NPORT-EX 2 soi.htm BGH SOI 9/30/2019

Barings Global Short Duration High Yield Fund
SCHEDULE OF INVESTMENTS
September 30, 2019 (Unaudited)

										SHARES		COST		FAIR VALUE
Equities — 2.36%*:
Common Stocks — 2.30%*:
			Boomerang Tube Holdings, Inc.¤							36,149	$	3,510,832	$	2,224,971
			Fieldwood Energy LLC							167,574		4,057,567		4,147,457
			Jupiter Resources Inc.+							1,171,624		5,662,542		1,757,436
			Sabine Oil & Gas LLC							4,342		248,858		227,955
			Templar Energy LLC¤							135,392		734,072		0
			Templar Energy LLC¤							101,589		1,015,894		0
				Total Common Stocks						1,616,670		15,229,765		8,357,819
Preferred Stocks — 0.02%*:
			Pinnacle Operating Corp.¤							1,368,352		643,125		63,355
				Total Preferred Stocks						1,368,352		643,125		63,355
Warrants — 0.04%*:
			Appvion Holdings Corp.¤							12,892		137,280		6,446
			Appvion Inc.¤							12,892		-		1,612
			Sabine Oil & Gas LLC							13,521		60,669		108,168
			Sabine Oil & Gas LLC							2,481		6,547		19,848
				Total Warrants						41,786		204,496		136,074
				Total Equities						3,026,808		16,077,386		8,557,248

Barings Global Short Duration High Yield Fund
SCHEDULE OF INVESTMENTS
September 30, 2019 (Unaudited)

