CAPITAL MANAGEMENT
- --------------------------------------------------------------------------------
The Board received and considered information regarding potential
"fall-out" or ancillary benefits received by Funds Management and its affiliates
(including Wells Capital Management) as a result of their relationship with the
Fund. Such benefits could include, among others, benefits directly attributable
to the relationship of Funds Management and Wells Capital Management with the
Fund and benefits potentially derived from an increase in Funds Management's and
Wells Capital Management's business as a result of their relationship with the
Fund (such as the ability to market to shareholders other financial products
offered by Funds Management and its affiliates, including Wells Capital
Management).
21
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
The Board also considered the effectiveness of the policies of the Fund in
achieving the best execution of portfolio transactions, whether and to what
extent soft dollar credits are sought and how any such credits are utilized, any
benefits that may be realized by using an affiliated broker, the extent to which
efforts are made to recapture transaction costs, and the controls applicable to
brokerage allocation procedures. The Board also reviewed Funds Management's and
Wells Capital Management's methods for allocating portfolio investment
opportunities among the Fund and other clients.
OTHER FACTORS AND BROADER REVIEW
- --------------------------------------------------------------------------------
The Board also considered the markets for distribution of the Fund,
including the principal channels through which the Fund's shares are offered and
sold. The Board noted that the Fund is part of one of the few fund families that
have both direct-to-fund and intermediary distribution.
As discussed above, the Board reviewed detailed materials received from
Funds Management and Wells Capital Management annually as part of the
re-approval process under Section 15(c) of the 1940 Act. The Board also reviews
and assesses the quality of the services that the Fund receives throughout the
year. In this regard, the Board has reviewed reports of Funds Management and
Wells Capital Management at each of its quarterly meetings, which include, among
other things, a portfolio review and fund performance reports. In addition, the
Board has conferred with the portfolio managers of the Fund at various times
throughout the year.
After considering the above-described factors and based on its
deliberations and its evaluation of the information described above, the Board
concluded that approval of the continuation of the Advisory Agreements for the
Fund was in the best interest of the Fund and its shareholders. Accordingly, the
Board unanimously approved the continuation of the Advisory Agreements for an
additional one-year period.
22
LIST OF ABBREVIATIONS
WELLS FARGO ADVANTAGE LIQUIDITY RESERVE MONEY MARKET FUND
- --------------------------------------------------------------------------------
The following is a list of common abbreviations for terms and entities which may
have appeared in this report.
ABAG -- Association of Bay Area Governments
ADR -- American Depository Receipt
AMBAC -- American Municipal Bond Assurance Corporation
AMT -- Alternative Minimum Tax
ARM -- Adjustable Rate Mortgages
BART -- Bay Area Rapid Transit
CDA -- Community Development Authority
CDSC -- Contingent Deferred Sales Charge
CGIC -- Capital Guaranty Insurance Company
CGY -- Capital Guaranty Corporation
CMT -- Constant Maturity Treasury
COFI -- Cost of Funds Index
COP -- Certificate of Participation
CP -- Commercial Paper
CTF -- Common Trust Fund
DW&P -- Department of Water & Power
DWR -- Department of Water Resources
EDFA -- Education Finance Authority
FFCB -- Federal Farm Credit Bank
FGIC -- Financial Guaranty Insurance Corporation
FHA -- Federal Housing Authority
FHLB -- Federal Home Loan Bank
FHLMC -- Federal Home Loan Mortgage Corporation
FNMA -- Federal National Mortgage Association
FRN -- Floating Rate Notes
FSA -- Financial Security Assurance Incorporated
GDR -- Global Depository Receipt
GNMA -- Government National Mortgage Association
GO -- General Obligation
HFA -- Housing Finance Authority
HFFA -- Health Facilities Financing Authority
IDA -- Industrial Development Authority
IDR -- Industrial Development Revenue
LIBOR -- London Interbank Offered Rate
LLC -- Limited Liability Corporation
LOC -- Letter of Credit
LP -- Limited Partnership
MBIA -- Municipal Bond Insurance Association
MFHR -- Multi-Family Housing Revenue
MUD -- Municipal Utility District
MTN -- Medium Term Note
PCFA -- Pollution Control Finance Authority
PCR -- Pollution Control Revenue
PFA -- Public Finance Authority
PLC -- Private Placement
PSFG -- Public School Fund Guaranty
RDA -- Redevelopment Authority
RDFA -- Redevelopment Finance Authority
REITS -- Real Estate Investment Trusts
R&D -- Research & Development
SFHR -- Single Family Housing Revenue
SFMR -- Single Family Mortgage Revenue
SLMA -- Student Loan Marketing Association
STEERS -- Structured Enhanced Return Trust
TBA -- To Be Announced
TRAN -- Tax Revenue Anticipation Notes
USD -- Unified School District
V/R -- Variable Rate
WEBS -- World Equity Benchmark Shares
XLCA -- XL Capital Assurance
23
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[LOGO]
- -----------------
WELLS ADVANTAGE
FARGO FUNDS
- -----------------
More information about WELLS FARGO THIS REPORT AND THE FINANCIAL STATEMENTS
ADVANTAGE FUNDS(SM) is available free CONTAINED HEREIN ARE SUBMITTED FOR THE
upon request. To obtain literature, GENERAL INFORMATION OF THE SHAREHOLDERS
please write, e-mail, visit the OF WELLS FARGO ADVANTAGE FUNDS. IF THIS
Funds' Web site, or call: REPORT IS USED FOR PROMOTIONAL PURPOSES,
DISTRIBUTION OF THE REPORT MUST BE
WELLS FARGO ADVANTAGE FUNDS ACCOMPANIED OR PRECEDED BY A CURRENT
P.O. Box 8266 PROSPECTUS. FOR A PROSPECTUS CONTAINING
Boston, MA 02266-8266 MORE COMPLETE INFORMATION, INCLUDING
CHARGES AND EXPENSES, CALL 1-800-222-8222
E-mail: wfaf@wellsfargo.com OR VISIT THE FUNDS' WEB SITE AT
Web site: WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
www.wellsfargo.com/advantagefunds PLEASE CONSIDER THE INVESTMENT
Individual Investors: 1-800-222-8222 OBJECTIVES, RISKS, CHARGES, AND EXPENSES
Retail Investment Professionals: OF THE INVESTMENT CAREFULLY BEFORE
1-888-877-9275 INVESTING. THIS AND OTHER INFORMATION
Institutional Investment ABOUT WELLS FARGO ADVANTAGE FUNDS CAN BE
Professionals: 1-866-765-0778 FOUND IN THE CURRENT PROSPECTUS. READ
THE PROSPECTUS CAREFULLY BEFORE YOU
INVEST OR SEND MONEY.
Wells Fargo Funds Management, LLC, a
wholly owned subsidiary of Wells Fargo &
Company, provides investment advisory and
administrative services for WELLS FARGO
ADVANTAGE FUNDS. Other affiliates of
Wells Fargo & Company provide subadvisory
and other services for the Funds. The
Funds are distributed by WELLS FARGO
FUNDS DISTRIBUTOR, LLC, Member NASD/SIPC,
an affiliate of Wells Fargo & Company.
---------------------------------------------------------
NOT FDIC INSURED o NO BANK GUARANTEE o MAY LOSE VALUE
---------------------------------------------------------
- --------------------------------------------------------------------------------
(C) 2006 Wells Fargo www.wellsfargo.com/advantagefunds 100104 10-06
Funds Management, LLC. SLRMM/SAR117
All rights reserved.
-----------------
WELLS ADVANTAGE
FARGO FUNDS
-----------------
[GRAPHIC OMITTED] AUGUST 31, 2006
SEMI-ANNUAL REPORT
WELLS FARGO ADVANTAGE MONEY MARKET FUNDS
Wells Fargo Advantage California Tax-Free Money Market Trust
Wells Fargo Advantage Money Market Trust
Wells Fargo Advantage National Tax-Free Money Market Trust
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
TABLE OF CONTENTS
Letter to Shareholders ................................................... 1
- --------------------------------------------------------------------------------
Money Market Overview .................................................... 2
- --------------------------------------------------------------------------------
Primary Investments ...................................................... 4
- --------------------------------------------------------------------------------
Performance Highlights
- --------------------------------------------------------------------------------
California Tax-Free Money Market Trust ................................ 5
Money Market Trust .................................................... 6
National Tax-Free Money Market Trust .................................. 7
Fund Expenses (Unaudited) ................................................ 8
- --------------------------------------------------------------------------------
Portfolio of Investments
- --------------------------------------------------------------------------------
California Tax-Free Money Market Trust ................................ 9
Money Market Trust .................................................... 14
National Tax-Free Money Market Trust .................................. 18
Financial Statements
- --------------------------------------------------------------------------------
Statements of Assets and Liabilities .................................. 25
Statements of Operations .............................................. 26
Statements of Changes in Net Assets ................................... 28
Financial Highlights .................................................. 30
Notes to Financial Statements ............................................ 32
- --------------------------------------------------------------------------------
Other Information (Unaudited) ............................................ 35
- --------------------------------------------------------------------------------
List of Abbreviations .................................................... 41
- --------------------------------------------------------------------------------
-------------------------------------------------
NOT FDIC INSURED-NO BANK GUARANTEE-MAY LOSE VALUE
-------------------------------------------------
THIS PAGE IS INTENTIONALLY LEFT BLANK --
LETTER TO SHAREHOLDERS WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
DEAR VALUED SHAREHOLDER,
Enclosed please find the WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
semi-annual report for the six-month period that ended August 31, 2006. On the
following pages, you will find a money market overview, information about the
holdings in each Fund, and the portfolio manager's strategic outlook.
THE ECONOMY
- --------------------------------------------------------------------------------
During the period, the U.S. economy started to show some signs of a
slowdown. The housing market slowed, with mortgage applications falling and
homes staying on the market for longer periods. Consumer confidence weakened,
and the inflation outlook remained cloudy. Real Gross Domestic Product (GDP)
slowed to 2.9% for the second quarter of 2006, driven mostly by a falloff in
consumer spending from an unsustainable first-quarter pace. Other indicators,
however, have remained robust. Capital spending and the manufacturing sector
continued to perform well. Most labor markets also remained healthy, creating
some uncertainty regarding the direction of the Fed's next decision about
interest rates.
FED PAUSES IN ITS CYCLE OF INTEREST RATE HIKES
- --------------------------------------------------------------------------------
Money market rates continued to rise in 2006 as the Fed increased the
target Federal funds rate by 0.25% at each of the 17 Federal Open Market
Committee (FOMC) meetings from June 2004 through June 2006. In August, the Fed
took a long-awaited pause and kept the Federal funds rate at 5.25%. The Federal
funds rate was only 1.00% in June 2004 before the Fed started its cycle of
interest rate increases--often described as credit tightening.
LOOKING AHEAD
- --------------------------------------------------------------------------------
The Fed's monetary policy has become less predictable. The FOMC minutes of
the August 8, 2006 meeting stated that the decision to stop raising the Federal
funds rate was "appropriate to limit the risks of tightening too much." All the
FOMC members agreed that the decision to pause did not necessarily mark the end
of the credit tightening cycle.
The unpredictability of interest rates is another reason why we believe
that successful investing includes a balanced approach of owning a diversified
portfolio while keeping a long-term perspective. While diversification may not
prevent losses in a downturn, it may help reduce them and keep you on track to
reach your financial goals. To help you reach your diversification goals, we
offer funds across every key category, each guided by skillful money managers
chosen for their focused attention to a particular investment style.
Thank you for choosing WELLS FARGO ADVANTAGE FUNDS. We appreciate your
confidence in us. Through each market cycle, we are committed to helping you
meet your financial needs. If you have any questions about your investment,
please contact your investment professional or call us at 1-800-222-8222. You
may also want to visit our Web site at WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
Sincerely,
/s/ Karla M. Rabusch
Karla M. Rabusch
President
WELLS FARGO ADVANTAGE FUNDS
1
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS MONEY MARKET OVERVIEW
- --------------------------------------------------------------------------------
MONEY MARKET OVERVIEW
This semi-annual report covers the six-month period from March 1, 2006,
through August 31, 2006.
PRIME MONEY MARKET SECURITIES
- --------------------------------------------------------------------------------
After having raised the target Federal funds rate by 0.25% at 17
consecutive meetings since June 2004, the Fed finally left interest rates
unchanged at its meeting on August 8, 2006. This series of increases raised the
Federal funds rate from 1% in 2004 to 5.25% by the end of the reporting period.
The six-month period that ended August 31, 2006, experienced three increases
that raised the Federal funds rate from 4.50% to 5.25%.
The money market yield curve, which is the yield of various securities
across the spectrum of very short maturities from one day to one year, flattened
considerably during the period. For example, the spread between the one-month
and one-year London Inter-Bank Offered Rate (LIBOR) contracted from 0.52% on
February 28, 2006, to only 0.08% on August 31, 2006. While the one-month LIBOR
rose by 0.70%, from 4.63% to 5.33%, the one-year LIBOR increased by only 0.26%,
from 5.15% to 5.41%. The muted rise in the one-year rate reflected an increasing
belief from money market investors that increases in short-term rates could be
nearing an end. One-month rates peaked around 5.40% at the beginning of August,
at the same time as the Fed paused from its interest rate increases. One-year
rates peaked earlier, around 5.75%, toward the end of June and by August 31,
2006, had returned to the 5.40% levels seen at the end of May.
The amount of commercial paper outstanding increased each month during the
reporting period, increasing by a total of about 10% for the six-month period.
In dollar terms, the total amount of commercial paper increased from $1.67
trillion on February 28, 2006, to $1.84 trillion on August 31, 2006. This
increased supply led to more attractive yields relative to other money market
instruments, especially U.S. Government and U.S. Treasury securities.
TAX-FREE SECURITIES
- --------------------------------------------------------------------------------
During March, strong demand and a lack of supply resulted in weekly
variable rate demand notes (VRDNs) being less attractive than the one-month
LIBOR because cash poured into the short end of the municipal market in advance
of April tax payments. Municipal interest rates began to increase as the April
15 tax payment deadline approached, though money continued to flow into money
market funds into the third week of April. VRDN levels were not as cheap
relative to taxable money market instruments as they were the previous year.
After the April tax cycle ended, rates on VRDNs stabilized by early May. An
attempt by remarketing agents to push rates much lower in June was met with
strong resistance because interest rate sensitive investors exercised their
right to sell VRDNs back to the dealers. By the end of June, rates increased to
levels similar to those during tax season.
In June, the California note season took a different tone from the
previous year. Investors who remembered the poor performance of California notes
in 2005 and who were concerned with future interest rate increases showed little
interest. Basing their pricing on investors' past behavior, dealers had become
accustomed to heavy demand for notes even at levels that were relatively
expensive. The first notes of the season were offered at 3.48%, just over 63% of
the one-year LIBOR, and had to be re-priced upward to 3.52%, closer to 64% of
the one-year LIBOR. Issuance of nonspecialty state notes during the period was
very light, and the prices for national paper were only slightly higher than the
prices for California paper.
While weekly rates continued on their normal seasonal gyrations, fixed
rates on California notes trended lower as they did in the taxable market. The
Fed's decision to leave the Federal funds rate unchanged in August appeared to
be interpreted by money market investors as the end of the credit tightening
cycle rather than a temporary pause.
STRATEGIC OUTLOOK
- --------------------------------------------------------------------------------
The Fed has made good on its promise to pause in its series of
interest-rate increases. Whether the pause proves to be temporary or not will
depend upon future economic data. The statement released by the Fed after its
meeting on August 8 indicated that "inflation pressures seem likely to moderate
over time, reflecting contained inflation expectations and the cumulative effect
of monetary policy actions . . . ."
If the rise in rates has completely run its course, the flattening yield
curve could be seen as an indication of success on the part of the Fed in its
efforts to be more transparent in communicating its intentions about the future
course of interest rates. By the end of the period, investors were almost
universally proclaiming the end of higher rates and expected the next move to be
toward lower rates. If, however, this is a temporary pause and the Fed resumes
its pattern of raising rates, its efforts may not be seen as so successful and
investors could be unpleasantly surprised.
2
MONEY MARKET OVERVIEW WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
We continue to see the potential for stronger economic growth later in
2006. We are also troubled by the fact that inflation has run above the Fed's
expressed "comfort zone" for nearly two years now. We believe, however, that
with real interest rates running just under 3%, monetary policy is not really
all that restrictive by historical standards. We will continue to manage the
Fund conservatively and in a manner that is sensitive to changes in market
rates.
AN INVESTMENT IN A WELLS FARGO ADVANTAGE MONEY MARKET FUND IS NOT INSURED
OR GUARANTEED BY THE FEDERAL DEPOSIT INSURANCE CORPORATION OR ANY OTHER
GOVERNMENT AGENCY. ALTHOUGH MONEY MARKET FUNDS SEEK TO PRESERVE THE VALUE OF
YOUR INVESTMENT AT $1.00 PER SHARE, IT IS POSSIBLE TO LOSE MONEY BY INVESTING IN
THE FUND.
- --------------------------------------------------------------------------------
The views expressed are as of August 31, 2006, and are those of the Fund's
manager. The views are subject to change at any time in response to changing
circumstances in the market and are not intended to predict or guarantee the
future performance of any individual security, market sector or the markets
generally, or the WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS.
3
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS MONEY MARKET OVERVIEW
- --------------------------------------------------------------------------------
PRIMARY INVESTMENTS*
- --------------------------------------------------------------------------------
California Tax-Free Money Market National Tax-Free
- -------------------------------------------------------------------------------------------------------
U.S. Treasury Securities x
- -------------------------------------------------------------------------------------------------------
Repurchase Agreements x
- -------------------------------------------------------------------------------------------------------
U.S. Government Obligations x
- -------------------------------------------------------------------------------------------------------
Commercial Paper x
- -------------------------------------------------------------------------------------------------------
Certificates of Deposit/Bankers Acceptance x
- -------------------------------------------------------------------------------------------------------
Time Deposits x
- -------------------------------------------------------------------------------------------------------
Floating/Variable Rate Notes/Bonds x x x
- -------------------------------------------------------------------------------------------------------
Mortgage and Asset-Backed Securities x
- -------------------------------------------------------------------------------------------------------
Corporate Notes/Bonds x
- -------------------------------------------------------------------------------------------------------
Municipal Obligations x x
- -------------------------------------------------------------------------------------------------------
Municipal Commercial Paper x x
- -------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
* The chart highlights some of the primary investments that the Trusts may
make as part of their investment strategies.The chart does not identify
all of the permitted investments for each Trust.
4
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE CALIFORNIA TAX-FREE MONEY MARKET TRUST
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
THE WELLS FARGO ADVANTAGE CALIFORNIA TAX-FREE MONEY MARKET TRUST (the
Fund) seeks current income exempt from federal income tax and California
individual income tax, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC. Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 05/05/1997
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year Life of Fund
- ---------------------------------------------------------------------------------------------------------------------------
California Tax-Free Money Market Trust (Incept. Date 05/05/1997) 1.63 2.96 1.60 2.29
- ---------------------------------------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE.THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT THE
CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT PERFORMANCE
MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT MONTH-END
PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
A PORTION OF THE FUND'S INCOME MAY BE SUBJECT TO FEDERAL, STATE AND/OR
LOCAL INCOME TAXES OR THE ALTERNATIVE MINIMUM TAX (AMT).
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 3.28%
- --------------------------------------------------------------------------------
7-Day Compound Yield 3.33%
- --------------------------------------------------------------------------------
30-Day Simple Yield 3.26%
- --------------------------------------------------------------------------------
30-Day Compound Yield 3.31%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 24 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Municipal Commercial Paper 5%
Municipal Demand Notes 7%
Municipal Bonds 88%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHARTS IN THE PRINTED MATERIAL.]
Overnight 7%
2-14 Days 82%
15-29 Days 2%
30-59 Days 3%
60-89 Days 1%
270+ Days 5%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 3.26%.
Performance shown for the WELLS FARGO ADVANTAGE CALIFORNIA TAX-FREE MONEY
MARKET TRUST for periods prior to November 8, 1999 reflects performance of the
Stagecoach California Tax-Free Money Market Trust, its predecessor fund.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
5
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE MONEY MARKET TRUST
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
THE WELLS FARGO ADVANTAGE MONEY MARKET TRUST (the Fund) seeks current
income, while preserving capital and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC. Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 09/17/1990
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year 10-Year
- ----------------------------------------------------------------------------------------------------------------------
Money Market Trust (Incept. Date 09/17/1990) 2.47 4.47 2.26 3.90
- ----------------------------------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 5.17%
- --------------------------------------------------------------------------------
7-Day Compound Yield 5.30%
- --------------------------------------------------------------------------------
30-Day Simple Yield 5.15%
- --------------------------------------------------------------------------------
30-Day Compound Yield 5.28%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 26 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Commercial Paper 35%
Floating & Variable Rate Bonds/Notes 30%
Repurchase Agreements 14%
Time Deposits 18%
Certificates of Deposit 3%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 27%
2-14 Days 20%
15-29 Days 18%
30-59 Days 22%
60-89 Days 12%
90-179 Days 1%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 5.17%.
Performance shown for the WELLS FARGO ADVANTAGE MONEY MARKET TRUST for
periods prior to November 8, 1999 reflects performance of the Stagecoach Money
Market Trust, its predecessor fund.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
6
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE NATIONAL TAX-FREE MONEY MARKET TRUST
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
THE WELLS FARGO ADVANTAGE NATIONAL TAX-FREE MONEY MARKET TRUST (the Fund)
seeks current income exempt from federal income tax, while preserving capital
and liquidity.
ADVISER SUBADVISER
Wells Fargo Funds Management, LLC. Wells Capital Management Incorporated
FUND MANAGER FUND INCEPTION DATE
David D. Sylvester 11/10/1997
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
6-Month* 1-Year 5-Year Life of Fund
- ---------------------------------------------------------------------------------------------------------------------------
National Tax-Free Money Market Trust (Incept. Date 11/10/1997) 1.65 3.00 1.68 2.43
- ---------------------------------------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS. YIELDS WILL FLUCTUATE. THE FUND'S YIELD FIGURES MORE CLOSELY REFLECT
THE CURRENT EARNINGS OF THE FUND THAN THE TOTAL RETURN FIGURES. CURRENT
PERFORMANCE MAY BE LOWER OR HIGHER THAN THE PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE FUNDS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
THE FUND IS SOLD WITHOUT A FRONT-END SALES CHARGE OR CONTINGENT DEFERRED
SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT IN THE FUND AND ARE
DESCRIBED IN THE FUND'S CURRENT PROSPECTUS.
A PORTION OF THE FUND'S INCOME MAY BE SUBJECT TO FEDERAL, STATE AND/OR
LOCAL INCOME TAXES OR THE ALTERNATIVE MINIMUM TAX (AMT).
FUND YIELD SUMMARY 1 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
7-Day Current Yield 3.34%
- --------------------------------------------------------------------------------
7-Day Compound Yield 3.39%
- --------------------------------------------------------------------------------
30-Day Simple Yield 3.29%
- --------------------------------------------------------------------------------
30-Day Compound Yield 3.34%
FUND CHARACTERISTIC 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
Weighted Average Maturity 20 days
- --------------------------------------------------------------------------------
PORTFOLIO COMPOSITION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Municipal Commercial Paper 10%
Municipal Demand Notes 6%
Municipal Bonds 84%
MATURITY DISTRIBUTION 2 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS DEPICTED AS A PIE CHART IN THE PRINTED MATERIAL.]
Overnight 13%
2-14 Days 74%
15-29 Days 2%
30-59 Days 4%
60-89 Days 4%
90-179 Days 1%
270+ Days 2%
- --------------------------------------------------------------------------------
1 The Fund's adviser has committed through June 30, 2007, to waive fees and/or
reimburse expenses to the extent necessary to maintain a certain net operating
expense ratio for the Fund. Actual reductions of operating expenses can increase
total return to shareholders. Without waived fees and/or reimbursed expenses,
the Fund's 7-day current yield would have been 3.30%.
Performance shown for the WELLS FARGO ADVANTAGE NATIONAL TAX-FREE MONEY
MARKET TRUST for periods prior to November 8, 1999, reflects performance of the
Stagecoach National Tax-Free Money Market Trust, its predecessor fund.
2 Fund characteristic, portfolio composition and maturity distribution are
subject to change.
7
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS FUND EXPENSES (UNAUDITED)
- --------------------------------------------------------------------------------
As a shareholder of the Fund, you incur two types of costs: (1)
transaction costs, including sales charges (loads) on purchase payments,
redemption fees (if any) and exchange fees (if any); and (2) ongoing costs,
including management fees; distribution (12b-1) and/or shareholder service 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 (March 1, 2006 to August 31, 2006).
ACTUAL EXPENSES
The "Actual" line of the table below provides information about actual
account values and actual expenses. You may use the information in this line,
together with the amount you invested, to estimate the expenses that you paid
over the period. Simply divide your account value by $1,000 (for example, an
$8,600 account value divided by $1,000 = 8.6), then multiply the result by the
number in the "Actual" line under the heading entitled "Expenses Paid During
Period" for your applicable class of shares to estimate the expenses you paid on
your account during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The "Hypothetical" line of the table below provides information about
hypothetical account values and hypothetical expenses based on the Fund's actual
expense ratio and an assumed rate of return of 5% per year before expenses,
which is not the Fund's actual return. The hypothetical account values and
expenses may not be used to estimate the actual ending account balance or
expenses you paid for the period. You may use this information to compare the
ongoing costs of investing in the Fund and other funds. To do so, compare this
5% hypothetical example with the 5% hypothetical examples that appear in the
shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such as
sales charges (loads), redemption fees, or exchange fees. Therefore, the
"Hypothetical" 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.
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2005 08/31/2006 the Period(1) Ratio
Wells Fargo Advantage California Tax-Free Money Market Trust
- --------------------------------------------------------------------------------------------------------------------
Actual $1,000.00 $ 1,016.30 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $ 1,024.20 $1.02 0.20%
Wells Fargo Advantage Money Market Trust
- --------------------------------------------------------------------------------------------------------------------
Actual $1,000.00 $ 1,024.70 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $ 1,024.20 $1.02 0.20%
Wells Fargo Advantage National Tax-Free Money Market Trust
- --------------------------------------------------------------------------------------------------------------------
Actual $1,000.00 $ 1,016.50 $1.02 0.20%
- --------------------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $1,000.00 $ 1,024.20 $1.02 0.20%
(1) Expenses are equal to the Fund's annualized expense ratio multiplied by the
average account value over the period, multiplied by the number of days in the
most recent fiscal half-year divided by the number of days in the fiscal year
(to reflect the one-half year period).