					EFFECTIVE INTEREST RATE‡			DUE DATE		PRINCIPAL		COST		FAIR VALUE
Fixed Income — 135.38%*:
Asset-Backed Securities — 8.35%*^~:
	CDO/CLO — 8.35%*^~:
			Anchorage Capital CLO LTD 2013-1A, 3M LIBOR + 6.800%~		9.10	%		10/15/2030		1,000,000	$	977,213	$	975,735
			Anchorage Capital CLO LTD 2015-6A, 3M LIBOR + 6.350%^~		8.65			7/15/2030		600,000		611,467		570,661
			Anchorage Capital CLO LTD 2016-9A ER, 3M LIBOR + 6.410%^~		8.71			7/15/2032		1,500,000		1,455,000		1,434,177
			BlueMountain CLO LTD 2018-23A, 3M LIBOR + 5.650%^~		7.93			10/20/2031		1,000,000		1,000,000		943,895
			Carbone CLO, LTD 2017-1A, 3M LIBOR + 5.900%^~		8.18			1/21/2031		750,000		750,000		694,116
			Canyon Capital CLO LTD 2019-2A, 3M LIBOR + 7.150%~		9.24			10/15/2032		1,000,000		1,000,000		1,000,000
			Carlyle Global Market Strategies 2013-3A, 3M LIBOR + 7.750%^~		10.05			10/15/2030		1,000,000		1,000,000		863,431
			Carlyle Global Market Strategies 2017-5A, 3M LIBOR + 5.300%^~		7.58			1/22/2030		700,000		700,000		624,993
			Carlyle Global Market Strategies 2019-3A, 3M LIBOR + 7.300%~		9.13			10/20/2032		1,000,000		975,000		975,000
			Cedar Funding LTD 2016-6A, 3M LIBOR + 5.900%^~		8.18			10/20/2028		2,500,000		2,500,000		2,364,738
			Galaxy CLO Ltd 2017-24A, 3M LIBOR + 5.500%^~		7.80			1/15/2031		1,000,000		1,000,000		905,727
			GoldenTree Loan Management 2018-3A, 3M LIBOR + 6.500%^~		8.78			4/22/2030		1,500,000		1,423,340		1,260,519
			GoldenTree Loan Opportunities XI Ltd 2015-11A, 3M LIBOR + 5.400%^~		7.70			1/18/2031		500,000		500,000		453,892
			KKR Financial CLO Ltd 2017-20, 3M LIBOR + 5.500%^~		7.82			10/16/2030		1,500,000		1,500,000		1,350,875
			LCM LTD 2019-30, 3M LIBOR + 6.950%^~		9.23			4/21/2031		1,100,000		1,100,000		1,089,147
			Madison Park Funding Ltd 2015-19A, 3M LIBOR + 4.350%^~		6.63			1/24/2028		1,000,000		1,000,000		919,911
			Madison Park Funding Ltd 2016-22, 3M LIBOR + 6.650%^~		8.93			10/25/2029		1,000,000		1,022,422		978,902
			Madison Park Funding Ltd 2018-29A, 3M LIBOR + 7.570%^~#		9.87			10/18/2030		2,000,000		1,960,000		1,792,034
			Madison Park Funding Ltd 2018-32A, 3M LIBOR + 7.100%~		9.38			1/22/2031		1,000,000		997,800		993,326
			Magnetite CLO LTD 2016-18A, 3M LIBOR + 7.600%^~		9.76			11/15/2028		1,400,000		1,386,000		1,292,409
			OHA Credit Partners LTD 2015-11A, 3M LIBOR + 7.900%^~		10.18			1/20/2031		2,000,000		1,970,323		1,819,154
			OHA Loan Funding LTD 2013-1A, 3M LIBOR + 7.900%^~		10.16			7/23/2031		1,500,000		1,477,500		1,374,828
			Sound Point CLO LTD 2017-4A, 3M LIBOR + 5.500%^~		7.78			1/21/2031		2,000,000		2,000,000		1,721,946
			Steele Creek CLO Ltd 2017-1A, 3M LIBOR + 6.200%^~		8.50			10/15/2030		800,000		800,000		723,392
			TICP CLO Ltd, 2018-10A, 3M LIBOR + 5.500%~		7.78			4/22/2031		1,000,000		914,447		909,264
			Wellfleet CLO Ltd 2017-3A, 3M LIBOR + 5.550%^~		7.85			1/17/2031		1,500,000		1,500,000		1,291,043
			Wind River CLO Ltd 2017-4A, 3M LIBOR + 5.800%^~		7.94			11/20/2030		1,000,000		1,000,000		931,079
				Total CDO/CLO						32,850,000		32,520,512		30,254,194
				Total Asset-Backed Securities						32,850,000		32,520,512		30,254,194
Bank Loans§ — 14.15%*:
	Automobile — 0.55%~:
			DexKo, 3M LIBOR + 8.750%~		10.35			7/24/2025		2,000,000	$	2,000,000	$	1,990,000
				Total Automobile						2,000,000		2,000,000		1,990,000
	Broadcasting and Entertainment — 1.21%*:
			Endemol, 3M LIBOR + 5.750%+~		8.07			8/11/2021		4,467,578		4,354,701		4,402,977
				Total Broadcasting and Entertainment						4,467,578		4,354,701		4,402,977
	Cargo Transport — 0.79%*~:
			PS Logistics, 1M LIBOR + 4.750%~		6.79			3/6/2025		2,970,000		2,992,567		2,873,475
				Total Cargo Transport						2,970,000		2,992,567		2,873,475

Barings Global Short Duration High Yield Fund
SCHEDULE OF INVESTMENTS
September 30, 2019 (Unaudited)