8
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMERCIAL PAPER - 5.16%
$ 390,000 CALIFORNIA STATEWIDE CDA 3.40% 09/06/2006 $ 390,000
4,100,000 GOLDEN GATE BRIDGE 3.50 10/16/2006 4,100,000
2,000,000 LOS ANGELES METROPOLITAN TRANSPORTATION 3.57 09/07/2006 2,000,000
1,500,000 LOS ANGELES METROPOLITAN TRANSPORTATION 3.59 09/07/2006 1,500,000
5,000,000 PORT OF OAKLAND CA 3.50 11/01/2006 5,000,000
4,294,000 RIVERSIDE COUNTY TEETER FINANCE 3.52 09/15/2006 4,294,000
3,105,000 UNIVERSITY OF CALIFORNIA 3.57 09/07/2006 3,105,000
1,960,000 UNIVERSITY OF CALIFORNIA 3.59 09/08/2006 1,960,000
6,255,000 UNIVERSITY OF CALIFORNIA 3.52 09/15/2006 6,255,000
3,580,000 UNIVERSITY OF CALIFORNIA 3.52 10/18/2006 3,580,000
TOTAL COMMERCIAL PAPER (COST $32,184,000) 32,184,000
---------------
MUNICIPAL BONDS & NOTES - 95.12%
CALIFORNIA - 93.46%
3,000,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA MFHR
FINE ARTS BUILDING PROJECTS A (HOUSING REVENUE LOC)SS.+/- 3.41 07/15/2035 3,000,000
3,100,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA MFHR
GAIA BUILDING PROJECT SERIES A COLLATERALIZED BY FNMA (HOUSING
REVENUE LOC)SS.+/- 3.41 09/15/2032 3,100,000
2,550,000 ABAG FINANCE AUTHORITY FOR NONPROFIT CORPORATIONS CALIFORNIA MFHR
GENEVA POINTE APARTMENTS A (HOUSING REVENUE LOC)SS.+/- 3.43 03/15/2037 2,550,000
2,000,000 ABAG FINANCE AUTHORITY FOR NONPROFIT FAMILY CORPORATIONS
CALIFORNIA BERKELEYAN PROJECT A (OTHER REVENUE, FNMA INSURED)SS.+/- 3.41 05/15/2033 2,000,000
2,680,000 ABN AMRO MUNITOPS CERTIFICATES TR 2000-5 MUNITOPS CERTIFICATES
(OTHER REVENUE LOC, FGIC INSURED)SS.+/-++ 3.35 05/07/2008 2,680,000
1,335,000 ABN AMRO MUNITOPS CERTIFICATES TRUST 2006-40 (PROPERTY TAX
REVENUE,FIRST SECURITY BANK LOC)SS.+/- 3.64 08/01/2013 1,335,000
1,309,000 ALAMEDA-CONTRA COSTA CA SCHOOLS FINANCING AUTHORITY CERTIFICATES
PARTICIPATION CAPITAL IMPROVEMENTS FINANCING PROJECTS LEASE
REVENUE SERIES G (LEASE REVENUE LOC, AMBAC INSURED)SS.+/- 3.39 08/01/2024 1,309,000
2,100,000 ALVORD CA UNIVERSITY SCHOOL DISTRICT FINANCING CORPORATION
CERTIFICATES PARTICIPATION REFINANCING PROJECT LEASE REVENUE
(LEASE REVENUE, KBC BANK NV LOC)SS.+/- 3.30 09/01/2019 2,100,000
1,295,000 APPLE VALLEY CA UNIVERSITY SCHOOL DISTRICT SERIES 524 (PROPERTY
TAX REVENUE LOC)SS.+/- 3.44 08/01/2012 1,295,000
5,250,000 BIG BEAR LAKE CA INDUSTRIAL REVENUE SOUTHWEST GAS CORPORATION
PROJECT SERIES A (IDR LOC)SS.+/- 3.38 12/01/2028 5,250,000
6,490,000 CALIFORNIA HFA HOME MORTGAGE SERIES F (OTHER REVENUE, LLOYDS BANK
LOC)SS.+/- 3.39 02/01/2037 6,490,000
250,000 CALIFORNIA HFA REVENUE HOME MORTGAGE SERIES E2 (HOUSING REVENUE)
SS.+/ 3.39 02/01/2035 250,000
2,840,000 CALIFORNIA HFA REVENUE HOUSING PROGRAM SERIES A (HOUSING REVENUE
LOC)SS.+/- 3.39 08/01/2036 2,840,000
5,285,000 CALIFORNIA HFFA REVENUE ADVENTIST HEALTH SYSTEMS SERIES A (HFFA
REVENUE,WACHOVIA BANK NA LOC)SS.+/- 3.55 09/01/2025 5,285,000
5,155,000 CALIFORNIA HFFA REVENUE ADVENTIST HEALTH SYSTEMS SERIES B (HFFA
REVENUE,WACHOVIA BANK NA LOC)SS.+/- 3.55 09/01/2025 5,155,000
7,480,000 CALIFORNIA HFFA REVENUE SERIES A (HFFA REVENUE LOC, MBIA INSURED)
SS.+/ 3.50 09/01/2028 7,480,000
945,000 CALIFORNIA INFRASTRUCTURE & ECONOMIC DEVELOPMENT BANK IDR FISH
HOUSE FOODS INCORPORATED PROJECT (ECONOMIC DEVELOPMENT REVENUE,
COMERICA BANK CA LOC)SS.+/- 3.45 09/01/2024 945,000
2,750,000 CALIFORNIA INFRASTRUCTURE & ECONOMIC DEVELOPMENT REVENUE SAN
FRANCISCO BALLET ASSOCIATION (ECONOMIC DEVELOPMENT REVENUE LOC)
SS.+/ 3.32 07/01/2032 2,750,000
1,955,000 CALIFORNIA INFRASTRUCTURE & ECONOMIC DEVELOPMENT REVENUE SOUTHERN
CA PUBLIC RADIO PROJECT (OTHER REVENUE, ALLIED IRISH BANK PLC
LOC)SS.+/- 3.45 09/01/2025 1,955,000
5,000,000 CALIFORNIA POLLUTION CONTROL FINANCING AUTHORITY ENVIRONMENTAL
IMPROVEMENT REVENUE (IDR LOC)SS.+/- 3.42 09/01/2017 5,000,000
9
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 3,785,000 CALIFORNIA SCHOOL CASH RESERVE PROGRAM COP SERIES A (GO - SCHOOL
DISTRICTS) 4.50% 07/06/2007 $ 3,815,853
4,750,000 CALIFORNIA SERIES H (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.27 07/01/2035 4,750,000
17,135,000 CALIFORNIA SERIES J (HFFA REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.27 07/01/2033 17,135,000
1,960,000 CALIFORNIA STATE DAILY KINDERGARTEN UNIVERSITY SERIES B3 (PROPERTY
TAX REVENUE, CITIBANK NA LOC)SS.+/- 3.46 12/01/2032 1,960,000
1,705,000 CALIFORNIA STATE DEPARTMENT WATER RESERVE POWER SUPPLY SERIES C-13
(UTILITIES REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.26 05/01/2022 1,705,000
1,350,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES B1 (POWER
REVENUE)SS.+/- 3.50 05/01/2022 1,350,000
3,000,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C15 (POWER
REVENUE,BANK OF NOVA SCOTIA LOC)SS.+/- 3.30 05/01/2022 3,000,000
7,290,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C3 (ELECTRIC
REVENUE LOC,AMBAC INSURED)SS.+/- 3.30 05/01/2022 7,290,000
16,200,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C4 (POWER
REVENUE,JPMORGAN LOC)SS.+/- 3.29 05/01/2022 16,200,000
21,830,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SERIES C1 (POWER
REVENUE,DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.30 05/01/2022 21,830,000
1,700,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G1 (WATER
REVENUE)SS.+/- 3.30 05/01/2011 1,700,000
9,365,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G13 (WATER
REVENUE)SS.+/- 3.33 05/01/2018 9,365,000
23,080,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G5 (WATER
REVENUE,FIRST SECURITY BANK LOC)SS.+/- 3.25 05/01/2016 23,080,000
5,565,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G6 (WATER
REVENUE,FIRST SECURITY BANK LOC)SS.+/- 3.30 05/01/2017 5,565,000
4,750,000 CALIFORNIA STATE DWR POWER SUPPLY REVENUE SUBSERIES G7 (WATER
REVENUE)SS.+/- 3.27 05/01/2017 4,750,000
5,665,000 CALIFORNIA STATE ECONOMIC RECOVERY (SALES TAX REVENUE, MBIA
INSURED)SS.+/- 3.44 07/01/2014 5,665,000
985,000 CALIFORNIA STATE ECONOMIC RECOVERY PUTTERS SERIES 446 (ECONOMIC
DEVELOPMENT REVENUE LOC)SS.+/- 3.44 01/01/2012 985,000
2,900,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C-10 (SALES TAX REVENUE
LOC)SS.+/- 3.32 07/01/2023 2,900,000
19,615,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C-11 (SALES TAX REVENUE
LOC)SS.+/- 3.30 07/01/2023 19,615,000
2,800,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C-16 (SALES TAX
REVENUE,FIRST SECURITY BANK LOC)SS.+/- 3.28 07/01/2023 2,800,000
7,720,000 CALIFORNIA STATE PUBLIC WORKS BOARD (COLLEGE & UNIVERSITY REVENUE,
MBIA INSURED)SS.+/- 3.44 11/01/2023 7,720,000
5,165,000 CALIFORNIA STATE PUBLIC WORKS BOARD CERTIFICATES SERIES D (LEASE
REVENUE,AMBAC INSURED)SS.+/- 3.41 12/01/2019 5,165,000
4,000,000 CALIFORNIA STATE RESOURCE RECOVERY RR II R 6013 (SALES TAX
REVENUE, FGIC INSURED)SS.+/- 3.44 07/01/2014 4,000,000
12,610,000 CALIFORNIA STATE SERIES B SUBSERIES B1 (OTHER REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.27 05/01/2040 12,610,000
22,965,000 CALIFORNIA STATE SERIES B3 (GO - STATES, TERRITORIES LOC)SS.+/- 3.32 05/01/2033 22,965,000
3,000,000 CALIFORNIA STATE WEEKLY KINDERGARTEN UNIVERSITY PUBLIC A9
(PROPERTY TAX REVENUE,CITIBANK NA LOC)SS.+/- 3.36 05/01/2034 3,000,000
1,195,000 CALIFORNIA STATEWIDE CDA LA PUENTE APARTMENTS SERIES JJ (MFHR, US
BANK NA LOC)SS.+/- 3.55 11/01/2031 1,195,000
720,000 CALIFORNIA STATEWIDE CDA LIVERMORE VY ARTS CENTER PROJECT (OTHER
REVENUE,BANK OF NEW YORK LOC)SS.+/- 3.27 12/01/2036 720,000
3,200,000 CALIFORNIA STATEWIDE CDA MFHR BYRON PARK PROJECT CSS.+/- 3.46 01/20/2031 3,200,000
1,000,000 CALIFORNIA STATEWIDE CDA MFHR GLEN HAVEN APARTMENTS SERIES AA
(HOUSING REVENUE LOC)SS.+/- 3.48 12/01/2011 1,000,000
4,660,000 CALIFORNIA STATEWIDE CDA MFHR GREENBACK MANOR APARTMENTS SERIES A
COLLATERALIZED BY FHLB (MFHR LOC)SS.+/- 3.65 02/01/2028 4,660,000
2,000,000 CALIFORNIA STATEWIDE CDA MFHR SERIES AA (HOUSING REVENUE LOC)SS.+/- 3.43 04/15/2035 2,000,000
4,000,000 CALIFORNIA STATEWIDE CDA PINE VIEW APARTMENTS SERIES A (MFHR,
CITIBANK NA LOC)SS.+/- 3.30 09/01/2036 4,000,000
3,500,000 CALIFORNIA STATEWIDE CDA SERIES A1 (OTHER REVENUE) 4.50 06/29/2007 3,525,354
10
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 3,500,000 CALIFORNIA STATEWIDE CDA SERIES A4 RIVERSIDE COUNTY (OTHER
REVENUE) 4.50% 06/29/2007 $ 3,526,205
2,500,000 CALIFORNIA STATEWIDE CDA STONERIDGE ELK GROVE SERIES Q (HOUSING
REVENUE,CITIBANK NA LOC)SS.+/- 3.46 10/01/2038 2,500,000
4,375,000 CALIFORNIA STATEWIDE CDA VILLAGE AT NINTH APARTMENTS SERIES D
(HOUSING REVENUE, FNMA INSURED)SS.+/- 3.46 11/15/2035 4,375,000
1,755,000 CAMARILLO CA MFHR HACIENDA DE CAMARILLO PROJECT COLLATERALIZED BY
FNMA (MFHR LOC)SS.+/- 3.43 10/15/2026 1,755,000
2,300,000 COACHELLA VALLEY CA UNIVERSITY SCHOOL FUNDING PROJECT 2006
(EDUCATIONAL FACILITIES REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.42 09/01/2036 2,300,000
1,010,000 CONTRA COSTA COUNTY CA LAFAYETTE TOWN CENTER APARTMENTS SERIES I
(MFHR, FNMA INSURED)SS.+/- 3.43 07/15/2032 1,010,000
1,300,000 CONTRA COSTA COUNTY CA MFHR DELTA SQUARE APARTMENTS PROJECT
SERIES H COLLATERALIZED BY FNMA (MFHR LOC)SS.+/- 3.35 10/15/2029 1,300,000
1,300,000 CONTRA COSTA COUNTY CA MFHR SERIES B COLLATERALIZED BY FNMA
REMARKETED 09/28/94 (MFHR LOC)SS.+/- 3.34 11/15/2022 1,300,000
470,000 CORONA CA COP (LEASE REVENUE, MBIA INSURED)SS.+/- 3.44 03/01/2011 470,000
4,800,000 FREMONT CA TREETOPS APARTMENTS SERIES A (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.43 08/15/2026 4,800,000
2,350,000 FRESNO CA SEWER REVENUE SUBORDINATE LIEN SERIES A (SEWER REVENUE
LOC)SS.+/- 3.30 09/01/2025 2,350,000
2,900,000 GLENN CA IDA LAND O' LAKES INCORPORATED PROJECT (IDR LOC)SS.+/- 3.70 09/01/2007 2,900,000
5,870,000 GOLDEN WEST CA SCHOOLS FINANCING AUTHORITY (OTHER REVENUE, MBIA
INSURED)SS.+/- 3.44 09/01/2025 5,870,000
1,115,000 HILLSBOROUGH CA COP WATER & SEWER SYSTEMS PROJECTS SERIES A
(PROPERTY TAX REVENUE,JPMORGAN CHASE BANK LOC)SS.+/- 3.32 06/01/2033 1,115,000
2,000,000 LANCASTER CA REDEVELOPMENT AGENCY MFHR 20TH STREET APARTMENTS
PROJECT SERIES C (HOUSING REVENUE LOC)SS.+/- 3.35 12/01/2026 2,000,000
1,000,000 LONG BEACH CA (HARBOR DEPARTMENT REVENUE, FGIC INSURED)SS.+/- 3.46 05/15/2017 1,000,000
1,880,000 LONG BEACH CA COMMUNITY COLLEGE DISTRICT SERIES 1399 (PROPERTY
TAX REVENUE,FGIC INSURED)SS.+/- 3.41 05/01/2030 1,880,000
1,580,000 LONG BEACH CA HARBOR REVENUE SERIES 418 (AIRPORT REVENUE LOC,
FGIC INSURED)SS.+/- 3.44 05/15/2020 1,580,000
675,000 LOS ANGELES CA COMMUNITY REDEVELOPMENT AGENCY MFHR (HOUSING
REVENUE LOC)SS.+/- 3.30 04/01/2030 675,000
1,725,000 LOS ANGELES CA COMMUNITY REDEVELOPMENT AGENCY MFHR (HOUSING
REVENUE LOC)SS.+/- 3.57 10/15/2038 1,725,000
8,610,000 LOS ANGELES CA COMMUNITY REDEVELOPMENT AGENCY MFHR WILSHIRE
STATION APARTMENTS SERIES A (HOUSING REVENUE LOC)SS.+/- 3.57 10/15/2038 8,610,000
8,230,000 LOS ANGELES CA CONVENTION & EXHIBIT CENTER AUTHORITY SERIES E
(LEASE REVENUE,AMBAC INSURED)SS.+/- 3.37 08/15/2021 8,230,000
5,500,000 LOS ANGELES CA PA 554 (GO - STATES, TERRITORIES, MERRILL LYNCH
CAPITAL SERVICES LOC)SS.+/- 3.44 09/01/2015 5,500,000
5,500,000 LOS ANGELES CA POWER SYSTEM SUBSERIES A2 (POWER REVENUE, US BANK
NA LOC)SS.+/- 3.27 08/22/2007 5,500,000
2,415,000 LOS ANGELES CA SERIES 1400 (SEWER REVENUE, MBIA INSURED)SS.+/- 3.41 06/01/2026 2,415,000
4,100,000 LOS ANGELES CA SUBSERIES A7 (WATER REVENUE)SS.+/- 3.27 07/01/2035 4,100,000
4,175,000 LOS ANGELES CA TRAN (PROPERTY TAX REVENUE) 4.50 06/29/2007 4,200,241
2,175,000 LOS ANGELES CA USD (PROPERTY TAX REVENUE, FGIC INSURED)SS.+/- 3.44 07/01/2025 2,175,000
2,350,000 LOS ANGELES CA USD TRAN SERIES A (OTHER REVENUE) 4.25 10/18/2006 2,351,597
2,125,000 LOS ANGELES COUNTY CA HOUSING AUTHORITY MFHR MALIBU CANYON
APARTMENTS-B (HOUSING REVENUE LOC)SS.+/- 3.49 06/01/2010 2,125,000
2,000,000 METROPOLITAN WATER DISTRICT SOUTHERN CA SERIES B1 (WATER REVENUE,
DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.27 07/01/2020 2,000,000
1,375,000 METROPOLITAN WATER DISTRICT SOUTHERN CA WATERWORKS REVENUE SERIES
B4 (WATER REVENUE, NATIONSBANK NA LOC)SS.+/- 3.25 07/01/2035 1,375,000
3,930,000 METROPOLITAN WATER DISTRICT SOUTHERN CA WATERWORKS REVENUE SERIES
C (WATER REVENUE LOC)SS.+/- 3.44 07/01/2027 3,930,000
11
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST
- ------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 12,815,000 METROPOLITAN WATER DISTRICT SOUTHERN CA WATERWORKS REVENUE SERIES
C3 (WATER REVENUE LOC)SS.+/- 3.25% 07/01/2030 $ 12,815,000
4,400,000 MODESTO CA IRRIGATION DISTRICT FINANCING AUTHORITY REVENUE SERIES
SG 66 (ELECTRIC REVENUE LOC, MBIA INSURED)SS.+/- 3.43 10/01/2015 4,400,000
5,000,000 MT. DIABLO CA USD (PROPERTY TAX REVENUE) 4.25 10/27/2006 5,009,535
2,560,000 OAKLAND CA SEWER REVENUE SERIES 631 (SEWER REVENUE LOC)SS.+/- 3.44 06/15/2012 2,560,000
12,525,000 OAKLAND-ALAMEDA COUNTY CA COLISEUM AUTHORITY LEASE REVENUE SERIES
C1 (LEASE REVENUE LOC)SS.+/- 3.35 02/01/2025 12,525,000
1,745,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT BLUFFS APARTMENT PROJECT
SERIES C (HOUSING REVENUE, FHLMC INSURED)SS.+/- 3.35 12/01/2029 1,745,000
3,000,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT ISSUE G SERIES 1 (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.35 11/15/2028 3,000,000
25,000 ORANGE COUNTY CA APARTMENT DEVELOPMENT NIGUEL SUMMIT 1 SERIES A
(HOUSING REVENUE)SS.+/- 3.49 11/01/2009 25,000
19,700,000 ORANGE COUNTY CA WATER DISTRICT SERIES A (WATER REVENUE, LLOYDS
TSB BANK PLC LOC)SS.+/- 3.25 08/01/2042 19,700,000
850,000 OXNARD CA FINANCING AUTHORITY (WATER & SEWER REVENUE LOC, AMBAC
INSURED)SS.+/- 3.38 06/01/2034 850,000
640,000 PERRIS CA UNIFIED HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE LOC)
SS.+/ 3.44 09/01/2026 640,000
10,000,000 PITTSBURG CA RDA TAX ALLOCATION LOS MEDANOS COMMUNITY SERIES A
(TAX ALLOCATION REVENUE LOC)SS.+/- 3.45 09/01/2035 10,000,000
3,040,000 PORT OF OAKLAND CA TRANSPORTATION REVENUE SERIES K (AIRPORT
REVENUE LOC,FGIC INSURED)SS.+/- 3.43 11/01/2021 3,040,000
3,380,000 POWAY CA USD SERIES 1889 (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 02/01/2011 3,380,000
2,100,000 PUERTO RICO PUBLIC FINANCE CORPORATION SERIES 1426 (LEASE REVENUE, 3.44 08/01/2010 2,100,000
FGIC INSURED)SS.+/-
2,290,000 REDONDO BEACH CA AGENCY MFHR (HOUSING REVENUE LOC)SS.+/- 3.35 10/15/2034 2,290,000
14,105,000 RIVERSIDE COUNTY CA COMMUNITY FACILITIES DISTRICT SERIES 88-4
(SPECIAL TAX REVENUE LOC, KBC BANK LOC)SS.+/- 3.33 09/01/2014 14,105,000
3,350,000 SACRAMENTO CA MUD FLOATER PA 1180 (UTILITIES REVENUE, FGIC
INSURED)SS.+/- 3.44 02/15/2011 3,350,000
3,000,000 SACRAMENTO COUNTY CA HFA MFHR ARLINGTON CREEK APARTMENT SERIES I
(HOUSING REVENUE LOC)SS.+/- 3.43 05/15/2034 3,000,000
1,000,000 SACRAMENTO COUNTY CA HOUSING AUTHORITY (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.35 07/15/2029 1,000,000
3,225,000 SACRAMENTO COUNTY CA SANITATION DISTRICT FINANCING AUTHORITY
(WATER &SEWER REVENUE)SS.+/- 3.44 12/01/2035 3,225,000
5,000,000 SACRAMENTO COUNTY CA SANITATION DISTRICT FINANCING AUTHORITY CLASS
A (SEWER REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2035 5,000,000
1,500,000 SAN BERNARDINO COUNTY CA PARKVIEW SERIES A (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.35 02/15/2027 1,500,000
7,000,000 SAN DIEGO CA COUNTY & SCHOOL DISTRICT TRAN SERIES A (OTHER REVENUE) 4.50 07/27/2007 7,048,547
1,740,000 SAN DIEGO CA COUNTY & SCHOOL DISTRICT TRAN SERIES B (PROPERTY TAX
REVENUE) 4.50 07/27/2007 1,751,773
3,455,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS A (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 3,455,000
1,760,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS B (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 1,760,000
1,000,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS C (LEASE
REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 1,000,000
5,000,000 SAN DIEGO CA USD SERIES PA 1245 (PROPERTY TAX REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.44 07/01/2011 5,000,000
1,275,000 SAN DIEGO CA USD SERIES PA 804 (EDUCATIONAL FACILITIES REVENUE
LOC)SS.+/- 3.44 07/01/2022 1,275,000
4,025,000 SAN DIEGO CA USD TRAN SERIES A (PROPERTY TAX REVENUE) 4.50 07/24/2007 4,052,671
1,998,000 SAN DIEGO COUNTY CA WATER AUTHORITY COP SERIES I (WATER REVENUE,
MBIA INSURED)SS.+/- 3.42 11/01/2010 1,998,000
1,250,000 SAN FRANCISCO CA CITY & COUNTY RDA ANTONIA MANOR APARTMENTS
(HOUSING REVENUE, CITIBANK NA LOC)SS.+/- 3.36 12/01/2033 1,250,000
12
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA (CONTINUED)
$ 2,145,000 SAN JOSE CA CINNABAR COMMONS SERIES C (HOUSING REVENUE,BANK OF
AMERICA NA LOC)SS.+/- 3.32% 02/01/2037 $ 2,145,000
5,045,000 SAN JOSE CA EL PASEO APARTMENTS SERIES B (OTHER REVENUE, CITIBANK
NA LOC)SS.+/- 3.38 10/01/2034 5,045,000
1,600,000 SAN JOSE CA REDEVELOPMENT AGENCY TAX ALLOCATIONSS.+/- 3.42 08/01/2035 1,600,000
3,535,000 SAN JOSE CA REDEVELOPMENT AGENCY TAX ALLOCATION SERIES 149 (TAX
INCREMENTAL REVENUE, MBIA INSURED)SS.+/- 3.44 08/01/2027 3,535,000
2,000,000 SAN MARCOS CA PFA (TAX INCREMENTAL REVENUE, AMBAC INSURED)SS.+/- 3.45 08/01/2038 2,000,000
300,000 SANTA CLARA COUNTY CA MFHR FOXCHASE APARTMENTS PROJECT SERIES E
(MFHR LOC, FGIC INSURED)SS.+/- 3.38 11/15/2017 300,000
1,685,000 SANTA CRUZ CA CITY HIGH SCHOOL DISTRICT (PROPERTY TAX REVENUE,
MBIA INSURED)SS.+/- 3.44 08/01/2025 1,685,000
2,550,000 SONOMA COUNTY CA TRAN (OTHER REVENUE) 4.25 10/16/2006 2,554,123
7,250,000 SOUTH PLACER CA WASTEWATER AUTHORITY SERIES B (SEWER REVENUE, FGIC
INSURED)SS.+/- 3.38 11/01/2035 7,250,000
800,000 TULARE CA LOCAL HEALTH CARE DISTRICT (HEALTHCARE FACILITIES
REVENUE,US BANK NA LOC)SS.+/- 3.45 12/01/2032 800,000
3,200,000 UNION CITY CA MFHR HOUSING MISSION SIERRA SERIES A (HOUSING
REVENUE LOC)SS.+/- 3.35 07/15/2029 3,200,000
1,995,000 UNIVERSITY CALIFORNIA EDUCATION FACILITIES REVENUE SERIES 479
(HIGHER EDUCATION FACILITIES AUTHORITY REVENUE LOC, MBIA INSURED)
SS.+/- 3.41 09/01/2022 1,995,000
385,000 UNIVERSITY OF CALIFORNIA REVENUE (COLLEGE & UNIVERSITY REVENUE
LOC)SS.+/- 3.44 05/15/2033 385,000
4,100,000 VENTURA COUNTY CA TRAN (PROPERTY TAX REVENUE) 4.50 07/02/2007 4,126,332
9,635,000 VERNON CA NATURAL GAS FINANCING VERNON GAS PROJECT SERIES B (OTHER
REVENUE, MBIA INSURED)SS.+/- 3.27 08/01/2021 9,635,000
1,765,000 VICTORVILLE CA RDA SERIES 485 (TAX INCREMENTAL REVENUE, FIRST
SECURITY BANK LOC)SS.+/- 3.44 12/01/2019 1,765,000
582,804,231
---------------
PUERTO RICO - 1.66%
2,500,000 EAGLE TAX-EXEMPT TRUST CTF 20015101 CLASS A (OTHER REVENUE LOC)
SS.+/- 3.46 10/01/2034 2,500,000
7,835,000 PUERTO RICO COMMONWEALTH (TAX REVENUE)SS.+/- 3.40 07/01/2029 7,835,000
10,335,000
---------------
TOTAL MUNICIPAL BONDS & NOTES (COST $593,139,231) 593,139,231
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $625,323,231)* 100.28% $ 625,323,231
OTHER ASSETS AND LIABILITIES, NET (0.28) (1,757,266)
------ ---------------
TOTAL NET ASSETS 100.00% $ 623,565,965
====== ===============
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
13
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
ASSET BACKED SECURITIES - 0.12%
$ 3,273,891 CAPITAL ONE AUTO FINANCE TRUST 5.12% 05/15/2007 $ 3,273,891
TOTAL ASSET BACKED SECURITIES (COST $3,273,891) 3,273,891
---------------
COLLATERALIZED MORTGAGE OBLIGATIONS - 0.35%
10,000,000 PARAGON MORTGAGES PLC+/-++SS. 5.31 11/15/2038 10,000,000
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS (COST $10,000,000) 10,000,000
---------------
CERTIFICATES OF DEPOSIT - 2.91%
45,000,000 BARCLAYS BANK PLC 4.14 09/20/2006 45,000,000
18,000,000 BNP PARIBAS LONDON 4.92 11/07/2006 18,000,000
5,000,000 CREDIT SUISSE FIRST BOSTON NEW YORK SERIES YCD 4.18 09/22/2006 5,000,000
15,000,000 ROYAL BANK OF SCOTLAND NEW YORK SERIES YCD+/- 5.34 10/04/2006 14,999,694
TOTAL CERTIFICATES OF DEPOSIT (COST $82,999,694) 82,999,694
---------------
COMMERCIAL PAPER - 35.35%
35,000,000 AMSTEL FUNDING CORPORATION++^ 5.41 10/18/2006 34,753,022
20,452,000 ATLANTIC ASSET SECURITY CORPORATION++^ 5.39 09/25/2006 20,378,509
38,750,000 ATLANTIS ONE FUNDING++^ 4.98 10/05/2006 38,567,746
30,000,000 ATLAS CAPITAL FUNDING CORPORATION++^ 5.41 10/04/2006 29,851,225
15,000,000 ATLAS CAPITAL FUNDING CORPORATION++^ 5.29 10/10/2006 14,914,038
32,309,000 ATOMIUM FUNDING LLC++^ 5.28 11/21/2006 31,925,169
15,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.31 01/23/2007 15,000,000
16,000,000 BUCKINGHAM CDO III LLC++^ 5.31 11/27/2006 15,794,873
20,000,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.29 10/12/2006 19,879,506
10,000,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.29 10/18/2006 9,930,936
18,000,000 CAIRN HIGH GRADE FUNDING I LLC++^ 5.29 10/23/2006 17,862,460
20,000,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.28 10/03/2006 19,906,133
5,000,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.29 10/03/2006 4,976,489
15,000,000 CEDAR SPRINGS CAPITAL COMPANY++^ 5.30 11/28/2006 14,805,667
20,000,000 CONCORD MINUTEMEN CAPITAL COMPANY++^ 5.40 10/10/2006 19,883,000
21,797,000 DEER VALLEY FUNDING LLC++^ 5.29 09/14/2006 21,755,362
46,000,000 DEER VALLEY FUNDING LLC++^ 5.29 10/24/2006 45,641,749
75,000,000 DNB NORSKE BANK ASA^ 4.98 10/05/2006 74,647,250
19,000,000 EUREKA SECURITIZATION++^ 5.28 11/14/2006 18,793,787
15,000,000 FIVE FINANCE INCORPORATED++^ 5.27 10/24/2006 14,883,621
5,000,000 GOVCO INCORPORATED++^ 5.27 11/17/2006 4,943,640
10,000,000 HARRIER FINANCE FUNDING US LLC++^ 5.44 09/27/2006 9,960,711
15,000,000 KESTREL FUNDING US LLC++^ 5.38 09/25/2006 14,946,200
10,000,000 KESTREL FUNDING US LLC++^ 5.39 10/30/2006 9,911,664
25,000,000 KLIO III FUNDING CORPORATION++^ 5.28 09/21/2006 24,926,736
31,066,000 KLIO III FUNDING CORPORATION++^ 5.39 09/28/2006 30,940,416
27,733,000 LEGACY CAPITAL LLC++^ 5.40 10/12/2006 27,562,442
35,000,000 LEGACY CAPITAL LLC++^ 5.28 11/17/2006 34,604,733
10,000,000 LIQUID FUNDING LIMITED++^ 5.36 09/08/2006 9,989,578
11,000,000 LIQUID FUNDING LIMITED+/-++ 5.34 09/21/2006 11,000,000
13,000,000 LIQUID FUNDING LIMITED+/-++ 5.32 09/25/2006 13,000,000
15,000,000 NEWPORT FUNDING CORPORATION++^ 5.40 10/26/2006 14,876,250
25,000,000 NORTH SEA FUNDING LLC++^ 5.37 09/15/2006 24,947,792
14
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMERCIAL PAPER (CONTINUED)
$ 20,000,000 PERRY GLOBAL FUNDING LLC SERIES A++^ 5.16% 09/01/2006 $ 20,000,000
26,031,000 REGENCY MARKETS #1 LLC++^ 5.41 10/16/2006 25,855,128
35,000,000 SEDNA FINANCE INCORPORATED++^ 5.28 10/19/2006 34,753,600
30,000,000 SEDNA FINANCE INCORPORATED++^ 5.38 11/02/2006 29,722,033
40,000,000 SPINTAB AB^ 5.28 11/16/2006 39,554,556
33,500,000 STANFIELD VICTORIA FUNDING++^ 5.40 10/23/2006 33,238,700
15,000,000 THAMES ASSET GLOBAL SECURITIZATION++^ 5.37 09/07/2006 14,986,575
15,000,000 TIERRA ALTA FUNDING++^ 5.28 09/28/2006 14,940,600
35,000,000 VERSAILLES CDS LLC++^ 5.37 09/06/2006 34,973,896
30,000,000 VERSAILLES CDS LLC++^ 5.40 10/06/2006 29,842,500
15,000,000 VERSAILLES CDS LLC++^ 5.28 11/02/2006 14,863,600
TOTAL COMMERCIAL PAPER (COST $1,008,491,892) 1,008,491,892
---------------
MUNICIPAL BONDS & NOTES - 0.47%
13,500,000 MISSISSIPPI STATE TAXABLE NISSAN PROJECT A (GO -
STATES, TERRITORIES LOC)+/-SS. 5.34 11/01/2028 13,500,000
TOTAL MUNICIPAL BONDS & NOTES (COST $13,500,000) 13,500,000
---------------
EXTENDABLE BONDS - 13.18%
15,000,000 3M COMPANY++ 5.65 12/12/2006 15,034,830
5,000,000 AMERICAN GENERAL FINANCE+/-++ 5.36 09/14/2007 5,000,000
22,000,000 BANK OF IRELAND+/-++ 5.30 09/20/2007 22,000,000
15,000,000 BEAR STEARNS COMPANIES INCORPORATED+/- 5.32 09/14/2007 15,000,000
20,000,000 COMMONWEALTH BANK AUSTRIA+/-++ 5.33 08/24/2007 20,000,000
20,000,000 FLORIDA HURRICANE CATASTROPHE+/- 5.34 09/14/2007 20,000,000
35,000,000 GENERAL ELECTRIC CAPITAL CORPORATION+/- 5.49 07/09/2007 35,012,715
30,000,000 ING SECURITY LIFE INSTITUTIONAL FUNDING+/-++ 5.48 08/09/2007 30,000,000
24,000,000 INTESA BANK IRELAND PLC+/-++ 5.32 09/25/2007 24,000,000
28,000,000 IRISH LIFE & PERMANENT+/-++ 5.33 09/21/2007 28,000,079
20,000,000 ISLANDS BANK+/-++ 5.40 04/22/2007 20,000,000
15,000,000 KAUPTHING BANK SERIES MTN+/-++ 5.39 03/20/2007 15,000,000
13,000,000 MERCK & COMPANY INCORPORATED+/-++ 4.52 02/22/2007 12,968,084
30,000,000 MERRILL LYNCH & COMPANY INCORPORATED+/- 5.31 09/24/2007 30,000,000
10,000,000 MORGAN STANLEY+/- 5.38 08/31/2007 10,000,000
10,000,000 NATIONWIDE BUILDING SOCIETY+/-++ 5.44 07/06/2007 10,000,000
24,000,000 NORDEA BANK AB+/-++ 5.34 09/11/2007 24,000,000
30,000,000 NORTHERN ROCK PLC+/-++ 5.35 07/09/2007 30,001,214
10,000,000 NORTHERN ROCK PLC+/-++ 5.43 08/03/2007 10,000,000
TOTAL EXTENDABLE BONDS (COST $376,016,922) 376,016,922
---------------
MEDIUM TERM NOTES - 13.21%
12,000,000 ASIF GLOBAL FINANCING+/-++ 5.51 05/03/2007 12,004,963
30,000,000 ATLAS CAPITAL FUNDING CORPORATION SERIES MTN+/-++ 5.35 12/11/2006 29,999,174
33,000,000 BANK OF AMERICA SECURITIES+/-SS. 5.38 09/09/2034 33,000,000
23,700,000 BEAR STEARNS COMPANIES INCORPORATED+/-SS. 5.43 09/09/2049 23,700,000
8,000,000 CHEYNE FINANCE LLC+/-++ 5.36 05/21/2007 7,999,011
7,500,000 CHEYNE FINANCE LLC+/-++ 5.36 05/24/2007 7,498,928
9,000,000 CHEYNE FINANCE LLC+/-++ 5.47 07/16/2007 8,998,074
16,000,000 CULLINAN FINANCE CORPORATION+/-++ 5.35 05/21/2007 15,998,858
15
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MEDIUM TERM NOTES (CONTINUED)
$ 39,500,000 CULLINAN FINANCE CORPORATION SERIES MTN+/-++ 5.29% 12/20/2006 $ 39,497,502
37,540,000 GOLDMAN SACHS GROUP INCORPORATED SERIES MTNB+/- 5.66 10/27/2006 37,549,947
34,500,000 HARRIER FINANCE FUNDING LLC+/-++ 5.36 05/15/2007 34,496,257
20,000,000 HARRIER FINANCE FUNDING LLC SERIES MTN+/-++ 5.29 12/15/2006 19,998,823
8,000,000 LEHMAN BROTHERS HOLDINGS+/- 5.39 07/19/2007 8,006,606
5,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.48 03/15/2007 5,004,183
9,000,000 LIBERTY LIGHT US CAPITAL+/-++ 5.47 07/10/2007 8,998,489
17,000,000 LIQUID FUNDING LIMITED+/-++ 5.31 09/29/2006 17,000,000
10,475,000 MORGAN STANLEY+/- 5.53 02/15/2007 10,482,506
25,000,000 NORTHERN ROCK PLC+/-++ 5.55 10/20/2006 25,002,248
7,500,000 SEDNA FINANCE INCORPORATED+/-++ 5.36 05/30/2007 7,499,417
8,000,000 SEDNA FINANCE INCORPORATED+/-++ 5.30 06/18/2007 7,999,326
16,000,000 TANGO FINANCE CORPORATION+/-++ 5.36 05/24/2007 15,998,838
TOTAL MEDIUM TERM NOTES (COST $376,733,150) 376,733,150
---------------
PROMISSORY NOTES - 3.20%
71,400,000 CITIGROUP GLOBAL+/-SS. 5.38 09/09/2049 71,400,000
20,000,000 GOLDMAN SACHS GROUP INCORPORATED+/-++ 5.54 01/26/2007 20,000,000
TOTAL PROMISSORY NOTES (COST $91,400,000) 91,400,000
---------------
TIME DEPOSITS - 17.81%
67,000,000 DEUTSCHE BANK CAYMAN 5.26 09/07/2006 67,000,000
28,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/05/2006 28,000,000
51,000,000 DEXIA BANK GRAND CAYMAN 5.27 09/06/2006 51,000,000
67,000,000 KBC BANK NV BRUSSELS 5.30 09/01/2006 67,000,000
74,000,000 NATEXIS BANQUES POPULAIR 5.26 09/05/2006 74,000,000
71,000,000 RABOBANK LONDON 5.26 09/01/2006 71,000,000
27,000,000 SOCIETE GENERALE CANADA 5.27 09/07/2006 27,000,000
43,000,000 SOCIETE GENERALE CAYMAN 5.27 09/05/2006 43,000,000
80,000,000 UBS AG CAYMAN ISLANDS 5.28 09/01/2006 80,000,000
TOTAL TIME DEPOSITS (COST $508,000,000) 508,000,000
---------------
REPURCHASE AGREEMENTS - 13.63%
130,910,000 BARCLAYS BANK - 102% COLLATERALIZED BY US GOVERNMENT SECURITIES
(MATURITY VALUE $130,929,200) 5.28 09/01/2006 130,910,000
76,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $76,011,210) 5.31 09/01/2006 76,000,000
80,000,000 CREDIT SUISSE FIRST BOSTON - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $80,011,756) 5.29 09/01/2006 80,000,000
17,000,000 GOLDMAN SACHS & COMPANY - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $17,002,503) 5.30 09/01/2006 17,000,000
24,000,000 JPMORGAN CHASE SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $24,003,533) 5.30 09/01/2006 24,000,000
61,000,000 JPMORGAN CHASE SECURITIES - 102% COLLATERALIZED BY US GOVERNMENT
SECURITIES
(MATURITY VALUE $61,008,964) 5.29 09/01/2006 61,000,000
TOTAL REPURCHASE AGREEMENTS (COST $388,910,000) 388,910,000
---------------
16
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
MONEY MARKET TRUST
- --------------------------------------------------------------------------------
VALUE
TOTAL INVESTMENTS IN SECURITIES
(COST $2,859,325,549)* 100.23% $ 2,859,325,549
OTHER ASSETS AND LIABILITIES, NET (0.23) (6,565,400)
------ ---------------
TOTAL NET ASSETS 100.00% $ 2,852,760,149
====== ===============
+/- VARIABLE RATE INVESTMENTS.
++ SECURITIES THAT MAY BE RESOLD TO "QUALIFIED INSTITUTIONAL BUYERS" UNDER
RULE 144A OR SECURITIES OFFERED PURSUANT TO SECTION 4(2) OF THE SECURITIES
ACT OF 1933, AS AMENDED.
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
^ ZERO COUPON BOND. INTEREST RATE PRESENTED IS YIELD TO MATURITY.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
17
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
COMMERCIAL PAPER - 9.93%
$ 610,000 COUNTY OF WAKE NC 3.65% 02/05/2007 $ 610,000
600,000 HARRIS COUNTY TX 3.57 09/15/2006 600,000
2,600,000 HARRIS COUNTY TX 3.60 11/09/2006 2,600,000
2,535,000 HARRIS COUNTY TX SERIES B 3.60 11/09/2006 2,535,000
4,795,000 HARRIS COUNTY TX SERIES C 3.60 11/09/2006 4,795,000
2,585,000 HARRIS COUNTY TX SERIES D 3.60 09/14/2006 2,585,000
718,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.47 09/07/2006 718,000
2,500,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.55 10/17/2006 2,500,000
2,200,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY 3.63 02/08/2007 2,200,000
1,000,000 ILLINOIS EDUCATIONAL FACILITIES AUTHORITY SERIES NOTR 3.53 09/13/2006 1,000,000
2,531,000 JOHNS HOPKINS UNIVERSITY 3.55 10/17/2006 2,531,000
1,200,000 LAS VEGAS VALLEY WATER DISTRICT 3.47 09/07/2006 1,200,000
1,300,000 LAS VEGAS VALLEY WATER DISTRICT 3.55 10/17/2006 1,300,000
1,900,000 MARYLAND HEALTH & HIGHER EDUCATION SERIES A 3.60 09/07/2006 1,900,000
1,000,000 MASSACHUSETTS HEALTH & EDUCATIONAL FACILITIES AUTHORITY 3.55 09/07/2006 1,000,000
3,120,000 MASSACHUSETTS HEALTH & EDUCATIONAL FACILITIES AUTHORITY 3.70 11/07/2006 3,120,000
2,448,000 NORTH CAROLINA CAPITAL FACILITIES 3.60 11/07/2006 2,448,000
3,000,000 ROCHESTER MN HEALTH CARE 3.64 10/12/2006 3,000,000
4,000,000 ROCHESTER MN HEALTH CARE SERIES 00-B 3.64 10/12/2006 4,000,000
1,450,000 SAN ANTONIO ELECTRIC & GAS 3.53 10/02/2006 1,450,000
1,675,000 TEXAS PFA SERIES 02-A 3.53 09/13/2006 1,675,000
3,000,000 UNIVERSITY OF MINNESOTA 3.65 10/16/2006 3,000,000
TOTAL COMMERCIAL PAPER (COST $46,767,000) 46,767,000
---------------
MUNICIPAL BONDS & NOTES - 89.88%
ALABAMA - 3.21%
6,000,000 BIRMINGHAM AL PUBLIC EDUCATIONAL BUILDING AUTHORITY STUDENT HOUSING
REVENUE (OTHER REVENUE LOC)SS.+/- 3.42 07/01/2037 6,000,000
585,000 COLUMBIA AL IDA SERIES B (PCR)SS.+/- 3.57 05/01/2022 585,000
4,970,000 JEFFERSON COUNTY AL SEWER REVENUE SERIES A (SEWER REVENUE
LOC)SS.+/- 3.42 02/01/2042 4,970,000
3,565,000 MOBILE AL INFIRMARY HEALTH SYSTEM SPECIAL CARE FACILITIES SERIES A
(HFFA REVENUE, BANK OF NOVA SCOTIA)SS.+/- 3.41 02/01/2040 3,565,000
15,120,000
---------------
ARIZONA - 3.82%
1,105,000 ARIZONA BANNER HEALTH SERIES B (HEALTHCARE FACILITIES REVENUE,
FGIC INSURED)SS.+/- 3.40 01/01/2035 1,105,000
5,015,000 ARIZONA TOURISM & SPORTS AUTHORITY MULTI-PURPOSE STADIUM
FACULTY SERIES A (SPORTS FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.40 07/01/2036 5,015,000
885,000 MARICOPA COUNTY AZ IDA SERIES A (HOUSING REVENUE, FNMA
INSURED)SS.+/- 3.42 04/15/2030 885,000
610,000 SALT RIVER AZ PIMA MARICOPA INDIAN COMMUNITY (OTHER REVENUE,
BANK OF AMERICA NA LOC)SS.+/- 3.41 10/01/2025 610,000
3,350,000 SCOTTSDALE AZ HEALTHCARE SERIES B (IDR, FGIC INSURED)SS.+/- 3.40 09/01/2026 3,350,000
7,000,000 SCOTTSDALE AZ IDA HOSPITAL HEALTHCARE SERIES C (HFFA REVENUE,
FIRST SECURITY BANK LOC)SS.+/- 3.40 09/01/2035 7,000,000
17,965,000
---------------
18
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
CALIFORNIA - 5.14%
$ 1,360,000 CALIFORNIA STATE DAILY KINDERGARTEN UNIVERSITY SERIES B2
(PROPERTY TAX REVENUE, CITIBANK NA LOC)SS.+/- 3.50% 05/01/2034 $ 1,360,000
860,000 CALIFORNIA STATE ECONOMIC RECOVERY PUTTERS SERIES 446
(ECONOMIC DEVELOPMENT REVENUE LOC)SS.+/- 3.44 01/01/2012 860,000
370,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C-10
(SALES TAX REVENUE LOC)SS.+/- 3.32 07/01/2023 370,000
185,000 CALIFORNIA STATE ECONOMIC RECOVERY SERIES C-11
(SALES TAX REVENUE LOC)SS.+/- 3.30 07/01/2023 185,000
665,000 CORONA CA COP (LEASE REVENUE, MBIA INSURED)SS.+/- 3.44 03/01/2011 665,000
990,000 LOS ANGELES CA SANITATION EQUIPMENT PROJECT 3343
(OTHER REVENUE, FGIC INSURED)SS.+/- 3.44 02/01/2019 990,000
870,000 LOS ANGELES CA SUBSERIES B1 (WATER REVENUE, DEXIA CREDIT
LOCAL DE FRANCE LOC)SS.+/- 3.32 07/01/2035 870,000
3,405,000 LOS ANGELES CA USD (PROPERTY TAX REVENUE, MBIA INSURED)SS.+/- 3.44 07/01/2022 3,405,000
9,050,000 METROPOLITAN WATER DISTRICT SOUTHERN CA SERIES B1
(WATER REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.27 07/01/2020 9,050,000
580,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS A
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 580,000
4,935,000 SAN DIEGO CA PUBLIC FACILITIES FINANCING AUTHORITY CLASS C
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.46 02/15/2026 4,935,000
910,000 UNIVERSITY OF CALIFORNIA REVENUE (COLLEGE & UNIVERSITY
REVENUE LOC)SS.+/- 3.44 05/15/2033 910,000
24,180,000
---------------
COLORADO - 2.54%
8,345,000 ARAPOHOE COUNTY CO WATER & WASTEWATER AUTHORITY REVENUESS.+/- 3.44 12/01/2033 8,345,000
1,700,000 ARVADA COUNTY CO (WATER REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.75 11/01/2020 1,700,000
1,925,000 FITZSIMONS RDA COLORADO UNIVERSITY PHYSICIANS INCORPORATED
(COLLEGE & UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.47 01/01/2025 1,925,000
11,970,000
---------------
DELAWARE - 0.17%
800,000 KENT COUNTY DE STUDENT HOUSING (COLLEGE & UNIVERSITY REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.41 07/01/2036 800,000
---------------
FLORIDA - 4.29%
5,055,000 ALACHUA COUNTY FL HEALTH FACILITIES AUTHORITY OAK HAMMOCK
UNIVERSITY OF FLORIDA PROJECT SERIES A (HEALTHCARE FACILITIES
REVENUE, BNP PARIBAS LOC)SS.+/- 3.57 10/01/2032 5,055,000
470,000 FORT LAUDERDALE FL ANN STORCK CENTER INCORPORATED PROJECT
(HEALTHCARE FACILITIES REVENUE, WACHOVIA BANK LOC)SS.+/- 3.56 12/01/2014 470,000
12,175,000 JACKSONVILLE FL ECONOMIC DEVELOPMENT HEALTH CARE FACILITIES
REVENUE SERIES ASS.+/- 3.42 09/01/2023 12,175,000
2,480,000 ORANGE COUNTY FL CENTRAL FLORIDA YMCA PROJECT SERIES A
(IDR, BANK OF AMERICA NA LOC)SS.+/- 3.43 05/01/2027 2,480,000
20,180,000
---------------
GEORGIA - 2.59%
1,330,000 FULTON COUNTY GA DEVELOPMENT AUTHORITY ALFRED & ADELE
DAVIS (OTHER REVENUE, WACHOVIA BANK LOC)SS.+/- 3.41 12/01/2019 1,330,000
3,390,000 FULTON COUNTY GA NORTHSIDE SERIES B (HOSPITAL REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.55 10/01/2033 3,390,000
4,600,000 GEORGIA LOCAL GOVERNMENT CERTIFICATE PARTICIPATION SERIES K
(GO - POLITICAL SUBDIVISION)SS.+/- 3.51 12/01/2022 4,600,000
2,875,000 GWINNETT COUNTY GA SCHOOL DISTRICT (PROPERTY TAX REVENUE) 4.50 12/29/2006 2,883,385
12,203,385
---------------
ILLINOIS - 9.48%
2,955,000 CHANNAHON IL MORRIS HOSPITAL SERIES A (HEALTHCARE FACILITIES
REVENUE, US BANK NA LOC)SS.+/- 3.45 12/01/2023 2,955,000
3,375,000 CHICAGO IL SERIES B1 (PROPERTY TAX REVENUE, FIRST SECURITY
BANK LOC)SS.+/- 3.43 01/01/2034 3,375,000
2,300,000 CHICAGO IL SERIES SG 131 (SALES TAX REVENUE, FGIC INSURED)SS.+/- 3.44 01/01/2027 2,300,000
19
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
ILLINOIS (CONTINUED)
$ 2,175,000 COOK COUNTY IL GO CERTIFICATES SERIES 458 (PROPERTY TAX
REVENUE, FGIC INSURED)SS.+/- 3.45% 11/15/2028 $ 2,175,000
3,585,000 DUPAGE COUNTY IL BENEDICTINE UNIVERSITY (COLLEGE & UNIVERSITY
REVENUE, NATIONAL CITY BANK)SS.+/- 3.42 07/01/2024 3,585,000
999,939 EAGLE TAX-EXEMPT TRUST CTF 20021304 CLASS A (GO - STATES,
TERRITORIES, FGIC INSURED)SS.+/- 3.46 02/01/2027 999,939
5,500,000 EAGLE TAX-EXEMPT TRUST CTF 20021306 CLASS A (RECREATIONAL
FACILITIES REVENUE LOC, FGIC INSURED)SS.+/- 3.46 01/01/2029 5,500,000
910,000 ELMHURST IL REVENUE JOINT COMMISSION ACCREDITATION
(HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.43 07/01/2018 910,000
4,000,000 HOFFMAN ESTATES IL HOFFMAN ESTATES ECONOMIC (TAX REVENUE,
NORTHERN TRUST CORPORATION LOC)SS.+/- 3.43 01/01/2010 4,000,000
1,920,000 ILLINOIS DEVELOPMENT FINANCE AUTHORITY PRESBYTERIAN HOME LAKE
SERIES A (HOUSING REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.43 09/01/2031 1,920,000
1,800,000 ILLINOIS FINANCE AUTHORITY RUSH UNIVERSITY MEDICAL CENTER
SERIES A1 (HFFA REVENUE, MBIA INSURED)SS.+/- 3.40 11/01/2035 1,800,000
6,000,000 ILLINOIS HEALTH FACILITIES AUTHORITY (HOSPITAL REVENUE, MBIA
INSURED)SS.+/- 3.44 05/15/2024 6,000,000
2,515,000 ILLINOIS STATE NEWBERRY LIBRARY (OTHER REVENUE, NORTHERN TRUST
CORPORATION LOC)SS.+/- 3.53 03/01/2028 2,515,000
1,800,000 ILLINOIS STATE SERIES 660 (PROPERTY TAX REVENUE, AMBAC
INSURED)SS.+/- 3.45 11/01/2012 1,800,000
1,300,000 ILLINOIS STATE SERIES G (GO - STATES, TERRITORIES)SS.+/- 3.49 05/01/2012 1,300,000
3,500,000 ILLINOIS STATE TOLL HIGHWAY AUTHORITY SERIES 1355
(STATE & LOCAL GOVERNMENTS, FIRST SECURITY BANK LOC)SS.+/- 3.45 01/01/2014 3,500,000
44,634,939
---------------
INDIANA - 6.22%
400,000 HAMMOND IN SCHOOL BUILDING CORPORATION SERIES 658 (LEASE
REVENUE, MBIA INSURED)SS.+/- 3.45 07/15/2012 400,000
3,770,000 INDIANA HEALTH & EDUCATIONAL FACILITIES FINANCING AUTHORITY
SCHNECK MEMORIAL HOSPITAL SERIES B (HOSPITAL REVENUE, FIFTH
THIRD BANK LOC)SS.+/- 3.57 02/15/2036 3,770,000
4,605,000 INDIANA HFFA DEACONESS HOSPITAL INCORPORATION (HEALTHCARE
FACILITIES REVENUE, FIFTH THIRD BANK LOC)SS.+/- 3.41 01/01/2022 4,605,000
2,000,000 INDIANA HFFA REVENUE CAPITAL ACCESS DESIGNATED POOL
(HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.45 01/01/2020 2,000,000
1,245,000 INDIANA HFFA REVENUE FAYETTE MEMORIAL HOSPITAL ASSOCIATION
SERIES A (HEALTHCARE FACILITIES REVENUE, US BANK NA LOC)SS.+/- 3.62 10/01/2032 1,245,000
1,600,000 INDIANA PROJECT A (HFFA REVENUE, COMERCIA BANK CA LOC)SS.+/- 3.62 01/01/2035 1,600,000
2,370,000 INDIANA STATE EDUCATIONAL FACILITIES AUTHORITY REVENUE
EDUCATIONAL FACILITIES UNIVERSITY INDIANAPOLIS (COLLEGE &
UNIVERSITY REVENUE, FIFTH THIRD BANK LOC)SS.+/- 3.62 10/01/2030 2,370,000
1,700,000 INDIANA STATE EDUCATIONAL FACILITIES AUTHORITY REVENUE ST.
MARY PROJECT (COLLEGE & UNIVERSITY REVENUE, BANK ONE INDIANA
NA LOC)SS.+/- 3.53 02/15/2026 1,700,000
11,600,000 ST. JOSEPH COUNTY IN EDUCATIONAL FACILITY (EDUCATIONAL
FACILITIES REVENUE)SS.+/- 3.35 03/01/2040 11,600,000
29,290,000
---------------
IOWA - 2.95%
4,500,000 IOWA FINANCE AUTHORITY EDUCATIONAL FACILITY HOLY FAMILY
CATHOLIC SCHOOLS (EDUCATIONAL FACILITIES REVENUE, ALLIED
IRISH BANK PLC LOC)SS.+/- 3.62 03/01/2036 4,500,000
400,000 IOWA FINANCE AUTHORITY REVENUE (RECREATIONAL FACILITIES
REVENUE LOC)SS.+/- 3.62 06/01/2033 400,000
7,100,000 IOWA FINANCE AUTHORITY REVENUE SERIES A2 (HEALTHCARE
FACILITIES REVENUE, FGIC INSURED)SS.+/- 3.40 02/15/2035 7,100,000
1,910,000 IOWA HIGHER EDUCATION LOAN AUTHORITY PRIVATE COLLEGES AMBROSE
(COLLEGE & UNIVERSITY REVENUE LOC)SS.+/- 3.57 04/01/2033 1,910,000
13,910,000
---------------
20
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
LOUISIANA - 3.12%
$ 3,985,000 EAST BATON ROUGE PARISH LA (SALES TAX REVENUE, AMBAC INSURED)SS.+/- 3.45% 02/01/2024 $ 3,985,000
1,300,000 LAKE CHARLES LA HARBOR & TERMINAL DISTRICT PORT FACILITIES
(IDR, BANQUE NATIONALE PARIS LOC)SS.+/- 3.48 08/01/2007 1,300,000
1,110,000 LOUISIANA HFA WOODWARD (HOUSING REVENUE, FHLB INSURED)SS.+/- 3.51 09/01/2033 1,110,000
8,300,000 LOUISIANA PUBLIC FACILITY AUTHORITY CHRISTUS HEALTH SUBSERIES
C2 (HEALTHCARE FACILITIES REVENUE, AMBAC INSURED)SS.+/- 3.40 07/01/2041 8,300,000
14,695,000
---------------
MASSACHUSETTS - 1.49%
2,000,000 MASSACHUSETTS SCHOOL BUILDING AUTHORITY SERIES 613
(SALES TAX REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.45 08/15/2030 2,000,000
5,000,000 ROUTE 3 NORTH TRANSPORTATION IMPORT ASSOCIATION MASSACHUSETTS
LEASE REVENUE SERIES B (LEASE REVENUE, AMBAC INSURED)SS.+/- 3.39 06/15/2033 5,000,000
7,000,000
---------------
MICHIGAN - 5.67%
3,175,000 DETROIT MI (WATER REVENUE, MBIA INSURED)SS.+/- 3.44 01/01/2011 3,175,000
4,855,000 MICHIGAN HIGHER EDUCATION FACILITIES AUTHORITY (COLLEGE &
UNIVERSITY REVENUE, FIFTH THIRD BANK LOC)SS.+/- 3.41 04/01/2032 4,855,000
900,000 MICHIGAN SERIES B2 (STATE & LOCAL GOVERNMENTS, BANK OF NOVA SCOTIA) 4.50 08/20/2007 906,882
675,000 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY SERIES B (HEALTHCARE
FACILITIES REVENUE)SS.+/- 3.39 11/15/2033 675,000
1,045,000 MICHIGAN STATE HOSPITAL FINANCE AUTHORITY TRINITY HEALTH
CREDIT (HOSPITAL REVENUE, CIFG INSURED)SS.+/- 3.60 11/01/2040 1,045,000
11,000,000 MICHIGAN STATE SERIES A (PROPERTY TAX REVENUE) 4.50 09/29/2006 11,010,181
3,860,000 MICHIGAN STATE STRATEGIC FUNDING LIMITED OBLIGATION ORCHESTRA
PLACE RENEWAL PROJECT (OTHER REVENUE, STANDARD FEDERAL BANK
LOC)SS.+/- 3.44 09/01/2022 3,860,000
1,180,000 OAKLAND COUNTY MI ECONOMIC DEVELOPMENT CORPORATION LIMITED
OBLIGATION PONTIAC VISION SCHOOLS PROJECT (PRIVATE SCHOOL
REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.44 08/01/2020 1,180,000
26,707,063
---------------
MINNESOTA - 7.31%
645,000 ANDOVER MN PRESBYTERIAN HOMES INCORPORATED PROJECT (HOUSING
REVENUE, FNMA INSURED)SS.+/- 3.42 11/15/2033 645,000
100,000 BURNSVILLE MN BERKSHIRE PROJECT SERIES A (MFHR, FNMA INSURED)
SS.+/- 3.42 07/15/2030 100,000
4,230,000 CENTER CITY MN HAZELDEN FOUNDATION PROJECT (HEALTHCARE
FACILITIES REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.57 11/01/2035 4,230,000
500,000 COHASSET MN POWER & LIGHT COMPANY PROJECT D (POWER REVENUE
LOC)SS.+/- 3.44 12/01/2007 500,000
1,450,000 COHASSET MN POWER & LIGHT COMPANY PROJECT SERIES C (IDR LOC,
ABN AMRO BANK INSURED)SS.+/- 3.44 06/01/2013 1,450,000
2,500,000 DAKOTA COUNTY MN HOUSING & RDA PROJECT 484 (MFHR, FHLMC
INSURED)SS.+/- 3.46 12/01/2022 2,500,000
6,090,000 EAGAN MN MFHR FLOATS PT 1221 (MFHR LOC)SS.+/- 3.46 12/01/2029 6,090,000
735,000 INVER GROVE HEIGHTS MN INVER GROVE INCORPORATED PROJECT
(HOUSING REVENUE, FNMA INSURED)SS.+/- 3.42 05/15/2035 735,000
1,275,000 MAPLEWOOD MN EDUCATIONAL FACILITIES MOUNDS PARK ACADEMY
PROJECT (PRIVATE SCHOOL REVENUE, US BANK NA LOC)SS.+/- 3.47 10/01/2031 1,275,000
1,675,000 MINNEAPOLIS & ST. PAUL MN METROPOLITAN AIRPORTS COMMISSION
(AIRPORT REVENUE, FGIC INSURED)SS.+/- 3.45 01/01/2023 1,675,000
725,000 MINNEAPOLIS MN HEALTH CARE SYSTEM FAIRVIEW HEALTH SERVICES
SERIES B (HEALTHCARE FACILITIES REVENUE LOC)SS.+/- 3.40 11/15/2026 725,000
1,830,000 MINNESOTA SCHOOL DISTRICTS TAX & AID ANTICIPATION BORROWING
PROGRAM CTFS (LEASE REVENUE, SCHOOL DISTRICT CREDIT PROGRAM INSURED) 4.00 09/12/2006 1,830,559
21
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
MINNESOTA (CONTINUED)
$ 1,300,000 MINNESOTA STATE HIGHER EDUCATION FACILITIES AUTHORITY
SCHOLASTICA SERIES 6A (HOUSING REVENUE, MARSHALL & ISLEY BANK
LOC)SS.+/- 3.57% 12/01/2034 $ 1,300,000
3,000,000 MINNESOTA STATE SERIES 1421 (PROPERTY TAX REVENUE, JPMORGAN
CHASE BANK LOC)SS.+/- 3.45 06/01/2014 3,000,000
1,000,000 MINNESOTA STATE UNIVERSITY OF ST. THOMAS SERIES 5L (COLLEGE &
UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.40 04/01/2027 1,000,000
1,075,000 MINNESOTA STATE UNIVERSITY OF ST. THOMAS SERIES 6H (OTHER
REVENUE, BANK OF NEW YORK LOC)SS.+/- 3.40 10/01/2032 1,075,000
4,500,000 OAK PARK HEIGHTS MN BOUTWELLS LANDING PROJECT (HOUSING
REVENUE, FEDERAL HOME LOAN MORTGAGE CORPORATION)SS.+/- 3.42 11/01/2035 4,500,000
595,000 ROSEVILLE MN PRIVATE SCHOOL FACILITIES REVENUE NORTHWESTERN
COLLEGE PROJECT (EDUCATIONAL FACILITIES REVENUE LOC)SS.+/- 3.62 11/01/2022 595,000
410,000 ST. LOUIS PARK MN KNOLLWOOD PLACE (MFHR, FNMA INSURED)SS.+/- 3.42 10/01/2035 410,000
335,000 ST. PAUL MN PORT AUTHORITY DISTRICT COOLING SERIES O
(OTHER REVENUE, DEXIA CREDIT LOCAL DE FRANCE LOC)SS.+/- 3.62 03/01/2012 335,000
450,000 UNIVERSITY OF MINNESOTA SERIES C (COLLEGE & UNIVERSITY
REVENUE, GO OF UNIVERSITY)SS.+/- 3.41 12/01/2036 450,000
34,420,559
---------------
MISSOURI - 1.34%
3,600,000 JACKSON COUNTY MO IDA KANSAS CITY HOSPICE (OTHER REVENUE,
FIFTH THIRD BANK LOC)SS.+/- 3.50 01/01/2030 3,600,000
2,700,000 MISSOURI STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
BAPTIST COLLEGE (COLLEGE & UNIVERSITY REVENUE, US BANK NA LOC)SS.+/- 3.62 11/15/2022 2,700,000
6,300,000
---------------
NEVADA - 0.94%
4,205,000 LAS VEGAS NV ECONOMIC DEVELOPMENT (OTHER REVENUE, BANK OF
NEW YORK LOC)SS.+/- 3.41 10/01/2035 4,205,000
230,000 WASHOE COUNTY NV SCHOOL DISTRICT (PROPERTY TAX REVENUE, FGIC
INSURED)SS.+/- 3.45 06/01/2020 230,000
4,435,000
---------------
NEW HAMPSHIRE - 1.43%
1,600,000 NEW HAMPSHIRE HEALTH & EDUCATION FACILITIES AUTHORITY COLBY
SAWYER COLLEGE (EDUCATIONAL FACILITIES REVENUE, ALLIED IRISH
BANK PLC LOC)SS.+/- 3.43 09/01/2036 1,600,000
3,000,000 NEW HAMPSHIRE HEALTH & EDUCATION FACILITIES AUTHORITY FRISBIE
MEMORIAL HOSPITAL (HFFA REVENUE, BANK OF AMERICA NA LOC)
SS.+/- 3.45 10/01/2036 3,000,000
2,150,000 NEW HAMPSHIRE HEALTH & EDUCATION FACILITIES HEALTH CARE
SERIES A (OTHER REVENUE, JPMORGAN CHASE BANK LOC)SS.+/- 3.47 01/01/2030 2,150,000
6,750,000
---------------
NEW MEXICO - 2.52%
3,960,000 NEW MEXICO HOUSING AUTHORITY REGION III ARBORS COURTYARD
APARTMENTS SERIES A1 (MFHR, FNMA INSURED)SS.+/- 3.42 01/15/2033 3,960,000
7,855,000 NEW MEXICO STATE TRAN (OTHER REVENUE) 4.50 06/29/2007 7,901,164
11,861,164
---------------
NEW YORK - 0.68%
1,500,000 NEW YORK NY CITY TRANSITIONAL FINANCE AUTHORITY NY CITY
RECOVERY SERIES 3A (OTHER REVENUE) 5.00 11/01/2006 1,503,413
1,675,000 NEW YORK NY SUBSERIES E3 (PROPERTY TAX REVENUE, BANK OF
AMERICA NA LOC)SS.+/- 3.40 08/01/2034 1,675,000
3,178,413
---------------
NORTH CAROLINA - 1.78%
8,400,000 NORTH CAROLINA MEDICAL CARE COMMUNITY HEALTH CARE FACILITIES
REVENUE DUKE UNIVERSITY HEALTH SYSTEM SERIES A (HEALTHCARE
FACILITIES REVENUE LOC)SS.+/- 3.39 06/01/2028 8,400,000
---------------
22
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
OHIO - 0.96%
$ 4,500,000 UNIVERSITY OF TOLEDO OH GENERAL RECEIPTS BONDS (COLLEGE &
UNIVERSITY REVENUE LOC)SS.+/- 3.57% 06/01/2032 $ 4,500,000
---------------
OREGON - 0.21%
1,000,000 OREGON STATE HOMEOWNER (OTHER REVENUE, MERRILL LYNCH CAPITAL
SERVICES LOC)SS.+/- 3.46 05/01/2010 1,000,000
---------------
OTHER - 1.68%
1,460,000 RESET OPTION CERTIFICATES TRUST II-R (OTHER REVENUE)SS.+/- 3.51 03/01/2007 1,460,000
6,425,000 SUNAMERICA TRUST CLASS A CERTIFICATES SERIES 2 (OTHER REVENUE,
FHLMC INSURED)SS.+/- 3.56 07/01/2041 6,425,000
7,885,000
---------------
PENNSYLVANIA - 4.21%
4,255,000 LEHIGH COUNTY PA ST. LUKES HOSPITAL PROJECT (HOSPITAL REVENUE,
WACHOVIA BANK LOC)SS.+/- 3.55 07/01/2031 4,255,000
3,750,000 PENNSYLVANIA ECONOMIC DEVELOPMENT FINANCING AUTHORITY TREASURY
DEPARTMENT HOSPITAL ENHANCEMENT LOAN PROGRAM A2 (HOSPITAL
REVENUE, NATIONAL CITY BANK)SS.+/- 3.42 06/01/2011 3,750,000
5,000,000 PENNSYLVANIA STATE HIGHER EDUCATIONAL FACILITIES AUTHORITY
STUDENT HOUSING REVENUE SERIES A (OTHER REVENUE LOC)SS.+/- 3.44 11/01/2036 5,000,000
450,000 PENNSYLVANIA STATE HONEYSUCKLE STUDENT HOLDING SERIES A
(COLLEGE & UNIVERSITY REVENUE, ALLIED IRISH BANK PLC LOC)SS.+/- 3.43 07/01/2034 450,000
995,000 PENNSYLVANIA STATE TURNPIKE COMMISSION OIL FRANCHISE TAX
SERIES II R 1005 (SALES TAX REVENUE, AMBAC INSURED)SS.+/- 3.45 12/01/2015 995,000
5,375,000 PHILADELPHIA PA (WATER REVENUE, FIRST SECURITY BANK LOC)
SS.+/- 3.39 06/15/2023 5,375,000
19,825,000
---------------
PUERTO RICO - 0.42%
1,955,000 EAGLE TAX-EXEMPT TRUST CTF 20025102 CLASS A (TOLL ROAD
REVENUE, FIRST SECURITY BANK LOC)SS.+/- 3.44 07/01/2027 1,955,000
---------------
SOUTH CAROLINA - 1.76%
2,800,000 CHARLESTON SC SERIES B (WATER & SEWER REVENUE, WACHOVIA BANK
LOC)SS.+/- 3.41 01/01/2035 2,800,000
1,465,000 EAGLE TAX-EXEMPT TRUST CTF 20004001 CLASS A (UTILITIES REVENUE A
LOC, MBIA INSURED)SS.+/- 3.46 01/01/2022 1,465,000
4,000,000 PATRIOTS ENERGY GROUP SC GAS FACILITIES SERIES A (UTILITIES
REVENUE, CIFG INSURED)SS.+/- 3.41 06/01/2036 4,000,000
8,265,000
---------------
TENNESSEE - 0.84%
2,000,000 EAGLE TAX-EXEMPT TRUST CTF 20004202 CLASS A (LEASE REVENUE
LOC, AMBAC INSURED)SS.+/- 3.46 10/01/2027 2,000,000
1,970,000 METROPOLITAN GOVERNMENT NASHVILLE & DAVIDSON COUNTY TN
DISTRICT ENERGY (OTHER REVENUE, AMBAC INSURED)SS.+/- 3.45 10/01/2022 1,970,000
3,970,000
---------------
TEXAS - 6.33%
5,000,000 ABN AMRO MUNITOPS CERTIFICATES 2006-16 (WATER REVENUE, MBIA
INSURED)SS.+/- 3.67 09/01/2014 5,000,000
3,050,000 AUSTIN TX WATER & WASTEWATER SYSTEM SERIES 1319 (WATER
REVENUE, MBIA INSURED)SS.+/- 3.45 11/15/2013 3,050,000
5,265,000 DALLAS TX PUTTER 598 (PROPERTY TAX REVENUE, JPMORGAN CHASE
BANK LOC)SS.+/- 3.45 02/15/2011 5,265,000
4,100,000 EAGLE TAX-EXEMPT TRUST CTF 20024301 CLASS A (PROPERTY TAX
REVENUE LOC, PSFG INSURED)SS.+/- 3.46 08/15/2020 4,100,000
760,000 HARRIS COUNTY TX HOUSTON SPORTS AUTHORITY JUNIOR LIEN RODEO
SERIES C (SPORTS FACILITIES REVENUE, MBIA INSURED)SS.+/- 3.45 11/15/2030 760,000
1,100,000 HOUSTON TX SERIES SG 139 (COLLEGE & UNIVERSITY REVENUE,
SOCIETE GENERALE LOC)SS.+/- 3.44 11/15/2029 1,100,000
3,050,000 LAREDO TX HOUSING DEVELOPMENT CORPORATION #1 SERIES 618
(LEASE REVENUE, AMBAC INSURED)SS.+/- 3.45 02/01/2010 3,050,000
2,700,000 MIDLOTHIAN INDUSTRIAL DEVELOPMENT CORPORATION CROW CEMENT
COMPANY PROJECT (INDUSTRIAL DEVELOPMENT REVENUE, UBC AG LOC)
SS.+/- 3.42 12/01/2009 2,700,000
23
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
INTEREST
PRINCIPAL SECURITY NAME RATE MATURITY DATE VALUE
TEXAS (CONTINUED)
$ 1,305,000 POLLY RYON HOSPITAL AUTHORITY TX POLLY RYON MEMORIAL HOSPITAL
(HOSPITAL REVENUE, JPMORGAN CHASE BANK LOC)SS.+/- 3.45% 11/01/2026 $ 1,305,000
1,055,000 SAN ANTONIO TX SERIES A (WATER REVENUE, MBIA INSURED)SS.+/- 3.43 05/15/2033 1,055,000
2,400,000 TEXAS STATE TRAN (PROPERTY TAX REVENUE) 4.50 08/31/2007 2,421,469
29,806,469
---------------
VIRGINIA - 1.75%
6,000,000 LOUDOUN COUNTY VA IDA HOWARD HUGHES MEDICAL CENTER SERIES F
(IDR)SS.+/- 3.38 02/15/2038 6,000,000
2,260,000 LOUDOUN COUNTY VA SANATATION AUTHORITY WATER & SEWER REVENUE
(WATER REVENUE LOC)SS.+/- 3.45 01/01/2024 2,260,000
8,260,000
---------------
WASHINGTON - 0.95%
2,600,000 EVERETT WA (PROPERTY TAX REVENUE LOC, BANK OF AMERICA NA LOC)
SS.+/- 3.46 12/01/2021 2,600,000
265,000 KING COUNTY WA HOUSING AUTHORITY SERIES A (HOUSING REVENUE,
FHLMC INSURED)SS.+/- 3.41 07/01/2035 265,000
1,600,000 WASHINGTON STATE HOUSING FINANCE COMMISSION BUSH SCHOOL
PROJECT (HOUSING REVENUE, BANK OF AMERICA NA LOC)SS.+/- 3.62 04/01/2034 1,600,000
4,465,000
---------------
WISCONSIN - 3.02%
3,345,000 WISCONSIN HEALTH & EDUCATIONAL FACILITIES AUTHORITY RIVERVIEW
HOSPITAL ASSOCIATION (HEALTHCARE FACILITIES REVENUE, FIRSTAR
BANK NA LOC)SS.+/- 3.62 10/01/2030 3,345,000
4,740,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
AURORA HEALTH CARE SERIES C (HEALTHCARE FACILITIES REVENUE,
MARSHALL & ISLEY BANK LOC)SS.+/- 3.57 04/01/2028 4,740,000
4,375,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
REEDSBURG AREA MEDICAL CENTER INCORPORATED (OTHER REVENUE,
FIFTH THIRD BANK LOC)SS.+/- 3.62 06/01/2036 4,375,000
1,750,000 WISCONSIN STATE HEALTH & EDUCATIONAL FACILITIES AUTHORITY
REVENUE HOSPICE CARE HOLDINGS INCORPORATED (HEALTHCARE
FACILITIES REVENUE LOC)SS.+/- 3.42 05/01/2030 1,750,000
14,210,000
---------------
WYOMING - 1.06%
5,000,000 SWEETWATER COUNTY WY PACIFIC CORPORATION PROJECT SERIES A
(PCR, BARCLAYS BANK PLC LOC)SS.+/- 3.41 07/01/2015 5,000,000
---------------
TOTAL MUNICIPAL BONDS & NOTES (COST $423,141,992) 423,141,992
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $469,908,992)* 99.81% $ 469,908,992
OTHER ASSETS AND LIABILITIES, NET 0.19 874,382
------ ---------------
TOTAL NET ASSETS 100.00% $ 470,783,374
====== ===============
SS. THESE SECURITIES ARE SUBJECT TO A DEMAND FEATURE WHICH REDUCES THE
EFFECTIVE MATURITY.