					EFFECTIVE INTEREST RATE‡			DUE DATE		PRINCIPAL		COST		FAIR VALUE
Bank Loans (Continued)
	Chemicals, Plastics and Rubber — 0.41%*~:
			Colouroz Investment 2 LLC, 3M LIBOR + 7.250%+~		9.53	%		9/7/2022		2,033,201		2,025,452		1,497,798
				Total Chemicals, Plastics and Rubber						2,033,201		2,025,452		1,497,798
	Diversified/Conglomerate Manufacturing — 0.96%*~:
			Averys, 3M LIBOR + 8.250%+~		8.25			8/7/2026		500,000		571,943		544,977
			Commercial Vehicle Group Inc., 1M LIBOR + 6.000%~		8.04			4/12/2023		580,940		572,397		580,939
			SunSource, Inc., 1M LIBOR + 8.000%~		10.04			4/30/2026		2,500,000		2,519,409		2,341,675
				Total Diversified/Conglomerate Manufacturing						3,580,940		3,663,749		3,467,591
	Diversified/Conglomerate Service — 3.58%*~:
			Misys (Finastra), 3M LIBOR + 7.250%+~		9.45			6/16/2025		13,630,136		13,622,549		12,991,292
				Total Diversified/Conglomerate Service						13,630,136		13,622,549		12,991,292
	Electronics — 0.96%*~:
			PowerSchool, 3M LIBOR + 6.750%~		8.96			7/31/2026		3,500,000		3,465,000		3,460,625
				Total Electronics						3,500,000		3,465,000		3,460,625
	Healthcare, Education and Childcare — 1.02%*~:
			ADVANZ PHARMA Corp., 1M LIBOR + 5.500%+~		7.53			9/6/2024		3,920,000		3,851,368		3,687,270
				Total Healthcare, Education and Childcare						3,920,000		3,851,368		3,687,270
	Home and Office Furnishings, Housewares, and Durable Consumer Products — 0.71%*~:
			Serta Simmons Beddings LLC, 1M LIBOR + 8.000%~		10.06			11/8/2024		7,933,333		7,172,094		2,558,500
				Total Home and Office Furnishings, Housewares, and Durable Consumer Products						7,933,333		7,172,094		2,558,500
	Insurance — 0.84%*~:
			Asurion, 1M LIBOR + 6.500%~		8.54			8/4/2025		3,000,000		3,065,691		3,046,500
				Total Insurance						3,000,000		3,065,691		3,046,500
	Mining, Steel, Iron and Non-Precious Metals — 0.70%*:
			Boomerang Tube, LLC, 3M LIBOR + 6.500%¤~		7.04			10/31/2021		2,540,684		2,540,684		2,540,684
				Total Mining, Steel, Iron and Non-Precious Metals						2,540,684		2,540,684		2,540,684
	Oil and Gas — 2.42%*~:
			Fieldwood Energy LLC, 1M LIBOR + 5.250%~		7.51			4/11/2022		3,751,171		3,548,707		3,242,662
			Fieldwood Energy LLC, 1M LIBOR + 7.250%~		9.51			4/11/2023		7,481,592		2,536,367		5,536,378
				Total Oil and Gas						11,232,763		6,085,074		8,779,040
				Total Bank Loans						60,808,635		54,838,929		51,295,752

Barings Global Short Duration High Yield Fund
SCHEDULE OF INVESTMENTS
September 30, 2019 (Unaudited)