+/- VARIABLE RATE INVESTMENTS.
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
24
STATEMENTS OF ASSETS AND LIABILITIES--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
CALIFORNIA NATIONAL
TAX-FREE MONEY MONEY TAX-FREE MONEY
MARKET TRUST MARKET TRUST MARKET TRUST
- ----------------------------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
IN SECURITIES, AT MARKET VALUE ...................................... $ 625,323,231 $ 2,470,415,549 $ 469,908,992
REPURCHASE AGREEMENTS ............................................... 0 388,910,000 0
--------------- ---------------- ----------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) ..................... 625,323,231 2,859,325,549 469,908,992
--------------- ---------------- ----------------
CASH ................................................................ 56,808 50,794 53,126
RECEIVABLES FOR DIVIDENDS AND INTEREST .............................. 2,945,595 6,835,995 2,330,430
--------------- ---------------- ----------------
TOTAL ASSETS ........................................................... 628,325,634 2,866,212,338 472,292,548
--------------- ---------------- ----------------
LIABILITIES
PAYABLE FOR INVESTMENTS PURCHASED ................................... 2,800,000 0 0
DIVIDENDS PAYABLE ................................................... 1,731,954 12,826,131 1,403,559
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) ............... 95,281 471,946 73,402
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT ............. 0 0 290
ACCRUED EXPENSES AND OTHER LIABILITIES .............................. 132,434 154,112 31,923
--------------- ---------------- ----------------
TOTAL LIABILITIES ...................................................... 4,759,669 13,452,189 1,509,174
--------------- ---------------- ----------------
TOTAL NET ASSETS ....................................................... $ 623,565,965 $ 2,852,760,149 $ 470,783,374
=============== ================ ================
NET ASSETS CONSIST OF:
- ----------------------------------------------------------------------------------------------------------------------------------
PAID-IN CAPITAL ..................................................... $ 623,611,000 $ 2,852,788,265 $ 470,815,336
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) .......................... 1 2 923
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS ............... (45,036) (28,118) (32,885)
--------------- ---------------- ----------------
TOTAL NET ASSETS ....................................................... $ 623,565,965 $ 2,852,760,149 $ 470,783,374
--------------- ---------------- ----------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- ----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS .......................................................... $ 623,565,965 $ 2,852,760,149 $ 470,783,374
SHARES OUTSTANDING .................................................. 623,598,326 2,852,866,587 470,808,774
NET ASSET VALUE AND OFFERING PRICE PER SHARE ........................ $ 1.00 $ 1.00 $ 1.00
--------------- ---------------- ----------------
INVESTMENTS AT COST .................................................... $ 625,323,231 $ 2,859,325,549 $ 469,908,992
=============== ================ ================
(1) EACH FUND HAS AN UNLIMITED NUMBER OF AUTHORIZED SHARES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
25
STATEMENTS OF OPERATIONS--
FOR THE SIX MONTHS ENDED
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
CALIFORNIA NATIONAL
TAX-FREE TAX-FREE
MONEY MARKET MONEY MARKET MONEY MARKET
TRUST TRUST TRUST
- ----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
INTEREST ............................................................ $ 8,635,156 $ 69,024,495 $ 8,646,077
--------------- ---------------- ----------------
TOTAL INVESTMENT INCOME ................................................ 8,635,156 69,024,495 8,646,077
--------------- ---------------- ----------------
EXPENSES
ADMINISTRATION FEES ................................................. 431,698 2,319,361 427,843
CUSTODY FEES ........................................................ 50,788 272,866 50,334
ACCOUNTING FEES ..................................................... 22,017 74,205 21,910
PROFESSIONAL FEES ................................................... 41,038 25,945 11,593
REGISTRATION FEES ................................................... 2,727 12,298 5,729
SHAREHOLDER REPORTS ................................................. 3,133 7,000 2,752
TRUSTEES' FEES ...................................................... 4,259 4,259 3,875
OTHER FEES AND EXPENSES ............................................. 2,706 24,541 4,217
--------------- ---------------- ----------------
TOTAL EXPENSES ......................................................... 558,366 2,740,475 528,253
--------------- ---------------- ----------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) ........................ (50,486) (11,815) (23,384)
NET EXPENSES ........................................................ 507,880 2,728,660 504,869
--------------- ---------------- ----------------
NET INVESTMENT INCOME (LOSS) ........................................... 8,127,276 66,295,835 8,141,208
--------------- ---------------- ----------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- ----------------------------------------------------------------------------------------------------------------------------------
NET REALIZED GAIN (LOSS) FROM:
SECURITIES, FOREIGN CURRENCIES AND FOREIGN CURRENCY TRANSLATION ..... (16,333) 2,069 2,198
--------------- ---------------- ----------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS .............................. (16,333) 2,069 2,198
--------------- ---------------- ----------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS ................. (16,333) 2,069 2,198
--------------- ---------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........ $ 8,110,943 $ 66,297,904 $ 8,143,406
=============== ================ ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
26
THIS PAGE IS INTENTIONALLY LEFT BLANK --
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE
MONEY MARKET TRUST
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ............................................... $ 485,163,776 $ 556,885,080 $ 501,852,748
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ....................................... 8,127,276 13,149,776 6,464,203
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................ (16,333) (4,084) (16,619)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ....... 8,110,943 13,145,692 6,447,584
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME .............................................. (8,130,076) (13,149,776) (6,464,203)
NET REALIZED GAIN ON SALES OF INVESTMENTS .......................... 0 0 (27,520)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ................................... (8,130,076) (13,149,776) (6,491,723)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD .......................................... 1,359,623,119 2,326,057,146 2,140,375,718
REINVESTMENT OF DISTRIBUTIONS ...................................... 287,819 423,255 184,739
COST OF SHARES REDEEMED ............................................ (1,221,489,616) (2,398,197,621) (2,085,483,986)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................. 138,421,322 (71,717,220) 55,076,471
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS ................................. 138,402,189 (71,721,304) 55,032,332
---------------- ----------------- ----------------
ENDING NET ASSETS ..................................................... $ 623,565,965 $ 485,163,776 $ 556,885,080
================ ================= ================
SHARES ISSUED AND REDEEMED:
SHARES SOLD ........................................................ 1,359,623,119 2,326,057,146 2,140,375,718
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS ..................... 287,819 423,255 184,739
SHARES REDEEMED .................................................... (1,221,489,616) (2,398,197,621) (2,085,483,986)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................. 138,421,322 (71,717,220) 55,076,471
---------------- ----------------- ----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) .......... $ 1 $ 2,801 $ 0
================ ================= ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
28
STATEMENTS OF CHANGES IN NET ASSETS WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
MONEY MARKET TRUST
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ............................................... $ 2,599,057,738 $ 2,070,150,632 $ 1,448,899,436
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ....................................... 66,295,835 77,072,793 24,128,932
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................ 2,069 10,768 (30,747)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ....... 66,297,904 77,083,561 24,098,185
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME .............................................. (66,301,618) (77,072,794) (24,128,932)
NET REALIZED GAIN ON SALES OF INVESTMENTS .......................... 0 0 0
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ................................... (66,301,618) (77,072,794) (24,128,932)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD .......................................... 13,421,580,895 19,950,279,929 14,808,438,447
REINVESTMENT OF DISTRIBUTIONS ...................................... 109 151 87
COST OF SHARES REDEEMED ............................................ (13,167,874,879) (19,421,383,741) (14,187,156,591)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................. 253,706,125 528,896,339 621,281,943
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS ................................. 253,702,411 528,907,106 621,251,196
---------------- ----------------- ----------------
ENDING NET ASSETS ..................................................... $ 2,852,760,149 $ 2,599,057,738 $ 2,070,150,632
================ ================= ================
SHARES ISSUED AND REDEEMED:
SHARES SOLD ........................................................ 13,421,580,895 19,950,279,929 14,808,438,447
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS ..................... 109 151 87
SHARES REDEEMED .................................................... (13,167,874,879) (19,421,383,741) (14,187,156,591)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................. 253,706,125 528,896,339 621,281,943
---------------- ----------------- ----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) .......... $ 2 $ 5,785 $ 2
================ ================= ================
NATIONAL TAX-FREE
MONEY MARKET TRUST
-------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 MARCH 31, 2005
- ----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ............................................... $ 599,064,322 $ 293,652,708 $ 563,984,655
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ....................................... 8,141,208 11,779,542 4,135,908
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................ 2,198 (16,060) (15,831)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ....... 8,143,406 11,763,482 4,120,077
---------------- ----------------- ----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME .............................................. (8,142,959) (11,779,542) (4,135,910)
NET REALIZED GAIN ON SALES OF INVESTMENTS .......................... 0 0 (64,774)
---------------- ----------------- ----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS ................................... (8,142,959) (11,779,542) (4,200,684)
---------------- ----------------- ----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD .......................................... 1,531,901,638 3,099,311,641 2,077,725,612
REINVESTMENT OF DISTRIBUTIONS ...................................... 117,105 150,571 77,112
COST OF SHARES REDEEMED ............................................ (1,660,300,138) (2,794,034,538) (2,348,054,064)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................. (128,281,395) 305,427,674 (270,251,340)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS ................................. (128,280,948) 305,411,614 (270,331,947)
---------------- ----------------- ----------------
ENDING NET ASSETS ..................................................... $ 470,783,374 $ 599,064,322 $ 293,652,708
================ ================= ================
SHARES ISSUED AND REDEEMED:
SHARES SOLD ........................................................ 1,531,901,638 3,099,311,641 2,077,725,611
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS ..................... 117,105 150,572 77,111
SHARES REDEEMED .................................................... (1,660,300,138) (2,794,034,538) (2,348,054,064)
---------------- ----------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS ................................................. (128,281,395) 305,427,675 (270,251,342)
---------------- ----------------- ----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) .......... $ 923 $ 2,674 $ 922
================ ================= ================
29
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
BEGINNING NET NET REALIZED DISTRIBUTIONS
NET ASSET INVESTMENT AND UNREALIZED FROM NET
VALUE PER INCOME GAIN (LOSS) INVESTMENT
SHARE (LOSS) ON INVESTMENTS INCOME
- ------------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST
- ------------------------------------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ..... $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) ............ $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 .................. $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 .................. $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 .................. $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 .................. $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2000 TO MARCH 31, 2001 .................. $ 1.00 0.03 0.00 (0.03)
MONEY MARKET TRUST
- ------------------------------------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ..... $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) ............ $ 1.00 0.03 0.00 (0.03)
APRIL 1, 2004 TO MARCH 31, 2005 .................. $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2003 TO MARCH 31, 2004 .................. $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 .................. $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2001 TO MARCH 31, 2002 .................. $ 1.00 0.03 0.00 (0.03)
APRIL 1, 2000 TO MARCH 31, 2001 .................. $ 1.00 0.06 0.00 (0.06)
NATIONAL TAX-FREE MONEY MARKET TRUST
- ------------------------------------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) ..... $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) ............ $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2004 TO MARCH 31, 2005 .................. $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2003 TO MARCH 31, 2004 .................. $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2002 TO MARCH 31, 2003 .................. $ 1.00 0.01 0.00 (0.01)
APRIL 1, 2001 TO MARCH 31, 2002 .................. $ 1.00 0.02 0.00 (0.02)
APRIL 1, 2000 TO MARCH 31, 2001 .................. $ 1.00 0.04 0.00 (0.04)
(1) DURING EACH PERIOD, VARIOUS FEES AND EXPENSES WERE WAIVED AND REIMBURSED,
AS INDICATED. THE RATIO OF GROSS EXPENSES TO AVERAGE NET ASSETS REFLECTS
THE EXPENSE RATIO IN THE ABSENCE OF ANY WAIVERS AND REIMBURSEMENTS
(NOTE 3).
(2) TOTAL RETURN CALCULATIONS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT
BEEN WAIVED OR REIMBURSED DURING THE PERIODS SHOWN. RETURNS FOR PERIODS
LESS THAN ONE YEAR ARE NOT ANNUALIZED.
(3) THE FUND CHANGED ITS FISCAL YEAR-END FROM MARCH 31 TO FEBRUARY 28.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
30
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
DISTRIBUTIONS ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
FROM NET NET ASSET -------------------------------------------------------
REALIZED VALUE PER NET INVESTMENT GROSS EXPENSES NET
GAINS SHARE INCOME (LOSS) EXPENSES WAIVED EXPENSES
- -----------------------------------------------------------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST
- -----------------------------------------------------------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 3.20% 0.22% (0.02)% 0.20%
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) ......... 0.00 $1.00 2.43% 0.21% (0.01)% 0.20%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 1.24% 0.21% (0.01)% 0.20%
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.00 $1.00 0.81% 0.21% (0.01)% 0.20%
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.00 $1.00 1.16% 0.24% (0.04)% 0.20%
APRIL 1, 2001 TO MARCH 31, 2002 ............... 0.00 $1.00 1.92% 0.25% (0.05)% 0.20%
APRIL 1, 2000 TO MARCH 31, 2001 ............... 0.00 $1.00 3.33% 0.23% (0.03)% 0.20%
MONEY MARKET TRUST
- -----------------------------------------------------------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 4.86% 0.20% 0.00% 0.20%
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) ......... 0.00 $1.00 3.53% 0.20% 0.00% 0.20%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 1.59% 0.20% 0.00% 0.20%
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.00 $1.00 0.98% 0.21% (0.01)% 0.20%
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.00 $1.00 1.56% 0.23% (0.03)% 0.20%
APRIL 1, 2001 TO MARCH 31, 2002 ............... 0.00 $1.00 3.02% 0.22% (0.02)% 0.20%
APRIL 1, 2000 TO MARCH 31, 2001 ............... 0.00 $1.00 6.20% 0.22% (0.02)% 0.20%
NATIONAL TAX-FREE MONEY MARKET TRUST
- -----------------------------------------------------------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 0.00 $1.00 3.23% 0.21% (0.01)% 0.20%
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) ......... 0.00 $1.00 2.49% 0.21% (0.01)% 0.20%
APRIL 1, 2004 TO MARCH 31, 2005 ............... 0.00 $1.00 1.18% 0.22% (0.02)% 0.20%
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.00 $1.00 0.86% 0.21% (0.01)% 0.20%
APRIL 1, 2002 TO MARCH 31, 2003 ............... 0.00 $1.00 1.28% 0.22% (0.02)% 0.20%
APRIL 1, 2001 TO MARCH 31, 2002 ............... 0.00 $1.00 2.08% 0.24% (0.04)% 0.20%
APRIL 1, 2000 TO MARCH 31, 2001 ............... 0.00 $1.00 3.89% 0.25% (0.05)% 0.20%
NET ASSETS AT
TOTAL END OF PERIOD
RETURN(2) (000'S OMITTED)
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.63% $ 623,566
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) ......... 2.26% $ 485,164
APRIL 1, 2004 TO MARCH 31, 2005 ............... 1.24% $ 556,885
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.82% $ 501,853
APRIL 1, 2002 TO MARCH 31, 2003 ............... 1.18% $ 830,713
APRIL 1, 2001 TO MARCH 31, 2002 ............... 2.01% $ 852,775
APRIL 1, 2000 TO MARCH 31, 2001 ............... 3.41% $ 590,286
MONEY MARKET TRUST
- --------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 2.47% $ 2,852,760
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) ......... 3.23% $ 2,599,058
APRIL 1, 2004 TO MARCH 31, 2005 ............... 1.61% $ 2,070,151
APRIL 1, 2003 TO MARCH 31, 2004 ............... 1.00% $ 1,448,899
APRIL 1, 2002 TO MARCH 31, 2003 ............... 1.58% $ 1,823,970
APRIL 1, 2001 TO MARCH 31, 2002 ............... 3.27% $ 1,776,435
APRIL 1, 2000 TO MARCH 31, 2001 ............... 6.44% $ 1,161,092
NATIONAL TAX-FREE MONEY MARKET TRUST
- --------------------------------------------------------------------------------
MARCH 1, 2006 TO AUGUST 31, 2006 (UNAUDITED) .. 1.65% $ 470,783
APRIL 1, 2005 TO FEBRUARY 28, 2006(3) ......... 2.30% $ 599,064
APRIL 1, 2004 TO MARCH 31, 2005 ............... 1.25% $ 293,653
APRIL 1, 2003 TO MARCH 31, 2004 ............... 0.86% $ 563,985
APRIL 1, 2002 TO MARCH 31, 2003 ............... 1.30% $ 507,048
APRIL 1, 2001 TO MARCH 31, 2002 ............... 2.25% $ 627,773
APRIL 1, 2000 TO MARCH 31, 2001 ............... 4.01% $ 339,791
31
WELLS FARGO ADVANTAGE MONEY
MARKET TRUSTS NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
1. ORGANIZATION
- --------------------------------------------------------------------------------
Wells Fargo Funds Trust (the "Trust") is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end management
investment company. The Trust commenced operations on November 8, 1999, and at
August 31, 2006, was comprised of 108 separate series (each, a "Fund",
collectively, the "Funds"). These financial statements present the California
Tax-Free Money Market Trust, Money Market Trust, and National Tax-Free Money
Market Trust.
Each Fund, except for the California Tax-Free Money Market Trust, is a
diversified series of the Trust. The California Tax-Free Money Market Trust is a
non-diversified series of the Trust.
2. SIGNIFICANT ACCOUNTING POLICIES
- --------------------------------------------------------------------------------
The following significant accounting policies, which are consistently
followed in the preparation of the financial statements of the Trust, are in
conformity with accounting principles generally accepted in the United States of
America ("GAAP") for investment companies.
The preparation of financial statements in conformity with GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities, disclosure of contingent assets and liabilities at the
date of the financial statements, and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
In the normal course of business, the Trust may enter into contracts that
provide certain indemnifications. The Trust's maximum exposure under these
arrangements is dependent on future claims that may be made against the Funds
and, therefore, cannot be estimated; however, based on experience, the risk of
loss from such claims is considered remote.
SECURITY VALUATION
The Fund(s) invests only in securities with remaining maturities not
exceeding 397 days (13 months). Certain floating- and variable-rate instruments
in the portfolio may have maturities in excess of 397 days, but carry a demand
feature that permits the holder to tender the instruments back to the issuer at
par value prior to maturity.
The amortized cost method is used to value portfolio securities. The
amortized cost method involves valuing a security at its cost, plus accretion of
discount or minus amortization of premium over the period until maturity, which
approximates market value. The Fund(s) seeks to maintain a constant net asset
value of $1.00 per share, although there is no assurance that it will be able to
do so.
Investments which are not valued using any of the methods discussed above
are valued at their fair value as determined by procedures approved by the Board
of Trustees.
SECURITY TRANSACTIONS AND INCOME RECOGNITION
Securities transactions are recorded on a trade date basis. Realized gains
or losses are reported on the basis of the identified cost of securities
delivered. Interest income is accrued daily and bond discounts are accreted and
premiums are amortized daily.
DISTRIBUTIONS TO SHAREHOLDERS
Net investment income, if any, is declared daily and distributed to
shareholders monthly. Distributions to shareholders from net realized capital
gains, if any, are declared and distributed at least annually.
Distributions are based on amounts calculated in accordance with the
applicable federal income tax regulations, which may differ from GAAP. The
timing and character of distributions made during the period from net investment
income or net realized gains may also differ from their ultimate
characterization for federal income tax purposes. To the extent that these
differences are permanent in nature, such amounts are reclassified within the
capital accounts based on their federal tax-basis treatment. Temporary
differences do not require reclassifications.
FEDERAL INCOME TAXES
Each Fund is treated as a separate entity for U.S. federal income tax
purposes. It is the policy of each Fund of the Trust to continue to qualify as a
regulated investment company under Subchapter M of Subtitle A, Chapter 1 of the
Internal Revenue Code (the "Code"), and to make distributions of substantially
all of its investment company taxable income and any net realized capital gains
(after reduction for capital loss carryforwards) sufficient to relieve it from
all, or substantially all, federal income taxes. Accordingly, no provision for
federal income taxes was required at August 31, 2006.
At February 28, 2006, estimated net capital loss carryforwards, which are
available to offset future net realized capital gains, were:
Capital Loss
Fund Year Expires Carryforwards
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST 2014 $15,884
- --------------------------------------------------------------------------------
MONEY MARKET TRUST 2013 30,187
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST 2014 20,143
- --------------------------------------------------------------------------------
32
WELLS FARGO ADVANTAGE MONEY
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) MARKET TRUSTS
- --------------------------------------------------------------------------------
At February 28, 2006, current period deferred post-October capital losses,
which will be treated as realized for tax purposes on the first day of the
succeeding year, were:
Deferred Post-October
Fund Capital Loss
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST $12,819
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST 14,940
REPURCHASE AGREEMENTS
The Fund(s) may invest in repurchase agreements and may participate in
pooled repurchase agreement transactions with other funds advised by Wells Fargo
Funds Management, LLC ("Funds Management"). The repurchase agreements must be
fully collateralized based on values that are marked to market daily. The
collateral may be held by an agent bank under a tri-party agreement. It is the
custodian's responsibility to value collateral daily and to take action to
obtain additional collateral as necessary to maintain market value equal to or
greater than the resale price. The repurchase agreements are collateralized by
instruments such as U.S. Treasury, federal agency, or high-grade corporate
obligations. There could be potential loss to a Fund in the event that such Fund
is delayed or prevented from exercising its rights to dispose of the collateral,
including the risk of a possible decline in the value of the underlying
obligations during the period in which a Fund seeks to assert its rights.
3. EXPENSES
- --------------------------------------------------------------------------------
ADVISORY FEES
The Trust has entered into an advisory contract with Funds Management. The
adviser is responsible for implementing investment policies and guidelines and
for supervising the sub-adviser, who is responsible for day-to-day portfolio
management.
Pursuant to the advisory contract, Funds Management does not receive a fee
for providing those services.
ADMINISTRATION AND TRANSFER AGENT FEES
The Trust has entered into an Administration Agreement with Funds
Management. Under this Agreement, for providing administrative services, which
includes paying fees and expenses for services provided by the transfer agent,
sub-transfer agents, omnibus account servicers and record-keepers, Funds
Management is entitled to receive the following annual fees:
% of Average
Average Daily Net Assets Daily Net Assets
- --------------------------------------------------------------------------------
ALL FUNDS First $5 billion 0.17
Next $5 billion 0.16
Over $10 billion 0.15
- --------------------------------------------------------------------------------
The Trust has entered into an agreement with Boston Financial Data
Services ("BFDS") as the transfer agent for the Trust. BFDS is entitled to
receive fees from the administrator for its services as transfer agent.
CUSTODY FEES
The Trust has entered into a contract with Wells Fargo Bank, N.A. ("WFB"),
whereby WFB is responsible for providing custody services. Pursuant to the
contract, WFB is entitled to a monthly fee for custody services at the following
annual rates:
% of Average
Daily Net Assets
- --------------------------------------------------------------------------------
ALL FUNDS 0.02
- --------------------------------------------------------------------------------
OTHER FEES
PFPC, Inc. ("PFPC") serves as fund accountant for the Trust and is
entitled to receive an annual asset based fee and an annual fixed fee from each
Fund. PFPC is also entitled to be reimbursed for all out-of-pocket expenses
reasonably incurred in providing these services.
WAIVED FEES AND REIMBURSED EXPENSES
All amounts shown as waived fees or reimbursed expenses on the Statements
of Operations, for the six months ended August 31, 2006, were waived by Funds
Management, first from advisory fees, and then any remaining amount
consecutively from administration, custody and shareholder servicing fees
collected, if any. Funds Management has committed through June 30, 2006 to waive
fees and/or reimburse expenses to the extent necessary to maintain a certain net
operating expense ratio for the Fund(s). Net operating expense ratios during the
period were as follows:
Net Operating
Expense Ratios
- --------------------------------------------------------------------------------
CALIFORNIA TAX-FREE MONEY MARKET TRUST 0.20%
- --------------------------------------------------------------------------------
MONEY MARKET TRUST 0.20%
- --------------------------------------------------------------------------------
NATIONAL TAX-FREE MONEY MARKET TRUST 0.20%
- --------------------------------------------------------------------------------
33
WELLS FARGO ADVANTAGE MONEY
MARKET TRUSTS NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
4. NEW ACCOUNTING PRONOUNCEMENTS
- --------------------------------------------------------------------------------
In June 2006, the Financial Accounting Standards Board (FASB) issued FASB
Interpretation 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." This
standard defines the threshold for recognizing the benefits of tax-return
positions in the financial statements as "more-likely-than-not" to be sustained
by the taxing authority and requires measurement of a tax position meeting the
more-likely-than-not criterion, based on the largest benefit that is more than
50 percent likely to be realized. FIN 48 is effective as of the beginning of the
first fiscal year beginning after December 15, 2006 (January 1, 2007 for
calendar-year companies), with early application permitted if no interim
financial statements have been issued. At adoption, companies must adjust their
financial statements to reflect only those tax positions that are
more-likely-than-not to be sustained as of the adoption date. As of August 31,
2006, the Funds have not evaluated the impact that will result from adopting FIN
48.
34
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
PROXY VOTING INFORMATION
A description of the policies and procedures that the Funds use to
determine how to vote proxies relating to portfolio securities and information
regarding how to obtain the results of such voting during the most recent
12-month period ended June 30 is available without charge, upon request, by
calling 1-800-222-8222, visiting our Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS, or visiting the SEC Web site at WWW.SEC.GOV.
PORTFOLIO HOLDINGS INFORMATION
The complete portfolio holdings for each Fund are publicly available on
the Funds' Web site (WWW.WELLSFARGO.COM/ADVANTAGEFUNDS) on a monthly, 30-day or
more delayed basis. In addition, top ten holdings information for each Fund is
publicly available on the Funds' Web site on a monthly, seven-day or more
delayed basis. Each Fund files its complete schedule of portfolio holdings with
the SEC for the first and third quarters of each fiscal year on Form N-Q, which
is available without charge by visiting the SEC Web site at WWW.SEC.GOV. In
addition, each Fund's Form N-Q may be reviewed and copied at the SEC's Public
Reference Room in Washington, DC, and at regional offices in New York City, at
233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900.
Information about the Public Reference Room may be obtained by calling
1-800-SEC-0330.
BOARD OF TRUSTEES
The following table provides basic information about the Board of Trustees
(the "Trustees") of the Wells Fargo Funds Trust (the "Trust"). This table
supplements, and should be read in conjunction with, the Prospectus and the
Statement of Additional Information* of each Fund. Each of the Trustees listed
below acts in identical capacities for each of the 142 funds comprising the
Trust, Wells Fargo Variable Trust and Wells Fargo Master Trust (collectively the
"Fund Complex"). All of the non-interested Trustees are also members of the
Audit and Governance Committees of each Trust in the Fund Complex. The address
of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA
94105. Each Trustee and Officer serves an indefinite term, however, each Trustee
serves such term until reaching the mandatory retirement age established by the
Trustees.
NON-INTERESTED TRUSTEES
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE ** PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
Thomas S. Goho Trustee, since 1987 Chair of Finance, Wake Forest None
64 University, since 2006. Benson-
Pruitt Professorship, Wake
Forest University, Calloway
School of Business and
Accountancy, since 1999.
- -----------------------------------------------------------------------------------------------------------------
Peter G. Gordon Trustee, since 1998 Chairman, CEO, and Co- None
63 (Chairman, since 2001) Founder of Crystal Geyser
Water Company, and President
of Crystal Geyser Roxane Water
Company.
- -----------------------------------------------------------------------------------------------------------------
Richard M. Leach Trustee, since 1987 Retired. Prior thereto, President None
73 of Richard M. Leach Associates
(a financial consulting firm).
- -----------------------------------------------------------------------------------------------------------------
Olivia S. Mitchell Trustee, since 2006 Professor of Insurance and Risk None
53 Management, Wharton School,
University of Pennsylvania.
Director of the Boettner Center
on Pensions and Retirement.
Research Associate and Board
Member, Penn Aging Research
Center. Research Associate,
National Bureau of Economic
Research.
- -----------------------------------------------------------------------------------------------------------------
Timothy J. Penny Trustee, since 1996 Senior Counselor to the None
54 public relations firm of Himle-
Horner, and Senior Fellow at
the Humphrey Institute,
Minneapolis, Minnesota (a
public policy organization).
35
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
NON-INTERESTED TRUSTEES (continued)
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE ** PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
Donald C. Willeke Trustee, since 1996 Principal of the law firm of None
66 Willeke & Daniels.
- -----------------------------------------------------------------------------------------------------------------
INTERESTED TRUSTEE***
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE ** PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
J. Tucker Morse Trustee, since 1987 Private Investor/Real Estate None
62 Developer. Prior thereto,
Chairman of White Point
Capital, LLC until 2005.
- -----------------------------------------------------------------------------------------------------------------
OFFICERS
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
Karla M. Rabusch President, since 2003 Executive Vice President of None
47 Wells Fargo Bank, N.A. and
President of Wells Fargo Funds
Management, LLC. Senior Vice
President and Chief
Administrative Officer of Wells
Fargo Funds Management, LLC
from 2001 to 2003.
- -----------------------------------------------------------------------------------------------------------------
C. David Messman Secretary, since 2000 Vice President and Managing None
46 Senior Counsel of Wells Fargo
Bank, N.A. and Senior Vice
President and Secretary of Wells
Fargo Funds Management, LLC.
Vice President and Senior
Counsel of Wells Fargo Bank,
N.A. from 1996 to 2003.
- -----------------------------------------------------------------------------------------------------------------
A. Erdem Cimen Treasurer, since 2006 Vice President of Wells Fargo None
32 Bank, N.A. and Vice President
of Financial Operations for
Wells Fargo Funds
Management, LLC. Vice
President and Group Finance
Officer of Wells Fargo Bank,
N.A. Auto Finance Group from
2004 to 2006. Vice President of
Portfolio Risk Management for
Wells Fargo Bank, N.A. Auto
Finance Group in 2004. Vice
President of Portfolio Research
and Analysis for Wells Fargo
Bank, N.A. Auto Finance Group
from 2001 to 2004. Director of
Small Business Services Risk
Management for American
Express Travel Related Services
from 2000 to 2001.
36
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
OFFICERS (continued)
- -----------------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------------
Dorothy A. Peters Chief Compliance Chief Compliance Officer of None
44 Officer, since 2004 Wells Fargo Funds Management,
LLC since 2004 and Compliance
Officer of Wells Fargo Funds
Management, LLC from 1999 to
2002. Compliance Manager of
Wells Fargo Investments from
1997 to 1999. In 2002, Ms.
Peters left Wells Fargo Funds
Management, LLC to pursue
personal goals.
- -----------------------------------------------------------------------------------------------------------------
* The Statement of Additional Information includes additional information
about the Funds' Trustees and is available, without charge, upon request,
by calling 1-800-222-8222 or by visiting the Funds' Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
** Length of service dates reflects a Trustee's commencement of service with
the Trust's predecessor entities.
*** As of August 31, 2006, one of the seven Trustees is considered an
"interested person" of the Trusts as defined in the Investment Company Act
of 1940. The interested Trustee, J. Tucker Morse, is affiliated with a
government securities dealer that is registered under the Securities
Exchange Act of 1934, which is not itself affiliated with Wells Fargo
Funds Management, LLC.
37
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
BOARD CONSIDERATION OF AND CONTINUATION OF INVESTMENT ADVISORY AND SUBADVISORY
AGREEMENTS:
CALIFORNIA TAX-FREE MONEY MARKET TRUST, MONEY MARKET TRUST AND NATIONAL TAX-FREE
MONEY MARKET TRUST
- --------------------------------------------------------------------------------
Section 15(c) of the Investment Company Act of 1940 (the "1940 Act")
contemplates that the Board of Trustees (the "Board") of Wells Fargo Funds Trust
(the "Trust"), including a majority of the Trustees who have no direct or
indirect interest in the investment advisory and subadvisory agreements and are
not "interested persons" of the Trust, as defined in the 1940 Act (the
"Independent Trustees"), will annually review and consider the continuation of
the investment advisory and subadvisory agreements. In this regard, the Board
reviewed and re-approved, during the six months covered by this report: (i) an
investment advisory agreement with Wells Fargo Funds Management, LLC ("Funds
Management") for the California Tax-Free Money Market Trust, Money Market Trust
and National Tax-Free Money Market Trust (the "Funds"); and (ii) an investment
subadvisory agreement with Wells Capital Management Incorporated ("Wells Capital
Management") for the Funds. The investment advisory agreement with Funds
Management and the investment subadvisory agreement with Wells Capital
Management are collectively referred to as the "Advisory Agreements."
More specifically, at a meeting held on March 31, 2006, the Board,
including the Independent Trustees advised by their independent legal counsel,
considered the factors and reached the conclusions described below relating to
the selection of Funds Management and the Subadvisers and the continuation of
the Advisory Agreements. Prior to the March 31, 2006, meeting, the Board,
including the Independent Trustees, met in person and telephonically a number of
times, both with Funds Management and in private sessions for discussions about
these continuations and approvals. The Independent Trustees were assisted in
their evaluation of the Advisory Agreements by independent legal counsel, from
whom they received separate legal advice and with whom they met separately from
Funds Management.
NATURE, EXTENT AND QUALITY OF SERVICES
- --------------------------------------------------------------------------------
The Board received and considered various data and information regarding
the nature, extent and quality of services provided to the Funds by Funds
Management and Wells Capital Management under the Advisory Agreements. The Board
also received and considered information provided in response to a detailed set
of requests submitted by the Independent Trustees' independent legal counsel,
including, among other things, information about the background and experience
of senior management and the expertise of, and amount of attention devoted to
the Funds by, investment personnel of Funds Management and Wells Capital
Management. In this regard, the Board specifically reviewed the qualifications,
backgrounds and responsibilities of the portfolio managers primarily responsible
for day-to-day portfolio management services for the Funds.
The Board evaluated the ability of Funds Management and Wells Capital
Management, based on their respective resources, reputations and other
attributes, to attract and retain highly qualified investment professionals,
including research, advisory, and supervisory personnel. In this regard, the
Board considered information regarding Funds Management's and Wells Capital
Management's compensation programs for personnel involved in the management of
the Funds.
The Board further considered the compliance programs and compliance
records of Funds Management and Wells Capital Management. In addition, the Board
took into account the administrative services provided to the Funds by Funds
Management and its affiliates. In considering these matters, the Board
considered not only the specific information presented in connection with the
meeting, but also the knowledge gained over the course of interacting with Funds
Management about various topics, including Funds Management's oversight of
service providers, such as Wells Capital Management.
Based on the above factors, together with those referenced below, the
Board concluded that it was generally satisfied with the nature, extent and
quality of the investment advisory services provided to the Funds by Funds
Management and Wells Capital Management.
FUND PERFORMANCE AND EXPENSES
- --------------------------------------------------------------------------------
The Board considered the performance results for each of the Funds over
various time periods ended December 31, 2005. The Board also considered these
results in comparison to the median performance results of the group of funds
that was determined by Lipper Inc. ("Lipper") to be the most similar to a given
Fund (the "Peer Group") and to the median performance of a broader universe of
relevant funds as determined by Lipper (the "Universe"), as well as to each
Fund's benchmark index. Lipper is an independent provider of investment company
data. The Board was provided with a description of the methodology used by
Lipper to select the mutual funds in each Fund's Peer Group and Universe. The
Board noted that the performance of each Fund was better than the median
performance of its Peer Group for all time periods.
The Board received and considered information regarding each Fund's net
operating expense ratio and its various components, including contractual
advisory fees, actual advisory fees, actual non-management fees, Rule 12b-1 and
non-Rule 12b-1 service fees, fee waivers/caps and/or expense reimbursements. The
38
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
Board also considered comparisons of these fees to the expense information for
each Fund's Peer Group and Universe, which comparative data was provided by
Lipper. The Board noted that the net operating expense ratios for the Funds were
lower than the Funds' Peer Groups' median net operating expense ratios.
Based on the above-referenced considerations and other factors, the Board
concluded that the overall performance and expense results supported the
re-approval of the Advisory Agreements for the Funds.
INVESTMENT ADVISORY AND SUBADVISORY FEE RATES
- --------------------------------------------------------------------------------
The Board reviewed and considered the contractual investment advisory fee
rates payable by the Funds to Funds Management for investment advisory services,
both on a stand-alone basis and on a combined basis with the Funds'
administration fee rates (the "Advisory Agreement Rates"). The Board took into
account the separate administrative services covered by the administration fee
rates. The Board also reviewed and considered the contractual investment
subadvisory fee rates (the "Subadvisory Agreement Rates") payable by Funds
Management to Wells Capital Management for investment subadvisory services. In
addition, the Board reviewed and considered the existing fee waiver/cap
arrangements applicable to the Advisory Agreement Rates and considered the
Advisory Agreement Rates after taking the waivers/caps into account (the "Net
Advisory Rates").
The Board received and considered information comparing the Advisory
Agreement Rates and Net Advisory Rates with those of the other funds in the Peer
Groups. The Board noted that the Advisory Agreement Rates and the Net Advisory
Rates for the Funds were lower than the median rates of each Fund's respective
Peer Group. In addition, the Board concluded that the combined investment
advisory/administration fee rates for the Funds (before and after waivers/caps
and/or expense reimbursements) were reasonable in relation to each Fund's
respective Peer Group, and reasonable in relation to the services provided.
The Board also reviewed the Subadvisory Agreement Rates and concluded that
the Subadvisory Agreement Rates were fair and equitable, based on its
consideration of the factors described above.
PROFITABILITY
- --------------------------------------------------------------------------------
The Board received and considered a detailed profitability analysis of
Funds Management based on the Advisory Agreement Rates and the Net Advisory
Rates, as well as an analysis of the profitability to other Wells Fargo
businesses (including Wells Capital Management) of providing services to the
Funds. The Board concluded that, in light of the costs of providing investment
management and other services to the Funds, the profits and other ancillary
benefits that Funds Management and its affiliates received with regard to
providing these services to the Funds were not unreasonable. The Board did not
consider a separate profitability analysis of Wells Capital Management, as its
separate profitability from its relationships with the Funds was not a material
factor in determining whether to renew the agreements.
ECONOMIES OF SCALE
- --------------------------------------------------------------------------------
The Board received and considered general information regarding whether
there have been economies of scale with respect to the management of the Funds,
whether the Funds have appropriately benefited from any economies of scale, and
whether there is potential for realization of any further economies of scale for
the Funds. The Board acknowledged the inherent limitations of any analysis of an
investment adviser's economies of scale and of any attempt to correlate
breakpoints with such economies, stemming largely from the Board's understanding
that economies of scale are realized, if at all, by an investment adviser across
a variety of products and services, not just with respect to a single fund. The
Board concluded that any actual or potential economies of scale are, or will be,
shared reasonably with Fund shareholders.
INFORMATION ABOUT SERVICES TO OTHER CLIENTS
- --------------------------------------------------------------------------------
The Board also received and considered information about the nature and
extent of services and fee rates offered by Funds Management to other similarly
situated series of the Trust, and those offered by Wells Capital Management to
other clients, including other registered investment companies and separate
accounts. The Board concluded that the Advisory Agreement Rates, the Subadvisory
Agreement Rates and the Net Advisory Rates were within a reasonable range of the
fee rates offered to others by Funds Management and Wells Capital Management,
giving effect to differences in services covered by such fee rates.
OTHER BENEFITS TO FUNDS MANAGEMENT AND WELLS CAPITAL MANAGEMENT
- --------------------------------------------------------------------------------
The Board received and considered information regarding potential
"fall-out" or ancillary benefits received by Funds Management and its affiliates
and Wells Capital Management as a result of their relationship with the Funds.
Such benefits could include, among others, benefits directly attributable to the
relationship of Funds Management and Wells Capital Management with the Funds and
benefits potentially derived from an increase in Funds Management's and Wells
Capital Management's business as a result of their relationship with the Funds
(such as the ability to market to shareholders other financial products offered
by Funds Management and its affiliates, including Wells Capital Management).
39
WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
The Board also considered the effectiveness of the policies of the Funds
in achieving the best execution of portfolio transactions, whether and to what
extent soft dollar credits are sought and how any such credits are utilized, any
benefits that may be realized by using an affiliated broker, the extent to which
efforts are made to recapture commission costs, and the controls applicable to
brokerage allocation procedures. The Board also reviewed Funds Management's and
Wells Capital Management's methods for allocating portfolio investment
opportunities among the Funds and other clients.
OTHER FACTORS AND BROADER REVIEW
- --------------------------------------------------------------------------------
The Board also considered the markets for distribution of the Funds,
including the principal channels through which the Funds' shares are offered and
sold. The Board noted that the Funds are part of one of the few fund families
that have both direct-to-fund and intermediary distribution.
As discussed above, the Board reviewed detailed materials received from
Funds Management and Wells Capital Management annually as part of the
re-approval process under Section 15(c) of the 1940 Act. The Board also reviews
and assesses the quality of the services that the Funds receive throughout the
year. In this regard, the Board has reviewed reports of Funds Management and
Wells Capital Management at each of its quarterly meetings, which include, among
other things, a portfolio review and fund performance reports. In addition, the
Board has conferred with the portfolio managers of the Funds at various times
throughout the year.
After considering the above-described factors and based on its
deliberations and its evaluation of the information described above, the Board
concluded that approval of the continuation of the Advisory Agreements for the
Funds was in the best interest of the Funds and their shareholders. Accordingly,
the Board unanimously approved the continuation of the Advisory Agreements for
an additional one-year period.
40
LIST OF ABBREVIATIONS WELLS FARGO ADVANTAGE MONEY MARKET TRUSTS
- --------------------------------------------------------------------------------
The following is a list of common abbreviations for terms and entities which may
have appeared in this report.
ABAG -- Association of Bay Area Governments
ADR -- American Depository Receipt
AMBAC -- American Municipal Bond Assurance Corporation
AMT -- Alternative Minimum Tax
ARM -- Adjustable Rate Mortgages
BART -- Bay Area Rapid Transit
CDA -- Community Development Authority
CDSC -- Contingent Deferred Sales Charge
CGIC -- Capital Guaranty Insurance Company
CGY -- Capital Guaranty Corporation
CMT -- Constant Maturity Treasury
COFI -- Cost of Funds Index
COP -- Certificate of Participation
CP -- Commercial Paper
CTF -- Common Trust Fund
DW&P -- Department of Water & Power
DWR -- Department of Water Resources
EDFA -- Education Finance Authority
FFCB -- Federal Farm Credit Bank
FGIC -- Financial Guaranty Insurance Corporation
FHA -- Federal Housing Authority
FHLB -- Federal Home Loan Bank
FHLMC -- Federal Home Loan Mortgage Corporation
FNMA -- Federal National Mortgage Association
FRN -- Floating Rate Notes
FSA -- Financial Security Assurance Incorporated
GDR -- Global Depository Receipt
GNMA -- Government National Mortgage Association
GO -- General Obligation
HFA -- Housing Finance Authority
HFFA -- Health Facilities Financing Authority
IDA -- Industrial Development Authority
IDR -- Industrial Development Revenue
LIBOR -- London Interbank Offered Rate
LLC -- Limited Liability Corporation
LOC -- Letter of Credit
LP -- Limited Partnership
MBIA -- Municipal Bond Insurance Association
MFHR -- Multi-Family Housing Revenue
MUD -- Municipal Utility District
MTN -- Medium Term Note
PCFA -- Pollution Control Finance Authority
PCR -- Pollution Control Revenue
PFA -- Public Finance Authority
PLC -- Private Placement
PSFG -- Public School Fund Guaranty
RDA -- Redevelopment Authority
RDFA -- Redevelopment Finance Authority
REITS -- Real Estate Investment Trusts
R&D -- Research & Development
SFHR -- Single Family Housing Revenue
SFMR -- Single Family Mortgage Revenue
SLMA -- Student Loan Marketing Association
STEERS -- Structured Enhanced Return Trust
TBA -- To Be Announced
TRAN -- Tax Revenue Anticipation Notes
USD -- Unified School District
V/R -- Variable Rate
WEBS -- World Equity Benchmark Shares
XLCA -- XL Capital Assurance
41
THIS PAGE IS INTENTIONALLY LEFT BLANK --
[LOGO]
- -----------------
WELLS ADVANTAGE
FARGO FUNDS
- -----------------
More information about WELLS THIS REPORT AND THE FINANCIAL STATEMENTS
FARGO ADVANTAGE FUNDS(SM) is CONTAINED HEREIN ARE SUBMITTED FOR THE
available free upon request. To GENERAL INFORMATION OF THE SHAREHOLDERS
obtain literature, please OF WELLS FARGO ADVANTAGE FUNDS. IF THIS
write, e-mail, visit the Funds' REPORT IS USED FOR PROMOTIONAL PURPOSES,
Web site, or call: DISTRIBUTION OF THE REPORT MUST BE
ACCOMPANIED OR PRECEDED BY A CURRENT
WELLS FARGO ADVANTAGE FUNDS PROSPECTUS. FOR A PROSPECTUS CONTAINING
P.O. Box 8266 MORE COMPLETE INFORMATION, INCLUDING
Boston, MA 02266-8266 CHARGES AND EXPENSES, CALL
1-800-222-8222 OR VISIT THE FUNDS' WEB
E-mail: wfaf@wellsfargo.com SITE AT
Web site: WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
www.wellsfargo.com/advantagefunds PLEASE CONSIDER THE INVESTMENT
Individual Investors: 1-800-222-8222 OBJECTIVES, RISKS, CHARGES, AND EXPENSES
Retail Investment Professionals: OF THE INVESTMENT CAREFULLY BEFORE
1-888-877-9275 INVESTING. THIS AND OTHER INFORMATION
Institutional Investment Professionals: ABOUT WELLS FARGO ADVANTAGE FUNDS CAN BE
1-866-765-0778 FOUND IN THE CURRENT PROSPECTUS. READ
THE PROSPECTUS CAREFULLY BEFORE YOU
INVEST OR SEND MONEY.
Wells Fargo Funds Management, LLC, a
Wholly Owned Subsidiary of Wells Fargo &
Company, Provides Investment Advisory
and Administrative Services For WELLS
FARGO ADVANTAGE FUNDS. Other Affiliates
of Wells Fargo & Company Provide
Subadvisory and Other Services for the
Funds. the Funds are Distributed by
WELLS FARGO FUNDS DISTRIBUTOR, LLC,
Member NASD/SIPC, an Affiliate of Wells
Fargo & Company.
---------------------------------------------------------
NOT FDIC INSURED o NO BANK GUARANTEE o MAY LOSE VALUE
---------------------------------------------------------
- --------------------------------------------------------------------------------
(C) 2006 Wells Fargo www.wellsfargo.com/advantagefunds 100106 10-06
Funds Management, LLC. SMMF/SAR119
All rights reserved.
-----------------
WELLS ADVANTAGE
FARGO FUNDS
-----------------
[GRAPHIC OMITTED] AUGUST 31, 2006
SEMI-ANNUAL REPORT
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS(SM)
Wells Fargo Advantage Life Stage - Conservative Portfolio(SM)
Wells Fargo Advantage Life Stage - Moderate Portfolio(SM)
Wells Fargo Advantage Life Stage - Aggressive Portfolio(SM)
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
TABLE OF CONTENTS
Letter to Shareholders ................................................... 1
- --------------------------------------------------------------------------------
Performance Highlights ................................................... 2
- --------------------------------------------------------------------------------
Portfolio Expenses (Unaudited) ........................................... 6
- --------------------------------------------------------------------------------
Portfolio of Investments
- --------------------------------------------------------------------------------
Life Stage - Conservative Portfolio ................................... 7
Life Stage - Moderate Portfolio ....................................... 8
Life Stage - Aggressive Portfolio ..................................... 9
Financial Statements
- --------------------------------------------------------------------------------
Statements of Assets and Liabilities .................................. 10
Statements of Operations .............................................. 11
Statements of Changes in Net Assets ................................... 12
Financial Highlights .................................................. 14
Notes to Financial Statements ............................................ 16
- --------------------------------------------------------------------------------
Other Information (Unaudited) ............................................ 21
- --------------------------------------------------------------------------------
List of Abbreviations .................................................... 27
- --------------------------------------------------------------------------------
-------------------------------------------------
NOT FDIC INSURED-NO BANK GUARANTEE-MAY LOSE VALUE
-------------------------------------------------
THIS PAGE IS INTENTIONALLY LEFT BLANK --
LETTER TO SHAREHOLDERS WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
DEAR VALUED SHAREHOLDER,
Enclosed please find the WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
semi-annual report for the six-month period that ended August 31, 2006. On the
following pages, you will find a discussion of each Portfolio, including
performance highlights, information about the holdings of each Portfolio, and
the portfolio managers' strategic outlook.
ECONOMIC OVERVIEW
- --------------------------------------------------------------------------------
During the period, the U.S. economy started to show some signs of a
slowdown. The housing market slowed, with mortgage applications falling and
homes staying on the market for longer periods. Consumer confidence weakened,
and the inflation outlook continued to be cloudy. Real Gross Domestic Product
(GDP) slowed to 2.9% for the second quarter of 2006, driven mostly by a decline
in consumer spending from an unsustainable first-quarter pace. Other indicators,
however, remained robust. Capital spending and the manufacturing sector
continued to perform well. Most labor markets also remained healthy, creating
some uncertainty regarding the direction of the Fed's next decision about
interest rates.
STOCKS PRODUCE POSITIVE RETURNS
- --------------------------------------------------------------------------------
Overall, stock returns were positive, in spite of a few ups and downs
during the period. For the six-month period that ended August 31, 2006, the S&P
500 Index reported a positive return of 2.79%. Not all sectors of the equity
market did well, however. Despite an impressive August for the technology
sector, the NASDAQ Composite Index was down 5.44% for the period, and technology
was one of the worst performing sectors for the six months.
Stable corporate earnings helped the U.S. equity markets at the beginning
of the reporting period. However, by May 2006, record prices for crude oil and
concerns of a slowdown in worldwide economic growth in many cases reversed the
equity gains from earlier in 2006. Nevertheless, in the United States, the
fundamentals of strong earnings and controlled inflation led to a stock market
rally which helped the equity markets deliver positive returns for the period.
BONDS WRESTLE WITH INTEREST RATES
- --------------------------------------------------------------------------------
Yields on most U.S. Treasury notes and bonds increased as the Federal
funds rate continued to rise during 2006. However, when the Federal Open Market
Committee met on August 8, 2006, it decided, for the first time since June 2004,
to leave the Federal funds rate unchanged. Largely because of expectations of an
end to the Fed's cycle of interest rate increases--often described as credit
tightening--the bond markets rallied in July and August, allowing most segments
of the bond market to record positive returns for the six-month period.
LOOKING AHEAD
- --------------------------------------------------------------------------------
As the reporting period came to a close, it was difficult to anticipate
what the next move by the Fed might be, and economic activity was clearly
slowing down. Given the uncertainty of these and other market forces, we believe
that successful investing includes a balanced approach of owning a diversified
portfolio while keeping a long-term perspective. While diversification may not
prevent losses in a downturn, it may help reduce them and keep you on track to
reach your financial goals.
To help you reach your diversification goals, we offer funds across every
key category, each guided by skillful money managers--our subadvisers--chosen
for their focused attention to a particular investment style. We believe that
our insistence on seeking outstanding money managers who share our dedication to
pursuing consistent long-term results offers our investors a firmer footing to
navigate changing market conditions and move forward to their financial
destinations.
Thank you for choosing WELLS FARGO ADVANTAGE FUNDS. We appreciate your
confidence in us. Through each market cycle, we are committed to helping you
meet your financial needs. If you have any questions about your investment,
please contact your investment professional, or call us at 1-800-222-8222. You
may also want to visit our Web site at WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
Sincerely,
/s/ Karla M. Rabusch
Karla M. Rabusch
President
WELLS FARGO ADVANTAGE FUNDS
1
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS OVERVIEW
INVESTMENT OBJECTIVE
- --------------------------------------------------------------------------------
The WELLS FARGO ADVANTAGE LIFE STAGE - CONSERVATIVE PORTFOLIO(SM) seeks a
combination of current income and capital appreciation.
The WELLS FARGO ADVANTAGE LIFE STAGE - MODERATE PORTFOLIO(SM) seeks a
combination of capital appreciation and current income.
The WELLS FARGO ADVANTAGE LIFE STAGE - AGGRESSIVE PORTFOLIO(SM) seeks
capital appreciation with a secondary emphasis on current income.
ADVISER PORTFOLIO MANAGERS
Wells Fargo Funds Management, LLC Thomas C. Biwer, CFA
Christian L. Chan, CFA
PORTFOLIO INCEPTION DATE Andrew Owen, CFA
12/31/1998
HOW DID THE PORTFOLIOS PERFORM OVER THE SIX-MONTH REPORTING PERIOD?
- ------------------------------------------------------------------------------------------------------------------------------------
Portfolio MSCI Lehman Brothers U.S.
Portfolio Name Performance S&P 500 Index 2 EAFE Index 3 Aggregate Bond Index 4
- ------------------------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIFE STAGE - CONSERVATIVE PORTFOLIO(SM) 1.81% 1
- --------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIFE STAGE - MODERATE PORTFOLIO(SM) 1.70% 1 2.79% 7.94% 1.82%
- --------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIFE STAGE - AGGRESSIVE PORTFOLIO(SM) 1.55% 1
- ------------------------------------------------------------------------------------------------------------------------------------
All three Portfolios--the Conservative, Moderate, and Aggressive
Portfolios (the Portfolios)--underperformed both the S&P 500 Index and the
Lehman Brothers U.S. Aggregate Bond Index and also trailed the MSCI EAFE Index
by a wider margin. The Portfolios' underperformance was due primarily to weak
results in their U.S. equity segments. The Conservative, Moderate, and
Aggressive Portfolios had 35%, 52%, and 70% of assets, respectively, allocated
to underlying domestic equity funds.
FIGURES QUOTED REPRESENT PAST PERFORMANCE, WHICH IS NO GUARANTEE OF FUTURE
RESULTS, AND DO NOT REFLECT THE DEDUCTION OF TAXES THAT A SHAREHOLDER MAY PAY ON
FUND DISTRIBUTIONS OR THE REDEMPTION OF FUND SHARES. INVESTMENT RETURN AND
PRINCIPAL VALUE OF AN INVESTMENT WILL FLUCTUATE SO THAT 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 PERFORMANCE DATA QUOTED. CURRENT
MONTH-END PERFORMANCE IS AVAILABLE AT THE PORTFOLIOS' WEB SITE -
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
INVESTOR CLASS SHARES ARE SOLD WITHOUT A FRONT-END SALES CHARGE OR
CONTINGENT DEFERRED SALES CHARGE. OTHER FEES AND EXPENSES APPLY TO AN INVESTMENT
IN A PORTFOLIO AND ARE DESCRIBED IN THE PORTFOLIO'S CURRENT PROSPECTUS.
WHAT FACTORS AFFECTED THE PORTFOLIOS' PERFORMANCE?
- --------------------------------------------------------------------------------
U.S. stocks posted modest gains during the six-month period despite
continued headwinds from rising short-term interest rates. Corporate earnings
continued to post double-digit gains, and liquidity in the financial system
remained ample despite the Fed's efforts to absorb it. In August the Fed's
decision to leave interest rates unchanged helped to lift investor sentiment. In
this environment, value-style funds continued their multiyear stretch of
outperformance of growth-oriented funds. For example, the WELLS FARGO ADVANTAGE
U.S. VALUE FUND, a value-investing style fund, was the strongest performer among
the Portfolios' domestic equity fund holdings. The WELLS FARGO ADVANTAGE CAPITAL
GROWTH FUND, a growth-style fund, lagged the market primarily due to weakness
among its technology holdings. It was a major detractor from the Portfolios'
performance. Also contributing to disappointing results in this segment was the
WELLS FARGO ADVANTAGE GROWTH AND INCOME FUND, which suffered from its holdings
in the health care and consumer sectors.
In a reversal of a multiyear trend, small and mid cap stocks trailed the
general market during the period. Thus the 25% allocation of the equity portion
of each Portfolio to the WELLS FARGO ADVANTAGE COMMON STOCK FUND, which includes
both small and mid cap stocks, negatively affected the Portfolios' performance.
Foreign stocks as a group again showed considerably stronger gains than U.S.
stocks during the period, and the 12.5% allocation of the equity portion of each
portfolio to the WELLS FARGO ADVANTAGE OVERSEAS FUND contributed positively to
the Portfolios' performance.
In fixed-income markets, yields rose across the spectrum of maturities,
and the resulting price erosion curtailed total returns to some extent. In this
environment, bond funds that are focused on shorter maturities performed best,
and the WELLS FARGO ADVANTAGE ULTRA SHORT-TERM INCOME FUND and WELLS FARGO
ADVANTAGE SHORT-TERM BOND FUND both outperformed the Portfolios' fixed-income
segment benchmark (the Lehman Brothers U.S. Aggregate Bond Index).
WHAT CHANGES DID YOU MAKE TO THE PORTFOLIOS' HOLDINGS DURING THE PERIOD?
- --------------------------------------------------------------------------------
No changes were made to the holdings of the Portfolios during the period.
LOOKING AHEAD, WHAT IS YOUR STRATEGIC OUTLOOK?
- --------------------------------------------------------------------------------
We continue to believe that there will be some slowing in economic growth
due to the cumulative effects of higher energy prices and higher short-term
interest rates. The Fed has paused in its cycle of raising interest rates--often
described as credit tightening--and may in fact be finished raising interest
rates, depending on the path of economic growth and inflation over the coming
months. We believe that financial markets may respond positively to evidence of
economic slowing as they had in previous mid-cycle slowdowns.
BALANCED FUNDS MAY INVEST IN STOCKS AND BONDS. STOCKS SHOULD ONLY BE
CONSIDERED FOR LONG-TERM GOALS AS VALUES FLUCTUATE IN RESPONSE TO THE ACTIVITIES
OF INDIVIDUAL COMPANIES AND GENERAL MARKET AND ECONOMIC CONDITIONS. BOND VALUES
FLUCTUATE IN RESPONSE TO THE FINANCIAL CONDITION OF INDIVIDUAL ISSUERS, GENERAL
MARKET AND ECONOMIC CONDITIONS, AND CHANGES IN INTEREST RATES. IN GENERAL, WHEN
INTEREST RATES RISE, BOND FUND VALUES FALL AND INVESTORS MAY LOSE PRINCIPAL
VALUE. INVESTMENT STRATEGIES THAT EMPHASIZE PARTICULAR MARKET SEGMENTS OR FEWER
SECURITIES TEND TO INCREASE THE TOTAL RISK OF AN INVESTMENT (RELATIVE TO THE
BROADER MARKET). THESE PORTFOLIOS ARE EXPOSED TO SMALL COMPANY SECURITIES RISK,
FOREIGN INVESTMENTS RISK AND HIGH-YIELD BOND RISK. CONSULT THE PORTFOLIO'S
PROSPECTUS FOR ADDITIONAL INFORMATION ON THESE AND OTHER RISKS.
2
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
The views expressed are as of August 31, 2006 and are those of the
Portfolios' managers.The views are subject to change at any time in response to
changing circumstances in the market and are not intended to predict or
guarantee the future performance of any individual security, market sector or
the markets generally, or the WELLS FARGO ADVANTAGE LIFE STAGE - CONSERVATIVE
PORTFOLIO, the WELLS FARGO ADVANTAGE LIFE STAGE - MODERATE PORTFOLIO and the
WELLS FARGO ADVANTAGE LIFE STAGE - AGGRESSIVE PORTFOLIO.
AVERAGE ANNUAL TOTAL RETURN 1 (%) (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
FUND NAME 6-Month* 1-Year 5-Year Life of Fund
- ---------------------------------------------------------------------------------------------------------------------------
Life Stage - Conservative Portfolio (Incept. Date 12/31/1998) 1.81 4.72 3.58 4.08
- ---------------------------------------------------------------------------------------------------------------------------
Life Stage - Moderate Portfolio (Incept. Date 12/31/1998) 1.70 5.74 4.31 4.10
- ---------------------------------------------------------------------------------------------------------------------------
Life Stage - Aggressive Portfolio (Incept. Date 12/31/1998) 1.55 6.84 4.61 4.13
- ---------------------------------------------------------------------------------------------------------------------------
Benchmarks
- ---------------------------------------------------------------------------------------------------------------------------
S&P 500 Index 2 2.79 8.87 4.65 2.36
- ---------------------------------------------------------------------------------------------------------------------------
Lehman Brothers U.S. Aggregate Bond Index 4 1.82 1.71 4.87 5.47
- ---------------------------------------------------------------------------------------------------------------------------
MSCI EAFE Index 3 7.94 24.28 11.82 5.94
- ---------------------------------------------------------------------------------------------------------------------------
* RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
ASSET ALLOCATION 5 (AS OF AUGUST 31, 2006) (ROUNDED TO THE NEAREST WHOLE %)
- --------------------------------------------------------------------------------
[THE FOLLOWING TABLE WAS REPRESENTED BY A PIE CHART IN THE PRINTED MATERIAL.]
CONSERVATIVE PORTFOLIO
Fixed Income 60%
Domestic Stock 35%
International Stock 5%
[THE FOLLOWING TABLE WAS REPRESENTED BY A PIE CHART IN THE PRINTED MATERIAL.]
MODERATE PORTFOLIO
Fixed Income 40%
Domestic Stock 52%
International Stock 8%
[THE FOLLOWING TABLE WAS REPRESENTED BY A PIE CHART IN THE PRINTED MATERIAL.]
AGGRESSIVE PORTFOLIO
Fixed Income 20%
Domestic Stock 70%
International Stock 10%
PORTFOLIO CHARACTERISTICS 5 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
LIFE STAGE LIFE STAGE LIFE STAGE
CONSERVATIVE MODERATE AGGRESSIVE
- --------------------------------------------------------------------------------------------
Portfolio Turnover 10% 8% 11%
- --------------------------------------------------------------------------------------------
Net Asset Value (NAV) $10.11 $10.78 $11.12
1 The Portfolios' adviser has committed through June 30, 2007, to waive fees
and/or reimburse expenses to the extent necessary to maintain a certain net
operating expense ratio for each Portfolio. Actual reductions of operating
expenses can increase total return to shareholders.Without these reductions,
each Portfolio's returns would have been lower.
Performance shown for the Investor Class shares of the WELLS FARGO
ADVANTAGE LIFE STAGE - CONSERVATIVE PORTFOLIO for periods prior to April 11,
2005, reflects the performance of the Investor Class shares of the Strong Life
Stage Series - Conservative Portfolio, its predecessor fund. Performance shown
for the Investor Class shares of the WELLS FARGO ADVANTAGE LIFE STAGE - MODERATE
PORTFOLIO for periods prior to April 11, 2005, reflects the performance of the
Investor Class shares of the Strong Life Stage Series - Moderate Portfolio, its
predecessor fund. Performance shown for the Investor Class shares of the WELLS
FARGO ADVANTAGE LIFE STAGE - AGGRESSIVE PORTFOLIO for periods prior to April 11,
2005, reflects the performance of the Investor Class shares of the Strong Life
Stage Series - Aggressive Portfolio, its predecessor fund.
2 The S&P 500 Index consists of 500 stocks chosen for market size, liquidity,
and industry group representation. It is a market value weighted index with each
stock's weight in the Index proportionate to its market value.You cannot invest
directly in an Index.
3 The Morgan Stanley Capital International Europe, Australasia and Far East
("MSCI EAFE") Stock Index is an unmanaged group of securities widely regarded by
investors to be representations of the stock markets of Europe, Australasia and
the Far East.You cannot invest directly in an Index.
4 The Lehman Brothers U.S. Aggregate Bond Index is composed of the Lehman
Brothers U.S. Government/Credit Index and the Mortgage-Backed Securities Index
and includes U.S.Treasury issues, agency issues, corporate bond issues, and
mortgage-backed securities.You cannot invest directly in an Index.
5 Effective allocation, Portfolio characteristics, and underlying mutual funds
held are subject to change. Cash and cash equivalents are not reflected in the
calculations of effective allocation, portfolio characteristics, and underlying
mutual funds held.
6 The charts compare the performance of the Investor Class shares of the WELLS
FARGO ADVANTAGE LIFE STAGE - CONSERVATIVE PORTFOLIO, the WELLS FARGO ADVANTAGE
LIFE STAGE - MODERATE PORTFOLIO, and the WELLS FARGO ADVANTAGE LIFE STAGE -
AGGRESSIVE PORTFOLIO, for the life of the Portfolios with the S&P 500 Index, the
MSCI EAFE Index, and the Lehman Brothers U.S. Aggregate Bond Index.The charts
assume a hypothetical $10,000 investment in the Investor Class shares and
reflect all operating expenses.