					EFFECTIVE INTEREST RATE‡			DUE DATE		PRINCIPAL		COST		FAIR VALUE
Corporate Bonds — 114.13%*:
	Aerospace and Defense — 2.65%*:
			TransDigm Group, Inc.#		7.50	%		5/15/2027		3,000,000	$	2,977,500	$	3,262,500
			Triumph Group, Inc.#		7.75			8/15/2025		6,289,000		6,293,952		6,345,915
				Total Automotive						9,289,000		9,271,452		9,608,415
	Automotive — 2.87%*:
			Garrett Motion+^		5.13			10/15/2026		1,250,000		1,279,650		1,308,108
			Power Solutions^#		8.50			5/15/2027		8,965,000		9,072,694		9,077,062
				Total Aerospace and Defense						10,215,000		10,352,344		10,385,170
	Beverage, Food and Tobacco — 2.82%*:
			Boparan Finance plc+^		5.50			7/15/2021		800,000		1,028,791		604,935
			JBS S.A.^#		6.75			2/15/2028		2,886,000		2,886,000		3,196,245
			Kehe Distributors, LLC^		8.63			10/15/2026		1,287,000		1,287,000		1,312,740
			Manitowoc Foodservice#		9.50			2/15/2024		3,074,000		3,236,500		3,289,180
			Refresco Group N.V.+^		6.50			5/15/2026		1,600,000		1,931,954		1,831,123
				Total Beverage, Food and Tobacco						9,647,000		10,370,245		10,234,223
	Broadcasting and Entertainment — 7.87%*:
			Arqiva Broadcast+^		6.75			9/30/2023		4,950,000		6,337,869		6,489,113
			Clear Channel Worldwide Holdings Inc.^		9.25			2/15/2024		5,546,000		5,948,354		6,093,168
			Dish DBS Corp.#		7.75			7/1/2026		7,094,000		6,873,283		7,218,145
			Intelsat Jackson Holdings Ltd.^#		9.75			7/15/2025		6,609,000		6,886,871		6,903,101
			Intelsat Jackson Holdings Ltd.^#		8.50			10/15/2024		1,801,000		1,801,000		1,813,949
				Total Broadcasting and Entertainment						26,000,000		27,847,377		28,517,476
	Buildings and Real Estate — 1.99%*:
			Realogy Group^#		9.38			4/1/2027		7,763,000		7,668,527		7,211,982
				Total Buildings and Real Estate						7,763,000		7,668,527		7,211,982
	Cargo Transport — 2.48%*:
			Kenan Advantage^#		7.88			7/31/2023		10,000,000		10,047,186		8,975,000
				Total Cargo Transport						10,000,000		10,047,186		8,975,000
	Chemicals, Plastics and Rubber — 4.86%*:
			Carlyle Group^#		8.75			6/1/2023		3,000,000		2,970,300		2,977,500
			Consolidated Energy Finance S.A.^#		6.88			6/15/2025		1,779,000		1,770,105		1,783,448
			CVR Partners LP^#		9.25			6/15/2023		6,213,000		6,151,160		6,477,053
			Diversey^		5.63			8/15/2025		1,500,000		1,611,075		1,476,506
			Nouryon+^#		8.00			10/1/2026		4,214,000		4,227,454		4,219,268
			Pinnacle Operating Corp.^#		9.00			5/15/2023		1,993,613		1,993,613		697,764
				Total Chemicals, Plastics and Rubber						18,699,613		18,723,707		17,631,539
	Containers, Packaging and Glass — 2.83%
			Teckni-Plex^#		9.25			8/1/2024		8,000,000		7,892,538		7,840,000
			Mauser Packaging Solutions^		7.25			4/15/2025		2,575,000		2,429,370		2,434,147
										10,575,000		10,321,908		10,274,147
	Diversified/Conglomerate Manufacturing — 2.64%*:
			Manitowoc Cranes^#		9.00			4/1/2026		8,538,000		8,566,391		8,367,240
			Trivium Packaging^#+		8.50			8/15/2027		1,110,000		1,110,000		1,200,187
				Total Diversified/Conglomerate Manufacturing						9,648,000		9,676,391		9,567,427

Barings Global Short Duration High Yield Fund
SCHEDULE OF INVESTMENTS
September 30, 2019 (Unaudited)