3
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS PERFORMANCE HIGHLIGHTS
- --------------------------------------------------------------------------------
UNDERLYING MUTUAL FUNDS HELD 5 (AS OF AUGUST 31, 2006) (ROUNDED TO THE NEAREST
WHOLE %)
- --------------------------------------------------------------------------------
LIFE STAGE LIFE STAGE LIFE STAGE
CONSERVATIVE MODERATE AGGRESSIVE
- -----------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE CAPITAL GROWTH FUND 10% 15% 20%
- -----------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE COMMON STOCK FUND 10% 15% 20%
- -----------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE GOVERNMENT SECURITIES FUND 22% 15% 7%
- -----------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE GROWTH AND INCOME FUND 5% 7% 10%
- -----------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE OVERSEAS FUND 5% 8% 10%
- -----------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE SHORT-TERM BOND FUND 23% 15% 8%
- -----------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE ULTRA SHORT-TERM INCOME FUND 15% 10% 5%
- -----------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE U.S. VALUE FUND 10% 15% 20%
GROWTH OF $10,000 INVESTMENT 6 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIFE STAGE - CONSERVATIVE PORTFOLIO
[THE FOLLOWING TABLE WAS REPRESENTED BY A LINE GRAPH IN THE PRINTED MATERIAL.]
Wells Fargo Lehman
Advantage Life Stage - Brothers U.S.
Conservative Portfolio - MSCI/EAFE Aggregate Bond S&P 500
Investor Class Index Index Index
12/31/1998 10,000 10,000 10,000 10,000
1/31/1999 10,260 9,970 10,071 10,418
2/28/1999 10,120 9,733 9,896 10,094
3/31/1999 10,410 10,139 9,950 10,498
4/30/1999 10,571 10,549 9,982 10,905
5/31/1999 10,480 10,006 9,894 10,647
6/30/1999 10,774 10,396 9,863 11,238
7/31/1999 10,673 10,705 9,821 10,887
8/31/1999 10,633 10,745 9,816 10,834
9/30/1999 10,660 10,853 9,930 10,537
10/31/1999 11,005 11,260 9,967 11,203
11/30/1999 11,341 11,651 9,966 11,431
12/31/1999 12,027 12,697 9,918 12,104
1/31/2000 11,839 11,891 9,885 11,496
2/29/2000 12,489 12,211 10,005 11,279
3/31/2000 12,656 12,684 10,137 12,381
4/30/2000 12,327 12,017 10,108 12,009
5/31/2000 12,168 11,724 10,103 11,763
6/30/2000 12,446 12,182 10,313 12,053
7/31/2000 12,393 11,672 10,407 11,865
8/31/2000 12,917 11,773 10,558 12,601
9/30/2000 12,755 11,200 10,624 11,936
10/31/2000 12,463 10,936 10,694 11,886
11/30/2000 11,923 10,526 10,869 10,949
12/31/2000 12,107 10,899 11,071 11,003
1/31/2001 12,231 10,894 11,252 11,393
2/28/2001 11,737 10,077 11,350 10,355
3/31/2001 11,464 9,405 11,407 9,699
4/30/2001 11,822 10,058 11,360 10,453
5/31/2001 11,846 9,703 11,428 10,523
6/30/2001 11,733 9,306 11,471 10,267
7/31/2001 11,687 9,137 11,728 10,166
8/31/2001 11,395 8,906 11,862 9,530
9/30/2001 10,884 8,004 12,000 8,760
10/31/2001 11,049 8,209 12,251 8,927
11/30/2001 11,437 8,511 12,082 9,612
12/31/2001 11,486 8,562 12,006 9,696
1/31/2002 11,332 8,107 12,103 9,555
2/28/2002 11,177 8,164 12,220 9,371
3/31/2002 11,352 8,605 12,017 9,723
4/30/2002 11,185 8,662 12,250 9,134
5/31/2002 11,125 8,772 12,354 9,067
6/30/2002 10,827 8,423 12,461 8,421
7/31/2002 10,455 7,592 12,611 7,765
8/31/2002 10,539 7,574 12,824 7,816
9/30/2002 10,217 6,761 13,032 6,967
10/31/2002 10,434 7,124 12,972 7,580
11/30/2002 10,651 7,447 12,969 8,025
12/31/2002 10,506 7,197 13,237 7,554
1/31/2003 10,396 6,897 13,248 7,357
2/28/2003 10,408 6,738 13,431 7,246
3/31/2003 10,421 6,606 13,421 7,316
4/30/2003 10,766 7,254 13,532 7,919
5/31/2003 11,135 7,693 13,784 8,335
6/30/2003 11,201 7,879 13,757 8,442
7/31/2003 11,151 8,070 13,294 8,591
8/31/2003 11,287 8,265 13,383 8,758
9/30/2003 11,379 8,519 13,737 8,665
10/31/2003 11,590 9,050 13,609 9,155
11/30/2003 11,689 9,251 13,641 9,236
12/31/2003 11,976 9,973 13,780 9,720
1/31/2004 12,089 10,114 13,891 9,898
2/29/2004 12,202 10,348 14,041 10,036
3/31/2004 12,179 10,406 14,147 9,884
4/30/2004 11,940 10,170 13,778 9,729
5/31/2004 12,028 10,205 13,723 9,863
6/30/2004 12,144 10,428 13,801 10,054
7/31/2004 11,954 10,090 13,938 9,722
8/31/2004 11,992 10,134 14,203 9,761
9/30/2004 12,169 10,398 14,242 9,866
10/31/2004 12,284 10,753 14,361 10,017
11/30/2004 12,513 11,488 14,247 10,422
12/31/2004 12,694 11,991 14,378 10,777
1/31/2005 12,565 11,771 14,468 10,514
2/28/2005 12,668 12,280 14,383 10,735
3/31/2005 12,587 11,972 14,309 10,545
4/30/2005 12,471 11,690 14,503 10,345
5/31/2005 12,678 11,696 14,660 10,674
6/30/2005 12,755 11,852 14,739 10,689
7/31/2005 12,950 12,215 14,605 11,087
8/31/2005 12,976 12,525 14,792 10,986
9/30/2005 13,005 13,082 14,640 11,075
10/31/2005 12,861 12,700 14,524 10,890
11/30/2005 13,071 13,011 14,588 11,302
12/31/2005 13,162 13,616 14,727 11,306
1/31/2006 13,387 14,452 14,728 11,606
2/28/2006 13,347 14,420 14,777 11,637
3/31/2006 13,414 14,896 14,632 11,782
4/30/2006 13,521 15,608 14,606 11,940
5/31/2006 13,347 15,003 14,590 11,597
6/30/2006 13,360 15,001 14,620 11,612
7/31/2006 13,387 15,150 14,818 11,684
8/31/2006 13,589 15,566 15,044 11,962
4
PERFORMANCE HIGHLIGHTS WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
GROWTH OF $10,000 INVESTMENT 6 (AS OF AUGUST 31, 2006)
- --------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIFE STAGE - MODERATE PORTFOLIO
[THE FOLLOWING TABLE WAS REPRESENTED BY A LINE GRAPH IN THE PRINTED MATERIAL.]
Wells Fargo Lehman
Advantage Life Stage - Brothers U.S.
Moderate Portfolio - MSCI/EAFE Aggregate Bond S&P 500
Investor Class Index Index Index
12/31/1998 10,000 10,000 10,000 10,000
1/31/1999 10,330 9,970 10,071 10,418
2/28/1999 10,120 9,733 9,896 10,094
3/31/1999 10,540 10,139 9,950 10,498
4/30/1999 10,610 10,549 9,982 10,905
5/31/1999 10,450 10,006 9,894 10,647
6/30/1999 10,890 10,396 9,863 11,238
7/31/1999 10,730 10,705 9,821 10,887
8/31/1999 10,670 10,745 9,816 10,834
9/30/1999 10,660 10,853 9,930 10,537
10/31/1999 11,160 11,260 9,967 11,203
11/30/1999 11,640 11,651 9,966 11,431
12/31/1999 12,665 12,697 9,918 12,104
1/31/2000 12,392 11,891 9,885 11,496
2/29/2000 13,388 12,211 10,005 11,279
3/31/2000 13,640 12,684 10,137 12,381
4/30/2000 13,105 12,017 10,108 12,009
5/31/2000 12,833 11,724 10,103 11,763
6/30/2000 13,221 12,182 10,313 12,053
7/31/2000 13,084 11,672 10,407 11,865
8/31/2000 13,881 11,773 10,558 12,601
9/30/2000 13,567 11,200 10,624 11,936
10/31/2000 13,084 10,936 10,694 11,886
11/30/2000 12,204 10,526 10,869 10,949
12/31/2000 12,443 10,899 11,071 11,003
1/31/2001 12,531 10,894 11,252 11,393
2/28/2001 11,724 10,077 11,350 10,355
3/31/2001 11,271 9,405 11,407 9,699
4/30/2001 11,790 10,058 11,360 10,453
5/31/2001 11,779 9,703 11,428 10,523
6/30/2001 11,602 9,306 11,471 10,267
7/31/2001 11,481 9,137 11,728 10,166
8/31/2001 11,016 8,906 11,862 9,530
9/30/2001 10,341 8,004 12,000 8,760
10/31/2001 10,563 8,209 12,251 8,927
11/30/2001 11,105 8,511 12,082 9,612
12/31/2001 11,173 8,562 12,006 9,696
1/31/2002 11,000 8,107 12,103 9,555
2/28/2002 10,803 8,164 12,220 9,371
3/31/2002 11,057 8,605 12,017 9,723
4/30/2002 10,814 8,662 12,250 9,134
5/31/2002 10,710 8,772 12,354 9,067
6/30/2002 10,293 8,423 12,461 8,421
7/31/2002 9,771 7,592 12,611 7,765
8/31/2002 9,840 7,574 12,824 7,816
9/30/2002 9,319 6,761 13,032 6,967
10/31/2002 9,655 7,124 12,972 7,580
11/30/2002 10,003 7,447 12,969 8,025
12/31/2002 9,690 7,197 13,237 7,554
1/31/2003 9,548 6,897 13,248 7,357
2/28/2003 9,513 6,738 13,431 7,246
3/31/2003 9,548 6,606 13,421 7,316
4/30/2003 9,998 7,254 13,532 7,919
5/31/2003 10,448 7,693 13,784 8,335
6/30/2003 10,554 7,879 13,757 8,442
7/31/2003 10,601 8,070 13,294 8,591
8/31/2003 10,791 8,265 13,383 8,758
9/30/2003 10,791 8,519 13,737 8,665
10/31/2003 11,146 9,050 13,609 9,155
11/30/2003 11,300 9,251 13,641 9,236
12/31/2003 11,646 9,973 13,780 9,720
1/31/2004 11,766 10,114 13,891 9,898
2/29/2004 11,898 10,348 14,041 10,036
3/31/2004 11,842 10,406 14,147 9,884
4/30/2004 11,565 10,170 13,778 9,729
5/31/2004 11,685 10,205 13,723 9,863
6/30/2004 11,854 10,428 13,801 10,054
7/31/2004 11,541 10,090 13,938 9,722
8/31/2004 11,541 10,134 14,203 9,761
9/30/2004 11,794 10,398 14,242 9,866
10/31/2004 11,938 10,753 14,361 10,017
11/30/2004 12,300 11,488 14,247 10,422
12/31/2004 12,543 11,991 14,378 10,777
1/31/2005 12,334 11,771 14,468 10,514
2/28/2005 12,506 12,280 14,383 10,735
3/31/2005 12,409 11,972 14,309 10,545
4/30/2005 12,200 11,690 14,503 10,345
5/31/2005 12,495 11,696 14,660 10,674
6/30/2005 12,581 11,852 14,739 10,689
7/31/2005 12,877 12,215 14,605 11,087
8/31/2005 12,864 12,525 14,792 10,986
9/30/2005 12,926 13,082 14,640 11,075
10/31/2005 12,717 12,700 14,524 10,890
11/30/2005 13,000 13,011 14,588 11,302
12/31/2005 13,123 13,616 14,727 11,306
1/31/2006 13,451 14,452 14,728 11,606
2/28/2006 13,376 14,420 14,777 11,637
3/31/2006 13,490 14,896 14,632 11,782
4/30/2006 13,654 15,608 14,606 11,940
5/31/2006 13,376 15,003 14,590 11,597
6/30/2006 13,351 15,001 14,620 11,612
7/31/2006 13,364 15,150 14,818 11,684
8/31/2006 13,603 15,566 15,044 11,962
WELLS FARGO ADVANTAGE LIFE STAGE - AGGRESSIVE PORTFOLIO
[THE FOLLOWING TABLE WAS REPRESENTED BY A LINE GRAPH IN THE PRINTED MATERIAL.]
Wells Fargo Lehman
Advantage Life Stage - Brothers U.S.
Aggressive Portfolio - MSCI/EAFE Aggregate Bond S&P 500
Investor Class Index Index Index
12/31/1998 10,000 10,000 10,000 10,000
1/31/1999 10,470 9,970 10,071 10,418
2/28/1999 10,180 9,733 9,896 10,094
3/31/1999 10,720 10,139 9,950 10,498
4/30/1999 10,960 10,549 9,982 10,905
5/31/1999 10,740 10,006 9,894 10,647
6/30/1999 11,340 10,396 9,863 11,238
7/31/1999 11,130 10,705 9,821 10,887
8/31/1999 11,050 10,745 9,816 10,834
9/30/1999 11,020 10,853 9,930 10,537
10/31/1999 11,710 11,260 9,967 11,203
11/30/1999 12,350 11,651 9,966 11,431
12/31/1999 13,777 12,697 9,918 12,104
1/31/2000 13,345 11,891 9,885 11,496
2/29/2000 14,746 12,211 10,005 11,279
3/31/2000 15,115 12,684 10,137 12,381
4/30/2000 14,293 12,017 10,108 12,009
5/31/2000 13,893 11,724 10,103 11,763
6/30/2000 14,409 12,182 10,313 12,053
7/31/2000 14,188 11,672 10,407 11,865
8/31/2000 15,304 11,773 10,558 12,601
9/30/2000 14,809 11,200 10,624 11,936
10/31/2000 14,093 10,936 10,694 11,886
11/30/2000 12,755 10,526 10,869 10,949
12/31/2000 13,052 10,899 11,071 11,003
1/31/2001 13,173 10,894 11,252 11,393
2/28/2001 11,994 10,077 11,350 10,355
3/31/2001 11,323 9,405 11,407 9,699
4/30/2001 12,017 10,058 11,360 10,453
5/31/2001 11,972 9,703 11,428 10,523
6/30/2001 11,719 9,306 11,471 10,267
7/31/2001 11,510 9,137 11,728 10,166
8/31/2001 10,882 8,906 11,862 9,530
9/30/2001 9,979 8,004 12,000 8,760
10/31/2001 10,243 8,209 12,251 8,927
11/30/2001 10,926 8,511 12,082 9,612
12/31/2001 11,045 8,562 12,006 9,696
1/31/2002 10,847 8,107 12,103 9,555
2/28/2002 10,580 8,164 12,220 9,371
3/31/2002 10,940 8,605 12,017 9,723
4/30/2002 10,591 8,662 12,250 9,134
5/31/2002 10,440 8,772 12,354 9,067
6/30/2002 9,894 8,423 12,461 8,421
7/31/2002 9,208 7,592 12,611 7,765
8/31/2002 9,254 7,574 12,824 7,816
9/30/2002 8,580 6,761 13,032 6,967
10/31/2002 8,987 7,124 12,972 7,580
11/30/2002 9,417 7,447 12,969 8,025
12/31/2002 8,997 7,197 13,237 7,554
1/31/2003 8,810 6,897 13,248 7,357
2/28/2003 8,739 6,738 13,431 7,246
3/31/2003 8,774 6,606 13,421 7,316
4/30/2003 9,301 7,254 13,532 7,919
5/31/2003 9,816 7,693 13,784 8,335
6/30/2003 9,944 7,879 13,757 8,442
7/31/2003 10,073 8,070 13,294 8,591
8/31/2003 10,307 8,265 13,383 8,758
9/30/2003 10,260 8,519 13,737 8,665
10/31/2003 10,740 9,050 13,609 9,155
11/30/2003 10,927 9,251 13,641 9,236
12/31/2003 11,345 9,973 13,780 9,720
1/31/2004 11,475 10,114 13,891 9,898
2/29/2004 11,640 10,348 14,041 10,036
3/31/2004 11,545 10,406 14,147 9,884
4/30/2004 11,225 10,170 13,778 9,729
5/31/2004 11,379 10,205 13,723 9,863
6/30/2004 11,593 10,428 13,801 10,054
7/31/2004 11,166 10,090 13,938 9,722
8/31/2004 11,142 10,134 14,203 9,761
9/30/2004 11,462 10,398 14,242 9,866
10/31/2004 11,652 10,753 14,361 10,017
11/30/2004 12,127 11,488 14,247 10,422
12/31/2004 12,435 11,991 14,378 10,777
1/31/2005 12,146 11,771 14,468 10,514
2/28/2005 12,375 12,280 14,383 10,735
3/31/2005 12,244 11,972 14,309 10,545
4/30/2005 11,955 11,690 14,503 10,345
5/31/2005 12,328 11,696 14,660 10,674
6/30/2005 12,412 11,852 14,739 10,689
7/31/2005 12,809 12,215 14,605 11,087
8/31/2005 12,761 12,525 14,792 10,986
9/30/2005 12,870 13,082 14,640 11,075
10/31/2005 12,617 12,700 14,524 10,890
11/30/2005 12,990 13,011 14,588 11,302
12/31/2005 13,106 13,616 14,727 11,306
1/31/2006 13,535 14,452 14,728 11,606
2/28/2006 13,426 14,420 14,777 11,637
3/31/2006 13,598 14,896 14,632 11,782
4/30/2006 13,794 15,608 14,606 11,940
5/31/2006 13,426 15,003 14,590 11,597
6/30/2006 13,389 15,001 14,620 11,612
7/31/2006 13,353 15,150 14,818 11,684
8/31/2006 13,635 15,566 15,044 11,962
5
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS PORTFOLIO EXPENSES (UNAUDITED)
- --------------------------------------------------------------------------------
As a shareholder of the Portfolio, you incur two types of costs: (1)
transaction costs, including sales charges (loads) on purchase payments,
redemption fees (if any) and exchange fees (if any) and (2) ongoing costs,
including management fee, distribution (12b-1) and/or shareholder servicing fee;
and other Portfolio expenses. This example is intended to help you understand
your ongoing costs (in dollars) of investing in the Portfolio 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 (March 1, 2006 to August 31, 2006).
ACTUAL EXPENSES
The "Actual" line of the table below provides information about actual
account values and actual expenses. You may use the information in this line,
together with the amount you invested, to estimate the expenses that you paid
over the period. Simply divide your account value by $1,000 (for example, an
$8,600 account value divided by $1,000 = 8.6), then multiply the result by the
number in the "Actual" line under the heading entitled "Expenses Paid During
Period" for your applicable class of shares to estimate the expenses you paid on
your account during this period.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The "Hypothetical" line of the table below provides information about
hypothetical account values and hypothetical expenses based on the Portfolio's
actual expense ratio and an assumed rate of return of 5% per year before
expenses, which is not the Portfolio's actual return. The hypothetical account
values and expenses may not be used to estimate the actual ending account
balance or expenses you paid for the period. You may use this information to
compare the ongoing costs of investing in the Portfolio and other funds. To do
so, compare this 5% hypothetical example with the 5% hypothetical examples that
appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight
your ongoing costs only and do not reflect any transactional costs, such as
sales charges (loads), redemption fees, or exchange fees. Therefore, the
"Hypothetical" 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.
Beginning Ending
Account Account Expenses Net Annual
Value Value Paid During Expense
03/01/2006 08/31/2006 Period(1) Ratio
- ----------------------------------------------------------------------------------------------------------
Life Stage - Conservative Portfolio - Investor Class
Actual $ 1,000.00 $ 1,018.10 $3.05 0.60%
- ----------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,022.18 $3.06 0.60%
- ----------------------------------------------------------------------------------------------------------
Life Stage - Moderate Portfolio - Investor Class
Actual $ 1,000.00 $ 1,017.00 $3.00 0.59%
- ----------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,022.23 $3.01 0.59%
- ----------------------------------------------------------------------------------------------------------
Life Stage - Aggressive Portfolio - Investor Class
Actual $ 1,000.00 $ 1,015.50 $3.00 0.59%
- ----------------------------------------------------------------------------------------------------------
Hypothetical (5% return before expenses) $ 1,000.00 $ 1,022.23 $3.01 0.59%
(1) Expenses are equal to the Portfolio's annualized expense ratio multiplied by
the average account value over the period, multiplied by the number of days in
the most recent fiscal half-year divided by the number of days in the fiscal
year (to reflect the one-half year period).
6
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
LIFE STAGE - CONSERVATIVE PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
INVESTMENT COMPANIES - 98.44%
AFFILIATED BOND FUNDS - 58.87%
285,512 WELLS FARGO ADVANTAGE GOVERNMENT SECURITIES FUND $ 2,940,770
344,530 WELLS FARGO ADVANTAGE SHORT-TERM BOND FUND 2,935,396
214,287 WELLS FARGO ADVANTAGE ULTRA SHORT-TERM INCOME FUND 1,952,152
7,828,318
---------------
AFFILIATED STOCK FUNDS - 39.57%
80,138 WELLS FARGO ADVANTAGE CAPITAL GROWTH FUND 1,314,272
57,102 WELLS FARGO ADVANTAGE COMMON STOCK FUND 1,319,638
31,271 WELLS FARGO ADVANTAGE GROWTH AND INCOME FUND 656,372
55,981 WELLS FARGO ADVANTAGE OVERSEAS FUND 657,223
75,396 WELLS FARGO ADVANTAGE U.S. VALUE FUND 1,314,907
5,262,412
---------------
TOTAL INVESTMENT COMPANIES (COST $13,117,822) 13,090,730
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $13,117,822)* 98.44% $ 13,090,730
OTHER ASSETS AND LIABILITIES, NET 1.56 207,958
------ ---------------
TOTAL NET ASSETS 100.00% $ 13,298,688
====== ===============
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
7
PORTFOLIO OF INVESTMENTS--
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
LIFE STAGE - MODERATE PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
INVESTMENT COMPANIES - 98.86%
AFFILIATED BOND FUNDS - 39.37%
522,162 WELLS FARGO ADVANTAGE GOVERNMENT SECURITIES FUND $ 5,378,266
631,457 WELLS FARGO ADVANTAGE SHORT-TERM BOND FUND 5,380,013
392,740 WELLS FARGO ADVANTAGE ULTRA SHORT-TERM INCOME FUND 3,577,865
14,336,144
---------------
AFFILIATED STOCK FUNDS - 59.49%
328,956 WELLS FARGO ADVANTAGE CAPITAL GROWTH FUND 5,394,880
235,725 WELLS FARGO ADVANTAGE COMMON STOCK FUND 5,447,596
128,177 WELLS FARGO ADVANTAGE GROWTH AND INCOME FUND 2,690,428
231,686 WELLS FARGO ADVANTAGE OVERSEAS FUND 2,719,997
310,174 WELLS FARGO ADVANTAGE U.S. VALUE FUND 5,409,435
21,662,336
---------------
TOTAL INVESTMENT COMPANIES (COST $35,102,015) 35,998,480
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $35,102,015)* 98.86% $ 35,998,480
OTHER ASSETS AND LIABILITIES, NET 1.14 415,037
------ ---------------
TOTAL NET ASSETS 100.00% $ 36,413,517
====== ===============
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
8
PORTFOLIO OF INVESTMENTS--
AUGUST 31, 2006 (UNAUDITED) WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
LIFE STAGE - AGGRESSIVE PORTFOLIO
- --------------------------------------------------------------------------------
SHARES SECURITY NAME VALUE
INVESTMENT COMPANIES - 98.94%
AFFILIATED BOND FUNDS - 19.76%
186,103 WELLS FARGO ADVANTAGE GOVERNMENT SECURITIES FUND $ 1,916,860
225,009 WELLS FARGO ADVANTAGE SHORT-TERM BOND FUND 1,917,080
139,941 WELLS FARGO ADVANTAGE ULTRA SHORT-TERM INCOME FUND 1,274,862
5,108,802
---------------
AFFILIATED STOCK FUNDS - 79.18%
311,104 WELLS FARGO ADVANTAGE CAPITAL GROWTH FUND 5,102,102
222,650 WELLS FARGO ADVANTAGE COMMON STOCK FUND 5,145,441
121,402 WELLS FARGO ADVANTAGE GROWTH AND INCOME FUND 2,548,237
218,726 WELLS FARGO ADVANTAGE OVERSEAS FUND 2,567,848
293,126 WELLS FARGO ADVANTAGE U.S. VALUE FUND 5,112,115
20,475,743
---------------
TOTAL INVESTMENT COMPANIES (COST $24,798,205) 25,584,545
---------------
TOTAL INVESTMENTS IN SECURITIES
(COST $24,798,205)* 98.94% $ 25,584,545
OTHER ASSETS AND LIABILITIES, NET 1.06 274,999
------ ---------------
TOTAL NET ASSETS 100.00% $ 25,859,544
====== ===============
* COST FOR FEDERAL INCOME TAX PURPOSES IS SUBSTANTIALLY THE SAME AS FOR
FINANCIAL REPORTING PURPOSES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
9
WELLS FARGO ADVANTAGE LIFE STAGE STATEMENTS OF ASSETS AND LIABILITIES--
PORTFOLIOS AUGUST 31, 2006 (UNAUDITED)
- --------------------------------------------------------------------------------
LIFE STAGE - LIFE STAGE - LIFE STAGE -
CONSERVATIVE MODERATE AGGRESSIVE
PORTFOLIO PORTFOLIO PORTFOLIO
- ----------------------------------------------------------------------------------------------------------------------------------
ASSETS
INVESTMENTS:
INVESTMENTS IN AFFILIATES ............................................ $ 13,090,730 $ 35,998,480 $ 25,584,545
--------------- ---------------- ----------------
TOTAL INVESTMENTS AT MARKET VALUE (SEE COST BELOW) ...................... 13,090,730 35,998,480 25,584,545
--------------- ---------------- ----------------
CASH ................................................................. 150,097 314,954 257,553
RECEIVABLE FOR FUND SHARES ISSUED .................................... 224 32,896 163
RECEIVABLE FOR INVESTMENTS SOLD ...................................... 24,903 0 0
RECEIVABLES FOR DIVIDENDS AND INTEREST ............................... 37,587 83,883 22,236
RECEIVABLE FROM INVESTMENT ADVISOR AND AFFILIATES .................... 2,402 0 3,675
PREPAID EXPENSES AND OTHER ASSETS .................................... 2,779 13,407 5,785
--------------- ---------------- ----------------
TOTAL ASSETS ............................................................ 13,308,722 36,443,620 25,873,957
--------------- ---------------- ----------------
LIABILITIES
PAYABLE FOR FUND SHARES REDEEMED ..................................... 8,615 4,650 4,801
PAYABLE FOR INVESTMENTS PURCHASED .................................... 0 14,954 7,553
PAYABLE TO INVESTMENT ADVISOR AND AFFILIATES (NOTE 3) ................ 0 6,448 0
PAYABLE TO THE TRUSTEES AND SHAREHOLDER SERVICING AGENT .............. 1,419 4,051 2,059
--------------- ---------------- ----------------
TOTAL LIABILITIES ....................................................... 10,034 30,103 14,413
--------------- ---------------- ----------------
TOTAL NET ASSETS ........................................................ $ 13,298,688 $ 36,413,517 $ 25,859,544
=============== ================ ================
NET ASSETS CONSIST OF:
- ----------------------------------------------------------------------------------------------------------------------------------
PAID-IN CAPITAL ...................................................... $ 14,073,691 $ 40,678,182 $ 28,308,379
UNDISTRIBUTED NET INVESTMENT INCOME (LOSS) ........................... 72,929 447,169 131,874
UNDISTRIBUTED NET REALIZED GAIN (LOSS) ON INVESTMENTS ................ (820,840) (5,608,299) (3,367,049)
NET UNREALIZED APPRECIATION (DEPRECIATION) OF INVESTMENTS,
FOREIGN CURRENCIES AND TRANSLATION OF ASSETS AND LIABILITIES
DENOMINATED IN FOREIGN CURRENCIES ................................. (27,092) 896,465 786,340
--------------- ---------------- ----------------
TOTAL NET ASSETS ........................................................ $ 13,298,688 $ 36,413,517 $ 25,859,544
--------------- ---------------- ----------------
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE(1)
- ----------------------------------------------------------------------------------------------------------------------------------
NET ASSETS - INVESTOR CLASS .......................................... $ 13,298,688 $ 36,413,517 $ 25,859,544
SHARES OUTSTANDING - INVESTOR CLASS .................................. 1,315,581 3,377,441 2,326,179
NET ASSET VALUE AND OFFERING PRICE PER SHARE - INVESTOR CLASS ........ $ 10.11 $ 10.78 $ 11.12
--------------- ---------------- ----------------
INVESTMENTS AT COST ..................................................... $ 13,117,822 $ 35,102,015 $ 24,798,205
=============== ================ ================
(1) EACH FUND HAS AN UNLIMITED NUMBER OF AUTHORIZED SHARES.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
10
STATEMENTS OF OPERATIONS--FOR THE SIX MONTHS WELLS FARGO ADVANTAGE LIFE
ENDED AUGUST 31, 2006 (UNAUDITED) STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
LIFE STAGE - LIFE STAGE - LIFE STAGE -
CONSERVATIVE MODERATE AGGRESSIVE
PORTFOLIO PORTFOLIO PORTFOLIO
- ----------------------------------------------------------------------------------------------------------------------------------
INVESTMENT INCOME
DIVIDEND INCOME FROM AFFILIATED SECURITIES ........................... $ 229,781 $ 454,461 $ 184,687
INTEREST ............................................................. 4,007 6,942 5,899
--------------- ---------------- ----------------
TOTAL INVESTMENT INCOME ................................................. 233,788 461,403 190,586
--------------- ---------------- ----------------
EXPENSES
ADMINISTRATION FEES .................................................. 34,300 90,910 64,092
SHAREHOLDER SERVICING FEES ........................................... 11,662 27,273 15,382
ACCOUNTING FEES ...................................................... 10,591 11,320 10,936
PROFESSIONAL FEES .................................................... 8,033 3,425 4,982
REGISTRATION FEES .................................................... 8,992 23,038 9,242
SHAREHOLDER REPORTS .................................................. 3,776 7,471 5,292
TRUSTEES' FEES ....................................................... 4,259 4,259 4,259
OTHER FEES AND EXPENSES .............................................. 2,922 1,789 1,708
--------------- ---------------- ----------------
TOTAL EXPENSES .......................................................... 84,535 169,485 115,893
--------------- ---------------- ----------------
LESS:
WAIVED FEES AND REIMBURSED EXPENSES (NOTE 3) ......................... (43,649) (61,665) (40,392)
NET EXPENSES ......................................................... 40,886 107,820 75,501
--------------- ---------------- ----------------
NET INVESTMENT INCOME (LOSS) ............................................ 192,902 353,583 115,085
--------------- ---------------- ----------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
- ----------------------------------------------------------------------------------------------------------------------------------
NET REALIZED GAIN (LOSS) FROM:
AFFILIATED UNDERLYING FUNDS .......................................... 165,534 432,478 472,743
--------------- ---------------- ----------------
NET REALIZED GAIN (LOSS) FROM INVESTMENTS ............................... 165,534 432,478 472,743
--------------- ---------------- ----------------
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) OF:
AFFILIATED UNDERLYING FUNDS .......................................... (123,323) (179,223) (214,917)
--------------- ---------------- ----------------
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) OF INVESTMENTS ..... (123,323) (179,223) (214,917)
--------------- ---------------- ----------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS .................. 42,211 253,255 257,826
--------------- ---------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ......... $ 235,113 $ 606,838 $ 372,911
=============== ================ ================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
11
WELLS FARGO ADVANTAGE LIFE STAGE
PORTFOLIOS STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
LIFE STAGE -
CONSERVATIVE PORTFOLIO
--------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 DECEMBER 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ................................................ $ 13,754,172 $ 14,760,275 $ 18,226,867
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ........................................ 192,902 58,240 473,251
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................. 165,534 68,025 1,790,970
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) OF
INVESTMENTS ....................................................... (123,323) 82,010 (1,681,653)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........ 235,113 208,275 582,568
---------------- ----------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME - INVESTOR CLASS .............................. (178,213) 0 (477,072)
---------------- ----------------- -----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .................................... (178,213) 0 (477,072)
---------------- ----------------- -----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - INVESTOR CLASS .......................... 3,092,501 1,187,154 4,661,500
REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ...................... 176,655 44 474,265
COST OF SHARES REDEEMED - INVESTOR CLASS ............................ (3,781,540) (2,401,576) (8,707,853)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INVESTOR CLASS ....................................... (512,384) (1,214,378) (3,572,088)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - TOTAL ................................................ (512,384) (1,214,378) (3,572,088)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS .................................. (455,484) (1,006,103) (3,466,592)
---------------- ----------------- -----------------
ENDING NET ASSETS ...................................................... $ 13,298,688 $ 13,754,172 $ 14,760,275
================ ================= =================
SHARES ISSUED AND REDEEMED:
SHARES SOLD - INVESTOR CLASS ........................................ 308,742 118,116 472,943
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ..... 17,788 0 48,107
SHARES REDEEMED - INVESTOR CLASS .................................... (378,075) (238,933) (881,392)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS - INVESTOR CLASS ................................. (51,545) (120,817) (360,342)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS - TOTAL .......................................... (51,545) (120,817) (360,342)
---------------- ----------------- -----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME .................. $ 72,929 $ 58,240 $ 0
================ ================= =================
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
12
WELLS FARGO ADVANTAGE LIFE STAGE
STATEMENTS OF CHANGES IN NET ASSETS PORTFOLIOS
- --------------------------------------------------------------------------------
LIFE STAGE -
MODERATE PORTFOLIO
--------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 DECEMBER 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ................................................ $ 36,014,206 $ 36,782,835 $ 49,742,083
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ........................................ 353,583 93,592 902,840
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................. 432,478 163,005 6,972,712
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) OF
INVESTMENTS ....................................................... (179,223) 467,072 (6,208,686)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........ 606,838 723,669 1,666,866
---------------- ----------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME - INVESTOR CLASS .............................. 0 (3,032) (900,001)
---------------- ----------------- -----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .................................... 0 (3,032) (900,001)
---------------- ----------------- -----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - INVESTOR CLASS .......................... 9,617,881 3,217,146 12,748,062
REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ...................... 0 3,029 899,410
COST OF SHARES REDEEMED - INVESTOR CLASS ............................ (9,825,408) (4,709,441) (27,373,585)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INVESTOR CLASS ....................................... (207,527) (1,489,266) (13,726,113)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - TOTAL ................................................ (207,527) (1,489,266) (13,726,113)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS .................................. 399,311 (768,629) (12,959,248)
---------------- ----------------- -----------------
ENDING NET ASSETS ...................................................... $ 36,413,517 $ 36,014,206 $ 36,782,835
================ ================= =================
SHARES ISSUED AND REDEEMED:
SHARES SOLD - INVESTOR CLASS ........................................ 906,598 303,880 1,243,797
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ..... 0 285 86,150
SHARES REDEEMED - INVESTOR CLASS .................................... (925,306) (444,270) (2,674,281)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS - INVESTOR CLASS ................................. (18,708) (140,105) (1,344,334)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS - TOTAL .......................................... (18,708) (140,105) (1,344,334)
---------------- ----------------- -----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME .................. $ 447,169 $ 93,586 $ 3,026
================ ================= =================
LIFE STAGE -
AGGRESSIVE PORTFOLIO
--------------------------------------------------------
FOR THE
SIX MONTHS ENDED FOR THE FOR THE
AUGUST 31, 2006 PERIOD ENDED YEAR ENDED
(UNAUDITED) FEBRUARY 28, 2006 DECEMBER 31, 2005
- -----------------------------------------------------------------------------------------------------------------------------------
INCREASE (DECREASE) IN NET ASSETS
BEGINNING NET ASSETS ................................................ $ 25,308,705 $ 26,214,671 $ 26,514,293
OPERATIONS:
NET INVESTMENT INCOME (LOSS) ........................................ 115,085 16,805 475,808
NET REALIZED GAIN (LOSS) ON INVESTMENTS ............................. 472,743 180,056 5,177,679
NET CHANGE IN UNREALIZED APPRECIATION (DEPRECIATION) OF
INVESTMENTS ....................................................... (214,917) 447,376 (4,349,074)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS ........ 372,911 644,237 1,304,413
---------------- ----------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
NET INVESTMENT INCOME - INVESTOR CLASS .............................. 0 (25,948) (450,005)
---------------- ----------------- -----------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS .................................... 0 (25,948) (450,005)
---------------- ----------------- -----------------
CAPITAL SHARES TRANSACTIONS:
PROCEEDS FROM SHARES SOLD - INVESTOR CLASS .......................... 7,456,160 1,680,645 10,292,227
REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ...................... 0 25,813 447,605
COST OF SHARES REDEEMED - INVESTOR CLASS ............................ (7,278,232) (3,230,713) (11,893,862)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - INVESTOR CLASS ....................................... 177,928 (1,524,255) (1,154,030)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM CAPITAL SHARE
TRANSACTIONS - TOTAL ................................................ 177,928 (1,524,255) (1,154,030)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN NET ASSETS .................................. 550,839 (905,966) (299,622)
---------------- ----------------- -----------------
ENDING NET ASSETS ...................................................... $ 25,859,544 $ 25,308,705 $ 26,214,671
================ ================= =================
SHARES ISSUED AND REDEEMED:
SHARES SOLD - INVESTOR CLASS ........................................ 679,459 153,313 984,259
SHARES ISSUED IN REINVESTMENT OF DISTRIBUTIONS - INVESTOR CLASS ..... 0 2,347 41,676
SHARES REDEEMED - INVESTOR CLASS .................................... (663,644) (294,811) (1,142,230)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS - INVESTOR CLASS ................................. 15,815 (139,151) (116,295)
---------------- ----------------- -----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING RESULTING FROM CAPITAL
SHARE TRANSACTIONS - TOTAL .......................................... 15,815 (139,151) (116,295)
---------------- ----------------- -----------------
ENDING BALANCE OF UNDISTRIBUTED NET INVESTMENT INCOME .................. $ 131,874 $ 16,789 $ 25,932
================ ================= =================
13
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
NET REALIZED
BEGINNING NET AND DISTRIBUTIONS DISTRIBUTIONS
NET ASSET INVESTMENT UNREALIZED FROM NET FROM NET
VALUE PER INCOME GAIN (LOSS) ON INVESTMENT REALIZED
SHARE (LOSS) INVESTMENTS INCOME GAINS
- ----------------------------------------------------------------------------------------------------------------------------------
LIFE STAGE - CONSERVATIVE PORTFOLIO
- ----------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS
FEBRUARY 28, 2006 TO AUGUST 31, 2006 (UNAUDITED) ..... $ 10.06 0.15 0.03 (0.13) 0.00
JANUARY 1, 2006 TO FEBRUARY 28, 2006(5) .............. $ 9.92 0.04 0.10 0.00 0.00
JANUARY 1, 2005 TO DECEMBER 31, 2005 ................. $ 9.86 0.30 0.06 (0.30) 0.00
JANUARY 1, 2004 TO DECEMBER 31, 2004 ................. $ 9.54 0.21 0.36 (0.25) 0.00
JANUARY 1, 2003 TO DECEMBER 31, 2003 ................. $ 8.59 0.19 1.00 (0.24) 0.00
JANUARY 1, 2002 TO DECEMBER 31, 2002 ................. $ 9.69 0.24 (1.06) (0.28) 0.00
JANUARY 1, 2001 TO DECEMBER 31, 2001 ................. $ 10.78 0.31 (0.87) (0.32) (0.21)
LIFE STAGE - MODERATE PORTFOLIO
- ----------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS
FEBRUARY 28, 2006 TO AUGUST 31, 2006 (UNAUDITED) ..... $ 10.60 0.10 0.08 0.00 0.00
JANUARY 1, 2006 TO FEBRUARY 28, 2006(5) .............. $ 10.40 0.03 0.17 0.00(6) 0.00
JANUARY 1, 2005 TO DECEMBER 31, 2005 ................. $ 10.19 0.26 0.21 (0.26) 0.00
JANUARY 1, 2004 TO DECEMBER 31, 2004 ................. $ 9.69 0.18 0.57 (0.25) 0.00
JANUARY 1, 2003 TO DECEMBER 31, 2003 ................. $ 8.19 0.12 1.53 (0.15) 0.00
JANUARY 1, 2002 TO DECEMBER 31, 2002 ................. $ 9.64 0.16 (1.44) (0.17) 0.00
JANUARY 1, 2001 TO DECEMBER 31, 2001 ................. $ 11.25 0.17 (1.31) (0.18) (0.29)
LIFE STAGE - AGGRESSIVE PORTFOLIO
- ----------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS
FEBRUARY 28, 2006 TO AUGUST 31, 2006 (UNAUDITED) ..... $ 10.95 0.05 0.12 0.00 0.00
JANUARY 1, 2006 TO FEBRUARY 28, 2006(5) .............. $ 10.70 0.01 0.25 (0.01) 0.00
JANUARY 1, 2005 TO DECEMBER 31, 2005 ................. $ 10.33 0.20 0.36 (0.19) 0.00
JANUARY 1, 2004 TO DECEMBER 31, 2004 ................. $ 9.61 0.11 0.81 (0.20) 0.00
JANUARY 1, 2003 TO DECEMBER 31, 2003 ................. $ 7.69 0.07 1.94 (0.09) 0.00
JANUARY 1, 2002 TO DECEMBER 31, 2002 ................. $ 9.50 0.08 (1.84) (0.05) 0.00
JANUARY 1, 2001 TO DECEMBER 31, 2001 ................. $ 11.85 0.07 (1.89) (0.07) (0.46)
(1) DURING EACH PERIOD, VARIOUS FEES AND EXPENSES WERE WAIVED AND REIMBURSED
AS INDICATED. THE RATIO OF GROSS EXPENSES TO AVERAGE NET ASSETS REFLECTS
THE EXPENSE RATIO IN THE ABSENCE OF ANY WAIVERS AND REIMBURSEMENTS (NOTE
3).