					EFFECTIVE INTEREST RATE‡		DUE DATE		PRINCIPAL		COST		FAIR VALUE
Corporate Bonds (continued)
	Diversified/Conglomerate Service — 6.32%*:
			Algeco Scotsman+^		6.50	%	2/15/2023		1,750,000	$	2,132,015	$	1,912,188
			ADT Corp/Protection One^#		9.25		5/15/2023		5,959,000		6,259,672		6,264,697
			Carlson Travel Holdings Inc.^#		9.50		12/15/2024		6,040,000		6,051,640		6,085,300
			Endurance International Group Holdings, LLC		10.88		2/1/2024		2,500,000		2,622,618		2,600,000
			Truck Hero Inc.^#		8.50		4/21/2024		6,118,000		6,147,000		6,056,820
				Total Diversified/Conglomerate Service					22,367,000		23,212,945		22,919,005
	Electronics — 8.64%*:
			International Wire Group Inc.^#		10.75		8/1/2021		7,389,000		7,127,641		7,425,945
			TIBCO Software, Inc.^#		11.38		12/1/2021		2,915,000		3,053,104		3,041,620
			Veritas Bermuda Ltd.^#		10.50		2/1/2024		22,073,000		18,836,502		20,858,985
				Total Electronics					32,377,000		29,017,247		31,326,550
	Finance — 2.28%*:
			Galaxy XXIV CLO, Ltd.^		6.50		6/31/2026		1,500,000		1,865,092		1,815,728
			GFKL Financial Services+^#		8.50		11/1/2022		5,575,000		7,643,260		6,443,422
				Total Finance					7,075,000		9,508,352		8,259,150
	Healthcare, Education and Childcare — 14.43%*
			Advanz Pharma Corp.+#		8.00		9/6/2024		3,743,000		3,663,950		3,640,068
			Avantor Performance Materials Holdings, Inc.^#		9.00		10/1/2025		5,180,000		5,271,584		5,801,600
			Bausch Health Companies Inc.^#		9.00		12/15/2025		12,922,000		13,168,513		14,504,945
			Bausch Health Companies Inc.^#		9.25		4/1/2026		3,397,000		3,397,000		3,859,807
			Bausch Health Companies Inc.^#		8.50		1/31/2027		317,000		317,000		355,769
			Endo International^#		7.50		4/1/2027		1,890,000		1,890,000		1,731,713
			Envision Healthcare Corp.^#		8.75		10/15/2026		12,551,000		11,596,384		7,656,110
			Regionalcare Hospital Partners, Inc.^#		8.25		5/1/2023		9,996,000		10,065,914		10,633,245
			Synlab+^		8.25		7/1/2023		2,000,000		2,519,816		2,272,092
			Tenet Healthcare Corporation#		8.13		4/1/2022		1,700,000		1,685,866		1,838,635
				Total Healthcare, Education and Childcare					53,696,000		53,576,027		52,293,984
	Home and Office Furnishings, Housewares, and Durable Consumer Products — 1.24%*:
			Balta+^#		7.75		9/15/2022		4,171,500		4,847,973		4,483,088
				Total Home and Office Furnishings, Housewares, and Durable Consumer Products					4,171,500		4,847,973		4,483,088
	Hotels, Motels, Inns and Gaming — 1.72%*:
			Boyne USA, Inc.^#		7.25		5/1/2025		950,000		950,000		1,035,120
			Golden Nugget Inc.^#		8.75		10/1/2025		5,000,000		5,255,285		5,212,500
				Total Hotels, Motels, Inns and Gaming					5,950,000		6,205,285		6,247,620
	Insurance — 4.90%*:
			Acrisure LLC^#		8.13		2/15/2024		4,564,000		4,701,315		4,917,710
			Acrisure LLC^#		10.13		8/1/2026		8,575,000		8,710,422		8,960,875
			Onex York Acquisition Corp.^#		8.50		10/1/2022		3,794,000		3,228,557		3,874,623
				Total Insurance					16,933,000		16,640,294		17,753,208

Barings Global Short Duration High Yield Fund
SCHEDULE OF INVESTMENTS
September 30, 2019 (Unaudited)

					EFFECTIVE INTEREST RATE‡		DUE DATE		PRINCIPAL		COST		FAIR VALUE
Corporate Bonds (continued)
	Machinery (Non-Agriculture, Non-Construct, Non-Electronic) — 2.60%*:
			Apex Tool Group LLC^#		9.00		2/15/2023		10,627,000	$	10,393,309	$	9,431,462
				Total Machinery (Non-Agriculture, Non-Construct, Non-Electronic)					10,627,000		10,393,309		9,431,462
	Mining, Steel, Iron and Non-Precious Metals — 14.35%*:
			Alliance Resources Partners, L.P.^#		7.50		5/1/2025		741,000		741,000		731,737
			Consol Energy Inc.^#		11.00		11/15/2025		10,316,000		10,755,190		10,290,210
			First Quantum Minerals+^#		7.25		4/1/2023		2,000,000		1,918,995		1,970,000
			First Quantum Minerals+^#		7.50		4/1/2025		9,775,000		9,353,557		9,603,937
			Hecla Mining Company#		6.88		5/1/2021		7,220,000		7,085,305		7,147,800
			Kissner Milling Company Limited+^#		8.38		12/1/2022		6,475,000		6,467,279		6,750,188
			Northwest Acquisitions ULC+^#		7.13		11/1/2022		16,122,000		12,301,786		9,471,675
			SunCoke Energy Inc.^#		7.50		6/15/2025		5,743,000		5,725,568		5,111,270
			Warrior Met Coal Inc.^#		8.00		11/1/2024		914,000		914,000		950,560
				Total Mining, Steel, Iron and Non-Precious Metals					59,306,000		55,262,680		52,027,377
	Oil and Gas — 12.94%*:
			Calumet Specialty Products#		7.63		1/15/2022		4,398,000		4,135,289		4,244,070
			Calumet Specialty Products^		11		4/15/2025		3,000,000		3,000,000		3,000,000
			Calumet Specialty Products		7.75		4/15/2023		2,550,000		2,375,895		2,365,125
			CGG Holdings+^		9.00		5/1/2023		2,400,000		2,555,638		2,556,000
			Ferrellgas Partners LP		8.63		6/15/2020		5,068,000		5,059,682		3,813,670
			Ferrellgas Partners LP#		8.63		6/15/2020		833,000		825,328		626,832
			Globe Luxembourg SA+^#		9.88		4/1/2022		3,103,000		3,166,895		1,962,648
			Globe Luxembourg SA+^#		9.63		4/1/2023		4,238,000		4,288,318		2,659,345
			Jonah Energy LLC^#		7.25		10/15/2025		5,714,000		5,006,971		1,914,190
			Pbf Holding Company LLC#		7.00		11/15/2023		1,000,000		997,500		1,031,257
			Topaz Marine SA+^#		9.13		7/26/2022		8,500,000		8,500,000		8,887,770
			Vine Oil & Gas^#		9.75		4/15/2023		17,662,000		15,370,758		8,256,985
			Welltec+^#		9.50		12/1/2022		5,713,000		5,689,010		5,598,740
				Total Oil and Gas					64,179,000		60,971,284		46,916,632
	Personal and Non Durable Consumer Products — 0.07%*:
			High Ridge Brands Co.^		8.88		3/15/2025		2,982,000		2,982,000		238,560
				Total Personal and Non Durable Consumer Products					2,982,000		2,982,000		238,560
	Personal Transportation — 1.18%*:
			Hertz Corporation^#		7.63		6/1/2022		3,678,000		3,674,097		3,829,718
			Naviera Armas, 3M EURIBOR + 6.500%+^~		6.50		7/31/2023		525,000		609,261		459,211
				Total Personal Transportation					4,203,000		4,283,358		4,288,929

Barings Global Short Duration High Yield Fund
SCHEDULE OF INVESTMENTS
September 30, 2019 (Unaudited)

					EFFECTIVE INTEREST RATE‡		DUE DATE		PRINCIPAL		COST		FAIR VALUE
Corporate Bonds (continued)
	Printing and Publishing — 0.59%*:
			Cimpress N.V.^#		7.00	%	6/15/2026		2,069,000	$	2,069,000	$	2,135,829
				Total Printing and Publishing					2,069,000		2,069,000		2,135,829
	Retail Store — 2.58%*:
			EG Global Finance PLC+^#		6.75		2/7/2025		2,439,000		2,439,000		2,381,074
			Ken Garff Automotive^#		7.50		8/15/2023		1,034,000		1,034,000		1,083,115
			Maxeda DIY+^		6.13		7/15/2022		750,000		855,530		794,985
			Travelex+^#		8.00		5/15/2022		4,600,000		5,097,346		5,084,743
				Total Retail Store					8,823,000		9,425,876		9,343,917
	Telecommunications — 7.13%*:
			Altice S.A.+^#		9.00		6/15/2023		850,000		1,100,188		960,045
			BMC Software^		9.75		9/1/2026		4,000,000		3,808,871		3,818,000
			Commscope Inc.^#		8.25		3/1/2027		11,673,000		11,693,451		11,362,936
			Digicel Limited+^#		8.25		9/30/2020		2,500,000		2,483,144		1,700,000
			Sprint Capital Corp.#		8.75		3/15/2032		6,500,000		6,841,660		8,017,425
				Total Telecommunications					25,523,000		25,927,314		25,858,406
	Utilities — 2.15%*:
			Nordex+^		6.50		2/1/2023		1,950,000		2,421,789		2,168,887
			NRG Energy#		7.25		5/15/2026		1,385,000		1,389,961		1,516,921
			Techem+^		6.00		7/30/2026		3,500,000		3,987,467		4,119,537
				Total Utilities					6,835,000		7,799,217		7,805,345
				Total Corporate Bonds					438,953,113		436,401,298		413,734,441
				Total Fixed Income					532,611,748		523,760,739		495,284,387
				Total Investments					535,638,556		539,838,125		503,841,635
Other assets and liabilities — (38.99)%													(141,325,733)
				Net Assets — 100%								$	362,515,902