(2) THESE RATIOS DO NOT INCLUDE EXPENSES FROM THE UNDERLYING FUNDS.
(3) TOTAL RETURN CALCULATIONS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT
BEEN WAIVED OR REIMBURSED DURING THE PERIODS SHOWN. RETURNS FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT ANNUALIZED.
(4) PORTFOLIO TURNOVER RATES PRESENTED FOR PERIODS OF LESS THAN ONE YEAR ARE
NOT ANNUALIZED.
(5) THE PORTFOLIO CHANGED ITS FISCAL YEAR-END FROM DECEMBER 31 TO FEBRUARY 28.
(6) AMOUNT CALCULATED IS LESS THAN $0.005.
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS.
14
FINANCIAL HIGHLIGHTS WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
ENDING RATIO TO AVERAGE NET ASSETS (ANNUALIZED)(1)
NET ASSET ------------------------------------------------------
RETURN VALUE PER NET INVESTMENT GROSS EXPENSES NET
OF CAPITAL SHARE INCOME (LOSS) EXPENSES(2) WAIVED(2) EXPENSES(2)
- ------------------------------------------------------------------------------------------------------------------------------------
LIFE STAGE - CONSERVATIVE PORTFOLIO
- ------------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS
FEBRUARY 28, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $ 10.11 2.81% 1.23% (0.63)% 0.60%
JANUARY 1, 2006 TO FEBRUARY 28, 2006(5) ............... 0.00 $ 10.06 2.54% 1.01% (0.41)% 0.60%
JANUARY 1, 2005 TO DECEMBER 31, 2005 .................. 0.00 $ 9.92 2.83% 0.97% (0.57)% 0.40%
JANUARY 1, 2004 TO DECEMBER 31, 2004 .................. 0.00 $ 9.86 1.98% 0.60% (0.48)% 0.12%
JANUARY 1, 2003 TO DECEMBER 31, 2003 .................. 0.00 $ 9.54 2.03% 0.46% (0.25)% 0.21%
JANUARY 1, 2002 TO DECEMBER 31, 2002 .................. 0.00 $ 8.59 2.71% 0.40% (0.15)% 0.25%
JANUARY 1, 2001 TO DECEMBER 31, 2001 .................. 0.00 $ 9.69 3.08% 0.43% (0.18)% 0.25%
LIFE STAGE - MODERATE PORTFOLIO
- ------------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS
FEBRUARY 28, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $ 10.78 1.94% 0.93% (0.34)% 0.59%
JANUARY 1, 2006 TO FEBRUARY 28, 2006(5) ............... 0.00 $ 10.60 1.60% 1.21% (0.62)% 0.59%
JANUARY 1, 2005 TO DECEMBER 31, 2005 .................. 0.00 $ 10.40 2.28% 0.82% (0.44)% 0.38%
JANUARY 1, 2004 TO DECEMBER 31, 2004 .................. 0.00 $ 10.19 1.44% 0.45% (0.35)% 0.10%
JANUARY 1, 2003 TO DECEMBER 31, 2003 .................. 0.00 $ 9.69 1.41% 0.40% (0.18)% 0.22%
JANUARY 1, 2002 TO DECEMBER 31, 2002 .................. 0.00 $ 8.19 1.85% 0.37% (0.12)% 0.25%
JANUARY 1, 2001 TO DECEMBER 31, 2001 .................. 0.00 $ 9.64 1.91% 0.36% (0.11)% 0.25%
LIFE STAGE - AGGRESSIVE PORTFOLIO
- ------------------------------------------------------------------------------------------------------------------------------------
INVESTOR CLASS
FEBRUARY 28, 2006 TO AUGUST 31, 2006 (UNAUDITED) ...... 0.00 $ 11.12 0.90% 0.90% (0.31)% 0.59%
JANUARY 1, 2006 TO FEBRUARY 28, 2006(5) ............... 0.00 $ 10.95 0.41% 0.88% (0.29)% 0.59%
JANUARY 1, 2005 TO DECEMBER 31, 2005 .................. 0.00 $ 10.70 1.90% 0.86% (0.51)% 0.35%
JANUARY 1, 2004 TO DECEMBER 31, 2004 .................. 0.00 $ 10.33 0.91% 0.51% (0.42)% 0.09%
JANUARY 1, 2003 TO DECEMBER 31, 2003 .................. 0.00 $ 9.61 0.84% 0.55% (0.32)% 0.23%
JANUARY 1, 2002 TO DECEMBER 31, 2002 .................. 0.00 $ 7.69 1.06% 0.56% (0.31)% 0.25%
JANUARY 1, 2001 TO DECEMBER 31, 2001 .................. 0.00 $ 9.50 0.74% 0.60% (0.35)% 0.25%
PORTFOLIO NET ASSETS AT
TOTAL TURNOVER END OF PERIOD
RETURN(3) RATE(4) (000'S OMITTED)
- --------------------------------------------------------------------------------------------------------
LIFE STAGE - CONSERVATIVE PORTFOLIO
- --------------------------------------------------------------------------------------------------------
INVESTOR CLASS
FEBRUARY 28, 2006 TO AUGUST 31, 2006 (UNAUDITED) .......... 1.81% 10% $ 13,299
JANUARY 1, 2006 TO FEBRUARY 28, 2006(5) ................... 1.41% 2% $ 13,754
JANUARY 1, 2005 TO DECEMBER 31, 2005 ...................... 3.68% 42% $ 14,760
JANUARY 1, 2004 TO DECEMBER 31, 2004 ...................... 5.99% 70% $ 18,227
JANUARY 1, 2003 TO DECEMBER 31, 2003 ...................... 13.99% 47% $ 33,915
JANUARY 1, 2002 TO DECEMBER 31, 2002 ...................... (8.53)% 64% $ 27,939
JANUARY 1, 2001 TO DECEMBER 31, 2001 ...................... (5.13)% 35% $ 26,835
LIFE STAGE - MODERATE PORTFOLIO
- --------------------------------------------------------------------------------------------------------
INVESTOR CLASS
FEBRUARY 28, 2006 TO AUGUST 31, 2006 (UNAUDITED) .......... 1.70% 8% $ 36,414
JANUARY 1, 2006 TO FEBRUARY 28, 2006(5) ................... 1.93% 3% $ 36,014
JANUARY 1, 2005 TO DECEMBER 31, 2005 ...................... 4.62% 38% $ 36,783
JANUARY 1, 2004 TO DECEMBER 31, 2004 ...................... 7.71% 58% $ 49,742
JANUARY 1, 2003 TO DECEMBER 31, 2003 ...................... 20.18% 20% $ 72,629
JANUARY 1, 2002 TO DECEMBER 31, 2002 ...................... (13.27)% 63% $ 57,046
JANUARY 1, 2001 TO DECEMBER 31, 2001 ...................... (10.20)% 23% $ 61,845
LIFE STAGE - AGGRESSIVE PORTFOLIO
- --------------------------------------------------------------------------------------------------------
INVESTOR CLASS
FEBRUARY 28, 2006 TO AUGUST 31, 2006 (UNAUDITED) .......... 1.55% 11% $ 25,860
JANUARY 1, 2006 TO FEBRUARY 28, 2006(5) ................... 2.44% 1% $ 25,309
JANUARY 1, 2005 TO DECEMBER 31, 2005 ...................... 5.40% 42% $ 26,215
JANUARY 1, 2004 TO DECEMBER 31, 2004 ...................... 9.60% 61% $ 26,514
JANUARY 1, 2003 TO DECEMBER 31, 2003 ...................... 26.10% 30% $ 35,394
JANUARY 1, 2002 TO DECEMBER 31, 2002 ...................... (18.54)% 78% $ 26,997
JANUARY 1, 2001 TO DECEMBER 31, 2001 ...................... (15.38)% 16% $ 26,433
15
WELLS FARGO ADVANTAGE LIFE STAGE
PORTFOLIOS NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
1. ORGANIZATION
- --------------------------------------------------------------------------------
Wells Fargo Funds Trust (the "Trust") is registered under the Investment
Company Act of 1940, as amended (the "1940 Act"), as an open-end management
investment company. The Trust commenced operations on November 8, 1999, and at
August 31, 2006, was comprised of 108 separate series (each, a "Fund",
collectively, the "Funds"). These financial statements present the Life Stage -
Conservative Portfolio, Life Stage - Moderate Portfolio, and Life Stage -
Aggressive Portfolio. Each Portfolio is a diversified series of the Trust.
The Funds each seek to achieve their investment objectives by allocating
their assets across both stock and bond investment styles through investment in
underlying funds of the Wells Fargo Advantage Fund Family (the "Underlying
Funds"). The Underlying Funds incur separate expenses in seeking to achieve
their investment objectives. The financial statements and financial highlights
for the Underlying Funds are presented in separate financial statements and may
be obtained from the Portfolios' Web site at WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
In August and September 2004, the Board of Trustees of the Trust and the Boards
of Directors of the Strong Funds ("Strong Funds") approved an Agreement and Plan
of Reorganization providing for the reorganization of certain Strong Funds into
the Funds.
Effective at the close of business on April 8, 2005, the following
Acquiring Portfolios ("Acquiring Portfolios"), by share class, acquired
substantially all of the net assets of the following Target Portfolios ("Target
Portfolios"), by share class, through a tax-free exchange under section 368 of
the Internal Revenue Code.
Acquiring Portfolios Target Portfolios
- ------------------------------------------------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIFE STAGE - CONSERVATIVE PORTFOLIO STRONG LIFE STAGE SERIES - CONSERVATIVE PORTFOLIO INVESTOR CLASS
INVESTOR CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIFE STAGE - MODERATE PORTFOLIO STRONG LIFE STAGE SERIES - MODERATE PORTFOLIO INVESTOR CLASS
INVESTOR CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
WELLS FARGO ADVANTAGE LIFE STAGE - AGGRESSIVE PORTFOLIO STRONG LIFE STAGE SERIES - AGGRESSIVE PORTFOLIO INVESTOR CLASS
INVESTOR CLASS
- ------------------------------------------------------------------------------------------------------------------------------------
2. SIGNIFICANT ACCOUNTING POLICIES
- --------------------------------------------------------------------------------
The following significant accounting policies, which are consistently
followed in the preparation of the financial statements of the Trust, are in
conformity with accounting principles generally accepted in the United States of
America ("GAAP") for investment companies.
The preparation of financial statements in conformity with GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities, disclosure of contingent assets and liabilities at the
date of the financial statements, and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from those
estimates.
Certain underlying Funds of the Trust may invest a substantial portion of
their assets in an industry, sector or foreign country. Such Underlying Funds
may be more affected by changes in that industry, sector or foreign country than
they would be absent the concentration of investments.
In the normal course of business, the Trust may enter into contracts that
provide certain indemnifications. The Trust's maximum exposure under these
arrangements is dependent on future claims that may be made against the
Portfolios and, therefore, cannot be estimated; however, based on experience,
the risk of loss from such claims is considered remote.
SECURITY VALUATION
Each Fund determines its net asset value as of the close of regular
trading on the New York Stock Exchange ("NYSE"), which is usually 4:00 p.m.
(Eastern Time) on each Fund business day. Investments in the underlying Funds
are valued at the closing net asset value per share of each underlying Fund on
the valuation date. The valuation policies of the Fund are consistent with the
valuation policies of the underlying Funds.
Securities denominated in foreign currencies are translated into U.S.
dollars using the closing rates of exchange in effect on the day of valuation.
Many securities markets and exchanges outside the U.S. close prior to the
close of the NYSE and therefore may not fully reflect trading or events that
occur after the close of the principal exchange in which the foreign investments
are traded but before the close of the NYSE. If such trading or events are
expected to materially affect the value of the investments, then those
investments are fair valued following procedures approved by the Board of
Trustees. These procedures take into account multiple factors including
movements in U.S. securities markets after foreign exchanges close. Depending on
market activity, such fair valuations may be frequent. In light of the judgment
involved in fair valuation decisions, there can be no assurance that a fair
value assigned to a particular security is accurate. Such fair value pricing may
result in NAVs that are higher or lower than NAVs based on the closing price or
latest quoted bid price.
Certain fixed income securities with maturities exceeding 60 days are
valued by using a pricing service approved by the Trust's Board of Trustees. The
service uses market prices as quoted by an independent pricing service or by
dealers in these securities when, in the service's judgment, these prices are
readily available and are representative of the securities' market values. For
some securities, such prices are not readily available. These securities will
generally be fair valued using methods which may include consideration of yields
or prices of securities of comparable quality, coupon rate, maturity and type of
issue, indications as to values from dealers in securities, trading
characteristics, and general market conditions.
Debt securities maturing in 60 days or less generally are valued at
amortized cost. The amortized cost method involves valuing a security at its
cost, plus accretion of discount or minus amortization of premium over the
period until maturity, which approximates market value.
16
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED) WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
Investments which are not valued using any of the methods discussed above
are valued at their fair value as determined by procedures approved by the Board
of Trustees.
SECURITY TRANSACTIONS AND INCOME RECOGNITION
Securities transactions are recorded on a trade date basis. Realized gains
or losses are reported on the basis of identified cost of securities delivered.
Interest income is accrued daily and bond discounts are accreted and premiums
are amortized daily.
Dividend income and realized gain distributions are recognized on the
ex-dividend date, except for certain dividends from foreign securities, which
are recorded as soon as the Fund is informed of the ex-dividend date. Dividend
income from foreign securities is recorded net of foreign taxes withheld where
recovery of such taxes is not assured.
Realized gain distributions from underlying Funds are treated as realized
gains.
DISTRIBUTIONS TO SHAREHOLDERS
Net investment income, if any, is declared and distributed to shareholders
annually, with the exception of the Life Stage - Conservative Portfolio, for
which net investment income, if any, is declared and distributed quarterly.
Distributions to shareholders from net realized capital gains, if any, are
declared and distributed at least annually.
For federal income tax purposes, a Portfolio may designate as capital
gains distributions the earnings and profits distributed to shareholders on the
redemption of Portfolio shares during the year.
Distributions are based on amounts calculated in accordance with the
applicable federal income tax regulations, which may differ from GAAP. The
timing and character of distributions made during the period from net investment
income or net realized gains may also differ from their ultimate
characterization for federal income tax purposes. To the extent that these
differences are permanent in nature, such amounts are reclassified within the
capital accounts based on their federal tax-basis treatment. Temporary
differences do not require reclassifications.
FEDERAL INCOME TAXES
Each Portfolio is treated as a separate entity for U.S. federal income tax
purposes. It is the policy of each Fund of the Trust to continue to qualify as a
regulated investment company under Subchapter M of Subtitle A, Chapter 1 of the
Internal Revenue Code (the "Code"), and to make distributions of substantially
all of its investment company taxable income and any net realized capital gains
(after reduction for capital loss carryforwards) sufficient to relieve it from
all, or substantially all, federal income taxes. Accordingly, no provision for
federal income taxes was required at August 31, 2006.
At February 28, 2006, estimated net capital loss carryforwards, which are
available to offset future net realized capital gains, were:
Portfolio Year Expires Capital Loss Carryforwards
- --------------------------------------------------------------------------------
LIFE STAGE - CONSERVATIVE PORTFOLIO 2010 $ 829,100
2011 234,931
- --------------------------------------------------------------------------------
LIFE STAGE - MODERATE PORTFOLIO 2010 6,287,707
2011 261,124
- --------------------------------------------------------------------------------
LIFE STAGE - AGGRESSIVE PORTFOLIO 2010 4,331,643
2011 181,679
- --------------------------------------------------------------------------------
3. EXPENSES
- --------------------------------------------------------------------------------
ADVISORY FEES
The Trust has entered into an advisory contract with Wells Fargo Funds
Management, LLC ("Funds Management"). Funds Management is responsible for
implementing the investment policies and guidelines for the Portfolios. Funds
Management does not receive any fees for its provision of investment advisory
services to the Portfolios; rather Funds Management receives a fee for providing
investment advising services to each of the underlying Funds.
ADMINISTRATION AND TRANSFER AGENT FEES
The Trust has entered into an Administration Agreement with Funds
Management. Under this Agreement, for providing administrative services, which
includes paying fees and expenses for services provided by the transfer agent,
sub-transfer agents, omnibus account servicers and record-keepers, Funds
Management is entitled to receive the following annual fees:
Admin Fees*
Average Daily (% of Average
Net Assets Daily Net Assets)
- --------------------------------------------------------------------------------
LIFE STAGE PORTFOLIOS First $5 billion 0.50
Next $5 billion 0.49
Over $10 billion 0.48
- --------------------------------------------------------------------------------
17
WELLS FARGO ADVANTAGE LIFE STAGE
PORTFOLIOS NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
* Effective April 11, 2005. Prior to April 11, 2005, Strong Investor
Services, Inc. ("SISI") served as administrator to each of the predecessor
Strong Funds and was entitled to receive an annual fee at the following
rates:
% of Average
Share Class Daily Net Assets
- --------------------------------------------------------------------------------
INVESTOR CLASS 0.28
- --------------------------------------------------------------------------------
The Trust has entered into transfer agent agreement with Boston Financial
Data Services, Inc. ("BFDS"). BFDS served as the transfer agent to the
predecessor Strong Funds effective March 14, 2005. Prior to March 14, 2005, SISI
served as transfer agent to each of the predecessor Strong Funds. Effective
April 11, 2005, transfer agent fees are paid by Funds Management and not by the
Portfolios.
Prior to April 11, 2005, transfer agent fees were reimbursed by the
underlying Funds and are not reflected in each Portfolio's Statement of
Operations or the Financial Highlights. SISI was also compensated for certain
other out-of-pocket expenses related to transfer agent services. For financial
statement presentation, these out-of-pocket expenses for the period from January
1, 2005, through April 10, 2005, as shown below, have been combined with
administration fees.
Transfer Agent Fees and
Portfolio Other Related Expenses
- --------------------------------------------------------------------------------
LIFE STATE - CONSERVATIVE PORTFOLIO $235
- --------------------------------------------------------------------------------
LIFE STAGE - MODERATE PORTFOLIO 479
- --------------------------------------------------------------------------------
LIFE STAGE - AGGRESSIVE PORTFOLIO 124
- --------------------------------------------------------------------------------
CUSTODY FEES
The Trust has entered into a contract with Wells Fargo Bank, N.A. ("WFB"),
whereby WFB is responsible for providing custody services. WFB does not receive
a custodial fee for any Fund that invests its assets solely in one or more
investment companies.
SHAREHOLDER SERVICING FEES
The Trust has entered into contracts with one or more shareholder
servicing agents, whereby each Portfolio is charged up to the following annual
fees:
% of Average
Share Class Daily Net Assets**
- --------------------------------------------------------------------------------
INVESTOR CLASS 0.25
- --------------------------------------------------------------------------------
** Effective April 11, 2005. Prior to April 11, 2005, shareholder servicing
fees for the predecessor Strong Funds, if any, were encompassed by the
Strong Funds' 12b-1 distribution and service plan fees. For the period
April 11, 2005, through December 31, 2005, shareholder servicing fees paid
were as follows:
Portfolio Investor Class
- --------------------------------------------------------------------------------
LIFE STATE - CONSERVATIVE PORTFOLIO $22,929
- --------------------------------------------------------------------------------
LIFE STAGE - MODERATE PORTFOLIO 49,454
- --------------------------------------------------------------------------------
LIFE STAGE - AGGRESSIVE PORTFOLIO 28,154
- --------------------------------------------------------------------------------
Shareholder servicing fees paid for the period ended August 31, 2006, are
shown on the Statements of Operations.
OTHER FEES
PFPC, Inc. ("PFPC") serves as fund accountant for the Trust and is
entitled to receive an annual asset based fee and an annual fixed fee from each
Portfolio. PFPC is also entitled to be reimbursed for all out-of-pocket expenses
reasonably incurred in providing these services.
Prior to February 25, 2005, State Street served as fund accountant to each
of the predecessor Strong Funds. Fund accounting fees were paid by the
Portfolios' administrator and not by the Portfolios.
WAIVED FEES AND REIMBURSED EXPENSES
Effective April 11, 2005, Funds Management waived fees or reimbursed
expenses, first from administration fees, and then any remaining amount from
shareholder servicing fees collected, if any. The Portfolio's adviser has
committed through June 30, 2007 to waive fees and/or reimburse expenses to the
extent necessary to maintain a certain net operating expense ratio for the
Portfolio(s). Net operating expense ratios in effect at August 31, 2006, were as
follows:
18
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED) WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
Net Operating
Expense Ratios
Portfolio Investor Class*
- --------------------------------------------------------------------------------
LIFE STAGE - CONSERVATIVE PORTFOLIO 0.60%
- --------------------------------------------------------------------------------
LIFE STAGE - MODERATE PORTFOLIO 0.59%
- --------------------------------------------------------------------------------
LIFE STAGE - AGGRESSIVE PORTFOLIO 0.59%
- --------------------------------------------------------------------------------
* Effective June 24, 2005. Prior to June 24, 2005, net operating expense
ratios at the Portfolio level were 0.22%, 0.26%, and 0.27%, respectively,
for the Conservative Portfolio, Moderate Portfolio, and Aggressive
Portfolio. Total annual operating expenses are 1.25%, 1.35%, and 1.45%,
respectively, which takes into consideration both the expenses of the
Portfolio as well as the expenses of the Underlying Funds.
Prior to April 11, 2005, SISI could voluntarily waive or absorb certain
expenses at its discretion. Strong Capital Management, Inc. and/or SISI had
contractually agreed to waive its fees and/or absorb expenses for Strong Life
Stage Series - Conservative Portfolio, Strong Life Stage Series - Moderate
Portfolio, and Strong Life Stage Series - Aggressive Portfolio until May 1,
2005, to keep total annual operating expenses at no more than 1.25%, 1.35%, and
1.45%, respectively. These contractual caps take into consideration both the
expenses of the Portfolios as well as the expenses of the underlying Funds.
However, effective April 11, 2005, the Portfolios are subject to a different
expense structure.
4. INVESTMENT PORTFOLIO TRANSACTIONS
- --------------------------------------------------------------------------------
Purchases and sales of investments, exclusive of short-term securities
(securities with maturities of one year or less at purchase date) and U.S.
Government obligations, for the period ended August 31, 2006, were as follows:
Portfolio Purchases at Cost Sales Proceeds
- --------------------------------------------------------------------------------
LIFE STAGE - CONSERVATIVE PORTFOLIO $1,323,128 $1,736,700
- --------------------------------------------------------------------------------
LIFE STAGE - MODERATE PORTFOLIO 2,491,814 2,883,569
- --------------------------------------------------------------------------------
LIFE STAGE - AGGRESSIVE PORTFOLIO 3,172,957 2,868,018
- --------------------------------------------------------------------------------
5. BANK BORROWINGS
- --------------------------------------------------------------------------------
Wells Fargo Funds Trust and Wells Fargo Variable Trust (excluding the
money market funds) share in a revolving Credit Agreement with The Bank of New
York, whereby the Funds are permitted to use bank borrowings for temporary or
emergency purposes, such as to fund shareholder redemption requests. The
agreement permits borrowings of up to $150 million, collectively. Interest is
charged to each Fund based on its borrowing at a rate equal to the Federal Funds
Rate plus 0.40%. In addition, the Funds pay a quarterly commitment fee equal to
0.1% per annum of the credit line. For the six months ended August 31, 2006,
there were no borrowings by the Life Stage Portfolios under the agreement.
6. MISCELLANEOUS
- --------------------------------------------------------------------------------
On June 15, 2005, the Life Stage - Conservative Portfolio, the Life Stage
- - Moderate Portfolio, and the Life Stage - Aggressive Portfolio exchanged their
portfolio investments in various share classes of proprietary mutual funds for
Institutional Class shares of the same funds in order to lower the underlying
Fund expense ratio for each Portfolio. For financial reporting purposes, this
transaction was treated as a recognized sale and the gain realized for each
Portfolio as a result of the exchanges was as follows:
Portfolio
- --------------------------------------------------------------------------------
LIFE STAGE - CONSERVATIVE PORTFOLIO $ 529,247
- --------------------------------------------------------------------------------
LIFE STAGE - MODERATE PORTFOLIO 1,868,065
- --------------------------------------------------------------------------------
LIFE STAGE - AGGRESSIVE PORTFOLIO 1,703,081
- --------------------------------------------------------------------------------
For tax purposes, the exchanges are treated as nontaxable exchanges under
Section 1036(a) of the Code. As a result, the amounts listed above are not
recognized for tax purposes until the new Institutional Class shares acquired in
the exchanges are subsequently sold. Accordingly, the tax cost basis of
Institutional Class shares received in the exchanges which are still held as of
February 28, 2006, are lower than the financial statement cost basis (to the
extent of the remaining deferred tax gain on such shares). As of February 28,
2006, the deferred gain for income tax purposes was as follows:
Portfolio
- --------------------------------------------------------------------------------
LIFE STAGE - CONSERVATIVE PORTFOLIO $ 222,004
- --------------------------------------------------------------------------------
LIFE STAGE - MODERATE PORTFOLIO 979,973
- --------------------------------------------------------------------------------
LIFE STAGE - AGGRESSIVE PORTFOLIO 1,243,721
- --------------------------------------------------------------------------------
19
NOTES TO FINANCIAL STATEMENTS
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS (UNAUDITED)
- --------------------------------------------------------------------------------
7. LEGAL AND REGULATORY MATTERS
- --------------------------------------------------------------------------------
In 2004, the predecessor Strong Funds' investment adviser and affiliates
(collectively, "Strong") entered into agreements with certain regulators,
including the Securities and Exchange Commission and the New York Attorney
General ("NYAG"), to settle market-timing investigations. In the settlements,
Strong agreed to pay investor restoration and civil penalties. Although some
portion of these payments is likely to be distributed to predecessor Strong Fund
shareholders, no determination has yet been made as to the distribution of these
amounts, and the successor funds are not expected to receive any portion of
these payments. The NYAG settlement imposed fee reductions across the
predecessor fund complex (excluding money market funds and very short-term
income funds) totaling at least $35 million by May 2009. The current Funds'
adviser has agreed to honor these fee reductions for the benefit of shareholders
across the successor funds. Although civil litigation against Strong and certain
predecessor Strong Funds relating to these matters is continuing, neither the
current adviser nor the successor funds is a party to any such suit.