‡

The effective interest rates are based on settled commitment amount.

*

Calculated as a percentage of net assets applicable to common shareholders.

¤

Value determined using significant unobservable inputs, security is categorized as Level 3.

+

Foreign security.

^

Security exempt from registration under Rule 144a of the Securities Act of 1933.  These securities may only be resold in transactions exempt from registration, normally to qualified institutional buyers.

~

Variable rate security.  The interest rate shown is the rate in effect at September 30, 2019.

#

All or a portion of the security is segregated as collateral for the credit facility.

§

Bank loans are exempt from registration under the Securities Act of 1933, as amended, but contain certain restrictions on resale and cannot be sold publicly. These loans pay interest at rates which adjust periodically. The interest rates shown for bank loans are the current interest rates at June 30, 2019. Bank loans are also subject to mandatory and/or optional prepayment which cannot be predicted. As a result, the remaining maturity may be substantially less than the stated maturity shown.

>

Defaulted security.

Distributions of investments by country of risk.  Percentage of assets are expressed by market value excluding cash and accrued income as of June 30, 2019.

United States

74.3%

United Kingdom

9.5%

Canada

3.6%

Netherlands

2.5%

Zambia

2.3%

Germany

2.0%

Azerbaijan

1.8%

Denmark

1.1%

France

1.0%

(Individually less than 1%)

1.9%

100.0%

A summary of outstanding derivatives at September 30, 2019 is as follows:
Schedule of Open Forward Currency Contracts
September 30, 2019 (Unaudited)
						Forward		Unrealized
Currency to be		Currency to be		Counterparty of		Settlement		Appreciation /
Received		Delivered(1)		Contract		Date		(Depreciation)
31,201,136	USD	(30,793,227)	EUR	JP MORGAN CHASE SECURITIES INC.		10/15/2019		407,909
15,934,877	USD	(15,850,529)	GBP	JP MORGAN CHASE SECURITIES INC.		10/15/2019		84,349
								$	492,258
(1) Values are listed in U.S. dollars.

Schedule of Investments.

Valuation of Instruments

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.  A three-tier hierarchy is utilized to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes.  Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk.  For example, market participants would consider the risk inherent in a particular valuation technique used to measure fair value, such as a pricing model, and/or the risk inherent in the inputs to the valuation technique.  Inputs may be observable or unobservable.  Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability and are developed based on market data obtained from sources independent of the reporting entity.  Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability and are developed based on the best information available in the circumstances.  The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

Level 1 – quoted prices in active markets for identical securities

Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.)

Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security.  To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment.  Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3.

The inputs used to measure fair value may fall into different levels of the fair value hierarchy.  In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement falls in its entirety is determined based on the lowest level input that is significant to the fair value measurement in its entirety.

The following is a summary of the inputs used as of September 30, 2019 in valuing the Fund’s investments:

Description		Level 1				Level 2				Level 3				Total Investments
Assets:
Equities:
Common Stocks		$	-			$	6,132,848			$	2,224,971			$	8,357,819
Preferred Stocks			-				-				63,355				63,355
Warrants			-				128,016				8,058				136,074
Total Equities:			-				6,260,864				2,296,384				8,557,248
Fixed Income:
Asset-Backed		$	-			$	30,254,194			$	-			$	30,254,194
Securities    Bank Loans			-				48,755,068				2,540,684				51,295,752
Corporate Bonds			-				413,734,441				-				413,734,441
Total Fixed Income		$	-			$	492,743,703			$	2,540,684			$	495,284,387
Derivative Securities:
Foreign Exchange Contracts:		$	-			$	492,258			$	-			$	492,258
Total Derivative Securities		$	-			$	492,258			$	-			$	492,258
Total Assets		$	-			$	499,496,825			$	4,837,068			$	504,333,893

The following table is a summary of quantitative information about significant unobservable valuation inputs for Level 3 fair value measurement for investments held as of September 30, 2019:

Type of Assets	Fair Value as of September 30, 2019	Valuation Technique(s)	Unobservable Input
Equities
Appvion Holdings Corp.	$6,446	Broker Quote	$0.50; pricing source depth of 1.
Appvion Inc.	$1,612	Broker Quote	$0.125; pricing source depth of 1.
Boomerang Tube Holdings, Inc.	$2,224,971	Broker Quote	Average Enterprise Valuation Multiple:  5.5x; EBITDA: $42.5 million; Discount rate 15%
Pinnacle Operating Corp.	$63,355	Broker Quote	$0.0463; pricing source depth of 1.
Templar Energy LLC	$0	Broker Quote	$0.00; pricing source depth of 1.
Templar Energy LLC	$0	Broker Quote	$0.00; pricing source depth of 1.
Bank Loans
Boomerang Tube, LLC	$2,540,684	Discounted Cash Flow	Average Enterprise Valuation Multiple:  5.5x; EBITDA: $42.5 million; Discount rate 15%

Appvion Holdings Corp. restructured its debt securities on August 28, 2018.  The Fund subsequently received new equity securities, all of which are considered Level 3.

Boomerang Tube, LLC restructured its debt securities on February 2, 2016.  The Fund subsequently received new debt securities, all of which are considered Level 3.

Templar Energy, LLC restructured its Second Lien Term Loan on September 14, 2016.  The Fund subsequently received new equity securities, all of which are considered Level 3.

Although the Fund believes the valuation methods described above are appropriate, the use of different methodologies or assumptions to determine fair value could result in different estimates of fair value at the reporting date.

The Fund discloses transfers between levels based on valuations at the end of the reporting period. Based on end of period market values, $207,796 was transferred from Level 3 to Level 2 for the period from January 1, 2019 through September 30, 2019. The following is a reconciliation of Level 3 investments based upon the inputs used to determine fair value:

	BALANCE AT DECEMBER 31, 2018	TRANSFERS INTO LEVEL 3	TRANSFERS OUT OF LEVEL 3	PURCHASES	SALES	ACCRETION OF DISCOUNT	REALIZED GAIN / (LOSS)	CHANGE IN UNREALIZED	BALANCE AT SEPTEMBER 30, 2019	CHANGE IN UNREALIZED APPRECIATION / (DEPRECIATION) FROM INVESTMENTS HELD AS OF SEPTEMBER 30, 2019
Equities
Common Stocks	$4,000,008	$0	($187,528)	$150,190	$0	$0	$0	$0	$2,224,971	($1,737,699)
Preferred Stocks	$136,835	$0	$0	$0	$0	$0	$0	($73,480)	$63,355	($73,480)
Warrants	$20,268	$0	($20,268)	$0	$0	$0	$0	($130,833)	$8,058	$0
Total Equities	$4,157,111	$1,612	($207,796)	$150,190	$0	$0	$0	($204,313)	$2,296,384	($1,811,179)
Fixed Income
Bank Loans	$2,540,684	$0	$0	$0	$0	$0	$0	$0	$2,540,684	$0
Total Fixed Income	$2,540,684	$0	$0	$0	$0	$0	$0	$0	$2,540,684	$0
Total	$6,697,795	$1,612	($207,796)	$150,190	$0	$0	$0	($204,313)	$4,837,068	($1,811,179)