8. NEW ACCOUNTING PRONOUNCEMENTS
- --------------------------------------------------------------------------------
In June 2006, the Financial Accounting Standards Board (FASB) issued FASB
Interpretation 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." This
standard defines the threshold for recognizing the benefits of tax-return
positions in the financial statements as "more-likely-than-not" to be sustained
by the taxing authority and requires measurement of a tax position meeting the
more-likely-than-not criterion, based on the largest benefit that is more than
50 percent likely to be realized. FIN 48 is effective as of the beginning of the
first fiscal year beginning after December 15, 2006 (January 1, 2007 for
calendar-year companies), with early application permitted if no interim
financial statements have been issued. At adoption, companies must adjust their
financial statements to reflect only those tax positions that are
more-likely-than-not to be sustained as of the adoption date. As of August 31,
2006, the Funds have not evaluated the impact that will result from adopting FIN
48.
20
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
PROXY VOTING INFORMATION
A description of the policies and procedures that the Funds use to
determine how to vote proxies relating to portfolio securities and information
regarding how to obtain the results of such voting during the most recent
12-month period ended June 30 is available without charge, upon request, by
calling 1-800-222-8222, visiting our Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS, or visiting the SEC Web site at WWW.SEC.GOV.
PORTFOLIO HOLDINGS INFORMATION
The complete portfolio holdings for each Fund are publicly available on
the Funds' Web site (WWW.WELLSFARGO.COM/ADVANTAGEFUNDS) on a monthly, 30-day or
more delayed basis. In addition, top ten holdings information for each Fund is
publicly available on the Funds' Web site on a monthly, seven-day or more
delayed basis. Each Fund files its complete schedule of portfolio holdings with
the SEC for the first and third quarters of each fiscal year on Form N-Q, which
is available without charge by visiting the SEC Web site at WWW.SEC.GOV. In
addition, each Fund's Form N-Q may be reviewed and copied at the SEC's Public
Reference Room in Washington, DC, and at regional offices in New York City, at
233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900.
Information about the Public Reference Room may be obtained by calling
1-800-SEC-0330.
BOARD OF TRUSTEES
The following table provides basic information about the Board of Trustees
(the "Trustees") of the Wells Fargo Funds Trust (the "Trust"). This table
supplements, and should be read in conjunction with, the Prospectus and the
Statement of Additional Information* of each Fund. Each of the Trustees listed
below acts in identical capacities for each of the 142 funds comprising the
Trust, Wells Fargo Variable Trust and Wells Fargo Master Trust (collectively the
"Fund Complex"). All of the non-interested Trustees are also members of the
Audit and Governance Committees of each Trust in the Fund Complex. The address
of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA
94105. Each Trustee and Officer serves an indefinite term, however, each Trustee
serves such term until reaching the mandatory retirement age established by the
Trustees.
NON-INTERESTED TRUSTEES
- -----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE ** PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------
Thomas S. Goho Trustee, since 1987 Chair of Finance, Wake Forest None
64 University, since 2006. Benson-
Pruitt Professorship, Wake
Forest University, Calloway
School of Business and
Accountancy, since 1999.
- -----------------------------------------------------------------------------------------------------------
Peter G. Gordon Trustee, since 1998 Chairman, CEO, and Co- None
63 (Chairman, since 2001) Founder of Crystal Geyser
Water Company, and President
of Crystal Geyser Roxane Water
Company.
- -----------------------------------------------------------------------------------------------------------
Richard M. Leach Trustee, since 1987 Retired. Prior thereto, President None
73 of Richard M. Leach Associates
(a financial consulting firm).
- -----------------------------------------------------------------------------------------------------------
Olivia S. Mitchell Trustee, since 2006 Professor of Insurance and Risk None
53 Management, Wharton School,
University of Pennsylvania.
Director of the Boettner Center
on Pensions and Retirement.
Research Associate and Board
Member, Penn Aging Research
Center. Research Associate,
National Bureau of Economic
Research.
21
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
NON-INTERESTED TRUSTEES (continued)
- -----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------
Timothy J. Penny Trustee, since 1996 Senior Counselor to the public None
54 relations firm of Himle-Horner,
and Senior Fellow at the
Humphrey Institute,
Minneapolis, Minnesota (a
public policy organization).
- -----------------------------------------------------------------------------------------------------------
Donald C. Willeke Trustee, since 1996 Principal of the law firm of None
66 Willeke & Daniels.
- -----------------------------------------------------------------------------------------------------------
INTERESTED TRUSTEE***
- -----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE** PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------
J. Tucker Morse Trustee, since 1987 Private Investor/Real Estate None
62 Developer. Prior thereto,
Chairman of White Point
Capital, LLC until 2005.
- -----------------------------------------------------------------------------------------------------------
OFFICERS
- -----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------
Karla M. Rabusch President, since 2003 Executive Vice President of None
47 Wells Fargo Bank, N.A. and
President of Wells Fargo Funds
Management, LLC. Senior Vice
President and Chief
Administrative Officer of Wells
Fargo Funds Management, LLC
from 2001 to 2003.
- -----------------------------------------------------------------------------------------------------------
C. David Messman Secretary, since 2000 Vice President and Managing None
46 Senior Counsel of Wells Fargo
Bank, N.A. and Senior Vice
President and Secretary of Wells
Fargo Funds Management, LLC.
Vice President and Senior
Counsel of Wells Fargo Bank,
N.A. from 1996 to 2003.
- -----------------------------------------------------------------------------------------------------------
A. Erdem Cimen Treasurer, since 2006 Vice President of Wells Fargo None
32 Bank, N.A. and Vice President
of Financial Operations for
Wells Fargo Funds
Management, LLC. Vice
President and Group Finance
Officer of Wells Fargo Bank,
N.A. Auto Finance Group from
2004 to 2006. Vice President of
Portfolio Risk Management for
Wells Fargo Bank, N.A. Auto
Finance Group in 2004. Vice
President of Portfolio Research
and Analysis for Wells Fargo
Bank, N.A. Auto Finance Group
from 2001 to 2004. Director of
Small Business Services Risk
Management for American
Express Travel Related Services
from 2000 to 2001.
22
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
OFFICERS (continued)
- -----------------------------------------------------------------------------------------------------------
POSITION HELD AND PRINCIPAL OCCUPATIONS DURING
NAME AND AGE LENGTH OF SERVICE PAST FIVE YEARS OTHER DIRECTORSHIPS
- -----------------------------------------------------------------------------------------------------------
Dorothy A. Peters Chief Compliance Chief Compliance Officer of None
44 Officer, since 2004 Wells Fargo Funds Management,
LLC since 2004 and Compliance
Officer of Wells Fargo Funds
Management, LLC from 1999 to
2002. Compliance Manager of
Wells Fargo Investments from
1997 to 1999. In 2002, Ms.
Peters left Wells Fargo Funds
Management, LLC to pursue
personal goals.
- -----------------------------------------------------------------------------------------------------------
* The Statement of Additional Information includes additional information
about the Funds' Trustees and is available, without charge, upon request,
by calling 1-800-222-8222 or by visiting the Funds' Web site at
WWW.WELLSFARGO.COM/ADVANTAGEFUNDS.
** Length of service dates reflects a Trustee's commencement of service with
the Trust's predecessor entities.
*** As of August 31, 2006, one of the seven Trustees is considered an
"interested person" of the Trusts as defined in the Investment Company Act
of 1940. The interested Trustee, J. Tucker Morse, is affiliated with a
government securities dealer that is registered under the Securities
Exchange Act of 1934, which is not itself affiliated with Wells Fargo
Funds Management, LLC.
23
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
BOARD CONSIDERATION OF AND CONTINUATION OF INVESTMENT ADVISORY AGREEMENT:
LIFE STAGE - AGGRESSIVE PORTFOLIO, LIFE STAGE - CONSERVATIVE PORTFOLIO AND LIFE
STAGE - MODERATE PORTFOLIO
- --------------------------------------------------------------------------------
Section 15(c) of the Investment Company Act of 1940 (the "1940 Act")
contemplates that the Board of Trustees (the "Board") of Wells Fargo Funds Trust
(the "Trust"), including a majority of the Trustees who have no direct or
indirect interest in the investment advisory and subadvisory agreements and are
not "interested persons" of the Trust, as defined in the 1940 Act (the
"Independent Trustees"), will annually review and consider the continuation of
the investment advisory and subadvisory agreements. In this regard, the Board
reviewed and re-approved, during the six months covered by this report, an
investment advisory agreement with Wells Fargo Funds Management, LLC ("Funds
Management") for the Life Stage -Aggressive Portfolio, Life Stage - Conservative
Portfolio, and Life Stage - Moderate Portfolio (the "Funds"). Currently, the
Funds do not have investment subadvisory agreements. The investment advisory
agreement with Funds Management is referred to as the "Advisory Agreement."
More specifically, at a meeting held on March 31, 2006, the Board,
including the Independent Trustees advised by their independent legal counsel,
considered the factors and reached the conclusions described below relating to
the selection of Funds Management and the continuation of the Advisory
Agreement. Prior to the March 31, 2006, meeting, the Board, including the
Independent Trustees, met in person and telephonically a number of times, both
with Funds Management and in private sessions for discussions about these
continuations and approvals. The Independent Trustees were assisted in their
evaluation of the Advisory Agreement by independent legal counsel, from whom
they received separate legal advice and with whom they met separately from Funds
Management.
NATURE, EXTENT AND QUALITY OF SERVICES
- --------------------------------------------------------------------------------
The Board received and considered various data and information regarding
the nature, extent and quality of services provided to the Funds by Funds
Management under the Advisory Agreement. The Board also received and considered
information provided in response to a detailed set of requests submitted by the
Independent Trustees' independent legal counsel, including, among other things,
information about the background and experience of senior management and the
expertise of, and amount of attention devoted to the Funds, by investment
personnel of Funds Management. In this regard, the Board specifically reviewed
the qualifications, backgrounds and responsibilities of the portfolio managers
primarily responsible for day-to-day portfolio management services for the
Funds.
The Board evaluated the ability of Funds Management based on its
respective resources, reputations and other attributes, to attract and retain
highly qualified investment professionals, including research, advisory, and
supervisory personnel. In this regard, the Board considered information
regarding Funds Management's compensation program for its personnel involved in
the management of the Funds.
The Board further considered the compliance program and compliance record
of Funds Management. In addition, the Board took into account the administrative
services provided to the Funds by Funds Management and its affiliates. In
considering these matters, the Board considered not only the specific
information presented in connection with the meeting, but also the knowledge
gained over the course of interacting with Funds Management about various
topics, including Funds Management's oversight of service providers.
Based on the above factors, together with those referenced below, the
Board concluded that it was generally satisfied with the nature, extent and
quality of the investment advisory services provided to the Funds by Funds
Management.
FUND PERFORMANCE AND EXPENSES
- --------------------------------------------------------------------------------
The Board considered the performance results for each of the Funds over
various time periods ended December 31, 2005. The Board also considered these
results in comparison to the median performance results of the group of funds
that was determined by Lipper Inc. ("Lipper") to be the most similar to a given
Fund (the "Peer Group") and to the median performance of a broader universe of
relevant funds as determined by Lipper (the "Universe"), as well as to each
Fund's benchmark index. Lipper is an independent provider of investment company
data. The Board was provided with a description of the methodology used by
Lipper to select the mutual funds in each Fund's Peer Group and Universe. The
Board noted that the long-term performance of each Fund was lower than the
median performance of its Peer Group, but noted that performance had improved
for each Fund over the one and three year time periods.
The Board received and considered information regarding each Fund's net
operating expense ratio and its various components, including contractual
advisory fees, actual advisory fees, actual non-management fees, Rule 12b-1 and
non-Rule 12b-1 service fees, fee waivers/caps and/or expense reimbursements. The
Board also considered comparisons of these fees to the expense information for
each Fund's Peer Group and Universe, which comparative data was provided by
Lipper. The Board noted that the net operating expense ratios for the Funds were
higher than the Funds' Peer Groups' median net operating expense ratios, but the
Board noted that this was primarily due to the fact that the net operating
expense ratios for the Funds
24
OTHER INFORMATION (UNAUDITED) WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
included both fund level and underlying fund level expenses, while the Peer
Groups' median net operating expense ratios only included fund level expenses.
Based on the above-referenced considerations and other factors, the Board
concluded that the overall performance and expense results supported the
re-approval of the Advisory Agreement for the Funds.
INVESTMENT ADVISORY FEE RATES
- --------------------------------------------------------------------------------
The Board reviewed and considered the contractual investment advisory fee
rates payable by the Funds to Funds Management for investment advisory services,
both on a stand-alone basis and on a combined basis with the Funds'
administration fee rates (the "Advisory Agreement Rates"). The Board took into
account the separate administrative services covered by the administration fee
rates. In addition, the Board reviewed and considered the existing fee
waiver/cap arrangements applicable to the Advisory Agreement Rates and
considered the Advisory Agreement Rates after taking the waivers/caps into
account (the "Net Advisory Rates").
The Board received and considered information comparing the Advisory
Agreement Rates and Net Advisory Rates with those of the other funds in each
Fund's Peer Group. The Board noted that the Advisory Agreement Rates and the Net
Advisory Rates for the Funds were equal to, or not appreciably higher than, the
median rates of each respective Fund's Peer Group. In addition, the Board
concluded that the combined investment advisory/administration fee rates for
these Funds (before and after waivers/caps and/or expense reimbursements) were
reasonable in relation to each Fund's respective Peer Group, and reasonable in
relation to the services provided.
PROFITABILITY
- --------------------------------------------------------------------------------
The Board received and considered a detailed profitability analysis of
Funds Management based on the Advisory Agreement Rates and Net Advisory Rates,
as well as an analysis of the profitability of other Wells Fargo businesses from
providing services to the Funds. The Board concluded that, in light of the costs
of providing investment management and other services to the Funds, the profits
and other ancillary benefits that Funds Management and its affiliates received
with regard to providing these services to the Funds were not unreasonable.
ECONOMIES OF SCALE
- --------------------------------------------------------------------------------
The Board received and considered general information regarding whether
there have been economies of scale with respect to the management of the Funds,
whether the Funds have appropriately benefited from any economies of scale and
whether there is potential for realization of any further economies of scale for
the Funds. The Board acknowledged the inherent limitations of any analysis of an
investment adviser's economies of scale and of any attempt to correlate
breakpoints with such economies, stemming largely from the Board's understanding
that economies of scale are realized, if at all, by an investment adviser across
a variety of products and services, not just with respect to a single fund. The
Board concluded that any actual or potential economies of scale are, or will be,
shared reasonably with Fund shareholders.
INFORMATION ABOUT SERVICES TO OTHER CLIENTS
- --------------------------------------------------------------------------------
The Board also received and considered information about the nature and
extent of services and fee rates offered by Funds Management to other similarly
situated series of the Trust, including other registered investment companies
and separate accounts. The Board concluded that the Advisory Agreement Rates and
the Net Advisory Rates were within a reasonable range of the fee rates offered
to others by Funds Management, giving effect to differences in services covered
by such fee rates.
OTHER BENEFITS TO FUNDS MANAGEMENT
- --------------------------------------------------------------------------------
The Board received and considered information regarding potential
"fall-out" or ancillary benefits received by Funds Management and its affiliates
as a result of their relationship with the Funds. Such benefits could include,
among others, benefits directly attributable to the relationship of Funds
Management with the Funds and benefits potentially derived from an increase in
Funds Management's business as a result of its relationship with the Funds (such
as the ability to market to shareholders other financial products offered by
Funds Management and its affiliates).
The Board also considered the effectiveness of the policies of the Funds
in seeking the best execution of portfolio transactions, whether and to what
extent soft dollar credits are sought and how any such credits are utilized, any
benefits that may be realized by using an affiliated broker, the extent to which
efforts are made to recapture transaction costs, and the controls applicable to
brokerage allocation procedures. The Board also reviewed Funds Management's
method for allocating portfolio investment opportunities among the Funds and
other clients.
25
WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS OTHER INFORMATION (UNAUDITED)
- --------------------------------------------------------------------------------
OTHER FACTORS AND BROADER REVIEW
- --------------------------------------------------------------------------------
The Board also considered the markets for distribution of the Funds,
including the principal channels through which the Funds' shares are offered and
sold. The Board noted that the Funds are part of one of the few fund families
that have both direct-to-fund and intermediary distribution.
As discussed above, the Board reviewed detailed materials received from
Funds Management annually as part of the re-approval process under Section 15(c)
of the 1940 Act. The Board also reviews and assesses the quality of the services
that the Funds receive throughout the year. In this regard, the Board has
reviewed reports of Funds Management at each of its quarterly meetings, which
include, among other things, a portfolio review and fund performance reports. In
addition, the Board has conferred with the portfolio managers of the Funds at
various times throughout the year.
After considering the above-described factors and based on its
deliberations and its evaluation of the information described above, the Board
concluded that approval of the continuation of the Advisory Agreement for the
Funds was in the best interest of the Funds and their shareholders. Accordingly,
the Board unanimously approved the continuation of the Advisory Agreement for an
additional one-year period.
26
LIST OF ABBREVIATIONS WELLS FARGO ADVANTAGE LIFE STAGE PORTFOLIOS
- --------------------------------------------------------------------------------
The following is a list of common abbreviations for terms and entities which may
have appeared in this report.
ABAG -- Association of Bay Area Governments
ADR -- American Depository Receipt
AMBAC -- American Municipal Bond Assurance Corporation
AMT -- Alternative Minimum Tax
ARM -- Adjustable Rate Mortgages
BART -- Bay Area Rapid Transit
CDA -- Community Development Authority
CDSC -- Contingent Deferred Sales Charge
CGIC -- Capital Guaranty Insurance Company
CGY -- Capital Guaranty Corporation
CMT -- Constant Maturity Treasury
COFI -- Cost of Funds Index
Connie Lee -- Connie Lee Insurance Company
COP -- Certificate of Participation
CP -- Commercial Paper
CTF -- Common Trust Fund
DW&P -- Department of Water & Power
DWR -- Department of Water Resources
EDFA -- Education Finance Authority
FFCB -- Federal Farm Credit Bank
FGIC -- Financial Guaranty Insurance Corporation
FHA -- Federal Housing Authority
FHLB -- Federal Home Loan Bank
FHLMC -- Federal Home Loan Mortgage Corporation
FNMA -- Federal National Mortgage Association
FRN -- Floating Rate Notes
FSA -- Financial Security Assurance Incorporated
GDR -- Global Depository Receipt
GNMA -- Government National Mortgage Association
GO -- General Obligation
HFA -- Housing Finance Authority
HFFA -- Health Facilities Financing Authority
IDA -- Industrial Development Authority
IDR -- Industrial Development Revenue
LIBOR -- London Interbank Offered Rate
LLC -- Limited Liability Corporation
LOC -- Letter of Credit
LP -- Limited Partnership
MBIA -- Municipal Bond Insurance Association
MFHR -- Multi-Family Housing Revenue
MUD -- Municipal Utility District
MTN -- Medium Term Note
PCFA -- Pollution Control Finance Authority
PCR -- Pollution Control Revenue
PFA -- Public Finance Authority
PLC -- Private Placement
PSFG -- Public School Fund Guaranty
RDA -- Redevelopment Authority
RDFA -- Redevelopment Finance Authority
REITS -- Real Estate Investment Trusts
R&D -- Research & Development
SFHR -- Single Family Housing Revenue
SFMR -- Single Family Mortgage Revenue
SLMA -- Student Loan Marketing Association
STEERS -- Structured Enhanced Return Trust
TBA -- To Be Announced
TRAN -- Tax Revenue Anticipation Notes
USD -- Unified School District
V/R -- Variable Rate
WEBS -- World Equity Benchmark Shares
XLCA -- XL Capital Assurance
27
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[LOGO]
- -----------------
WELLS ADVANTAGE
FARGO FUNDS
- -----------------
More information about WELLS FARGO THIS REPORT AND THE FINANCIAL STATEMENTS
ADVANTAGE FUNDS(SM) is available CONTAINED HEREIN ARE SUBMITTED FOR THE
free upon request. To obtain GENERAL INFORMATION OF THE SHAREHOLDERS
literature, please write, e-mail, OF WELLS FARGO ADVANTAGE FUNDS. IF THIS
visit the Funds' Web site, or call: REPORT IS USED FOR PROMOTIONAL PURPOSES,
DISTRIBUTION OF THE REPORT MUST BE
WELLS FARGO ADVANTAGE FUNDS ACCOMPANIED OR PRECEDED BY A CURRENT
P.O. Box 8266 PROSPECTUS. FOR A PROSPECTUS CONTAINING
Boston, MA 02266-8266 MORE COMPLETE INFORMATION, INCLUDING
CHARGES AND EXPENSES, CALL 1-800-222-8222
E-mail: wfaf@wellsfargo.com OR VISIT THE FUNDS' WEB SITE AT
Web site: WWW.WELLSFARGO.COM/ADVANTAGEFUNDS. PLEASE
www.wellsfargo.com/advantagefunds CONSIDER THE INVESTMENT OBJECTIVES,
Individual Investors: RISKS, CHARGES, AND EXPENSES OF THE
1-800-222-8222 INVESTMENT CAREFULLY BEFORE INVESTING.
Retail Investment Professionals: THIS AND OTHER INFORMATION ABOUT WELLS
1-888-877-9275 FARGO ADVANTAGE FUNDS CAN BE FOUND IN THE
Institutional Investment CURRENT PROSPECTUS. READ THE PROSPECTUS
Professionals: 1-866-765-0778 CAREFULLY BEFORE YOU INVEST OR SEND
MONEY.
Wells Fargo Funds Management, LLC, a
wholly owned subsidiary of Wells Fargo &
Company, provides investment advisory and
administrative services for WELLS FARGO
ADVANTAGE FUNDS. Other affiliates of
Wells Fargo & Company provide subadvisory
and other services for the Funds. The
Funds are distributed by WELLS FARGO
FUNDS DISTRIBUTOR, LLC, Member NASD/SIPC,
an affiliate of Wells Fargo & Company.
---------------------------------------------------------
NOT FDIC INSURED o NO BANK GUARANTEE o MAY LOSE VALUE
---------------------------------------------------------
- --------------------------------------------------------------------------------
(C) 2006 Wells Fargo www.wellsfargo.com/advantagefunds 100101 10-06
Funds Management, LLC. SLIF/SAR114
All rights reserved.
ITEM 2. CODE OF ETHICS
=======================
Not required in this filing
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT
=========================================
Not required in this filing.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES
==============================================
Not required in this filing.
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS
===============================================
Not required in this filing.
ITEM 6. SCHEDULE OF INVESTMENTS
===============================
The Schedule of Investments is included as part of the report to shareholders
filed under Item 1 of this Form.
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES
=========================================================================
Not applicable.
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES
========================================================================
Not applicable.
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMEENT INVESTMENT
COMPANY AND AFFILIATED PURCHASES
===========================================================================
Not applicable.
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
============================================================
Not applicable.
ITEM 11. CONTROLS AND PROCEDURES
=================================
(a) The President and Treasurer have concluded that the Wells Fargo Funds Trust
(the "Trust") disclosure controls and procedures (as defined in Rule 30a-3(c)
under the Investment Company Act of 1940) provide reasonable assurances that
material information relating to the Trust is made known to them by the
appropriate persons, based on their evaluation of these controls and procedures
as of a date within 90 days of the filing of this report.
(b) There were no changes in the Trust's internal controls over financial
reporting (as defined in rule 30a-3(d) udner the Investment Company Act) that
occurred during the second 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 required in this filing.
(a)(2) Certification pursuant to Rule 30a-2(a) under the Investment Company Act
of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.
(a)(3) Not applicable.
(b) Certification pursuant to Rule 30a-2(b) under the Investment Company Act of
1940 (17 CFR 270.30a-2(b)) is filed and attached hereto as Exhibit 99.906CERT.
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.
Wells Fargo Funds Trust
By: /s/ Karla M. Rabusch
Karla M. Rabusch
President
By: /s/ A. Erdem Cimen
A. Erdem Cimen
Treasurer
Date: October 17, 2006
CERTIFICATION
I, Karla M. Rabusch, certify that:
1. I have reviewed this report on Form N-CSR of Wells Fargo Funds Trust on
behalf of the following series: Wells Fargo Advantage Dow Jones Target Today
Fund (formerly Wells Fargo Advantage Outlook Today Fund), Wells Fargo Advantage
Dow Jones Target 2010 Fund (formerly Wells Fargo Advantage Outlook 2010 Fund),
Wells Fargo Advantage Dow Jones Target 2020 Fund (formerly Wells Fargo Advantage
Outlook 2020 Fund), Wells Fargo Advantage Dow Jones Target 2030 Fund (formerly
Wells Fargo Advantage Outlook 2030 Fund), Wells Fargo Advantage Dow Jones Target
2040 Fund (formerly Wells Fargo Advantage Outlook 2040 Fund), Wells Fargo
Advantage California Tax-Free Money Market Fund, Wells Fargo Advantage Cash
Investment Market Fund, Wells Fargo Advantage Government Money Market Fund,
Wells Fargo Advantage Minnesota Money Market Fund, Wells Fargo Advantage Money
Market Fund, Wells Fargo Advantage Municipal Money Market Fund, Wells Fargo
Advantage National Tax-Free Money Market Fund, Wells Fargo Advantage Prime
Investment Money Market Fund, Wells Fargo Advantage Treasury Plus Money Market
Fund, Wells Fargo Advantage 100% Treasury Money Market Fund, Wells Fargo
Advantage Heritage Money Market Fund, Wells Fargo Advantage Liquidity Reserve
Money Market Fund, Wells Fargo Advantage Overland Express Sweep Fund, Wells
Fargo Advantage Money Market Trust, Wells Fargo Advantage California Tax-Free
Money Market Trust, Wells Fargo Advantage National Tax-Free Money Market Trust,
Wells Fargo Advantage Life Stage - Aggressive Portfolio, Wells Fargo Advantage
Life Stage - Conservative Portfolio, and Wells Fargo Advantage Life Stage -
Moderate Portfolio;
2. Based on my knowledge, this report does not contain any untrue statement of a
material fact or omit to state a material fact necessary to make the statements
made, in light of the circumstances under which such statements were made, not
misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial
information included in this report, fairly present in all material respects the
financial condition, results of operations, changes in net assets, and cash
flows (if the financial statements are required to include a statement of cash
flows) of the registrant as of, and for, the periods presented in this report;
4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Rule 30a-3(c) under the Investment Company Act of 1940) and internal control
over financial reporting (as defined in Rule 30a-3(d) under the Investment
Company Act of 1940) for the registrant and have:
a) designed such disclosure controls and procedures or caused such
disclosure controls and procedures to be designed under our
supervision, to ensure that material information relating to the
registrant, including its consolidated subsidiaries, is made known
to us by others within those entities, particularly during the
period in which this report is being prepared;
b) designed such internal control over financial reporting, or caused
such internal control over financial reporting to be designed under
our supervision, to provide reasonable assurance regarding the
reliability of financial reporting and the preparation of financial
statements for external purposes in accordance with generally
accepted accounting principles;
c) evaluated the effectiveness of the registrant's disclosure controls
and procedures and presented in this report our conclusions about
the effectiveness of the disclosure controls and
procedures, as of a date within 90 days prior to the filing of this
report based on such evaluation; and
d) disclosed in this report any change in the registrant's internal
controls over financial reporting that occurred during the
registrant's most recent fiscal half-year that has materially
affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting; and
5. The registrant's other certifying officers and I have disclosed to the
registrant's auditors and the audit committee of the registrant's board of
directors (or persons performing the equivalent functions):
a) all significant deficiencies and material weaknesses in the design or
operation of internal controls over financial reporting which are
reasonably likely to adversely affect the registrant's ability to record,
process, summarize, and report financial information; and
b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal
controls over financial reporting.
Date: October 17, 2006
/s/ Karla M. Rabusch
Karla M. Rabusch
President
Wells Fargo Funds Trust
Exhibit 99.CERT
CERTIFICATION
I, A. Erdem Cimen, certify that:
1. I have reviewed this report on Form N-CSR of Wells Fargo Funds Trust on
behalf of the following series: Wells Fargo Advantage Dow Jones Target Today
Fund (formerly Wells Fargo Advantage Outlook Today Fund), Wells Fargo Advantage
Dow Jones Target 2010 Fund (formerly Wells Fargo Advantage Outlook 2010 Fund),
Wells Fargo Advantage Dow Jones Target 2020 Fund (formerly Wells Fargo Advantage
Outlook 2020 Fund), Wells Fargo Advantage Dow Jones Target 2030 Fund (formerly
Wells Fargo Advantage Outlook 2030 Fund), Wells Fargo Advantage Dow Jones Target
2040 Fund (formerly Wells Fargo Advantage Outlook 2040 Fund), Wells Fargo
Advantage California Tax-Free Money Market Fund, Wells Fargo Advantage Cash
Investment Market Fund, Wells Fargo Advantage Government Money Market Fund,
Wells Fargo Advantage Minnesota Money Market Fund, Wells Fargo Advantage Money
Market Fund, Wells Fargo Advantage Municipal Money Market Fund, Wells Fargo
Advantage National Tax-Free Money Market Fund, Wells Fargo Advantage Prime
Investment Money Market Fund, Wells Fargo Advantage Treasury Plus Money Market
Fund, Wells Fargo Advantage 100% Treasury Money Market Fund, Wells Fargo
Advantage Heritage Money Market Fund, Wells Fargo Advantage Liquidity Reserve
Money Market Fund, Wells Fargo Advantage Overland Express Sweep Fund, Wells
Fargo Advantage Money Market Trust, Wells Fargo Advantage California Tax-Free
Money Market Trust, Wells Fargo Advantage National Tax-Free Money Market Trust,
Wells Fargo Advantage Life Stage - Aggressive Portfolio, Wells Fargo Advantage
Life Stage - Conservative Portfolio, and Wells Fargo Advantage Life Stage -
Moderate Portfolio;
2. Based on my knowledge, this report does not contain any untrue statement of a
material fact or omit to state a material fact necessary to make the statements
made, in light of the circumstances under which such statements were made, not
misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial
information included in this report, fairly present in all material respects the
financial condition, results of operations, changes in net assets, and cash
flows (if the financial statements are required to include a statement of cash
flows) of the registrant as of, and for, the periods presented in this report;
4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Rule 30a-3(c) under the Investment Company Act of 1940) and internal control
over financial reporting (as defined in Rule 30a-3(d) under the Investment
Company Act of 1940) for the registrant and have:
a) designed such disclosure controls and procedures, or caused such
disclosure controls and procedures to be designed under our
supervision, to ensure that material information relating to the
registrant, including its consolidated subsidiaries, is made known
to us by others within those entities, particularly during the
period in which this report is being prepared;
b) designed such internal control over financial reporting, or caused
such internal control over financial reporting to be designed under
our supervision, to provide reasonable assurance regarding the
reliability of financial reporting and the preparation of financial
statements for external purposes in accordance with generally
accepted accounting principles;
c) evaluated the effectiveness of the registrant's disclosure controls
and procedures and presented in this report our conclusions about
the effectiveness of the disclosure controls and
procedures, as of a date within 90 days prior to the filing of this
report based on such evaluation; and
d) disclosed in this report any change in the registrant's internal
controls over financial reporting that occurred during the
registrant's most recent fiscal half-year that has materially
affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting; and
5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
the registrant's board of directors (or persons performing the equivalent
functions):
a) all significant deficiencies and material weaknesses in the design or
operation of internal controls over financial reporting which are
reasonably likely to adversely affect the registrant's ability to record,
process, summarize, and report financial information; and
b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal
controls over financial reporting.
Date: October 17, 2006
/s/ A. Erdem Cimen
A. Erdem Cimen
Treasurer
Wells Fargo Funds Trust
Exhibit 99.CERT
SECTION 906 CERTIFICATION
Pursuant to 18 U.S.C. ss. 1350, the undersigned officer of Wells Fargo
Funds Trust (the "Trust"), hereby certifies, to the best of her knowledge, that
the Trust's report on Form N-CSR for the period ended August 31, 2006 (the
"Report") fully complies with the requirements of Section 13(a) or Section
15(d), as applicable, of the Securities Exchange Act of 1934 and that the
information contained in the Report fairly presents, in all material respects,
the financial condition and results of operations of the Trust.
Date: October 17, 2006
/s/ Karla M. Rabusch
Karla M. Rabusch
President
Wells Fargo Funds Trust
SECTION 906 CERTIFICATION
Pursuant to 18 U.S.C. ss. 1350, the undersigned officer of Wells Fargo
Funds Trust (the "Trust"), hereby certifies, to the best of his knowledge, that
the Trust's report on Form N-CSR for the period ended August 31, 2006 (the
"Report") fully complies with the requirements of Section 13(a) or Section
15(d), as applicable, of the Securities Exchange Act of 1934 and that the
information contained in the Report fairly presents, in all material respects,
the financial condition and results of operations of the Trust.
Date: October 17, 2006
/s/ A. Erdem Cimen
A. Erdem Cimen
Treasurer
Wells Fargo Funds Trust